Windshield repairs covered by ICBC are a major portion of glass shops’ business. (Wikimedia Commons)

Windshield shops hit by new ICBC regulations

ICBC rejects claim glass rates haven’t changed in 20 years

An “arbitrary” 14 per cent increase in ICBC’s discount on windshield replacements is pushing auto repair businesses to lay off staff or in some cases even close down, an industry association says.

Automotive Retailers Association president Ken McCormack said Wednesday he has taken the issue up directly with Premier John Horgan and Attorney General David Eby, who have moved aggressively to reduce accident claim costs at ICBC. The association is also lobbying individual MLAs to change legislation.

In addition to raising basic insurance rates by 6.4 per cent, the B.C. government has moved to cap soft tissue injury payouts and targeted body shop costs that ICBC says have risen 30 per cent in the past two years alone.

RELATED: ICBC called financial ‘dumpster fire’

RELATED: ICBC to cap pain and suffering awards

The association says glass shops aren’t the problem, since they haven’t had a significant increase in their windshield replacement rate for 20 years. It estimates that ICBC business accounts for 60 to 70 per cent of glass shops’ business, and glass repairs account for only 8.5 per cent of ICBC’s vehicle repair costs.

ICBC issued a statement calling the suggestion of a 20-year freeze on rates “completely false. ICBC’s last labour rate increase for its top tier glass suppliers (Glass Express) occurred on Jan. 1, 2016.”

Another cost-saving change is the requirement to use the cheapest windshields available. McCormack says that often means ordering from a dealership, with a delay of days, rather than using aftermarket windshields that are in stock.

ICBC cites a steep increase in accident claims, along with soaring legal costs as people hire lawyers to pursue injury payouts. The rise in accidents has been significant in the past two years, after a period of little increase as vehicles and roads become safer with construction and new technology.

The Attorney General’s ministry issued a statement in response, calling the changes to glass pricing “long overdue” ways to reduce its costs. The changes also include increasing the allowances for wheel alignment and alloy wheel repair, and paying for windshield glass moulding only when it is actually replaced.

ICBC says payments for glass repair and replacements have increased by 140 per cent over the last decade, from $40 million in 2008 to $96 million in 2017, as both the number of claims and their average cost have increased.

McCormack said the moulding replacement policy was imposed on repair shops by ICBC to save administration costs.

“They are suggesting the industry is doing something wrong by charging for new mouldings whether or not they are installed,” McCormack said. “But this is something ICBC put in place a decade ago because it wouldn’t or couldn’t discuss rate increases.”

Just Posted

A handy guide to the local municipal election

How and where to vote locally, plus links to candidate profiles

Editorial: Actions speak louder than (Facebook) words

When Facebook first made its mainstream debut on the web, it was… Continue reading

VIDEO: This is what buying legal pot in B.C. looks like

Take a look inside B.C.’s first and only legal pot shop located in Kamloops

Column: 2018 could be a record year for Douglas fir seed production

Columnist Jim Hilton tries his hand a fir-cone picking

USW strike action concludes after one day in Williams Lake

Union vice-president says talks resume in Kelowna Wednesday

Singer k.d. lang receives Alberta’s highest honour

Celebrated singer-songwriter k.d. lang received the Alberta Order of Excellence in Edmonton

Colourfully named cannabis products appeal to youth, Tory health critic says

Conservative health critic Marilyn Gladu says the Liberal government needs to do more to ensure cannabis products available online are not enticing to young people

Trial set for man charged with decades-old murder of Monica Jack

Garry Handlen accused of killing Merritt girl; also charged with Abbotsford murder

Bernardo-like sexual deviancy poorly understood, expert says

What exactly causes such deviance is not known but some evidence exists of physical brain damage to the front part of the brain

B.C. high school teacher faces sexual assault charges

A Mt. Boucherie teacher has been charged with child luring, sexual exploitation and sexual assault.

Fashion Fridays: You can never have enough shoes

Kim XO, lets you know the best online shopping tips during Fashion Fridays on the Black Press Media Network

Former B.C. cop sentenced to jail ‘in the community’ after caught in Creep Catchers sting

Dario Devic pleaded guilty after getting caught up in Surrey Creep Catcher sting in Whalley in 2016

5 races to watch in B.C.’s municipal elections this Saturday

This year’s election results across more than 160 cities in B.C. will start pouring in after polls close Saturday at 8 p.m.

Annual pace of inflation slows to 2.2 per cent in September: Statistics Canada

Statistics Canada said Friday the consumer price index in September was up 2.2 per cent from a year ago compared with a year-over-year increase of 2.8 per cent in August

Most Read