ICBC going no fault. 20% decrease in rates & big increase to accident benefits.

[Zedbra]

There you go - people have been bitching about ICBC rates for years and action now equates to reaction. Cheaper rates, no more golden pay-offs, and (some) people are still not happy. I like this action, think it was well overdue, but always knew that the compensation, medical, and comprehensive coverage of ICBC were above and beyond all the private insurance only carriers in other provinces.

[fliptuner]

Nowhere in this thread has it been mentioned, that ICBC surplus goes to government coffers.

So if they start seeing profits, will they go towards their deficit or will the government just reach in and grab a bigger chunk?

I'm all for a more efficient system and more change, in terms of discounts for multiple vehicles and drivers with good records. But no matter how profitable ICBC is, we will never see any real changes in cost, until the government stops raping them.

[AstulzerRZD]

Originally Posted by fliptuner

Nowhere in this thread has it been mentioned, that ICBC surplus goes to government coffers.

But no matter how profitable ICBC is, we will never see any real changes in cost, until the government stops raping them.

I thought this was going to be fixed? Is that no longer the case?

https://vancouversun.com/news/politi...g-icbc-profits

[fliptuner]

Nothing has come of it, to my knowledge.

[AstulzerRZD]

Originally Posted by fliptuner

Nothing has come of it, to my knowledge.

Does anyone know when the spring legislative session will start?

David Eby said he hopes to pass a law in the spring legislative session, making it harder for government to raid ICBC’s one-time lucrative “excess optional capital” fund.

[mikemhg]

Bravo NDP, very impressed with how many positive changes they've put forward in the short time they've been in office.

It's breath of fresh air.

[ssjGoku69]

In 2021, when no-fault takes effect, basic and optional rates will be reduced an average of 20 per cent, saving motorists an average of $400 a year, said Eby.

ICBC said there would be savings on the current risk-based model, but it didn't seem like we saw that much here.

Government figures appear to show the rate cut in 2021 would save a Burnaby driver with one year’s experience as much as $1,570 annually on basic and optional insurance.

A new driver with 1 year experience would pay probably $3,000 to $3,500 with the change now? Compared to the $5k in the current risk model.


Overall, I think I'm joining the consensus about these changes and am feeling optimistic

[welfare]

I wonder if the liberals will campaign on privatization...

[Zedbra]

Originally Posted by welfare

I wonder if the liberals will campaign on privatization...

ICBC was not fiscally negative during the Liberals time.

https://www.fraserinstitute.org/site...ll-of-ICBC.pdf

[underscore]

Originally Posted by fliptuner

Nowhere in this thread has it been mentioned, that ICBC surplus goes to government coffers.

So if they start seeing profits, will they go towards their deficit or will the government just reach in and grab a bigger chunk?

I'm all for a more efficient system and more change, in terms of discounts for multiple vehicles and drivers with good records. But no matter how profitable ICBC is, we will never see any real changes in cost, until the government stops raping them.

While that is annoying, what do you think private insurance companies do with profits? At least with it going to the government it can contribute to things that are actually useful.

[welfare]

Originally Posted by Zedbra

ICBC was not fiscally negative during the Liberals time.

https://www.fraserinstitute.org/site...ll-of-ICBC.pdf

It looks like it was negative from 2015+ when costs simultaneously rose.

Rates are projected to rise another 24% in the next three years. I'm curious if that figure even takes into account increased cost trends or whether that's just to put out the fire as it sits now.

This 20% decrease that we'll supposedly be seeing, is that going to be negated by the projected rate increases, just like the last restructuring and "reduction" that is now seeing young drivers paying $5-7k? (God forbid they'd been involved in an accident the last few years, as they'll be paying $10-15).

I just wonder at what point does considering private become tenable? At what point can we call this a failed system?

[Hehe]

The only problem this new system seems to solve is legal fee.

Under the new system, the payout for everything is pre-determined, there is no need to go to court unless something very extraordinary happened.

They should have gone this system ages ago.

Nevertheless, I'd love them to go a step further with the whole ridesharing and the eventual arrival of self-driving.

All cars have OBDII ports, why not make the basic insurance... well, basic... like coverage while being parked against theft and what not. And make an OBDII bluetooth adapter that connects to the car wirelessly (1 OBDII for all cars with plate) that connects to a person's phone.

All people who'd like to drive need to purchase a monthly basic plan (a cost to have an ACTIVE driver license) PLUS insurance through an app, and you can have monthly or per km billing for different purposes (if I'm driving for personal vs. Uber)

This might sound like overly complicated for now, but it can save money on so many things while creating new revenue streams. No more need for brokers, each person pick what they need on the app. Digitalize ID while at it and when full-driving ride sharing actually comes, we can just have the riders to pay for the insurance (built into their fare) and the car owner doesn't need to worry about whether to purchase for business plan or personal plan.

[twitchyzero]

i'm about to look into pay-per-mile with obd2 for my US vehicle
it doesn't log GPS does it?

[donk.]

Waiting for the future when a 100% accurate polygraph is invented, and fraud can finally come to an end.

