Province Recommends Insurance Cap Increase
Justice Minister says government suggests $7,500 cap for minor injuries
From the Canadian Press
The provincial government is recommending an increase in the cap on automobile insurance payments for minor injuries, but is sending the issue out for more consultation before making any changes.
Last November, a government-appointed working group recommended changing the definition of minor injury, and an increase of the cap for compensation to between $4,000 and $6,000 from the existing $2,500.
Justice Minister Marie Claude Blais says the government is suggesting a cap of $7,500, the same as the cap set by neighbouring Nova Scotia in 2010.
However, Blais says the working group's definition of minor injury was too vague, and the government is suggesting one that includes a list of specific injuries.
She says the government wants input from the insurance industry in an effort to avoid any significant increase in premiums.
Automobile insurance rates in New Brunswick decreased last year, marking the seventh year in a row they have gone down.