Week in Review : MAJOR EVENTS, IMAGES AND PEOPLE IN ORANGE COUNTY NEWS : COUNTY : School Bus Company Fights to Keep Insurance
About 100 school districts in California may be without bus service if a troubled Anaheim company loses its liability insurance.
Taylor Bus Service Inc. sued Nationwide Insurance Co. in Orange County last week to prevent the threatened cancellation of its liability insurance.
The cancellation could “pose very serious problems,” said a spokesman for the Los Angeles Unified School District, where Taylor provides about 20% of the bus service.
Districts from San Francisco to Orange County, including Santa Ana, Tustin and Irvine, use Taylor buses.
Various district officials said they would try to fill the void if Taylor goes under, but some said alternatives are few.
Taylor President Tom W. Berthold claimed in the lawsuit that no other insurance is available and cancellation would not only leave thousands of school children stranded but also would mean layoffs for hundreds of employees.
Superior Court Commissioner Jane D. Myers issued a temporary order blocking the cancellation, and Taylor attorney Frederick E. Turner said he will try to have that order made permanent.
Meanwhile, Nationwide delayed the cancellation, originally set for Jan. 15, to March 26.
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