BURLINGTON COUNTY INSURANCE COMMISSION OPEN MINUTES MEETING May 3, 2018 County Administration Building 49 Rancocas Road Mt Holly, NJ :00 PM

Transcription

1 BURLINGTON COUNTY INSURANCE COMMISSION OPEN MINUTES MEETING May 3, 2018 County Administration Building 49 Rancocas Road Mt Holly, NJ :00 PM Meeting was called to order by. Ms. Dodd read the Open Public Meetings notice into record. ROLL CALL OF COMMISSIONERS: Kendall J. Collins Eve A. Cullinan Damon Burke Present Present Present FUND PROFESSIONALS PRESENT: Executive Director Claims Services PERMA Risk Management Services Joseph Hrubash PMA Management Corp. Christina Grabowski Chad Glenn Conner Strong & Buckelew Attorney Treasurer Underwriting Manager CraigAnninBaxter Law Robert Baxter, Esq. Edward Troy Conner Strong & Buckelew Safety Director Employee Benefits J.A. Montgomery Risk Control Glenn Prince PERMA Risk Management Services Paul Laracy AJM Insurance Management Innovative Risk Solutions, Inc. Rob Henry Risk Manager EJA Capacity Insurance Agency 1

2 ALSO PRESENT: Cathy Dodd, PERMA Risk Management Services APPROVAL OF MINUTES: OPEN & CLOSED MINUTES OF MARCH 1, 2018 MOTION TO APPROVE THE OPEN & CLOSED MINUTES OF MARCH 1, 2018 CORRESPONDENCE: NONE COMMITTEE REPORTS: SAFETY COMMITTEE: Mr. Prince reported the Safety Committee last met on March 15 th and was scheduled to meet again on June 14 th. Mr. Prince advised he had some Loss Control visits scheduled for the month and the result of those meetings would be discussed on June 14 th. Mr. Prince advised that concluded his report unless anyone had any questions. CLAIMS COMMITTEE: Ms. Dodd advised Ms. Leighton was not present and reported the Claims Committee met via teleconference on March 20 th and April 17 th. Ms. Dodd stated the PARS would be presented during closed session. EXECUTIVE DIRECTOR REPORT: Executive Director advised a copy of his report was included in the agenda and he had two action items. CERTIFICATE OF INSURANCE ISSUANCE REPORT: Executive Director reported on the Certificate of Insurance report for the months of February and March. Executive Director advised there were 10 certificate of insurances issued during February and 3 certificates during March. In response to s inquiry, Mr. Burke advised he reviewed the report and found it to be in order. MOTION TO APPROVE THE CERTIFICATE OF INSURANCE REPORT BOARD OF SOCIAL SERVICES MEDICAL MALPRACTICE INSURANCE: Executive Director advised the Board of Social Services opted to place their Medical Malpractice Insurance in the NJCE Program. Executive Director reported the coverage was bound as of April 25, 2018 with Ironshore Specialty Insurance Company for $11M each claim/$13m aggregate for a total price of $12,500. Executive Director noted an endorsement would be issued and the budget amended accordingly. In response to s inquiry, Mr. Burke answered he had reviewed the coverage with Nicole LeCates of the Board of Social Services. 2

3 MOTION RATIFYING THE NJCE UNDERWRITING MANAGER BINDING MEDICAL MALPRACTIVE INSURANCE WITH IRONSHORE SPECIALTY INSURANCE COMPANY EFFECTIVE APRIL 25, 2018 FOR THE BOARD OF SOCIAL SERVICES NJ COUNTIES EXCESS INSURANCE FUND (NJCE): Executive Director advised the NJCE me on April 26, Executive Director referred to a copy of the summary report which was included in the agenda. Executive Director reported it was announced Tim Sheehan was the new Fund Commissioner representing the County of Gloucester, replacing Gerald White who retired. Executive Director advised the firm of Citta, Holzapfel & Zabarsky, P.A. was reappointed for Litigation Management Services for a one year term. Executive Director advised a resolution was approved authorizing the use of competitive contracting to issue an RFP for the online Risk Management Information System. Executive Director explained the RIMIS was comprised of two components, underwriting data collection and claims. Executive Director stated resolutions were passed offering membership to the County of Monmouth and County of Essex. Lastly, Executive Director advised the Underwriting Manager discussed the 2019 Property Renewal indicating there would be a $250K deductible in 2019 and expected there would be a rate increase. The NJCE was scheduled to meet again on June 28, 2018 at 1:00 PM at the Camden County College Regional Training Center. BCIC PROPERTY & CASUALTY FINANCIAL FAST TRACK: Executive Director reported the February Financial Fast Track was included in the agenda. Executive Director advised there was a deficit of $626,838. Executive Director noted there was a gain in the surplus of $20,000 since last month. NJCE PROPERTY & CASUALTY FINANCIAL FAST TRACK: Executive Director reported the February Financial Fast Track for the NJCE was included in the agenda. As of February 28, 2018 the NJCE had a surplus of $10,515,447. Executive Director noted the total cash amount was $23,477,242. In response to s inquiry regarding dividends, Executive Director stated there was a possibility that dividends would be available for the 2013 Fund Year. CLAIMS TRACKING REPORTS: Executive Director reported the agenda included two claim monitoring reports as of March 31, Executive Director advised he reviewed the Claims Activity Report and did not see any anomalies, however there were several property claims for Executive Director referred to the Claims Management Report for Fund Year 2018 and advised the amount paid for the property claims was $ $227,967. Executive Director noted Fund Year 2017 was doing well PROPERTY & CASUALTY ASSESSMENTS: Executive Director advised the second Property & Casualty Assessment payment was due on May 15, Payments should be sent to the Commission Treasurer, Ed Troy. Executive Director advised that concluded his report unless there were any questions. Executive Director asked Mr. Laracy to present the Health Benefits Report. Executive Director's Report Made Part of Minutes 3

