Alberta insurance board OKs 5 per cent hike in mandatory auto rates
Posted Jul 26, 2012 10:42 am.
This article is more than 5 years old.
EDMONTON – Alberta’s insurance rate board says it will allow companies to hike automobile insurance rates by five per cent.
The Automobile Insurance Rate Board says insurance companies have the option to implement all or part of the increase over the next three years.
The rate hike, which applies only to the mandatory part of coverage, is effective Nov. 1.
The board says a boost in injury frequency and property damage collisions, combined with a drop in revenue generated by investments made on premium income, were the key factors behind it allowing the increase.
Board chairman Alfred Savage says the increase works out to an average hike of $30 per year.
The board says this is the first increase since 2008.
