Toronto, Ontario -- November 24, 2014
The Insurance Bureau of Canada (IBC) has expressed their support of the recent passing of Bill 15 ”the Fighting Fraud and Reducing Automobile Insurance Rates Act” in the Ontario legislature.
"It's a great step and strikes a blow at those in the car accident business who have wrongly profited from the current auto insurance product," says Ralph Palumbo, Vice President, Ontario, IBC.
Bill 15 provides the basis for:
- Establishing a more efficient and effective dispute resolution system
- Continuing the right of claimants and insurers to appeal decisions to the courts
- Continuing the right of claimants to pursue tort claims in court
- Reducing the prejudgment interest that can be awarded for non-economic losses to reflect current interest rates
- Reducing fraud and abuse in the towing and vehicle storage industries.
Auto insurance in Ontario is far too expensive, he says. We realize the financial hardship it can create for vehicle owners, particularly young people and those in northern and remote communities.
"Now we have an opportunity to begin fixing the system once and for all, Palumbo adds.
The Bill still requires Royal Assent to become law. Certain provisions of the Bill will not be in effect until proclaimed by the Ontario government.
To read Bill 15 in full, please visit Ontla.on.ca.