What you need to know about the care-based approach to auto insurance.
What is Enhanced Care?
Enhanced Care is a care-based auto insurance model that launched on May 1, 2021 for everyone living in B.C.
Under Enhanced Care, any B.C. resident who is injured in a crash is entitled to care and recovery benefits, no matter who is responsible. This includes drivers, motorcycle riders, passengers, pedestrians and cyclists.
Who else uses this insurance model?
B.C. isn’t the only province in Canada that uses this insurance model – it’s also used in Saskatchewan and Manitoba, and Alberta is adopting a similar model in 2027. Other places around the world with similar models include New Zealand and some American and Australian states.
What’s different about Enhanced Care?
Enhanced Care was brought in to make auto insurance more affordable and to help everyone living in B.C. recover if they’re injured in a crash.
A care-based model
Enhanced Care is collaborative, unlike the old legal-based, adversarial insurance model. The focus is on supporting people injured in crashes by ensuring they have access to all the benefits they need to recover.
Under the old legal-based model, a seriously or catastrophically injured person could receive a maximum care and recovery benefit of $300,000 to pay for all their care for life. If they were found not at fault for a crash, they could pursue further compensation, but a one-time court award or settlement could take years. The compensation amount often depended on the at-fault driver's level of insurance and was subject to legal fees of up to 33%.
Improved care and recovery benefits
With Enhanced Care, an injured person can access the medical and rehabilitation benefits to support their recovery as soon as they file their claim. For the most seriously injured customers, these benefits may be ongoing for life.
Cost savings for customers
Because Enhanced Care costs less than the old legal-based system, we can keep insurance rates stable and affordable. Most customers who renewed their full coverage (Basic and optional) personal auto insurance saved, on average, $490 in their first year compared to premiums in the old system.
The Basic rate was decreased by 15 percent in 2021 and it's held steady since then with no increases. The Basic rate will stay the same until March 31, 2026, making it six years in a row with no increases.
Does “no-fault insurance” mean no accountability?
While care is available to every B.C. resident, fault still matters, and accountability is a key aspect of Enhanced Care.
Though sometimes called a "no-fault" model, ICBC still determines crash responsibility and drivers responsible for crashes are held accountable through higher premiums, fines or other penalties. Under Enhanced Care, fault doesn’t impact the care you receive if you’re injured.
Can I still sue?
One of the biggest changes with Enhanced Care is that it’s no longer possible to sue for compensation, except in limited circumstances. People injured in crashes can access benefits that support their recovery without facing lengthy and costly legal processes.
Now and then: How is Enhanced Care different from the old system?
Here are the main differences between Enhanced Care and the old legal-based system.
Enhanced Care | Legal-based system |
|---|---|
Care and recovery benefits are available for every British Columbia resident injured in a crash, without having to take legal action and without a doctor's referral. | Compensation was paid through a one-time settlement or through an often-lengthy legal process. Settlements depended on the level of insurance the other driver purchased. |
Pre-approved care and recovery benefits can be accessed right away. | Legal processes could take years to resolve and up to 33% of settlements or court awards went to lawyer fees. |
Every B.C. resident is eligible for benefits, regardless of fault. No lawsuits except in rare circumstances. | Drivers could sue for compensation only if they weren’t responsible for the crash. Drivers responsible for crashes were not eligible for additional compensation. |
Those who are catastrophically injured can access care for as long as medically needed. | The maximum lifetime payout for serious or catastrophic injuries was up to $300,000 (unless legal action was taken). |
What if I’m not happy with my claim?
If you don't agree with an assessment or decision we've made about your claim, you have options for disputing it, including speaking with your ICBC claims representative or a manager, raising your concerns with the Fair Practices Office, or going to the Civil Resolution Tribunal (CRT).
