Stop the insanity! Fresno may bill victims for emergency services

If you get into an accident in Fresno County, the Fresno County Fire Protection District may someday come to your aid -- then bill your insurance company.

The fire district's board Wednesday night supported an agreement to bill insurers of crash victims who live outside the district. Now, the district's lawyers and staff will determine the types of crashes and vehicle fires they will bill insurers for. Final approval of the agreement could occur at the board's February meeting.

Since district residents voted down an assessment last year that would have paid for more staffing, the district has been seeking new ways to raise revenue. Most district services are currently paid for with property tax revenue.

Representatives of an Indiana company -- Emergency Services Billing Corp. -- answered questions from the board at Wednesday's meeting. The company handles insurance billing for local government agencies, attaching a fee to the insurance company.

Allen Keen, vice president of sales for Emergency Services Billing Corp., said billing for fire department responses occurs in about 25 states. His firm works for 63 agencies in 10 states.

District documents show that the average motor-vehicle accident claim collected by the Indiana company is $1,638.

For vehicle fires and motor-vehicle accidents involving nondistrict residents -- and by charging district residents under certain circumstances such as negligence -- the district could recover $550,000 annually, district documents said.

Overall, the district had about 780 incidents that would have qualified for claims last year.

"This is the future of trying to recover costs," said district board President Mike DelPuppo. "This way we can stay afloat and try not to raise taxes on the district's residents."

One district area that raises concern is along Interstate 5, he said. When an accident or vehicle fire occurs, the district sends firefighters long distances and moves others from station to station to cover for those tending to victims.

Not everyone is sold on the district's plan.

"Our concern is the effect that this could ultimately have on our policy-holders," said Victoria Fernandez-Williamson, a public affairs specialist with State Farm Insurance in Fresno, who attended Wednesday night's meeting.

She said the program could lead to higher premiums.

A representative of a statewide insurance organization said insurers should not be asked to pick up the tab for government services.

"What this means is that municipalities who charge for these services are asking those citizens who carry auto insurance to help pay for budget shortfalls or provide the local community with additional revenue streams," said Tully Lehman, a Sacramento-based communications specialist with the Insurance Information Network of California.

"Unfortunately, these fees tend to penalize responsible drivers with insurance as collection companies typically don't bill uninsured drivers."

The Fresno County Fire Protection District covers 2,600 square miles of Fresno County and 150,000 residents.

Source: fresnobee.com - Link