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MPI Issuing $110M in Rebates Due to COVID-19

April 23, 2020 11:21 AM | News

Cars - TrafficWINNIPEG — Manitoba Public Insurance is issuing rebate cheques to policyholders in the next few weeks due to a reduction in collision claims amid the COVID-19 pandemic.

MPI will be returning up to $110 million in an effort to provide financial relief to drivers.

“Many Manitobans have been financially impacted by this crisis,” said Crown Services Minister Jeff Wharton.

“MPI is proactively providing relief when it is needed most by issuing rebates to its customers as an alternative to future reduced premiums.”

Rebates will be about 11 percent, or between $140 to $160 per policyholder. Cheques will be issued at the end of May to early June.

MPI will return approximately $50 million to ratepayers but will require the approval of the Public Utilities Board for the additional $60 million.

Collision claims are down 48 percent as of mid-April compared to the same month a year ago as fewer people are on the roadways and many Manitobans are working from home. The Crown corporation expects future savings based on public health orders and the provincial state of emergency extending until May 18.

The Insurance Brokers Association of Manitoba applauded the province’s move.

“Claims at MPI are reduced as a direct result of COVID-19 and we believe it is sensible and practical to return these savings to hard-working Manitobans, especially now,” IBAM president Grant Wainikka told ChrisD.ca in an email.

Details of the rebates will be made in the coming weeks through MPI’s website.

Watch the announcement below: