ITEM TITLE:
Approval of City of Valdez Annual Property and Casualty Insurance Renewal for the Period Beginning July 1, 2024 in the amount of $979,713
SUBMITTED BY: Jordan Nelson, Finance Director
FISCAL NOTES:
Expenditure Required: $979,713
Unencumbered Balance: $490,533
Funding Source: Allocated among five funds and all staffed departments
RECOMMENDATION:
Approve the Annual Property and Casualty Insurance Renewal for the Period Beginning July 1, 2024 for the City of Valdez
SUMMARY STATEMENT:
• Policy-Year (July-June) Premium Comparison
o Property/Auto/General Liability: increase $121K, 23%
o Workers Comp: decrease $39K, -17%
o Broker Fee: unchanged $36K, 0%
o Discounts: decrease $14K, -45%
• 2024 Budget to Actual-Estimate Comparison
(adopted budgets span two insurance policy-years, and reflect half of each)
o Property/Auto/General Liability: estimate is currently $15K over budget
o Workers Comp: estimate is currently $37K under budget
o Broker Fee: budget matches estimate
• City of Valdez/Valdez City School District Renewal:
o Page 4 Table titled “City-AMLJIA” reflects Premium Summary
o Page 5 Table titled “City-APEI” for reference
§ APEI is currently a separate non-profit public entity risk pool available to the City, however, a formal merger with AMLJIA is nearing reality potentially creating a larger single risk pool for City of Valdez and public entities across the state.
• City of Valdez and Valdez City School District share portions of this renewal for cost efficiency
o A separate document titled “Valdez City School District Brokerage Services Proposal” is the VCS Insurance Renewal and attached for reference
• City’s insurance broker will be attending during the Council meeting to provide background information and field questions