News Release
Office of the Official Opposition

 

 

Sweeney says insurance reforms taking too long

One year freeze will soon be over

January 6, 2005

George Sweeney, Opposition Government Services Critic and MHA for Carbonear - Harbour Grace District, is asking government to provide a status report of the automobile insurance review that was tasked by government to the Public Utilities Board (PUB).

"People are asking me why they haven’t seen any meaningful change in their insurance rates despite government’s promises to deal with the issue," said Sweeney. "The first round of reforms passed last June were a complete failure in bringing down rates and it is time for government to move forward with meaningful reform.

"There has been no official date released for the public hearings that were first announced by government last August. Government continues to drag their feet on the insurance file because of their unwillingness to limit payouts for pain and suffering. Their use of the PUB to carry out this work is irresponsible and is allowing reforms to be delayed unnecessarily.

"The PC government promised the same rate reductions and cap that was implemented in the other Atlantic Provinces. There is no reason why they should not have moved forward with those reforms a year ago and allowed consumers in this province to reap the same benefits as other Atlantic Canadians. Instead, we are forced to endure further delays and possible increases later this year while government tries to make a decision.

"The rate freeze passed last year will end March 17th and rates will continue to rise because government failed to pass reforms that would reduce rates and keep them down in the longer term. A real limit on pain and suffering is the only way government can control rates in the long term."
 

Media Contact:
Jeff Mackey
Office of the Official Opposition
709-729-6427