Drive less than 10,000 km a year? You might be eligible for a new ICBC discount

British Columbia’s auto insurer has heard its customers and is introducing a new tier in its distance-based discount offerings.

The Insurance Corporation of British Columbia (ICBC) says as of June 1, a new discount is available for folks who drive less than 10,000 kilometres per year.

Drivers in the province who have a policy effective from Thursday onwards may now be eligible for a 10 per cent to 15 per cent discount on “optional coverage” when renewing their plans later this year.

“The amount of discount will be greater, the less distance you drive,” the Crown corporation said.

 

Related Article: ICBC names new president and CEO

 

Along with driving less than 10,000 km, to be eligible for the discount you must also provide two readings of your vehicle’s odometer, two years apart; have a 12-month Autoplan policy with ICBC optional coverage; and have an eligible vehicle. Motorcycles, RVs, collector vehicles, and certain other vehicles are exempt.

“According to a recent survey conducted on behalf of ICBC, more than half of British Columbians (56%) say they are interested in usage-based insurance in B.C., with cost savings being the top motivating factor,” the insurer explained.

The announcement comes as ICBC first introduced a distance-based discount in 2019, where vehicles driven less than 5,000 kilometres a year were eligible for a 10 per cent reduction in their annual insurance cost.

“Today, more than 50% of eligible ICBC policyholders provide their odometer reading online or through their broker. As we look to expand our usage-based insurance options and programs, we encourage drivers to submit their odometer readings the next time they renew or purchase a new ICBC policy.”