Alberta Brokers Want Voice in Auto Changes

New Alberta broker association president Mark Zemp says brokers want to be at the table for discussions of how to change auto insurance legislation. The recent Independent Insurance Brokers Association of Alberta (IIBAA) annual general meeting and conference in Jasper was not hampered by snowstorms hitting the province, but brokers are feeling left out in the cold.

Insurance CEOs met with the province’s assistant deputy finance minister Dennis Gartner for preliminary discussions at the conference and were set to meet with the Alberta Civil Trial Lawyers Association (ACTLA) later in May – but brokers were not at the table. “That is a major concern,” says Zemp. “It basically puts brokers in a ‘no-win’ situation with no input.” He says Gartner has assured the association it will be involved in future discussions.

The government had put out Bill-33 and received feedback from IIBAA on its proposals. While brokers agreed with such provisions as stopping “double-dipping” by accident benefits (AB) claimants (receiving payments from other sources as well as insurers), they had concerns with allowing policyholders to buy extended AB coverage. Zemp notes such coverage is rarely taken advantage of in provinces that offer it, and exposes brokers to a greater degree on errors & omissions (E&O) liability.

Zemp worries if insurers and ACTLA cannot reach a quick solution to rising AB costs, then the province’s finance minister Pat Nelson will impose a decision. Other issues on the agenda in the coming months will be final preparations for the 2004 introduction of federal privacy regulations, for which Zemp says many brokers still need to prepare.