Another major stakeholder is offering its thoughts and insights on the state of Newfoundland and Labrador’s auto insurance system.
The province’s local Canadian Union of Public Employees (CUPE) division has participated in Phase II of the comprehensive review of the province’s automobile insurance system, conducted by the Public Utilities Board.
The trade union for public employees has made a submission to the review, saying that the process “provides a valuable opportunity to explore the possibility of creating an improved automobile insurance system for the province.”
“Premiums for automobile insurance in Newfoundland and Labrador are among the highest in the country,” commented CUPE NL president Wayne Lucas. “The provincial government requires drivers to purchase automobile insurance. Therefore, it must make sure that costs are reasonable and benefits are fair.”
In its submission, CUPE said that it supports the creation of a “publicly owned, non-profit system with fair non-discriminatory rates and high-quality coverage for all licensed drivers including private-passenger drivers, independent commercial owner-operators, and drivers for fleet companies.”
CUPE believes a public automobile insurance company for Newfoundland and Labrador is the best way to address the province’s steep rates and reduced benefits. The submission then cited provinces that already have such a system in place – British Columbia, Quebec, Manitoba and Saskatchewan. According to CUPE, these public insurers “offer good insurance products at lower premiums and generate capital to re-invest in their respective provinces.”
“There are ample experiences in other jurisdictions to help create a ‘made-in-Newfoundland-Labrador’, full-service system that will meet the vehicle insurance needs of the people of our province,” Lucas said.