Did My Insurence Broker Lied To My Face On The Phone?? | GTAMotorcycle.com

Did My Insurence Broker Lied To My Face On The Phone??

Pegassus

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I just called my insurance broker because my policy ends this summer and I want to re-negotiate it. There are new laws in Ontario and you don't have to have the mandatory maximum $2 million coverage in Ontario. Here's how exactly the phone call went;



Me: Hi I'm calling regarding my policy, it ends this summer I want to negotiate.

Broker: Name and policy please.

Me: Blah blah blah

Broker: Okay your new rate for next year will be $803/yr.

Me: WTF? I'm paying $740, where do you get your $800 from?

Broker: It's your new rate, it went up $60.

Me: Anyways, I'm calling because the laws changed in Ontario, I don't need the $2 million coverage, put me down to the lowest liability possible.

Broker: You already have that sir.

Me: What are you talking about? The laws changed last year, first time calling you about it, when did I called you guys to lower my liability?

Broker: I'm afraid I don't understand what you're saying.

Me: The laws in Ontario changed, now I can get a way lower liability amount instead of the $2 million, you are a broker and you were not aware of this?

Broker: Sir, even if we drop you to the lowest liability tier your rate will still only come down $10 dollars for the year.

Me: Okay I'm going to start shopping around then

Broker: Okay can you....

Me: ***CLICK***


Is this broker full of it? Do I have a good deal $800/year (one-way only) for a sport-touring motorcycle that's more than 10 years old? (I live in Toronto, over 40, no tickets, no accidents, with "M" licence for the last 10 years).

$10 dollar drop for a year if they lower my $2 million liability to $200,000? Yeah right.
 
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Doesn't sound too bad if it is a stand alone policy for only the bike, not that I'm in the industry or anything. Just wondering though...if that was the actual conversation, why be a dick to your broker? Seems like things could have ended on a much nicer note and possibly some help from them. It sounds like they were trying to help get you the best value for your $.
 
Ways to make sure your policy doesn't decrease: be a dick to the person who makes the policy.

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make sure they're applying the 'park in a garage' and 'winter tire' discounts (I kid you not)
 
...Me: Anyways, I'm calling because the laws changed in Ontario, I don't need the $2 million coverage, put me down to the lowest liability possible.

Broker: You already have that sir.

Me: What the hell are you talking about? The laws changed last year, first time calling you about it, when did I called you guys to lower my liability?...

I believe when the Ontario law reduced coverage that by default all policies were dropped to this lower coverage. If you wanted you could have called your insurance company and top up.

Financial Services Commission of Ontario said:
When it's time to renew or purchase auto insurance on or after June 1, 2016, the standard auto insurance policy you receive from your insurer or broker will have the new lower benefits - unless you act quickly and contact your insurance representative to purchase optional coverages.

https://www.fsco.gov.on.ca/en/auto/brochures/pages/brochure_changes10.aspx

You should check your policy coverage. Because the new rules came into effect June 01 2016 and your policy renews this summer you probably rode all of last year with reduced benefits, all without knowing.

Please be nicer to your insurance agent. Yes, the industry is borderline crooked, but the front line people are not. If you crash they can be very helpful, or unhelpful.
 
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So if what you (TorontoBoy) says it's true, THEN WHY HAVE THIS NEW LAW at all for then? I'm still paying the same and you dropped my coverage from $2 million to $1 million? My rate went up $60 over last year, what is this new discount you are talking about?
 
The Ontario government, during the last election, promised to lower auto insurance premiums. In order to make good on this promise they dropped coverage, which should reduce premiums, but also reduce coverage. In your case this did not work out as planned. I did receive a very minor drop in premiums for my auto, and a minuscule amount for bike, so the Ontario government did, theoretically, make good on their promise.

