# CDI develops a
insurance field

By Robert Galster
News Reporter

AS the man behind
Canadian Direct Insurance
(CDI), Guy Cloutier has
received his share of criti-
cism.

But the Edgemont Village: resi-
dent has also garnered his share of
credit for introducing competition
to the corporation everyone loves to
complain about: ICBC.

Last week, Cloutier spoke to the
North Vancouver Chamber of
Commerce. The presence of a half-
dozen insurance brokers in the audi-
ence didn’t damper his spirit.

«He said the brokers gave him “a
bit of trouble,”..but overall he felt
owelcome,,
°. “They liked that it was ‘started
# from scratch ... funded the old-fash-
ioned way,” said Cloutier.
-” According to Cloutier, CDI
offers an immediate savings of
approximately $80 to clients it
leems acceptable. The reduction is
possible in part because CDI accepts
only good drivers, features a more
streamlined company structure and
so. bypasses ‘insurance brokers by
dealing with clients directly. :
ICBC. spokesman — Moira
“Wellwood said ICBC is “prepared to
s be. competitive” adding that ICBC

BY has been “operating in a competitive

4 ‘environment for over 20 years.”
‘She also pointed out CDI’s
ability to provide a full insurance
ackage due to. ICBC’s legislated

“Monopoly on the provision ‘of basic
insurance coverage. CDI can only

‘compete in the arena of optional coverage provision, such as collision, com-
“prehensive and extended liability packages. ;
Although CDI is not the first competitor in the automobile insurance

A game; it is certainly making the biggest splash. Since starting up operations
A ion May 15; the company already claims a client base nurnbering in the thou-
“sands and policy totals running in the millions of dollars.

Mf st

i consultation
thin on rail
fax changes —

‘From page’ .

i ings with provincial government
mS representatives. . |
‘They. say they were led. to:
believe the mectings would be
-consultative: and ‘solicit input on
‘the impact of Bill 55. ,
2: Ina report to council, staff say:
“There was litle or no two-way
dialogue and no provincial politi-
‘dans were present to explain the
rationale behind their reforms.”
“ Nevertheless, an Aug. 15 letter
from Ken Macleod, Assistant

Deputy . Minister, Municipal
Affairs and Housing, to the dis-
trict states: “..the government
made a commitment to consult
with affected local governments
‘on the implementations of the ini-
By tiative. |
_-. “The first stage of consultation
occurred in August and
September 1995. The material
accompanying this letter will allow
aa us to complete the consultation.”
“2 The Ministry of Municipal
#@ Affairs has stated that both CN
y Rail and CP Rail have made signif-
icant commitments for new capital
E investment in British Columbia.
_ Staff make the point that none
of the predicted'$164.7 million in
a investment is slated for the district.
» Bill 55. does not have to’ be-
éscinded ‘to’ prevent the. tax
reform from coming into effect.
“<The government could simply
not act on the regulations.

NEWS photo Mike Wakefield

GUY Cioutler and his company, Canadian Direct Insurance, are
taking on ICBC and growing by “leaps and hounds.”

pany, in Britain.

By'Anna Marie D’Angolo.

"News Reporter

KEVIN James Smith was depressed and had
a substance abuse problem when he feft his
ex-girlfriend a frightening note.

‘The note ‘said, “I've got some friends that want to
work on you with a blow torch and pliers. See ya.”

Smith dropped off a number of notes in his ex-girl-
friend's car.

“The notes degencrated to threats,” said Crown
lawyer David Ruse on Wednesday in provincial court.

Ruse pointed out that Smith, who pleaded guilty in
North Vancouver provincial court to harassing his ex-
girlfriend, Cora Allen, between Aug. 1 to Aug. 21, told
police the notes were “romantic stuff.”

Smith, a 34-year-old North Vancouver resident, was
charged after his frightened ex-girlfriend spotted him
climbing on to a roof near a walkway next to her apart-
merit balcony.

The woman was house-sitting in the 100-block of
West Keith Road in North Vancouver,

She quickly locked the doors.

The woman heard Smith banging on an apartment
window. She went to the manager for help.

The police were called.

In June, Smith and Allen broke up after they had

© been together for more than a year. They both worked

at the Lynnwood Inn. He was the assistant manager of
the bar; she worked at an inn food counter.

The Crown lawyer said that after Smith assaulted
Allen a second time in July, she moved out of the home
they shared. She refused to speak to him.

In August, Allen received 27 calls on one day from
Smith. According to the Crown, for two weeks during
that month, Smith would go to the apartment building

Wednesday, September 25, 1996 — North Shore News — 3

“It's going by leaps and
bounds,” said Cloutier. He said the
demand is running ahead of his
company’s ability to service new
clients.

“We've reduced the advertising
over the last several months because
we get enough calls,” said Cloutier,
adding that CDI aims to answer 90%
of all incoming calls within 30 sec-
onds.

