2017 OFFICE OF RISK MANAGEMENT ANNUAL REPORT SUMMARY PRESENTED BY - PowerPoint PPT Presentation

2017 OFFICE OF RISK MANAGEMENT ANNUAL REPORT SUMMARY PRESENTED BY THE OFFICE OF LEGAL COUNSEL AND THE OFFICE OF RISK MANAGEMENT

COMPREHENSIVE RISK FINANCING PROGRAM  Primary coverage areas:  Property  General Liability and Educators Legal  Fidelity; Commercial Crime  Cyber  Auto Liability and Physical Damage  Aviation  Major self-insured exposures  Professional liability  Pollution  Fiduciary liability with respect to benefit programs  Auto physical damage

PROGRAM FINANCIAL HEALTH Viability Ratio 3 2.5 2 2.46 2.19 1.5 1.38 1 0.5 0 2014-15 2015-16 2016-17

PROGRAM COMPETITIVENESS AND BENCHMARKING Total Cost of Risk (TCOR) per $1,000 of Revenue Purdue TCOR RIMS Benchmark TCOR for Education Industry $6.45 $6.25 $6.05 $5.61 $5.28 $5.34 $5.28 $5.15 $4.49 $4.39 2011-12 2012-13 2013-14 2014-15 2015-16

FINANCIAL ACTIVITY SUMMARY Risk Management Summary of Financial Activity Premium Expenses Loss Expenses Other Expenses Total Revenue $9,003,889 $601,886 $597,427 $7,669,986 $588,059 $5,624,600 $3,624,474 $3,635,468 $2,789,121 $3,978,593 $2,984,973 $4,552,422 2014-15 2015-16 2016-17

PREMIUM PAID HISTORY Risk Management Three Year Premiums Paid to Carriers Comparison Property Student Coverages 2016-17 Coverage Category 2015-16 Liability 2014-15 Aviation Other Coverages Premium Paid

KEYS TO LOSS CONTROL AND MITIGATION  Active campus engagement:  Proactive approach  Participation in campus safety committees  Extensive communication network with units  Regular interaction with risk owners  Strong, collaborative relationship with property insurer  7 visits to campus  259 engineering hours  154 pressure vessel inspections  Numerous fire alarm and sprinkler protection upgrades  Exceptional internal first responders  Excellent mitigation record on large losses  Broad participation in internal claim deductible and training programs 7

LOOKING AHEAD  Markets stable, with premiums remaining competitive  Property insurance program extended on favorable terms  Enhancements to aggregate policy limits  General  Educators legal  Cyber  Continued evidence of a strong and efficient program  Program re-bidding targeted for 2020 8

2017 OFFICE OF RISK MANAGEMENT ANNUAL REPORT SUMMARY PRESENTED BY THE OFFICE OF LEGAL COUNSEL AND THE OFFICE OF RISK MANAGEMENT