How Does My B.C. Car Insurance Cover a Parking Lot Accident?

October 6, 2025

You’ve had a parking lot accident. How does your B.C. car insurance handle insurance claims for parking lot accidents?

In British Columbia, your car insurance handles insurance claims for parking lot accidents the same way it does other vehicle collisions. ICBC determines fault based on the circumstances and applicable traffic laws.

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Let’s take a closer look at insurance coverage for parking lot accidents in British Columbia and how ICBC insurance applies.

How is fault determined in a parking lot accident in B.C.?

ICBC determines fault based on the circumstances and applicable traffic laws. It’s a common myth that all parking lot accidents are automatically considered 50/50 fault.

If you are at fault, your auto insurance premiums may increase. Your Basic Autoplan coverage pays for damage to the other vehicle or property, while optional collision coverage applies to damage to your own vehicle.

If you are not at fault, your vehicle may be covered through DCPD (Direct Compensation for Property Damage). If your legally parked vehicle is struck, you are typically not considered at fault under ICBC rules.

Important: If you hit a parked vehicle, you are legally required to leave your contact information. Failing to do so may result in a hit-and-run charge under B.C. law.

ICBC coverage

At-fault accidents: If you are found to be at fault in a parking lot accident, your Basic Autoplan covers damage and injuries to others. Optional collision coverage pays for repairs to your vehicle, minus your deductible.

Not-at-fault accidents: If you are not at fault, damage to the other vehicle is handled by their insurance. If your car is hit while legally parked, DCPD coverage applies under ICBC insurance.

No coverage: Without the appropriate car insurance coverage, you may be responsible for paying out-of-pocket for damages you cause.

Fault determination: There is no automatic 50/50 rule for parking lot accidents in British Columbia.

Best practices to avoid parking lot accidents in B.C.

• Follow traffic laws: Fault is based on whether drivers obey posted signs, signals, and right-of-way rules.
• Yield when reversing: Drivers backing out of a parking space must yield to vehicles in travel lanes.
• Check your surroundings: Watch for other vehicles, pedestrians, and drivers attempting to park or exit spaces.

How fault is typically determined

Hitting a legally parked car: You will almost always be considered 100% at fault if you hit a stationary, legally parked vehicle.

Backing into a moving vehicle: Drivers reversing from a parking space must yield to vehicles already travelling in feeder lanes.

Two vehicles backing out at the same time: Fault is often split 50/50 when neither driver has clear right-of-way.

Collisions in a thoroughfare: Vehicles travelling in main parking lot lanes generally have the right-of-way.

Competing for a parking spot: Fault may be shared depending on vehicle positioning and right-of-way.

Hitting a stationary object: Striking a curb, pole, or other fixed object is considered an at-fault accident.

Hit and run: If your legally parked vehicle is damaged and the other driver leaves the scene, this is considered a hit-and-run. Collision or all-perils coverage is typically required to repair your vehicle under ICBC insurance. Police reporting within 24 hours is usually required.

Hitting a pedestrian or cyclist: Drivers are often found at fault in these situations.

How to prevent B.C. parking lot accidents

Reduce your risk by following these safety tips:

• Slow down: Parking lots require extra caution.
• Eliminate distractions: Avoid phone use and in-car distractions.
• Be alert: Watch for pedestrians, shopping carts, and blind spots.
• Use turn signals: Clearly indicate your intentions.
• Back in when possible: This improves visibility when exiting.
• Obey posted signs: Stop, yield, and directional signs still apply.
• Check mirrors and shoulder check: Don’t rely only on cameras.

To sum everything up

Parking lot accidents are common in British Columbia. Understanding how ICBC insurance handles fault and coverage can help you respond confidently and protect yourself financially after an accident.