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 Directors whose appointments were rescinded are technology executive Catherine Boivie, and chartered accountants William Davidson and Ronald Olynyk.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

Update: Multiple vehicle incident closes eastbound Okanagan Connector

Highway 97C is closed to eastbound traffic near Pennask Summit following an incident Sunday afternon

Provincial program offers assistance to agricultural producers

AgriStability Enhancement Program benefits agricultural producers who saw an income decline in 2017

DRAWL searches for Okanagan Valley accent

UBC study wants to hear from Okanagan residents

OC research project unites outdoor play experts

Researchers to meet in Scotland on how to advance outdoor play for kids

Two-vehicle crash slows traffic on highway in Kelowna

A collision between two cars on Sunday morning at the corner of Highway 97 and Highway 33

PHOTOS: Icing the competition

Skate Canada 2018 Okanagan Regional Championships skated through Vernon this weekend

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.

Owls soar to valley basketball title

KSS wins easily at Okanagan finals to represent valley next week at provincials in Langley

Brakemen pulling out all the stops for 2018

Kettle Valley Brakemen planning some surprises

#Metoo movement causing confusion in many men, fear of missteps with women: experts

Being painted by the same sweeping brush as those alleged to have mistreated women has angered men

Liberals to dig deeper, aim higher on gender equality in 2018 federal budget

Finance Minister Bill Morneau said the budget would include measures to boost women in the workforce

RCMP seeking missing Sun Peaks man

Ryan Shtuka, 19, was last seen leaving a party on Burfield Drive Friday night

Southern Interior receives as much as 30cm of snow

Environment Canada report shows deep snow in the wake of storm

UPDATE: Body of missing skier found

Man’s truck found in Revelstoke Mountain Resort’s parking lot covered in ‘several days’ snow’

Most Read