Orders

ORDER NUMBER

G-282-20

 

IN THE MATTER OF

the Utilities Commission Act, RSBC 1996, Chapter 473

 

and

 

the Insurance Corporation Act, RSBC 1996, Chapter 228, as amended

 

and

 

Insurance Corporation of British Columbia
Rate Design Basic Insurance Tariff Amendments

 

BEFORE:

B. A. Magnan, Panel Chair

on November 3, 2020

 

ORDER

WHEREAS:

 

A.      On September 18, 2020, the Insurance Corporation of British Columbia (ICBC) filed an application with the British Columbia Utilities Commission (BCUC) seeking approval of three Basic Insurance Tariff amendments (Application). The three proposed amendments are as follows:

1.       Improving the process for customers to prove eligibility for the Distance Factor;

2.       Simplifying the listing of learner drivers for licensed driver training schools and institutes; and

3.       Adjusting Schedule C of the Tariff for Rate Classes 030 and 035 applicable to golf carts and utility vehicles to smooth the impact of the rate design transition, consistent with the approach to other rate classes;

B.      In the Application, ICBC submits that the proposed amendments maintain the intent of the rate design amendments set out Order in Council (OIC) No. 458/18 by enhancing fairness and, in respect of Rate Classes 030 and 035, continuing to transition the impacts from rate class and territory updates over a 10-year period to moderate customer impacts. ICBC proposes an effective date of February 1, 2021, for each of the three proposed amendments and for Rate Classes 030 and 036 Tariff amendments proposed amendments effective September 1, 2021 and September 1 of each successive year up to and including 2027. The amended Basic Insurance Tariff (Tariff) pages are provided in Attachment A of the Application;

C.      On October 9, 2020, BCUC staff issued questions to ICBC regarding the Application and on October 19, 2020 and October 22, 2020 the BCUC received ICBC’s response to BCUC staff questions, in which ICBC requested approval of interim and non-refundable tariff amendments for Rate Classes 030 and 035;

D.      The Panel reviewed the Application and ICBC’s responses to BCUC staff questions and finds that interim approval for Rate Classes 030 and 035 Tariff amendments is warranted. The Panel consider that a process for public letters of comment is warranted.

 

NOW THEREFORE the BCUC orders as follows:

 

1.       ICBC is granted interim and non-refundable approval of the Tariff amendments for Rate Classes 030 and 035, pursuant to section 89 of the Utilities Commission Act effective ­February 1, 2021.

 

2.       ICBC is directed to file amended tariff pages reflecting the interim approvals 30 days in advance of the February 1, 2021 effective date.

 

3.       ICBC must provide notice of the Application and this order, electronically where possible, to all registered and interested parties in the ICBC 2018 Basic Insurance Rate Design Application proceeding within 3 days of the date of this order. Notice of this order should also be made available on ICBC’s website.

 

4.       Members of the public are invited to provide letters of comment by the date established in the regulatory timetable attached as Appendix A to this order. Letters of Comment must be in the Letter of Comment Form available on the BCUC’s website at http://www.bcuc.com/forms/letter-of-comment.aspx and submitted through the BCUC’s website or by email to commission.secretary@bcuc.com or by mail, courier or personal delivery to the British Columbia Utilities Commission, Suite 410, 900 Howe Street, Vancouver, BC, V6Z 2N3.

DATED at the City of Vancouver, in the Province of British Columbia, this           3^rd           day of November 2020.

 

BY ORDER

 

Original signed by:

 

B. A. Magnan
Commissioner

 

 

Attachment

 

 

 

 

 

Insurance Corporation of British Columbia
Rate Design Basic Insurance Tariff Amendments