Safe driving and strong management of costs benefit all
VANCOUVER, Nov. 9 /CNW/ - ICBC's third quarter was highlighted by news of reductions to both basic and optional insurance rates for a combined savings to customers of more than $80 million.
As of November 1, ICBC's basic insurance rates dropped by 2.4 per cent and optional insurance premiums were reduced by three per cent. Both changes run for a full calendar year so customers will benefit from the reductions when they renew their insurance between now and October 31, 2011.
"The best part about these rate reductions is that it's rewarding our customers for their safe driving - they earned this," said Jon Schubert, ICBC's president and CEO. "Rate changes are mainly driven by claims costs and fewer crashes in B.C. have led to a drop in the number of claims. Along with our customers' safe driving, our multi-million dollar yearly investments in road safety have played a key role."
The highlights of ICBC's third-quarter included:
- Lower rates: Third year in a row combined insurance rates have gone down.
- Road safety education: Supporting new distracted and impaired driving legislation.
- Claims translation: Multi-lingual translation service for customers filing claims.
- Streamlined road tests: Reduced wait times for customers booking Class 5 tests.
- Community service: B.C. Day weekend donation drive with Canadian Blood Services.
All of these successes were achieved while ensuring ICBC remains in a healthy financial position. Net income stood at $316 million for the first nine months of the year, supported by a strong performance from our investment portfolio.
Operating costs continue to remain low compared to the industry average, with fewer than five cents of every premium dollar used for administrative costs. To benefit our customers, we are investing in a multi-year program focused on improving our customers' experience and upgrading technology systems to increase efficiency which we expect will increase our operating costs in the future.
More details on ICBC's financial position for the nine months ended September 30, 2010, can be found in our statement of operations.
Journalists: If you'd like to be notified by email whenever we issue a news release, please visit our newsroom to sign up: http://www.icbc.com/about-ICBC/news_room.
At ICBC, we are committed to our 3.2 million customers and their safety on the road. We license and insure drivers and vehicles across the province through our service centres, plus a network of more than 900 independent brokers and government agent offices. Claims customers are served through local offices and our award-winning Dial-a-Claim call centre. We add value to B.C. communities - our road safety investments help create safer roads, lead to fewer crashes, and help keep our rates stable. To find out more, visit icbc.com.
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For further information:
Media contacts: Adam Grossman, 604-982-1332
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