Despite the challenges of the COVID-19 pandemic, Manitoba Public Insurance (MPI) reported that it is financially healthy – and that could translate into favourable rates for auto insurance customers.
In a standing committee meeting of Crown corporations, MPI CEO Ben Graham hinted that Manitoban drivers are in for a treat.
“Without letting the cat out of the bag … let it be known that Manitobans should be extremely happy in about two weeks from now,” Graham said.
The chief executive believes that even as the pandemic restrictions slowly relax and the number of claims rise, MPI’s next rate request – to be filed with the Public Utilities Board later this month – will be received favourably.
CBC News reported that it is unclear whether Graham is referring to a rate freeze or a reduction.
Graham added that MPI has been diligent in handling its finances, and that the corporation did not have to issue any layoff notices during the pandemic.
“I think it’s fair to say that the corporation has never been financially stronger,” he said.
Instead of laying off staff who saw reduced work, such as adjusters, MPI signed 250 people on to a work-share program. This meant that the federal government covered up to 40% of those employees’ salaries, while MPI covered the remainder.
MPI has also redeployed 60 employees to help with Shared Health’s programming.
The Crown corporation is also continuing to push for increased online delivery of its services, Graham explained. The insurer has several requests for proposals to find firms that can build the back end of a user-friendly interface – one that would allow customers to complete simple transactions online. That process, however, has been pushed back for several weeks due to the pandemic delaying business operations.
