Manitoba Public Insurance warns rate hike may not cover storm costs

Manitoba Public Insurance (MPI) informed the Public Utilities Board that its current application for a 2.38 per cent vehicle insurance rate increase does not account for reinsurance costs stemming from severe summer storms.

During the opening of a three-week hearing, MPI chief actuary Cara Low stated that the proposed increase will likely be inadequate to cover costs due to anticipated rises in reinsurance premiums. The storms, which affected southern Manitoba between June and August, resulted in nearly 41,000 submitted claims involving floods, tornadoes, and hail.