What is a DSPA-5 unit?
Dry Sprinkler Powder Aerosol units are deployed to stop the fire from spreading. The use of DSPA’s reduces the physical damage to the structures as less water is required to put out the fire.
The insured pays property taxes, which include the cost of the fire department services, so how is it they are being charged again?
The property owner is not being charged again, the insured’s property taxes pay for the cost of the fire stations and the fire departments salaried personnel, etc.
Fire Marque Inc. invoices for the “additional” costs the Fire Department incurs when attending the insured’s property. For example: the cost of the Volunteer firefighters, DSPA-5 units, materials used to extinguish the blaze, MTO rates for the fire trucks, air tank refills. These items are “additional” costs and are invoiced in accordance with the user by-law Indemnification Technology®.
Does Fire Marque Inc. have a legal right to claim reimbursement of these expenses?
Yes, Fire Marque Inc. has an agreement with the Municipality which gives Fire Marque Inc. the legal right to collect funds through Indemnification Technology®. All municipal agreements are available under the Freedom of Information Act.
Where is the coverage for Fire Department charges in the policy?
On homeowner policies the coverage for Fire Department charges are in the “Extended” or “Additional” coverages of the policy.
Is this extended coverage in the Insurance Act?
Yes – Section 144(4) – The Ontario Insurance Act can be viewed on line.
http://www.e-laws.gov.on.ca/html/statutes/english/elaws_statutes_90i08_e.htm#BK413
Can I obtain the names of the firefighters that are listed on the invoice?
No, in accordance with the privacy legislation we can only provide the firefighters badge numbers.
What section of the Municipal Act permits the collection of fees from a taxpayer?
Ontario the Municipal Act – Part XII – Fees & Charges – 391.4 – Fees for mandatory services.
Why are there so many volunteer firefighters attending?
When the Volunteer Firefighter’s are paged, they immediately rush to their designated Fire Station with the green light flashing on the dash of their vehicles. Should they drive by the fire on the way to the fire hall, they don’t stop as they are not properly equipped. The first firefighters to arrive at the station jump into their fire suits and are dispatched to the fire.
The ladder truck, pumper truck, utility truck (air tanks), tanker trucks are sent to the property. The volunteer firefighters who arrive after the trucks have left the fire hall remain at the station for backup duties or replacements. When the trucks return they are “readied” or “cleared” by the volunteer firefighters who remained at the hall.
How is Fire Marque Inc. paid for their services?
Fire Marque Inc. services are paid in accordance with the agreement signed with the municipality.
When the Fire Marques Inc. invoice is more than the insurance coverage, does the insured have to pay the balance?
No, this is defined by Federal definition of Indemnification Technology®.
What’s the Federal definition of Indemnification Technology®?
Fire Department incident reporting, data collection, and property insurance policy wording interpretation to maximize billing opportunities on behalf of fire departments by invoicing insurance companies for costs of fire department attendance with respect to insured perils.
Used in CANADA since at least as early as March 22, 2010 on services.
Do the funds Fire Marque Inc. gives to the municipality go to the Fire Department?
Yes, all funds go to the Fire Department as it’s in the legal agreement.
What happens if the insurance company simply doesn’t pay?
The file escalates. Why an insurer wouldn’t provide reimbursement is contrary to the basic law of insurance. When an insurer charges a premium for a coverage then payment is required on that coverage.
What happens if there is a disagreement with the costs?
Fire Marque invoices for the Fire Department expenses that were paid out by the municipality and the truck costs as per the MTO. Should a disagreement arise regarding these costs Fire Marque will provide the necessary documentation.
If the date of loss is prior to the Municipal Indemnification Technology® Bylaw why should payment be required?
On some losses payment is not required as the policy wording clearly states that the Bylaw must be in place prior to the loss. Other policies are underwritten without that restriction thus payment is required.
How do we know this isn’t “Double Dipping” and charging the Insurance Company for something that has already been paid?
Copies of the Fire reports accompany the detailed invoice. These documents are technical and outline all “additional” costs associated with the loss.
Is the Insurance Bureau of Canada aware of Fire Marque’s program?
Yes, the IBC Consumer Information Officers are aware of the program.