The Insurance Brokers Association of Ontario is pleased with the package of 41 reforms to automobile insurance announced Monday, the association says.

Introduced by Finance Minister Dwight Duncan, the proposed reforms are based on recommendations provided by the Superintendent of the Financial Services Commission of Ontario’s (FSCO’s) Five-Year Automobile Insurance Review report, in addition to feedback received from stakeholders.

“We are supportive of the proposed auto insurance reforms announced today,” says IBAO CEO Randy Carroll. “They are consumer-focused and should help stabilize auto insurance rates, while still providing the coverage Ontario drivers need.”

According to IBAO, one of the key new features in the proposals is choice for consumers. “Consumers will be able to buy coverage better suited for their individual needs and budgets. Consumers who are happy with their current level of coverage can continue to purchase it,” IBAO says.

IBAO adds that it is very pleased that the government has taken its advice and will ban objectionable quoting practices related to credit scoring in auto insurance outright.

“The misuse of credit scores excludes eligible drivers from finding the most economical insurance coverage”, says Carroll. “Our members are happy to see recommendations that really put consumers’ interests first.”

IBAO says it will continue to urge the province to extend this ban to include all personal property insurance lines, such as home insurance.

IE