Ontario auto insurance industry fundamentally broken
A fascinating, incendiary new report prepared by the Ontario Trial Lawyers Association (OTLA) suggests that the auto insurance in Canada’s largest province is in deep need of reform.
The Ontario Trial Lawyers Association (OTLA) hired two York University Schulich School of Business Professors, Fred Lazar and Eli Prisman, to study the auto insurance industry in Ontario. The results of that study are revealing. The main suggestion is that consumers in Ontario “likely” overpaid their policies by a mighty $1.5 billion over the last two years. As a result the OTLA is calling on the Ontario Auditor General to conduct an independent review of the auto insurance sector in the province.
“Clearly Ontario’s auto insurance system is in deep trouble,” said Maia Bent, President of OTLA. “Not only are drivers paying through the nose, but the policy is not worth the paper it’s written on. Victims are being seriously hurt and it’s about to get even worse when further reductions are implemented. It is not an exaggeration to say that we are fast approaching a crisis for accident victims.”