Province Passes Bill To Cut Auto Insurance On Average By 15%
Legislation has been passed in the Ontario Legislature which is aimed at reducing the rates drivers pay for their vehicle insurance. The goal is for rates to come in, on average, 15% lower by the end of next summer.
The government says Bill 15, which was supported by the Progressive Conservatives but opposed by the NDP, will help fight fraud, which will lower costs for the insurance companies. And that should translate to lower rates for drivers.
“This bill is an important step in our government’s continued work to make auto insurance more affordable for drivers in Ontario. And it’s good news for more than 9 million licensed drivers in our province. Bill 15 will increase protection for consumers, and it helps achieve our goal of a fair and reliable and affordable auto insurance system. This will improve road safety through government monitoring and enforcement measures. Lower costs and less uncertainty in our auto insurance system will help reduce rates for drivers.”
– Finance Minister Charles Sousa
The government also says the Fighting Fraud and Reducing Automobile Insurance Rates Act will help those who have been injured in collisions settle disputed claims faster, it will target questionable practises in the towing and vehicle storage industries, and will improve road safety.
The Liberals had promised Ontarians it would bring insurance rates down by an average of 8% in the first year, but admit to only a 6% decrease so far.
Have you seen a 6% drop in your auto insurance rates? Do you think the government will be able to drop your rates by 15% come August 2015?