By CRM staff
Toronto, Ontario – April 10, 2019 – Saskatchewan Government Insurance hosted its first of several town hall meetings on Tuesday night. The meetings provided Saskatchewan repairers with information about what is expected from the new tiered compensation policy the insurer had announced last month.
As Saskatchewan Association of Automotive Repairers executive director Tom Bissonnette said the main concern was around what the door rate for the shops that are going to be investing in the required tools, equipment and training.
“Currently there is speculation that SGI will reduce the rate on the tier 2 shops and keep the current rate for the tier 1 shops. Based on the comments that I heard last night that is obviously not acceptable. Shops are being asked to gear up and train up, so they are expecting an increase in their door rate.”
According to Bissonnette, SGI has been pointing to the fact that repairers in Saskatchewan have one of the highest labour rates in Canada at $92.68 an hour. But he pointed out that the overall claim severity is nowhere near the highest in the country.
“What does that tell you? If you’re not getting paid for all the functions that you perform in the shop it really doesn’t matter what the door rate is, does it?” he said.
The next meeting will be held on Wednesday night in Regina and then Yorkton on Thursday.