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COVER STORY
Who's to pay?


19 January 1994

According to the January 12 Financial Review, the insurance industry, a major beneficiary of the services of firefighters, is considering proposals to relieve itself of a levy that provides about three quarters of total NSW fire brigade funding. Currently the fire brigade levy on insurance premiums amounts to upwards of 15% of the average premium, although it varies according to the type of risk being insured.

Apparently the option most favoured by insurance companies is to replace the levy on companies with funds from council and water rates. This ``would ensure that the cost was shared by as broad a cross-section of the community as possible'', according to the industry. Such a criterion seems to have considerable merit in the eyes of the very narrow sector of the community that profits from the need of the rest of us for economic security. Public hearings will be convened next month to examine a range of alternative funding proposals.


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