Legislative changes to make B.C. auto insurance cheaper introduced

VICTORIA (NEWS 1130) – Changes to legislation introduced Monday in Victoria would reduce the cost and complexity of lawsuits under the current auto insurance system in B.C.

The proposed legislative amendments are to the Evidence Act and will limit the number of experts and expert reports that can be used in court regarding damages.

The amendments will also provide judicial discretion to allow additional expert reports in cases where appropriate.

There will be a limit of one expert and expert report for each party for fast-track claims, such as those under $100,000.

A maximum of three experts and reports for each party will be set for all other claims.

Parties can agree to use more experts without the need to file a formal application to the court, according to a government release.

“With limits on the number of experts and expert reports, we are reducing the cost, complexity and delay associated with expensive dueling experts,” said Attorney General David Eby.

“It means that claims will be resolved more efficiently.”

Should the legislation be passed, the limit on the amount recoverable in personal injury cases would be $3,000.

Total recoverable disbursements in personal injury cases would be limited to five per cent of the judgment or settlement.

There are more than 90,000 active auto-insurance claims, according to the province, which says the increased use of experts has contributed to a 30 per cent increase in the cost of ICBC injury claims that are litigated since 2017.

There is potential for more claims to be brought forward between now and when ICBC’s new insurance system, Enhanced Care coverage, takes effect May 1, 2021.

Premiums are expected to decrease, on average, about 20 per cent, or $400.

Plans to bring car insurance in B.C. closer to a no-fault system will likely be challenged by personal injury lawyers who say long-running trust issues with ICBC are far from being resolved.

-with files from Marcella Bernardo