The township of North Huron, ON is on the hook for increased municipal insurance costs next year.
Total premiums for the municipality are set to increase in 2021 by over 15%, city staff have learned.
During a recent city council meeting, Aon director of finance Donna White made a presentation explaining the increase in insurance costs. According to the presentation, the public sector – specifically, the municipal segment – has been impacted severely by insurance elements and the coverages they need. Factors that have impacted the segment include joint and several liability; mounting claims and legal costs; class action lawsuits; and increasing property risks due to severe weather events.
“Anybody can have a slip in our arenas, or our parks, or one of our streets,” said North Huron reeve Bernie Bailey during the meeting.
“Everybody wants to sue the government.”
Wingham Advance Times reported that after the township of North Huron issued a request for proposals for general insurance and risk management in 2018, AON Reed Stenhouse was the successful bidder. For 2020, the township’s insurance premium was $161,789.00 plus tax.
In November, the township received a renewal proposal for next year, which set the insurance renewal amount to $185,982 plus tax. The proposed amount represents a 15.63% increase from 2020’s premium.
