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SGI REWARDS SASKATCHEWAN BUSINESSES

Released on February 18, 2004

Saskatchewan businesses that own and operate motor vehicles will soon be rewarded for their safe driving with insurance discounts under SGI's Business Recognition program, being implemented May 1st.

During the first 12 months of this program, SGI will put back $2.8 million into the pockets of 70,000 Saskatchewan business owners.

"More than 96 per cent of eligible Saskatchewan businesses will receive a discount on their vehicle insurance," Minister Responsible for SGI Mark Wartman said. "Business Recognition builds on the success of SGI's Safe Driver Recognition program."

Businesses will be eligible for a maximum discount of five per cent on their vehicle insurance premiums. However, like Safe Driver Recognition, companies responsible for claims may not receive a discount and may have to pay a financial penalty. The revenue collected in financial penalties will help offset the cost of providing discounts.

The majority of businesses in Saskatchewan have small fleets with three or fewer vehicles. Business Recognition is designed to reward all business owners, not just those with large vehicle fleets. Designing a program that was fair to both small and large businesses was challenging and took some time to complete.

The small size of most business vehicle fleets also means most businesses have low premiums, and the discounts per vehicle are correspondingly modest ranging from a low of $10 to a high of $216. The program is a starting point that ensures businesses with few claims pay a little less.

"Business customers have been asking for a discount on vehicle insurance, and we're pleased to provide those discounts with increases over time as SGI can afford to do so," Wartman said. "This program is part of keeping Saskatchewan's auto insurance rates among the lowest in the country."

For more information about Business Recognition, please visit SGI's web site at www.sgi.sk.ca.

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For More Information, Contact:

Julianne Jack
SGI Communications
Regina
Phone: (306)775-6907
Email: jjack@sgi.sk.ca

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