Discussions

Have you seen the ads that are out there from MPI.  
 
Animated ads (different info) about the new safety features available on new cars and how great it would be to have these as you would not get into accidents.  
 
They are spending our registration fees to tell us to buy new cars.  
 
Isn't that the job for car companies, dealerships and car sales people? They have enough money of their own to spend.  
 
Perhaps MPI wants everyone to buy a new car thus all our rates would go up.  
 
Besides New safety features are only as useful/good as the drive using them.  
 
If MPI has so much extra money to spend on these ads (and ads are expensive to make plus to put in the marketplace for people to see) - give it back to their customers or at least lower the registration fees we pay.  
 
No, MPI, another example of wasting OUR money.

When I look at the MPIC 2017 Annual Report, on page 21, it lists 'where your premium dollar has gone'. It states that 84 cents of the dollar goes to claims, and only 10 cents of the dollar goes to operating costs. I think that's pretty fair.

Don’t really know how to put link. But there is s story about it in Winnipeg Free Press called “MPI to educate new car buyers on latest safety features”.  
 
I don’t watch TV much but stream shows which have ads and have seen the ads over and over again.  
 
In one of their annual reports on their website it talks about reviewing their spending on road safety as there is little effectiveness about their use. I believe 3016 report.

Exhausted said "Have you seen the ads that are out there from MPI.     Animated ads (different info) about the new safety features available on new cars and how great it would be to have these as you would not get into accidents.     They are spending our registration fees to tell us to buy new cars.     Isn't that the job for car companies, dealerships and car sales people? They have enough money of their own to spend.     Perhaps MPI wants everyone to buy a new car thus all our rates would go up.     Besides New safety features are only as useful/good as the drive using them.     If MPI has so much extra money to spend on these ads (and ads are expensive to make plus to put in the marketplace for people to see) - give it back to their customers or at least lower the registration fees we pay.     No, MPI, another example of wasting OUR money. "

I'm just speculating here, but I would guess that newer cars result in lower claim costs for MPI. Newer features help prevent accidents (sensors, cameras), and better safety features reduce post-accident health care costs (better airbags, crumple zones, etc).  
 
If MPI saves money overall by getting older cars off the road, it's probably worth the cost of advertising.

Let''s say you prevent one $20,000 accident. You can run a massive advertising campaign with that much money.  
 
On a net basis it should save money.  
 
Edited by Hey!, 2018-08-23 09:28:30

Would you rather have All-State or Geico?? Because we all know they don’t waste money on advertising.

I agree those ads are a complete waste. I do not agree with those ads but that is not to say all Mpi ads. The spot check ads for one. They do apply to every MPI customer and has no ties to car companies and free ads. I will say at least those ads can be argued for. For the life of me when a crown corp with a monopoly feels free to advertise themselves I wonder why they are free do do so. Be it just a MPI sign at a sports event or a newspaper ad with discounted prices on products for the Manitoba liquor commission. There is no other place to buy it. Use in store signage to promote. Running any outside ad is most troublesome if is money that would go to the provincial government. If it to promote more drinking that is problematic. If is to change peoples choice do not use that money. Get the suppliers to pay extra into a ad budget that the government controls but is not the governments if ads are a requirement of our monopoly. Getting back to MPI at least now they are not buying expensive art or season tickets to major sports teams that our tax payers have helped out and continue to do so in many ways.

PrimeConvoy said "Would you rather have All-State or Geico?? Because we all know they don’t waste money on advertising. "

or the Aflac duck or the "discount double check" or "We are farmers" any day. A free market system may actually allow good drivers like myself to take advantage of lower premiums. I give this crown corporation thousands every year. Probably my one yearly bill that really chaps my hide!  
 
I think the OP is a trying to state that they get our money regardless. They don't need to run promotional advertising campaigns using our dollars. And if they do it really needs to be strategic to provide a solid message to reduce collisions. They could run MPI leaner and take less from insured drivers in my opinion.

$20,000 for advertising is peanuts. Try doubling or tripling or more for TV advertising. Plus the production costs of developing the ad. It is incredibly expensive.