Nearly every aspect of auto insurance in Ontario is regulated by the provincial government. Auto insurance is mandated for vehicle owners and is regulated by the Financial Services Regulatory Authority of Ontario (FSRA). Accident benefits insurers compensate an injured person involved in a car accident, and provide coverage for various services, including rehabilitation costs, income replacement, travel costs, and more.
It has recently been reported that the amount the auto insurance companies pay for medical services has been frozen since 2014 which is negatively impacting healthcare professionals and their businesses. Healthcare professionals and their businesses’ rents have tripled and salaries have doubled since 2000. However, the fee received from an auto insurer for a one-hour session has gone up modestly to $99.75 from $84.00.
It is true that while individual adjusters may agree to pay a fee that is higher than the set guideline, insurance companies by and large reimburse based on the minimum they are allowed to pay. Increasing the limits for various services and recoverable expenses and payments will not only benefit the injured victims but would also enhance fairness across the healthcare system.
At the same time, the current rules require workplace benefits to pay medical treatment first, and only when those are exhausted, do accident benefit insurers pay. This shifts the burden on workplace benefits providers and poses a concern for car accident victims, who may or may not be adequately covered by these benefits.
It is hoped that Ontario will have the FSRA develop new guidelines and rules, which would replace this outdated framework.If you have been involved in an accident, contact JEWELL RADIMISIS JORGE LLP today for a free initial consultation regarding the benefits and compensation you may be entitled to claim.