Newcomers to Newfoundland and Labrador are being charged up to $9,000 per year to insure vehicles worth less than $20,000 — despite having decades of safe driving experience.

Newcomers to Newfoundland and Labrador are being quoted $6,000–$9,000 per year to insure modest vehicles, even when they have 10–20 years of safe driving experience.

This happens because insurance companies often ignore verified international driving history, treating experienced drivers as if they were beginners.

At the same time, the province’s Motor Registration Division (MRD) already accepts foreign driving abstracts to waive licensing requirements, effectively recognizing these individuals as experienced and qualified drivers.

This creates a clear inconsistency:

• The province has already implemented a system where verified foreign driving history can be used to access fair insurance rates
• Yet this same mechanism is not applied broadly, leaving most newcomers treated as inexperienced drivers regardless of their actual history

 
Why This Matters
In Newfoundland and Labrador, a vehicle is not optional, it is essential.

Without access to reasonable insurance:

• Families face significant financial strain
• Newcomers are forced into limited housing options
• Skilled workers struggle to settle and integrate
• This creates a real barrier to retention at a time when the province is actively trying to grow its population.

 
A Proven Solution Exists
The province has already shown flexibility by allowing certain groups, such as Ukrainian newcomers, to use their driving history to access fair insurance conditions.

https://www.gov.nl.ca/releases/2022/dgsnl/0610n02/#:~:text=Ukrainian%20newcomers%20with%20a%20Newfoundland,for%20competitive%20automobile%20insurance%20rates

This demonstrates that:

• Verification is possible
• The system can adapt

What We Are Asking
We are not asking for special treatment, only fairness and consistency.

We call on the Government of Newfoundland and Labrador to:

• Require insurers to recognize verified foreign driving experience when it has already been accepted by provincial authorities
• Prevent experienced drivers from being treated as “new drivers” solely due to a lack of Canadian insurance history

The Goal
Newfoundland and Labrador depends on newcomers to grow.

If the province wants people to stay, it must remove barriers that make everyday life unaffordable.

Fair insurance pricing is part of that.

End the Newcomer Penalty.