HomeMy WebLinkAbout1979 03-07 Public official liability insurance deemed necessary in Maplewood THE REVIEW •
Public official liability insurance
deemed necessary in Maplewood
It was proposed at the March 1 Procedures in zoning decisions, and persons in running for public office, ac-
Maplewood city council meeting that improper delivery of government ser- cording to a report from the National
consideration be given to the purchase of vices. League of Cities, International City
public official liability insurance to insure The second is an act of discrimination Management Assn. "Increasingly in-
the personal assets of all elected officials, as defined in federal law such as hiring or dividuals ask why they should bother with
employees and members of city boards promotion of an individual based upon public service if the result will be per-
and commissions. sex. sonal financial costs resulting from legal
"This is a concern of many cities," The third is an act regarding denial of defense and possible damages. The
Barry Evans, the new Maplewood city civil rights as defined in federal law such growth of this attitude would be
manager, said. "It is a fairly recent as discharge or suspension without due catastrophic for the quality of local
development, maybe four to five years Process. government."
old, but important for cities to have."
The city's general liability insurance The insurance policy would cover In the past five years, there have been
policy has a personal injury liability convictions against city officials for any two claims against the city. One is still in
endorsement which provides a limited of the above acts, and would pay for the court. But the other has been settled and
amount of coverage. Specifically, it in- legal defense for all claims in these three the judgment against the city was ap-
cludes coverage for libel and slander areas even if the allegations are groun- proximately $25,000 and city legal costs
claims against the city's executive of- dless or fradulent. amounted to approximately$6,000. If the
ficers and directors (councilmen). The "It would protect public officials," city had been covered by public officials
amount of coverage is $300,000. Evans said. "The protection of their in- liability insurance at the time of the
The proposed public official liability come is important.$2,500 deductible may claim, the insurance would have paid for
insurance provides insurance coverage sound like a lot, but you have to consider all costs involved except the back wages
for three general areas of personal all the angles." awarded.
liability. The program is in response to a growing The city council approved obtaining a
The first is a general wrongful act such concern that the increased challenges of public official liability insurance policy
as improper handling of employee individual public officials through the through the Forum Insurance Company
disciplinary problems, improper courts will result in a decline in interested at the premium cost of$5,040.