The underlying insurance problem of fraud still exists and part of the legislation did cover some aspects of fraud, but by and large the consumer, in my opinion, did not benefit. You certainly did not. You need to shop around.

https://www.thestar.com/business/2017/01/17/ontario-auto-insurance-rates-decrease-slightly.html
 
Ways to make sure your policy doesn't decrease: be a dick to the person who makes the policy.

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Buddy when you are an expert in the field and you act dumb and give me the runaround, this is what you are going to get.
 
$200,000 liability is not a wise choice. Go with at least $1,000,000.

The new, reduced accident benefits came into effect last summer, as already stated. This has nothing to do with liability limits.

Make sure you know what you're talking about before you treat your broker like dirt.

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$2,000,000 was never the mandatory liability limit on ON. In ON the mandatory liability limit has been 200,000 for many years. Last year Ontario govt has reduces some Accident benefits limits and change some conditions to be able to claim catastrophic injuries also they increased the standard comprehensive deductible to $500 from $300. though it is not mandatory for insured to keep the deductible at $500 they can increase it or reduce it, if the insurance company does offer a lower deductible, However in reality i have seen an average increase in the rates instead of going down.

All the insurance companies first file their rate plans to the govt body (FSCO) in theory once they are approved only then insurance companies increase the rate. So its really strange one one hand politicians are screaming about bringing insurance rates down on other hand regulatory bodies are approving the rate increase.
 
1. 200,000 has been the minimum for the entire 20 years that I have been a driver. What new law are you talking about?

2. Read your documents that they send you that breaks down your premiums so you can see what parts cost what money. The actual liability coverage is dirt cheap. It's your accident benefits (make the hospital keep you alive money) that makes up the bulk of your premium.

3. If you get sued, it's very easy to go over a million dollars these days, if you are only covered for 200k, your grandchildren will be paying off your debt.

4. It is not possible to lie to your face on the phone.
 
It's the accidents benefits for treatment for yourself after the accident that was lowered last year not liability. Do a little research before you call other people idiots and tell them how to do their job.
 
That^. Also, your insurance isn't just connected to what you do. Say you have a nice Triumph Daytona for example and you are the perfect example of a responsible rider, well that doesn't matter. Because some clown who wrecks at least 1 bike every season, acting like every backroad is his own personal Monaco is going to go and plow his daytona head on into a porsche after crossing a double solid line in a blind curve. So you didn't do anything wrong, but your rate goes up.
 
You were on the phone stupid, no he didn't lie to your face. You're special.
 
make sure they're applying the 'park in a garage' and 'winter tire' discounts (I kid you not)


I found out my insurance company has apparently not been giving me the winter tire discount on my 944 simply because in their minds it was my summer car. Despite the fact that I tell them every time I have winter tires for it and a few years I actually drove it all year. Asked for a refund for the discounts they haven't been giving me and was just told it's not possible. That's annoying.
 
OP you are the one in the wrong, as pointed out MINIMUM liability has been set at $200,000 for a few decades. There is NO new law. So your broker didn't lie as you were wrong to begin with. Now your coverage HAS dropped. So enjoy YOUR humble pie when you call him back to apologize for being an a hole.
 
Also, it costs very little to increase your liability limit beyond the legally required minimum ... consequently, if your existing policy has more than the legally required minimum, there is very little premium reduction from reducing the coverage.

I would consider $1 million to be a practical minimum on liability coverage.
 
Do a little research before you call other people idiots and tell them how to do their job.

Dude, this is so not the modern way of doing things. You just assume things, yell at someone (or online to the masses) about it, and when you find out you're wrong you either deny it and continue to live in your own alternate reality, or you just clam up and don't apologize for anything whatsoever.

Anyhow, anyone carrying only $200,000 in liability to save a few bucks a year is nuts - if you bumped into someone at a sidewalk (but for one simple example) and knocked then down they could sue you for more than that in a heartbeat - you WANT as much coverage as you can get, especially when the difference between a few hundred thousand and several million is usually token.
 

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