Policy on accelerated depreciation

Accelerated depreciation may apply under certain circumstances when a customer or a third party raises concerns that their vehicle value may have decreased due to a crash.

Policy

The date of loss (DOL) determines whether accelerated depreciation can be claimed. Claims with a DOL
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  • Accelerated depreciation may apply to crashes that occur within a jurisdiction outside of B.C. that permits tort claims.

    Estimators must refer customers to a claims representative when a customer questions why accelerated depreciation does not apply, as this is a coverage question.

    ICBC is
    • only involved when the non-responsible out of province motorist makes an accelerated depreciation claim against the customer's Third Party Liability (TPL) coverage.
    • not involved in the accelerated depreciation portion of a claim when ICBC's customer is making a claim against an out of province responsible motorist.

  • Accelerated depreciation may apply to losses that occur within or outside of B.C.

ICBC claims representatives must
  • identify and control all accelerated depreciation demands, and
  • immediately notify the Centralized Accelerated Depreciation Team when a customer indicates a concern that their vehicle value may have decreased due to a crash.

Centralized Accelerated Depreciation team's review

The Centralized Accelerated Depreciation team reviews an accelerated depreciation inquiry when
  • the vehicle is within five (5) model years or newer at the DOL
  • current repaired damages exceed $2000, and
  • there are no previous claims that amount to over $2,000 (cumulative), where the customer is not responsible.

Claims not considered

ICBC does not consider accelerated depreciation claims for
  • third party insurers
  • Own Damage claims, such as
    • Comprehensive
    • Collision
    • Hit and Run, or
    • split (50/50) responsibility
  • garage policies, or
  • leased vehicles.
Parent topic: Categories of accelerated depreciation