Friday, March 04, 2016

Attachment to MEETING MINUTES of March 1 2016 Report about Insurance from Todd Osborn

Attachment to March 1 MEETING MINUTES

This is the attachment drafted by Todd Osborn about Insurance

March 2016 Board Meeting
MIA Insurance Quotes and Selection     


At the 9Feb2016 board meeting the board agreed a review of the current coverage and cost was in order since the MIA insurance was coming up for renewal at the end of the month.

Todd Osborn contacted the following for review of our current policies and quotes. Todd specifically asked for inclusion in the General Liability policy of MIA hosted alcohol events and coverage for “walk on alcohol” (members bringing alcohol to the pool when open in the summer).

·       Dave De Lozier (our current agent with Peterson Insurance),
·       Dan Davis (Davis HOA Insurance Solutions),
·       Michelle and James Montoya (MIA members with insurance expertise)

Dave De Lozier and Dan Davis both said our current Workman’s Compensation insurance with Berkshire Hathaway is a good policy and priced well. This policy is obtained through our payroll service (ADP) so no change planned for 2016.

An insurance specialist surveyed the MIA property for the Liability and Property/Casualty quotes on 17Feb2016.

Dan Davis sent our General Liability and Property/Casualty coverage for quotes from four underwriters; two did not respond and the other two said they would not quote due to the diving platform at the pool. Dan said the Directors and Officers policy was “locked out” by the other agent so he could not provide a quote for this.

Michelle and James Montoya were not able to obtain quotes or provide feedback on the current policy coverage prior to the 29Feb expiration date.

Peterson Insurance has merged with San Jose Insurance, so Dave De Lozier asked Karol Payne to handle our account. Karol said our D&O policy provided good coverage at a good price so no change for 2016 (premium is same as 2015). She sent our Liability and Property/Casualty coverage for quotes from four underwriters, two would not quote due to the diving platform. We received quotes from Scottsdale Insurance and Philadelphia Insurance on 2/26/2016.

·       The Scottsdale quote provided the same coverage limits as the 2015 policy with one hosted liquor event (July 4th) included. Additional MIA hosted events can be added for additional cost. Confirmed “walk on” alcohol is covered. Total premium is $8465.29 (about 6% less than the 2015 cost)

·       The Philadelphia quote provided the same coverage limits as the 2015 Scottsdale policy but with an increased General Aggregate Limit of $5M (Scottsdale is $3M) and better property coverage. 

c    Scheduled hosted liquor events are included (July 4th plus any others we want to add with no additional cost). Confirmed “walk on” alcohol is covered. Total premium is $9395.00 (about 4% more than the 2015 cost)

Both quotes are below the $10,500 budgeted for 2016. The Philadelphia coverage was selected because it provides better coverage for a small increase in cost.

Dan Davis, Dave De Lozier and Karol Payne all said that member exclusive use events in the clubhouse require the member to procure event insurance with MIA as a named insured. Karol Payne said that it is not possible to include coverage in the MIA General Liability Policy for member exclusive events. 

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