ICBC Agrees to Pause Best Price Policy

After a series of meetings with government representatives and ICBC senior management, last week ICBC and the glass industry took a step towards a better relationship.

As part of the ARA’s ongoing advocacy efforts to improve the environment under which our members operate, several meetings were held with David Eby, Attorney General and Minister responsible for ICBC, as well as ICBC senior management, which included Nicolas Jimenez, ICBC president and CEO. 

The main goal of these recent meetings was to give government the chance to understand the impact of the recent ICBC pricing and policy changes on the auto glass industry. These meetings also allowed the Minister and ICBC’s representatives to hear directly from business owners regarding the realities of what they are now forced to deal with. We outlined our vision of a tiered model, based on the realities of qualified independent business.

Our specific recommendation to the government and ICBC was to remove the requirement to source and compete with original equipment (OE) parts and prices until such time as a new auto glass model is developed. In addition, we asked for a commitment from ICBC to work with industry to create this new model within a three to four month time. We emphasized the need to develop new solutions on a timely basis.

As a result of these efforts, ICBC has agreed to pause the Best Price Policy, effective Oct 1st, until a new “tiered” auto glass model is developed along with industry.

We thank government and ICBC for this show of good faith towards creating an auto glass model that compensates businesses based on the skills, knowledge, and the service they deliver, moving us away from having to rely so heavily on parts pricing.

This is a significant first step and will lighten the administrative burden until a new model can be developed. It demonstrates to the industry that the ARA will continue to work with government to develop a tiered model and help the industry grow stronger.

If you would like to know more about the tiered model proposed and other initiatives throughout our divisions, ARA advisors are available to speak with you.

 

Darren Cox

Auto Glass Division Industry Relations Advisor