It appears the Liberals are taking yet another detour on the road to reducing auto insurance rates.
Despite a pledge made by the provincial government three years ago to cut auto insurance premiums, new figures show rates are on the rise.
The Financial Services Commission of Ontario has reported approved rates in the third quarter of 2016 increased by an average of 1.5 per cent.
Back in 2013, Premier Kathleen Wynne vowed to reduce auto insurance premiums an average of 15 per cent by August 2015.
The promise was part of a deal to get N-D-P support when the Liberals were still a minority government, and NDP leader Andrea Horwath describes what has happened since as “a betrayal.”
She feels the province is prioritizing the interests of insurance companies over those of Ontario drivers.
The latest increase knocks the Liberals down to little over halfway to reaching their 15 per cent reduction target, but Finance Minister Charles Sousa is defending the progress they’ve made so far.
He said the government has reduced the maximum interest rate that an insurer can charge for monthly auto premium payments, and prohibited minor at-fault accidents from increasing premiums.
Claiming the programs that will reduce rates further have yet to come into effect, Sousa admits there’s no longer a deadline attached to their 15 per cent goal.