Approximately $69 million MPI rebate coming, insurance rates could be lowering

Close to 675,000 Manitoba Public insurance customers will be getting a second cheque in the mail soon.

MPI is distributing a second round of rebate cheques due to lower rates of collisions in 2020. Crown Services Minister Jeff Wharton announced an additional $69 million, on top of the $100,000 issued in the spring, will be given to customers. 

"This rebate to our customers is a combination of fewer claims and our continued focus on fiscal prudence. MPI continues to operate in a high-efficient manner, aimed at delivering value to Manitobans," Satvir Jatana, acting CEO and president of Manitoba Public Insurance says.

The cheques will amount to approximately $100 per policyholder.

Rebates will be close to six per cent of the customer's annual Basic Autopac premium. The minister says that the funds will arrive after Christmas into January. 

“This second rebate will assist Manitobans as we all work together in getting through this challenging time in our province,” Wharton says. 

The minister says that overall, there have been fewer vehicles on the road and subsequently fewer crashes. Collision rates are down by 20 per cent in the period of March to October compared to last year. 

There was also a recent 8.8 per cent overall rate decrease request sent to the Public Utilities Board. Jatana says this, and the rebates, will not have a negative effect on the crown corporation's bottom line. The rate decrease and rebate, if approved, will take effect on April 1, 2021, saving the average MPI customer an average of about $110.