Accident rate is up, and injury claims, especially older claims that started out as minor. (Black Press files)

Accident rate is up, and injury claims, especially older claims that started out as minor. (Black Press files)

ICBC projects deficit of $1.3 billion this year

‘Massive growth’ in injury claims costs piling up

B.C.’s public auto insurer has confirmed its losses are accelerating, with annual injury claims rising from $3 billion in 2014 to almost $4 billion today.

And in addition to a continued increase in vehicle accidents, the pressure is coming from minor injuries that have developed into big demands for compensation by personal injury lawyers.

“In recent months, we have seen the emergence of many more, large and extremely costly claims, which run into hundreds of thousands of dollars each,” ICBC said in a statement posted on its website Sunday. “In particular, older claims – some dating as far back as 2010 – which were initially presented as minor injury claims have since emerged as more complex and costly, large loss claims.

“Over the past 12 months, we have experienced an unprecedented 80 per cent growth in large loss claims which have an average cost of $450,000 per claim.”

The projected loss comes despite a 6.4 per cent basic insurance rate increase approved this month by the B.C. Utilities Commission. That translates to an average increase of $4.75 per month for personal basic insurance coverage, which took effect Nov. 1 on an interim basis.

Attorney General David Eby released a consultant’s report after the NDP government took office in July, projecting ICBC rates could rise 30 per cent by 2019 if changes aren’t made. At the time, Eby rejected the idea of “no-fault” insurance that would cap the awards available for soft tissue and other minor injuries.

B.C. Liberal leadership candidates have traded blame for the soaring increase in claim costs, which has been a cause of alarm for ICBC executives since 2013.

BC legislatureICBC

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

North District RCMP are urging the public's assistance in locating Prince George resident Amber Wuetz, 25, last seen Oct. 18 in the Canim Mahood Lake area north of 100 Mile House. (Photo submitted)
Prince George woman confirmed dead, foul play not suspected

Police confirm Amber Wuertz was found deceased on Oct. 31

As winter gets underway the city is reminding residents of its snow and icy policy and the role residents have in clearing sidewalks and keeping vehicles and carts off the street when snow plows are in the area. (Monica Lamb-Yorski file photo - Williams Lake Tribune)
Williams Lake reminds residents of snow and ice policy requirements

Clearing of snow and ice from sidewalks is responsiblity of property owners

Masks are now officially mandatory in all City of Campbell River facilities. (Black Press File Photo)
Interior Health reports 49 new COVID-19 cases overnight

302 cases remain active; two in hospital

Quesnel Kangaroos forward Justin Fulton (17) fires the puck on Stampeders goaltender Matt Brenner’s (37) during a contest at the West Fraser Centre in Quesnel last season. (Sasha Sefter - Quesnel Cariboo Observer)
Stamps, Central Interior Hockey League, cancel 2020/21 season

The team said it would like to thank the community, its fans, volunteers and sponsors

Provincial health officer Dr. Bonnie Henry updates B.C.’s COVID-19 situation at the B.C. legislature, Nov. 23, 2020. (B.C. government)
B.C. daily COVID-19 cases hits record 941 on Tuesday

Further restrictions on indoor exercise take effect

Barrels pictured outside Oliver winery, Quinta Ferreira, in May. (Phil McLachlan - Black Press Media)
B.C. Master of Wine reflects on industry’s teetering economic state

Pandemic, for some wine makers, has been a blessing in disguise. For others, not so much.

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

A fentanyl test strip is used at Vancouver Coastal Health in Vancouver, Tuesday, January, 21, 2020. The test strips will be made available to drug users to ensure that their drugs are safe and free of Fentanyl. THE CANADIAN PRESS/Jonathan Hayward
Drug overdoses lead to 5 deaths each day in October; drug toxicity continues to increase

COVID-19 crisis continues to exacerbate the overdose crisis

An employee of the Adventure Hotel was taken to hospital on Nov. 20 after she confronted a customer of Empire Coffee about not wearing a mask. File photo.
Nelson hotel employee suffers heart attack after being assaulted in anti-mask incident

An accountant at the Adventure Hotel is in hospital in Kelowna

Join Black Press Media and Do Some Good
Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Damien Smith, with father Thomas Smith, is “frozen” with joy as he watches a special message Deadpool star Ryan Reynolds recorded for Damien’s 9th birthday on Tuesday, Nov. 24, 2020. (Contributed)
Shuswap boy celebrates 9th birthday with family, community and Ryan Reynolds

People from around the world send birthday cards showing young Canoe resident he’s not alone

(Ashley Wadhwani/Black Press Media)
Refuse to follow B.C.’s mask mandate? Face a $230 fine

Masks are now required to be worn by all British Columbians, 12 years and older

Prime Minister Justin Trudeau speak to the media about the COVID-19 virus outside Rideau Cottage in Ottawa, Friday, Nov. 20, 2020. THE CANADIAN PRESS/Adrian Wyld
Canada’s inability to manufacture vaccines in-house will delay distribution: Trudeau

First doses of COVID-19 vaccine expected in first few months of 2021, prime minister says

Most Read