This study aims to explain the link between the regulation of auto insurance markets and the effect of this regulation on consumers, and to help identify public policies that are most likely to produce superior results. Among the 60 jurisdictions analyzed over the years 2003, 2004, and 2005, the Canadian provinces as a group had a higher regulatory burden or more government control over auto insurance and ranked relatively poorly on market quality in all three years studied. Of the 60 jurisdictions studied, only four have public monopoly or government-run auto insurance systems. These four are the Canadian provinces of British Columbia, Saskatchewan, Manitoba, and Quebec. The data show that public monopoly or government-run auto insurance systems consistently produce the worst outcomes for consumers.