from Canadian Underwriter Magazine

The Financial Services Commission of Ontario (FSCO) approved automobile rate increases averaging 2.57% in 2008 Q4, based on the entire market.

In 2008 Q4, for 69.37% of the market that had rate changes approved, the average rate change was 3.71% when weighted by market share.
The rate changes approved in 2008 averaged to an increase of 5.59%, compared to 0.55% in 2007, a decrease of 2.43% in 2006, and a decrease of 10.60% in 2005.

Increases sought by the five auto insurers with the greatest Ontario market share among the 2008 Q4 FSCO applicants included:
- State Farm Mutual Automobile Insurance Company (11.72% market share) received approval for a 6.5% rate increase;
- ING Insurance Company of Canada (7.91% market share) did not increase or decrease rates;
- Economical Mutual Insurance Company (6.39% market share) received approval for a 4.29% increase;
- Pilot Insurance Company (5.59% market share) received approval for a 9.2% increase; and
- Dominion of Canada General Insurance Company (4.68% of market share) received approval for a 3.94% increase.

Three applications for rate decreases were approved in the quarter. They include Belair Insurance Company Inc. (-2.57%); Federated Insurance Company of Canada (-2.37%); and Nordic Insurance Company of Canada (-2.56%).

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