ICBC seeks 4.9% insurance rate hike

ICBC has applied for a 4.9 per cent rate increase to its basic vehicle insurance rates to take effect Nov. 1

Crash on Scott Road in Surrey: ICBC says the number of injury claims and the size of awards continue to rise.

ICBC has applied for a 4.9 per cent rate increase to its basic vehicle insurance rates to take effect Nov. 1.

For an average driver who now pays $1,369 a year for basic insurance, the increase would add an extra $36. In its rate application to the B.C. Utilities Commission, ICBC is also seeking four per cent decrease in optional coverage that would reduce that annual bill by $25.

The last rate increase was 11 per cent in 2012, coupled with a six per cent cut in optional insurance where ICBC competes with private insurers.

In an open letter to customers, Mark Blucher, interim CEO of ICBC, says the increase is needed to keep up with increasing bodily injury claims, with higher payouts as more people turn to lawyers to dispute their insurance payouts.

Blucher said injury claim volume is also rising, including crashes involving drivers distracted by smartphones, and more pedestrians and cyclists on roads.

ICBC cut 260 positions last year after an audit of its operations showed its management ranks had swelled by 41 per cent between 2007 and 2011. Blucher said ICBC’s administrative costs amount to five cents out of every premium dollar, with 86 cents going to claim payouts.

Bodily injury claims, for pain and suffering, future care and loss of wages, totalled $1.9 billion in 2012, up $165 million from the previous year and $400 million higher than five years previously.

 

Just Posted

Island Health issues boil water advisory for Cherry Creek, near Port Alberni

Island Health has issued a boil water advisory for the entire Cherry… Continue reading

Heavy snowfall closes Mount Washington for the day

Road to ski resort deemed unsafe, “high avalanche danger”

Alberni Valley Community Foundation seeks grant recipients

The Alberni Valley Community Foundation is accepting applications for grants to be… Continue reading

BCHL: Bulldogs beat Cowichan in double OT

Teams are 1–1 in three-game home-and-home stand; play in Cowichan Jan. 20

Port Alberni city council to ‘stay on course’ for five-year budget plan

Next budget meeting is scheduled for Monday, Jan. 29 at 6 p.m

Floods, power lines down on Bamfield Road

Power outage affecting more than 400 customers

Philadelphia Eagles headed to Super Bowl

After routing the Minnesota Vikings 38-7, they will face Tom Brady and the New England Patriots

VIDEO: Dramatic video shows return of rescued B.C. snowboarders

Two snowboarders were rescued near Rossland, B.C. on Sunday after being lost overnight.

Tom Brady leads Patriots back to Super Bowl, top Jaguars 24-20

New England to face winner of Sunday night’s game between Minnesota and Philadelphia on Feb. 4

UPDATE: Ferries sailing again after stormy weather caused cancellations

B.C. Ferries cancelled numerous sailings around Vancouver Island today, Jan. 21

Homes, roads flooded in Whiskey Creek following downpour

Crews aid flooded homeowners while roads near Hwy 4 closed Sunday morning

Vessel washed ashore in Campbell River during last night’s storm

A vessel appears to have gotten loose and washed to shore on… Continue reading

Liberals quietly tap experts to write new paternity leave rules

Ideas include creating an entirely new leave benefit similar to one that exists in Quebec

Insurers say Canadian weather getting hotter, wetter and weirder

Average number of days with heavy rain or snow across Canada has been outside norm since spring 2013

Most Read