Staged collisions in Ontario are a major problem. The Insurance Bureau of Canada (IBC) estimates that fraud adds approximately $1.6 billion to the province’s annual insurance tab, and staged collisions make up a huge proportion of that. Although the problem is mainly prevalent in Ontario, the signs are that western provinces should begin to become…
Recently, the Alberta government announced that in order to assist Albertans with the skyrocketing cost of living, they are now enacting a limit on auto insurance premium hikes. The limit is capped at the rate of inflation, and is limited to motorists who are deemed to be good drivers. Although more needs to be learned…
Canada’s Équité Association’s 2022 Vehicle Theft Trend Report, which was released in June, has revealed some alarming numbers. Unprecedented results showed that for the first time ever, insurers had to pay out more than $1 billion in claims for stolen vehicles. The sharp uptick is particularly bad in Ontario, where the industry ended up paying…
A new report from accounting firm MNP has revealed that litigation costs are a major contributor to the rising cost of auto insurance in Alberta. The Canadian Underwriter reports that legal fees have risen 31% since 2018 and account for approximately 20% (or $200 for each policy annually) of the premiums Alberta drivers pay for…
When the Government of Alberta paused private auto insurance rate increases early this year, the hope was that drivers would begin to see improved affordability and some relief from skyrocketing inflation costs. Unfortunately, according to Alberta Auto Insurance Facts (AAIF), this hasn’t been quite as successful as hoped. The AAIF says that “Alberta drivers are…
Late in 2022, an Ernst & Young report revealed what many in the province had been suspecting for some time. Albertans are paying the highest auto insurance premiums in the country. Ernst & Young sampled 27 different driver profiles across nine different provinces, and found that for 26 of those profiles, Albertans pay the most.…
It’s a bad feeling when your car won’t start. All the plans made, all the places to be, and all the errands that were supposed to have been run are out the window. It’s bad when your car won’t start at home, but even worse when it won’t start somewhere else. There are immediate decisions…
The numbers are out, and they’re not pretty. Although drivers were prepared to see their auto insurance premiums rise due to the removal of the previous government’s 5% cap on increases last summer, many weren’t prepared for a hike of 20% or more. And those numbers are exactly what CanadianUnderwriter.ca reported at the end of…
There have been numerous reports in the media lately regarding that fact that Alberta auto insurance rates are rising for many drivers. Many insurance companies have applied for – and received – permission from the province’s Automobile Insurance Rate Board to raise rates. This follows the Government of Alberta’s decision to remove the applied cap,…
Changes implemented by the previous government to the Alberta auto insurance industry in 2017 have had unintended consequences for drivers. A Calgary Herald article published in April details how a five per cent cap has “backfired,” and is discouraging industry from operating in Alberta. The NDP government placed the cap on raises to auto insurance…