2.27% vehicle insurance rate hike recommended
Decide motorcycle rate rebalancing later, panel says
Saskatchewan drivers will likely pay more soon to insure their vehicles, now that the province's rate review panel has approved a 1.03 per cent rate increase.
There will also be a 1.23 per cent surcharge for one year to allow Saskatchewan Government Insurance to replenish its Auto Fund reserve fund. The proposed change will also include "rate rebalancing" — which means some drivers will see their insurance go up and others down.
For people who ride motorcycles, there will be a much smaller hit than they would have been facing a few months ago.
SGI's original 2013 proposal wanted to boost motorcycle rates an average of 72 per cent.
Following a massive outcry, SGI backed off and submitted the most recent proposal.
That would cap rates at 15 per cent or $150.
The rate review panel is recommending that any decisions about rebalancing motorcyle rates should wait until a separate review by a motorcycle review committee is complete.
The proposed 2.27 per cent increase, which still needs to be approved by cabinet, would take effect Aug. 31.