HomeMy WebLinkAbout2018-03-13 Meeting Agendawww.augustaga.gov
Finance Committee Meeting Commission Chamber-3/13/2018-1:05 PM
FINANCE
1.Approve Excess Workers’ Compensation Insurance with Safety
National With Statutory limits and a $750,000 Self Insured
Retention (SIR – otherwise known as the deductible) to cover
all positions for a premium of $369,658.
Attachments
2.Motion to approve the minutes of the Finance Committee held
on February 27, 2018.
Attachments
3.Request Human Resources Department provide the following:
1)Detail presentation on the retirement briefing and option that
all employees are presented when they retire and 2) Evidence
that the Health Care Plan is offered to the employee that they
must either accept or reject and 3)Evidence from our Health
Care Plan specifically authorizes the carry over after retirement
up to the age of 65 when Medicare/Medicaid becomes effective
and 4) Provide commissioners all presentation information
electronically. (Requested by Commissioner Sammie Sias)
Attachments
Finance Committee Meeting
3/13/2018 1:05 PM
2018 Renewal of Excess Worker's Compensation Insurance
Department:Finance - Risk Managment Division
Presenter:Joe Crozier, Judy Blackstone
Caption:Approve Excess Workers’ Compensation Insurance with Safety
National With Statutory limits and a $750,000 Self Insured
Retention (SIR – otherwise known as the deductible) to cover all
positions for a premium of $369,658.
Background:Excess Workers Compensation coverage (a per occurrence policy)
has been purchased in the past as a measure to cap any potential
catastrophic loss against Augusta-Richmond County. Augusta’s
current SIR is $1,000,000. Stated simply each worker’s
compensation claim has the potential cost of $1,000,000 to the
government before the excess coverage policy takes effect.
Analysis:Past claim experience, current claim exposure, and potential future
cost were considered. It was determined that an SIR of $750,000
is more appropriate for our level of risk. Corvel, our Workers’
Compensation Third Party Administrator, was requested to obtain
quotes from A or A+ companies. Corvel received the following
quotes from the following companies: Safety National Casualty
XL Insurance ACE/Chubb Prosight Specialty Insurance The
following companies declined to provide an offer: Midwest
Employers Casualty Company Hartford Insurance Company PMA
Group Sompo Japan Insurance Company of America Old
Republic Risk Management
Financial Impact:Lowering the SIR from $1,000,000 to $750,000 lowers the
government’s maximum exposure by $250,000 for each claim, but
also has a higher premium . Reducing the exposure level of only
one claim would provide a significant financial return over the
increased premium amount.
Alternatives:1) Continue current level of coverage at $1,000,000 SIR with an
increased level of exposure of $250,000 per claim for premium of
$304,819 or 2) Drop coverage accepting full exposure/cost for any
Cover Memo
Item # 1
catastrophic job related injury.
Recommendation:Approve coverage with Safety National Casualty (lowest premium
quote) with SIR of $750,000 for all positions with Statutory Limit
for a deposit premium of $369,658.
Funds are Available
in the Following
Accounts:
621 01 5233 55.21110 WC/Risk Management
REVIEWED AND APPROVED BY:
Finance.
Law.
Administrator.
Clerk of Commission
Cover Memo
Item # 1
Finance Committee Meeting
3/13/2018 1:05 PM
Minutes
Department:Clerk of Commission
Presenter:
Caption:Motion to approve the minutes of the Finance Committee held on
February 27, 2018.
Background:
Analysis:
Financial Impact:
Alternatives:
Recommendation:
Funds are Available
in the Following
Accounts:
REVIEWED AND APPROVED BY:
Cover Memo
Item # 2
-frA
Finance Committee Meeting Commission Chamber - 2lz7l2ol8
ATTENDANCE:
Present: Hons. Frantom, chairman; Sias, vice chairman; Hasan and
Guilfoyle, members.
Absent: Hon. Hardie Davis, Jr., Mayor.
FINANCE
1. Motion to approve the minutes of the Finance Committee held on February 13,
2018.
Made By Seconded By
Commissioner Commissioner Ben
Sammie Sias Hasan
www.auqustaga.gov
Item
Action:
Approved
Motions
Motion
Type
Approve
Motion Text
Motion to
approve.
Motion Passes
4-0.
Motion
Result
Passes
Attachment number 1 \nPage 1 of 1
Item # 2
Finance Committee Meeting
3/13/2018 1:05 PM
Personnel Retirement Briefing
Department:
Presenter:Commissioner Sammie Sias
Caption:Request Human Resources Department provide the following: 1)
Detail presentation on the retirement briefing and option that all
employees are presented when they retire and 2) Evidence that the
Health Care Plan is offered to the employee that they must either
accept or reject and 3)Evidence from our Health Care Plan
specifically authorizes the carry over after retirement up to the age
of 65 when Medicare/Medicaid becomes effective and 4) Provide
commissioners all presentation information electronically.
(Requested by Commissioner Sammie Sias)
Background:
Analysis:
Financial Impact:
Alternatives:
Recommendation:
Funds are Available
in the Following
Accounts:
REVIEWED AND APPROVED BY:
Cover Memo
Item # 3