BRITISHCOLUMBIA SIXTH FLOOR, 900 HOWE STREET,BOX250 - VANCOUVER, B.C. V6Z 2N3 CANADA BC TOLLFREE: 1-800-663-1385 web site: http://wwwbcuc.com co11 IN THE MATTEROF the Insurance Corporation Amendment Act, 2003, SBC 2003, and the Insurance Corporation Act, RSBC 1996, and the Utilities Commission Act, RSBC 1996, and Filings by the Insurance Corporation Relating to Performance Measures and Basic Insurance Information BEFORE: L.F. Kelsey, Commissioner ) and Panel Chair N.F. Nicholls, Commissioner P.E. Vivian, Commissioner ) ORDER WHEREAS: A. On February 27, 2004, the Insurance Corporation of British Columbia "Submission") relating to ICBC Performance Measures Information Sharing ("ICBC BITS"). The Submission was in Columbia Utilities Commission ("BCUC", "Commission") in its Decision dated November 12, 2003 and Letter No. L-2-04 wherein the Commission Panel accepted regarding regulatory filings in 2004; and B. The Submission relating to ICBC PM proposed that the Commission use the to assess ICBC in fulfilling its mandate in the provision relating to ICBC BITS proposed to share with competitors aggregated similar to those published in industry standard GreenBooks and combined from both Basic and Optional insurance; and C. Following a meeting ofactive Intervenors, ICBC and Commission staff on December 11, 2003, the Commission Panel issued Letter No. L-2-04 wherein it support from all parties, that the Submission be reviewed and D. The Commission, by way of OrderNo. G-23-04, established the Workshop, a Preliminary Discussion Session, information and Discussion/Resolution Sessions with all participants; UTILITIES COMMISSION Y ORDER NUMBER G-49-04 4Y TELEPHONE: (604) 660-4700 FACSIMILE: (604) 660-1102 Chapter 35 Chapter 228 Chapter 473 of British Columbia Sharing ) ) May 20, 2004 ("ICBC") submitted filings (the ("ICBC PM") and ICBC Basic Insurance response to directions issued by the British ICBC's proposal (with certain variations) performance measures outlined of Basic automobile insurance. The Submission exhibits on Basic automobile insurance third-party liability information accepted the proposal, which received general through a Negotiated Settlement Process ("NSP"); Regulatory Agenda and Timetable for a requests, information responses, a First Meeting, and ./2
BRITISHCOLUMBIA 2 E. The Commission hosted a Regulatory Procedures Workshop, Discussion Session on March 22, 2004; and F. Information requests from Commission staff and Intervenors were made to ICBC and provided its responses on April 5, 2004; and G. The Commission convened a First Meeting on April present an overview of its Submission to Intervenors and Commission staff; and H. Discussion/Resolution Sessions with all active participants Commission Hearing Room. A Negotiated Settlement was circulated to all Registered Intervenors and the Commission Panel on I. The Negotiated Settlement Agreement contained ten letters of comment from the comment from the participants, including ICBC, accepted ofcomment from a participant accepted the provisions Measures" but withheld and declined agreement to the Information Sharing". Another letter of comment from a Agreement subject to two reservations concerning sections 4.4 and 4.7 under the "Performance Measures" section; and J. One Intervenor provided a letter of comment dated May pursue matters dealt with in the Negotiated Settlement this year. This letter has been circulated to the Applicant K. The Commission Panel has reviewed the Negotiated Measurement and Basic Insurance Information Sharing NOW THEREFORE the Commission approves for ICBC the May 7, 2004 and attached as Appendix A to this Order. DATED at the City of Vancouver, in the Province of British Columbia, this Attachments Orders/ICBC_PMBI Settlement AgreementUTILITIES COMMISSION ORDER NUMBER G-49-04 led by Commission staff, and a Preliminary subsequently ICBC 8, 2004 in the Commission Hearing Room for ICBC to were held on April 21-23, 2004 in the Agreement was reached among the participants and May 7, 2004; and participants. Eight letters of the Negotiated Settlement Agreement. One letter contained in the section headed "Performance provisions contained in the section entitled "Basic participant accepted the Negotiated Settlement 17, 2004 in which he reserves the opportunity to Agreement in the oral public hearing to be held later and all Intervenors; and Settlement Agreement for ICBC's Performance Submission and finds that it should be approved. Negotiated Settlement Agreement as issued on 20t day of May 2004. BY ORDER Original signed by: Len F. Kelsey Commissioner and Panel Chair
