Background – Basic and Optional Insurance
What is Basic insurance?
ICBC is regulated by the British Columbia Utilities Commission (BCUC) to provide universal compulsory (Basic) vehicle insurance to all B.C. drivers, regardless of their driving history. The BCUC is responsible for approving rate changes to Basic insurance and ensuring that British Columbians are paying fair and reasonable rates.
ICBC’s Basic insurance coverage is among the most comprehensive in the country, providing private passenger vehicle owners and certain commercial vehicle owners with a minimum of:
- $200,000 in third-party liability protection
- $150,000 for no-fault medical and rehabilitation costs (recently announced to increase to $300,000)
- $1 million of underinsured motorist protection
What is Optional insurance?
ICBC competes with other insurance companies in the delivery of Optional insurance coverage. This coverage includes such things as:
- Third-party liability coverage over $200,000. This is extra protection customers can purchase for at-fault claims where damages to injured parties or property exceed the Basic insurance coverage maximum.
- Collision – Covers damage to the driver’s own vehicle.
- Comprehensive – Covers such things as windshield damage or theft from the vehicle.
ICBC’s Optional insurance rate design is not decided by the BCUC but by ICBC’s Board of Directors.