Tow truck licensing responsibilities

By Canadian Underwriter | September 25, 2007 | Last updated on October 30, 2024
2 min read

The highest number of complaints the Municipal Licensing & Standards office for the City of Toronto receives is for tow trucks that bill more than the capped rate, Scott Sullivan, East office supervisor, Mobile Business Enforcement, Municipal Licensing & Standards, Investigation Services, City of Toronto, told delegates at the Annual Toronto Fraud Forum. As it stands right now, a tow truck company is not allowed to charge more than Cdn$188.00 when towing a vehicle thats been in an accident on a major highway and Cdn$166.00 for a vehicle on a city street. There are no additional charges allowed for accident tows. He warned insurance companies to keep in mind that when processing claims, tow truck costs are capped. The drivers are not allowed to charge standby time or wait outside the Collision Reporting (CRC) centre for a second tow, either. Hook up charges are not permitted from the scene of an accident and insurance companies should challenge these charges. What happens at times is a tow truck driver will tow a car to a CRC, charge for that lift, then sit around and wait to take that same car to a body shop. This is not allowed; they must leave after payment is received. In addition, a tow is not to commence until a police officer or the driver of the vehicle has authorized the tow. Complaints have been received where a driver is not seriously injured but is in the ambulance for a once over, comes out to find his/her car has been towed without authorization.

Canadian Underwriter