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WATCH: Can the Liberals bring down car insurance rates?

The finance minister says big city savings might not be the same as smaller communities

If you're one of many in the GTA who've seen their car insurance bill go up, Ontario's Finance Minister wants you to trust him.

Charles Sousa vows to reduce rates in the province by 15 per cent by August of next year.

However, that's only an average.

 Announcing the reintroduction of a bill to crack down on fraud in the auto insurance system claiming it will reduce rates, Sousa couldn't guarantee those in big cities will see a lower bill.

He notes the number of fraud cases aren't as high in rural communities, so drivers in smaller communities may actually catch a break.

As for if they'll reduce rates by 8 per cent next month as planned, Sousa has his fingers crossed.

The average rate has been reduced by 5.4 per cent over the past year. Sousa says this newly introduced legislation will help to get to next year's goal.

Tory Finance Critic Vic Fedeli wants changes made to the proposed legislation, which he thinks will actually bring rates down - pointing to improving dispute resolution.

He brushes off claims by the province that opposition stalled the bill the first time it was tabled.

NDP Consumer Services Critic Jagmeet Singh calls the high GTA rates horrible. He says car insurance companies are not transferring any savings they see onto drivers.

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  1. JD posted on 07/15/2014 08:18 PM
    OK, insurance fraud is an issue. BUT why do the Ontario government and the insurance companies make it MY problem??????? Perhaps the executives from the insurance companies can start earning their massive executive compensation!

    If insurance fraud is so much less of an issue in Alberta, can the Ontario government not learn from Alberta?????
  2. Frankie posted on 07/16/2014 09:19 AM
    Insurance fraud is a big issue here for the same reasons illegal guns are out of control here (note to Chow). The existing deterrence is ineffective. Additionally, so long as insurers can keep raising rates they don't have an incentive to reduce fraud as it's less costly to keep increasing rates than spend money fighting fraud.
  3. Angry Bill posted on 07/16/2014 09:43 AM
    The only thing I am 100% certain of, we will not get 15% lower insurance rates. Hell, we won't even get 1% lower insurance rates. In fact, our rates, as always, will go no where but up. Any "15%" savings that the fiberal government CLAIMS that we saved will just be creative number juggling.

    The insurance companies and the government are in bed with each other. They both have the same goal, to fleece the public as much as they can.

    Quick question for anyone who's kept records.. since this 15% reduction was announced, can you report here what your rates were before that? Just after that? How about right now? Have your rates indeed gone up for no discernible reason, and if so, by how much?
    1. Brian H posted on 07/16/2014 10:51 PM
      @Angry Bill My August renewal is down by 8% from last year. Most of my neighbours have seen decreases as well. Of course, none of us live in the GTA which is where the problems seem to be.
  4. frederick posted on 07/16/2014 10:09 AM
    If only folks in the media had the foggiest notion of how gov. works, no one would be phrasing the question this way. In the first Wynne budget, budget notes indicated that questionable auto damage claims were significantly higher than elsewhere. Hence, an anti-fraud effort would cut this waste and lower rates.

    When will the media learn? Gov. places its biggest scandals in plain sight where the media misses them every time.
  5. john posted on 07/16/2014 11:10 AM
    guys let be clear about one thing . the ONLY insurance fraud is when the insurance company makes it that way . yes people thay bring it on themselves . thay raise the rates and give a tone of lame ass excuses why thay did it . my dad``s insurance rate when up not to long ago he has never had a accident in 30 years and there lame ass excuse was about the fighting in the middle east . that's is going on millions of miles away form us and thay are using that as excuse ? that makes no sense to me . as for the insurance cut . i find it hard to bleave they will do it . unless they put in a law that stops them form raising the rates BEFORE thay lower them then i will bleave them till then there are just of shit like thay all are . cause i hear when the last one thay did that . thay raised the price up %30 and when it come into law thay lowered that by half .
    1. john's mommy / sister posted on 07/17/2014 04:55 AM
      @john Stop lying ... or at least pretend you're trying to say something intelligent.

      Your uncle / daddy and I are very sorry you're so stupid.

      It's all our fault for getting into bed together when we were 15.
  6. Technically posted on 07/16/2014 12:01 PM
    Technically, the Wynne government will bring down auto insurance rates; when everyone is too poor to own a car because the Liberals have killed private sector employment in Ontario, there'll be no reason for them to buy auto insurance.
    1. Angry Bill posted on 07/16/2014 02:18 PM
      @Technically Oh, people will own a car. It'll be a 15 year old jalopy, but the insurance companies will charge you a premium as if it were a Ferrari.
  7. Fact Checker posted on 07/17/2014 05:05 AM
    The simple fact is this. Move away from Hog Town and area (GTA) and you'll save money on just about all kinds of insurance.
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