SGI TO REDUCE RATES FOR CERTAIN VEHICLE CLASSES

Released on March 30, 1995

Ed Tchorzewski, minister responsible for SGI, today announced that
effective May 1 vehicle insurance rates for commercial trucks and car
rental agencies will be reduced by between 10 and 25 per cent.

Tchorzewski said that Class A trucks, which are vehicles hired to
transport goods owned by someone else, and Class AG trucks, which
transport goods between two geographical points within the province,
will receive a 25-per cent reduction on their vehicle insurance
premiums.

Commercial Class TS trailer insurance premiums will be reduced by 10
per cent. U-drive or car rental insurance premium surcharges of 85 per
cent will also be reduced by 10 per cent.

SGI monitors the claims and loss experience for all classes of
vehicles. This monitoring revealed lower claims costs to SGI on these
classes of vehicles, resulting in the rate reductions.

"This is very positive for the trucking and car rental industries,"
Tchorzewski said. "Reducing insurance rates for these industries will
lower their operating costs and will enable the trucking industry, in
particular, to be more competitive with out-of-province firms."
Tchorzewski said the reductions mean that heavy commercial Class A
vehicles will pay between $92 and $964 less for their insurance. For
commercial Class AG vehicles insurance will be reduced by between $75
and $660. Those who register a commercial Class TS trailer will pay
between $6 and $43 less for insurance. U-drive or car rental agencies
will see their insurance premium surcharges reduced by between $71 and
$109.

"The reduction in insurance rates for these two industries will total
$1.2 million. Fleet operating costs will be lowered, allowing these
businesses to be more cost-effective and competitive. The entire
province will benefit from the economic spinoffs that will result from
these reductions."

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For more information, contact:

Darcy McKenzie
SGI
Communications
Phone: 751-1347

AVERAGE INSURANCE PREMIUM REDUCTIONS


Class-Description Average Insurance Premium
Reduction

Class A - Heavy Trucks
$460.00
Class A - Power Units
$423.00

Class AG - Heavy Trucks
$271.00
Class AG - Power Units
$294.00

Class TS - Trailers $18.00

U-drive (surcharge) - Class PV
$109.00
U-drive (surcharge) - Class C $71.00
U-drive (surcharge) - Class D $90.00

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MEDIA CONTACT LIST

Name Company Location Phone

Lorne Boldt Avis Rent A Car Regina 757-1655

Fred Howman Hertz Rent A Car Regina 791-9130

Robin Wallace Thrifty Car Rental Regina 777-0890

Kelly James Tilden (President,
Sask. Rental Car Assoc.) Regina 522-3696

Duane Beaudry Dollar Regina 525-1000

Gary Kirsch Budget Regina 791-6810

Warren Smith Sask. Trucking Assoc.
(General Manager) Regina 569-9696

Erwen Siemens Kindersley Transport Saskatoon 931-1911
Doug Siemens Kindersley Transport Saskatoon 931-1911

Jim Street Tri-Star Transport Ltd. Saskatoon 242-2558

Brent Leach Custom Truck Sales Regina 569-9021

Lyman Waite Quill Transport Ltd. Regina 569-0439

Dennis Dohel Jays Moving & Storage Regina 721-1222

Les Reid Circle R Transport Ltd. Saskatoon 384-1906