Wednesday, Manitoba Public Insurance filed for the largest overall rate decrease in their 30 years of going to the Public Utilities Board.
The rate decrease averages out to a 10.5% reduction which MPI Spokesperson Brian Smiley says is good news for Manitobans. He explains this decrease is happening for a number of reasons.
"MPI is moving forward to modernize our products, which contributed to this decrease, meaning that the basic deductible will be 750 going forward. Also, increased levels of our third-party liability," Smiley explains. "We've made a number of changes with respect to our reserve fund and how we fund that fund. Once we reach a certain level, any money that is left over will go back into the basic Autopac line."
The rate decrease won't take effect immediately. Smiley says the Public Utilities Board hearing won't start until October, noting they'll make a decision in December and then the rates would take effect April 1st, 2021.
The requested rate changes by class are as follows:
Private passenger - 11 percent decrease
Commercial - 4.8 percent decrease
Public - 6.1 percent decrease
Motorcycle - 1.8 percent increase
Trailers - 11.4 percent decrease
Off-road vehicles - no change
Overall - 10.5 percent decrease