It has just been announced that the government of Ontario has approved the use of electronic proof of car insurance (EPAI) for drivers in the province. This went into effect September 5^th, 2019.

The next year will be a phase-in period, during which time auto insurance providers will provide the paper versions of the documentation and electronic copies to any drivers that request that option.

For any drivers that are wary of any potential security concerns of having this kind of sensitive information available electronically, these new e-slips have been designed with protection in mind, including safeguards such as the inability to alter the slip, and no features that would allow for geo-location tracking or for the use or disclosure of any personal data without explicit consent.

What is a pink slip?

For any new drivers or anyone new to car insurance in Ontario, the pink slip is a MUST. It must be in your car while you are driving as proof that you have indeed insured that car to at least the minimum requirements of the law (see our post on what is mandatory for car insurance in Ontario). If you ever make any adjustments to your car insurance coverage, you must carry an updated pink slip. If you were to lose your pink slip, you must get in touch with your insurance provider right away to get a new one.

What does this decision mean for drivers in Ontario?

In addition to providing a more convenient option for drivers in Ontario to provide proof of their vehicle’s insurance, this move could also suggest a shift in the insurance industry towards more technologically advanced and user friendly models. The Ontario government polled its constituents earlier this year, looking to understand what factors would make car insurance more affordable and convenient for drivers in the province. 68% of those polled stated that they want insurance providers to offer more digital and online tools (source: Canadian Underwriter). Another study undertaken by the Insurance Bureau of Canada found that 74% of drivers in Ontario wanted to receive their insurance documents electronically or online (source: Insurance Business Canada) 

If you have any questions at all about the new EPAI or any questions related to auto insurance in Ontario, reach out to our team of insurance professionals. Looking for a quote on insuring your vehicle? Head over here.

Resources referenced for this post:

• Ontario approves electronic proof of auto insurance – Canadian Underwriter
• Industry overwhelmingly supports Ontario’s approval of electronic auto insurance proof – Insurance Business Canada

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