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VICTORIA — New legislation this week will ban the provincial government from siphoning revenue out of the Insurance Corporation of B.C.

Attorney-General David Eby said Monday that the bill will forbid the province from taking “excess optional capital” from ICBC and free the corporation to reinvest that money into lowering rates in future years.

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“If those surpluses begin to accumulate, if this is something that ICBC experiences, this will continue the public pressure on ICBC and restrict future governments’ ability to transfer that money anywhere else except to reduce rates or increase benefits,” said Eby.

ICBC is in the middle of a financial crisis and there is no surplus optional capital for the government to take. The Crown auto insurer lost $2.5 billion over the past two years, amid rising claims and legal costs.

However, ICBC is expected to return a profit as early as next year, after government placed a cap on pain and suffering claims for minor injuries. Its financial picture is also expected to improve dramatically under a no-fault insurance system that bans most court cases by May 1, 2021.