Claims

A car crashes in Ontario: Why Canadian auto insurers pay attention

People love to visit Ontario. Unfortunately, some of them get into car accidents. Why should a visitor’s auto insurer care about accidents in Ontario? Because when a non-resident is involved in an auto accident in the province, their insurers will likely have to pay Ontario accident benefits – even if their policies don’t contain any […]

By Phil | April 13, 2022

3 min read

Claims

‘Professional activities’ exclusions: Why insurers must almost always defend

Quebec’s Superior Court notes an insurer will almost always have a duty to defend an insured in disputes over policy exclusions for “professional activities.” “A review of the case law dealing with exclusion for ‘professional activities’ reveals that, in almost all cases, the decision on the application of the exclusion required proof on the merits,” […]

By David Gambrill | April 13, 2022

2 min read

Claims

Does federal budget create new tax liability for P&C industry?

A federal budget proposal to forbid insurers from using a contractual service margin as a deductible reserve for tax purposes could impose a one-time tax liability on the industry. International Financial Reporting Standard 17 (IFRS 17) will “substantially change the financial reporting for Canadian insurers” as of Jan. 1, 2023, the finance department said in […]

By Phil | April 12, 2022

3 min read

Claims

More than eight in 10 Canadians admit they drive distracted

Eighty-three per cent of Canadian drivers engage in at least one distracted driving behaviour, and this has only increased in the past year, finds a recent survey. But distracted driving doesn’t come without its costs. Non-digital distractions lead the survey results, with 67% of respondents reporting they eat or drink water/coffee while driving. Fifty-eight […]

By Alyssa DiSabatino | April 11, 2022

2 min read

How to lie to your auto insurer and not repay your benefits

A claimant who lied to TD Insurance about an acquaintance being present with her in a car crash so that her acquaintance could collect accident benefits does not have to repay her own benefits because of the misrepresentation, Ontario’s License Appeal Tribunal has ruled. That’s because Destiny Homanchuk, a claimant involved in the crash, did […]

3 min read

How auto could be the force that eats into Canadian insurers’ results

With ROE levels in the Canadian P&C industry at a historic high of 17%, count Lloyds Canada among the list of insurance providers that caution the industry not to squander the hard-won gains of the hard market in a bid to drop rates and gain market share. Lloyds is promoting the need for insurers to […]

3 min read

What Canadians can expect of future hurricane seasons

Atlantic Canadians can expect to see more and increasingly intense hurricanes, as sea surface temperatures continue to warm up as a result of climate change. “Warmer sea surface temperatures fuel stronger hurricanes,” Swiss Re Canada CEO Monica Ningen observed during the 36th annual Swiss Re Canadian Insurance Update breakfast, held virtually on Tuesday. “So the […]

3 min read

Will faster highway speeds lead to more claims?

Starting Apr. 22, Ontario drivers will be able to take six sections of highway, primarily in the southern part of the province, at 110 km/h. Highway segments where speeds will permanently rise from 100 km/h to 110 km/h are: “Both the operating speeds and collision trends within these sections have remained comparable to other similar […]

By Phil | April 7, 2022

3 min read

P&C industry’s input on coastal protection

Nova Scotia community and industry stakeholders have shared their input on the Coastal Protection Act, and an Insurance Bureau of Canada representative says the financial case for supporting the act is clear. Passed in 2019, the legislation aims to restrict development in places where Nova Scotian homes and businesses may be at risk from coastal […]

2 min read

Why these four P&C rating factors may be racially biased

Four commonly used rating factors in personal lines insurance — credit-based insurance scores, geographic location, homeownership, and motor vehicle records — may be affected by racially biased policies and practices, a new research paper finds. Research by the Casualty Actuarial Society (CAS) Race and Insurance Research Task Force looks to address racial bias in insurance […]

4 min read