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George Sweeney, MHA for the District of Carbonear-Harbour
Grace, says government’s automobile insurance reform package does very
little in the way of savings and benefits for the average consumer in the
province. "For a government that went into the
election ten months ago with a plan to reduce rates and provide fairness to
consumers they have fallen far short of expectations," said Mr. Sweeney. "I
am telling consumers not to accept this proposal as being satisfactory. The
public was promised 20-30% savings before the election but now the
Conservatives are substituting this watered down proposal that simply does
little for consumers.
"I now understand that many consumers will experience
a net increase in their policies since the announcement of a freeze on March
17th. Government led consumers to believe they would receive a
9-15% reduction on their insurance policies with refunds being issued
retroactively to March 17th. This is simply not the case and
government should not have falsely raised the expectations of consumers.
Government failed to tell consumers that the freeze only prevents companies
from applying for new rate increases and all other previously approved rate
hikes will be implemented at a cost to consumers."
Sweeney feels it is unfortunate that government felt
the need to push forward with a $2500 deductible despite public outcry that
it would not work. "Consumers are being forced to give up some of their
right to compensation for a cost savings plan that is minimal now and will
not work at all over time. I anticipate rates will begin increasing again as
soon as the freeze is over next year. Government should have implemented the
cap they announced last year."
The Opposition Critic is also concerned with recent
tactics used by the Department of Government Services to withhold
information under the Freedom of Information Act. "The opposition has
received correspondence from the Department on two occasions rejecting
information unless we pay for the documents. I don’t call that keeping a
commitment to being open, transparent and accountable."
Sweeney believes government is hiding information
concerning the status of Public Utilities Board (PUB) involvement in the
insurance reform file. He believes the opposition received a bill of $195
for information because government is trying to make it difficult for the
opposition to get information. "I have been given information from other
sources that indicates government’s own numbers do not match those of the
insurance industry and I believe they want to cover it up. Additionally,
while government claims to have a plan for further reforms, I believe
they’re much further behind than they’re willing to tell the public."
Sweeney is also calling on Minister Whalen to inform
the public of the cost of a public relations campaign being launched to
promote the insurance reform package during the current polling period. The
PC party was very critical last year when the Liberal government issued a
similar householder, claiming it was an unnecessary expenditure of public
funds to promote the government with taxpayers money. |