IBC says new survey shows strong approval for lower legal costs
Among Albertans responding to a survey conducted through a collaboration between Yorkville Strategies, Inc. and the Insurance Bureau of Canada (IBC), 62 percent expressed support for the provincial government’s Care-First auto insurance reforms, which will take effect on Jan. 1, 2027.
“This is a welcome change for Alberta drivers who, on average, will save hundreds of dollars annually, while receiving the best care and benefits in the country if they are injured in a collision,” said Aaron Sutherland, IBC’s vice president, Pacific and Western, in a news release.
When asked about the Care-First model’s most important feature, 51 percent said lower prices, while 21 percent answered the improved benefits and care for those sustaining injuries in collisions.
IBC said the survey showed strong approval for lower legal costs. Of Albertans surveyed:
- 57 percent would accept a decreased ability to sue in exchange for Care-First’s expected benefits and savings
- 13 percent wanted to keep the right to sue at its current level under the existing auto insurance regime
“Legal cost pressures currently account for 20% of premiums drivers’ pay,” Sutherland said. “The new system will deliver lasting premium stability for drivers by removing most of these escalating costs and putting a greater focus on care over court for those injured in collisions.”
Among those surveyed, 81 percent wished the Alberta government would do more to bring insurance companies back into the market.
The live telephone survey, which took place in May, sought input from 850 adult Albertans. IBC acknowledged a margin of error of ±3.5 percent.
IBC’s efforts
Of Albertans surveyed, only a third said they knew that the new system would take effect next January. Last week, IBC began a campaign to help Albertan consumers get ready for the upcoming Care-First model and spread awareness about the changes.
“Price stability in auto insurance is welcome relief from the affordability challenges straining many other areas of the economy,” Sutherland said in IBC’s news release. “Alberta’s insurers look forward to working with the government to finalize Care-First and deliver it to customers in January 2027.”
IBC plans to keep encouraging the provincial government to devote efforts to making the auto insurance market more competitive and to reduce red tape to enable further decreasing premium
