Last updated 2024-11-28
Loss of use extension for vehicle settlements policy
An estimator must obtain approval if they decide to extend the customer’s Loss of Use coverage beyond the standard three days or beyond insurance policy limits for a total loss claim.
Vehicle settlement summary
For customers with Loss of Use coverage and a vehicle settlement, ICBC typically authorizes Loss of Use benefit for up to three days after the actual cash value (ACV) of the vehicle has been presented, subject to insurance policy limits. In these cases, the estimator must
- immediately advise the customer to start a search for a replacement vehicle, even if it is not yet determined that the vehicle is not repairable
- inform the customer when it has been determined that the vehicle is not repairable, and
- advise the customer that Loss of Use authorization after ACV is presented is limited to three days, and the customer should obtain a replacement vehicle as soon as possible.
Extensions to Loss of Use benefit
The estimator can use some discretion when deciding to extend or discontinue the Loss of Use benefit within both the three days and insurance policy limits.
For extensions beyond either, and for disputes, the estimator must obtain approval from the claim or exposure owner or the applicable manager.
| If the … | Then … |
|---|---|
| estimator determines an extension beyond three days is reasonable | they must obtain approval from the claim or exposure owner or their manager. |
| estimator determines an extension beyond insurance policy limits is reasonable | they must obtain approval from the claim or exposure ownerand their manager. This occurs in extreme circumstances only. |
| customer disputes the settlement amount | the estimator advises the customer that any additional rental charges beyond the three-day period are the customer’s responsibility. |