While the goal of providing near-
ly immediate service to the vast
majority of its clients is a worthy
one, it did lead to problems for the
company last summer.

“There were some dark days in
August,” said Cloutier. “We were
only able to answer about half the
calls within 30 seconds on several
days.”

In addition to temporarily
reduced advertising, CDI also hired
additional staff.

“What we're trying to do here is
to reasonably manage the growth of
the company,” said Cloutier. “We're
growing the company carefully.”

But John Toomer of Edge-
mont’s Vancouver General Insur-
ance sees more than just growing
pains ahead for CDI and its clients.
As a member of the Insurance
Brokers Association of B.C.,
Toomer and his colleagues are fight-
ing for their livelihoods.

Toomer said insuring. automo-
biles “is a social responsibility and
they (CDI) are committing a social
injustice by creaming” or skimming,
ICBC’s best customers.

“Everything that they do is
aimed to discriminate against those
that don’t fit in their categories,”
said Toomer.

Motorists will still have to pur-

a chase their compulsory liability
insurance from ICBC, which may
result in claimants having to visit
two adjusters, added Toomer.

“It’s like buying a suit and going

to one place to buy a jacket and another for pants and they don’t match ...
that’s the analogy,” said Toomer. ae

He also attempted to hit'a nationalist chord by stating that moncy used -
to buy a policy from CDI leaves the country because CDI’s parent company
is the Bank of Hong Kong, which is headquartered, via another parent com-

where Allen was living and fing the buzzer.’ ne
Smith’s lawyer Deirdre Pothecary said her client-was '

deeply ashamed and upset over his actions. Pothecary

said Smith’s substance abuse affected-his temperament

and that Smith had spent four days in a detox program:

at the end of July, about three wee
lent.

Pothecary said Allen had walked our and “literally”

didn’t take any of her possessions with her, including her
makeup.

The defence lawyer said Smith wanted to talk to Allen
to tell her to get her belongings.

“He had reached the end of his rope and his behav-
ior was irrational,” said Pothecary.

She said her client received anti-depression medica-
tion in August.

Pothecary said it was “sad” because all that happened
could have been avoided if Allen had agreed to talk to
Smith at an early stage.

Pothecary said Smith started a career in the beverage
and hotel industry in 1988. He had been a manager at
Vancouver’s Niagara Hotel during, his career.

Allen’s victim impact statement was given to Judge
Ellen Burdett.

The Crown lawyer told court that a fine and 12
months’ probation would be an appropriate sentence for
Smith,

Pothecary said there was no need for a fine.

Saying the circumstances of the offence were not triv-
ial, Judge Burdett placed Smith on probation for 24
months,

Burdett said Allen was no doubt extremely frightened
of Smith. Bur the judge said she was satisfied that Allen’s
physical safety would be protected and that Smith would
not repeat his behavior.

The judge ordered Smith to pay a $35 victim fine sur-
charge. :

_ pre-judging

before the roof inci-"

W. Van
Liberal
lobbyist
laid low

By Robert Galster

News Reporter

JIM Arthur’s life is locked
in a downward spiral.

The West Vancouver resi-
dent’s woes began with the
defeat of the provincial Liberals
in last spring’s election. Next
came a charge of procuring a
prostitute. Then it was his resul-
tant resignation from Bell,
Arthur and Associates, a promi-
nent government relations firm.

“Right now I’m working on
getting my resumé ready,” said
Arthur, bringing his shattered
life up to date.

Next up is his court case on
Nov. 14. Following that, a rever-
sal of fortunes. will be in order.

North Vancouver City Coun.
Bill Bell, Arthur’s ¢x-business

partner, said .
uris pay-' Ry
ing the price Righ t
for his alleged NOW I’m.
transgression. - 2

“fy our ©6Working

business, you ettin
can’t afford on & &
my

to be busted
for that,” said resumé
ready.”

Bell.
“Without
— dima Arther

the court case
I don’t _
condone or appreciate. people
who solicit prostitutes.”

Bell, whose workload has
increased considerably | since -

- Arthur’s: resignation, said the

court’s ’ findings « may” influence
Arthur’s , future ©: employment
} cts at the firm. . :
* “From: my. perspective, we'll
have to'sit down and talk about
it,” said Bell.)

Arthur. was’ on leave from

: Bell, Arthur and ‘Associates for
_the duration of last spring’s cam-

paign leading up to the May 28
provincial election to work as
consultant for the Liberal Party.

Liberal leader . Gordon

Campbell has distanced himself

from Arthur since the procure-
ment. of a) prostitution charge ‘

‘surfaced and said Arthur’s role

within the campaign was only to
organize the party leader’s bus
tour of the province.

To press time . Tuesday,
Arthur’s lawyer had not returned -
News calls. ;

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