Lying to ICBC = Claim Denied

When it comes to insurance it is never a good idea to misrepresent anything. Whether it is how your vehicle is being used or how the loss that you are applying for coverage for happened, lying to ICBC is not a good thing to do. In the case of Media West Zny Inc. the claim for the cost of two newly leased trucks burned in separate fires was denied.

The Vehicle Fires

Mr. Zouaoui leased two trucks to deliver paper for his business, Media West Zny Inc. The trucks were stored on a parking pad owned by an acquaintance when they were not being used.

While he was away both trucks were burned in two separate fires on different days.

The Trial

Mr. Zouaoui was able to show that the loss was not an arson on his part because he was away. However, he confirmed to ICBC that the trucks were being used for paper delivery at the time of the fires.

ICBC denied the claim because the business did not exist. Mr. Zouaoui was unable, or unwilling, to provide the names of any customers he served, the address of the warehouse where he stored inventory, or the names of any drivers he hired to deliver shipments.

Justice Branch also found that Mr. Zouaoui was neither a reliable nor credible witness. He concluded that:

The “more logical inference” arising from the evidence, or lack thereof, was that Mr. Zouaoui was engaged in a “less reputable business than paper delivery” — a fact that he intentionally sought to conceal from ICBC and the court.

Consequences of Lying to ICBC

This case illustrates that lying can be found to have occurred, even when the court does not know what the truth is.

The “yawning void of evidence” about Media West’s business operations was enough for Justice Branch to conclude that Mr. Zouaoui’s paper delivery business was just a “cover story…to hide something else.”

Learn More

• Read the Reasons for Judgment - Media West Zny Inc. v ICBC

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