Newsrelease

September 24, 1999
Edmonton, Alberta

Day corrects inaccuracies in Opposition news release

Provincial Treasurer Stockwell Day sent a letter to Alberta Liberal Leader Nancy MacBeth today to set the record straight on a number of inaccuracies in a news release issued yesterday by her party.

The news release incorrectly claimed that “decisions enacted by the Klein government” would “require taxpayers to cover up to $35 million in liability costs for MLAs.”

Day said it was irresponsible of the Liberals to send out inaccurate and poorly researched information. His letter to the leader of the Liberal party explains that taxpayers are not on the hook to cover up to $35 million in liability costs. “The province purchases private insurance that covers all but the deductible in the event of liability claims against Alberta MLAs and government employees,” Day said.

“It is the private insurer, not the taxpayer, that assumes responsibility for payouts over the deductible amount. That means, in the event of a claim of $35 million, the Province would only be required to pay up to $1 million deductible. The remaining amount of a potential $35 million claim would not be paid by taxpayers, as the Liberal news release alleged, but by the private insurer,” he added.

Each Ministry and the Legislative Assembly pay charges to the Risk Management Fund for liability coverage. The Legislative Assembly paid $9,240 last year for coverage that extended to all MLAs and Legislative Assembly staff. This amounted to about $27 per person covered which is comparable to the average cost per person for liability insurance included in a homeowner package.

The news release also claimed that decisions were made in secret, which is also not true. In fact, a veteran member of the Liberal Caucus, Percy Wickman, was advocating at the table when this issue was brought up to the Member’s Services Committee in 1989.

For further information, please contact:

Shannon Taylor
Communications Director
Alberta Treasury
(780) 427-5364

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