\S C041 WILLIAM J. GRANT EXECUTIVE DIRECTOR! ,e REGULATORY AFFAIRS & PLANNING bill. WrCO grarn@bcuc.wm '/. web site: htzp:I/www.bcue.coiit s9 coBC VIA FACSIMILE VIA E-MAIL To: Commission Panel Registered hitervenors ICBC - Performance Measures and Basic Insurance Information Sharing - RI Re: Insurance Corporation Performance Measures and Basic Insurance Negotiated Settlement Enclosed with this letter is the proposed settlement package Columbia Application for Performance Measures and Basic Insurance This settlement is now public and is being submitted to Commission Panel letters of comment received from the participants in the negotiated Prior to consideration by the Commission Panel, intervenors negotiations are requested to provide the Commission Panel Monday, May 17, 2004. Thereafter, the Commission Panel will consider the settlement hearing may not be required unless there is significant opposition WilliamJ. Grant DC/ri Enclosures Proceeclings/ICBC.PMBI/Lettef Final Negotiated Settlement to all RIAPPENDIX A to Order No. G-49-04 -7 Page 1 of22 SIXTH FLOOR, 900 HOWE STREET, BOX 250 VANCOUVER, B.C. CANADA WE 2N3 TELEPHONE: (604) 660-4100 TOLL FREE: 1-800-653-1385 FACSIMILE: (604) 660-1102 Log No. 5546 May 7, 2004 of British Columbia Information Sharing Agreement with respect to the Insurance Corporation of British Information Sharing Application. and all intervenors. Also enclosed are settlement process. who did not participate in the settlement any comments on the settlement package by package. A public to the proposed settlement. Yours truly, Z~/ A7)
\9%'\ WILLIAM J. GRANT C. EXECUTIVE DIRECTOR, ~A REGULATORY AFFAIRS &PLANNING tTA btlLgrant@beuc.com web site: http:f/www.bcUc, corn ¬ON-F-IDENTIAL VIAFACSIMILE VIA E-MAIL Dear Participants: Re: Insurance Corporation Performance Measures and Basic Insurance Information Negotiated Settlement Enclosed is a copy ofthe final Negotiated Settlement Agreement, Participants up to and including Friday, April 30, 2004. Please attachments, which did not include a final revision to Section 4.6 of Performance Measures. Please provide awritten correspondence confirming your acceptance May 6, 2004. The Settlement Agreement and letters of and forwarded to the Commission Panel for its review. Thank you again for your participation in the process to review ICBC's Performance Insurance Information Sharing proposals. WilliamJ. Grant WJG/rt Enclosure Proceedings/lCD CB4131/May 4 Letter Final Negotiated Settlement AgmntCOt0 APPENDIX A 1% to Order No. G-49-04 Page 2 of 22 SIXTH 900 HOWESTREET, sox 250 4) VANCOUVER, B.C. CANADA V6Z 2N3 TELEPHONE: (504) 5IQ-47f. coN BC TOLL FREE: 1-&J0-663-13tt5 FACSIMILE: (604) grhIlO2 Log No, 5236 May 4, 2004 of British Columbia ("JCBC") Sharing Agreement which includes all the changes received from destroy the previous May 3, 2004 letter and ofthe Settlement Agreement by Thursday, commentfrom the Participants will then be made public Measures and Basic Yours truly,
Insurance Corporation Performance Measures and Basic Insurance Information Negotiated CONFIDENTIAL ICBC filed its Application with respect to Performance Measures and Basic Sharing on February 27, 2004. Information to better understand and discuss the issues of the was held on April 8, 2004, Discussion/Resolution sessions were undertaken on 2004. This document represents the agreement appropriate performance measures and the 2. When the Discussion/Resolution sessions were Act enacted by the insurance Corporation Amendment Act, 2003, insurance Corporation Act, were in force. The context of the provisions of the insurance Corporation force at the time of the Discussion/Resolution sessions. Performance Measures 3. The parties recognize that detailed reviews of ICBC's costs, services and rates for the Automobile Insurance will occur in rate hearings proposed that two applications be filed by it in 2004. accepted the ICBC proposal and directed ICBC to file is the application that led to this document. The second respect to cost allocation and the 2005 Revenue ICBC name will be addressed as part of the cost allocation 5, 2004. The Order ofthe Commission with public hearing in the fall of this year. 4. ICBC states that the purpose of the Performance Measures is to will enable the Commission, intervenors and the Automobile Insurance is adequate, efficient, indication of the financial and quality of service business. Tab 1 of the Application provides Section 23 of ICBC's Performance Measures APPENDIX A to Order No. G-49-04 of British Columbia ( ICEC Page 3 of 22 ) Sharing Settlement Agreement Insurance Information responses were provided on April 5, 2004. AFirst Meeting Application prior to engaging in settlement discussions April 21, through 23, between ICBC and the following parties with respect to sharing of basic insurance information. See Attachment 1. undertaken the amendments to the insurance Corporation other than Division 3 ofPart 2 of the agreement set out in this document was reached in the Act and other applicable legislation that were in provision of Basic before the Commission. In December 2003 ICBC By letter dated January 9, 2004 the Commission the first application by February 27, 2004, which application by 1CBC is to address issues with Requirement Issues with respect to "branding" of the filing. ICBC is to file that application by July respect to that application is expected to include an oral provide key performance metrics that public to assess whether ICBC's provision of Basic just and reasonable. They are also intended to provide an performance of the Basic Automobile Insurance line of n review of the Performance Measures proposed by 103C. Proposal provides the 19 specific Performance Measures
