Victims who suffer life-altering injuries in motor vehicle accidents will be exempt from the no-fault insurance regime and permitted to pursue fair and reasonable compensation in the British Columbia court system.
To maintain the significant cost-saving measures currently in place with ICBC, there will continue to be a monetary cap for pain and suffering due to “minor injuries” or better defined as “soft tissue” injuries. The definition of “minor injury” will be amended to accord with medical consensus and the commonsense definition of “minor injuries”.
Importantly, this policy will help to allow for competition in BC’s vehicle insurance market. The ICBC monopoly will never produce the cost savings a competitive free market will.
Background Information
On April 1, 2019, following legislation passed by the BC NDP, ICBC implemented a monetary cap on pain and suffering of $5,500 for “minor injuries”, indexed for inflation. Victims of car crashes continued to have the right to sue for other heads of damages, such as wage loss, future loss of opportunity, future cost of care, loss of housekeeping capacity, and special damages. Victims with injuries that fell outside of the “minor injury” definition were exempt from the monetary cap on
pain and suffering and could pursue
their claim in the British Columbia court system. The “minor injury” cap scheme
had the clear impact of providing a substantial cost savings to ICBC, that if
left in place as policy, would have brought ICBC to a profitable state allowing
meaningful reductions in driver’s premiums.
Without first allowing the “minor
injury” cap scheme to run its course and determine the financial implications
of the scheme, the BC NDP instead introduced and passed no-fault legislation eliminating
the vast majority of legal rights of injured victims of car crashes in British
Columbia.
That is, on May 1, 2021, the BC NDP
introduced a one-sided no-fault scheme which provided no exceptions for victims
with life-altering major injuries. All victims of car accidents, regardless of the
severity of their injuries, must seek compensation and treatment from ICBC for
the duration of their injuries or losses. Disputes can only be filed with the
Claims Decision Review, a branch of ICBC, or the Civil Resolution Tribunal.
Appealing through the British Columbia court system is not permitted.
Under the no-fault scheme, which is
the most restrictive program in North America taking away legal rights, victims
of a car crash have very little opportunity for reasonable and fair compensation
for their injuries. ICBC, in turn, decides the type of treatment and compensation
victims receive with little opportunity for an independent review of ICBC’s
decision making. Wage loss, out-of-pocket expenses and other losses are not
fully compensated leaving the victims to suffer the consequences of somebody
else's wrongdoing. More disturbing, the individual that caused the car crash is entitled to
the same compensation as the victim of the car crash.
Recommendation
The current BC NDP and ICBC no-fault insurance regime is the most oppressive and right-stripping scheme in North America. Exceptions must be made for victims of car crashes who suffer catastrophic, life-altering injuries. It is most unfair for victims of car crashes suffering catastrophic, life-altering injuries to be forced to suffer the financial consequences of a car crash caused by another motorist and have little avenue to dispute what little support ICBC does provide under the no-fault scheme.The cap on “minor injuries” or “soft tissue” injuries is a logical cost-saving measure. However, the maximum compensation for minor injuries ought to be increased to properly compensate victims with minor or soft tissue injuries that have developed into life-long chronic pain conditions.
This proposed policy by the Conservative Party of BC will restore victims’ rights, a hall mark of our society. There will be fair and reasonable compensation for life-altering injuries victims have suffered, through no fault of their own. The motorists that cause the car crash will no longer be on equal footing with the victim of the car crash. With the “minor injury” monetary caps still in place, ICBC will be sufficiently profitable to ensure that the premiums of motorists in British Columbia can be reduced to reasonable levels.
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