Auto insurance task force seeks public input

August 2, 2012 - All News

Ontario’s Auto Insurance Anti-Fraud Task Force wants public comments on some potential recommendations to help fight fraud within the industry.
Announced in the 2011 Ontario Budget, the task force is mandated to make recommendations to address fraud. It was to focus on prevention, detection, investigation and enforcement, as well as regulatory practices and consumer education.
The Task Force Steering Committee includes representatives from the insurance industry, academia and the justice sector, as well as a consumer advocate.
Final recommendations are scheduled for fall 2012, but potential recommendations were identified in a recent task force update to generate public input.
Among recommendations submitted to the public for input is a proposal for health clinic regulations. The steering committee has concluded that licensing and regulation of auto insurance business practices of health clinics is “appropriate and necessary”.
Regulating the towing industry is also a recommendation being considered by the task force.
“We have heard concerns that some members of this industry may be participating in paid referrals or improper billing practices that inflate insurance costs,” the task force said in its update.
Other steps under consideration include expanding the authority of the industry regulating Financial Services Commission of Ontario (FSCO), tightening controls on the delivery of accident benefits, forcing insurance companies to disclose how preferred service providers are selected and supervised and the development of a consumer engagement and education strategy.
The full task force status report and recommendations to date can be view online at
“Auto insurance fraud is a serious issue that affects all of Ontario’s nine million drivers, so I thank the task force for its continued hard work and I look forward to receiving final recommendations in the fall,” said Finance Minister Dwight Duncan. “Our government continues to monitor and make changes to the system so that auto insurance remains affordable while providing people with optimal protection.”
Public input on the task force status report and its potential recommendations can be submitted to the Task Force by emailing
The Liberal government has targeted fraud as one of the keys to helping reduce insurance premium costs. Mississauga-Brampton South Liberal MPP Amrit Mangat has introduced a private member’s bill aimed at helping combat insurance fraud and lower industry costs associated with covering fraudulent claims. Mangat is hopeful insurance companies would pass on the those savings to consumers through lower rates.