ARTA Canada opposes fee increase

ARTA Canada is making it abundantly clear that it opposes any increase to the TICO Compensation Fund. Its reasons for opposing the plan is that: TICO wishes to increase contributions in the amount of 600% by registrants to the TICO Compensation Fund over the next three years; TICO received a report by actuaries stating that the TICO Compensation Fund should be maintained at a dollar level between $20 and $25 million; As of March 31, 2012, the TICO Compensation Fund balance was $24.7 million, representing the high end of the TICO Compensation Fund amount stated by actuaries; TICO uses the TICO Compensation Fund to cover various expenses that have no relation to consumer or registrant claims; TICO, when asked by a registrant, could not precisely account for these various expenses totaling approximately $800 thousand at its Annual General Meeting in 2012; The true nature of the 600% increase is believed to provide an avenue for TICO to defray even more various expenditures; TICO, upon pure speculation, predicts the TICO Compensation Fund needs more money contributed by registrants; Registrants believe that it is better to have increases to the TICO Compensation Fund only after there is actually a shortfall below $20 million. For those who oppose the TICO rate increase, ARTA Canada has provided form to complete and which will be transmitted to TICO after submission. Simply go to http://www.artacanada.ca/ticorates and fill it out.

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