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October 27, 2017 7:41 pm

Victoria Orders ICBC Rate Review

Monday, December 19, 2016 @ 1:53 PM

Prince George, B.C. – The provincial government has directed ICBC’s board to commission a comprehensive independent third-party review to keep “insurance rates affordable” and to “align future rate increases with inflation.”

“Our goal with this review is to put British Columbia first and for ICBC to manage its cost pressures, ensuring affordable rates for the long term,” said Minister of Transportation and Infrastructure Todd Stone today.

“Government has also announced that in the interim, and for the coming year’s rate increase, the Province has issued a directive to the British Columbia Utilities Commission (BCUC) to approve a Basic rate increase of a maximum of 4.9 per cent or less by Jan. 16, 2017,” reads a government news release.

The release also noted the independent review comes “at a time when the frequency, complexity and severity of bodily injury claims, in addition to higher vehicle repair costs, is putting pressure on rates.”

For instance, the government says from mid-2015 to mid-2016, the number of vehicle damage claims increased by 11 per cent and the number of injury claims increased by 14 per cent.

“At the same time, the average cost of vehicle claims is increasing, rising 17 per cent between 2014 and 2015, as vehicles are becoming more expensive to repair, and injury claim costs are up 60 per cent between 2008 and 2015.”

“It’s my responsibility to listen to British Columbians,” said Stone during a teleconference. “When they tell me that cost increases are exceeding the cost of living, I take this seriously…For this reason I have ordered the board of directors to conduct a review that will result in recommendations.”

He also assured reporters that the review would not result in the recommended privatization of ICBC and that he is hoping for a successful review like the 2012 review of BC Ferries which resulted in capped fare increases to the rate of inflation.


Perhaps stop using ICBC premiums to fund general revenue. After 16 years they are going to take a look? Sounds like an election year ploy.

    Perhaps? No, DO NOT use it for general revenue. How about investing some of this info fraud prevention and God forbid, reward the good drivers with a reduction of rates or a bonus.

Of course, if the provincial Liberals were really listening to British Columbians they would reduce dramatically the amount they siphon off from ICBC. Far to good a cash cow, though, I guess.

I do find it mystifying though, the article says, “the Province has issued a directive to the British Columbia Utilities Commission (BCUC) to approve a Basic rate increase of a maximum of 4.9 per cent or less by Jan. 16, 2017.” Was this not an issue in a past election and did the Liberals not guarantee they would allow market forces to determine rate increases and not issue directives to keep them artificially low? I don’t actually mind them keeping rates down, although I think it would be better done by taking their sticky fingers out of the ICBC pot. I just hate hypocrisy when they say one thing and do another when they think it might help them buy votes.

I would like to see ICBC open their books for a full disclosure public audit. With vehicles supposedly being made “safer” in respect to keeping the occupants better protected during accidents….ie: crumple zones, multi airbags, integrated cab and roof support.. how can the personal injury costs jump up 60% in just 7yrs?

The only answer that seems feasible is the cost of lawyers and the process of claim adjustment. OR they are fleecing us to give money to general revenue, and big salaries to the “mis”management.

GOVSUX is right, its an election year ploy. In reality, ICBC rates are most likely over inflated. IMO

Happens every election…icbc wants a %15 hike…but our gov..who is only looking out for us….lol will say it can only be %5.. are we wonderful…lol

I’ll admit that I’m a bit ignorant on this issue, but everyone says the government should not benefit from ICBC’s profit… I guess where I’m confused is, it’s a crown corporation. It is owned by the government, and thus, the taxpayers. What else would we do with the money? Isn’t that like telling the owner of a hardware store, he really should leave every dime he makes in that business and not do anything else with it?

I’m all for privatization, I have no idea why the government is in the automotive insurance business at all, but as long as it is crown, shouldn’t those profits be used in government spending? Or would you rather they just hike taxes to make up the difference?

    if the gov stopped taking money from icbc they could stop increasing the rates .

