Agenda Item #9
School Board's Casualty Insurance Policy Renewal
The District's casualty insurance negotiations are complete and the proposed rates for renewal of all casualty insurance policies is $622,685. The renewal rate is $44,775 more than previous years, but this increase is mainly due to two particular areas of exposure. First, we are adding a new cyber liability insurance policy that will cover the District for claims associated with a breach of information due to in-house losses, vendors that hold or use District data, hackers, stolen/lost electronic devices including thumb drives, cloud storage, paper files, copy machines, drop boxes, cyber extortion, data restoration, crises response expenses, etc. Second, the excess workers' compensation insurance policy has increased due to the District's increased payroll. In addition, the excess workers' compensation marketplace is tighter as fewer carriers are providing coverage in this area (there are four carriers plus four trusts providing coverage). All the other areas of exposure were marketed to more than 20 different carriers. The pricing and terms for each of the areas of exposure can be found in the attachment.
To grant the Superintendent authority to bind the School Board’s casualty insurance policies in an amount of $622,685.
Information - 5/26/2015
Consent after Information6/9/2015
Authority for Action
Board Policy 8710
Involves Expenditure of Funds Directly in the Classroom
Source of Funding
Operating - Other
Mark Langdorf, Director of Risk Management, Ext. 620
Judy Preston, Associate Superintendent of Financial Services, Ext. 600
Attachment: 2015-16 Casualty Insurance Cost Final.pdf