DEPARTMENT: Pre-K 4 SA
DEPARTMENT HEAD: Sarah Baray, Ph.D.
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Program Insurance Renewal
SUMMARY:
This item requests Board action to approve the purchase of required insurance from the recommended companies Hartford, Philadelphia, and a company to be determined for Pre-K 4 SA Property, Student Incident, and General Liability insurance, respectively, for the North, South, East, and West Education Centers with a total premium of approximately $150,000.00 annually through July 1, 2023 for a total amount not to exceed $300,000.00; the City of San Antonio provides coverage meeting the Workers' Compensation requirement.
BACKGROUND INFORMATION:
The Memorandum of Understanding (MOU) that Pre-K 4 SA maintains with the eight participating independent school districts (ISD) requires that Pre-K 4 SA uphold a third-party insurance policy to cover the following areas:
• Worker’s Compensation (provided by the City of San Antonio)
• Errors and Omissions
• Directors’ and Officers’ Liability
• Commercial General Liability
• Abuse & Molestation Liability
• Automobile Liability (Hired & Non-Owned Only)
• Program Consultants
• Excess Umbrella Liability
• Property Insurance
• Student Accident Insurance
In May 2021, Pre-K 4 SA insurance brokerage company McGriff, Seibel’s, and Williams provided staff with a quote for the required types of insurance coverage outlined in the Pre-K 4 SA MOU for the four Education Centers. The total annual premium is approximately $150,000.00.
Under the terms of its Partnership MOU’s, Pre-K 4 SA is required to ensure that insurance coverage remains in effect for the four Education Centers, without lapse. The existing insurance policies expire in July 1, 2021.
McGriff, Pre-K 4 SA’s insurance broker, expanded into the Excess & Surplus lines market to obtain quotes for General Liability insurance. These quotes are expected to be received by June 5 and a carrier will be chosen thereafter. Pre-K 4 SA will bring the chosen carrier back to the Board for ratification in August.
ISSUE:
This item requests Board action to approve the purchase of required insurance from the recommended companies Hartford, Philadelphia, and a company to be determined for Pre-K 4 SA Property, Student Incident, and General Liability insurance, respectively, for the North, South, East, and West Education Centers with a total premium of approximately $150,000.00 annually through July 1, 2023 for a total amount not to exceed $300,000.00; the City of San Antonio provides coverage meeting the Workers' Compensation requirement.
ALTERNATIVES:
If the Board does not approve this item, Pre-K 4 SA staff will need to obtain new quotes for insurance coverage and bring the item to the Board for approval before the policy expiration date of July 1, 2021.
FISCAL IMPACT:
Funds for insurance coverage are budgeted and available in the FY 2022 Pre-K 4 SA Annual Operating Budget.
RECOMMENDATION:
Pre-K 4 SA Staff recommends the Board approve the purchase of required insurance from the recommended companies Hartford, Philadelphia, and a company to be determined for Pre-K 4 SA Property, Student Incident, and General Liability insurance, respectively, for the North, South, East, and West Education Centers with a total premium of approximately $150,000.00 annually through July 1, 2023 for a total amount not to exceed $300,000.00; the City of San Antonio provides coverage meeting the Workers' Compensation requirement.