Good news and not so good news for Quebec drivers
Good news for all holders of a Class 5 driver's license (passenger vehicle): this week, the Société de l'assurance automobile du Québec announced another insurance contribution payment vacation.
In concrete terms, the cost of a driver's licence will therefore be $25.50 in 2024, which means that drivers will save $101.55 - or $186.50 for holders of licences combining classes 5 and 6 (motorcycle).
This is the third year in a row that SAAQ has granted such a payment vacation. The measure will deprive the crown corporation of some $600 million in total. This is due to the significant reduction in collisions and claims during the pandemic, which resulted in a capital surplus in the Automobile Insurance Fund.
The SAAQ has also announced the extension of the measure to reuse driver's license and health insurance card photos. People whose photos expire in 2024 will therefore not have to go to a point of service to have them taken, saving around 50,000 visits per month. A payment notice will be sent to the customers concerned in the first mailing, followed by the new license in a second mailing.
Car insurance premiums on the rise...
Meanwhile, we learn from the HelloSafe platform that the average car insurance premium in Quebec rose to $796 in 2022, an increase of 2.6% in one year. Small consolation: this rate is lower than inflation. On the other hand, the increase since 2012 is 49.6% for the province as a whole.
Nord-du-Québec ($1239) is the Quebec region with the highest average auto insurance premium, ahead of Montreal ($991), Laval ($893) and Outaouais ($839). Conversely, the regions with the lowest auto insurance premiums are Chaudière-Appalaches ($684), Centre-du-Québec ($668) and Bas-Saint-Laurent ($642).
Men paid on average 9.2% more in car insurance premiums than women in 2022, according to the survey.
A total of $4.33 billion was collected in premiums by auto insurers in 2022, an amount 2.8% higher than in 2021. At the same time, claims reimbursements exploded by 39.5% in one year.
The data comes from the Groupement des assureurs automobiles du Québec.
