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Greenville News: Fees proposed by Greer fire face challenges
By Nan Lundeen, Staff writer GREER -- As this city tonight considers adopting fees charged to insurance companies to compensate its fire department for services, such as responding to fires, wrecks, pipeline breaks and haz-mat situations, it faces potential roadblocks from the state and the insurance industry. State Rep. Dan Cooper, R.-Anderson, has pre-filed a bill that would prohibit a city or county from imposing a fee incurred from responding to a wreck except when the service is expressly provided by an insurance company, or for emergency medical services or for hazardous material cleanup. Allstate spokeswoman Nancy Lemke said Monday that Allstate doesn't believe police and fire accident response services are covered under the auto insurance policy, that consumers already pay for the services in taxes, and shifting expense to insurers “could inevitably lead to higher rates.” State Farm doesn't pay wreck fees, according to company spokesman Bruce White. But Tyger River Fire Chief Jim Redd said his district successfully collected fees for two years with insurance company cooperation, stopped a few months because of a vendor issue and will resume Jan. 1. He thinks the bill is influenced by the insurance industry, and said, “Something has to be done to recoup some of the loss,” especially when wrecks tie up fire equipment. Cooper couldn't immediately be reached for comment. Greer Fire Chief Chris Harvey said the third party, Fire Recovery USA LLC of Roseville, Calif., that would collect the fees from insurance companies for Greer, provided a list of fees and services that the council would cut. Harvey doesn't expect structure fire fees. The council meets at 6:30 tonight at City Hall, 301 E. Poinsett St. Greer City Councilman Wayne Griffin, who suggested the fees to supplement city coffers during the recession, said, “I think we're going to narrow them down.” The at-fault party's insurance company would be charged in wrecks regardless of residency, Harvey said. The fees wouldn't be enough to raise insurance premiums, he said. Proposed wreck fees range from $435 to $2,100, depending on services provided. Harvey said Fire Recovery claims it collects on about 60 percent of fees it bills. Uninsured drivers wouldn't be charged, according to Harvey. Greer Fire Department responded to 242 wrecks in 2008, Harvey said. Staff writer Nan Lundeen can be reached at 864-298-4316.
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