By: Luke Jones, Published on August 10, 2018 07:34 AM, Last Update on August 10, 2018 04:35 AM
During the Ontario elections this year, most running parties used auto insurance to entice votes, with all promising reforms. The second most expensive car insurance market in Canada, Ontarians pay over $1,400 on average each year for their coverage. Since being elected the Progressive Conservative Party has been silent on its plans, but one insurance CEO is not concerned.
Charles Brindamour, CEO of Intact Insurance, Canada’s largest property and casualty (P&C) insurer, says he knows the history of the PCC and is not worried no information has been forwarded yet.
“In dialogue over the years with the party in power in Ontario, they have been very receptive to the notion that automobile insurance is very, very competitive, and that making changes to the approval process to unleash competitive forces to a greater extent is seen as a good thing,” Brindamour offered in a recent conference call discussing the company’s 2018 Q2 results.
While the industry waits to see what the government will want to change, Brindamour is interested in seeing more pricing reforms introduced. Insurance companies in Ontario must seek approval from the Financial Services Commission of Ontario (FSCO) before adjusting the rates of their premiums. Any rate change can be approved or denied.
“This is an area where I am hoping we will, in the context of the Ontario marketplace, have a more dynamic pricing environment,” said Brindamour. “That would be good for consumers in the long run, and I think the party in power certainly gets that.”