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B.C. budget projects ICBC to turn a profit by 2021

Last Updated Feb 20, 2019 at 6:06 am PDT

(John Ackermann, NEWS 1130 staff photo)
Summary

Finance Minister Carole James says by 2021, ICBC will see $86-million profit

VICTORIA (NEWS 1130) – B.C’s minister appears to be pouring water on the ICBC dumpster fire. The latest provincial budget shows the corporation in the black two years from now.

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Carole James says turning a billion-dollar loss into making a profit comes down to upcoming changes to expert reports used in claims and the size of settlements.

“The attorney [general] has a number of changes that will start taking place now over the next few months. We’re dealing with back claims and because we’re dealing with so many of those back claims, you’ll actually be better off as it comes ahead because you won’t have those back claims we’re dealing with.”

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James says while she’s confident in the projections of a $86-million profit in 2021, contingencies have been built in just in case.

“If you take a look at our forecast we’ve ensured there is more money next year, just in case. But I’m feeling pretty confident.”

In the short-term, she says the bottom line will take a hit — a $50-million loss next year — but expects that will turn around, with hopes back claims are off the books soon.