On June 8, 2019, the Financial Services Regulatory Authority of Ontario (FSRAO) replaced the Financial Services Commission of Ontario (FSCO) as the regulatory body for insurance in the province.
FSRAO is an independent regulatory agency that oversees a number of financial services in the province of Ontario, as follows:
When it comes to insurance, FSRAO:
From a consumer perspective, unless you have a dispute with your insurer, the most important function of the regulator is to approve rate filings. Every quarter, insurance companies that sell auto insurance in Ontario have the opportunity to submit new rates to FSRAO for approval. FSRAO reviews the company’s claims results from previous quarters to determine whether or not the rate adjustment is warranted.
In terms of its role in consumer complaints, FSRAO serves as an independent dispute resolution mechanism of last resort. That means that in order to have your complaint/dispute heard by FSRAO, you need to show proof that you have exhausted the insurance company’s internal complaints process.
FSRAO is self-funded, meaning all of its activities are paid for by fees it charges. No tax dollars go to pay for its operations.
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