The provincial government of British Columbia has introduced a new bill that makes several changes to the way auto insurance decals for license plates – which serve as proof that the driver has paid their registration and insurance – work.
The new Bill 20 allows for validation decals to be valid for periods longer than one year. In addition to extending the validity of insurance decals, the bill also provides regulation that could authorize the Insurance Corporation of British Columbia (ICBC) to issue other documents that could serve as alternative proofs for a valid vehicle license instead of decals.
According to Attorney General David Eby, minister responsible for ICBC, the bill is one part of the Crown corporation’s plan to move the auto insurance renewal process online during the COVID-19 pandemic.
“During the pandemic we’ve had renewals by email, by phone and it’s been going very well, but one of the challenges of course has been delivering the decal and how we do that and obviously it’s not possible to do remotely,” Eby said.
The attorney general added that, thanks to the bill, officials can take the opportunity to consult with law enforcement and other stakeholders before they decide to pass another rule that either extends the validity of decals further, or terminates their use entirely.
“We know from other provinces that despite them offering online renewals, the vast majority of them still go through a broker’s office,” Eby commented. “So ICBC will continue to be dependent on the broker network.”
Brokers have been supportive of the government’s decision.
“Obviously there’s some communication and consultation to come, on what it might mean for the actual flexibility it is kind of speaking to,” Insurance Brokers Association of BC executive director Chuck Byrne told Vancouver Sun. “Obviously we’re keen to see improvements if they can be made and we’ll be working with government and ICBC to kind of work out some of the fine points when the opportunity presents itself.”
