FOR IMMEDIATE RELEASE
Aug. 18, 2003
Consumers' Association Issues Warning To Ontario Consumers Considering Making Insurance Claims As Result of Blackout
OTTAWA, Aug. 18 /CNW/ - The Consumers' Association of Canada today issued a Consumer Advisory urging consumers to be on the alert when thinking about making a claim on insurance policies for any losses incurred as a result of the electrical blackouts.
"Consumers should be wary before even discussing a possible claim", said Mel Fruitman, President of the Consumers' Association of Canada. "Insurance companies are known to have increased premiums on auto insurance policies when consumers simply talked with their broker or auto insurer about minor damage to their vehicle even though no claim was ever made."
"Our Association is concerned that this practice by insurance companies may also be applied when it comes to property damage claims as a result of the blackouts in Ontario", said Mr. Bruce Cran, National Secretary of the Association. "We strongly urge consumers to read the fine print on their policies before talking with their insurance provider".
"Consumers need to have the protection and security they believe they are buying with their policies. We are asking the insurance industry to make an immediate public statement that it will guarantee premiums will not be raised for consumers who simply report some type of loss due to the blackout but decide to make no claim".
The Association is asking Ontario's Premier Eves to set up a consumer insurance watchdog to oversee the insurance industry's response to claims. "It is important that insurance companies respond quickly to claims", said Mr. Cran. "Ontario consumers want to get back to normal as soon as possible. Foot dragging by insurance companies in the payment of claims will not allow this to happen."
-30-
For further information: contact Mr. Bruce Cran: (604) 454-7827 |