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Meeting Date:
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Category:
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Type:
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Subject:
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Approval of Liability Insurance With CLIC |
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Vision 2026:
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Financial & Facilities Management 1 Continue to ensure a balanced budget that builds and maintains a fund balance that meets Board policy.
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Background:
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The district is a member of the Collective Liability Insurance Cooperative (CLIC) which is made up of approximately 187 school districts. The cooperative offers a comprehensive insurance package which includes property, excess property, general liability, excess liability, auto liability and physical damage, EDP, crime, as well as school board legal liability. The pool also covers student accident, boiler and machinery, pollution coverage, identity theft coverage and a supplementary fiduciary liability coverage.
In June 2020, the Board of Education approved the insurance renewal with CLIC in the amount of $596,876. The policy term was for the period of July 1, 2020 to June 30, 2021. The supplementary fiduciary policy was an additional $2,050. The Board also purchased another $1M in cyber coverage above the base $2M policy at a cost of $5,503. |
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File Attachment:
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Summary:
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The current renewal quote from CLIC is $656,322. This represents a 9.96% increase over the expiring policy year. The increase is largely due to increases in the cyber liability market. Cyber claims are impacting the insurance market to the point that the pool struggled to bind coverage in this area. This renewal would be effective July 1, 2021 - June 30, 2022. The purchase of the fiduciary policy is also recommended at $2,150. While the pool coverage includes $2M in cyber coverage, the pool is once again offering an additional cyber coverage option. Last year, the district purchased an additional $1M of coverage at a cost of $5,503. The additional coverage pricing is not yet available, we would recommend that the Board of Education give the administration the ability to lock in the additional coverage once it is known. |
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Funding:
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2021-2022 Education Fund Budget |
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Board Policy: |
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4:10 Fiscal & Business Management |
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Recommendation
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It is recommended that the Board of Education approve the renewal with CLIC in the amount of $656,322 for the term of July 1, 2021 to June 30, 2022, as well as the fiduciary policy at $2,150 and the granting the authority to purchase the additional cyber policy as indicated. |
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Approvals:
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Recommended By: |
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Signed By: |
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Bill Farley - Assist. Superintendent |
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Signed By: |
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Jeff Schuler - Superintendent |
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Vote Results:
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| Original Motion | | Member Susan Booton Moved, Member Rob Hanlon seconded to approve the Original motion 'It is recommended that the Board of Education approve the renewal with CLIC in the amount of $656,322 for the term of July 1, 2021 to June 30, 2022, as well as the fiduciary policy at $2,150 and the granting the authority to purchase the additional cyber policy as indicated.'. Upon a Roll-Call Vote being taken, the vote was: Aye: 7 Nay: 0. | | The motion Carried 7 - 0 | | | | | Brad Paulsen | Yes | | Chris Crabtree | Yes | | Rob Hanlon | Yes | | Susan Booton | Yes | | Dave Long | Yes | | Mary Yeboah | Yes | | Angela Blatner | Yes | |
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