FREDERICTON, NB, May 9, 2013 /CNW/ - Insurance Bureau of Canada (IBC) will work with the government and the insurance industry to ensure smooth implementation of the changes to the minor injury damages cap for New Brunswickers.
The Government of New Brunswick announced that it will increase the pain and suffering damages cap for people suffering minor personal injuries in automobile collisions to $7,500 from $2,500 on July 1, 2013, and will increase that maximum amount annually beginning January 1, 2015 in accordance with the Consumer Price Index for New Brunswick.
"A sustainable and stable auto insurance system must strike a balance between providing adequate benefits for the few people who make claims and affordable premiums for everyone who drives. The government's decision to increase the minor injury cap changes that balance to provide more benefits that we hope will serve to benefit New Brunswick drivers," says Steve Olmstead, Manager of Government Relations, IBC.
"We know that caps can work, and that caps are a fair and reasonable way to control claims costs and deliver affordable premiums for consumers. We will work with the government and stakeholders to ensure that the province's auto insurance system continues to serve the needs of New Brunswickers," adds Olmstead.
About Insurance Bureau of Canada
Insurance Bureau of Canada is the national industry association representing Canada's private home, car and business insurers. Its member companies represent 90% of the property and casualty (P&C) insurance market in Canada. The P&C insurance industry employs over 115,000 Canadians, pays more than $7 billion in taxes to the federal, provincial and municipal governments, and has a total premium base of $44 billion.
SOURCE: INSURANCE BUREAU OF CANADA
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