Car insurance

Our expensive car insurance is back in the news.

As many Westonians know, car insurance here is rather dear. I pay about $210 a month for one car, and I’m 44, with no accidents and no tickets.

It seems a lot, and I’m not the only one to think so.

The Star says that Ontarians pay the highest premiums in the country, and we in Weston spend more than average. It’s because, the Star says, insurance rates are determined by postal code. Parm Gill, a PC member from Brampton, is looking to change that by introducing Bill 42, which will forbid “postal code discrimination”—a bill that, to my mind, rather loosely throws around ‘discrimination’.

The critics quoted in the Star were not kind. They point out that insurance is a zero-sum game: if we pay less, someone will pay more.

Ontario NDP calls for lower insurance in Ontario–and Weston in particular

When I moved to Weston, I was stunned by the increase in my car insurance, but I figured I had done something to deserve it.

It turns out, I hadn’t. The Ontario NDP called for an overhaul of the auto insurance system, and they used Weston as an example of outrageous insurance fees. Drivers here spend twice as much as those in tony neighbourhoods, for no obvious reason.

Based on the lowest quotes available, a forty-year old driver with a spotless record, driving a subcompact-car living at Weston and Jane will pay approximately $2,500 premium, while someone at Lawrence Park with the same car and driving record will pay approximately $1,150. According the insurance companies they have the exact same risk of being in an accident.

The New Democrats say they are calling for an end to the guaranteed 12% profit for insurers was negotiated in 1996 and an “all-party committee to look at a complete overhaul of the auto insurance industry in Ontario.”