VANCOUVER, April 11, 2013 /CNW/ - The Consumers' Association of Canada - BC Branch (CACBC) released a highly critical report today calling for changes to the way the Province operates ICBC. The Report strongly disapproves of the BC Liberals handling of ICBC since taking office in 2001, pointing out that through deliberate BC government actions ICBC has been turned into a cash cow and this has been done on the backs of consumers who are being overcharged for their basic and optional automobile insurance.
"Over the last ten years, the Province's adjustments to the insurance system have radically shifted BC's public automobile insurance system from one that maximizes public good, to one that maximizes profitability - and these profits are shifting unfairly to Provincial coffers, said Bruce Cran, President, Consumers' Association of Canada. "The BC Government has already taken $677 million since 2010 and by 2015 will have transferred $1.2 billion in profits from ICBC."
The overall direction from the BC government is alarming as it comes at a time when real incomes have not risen in Canada for some three decades now and household debt is at record highs. Cran said, "Higher vehicle insurance rates affect consumers and businesses alike as well as eliminate a key strategic provincial advantage that British Columbia has in its public automobile insurance system."
In total the report makes 15 recommendations to fix ICBC, reduce auto insurance rates and restore the core values and principles of public automobile insurance. Cran said, "The BC Government has an opportunity to put consumers back in the driver's seat, get ICBC back on track, and most importantly, lower insurance rates for British Columbians - how can one argue with that? "
The full report and 15 recommendations are available at www.consumer.ca.
SOURCE: Consumers' Association of Canada
For further information:
President, Consumers' Association of Canada
Tel: (604) 418-8359