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

Const. Allan Young. Photo: Abbotsford Police Department
Manslaughter charge laid in Nelson death of Abbotsford police officer

Allan Young died after an incident in downtown Nelson last summer

Forty-seven vaccination clinics will open across Interior Health beginning March 15. (Canadian Press)
48 COVID-19 vaccine clinics to open across Interior Health

Select groups can book appointments starting Monday

Seniors in the Interior Health region can book their COVID-19 vaccinations starting Monday, March 8, 2021 at 7 a.m. (File photo)
Seniors in Interior Heath region can book COVID-19 shots starting Monday

Starting March 8 the vaccination call centre will be open 7 a.m. to 7 p.m. daily

Jasper after he was reunited with his owners Mary and Brent Hummel. Photo: Steve Smith
New children’s book features lost Castlegar dog who swam the Columbia multiple times

Brent and Mary Hummel and Jasper tell their dramatic story

An RDKB bylaw officer on Thursday, March 4, concluded their investigation into land-use violations reported at the disused Broadacres facility at 860 Carson Rd., according to planning and development manager Donna Dean. Photo: Laurie Tritschler
No ‘homeless shelter’ at rural Grand Forks’ Broadacres, says RDKB

Regional District planning manager Donna Dean says there’s no camping happening there, either

Third-grader Hudson Adrian (left) on Wednesday, Feb. 24, poses with fourth-graders Josh Hlookoff (centre) and Jaylen Dekteroff at Hutton Elementary’s Pink Shirt Day parade. Photo: Laurie Tritschler
WATCH — Grand Forks’ elementaries support Pink Shirt Day

The annual celebration of kindness puts paid to the idea that bullying was ever cool

(The Canadian Press)
‘Worse than Sept. 11, SARS and financial crisis combined’: Tourism industry in crisis

Travel services saw the biggest drop in active businesses with 31 per cent fewer firms operating

Pictures and notes in from friends and classmates make up a memorial in support and memory of Aubrey Berry, 4, and her sister Chloe, 6, during a vigil held at Willows Beach in Oak Bay, B.C., on December 30, 2017. THE CANADIAN PRESS/Chad Hipolito
Mother of slain daughters supports recent changes to Canada’s Divorce Act

Sarah Cotton-Elliott said she believed her children took a back seat to arranging equal parenting

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

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

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 on Vancouver Island in ‘targeted incident’

Highway 14 reopens following multi-hour closure for investigation

Most Read