Facebook Pixel



May 4, 2016

QUEEN’S PARK – Nipissing MPP Vic Fedeli highlighted the significant economic costs of insurance fraud in the Ontario Legislature this afternoon. Text of Fedeli’s statement is below:

Speaker, organized insurance fraud is a serious problem that impacts the cost of insurance for all consumers. It’s estimated to cost upwards of $1 billion in Ontario alone.

A recent undercover investigation, widely televised, reveals staff at professional clinics encouraging and counseling undercover investigators to commit fraud.

It’s shocking to see how some professionals who should be protecting accident victims are, instead, encouraging the undercover investigators to lie, so they can submit phony forms and collect insurance payments for services never rendered.

A recent survey from the Insurance Brokers Association of Ontario found that 69% of respondents believe there is fraud in the Ontario auto system.

This systemic fraud is being carried out by those who skirt the law, and results in higher premiums for consumers.

It is unfair to honest, law-abiding Ontarians who play by the rules. It hits all of us in the pocketbooks. As much as 10-15 percent of injury payouts are fraudulent.

I urge the government to take real action to truly attack the root cause of this issue. On the organized auto insurance fraud front, reforms are needed to deliver benefits to injured claimants, and not only service providers.


Video of Fedeli’s Statement can be found here: https://youtu.be/3cdrfO9m-JI

Stay in Touch with Vic

Sign up for email updates to get the latest news from Queen's Park.

  • This field is for validation purposes and should be left unchanged.