How to Get Car Insurance in BC: A Guide for Newcomers

Understanding ICBC and Autoplan

Unlike most provinces in Canada, British Columbia has a public auto insurance system. The Insurance Corporation of British Columbia (ICBC) is a Crown corporation that provides basic auto insurance to all vehicle owners in the province. This means that every vehicle registered in BC must have basic Autoplan insurance purchased through ICBC. You cannot choose a different provider for basic coverage.

Autoplan is the name for ICBC's insurance program. It is sold through a network of Autoplan brokers located throughout British Columbia. When you purchase or register a vehicle, you will visit an Autoplan broker (not an ICBC office directly) to set up your insurance. These brokers can also sell you optional coverage from ICBC or from private insurance companies to supplement your basic coverage.

Basic Autoplan Coverage: What Is Included

Basic Autoplan insurance provides several types of coverage that are mandatory for all drivers in BC. Understanding what is included will help you make informed decisions about whether you need additional protection.

Third-party liability coverage is included at a minimum of $200,000, which covers you if you are responsible for an accident that injures someone or damages their property. However, most insurance professionals recommend increasing this amount to at least $2 million or more, which can be done through optional coverage. Accident benefits provide medical and rehabilitation coverage for you and your passengers if you are injured in a crash. Inverse liability coverage protects you if you are in an accident with a driver from outside BC. Hit-and-run and uninsured motorist protection covers you if you are hit by a driver who cannot be identified or does not have insurance.

What Basic Autoplan Does Not Cover

Basic Autoplan does not cover damage to your own vehicle. If you are in an at-fault accident or your car is stolen, vandalized, or damaged by weather, you will need optional coverage to pay for repairs or replacement. Basic coverage also does not include roadside assistance, rental car coverage, or travel coverage for driving outside of Canada. These are all available through optional insurance.

Optional Coverage: Protecting Yourself Further

Optional coverage can be purchased through ICBC or through private insurance companies. The main types of optional coverage include:

• Collision coverage: Pays for damage to your vehicle if you are at fault in an accident.
• Comprehensive coverage: Covers damage from theft, vandalism, fire, weather, and hitting an animal.
• Extended third-party liability: Increases your liability coverage beyond the basic $200,000 minimum.
• Specified perils: Covers specific risks like fire, theft, and hail at a lower cost than comprehensive.
• Roadside assistance: Provides towing, lockout service, and flat tire assistance.

When deciding on optional coverage, consider the value of your vehicle, your financial situation, and your risk tolerance. For a newer or more expensive vehicle, collision and comprehensive coverage are generally recommended. For an older vehicle with low value, you may decide to skip these coverages and save on premiums. An Autoplan broker can help you evaluate your options. The ICBC website provides detailed information about coverage options and pricing.

Insurance Rates for New Drivers and Newcomers

If you are new to driving in British Columbia, your insurance rates will likely be higher than those of experienced BC drivers. ICBC uses a system called the Claims-Rated Scale (CRS) to determine your premium. Drivers with a long claim-free history in BC receive a discount, while new drivers and those with recent claims pay more.

As a newcomer, you typically start without a BC driving record, which means you will be placed at a starting point on the scale without any discount. This can make your first few years of insurance relatively expensive. However, ICBC may recognize driving experience from your home country in some cases. Bring documentation of your driving history, including a driver's abstract or letter from your previous insurance company, when you visit an Autoplan broker. This documentation should show your years of driving experience and claims history.

How to Reduce Your Insurance Premiums

There are several strategies newcomers can use to reduce their car insurance costs in British Columbia:

Build a claims-free record. The most effective way to reduce your premiums is to drive safely and avoid making claims. Each year without a claim moves you further down the CRS scale, earning you a larger discount. After several years of claim-free driving, your discount can be significant.

Take a driver training course. ICBC-approved driver training courses may help you qualify for lower rates, particularly if you are a new driver. The ICBC new drivers page has information about approved courses.

Compare optional coverage providers. While basic insurance must be purchased through ICBC, you can shop around for optional coverage from private insurers. Get quotes from multiple providers to find the best rate.

Choose a higher deductible. A higher deductible (the amount you pay out of pocket before insurance kicks in) results in lower premiums. Make sure you can afford the deductible amount if you need to make a claim.

Use your vehicle wisely. If you drive fewer kilometres, use your vehicle only for pleasure (not commuting), or have anti-theft devices installed, you may qualify for lower rates.

The Claims Process: What to Do After an Accident

If you are involved in a motor vehicle accident in BC, there are specific steps you should follow. First, ensure everyone is safe and call 911 if anyone is injured. If the accident is minor and there are no injuries, move your vehicles to a safe location. Exchange information with the other driver, including names, contact information, driver's licence numbers, and insurance details. Take photographs of the damage, the accident scene, and any relevant road conditions.

You must report the accident to ICBC. You can start a claim by calling ICBC at 1-800-910-4222 or by visiting a claim centre. You should report the accident as soon as possible, even if you are not sure you will make a claim. ICBC will guide you through the process, including arranging vehicle repairs and medical treatment if needed.

Enhanced Care Coverage

In 2021, BC transitioned to an Enhanced Care insurance model. Under this system, if you are injured in a car accident, you receive care and recovery benefits regardless of who was at fault. This includes medical treatments, wage loss benefits, and rehabilitation services. The Enhanced Care model was designed to provide better support to injured people and reduce legal costs. You can learn more about Enhanced Care on the ICBC Enhanced Care page.

Getting Your BC Driver's Licence

Before you can insure a vehicle in BC, you need a valid BC driver's licence. If you have a licence from another country, you may be able to exchange it for a BC licence without taking all the tests. The process depends on which country issued your licence. The ICBC moving to BC page explains the requirements for different countries. You generally have 90 days after becoming a resident of BC to obtain a BC driver's licence.

If your country does not have a licence exchange agreement with BC, you will need to go through the graduated licensing program, which starts with a Learner's licence (L) and progresses to a Novice licence (N) and then a full licence (Class 5). This process takes a minimum of three years but can be shortened with approved driver education courses.

Key Resources for Newcomer Drivers in BC

Navigating car insurance in a new province can feel complex, but there are resources to help you:

• ICBC: icbc.com | 1-800-910-4222
• Autoplan Brokers: Find a broker near you at icbc.com
• ICBC Driver Licensing: 1-800-950-1498
• 2-1-1: Dial 2-1-1 for social service referrals

WelcomeAide is here to support your settlement journey in British Columbia. Our AI Newcomer Navigator can answer your insurance and driving questions. Explore our blog for more guides on topics like tenant rights in BC and healthcare for newcomers. Learn about our mission or get involved in supporting newcomer communities.