New choices for drivers
Posted Aug 23, 2010 03:43:03 AM.
This article is more than 5 years old.
TORONTO – Millions of Ontario drivers face an array of new choices when they renew their auto insurance policies under new rules that kick in September 1st.
One key difference in the new standard policy is a 50 per cent cut in medical and rehabilitation benefits, from 100-thousand dollars to 50-thousand.
Consumers will be able to buy additional levels of coverage, but Queen’s University law professor Erik Knutsen says the changes will make an already bad system far too complex.
Knutsen says it’s touted as giving consumers more choice but in reality they will “pay more for less.”
The opposition parties say they also fear motorists will end up with higher premiums but less coverage.
However, Finance Minister Dwight Duncan says the choices will let consumers lower their premiums and dismisses claims the new system will be too confusing for consumers.
The Insurance Bureau of Canada says it will not be difficult for the average motorist to figure out the new rules, especially if they take the basic package that it says would serve most of their needs.
