VANCOUVER, B.C. — B.C. Attorney General David Eby called the state of ICBC a “financial dumpster fire” at a press conference in Vancouver Monday after the government revealed that the insurance corporation lost $900 million in the first three quarters of the fiscal year, and is on track to lose $1.3 billion this year.
Eby said at today’s press conference that the government would make sweeping changes to the provincial vehicle insurance industry, but offered few details on exactly what those changes would consist of. The Attorney General did state that B.C. would not allow for the adoption of no-fault insurance, which will continue to allow residents to argue their cases in court. He did say that the government would look at capping minor injury payouts, improving road safety, and raising deductibles for high-risk motorists as ways to improve ICBC’s finances.
Eby was, however, quick to blame the previous government for deliberately hiding the state of ICBC’s finances, saying that the Liberals removed pages from a 2014 report by Ernst & Young which showed some of the troubles that were headed for the insurance corporation.
“They knew the dumpster was on fire, but they pushed it behind the building instead of trying to put the fire out,” said Eby.
When asked, Eby did state that the $1.3 billion in losses by the Crown Corporation would have an impact on the upcoming provincial budget but was not able to specify the exact impact ICBC’s losses would have, saying that those issues would be addressed by Finance Minister Carole James.
The full report of ICBC’s finances can be found here: http://www.icbc.com/about-icbc/company-info/Documents/Statement-of-Operations-December-2017.pdf