A group of lawyers fighting the insurance industry over the right to sue for soft-tissue injuries says the industry has doubled its profits in the first few months of this year.
Insurance companies say they are losing money or making little profit on underwriting in Newfoundland and Labrador, but lawyers associated with the website www.insulttoinjury.ca say it’s the secondary income which they are not taking into account.
Brad Wicks of Roebothan McKay Marshall says the insurance industry’s own on-line publication, MSA Inc., shows that companies made $490-million the first quarter of last year, but $987-million the first quarter of this year.
Government and the Public Utilities Board are reviewing all aspects of automobile insurance in Newfoundland and Labrador, including the profitability of the companies which provide the product.
He says investment income should be included by the P.U.B..