Wednesday, June 12, 2024

‘Keeping costs down’: ICBC applying to freeze insurance rates for an additional two years

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Drivers will be saving some money as ICBC is filing to freeze rate increases for two more years. 

This move by ICBC, who is filing their application with the British Columbia Utilities Commission (BCUC), to not increase basic insurance rates for the next two years will mark five years without any increases, according to the Province. 

“Our government is committed to keeping costs down for all British Columbians,” said Premier David Eby. 

“Holding firm on ICBC’s basic insurance rate for two more years will help millions of drivers with their monthly bills amid global inflation.”

BC insurance rates have gone from some of the highest to some of the most affordable in Canada over the last few years. 

In May 2021, the Province changed the way ICBC does auto-insurance in order to make rates more affordable for customers. 

In October 2022, an independent company, Ernst & Young, did a study to compare 30 different driver profiles from across nine provinces and found BC to have the lowest overall auto-insurance rates. 

According to the Ernst & Young study an 18-year-old man with a novice licence and a 2012 Honda Civic LX would pay annually:

  • BC – $2,551
  • Alberta – $5,936
  • Saskatchewan – $1,129
  • Ontario – $5,199
  • Nova Scotia – $4,861
  • PEI – $2,988

A 40-year-old woman with 24 years driving experience and a 2017 Ford Escape SE would pay annually:

  • BC – $1,049
  • Alberta – $1,895
  • Saskatchewan – $1,207
  • Ontario – $1,509
  • Nova Scotia – $1,318
  • Newfoundland – $1,191

“A key priority with Enhanced Care was to make insurance rates more affordable and to keep them that way, and this rate application continues to deliver on that,” said Mike Farnworth, Minister of Public Safety and Solicitor General. 

“We are pleased that, during this time of rising inflation and the cost of everyday life increasing, ICBC is able to keep basic insurance rates stable for British Columbians for another two years.”

Now that the application is filed, if the BCUC approves the application, British Columbians will continue to benefit from the rate freeze. 

mm
Curtis Blandy
curtis@victoriabuzz.com

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