Two opposing Ontario politicians moved to end what they say is “discrimination” in provincial automobile insurance premiums on Monday.
Progressive Conservative MPP Parm Gill introduced a bill at Queen’s Park that would amend the Insurance Act to prevent insurance companies from charging different insurance rates based on where the driver lived.
“If passed, my bill will prohibit auto insurance companies from primarily using information related to postal codes (and the) telephone area codes of a resident to determine their level of risk in an insurance policy,” Gill told reporters. “A good driver in my great riding of Milton should pay the same rates as a good driver anywhere else in the province.”
The bill is asking the Financial Services Commission of Ontario to consider the Greater Toronto Area as a single geographical area and to eliminate a risk classification system that takes a driver’s postal code into account.
At a news conference Monday morning, New Democratic Party MPP Gurratan Singh announced his intention to introduce a similar bill that would prevent insurance companies from using geographic boundaries to determine rates.
“In the last year alone, my community of Brampton has seen premiums increase at a rate of nearly five times higher than the provincial average,” Singh told reporters. “The average Brampton driver’s annual premium are nearly $1,000 more than someone living in north Toronto. This is something we need immediate action on. People are getting discriminated on based on their municipality and this is wrong.”
Singh says that drivers in some areas of the GTA “pay significantly higher auto insurance rates than others in the same region, for no reason.”
Drivers who live in Brampton expressed frustration at their rates they pay.
“There’s nothing I can do about it,” Michelle Oloyade said. “I live in Brampton and I don’t want to move my life just because of the insurance. I don’t think we should be penalized because of other people’s poor experiences.”
Another resident said that he spends about $450 a month on car insurance in Brampton.
“It’s too much. I’m a student,” Rajbir Singh said. “I have a pretty clean driving record…but they say it doesn’t matter.”
The “Ending Discrimination in Automobile Insurance Act,” which was tabled by Gill, was carried through the first reading in the Legislature.
https://toronto.ctvnews.ca/pair-of-...uto-insurance-discrimination-in-gta-1.4134946
Progressive Conservative MPP Parm Gill introduced a bill at Queen’s Park that would amend the Insurance Act to prevent insurance companies from charging different insurance rates based on where the driver lived.
“If passed, my bill will prohibit auto insurance companies from primarily using information related to postal codes (and the) telephone area codes of a resident to determine their level of risk in an insurance policy,” Gill told reporters. “A good driver in my great riding of Milton should pay the same rates as a good driver anywhere else in the province.”
The bill is asking the Financial Services Commission of Ontario to consider the Greater Toronto Area as a single geographical area and to eliminate a risk classification system that takes a driver’s postal code into account.
At a news conference Monday morning, New Democratic Party MPP Gurratan Singh announced his intention to introduce a similar bill that would prevent insurance companies from using geographic boundaries to determine rates.
“In the last year alone, my community of Brampton has seen premiums increase at a rate of nearly five times higher than the provincial average,” Singh told reporters. “The average Brampton driver’s annual premium are nearly $1,000 more than someone living in north Toronto. This is something we need immediate action on. People are getting discriminated on based on their municipality and this is wrong.”
Singh says that drivers in some areas of the GTA “pay significantly higher auto insurance rates than others in the same region, for no reason.”
Drivers who live in Brampton expressed frustration at their rates they pay.
“There’s nothing I can do about it,” Michelle Oloyade said. “I live in Brampton and I don’t want to move my life just because of the insurance. I don’t think we should be penalized because of other people’s poor experiences.”
Another resident said that he spends about $450 a month on car insurance in Brampton.
“It’s too much. I’m a student,” Rajbir Singh said. “I have a pretty clean driving record…but they say it doesn’t matter.”
The “Ending Discrimination in Automobile Insurance Act,” which was tabled by Gill, was carried through the first reading in the Legislature.
https://toronto.ctvnews.ca/pair-of-...uto-insurance-discrimination-in-gta-1.4134946
