The tragic stories making headlines in British Columbia are putting a spotlight on the province’s no-fault automobile insurance system, known as Enhanced Care, and raising questions for ICBC policyholders.
Recent news reports, including the cases of car accident victims such as Annie Kong, a West Vancouver woman killed when a car crashed into a family gathering, and that of Reagan Kucher-Lang, a cyclist with post-concussion syndrome fighting for wage loss compensation, have highlighted how no-fault insurance affects those seeking accountability and compensation after serious accidents.
As a policyholder, you may be wondering: what does all this mean for me? We unpack how Enhanced Care works, why it’s facing criticism, and what you should know to navigate the system if you’re ever involved in a crash.
What B.C.’s No-Fault Auto Insurance System Means for Insurance Rates and Medical Costs
Introduced in May 2021, Enhanced Care changed how auto insurance works in B.C. The no-fault system means that anyone injured in a motor vehicle accident, whether driver, passenger, cyclist, or pedestrian, can access medical and wage-replacement benefits regardless of who caused the accident.
The no fault law was intended to reduce legal costs, lower insurance premiums, and make support available sooner. ICBC reports that the change, alongside the Enhanced Accident Benefits Regulation, has led to a 20 percent reduction in insurance rates, with the average B.C. driver saving about $490 in the first year. The system also streamlines claims for vehicle damage, helping drivers get back on the road faster. Rates are now frozen until at least March 2026.
While no fault insurance promises faster access to care, it also limits the right to sue for additional compensation. Lawsuits against an at-fault driver are only permitted in rare cases, such as when the driver is convicted of a criminal offense related to the crash.
Why Car Accident Victims and Families Are Frustrated With No-Fault Insurance and Income Replacement
The human side of no-fault insurance is playing out in emotional and high-profile cases like that of the Kong family. Annie Kong, a homemaker and grandmother, was killed in 2022 when a driver crashed into a wedding party. Her family says they received minimal compensation from ICBC, calculated based on a standardized formula that largely discounted Annie’s role as a homemaker and the impact on injured parties.
For the Kucher-Lang case, the challenge is similar but on the disability side. After being denied compensation for lost income and permanent injury, Kucher-Lang has been forced to represent himself in B.C. Supreme Court, citing legal costs as unaffordable. Legal experts note that no fault insurance may cover medical bills and wage replacement, but disputes often arise when assessing long-term impacts on injured parties.
Legal experts point out that while Enhanced Care was designed to reduce adversarial court battles, it has created new barriers. Many claimants navigate the Civil Resolution Tribunal (CRT) without legal help, facing strict rules for evidence and procedure. For those appealing CRT decisions to the Supreme Court, the complexity rises even higher, with limited odds of success.
How Does Enhanced Care Affect ICBC Policyholders?
For most drivers, Enhanced Care delivers on its main promises: lower insurance premiums, simpler claims process for medical care, and wage replacement after crashes. But these recent stories show that when things become complicated, for example, when injuries have delayed diagnoses or when the accident results in death, claimants and families may struggle with the limits of the no-fault system.
Here are four key points every driver should understand:
1. Compensation Limits Are Set by Formula
ICBC uses set calculations to determine compensation, especially for non-income earners like retirees, students, or homemakers. Families may feel that emotional loss or non-financial contributions are undervalued under the no fault insurance rules.
2. Legal Options Are Narrow
You can challenge ICBC decisions internally or through the CRT, but you generally cannot sue the at-fault driver unless there’s a criminal conviction — not just a driving offense under the Motor Vehicle Act. This is one of the most criticized aspects of the no fault insurance system, as it limits avenues for recourse under current no fault law.
3. Documentation Is Critical
Many claimants lose disputes due to missing receipts, incomplete medical records, or lack of employment documentation. It’s essential to keep detailed records after an accident, especially under a no fault insurance model where proof is everything. While the system reduces litigation, ICBC still relies on fault determination rules internally to assess eligibility for some benefits, including collision coverage and vehicle damage claims.
4. The System May Evolve
With rising public and political attention, there may be future changes. The B.C. Conservative Party, for example, is proposing exemptions to allow lawsuits for life-altering injuries. Meanwhile, the NDP government points to the financial turnaround at ICBC and continued rebates as proof that the no-fault insurance system is working. Debate continues across the insurance industry about whether B.C.’s no fault law strikes the right balance.
What Should You Do After a Car Accident in British Columbia?
If you’re injured in a motor vehicle accident, here’s a practical roadmap:
- File your claim promptly with ICBC or your own insurance provider if applicable.
- Track all medical treatments, receipts, and work absences related to your injury.
- Document vehicle damage thoroughly with photos and estimates.
- If you disagree with ICBC’s assessment, speak first with your claims adjuster or their manager.
- If unresolved, you can escalate to ICBC’s Fair Practices Office or the Civil Resolution Tribunal.
- Understand that pursuing a judicial review in court is a highly technical process, and likely requires legal advice.
Looking Ahead
Enhanced Care has brought clear cost savings and simplified access for many B.C. drivers, but it has also left some claimants feeling unheard or undercompensated, especially in severe cases.
For policyholders, the best preparation is awareness: know what your no fault insurance covers, understand the dispute resolution options, and recognize the importance of documentation.
At King Insurance, we’re here to help you navigate the insurance company landscape and stay informed. When life’s unexpected moments happen, understanding your no fault insurance coverage matters.
Located at the northwest corner of Marine Drive and Main Street, King Insurance is a British Columbia insurance company that proudly serves not only the South Vancouver communities of Marpole, Sunset, Oakridge, Victoria–Fraserview, and nearby areas like Marine Gateway and Marine Landing, but also clients across Richmond and the entire Lower Mainland.
Ka Hing Cheung is proud to work in the insurance company industry in British Columbia, helping people manage risk and protect what matters most. Ka Hing is committed to ongoing learning and enjoys helping clients find the right no fault insurance coverage at the best available rate, while making sure they understand their options clearly. At King Insurance, we believe an insurance company should not only offer policies but also serve as a trusted advisor. Our insurance company team is dedicated to making sure you’re fully informed about how no-fault insurance and no fault law affects you.