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District broker recommends lower property deductible and reviews renewal drivers as premiums rise slightly
Summary
The district’s insurance broker outlined a 7.6% premium increase driven by payroll and property valuation changes, recommended taking a lower property deductible option for $7,200 more, and discussed workers’ compensation experience‑mod and market pressures on reinsurance.
Jake Hoggle and Brian Riley of AkerSure presented the district’s annual insurance renewal, describing market pressures and recommending a lower property deductible option and continued carrier relationships.
Market outlook and drivers: the broker told the board that the district’s overall expiring premium was about $251,000 and the proposed renewal about $270,000, an increase of roughly 7.6%. The increase was attributed principally to projected payroll increases that raise workers’ compensation exposure and a modest increase in total insurable property value from $131 million to $135 million.
Workers’ compensation: the broker said the district’s experience modification rating (EMOD) is about 1.5 and that some recent larger claims are driving that number; removing older claims next year could reduce the EMOD and lower future premiums. The board was advised that workers’ compensation market competitiveness varies and that the district’s payroll projection differences account for part of the premium increase.
Property and reinsurance pressures: presenters described rising reinsurance costs in the market—particularly for umbrella and property cover tied to expanded liability exposures—and noted some carriers have begun adding exclusions or forced higher deductibles. The broker recommended accepting an alternative property deductible offer that would lower the district’s deductible to $10,000 for an additional $7,200 in premium; the broker recommended this as a cost‑effective option.
Other coverages: cyber insurance quotes improved compared with the prior year; the broker reported moving a cyber quote from an expiring $17,000 to a $6,700 renewal on the market. The broker also discussed the district’s $5 million umbrella and coverages such as employment practices liability, educational errors and omissions, and pollution/herbicide coverage for pool chemicals.
Administration and next steps: the board asked clarifying questions about payroll basis, claim history audits and timing; the broker said the district had budgeted for the premium in the coming year and that a dedicated claims representative (named Mike Del Duc) will be assigned to the account to assist at no additional cost. No formal vote on carriers occurred during the meeting; the broker and administration will follow up with contract documentation.
