Insurance Requirements

• The province or Ontario, just like all states in the U.S., requires drivers to have an automobile insurance policy on their vehicles. Motorists who fail to have insurance on their vehicle can face a fine ranging from $5,000 to $50,000. The license of the driver can also be suspended and the vehicle may be impounded. Individuals that are involved in an accident and who do not have insurance may be held personally liable for another individual's medical costs.
  
  

Rates and Underwriting Rules

• Insurance companies in Ontario are not permitted to use certain types of criteria to determine that insurance rate for an automobile policy. This includes credit history, bankruptcy, an individual's employment states, if an individual owns a credit card as well as any not-at-fault accidents. Insurers also have underwriting rules that need to be followed when issuing a policy. These include whether a policy has been canceled in the past and if incorrect information has ever been given on an application in the past.
  
  

Road Laws

• Changes to Ontario's Highway Traffic Safety Act have added new laws and rules that motorists must follow when driving on the road. Changes to the law include prohibiting the use of a cell phone while driving and smoking in a car when a minor is a passenger. Other changes to the law include placing speed limiters on semis and other commercial vehicles. A limiter is designed to prevent a vehicle from exceeding a specific speed such as 105 km/hr.
  
  

High Risk Drivers

• A high risk driver is an individual who has had multiple insurance policies canceled because of non-payment of premium or multiple at-fault accidents. These types of drivers typically cannot obtain automobile insurance from a traditional insurer. The insurer or last resort in Ontario is called the Facility Association where individuals can find policies that are not available in the regular market.
  
  

Distracted Driving Legislation

• Ontario recently passed a law called the Countering Distracted Driving and Promoting Green Transportation Act of 2009. This law is directed at individuals who can become distracted while driving by using electronic devices. The law changes Ontario's Highway Safety Act to prohibit drivers from using cellphones, blackberries or other electronic devices to send text messages or other activities while driving.