A pair of private member’s bills was introduced this week and it is intended to bring an end to the practice of auto insurance companies using a person’s postal code or phone number to set premiums.
The legislator from the ruling PC government Parm Gill, from Milton says the practice means drivers Peel Region and other municipalities outside Toronto are saddled with higher rates than people in other areas of the province.
Gill says his bill would ensure drivers are evaluated based on their driving record and not where they live.
NDP legislator Gurratan Singh says his bill, if passed, would require the Financial Services Commission of Ontario to refuse to approve risk classification systems that don’t consider the GTA as a single geographic region.
Singh says his bill would result in lower insurance rates for GTA drivers.
Last year, Kanetix.ca’s released 2017’s Most Expensive Cities for Auto Insurance in Ontario.
It concluded that drivers living and driving anywhere in the Greater Toronto Area (GTA), are paying a lot for auto insurance coverage. Provincially, the average comes in at about $1,316, yet many cities in the GTA exceed the provincial average.
The most expensive cities for auto insurance (estimated premium) in Ontario are:
• Brampton – $2,268
• Vaughan – $1,825
• Mississauga – $1,788
• Markham – $1,785
• Toronto – $1,743
Premiums in Richmond Hill, Ajax, Hamilton, Pickering, and Whitby also exceed the provincial average.
There are 22 neighbourhoods in Toronto where residents likely pay $2,000 or more; and, some of the most expensive premiums are found in parts of Scarborough. -CINEWS