Car Insurance Costs

"CarsofFortLangley - Oppo Forever" (carsoffortlangley)
09/13/2018 at 11:50 • Filed to: None

So a lot of Oppo’s have made comments about my car insurance costs both on Oppo and during Oppo meets. I thought I would make a post that explains why BC is an expensive place to insure a car.

Below are my rates & coverage . If you want to see what the base cost of insurance is in this province, the Dodge Ram carries the lowest legal amount, then add 40%. This base rate is the same for EVERY citizen in BC.

ICBC is sold via independent brokers on commission and they also manage the registration/licensing of vehicles and people in BC.

2014 Ford Fiesta ST

Premium for 2018-2019 = $2079.00
Coverage: $2M Liability Limit, $300 comprehensive & collision/upset deductible. To and from work more than 15km* .

*Will change to “pleasure use only” should save about $300-$500.

Discount: 40% (max) safe driving.

2016 Mazda CX-3 GT

Premium for 2018-2019 = $2254.00
Coverage: $2M Liability Limit, Roadstar (roadside assistance, loss of use & rental coverage) $2M UMP (Underinsured Motorist Protection) and $300 deductible for comp/collision. To and from work more than 15KM.

Discount: 40% (max) safe driving.

2018 Kia Forte LX

Premium for 2018-2019 = $2752.32
Coverage: $2M Liability Limit, $2M UMP, $300 ded. for comp/collision with replacement cost*. Business use.

*replacement cost via private insurance.

Discount: 40% (max) safe driving.

1986 Dodge Ram D100

Premium for 2018-2019 = $1200
Coverage: $200K Liability Limit*. Pleasure use only.

*minimum legal limit in Canada** .
**Excluding Québec, but...that is a different lesson for a different day.

Discount 40% (max) safe driving.

!!! UNKNOWN CONTENT TYPE !!!

So. Now we have all that unpleasantness out of the way. Your main question is probably, why is insurance so expensive in BC?

We, like you, have mandatory minimum limits of liability coverage. Our min. limit is $200,000CDN. This must be purchased from our government owned/run insurance monopoly , ICBC. Anything above that for liability, collision or comprehensive insurance can be bought from ICBC or the free market.

In the last few years, due to our very litigious province, increasing rates of fraud and increasing vehicle repair costs, ICBC has been losing money. Like... a lot of money. !!!error: Indecipherable SUB-paragraph formatting!!!

This has lead to yearly increases of the base rate of insurance , but it still cannot keep up. The causes of this fraud/repair cost increase is loosely tied to more general trends in Vancouver. Money from China is a big driver, with high end cars in excess of $150K MSRP being the biggest cost for repairs paid by ICBC.

Crash rates in BC have also increased dramatically, some feel that increased foreign drivers contributes heavily to that, but there is no data to show this.

Here you can see a few of the biggest crash areas in Metro Vancouver.

I have no way to wrap this article up other than to say that fiscal mismanagement , government unwillingness to pass legislation limiting injury claims and increasing fraud/repair costs make this province unbearably expensive insure a car in.

DISCUSSION (23)

Nibby > CarsofFortLangley - Oppo Forever
09/13/2018 at 11:53

Kinja'd!!!

fintail > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:01

From what I see in every lower mainland dashcam compilation, I am surprised it isn’t worse. Sometimes it’s like driving in a third world country.

someassemblyrequired > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:02

Having been to BC on a few occasions there’s definitely some BC drivers where the base rate should be one billion dollars a year.

S ounds like roughly double what we pay here in DC.

Wacko > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:05

ps st. that dodge would cost you 160.00 in insurance a year in Quebec and about the same for the plates.

and everything else is about 1/3 of the cost here.

According to you income needed for a house, I couldn’t own a house anywhere in BC.

so ready to move here in quebec, we have jobs, not enough workers.

I can find you a place with a big ass garage. But all your cars will have to pass safe ty inspections.

G_Body_Man: Sponsored by the number 3 > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:08

I thought Ontario was bad until I moved to BC. I’m paying less for my G35 in Ontario than I was for my 96 Crown Vic in BC .

vicali > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:11

woo - icbc..

Kinja'd!!!

gmctavish needs more space > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:11

I honestly hadn’t considered insuring the Raider for under 1mil liability, I’ve always just done at least that much by default. Maybe I should have it insured year round with less liability, instead of half the year at 1mil....

