Alberta Is Freezing Car Insurance Rates For 2023 & Here's What It Means For Drivers

The Alberta Government has announced it will be hitting the pause button on any rate increases for car insurance in 2023 as living expenses in the province continue to rise.

In a news release, the government said insurance rates for personal vehicles wouldn't be increased "in light of the current inflation crisis."

While the Alberta Government said no new rate increases will be approved for the remainder of 2023, unfortunately, those Albertans that are renewing their private vehicle insurance might still see their rates increase.

Reasons for increased renewal rates could be down to previously approved rate changes, if you have any at-fault claims or tickets on your driving record or if the details on your insurance profile have changed, for example, if you've moved to a new address or you're insuring a different vehicle.

There's also good news if you're struggling to pay your annual insurance premiums upfront, as the government said it is requiring insurance companies to provide Albertans with the ability to pay through payment plans instead.

Despite the rate freezes, Albertans still have a pretty raw deal with a recent study by insurance comparison site Hello Safe, revealing that the province currently pays the highest car insurance premiums in the whole country.

According to the study, the median premium paid by drivers in Alberta is around $3,151, which means Albertans have to fork out almost $2,000 more than their neighbours in Saskatchewan.

Calgary and Edmonton specifically are the cities with the highest premiums in the country, with residents paying $3,182 and $3,150 respectively.

So while rates are going to be frozen, don't expect to pay less for auto insurance anytime soon!