Warning that the average driver in the Greater Toronto Area will be paying nearly 14 per cent more for auto insurance by the end of the year, NDP MPP Michael Prue today urged the McGuinty Liberals to stop caving in to every demand of the private auto insurance industry and draw the line on rate increases.

“Thanks to the Financial Services Commission, many Toronto-area drivers are about to be slammed with double-digit auto insurance hikes,” said Prue, the MPP for Beaches—East York and the NDP’s Finance Critic.

“In fact, by the end of the year, the average GTA driver is likely to pay nearly 14 per cent more for auto insurance,” he added.

Prue pointed to 10 large insurance companies that have been given the green light to increase premiums for the second – and, in some cases, third – time in less than a year.

“Their policyholders will be hit with increases averaging between 11 and 19 per cent. For some drivers, the rate increases could total 30 per cent or more,” said Prue.

“Clearly, the auto insurance system makes no sense and just isn’t working. Will this government use this crisis to launch a full-scale review of Ontario’s badly broken auto insurance system and fundamentally re-think a system that every driver knows just doesn’t work?” he asked of Premier Dalton McGuinty.

McGuinty countered Prue’s request by saying Ontario drivers have it good when compared to other cost of living increases.

“The Premier’s answer is yet another sign that his government is out of touch with ordinary Ontarians,” said Prue.