Advertisement

David Eby expected to announce changes to ICBC rates

Changes to how much 'good drivers' and 'bad drivers' pay for insurance in B.C. are expected to be announced Thursday. Global News

B.C. Attorney General David Eby is expected to announce changes to ICBC insurance rates Thursday.

Earlier this year, the province promised changes that would see good drivers pay less and bad, or risky drivers, pay more for basic insurance.

LISTEN: Can new insurance rates help with ICBC’s financial woes?


More than 80 per cent of British Columbians agreed to that decision during ICBC’s public consultations.
Story continues below advertisement

Eby has called the insurance corporation a “financial dumpster fire” with ICBC losing more than $1 billion last year alone.

READ MORE: B.C. attorney general pledges to fix ICBC ‘dumpster fire’

In February, Eby introduced legislation to impose limits on soft-tissue injury payouts from vehicle accident claims that could save enough to cover soaring costs that led to the public insurer losing $1.3 billion in the last fiscal year.

GLOBAL NEWS COVERAGE OF ICBC:

“We hope and are advised that this legislation might get ICBC back in the black, which means that the savings are in the neighbourhood of $1 billion,” Eby said. “This is not the extent or the end of the work we are doing at ICBC.”

Story continues below advertisement

READ MORE: B.C. government to bring in caps on pain and suffering ICBC payouts

The new legislation did not address rates.

But the cap on soft-tissue injuries and a move towards shifting ICBC claims from B.C. Supreme Court to the Civil Resolution Tribunal should save ICBC around $1.3 billion. The legislation moves ICBC claim cases of under $50,000 to the tribunal, with a target of resolution in as few as 90 days.

— With files from Richard Zussman

Sponsored content