Owner's Certificate of Insurance

When issuing an owner's certificate of insurance, ICBC typically charges different rates that vary by areas within the province. Does anyone know where in the Insurance (Vehicle) Act or Regulations that permits establishing different rates depending on the region where the vehicle is located?

I found that Part 2 section 9(3) state that "the territory in which the vehicle is primarily located when not in use" must be updated upon a change if the premium was established based on territory, however, I don't see where it is permitted to establish premiums based on territory in the first place.

Section 34(3) of the Act permits establishing differing premiums for the driver's certificate of insurance based on class or subclass of driver where the class or subclass of driver can vary based on the region of the driver.

However, for the owner's certificate of insurance, section 34(4) only permits establishing premiums based on the class of subclass of a vehicle with no variance based on regions.

Does anyone have any insight into how ICBC is charging varying premiums of owner's certificate of insurance based on regions that a vehicle is located?

So I contacted the ICBC

So I contacted the ICBC Customer Relations and they kept pointing to section 34(1.1) of the Insurance Vehicle Act as the reason they set vehicle insurance rates based on territory.  The customer relations person emailing just continually tries to link section 34(1.1) to owner’s certificate even though they are unrelated.  

Here’s what I explained:

ICBC administers two types of insurance certificates: owner's certificate and driver's certificate.  

Owner's certificate is what a person would commonly refer to as vehicle insurance.  

Driver's certificate is the insurance policy each BC driver with a valid BC driver's license has whether the driver insure a vehicle or not.  

The entire section 34(1.1) only relates to classification of drivers.  The only purpose for classification of drivers is used to set driver’s certificate premiums under section 34(3).  So the entire 34(1.1) section is completely unrelated to owner’s certificate premiums.

I explained that, owner's certificate, also referred to as owner's certificate of insurance, is also commonly referred to as vehicle insurance.  Owner's certificate policies are almost exclusively what ICBC will deal with for insurance claims.  There is only one subsection under section 34 that deals with how rates may be set for owner's certificate.  That is section 34(2) which says:

"The basic premium payable for an owner's certificate is that established by the corporation for the class or subclass of vehicle to which that owner's certificate is appropriate."

Translated into common terms section 34(2) says: The cost of the $200,000 third party liability (i.e basic premium) for vehicle insurance is established by ICBC by the class or subclass of vehicle. 

I really can’t break it down for ICBC anymore than the above.  The correspondence is comical now because customer relations keeps pointing back to 34(1.1)(b) which allows driver classification by region. Driver classification is of course unrelated to vehicle classification used for owner's certificate basic premiums.

I contacted BC Utilities Commission and they claim that they do not do anything related to the Insurance (Vehicle) Act, only the Insurance Corporation Act.  The Minister of Transport pointed me to Attorney General David Eby.  I contacted David Eby and there office doesn’t respond either once I explained the problem.   To me, it feels reminiscent of a third world country's legal system.


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