BC's ICBC announce that his rate of basic insurance will increase about 6.5%
On February 1st, the BC Utilities Commission (BCUC) approved ICBC's application for an interim rate increase of 6.5% on basic insurance, effective March 15. The interim rate will remain in place until the BCUC renders its final decision on 2006 basic rates, expected in late May of this year. If the BCUC approves a final rate lower than 6.5%, affected customers will receive a refund subject to the conditions ordered by the Commission.ICBC seeks rate increase on basic coverage
ICBC's January 27 application to the BCUC sought a basic insurance rate increase of 6.5% for 2006 on an interim and permanent basis, as a result of significantly increased injury costs for claims.
ICBC wants more money less than a year after giving cash back to drivers. The corporation has asked the BC Utilities Commission for a 6.5 percent basic rate hike which could cost the average driver $38 more per year. This comes after they dropped the price of optional coverage just last year. Doug McLelland with ICBC says they needs to boost rates to cover a spike in injury claims. McLelland says the cost of fixing a car hasn't gone up and that's why optional insurance is staying down. He adds they would have asked for more if ICBC didn't have such a good year. If approved, the increase could take effect starting March 15th.