INSURANCE PAYOUTS MAY BE CUT

After a brief hiatus, the Rhyming Gods of the Toronto Sun have returned with the headline “CRASH CASH MAY BE CUT” (The last juvenile rhyme that surfaced on the cover was May 4th’s “DASH FOR CITY CASH”). You see, the insurance companies are losing money right now so the Financial Services Commission of Ontario wants to reduce the $100,000 cap on insurance payouts for non-catastrophic injuries to $25,000.

Essentially this is a roundabout way for the government to bailout the insurance companies because the government will end up footing the bill for the portion of the medical expenses that exceeds $25,000. It would be comparable to lowering the tax rate for corporations. There are two ways to look at it: One way is that the Ontario government would be taking taxpayer’s money and enriching corporations. Another way is to say that the government is helping the insurance industry to save thousands of jobs in Canada. I don’t think anyone who currently works for GM Canada would honestly oppose any bailout to the auto industry.

On the headline, I would have been happy with “INSURANCE PAYOUTS MAY BE CUT”. But that surely would have forced the Toronto Sun to reduce the size of the font which would be unacceptable.

Cover Rating: NEUTRAL NEWS