Savings in auto insurance take effect July 1
— June 26

Three percent average reduction in optional insurance rates

ICBC's personal optional insurance customers will see their rates for optional coverage go down by an average of 3 per cent effective July 1, 2008. Almost 71 per cent of customers who purchase both their basic and optional insurance for their private passenger vehicles from ICBC will see their combined rates decrease or stay roughly the same.

ICBC announced the optional rate reduction earlier this year when it also indicated there was no need for an additional basic rate change in 2008. A recent reduction in some claims costs, in particular for vehicle theft, have allowed for a decrease in optional rates this year.

"Over the past five years ICBC has been able to hold the line or reduce rates for our optional insurance customers," said Geri Prior, ICBC's president and CEO. "Overall insurance rates for BC drivers continue to be low and stable. Customers who have purchased the same basic and optional coverages from ICBC over the last five years have seen only a $2 increase on average in their premium over this period."

The combined effect of basic and optional rate setting for 2008 means that 56 per cent of private passenger vehicle customers will see a savings of between $5 and $99 on their yearly insurance premiums, while 3 per cent will save $100 or more. Twelve per cent of customers will see their rates stay roughly the same.

Optional insurance includes coverage for collision (the cost of repairing your vehicle) and comprehensive (loss or damage other than that covered under collision e.g. fire and theft), along with additional protection for the registered owner and operator from third party liability.

Basic insurance coverage provides the minimum required level of coverage against claims for third parties for injury or other losses. It also protects those involved in a crash, whether they are at fault or not, providing specific medical, wage replacement and other benefits. More than 80 per cent of all payouts for injures are under basic coverage.

MEDIA CONTACTS:
Doug Henderson
604-982-1332

Background — June 26

Savings for ICBC customers effective July 1, 2008

For the 2.6 million customers who buy both their basic and optional insurance for their private passenger vehicles from ICBC:

• 1.8 million (almost 71 per cent of customers who choose ICBC) will see their combined rates go down or stay roughly the same in 2008.
• Of those, 1.15 million customers will pay $5 to $50 less for their insurance; 374,000 will save $50 or more and 81,000 will save $100 or more. A further 310,000 customers will see their rates stay roughly the same (no changes or +/- less than $5).
• For those whose rates will increase, the majority - 716,000 customers - will pay less than $50 more.
• Approximately 30,000 customers will see an increase of more than $50.

The impact of changes in optional rates will vary from driver to driver; the average yearly insurance savings will be $16.

Average Rate Changes for all vehicles, past five years
Basic Insurance
2008*	2007	2006	2005	2004
0.0%	3.3%	6.5%	0.0%	0.4%
Optional Insurance
2008**	2007	2006	2005	2004
-3.0%	-3.8%	0.0%	-7.6%	0.4%
Combined
2008	2007	2006	2005	2004
-1.3%	0.2%	3.7%	-3.4%	0.4%

* 2008 rate plan for basic insurance
** 2008 optional rate reduction effective July 1, 2008

Strong message sent to drivers — June 25

No excuses for drinking and driving

(Victoria, BC) - ICBC, the Province and police are sending a message to impaired drivers this summer - it's time to bury all excuses for drinking and driving.

This morning, ICBC and police launched a month-long public awareness and enforcement campaign at a graveside service at Hatley Memorial Gardens. Nicolas Jimenez, ICBC's road safety director, along with the police and Colwood's mayor, Jody Twa, buried signs with common excuses for drinking and driving in a grave (e.g. "I can handle my liquor."; "It's only a short drive home."; "I don't want to pay for a taxi."; "I'm OK to drive.").

"More than 100 British Columbians die every year as a direct result of drinking and driving," said John van Dongen, minister of public safety and solicitor general. "The tragedy behind that number is the terrible cost to B.C. families and the fact that those deaths are preventable."

Although the Drinking Driving CounterAttack campaign is one of the many initiatives that has helped reduce B.C.'s alcohol-related crash fatalities by some 50 per cent over the past 30 years, the consequences remain severe. On average, 3,170 people are injured and 116 are killed in 4,980 alcohol-related crashes each year (average annual figures from 2002-2006 police data). Annually, this costs ICBC and drivers more than $140 million in claims costs.

"Everyone benefits when we all drive safely," said Jimenez. "First and foremost, we minimize the tragic toll car crashes have on people's lives. But we're also reminding drivers that the insurance rates you pay reflect how you drive. Higher risk drivers will simply pay more," added Jimenez. With the introduction of the Driver Risk Premium, if you're convicted of drinking and driving, you'll pay more for your insurance.

ICBC's campaign features radio, television, and restaurant and bar advertising reminding drivers about the increased police presence and the need to stop making excuses for drinking and driving. ICBC is also working with employers to help spread the message to their staff.

Police throughout the province will ramp up roadchecks throughout the summer.

"The police, ICBC and the provincial government have been working hard to combat drinking and driving over the years. While we've helped to reduce the number of fatalities, impaired driving is still the number one criminal cause of death in Canada," commented deputy chief Mike Chadwick of the Saanich police, also president of the B.C. Association Chiefs of Police.

"The RCMP's goal is to have the safest roads in the world by 2010," added staff sergeant Andrew Isles of the RCMP and Capital Regional District Integrated Road Safety Unit. "Working with partners like ICBC to combine enforcement with education is a vital step in achieving this goal."

For more information on the impaired driving campaign, visit www.icbc.com.

Media contact:

Caroline Robinson
250-729-3518

Elizabeth Heinz
250-729-3522

Copyright © 2008 ICBC - Insurance Corporation of British Columbia