As a result of its annual rate review, the Automobile Insurance Rate Board (AIRB) will hold premiums to 2010 levels for mandatory automobile insurance.
“Alberta consumers continue to have access to fair and affordable auto insurance,” said Alfred Savage, AIRB chair. “Since the introduction of auto insurance reforms in 2004, premiums for mandatory auto insurance coverage have decreased by 23 per cent.”
The decision not to increase rates was based on input from Albertans, the board’s consumer representative, the board’s actuary, and insurers during an open meeting held in June. Holding rates to 2010 levels strikes a fair balance between Albertans who pay insurance premiums and Albertans who are injured in automobile accidents and have a legitimate need to make a claim.
This decision applies only to mandatory coverage, which is required by law and includes third party liability and accident benefits coverage. It does not include optional collision or comprehensive coverage. Those premiums are set by individual insurance companies.
The Automobile Insurance Rate Board’s mandate is to ensure an efficient and effective automobile insurance market with rates that are predictable and fair for both motorists and insurance companies.
The board is required to review auto insurance rates every year. Any adjustments take effect November 1 of the same year.
For more information, visit the board’s website at www.airb.alberta.ca or call 780-427-5428 (toll free at 310 0000).
