Financial Power

The Financial Services Commission of Ontario (FSCO) is the provincial regulator of insurances. As a Life Insurance Agent I am regulated by FSCO and we have to keep up with the latest changes.

FSCO is the provincial regulator of auto insurance and they are introducing reforms to auto insurance which will come into effect September 1,2010.

In Ontario, automobile insurance is highly regulated and periodically reviewed by FSCO. The recent reviews of the auto insurance products revealed that:

1. The auto accident benefits coverage offered in Ontario is the most generous in Canada.
2. Claims costs related to auto insurance are rapidly increasing, placing upward pressure on insurance premiums.

The reforms are intended to address the existing challenges with the rising costs of claims and improve the process to better meet the consumer’s needs. In most cases, customers will not see rate reductions but the reforms are expected to stabilize auto insurance premiums over the time.

The new changes are designed to:

• Provide more choices to allow customers to customize their policy to suit individual needs.
• Expedite the medical assessment process as part of an accident benefit claim.
• Help reduce claims cost and stabilize Ontario auto insurance premiums over the long –term.

As for now you don’t need to do anything right now!

Here is how to understand when you will be impacted by the new Auto Insurance Reforms:

Renewing on or after September 1, 2010: If your auto insurance policy renews on or after September 1, 2010, the new standard auto policy limits being introduced by FSCO will apply.

More information regarding the new standard auto policy and choices available to you will be mailed to you by your insurance broker/agent at the time of renewal. Take the time to read these changes and options and it would be beneficial to talk with your broker/agent what are the options best suited to your needs.

I am looking forward to see how my auto insurance policy and payment will change with the new auto insurance Reforms.

What are you thoughts about the FSCO new regulations and changes?

Related posts:

1. Car Insurance Loyalty Can be Costly

Tags: Car Insurance, Insurance

This entry was posted by FP on Monday, August 2nd, 2010 at 7:27 PM and is filed under Car Insurance. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.