Business needs to be at the table for the Mayor’s proposed forum to discuss rising insurance premiums, says Wellington Chamber of Commerce.
“The Chamber welcomes the news that the Mayor is convening a forum, given the significant insurance costs businesses are facing. Businesses are affected by rising premiums just as much as homeowners are, if not more, so we need to be a big part of this,” says chief executive John Milford.
“Business pays 44 per cent of the city’s total rates and are crucial to the local economy.
“Significantly increasing business premiums would affect the economy by adding to the cost of doing business and so pushing up the price of goods and services paid by everyone.
“Add these premiums increases to the Mayor’s proposed business rates hike, proposed changes to the business rating multiplier, and the recent increase in Fire Service levies, and in a short space of time we’re talking about significant cost increases – not to mention all the other recent regulatory and compliance cost increases.
“We understand that insurance companies have to remain viable and allow for risk, but they must be mindful of the effect that big rises could have and look at ways of softening the blow while offering the cover businesses need.”
“We are pleased the Mayor is increasingly cognisant of the cost realities facing business, and hope he will recognise this when it comes to his own business rates hike proposal. Council will deliberate on this significant change in the annual plan later this month.”