A brand new report finds auto insurers in Alberta are paying out greater than they’re amassing.
That is regarding to the Insurance coverage Bureau of Canada, which wonders the way it might have an effect on drivers’ premiums within the coming years.
It comes after the Alberta Superintendent of Insurance coverage launched its 2024 annual report. It highlights that almost all of auto insurers within the province had been unprofitable.
Get each day Nationwide information
Get the day’s high information, political, financial, and present affairs headlines, delivered to your inbox as soon as a day.
It notes insurers misplaced greater than $1.2 billion on the sale of auto insurance coverage in 2024, paying out extra in claims and bills than drivers paid in premiums.
The superintendent is forecasting that escalating declare prices will exceed the province’s Good Driver Charge Cap. The Insurance coverage Bureau of Canada claims the cap just isn’t sustainable.
The province says it’s conscious that quite a few components are placing stress on the auto insurance coverage market. It claims the brand new care-first mannequin, which shall be launched in 2027, will result in extra steady and predictable charges.
Click on the video above for extra info and drivers’ ideas on the premiums.
