techkenyot.com
techkenyot.com August 16, 2018


Bad drivers to pay more

12 August 2018, 04:14 | Hattie Nash

Attorney General David Eby speaks in Victoria B.C. on Aug. 9 2018

Attorney General David Eby

That's going to be determined using current data, rather than the 10-year-old numbers the agency is now using. Combined, this has resulted in British Columbians with crash-free, clean driving records subsidizing bad drivers, including those with multiple accidents, a Ministry of Attorney General media release outlined.

The B.C. government has directed ICBC to file an application with the BCUC by August 15, 2018. "It's only fair", said Attorney General David Eby in a statement.

"Right now, the system is broken".

Mr. Eby said under ICBC's proposal, less-experienced drivers - those who have been driving for less than 15 years - would see an increase in their premiums. "We heard from British Columbians that their insurance rates need to be fair and we agree - good drivers shouldn't have to continue paying more to cover the costs for those who cause crashes or present a higher risk on our roads".

"British Columbians have told us they expect the premiums they pay to be fair", he said.

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New discounts available for vehicles with original, manufacturer-installed automatic emergency braking technology and for vehicles driven less than 5,000 kilometres per year.

Eby said changes announced on Thursday are expected to be revenue neutral, with around two-thirds of drivers seeing a decrease in the amount they pay, and one-third seeing an increase. The changes will not increase the total funds that ICBC collects through basic policies, but instead will rebalance individual driver premiums and reset the way rates are determined.

Eby said ICBC's 30-year-old pricing model has "increasingly failed to make sure that drivers are held accountable" and accused the province's previous Liberal government of failing to take timelier action to make premiums fairer for British Columbians.

Inexperienced and high-risk drivers would pay more for their vehicle insurance in British Columbia under proposed changes to modernize the province's Crown auto insurance corporation.

The corporation would consider at-fault crashes that happened over the past 10 years - up from three - to help determine a driver's premium.

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If they are approved by the BC Utilities Commission the new rates would come into effect in September of 2019.

Geography will also become a bigger factor in how rates are calculated, meaning people who live in denser areas such as cities are likely to pay more.

The changes would include insurance discounts for drivers with up to 40 years of driving experience and move to a driver-based model, so at-fault crashes are tied to the driver and not the vehicle owner.

Similarly, at-fault accidents will have a larger impact on a driver's premiums than they now do, but one at-fault crash will continue to be forgiven over a period of 10 years.

Moving to a driver-based model.

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