Auto Insurance: Geographic Discrimination in Ontario

Car insurance rates vary from city to city in Ontario. In Brampton, for example, a motorist pays $3,350 a year, while a London resident pays $1,200 a year for the same vehicle.

This phenomenon, potentially discriminatory according to the latest report from the provincial auditor, is being criticized in Brampton.

The prices are ridiculousberated one motorist, while another denounced an injustice, explaining that he had never had any accidents or made a claim with his insurance company. We have the impression of being manipulated by these priceshe growls.

In his annual report, the auditor general is asking the Financial Services Regulatory Agency of Ontario to consider banning insurance companies from changing their premiums based on residency.

For his part, the director of insurance comparison company RATEDOTCA, John Shmuel, believes that the zip code is a relevant factor for insurance companies.

According to him, it is a good indicator of the probability of raising a claim, especially due to the proximity of the highways, where accidents are more common, as well as the number of car thefts in the area.

While auto insurance is more expensive in Ontario than in the other provinces in the country, Premier Doug Ford promised last June to end this differential practice.

With information from Yanick Lepage

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