ERIN – The Town of Erin is increasing its insurance protection and will stick with its current broker for the next three years, at an expected annual cost of $144,773.
At its March 19 meeting, council authorized staff to negotiate the renewal with Jardine Lloyd Thompson (JLT).
The only competing bid was $162,257 from Frank Cowan Company, which had provided Erin with insurance most recently in 2016.
The JTL bid provides higher coverage limits and lower deductibles in several areas.
“JTL provides the best combination of insurance policy for the town,” said finance director Ursula D’Angelo.
“Staff are very satisfied with the services that JLT has provided in the past three years and would like to continue with the same broker.”
She said most of the recent premium increases have been due to town requests for increased coverage. Last year the overall premium rose 4.2 per cent to $136,906 when umbrella liability coverage was increased to $45 million.
The cost of the new policy is up 5.7%, but it includes new liability insurance to cover groups that rent town facilities. The $5,631 cost of that coverage is expected to be recovered through increased user fees.
The policy includes insurance of $500,000 for wrongful dismissal lawsuits, with a $5,000 deductible, $500,000 for conflict of interest legal fees, $50,000 in accident coverage for volunteers and about $45 million each for both property damage and equipment breakdown, with a $5,000 deductible.
