High Cost of ICBC Insurance

Are there more changes forthcoming to the costs of insurance in BC comparitive to that in other Canadian provinces and to the USA.  We recently moved to BC from Alberta and are shocked at the cost of insurance here.  My wife and I are in our 40's and we have had no at-fault collisions since we started driving at age 16.  We pay more for one vehicle here than we did for two in Alberta.  Also my motorcycle insurance costs have tripled since the move to BC.  I have three motorcycles, I don't ride all three at the same time so why isn't there a more cost effective way of insuring them?  Insure the person not the equipment they operate?

I just went online to 3

I just went online to 3 different companies in Alberta and it was higher for insurance in Alberta than here in BC for my car. I have 20 years no accidents roadstar plus. Of course I compared apples to apples. One can't get a price for $500k liability in Alberta and then $2 million liability here in BC and say "hey Alberta is soo much more cheaper". Apples to apples..

Re: Insurance costs

It is high, because unlike in Manitoba, where their public insurance company was forced by the Government to issue refunds, BC Government has collected over a billion dollars from the public insurer towards General revenue.
General revenue is the on-going operations account - petty cash - something which is not pre-budgeted, or specifically allocated. Doing so allows the bureaucrats to enjoy a lavish live-style with little oversight and no immediate danger of being caught overspending - how can you overspend something that wasn't "expected" to come in?

Public insurance is profitable, and in the Bring Cash province it is milked by the Gov.
But hey, at least they are not raising the taxes, right?

ICBC Costs

There are some issues with government withdrawing, but studies show the main reason it is more expensive, is because claims cost the insurance company more than other places.

Some of it is due to differing environments (mountains, etc), some, perhaps, driving styles..

You may think so, because it is what you are told predominantly.

People tend to generalize and paint all categories equally.
This is incorrect. Environment, driving styles, ethnicity, more accidents all sound as reasonable "public opinion" excuses for getting shafted with no lube.
You have to look at the actual numbers of the "issues with government withdrawing".

In 2012, there were 2,865,000 registered vehicles on the roads (presumably insured),
and every year since 2010 ICBC has relayed an average of 200 million dollars to the Gov.
That is roughly $70 per presumably insured vehicle; money left over after all premiums have been paid, and all claims satisfied. Considering there have been 260,000 accidents in 2012 - those drivers do not "deserve" a refund.
So if you haven't been in an accident, and with keeping in mind that ICBC's mandate is the affordable public auto-insurance, your premiums should have been less $77 every year since 2010. That money is a hidden tax. For me it's a 14% extra charged on my premium (and never an at fault claim).

Vaughn Palmer: Ratepayers be damned, ICBC has become a valuable cash cow for unrepentant Liberals

P.S. Something which is hard to calculate, but in my opinion is a hefty number and a greater contributor to the insurance premiums, are the artificially increased amounts of each individual claim, because of the lawyer and doctor industry. Lawyers always want to crank up the claimed damages to increase their commission, and doctors always want return business - they will keep writing documents, if you keep telling them that you are hurting. Speak to Klein Lyons to really glean into the mechanics of inflating your claim - all those ads have been on for decades.

How dare you use facts!

I found it amazing last week when they announced that ICBC had overcharged motorists.Really? How shocking!As outrageous offline has accurately shown,ICBC has always overcharged, everytime 1dime goes into general revenues,to be misused  by what ever government is in place.I think the annoucement is more of a publicity stunt,to make people think that ICBC is being held to a standard, which has the best interests of the public.The real problem is that ICBC even exists at all.What purpose does it serve,other than to provide a crown corporation,and government jobs.The only persons, other than employees of ICBC,that benefit, are the drivers that have the worst driving records,and present the highest risk, to all others on the road.Do persons with good driving records get refused insurance in provinces and states with private insurance?ICBC is a huge bloated crown corporation which should never exist in the first place.I would be curious to know what the total value of fixed assets,property,contingency funds, and funding liabilities for employees pensions,past and future are.I am willing to bet the amount would exceed the the cost's for the PortMann bridge.They should put a Forsale sign on every asset owned by ICBC,and shut it down.Then put the money into transportation infrastructure,and give up this hoax,that ICBC serves the interest of the people of BC.It does not!And good on you for actually posting the facts about the money going to general revenues.

I Agree

I just bought a 410cc MC.. Had I checked insurance rates first, I wouldn't have. It's in the adventure class, meant for 50/50 on off road. It has the "same" HP as a 250cc MC. The only difference, is has much higher torque which is beneficial while travelling off road. It's slower, not faster. But because it's 410cc, I'm forced into a higher more expensive 400-700cc rate class. To insure a $6500 MC will cost me $200 more /yr than a $30K Jeep.

I've been driving for 55 years and have never caused an accident, ever.. yet my rates are continually going up by leaps and bounds.. We now have the highest rates in the country.

This poster has it right.. with gov insurance, bad drivers benefit. Some shouldn't even be insured. The problem is.. ICBC is a socialist system unto itself! Since when has 'gov' ever been considered to be financially responsible?

Interesting sidebar.. Trump is lowering taxes while slashing and burning his way through tens of billions in gov mismanagement, yet the establishment Left hate him!! He's turning the gargantuan ship around bringing back millions of jobs while cutting expenses for all. Meanwhile our PM is up to his neck in scandal and the cost of living in this country is skyrocketing. Canada is the best place to live, if you're on the dole!

I totally agree with this person.

Good to see you agree that

Good to see you agree that claims are the primary reason for the level of premiums.

I don't like the government withdrawals (and never said they didn't happen), but the difference in premiums between BC and other provinces is often way more than $70 (as the first poster notes)

They get away with it as $70 is a fairly small percentage - you say 14% for you - I have an average, not very expensive vehicle with no claims and it is only 3% for me. Less than the taxes (or you could say part of them :^)   )

At the risk of starting a political thread, the only way I see of changing government withrawals is to discuss changing who is in government.

To make premiums significantly cheaper, people need to start driving better - and there are lots of threads on this forum discussing issues around that. Unfortunately, talk is cheap.

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