icbc breach

icbc breach


“ICBC says I gave a false statement.  Can they breach my insurance?”

One way in which ICBC can treat you as being in “breach” of your auto insurance is if they think you provided a false statement.  For example, if you get into an accident but misrepresent the truth of what happened to ICBC, they may have grounds to deny you insurance coverage respecting any damages (to persons or property) that you have caused with your vehicle.

ICBC Insurance Breach: False Statements

There are certain principles governing the definition of a false statement.  ICBC must prove that what you said was a “wilful false statement.”  They must prove that the statement was done intentionally, knowingly, and purposely, without justifiable excuse.  They must also prove that the statement was material to the management or payment of the claim by being capable of affecting the mind of the insurer, either in the management of the claim or in deciding to pay it.  The involvement of alcohol, for example, will likely be material to ICBC and affect the handling of a claim.

Not everything will constitute a false statement, however. A statement made carelessly, thoughtlessly, or inadvertently is not necessarily false. The same goes for if the insured who provided the statement had an honest belief in the truth of the statement’s contents.

Keep in mind that if you are involved in an accident, section 73 of the Insurance (Vehicle) Act Regulations requires the insured to provide prompt written notice of the circumstances of the accident. If you want advice on how to report an accident, contact Filkow Law today.

Clients benefit from Filkow Law’s deep and broad knowledge and expertise of criminal lawdriving law and the criminal justice and court system. Filkow Law is known for its skilled advocacy, its highly accessible culture, its signature strategic approach to every case, and the exceptional results achieved.

The lawyers at the firm have excellent reputations with the police, prosecutors and the courts across British Columbia. In addition to their courtroom skills, the lawyers at Filkow Law advocate for and achieve decisive victories away from the public eye, often before the criminal or driving case ever sees a day in court.

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The lawyers at Filkow Law have acted for thousands of drivers in British Columbia. We are experienced in drinking and driving, driving while prohibited, hit and runs, and all types of Criminal Code and Motor Vehicle Act cases. Many of our clients are involved in accidents where injuries occur to both parties, and ICBC becomes involved. Besides the consequences of the criminal or driving court matter itself, ICBC is a very big issue. ICBC will say the driver had no insurance because he was drinking and driving, or left the scene, for example. As a result, we have become very experienced and successful in handling insurance (ICBC) breach cases.

If ICBC suspects a breach of your insurance policy at the time of an accident, they will deny your coverage. ICBC can reject coverage for several reasons. For example, for drinking and driving or making a misleading statement to an adjuster. Such leaves you liable for the damage and injuries to both yourself and others due to the accident. A breached ICBC policy is costly, both financially and emotionally. It can put you and your family in an incredibly stressful situation. The burden, however, is on ICBC to prove that you breached your insurance policy. Even if they successfully prove the breach, they still have to collect the settlement from you. You should not accept your breach of ICBC coverage or enter into a payment plan without talking to a lawyer.

ICBC Must Provide Proof

Why is it difficult for ICBC to prove you were in breach of your policy? Take, for example, a situation where you are suspected of drinking and driving and causing an accident. You may be charged criminally at the scene for impaired driving, or you may fail a breathalyzer at the scene and receive an immediate roadside suspension. In either of these scenarios, it is almost certain ICBC will say you are in breach. Even if you successfully fight the charge or dispute the prohibition, ICBC will likely breach you by relying on the officer’s evidence from the scene.

Important Legal Precedent

The burden, however, is on ICBC to prove your breach is higher than a simple suspicion that you were drinking. ICBC must show that more likely than not, you were incapable of properly controlling your vehicle, which caused the accident. The law is well established and goes back to the 1960s, wherein Union Insurance Society of Canton Limited v. Andre Arsenault, 1961 CanLII 83 (SCC), the Supreme Court of Canada stated:

In my view, there is a wide difference between being likely to drive improperly and being incapable of driving properly. Every driver who is under the influence of liquor to the point of being incapable of proper control is certainly impaired, but in my opinion, it does not follow that every impaired driver is necessarily incapable of proper control.

This quote is an important reference in a 1980 case called Kim v. Insurance Corp. of British Columbia (1980), 21 BCLR 18 (SC), which added:

In terms of the clear distinction drawn by those words, it would be necessary for the defendant to prove that the plaintiff’s state went beyond impairment to a point where he was incapable of driving properly. It necessarily follows that the state of incapacity cannot be established by the mere proof that the breathalyzer reading exceeded .08. 

A failed breathalyzer test is simply not enough evidence for ICBC to prove that you were incapable of driving when the accident occurred. There must be other evidence of intoxication, such as witnesses at the scene or an expert stating in court that your blood/alcohol level at the time of the accident would have left you incapable. 

Contact Filkow Law For Legal Assistance

An ICBC insurance breach is serious. It can leave you owing ICBC hundreds of thousands of dollars and without a license until you pay. Even with an established breach, there are many strategic and effective legal avenues to take advantage of. If ICBC has told you they are considering breaching your policy, you should consult a lawyer immediately to discuss your options.

The lawyers at Filkow Law have decades of experience assisting drivers with criminal charges, roadside prohibitions and the ICBC breaches that can result. For legal assistance, call us today.

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