Allstate Insurance is in hot water after a former agent accused the company of discriminating against Brampton drivers by refusing to sell auto insurance to residents of the city.

The former agent, Medha Joshi, has filed a lawsuit in Ontario’s Superior Court against Allstate Insurance Canada, seeking $600,000 in total damages for wrongful dismissal and violations of the Ontario Human Rights Code, according to CBC News.

Joshi says the company terminated her after she confronted her supervisors about the unwritten policy to stop offering auto insurance to Brampton residents.

“It was very clearly said, in so many words, that there is a lot of fraud that happens in Brampton, that there is a very high number of claims and a very high number of fraudulent claims,” Joshi told CBC News. “We know the community that resides in Brampton, and they are visible minorities.”

Under the Ontario Automobiles Act, drivers can’t be denied insurance so long as they meet established criteria approved by the Financial Services Commission of Ontario (FSCO). Drivers also can’t be denied or approved based on their ethnic background.

If Joshi’s lawsuit is successful it could open the door for Brampton drivers to file their own lawsuits and complaints against Allstate.

Sources – CBC News

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