Manitoba’s Crown-owned auto insurer to undergo review after costs, staff rise

The Manitoba government is ordering an external review of its automobile insurance Crown corporation, where costs and staffing levels have risen.

Kelvin Goertzen, the minister responsible for Manitoba Public Insurance, says there are several concerns that led him to take action.

The cost of a technological overhaul called Project Nova has nearly tripled in three years, and the corporation has submitted plans to increase its staffing by 420 people, or 21 per cent.

Goertzen also says he has concerns over untendered contracts that have been issued.

The provincial regulator, the Public Utilities Board, has raised questions about the corporation’s actions and spending plans.

Goertzen says the external review is expected to be complete by the end of the year and Manitoba Public Insurance has been ordered to not propose any more rate changes or make major changes to its operations until then.

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No one at Manitoba Public Insurance was immediately available for comment.

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