Injury claims, not collision repairs, are the biggest pressure on ICBC rates. (Black Press files)

ICBC overbilling for crash repairs not the problem, dealers say

Collision repair shops reject union claim of inflated costs

The president of B.C.’s Automotive Retailers Association has rejected suggestions by an ICBC union that the public car insurance company’s financial pressures are partly due to overbilling on collision repairs.

With ICBC undergoing an audit by the province to find savings and curb rising vehicle insurance rates, Ken McCormack said there is no evidence behind allegations by the union representing ICBC estimators that repair shops using the ICBC Express claim program are producing unnecessary costs.

“Overbilling doesn’t happen and really can’t happen with the province-wide estimating system that won’t allow an accredited shop to submit a repair estimate that doesn’t meet established criteria,” McCormack said Monday.

ICBC is facing a deficit and a rate increase of 6.4 per cent on basic coverage and 9.6 per cent on optional insurance takes effect this month. The NDP government approved the rate increase and ordered a review of ICBC operations to seek savings.

RELATED: ICBC rates going up this month

ICBC financial statements show increasing costs of injury claims. From 2009 to 2016, claims costs rose 80 per cent, with the steepest increases for minor injuries and legal costs.

McCormack noted that the latest ICBC financial reports show collision repair costs are only 15 per cent of the total costs to ICBC.

“As suppliers, we are already as lean as we can be and there simply aren’t any more areas where we can lower costs and remain viable,” McCormack said. “The open door to fraud is with the bodily injury component and the government should be looking in that direction.”

Attorney General David Eby has ruled out adopting a no-fault insurance system that would assign a value to injuries by type and avoid the legal haggling that currently accompanies many bodily injury claims.

Just Posted

Ucluelet talks pot shops

Two applications are being considered as cannabis retailers.

Ahousaht students kick off school year with inspirational field-trip

Maaqtusiis kicks off year with two-night stay at Cedar Coast Field Station on Vargas Island

Surf’s Up event in Tofino offers a wave of positivity for families living with autism

“There’s no other opportunity like this for kids like Rylan.”

2019 FEDERAL ELECTION: Meet the candidates for the Courtenay-Alberni riding

In an effort to inform the Courtenay-Alberni riding constituents, we have supplied… Continue reading

Crew keeps worried mother at bay while rescuing entangled baby humpback near Ucluelet

“These animals are massive, they’re powerful and it really is dangerous.”

‘It’s almost surreal’: B.C. fire chief, sidekick Sammy recap rescue mission in Bahamas

Chief Larry Watkinson and Sam the disaster dog spent 8 days assisting a search and rescue team

‘Time to take action:’ Children advocates call for national youth suicide strategy

Council wants Ottawa to make reporting of suicides and attempted suicides mandatory for data collection

Canadian inflation decelerates to 1.9% as gas prices weaken

August was the sixth straight month that price growth was 1.9 per cent or higher

Man who crushed Nanaimo RCMP cars with stolen truck gets more jail time

Majore Jackson, 34, sentenced to two more years in jail in provincial court in Nanaimo

Defense says burden of proof not met in double murder case against Victoria father

Closing statements begin in trial for man accused of killing daughters Christmas 2017

B.C. dog breeder banned again after 46 dogs seized

The SPCA seized the animals from Terry Baker, 66, in February 2018

Surrey mom allegedly paid $400,000 for son in U.S. college bribery scam

Xiaoning Sui, 48, was arrested in Spain on Monday night

B.C. population on pace to fall behind Alberta

Provincial population could reach almost seven million in 2043, but Alberta is growing faster

Three dogs found shot dead in Prince George ditch

The three adult dogs appeared to be well cared for before being found with gunshot wounds, BC SPCA says

Most Read