Information About Auto Insurance in Southern Ontario

The town of Ajax is located in Southern Ontario. Ajax, a relatively young town that was first established in 1941, got its name from a Royal Navy cruiser of the same name that served in World War II. Like many other areas in the Greater Toronto Area, Ajax has greatly expanded since the 1980s. Some of the major changes that Ajax has gone through over the years include increasing multiculturalism, rapid low density population growth and traffic congestion.

In an attempt to cut down on the traffic congestion, the town is considering widening regional roads, extending Highway 407, expanding public transit services provided by Durham Region Transit and encouraging people to walk and cycle more. Even if the town does go through with these proposed solutions, there will still be plenty of people driving their cars through Ajax.

It’s the Law!

All drivers in Ajax are required by provincial law to have auto insurance. Although that’s the law, there are many people who drive without insurance. Driving without insurance may not seem like a big deal – until the uninsured driver gets into an accident. If an insured driver is hit by an uninsured driver, the insurance company of the victim is required to foot any resulting bills. Having to fork out money in these scenarios contributes to an overall increase in premiums for everyone.

The Uninsured Vehicles (UV) Project

In order to deal with this issue, the Ontario government’s Ministry of Transportation teamed up with the insurance industry to create the Uninsured Vehicles (UV) Project. The UV Project’s goals are to reduce fraud, improve road safety and reduce insurance rates by reducing the number of uninsured cars on the road. The UV Project intends to accomplish these goals through licence plate checks. When a person applies to have their licence plates renewed, the Ministry of Transportation runs the vehicle registration number through an electronic database maintained by the Insurance Bureau of Canada that contains the mandatory coverage status of the car in question. If the Ministry finds that someone does not have car insurance, that person will be denied licence plate renewal until they have acquired car insurance.

For more information about the Uninsured Vehicles (UV) Project visit this website: http://www.ibc.ca/en/UV_Project/