Citing a strong fiscal year, Saskatchewan Government Insurance (SGI) has revealed that it is preparing an application for a rate decrease.
The application will be presented to the Saskatchewan Rate Review Panel later this year.
“Stay tuned, and we’ll be announcing what that decrease is in a couple of months,” SGI president and CEO Andrew Cartmell said, as reported by Global News.
Cartmell explained that it is too early to provide a rough estimate for the decrease, but added that the reduction would just be a few per cent.
According to SGI, the reduction was made possible due to the strong results in both its businesses – SGI Canada (home, injury, health and other types of insurance) and the SGI Auto-Fund – in recent years.
In particular, SGI Canada posted a $59.4 million profit in 2017-18. Of that amount, $35.8 million will go back to the province.
The insurer’s expansion in other provinces, such as Ontario, has also helped contribute to an 8.7% growth in premiums.
Global News reported that SGI’s continued inter-provincial expansion remains one of its central business strategies. The insurer is looking to have both SGI Canada and the Auto-Fund secure over a billion dollars in premium sales by 2020.
“We think we can grow in those other four provinces, and that’s where we’re going to be putting our efforts,” Hargrave remarked.