Will your auto-insurance rates be lowered?
The New Democrats say the Liberal government is backtracking on
lowering the benchmark for insurance industry profits that's set by
the provincial regulator.
The N-D-P says Finance Minister Charles Sousa promised to lower
it to nine per cent from 12 per cent, but it's only been reduced to
11 per cent.
The New Democrats claim that'll make it more difficult to reach
the promised average 15 per cent cut to auto insurance premiums
across the province.
Sousa says 11 per cent is just a benchmark and the actual return
on equity for insurers is about four per cent.