Ontario drivers have overpaid up to $4 billion in auto insurance, new study finds

Re: This is news?

Alright...where do I sign up for the class action for a refund....

Failing that...

I'm going to get my broker's license and get in on the raping and pillaging...
 
Re: This is news?

as dumb as the news of TP tasering a guy at the airport.

holding a briefcase of unknown contents, not listening to commands, trying to unlawfully board an aircraft, in an unauthorized area, etc.

Taze the cockroach, hurry up. End of story. No need to make this a news story.
 
Re: This is news?

Ontario Liberals are going to do jack squat. HST on $840mil is $109.2mil, that's one sweet titty to give up sucking on.
 
http://business.financialpost.com/n...o-4-billion-in-auto-insurance-new-study-finds

[h=1]Ontario drivers have overpaid up to $4 billion in auto insurance, new study finds[/h]TORONTO — Ontario drivers may have overpaid billions of dollars in insurance because a profit benchmark for the industry is set way too high by Ontario’s regulator, a new study has found.
Consumers likely overpaid by $3 to $4 billion between 2001 and 2013 — $840 million in 2013 alone — according to the Schulich School of Business study commissioned by the Ontario Trial Lawyers Association.
The study pointed to the profit benchmark set by the Financial Services Commission of Ontario at 11 per cent return on equity as being too high.
Premiums have been too high, and consumers in Ontario have been paying too much for auto insurance
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“Consequently, premiums have been too high, and consumers in Ontario have been paying too much for auto insurance,” the study authors wrote.
“There is significant room to reduce rates. The combination of a return on equity cap of 5.8 per cent, the 10-year rolling average for 2013, and a lower operating cost assumption could reduce auto insurance premiums by at least 7.9 per cent based on 2013 data.”
The cap should be no more than about 5.5 per cent, given low interest rates, the study authors concluded.
The Ontario trial lawyers called on the government to reduce the profit cap and to have the auditor general investigate auto insurance in Ontario.
The Liberal government has promised to cut auto insurance rates by an average of 15 per cent from where they were in the summer of 2013 by this August.
A spokeswoman for Finance Minister Charles Sousa said that auto insurance rates have declined by more than six per cent on average since August 2013, but his press secretary said they “look forward to reviewing the report.”
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THE CANADIAN PRESS/Frank GunnA spokeswoman for Finance Minister Charles Sousa said that auto insurance rates have declined by more than six per cent on average since August 2013.
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“Our government is always looking for ways to continue to reduce rates and fight fraud in the auto insurance system,” Kelsey Ingram wrote in a statement. But she said reviewing private companies would not be within the auditor general’s mandate.
Ontario’s opposition parties are skeptical that drivers will see that 15-per-cent cut by this summer.
“The target is only a couple of months away…so they are poised to fail miserably,” said Progressive Conservative critic Vic Fedeli.
The target is only a couple of months away…so they are poised to fail miserably
​
NDP critic Jagmeet Singh said changes in 2010 to the regulatory system resulted in cost savings for the insurance companies. This study bolsters his belief that the insurance industry is making a “significant profit,” he said.
“There is absolutely enough profit in the system as it stands for the government to make that reduction with the existing savings that the insurance industry is already enjoying,” Singh said.






 
Re: This is news?

RetroGrouch said:
Ontario Liberals are going to do jack squat. HST on $840mil is $109.2mil, that's one sweet titty to give up sucking on.
Click to expand...

Plus I'm sure their campaign is funded by the Insurance bureau.
...will not bite the hand that feeds
 
I think they're trying to emulate an amalgam of the E.I. and hydro billing model. That it looks like a police beating is purely coincidental:rolleyes:
 
Re: This is news?

Except it WASN'T TP. it was PEEL police, Pearson isn't in Toronto.

SunnY S said:
as dumb as the news of TP tasering a guy at the airport.

holding a briefcase of unknown contents, not listening to commands, trying to unlawfully board an aircraft, in an unauthorized area, etc.

Taze the cockroach, hurry up. End of story. No need to make this a news story.
Click to expand...
 
Re: This is news?

:pukeright:

They raised my insurance this year, when one ticket rolled off my record and both bikes (and me) are a year older. And last fall, they were saying that insurance was supposed to go down 15%, anyone remember that?
 
Re: This is news?

Capitalism. If you don't like it get a better paying job. Oh wait, nevermind wrong thread carry on.
 
Re: This is news?

Isn't capitalism where you have a free market and are not forced to carry liability insurance on everything?
 
Re: This is news?

Shaman said:
Isn't capitalism where you have a free market and are not forced to carry liability insurance on everything?
Click to expand...

I think so but this is Ontario where ymmv.
 
Re: This is news?

Shaman said:
:pukeright:

They raised my insurance this year, when one ticket rolled off my record and both bikes (and me) are a year older. And last fall, they were saying that insurance was supposed to go down 15%, anyone remember that?
Click to expand...


Was that right around the time when rates went up and up and then they announced the big 15% drop? I think I recall said scam.... :rolleyes:
 
I hate paying insurance as much as the next guy but...how much did companies lose on other types of insurance? Is thr auto propping up other types of insurance they have to provide?
 
Ya, claims are thru the roof. It's a script like resisting arrest. Get in the game.
 
We are being ripped off by something else that the government has mandated ... another surprise? Hardly. It's the way of life in Ontario.
 
My 500%+ increased here to serve you better trade license renewal is coming up. Send cheque to new Bay St. office.
 
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