Ontario Introduces Auto Insurance Reforms - Fair Auto Insurance Plan

On December 5, 2017, the Ontario government announced plans to introduce significant reforms to the province's auto insurance system in order to achieve their goal to reduce auto insurance premiums.  The Fair Auto Insurance Plan is based on recommendations made by David Marshall, Ontario's advisor on auto insurance in his April 2017 Report, Fair Benefits, Fairly Delivered; a review of the auto insurance system in Ontario.   Government's proposed changes are aimed at improving the care received by people hurt in collisions, reducing disputes around diagnosis and treatment -- and promoting innovation, competition and other steps to improve consumer protection.

Key elements of the new Plan include:

  • Implementing standard treatment plans for common collision injuries such as sprains, strains and whiplash to help people receive the treatment they need after an accident, changing the emphasis from cash payouts to ensuring appropriate care for victims 

  • Reducing diagnosis and treatment disputes between insurance companies and people injured in collisions by instituting independent examination centres to assess more serious auto collision injuries

  • Cracking down on fraud by launching the province's first Serious Fraud Office in spring 2018. The office will use an integrated and dedicated approach to combat serious fraud, with a focus on auto insurance fraud, which has been identified as one of the factors contributing to higher premiums

  • Directing the Financial Services Commission of Ontario (FSCO) to review risk factors used by insurers to calculate premiums with the goal of ensuring drivers in certain parts of the province are not subject to unfairly high rates

  • Ensuring that lawyers' contingency fees are fair, reasonable and more transparent

The province will establish a panel to guide the enactment of reforms contained in the Fair Auto Insurance Plan.

Details are limited at present.  View more information in the Government's Press Release.

Learn more about How Auto Insurance Works in Ontario.

Implications for Occupational Therapists

Occupational Therapists working in the auto insurance system will wish to monitor and be aware of changes to the system that may impact their practice or the benefits and services to which their clients have access.  OSOT will be meeting with the Ministry of Finance early in the new year to ensure that occupational therapy perspectives are engaged in implementation plans.  Reforms relating to the development of independent assessment centres will be of concern to those involved in independent evaluations.  As more information is made available, OSOT will communicate details to members promptly.

View OSOT's response to the Marshall Report, Fair Benefits, Fairly Delivered.  This lends perspective to the positions the Society has taken on key reform elements with an eye to ensuring that Ontarians injured in motor vehicle accidents have access to as much benefit support as possible.  OSOT also participates in a Coalition of Health Professional Associations in Ontario's Automobile Insurance System.  View the Coalition's response to the Marshall Report.