proposed by ICBC (see Attachment 2). The parties as something of a "Work in Progress" with the likelihood of further refinement in the future. in future hearings may request additional detailed information or Measures. With the following changes the parties accept ICBC. 4.1 The three Directional Indicators of New Driver Person Rate are believed to be somewhat informative but to have assessing Road Safety expenditures. the Fairness Commissioner. The usefulness ofthese four measures should be review of 2006 Rates in 2005. 4.2 The Auto Crime Rate directional indicator is believed to have insufficient usefulness for evaluating those Road Safety expenditures 4.3 The parties agree that ICBC's Road Safety programs of an overall performance statistic. Instead, the merits of individual Road he reviewed in the revenue requirements proceedings. of Road Safety programs, including benefit/cost 4.4 Further information on the management performance Measures, being the Bodily Injury Average Severity Rate. With respect to Average Severity, and Accident Benefit claims. The parties accept explained in Attachment 3. 4.5 ICBC will ask a question on the Autoplan has purchased optional coverage from an insurer other than ICBC. choice of a yes, no or don't know response. 4.6 ICBC will work with I3CCA in an effort to measure bodily injury claim costs which types which would be included in what is may ask for detailed disaggregation of data collected APPENDIX A to OrderNo. G-49-04 2 Page 4of22 view the development of the Performance Measures Participants disaggregation of certain Performance the Performance Measures as a good start by Comparative Crash Rate, Crash Rate and Injured only limited usefulness in ICBC will also provide the number of complaints heard by re-evaluated in the to be included as a Performance Measure. do not lend themselves to the development Safety programs will ICBC will provide financial evaluations analyses. of Bodily Injury costs is required. ICBC proposes two and the Legal Representation ICBC will provide separate reporting on Bodily Injury these Performance Measures which are further Satisfaction Survey respecting whether the customer Respondents will have the develop a meaningful Performance Measure to may include the duration of disability for a set of injury commonly referred to as a whiplash injury. Parties by ICBC relevant to the proposed
Performance Measure in future revenue 4.7 ICBC has agreed to show the survey Satisfaction survey as part of its reporting for its Claims Service Satisfaction, ICBC commensurate with the proportion of the total Accident surveyed. ICBC will also report the results for Accident 4.8 Some parties would like to review the details of review or approval of specific issues. 4.9 The development of a Customer Approval it will be an additional Service Measure to 4.10 The parties discussed the potential of a Performance Measure its budgeted cost. While ICEC objects information publicly and in its revenue 4.11 The parties agree that aNew Claim Initiation Performance there is no agreement on ICBC's proposed the speed of answering phone calls to provide new claims initiation numbers revenue requirements filing. ICBC will also include a service level measure answered in 90 seconds) combining the Licensing, Broker Enquiry Unit, and Driver Examiner Basic Insurance Information Sharing ICEC interprets its responsibility to share Basic Basic claims data that is required by the Commission for the Customer specific data and data that could make a customer identifiable would 2. As explained in Tab 2 of the Application, ICBC APPENDIX A to OrderNo. G-49-04 3 Page 5of22 requirements. results for the eight questions of the Claims Services on Performance Measures. When reporting the results will weight the Accident Benefit portion of the results Benefit claims to the total claims Benefit claimant satisfaction separately. specific surveys and may request Commission Index should not replace the other Service Measures, complement the existing Measures. comparing ICBC's actual costs to to this as a Performance Measure, it provides this requirement applications. Measure should exist. However, use of 210 seconds as the threshold level to evaluate Dial-a-Claim. For information purposes, ICBC will using both 210 and 120 seconds thresholds in its next (percentage of calls following areas: Customer Contact First Contact, Driver Appointment System, Insurance information to be the sharing of aggregated purpose of regulating Basic Insurance. continue to be protected. believes it is "going the extra mile" in proposing to
