For the second consecutive year, ICBC will not be increasing basic automobile insurance rates, the corporation announced. ICBC’s submission to the British Columbia Utilities Commission (BCUC),
which sets basic insurance rates, indicates that there will be no basic rate increase in 2005.
ICBC’s strong investment results, continued low operating expenses,
decreased number of claims and ongoing road safety programs all contribute to maintaining current rates. The corporation maintains that its financial results are building retained earnings that will help keep insurance rates low and stable for customers in the future.
According to Consumer Price Index reports issued by Statistics Canada over the past few years, costs for basic and optional auto insurance have remained stable in B.C., in contrast with the significant increases experienced in many other provinces.
While the BCUC does not regulate optional insurance rates, ICBC’s
optional insurance business is also showing positive results to date. If the trend continues through this year, some better-risk customers may see lower rates on optional insurance coverage in 2005.
ICBC’s rates and service levels for basic coverage are regulated by the BCUC. All B.C. motorists must have basic coverage, which provides drivers with the minimum insurance coverage required by law.
The corporation has filed financial and other information with the BCUC and the details of these filings are available on ICBC’s website at:
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