Winnipeg Free Press - ONLINE EDITION

Spike in claims could lead to hiked MPI rates

  • Print
Cars collide after sliding on an icy, rutted Ellice Avenue. Manitoba Public Insurance reports that collision and injury claims were up 17 per cent in December compared to the same month last year. There have already been more than 16,000 collision claims in January.

JOHN WOODS / WINNIPEG FREE PRESS FILES Enlarge Image

Cars collide after sliding on an icy, rutted Ellice Avenue. Manitoba Public Insurance reports that collision and injury claims were up 17 per cent in December compared to the same month last year. There have already been more than 16,000 collision claims in January. Photo Store

The good news: Manitoba Public Insurance reported a net income of $64.5 million for the nine months ending November 30, 2013 – representing an increase of about $50 million over the same period last year.

The bad news: The "volatile" current environment of record claims being made in December and January may impact MPI rates beginning in 2015.

"It might be blue skies now in the third quarter," said MPI spokesman Brian Smiley, "but in the fourth quarter, there’s storm clouds."

In December, collision and injury claims were up 17 per cent from the same month last year. There have already been more than 16,000 collision claims in January.

"It would be premature to predict any rate increase for 2015," Smiley noted. "But right now it’s pretty volatile."

The MPI rate increase of 0.9 percent for 2014-2015 takes effect on March 1. Any impact of the current collision rates wouldn’t be factored into MPI’s rate application until 2015-2016.

The most recent $64.5 million net profit was buoyed by a "strong, one-time investment gain" within MPI’s $2.3 billion portfolio.

Claims incurred for the nine months preceding November 30, 2013 increased by $11.0 million, or two per cent, compared to last year, said MPI’s vice-president and CFO Heather Reichert. Physical damage claims incurred increased by $19.7 million or 5.5 per cent, while bodily injury claims incurred decreased by $8.8 million or 4.7 per cent.

"After three quarters of the year, the corporation is in stable financial position thanks primarily to a rebound in the investment markets," Reichert added. "But we are entering the final quarter already facing much higher than normal winter claims counts."

Fact Check

Fact Check

Have you found an error, or know of something we’ve missed in one of our stories?
Please use the form below and let us know.

* Required
  • Please post the headline of the story or the title of the video with the error.

  • Please post exactly what was wrong with the story.

  • Please indicate your source for the correct information.

  • Yes

    No

  • This will only be used to contact you if we have a question about your submission, it will not be used to identify you or be published.

  • Cancel

Having problems with the form?

Contact Us Directly
  • Print

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

Have Your Say

New to commenting? Check out our Frequently Asked Questions.

Have Your Say

Comments are open to Winnipeg Free Press print or e-edition subscribers only. why?

Have Your Say

Comments are open to Winnipeg Free Press Subscribers only. why?

The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective April 16, 2010.

letters

Make text: Larger | Smaller

LATEST VIDEO

Paul Maurice addresses media at end of 13/14 season

View more like this

Photo Store Gallery

  • A mother goose has chosen a rather busy spot to nest her eggs- in the parking lot of St Vital Centre on a boulevard. Countless cars buzz by and people have begun to bring it food.-Goose Challenge Day 06 - May 08, 2012   (JOE BRYKSA / WINNIPEG FREE PRESS)
  • Goslings enjoy Fridays warm weather to soak up some sun and gobble some grass on Heckla Ave in Winnipeg Friday afternoon- See Bryksa’s 30 DAY goose challenge - May 18, 2012   (JOE BRYKSA / WINNIPEG FREE PRESS)

View More Gallery Photos

Poll

Do you think Manitoba needs stronger regulations for temporary workers?

View Results

View Related Story

Ads by Google