Emergency crews respond to two-vehicle accident on Highway 10 in Surrey, July 31, 2019. (Black Press Media)

B.C. vehicle insurance remains Canada’s costliest, industry group says

ICBC monopoly needs competition, Insurance Bureau of Canada argues

Independent statistics show B.C. drivers will continue to pay the highest average insurance rates in Canada, next year and into the future, the Insurance Bureau of Canada says.

The private industry group cites the latest numbers from the General Insurance Statistical Agency, an average of $1,832 per year. Alberta comes in at $1,316, Saskatchewan at $1,235 and Ontario at $1,505.

“While many important changes are underway in B.C., none are expected to reduce the price most drivers are paying,” said Aaron Sutherland, the bureau’s Pacific region vice president. “With ICBC stating that it will need price increases to raise over $1 billion in the years ahead, now more than ever, the market must be opened to competition and choice to improve the affordability of auto insurance for drivers.”

RELATED: Budget includes bailouts for ICBC, B.C. Hydro

RELATED: ICBC renewals get more complicated this year

The average is calculated by comparing the total premiums collected from passenger vehicles in each province, and dividing by the number of vehicles insured.

ICBC is calculating rates for next year based on a new system that shifts costs to the highest-risk drivers.

Caps on “pain and suffering” payouts and an administrative tribunal for minor injury claims were put into effect in April as accident and legal costs soared in B.C.

ICBC retains a monopoly on basic liability insurance and competes for optional coverage for collision, glass and other coverage. The Crown corporation also operates driver licensing in B.C. and funds police enforcement and safety improvement projects, costs ICBC says are reflected in higher rates.

The Insurance Bureau retained accounting firm MNP to compare B.C. and Alberta vehicle insurance, with this year’s ICBC changes in effect. Their study found that insurance coverage and payouts are similar in the two provinces, except for rates.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Two Campbell River First Nations advance to final stage of treaty negotiation

The Campbell River-based Wei Wai Kum and Kwiakah First Nations have signed… Continue reading

City of Campbell River to replace pumper truck at No. 2 Hall

Old truck to be moved into reserve roll for five years before decision is made on disposal options

Vehicles collide on Highway 19 in North Campbell River

Emergency crews tend to the occupant of a vehicle involved in a… Continue reading

Campbell River Art Gallery receives major funding from the Canada Council for the Arts

The Campbell River Art Gallery (CRAG) received a funding increase of $124,000… Continue reading

VIDEO: Langley Ribfest met with protesters

Groups that oppose the event for various reasons plan to be on site each of the three days.

Canadians killed in Afghanistan honoured during emotional dedication ceremony

One-hundred-fifty-eight Canadian soldiers died during the mission

It’s snow joke: Up to 30 cm of snow expected to fall in northeastern B.C.

Alaska Highway, Fort Nelson to be hit with August snowstorm, according to Environment Canada

‘I’m just absolutely disgusted’: Husband furious after B.C. Mountie’s killer gets day parole

Kenneth Fenton was sentenced to prison after he fatally struck Const. Sarah Beckett’s cruiser

Sea-to-Sky Gondola in B.C. likely out of commission until 2020

Sea to Sky Gondola carries between 1,500 and 3,000 people every day during the summer season

Helicopter-riding dog Mr. Bentley now featured on cans of new B.C.-made beer

Partial proceeds from every pack go to Children’s Wish

PHOTOS: Weapons seized at Portland right-wing rally, counterprotests

Not all who gathered Saturday were with right-wing groups or antifa

Ferries employees participating in Denman Island cleanup for plastic-shedding ferry

The cleanup comes a few weeks after one organized by residents of the Island

Discussion on grief and loss between Stephen Colbert, Anderson Cooper goes viral

The exchange includes emotional question from Cooper, and outlook on grief as a child

Most Read