ACCORDING TO BAKER
Companies not in ball park

From Page 3
unless willful misconduct or
negligence is involved.

RATES QUESTIONED

“It is the experience elsewhere
that is affecting us,’’ Lester said.
“*We are concerned we are not be-
ing looked at as a municipal enti-
ty.’ . : .

But North Vancouver District
manager Mel Palmer. believes the
~ new legislation, when passed, will
force -insurance ‘ companies to
reduce their rates.

“They (the insurance com-
panies) pretty well have to reduce

’ their rates,’’ said Palmer. ‘‘Right

now insurance rates are somewhat
contrived. If insurance companies
do not do something, most of the
municipalities, either together or
apart, will self-insure.

“*Insurance companies will either
have to reduce rates or explain why
not,’’ Palmer said.

District Mayor Marilyn Baker
agrees: “The answer is in pooling.
or reinsuring, because (right now)
the companies are‘not in the right

ball park.’*

Even if the insurance companies

do react to the new legislation,
Union, of B.C. Municipalities

.(UBCM) will continue to examine ., |

its risk management and_ in-
vestigate self-insuring, Lester said.

While no one knows how long it
will take insurance companies to
react, Richard Taylor, executive
director of the UBCM, hopes the
municipalities will see some reac-
tion in the next six months. If not
‘‘we will begin to scratch our heads
again.”

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