There has been no shortage of chatter and speculation surrounding the proposed cuts to insurance premiums being promised by the current Ontario government. And while we could all use a break in the pocketbook, the essential question on everyone's mind is simply this: Can they deliver on these proposed cuts? If so, how?
Will we really see a full 15 percent cut?
At the 2014 National Insurance Board of Canada Conference (held September 21, 2014 in Ottawa, Ontario), at the session entitled “Taking the Pulse: Where are we at with auto insurance”, panelists discussed and debated whether or not the proposed 15% decrease in auto insurance premiums was truly realistic.
General consensus among panelists was that the proposed 15% decrease in auto insurance premiums would be great for consumers, and would certainly allow the current government to make good on a key part of their proposed insurance reforms, there is simply not enough room to make it happen.
In an article posted on Canadianunderwriter.ca, Barbara Sulzenko-Laurie, Vice-President of Policy Development for the Insurance Bureau of Canada, is quoted as saying:
“… in our conversations with the superintendent of insurance, he’s indicated to us that no one in FSCO believes that there’s 15% that’s in the system (to be reduced).”
For more details on this story, please click through to read the full article. If you would like to discuss how these proposed changes may impact your policy, please call or email us at insurance@roughleyinsurance.com.