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Facility Still Insuring 36,000 Nova Scotian Drivers

By NDP Caucus News Release
Mar 31, 2005, 12:29
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Halifax - Graham Steele, MLA for Halifax Fairview and NDP Insurance Critic, says the most recent Facility Association insurance numbers show that auto insurance reforms are not providing relief for Nova Scotia drivers.

The latest reliable numbers, from February 2005, show 35,898
vehicles covered by Facility, essentially unchanged from the average for the past year.

"It's about time the Conservative government stood up for
drivers instead of the insurance industry," says Steele. "When the government introduced their insurance plan in 2003, the Minister said he expected Facility enrolment to decrease by 10,000. Since then, it's increased by 4,000 drivers."

The Facility Association recently went before the Nova Scotia Insurance Review Board with an application for a rate increase of 14.7% for most drivers. On March 24, the Board instructed the Association to recalculate its numbers and re-appear in ten days.

The NDP was the only participant at the hearing taking the side of drivers. During the hearings, Steele pointed out that more than 60% of drivers in Facility have clean driving records, drivers who have not had an accident or conviction for at least three years.

"When New Brunswick was threatened with public auto insurance, they found a way to move 11,000 people out of Facility in five months. There is no reason we can't do the same in Nova Scotia."


 


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