The Insurance Bureau of Canada (IBC) has launched BetterAutoAlberta.ca, a website intended to inform Alberta drivers about the upcoming Care-First auto insurance system. The new system is scheduled to come into effect in January 2027.
“Care-First is a promising step toward improving auto insurance in Alberta — and Better Auto Alberta is here to help bring clarity regarding the path ahead and what it means for drivers,” said Aaron Sutherland, vice-president, Pacific and Western, IBC. “This website is a resource to help Albertans better understand the reforms, stay abreast of the latest news and learn what else the provincial government can do to reduce the cost of auto insurance.”
Care-First is expected to change how injury claims are handled in Alberta, with an emphasis on quicker access to treatment and income support. It also seeks to reduce legal costs and streamline the claims process. The IBC said the website will be updated regularly and will offer information on how the new system is intended to function, along with the reasons behind the shift.
Alberta’s auto insurance market has faced ongoing cost pressures. According to IBC, the combined operating ratio for auto insurance in the province reached 97% in 2023, with 100% representing a break-even point. Seventeen insurers reported losses greater than 10% on their auto insurance operations that year.
Legal expenses linked to claims have increased by 31% since 2018 and now represent about 20% of the cost of mandatory coverage, roughly $200 per policyholder annually. At the same time, auto theft claims costs rose 55% between 2021 and 2023, with Edmonton and Calgary seeing increases of 65% and 59%, respectively.
In 2024, the provincial government introduced a temporary rate cap of 3.7% for certain drivers. Some insurers have said such restrictions could limit flexibility in pricing and impact the availability of coverage.
IBC said it will continue working with the Alberta government as details of the Care-First model are developed.
“Reforming a province’s auto insurance system is a significant undertaking, and it’s critical that the government gets the details right as it writes the new system into law,” said Sutherland. “IBC looks forward to working with the government to help ensure the new system works as intended, while keeping Albertans up to date on the latest via this new website.”
