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Vancouver-Whistler's 2010 Olympics-related construction could be delayed and consumers' costs hiked if the provincial government doesn't make insurance changes, a spokesman for the building industry said yesterday.
Michael Geoghegan, president of the B.C. Construction Association, made the claims after listening to Attorney-General Geoff Plant speak at the Union of B.C. Municipalities annual convention in Vancouver.
Plant wasn't announcing changes, just bringing the Municipal Insurance Association of B.C. up to speed on the province's review of civil liabilities -- which bears directly on such issues as who is judged liable for leaky condos and how much they have to pay.
As it now stands, the last solvent company involved in a leaky condo or shoddy construction project can bear the full weight of a court decision -- even if that company were only partially responsible.
Geoghegan said the industry wants a company that is 10-per- cent responsible for a problem to pay 10 per cent of the damages. It also wants liability limited to 10 years, as in Alberta and the U.S., instead of the current 30 years,
"The earliest this could come forward would be next spring," said Plant. "It's also possible the government may decide the law as it is, is not in need of reform in these areas."
That worries Geoghegan.
"We're willing to wait with some reluctance to the spring," he said. "But we're terrified if it goes beyond the spring.
"If these changes do not occur then I think it will start impacting on timelines and costs associated with construction of the Olympic venues," said Geoghegan.
"The construction industry is getting hammered by the insurance crisis.
"The insurance sector has already started to send signals they're reviewing their continued participation in the B.C. construction market.
" For what risk they're willing to cover, they are jacking rates through the roof. If we don't get some changes then ultimately we as consumers pay."
fluba@png.canwest.com
B.C. Municipal Convention
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