Bad drivers will pay more for optional insurance under ICBC’s new rate model.
This fall, impaired driving, excessive speeding and distracted driving will result in higher premiums after the first conviction, the corporation announced Thursday.
Minor offences such as failing to stop, failing to yield, speeding and not wearing a seat belt will result in premium increases after two convictions.
The hike will begin Sept. 1, but will affect any of the eligible infractions after June 10. ICBC has yet to announce by exactly how much.
The corporation estimates that 75 per cent of drivers will see a drop in their premiums as a result.
Roughly 10 per cent of ICBC customers have two or more minor driving convictions, or a serious driving offence, in the past three years. However, they pay the same for optional coverage as drivers who have no convictions.
Basic insurance will also switch to a driver-based model in September, which means that crashes follow the driver instead of the vehicle.
These changes are part of the NDP government’s overhaul of the Crown corporation, which lost $1.18 billion in the last fiscal year.