Following concern from motorcycle owners regarding significant insurance rate hikes proposed by SGI, Minister responsible for SGI Donna Harpauer has asked the corporation to amend its rate proposal to cap increases for motorcycles at 15 per cent.
In addition, Harpauer has directed SGI to review its rating approach for motorcycles, including the injury benefit levels provided in the insurance coverage, and to examine ways to improve motorcycle safety programs.
“We heard loud and clear from the motorcycle community that the proposed increases would cause unreasonable financial hardship for bike enthusiasts, and could negatively impact business owners who deal in motorcycle and related equipment sales,” Harpauer said. “We’ve asked SGI to implement caps on these hikes to reduce rate shock for motorcycle owners. We’ve also asked SGI to look at other options in terms of coverage levels and increased safety programs that ultimately will help reduce the claim costs associated with motorcycles.”
Under SGI’s revised proposal increases for motorcycles with annual rates greater than $1,000 will be capped at a maximum of 15 per cent. Motorcycles with annual rates of $1,000 or less will be subject to a dollar cap instead of a percentage cap, with a maximum increase of $150 annually.
SGI will undertake formal consultations with motorcycle stakeholders in the spring, but in the meantime any comments or feedback on the rating structure for motorcycles, safety programs or benefit levels can be sent to email@example.com.
The proposed rates for all vehicles will be revised to accommodate the new capping guideline, and the revised rates will be posted on SGI’s website at www.sgi.sk.ca. If approved, the rate changes would be effective August 31.
The revised rate proposal will be posted on the Saskatchewan Rate Review Panel’s (SRRP) website at www.saskratereview.ca within the next few days. Comments on the rate proposal can be provided to SRRP through its website, or by calling toll free 1-877-368-7075 or emailing firstname.lastname@example.org.