APPENDIXA include combined third-party liability information from both Basic and competitors have the benefit of a complete understanding coverage in the context of the whole coverage. for third-party liability are settled on an integrated its revenue requirements application for 2004 basic insurance rates are appropriateness of basic insurance rates. As Lines of Business, Classification and Territory the extra mile." 3. In addition to the information sharing proposals the following additions: 3.1 The data will be provided not only in hard allow interested parties to import the data 3.2 The Line of Business Exhibits and Classification Exhibits will include an "All Other." 3.3 As part of its revenue requirements filings, similar information to that provided in Tab I, ExhibitA of ICBC's Application. ICBC will provide the information for Third Part 7 Benefits. The exhibits will provide triangles and calendar year as follows: - Third Party Basic Insurance, bodily injury and property damage), Death Benefits) Number of claims counts (open payment) for each coverage and split between Accident Benefits and - Number of claims counts (open between bodily injury and property damage, Death Benefits - Claims incurred amount (in dollars) to OrderNo. G-49-04 4 Page 6 of 22 Optional Insurance, so that of the basic component of third-party liability It is ICBC's position that this is appropriate since claims basis, ICBC also believes that the actuarial exhibits in fully sufficient to assess the such ICBC believes that the proposed provision of Major exhibits each represent additional indications of "going contained in the ICBC Application, ICEC has agreed to copy, but also electronically in a reasonable format to electronically: additional category of ICBC will provide Loss Development Exhibits with 2004 revenue requirements Party Basic Insurance in addition to of information electronically by accident year including Underinsured Motorist Protection (split between Part 7 benefits (split between Accident Benefits and ± closed claims with amount + closed claims without split between bodily injury and property damage, and Death Benefits + closed claims with amount) for each coverage and split and split between Accident Benefits and (Outstanding Reserve + Paid Loss + Expenses Paid
-Recovered Amounts) for each damage, and split between Accident Benefits and Death Claims paid amounts (in dollars) each coverage and split between Accident Benefits and Death 3.4 As part of future rate design applications, sub-exhibits by major line of business Private Passenger Motorcycles, and "All 4. Some parties disagree with ICBC's interpretation Sharing Proposal. They recognize that Chapter Decision deals with information sharing. While one should read the Decision it states "Further, it is important to establish what information Insurance Business should be shared with all enhance competition." At page 47 of the Decision the Commission Panel provided sufficient information to demonstrate aggregate fashion for the benefit of all Optional playing field." Further, at page 47: "The Commission argument as to what Basic Insurance data should be shared and in what manner, JCI3C." 5. ICBC and some participants identify that Division 3 of the Insurance not been brought into force. As a result, the Commission's Insurance is very constrained. Other parties point Amendment Act as providing powers to the Commission subsidization between Basic and Optional Insurance. 6. In any event, the parties are unable to agree at this time, on what made public by ICBC for the purpose of enhancing competition field with ICBC's Optional Insurance Line of present evidence and argue to the Commission that during the next revenue requirements hearing. application for 2005, some participants recommend that the Commission APPENDIX A to Order No. G-49-04 S Page 7 of22 coverage and split between bodily injury and property Benefits (Paid Loss + Expenses Paid Recovered Amounts) for bodily injury and property damage, and split between Benefits ICBC agrees to split the territorial exhibits into five (Private Passenger, Commercial, All-Terrain Vehicles, Other"). of the purpose of the Basic Insurance Information 6of the Commission Panel's November 12, 2003 whole chapter, at page 46 of that gathered from the Basic participants in the Optional Insurance Business in order to writes that: "...it has not been why this information should not be shared in some insurance competitors, thereby putting them on a level is prepared during the next proceeding to hear following a proposal by Corporation Amendment Act has responsibility with respect to Optional to Division 2 of the insurance Corporation including powers with respect to cross-further information, if any, should be or putting other parties on a level playing Business. Therefore, the parties reserve their rights to specific additional information should be provided If ICBC chooses not to make a revenue requirements hold a hearing to resolve any
other matters, including Basic Insurance Information APPENDIX A to Order No. G-49-04 6 Page 8of22 Sharing.
