A - FSCO UBI + FSCO Coverages

Question 1

FSCO UBI

Requirement for auto filing with UBIP

Answer 1

1. PRIVACY requirement - PIPEDA (Personal Information Protection and Electronic Documents Act)
   ○ FSCO treats telematics as personal info even if not about the driving behavior of the precise driver of the vehicle
2. must be VOLUNTARY and include INFORMED CONSENT
   ○ transparent to insured about way data is used
   ○ Consumer should opt-in (rather than opt-out) of non-UBIP purposes such as marketing
   ○ Promo material must be provided to SI to ensure UBIP is clearly, fairly promoted
3. must PROVIDE CUSTOMER SUPPORT to discuss disagreement on data collected
4. CLEARLY COMMUNICATE rates to customers at all times (NB or RN)
   ○ Consumer must be able to access the data to change its behavior
5. For DISCOUNTS! not to decline, cancel or non-renew risks, or for claims related purposes
6. must be FILED and APPROVED by SI
7. should COVER ALL COSTS OF UBIP to encourage drivers to participate.
   ○ must show costs of UBIP in filing, regardless if factored or not in rate determination
8. must PROVE UNDERLYING ASSUMPTION for UBIP are reasonable.
   ○ Filing should show :
   § behaviors being measured (distance, acceleration)
   § How data is measured (frequency, occurrence)
   § How data is normalized for rating purposes
   § relevant loss data supporting the rating
9. must be AVAILABLE IN ALL TERRITORIES
   Must ensure data accuracy, security and storage, get riddance of data at termination.

Question 2

FSCO UBI

3 advantages of UBI

Answer 2

1) Drivers have more control over the cost of insurance, because their driving behavior directly influence their rates
2) Fewer accidents by encouraging safer driver
3) Less congested roads by encouraging less frequent driving

Question 3

FSCO Coverages

Accident Benefit

Answer 3

benefit you or other insured may receive if injured or killed in auto accident.

Include : income replacement, medical/rehab, attendant care, funeral and death expenses

OAB available above the standard AB

Question 4

FSCO Coverages

All Perils

Answer 4

Coll or Upset + Comp

in addition, it covers loss or damages caused if a person who lives in your home steals the vehicle that is covered by your policy.

also covers you if an employee who drives/uses/ services/repairs your vehicle steals it.

Question 5

FSCO Coverages

Attendant Care Benefit

Answer 5

covers expense incurred for an attendant to look after you if you have been seriously injured in an auto accident

Question 6

FSCO Coverages

Caregiver Benefit

Answer 6

if you are providing full-time care to dependants and can no longer provide that care because of a CAT injury from an auto accident, you may be eligible to caregiver benefits to reimburse you from expenses to hire someone to care for your dependants.

Question 7

FSCO Coverages

CAT injury

Answer 7

serious life-threatening injury.
It may involve loss of use of limbs, complete loss of eyesight or other injuries.

In Ontario there is a higher level of benefits available when the injury is catastrophic.

You can apply and be assessed for a determination of whether the injury is catastrophic

Question 8

FSCO Coverages

Collision or Upset

Answer 8

losses caused when vehicle involved in collision with another objects, including another vehicle, or rolls over.

Question 9

FSCO Coverages

Comprehensive

Answer 9

losses for certain perils, such as falling or flying objects, and vandalism.

Question 10

FSCO Coverages

Death and funeral benefits

Answer 10

if you die, provides a lump sum to spouse and dependants for your death or to cover for funerals

Question 11

FSCO Coverages

Dependant Care Benefit

Answer 11

pay for addt expense incurred to take care for your dependants if you are employed and are injured in auto accident and not receiving the caregiver benefit.

Question 12

FSCO Coverages

Direct Compensation - Property Damage (DC-PD)

Answer 12

cover damage to vehicle and content if another person was at fault for the accident.

It is called Direct Compensation because even though someone else causes the damage, you collect directly from own insurer.

The accident must occur in Ontario, and both drivers must be insurer by an insurer in the province.

Question 13

FSCO Coverages

Family Protection Coverage (OPCF44R)

Answer 13

cover you for difference between the at-fault driver TPL limit and your own TPL limit if someone with less liability coverage than you injures you in an accident

Question 14

FSCO Coverages

Housekeeping and Home Maintenance expenses

Answer 14

if unable to perform usual duties due to CAT injury, the benefit pays for reasonable and necessary additional expense for someone to complete your usual duties

Question 15

FSCO Coverages

Income Replacement Benefit

Answer 15

If you cannot work due to auto accident, you may be eligible for weekly income replacement benefits up to 400$.
it starts after one week

Question 16

FSCO Coverages

Indexation Benefit

Answer 16

automatic adjustment of income replacement benefit, non-earner benefit, attendant care benefit and rehabilitation benefit according to Consumer Price index for Canada to compensate for inflation

Question 17

FSCO Coverages

Medical and Rehabilitation Benefit

Answer 17

Cover costs of reasonable and necessary medical and rehab expenses (physio, prescriptions) that are not covered by OHIP or your disability insurance plan but are listed in SABs. Other expenses not listed might be covered if they are agreed by insurer and seen as essential to recovery.

Question 18

FSCO Coverages

Specified Perils Coverage

Answer 18

Cover damage to vehicle cause by :
fire, theft or attempted theft, lightning, windstorm, hail, rising water, EQ, explosion, riot or civil disturbance, falling or forced landing of an aircraft or parts of an aircraft, or the standing, sinking, burning, derailment or collision of any kind of transport in, or upon which, an insured vehicle is being carried on land or water.

Question 19

FSCO Coverages

TPL

Answer 19

protects if someone else is killed or injured, or property is damaged.

It pays for claims as a result of lawsuits against you up to limit of coverage, and pays costs of settling the claim.

By law you must carry at least 200K$ in TPL coverage

Question 20

FSCO Coverages

Tort Deductible

Answer 20

amount that is deducted from a settlement in court award for pain and suffering

Question 21

FSCO Coverages

Uninsured Automobile Coverage

Answer 21

Protects you and family if you are injured or killed by a hit-and-run driver or by an uninsured motorist.
Also covers damage to your vehicle caused by identified uninsured driver.

Question 22

FSCO Coverages

Minor Injury

Answer 22

sprains and strains, contusions and lacerations, or whiplash injuries.

If you are deemed to have suffered a minor injury in auto accident, your med and rehab benefits will be fixed at a maximum limit of 3500$, regardless of optional increased benefits you have purchased