SASKATCHEWAN, Canada – The agency that insures motorcycles in Saskatchewan has proposed a cap on rate hikes, relenting from an earlier position that could have raised rates an average of 73 percent.
“The motorcyclists were very, very vocal saying it was too much, too soon, and can we look at options,” SGI Minister Donna Harpauer told Global Regina. “We don't disagree with their position and that we should be looking at options.”
For premiums costing more than $1,000, the rate increase will be capped at 15 percent. If it's less than that, the increase will have a maximum of $150.
Rates are being raised because of the high costs of treating injuries from motorcycle accidents, SGI said. Other motorists have been bearing the cost, according to the agency.
As initially proposed, the motorcycle rate hike would have raised rates for 57 percent of other motorists; under the new plan, 63 percent of other drivers will see premiums increase to offset the motorcycle rate hike cap.
The rate review panel will examine other options, like tiered insurance, to help keep premiums low.
Posted by Holly Wagner