B.C. Public Safety Minister Mike Farnworth defends government actions in the legislature, Feb. 19, 2020. (Hansard TV)

B.C. Public Safety Minister Mike Farnworth defends government actions in the legislature, Feb. 19, 2020. (Hansard TV)

ICBC applies for 15% rate decrease as lawyers pushed out

Resolution tribunal to determine most injury awards

The Insurance Corp. of B.C. is applying for a 15 per cent rate decrease for its monopoly basic vehicle insurance as the B.C. government’s changes to eliminate most of the costly lawsuits against the province’s auto insurer take effect next year.

Public Safety Minister Mike Farnworth says the rate cut, subject to approval of the B.C. Utilities Commission, will be a substantial step to delivering on a promised 20 per cent reduction in insurance costs. ICBC is also cutting its optional insurance rates starting Feb. 1, 2021, and the rate reductions should start showing up on ICBC renewals.

ICBC got approval for a 6.3 per cent rate increase in January 2019, the latest increase as the province prepared to bail out the corporation with $1 billion to cover a deficit caused by ballooning crash and injury awards and court costs.

RELATED: B.C. restricts ICBC lawsuits, promises rate cut

RELATED: Province bails out ICBC, B.C. Hydro in 2020 budget

The new injury coverage, which the government calls Enhanced Care, takes effect on May 1, 2021. When it takes effect, ICBC customers are told to expect a one-time refund.

“It will be calculated using the difference between a driver’s current Autoplan coverage and the new, lower-cost Enhanced Care coverage, for the portion of their existing policy that extends past May 1, 2021,” Farnworth and ICBC president Nicolas Jiminez said Dec. 14.

Farnworth was assigned responsibility for ICBC with the formation of the new majority NDP government, after Premier John Horgan and Attorney General David Eby pushed through the changes over the objections of the Trial Lawyers Association of B.C. Eby first moved to limit expert witnesses in injury cases, prompting a legal challenge.

Horgan and Eby have rejected the lawyers’ description of the new system as “no fault,” pointing out that people can still be sued in some circumstances.

“You can’t run into someone without consequences,” Horgan said in announcing the new system in February 2020. “Your rates will go up. If you are found criminally responsible or criminally negligent, you can be sued.”


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC politicsICBC

Just Posted

Students at Creston Valley Secondary School put together an art installation of a replica residential school room. (Photo by Kelsey Yates)
Creston students create art installation of residential school room

The replica was decorated with a small bed, school uniform, and notes written with pleas for help

An example of the kinds of invasive plants that can be found in Golden. (Tesia Hackett photo)
Golden annual weedpull back for 14th year

Invasive plants can be harmful to local ecosystems, Wildsight says

A tent housing a mobile vaccination clinic. (Interior Health/Contributed)
Second dose vaccinations accelerating throughout region: Interior Health

To date, more than 675,000 doses have been administered throughout the region

BC CDC map showing the geographic distribution of cases in the province. (BC CDC photo)
No new cases of COVID-19 in Golden

The last time the BC CDC reported a new case in the area was the week of May 23-29

Prince Charles Secondary School
School District 8 votes in favour of name change for Secondary School in Creston

In an act of reconciliation, a new name will be chosen for Prince Charles Secondary School

Bear wanders Kelowna on June 15. (Michelle Wallace/Facebook)
Bear climbs fence, uses crosswalk in Kelowna

The bear was spotted on Baron Road Wednesday evening

Hundreds of people, young and old, joined the three-day Walking Our Spirits Home procession, honouring residential school survivors, those who never made it home and all those affected by the institutions. Here people walk the third portion on June 13. (Martha Wickett - Salmon Arm Observer)
Walking Our Spirits Home from Kamloops provides path to healing

First Nations in and beyond Secwépemc territory join in to honour residential school survivors

More flames
Lake Country home destroyed in large blaze, 11 dogs rescued

Fire crews are responding to 10839 Hallam Drive

(Facebook/Kelowna Cabs)
Kelowna Cabs reaches tentative agreement with dispatchers union

The tentative agreement could help end the dispute between the taxi company and the dispatchers

FILE – A science class at L.A. Matheson Secondary in Surrey, B.C. on March 12, 2021. (Lauren Collins/Surrey Now Leader)
Teachers’ union wants more COVID transmission data as B.C. prepares for back-to-school

BCTF says that details will be important as province works on plan for September

201 First Street West 1980s. Prior revitalization. (Photo from Revelstoke Museum and Archives)
Man who redesigned downtown Revelstoke honoured with lifetime achievement award

Robert Inwood has worked on historical projects across the province

Provincial health officer Dr. Bonnie Henry outlines B.C.’s COVID-19 restart plan, May 25, 2021, including larger gatherings and a possible easing of mandatory masks on July 1. (B.C. government photo)
B.C. records 120 new COVID-19 cases, second vaccines accelerating

Lower Pfizer deliveries for early July, Moderna shipments up

The weekly COVID-19 map for June 6 to 12. (BC CDC)
South Okanagan sees only 5 new cases in last week

The Similkameen Valley went a second week without any new cases

Most Read