Insurance companies promise help to small businesses facing rising rates

A group that represents Canadian insurance companies says it is creating a team to help make sure small business owners can get affordable coverage.

The team will find each business coverage that best suits their individual needs.

With rates rising due to the COVID-19 pandemic, the Insurance Bureau of Canada says the new team will begin their work next month, initially focus on the hospitality sector in Ontario.

“We have a shared interest in making sure that as many small hospitality businesses as possible in Ontario can find the insurance they need,” said bureau CEO Don Forgeron in a statement.

Small business owners in the province have raised concerns of the surging insurance rates.

Last week Premier Doug Ford issued a warning to insurance companies, saying they could face regulation if they didn’t start helping hurting businesses. During a press conference last week he urged them to take action and stop price gouging.

Ford and Finance Minister Rod Phillips organized a call with the heads of insurance companies asking them to protect small businesses.

“The expectation is to see solutions within days, not week,” Phillips said in a statement.

There are currently no commercial insurance regulations in Ontario.