ICBC Projects $605 Million in Net Income For Upcoming Years
Included in the BC Government’s Budget released today was ICBC’s Service Plan for 2012-2014. At the conclusion of this document ICBC released their income forecast for 2012-2014. ICBC projects a total of $605 Million Net Income over the next three years:
This is so despite ICBC’s “transfer of excess Optional capital to the government” and the fact that “investment income is forecast to be lower than historical results“.
Projections like this are a good reminder for the rest of Canada that a full tort system can operate, profitably at that, and consumers should not be scared into being stripped of their right to sue when harmed through the carelessness of others due to a perceived “insurance crisis” or other tort reform rhetoric.
In fact, the BC system is so profitable for ICBC that not only has the Government raided ICBC’s coffers for hundreds of millions of dollars in recent years, the Governments current budget specifically looks to the Insurer for contribution to general revenue with plans on taking $146 Million from ICBC in 2012.