ICBC Needs Fast and Furious Changes
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New CTF report calls for turning ICBC into VanCity-style co-op while eliminating monopoly on selling basic car insurance
VANCOUVER, BC: In light of the looming 30 per cent hike to basic car insurance, the Canadian Taxpayers Federation (CTF) is calling on the BC government to end ICBC’s monopoly over the selling of basic auto insurance and to turn ICBC into a VanCity-style co-op owned by policy holders.
“We need to look at real reforms to our auto insurance system in BC, otherwise drivers will continue to get gouged by a politically-manipulated monopoly,” said the CTF’s newly appointed BC Director Kris Sims. “Limiting payouts to injured British Columbians and hitting them with photo radar are terrible options. Let’s break the monopoly and let competition help keep rates in check.”
In his comprehensive report, entitled “Political Risk: The case for ending ICBC’s insurance monopoly,” commissioned by the CTF, author Mark Milke signals that BC drivers have been trapped in the 1970s with no choice but to insure their vehicles through the government.
“The best auto insurance option for British Columbians is wide-open competition,” said Milke. “Government monopolies made no sense in the 1970s and make even less sense in the age of the internet and easily obtained competing quotes.”
Milke’s report also points out that as of 2015 (latest data available), BC had the second highest auto insurance rates in the country, only behind Ontario. Further, between 2011 and 2015 BC had the second highest percentage increase in rates, only behind Saskatchewan.
“Turning ICBC into a MEC or VanCity-style cooperative would be a sensible model so long as full private sector competition exists to serve consumers on price and product options,” Milke added.
To download the report, click here: http://www.taxpayer.com/
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For more information contact:
Kris Sims, BC Director, Canadian Taxpayers Federation.
Cell: 604-997-1798, email: [email protected]
To arrange an interview with report author Mark Milke please contact: 403-510-6270