The market for property and casualty (P&C) brokerages continues to be intense. Books of business are attracting prices from 3.5x to 5.0x commissions – and even more for online business. So, are conditions right to start seeing more management buy-outs?…Read more →
The ubiquity of the internet and the ease of access thereto has given consumers more informed buying power and instantaneous ability to satisfy their requirements for goods and services. Organizations that can meet and likely exceed consumer expectations will dominate…Read more →
A provincial election in Ontario is expected to take place within the next six months. In the lead up to that election, it is a safe bet that all three parties will make a number of promises as to how…Read more →
Not everyone has embraced telematics. It was reported the other day that at least one insurer has been told by its brokerage force that their customers are ‘not fans of telematics’. Carol Jardine, chief strategy office for Wawanesa, is quoted…Read more →
When it comes to the valuation of insurance brokerages, is the going rate driven up by the presence of insurance companies as potential purchasers? Certainly this is the feeling of many within the brokerage community. Just because many people believe…Read more →
A recent press release from a B.C. brokerage was entitled, Automated online office insurance could make brokers redundant. The press release itself dealt with the introduction of an automated system that allows owners of small businesses to buy and download…Read more →
When is a flood a flood? In Parker Pad & Printing Ltd. v. Gore Mutual Insurance Company, the plaintiff’s premises in Haliburton, Ontario were flooded during a severe rainfall. The rainfall resulted in large pools of water collecting outside of…Read more →
Whenever a new technology emerges, there is always the question as to whether it will assist or threaten existing industries. With the surge in activity from fintechs, the property and casualty insurance industry is facing this question on a number…Read more →
Without a crystal ball it’s hard to know whether any technological innovation will live up to the early hype. Such is the case with blockchain technology. While some insurance industry analysts see great promise in this emerging technology, others have…Read more →
Moral hazard can be found in many places but, ironically, much of it is created by the very existence of insurance. What’s more, outside sources of moral hazard can affect insurance – and insurers – greatly (though usually indirectly). According…Read more →
The so-called “age of the customer” we live in is driven by several factors, especially technologies such as smartphones and mobile apps that put more control and choice into customers’ hands than ever before. Forrester Research has dubbed this phenomenon…Read more →
When the CEO of the largest insurance company in the country warns of a risk that could take down the industry, it’s time to take notice. In an article published in the Globe and Mail’s Report on Business, Charles Brindamour,…Read more →
This summer, the threat of a labour stoppage at Canada Post has caused many people and institutions to reconsider just how crucial mail delivery is to their business. In the insurance industry, we have already taken great strides to minimize…Read more →
This week, the Ontario amended Regulation 664 to expand the definition of a fleet to accommodate ride-sharing services like Uber. The change opens the door for insurers to offer policies to drivers of vehicles for hire using an online app.
The regulation amendment expands the fleet definition to include vehicles available for hire through a common online-enabled application or system for the pre-arrangement of transportation. The vehicle owner or lessee is to be named insured under an auto insurance contract. The regulation change will make it easier for Ontario businesses to insure a group of privately owned vehicles under one insurance policy as a “fleet” when they are available for hire using an online app.
FSCO has already approved a fleet policy proposed by Intact Insurance Company. The Intact policy provides blanket fleet coverage under a standard automobile owner’s policy (OAP 1) for private passenger automobiles used in the transportation of paying passengers who utilize Uber.
The Intact fleet policy does not provide coverage when the driver is not logged onto the Uber online app. Coverage under the personal owner’s policy for the automobile is applicable.
FSCO also approved the use of an electronic insurance card for use in connection with ride sharing. The electronic insurance card will permit ride share drivers who are covered under the Intact policy the option to provide evidence of insurance electronically using an online-enabled app (e.g., to law enforcement officials).Read more →