ICBC to apply for 6.3% hike to basic insurance rates

Crown Corporation said it will be submitting its next basic rate application to the British Columbia Utilities Commission Friday

ICBC will be seeking a 6.3 per cent increase to basic insurance rates.

The Crown Corporation said it will be submitting its next basic rate application to the British Columbia Utilities Commission Friday afternoon.

If approved, the changes will come into effect on April 1, 2019, and increase a customers’ basic insurance rate by an average of about $60.

“A rate increase is never going to be positive but I think the more important thing in this announcement is that this is an encouraging sign that we’re seeing the positive measures that we’re implementing, in terms of reform, come to light,” said Nicolas Jimenez, president and CEO of ICBC.

READ MORE: ICBC overhaul includes new $50 fee for lending out your car to friends, family

READ MORE: ICBC doubles compensation for crash victims with serious injuries

The increase follows last year’s hike that increased basic insurance rates by 6.4 per cent.

ICBC said it is projecting a net loss of $890 million for its current fiscal year, as external pressures continue to grow from a record number of crashes taking place in B.C., and the increase in claims volume and higher claims costs.

READ MORE: Pay, bonuses for ICBC executives being reduced, David Eby says

READ MORE: ICBC moves to tighten driver discount rules

In a separate statement, Attorney General David Eby said the announcement serves as a reminder of the financial crisis at the insurance corporation.

“Our government has taken on the difficult work of fixing the problems left behind at ICBC, including implementing the very solutions the old government was told could have prevented this mess,” he said.

The NDP government has moved to cap pain and suffering awards to $5,500 starting next fall, and is setting up a dispute resolution system to reduce the number of injury cases going to court.

In a year-end interview with Black Press, B.C. Liberal leader Andrew Wilkinson said it’s time to consider ending ICBC’s monopoly on basic insurance.

“We’ve got to ask hard questions,” Wilkinson said. “Is it time to convert it into a co-op or a mutual insurance company that’s owned by the policy holders, and they get some control over it? Is it time to introduce competition?”


@ashwadhwani
ashley.wadhwani@bpdigital.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