October 17, 2011 by Canadian Underwriter
Ontario’s auto insurance rates increased by an average of 3.05% in 2011 Q3 when rated by market share, according to the Financial Services omission of Ontario (FSCO).
FSCO’s rate changes were based on roughly 40% of the market applying for rate change approvals in 2011 Q3. Rate filings approved during 2011 Q3 averaged 1.21%, based on the entire market, FSCO reported.
Motors Insurance Corporation received approval for the largest increase (+10.34%) during 2011 Q3, followed by Wawanesa Mutual Insurance Company at +9.89%.
Ontario’s five largest auto insurers to have rate change approvals in 2011 Q3 were:
•State Farm Mutual Automobile Insurance Company, 12.43% market share, +3.16% rate change;
•Intact Insurance Company [including the acquisition of AXA Insurance (Canada) and AXA Pacific Insurance Company], 10.17% market share, -0.43% rate change;
•Co-operators General Insurance Company, 4.35% market share, -0.15% rate change;
•Wawanesa Mutual Insurance Company, 4.27% market share, +9.89% rate change; and
•Personal Insurance Company, 2.91% market share, +2.00% rate change.
When examined by coverage, standard accident benefits saw the largest weighted average rate increase at 4.60%, followed closely by third party liability-bodily injury with +4.58%.
Standard perils saw a weighted average rate decrease of 29.60%.