Saskatchewan Auto Insurance

Factors that affects Auto Insurance rates in Saskatchewan

Saskatchewan auto insurance companies consider several factors when determining the amount you pay in auto insurance premium. The factors or variables considered are as follows:

To compare insurance rate, click here.

Saskatchewan Auto Insurance News

Auto insurance rate is on the increase in most jurisdictions in Canada but the reverse is the case in Saskatchewan as the provincial auto insurance rate plummets. In 2018, SGI the Saskatchewan government-run auto insurance monopoly applied for a rate decrease. The Saskatchewan Rate Review Panel is expected to look into the impact the decrease would have on the auto insurance industry and the customers.

Although the company did not provide the exact number, earlier in July 2018, Andrew Cartmell, the president and CEO of SGI said that there might be a decrease of few percents on the amount paid by customers. The company also told Canadian Underwriter that the strong investment earnings in 2017 and 2018 may make rate decrease possible. The Saskatchewan Auto Fund posted investment earnings of $162.8 billion for the period. The profits will benefit drivers and will be used for a rate reduction.

Besides Saskatchewan, two other Canadian provinces namely Manitoba and British Columbia require their residents to buy auto insurance from a public company. ICBC has been criticized for its high auto insurance rates. It has the highest auto insurance rate in Canada.

Critics blame the public auto insurance rate and the monopoly it has on the industry for the high rate. According to critics, ICBC does not have the incentive to reduce price and improve its services due to the lack of competition. The most vocal of the critics is the Insurance Bureau of Canada (IBC), a body that represents most private insurers in the country.

However, considering other provinces such as Manitoba and Saskatchewan that also employ a public auto insurance system, it is clear that the problem of British Columbia is not its public insurance monopoly.

To learn more about Saskatchewan auto insurance news click here.