Loading articles...

Motion passes to slash Ontario car insurance rates

Queen’s Park has passed an NDP motion to lower auto insurance rates.

The Liberals backed MPP Jagmeet Singh’s motion on Wednesday, thereby securing NDP leader Andrea Horwarth’s support of the budget next month.

“Passing this motion is a positive sign, but we’re going to keep up the pressure until we see real results for Ontario families,” Singh said in a release.

“In their upcoming budget, the Liberal government needs to make life more affordable for Ontarians by ensuring real rate reductions over the next year.”

The NDP says despite changes to industry in 2010 which have saved auto insurance companies $2 billion a year, rates have gone up five per cent.

“We’re hearing lots of positive talk, but now the rubber has to hit the road,” Horwath said.

“Insurance companies have seen their costs reduced. Now it’s time to give the Financial Services Commission a mandate to lower rates by 15 per cent over the next year.”

The NDP says Ontario has some of the lowest rates of accidental death and injury in the country, but also the highest premiums.

It’s estimated a 15-per-cent cut would save the average driver $226 a year.