Manitoba drivers to pay more for car insurance

Manitoba drivers will be paying a bit more for their car insurance over the next year.

On Wednesday, the Public Utilities Board approved a rate decrease of 3.8 per cent, which is set to take effect April 1.

This comes after Manitoba Public Insurance in October requested an overall rate drop of 0.05 per cent.

In its decision Wednesday, the board said this rate decrease is being offset by the removal of a 5.0 per cent capital release that MPI had applied for. Because of this, the average ratepayer will see an increase to their premiums of 1.54 per cent.

"Rates paid by individual ratepayers will vary depending on: driving record of the registered owner; vehicle make, model and year; purpose for which the vehicle is driven; and the territory in which the registered owner resides," the board said in its decision.

The Public Utilities Board said MPI saw 'significant' increases in its operating expenses largely due to staff increases. It said MPI's budgeted staff positions have increased from 1,939 in 2019/20 to 2,348 in 2023/24. MPI told the board that salary and benefits account for 55 per cent of its operating costs.

The increases in MPI expenses also come as a result of an IT renewal project, called Project Nova which is budgeted to cost between $257 million and $289.9 million.

You can read the Public Utilities Board's full decision online.