ICBC customers will receive one-time rebates averaging $190, starting spring 2021 – their part of $600-million that was saved due to a major decrease in crashes and costs as the COVID-19 pandemic took hold.
Since the beginning of the 2020-21 fiscal year, ICBC has had fewer reported collisions and lower claim costs, resulting in higher-than-expected income. That gain was partly offset by lower premium revenue due to lapsed and cancelled insurance policies.
Most customers who had an active policy from April 1 to Sept. 30, 2020, will be eligible, with their rebate amount based on a portion of what they paid for coverage during that period. Exceptions include customers with short-term, storage or distance-based policies, whose premiums already reflect lower usage. The Basic insurance portion of the rebate is subject to approval by the BC Utilities Commission.
ICBC will begin mailing rebate cheques in mid-March 2021. This one-time rebate is separate from the Enhanced Care refunds customers will start to receive in May 2021.
With the product reform made in 2019 and savings from fewer crashes, ICBC officials have said the company is in a strong financial position to issue the COVID-19 rebate, in addition to providing customers with lower auto insurance rates through Enhanced Care starting in May 2021.