North County : Yellow Cab Co. Applies for Increase in Fares

The price of hailing a cab may be going up throughout the north county.

Anaheim on Tuesday became the 10th city served by Yellow Cab Co. of North Orange County to approve rate increases, which the Anaheim-based company said it needs to offset a 400% increase on its liability insurance during the last two years.

The cost of a taxi could increase from $1.40 for the first one-sixth mile to $1.90 for the first one-seventh mile. The charge for the first mile would increase from $2.40 to $3.10, while the cost of riding five miles would jump from $7.20 to $9.20 and for 10 miles from $13.20 to $16.20.

Of the 17 cities in north Orange County and southeast Los Angeles County served by the taxi company, nine already had approved the request for a rate increase: Brea, Fullerton, Garden Grove, La Habra, La Mirada, La Palma, Los Alamitos, Santa Fe Springs, Stanton, Yorba Linda and Whittier, company Vice President Diane Slagle said.

Before the rate increase can take effect, all cities affected must approve the request, Slagle said, adding that no city council has yet voted down the request. Placentia council members were scheduled to vote on the same application for a rate increase Tuesday night.

The rate hikes are meant to offset skyrocketing insurance premiums that have affected both the public and private sectors.

To Yellow Cab, the insurance increase has translated to a jump from $1,266 in 1985 to $2,581 in 1986 per cab, according a letter from the company’s carrier, Alexander & Alexander of California Inc.

In 1984, the company paid $635 per cab. Between 1980 and 1984, the cost fluctuated between $605 (in 1982) and $635 (in 1980 and 1984), according to Alexander & Alexander.

Mayor Don Roth said the fare increase was “understandable,” considering the hikes in the cost of insurance coverage, which he called a “sad state of affairs.”