ICBC recently announced that they would be making some significant changes to their car insurance policies to offer drivers more affordable insurance rates while providing drivers with more Care and coverage after a crash. Read below to learn more.
Enhanced Care Coverage
ICBC has named its new car insurance policy “Enhanced Care” and has made bold statements about what benefits its car insurance coverage will provide drivers.
Car Insurance Savings
Drivers should save about 20% on their car insurance policies (back $400/year) on average, according to ICBC.
More Care and Benefits
BC residents should also gain more and easier access to significantly enhanced medical care, recovery, and wage loss benefits if injured in a car crash (regardless of who was responsible).
Medical Care and Rehabilitation
This portion of the benefits will increase to a maximum of $7.5 million (up from $300,000), covering things like physiotherapy, massage therapy, and more. It also covers support services like counseling, medication, medical devices/equipment, dental care, alterations needed to your vehicle or home (ramps, stair lifts, etc.), and travel/accommodation expenses if out-of-town travel for appointments is required.
Wage-Loss Payments
This portion of the benefits will also increase to a maximum of $1,200 per week (up 60% from $740/per week). The maximum is for those who earn a gross annual income of up to $93,400, but those who make more than this can purchase additional coverage to give them a higher wage loss limit.
Personal Care Assistance
This portion of the benefits will also increase to up to $4,800 per month. This benefit is more for those who suffer extreme injuries and require support with personal activities like eating, bathing, dressing, etc.
Death Benefits
This portion of the benefits will also increase to $60,000-$500,000 (up from $30,000) and is meant to be paid out to a spouse of a deceased. The deceased’s dependents will also receive additional benefits, and up to $7,500 will be available for funeral costs.
Income Replacement Benefits
This portion of the benefits is brand new. It is being introduced to support students, retired minors, and those who run a family business in case they are injured to the extent that makes them unable to study, save for retirement, or fulfill their usual family business work.
Caregiver Benefits
This portion of the benefits is also brand new and is meant to help family caregivers if their injury prevents them from fulfilling their regular caregiving duties.
Recreational Benefit
This portion of the benefits is also brand new and is meant to help with participating in leisure activities if injured people need support. The maximum amount for this benefit will be up to $4,000 every two years (depending on how severe the injury is).
Grief Counselling
This portion of the benefits is also brand new and is meant to support grieving family members. The use has a maximum of up to $3,500 in counseling expenses.
How Are These Changes Possible?
One of the highest costs ICBC has had to deal with in the past was lawyer fees, the costs associated with their litigation-based system. Enhanced Care essentially removes the need for these expensive lawyers and legal fees, so those savings are supposed to go to lowering car insurance rates and improving benefits.
The Road to Enhanced Coverage
ICBC has stated that their new Enhanced Coverage car insurance policies will go into effect come May 2021.
Pro-Rated Refunds
ICBC has also explained that even if you’re already within an active car insurance policy by the time May 2021 comes, drivers can still expect savings starting May 2021 due to a pro-rated refund on the remainder of the policy.
Discuss ICBC’s 2021 Enhanced Coverage Today
If you have questions about ICBC’s new Enhanced Coverage details set to be rolled out come May 2021, we encourage you to reach out to us here at Harbord Insurance to speak to a knowledgeable insurance rep. We’d be happy to answer any questions you may have. Contact us today!
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