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

Sooke passes budget with 7.17% tax increase

Six positions added to municipal ranks

Langford man sentenced to 15 months for child pornography collection

Andre Mollon sentenced for posession of more than 1,000 child pornography images and 70 videos

Victoria crash threatens shipyard’s schedule for new coast guard ships

Delivery of the vessel was already years overdue

Victoria Police Department’s K9s help make three arrests

Police Services Dogs Alpha and Zender have had a busy few weeks

Saanich police arrest suspected purse snatcher after witness tracks him down

Man known to police attempted to steal the purses from Red Robin restaurant

VIDEO: The ‘most cosmopolitan’ of butterflies could migrate to B.C.

The painted lady butterfly will likely arrive this summer from Southern California

Sentencing begins for indecent caller

Vancouver Island man pleaded guilty to making indecent phone and video calls to women across B.C.

Sources say Trudeau rejected Wilson-Raybould’s conservative pick for high court

Wilson-Raybould said Monday “there was no conflict between the PM and myself”

First Nations public art piece stolen in Nanaimo

Spindle Whorl went missing over the weekend, according to Nanaimo RCMP

Father-son duo at B.C. Children’s Hospital helps new dads fight depression

The pair teamed up to introduce the only known research-based mindfulness workshop for new dads

Mexican restaurant in B.C. told to take down Mexican flag

General manager of Primo’s Mexican Grill in White Rock: ‘I’ve never heard of anything like this’

B.C. NDP moves to provide tax credits, tax cut for LNG Canada

Provincial sales tax break of $596 million repayable after construction

COLUMN: Smart phone too powerful a tool to yank from students’ hands

Rather than ban them from schools, let’s teach kids to harness their phone’s power and use it properly

B.C. river cleanup crew finds bag of discarded sex toys

Chilliwack volunteers stumble on unexpected find while removing 600 lbs of trash from riverway

Most Read