NDP bill reduces insurance premiums for people who install snow tires
December 8, 2015
Today the NDP will introduce a bill to improve road safety by reducing insurance premiums for people who install snow tires.
The changes to the Insurance Act provide a discounted insurance rate for all passenger vehicles with snow tires installed between December 1 and March 31. The discount will be determined by the UARB. The law takes effect in July 2016.
In Ontario, a similar law comes into effect on January 1, 2016. It will save people who install snow tires up to 5% annually on their insurance premiums, or about $80 per year.
MLA Sterling Belliveau says by helping people save money, the bill will help reduce winter automobile accidents.
“Snow tires help improve road safety during the winter months and this bill will encourage more people to install them,” says Belliveau. “The average price of a set of snow tires is about $600, this insurance discount will allow families to recoup much of that cost over the 3-5 year lifespan of their tires.”
Belliveau adds, “At last count about 73% of drivers in Atlantic Canada use snow tires. Given our harsh and unpredictable winter driving conditions, anything government can do to increase that percentage only makes sense.”
In October of this year, a spokesperson for the Nova Scotia Department of Finance said the government was open to considering legislation similar to Ontario’s.