SGI will be providing customers with an estimated $350 million this spring by issuing one-time rebates to all registered vehicle owners, while also improving the benefits offered to its most seriously injured customers.
The new rebates are being offered due to the Saskatchewan Auto Fund Rate Stabilization Reserve being in a very strong financial position, said Minister Responsible for SGI Don Morgan, in a press release.
Strong investment earnings for the Rate Stabilization Reserve (RSR) during the past fiscal year and fewer collision claims due to the COVID-19 pandemic were contributing factors to this decision.
“As a result, SGI will pass on these earnings to the people of Saskatchewan by issuing rebates to all registered vehicle owners and by improving injury benefits,” said Morgan.
The Crown corporation has been approved by the provincial government to issue the one-time rebates, totalling $285 million, this May. Cheques will be delivered through the mail to all SGI customers who have paid Auto Fund premiums in the last three years and are residents of Saskatchewan.
The amount each customer will receive will vary, as the rebates are being calculated based on a proportion of vehicle premiums paid in the previous three years. SGI expects the average rebate will work out to $285 per vehicle, or about 26 per cent of an average annual premium in Saskatchewan.
Due to the nature of the Auto Fund and the RSR, SGI said that it will be able to absorb the one-time cost associated with issuing this rebate with no disruption to insurance rates.
SGI will also be enhancing the benefits offered to customers who receive long-term injury benefits as a result of being injured in vehicle collisions.
Customers who require assistance with daily tasks will see the maximum payments for those services increase to reflect current market rates. This is expected to affect more than 1,100 individuals.
Customers who receive income replacement benefits from SGI and the Canada Pension Plan will also see changes, as their SGI income benefits will no longer be reduced by their CPP payment. This is expected to benefit approximately 200 people.
To verify your mailing address is correct or to find more information about these changes, visit MySGI.ca or contact your local motor license issuer.
