Quebec’s auto insurance board is facing renewed scrutiny over its flagship digital service platform, after the province’s public procurement watchdog found shortcomings in how contracts were managed and public funds overseen.
In a recent ruling, the Autorité des marchés publics (AMP) concluded that the Société de l’assurance automobile du Québec (SAAQ) did not manage public money responsibly in the development of its SAAQclic online platform.
The AMP’s findings add to pressure on the organisation, which was the subject of a public inquiry last year following concerns about the project’s rising cost.
That inquiry, led by Commissioner Denis Gallant, has focused on testimony from senior officials including former vice-president of digital experience Karl Malenfant, who directed the CASA modernisation programme and SAAQclic from inception through its February 2023 launch.
Malenfant told the commission he had previously assured ministers in 2021 and 2022 that the project was on track and within budget, even as internal documentation later showed costs climbing toward about $1.09 billion by March 2025 and potentially $1.1 billion if a third phase proceeds.
The SAAQclic platform, intended to digitise services such as road test bookings and licence renewals, is now expected to cost taxpayers at least $1.1 billion, around $500 million more than first anticipated. The auditor general’s findings have raised questions about governance, risk management and the controls applied to large-scale technology investments in public insurance.
The AMP reported that the auto insurance board had modified “essential elements” of the framework agreement with its suppliers, in ways that altered both the nature and cost of the work.
Investigators also found that the SAAQ divided certain contract requirements, a practice the watchdog said had the effect of bypassing standard accountability and approval thresholds in Quebec’s public procurement system.
In response, the AMP issued recommendations aimed at tightening oversight of the project, including a call for real-time audits of the framework agreement and related contracts, with results to be reported every six months.
The watchdog said more frequent reporting and clearer documentation of contractual changes should give authorities and the public better visibility over remaining spending commitments.
Operational issues linked to the digital transition have already affected service delivery. The 2023 rollout of SAAQclic led to significant delays and long queues at SAAQ offices across the province, where Quebec residents take driving tests, register vehicles and complete other transactions, underscoring the operational risk of mismanaged technology overhauls in public auto insurance systems.
