SHAMOKIN - Shamokin City Council unanimously awarded a one-year $106,000 insurance package Tuesday night to a Hellertown firm that expands the city's current coverage and saves more than $48,000.
After hearing proposals from four different insurance companies, including current longtime carrier Myers and Lynch Insurance Inc., Shamokin, Mayor George Rozinskie and Councilmen William Strausser, Michael Snyder, William Milbrand and R. Craig Rhoades voted to award a $106,121 contract to WSA (Weiss-Schantz Agency Inc.) Insurance. The coverage includes liability insurance for city buildings, vehicles, equipment and workers compensation.
The contract becomes effective Aug. 1 and involves payment of premiums in 10 equal installments.
The city's current coverage with Myers and Lynch, which expires July 31, costs $154,970.
Tony Rosini, principal for Myers and Lynch, submitted a bid of $156,215, while Kathy Balichik of Varano Insurance Agency, which has offices in Shamokin and Mount Carmel, presented a bid of $145,570.23. Marty Brown of First National Insurance Co. in Selinsgrove, whose company didn't offer a proposal for the entire coverage, submitted a quote of $50,346 for workers compensation only.
After the four proposals were presented in an hour, council members held a 15-minute executive session before awarding the pact to WSA Insurance.
City Clerk Steve Bartos, who solicited bids from each of the companies, stated, "We will realize a savings of $48,849 over our current coverage and this package exceeds the coverage from previous years."
Under the current contract, Bartos said the city pays an approximate $44,000 premium. The new contract will reduce the premium to $10,600.
Timothy Schantz II and his father, Timothy Schantz Sr., presented the proposal for WSA, which is located near Bethlehem and has been in business since 1932.
The younger Schantz, who noted his company provides insurance coverage for the City of Bethlehem, outlined the coverage to council members which includes the following premiums with Selective Insurance:
Property, $11,419; inland Marine, $6,822; general liability, $4,124; commercial automobile, $14,907; public officials, $8,937; police professional liability, $10,881; crime, $392; umbrella, $9,455, and workers compensation, $39,184.
After the meeting, Timothy Schantz Sr. stated, "We are glad to be able to help the city by providing a substantial savings in insurance costs to the taxpayers. Everybody wins from this contract."