Toronto, ON (Mar. 28, 2018) – Insurance Bureau of Canada (IBC) welcomes the announcement in today’s Budget that the Ontario government has confirmed that the Financial Services Regulatory Authority (FSRA) will be operational by April 2019. The new regulator will bring more effective and coordinated regulation services to Ontario.
“We see FSRA as a proactive, innovative regulator that will lead to sustainable improvement in rates for Ontario’s almost 10 million drivers,” said Kim Donaldson, Vice-President, Ontario, IBC. “Ontario’s insurers support this new regulator and we look forward to working with FSRA.”
Additional proposed legislative changes will allow FSRA to make rules requiring insurers to provide claims and vehicle repair history information to persons to be prescribed in regulation, most likely used car dealers. IBC has long been advocating for a data access solution.
As part of the budget, the government also announced changes to the Insurance Act to give FSRA prudential oversight of certain insurance companies incorporated in Ontario.
Other key points in the budget include the following:
Ontario Fair Auto Insurance Plan
The government reaffirmed its commitment to transforming the auto insurance system. It also reiterated the measures contained in the Fair Auto Insurance Plan to bring rates down in a sustained way, ensure people who are injured in collisions receive the care they need, and reduce fraud and disputes.
Of note, the government has adopted the recommendation made by the industry on how to best manage the care of those who have suffered a catastrophic impairment as the result of a collision. Instead of making this the responsibility of the Ministry of Health as recommended in David Marshall’s report Fair Benefits Fairly Delivered, there will be funding through the Ontario Neurotrauma Foundation to develop evidence-based programs of care for the most seriously injured.
Another key item in today’s budget is contained within Ontario’s framework covering the sale, distribution, purchase, possession and consumption of cannabis. The government is creating a dedicated team of nine Crown counsels and three administrative staff to support drug-impaired driving prosecutions and the new tools for field sobriety testing.
About Insurance Bureau of Canada
Insurance Bureau of Canada (IBC) is the national industry association representing Canada’s private home, auto and business insurers. Its member companies make up 90% of the property and casualty (P&C) insurance market in Canada. For more than 50 years, IBC has worked with governments across the country to help make affordable home, auto and business insurance available for all Canadians. IBC supports the vision of consumers and governments trusting, valuing and supporting the private P&C insurance industry. It champions key issues and helps educate consumers on how best to protect their homes, cars, businesses and properties.
P&C insurance touches the lives of nearly every Canadian and plays a critical role in keeping businesses safe and the Canadian economy strong. It employs more than 120,000 Canadians, pays $9 billion in taxes and has a total premium base of $52 billion.
For media releases and more information, visit IBC’s Media Centre at www.ibc.ca. Follow IBC on Twitter @InsuranceBureau and @IBC_Ontario or like us on Facebook. If you have a question about home, auto or business insurance, contact IBC’s Consumer Information Centre at 1-844-2ask-IBC.
SOURCE: Insurance Bureau of Canada (IBC)Tags: Financial Services Regulatory Authority (FSRA), Insurance Bureau of Canada (IBC)