[troutman]

Lots of reaction:

Government shouldn't play favourites in fight over capped insurance awards
http://www.canada.com/calgaryherald/...3-f1179ae2cb11

It's not surprising that Jim Rivait, the Insurance Bureau's regional president, was taken aback by a judge's decision to strike down the cap on compensation for car accident injury victims. What a great deal that cap was for the insurance companies!

I don't know anybody who saved more than a few bucks, if anything, on their annual car insurance premiums.

However, I do know people who were injured by reckless drivers. Why should those victims lose out while the insurance companies rake in billions in profits per year?

Crash course for auto insurance
Alberta government faces conundrum after court ruling
http://www.canada.com/calgaryherald/...f-cb618304742d

Contrary to popular assumptions, insurance companies typically depend more heavily upon the stock market, than underwriting for their profits.

Would it make sense for the government to call the industry's bluff? If auto insurance is so unprofitable as the industry claims, why is it eager to move into provinces that have public auto insurance? It's an interesting question that perhaps needs debating.

In any event, the government faces a conundrum: Many people hate the cap, but everybody hates higher premiums -- and there's an election coming.

Yet, when a judge ruled lower premiums cannot be on the tab of injured people, he got it right.

Public car insurance takes centre stage
http://www.canada.com/calgaryherald/...c-dba65b392715

Progressive Conservative Leader Ed Stelmach shot down calls for provincial public auto insurance.

Liberal Leader Kevin Taft said he's open to examining the merits of public auto insurance if the ruling means rates will jump.

NDP Leader Brian Mason supports publicly run provincial insurance. The insurance industry in Canada made a profit of $7.2 billion in 2006 and now they say they need another increase in premiums because of this ruling," Mason said. "Any increased cost (from the ruling) should not come out of the pockets of ordinary Albertans."

Wildrose Alliance Leader Paul Hinman said he would implement a system that encourages personal responsibility -- and leaves the high rates to the drivers who rack up accidents and tickets.