(File)

Trial lawyers’ group challenges ICBC over injury payouts, disputes resolution

Trial Lawyers Association of BC plans to launch a constitutional challenge

A legal battle is shaping up in B.C. with the trial lawyers association promising to fight a move by the government-run auto insurer to overhaul claims payments and how it resolves disputes.

Effective immediately, ICBC has set a $5,500 cap on pain and suffering payments for minor injuries, which the Crown corporation describes as payments “recognizing the inconvenience and emotional distress of being in a crash.”

READ MORE: Would-be drivers caught cheating on ICBC licence test

The corporation is also sending all disagreements about how minor injuries are determined, or disputes about any injury claim below $50,000 to a civil resolution tribunal.

On its website, the corporation says the tribunal can be used without the need for legal representation, but the Trial Lawyers Association of British Columbia has warned the government that it intends to launch a constitutional challenge.

The association says the revisions have the potential to unfairly cut compensation for crash victims.

Association president Ron Nairne says in a statement that the new process could also restrict access to the courts, denying claimants of a basic human right guaranteed by the Charter of Rights.

“The approach this government has taken to legislative and regulatory changes to address ICBC’s mismanagement problems violates the rights of British Columbians. This should be about protecting the public interest – not about protecting ICBC,” Nairne says.

Attorney General David Eby said Friday that word of the constitutional challenge was not unexpected.

“They believe that you can only resolve disputes appropriately through B.C. Supreme Court. We don’t, obviously, agree with their interpretation of the law,” he said.

Changes to insurance corporation payments and procedures were announced last year, shortly after Eby referred to the insurer as a “financial dumpster fire.”

The latest fiscal year ended March 31 and the corporation announced in February that its projected deficit was $1.18 billion, on top of the $1.3 billion loss posted over the 2017/18 fiscal year.

With the April 1 cap on pain and suffering payouts for minor injury claims, B.C. becomes the final province in Canada to limit the payments.

The corporation has said the change is expected to save it more than $1 billion annually.

(News1130, The Canadian Press)

The Canadian Press

Like us on Facebook and follow us on Twitter

Just Posted

Police call Appledale death a homicide

But few other details being released

Kayakers capsize in front of Chahko Mika Mall

Nelson Police Department says members of the public helped two kayakers

Nelson rejects plastic bag ban, opts for education and awareness

Council will collaborate with Chamber of Commerce

Matti Erickson to compete for Team B.C.

Erickson will race at nationals next month in Sydney, N.S.

Nelson U-Haul shutting down

Kootenay Glass and Mirror will no longer provide the service as of July 12

‘Bad choices make good stories’: Margaret Trudeau brings her show to Just for Laughs

Trudeau says over the decades she has been suicidal, manic, depressed

UPDATE: Youth seen with gun at Nanaimo mall, suspect now in custody

Woodgrove Centre shut down during police incident

B.C. man dies from rabies after contact with Vancouver Island bat

Last known case of human rabies in B.C. was 16 years ago

Crown recommends up to two-year jail term for former Bountiful leader

Crown says sentence range should be 18 months to two years for Bountiful child removal case

B.C.-wide police efforts identify Vancouver Island robbery suspect

Warrant issued for arrest of North Vancouver man for TD Bank robbery

VIDEO: Wolf spotted swimming ashore on northern Vancouver Island

Island wolf population estimated at under 150 in 2008, says VI-Wilds

Diversity a Canadian strength, Trudeau says of Trump tweets at congresswomen

Trudeau avoided using Trump’s name when he was asked about the president’s Twitter comments

B.C. couple bring son home from Nigeria after long adoption delay

Kim and Clark Moran of Abbotsford spent almost a year waiting to finalize adoption of Ayo, 3

Garneau ‘disappointed’ in airlines’ move against new passenger bill of rights

New rules codified compensation for lost luggage, overbooked flights

Most Read