Agenda Item #19
F-9. Renew the School Boards Property Insurance and Boiler & Machinery Insurance Policies
The actual rate for the district's property insurance policy will be presented as soon as negotiations with the insurance carriers are completed. The Office of Risk Management is negotiating the following 4 options.
Option 1: Purchase the same $55 million limit with a 5% per campus wind deductible as purchased in 2007. We anticipate a savings of $900,000 from what was paid in 2007.
Option 2: Purchase the same $55 million limit as purchased in 2007 and seek a 4% per campus wind deductible. We anticipate a savings of $700,000 to $800,000 from what was paid in 2007.
Option 3: Keep the same premium renewal rate of $5.4 million and purchase more limit with a 5% per campus wind deductible. We may be able to purchase as much as $75 to $80 million or more in limit.
Option 4: Keep the same premium renewal rate of $5.4 million and try to buy our wind deductible down to 3% per campus. It is difficult at this time to anticipate what the carriers will do with our limit. In other words, the carriers may allow us to keep a $55 million limit or they may ask us to reduce the limit or pay more for the same or a higher limit.
Option 2 is believed to be the best option at this time.
To grant the Superintendent authority to bind the School Board's Propety Insurance and Boiler & Machinery Insurance policies on April 25, 2008 up to a maximum premium of $5,395,062.
Information - 3/11/2008
Consent after Information3/25/2008
Authority for Action
Board Policy 8710
Involves Expenditure of Funds Directly in the Classroom
Source of Funding
Operating - Other
Mark Langdorf - Ext 620 or Judy Preston - Ext 600
Attachment: Property, Boiler & Machinery Insurance Supporting Documents.pdf