INSURANCECORPORATION OF BRITISHCOLUMBIA Perfonnance Measures and Basic Insurance Infounation We, on behalf of ourselves, and/or on behalf of our disclose any positions taken either orally settlement process to any parties not subject consent of all participants to the negotiations. Without restricting the generality confidentiality agreement will prevent us, or our clients, from positions at any public bearing held in this matter and further of those positions against the proponent Similarly, we undertake not to cross-examine negotiated settlement process. We further acknowledge that we have fully and negotiations according to the Negotiated Guidelines as set out by the Commission. tPt1 Ati (?r ?S4J g /3 :ri9 MC ˆc'a eks. 8cP/4c &Pt4C-P 1'. t 011 tAJG Ptrht :ipowa Myyc ìïç(Á Cie N 'e ' Pe_Mbe/4 g14' /48A LAM '(JKCt 7LPLon a J7,k /Mc&rnc,t 2i21S R4cdatJPcA kqp&i?mit cc JaMe',ct. Ccn'&ct c.C4'QrI4y Nfl Z)eiacr L\s ô2cpse<-___ APPENDIX A to Order No. G-49-04 Page 9 of 22 Attachment 1 Sharing prop( sS clients, as the case may be, will not or in writing during the course of the negotiated to this confidentiality agreement without the of the foregoing, we acknowledge that this cross-examinatiofl on those prevent us from making use of the positions in any argument at such hearing. witnesses about any positions taken in the read and now agree to conduct our attendance Settlement Process - Policy, Procedures and or Fax# LLA y& k C wcrnc.kr&.nipl . tc to f44c//Q.r LkL5C.)(M'C(Y CGvrct'-.7e,ioc &g 4.cut¬Lp/ca.c cJ trcsi.r.c.* - 1-e. c.ctad ca. cu7,'s ITtWcawV4 q á/L e 4 ' 1J, ç nL&jx k6I craas'-uo. Rskug , U mapAsroiOPE1U u- 2M. , firmi'cpbns-Iee¬ hsb.ca AS ĉh1TE$ .-cL- trsneWe /sc4gØ'nc ylh at-- - +a a-kSS t. i (macA4
INSURANCE CORPORATION OF Performance Measures and Basic blame (please print) JOrganization Larry (?/a04 /xoc "CuFaY O3+eL4 I C C Jc'L&. 1 c ~ ec, £j2JmeJa ,C-C- &14r L H d ' 2 rn " n t &kr / C- 'SC Momç &uMttskcnv (4ç A#b cOQN* Dnoc CLv., ECOC APPENDIX A to Order No. G-49-04 Page 10 of 22 Attachment I Page 2 BRITISH COLUMBIA Insurance Information Sharing Proposah Email or Paz ft /mscwiISOnam $ 4C Co (mavnapn c c,ek () IC) c .Co, a ptmntf e r ec c. COM maML;us*vtittui QKkC. d000 94flocAJg. CA
I 2.3 ICBC's Proposed Performance Measures fl MEASURES OEM Autoplan Satisfaction fl Driver Services Satisfaction Claims Services Satisfaction New Claims In ftlation Customer Approval Index* I Loss Ratio - Basic Only Insurance Expense Ratio* Basic Administrative Cost Ratio Premium Tax Ratio Commissions Ratio Insurance Expense Ratio Basic only: * Non-Insurance Expense Ratio Investment Return Policy Benchmark Return ICBC Portfolio Market Return Cost Per Policy in Force Claims Services Cost Per Reported New Driver Comparative Crash Rate " Crash Rate * Injured Person Rate " Auto Crime Rate Measure: ore for the peiformance of .TCBCoverati unless otherwise Indicated Qatomer Approvol Index is under development N/A Not Available. * Excludes acquisition cost adjustments (Deferred Premium Under Development insurance corporerzon of British Columbia February 27, 2004APPENDIX A to Order No. G-49-04 Page 11 of22 Attachment 2 CSC Performance Measures Proposal -200i1 2002 2003 Actuals Actuals Projection 92%, 93% 94% 89% 90% 90% 86% 85% 85% 84% 77% 75% NIA** N/A N/A N/A 98.9% 958% only., N/A 4.4% 4.2% 4.0% 4.0% 2.zPl° £4Q 104% 10.2% N/A 6.4% 6.1% 5.05% 3.35% 7.44% 5.66% 4.07% 8.06% $309 $288 $281 Claim U/Dfl** UFD UID N/A 1.43 1.33 N/A 1,097 1,038 N/A 338 337 N/A 550 459 Acquisition Costs) and Other Unusual Items 1.7
Bodily Injury Average Severity Definition: Numerator: Total dollars paid on closed Allocated Expenses) Denominator: Number of closed exposures, Why Measure: Injury costs account for approx amounts for pain and suffering, future care, expenses. The average severity measure is a quality and effectiveness of programs introduced to provides a very good year over year comparison Bodily Injury Representation Rate Definition: Numerator: Bodily Injury exposures retained, all accident Denominator: New Bodily Injury exposures opened Why Measure: BC has a tort system of auto insurance where ability to sue for damages. One of the main drivers of legal costs. This measure reflects the number of claimants who those to retain represent them and is a good indicator of service satisfaction for APPENDIX A to Order No. G-49-04 Page 12 of 22 Attachment 3 Bodily Injury exposures (including for all accident years which had a Bodily Injury payment 50% of claims incurred costs and include past and future wageloss and claims handling strong indicator of overall Bl claim handling help contain costs. This measure on B! claim costs. where legal counsel has newly been years injured claimants have the increasing Bodily Injury costs is counsel to Bodily Injury Claimants.
