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July 14, 2011

Jeffersonville insurance rate soars after shooting, fatal crash

City officials said they anticipated the increase

JEFFERSONVILLE — The 2009 shooting that left two Jeffersonville Police officers hospitalized stunned the community.

The 2010 death of a 19-year-old Borden woman who was involved in an accident with a city of Jeffersonville garbage truck left friends and family in mourning.

But if the human costs weren’t enough, the city got a fresh look at the fiscal tolls of those two tragedies Wednesday morning, when the Jeffersonville Board of Public Works and Safety received its insurance bill.

Those two events apparently drove up the loss ratio for the insurance companies that provided the city’s workers’ compensation policy, explained the city’s agent of record Edward Culpepper “Pepper” Cooper, of Maverick Insurance. As a result, the city’s insurance premium for the policy rose by $73,714.

The board approved a $426,387 policy with Bituminous Insurance Co., during the meeting. The premium reflects an about 21 percent increase compared to last year.

Bituminous Insurance Co. was the city’s provider last year as well.

“When your loss ratio is so high, we get this $73,714 increase,” Cooper said.

Several companies declined to even offer a quote because of the loss ratio increase. Cooper credited the city’s safety director, Dominick A. Mongarella, with working to see those numbers go back down.

City officials weren’t surprised by the increase.

“These came in $75,000 cheaper than we thought. Those two years really hurt us,” Mongarella said.

“This isn’t a surprise, but …  a heart-stopper,” said Monica Harmon, Jeffersonville’s financial director.

Patrolman Keith Broady and Cpl. Dan Lawhorn with JPD were shot when a call regarding suspicious activity at Jeffersonville’s Motel 6 turned violent in February 2009. Broady was shot in the chest; Lawhorn was shot in the leg. The alleged shooter, Robert Datillo, died of an apparent self-inflicted gunshot wound the next day after a standoff in Louisville. The officers have returned to work.

In the 2010 accident, Bethany Burrier, an Indiana University Southeast student, was killed when a city-owned garbage truck crashed into her 1994 Ford Aspire, causing a five-vehicle accident on Ind. 60 near Ebenezer Church Road. The truck was on its way to the Clark-Floyd County Landfill and Burrier was stopped in a line of traffic because of construction in the area.

In addition to the increase in workers’ compensation costs, the city’s property and casualty insurance rates went up by $79,386. Cooper said that increase is related to city growth as a result of annexation, new vehicle purchases, a new firehouse and the city’s wastewater treatment plant being added to the policy.



IN OTHER BUSINESS

• The board approved the closure of Riverside Drive, between Wall and Clark streets, for a car show July 22. According to Sara Schutz, assistant parks superintendent, about 150 vehicles are expected.

• The board approved demolition of a home at 1607 Nole Drive, which it deemed unsafe. The property was foreclosed on and has sat empty for about three years. It’s owned by Bank of America and has fallen into disrepair, city officials said.

“The mold — the basement is totally covered,” said code enforcement officer Connie Sellers, also a member of the Jeffersonville City Council.

There’s also an uncovered in-ground pool which has been filled with rain water that’s brought hoards of mosquitoes to the neighborhood, Sellers said.

The power has been turned off, rendering the sump pump in the basement useless. Water has been left standing inside, essentially ruining what was otherwise a nice house, she said.

“It’s beyond being rehabilitated,” said Brian Fogle, the city’s planning director.

Neighbors reported kids playing around the property and sometimes inside the house.

Sellers said several attempts were made to reach Bank of America about the property. A letter was sent informing the company of Wednesday’s hearing but no representative was present.

• The board considered similar action on another property at 3546 Peach Tree St. That property is also owned by Bank of America, Sellers said, but hasn’t been vacant as long. It was damaged in a fire about a year ago. The board voted to deem the property unsafe, then gave the bank 30 days to take action before demolition.

• Utilities Director Len Ashack noted sewer work would be going on near the intersection of Walnut and Market streets starting Monday. The work is expected to take about two weeks to complete. Traffic control staff is to be on the scene, he said.

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