What Ontario's major political parties are promising for auto insurance rates

Ontarians pay the second highest auto insurance premiums in Canada, according todata from the General Insurance Statistical Agency.The average yearly insurance payment in 2018 was $1,505, behindonly British Columbia at $1,832 and that province has since taken steps to lower costs significantly.

The punishing cost of auto insurance is a perennial campaign issue in Ontario, with seemingly every general election bringing lofty commitments to make coverage more affordable. With life becoming more expensive on all fronts, the issue is particularly urgentthis time around.

So it's not surprising some of the major political parties are promising ambitioussteps to lower the cost of your car insurance.

Here's a look atwhat they're pledging to do.

Progressive Conservatives

The government launched a plan to reformthe auto insurance business in 2019, calledPutting Drivers First: A Blueprint for Ontario's Auto Insurance System.

The Progressive Conservatives are touting their record under that plan, saying they were able toincreasethe types ofauto insurance available,as well as allowelectronic proof of insurance.

But the party has committed to do more if it forms government again after the June 2 vote.

First, it wants to continue to boost thenumberof auto insurance options available but it's not very specific about what it will do or how it will do it.

"The current mandatory insurance product may not offer the choices Ontario drivers deserve," the PC's pre-election budget reads. "This is why the government intends to propose changes that over time would provide consumers with more options when purchasing automobile insurance."

Cracking down on insurance fraud the prevalence of which is often cited as a majorfactor in Ontario's high premiums wouldalso be a priority, PCs say. The party says it would pass legislation to make it mandatory for insurance companies to provide the province's financial services watchdog, theFinancial Services Regulatory Authority (FSRA), with fraud data and information.

The PCs also say that under their government, theFSRAbegan work to reformhow auto insurance rates are formulated.

"As part of the new strategy, FSRA will be developing a new framework for ensuring fairness in rates that would replace outdated guidance," the budget says.

That includes potentially changing differences in rates between cities and regions, according to the document.

A PC government would alsoreview the requirement that workersaccess benefits through their employer before making a claim with their insurance provider.

"The government will review how drivers access benefits when extended health-care plans are involved to ensure the system remains modern and works well for accident victims when they need it most," the budget says.

NDP

The New Democrats arepledging to reduce the cost of auto insurance, and significantly.

Leader Andrea Horwath says the party would lower rates by 40 per cent within two yearsand banall rateincreases for 18 months.

The party says it would use that time to have a commission explorea different system for auto insurance, including a public system overseen by the province.

"Ontario drivers pay some of the highest insurance premiums in Canada, and rates are climbing again. For many families this is a crushing cost," the NDP platform says.

"For years, Liberal and Conservative governments have allowed auto insurance rates to climb and have ignored basic issues of fairness. In communities like Brampton, a driver will pay premiums nearly twice as high as a driver with the same driving record in other parts of the GTA. That's not fair."

The party wants to ban "postal code discrimination," meaning drivers would not have to pay higher auto insurance premiums because of where they live.

The party also says it will "explore every avenue possible" to lower the cost of insurance and improve service in the industry, but doesn't say what that wouldinvolve.

The platform alsosays the NDP will"put drivers first" at the FSRA, but doesn't elaborate.

Liberals

Right now, the Liberal platform does notmentionauto insurance premiums or any plan to reform the auto insurance industry.

Leader Steven Del Duca has commented on the issue, saying on the campaign trail that a Liberal government would "continue to look for ways to make auto insurance accessible and affordable and fair for people regardless of where they live in this province."

CBC News has reached out to the party for further details.

Green Party

The Greensdo not explicitly mention auto insurance in their platform.

In an email to CBC News, a party spokesperson said the Greens are opposed to "any policies that will increase fossil fuel consumption from cars."

Instead, the party is focusing on making electric vehicles and public transportation more accessible and affordable, the spokesperson said.

Looking for more details about the platforms of the four major parties in this June's Ontario election?Head to this story where you can read the platforms for youself.

You can also useVote Compassto compare your political views to those of the major parties.