New bill would launch Alberta's overhaul of auto insurance

CBC News

· Posted: Mar 24, 2025 4:56 PM EDT | Last Updated: 2 minutes ago

Finance Minister Nate Horner introduced a measure Monday helium says volition alteration Alberta's car security regime. 

Bill 47, The Automobile Insurance and Care-First Benefits Act, volition determination Alberta to what Horner describes arsenic a "care-first" strategy wherever the bulk of wounded claims are settled without going to court.

The state presently has a tort-based strategy wherever claims for terrible injuries are litigated successful court. 

Horner told reporters astatine a quality league Monday greeting that the outgo of litigation is driving up security rates. He says Bill 47, if passed, volition thrust down that amount. 

"You're fundamentally taking 20 per cent of the outgo retired of the strategy and that's going to beryllium fixed backmost to the strategy done accrued benefits and entree to healthcare and savings," helium said. 

"We're assured that, with what we spot successful different jurisdictions each astir us, that the savings volition beryllium there."

The setup resembles publically delivered "no-fault" systems successful Manitoba, Saskatchewan and British Columbia, but is delivered by backstage insurers. 

The quality to writer is reserved lone for radical progressive successful a collision wherever the at-fault operator was convicted of a superior driving offence. The offences that suffice arsenic superior successful the eyes of the legislation will beryllium listed successful aboriginal regulations. 

The authorities prescribes what radical injured successful a collision could expect to person covered by their insurer including aesculapian and rehabilitation expenses.  

If passed, the measure besides dictates that victims could besides expect a imperishable impairment payment if their injuries forestall them from moving oregon attending school. Families would person a decease payment if a loved 1 died successful a collision wherever they weren't astatine fault.

People recovered to beryllium astatine fault, owed to driving portion impaired for example, would person fiscal assistance to retrieve from their injuries but apt won't person different benefits specified arsenic the imperishable impairment benefit. Horner said this is the signifier successful different provinces with a no-fault system. 

Details specified arsenic erstwhile a unfortunate could writer for damages oregon erstwhile an at-fault operator could beryllium denied benefits beyond aesculapian attraction volition travel successful aboriginal regulations, too. 

An autarkic Alberta Automobile Care-First Tribunal would beryllium the spot wherever radical could entreaty if they are unhappy with the benefits provided by their security company. 

The caller strategy is acceptable to travel into effect connected Jan. 1, 2027.