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Vallejo board approves switch to Northern California Relief for liability coverage, citing stronger occurrence‑based protection
Summary
Trustees voted to leave ASCIP and join Northern California Relief for broader occurrence‑based liability coverage with higher per‑occurrence limits; staff said the move improves long‑term predictability and offers expanded risk services, while trustees asked for written assurances on deductibles for theft claims.
The governing board approved a staff recommendation to transition the district’s property and liability insurance program from ASCIP to the Northern California Relief joint powers authority, voting 5–0 to adopt Resolution 51‑23.
Assistant Superintendent Ruben Fernandez and Keenan & Associates representative Kyle McKibben presented the analysis, emphasizing the difference between claims‑made coverage and occurrence‑based coverage and noting the proposed program raises per‑occurrence liability limits (staff cited up to $75 million) and includes expanded services such as loss‑control support, cyber liability and access to an online Safe Schools training platform.
Cost and coverage: Staff estimated the all‑in annual premium for 2026–27 at about $1.64 million, projecting roughly $115,000 in net savings compared with the incumbent program after accounting for a one‑time fee to cover the transition from claims‑made coverage. The one‑time transition fee covers retrospective exposure for prior years when the district was on a claims‑made policy.
Trustee questions and concerns: Trustee Fox pressed the presenter about copper thefts and whether the deductible could be increased in the future; the presenter said the proposed deductible would be $25,000 per occurrence (the same the district has now) and that he had not seen districts’ deductibles increased specifically because of copper theft. Trustee Fox requested that the board seek contractual language or assurances on that point; staff said Keenan would follow up.
Outcome: The board voted to adopt the resolution to transition coverage effective 07/01/2026 and to participate in governance opportunities offered by the JPA. McKibben noted the program is member‑governed and allows districts to participate in underwriting and oversight committees.
What’s next: Staff will return with any negotiated contract language related to specific deductible concerns and finalize enrollment steps with the JPA administrator.
