No-fault insurance

As the Alberta government considers further auto insurance reforms, a poll released by advocacy coalition Fair Alberta Insurance Regulations (FAIR Alberta) reveals a strong preference among Albertans for maintaining the current “at-fault” automobile insurance system over transitioning to a “no-fault” system.

The survey, aimed at gauging public opinion on potential changes to auto insurance in Alberta, indicates that a significant majority of respondents support the current at-fault model with low support for no-fault insurance.

The survey, conducted by Janet Brown Opinion Research, found that 63% of Albertans are in favour of the current at-fault insurance system, with only 25% indicating a preference for a no-fault system.

An additional 4% expressed support for a mixed system, while 8% were undecided. These attitudes have remained consistent with those measured in 2021, indicating a stable preference across the province over time.

Strong Preference for At-Fault System

“In light of our recent findings, it’s evident that Albertans have a strong preference for the at-fault insurance system,” says Janet Brown. “Our data shows a majority of the population is not only familiar with the current system but also prefers it over the alternative no-fault model.”

The poll also delved into Albertans’ perceptions of fairness concerning the no-fault insurance model, particularly its principle of treating responsible parties the same as those not at fault, and the prohibition of suing the at-fault driver.

A majority found these features of no-fault insurance to be less fair compared to the current at-fault system, with 61% opposed to equal treatment for victims and drivers responsible for accidents, and 71% of Albertans disapproving of the inability to sue an at-fault driver.

“Every Alberta driver must buy an auto insurance policy and we all deserve a system that is fair and affordable, but Albertans are clearly saying victims of accidents caused by bad drivers should have the right to hold the responsible parties accountable,” says Jackie Halpern, spokesperson for FAIR Alberta.

Desire for Lower Premiums

In terms of reforms to Alberta’s auto insurance system, the survey highlighted a strong public desire (68%) for the provincial government to explore options for lowering insurance premiums within the at-fault system. This was contrasted with a minimal 16% favouring the exploration of a no-fault system.

“A no-fault system takes power away from consumers and puts decisions solely in the hands of insurance companies,” added Halpern. “There is a better way to reform the system that promotes affordability for Albertans, accountability for insurance companies, and expands choices for consumers. We can do all of these things while protecting the rights of Albertans.”

The survey also found an increase in awareness among Albertans about no-fault insurance, with a 10-point rise since 2021 in the number of respondents at least somewhat familiar with the subject.

The survey of 900 Albertans was conducted between January 8 to 15, 2024. The margin of error is +/- 3.3 percentage points, 19 times out of 20. Full survey findings can be found here.

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