The Financial Services Regulatory Authority of Ontario is accepting applications for its Point of Sale Test and Learn Environment, which would allow consumers to buy auto insurance directly at motor vehicle dealerships through a licensed insurance agent or broker. The project is designed to test whether this sales model expands consumer choice and convenience in Ontario while maintaining consumer protection safeguards. Approved participants will receive a two-year exemption from the current prohibition in the Insurance Act on selling auto insurance at dealerships, with the possibility of a one-time two-year renewal. All other insurance regulatory requirements will remain in force. FSRA will monitor participating projects to assess whether the model improves convenience, whether it creates additional risks and how those risks can be mitigated. Participants must implement enhanced consumer safeguards, including clear disclosure that consumers are not required to purchase auto insurance at the dealership.
Financial Services Regulatory Authority of Ontario2026-07-09
Financial Services Regulatory Authority of Ontario opens applications for dealership auto insurance sales pilot with two year exemption
The Financial Services Regulatory Authority of Ontario has opened applications for a test that would allow consumers to buy auto insurance at motor vehicle dealerships through licensed agents or brokers. Approved participants would receive a two-year exemption from the current ban under the Insurance Act, while remaining subject to all other insurance rules and enhanced consumer disclosure requirements.