NDP calls on Sask. government to lower insurance rates by using SGI reserve funding
The Saskatchewan NDP is calling for government-owned SGI to lower its rates following the release of the Saskatchewan Auto Fund's 2021 Annual Report.
The report, released Tuesday, has the Crown corporation's reserves sitting at $1.1 billion, a surplus the NDP wants to see used to lower auto insurance rates.
"The fund is overvalued at 156 per cent, to me it's common sense to return money to folks, as we saw with the cheques, and keep rates more affordable for people in Saskatchewan," said NDP Opposition Critic for SGI Aleana Young, referring to the approximately 709,000 rebate cheques given to SGI ratepayers earlier this year.
SGI has also recently applied to the Rate Review Panel to increase rates overall by 1.7 per cent alongside a 1.6 per cent decrease to capital margin for all vehicles.
According to SGI's submission, increasing damage claim costs from more complex technology, procedures and materials used in newer vehicles cancelled out what otherwise would have been a rate increase.
Meetings discussing the possible changes are scheduled to be held later in July.
The NDP said the changes send the wrong message to people in difficult financial positions during the COVID-19 pandemic.
"People are not doing well and we have a Crown that is doing well and on principle should be delivering for the people of Saskatchewan," Young said.
Don Morgan, the Minister in Charge of SGI, said the reserve amount is based on the recommendation of International Financial Reporting Standards (IFRS) and the government is not currently in a position for additional rebates.
"It would not be consistent with the reserve requirements to pay out any more at this point and time, IFRS is being changed and updated so there may be changes to the recommendations over the next while so we'll adopt a cautious approach," Morgan said. "We'll reassess over the next number of months and determine whether it's appropriate to pay it out or adjust premiums."
A total of $285 million in rebate cheques were given out to SGI ratepayers.
CTVNews.ca Top Stories
'They needed people inside Air Canada:' Police announce arrests in Pearson gold heist
Police say one former and one current employee of Air Canada are among the nine suspects that are facing charges in connection with the gold heist at Pearson International Airport last year.
Why drivers in Eastern Canada could see big gas price spikes, and other Canadians won't
Drivers in Eastern Canada face a big increase in gas prices because of various factors, especially the higher cost of the summer blend, industry analysts say.
BREAKING Toronto Raptors player Jontay Porter banned from NBA
Toronto Raptors player Jontay Porter has been handed a lifetime ban from The National Basketball Association (NBA) following an investigation which found he disclosed confidential information to sports bettors, the league says.
Disappointment widespread over budget's proposed $200-month disability benefit funding
Advocacy groups across Canada are expressing widespread disappointment about the amount of funding earmarked in the 2024 federal budget for the long-awaited Canada Disability Benefit.
Earthquake jolts southern Japan
An earthquake with a preliminary magnitude of 6.4 hit southern Japan late on Wednesday, said the Japan Meteorological Agency, without issuing a tsunami warning.
ArriveCan contractor to be admonished by MPs in extraordinarily rare parliamentary display
Enacting an extraordinarily rarely used parliamentary power, MPs have summoned an ArriveCan contractor to appear before the House of Commons on Wednesday afternoon to be admonished publicly for failing to answer their questions.
opinion Don Martin: Gusher of Liberal spending won't put out the fire in this dumpster
A Hail Mary rehash of the greatest hits from the Trudeau government’s three-week travelling pony-show, the 2024 federal budget takes aim at reversing the party’s popularity plunge in the under-40 set, writes political columnist Don Martin. But will it work before the next election?
Ancient skeletons unearthed in France reveal Mafia-style killings
More than 5,500 years ago, two women were tied up and probably buried alive in a ritual sacrifice, using a form of torture associated today with the Italian Mafia, according to an analysis of skeletons discovered at an archeological site in southwest France.
Paul McCartney and John Lennon’s sons have released a single together
A new Lennon and McCartney collaboration is the last thing anybody expected.