Insurance 151 W. Esptnads Corporation North Vancouver BC ViM 3319 P3I or British 349W. q Columbia VancouverBCV6B swa May 6, 2004 British Columbia Utilities Commission Attention: William J. Grant, Executive Director Sixth Floor 900 Howe Street Vancouver. B.C. V6Z 2N3 Dear Mr. Grant Re. . 1050 Performance Negotiated Settlement Agreement ICBC agrees to the Negotiated Settlement Agreement May 4. 2004. With respect to Performance Measures, the settlement Performance Measures is something of a "Work The Performance Measures identified in the settlement by ICBC and ICBC believes that in future proceedings a reduction in the number of measures should be considered measures regarding 1CBC's delivery of Basic insurance. With respect to Basic insurance Information Sharing, that it is going the 'extra mile" in providing the Basic, insurance information included 2004 filing. the settlement agreement sets out that argue with respect to additional information that ICBC should insurance information that ft has agreed to provide that required by the Commission or lntervenors for the result, ICBC reserves the right to present evidence and required to provide all the information that it has agreed ICBC appreciates the effective manner in which Commission staff have facilitated this first Settlement Process for ICBC. Yours truly, Donnie Wing Vice President, Investments and Corporate Development Cc: Registered Intervenors 1 -lCBC-PMBlR IAPPENDIX A to Order No. G-49-04 Page 13 o122 Mailing address: P0 Box 2606 Gcoiota St-p and Basic Insurance Information Sharing as distributed with the Commission's letter of agreement notes that the development of in Progress" with the likelihood of further refinement, agreement are greater in number than proposed both refinement of the Performance Measures and to ensure focus on the key corporate the settlement agreement notes that ICBC believes in its February 27, parties receive their rights to present evidence and provide. It is ICUC1s position that the Basic pursuant to the settlement agreement is more than purpose of regulating Basic insurance. As a argue In future proceedings that it should not be to provide as pan of this negotiated settlement. Negotiated
APPENDIX A to Order No. G-49-04 Page 14 of 22 FAMILY INSURANCE SOLUTIONS INC, William J. Grant Executive Director Regulatory Affairs & Planning BritishColumbia Utilities Commission Sixth Floor, 900 Howe Street, Box 250 Vancouver, B.C. Canada V6Z 2N3 May 5" 2004 Dear Mr. Grant: Re: Insurance Corporation of British Columbia ("ICBC") Performance Measures and Basic Insurance Information Sharing Negotiated Settlement Agreement Family Insurance Solutions Inc. accepts the Settlement Agreement attached to your letter of May 4th 2004. We were pleased to participate as an intervenor in the process leading up to the agreement. Yours Y'lly, Peter G. Throwe Senior Underwriting Analyst cc: ICBC and Registered Intervenors (by e-mail) FAMILY INSURANCE SOLUTIONS INC. Suite 1400 - 1177 West Hastings Street, Vancouver, British Columbia V6E 213 Tel: 604-687-2655 Fax: 604-682-3352 A Member Companyof The Economical Inauronce Group
APPENDIXA to Order No. G-49-94 Page 15 of 22 INSURANCE BUREAU LINDSAY OLSON, Vice Presidert, Pacific Peg/or BuREAu 41 D'ASSURANCE OF CANADA DU CANADA - May 4, 2004 Mr. William J. Grant Executive Director, Regulatory Affairs & Planning British Columbia Utilities Commission Sixth Floor, 900 Howe St. Vancouver, BC V6Z 2N3 Dear Mr. Grant, Insurance Bureau of Canada ("IBC") confirms its acceptance of the Negotiated Settlement Agreement dated May 4, 2004 and provided with your letter of the same date. The Negotiated Settlement took place further to the Commission Panel's Decision of November 12, 2004 and the Commissioner Letter No, L-2-04. IBC believes that ICBC has come forward with some reasonable Performance Measures. However, these Measures must be reassessed in future. With regards to Basic Insurance Information Sharing, what ICBC has agreed to provide in the course ofthe Negotiated Settlement falls short ofwhat was anticipated in the November 12, 200'l Decision and what is required by the governing legislation. Basic Insurance Information Sharing must be reassessed in future. Yours truly, ' U- *V---cc: ICBC Regulatory Affairs Registered Intervenors 51,1 Burrard Sixi'eL, SuiI uito, Vancouver. B,itisli Cokmbiij V6C 3A8 (ood 686 3635: latè1èc; (eoe) 68.1 6235; Ernah olineifilbc.ca; wwwjbcca
remberton Insurance CORPORATION May 5, 2004 British Columbia Utilities Commission Sixth Floor, 900 Rowe Street, Box 250 Vancouver, BC V52 2N3 Attention: Mr. William J. Grant, Executive Director Regulatory Dear Sirs: Re: Insurance Corporation Performance Measures and Basic Insurance Information Negotiated Settlement Thank you for your correspondence copy of the Negotiated Settlement Agreement We are pleased to provide our particular we accept in full the provisions "performance Measure?, and comment that we were satisfied with the made by the commission, applicant, and intervenors. To the contrary, we withhold and decline our provisions contained in the section entitled "Basic Insurance Information We have material reservations regarding issues of aggregation, breadth of statistics, and lack protocols with Optional Coverage providers. Thank you for hostixgçhe meetings Measures and Basic Insurance l,nfotmation present our thoughts. We belietre parties gained experience yli ours ve7 oger . President RAP/kg Enclosures INSURANCE BROKERSAPPENDIX A to Order No. G-49-04. Page 16 of22 620-475 WostGeorga Street, ticou' DC B5K5 Phone 6(A-682-3111 Fax 604 P682-2748 Affairs and Planning of British Columbia Sharing Agreement dated May 4, 2004 providing a final qualified agreement to the document. In contained in the section headed progress agreement to the Sharing". industry conformance, levels of of working day-to-day data sharing to review ICBC Performance Sharing proposals and for allowing us to from the process. truly Firinic, B.Com., C.R.M., F.M,C.
