The results of Manitoba Public Insurance's first-half fiscal year have been released.
MPI has reported a greater net income in the first half of the 2019/20 fiscal year, compared to the 2018/19 fiscal year.
The current net income from the first six months this year is 164.2 million dollars, which is a 91.4 million dollar increase from the same period last year.
Mark Giesbrecht, Vice-president, Finance and Chief Financial Officer for MPI is expecting some of the income to be offset in the winter.
“Historically, there is an increase in claims in the winter months, which offsets the positive financial results typically posted during the first two quarters of the Corporation’s fiscal year. As such, we will continue to closely monitor revenues, claims and claims costs over the remaining two quarters.”
The revenue MPI has earned this year so far is 35.7 million dollars more than the same period last year.
Higher motor vehicle premium revenue because of an increase in the number of motor vehicles insured is what’s raising the revenue, along with the 1.8 per cent increase in Basic insurance rates ordered by the Public Utilities Board that became in effect March 1, 2019.
In June, MPI applied for an increase in Basic insurance premiums for the 2020/21 insurance year by 0.1 per cent, but earlier this month changed the application to a 0.6 per cent decrease due to the favourable year-to-date-results they have.
