Driving experience and crash history

The Driver category is broken down into two factors: how long you’ve been driving (experience) and how many crashes you’ve caused (crash history). Right now, these factors affect your premiums, but only in a limited way. Going forward, these two factors will have a greater impact on your premiums than they do today.


Listing all drivers

You will need to list all drivers of your vehicle to more accurately reflect the risk involved.

  • The majority of your premium (75%) will be based on the principal driver, with the remaining 25% reflecting the other driver with the highest risk. This risk is determined by the number of at-fault crashes and experience a driver has.
  • You will be able to purchase unlisted driver protection if you want to lend your vehicle occasionally to someone who is not listed on your policy. Find out more about the unlisted driver protection

Crashes

At-fault crashes will follow the driver, not the vehicle owner.

  • For example, if your neighbour borrows your vehicle and causes a crash, the claim will be attached to their driving record, not yours. It’s the driver who will be accountable, not the owner.

We will look at a customer's at-fault crashes over the past 10 years. This is known as the "scan period."

  • To minimize impacts upon implementation, we will only look back to March 1, 2017 of at-fault claims history. Claims older than March 1, 2017 will not be used in the new premium calculation. Each year thereafter, we will extend the scan period by one year, until 2027 when the full 10-year scan period will be in place.

To hold drivers more accountable for their driving decisions and behaviours, at-fault crashes will have a greater impact than they do today.

Repaying a claim

We’re updating the rules around repaying a claim. Starting September 1, 2019, claim repayment will only apply to crashes where the total cost of the claim is less than $2,000. Currently, there are no limits on the ability to repay a claim and that allows some drivers to mask the true risk they represent.

Crash forgiveness
We know that crashes do happen so we are going to provide “one-crash forgiveness”. This means we won’t increase the premiums of a driver who has one at-fault claim after 20 years of driving experience, providing they haven’t caused any other crashes in the last 10 years.

Experience

Drivers with more years of driving experience and no at-fault crashes will see greater discounts compared to today.

Driving experience recognized for longer

We will recognize up to 40 years of driving experience whereas today, customers stop receiving Basic insurance discounts after nine years.

New B.C. residents’ credit increased

We will increase the maximum credit available to new residents to 15 years, up from the current eight.

  • To acknowledge the challenges of obtaining previous insurance documentation which is a requirement today, new residents will no longer be required to provide this. They will only need to provide proof of how long they’ve had a driver’s licence.
  • However, new residents represent a higher risk during the first three years of driving in B.C. As a result, while new residents would receive up to 15 years of credit, their insurance premiums will reflect the additional risk they pose during their first three years driving in B.C.

Changes to inexperienced drivers’ discount

Under the current model, inexperienced drivers pay less than the risk they represent – their Basic insurance premiums are significantly discounted. We will continue to offer inexperienced drivers discounted premiums, however, these discounts will be reduced to better reflect the actual risk inexperienced drivers represent.

Another change is how we’ll treat these drivers when they consistently demonstrate risky behaviour. We will reduce that discount after their first at-fault crash and eliminate it after the second time they cause a crash within the scan period.