APPENDIXA to Order No. G-49-04 Page 17 of22 The British Columbia Richard J. Gathercote 687-3006 Sarah Khan 687-4134 Public Interest Patricia MacDonald 687-3017 Advocacy Centre James L. Quail 687-3034 208-1090 West Render Street ' Jess Hadley 687-3044 Vancouver, B.C. V5E 2N7 tt,-mcZZZ (articled student) Tel: (604) 681-3063 Fax: (604) 682-7896 Banisters & Solicitors email: cScJgpiac.cOm http:!/wwwbcpaçQQflj Via email and fax 604-660-1102 May 5, 2004 William J. Grant Executive Director Regulatory Affairs and Planning BC Utilities Commission Sixth Floor, 900 [lowe Street Vancouver, BC V6Z 2N3 Dear Mr. Grant: Re: Insurance Corporation of British Columbia Performance Measures and Basic Insurance Information Sharing Our clients, BCOAPO et al., confirm that they accept ofthe final Negotiated Settlement Agreement circulated on May 4, 2004. Yours truly, BC PUBLIC INTEREST ADVOCACY CENTRE Sarah Y. Khan Barrister & Solicitor c: Participants (via email) SYK:ca F:\MSOFFICE\SARAH\7000\7256 lchc\RCUCLetMay3( I )-04dnc
CANWIAN nmu1 t81"] EIJ May 6, 2004 M. William J. Grant Executive Director, Regulatory Affairs & Planning British Columbia Utilities Commission Sixth Floor, 900 Howe Street, Box 250 Vancouver, BC VÔZ2N3 Dear Mr. Grant; Re; Insurance Corporation of British Columbia Information Sharing Negotiated Settlement Thank you for your letter of May 4, 2004, providing Canadian Northern Shield Insurance Company Yours truly, Cort Elliott Automobile Underwriter Canadian Northern Shield Insurance Company Box 12133, 1900- 555W. Vancouver, British Columbia, V6B (604) 662-2900 @ APPENDIX A to Order No. G-49-04 18of22 Mt NY Page - Performance Measures and Basic Insurance Agrseme a copy of the Negotiated Settlement Agreement is pleased to confirm acceptance of the agreement. Hastings Street 4N5 Fax; (604) 662-5698
i& C1t4 OU VbO 1*4)1 IBA$C NSUPLANCE J AOC Eif I rTIS O H cor N xmthiA BCUC £ a scu C fiv 2 eDfr F ecI .9r RECEIVED .&2til-Cb7Pe®ibabc.OIg Routing__ William J. Grant Executive Director British Columbia Utilities Commission Sixth Poor, 900 Howe Street, Box250 Vancouver, B.C.Canada VU 2N3 Via Ernalli Qrn sjcnSecretary@bcUc.com & Fax 604 660-1102 Re: Insurance Corporation of British Columbia - Project #3698371 Performance Measures and Basic Insurance Information We accept the Negotiated Settlement Document In the above matter as Sincerely, C. J. (Chuc , CIP Executive irector CC Intervenors 20 * u n s w 2 n t n l n f APPENDIX A to Order No. G-49-04 Page 19 of 22 oo1 1096 Vram PU fur Stoat Sifta UK naoINtr. tO. VOE 2MG t&uphono (004) 005-8000 Education Fx (s04) S8s'848v FRY (004) 683-7831 Log #_ _ MAY062004 -. May 6, 2004 Sharing ciroulated on May 4, 2004. c lu 3 a cn c k c ec
OFFICE & PROFESSIONAL EMPLOYEES' fl INTERNATIONAL UNION, Local 378 19 r . 2ND FLOOR, 4595 CANADAWA' BURNABY, BC. PLEASE REFERTO OUR FILE NO. May 6, 2004 VIA E-MAIL: pilgrant4bcuc.co Mr. William Grant Executive Director Regulatory Affairs arid Planning British Columbia Utilities Commission Sixth Floor, 900 Flows Street, Box 250 Vancouver, B.C. VBZ 2N3 Dear Mr. Grant: Re: Insurance Corporation of British Columbia Information Sharing -_Negotiated Settlement The document you circulated on May 4, 2004 is reached. The OPEIU agrees with the document in all We intend to make future information requests beyond areas where we were unable to reach agreement assist the Commission in determining future issues. We also reserve the information requests of other intervenors that may Yours truly, Jerri New President JN:kc c: ICBC and Registered Intervenors (by e-mail)APPENDiX A to Order No. G-49-04 Page 20 of 22 V5(3 4L BUS. (Q4) 298-037D "" 0411-00 211 WEB StE: www.ip&u,Ca ICBCIORGN/04-0002 - Performance Measures and Basic Agreement an accurate reflection of the agreements respects. the mailers stated in the document in with the Corporation and in areas that may right to oppose some exceed the circulated document.
