Ontario drivers are paying much more for auto insurance than their counterparts in British Columbia, according to a study by the Consumers' Association of Canada.

The average annual rate in Ontario is $2,383, compared to $1,324 in B.C., suggests the study. That works out to an 80 per cent premium to drive in Ontario compared to B.C.

And those same results were found not only in Toronto, but also in cities such as Sudbury, Windsor, Guelph and London.

"Consumers in Ontario have been clearly harmed by outrageous price increases for auto insurance over the past three years,'' said association president Bruce Cran in a statement.

However, the Insurance Bureau of Canada disagrees. It says that the average premium in Ontario is $1,279, and that premiums are down 15 per cent since November 2003.

"Clearly, free market, private competition is alive and well in Ontario," said Mark Yakabuski, the vice-president of IBC.

He added that the average claim paid out in Ontario is $8,878. compared to $2,391 in B.C., where the product is delivered by a government monopoly.

"Very simply, you get a lot more for your money in Ontario," said Yakabuski.

Cran disagrees. He said: "Victims of crashes have also been impacted by the Ontario government's actions of imposing a $30,000 deductible on benefits paid to them."

"Innocent victims of crashes have suffered at the hands of the insurance industry while this industry continues to put billions of dollars of profits in its pockets.''

Cran blames the high premiums on so-called independent brokers, who are choosing only to sell products from one or two insurance companies.

"An overwhelming compelling message has emerged from the Study for consumers in Ontario," said Cran. "Shop widely among many brokers and use the Internet to find the lowest auto insurance quote."