Brokers must be involved in online sale of auto insurance: Manitoba government

The future delivery of online services through Manitoba Public Insurance must involve insurance agents, the province's minister of Crown services is demanding.

A new mandate letter to the board of Crown insurance corporation says the brokerage industry will be involved in both the development of MPI's modernized service delivery and its selling.

"Manitobans must retain access to professional advice from the broker network to help them understand insurance options, manage risks and make the right choices," says the letter, released publicly on Tuesday.

The order appears to be a direct response to a reported clash between the Tory-appointed board and the Insurance Brokers Association of Manitoba over MPI's plan to allow Manitoba drivers to buy auto insurance online.

The Winnipeg Free Press reported in March that the province was lobbying on behalf of the insurance agents, raising accusations from an unnamed board member that the government interfered in the operations of a board it appointed.

Insurance agents were worried an online model would exclude the services of insurance agents and result in job losses among the 2,600 people working for Manitoba's brokers.

After the story ran, Crown Services Minister Colleen Mayer wouldn't rule out issuing a written directive to the board.

On Tuesday, Mayer said it was too early to know the future role of insurance agents, but she's confident the MPI board and the brokerage association will strike a compromise.

"All indications, so far, are both parties are coming to the table to work together to fill that mandate of better service for Manitobans," Mayer said.