The Insurance Corporation of B.C. reported a strong first half of the year with net income of $255 million, down slightly from $256 million for the first six months of 2007.
The auto insurance provider's improved bottom line was due primarily to premium revenue, which increased to $1.79 billion from $1.7 billion.
ICBC also reported growth in the number of insured vehicles on the road and an increase in its optional insurance policies. There were approximately 80,000 more vehicles insured in the first half of 2008 than in 2007.
Both strengths offset higher claims and claim-related costs and a slight decline in investment income. Claims-related costs rose 3.8% to $1.5 billion from $1.45 billion. ICBC reported investment income of $269 million, down 2.5% from the $276 million earned in 2007's first six months.
Persistent investment market uncertainty and volatility is expected to have a negative impact on the company's investment income for the rest of 2008.