While cities elsewhere, including in the United States, have also faced higher costs, there has been an outsized impact on Canadian municipalities due to a small pool of insurers, smaller populations and the legal requirement for municipalities to have joint and several liability (J&S) coverage, according to DBRS Morningstar.
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Amazon on Tuesday said it submitted its proposed development plans for the next phase of construction at its new headquarters in Arlington, Virginia. In addition to more traditional office buildings and retail spaces, the company’s plans include a unique, double helix-inspired building that will “feature two walkable paths of landscaped terrain that will spiral up the outside of the building,” Amazon said in a blog post.
Lloyds syndicates including MS Amlin and the Ontario Municipal Insurance Exchange (OMEX), which enabled cities to group together to self-insure, are among those who have left the Canadian municipal market in the last few years.
Cities need insurance to protect against claims in the event of accidents on municipal properties or roads, and to deal with risks including cyber attacks and natural disasters – so forgoing coverage is not an option.
The Helix was designed by NBBJ, the same architecture firm that designed the “Spheres” at Amazon’s Seattle campus. It’ll sit alongside three new 22-story buildings that’ll provide office space for the 25,000 employees Amazon plans to accommodate at HQ2. The company said the Helix will host an artist-in-residence program and be open to the public on some weekends.
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The Arlington site is known as PenPlace and sits just outside of Washington DC. It’ll include shops and restaurants, as well as more than 2.5 acres of public use space that’ll feature an amphitheater, dog park and forest grove, Amazon said.
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In 2018, Amazon selected two cities for its massive HQ2 expansion project, Long Island City and Arlington. However, public response in New York quickly , and Amazon canceled its plans to build a new campus in the city.
The province needs certainty that a change would mean a decline in insurance rates, and there is not enough data “to confidently draw a causal connection,” a spokesperson for the Ontario Ministry of the Attorney General said.
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