Report says Ontarians are overpaying for car insurance while insurers rake in the profits
Do you feel like you overpay for your car insurance?
A new report says you probably do and the numbers are pretty shocking.
This report, detailed in the Toronto Star, says drivers in Ontario overpaid by between $7.6 billion and $12.7 billion from 2001 to 2018.
It says that between 2016 and 2018 the top 10 insurers earned higher profits in this province than in all of their other Canadian business combined.
The report, was written by York University economist Fred Lazar for the Ontario Trial Lawyers Association.
Lazar says the reason you're paying so much is because of lax provincial government oversight.
A spokesperson for the Insurance Bureau of Canada disagrees.
Pete Karageorgos tells the Star the higher premiums come from inefficiencies in regulation, tribunal hearings and medical assessments in the claims process.
Still, the report says average premiums per vehicle climbed 2.4 percent from 2010 to 2018.
Average claims per vehicle dropped 10 percent.