Butler County Board of Trustees welcomed broker Tom Murry from Insurance Center Inc., (ICI) to give an update
As part of their annual property and liability insurance renewal, which will take place on Sept. 1, the Butler County Board of Trustees welcomed broker Tom Murry from Insurance Center Inc., (ICI) to give an update.
“The college has been partnering with ICI for several years now,” began Murry. “Next month, we will be able to present the board with premiums for the year and ask for your approval.”
He went on to explain the different coverages provided for the college.
“Property is the second largest premium cost in your program,” he explained. “In the current market conditions, it has the fewest insurance companies interested in offering coverage. This is due to our geographic location, which is one of the highest risks in the United States for tornados, winds and hail. EMC insures approximately 350 schools in Kansas and 50 percent of all community colleges. They have been he most dependable and committed market in the state. They will be offering a renewal and it may be as much as 10 percent, but our goal would be far less than that.”
Murry, who has been in the business for quite some time, is familiar with insurance in Kansas.
“Through the years, I have seen many companies come into Kansas, see a hail storm or high winds and then turn around and leave,” he explained. “The only one that has not been profitable insurance wise are the companies insuring schools because of the roofs. We haven’t been terribly creative as an industry, but we’ve been talking a little more aggressive in their management. We’ve been discussing what we can do with roof design and even deductibles because as an insurance company, we’re never going to collect enough premium to cover all the roofs of a facility.”
Murry then moved onto the largest premium for the college.
“Worker’s compensation is the largest premium line,” said Murry. “The good news is with our risk management tools and accident fund’s aggressive strategies, the college’s current experience mod is .75, which that you’re 25 percent less cost than the average. This has a compounding effect on cost savings. It makes you much more attractive to the insurance market.”
Overall, the college fared favorably.
“Business auto is the third largest premium cost,” Murry went on. “This has a five-year loss history of $44,275 at a 27.9 percent loss ratio to 25 claims. General liability has nine claims totaling $8,912 with a five-year history of 25 percent. You’ve done the best in excess liability with linebacker (public officials) and law enforcement at a zero loss ratio for the past five years.”
“The facility’s department heads have been very proactive on talking to staff, encouraging training and awareness,” said Vice President for Finance Kent Williams.
The Trustees will revisit the issue of insurance during their August meeting.
The Trustees also:
• held an election of officers with the results as follows: Chairman: Tom McKibban; Vice Chair: Jim Howell; Secretary/ Treasurer: Ken Bohon: KACCT Delegate/Alternate: Ron Englebrecht as delegate, Dr. Greg Joyce alternate; Board Audit Committee: Jim Howell; Board of Finance: Ron Englebrecht appointed; Board liaison: Candace Kunkel; and Education board facility: Greg Joyce and Tom McKibban.
• approved the employee group health insurance renewal rates.
• approved the revision of the purchasing policy for the use of purchasing cards.
• approved information technology institute certificates of completion.
• affirmed Law Kingdon as design firm for the BOE Student Union.
• approved the board of conflict of interest policy.
• affirmed the ACCT standards of Good Practice.
• approved the purchase of 46 Dell laptop computers and 40 AC adapters and power cords in the amount of $35,538.76 in conjunction with the Carl Perkins Grant.
• accepted the resignation of Marcy Aycock, director of Early College Health Science Academy.
• accepted the resignation of Laura Hamlin, instructor of nursing.
• accepted the resignation of Jason Santangelo, assistant baseball coach.
• accepted the retirement of Don Gronau, professor of agriculture.
Kari Adams can be reached at email@example.com.