by Rod Hughes

Costa Rica’s firemen may pass from working as a dependency of the National Insurance Institute (INS) to a private bearer share corporation, if a bill to be passed out of committee for a Legislative Assembly floor vote prospers. The firemen may have been orphans of privatization when the bill opening up the insurance industry here passes into law.

INS became a government monopoly during the wave of nationalizations of the late 1940s. Now that opening up of the insurance market for competition is nearing reality as a part of a series of laws to bring the Costa Rican structure into accord with the Central American Free Trade Agreement with the United States, something had to be done about its firemen.

Although the department will not be totally independent of INS (it will receive 4% of the premiums fof fire insurance policies) it will give it more autonomy financially and administratively. It will, for example, make and manage its own budget instead of having to have it approved by the INS board.

The restructuring amendment is the brainchild of Libertairian Movement lawmaker Carlos Gutierrez. But even Fire Chief Hector Chaves was taken by surprise and said he must study the amendment before understanding all its ramifications.

Yesterday, the last of the amendments to the bill were to be voted on, preparatory for floor debate but the chairperson, National Liberation Party deputy Maureen Ballestero, cut the session short.