Update: See previous post
In 2003 the Automobile Insurance Rate Stabilization Act, 2003 was put in place to prevent auto insurance companies from gouging the general public. This is an example of some of the language that this legislation contained:
Temporary Insurance Rate Freeze:
3. Subject to sections 5, 6 and 7, every insurer, on issuing or renewing a contract of automobile insurance after October 22, 2003, shall use only the rate for each category and coverage of automobile insurance that was approved or was deemed to have been approved under the Insurance Act as of October 23, 2003.
The McGuinty Government is allowing auto insurance companies to raise their auto insurance rates at an alarming level.
After giving the the Private Ontario Insurance Companies the nod to raise their insurance rates for auto insurance, the Liberals realized that those who concluded that their pockets had been unjustifiably reached into and emptied, would need to express their frustration; potentially at the ballot box.
In an effort to deflect attention away from their agreement to allow auto insurance companies to profit off of motorists during Ontario’s fiercest recession (and Ontario’s greatest ever accumulated debt of 24.7 Billion Dollars) the Liberals decided to attempt to confuse the consumer, by announcing that they would have a responsibility to lower their own auto insurance rates by making the right consumer choices.
After allowing Private Insurance Companies to gouge driver’s in Ontario, Liberal Finance Minister Dwight Duncan announced that the Liberals will be reforming auto insurance. The reforms are scheduled to be implemented in the summer of 2010 (before the implementation of the 13% Harmonized Sales Tax (H.S.T) on July 1, 2010.
Ontario Liberal’s Finance Minister, Dwight Duncan, has the full backing and $upport of the Insurance Industry. Insurance Bureau of Canada’s President and CEO, Don Forgeron announced “We are pleased that the government is taking the steps necessary to create a better auto insurance system for Ontarians,”. “Ontario consumers are the real winners today,” added Forgeron, without actually promising that companies would hold the line on premiums.
If the Auto Insurance Industry is happy about all of the changes put forward by the Ontario Liberal government, you know that that only spells trouble for Ontario’s motorists and huge profits for Ontario’s Auto Insurance Companies.
Money, not morality, is the principle commerce of civilized nations.