Accident and injury claims have increased in recent years and ICBC is looking at a major increase to liability insurance claims. (Black Press files)

ICBC board members replaced before overhaul

Three more B.C. Liberal appointees fired

The NDP government has replaced three more board members at the Insurance Corporation of B.C., as it prepares a shakeup for the public auto insurer that is facing steep rate increases to cover its claim costs.

One of Premier John Horgan’s first moves after forming government in July was to replace the ICBC board chair, former B.C. Liberal cabinet minister Barry Penner, with former NDP cabinet minister Joy MacPhail.

On Thursday, Justice Minister David Eby announced that three more board members had been fired and replaced. The new directors are Doug Allen, former executive with the TransLink and Canada Line corporations, former Hospital Employees’ Union business manager Bonnie Pearson, and Jeremy Bell, an investment consultant and former chief actuary with the Healthcare Benefit Trust.

The new directors join Cathy McLay, TransLink’s chief financial officer, who was appointed to the ICBC board along with MacPhail. Directors whose appointments were rescinded are technology executive Catherine Boivie, and chartered accountants William Davidson and Ronald Olynyk.

After being given responsibility for ICBC in July, Eby released a report commissioned by the previous government calculating that ICBC rates could go up by as much as 30 per cent by 2019. The Ernst & Young report cited increased car crashes, higher payouts for minor injuries, and a claim rate rising faster than accident rates.

“A 30-per-cent rate increase will not be happening on our watch,” Eby said at the time, echoing an NDP election commitment to rein in ICBC rate increases. He indicated that higher rates for drivers with accident claims were one remedy, but ruled out moving to a no-fault system that uses a schedule to pay claims rather than having ICBC lawyers go to court.

Eby accused the previous government of “using ICBC as a bank machine” in the years since the NDP government of Dave Barrett set up the Crown corporation in 1973. The B.C. Liberal government allowed private insurance competition for ICBC’s optional insurance coverage, and in 2015 gave ICBC permission to transfer $450 million from its optional insurance business to subsidize the basic liability insurance over which ICBC has a monopoly.

Just Posted

Air quality advisory in effect for Terrace

People with chronic underlying medical conditions should postpone strenuous exercise until the advisory is lifted.

Mills Memorial Hospital financing formula released

Regional taxpayers to pay $113.7 million for new facility.

Greyhound cleared to end routes in northern B.C., Vancouver Island

Company says nine routes have dropped 30% in ridership in last five years

How the provincial budget will play out in northwestern B.C.

Price of gasoline to rise and expect MSP premiums to disppear

NDP budget offers no way to pay for new programs: Ellis Ross

MLA highly critical of government’s abandonment of major projects

VIDEO: Top 10 B.C. budget highlights

The NDP is focusing on childcare, affordable housing and speeding up the elimination of MSP premiums

How to keep local news visible in your Facebook feed

Facebook has changed the news feed to emphasize personal connections. You might see less news.

Three new judges appointed to B.C. Supreme Court

Two spots filled in Vancouver, one in New Westminster

BCHL Today: Merritt’s Buckley nets scholarship and Vees slam Salmon Arm

BCHL Today is a (near) daily look at what’s going on around the league and the junior A world.

Crowns asks for more time in Victoria double murder of young sisters

Andrew Berry’s next court appearance will be in three weeks to set a date for trial to begin

B.C. MP invites convicted terrorist to Trudeau reception in India

Jaspal Atwal was convicted of trying to assassinate an Indian cabinet minister

OLYMPIC ROUNDUP: Women’s ice hockey team loses first Olympic game in 20 years

Team Canada added two silvers and a bronze to their total

Canadian support split on Trans Mountain pipeline debate: Poll

Angus Reid poll surveying Canadians on pipeline stance finds no clear winner

Tired of ‘big city life’? One-stoplight town hosts contest to lure in city slickers

Contest by BC Rural Centre hopes to attract city folks to a small town in the Kootenays

Most Read