Additional consumer protection for drivers using towing and vehicle storage services

Ontario has approved new regulations designed to offer consumers additional protection when using tow truck and vehicle storage services.

“Consumers in need of a tow or roadside assistance in Ontario should have confidence that the tow truck service helping them is reputable, will do the work safely, and will deal with them in an honest and fair way. Our new rules will help drivers make informed decisions and protect their money when getting their vehicle towed or having it held in a storage facility”, said David Orazietti, Minister of Government and Consumer Services.

Based on feedback received from consumers and stakeholders, regulations will come into effect by January 1st, 2017, and will ensure tow and storage providers:

• Have permission from the consumer or someone acting on their behalf before towing or storing a vehicle.
• Publicly disclose rates and other information such as the provider’s name and telephone number on tow trucks as well as in places of business.
• Accept credit card payments from consumers (and not insist on cash only).
• Notify consumers where their vehicle will be towed.
• Allow consumers to access their towed vehicles to remove personal property at no charge.
• Give consumers an itemized invoice listing the services provided and costs before receiving payment.
• Disclose if they are getting a financial incentive for towing a vehicle to a particular vehicle storage facility or repair shop.

There are approximately 1,200 tow truck businesses, with 3,000 tow truck drivers in Ontario.

The new rules are being brought forward as a result of changes made by Bill 15, Fighting Fraud and Reducing Automobile Insurance Rates Act.