Complete an owner buy back request

How to assess the vehicle status and complete an owner buy back request.

Procedure

1. Confirm the vehicle status on the Total Loss Worksheet.

   If the vehicle is ...	Then the ...
   non-repairable (dismantle purposes only (DPO))	insurance is void vehicle can be used for parts or scrap vehicle cannot be licensed or insured under any circumstances, and non-repairable status is permanent and cannot be changed.
   salvage	insurance is void, and vehicle cannot be licensed or insured for highway use until it is certified to be structurally and mechanically roadworthy by a licensed designated inspection facility. Note: The inspection facility must be approved by the Commercial Vehicle Safety and Enforcement Branch of the Ministry of Transportation and Infrastructure.

2. Determine if the vehicle poses any risk (environmental or health wise) to the public.

   If the vehicle...	Then ...
   poses a risk	follow the appropriate Occupational Health and Safety procedures for handling and disposing of bio-hazardous materials, and identify if the risks can be eliminated. Note: If the risks cannot be eliminated, a note must be created in the claim, and the customer notified that the vehicle no longer qualifies for owner buy back.
   does not pose a risk	proceed to the next step.

3. Obtain salvage value using the Salvage Value Inquiry Tool.
   1. Complete a Salvage Quote/Owner Retention (WEB1054) form if the salvage value is over $2,000 or undetermined.
      Note: The Salvage Quote/Owner Retention (WEB1054) can be found in ICBC's Forms and Publications.
4. Advise the customer of the vehicle status, which falls into one of the following categories:
   • Salvage (S), or
   • DPO.
5. Send the Vehicle Ownership Transfer Agreements and Salvage Purchase Agreement for signature.
   Note: For Commercial Claims, use the appropriate Commercial Claims email template. Refer to, Commercial email templates for total loss.
   Note: If the purchaser is a prorate operator with a valid prorate number, and the intended use of the repaired vehicle (or its parts) is for prorate purposes, they can use their prorate number to claim PST exemption.
6. Ensure the applicable Vehicle Ownership Transfer Agreements and Salvage Purchase Agreement have been signed, received, and attached to documents using the following document tagging standards:
   • Document type - Vehicle Damage
   • Document Sub-Type - Total Loss
   • Title - "Vehicle Ownership Transfer Agreement - Signed"
   • Author - Claimant
   • Related to - Claimant name.
7. Send the signed Vehicle Ownership Transfer Agreements and Salvage Purchase Agreement by email to Vehicle Registration Services (VRS) at [email protected].
   Note: The VRS department must be notified so that the vehicle registration status can be updated in the database before any settlement funds are released. VRS will respond with an email titled "Confirmation of Change to Vehicle Registration".
8. Attach the email response from VRS to the claim, with Document type of Vehicle Damage and Document Sub-Type of Total Loss.
9. Navigate to the Total Loss tracking tab:
   1. Update Confirmation from PVR&L for Owner.
   2. Update Salvage Release Signed and add a comment. For example, "Vehicle Ownership Transfer Agreement and Salvage Purchase Agreement".
10. Send the customer a copy of the Confirmation of Change to Vehicle Registration report, which confirms the vehicle's status has been updated on ICBC's vehicle registration database.
11. Determine the payees to be listed on the settlement cheque.
    Note: For more information, refer to Determine payees on a total loss settlement payment.
12. Confirm a debt refresh has been completed for any payees that will be listed on the cheque, such as Beneficial owner and Doing Business As (DBA).
    Note: For more information about debt refresh, refer to Process a payment using Cheque Wizard.
13. Confirm the applicable taxes based on the requestor.
    Note: To determine the applicable taxes, refer to Applicable taxes for Owner Buy Back.
14. Calculate the total loss settlement amount.
    Note: These calculations are done outside of the cheque wizard screen.
    1. Subtract the salvage quote value from the original settlement amount (ACV).
    2. Subtract the taxes applicable to the salvage quote value from the original settlement amount (ACV).
       Note: Some commercial customers may be PST exempt and therefore PST amounts would not be considered in the calculation. The below table shows a calculation example. To determine which taxes are applicable based on the claim scenario, refer to Commercial email templates for total loss.

       Original total loss settlement amount (ACV)	$15,000
       Less salvage quote	($1,000)
       Less GST on salvage quote	($50)
       Less PST on salvage quote	($70)
       	$13,880

15. Enter calculated amounts into the Cheque Wizard.
    1. Enter the total loss settlement amount.
    2. Add an amount for the applicable taxes (Allowance for GST and Allowance for PST), based on the original settlement amount (ACV).
    3. Apply the deductible.
       Note: The below table shows an example of how the amounts are calculated and what will be entered in the Cheque Wizard in ClaimCenter. Remember, do not calculate PST if the customer is PST exempt.

       Total Loss Settlement amount entered on cheque	$13,880
       Allowance for GST (based on original TL settlement amount)	$750
       Allowance for PST (based on original TL settlement amount)	$1,050
       Less Deductible (if applicable)	($300)
       Total amount of Cheque	$15,380

16. Enter the salvage quote tax details in the Comments field.
    Important: The following format must be accurately followed for reporting purposes: Claim AA#####-#; OBBTAX, GST amount, PST amount. For example, "BW12345-6, OBBTAX, GST $50, PST $70".
17. Enter the settlement details in the Memo field.
    Note: For example, "Claim BW12345-6; Vehicle settlement for a 2020/Honda/Civic; VIN ABCD715123DCBA; less $300 deductible, less Owner Buy Back amount".
18. Create a note on the claim indicating all information was provided to the customer.
19. Update the Total Loss action table with the following:
    • Estimated Salvage Amount
    • Total Loss Settled
    • Cheque Released to Customer, and
    • Vehicle Removed from Salvage Process.
20. Release the salvage vehicle to the customer.

    If the vehicle is stored at ...	Then ...
    an off-site storage facility incurring fees	using the CL555 or CL555A, advise the storage facility that ICBC will only pay for storage fees up to a maximum of 5 days, and advise the customer that the vehicle is now in their possession for further handling.
    an ICBC salvage yard	the customer must arrange to tow the vehicle out of the location within a maximum of 5 days, and advise the customer that the vehicle is now in their possession for further handling.
    a repair shop	advise the customer that the vehicle is now in their possession for further handling.