Update: see previous posts – October 23, 2010 Uninsured Vehicles Project (Ontario) November, 2010, August 22, 2010 Auto Insurance Rules Change September 1, 2010 (Ontario), November 13, 2009 Home Insurance Skyrockets in Ontario, November 5, 2009 Liberals Take Care of Ontario’s Auto Insurance Companies, October 5, 2009 Ontario Liberals Support Auto Insurance Profits, July 19, 2009 Insurance Rates Skyrocket in Ontario, June 11, 2009 Insurance Companies exercise discrimination due to “perceived genetic risks”, May 18, 2009 Ontario Auto Insurance – Reducing Accident Benefits from 100 to 25 Thousand Dollars.
McGuinty’s Brother Liberal Premier of British Columbia, Gordan Campbell, has apparently been questioning his ability to lead the Province (given the anger that the people of BC have demonstrated over the dreaded Hated Sales Tax or HST) as its Premier and depending on his decision (and that of his party) he may resign.
McGuinty is still very comfortable bringing in a new tax (the Hated Sales Tax) during one of the worst economies the Province has ever experienced in modern times.
Everything increases, Hated Sales Tax (H.S.T) auto insurance, food, electricity, heat and hydro bills, fuel (gasoline, diesel fuel, home heaing oil and even natural gas), etc., have all become a lot more expensive – and the list keeps on growing and now, home insurance.
McGuinty and his Liberal Finance Minister, Dwight Duncan appear to have no problem with the average Ontario family having to spend more than ever to live and bring up a family in this Province.
see the story in the Star
The President of the the Insurance Brokers Association of Ontario, Mr. Bryan Yetman is calling on the McGuinty Government to prevent Home Insurers from denying coverage or charging higher insurance premiums to consumers with poor credit scores.
Yetman is suggesting that the utilization of credit scores affects those who can least afford it and that the consumers the most affected by this practice of Insurance Companies is newcomers to Canada, single income families and small business owners with lines of credit.
“This is a kick-them-while-they’re-down kind of approach,” he said later, calling the use of credit scores for home insurance “unfair, and not in the best interest of consumers.”
Ontario has prohibited the use of credit scores for the cost of automobile insurance going back five (5) years; but not so for home insurance. The Insurance Brokers Association of Ontario says about half of the biggest insurance companies are using “credit scores” rather than risk assessment to set home insurance premiums or in some cases, to simply deny any home insurance coverage.
“Ontario needs to follow the lead of New Brunswick and Newfoundland, stand behind its own precedent set in auto insurance and ban the use of credit scoring entirely from home and other personal property insurance,” Yetman argued.
Ontario Liberal Finance Minister Dwight Duncan made the following comment in response to this controversy: “I say to the brokers from across Ontario, we’ll work with you and your industry to ensure that our insurance products are comprehensive, they’re good products, the price increases are modest and they serve all Ontarians well, including the industry itself,” he said.
Your right Mr. Duncan, the Insurance Industry (which includes the banks) serves the industry (itself) very well.
The Ontario government has allowed Private Insurance Companies to gouge consumers with respect to Auto Insurance and Home Insurance and helped these insurance companies greatly improve their profit margins.
Update: November 4, 2010 – B.C. Premier Campbell stepping down. It’s official, yesterday the Premier of British Columbia, Gordan Campbell, announced he will be stepping down as the leader of the Provincial Liberal Party and has asked that the party immediately convene a leadership convention this month to elect a new leader.