As auto rates are about to go up, in some areas to almost 30 percent, the Ontario government says that any increase is still lower than the rates that were in place when the Liberals took office.
However, in the Greater Toronto Area (GTA) the average increase will be much higher – about 14 percent according to calculations made by the Toronto Star. And depending on where you live in the GTA, the rates could be as high as 30 percent.
The cost driver in Ontario and more so in the GTA is accident benefit costs said Leonard Sharman of Co-operators General Insurance Co. in a story published in the Toronto Star.
“Things like assessments, medical rehabilitation, physiotherapy costs, etc. have been increasing pretty dramatically, and this is most pronounced in the GTA,” he said.
Finance Minister Dwight Duncan is expected to announce changes to auto insurance polices within weeks, which insurers hope will help control cost increases.
Spokesperson for Duncan, Alicia Johnston said they want to make sure auto insurance remains affordable. “Overall, even with the increases, consumers will be paying 2 % less than they did six years ago when we took office.”