APPENDIXA to Order No. G-49-04 Page 21 of 22 -CANADIAN DIRECT INSURANCE Subsidiary QfCenaaianWjarn Bank May 6, 2004 British Columbia Utilities Commission 6th Floor - 900 Howe Street Box 250 Vancouver, BC V6Z 2N3 Attention: Mr. William J. Grant Executive Director Regulatory Affairs & Planning Dear Mr. Grant: Re: Insurance Corporation of British Columbia ('ICBC") Performance Measures and Basic Insurance Information Sharing Negotiated Settlement Agreement This is to respond to your letter of May 4, 2004 requesting confirmation of acceptance of the Settlement Agreement attached to that letter. Canadian Direct Insurance, as a participant in negotiations, accepts, in principle, the Settlement Agreement. However, we wish to go on record as stating that in our opinion, the information sharing portion of the agreement for basic insurance is narrow and limited and does not sufficiently address the requests put forward by companies competing with ICBC for optional automobile insurance customers. Canadian Direct Insurance provided a detailed proposal to the BCUC on information sharing in a letter dated April 17, 2004, but much of that proposal has not been addressed in the Settlement Agreement. As is noted in the Settlement Agreement itself, there is a reservation of rights by the parties which will allow them to present evidence and to make submissions to the Commission on additional information which they believe should be provided by ICBC. We intend to make submissions in that respect in the future. Yours truly, Original signed by: Karen L. Hopkins-Lee Chief Underwriter Canadian Direct Insurance Inc.
13.0 R4 U V William J. Grant Executive Director Regulatory Affairs & Planning British Columbia Utilities Commission Sixth Floor, 900 Howe Street, Box 250 Vancouver, B.C. Canada VGZ 2N3 Via Email: Commlssion.Secretary@bcuc.com May 7, 2004 Dear Mr. Grant: Re: Insurance Corporation Performance Measures and Basic Insurance Information Subject to the following two reservations, the British Columbia "BCCA't) accepts the ICBC Performance Measures Negotiated Settlement Agreement ("the Settlement letter from the BCUC. The BC Meas C ures -1 . A expresses the following concerns for the Performance The Legal Representation Rate (section include the "average time from report average time to legal representation in meeting its goal of maintaining "control" representation. 2. The Claims Services Satisfaction Survey should canvas both tort and accident benefit claimants. The ICBC intends to survey accident benefit claimants even if the accident benefits claimants have a tort claim. However, the BCCA believes JCBC tort claimants who do not have an accident costs are a major focus of JCBC management. Any survey types of claimants is suspect. The BCCA enjoyed participating in the process Information Sharing The BCCA looks forward to Yours truly. Dr. Don Nixdorf, Executive DirectorAPPENDIX A to Order No. G-49-04 Page 22o122 4 C t Ot'1 SCUC Log #._ RECEIVED Routing of British Columbia Sharing Chiropractic Association (the and Basic Insurance Information Sharing Agreement") attached to the May 4, 2004 4.4 of the Settlement Agreement") should of loss to date of legal representation". The provides meaningful insight into JCBC's success of the claim by avoiding legal. (section 4.7 of the Settlement Agreement) BCCA understands should also survey benefits claim. Bodily injury claims and which fails to include all to review TCBCs Performance Measures and further participation in future processes.
You are being directed to the most recent version of the statute which may not be the version considered at the time of the judgment.