I.C.B.C. Insurance rates

[Jflem1983]

My5cents. Do you sell insurance.

Do you work for ICBC


Can you please explain the difference in coverage provided to a motorist in AB. Vs. BC. And why ours is twice as much.

It really is close to double. Nearly quadruple Saskatchewan prices

[my5cents]

My5cents. Do you sell insurance.

Do you work for ICBC


Can you please explain the difference in coverage provided to a motorist in AB. Vs. BC. And why ours is twice as much.

It really is close to double. Nearly quadruple Saskatchewan prices

No

No

I guess some of the difference comes from driving conditions. Straight, vs curves. You just have to follow an AB car for a few kms to see them brake for the smallest curve.

You loose control in AB or SK and run off the road, your likely to be stuck in a field. In BC likely over an embankment.

First off we'd have to agree on which insurance we are talking about. I, like you, probably purchase more than just basic minimum coverage legislated by law ($200,000.00 Public Liability).

After that basic minimum, any insurance you purchase is completely open in BC to competition, you can purchase from ICBC or a private insurance company any extra liability coverage, and own damage coverage you want.

Your minimum coverage with ICBC has some included coverages. Some of those coverages are different with private AB insurance, that's something most don't check when they compare coverage.

They say, "I have the exact same truck my brother in law has in AB and I pay more", (end of comparison).
- How much total liability coverage does the brother in law have ?
- What is the limit of the no fault coverage ?
- What coverage does no fault coverage provide ? (In BC if your son was on a field trip in Seattle and was run down crossing the street, by a stolen US vehicle and severely injured he is covered by your ICBC No Fault Coverage up to $150,000. Would he be if insured in AB ?)
- What coverage does the brother in law have if hit by an uninsured vehicle ? Underinsured vehicle ?
- What own damage coverage, and what deductible does the brother in law have ?
- Is the brother in law covered for glass ? What is the glass deductible ?

OK and after all that we then have the difference the basic civil law regarding ability to sue motorists for pain and suffering in BC and in AB. That ability or lack thereof is what is costing a vast majority of the difference. That has nothing to do with ICBC, that has to do with the former Liberal government in BC.

Some of the included coverage in BC may seem not to be worth it, well is isn't until you need it, then, like all insurance is invaluable.

Some of the differences -

Uninsured, underinsure, unidentified motorist, protection -
ICBC: Basic coverage for uninsured, $1 million per person, who is a driver, passenger, pedestrian or cyclist
AB: Alberta Motor Vehicle Accident Claims Program maximum $200,000 per incident, must happen in AB, must sue program over $25,000, may have other coverage under private coverage,
ICBC: Basic coverage for underinsured same as uninsured
ICBC: Hit and Run available to any BC resident. $200,000 coverage for injuries and property

Medical Rehab and Care -
ICBC: $150,000 per person
AB: Up to $50,000 per person
Income Replacement
ICBC: 75% of gross weekly wages max $300 week for 104 weeks of temp disability
Lifetime for total disability
AB: 80% of gross weekly wages max $400 week for 104 weeks
Right to Sue for Pain and Suffering -
BC: Yes
AB: Yes, but if injury is "minor" max award $5,020.

Some factor you may or may not care about....
In both provinces premiums are based on the type of vehicle, the area of the province, usage of the vehicle, driving record * of principle operator and claims history etc.
* in BC the driving record is dealt with by penalty points, it doesn't add to insurance premiums

In AB some personal details also affect premiums.
Age
Marital Status
Gender
Those are not considered in BC. (driving record above includes experience)

You mentioned Saskatchewan.... that's a whole other kettle of fish. They have a choice of purchasing no fault coverage or tort option. Depending on the coverage selected, changes the premiums and the benefits.

[StraitTalk]

ICBC is inundated with litigation related payouts... something like 40% of what is paid by ICBC for personal injuries is legal fees alone. I also know Personal Injury claim payouts have risen nearly 300% in ~the last decade. Private insurance companies do not face these strains.

We need serious auto insurance reform or privates to come in and straighten it out.

