Corporate governance and code of conduct
The AIRB has a robust governance framework, reflecting the roles, relationships, delegated authority, and accountability between the Government of Alberta, the Board, and management.
Relationship to government
The Alberta Automobile Insurance Rate Board (AIRB) was established through the Insurance Act in October 2004 as an independent, quasi-judicial regulator. The AIRB is responsible for regulating auto insurance premiums in Alberta. The AIRB serves all Albertans – the public, industry, and government – through its functions and statutory duties and responsibilities.
AIRB decisions are made independently of the government and pursuant to the AIRB’s enabling legislation.
Board governance
The AIRB is governed by a Board of Directors consisting of seven members appointed by the Lieutenant Governor in Council, a consumer representative appointed by the Minister, and the Superintendent of Insurance, who is a non-voting member of the Board. The AIRB’s Board Members bring a broad range of expertise and experience.
The Board meets regularly to discuss administrative issues and exercise its mandate. It also holds an Annual Review process to hear from stakeholders on the state of the industry.
The Board approves the vision, mission, values, strategic priorities, and goals that guide the AIRB. The Board sets performance goals as part of the business planning process, and these goals serve as the basis for evaluating performance and accountability.
The Board’s governance processes and guidelines, which outline how they carry out their duties, align with the Government’s Public Agencies Governance Policy.
Code of conduct and ethics
The Code of Conduct and Ethics applies to all Board Members and employees. This code reflects a commitment to AIRB’s values and provides a framework for ethical conduct. Board Members and employees are expected to behave in accordance with this code.
As an independent agency established by the Minister of Finance to regulate auto insurance premiums in Alberta, the AIRB has an obligation to Albertans to ensure that there is no conflict between the private interests of Board Members/employees and their duty to the public. At the same time, Board Members and employees should enjoy the same rights in their private dealings as any other citizens, unless it can be demonstrated that a restriction is essential to the public interest.
Charter of expectations
The AIRB adopted the following guiding principles clarify the roles, expectations, and responsibilities of each Board Member.
- Assume stewardship of AIRB’s business affairs.
- Act with the highest ethical standards and integrity in all personal, business, and professional dealings.
- Become knowledgeable about the AIRB’s mandate, responsibilities and operational environment, as well as the emerging trends and issues in the auto insurance industry.
- Commit a sufficient amount of time and attention to the work of the AIRB.
- Act in a way that contributes to the Board’s effective operation.
Resources
Insurance Act
The Insurance Act is the legislative framework for insurance operations in Alberta. It establishes the AIRB to regulate the auto insurance industry.
Board Governance
Establishes procedures for board meetings, transparency, governance oversight and the appointment, remuneration and expense reimbursement of Board members.
Board Orders, Bulletins, Notices, and Guidelines
The AIRB may issue or enforce orders, bulletins, notices, and guidelines under the authority of the Auto Insurance Premiums Regulation.
Board Remuneration and Expense Reimbursement
The AIRB Board Members are remunerated a per diem amount in recognition of their time and effort required to carry out the mandate of the AIRB. The AIRB reimburses Board Members for reasonable expenses incurred to attend meetings, training, and conferences or when acting as a representative of the AIRB.
Code of Conduct and Ethics
Establishes the rules governing the business and ethical conduct for all Directors and Employees of the Automobile Insurance Rate Board.
Consumer Inquiries & Complaints
The AIRB receives, assesses, and responds to consumer inquiry/complaints in an impartial and timely manner consistent with its legislative mandate and public-sector standards of administrative fairness.
Grid Base Premium – Basic Coverage
REPEALED: The AIRB must annually review the base premiums for the Grid Rate for basic coverage and post the adjusted base premium table before October 1 for implementation on January 1 of the following calendar year.
Privacy Management Program
Sets out AIRB’s policies and procedures which promote its compliance with and duties under the Protection of Privacy Act. These policies and procedures have been established to ensure privacy is protected and to ensure alignment of the same with the requirements of the Protection of Privacy Act.
Public Agency Governance Policy
Find the Public Agency Governance Policy adopted by the Government of Alberta.
Automobile Insurance Rating Program Approvals
Every insurance company licensed to write auto insurance in Alberta must file its rating program with the AIRB and obtain the prior approval of the AIRB to either establish a new rating program to enter the market or revise an existing rating program.
Return of Excess Premiums
Every private passenger vehicle insurer must complete the AIRB’s profit and loss report template. This will be applied prospectively, commencing with 2024 accident year results reported in 2025. Insurers will only be required to return excess premiums in the most recent accident year.
Review of Automobile Insurance Premiums & Trends
The AIRB conducts a transparent review of auto insurance in accordance with the legislation.