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Kearney board picks Midwest Public Risk for 2025 insurance to limit large storm deductibles
Summary
The Kearney Board of Aldermen voted unanimously to accept a Midwest Public Risk (NPR) proposal for property-casualty, liability, vehicle and workers’ compensation coverage for 2025, favoring a lower flat wind-and-hail deductible and an 18-month rate guarantee over a lower initial premium from Travelers.
The Kearney Board of Aldermen voted unanimously to accept Midwest Public Risk’s (NPR) property-casualty, liability, vehicle and workers’ compensation coverage proposal for calendar year 2025 and authorized the city administrator to execute required documents.
City Administrator Sheila Erzen introduced Paul, the city’s insurance agent from Solace Arnie and Acres, who told the board the commercial insurance market has been in a ‘‘hard market’’ with large premium increases nationwide. Paul said Travelers’ renewal included ‘‘a 2%, 250,000 minimum’’ wind-and-hail deductible while Midwest Public Risk offered a flat ‘‘$25,000 per occurrence’’ wind-and-hail deductible and an 18-month rate guarantee.
The difference, Paul said, is material in a major storm: under Travelers the city could face a percentage deductible tied to building value, while NPR’s flat deductible limits out-of-pocket exposure on wind-and-hail claims. Paul also described NPR as a public-entity risk pool that offers member meetings, training and a loss-control credit program that can reduce net premium costs over time.
Board members debated trade-offs between higher upfront premium estimates and lower catastrophic exposure. Paul summarized premium differences presented to the board: Travelers’ proposal represented roughly a 19% increase over the current year; the NPR option was higher still on premium but included the flat deductible and the rate guarantee. After discussion the mayor moved to accept the Midwest Public Risk proposal; the motion was seconded and carried unanimously.
What happens next
The board’s authorization directs the city administrator to finalize and sign the coverage documents needed to begin NPR coverage in 2025. Board members noted the city will continue to track market conditions and loss-control opportunities that could affect future premiums and deductible structures.
Sources: City administrator Sheila Erzen and the city’s insurance agent, Paul of Solace Arnie and Acres (presentation and Q&A).
