NEW ULM — A stacked roster of potential providers gave City Council pause as they discussed who should be their local insurance agency.

The city receives their insurance coverage through the League of Minnesota Insurance Trust, and the trust requires a local agent of record. This position, which is chosen every five years, also assists the city locally with their insurance claims and as a resource on insurance-related matters. Out of 23 firms considered, 6 sent in proposals for the position. Furth-Meile, David Hirth, North Risk Partners, Bank Midwest, United Prairie, and Christensen Group all vied for the long-tenured position.

Bank Midwest, North Risk Partners, and United Prairie were quickly ruled out as potential choices. Bank Midwest requested $91,038 for their services, a price far above what other firms were asking for. North Risk Partners had a far lower offer at $11,260, but they were the only firm without a local office and no local agents. At $38,000, United Prairie was also seen as being well above what the other agencies were asking for.

Councilman Les Schultz was the first to share his thoughts on the options available. He first touched on Christensen Group, who had the lowest offer of $10,000. Despite this, Schultz said there were several issues plaguing their proposal.

“It was a very rushed presentation,” he said. “I went to their website and it’s a terrible website. You cannot find out who works in the city of New Ulm on their website. They mention in our proposal someone would be assigned and work here. I assume he’s an agent but it doesn’t say that either. They give bios of the claims people but not the people who would be handling the phone calls and the database. We have no clue who those folks are or their background.”

He said his choice ultimately boiled down to the two most local agencies, Furth-Meile and Hirth. Both submitted the same offer of $26,121.81. Schultz pointed out there would be no changeover costs with Furth-Meile, as they have been New Ulm’s local insurance agent since 2003.

Councilman Eric Warmka said he saw this issue the same way Schultz had. He said Furth-Meile has been tuned in to the city’s needs, using the daycare center as an example.

“Our current insurance agent [at Furth-Meile] picked up things for the Economic Development Authority with the daycare center we missed,” Warmka said. “You find that by being involved on commissions and being involved in city affairs. That’s what having individuals locally here does.”

Councilman Larry Mack added Furth-Meile is who covers most of the businesses downtown for liquor licenses. With new events like Spikin in the Street taking place, he said they have been continuously looking forward and changing to meet the future.

Based on the Council’s comments, Schultz made the motion approving Furth-Meile to continue being their local insurance agent and Mack provided the second. With a unanimous vote in favor, Furth-Meile will continue their service until December 31, 2028.