Skyrocketing liability insurance costs have led councillors here to seek action.
The resolution put forward by councillors last month noted that costs have jumped 22% from 2007 to 2011 with some municipalities reporting increases of up to 50%.
The resolution also noted an Association of Ontario Municipalities (AMO) report that predicts unless change is made, insurance related costs will increase further to $180 million by 2015, an additional 16%.
It further states municipalities are now paying up to $37.56 per capita for insurance costs and this amount will continue to accelerate.
Puslinch believes the current situation is not sustainable and a long-term solution is required. To achieve that Puslinch council is asking for consideration of more of the following solutions:
– capping awards;
– developing a provincial fund to assist with paying large claims;
– utilizing tribunals to streamline the court system;
– structured settlements that provide awards over time; and/or,
– immunities for municipalities.
The township supports careful consideration of these options along with the goal of developing a sustainable and equitable solution that will lead to a balanced approach that all stakeholders require.
A copy of the resolution is to be sent to AMO, Frank Cowan Company Limited and Wellington Halton-Hills MPP Ted Arnott.
Councillor Jerry Schmidt, who introduced the motion, added “I firmly believe that it is very important that as a township we go on record to state exactly how we feel about this.”
The resolution carried.