4 FINANCIAL FAST TRACK: Mr. Laracy reported the Financial Fast Track as of March 31, 2018 was included in the agenda. Mr. Laracy advised for all years combined the health benefits surplus was just under $2.9 million. Mr. Laracy referred to the IBNR figure of $4,390,150 under claims expenses and advised the figure was certified by the actuary. Mr. Laracy explained the current balance of $5,258,471 is significantly higher and was increased due to a slowdown in the AmeriHealth claims. Mr. Laracy hoped this would be a wash for April and May. Mr. Laracy asked Mr. Henry to discuss the RFP for the Third Party Administrator for medical claims administration for the Burlington County Insurance Commission. Mr. Henry advised in March an RFP was released and distributed to five major carriers in the region. Mr. Henry reported two responses were received from AmeriHealth Administrators and Aetna/Meritain. Mr. Henry stated the responses were analyzed for qualitative issues and clarifications questions were sent to both providers this week. Mr. Henry expected the answers within the next week and advised then the financial terms of the responses would be evaluated. Mr. Henry indicated a recommendation would be available for the June meeting. In response to Executive Director s inquiry, Mr. Henry answered the contract date was July 1. Mr. Henry noted that if the recommended carrier was Aetna/Meritain, Amerihealth would be asked to extend their contract in order for a smooth transition. Executive Director suggested providing a consolidated Financial Fast Track for the Property & Casualty Division and Health Division. After a brief discussion it was agreed the Financial Fast Tracks should continue as separate reports, however, a consolidated report could be used for informational reasons. TREASURER REPORT: Mr. Troy reported he reviewed the May Property & Casualty Bill List along with the Health Bill List and recommended their payment. Mr. Troy also advised the April Bill Lists were also included in the agenda for approval as the Commission did not meet in April. MOTION TO APPROVE RESOLUTIONS 29-18, 30-18, AND THE APRIL AND MAY BILL LISTS Executive Director advised the Treasurer s monthly reports were included in the agenda. ATTORNEY: Mr. Baxter advised the TPA service agreement was now signed and did not have anything further to discuss. CLAIMS SERVICE. Ms. Grabowski advised PMA s monthly reports were included in the appendix section of the agenda. Ms. Grabowski reviewed the Worker Compensation Claims by Quarter report and advised the claims were trending a little higher this year but the claims `were usually higher during the first quarter due to the weather. Ms. Grabowski continued to review the claim counts compared to Ms. Grabowski referred to the Year to Date Containment Savings Report which was included in the agenda for the period of 1/1/18 to 4/1/18 and advised PMA billed charges were in the amount of $179,698. Ms. Grabowski indicated the total net savings was $69,309. Ms. Grabowski noted the network penetration remained at 97% which was excellent. Ms. Grabowski also reviewed the Accident Cause Group Report and WC Claims Frequency and Severity by Location, Top 5 Locations by Claim Frequency and Top 5 Cause Group by Claims Frequency reports which were 4

5 included in the agenda. Ms. Grabowski advised that concluded her report unless anyone had any questions. CEL SAFETY DIRECTOR: Mr. Prince advised his report was included in the agenda and reviewed the Risk Control Activities for February & March. Mr. Prince referred to a copy of the Safety Director Bulletin, Comprehensive Playground Inspection Program which was included in the agenda. Mr. Prince noted he sent the bulletin to John Smith and playground inspections would be conducted by Mr. Smith and himself. Mr. Prince reported he was scheduled to visit with the Superintendent of Board of Elections to conduct two work station assessments on May 9 th. OLD BUSINESS: None NEW BUSINESS: None PUBLIC COMMENT: MOTION TO OPEN MEETING TO THE PUBLIC Seeing no members of the public wishing to speak, asked for a motion to close the public comment portion of the meeting. MOTION TO CLOSE MEETING TO THE PUBLIC CLOSED SESSION: read Resolution 33-18, Resolution for Closed Session, and requested a Motion for Executive Session (in accordance with the Open Public Meetings Act, N.J.S.A 10:4-12) to discuss payment authority requests. MOTION TO APPROVE RESOLUTION FOR CLOSED SESSION MOTION TO APPROVE THE PARS PRESENTED FOR MARCH AND APRIL DURING CLOSED SESSION 5

6 MOTION TO ADJOURN: advised the next Commission meeting was scheduled for June 7, 2018 at 2:00 PM. MEETING ADJOURNED: 2:42 PM Minutes prepared by: Cathy Dodd, Assisting Secretary 6