Auto insurance was sold expensively by New Brunswick drivers
On Monday, the provincial government said that they hope the 14,000 New Brunswick consumers who use Dominion auto insurance will have their rates rolled back significantly after the company’s 2010 rate application. According to evidences were submitted by the province, drivers could accept up to $1,000,000 worth of refunds.
The New Brunswick Court of Appeal prohibited the members of the New Brunswick Insurance Board who were at the original hearing from taking part and ordered the 2010 rate application be reheard
The New Brunswick Insurance Board was alleged by the province that has allowed the entire auto insurance industry to charge too much in New Brunswick for several years and Dominion as a test case to prove it. The province convinced allowing a rate increase in 2010 was a mistake and Dominion could still be profitable with a $1,000,000 rate cut.
Ed Keyes as past president of the New Brunswick branch of the Canadian Bar Association said that the New Brunswick Insurance Board is really on trial but the problem may be about Dominion. He added that you would hope if they were protecting the consumer by ensuring that there are fair and reasonable rates and the people making that decision and sitting on the Board would have entail experience to do so and quite frankly.