Ontario auto insurance approved rates decline in first quarter

Approved rates for private passenger auto insurance declined on average by 5.01% during the first quarter of the year, the Financial Services Commission of Ontario has reported.

That figure is for the 14 insurers’ rate filings that were approved during the first three months of the year. Those insurers account for 20.22% of the market, based on premium volume, FSCO said.

Applied across the entire market, approved rates declined by an average of 1.01%, according to FSCO.

“The corresponding figures for the fourth quarter of 2013 were an average reduction of 7.27% for 38 insurer rate filings that were approved,” the regulator said.

“These insurers account for 54.89% of the market based on premium volume. The impact when applied across the entire market was a reduction of 3.98%, as reported for the fourth quarter of 2013.”

According to the Ministry of Finance, average rates decreased by 0.68% for the third quarter of 2013, and in total, approved rates have declined on average by 5.67% across the entire market since August 2013.