Farmers plowed
under by high auto rates
CARLETON PLACE - There's no place in Ontario to hide from high auto
insurance costs, says NDP Leader Howard Hampton.
"We're
even paying for those Big Insurance profits down on the farm," said
Hampton during a visit to the International Plowing Match here.
"Whether they're driving a car in the city or a truck in the country,
people are fed up with being gouged by private insurance."
A
new study shows Ontario drivers pay far and away the highest insurance
rates in Canada - more than $2500 on average. By comparison, British
Columbia premiums average $1100, Saskatchewan premiums average $800 and
Manitoba drivers pay an average $700. Drivers in those three provinces
benefit from publicly owned systems.
"Ernie
Eves and the Conservatives want to preserve that profit margin for Big
Insurance, and the McGuinty Liberals won't change that," Hampton
said. Only the NDP would cut premiums by at least 20 per cent for good
drivers. Some will save much more. This immediate reduction in rates would
be followed by long-term rate stability.
Under
the NDP plan, a 38-year-old Renfrew County farmer with a 1998 GMC C/R 3500
pick-up who now pays $1016, would pay only $812.80. A 27-year-old farmer
in Emsdale Ont. with a 1994 Dodge D350 pick-up who is paying $1029 for
insurance would pay only $823.20.
Lower
rates are guaranteed because:
·
Corporate profits are eliminated.
· Administration savings are substantial with just one company, not more
than 100, delivering compulsory insurance.
· Solvency costs are lower thanks to a huge risk pool.
· Eliminating the premium tax eliminates another three per cent from
fees.
