Insurance claims in Ontario: what’s going on?

Apr 4, 2024 by Jane

If you have recently submitted an insurance claim in Ontario, you may have wondered ‘how long does an insurance claim take?’ or better yet, ‘why is my insurance claim delayed?’

In recent times, Ontario resident have expressed growing frustration over the delays in processing insurance claims. There are a variety of causes behind the delayed timelines, involving a combination of complex regulations, industry challenges, and external factors like increased natural disasters.

Reasons behinds insurance claims delays

Reforms and Legislation:

Ontario’s auto insurance industry has had numerous reforms and legislative changes over the years, leading to a complex and evolving regulatory landscape.

Frequent adjustments to policies and regulations can contribute to delays with insurance claims as insurers and claimants navigate the intricacies of the legal framework.

Dispute Resolution Processes:

If you get the results of your insurance claim and want to dispute it, that can also take longer for the claim to be resolved.  This is because you have to  wait for further information from one the province’s dispute mechanisms, such as an insurance ombudsman or the License Appeal Tribunal (LAT), and the backlog in these resolution systems can lead to prolonged waiting times.


Repair shop delays: 

By now I’m sure you’ve heard of delays due to supply chain issues impacting most industries since the beginning of the pandemic. Well, this is no different, due to supply chain issues most repair shops/ mechanics are experiencing longer wait times than usual for parts to come in to complete the repair.

On top of this there is a shortage of repair technicians to then complete the repair once the part finally arrives.


Fraudulent Activities:

Insurance fraud in Ontario poses a significant challenge to the timeliness in the insurance claim process. The need to combat fraudulent activities makes the insurance claims process longer.

With Insurance fraud on the rise insurance companies must conduct thorough investigations to verify the legitimacy of claims. leading to longer processing times.

High Volume of Claims:

An increase in the number of insurance claims delays the process as well. Ontario’s densely populated urban centers, like Toronto, witness a high volume of accidents and therefore claims.

Insurance companies are sometimes overwhelmed by the sheer number of cases, causing delays in the assessment and settlement process for all. Factor in natural disasters and it explains the strain insurance companies are having in resolving claims.

Catastrophic Events:

 When talking about the delays with insurance claims it’s hard to avoid the topic of natural disasters and other catastrophic events.  

In 2023 alone over natural disasters lead to 3 billion dollars of damage insured by insurance companies. This causes a surge in claims all being reported at the same time and puts an enormous strain on insurance companies to resolve the claims.

This may result in delays as insurers and restoration companies prioritize the handling of widespread damage and loss.


Here’s some things you can do to make the insurance claims process easier:

  • Notify your insurance broker immediately.
  • Be honest! Don’t over exaggerate.
  • Provide complete and accurate information.
  • Gather as much information as possible and keep records.
  • Keep all receipts and invoices. 
  • When you can, use the company’s preferred shop, that way the works guaranteed. 
  • Reach out to your broker and see if it’s worth making a claim. Some insurance companies will raise your premium after a loss and the damage may not be worth it! 

The extended duration of insurance claims in Ontario is a complex issue and nearly impossible to expedite but taking these steps may make the process easier and more tolerable. If you are ever unsure of what to do or want to know more about what your insurance policy covers in the event of an accident, contact your broker.


Insurance Bureau of Canada. (2021). Auto Insurance in Ontario. 

Financial Services Regulatory Authority of Ontario (FSRA). (2021). Dispute Resolution Services. 

Ontario Trial Lawyers Association. (2021). Auto Insurance – What You Need to Know. 

Thompson, J. (2019). The Impact of Fraud on the Insurance Industry. Journal of Insurance Fraud in America, 15(2), 45-63. 

Insurance Business Canada. (2021). How Technology is Transforming the Insurance Industry. 

5 tips for submitting an insurance claim in Ontario. (2023). Retrieved from

Otogo. (n.d.). 6 tips for making a hassle-free auto insurance claim. Retrieved from

Severe weather in 2023 caused over $3.1 billion in insured damage. (n.d.). Retrieved from

Top 10 insurance claim tips. (2023). Retrieved from,consulting%20with%20a%20qualified%20attorney

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