Car insurance costs dropping, but so are benefits: Mayers

The cost of car insurance in Ontario has dropped this year, but to help pay for that you’re getting less coverage as of June 1 if you have an accident.

It’s the tradeoff the Ontario Liberal’s have made as part of their unfulfilled promise to push auto insurance rates down by 15 per cent. In order to pay for lower premiums, insurers are being allowed to reduce the maximum paid for accidents.

We get a little by giving a little.

The Liberals made the auto-insurance promise two years ago when they were hanging on to a shaky minority government. They said they would meet their target by August 2015, giving relief to Ontario drivers, who pay the most in Canada to insure their cars. That deadline came and went nine months ago. As of this month, we’re two-thirds of the way there, at the 10 per cent mark.

The Liberals get credit for legislation that may help them eventually reach the goal. They’ve cracked down on insurance fraud and accelerated the process to settle disputed accident claims. There is more oversight of clinics that offer rehab services.

vist:https://www.thestar.com/business/personal_finance/2016/05/09/as-car-insurance-costs-drop-benefits-being-cut-mayers.html