HomeMy WebLinkAboutTR-43-87 13
""° TOWN OF NEWCASTLE
REPORT File # A� K:5,
Res. # .'�s� `V
By-Law #
SING: GENERAL PURPOSE & ADMINISTRATION COMMITTEE
DATE: June 15, 1987
REPORT #: _ m 43 87 FILE #:
SMECT:
LIABILITY INSURANCE PAYMENT FROM SELF-INSURED
LOSSES RESERVE
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and
Administration Committee recommend to Council the following:
1. That report TR-43-87 be received; and
2. That the Treasurer be authorized to pay from the Self-Insured
Losses Reserve, an amount of $162.72, and forward this amount
to the Town's adjustors for payment of a claim relating to
Mrs. Betty Sandercock; and
3. That the Treasurer be authorized to pay future claims of a
value less than $5,000.001, which have been appropriately
recommended for payment by the Town's adjustors, directly
from the Self-Insured Losses Reserve.
BACKGROUND & COMMENTS:
The introduction of a $5, 100.0101 deductible limit for claims relating
to the Town's Liability Policy, has brought about the necessity for the
payment of expenses, and/or claims from the Town's Self-Insured Losses
Reserve, for those cases that fall within the limit.
The claim relating to Mrs. Betty Sandercock has been reviewed by the
Insurance Adjustors, and the damage to her car of $162.72 has been
deemed the responsibility of the Town, and as such, should be paid for
from the Self-Insured Losses Reserve.
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TR-43-87 Page 2
The Town will be incurring numerous such claims throughout the span
of the year, and given that:
-under previous conditions, when there was no deductible on
Liability, the above would be paid directly by the Frank Cowan
Co. , and Council would not then be required to give approval to
their payment, and
-the established Purchasing Policy of the Town directs that
Accounts Payable purchases, to an upset limit of $5,000.00, may
be authorized without written quotations and therefore without
specific approval of Council.
-if each time an adjustor's bill or claim settlement is received,
a report has to be prepared and presented to Council before
payment is made, the time frame involved may result in payment
of interest penalties.
It would seem appropriate that claims that fall within the deductible
limit be processed for payment from the Self-Insured Losses Reserve, and
possibly reviewed annually by Council in the form of an information
report of claims paid from this account throughout the year.
Respectfully submitted, Recommended for presentation
to the Committee
C�
:R. Blanchard Lawren4inistrative Kotseff
Treasurer Chief Officer
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