Reminder – Inform Yourself About the Changes to Auto Insurance in Ontario
As we blogged about earlier this year, there have been some changes to auto insurance in the province of Ontario that went into effect June 1 of this year. (Missed the post? Check it out here).
A story coming out of Hamilton last month (you can see the full story here), about a man now facing bankruptcy due to this shift in the auto insurance rules, serves as a potent reminder to fully understand what these changes mean for your specific policy and to get informed about how they might affect you and your coverage.
This unfortunate case sheds light on how the way that injuries are evaluated has changed and despite a devastating accident, the injured party’s injuries were not deemed severe enough to be placed in the catastrophic category.
The Financial Services Commission of Ontario determined that the way that a catastrophic impairment was defined had become outdated.
Changes were made to auto insurance in Ontario in an effort to lower premiums. However, and as this case reveals, cuts were needed to achieve this goal of cheaper insurance for all.
So what can you do as a driver?
You should have received notification from your insurance company or broker. All Insurance Buddy clients received a letter explaining the changes. Get in touch with your provider to ensure that you fully understand how your policy may have shifted and discuss alternatives if you are concerned about how your coverage has been affected. Any plans that were issued on or after June 1 would reflect these changes. If your auto insurance renewal is coming up, these changes will go in effect when you renew your plan, so it’s important that you get a grasp of adjustments to your policy.
An accident can really affect you and your family, emotionally and financially, so preparedness and being informed is key. You have plenty of options when it comes to increasing your coverage. You could consider increasing the limit on weekly indemnity (also referred to as Short Term Disability), especially helpful if you don’t have group benefits. This is one example of an adjustment that could be made to address the changes.
Want more information about what these changes to auto insurance in Ontario mean? Would you like to learn more about how you can customize a plan to give you the ideal coverage for your needs? Get in touch with us today and we’ll be happy to talk things through with you.
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