The BC government has announced that drivers in British Columbia will see no increase to their basic insurance rates until at least spring 2027.
This marks seven consecutive years without an increase.
ICBC conducted an analysis of its finances and concluded that basic auto insurance rates do not require a change through to the 2026-27 fiscal year.
“Keeping basic insurance rates low and stable is part of our government’s commitment to affordability and helping people manage their day-to-day budgets,” said Niki Sharma, Attorney General and minister responsible for ICBC.
“We’re making sure drivers have access to affordable coverage and some of the strongest care and recovery benefits in the country without compromising financial sustainability.”
ICBC says that they were able to keep basic rates frozen because of the introduction of their Enhanced Care model in 2021.
The Enhanced Care model is a care-based auto insurance system that provides injury benefits to anyone injured in a crash, regardless of fault.
This includes coverage for medical expenses, wage loss and other recovery costs. Enhanced Care aims to provide more affordable and stable rates by reducing litigation costs.
According to ICBC, the care-based model led to an immediate reduction in basic insurance rates, which has saved the average customer $496.
“With insurance rates stable, we can put our efforts toward enhancing customer experience and expanding online services,” said Jason McDaniel, interim CEO and president, ICBC.
“As a public auto insurer, run by British Columbians for British Columbians, we are dedicated to providing affordable, steady rates and fiscal stability to the people and places where we live.”
In addition to saving money, ICBC has been able to issue BC motorists up to $640 in five separate rebates, depending on eligibility, since 2021. These rebates total $2.7 billion.
