Regulation - LGIC
Proposed Amendments to Insurance Act Regulation 664 (Automobile Insurance)
Regulation Number(s):
O. Reg. 664 (Automobile Insurance)
Instrument Type:
Regulation - LGIC
Bill or Act:
Insurance Act
Summary of Decision:
Amendments to Ontario Regulation 664 (Automobile Insurance) have been approved.
Further Information:
O. Reg. 664 (Automobile Insurance)
Insurance Act
Ontario Regulation 222/15
Ontario Regulation 250/15
O. Reg. 664
Proposal Number:
15-MOF013
Posting Date:
May 14, 2015
Summary of Proposal:
Further to the 2015 Ontario Budget commitment to increase consumer protection and help reduce auto insurance costs, amendments to Insurance Act Regulation 664 (Automobile Insurance) will be proposed to:
• Lower the maximum interest rate charged on monthly auto insurance premium payments to 1.3 per cent from three per cent for 12 month policies, with proportional changes to other terms;
• Change the standard deductible for comprehensive coverage to $500 from $300;
• Require that all insurers offer a discount for the use of winter tires; and
• Prohibit premium increases for minor at-fault collisions that meet certain criteria, which may include:
- No charges are laid against at-fault driver;
- Property damage does not exceed $2,000 and the cost of damages is paid by the at-fault driver;
- No personal injuries; and
- No claim was made to the insurer.
• Lower the maximum interest rate charged on monthly auto insurance premium payments to 1.3 per cent from three per cent for 12 month policies, with proportional changes to other terms;
• Change the standard deductible for comprehensive coverage to $500 from $300;
• Require that all insurers offer a discount for the use of winter tires; and
• Prohibit premium increases for minor at-fault collisions that meet certain criteria, which may include:
- No charges are laid against at-fault driver;
- Property damage does not exceed $2,000 and the cost of damages is paid by the at-fault driver;
- No personal injuries; and
- No claim was made to the insurer.
Contact Address:
Insurance Policy Unit
Financial Institutions Policy Branch
Ministry of Finance
95 Grosvenor Street
Frost Building North, 4th Floor
Toronto, Ontario
M7A 1Z1
Financial Institutions Policy Branch
Ministry of Finance
95 Grosvenor Street
Frost Building North, 4th Floor
Toronto, Ontario
M7A 1Z1
Effective Date:
January 1, 2016
Decision:
Approved