Alberta gets first pay-as-you-go auto insurance
Alberta gets first pay-as-you-go auto insurance | Insurance Business Canada
Motor & Fleet
Alberta gets first pay-as-you-go auto insurance
CEO hails launch as a way of “living up to our promise”
Motor & Fleet
By
Terry Gangcuangco
The Alberta Motor Association (AMA) has launched AMA MyPace, the province’s first pay-as-you-go auto insurance policy.
Offered by AMA subsidiary Alberta Motor Association Insurance Company (AMAIC), the new product will allow drivers of low-mileage vehicles to save on insurance costs by paying based on the number of kilometres driven. The likes of theft and hail, meanwhile, are covered via a fixed fee.
“Albertans are driving their vehicles less,” AMAIC chief operating officer Rob Jesso said. “AMA MyPace is designed to meet their changing insurance needs and save money.
“AMA MyPace is a whole new way to look at insurance. Albertans with low-mileage vehicles can now take more control of their monthly bill.”
Citing findings from a 2023 members poll, AMA said nearly 60% drive their vehicle for no more than 9,000km annually. AMA MyPace is considered a suitable option for those who do not go to the office as frequently as they used to, households with more cars than people, transit commuters, and retirees.
Minister of Finance Nate Horner, whose camp is not affiliated with AMAIC, commended the new insurance product.
“We’re working to find new ways every day to reduce costs on Albertans, and it’s great that AMA is providing more auto insurance options for Albertans that drive less than the average to lower their rates and give them more money in their pockets,” Horner commented.
To bring AMA MyPace to Alberta, AMAIC partnered with telematics firm IMS.
Michelle Chimko, president and chief executive of AMA, said, “AMA has been a trusted brand and market leader in Alberta for almost 100 years. The launch of this innovative product is another way we’re living up to our promise of Albertans protecting Albertans.
“We’re proud to provide Albertans an additional choice as we try to tackle affordability in our province’s auto insurance market.”
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