The Insurance Corporation of British Columbia (ICBC) has dropped hints that it could offer drivers a rebate on their insurance premiums – but they might have to wait until the end of the Crown corporation’s fiscal year to receive the possible refund.
In a recent statement, BC Attorney General David Eby said that ICBC saw a decrease in collisions in 2020, hence the insurer’s plan to look into rebates for customers. But any rebates that may be issued will not come until after April 30, 2021, when ICBC’s fiscal year ends. Eby explained that this is because of the insurer’s financial condition.
“Issuing a rebate cheque right now would not be a responsible thing to do until we know where these finances are going to land as a result of the pandemic,” the attorney general explained.
Eby added that so far for this year, “things are looking very good” for ICBC, thanks to the changes the provincial government has made around how minor auto-related injuries are handled. He also mentioned that fewer people are driving, so it has led to fewer accidents and claims.
The attorney general also gave assurances that if ICBC ever sees a surplus, a new law passed by the government would ensure that the savings would be passed on to customers. Eby noted that customers could expect this return in the form of rebates, reduced future rates, or even a combination of both.
But regardless of whether the current trend continues until May, Eby said that most drivers will see savings in the spring.
CBC News reported that ICBC is switching to an “enhanced care model” of insurance, which Eby said would result in an average rate reduction of 20%. Under this new model, drivers who paid for a year’s worth of insurance will be refunded for each month paid for after May.
