SECTION: NEWS, Pg. A7

LENGTH: 297 words

HEADLINE: 'Blackmail' insurance letters upset MLA: Female drivers' premiums would subsidize males'

BYLINE: Emma Poole

SOURCE: Calgary Herald

DATELINE: EDMONTON

BODY:
An MLA says she won't give up her fight to equalize car insurance payments for young Albertans.

Mary O'Neill's latest bid for equal insurance premiums for male and female drivers under the age of 25 was shot down last week at the legislature.

It is the third time in the past several years the St. Albert MLA has tried to equalize premiums between young men and women. Bill 202 -- which would have ordered that no automobile insurer discriminate on the basis of gender -- was defeated by a vote.

The Insurance Bureau of Canada in letters outlined how other drivers would suffer if current premiums were decreased for male drivers.

"I'm not very pleased that (they) were somewhat blackmailish in their letters, in saying that they will just pass (the price increase) onto someone else rather than saying they would be willing to look at ways and means to reduce the number of accidents and claims," said O'Neill of the letter campaign.

The Insurance Bureau of Canada said it has concerns over equalizing young driver premiums.

"We believe age and gender is a major criteria in rating of auto insurance when you look at the numbers. Young males continue to cost us overall the most money, and therefore we believe they should be paying their share," said Louise Bremness, regional manager for the IBC.

"If (Bill 202) had gone through, we'd have then gone to the young females. We would have increased their premiums to subsidize the driving habits of the young males."

On average, males between the ages of 16 and 24 pay up to 50 per cent more than a female of the same age.

Bremness said the premiums aren't unfair. In 1999, almost twice as many male drivers between the ages of 20 and 24 were involved in fatal accidents as females in the same age group.

TYPE: Business; Statistics

LOAD-DATE: May 1, 2001