Auto Insurance rate increases are being paused until the end of 2023 in Alberta in an effort to response to affordability concerns. The provincial government says in addition to pausing rates until the end of 2023, they will continue to develop what they’re calling short and long term solutions to steady rates.
“We share Albertans’ concerns about the rising cost of living during the current inflation crisis. We will continue to meet with members of the insurance industry to find additional longer-term solutions for automobile insurance,” says Finance Minister and Grande Prairie—Wapiti MLA Travis Toews.
However, despite the province saying no new rate increases will be approved, some drivers may still see rate increases on their renewals in the calendar year. The government says this may be due to previously approved rate changes, changes to driving records including at-fault claims and tickets, or changes to insurance profiles such as a new address or a different vehicle being insured.
“Affordability is a primary challenge facing many Albertans as rising inflation makes it challenging for many to afford necessities, including auto insurance. We are taking decisive action to protect Albertans from increased costs while working to keep Alberta affordable,” says Minister of Affordability and Utilities Matt Jones.
The province says insurance market is being closely monitored and the government will continue to look at options for further improvements.