More change at ICBC: Driving convictions will now increase optional premiums

The Insurance Corporation of British Columbia (ICBC) has announced another phase of their new rate model which will see customers with frequent or serious driving convictions paying more for their optional insurance coverage starting Sept. 1.

After June 10, driving convictions will have the potential to affect premiums. The premiums will escalate in line with the frequency and seriousness of those convictions.

Serious driving convictions such as Criminal Code offences, impaired driving, excessive speeding and distracted driving, will result in increased premiums after the first conviction.

Minor offences such as failing to stop, failing to yield, speeding and not wearing a seatbelt will only result in increased premiums if there are two or more convictions.

ICBC has not said how much premiums will increase. 

In a written statement, ICBC said 10 per cent of their customers have either two or more minor driving convictions or have been convicted of a serious driving offence over the past three years, yet they pay the same for optional coverage as a customer with no convictions.  

ICBC said it's anticipated that three quarters of their customers will see a decrease in their premiums.

The change is part of a wider set of reforms to ICBC's insurance model.

Also starting in September, ICBC is moving to a basic insurance model that is driver-based, meaning that crashes follow the driver, not the vehicle, to help make sure drivers are more accountable for their behaviour on the road. 

In January 2018, B.C. Attorney General David Eby called the state of ICBC's finances a "dumpster fire"and vowed to make drastic changes to the province's automobile insurance industry.