REGINA – The Saskatchewan government has applied the brakes to a huge insurance rate increase for motorcycle riders.
Last month, Saskatchewan Government Insurance (SGI) asked the rate review panel to remove the cap for increases to motorcycle premiums, saying it was not fair to have vehicle owners subsidize rates for the group.
In some cases, insurance would have jumped over 70 per cent.
The government has stepped in and told SGI to cap motorcycle increases at 15 per cent.
“We heard loud and clear from the motorcycle community that the proposed increases would cause unreasonable financial hardship for bike enthusiasts, and could negatively impact business owners who deal in motorcycle and related equipment sales,” said Donne Harpauer, the minister responsible for SGI.
Under the revised proposal, motorcycles with annual rates greater than $1,000 would be capped to a maximum 15 per cent increase while those with annual rates at $1,000 or less would have a dollar increase to a maximum of $150.
Harpauer has also directed SGI to review its rating approach for motorcycles, including injury benefit levels, and to examine ways to improve motorcycle safety programs.
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