Rocky View County couple slapped with massive bill over postal code change
A simple postal code change was supposed to be a positive thing for Jim and Dianne Novak but instead, the couple has been battling their insurance company — SGI Canada — over a premium charge on their bill.
Jim says after notifying their insurance broker of the change, they received a bill in the mail for $625.
“I explained to her that we’re not paying the extra premium just for a change of address,
he said. "We didn’t move.”
The Novaks have been in the same house for 30 years, using the same PO Box.
As part of the civic addressing program, Canada Post changed the Novak’s PO Box number to a physical address.
The company says the program has been implemented in many rural regions across the country to improve the delivery system and help 911 responders locate emergencies.
The Novaks were happy to see the switch.
“We were kind of excited because a lot of companies won’t deliver mail or parcels to a PO Box but they will to a street type of address,” said Jim.
But then the couple found themselves dealing with the unexpected expense. Dianne says their broker told them it’s because of their new address and postal code, despite not physically moving.
“We are lumped in with the City of Chestermere,” said Dianne.
“Now we are all lumped into a broad area that insurance companies will use to pull their statistics from to generate their premiums.”
The Novaks say their insurance broker told them their premium would be waived for this year but they’ll be expected to pay the higher fee moving forward.
After CTV News reached out to SGI Canada, a representative said they are working on the issue and admitted the extra charge should not have happened, saying, “If there were no changes to the underlying risk then an increase of this magnitude is not typical.”
In an email, the company said the first three digits of the Novak’s postal code is used in other, already existing postal codes and their system didn’t automatically flag it as a newly created postal code, which defaulted to a high rate.
Furthermore, the company said, “Our process is to implement a temporary fix to adjust the postal code back to the original one, so the customer will not have to pay a higher rate.”
Jim says they haven’t personally heard from the company yet about the fix but they are happy to hear something is being done.
"SGI has been really good with us overall over the years," he said
"Just this surprise bill is not sitting very well."
SGI Canada says it is working to identify other customers who may be impacted by a change to their postal codes.
CTVNews.ca Top Stories
Police arrest 3 Indian nationals in killing of B.C. Sikh activist Hardeep Singh Nijjar
Three people have been arrested and charged in the killing of B.C. Sikh activist Hardeep Singh Nijjar – as authorities continue investigating potential connections to the Indian government.
Five areas Canada's foreign interference commissioner says needs more investigation
Commissioner Marie-Josee Hogue released her interim report examining foreign election interference on Friday. Here are five elements of the issue that Hogue says she needs to further probe before she can make conclusions or recommendations.
Police officer hit by driver of fleeing vehicle in Toronto
York Regional Police say they are continuing to search for a suspect in an auto theft investigation who was captured on video running over a police officer in Toronto last month.
Why your airfare may be getting more expensive
Skyrocketing airfare prices are linked to heightened competition and rising food and fuel, according to the CAA.
TD worst-case scenario more likely after drug money laundering allegations: analyst
TD Bank Group could be hit with more severe penalties than previously expected, says a banking analyst after a report that the investigation it faces in the U.S. is tied to laundering illicit fentanyl profits.
New weight-loss drug Wegovy not a 'magic bullet,' doctor warns
As Wegovy becomes available to Canadians starting Monday, a medical expert is cautioning patients wanting to use the drug to lose weight that no medication is a ''magic bullet,' and the new medication is meant particularly for people who meet certain criteria related to obesity and weight.
Drew Carey is never quitting 'The Price Is Right'
Drew Carey took over as host of 'The Price Is Right' and hopes he’s there for life. 'I'm not going anywhere,' he told 'Entertainment Tonight' of the job he took over from longtime host Bob Barker in 2007.
Funeral today for broadcasting legend and voice of 'Hockey Night in Canada' Bob Cole
A funeral is being held today for hockey broadcasting legend Bob Cole in his hometown of St. John's, N.L.
Foreign meddling 'did not affect' overall federal election results: inquiry report
Foreign interference by China did not affect the overall results of the 2019 and 2021 general elections won by Justin Trudeau's Liberals, a federal commission of inquiry has found.