Manitoba Public Insurance (MPI) is preparing to hand out rebates to all its public, private, commercial and motorcycle policyholders to help ease their financial burden amid the COVID-19 pandemic.
The rebate cheques will be issued at rate of 11%, which means the rebates will range from $140 to $160 per client on average. MPI has advised its customers to expect the cheques between the end of May and early June.
The $58 million rebate is part of the Pallister government’s $110 million plan to offer the province’s ratepayers rebates as claims decline at the height of the outbreak. The plan was approved by Manitoba’s Public Utilities Board in April.
“This will return money to Manitobans at a time when they need it most,” said Jeff Wharton, Manitoba Minister of Crown Services.
As MPI prepares to issue rebates, the Insurance Bureau of Canada (IBC) has called out the Insurance Corporation of British Columbia (ICBC) for not doing the same, despite a 46% reduction in claims and a $158 million drop in claims costs between March 15 and May 02 amid the pandemic.
“ICBC has benefited financially from a reduction in claims during the pandemic. Unfortunately, it is more focused on its own bottom line than providing financial support to British Columbians during their time of need,” said Aaron Sutherland, IBC Pacific vice-president.
“While private insurers across Canada have taken steps to provide financial relief to their customers during this crisis, ICBC is turning their back on drivers in this province,” he said.
The ICBC’s inaction prompted the IBC to release a statement advocating for the province to open its insurance market to competition.
“If ICBC will not provide financial relief to drivers in this province, it’s time to give British Columbians the ability to shop around and find an insurer that will,” Sutherland said.
