By Monday Morning News Staff
Edmonton – The Automobile Insurance Rate Board (AIRB) will hold premiums at 2010 levels for mandatory automobile insurance, the result of the AIRB’s annual review.
“Alberta consumers continue to have access to fair and affordable auto insurance,” said Alfred Savage, AIRB chair in a release Thursday. “Since the introduction of auto insurance reforms in 2004, premiums for mandatory auto insurance coverage have decreased by 23 per cent.”
The AIRB decision to keep mandatory insurance rates at 2010 levels was based on input received at an open meeting held in June. That input came from Albertans, the board’s consumer representative, the board’s actuary and insurers.
The decision applies only to mandatory coverage, which is required by law and includes third party liability and accident benefits coverage. Optional collision and comprehensive coverage are not covered by the freeze. Premiums are set by individual insurance companies.
The board is required to review auto insurance rates every year. Adjustments resulting from the review take effect November 1 of the same year.