Paramedics at a crash scene near Penticton Nov. 18. Bodily injury claims have been increasing in recent years.

ICBC to seek 2012 rate increase

ICBC is applying for a basic insurance rate increase, as bodily injury claims increase.

The Insurance Corp. of B.C. has announced it is applying for an increase to its mandatory basic vehicle insurance for 2012 to help cover an increase in claims and a decline in investment income.

ICBC president Jon Schubert said Tuesday the corporation’s bodily injury claims have jumped, contributing to a $200 million increase in overall claims in the first nine months of 2011. Annual bodily injury claims have climbed by $350 million in the past five years, and are expected to reach $1.7 billion this year.

“We have not increased our rates since 2007 and there have been a number of rate decreases during that time,” Schubert said.

ICBC reported net income for the first nine months of the year of $52 million, down from $331 million in the same period in 2010. Despite that, its rate change application to the B.C. Utilities Commission will seek to decrease rates on its optional coverage, where it faces competition from private insurance companies.

Finance Minister Kevin Falcon cited ICBC’s revenue decline as the biggest factor in the B.C. government’s worsening deficit position. Quarterly results for the provincial treasury show a projected deficit of $3.1 billion for the year ending in March, up $313 million from the July estimate.

Falcon said insurance companies around the world have seen investment income fall off with the continued economic slump in the United States and instability in Europe. Schubert said most of ICBC’s investments have been moved into short-term bonds in response to the volatility of financial markets.

Just Posted

Grizzlies split weekend effort against Wranglers

Revelstoke remains first in the conference with 55 points

New development in missing plane near Revelstoke

The family of Ashley Bourgeault believe they have found a new clue

Palumbo nets win in KIJHL debut with Golden Rockets

Female goalie believed to be league’s first to play a full game and win

Outdoor school to start registration

Parents can enrol their children in the new program for South Canoe on Feb. 1.

Mt. Begbie Brewing opens new tasting room

Following a record breaking year and a number of awards, Mt. Begbie Brewing opens a new tasting room

VIDEO: Mt. Begbie to feature experimental brews in new tasting room

Last year Mt. Begbie won brewery of the year at the Canadian Brewing Awards in Ottawa

Brother of B.C. teen killed by stray bullet says the death left a void

Alfred Wong, 15, was gunned down in Vancouver while on his way home from dinner with his family

Cougar window shops at Banff grocery store

An RCMP officer spots a cougar outside an Alberta grocery store

PHOTOS: Revy Stomp transforms community centre

On Saturday night the Selkirk Saddle Club proved it’s far more than just a one-trick pony

PHOTOS: Rail Jam at Revelstoke Mountain Resort

On Saturday night RMR held a killer rail jam at the base of the ski hill

Movie filmed in Castlegar B.C. opens Friday

Hollow in the Land starring Dianna Agron will be playing in select cinemas.

Police fear fewer fentanyl imports don’t signal the end of the overdose crisis

RCMP say it’s just as likely that criminal are getting more clever

Most Read