REGINA – Cyclists are crying foul over a proposed increase to the cost of insuring their motorcycles.
On Friday, the Saskatchewan Government Insurance announced it had applied to the rate review panel to increase the auto fund rate by an average of 1.03 per cent along with a three-year 1.23 per cent surcharge on rates.
SGI also asked to have the cap removed from motorcycles to end the subsidization of those claim costs by other vehicle owners.
The move has many motorcycle owners upset and they have taken to social media to express their outrage and are thinking of starting a petition.
“This just seems to be short-sighted and terribly heavy-handed,” said Don Fuller, who has been riding motorcycles since 1968.
Fuller said the insurance on one bike he owns will now cost over $5,000, up from $1,500 he is currently paying.
SGI said a factor behind the increase is the cost of injuries.
“Motorcycles are a recreational vehicle, not a primary vehicle for year-round use, and their injury claim costs are excessive,” said Andrew Cartmell, CEO and president of SGI.
Cartmell also said it isn’t fair for other vehicle owners to subsidize rates for motorcyclists.
The proposed rate increase would go into effect on Aug. 31 if approved by the rate review panel and cabinet.
Comments