Last year Statistics Canada reported auto insurance rates in Alberta increased by 50%. This past week the Alberta Government announced its solution to these massive price increases. The Government announced it would roll back auto insurance rates by 5% and cap benefits for innocent victims of car crashes. “When this was announced most consumers probably thought it was some type of delayed April Fool’s joke”, said Mr. Cran.

“The Government of Alberta spent months inventing a solution to the auto insurance issue. The product of their best efforts is unacceptable to consumers”, said Mr. Cran. “It’s also not factual in that auto insurance industry calculations indicate the final reductions will only be 2%, not 5% as claimed by the Government”.

“The Alberta Government is trying to spin its announcement as good news for consumers. The reality is that it is bad news for consumers. The Government needs to design a solution beneficial to consumers and crash victims, said Mr. Cran.

Last week the Saskatchewan Government released an independent study confirming auto insurance rates are much less in that province than Alberta. Their study paralells the findings of the Consumers Association last year, in which some auto insurance rates in Lloydminster, Alberta for example, are up to 500% higher than right across the same street in Lloydminster, Saskatchewan”. (See Lloydminster comparison in the reports section at www.consumer.ca )

Notice to Alberta Media: Mr. Cran will be holding a press conference on auto insurance at the Westin Hotel in Calgary at 12:30pm Tuesday, May 25th.

Download a copy of this Press Release.

For more information, contact:
Mr. Bruce Cran
CAC President
Telephone: (604) 454-7827