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Surcharge Lets Consumer Know That Culprit Behind Higher Costs Is Insurance Company

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This is in regard to S. J. Diamond’s “It Pays to Question Those Bill Surcharges,” March 16.

Four years ago, after having had excellent safety and loss records, our insurance premiums doubled and tripled in two years. As any business, to survive, this cost was inevitably passed on to the customer. After careful consideration we decided on a surcharge for two main reasons.

First, we wanted the customer to clearly see on the invoice that skyrocketing insurance rates had affected their cost for home services. It should also be pointed out that the surcharge covers only a portion of the increase and does not begin to pay our entire insurance premium.

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The surcharge also was the least expensive way of passing this expense on to the client. Any increase in the hourly labor rate always brings on additional taxes and additional insurance fees resulting in a final increase of charges in excess of what is really needed to defray costs.

R. L. PACK

President

Clark Plumbing Co.

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