VANCOUVER, BC , June 23, 2020 /CNW/ - Today, the Government of British Columbia (BC) introduced legislation that would bring about significant reforms to how stratas in the province are managed. Insurance Bureau of Canada (IBC) congratulates the government and believes the measures introduced today are an important first step to help improve the insurance market for strata corporations in BC.
If passed, Bill 14, Municipal Affairs and Housing Statutes Amendment Act (No.2) would allow for the creation of clear guidelines for strata corporations and unit owners of what they are responsible to insure, strengthen requirements around strata corporation reserve funds and depreciation reports, and cap the maximum amount that can be assessed towards a single unit owner. It would also allow the government to strengthen requirements for insurers and brokers to inform strata corporations of changes to their insurance coverage and costs.
"IBC applauds government for introducing these reforms, many of which mirror recommendations IBC and others have provided to help improve the risks facing strata corporations in BC," said Aaron Sutherland , Vice-President, Pacific, IBC. "This is an important first step to bring stronger governance to BC's strata corporations, increased transparency in the market, and to introduce best practices from other jurisdictions in Canada ."
The cost of strata insurance is too high in BC, and IBC has been working with the government and other stakeholders to find solutions to improve this situation over the long term. Earlier this year, IBC launched a National Commercial Insurance Task Force that brings together insurers, governments and other stakeholders to develop recommendations to help keep commercial insurance affordable and available across the country. Actions taken to date include:
- Engaging a risk manager to assist strata/condominium corporations to improve their insurability
- Providing education and information on insurance and the importance of risk management and loss prevention strategies for stratas/condominium corporations
- Providing government with best practices used in other jurisdictions
- Engaging insurers, stakeholders and governments to assist strata/condominium corporations facing insurance issues in the marketplace.
About Insurance Bureau of Canada
Insurance Bureau of Canada (IBC) is the national industry association representing Canada's private home, auto and business insurers. Its member companies make up 90% of the property and casualty (P&C) insurance market in Canada . For more than 50 years, IBC has worked with governments across the country to help make affordable home, auto and business insurance available for all Canadians. IBC supports the vision of consumers and governments trusting, valuing and supporting the private P&C insurance industry. It champions key issues and helps educate consumers on how best to protect their homes, cars, businesses and properties.
P&C insurance touches the lives of nearly every Canadian and plays a critical role in keeping businesses safe and the Canadian economy strong. It employs more than 128,000 Canadians, pays $9.4 billion in taxes and has a total premium base of $59.6 billion .
For media releases and more information, visit IBC's Media Centre at www.ibc.ca. Follow us on Twitter @InsuranceBureau or like us on Facebook. If you have a question about home, auto or business insurance, contact IBC's Consumer Information Centre at 1-844-2ask-IBC.
SOURCE Insurance Bureau of Canada
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/June2020/23/c7261.html