The Ad Hoc Budget Committee in Elliot Lake is hoping that 2022 can look a bit brighter when it comes to insurance costs, more so after learning they have no choice but to accept a 43% hike for 2021.
City treasurer Amy Sonnenburg told council the city was fortunate in even being able to get a quote following the devastating effects of the pandemic on the insurance industry and the claims put in by the city.
She says the cost has risen to just over $1-million for 2021, a hike of nearly $275,000 in additional costs over last year to insure all city assets, buildings and other costs.
She told council the carrier had to spread out the costs of liability with several insurance companies to be able to bring in the quote.
Council was not pleased with the substantial hike but realizes it has to bite the bullet this year, and a motion was passed to have the finance department come back in March with a draft Request for Proposals to look at alternatives for 2022.