Auto insurance companies have reason to shun Brampton business

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Pradip Rodrigues

Last week news broke that one Medha Joshi who worked at Allstate Insurance Canada filed a case against the company alleging she was fired for pushing back on the company’s “discriminatory” effort to stop selling plans to drivers who live in Brampton.

She alleges the company was actively trying to rid itself of business coming out of Brampton because of its unusually high rate of fraudulent claims.

I have spoken with South Asians working at several home and auto insurance companies over the years and they have all acknowledged that fraud occurs in Brampton on a scale that is hard to ignore.

If there was a legal way insurance companies could opt out of offering insurance policies to Bramptonians, you can be quite sure that most companies would gladly take it.

In the lawsuit Ms. Joshi alleges that Allstate directive targeted a visible minority.

Insurance companies operating in Ontario follow what is known as “the all-comers rule.” If an applicant meets a set of criteria laid out by providers and approved by FISCO, they cannot be denied insurance, regardless of where they live or their ethnic background.

Brampton drivers pay among the highest insurance rates in north America and that has nothing to do with racism it is rather a result of fraud. It so happens that a large number of fraudulent claims happen to be coming from South Asian policy holders in Brampton.

And as a result of this, insurance companies are now forced to raise premiums for drivers living in Brampton.

Before you know it, Allstate and other insurance companies may find themselves in court defending themselves against numerous lawsuits from opportunistic lawyers and individuals who think an out-of-court settlement will bring in some cash. It won’t be long before a case is brought before the Ontario Human Rights Commission. First you have insurance companies being hit by a wave of fraudulent claims that cost them millions of dollars each year, then when they fight back with the limited tools, they have to protect their bottom lines they end up being sued. The problem is that few scamsters have ever been arrested. Many policy holders believe that faking an injury in order to file a fraudulent claim is a victimless crime.

There are dozens upon dozens of auto body shops, physiotherapists, RMTs and lawyers that make a living by bilking insurance companies. Ask your insurance company for a list of blacklisted physiotherapists and auto body shops in the GTA and look at the names of the individuals involved. That will clue you in as to the communities that are often taking auto insurance companies to the cleaners. Of course, when insurance companies decide to fight back, they are accused of racism.

Why bother with visitor visas when there is an easier way?

Recently I met a South Asian family who went across the border to meet with friends from India who were touring the US and would have also come up to Canada had they not been denied visitor visas despite showing all the necessary documents. It is a fact that getting a US visitor visa is a lot easier than getting a Canadian one.

This explains why so many Nigerians among other nationalities are walking across the border from the US after having gotten American visitor visas.

The South Asian I was talking to has started jokingly saying to anyone from India planning to visit Canada not to bother applying for a visa. “I tell them to get a US visa instead and then walk across the border and claim asylum. That way they can be put up in a hotel in Toronto, finish off their visit and then go back to the US through a legal border crossing as they had valid American visas,” he said. -CINEWS

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