Vehicle damaged in accident in the Castlegar region, October 2020. (Castlegar Fire Department photo)

Vehicle damaged in accident in the Castlegar region, October 2020. (Castlegar Fire Department photo)

ICBC paying out COVID-19 rebates in March, averaging $190

Refunds come from $600 million savings from fewer claims

The Insurance Corp. of B.C. is splitting up $600 million in savings from the COVID-19 drop in travel and accident claims, with refunds averaging $190 for drivers who had active vehicle insurance between April 1 and Sept. 30 of 2020.

B.C. Public Safety Minister Mike Farnworth said cheques will go out to qualified policy-holders, with a portion of the rebate for those who had insurance for part of the period. The refund meets a campaign commitment the NDP made last fall when the early election was called, he said.

The pandemic dip in claims and the rebate program do not affect the implementation of ICBC’s new rate structure and claims system, which is expected to lead to an average 20 per cent decline in mandatory and optional vehicle insurance, Farnworth said. The “enhanced care” system takes savings from eliminating court battles over most injury claims, and capping the payouts for “pain and suffering” due to injuries deemed minor.

RELATED: NDP government bails out ICBC with $1 billion transfer

RELATED: ICBC caps pain and suffering awards at $5,500 amid losses

The B.C. government covered a $1 billion deficit for ICBC in its 2019 budget, after the Crown corporation recorded its second deficit that size. The province then moved to expand its Civil Resolution Tribunal to settle most injury disputes out of court, predicting that move would save ICBC $1.5 billion in legal fees, courtroom experts and other related costs.

ICBC reported in May 2020 that it had seen a decrease of 46 per cent in accident and injury claims due to COVID-19 restrictions that caused travel to decrease. It also reported that 100,000 vehicle insurance policies were cancelled.

ICBC now says it has received 35 per cent fewer crash and injury claims than expected last year, with an estimated impact of $720 million in savings. With people reducing or cancelling their insurance, premium revenue is down $120 million compared with what it would normally be.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC politicsCoronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

During a press event on March 6, Const. Alex Berube, media relations officer for the West Shore RCMP, addressed a deadly shooting that occurred in Metchosin the night before. (Devon Bidal/News Staff)
VIDEO: One man shot dead in ‘targeted incident’ on Sooke Road

Highway 14 reopens following multi-hour closure for investigation

Victoria man Brett Andersen is asking for people’s help to secure him one of eight free tickets to the moon. (Screenshot/@brettandersen Instagram)
Victoria man wants your help securing a free ticket to the moon

Japanese billionaire offering eight people a trip to the moon

A resurfacing of the tennis court in Metchosin is being eyed for the community. However, funding opportunities still need to be solidified for the project. (Michelle Cabana/Black Press Media)
Renewed surface eyed for Metchosin tennis court

Funding source must first be solidified in order for project to happen

A decade into the 100-year blueprint for restoring the Bowker Creek watershed, Soren Henrich, director of the Friends of Bowker Creek Society, feels positive about the future of conservation and daylighting of the creek. (Nina Grossman/News Staff)
Ten years in, Greater Victoria’s 100-year Bowker Creek blueprint gets a boost

Victoria council passes several restoration recommendations

The James C Richardson Pipe Band marches in a Remembrance Day parade on Nov. 11, 2019 in Chilliwack. Wednesday, March 10 is International Bagpipe Day. (Jenna Hauck/ Chilliwack Progress file)
Unofficial holidays: Here’s what people are celebrating for the week of March 7 to 13

International Bagpipe Day, Wash Your Nose Day and Kidney Day are all coming up this week

The Conservation Officers Service is warning aquarium users after invasive and potentially destructive mussels were found in moss balls from a pet store. (BC Conservation Officers Service/Facebook)
Aquarium users in B.C. warned after invasive mussels found at pet store

Conservation officers were told the mussels were found in a moss ball from a Terrace pet store.

Hockey hall-of-fame legend Wayne Gretzky, right, watches the casket of his father, Walter Gretzky, as it is carried from the church during a funeral service in Brantford, Ont., Saturday, March 6, 2021. HE CANADIAN PRESS/Nathan Denette
Walter Gretzky remembered as a man with a ‘heart of gold’ at funeral

The famous hockey father died Thursday at age 82 after battling Parkinson’s disease

Donald Alan Sweet was once an all star CFL kicker who played for the Montreal Alouettes and Montreal Concordes over a 13-year career. Photo courtesy of Mission RCMP.
Ex-B.C. teacher who was CFL kicker charged with assault, sexual crimes against former students

Donald Sweet taught in Mission School District for 10 years, investigators seek further witnesses

(Black Press Media files)
Medicine gardens help Victoria’s Indigenous kids in care stay culturally connected

Traditional plants brought to the homes of Indigenous kids amid the COVID-19 pandemic

Personal protective equipment is seen in the COVID-19 intensive care unit at St. Paul’s hospital in downtown Vancouver. THE CANADIAN PRESS/Jonathan Hayward
$16.9 million invested to improve worker safety, strengthen B.C.’s food supply chain

Money to be used for social distancing, personal protective equipment, cleaning, and air circulation

More than ever before, as pandemic conditions persist, the threat of data breaches and cyberattacks continues to grow, according to SFU professor Michael Parent. (Pixabay photo)
SFU expert unveils 5 ways the COVID-19 pandemic has forever changed cybersecurity

Recognizing these changes is the first in a series of steps to mitigate them once the pandemic ends, and before the next: Michael Parent

Kevin Haughton is the founder/technologist of Courtenay-based Clearflo Solutions. Scott Stanfield photo
Islander aims Clearflo clean drinking water system at Canada’s remote communities

Entrepreneur $300,000 mobile system can produce 50,000 litres of water in a day, via solar energy

Most Read