June 24, 2024
In January, ICBC announced proposed changes by the Province of British Columbia to streamline licence and insurance transactions for leased vehicles. This May, several Orders-in-Council were passed to implement these changes for insurance policies effective on or after January 6, 2025. Additionally, minor amendments to the Insurance (Vehicle) Act and related regulations took effect immediately.
For detailed information, refer to:
- Bill 28, 2023
- Order in Council 272/2024
- Order in Council 273/2024
- Order in Council 274/2024
- Order in Council 275/2024
Currently, in BC, lessees often handle and pay for the vehicle licence and insurance for leased vehicles, but require written authorization from the lessor to conduct these transactions. This system prevents lessees from using ICBC’s online insurance services and limits their choice of insurance brokers.
The upcoming changes will allow lessees to purchase, modify, and renew the vehicle licence and insurance for their leased vehicles through any of ICBC's brokers or online services. Under the new system, lessees will be the vehicle licensee and the insurance policyholder, which simplifies the process, enables use of online services, and removes broker limitations. Lessees will also have a more straightforward process for receiving policy refunds and rebates. Meanwhile, lessors will remain the registered owners of leased vehicles, retaining control over vehicle sales or transfers.
ICBC will host informational webinars this summer to provide an overview of the changes, key dates, and support for stakeholders. To register for the stakeholder webinar on Thursday, August 1, 2024, from 10:00-11:30 AM PST, visit ICBC's website here.