    When ICBC became involved with vehicle insurance the overhead for the private insurance providers had an overhead cost of 42%.ICBC overhead at the time dropped to6%. But I guess times have changed.

    So be care full what you wish for. Besides is there a Canadian firm that can even think of going into the insurance business or will the profits go to a Chinese firm?

    With government insurance our picked pockets goes back to government and maybe us. Now with private insurance our picked pockets goes to profits for some private company. The government will loose that money so will just pick our pockets somewhere else to make up for that loss. So in the end it will cost us more, pockets twice picked instead of once.


Works every time…. Government threatens to raise rates then steps in just in time to say hey wait…”We care about the people” and they save the day just prior to the election. Well, save it! You can fool some of the people some of the time…

Priceless! Must be an election coming up.

My what a hero you are Todd to have a 3rd party take a look at this. Priceless for sure. I would have to say you are stoned if you think we should believe anything you have to say. Is it possible you need a little extra cash to top up Christy’s LNG dream?

Give me the freedom to buy insurance where I choose.

1) I pay 2.4 times the rate paid by my friend on private insurance. Same good driving record. Same vehicle.

2) Try dealing with ICBC when you have been injured. You can be 100% not at fault, injured to the extent you can’t work, requiring pain medications, physio, surgery. Many people don’t know that ICBC will give you zero. How long until you are on the street with no income?

    Codger can you supply facts for cost comparison, or else its just rhetoric.

A private insurer will go the same way that ICBC has gone and as much as I hate to say this at least the profits remains in BC. We just need to tell Christy what to do with the surplus.

Todd Stoned is STONED when he says he’s listening to people… Pile of BS.. Maybe get rid of most your lawyers and actually pay out claims and stop overpaying those body shops.

I can understand the Government putting out all kinds of BS information before an election, what I cannot understand is why do people actually believe them. If we have learned anything in the past 10/20 years it is that Governments rarely if ever tell the truth about anything.

The claims will go up somewhat in 2017 because of the engineering design problems with the Port Mann and Alex Fraser Bridges. Seems we have a problem. The Government has been kind enough to say that they will pay the deductible on those cars that had their windshields damaged. How nice of them. They will of course take the money out of general revenue which was topped up by millions of dollars from ICBC, so who’s really paying the deductible.??

Just last week I renewed my ICBC insurance for my car. I purchased only the absolute bare minimum coverage as I purchase everything else for all of my vehicles through Canadian Direct.

The absolute bare minimum coverage for my car was $780.00 for a year.

$780.00! For the absolute bare minimum amount of coverage! I have the maximum discount available and the cost is still $780.00! This is ridiculous!

I have the ability to pay this outrageous amount. I wonder what fixed income seniors and low income people think of ICBC’s rates?!

    You hit the nail on the head Hart Guy. Those people in Government with their $150,000.00 per year plus expenses, plus benefits have no clue how their greed and stupidity effects people on fixed incomes. That is why we need to kick their butts out in the next election. The NDP, Greens, and Conservatives are no better. We need to run Independents if we hope to get any ones attention,.

    $780.00 for car insurance is one months old age pension cheque.
    $1800.00 or more for Health Insurance is at least two months old age pension.
    $600.00 plus for house insurance eats up another month.
    $2400.00 for gasoline including all the taxes (carbon tax etc) eats up another 3 pension cheques.
    $1500.00 for house insurance take 2 pension cheques
    $1200.00 for utilities takes two more.4

    So we havent got any groceries or medication yet, but we have already lost roughly 11 pension cheques. Nor have I mentioned Gas, and Hydro. If we do not have a good company pension, or a good Canada Pension we are well on our way to losing some significant weight because of a lack of healthy food.

    I have just scratched the surface on how we are getting screwed by all levels of Government, but you get my drift.

      Should read $1500.00 for City taxes.

    I know where you are coming from, I insure my classic with Haggerty I pay about $400 for the year. Basic, which you have to have through ICBC is over $300 for six months.Rip off artists for sure.

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