According to data from GISA, Alberta insurers’ operating expenses are in line with the rest of the country. Instead, the primary driver behind the increase in premiums is the rising costs of settling injury claims, including legal costs, after a collision. After being stable, the average bodily injury claims cost has increased by nearly 8% per year, from $41,534 in 2011 to $74,193 in 2019, according to Oliver Wyman, the Alberta Automobile Insurance Rate Board’s consulting actuary.

*Sources: 2021 Oliver Wyman Report (2020-2016, p. 12), 2020 Oliver Wyman Report (2015, p. 12), 2019 Oliver Wyman Report (2014, p. 11), 2018 Oliver Wyman Report (2012-2013, p. 13), 2017 Oliver Wyman Report (2011, p.24).