Paramedics at a crash scene near Penticton Nov. 18. Bodily injury claims have been increasing in recent years.

ICBC to seek 2012 rate increase

ICBC is applying for a basic insurance rate increase, as bodily injury claims increase.

The Insurance Corp. of B.C. has announced it is applying for an increase to its mandatory basic vehicle insurance for 2012 to help cover an increase in claims and a decline in investment income.

ICBC president Jon Schubert said Tuesday the corporation’s bodily injury claims have jumped, contributing to a $200 million increase in overall claims in the first nine months of 2011. Annual bodily injury claims have climbed by $350 million in the past five years, and are expected to reach $1.7 billion this year.

“We have not increased our rates since 2007 and there have been a number of rate decreases during that time,” Schubert said.

ICBC reported net income for the first nine months of the year of $52 million, down from $331 million in the same period in 2010. Despite that, its rate change application to the B.C. Utilities Commission will seek to decrease rates on its optional coverage, where it faces competition from private insurance companies.

Finance Minister Kevin Falcon cited ICBC’s revenue decline as the biggest factor in the B.C. government’s worsening deficit position. Quarterly results for the provincial treasury show a projected deficit of $3.1 billion for the year ending in March, up $313 million from the July estimate.

Falcon said insurance companies around the world have seen investment income fall off with the continued economic slump in the United States and instability in Europe. Schubert said most of ICBC’s investments have been moved into short-term bonds in response to the volatility of financial markets.

Just Posted

B.C. BUDGET: Surplus $374 million after bailouts of BC Hydro, ICBC

Growth projected stronger in 2020, Finance Minister Carole James says

VIDEO: North Island Peewee Eagles unleash avalanche of goals against Peninsula in semi-final showdown

The two teams squared up on Sunday morning at the Chilton Regional Arena in Port McNeill.

North Island Seniors Housing Foundation takes the next step towards getting Trustee Road land

Seniors rejoice, Port Hardy council is very much in favour of helping… Continue reading

Port Hardy Volleyball club requests funding from Port Hardy council

The sport of Volleyball is alive and well in the North Island,… Continue reading

Should aquaculture programs be offered at North Island College in Port Hardy?

“I think it would be very timely to have an aquaculture program”

‘Our entire municipality is heartbroken’: Seven children die in Halifax house fire

A man and woman remained in hospital Tuesday afternoon, the man with life-threatening injuries

B.C. BUDGET: Income assistance raise still leaves many below poverty line

$50 per month increase included in funding for poverty and homelessness reduction

B.C. BUDGET: Indigenous communities promised billions from gambling

Extended family caregiver pay up 75 per cent to keep kids with relatives

B.C. BUDGET: New benefit increases family tax credits up to 96 per cent

BC Child Opportunity Benefit part of province’s efforts to reduce child poverty

B.C. BUDGET: Carbon tax boosts low-income credits, electric vehicle subsidies

Homeowners can get up to $14,000 for heating, insulation upgrades

B.C. man survives heart attack thanks to Facebook

A Princeton man suffered a heart attack while at an isolated property with no cell service

B.C. man sues Maxime Bernier’s People’s Party over trademark

Satinder Dhillon filed application for trademark same day Maxime Bernier announced the new party

New trial ordered over banning whales, dolphins at Vancouver aquarium

Park board’s appeal reverses previous decision that found it had no right to implement a ban

Make sure measles shots up to date, Public Health Agency says

Measles causes high fever, coughing, sneezing and a widespread painful rash

Most Read