[Bestchum]

Insuring my vehicle here or Manitoba the rates were about the same. We have to look at a number of things. Driving record, age, liability insurance, collision coverage's, any loss of use or additional insurance, zone, vehicle make and age...there are so many different coverage's. Most people have no idea what coverage's they have until something catastrophic happens. Read the fine print; not all coverage's are the same.
ICBC pays out so much money on personal injury claims I can understand how they can be so much in debt. Unfortunately rates are affected by these claims, even private insurance companies would have to up rates if there was a sudden influx in claims. You have the option for private insurance here. You just need your basic from ICBC. Get some quotes and see!

[Jonrox]

I can't believe what some of you must be paying to be $800 more or double what Alberta and Saskatchewan rates are. Either there's some exaggeration going on here, you got completed fleeced, you have a bad driving record, or aren't comparing similar policies.

[jimmy4321]

I have relatives in ON and NS , they're driving nicer vehicles and paying far less.
In my experience i pay as much as $500 more in BC with the same vehicle and coverage.
To check it out don't base prices on some online quote, you'll get screwed. Call 2 or 3 brokers and they'll likely be within 100 bucks from each other and far less than BC if you have a good driving record.

[my5cents]

I have relatives in ON and NS , they're driving nicer vehicles and paying far less.
In my experience i pay as much as $500 more in BC with the same vehicle and coverage.
To check it out don't base prices on some online quote, you'll get screwed. Call 2 or 3 brokers and they'll likely be within 100 bucks from each other and far less than BC if you have a good driving record.

OK for starters, we're talking about three areas of insurance. Basic, which includes a minimum $200,000 public liability (same in each province), which depending on the province allows for tort claims with or without restrictions, then No Fault Coverage, (medical, rehab, wage loss, no matter who's at fault) and Own Damage.
You mention "nicer vehicles", the type and value of a vehicle generally factors in to the premium for "Own Damage" coverage, which is open to full competition in BC, so if you don't like ICBC rates, buy from a private company.

As for no fault ….the same vehicle and coverage..?

Medical, Rehab and Attendant Care (per person)
Ontario: $3500 for minor injury. Up to $65,000 for non minor

BC: Up to $150,000

Income Replacement (per person)
Ontario: 70% of gross wages to max of $400 a week for 104 weeks (longer if victim unable to pursue suitable work)

BC: 75% of gross wages to max of $300 a week for 104 for temporary disability, lifetime for total disability

Then the basic concept of Tort. (suing for pain and suffering)

Right to sue for Pain and Suffering
Ontario: Yes only if injury meets severity test and subject to deductible. You can only sue if the pain and suffering is serious and permanent. Any settlement of $100,000 or less is subject to a $30,000 deductible.

BC: Yes


So you can see that the entire concept of insurance is completely different in the two provinces. Because of the provincial Liberal governments reluctance to act on the report on auto insurance in BC that they commissioned, we still have a full tort system. Meaning anyone can start an action in court no matter how minor or questionable the injuries are. These types of "nuisance" claims are very costly. ICBC can't just say, you weren't hurt go away, we're not paying you, they have a responsibility to defend the at fault motorist from the "whiplash Willy". They may defend the action and win, but at what cost ? That cost is then a burden to all of us.

That's why AB, SK, MB, ON and QC have enacted some form of Threshold No Fault. Meaning that if someone is injured in a motor vehicle accident, the injuries have to be substantial before they are allowed to sue for pain and suffering. Each province still has No Fault Coverage for medical, rehabilitation and wage loss, but until the injury is substantial the option of suing for pain and suffering is not on the table.

[Jflem1983]

My5cents. Thank u for the education on insurance. You are well versed in this. You should be a consultant

[Smurf]

Very good information My5cents. Having insured vehicles in a number of different provinces and the USA I have a fair understanding of what you are saying but could never have explained it as well. When I owned my place in the US I kept a vehicle down there and licenced and insured it down there for obvious reasons. To licence it down there I had to import it to the US. A bit of a nuisance but at least I was insured if something happened. When I sold and started towing again I had to import ion back to Canada which turned out to be a bigger hassle. I know/knew many people who leave/left their BC or other provincial licences and insurance on their vehicles. As you say all's fine until you have an accident and then look out as you could very likely loose everything you have. I am far from rich but do have too much to loose by a simple foolish decision to save a few bucks. In the end I have to agree with you that all things taken into consideration BC is not that much more expensive. Under the right circumstances a person might find that those extra costs are very worthwhile. But like any insurance it is only worthwhile if you need it. Other than that you are only buying peace of mind.