Do I Need to Notify ICBC When I Scrap My Car?
Yes — when you scrap a car in BC, you still need to deal with ICBC, even though you’re not transferring the car to another driver. Here’s what that actually involves.
1. Take the plates off before pickup
Your license plates stay ICBC property and don’t go with the car. Remove them before the tow truck arrives — it’s much easier to do this at your own pace than to try to retrieve them from a scrap yard later.
2. Get a bill of sale
When we pick up your vehicle, you’ll get a bill of sale documenting the transaction. Keep this — you’ll want it on hand when you go to cancel your insurance, and it’s your record that the vehicle changed hands.
3. Visit an Autoplan broker to cancel your insurance
Unlike a lot of ICBC business these days, cancelling insurance on a scrapped vehicle typically needs to happen in person at an Autoplan broker — bring your ID, your plates, your owner’s certificate, and the bill of sale from us.
4. Don’t wait too long
ICBC refunds unused premium time, but the refund shrinks the longer you wait — roughly 8% less for each month you delay on an annual policy. If you’re on a monthly payment plan, cancel at least a day before your next withdrawal to avoid getting charged for a car you no longer own. A cancellation fee may also apply, so it’s worth asking your broker about the exact numbers for your policy.
Replacing the vehicle soon?
If you’re buying another car shortly after, ask your broker about transferring your existing insurance to the new vehicle instead of cancelling outright — it can save you both a cancellation fee and a new-plate fee. (Note that this option has some restrictions for leased vehicles under policies from January 2025 onward, so double-check with your broker if that applies to you.)
What we handle vs. what’s on you
We handle the vehicle pickup, payment, and your bill of sale. The ICBC insurance cancellation and plate return are steps you’ll need to do yourself at a broker — we can’t do that part for you, but it’s a quick in-person visit once you have your documents together.
Have more questions about the process? Check our FAQ page, or just give us a call before we come pick up the car.
This is general information, not legal or insurance advice — for anything specific to your policy, your Autoplan broker or ICBC directly will have the most accurate answer.
What Happens If You Skip This Step
If you don’t formally cancel your insurance and transfer the vehicle out of your name, ICBC still considers you the registered owner — which means you could keep getting billed for insurance on a car you no longer own, and in rarer cases end up connected to it if it’s ever misused. It’s a five-minute stop at an Autoplan broker with your ID, plates, and the bill of sale we give you at pickup, so there’s no reason to skip it.
We fill out our half of the paperwork on-site during pickup specifically so this step is quick and straightforward on your end.