CarsofFortLangley - Oppo Forever > gmctavish needs more space
09/13/2018 at 12:13

I only drive the Ram in the country. If I am in an accident where the third party injuries are more than $200K, there is a 90% chance I am a corpse anyway.

fuck it.

Future next gen S2000 owner > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:16

Whats that in freedom dollars? I kid I kid. Figuring in the conversion rate, That’ s about what I pay to insure a Tacoma with full coverage, a Saab without full coverage, and a Daytona 675 with full coverage. Two drivers and roughly 14K miles per year on both cars.

Highlander-Datsuns are Forever > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:19

Here I am bitching and moaning about $1200/year for three cars. Two with comprehensive.

Milky > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:21

Heres a fun fact, average car insurance for Detroit is 40% of your income.*

I pay over $3k a year for a Miata and lie about where I live.

*local news said this and it makes sense, haven't fact checked though.

DipodomysDeserti > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:23

That’s pretty pricey. I’m at $3,294 a year for three vehicles and a motorcycle (‘13 X1, ‘11 Wrangler, ‘66 GMC, ‘73 Honda). I have $100/200k liability for personal and property damage along with $200k/100k in under and uninsured motorist coverge (much needed here) along with comprehensive and collision coverage ($500 and $100 deductibles). I also carry rental reimbursement and $10k medical coverage (ain’t shit, but I have health insurance. I carried it over from when I had shit insirance with a $8k yearly deductible.)

The comprehensive insurance includes free windshield repair. I had to replace four windshields last year on my BMW (which I had done at the dealer), so the insurance almost paid for itself. I haven’t had a ticket in about ten years and the only accident I was ever in was when I was sixteen. My rates have gone up over $200 in the last year, but it’s probably because of those windshields.

BrianGriffin thinks “reliable” is just a state of mind > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:25

My takeaway from this is that Canada just requires much, much better coverage than the US. I think my states minimum liability (PA) is like $15,000 USD.

punkgoose17 > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:32

Nope nope nope, I’m just not living there. If I ever have to move to Canada for my wife’s medical care this is why we are moving somewhere on the east coast like New Brunswick.

someassemblyrequired > BrianGriffin thinks “reliable” is just a state of mind
09/13/2018 at 12:46

$1MM is pretty much default even if you’re broke and strapped for cash , $2MM is not uncommon. $500K is the minimum in Nova Scotia, and good luck actually getting a $500K policy written - it just doesn’t happen .

davesaddiction @ opposite-lock.com > CarsofFortLangley - Oppo Forever
09/13/2018 at 12:49

Government & lawyers make everything better!

Wait... I might have that backwards.

CarsofFortLangley - Oppo Forever > davesaddiction @ opposite-lock.com
09/13/2018 at 12:51

Just like any job, there are good lawyers and evil lawyers. But government rarely makes anything better.

BeaterGT > Highlander-Datsuns are Forever
09/13/2018 at 13:32

Seriously. I think I pay just over a grand for my two cars but even after reading this, I feel like I should raise my limits. Thank you old guys for making Corvette insurance so cheap!

davesaddiction @ opposite-lock.com > CarsofFortLangley - Oppo Forever
09/13/2018 at 13:35

I mean, I guess we’d all be speaking German if it wasn’t for “big government”, but yeah.

Mid Engine > CarsofFortLangley - Oppo Forever
09/13/2018 at 15:39

$2M coverage is excessive.. also, the government needs to do one of two things:

1) copy Quebec’s system, I know first ha nd i t works and is cheap AF

2) or, get out of the insurance business and let private companies compete

CarsofFortLangley - Oppo Forever > Mid Engine
09/13/2018 at 15:40

$2M is not excessive, sorry. I am a claims adjuster and it is what everyone should really carry.

The Crazy Kanuck; RIP Oppositelock > CarsofFortLangley - Oppo Forever
09/13/2018 at 16:38

You could have said Ontario, not BC. It would be same.

CarsofFortLangley - Oppo Forever > The Crazy Kanuck; RIP Oppositelock
09/13/2018 at 16:41

The same rates maybe, but different issues. You have no fault, limits and a free market.

Idiots here think implementing those 3 things will solve the problem. Nope.