Donnell Stewart, chief of risk management, briefed the finance committee on the Bureau of Risk Management’s function, claim volumes and projected costs. Stewart said the bureau purchases insurance, administers self-insurance, manages workers’ compensation and oversees subrogation for the city.
Stewart told the committee the city receives roughly 700 liability claims annually and displayed department-level claim breakdowns (police showed a higher liability total in FY24 owing to a fatal automobile incident). He said actuarial projections for FY26 indicate general liability costs up about 6%, liability up 4% and workers’ compensation costs up about 11%, driven largely by rising medical costs and higher workers’ compensation trends nationally. Stewart said firefighters’ workers’ compensation claims have grown because state law expanded presumptions for certain cancers.
Committee members asked for a more detailed analysis showing claim counts and paid-claim amounts by department and by claim type, and for recommendations on prevention measures, including steps to limit exposure that may drive firefighter cancer claims. Stewart said he would provide the requested department-level breakdown and additional detail and indicated he could deliver the material within about a week.
The committee also discussed risk-management involvement in contract review, indemnification clauses and forecasting; Stewart said the bureau uses third-party actuarial projections to estimate expected costs.
Ending: The committee requested a department-level breakdown of claims paid and received, recommendations to mitigate high-cost exposures, and more precise benchmarking vs. peer municipalities.