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Board votes to move most non‑health insurance policies to Kerma to avoid unbudgeted broker fee
Summary
Administration recommended shifting non‑health policies from USI to Kerma after USI raised its minimum broker fee; the board approved the change to avoid an unbudgeted $4,000 fee and to leverage Kerma membership services.
The board approved moving several non‑health insurance policies (cyber, crime, underground tanks, student activity/volunteer placement handled separately) from USI to Kerma after administration said USI raised its minimum broker fee to $10,000, up from the district’s budgeted $6,000 fee. Administrators said Kerma — which already handles the district’s workers’ compensation and offers membership legal support — would place the policies and avoid the immediate unbudgeted expense.
A board member noted that USI representative Chris Wardrop has been a long‑standing advisor to the district and that changing brokers means losing that written advisory relationship; administrators said USI would remain available verbally but the district would rely on Kerma as the placing broker and could use counsel as needed. Administration estimated the change would save roughly $4,000 next year compared with staying with USI.
The motion to switch brokers for the specified policies passed unanimously. Administration will coordinate the May 1 policy renewal transition and place subsequent July/August renewals through Kerma where applicable.
