A.I. 57 (2001-2002)

 

 

 

 

 

 

IN THE MATTER OF THE AUTOMOBILE

INSURANCE ACT, CHAPTER A - 22,

R.S.N. 1990

 

        AND

 

IN THE MATTER OF AN APPLICATION BY

The Personal Insurance Company of Canada

TO IMPLEMENT REVISED RATES FOR ITS

PRIVATE PASSENGER CLASS OF BUSINESS.

 

 

 

 

WHEREAS, by application received June 29, 2001, The Personal Insurance Company of Canada applied to the Board for approval to implement a revised rating program for its Private Passenger class of business, and 

 

WHEREAS upon preliminary review, it was determined that a number of the proposed or adjusted proposed base rates did not conform with the 2001 benchmark rate ranges of acceptable rates, and


WHEREAS the applicant has submitted actuarial analysis in support of the establishment of rates which do not conform with the benchmark rate ranges of acceptable rates, and

 

WHEREAS the Board has submitted the filing to its actuaries for review and analysis and a report on the actuarial analysis submitted in support of the establishment of rates that do not conform with the benchmark rate ranges of acceptable rates, and

 

WHEREAS, on June 18, 2001, the Board received the report of its actuaries with respect to the filing of The Personal Insurance Company of Canada, and

 

WHEREAS the Board’s actuaries have advised the Board of the rates outside the Benchmarks supported by the filing, and

 

WHEREAS on June 28, 2001, The Personal Insurance Company of Canada, submitted a revised schedule of rates, proposing rates on a filed and adjusted basis that conform with those supported by the filing, and

 

WHEREAS The Personal Insurance Company of Canada has requested an effective date of September 1, 2001 for new business and renewals, and

 

WHEREAS the Board, after due examination and analysis of the revised proposed rating program, finds that it should be approved.

 

 

IT IS THEREFORE ORDERED THAT:

 

1.                  Order No. A.I. 17 (2001-02) be and it is hereby rescinded.

 

2.                  Approval be and it is hereby granted The Personal Insurance Company of Canada for the implementation of a revised rating program for its Private Passenger class of business with base rates as follows:

Territory

1

       2

         3

Third Party

$ 922.17

$ 477.44

$ 366.49

Collision

186.66

182.21

204.38

Comprehensive

101.93

  94.31

103.30

All Perils

261.07

251.06

279.79

Specified Perils

55.74

29.00

31.00

Accident Benefits

70.00

40.00

46.00

Uninsured Motorist

29.00

 9.00

7.00

 

 and differentials as submitted with this filing.

4.         The following discounts are approved for use subject to the eligibility criteria set out in the company=s underwriting manual:

  i.

no-claims

10%

All coverage

Classes 01, 02, 23, 03 and 07 only

 

  ii.

multi-vehicle

10%

All coverage

Classes 01, 02, 23, 03 and 07 only

 

iii.

 

 

 

 

iv.

age:  primary operator

            30 – 34 years

            35 – 54 years

            Over 54 years   

 

short commute

 

5%

8%

14%

 

7%

3%

 

7%

5%

 

All coverage

Classes 01, 02, 23, 03 and 07 only

 

 

Third Party Liability, Territory 1

Third Party Liability, Territory 2 and 3

 

Collision, Territory 1

Collision, Territory 2 and 3

 

5.      These rates shall be effective from September 1, 2001 for new business and renewals.

 

 

Dated at St. John's, Newfoundland, this 26th day of July, 2001.

 

 

                                                                 

Robert Noseworthy

Chairperson & Chief Executive Officer

 

 

 

 

                                                              

Darlene Whalen, P.Eng.

Vice-Chairperson

 

 

 

 

                                                           

Cheryl Blundon

Board Secretary

 

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