Basic ICBC premiums to jump 11 per cent

Cut in optional rates to offset much of the pain for most B.C. motorists

Most motorists will pay ICBC about $27 more in premiums next year, but the bite will be deeper for those who opt only for basic insurance.

Basic premiums will rise $68 or 11.2 per cent per customer if the B.C. Utilities Commission approves the public auto insurer’s proposed rate hike.

Optional premiums will be $41 lower on average, or six per cent.

It reflects a continuing pattern of ICBC reducing the cost of its optional insurance – where it faces competition from private insurers – relative to the basic package, where it has a monopoly.

President and CEO Jon Schubert said the two rates should be looked at in combination, because most motorists buy all their coverage from ICBC.

The combined premium hike works out to an extra 2.1 per cent, lifting the average amount most motorists pay from $1,277 now to $1,304.

Individual rates vary depending on claims history, vehicle type, region of the province, years of experience and level of coverage.

“After four years of not having to increase our rates, we now unfortunately face a different reality,” Schubert said. “We’re not happy that we need to increase our rates but the majority of our customers will be paying just a few dollars more, on average, than they did in 2008.”

He said the drop in optional rates was possible mainly due to declining auto crime and damage claims.

Overall claims costs rose $200 million in the first nine months of 2011.

“We have seen increasing pressure, in particular, from bodily injury costs,” Schubert said.

Bodily injury costs are to hit $1.7 billion this year, up $350 million from five years ago.

Low interest rates due to the global economy have also pushed investment income down.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Comments are closed

Just Posted

VIDEO: Teaching the next generation of skaters in Revelstoke

‘There’s very few sports out there where adults and children can play together’ says Adrian Giacca

Revelstoke’s City Hall wrapped in plastic

Revelstoke’s City Hall is wrapped in plastic for the time being. The… Continue reading

Almost 99% less land in B.C. burned this year compared to 2018

2018 was the worst year on record for wildfires

Revelstoke Mountain CoLab will vote on becoming non-profit society

‘We’re more than just a space. We’re a community’

Revelstoke Mountain Resorts breaks ground for new hotel

The new hotel will include 154 rooms, conference space, restaurant, bar, and a fitness/spa facility

The pandemic is widening Canada’s workplace gender gap

Gender pay gap is incentivizing fathers to work while mothers watch children, a new B.C. study has found

Ex-Okanagan Mountie forfeits 20 days’ pay after sexual misconduct review

A former Vernon RCMP constable made sexual comments, grabbed genitals of male officer in two incidents 10 years ago

Security guard assaulted in Kamloops park thanks police, public for quick arrest

Glen Warner, 71, was attacked on July 2 by a man who was asked by Warner to not smoke

Portraits celebrating Syilx culture now on display at Kelowna International Airport

Sheldon Pierre Louis’ art will be on display at YLW from now until July 2021

After slow start, Summerland sees more tourism activity

Majority of visitors come from within British Columbia

EDITORIAL: Accommodating Okanagan fruit pickers

Campsite for agricultural workers to open in Summerland

Deer and moose die after being chased by dogs in South Okanagan

BC conservation officers are asking the public to control their pets

3 people dead in Prince George motel fire

Fire personnel believe the blaze was suspicious although investigation in early stages

Man found dead on Okanagan trail identified as Hollywood actor

GoFundMe campaign launched for man found dead at summit of Spion Kop

Most Read