Car Insurance Reform 2016 – What does this mean to Car Insurance Clients?
To help stabilize car insurance rates, The Ontario Government has implemented changes to auto insurance. Several measures are aimed at reducing fraud and abuse of the system which increase premiums for car insurance clients across Ontario. Another round of changes take effect on June 1st, 2016.
What does this mean for car insurance clients?
Does this mean cheap car insurance for everyone? – Unfortunately, that is not the case. In this round of changes, the result is that many insurance companies are taking average car insurance rate reductions in the range of -2% to -5%. This is a step towards trying to keep insurance premiums affordable for car insurance customers in Ontario. It does not mean that every client will see a reduction – there are many factors that go in to each client’s rate, but it does mean that there is an overall reduction in the average cost of standard car insurance in Ontario. With this reform however, comes a change in the standard level of coverage. It could result in a lower level of standard coverage available to you in the event of a car accident. If the standard coverages fit your requirements, and it reduces your car insurance premium on renewal – then great! If it results in you having an inadequate level of coverage when you need it most – not so great! You do have options to buy up, and customize your auto insurance to fit your needs. You need to take responsibility for your protection and that of your family. Each person is unique and so are their insurance needs. To help you navigate these changes and decide on the best protection for your security, rely on your insurance experts at Rhodes & Williams Insurance Brokers. We work for you and we are here to help – all you have to do is call and ask.
Some Lifestyle Questions to consider when deciding if you need to increase from standard car insurance coverage:
- Do you make more than $30,000?
Consider increasing your Income Replacement Benefit to $600, $800, or $1000
- Are there people in your life who depend on you financially or for care (children, elderly or disabled)?
Consider extending your Caregiver Benefit and/or adding a Dependent Care Benefit.
- Does your Employer provide a group Insurance Plan?
Talk to your administrator to find out what you’re covered for and consider increasing your Medical Rehabilitation Benefit. Most benefit packages are limited to $500 a year per practitioner and OHIP doesn’t cover things like occupational therapy, private nursing and psychology.
Car insurance coverage can be confusing! Your licensed Rhodes & Williams Insurance Broker will explain important details, review costs of increasing coverage and help you make an informed decision. We can help you shop the market to find the right coverage based on your lifestyle.
Review more detailed information at www.accident-benefits.tips , and let us know how we can help.