MPI wants to issue rebates for 3rd time since start of pandemic, lower rate by 2.8%

Manitoba Public Insurance wants to reduce its rate for the third year in a row and issue rebates to Manitobans for the third time since the start of the pandemic.

The public automobile insurer on Monday requested an average rate decrease of 2.8 per cent.

Later this year, it also plans to file a separate application with the Public Utilities Board for an estimated $155 million rebate, with cheques expected to arrive in early 2022.

If both requests are approved, policy-holders will receive cheques for $150 to $200 each.

The minimum premium for a passenger vehicle will be about $1,130.

Last year, the PUB approved a rate decrease of 8.8 per cent.

MPI dished out rebatesthataveraged about$100 per customer in December, after issuing an average of $140 to $160 a few months into the pandemic.

Insurance claims have fallen dramatically during the pandemic, leaving MPI with surplus capital, the public insurer said.

The proposed rates would be effective April 1, 2022, but because renewal dates are staggered, some vehicle owners won't pay their new rates until March 31, 2023.