According to a report by The Brandon Sun, one of Canada’s leading auto insurance companies Intact Financial Corp. has teamed up with Uber, following emerging concerns that some insurance policies may not cover drivers using their personal vehicles for commercial gain. The insurance company will be creating products tailored for the ride-hailing service, and is already working with insurance regulators in provinces where Uber is available to ensure the products that it develops are in line with regulatory requirements.
The insurer said it was too early to provide details about the products, which it plans to market under the Intact and Belairdirect brands.
“With the growing popularity of the sharing and on-demand economy, we are adapting our product range to offer innovative solutions to meet the changing needs of consumers,” Louis Gagnon, president of service and distribution at Intact Financial Corp., said in a statement.
Ian Black, the general manager of Uber Canada, said that “Uber is excited to be working with Intact Financial, the leading Canadian provider of auto insurance, to develop an innovative insurance plan specifically tailored for ridesharing in Canada”. He further said that every month, there are over a million Uber rides completed across Canada and that number is growing every day
Back in July, the company had issued a statement that every ride on the uberX platform is backed by $5 million of commercial auto insurance, which covers both bodily injuries and property damage stemming from a crash, arguing that its insurance policies are adequate. However, Alberta government had said that it had determined the policies do not meet the requirements of the province’s Insurance Act.