Rates climb as UCP ask for feedback on auto insurance
Posted Feb 19, 2020 9:17 am.
Last Updated Feb 19, 2020 9:25 am.
CALGARY (660 NEWS) – Drivers are paying more to get behind the wheel in Alberta.
According to Statistics Canada, Albertans paid 17 per cent more on average in insurance costs in January, compared to the same time in 2019.
The agency said insurers submitted applications to increase rates after the UCP government removed a cap on premiums previously put in by the NDP.
WATCH: UCP not renewing rate cap on auto insurance
That resulted in Alberta’s largest month-over-month increase in vehicle insurance premiums (7.6 per cent) since November 2002.
Today's data: inflation! https://t.co/bY5bqCsDqY
Auto insurance rates notably higher in Alberta in January. Up ~20% since early 2019. Quebec is also up ~25% since 2018. pic.twitter.com/mX78Mw9HZL
— Trevor Tombe (@trevortombe) February 19, 2020
The new data comes as the province has launched an online survey asking Albertans for feedback on what they want to see improved for auto insurance.
In December, the UCP announced a review panel to look at rising insurance costs saying caps don’t work.
“We ultimately need a sustainable system, a model that can work sustainably into the future,” said Finance Minister Travis Toews.
According to the Insurance Bureau of Canada, Alberta has the third highest average insurance rates in Canada at just over $1,300 in 2018. The Bureau forecasts premiums could go up by 30 per cent.
Drivers have until Mar. 6 to finish the survey with the review panel presenting the results to the provincial government in June.
-With files from CityNews Edmonton
