Ontario Insurance Act is Preventing Insurers from Running Digital Business
March 23, 2018 (PRLEAP.COM) Business NewsThe insurance bureau of Canada (IBC) said on Monday that Ontario's Insurance Act is preventing the province's insurance companies from using digital and mobile platforms to interact with customers.
The IBC has previously been critical of Ontario's lack of action on introducing electronic proof of auto insurance. Speaking this week, Steve Kee, IBC director of media and digital communications noted 15 sections of the Ontario Insurance Act which are prohibitive for insurance companies trying to use digital methods to work with customers.
"The Act and regulations require communications using mail, registered mail, delivery or personal delivery – 19th century communications with 21st century customers," he said.
Specifically, Kee pointed to the following sections of the Act and regulations:
Kee says the above sections are outdates, featuring antiquated communications methods.
For example, Section 134(3) of the Act says: "Where a cheque, bill of exchange or promissory note is given, whether originally or by way of renewal, for the whole or part of any premium and the cheque, bill of exchange or promissory note is not honoured according to its tenor, the insurer may terminate the contract forthwith by giving written notice by registered mail."
Part of Section 12 of Reg. 777/93 says that "written notice may be given to the insured named in this contract by letter personally delivered to the insured or by registered mail addressed to the insured at the insured's latest post office address as notified to the insurer."
Shop Insurance Canada is a subsidiary of RDA Insurance, a major Ontario based insurance provider with a stable of online outlets that includes Shop Insurance Canada family sites. The company has two goals, to give you the very best insurance policy possible and to help you save money when looking for coverage.
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