Last updated 2026-04-02

Vehicle owner's responsibility for towing, storage, and disposal guidelines

The responsibility that a vehicle owner has regarding towing, storage, and disposal when their vehicle is involved in a crash.

Applicability

A vehicle owner may be held fully or partially responsible for towing and or storage fees based on the

the status of their coverage
their responsibility in a crash, and
the responsibility and coverage status of other parties involved in a crash.

The claim owner or exposure owner must send the

vehicle owner a Removal From Tow Yard - To customer (CL555) letter informing them of their responsibility for towing or storage fees, once determined, to allow them to take action and mitigate costs, and
tow company a Removal From Tow Yard - To towing company (CL555A) letter to ensure they invoice the vehicle owner and ICBC correctly.

Note: If the vehicle is leased, the CL555 letter is sent to the lessor.

The table lists examples who is responsible for paying for the towing and storage costs.

Scenario	Responsibility
A vehicle owner does not have Collision coverage, and is fully responsible for the crash.	The vehicle owner is responsible for towing and storage costs.
A vehicle owner does not have Collision coverage, and is partially responsible for the crash.	Reimbursement may be considered for the percentage of which the vehicle owner is not responsible. While responsibility is being determined, ICBC may authorize the initial towing and storage costs and seek to recover the percentage of responsibility the vehicle owner is responsible for.
A vehicle owner does not have Comprehensive or Specified Perils coverage, and the loss falls within the definition of either coverage.	The vehicle owner is responsible for towing and storage costs.
Claims where coverage investigation is occurring and is expected to take a significant length of time.	When a coverage issue is identified, the claim owner or exposure owner must notify the tow company and the vehicle owner as soon as possible, but no later than 45 days after the date of loss (DOL), stating that ICBC is not responsible for paying to store the vehicle during the remainder of the investigation of the claim. The claim owner or exposure owner must send the CL555 letter and the CL555A letter confirming with the tow company and the vehicle owner that they are responsible for storage costs starting five days from the date of issue on the letter.
There are confirmed breaches or claim denials.	The vehicle owner is responsible for storage costs once the CL555 letter is sent and may be responsible for the initial towing and storage costs. Where ICBC has paid the initial towing and storage costs prior to the CL555 letter and CL555A letter being sent, the claim may qualify for recovery of the towing and storage expenses paid directly to the tow company from the vehicle owner.
A claim that qualifies for recovery of towing and storage costs paid.	The claim owner or exposure owner may be able to refer the claim to account services to recover all or part of the towing and storage expenses paid directly to the tow company as part of the claim investigation. The claim owner or exposure owner must review the claim with their manager to verify if the claim qualifies for recovery through account services. Note: A demand letter must to be sent before it is referred to Account Services. For additional information, refer to Send payments to Account Services, for claims with a DOL of May 1, 2021 or later, and Send a recovery to Account Services for claims prior to Enhanced Care for claims with a DOL of April 30, 2021 or earlier.
A vehicle owner does not have Collision coverage, and the party responsible for the crash is not insured by ICBC.	The vehicle owner is responsible for dealing directly with the responsible party and/or their insurer regarding towing and storage costs.

Disposal of a vehicle

If the vehicle owner decides to have the vehicle disposed of or crushed before a coverage investigation is completed, ICBC may be able to pay out the claim if the vehicle owner can provide evidence that the vehicle was

a total loss, including
- advising the customer that they will need to provide photos of inside and outside the vehicle
- listing all new and older vehicle damage that has occurred
- providing mechanical records and previous pictures of the vehicle, if possible, to show the condition of the vehicle prior to the loss, and
- providing a picture of the vehicle identification number (VIN) and odometer, if possible.
disposed of or crushed.
Important: ICBC requires documentation detailing who was responsible for the vehicle’s disposal, along with the location, date, and method of disposal, which is used to contact with the facility to confirm that it was disposed of or crushed.

Once this information is collected, ICBC reviews and determines if there is enough information to pay out the total loss without the physical vehicle. The customer should be advised that the salvage value of the vehicle is deducted from the settlement amount.

Exception: If the vehicle is not a total loss, the onus is on the customer to retain or make arrangements to store the vehicle until coverage determination can be made.

Applicable legislation and policy

Optional coverage: Optional policy booklet, Division 8, ss. 5(3) and 5(4)
BVDC coverage: IVA, s. 177(1)(e) and BVDC Regulation ss. 26(1)(a) and 11