Alberta pays the most for auto insurance, report suggests

A new report finds Alberta drivers are paying much more to insure their vehicles, adding fuel to the fire of the opposition's suspicions that the government is gouging residents.

The Insurance Corporation of British Columbia commissioned accounting firm Ernst and Young to look into the issue and compare rates among those living throughout Canada.

The report came out with 30 customer profiles of varying ages and driving experience and determined Alberta drivers pay far and above what other Canadians do to get behind the wheel.

One example from the study was an 18-year-old with two years driving experience, with a 2012 Honda Civic LX with no claims or convictions.

While that individual would pay just $1,100 in Saskatchewan, an auto policy would cost him $5,900 in Alberta.

The official opposition says it's a clear example of how things are out of control in Alberta.

"They are hurting affordability for regular Albertans," Alberta NDP leader Rachel Notley said Monday.

"Why is there no action to deal with that in the so-called inflation plan?"

Premier Danielle Smith says her government will "take a look at what is happening."

"(We'll see) if there's anything that we have to address," she said.

When the NDP was in charge, it instituted a cap on auto insurance premiums, but the UCP government removed it.

Former premier Jason Kenney claimed the NDP's policies were forcing insurance companies to leave Alberta because they were losing money.

The opposition says under the UCP, insurance companies enjoyed more than $1 billion in profits in 2020 thanks to higher premiums.

The comparison study did not include Quebec or New Brunswick.