24 May 2016

Councils' insurer backs directors pay bump

1:35 pm on 24 May 2016

The insurance company that covers most of New Zealand's city and district councils wants to raise its directors' fees by 15 percent.

Money

A pay bump for directors at Civic Insurance would attract strong new candidates, Mr Sole said. Photo: 123RF

The proposal, which councils were given one month to decide on, angered Wellington deputy mayor Justin Lester, who said the directors were paid enough.

"Compared with community boards who do it on a voluntary basis and I'd argue actually do a lot more work ... this sticks in my craw."

But Civic Assurance chief executive Tim Sole said his board was paid in the lower quartile compared to those serving on other companies - and they deserved more.

"The reason for the pay increase is not so much to ensure that the current directors are rewarded but in future that we're able to attract people of the right calibre.

"This year there was no one contesting for the two vacancies, the two incumbents are carrying on."

Mr Sole said his board had worked hard in recent years, including on Christchurch City Council's earthquake claim for $635 million, the largest ever settled in New Zealand.

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