Agenda Item No. V. B. 3.
Washburn University Board of Regents
SUBJECT: Renewal of Insurance Policies
DESCRIPTION: Prior to the October 2003 renewal, the University's insurance agent reviewed the market and submitted applications to companies expressing an interest in writing coverage for Washburn. United Educators Insurance Risk Retention Group's proposal continues to be judged to be more advantageous for the University both in coverage and premium. Coverage for the general liability policy was moved to United Educators in 2000, who had written Washburn's Educators Legal Liability coverage for several years.
United Educators, rated A: Excellent by A.M. Best, provides broad coverage created specifically for educational institutions. United Educators is a mutual insurance company owned by over 1,100 policyholder-members. United has become the standard of excellence for broad, tailored coverage and unmatched risk management and claims services for colleges and universities.
It is advantageous to have the general liability and educators legal liability written by the same insuror in the event of a claim since there is no question of which company is responsible.
Attached is a schedule of proposed October 1 insurance coverages and premiums compared with last year's coverages and premiums. All the quotations are firm. The amount shown on the schedule is the maximum amount Washburn might have to pay for coverage.
FINANCIAL IMPLICATIONS:
Last Year
Renewal
General Fund
Property, Equipment, Musical Instruments
$149,813
$170,228
Auto Physical Damage
7,852
6,554
Boiler
11,424
13,302
Fine Arts
7,655
9,485
Electronic Data Processing
12,327
13,975
Total Property Insurance
$189,071
$213,544
Workers Compensation Insurance
184,358
220,825
KTWU Property Insurance
$41,663
$41,663
Total General Fund
$415,092
$476,032
Tort Claim Fund
Auto Liability
17,875
24,388
General Liability
69,039
88,670
Sports Accident Insurance
52,393
75,118
Umbrella
33,494
44,313
Aircraft Liability
10,250
10,250
Educators Legal Liability
39,112
51,517
Total Tort Claim Fund
$222,163
$294,256
Total
$637,255
$770,288
RECOMMENDATION:
President Farley recommends approval to purchase the policies as shown on the schedule.
________________ ___________________________
Date Jerry B. Farley, President