[vitaminG]

Ya fuck having them tap into my obd. I value my privacy a lot more than saving a few dollars. Plus the way I drive I'd probably be +200% instead of -43%

[UnknownJinX]

Originally Posted by vitaminG

Ya fuck having them tap into my obd. I value my privacy a lot more than saving a few dollars. Plus the way I drive I'd probably be +200% instead of -43%

My main problem is that for people who do Autocross, it's probably a very annoying process.

And you gotta talk to the insurance pretty much every time you slammed on the brakes hard because of someone else... Given how most pedestrians jaywalk right in front of you on the West Coast, no thanks.

[Hehe]

Originally Posted by vitaminG

Ya fuck having them tap into my obd. I value my privacy a lot more than saving a few dollars. Plus the way I drive I'd probably be +200% instead of -43%

Privacy and OBD reading aren't mutually exclusive if certain limitations (mostly logs data handling) are put in place. Many modern vehicle systems already have "blackboxes" built into them. It's the access to those information that may invade our privacy, but not the device itself.

Think about it, your smartphone is a privacy nightmare if all the information it logs can be publicly accessible. Nevertheless, there are certain boundaries in place as far as accessing those data.

Heck, I wouldn't be surprised if autonomous driving comes to fruition, we'd be required to have some sort of rx/tx device (smart license plate?) so cars can effectively "talk" to each other. If such device (with strong privacy guard in place) can eliminate 99% of all motor vehicle accidents, I'd be all in for it. Your license plate already identifies your car to the public, but such information is limited to the hand of ICBC.

[Mancini]

Originally Posted by fliptuner

Nowhere in this thread has it been mentioned, that ICBC surplus goes to government coffers.

So if they start seeing profits, will they go towards their deficit or will the government just reach in and grab a bigger chunk?

I'm all for a more efficient system and more change, in terms of discounts for multiple vehicles and drivers with good records. But no matter how profitable ICBC is, we will never see any real changes in cost, until the government stops raping them.

I’ve been wondering the same thing. Is this still happening?

I work in the insurance industry and I’ve watched market cycles that span a decade. Some years or decades have huge profits and some have deficits. The long-term average is not so far from other industries. If profits were skimmed for non-business costs I don’t see how the industry would survive the lean years. And that’s exactly what’s happened.

[AstulzerRZD]

Originally Posted by Mancini

I’ve been wondering the same thing. Is this still happening?

I work in the insurance industry and I’ve watched market cycles that span a decade. Some years or decades have huge profits and some have deficits. The long-term average is not so far from other industries. If profits were skimmed for non-business costs I don’t see how the industry would survive the lean years. And that’s exactly what’s happened.

AFAIK we're waiting for the spring legislative session for them to pass the bill to prevent this from happening

[twitchyzero]

Originally Posted by UnknownJinX

My main problem is that for people who do Autocross, it's probably a very annoying process.

And you gotta talk to the insurance pretty much every time you slammed on the brakes hard because of someone else... Given how most pedestrians jaywalk right in front of you on the West Coast, no thanks.

it was actually a guy who autocrossed lots and barely drive on streets who suggested it, apparently that company only cares about milage and not about G forces etc.

edit: quick online quote shows 60-65usd/mo for barely driven pleasure use

[Dbone]

Does this mean that if I want to protect my future earnings I need to go and get private life insurance?

Have they basically privatized the expensive part of their business for those of us (hopefully most of us) who make more than 60k a year?

Hopefully I'm missing something here.

edit: Yes, it looks like I was missing something. From the link in the post below:

On top of the trust issues, the new scheme calls for compensating people for only 90 percent of their wage losses. Thus, every person involved in a motor vehicle collision in B.C. that suffers a wage loss will be under-compensated by law.

Second edit:

The new scheme will only compensate wage loss up to about $93,000 per year

[van_city23]

If the economists numbers are true, we're pretty much going to get screwed even more by icbc

https://www.straight.com/life/135996...pecially-those

The government has announced that rates will fall by 20 percent next year. For the reasons the set out above, this new ICBC scheme is not worth 80 percent of our current premiums. But putting this assertion aside, the new scheme will rely on private disability insurance to compensate injured parties for their wage losses, whereas previously, private disability insurance was recoverable from the person at fault in the collision.

The private disability insurance issuers are undoubtedly going to raise rates in response to this change. This rate increase will be borne by British Columbians either through premiums—or, for those whose employer pays for disability insurance—through lower wages. It is not clear what the average amount people in B.C. will save on premiums for insurance as a result of this change, if any, but premium savings will most certainly be less than 20 percent.

[forcedot]

Originally Posted by welfare

It looks like it was negative from 2015+ when costs simultaneously rose.

Rates are projected to rise another 24% in the next three years. I'm curious if that figure even takes into account increased cost trends or whether that's just to put out the fire as it sits now.

This 20% decrease that we'll supposedly be seeing, is that going to be negated by the projected rate increases, just like the last restructuring and "reduction" that is now seeing young drivers paying $5-7k? (God forbid they'd been involved in an accident the last few years, as they'll be paying $10-15).

I just wonder at what point does considering private become tenable? At what point can we call this a failed system?

Increase overall rates by 30% under the new restructure, to then decrease them 20% next year, to then increase them 20% in the 3 upcoming years.

Who needs amusement parks when you have ICBC