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County renews insurance policy with EMC, area agents

Staff reporter

After hearing presentations and reviewing insurance premiums, Marion County Commission decided Dec. 27, to stick with its current carrier. The premium for 2006 will be $95,706, a $37,000 reduction from the previous year.

Tom Job of KCAMP, had requested and received an opportunity to bid on the county's premium for property and liability insurance for 2006.

He explained the main difference between KCAMP and the county's current insurance provider, Employers Mutual Company, is that KCAMP is not an insurance company but a self-insurance pool.

"Most public entities belong to an insurance pool," said Job. However, there are only 59 out of 105 Kansas counties currently with KCAMP.

An issue Job continued to emphasize throughout the presentation was there is no additional insurance premium for newly acquired vehicles, equipment, or buildings (up to $1 million) during the insurance year. However, there are no premium credits for those items eliminated during the contract year.

Commissioner Dan Holub expressed concern of another insured county filing a large claim which could reduce the pool.

Job responded the pool buys re-insurance and state statute requires KCAMP to have a minimum of $5 million in a fund for catastrophes.

"It would take 25 catastrophes to go through the $5 million," Job said. He compared KCAMP's process with any insurance company to cover large losses.

He said most renewals, 35-40 percent, are renewed at a lower premium. The remaining may experience a 10 percent increase due to losses and acquisitions.

KCAMP had presented a bid of $93,000 in 2002. Job said the bid for 2006 was less than $101,000.

The premium for 2005 with EMC was $131,570, and an additional $1,555 for certain vehicles and equipment.

Later in the meeting, the commission heard a presentation from Richard Nickel of The Insurance Center, Hillsboro; Alex Case of Case & Son Insurance of Marion; and John Balthrop of Peabody.

Nickel told the commission the county had been with EMC for 25-30 years.

The proposed premium renewal included a three-percent increase in coverage for buildings.

The insurance was for replacement cost of items lost not actual cost value to replace.

Dividends are paid when possible, said Nickel.

Case added that school districts and cities also use EMC.

The renewal would become effective Jan. 14.

In other business:

— The commission canvassed the advisory referendum for casino development in Marion County, which was voted down.

County clerk and election officer Carol Maggard reported there were 34 provisional ballots with the majority of them being "judgment calls."

The ballots were not counted at the time of the election because the registration information was inaccurate.

The commission decided to not consider those ballots.

— Bids for reconstruction of basement offices were opened. The bids will be reviewed and low bidder will be announced at a future meeting.

Bids were received from CWC of Wichita, Jantz Construction, Inc., Tampa, and Brunner Construction and Jirak Construction, both of Marion.

The remodeling work is needed because areas in the courthouse basement were dismantled and removed due to mold.

— County appraiser Cindy Magill informed the commission she will encumber $2,500 for computer equipment, three digital cameras, and a fax machine.

— Maggard reported Michael Kruger from Montana, has been hired as the new community corrections director of the Eighth Judicial District. He will begin Jan. 1.

— Kansas Association of Counties will conduct a two-day workshop regarding obtaining homeland security grant funds.

Commissioner Dan Holub agreed to attend the workshop.

— Commissioner Randy Dallke reported he will be working in Louisiana from Jan. 9-21, and will miss two commission meetings.

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