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CAC Applauds Proposed NB Public Auto Insurance Plan

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CAC Applauds Proposed NB Public Auto Insurance Plan 

(April 2, 2004) On April 2, 2004 the New Brunswick Select Committee on Public Auto Insurance unveiled its final report, recommending that the province implement a public insurance system to protect its drivers against soaring premiums. 

The Commission, chaired by the province’s NDP Leader Elizabeth Weir, was tasked with examining the various public automobile insurance systems in Canada and identifying the most suitable model of public automobile insurance to ensure fair, accessible and affordable automobile insurance for all New Brunswickers. 

“This is an impeccable report," said Weir, regarding the Commission’s findings. The report says that, under the proposed system, New Brunswick drivers’ average insurance premiums would be $993, about $220 less than averages under the private system. Furthermore, the system would be self-funding, meaning the province won’t have to pump any extra money into it.

The Consumers’ Association of Canada strongly supports the adoption of a public insurance system. “If one of the Maritime provinces does this I think they would certainly be followed by others if it works, “ said Bruce Cran, CAC President. “And I’m sure it will.”

This report comes in the wake of the insurance industry’s five point proposal to control auto insurance premiums for New Brunswick drivers – a proposal that was opposed by both the CAC and Elizabeth Weir.