Insurers prepared for Alberta auto rebates while reform talks continue

About 90% of the auto insurance companies in Alberta had filed for rate rebates or credits as of January 14, although customers may wait months to actually receive their rebate.
The rollbacks are part of a provincial government plan to reform the auto insurance system which began with a rate freeze on October 30, 2003, and continues with negotiations ongoing. The rebate is for those customers who received a premium hike after October 30 although their driving status had not changed.
Under the new system, the government has set a “baseline” premium and a new standard for placing policyholders above or below this baseline. However, talks continue between the government, insurers and lawyers over a variety of issues including definitions for impairment. These discussions should bear fruit in the late spring, the government says.
In the meantime, most insurers have said they will hand out the rebates between now and April.