Redcar & Cleveland Borough Council is inviting bids for its suite of insurance contracts.
The Tyneside council has taken the unusual step of requesting cover for its entire book of insurance.
A spokeswoman for the council's broker told Insurancetimes.co.uk that its insurers have warned they are so busy with renewals that they might be unable to renew insurance cover.
She added that many of the large municipal insurers were "uninterested" in negotiating quotes this year. The insurers are focusing on large corporate clients instead, she claimed.
A spokeswoman for Redcar & Cleveland Borough Council said: "This year is causing us a lot of difficulties. We have been unable to budget properly for this year because we don't know how much our insurance cover is going to cost.
She added that they may be forced have to increase council tax or even cancel some local events such as sports and fairs.
Interested parties should contact Christine Scott by Feb 18, 2003 at:
For full details of the tender click here
