Saskatchewan Insurance Rates Are On The Rise
There’s good news and bad news. Which do you want first? Ok, the bad news is, the Saskatchewan auto fund insurance rates are going up. The good news is they’re only going up 1.03%. The Saskatchewan Government approved the increase as well as a 1.23% surcharge on all rates for a one year.
These new rates will take effect at your local SGI insurance broker on August 31, 2013.
SGI had originally requested a 1.23% rate surcharge for the next three years to replenish the Rate Stabilization Reserve, but the rate review panel recommended the rate surcharge be approved for one year only.
Donna Harpauer, Minister responsible for SGI, said she found the overall increase to be reasonable as she recognizes the importance of rebalancing rates to improve fairness.
“Rebalancing helps promote fairness by adjusting customers’ rates so that each vehicle is charged the correct rate to cover the claim costs for that type of vehicle,” the Government of Saskatchewan said in a news release.
To ensure respective vehicle groups are paying sufficient premiums, the government said some rates need to be increased and some decreased. It says 63% of Saskatchewan vehicle owners will have rates increase on average by $3/month.
35% of Saskatchewan vehicle owners will see their rates go down, on average, $2/month and 4,000 vehicle owners will see no change to their rates.
To help reduce rate shock, SGI will cap increases for all vehicle groups, including motorcycles. Vehicle groups with annual rates greater than $1,000 will be capped at a maximum increase of 15%, while those with annual rates less than $1,000 will have dollar caps ranging from $25 to $150.
Source: http://globalnews.ca/news/670255/insurance-rates-rising-in-saskatchewan-also-adds-surcharge-on-rates-for-one-year/
