Dominion of Canada adds to business in northern New Brunswick

Hot on the heels of the New Brunswick government’s decision to limit “pain and suffering” awards to auto collision victims, the Dominion of Canada General Insurance Co. says it has authorized brokers in The Huestis Group to do business with the company in northern New Brunswick. The move comes as a direct result of the government’s actions, says Dominion CEO George Cooke. “By recognizing that claims costs are driving the cost escalation in New Brunswick, the government has changed the business climate for insurance companies.” He adds that the company expects to announce premium changes next week.
The New Brunswick Tories also removed the restriction on territorial rating, in the wake of an election battle based on rising insurance premiums and lack of availability in some regions. “If I’m able to price the product on the basis of claim costs, I can sell the product; it is that simple,” says Cooke.
He adds that insurance companies want to see pain and suffering awards capped on minor injuries, but not limited for those with serious injuries. “I don’t think anyone, whether paying customer or insurance company, would want to see that taken away.”