NLIS 8
May 6, 2005
(Government Services)
Government releases
Public Utilities Board report on auto insurance review
Government Services Minister Dianne
Whalen released today the report prepared for government by the
Public Utilities Board out of the auto insurance review and public
consultation process.
As part of its auto insurance reform measures, government directed
the Public Utilities Board to review and report on a number of
issues affecting automobile insurance. The issues included the
impact of using a cap or deductible to limit pain and suffering
awards, and the elimination of rating based on age, gender and
marital status.
The board invited input from consumers, the industry and other
interested parties and held public sessions across the province
earlier this year. The board submitted its report to government
March 31, 2005. This report, as well as the department�s own review
of a number of related issues, will form the basis of government�s
additional auto insurance reforms to be announced shortly.
"The work completed by the board provides us with valuable
information and feedback on a number of issues of concern to
consumers and other interested parties and I am pleased to share
this report with the people of the province and with the industry,"
Minister Whalen said. "We will be bringing forward legislation this
session to give affect to a number of additional auto insurance
reforms in the best interest of consumers as a result of this
review."
Shortly after taking office, government unveiled a comprehensive
plan for reviewing and reforming automobile insurance. Last August,
government�s initial auto insurance reform package was implemented,
providing consumers with an overall average savings of 15 per cent
on their premiums. At that time, government committed to a public
review of other possible cost-saving measures. A consumer advocate
was also appointed to represent consumers in this process.
"We laid out a plan and we have delivered on that plan," Minister
Whalen said. "We committed to providing consumers with adequate
coverage at reasonable rates and this is what we have done and
continue to do. I look forward to introducing additional reforms the
House of Assembly over the next few weeks."
The report can be found on the department�s Web site at
www.gov.nl.ca/gs/ip/ir
Media contact: Tracy Barron, Communications, (709) 729-4860,
690-6157
2005 05 06
2:30 p.m. |