2009-10 Risk Management Services Annual Report

League trusts believe in responsiveness and service 

As we reflect on the Risk Management Services past year, we can honestly do so with pride. It is no secret that the world’s economy has affected us all. But despite the challenges of trying to do more with less, your three risk management trusts – workers’ compensation, property and liability, and health benefits – remain on solid financial footing.

We take pride in attributing this stability to a couple of foundational philosophies. First and foremost, we can boast engaged pool members who remain involved – financially and emotionally –  in the success of the programs. They are YOUR programs, after all.

Secondly, we have a Board of Trustees and RMS staff members that take the ideas of responsiveness and service to heart; we live and breathe it every day.

We often talk around the office about “tribal stories” – anecdotal stories that we can share to illustrate our commitment to service and responsiveness. Here are just a few of the many that highlight the idea of service within the League’s RMS programs.

Back in July, one of our members in the eastern part of the state was suffering from massive rainfall (more than three inches fell in just a few minutes). Not knowing who to call, this town called one of the League’s Member Services representatives at 2:50 p.m. At 3:48 – less than an hour later – the Member Services rep forwarded that email on to members of the League’s property/liability claims department. Just five minutes later, the employee from the town contacted the Member Services rep to say that someone from the claims department had already been in contact and had set up an appointment. “As usual, you all are great!” was the response.

Another “tribal story” involves the NCLM Wellness Initiative. Bonita Hurdle, the town of Nags Head’s human resources director, admitted that when the program began for the town in October 2009, she was overweight. “As the Human Resources Director for the town, I knew my attitude towards wellness would play an important part in obtaining buy-in from employees. So, on October 14th, I chose to start living a healthier lifestyle. I didn't start a diet because, for me, diets never work. I decided a healthier lifestyle was something I could live with for the rest of my life.”

Using the Wellness Initiative’s tools and the town’s resources, Hurdle began losing weight and exercising more.

“When the Wellness Initiative team came back for the re-assessment on September 16, 2010, they were in for a surprise!” said Hurdle.

Hurdle had lost more than 30 pounds and five inches off her waist, and her cholesterol levels were much improved, among other things.

“I strongly recommend employers sponsoring a Wellness Program for employees,” she said. “It CAN make a difference.”

You could also point to a recent conversation one NCLM employee had with one of our member services representatives who was having phone issues so used a phone in one of our members’ town facilities. The NCLM employee back in Raleigh jokingly asked, “When did you start working for the town?” To which the member services rep replied, “We ALL work for the town.”

Or we can point to other, more “tangible” examples of our service and responsiveness during the past year, such as:

• a Loss Control Best Practices CD delivered to all members of the property & liability and workers’ comp trusts;
• implementing a new program with special focus on liability exposures that focuses on the critical exposures and the development of recommendations to eliminate, control, or revise existing work practices with the goal of reducing claims and resultant costs;
• the continued success of the aforementioned Wellness Initiative, with more than 40 municipalities and 1,500 employees taking part;
• the Loss Control Risk Management staff, after completing the new flagger instructor training required by NCDOT, set up several workshops to train those employees in our member towns who would require flagger certification by the end of July 2010;
• the creation of the Law Enforcement Technical Advisory Committee (LETAC), which is in the process of developing a driving training module that impacts the major losses that are seen within police agencies;
• a successful fourth year of Safety Catch online training; and
• the many other ongoing grant programs, such as safety kits, body armor grants and more.

Clearly we are continuing to do good things. Our annual audits bear this out as well. From a financial bookmarking perspective, the three programs exceed the industry norms. We continue to have adequate reserves.

That is not to say that there have not been challenges. There will also be challenges as we go forward. More specifically, federal health care reform could have a large and lasting impact on our Health Benefits Trust. Or it could result in further proof of the need for such a pool.

The hyper-competitiveness and uncertainty of the insurance world instills in us the desire to always keep looking to improve upon our services and programs. We must continually ask the question: are we operating as efficiently as we can? If not, what do we need to do to improve?

As we look ahead to 2011-12, it should surprise no one that changes – particularly in the health benefits trust program – are inevitable. But what is also inevitable is our commitment to service and responsiveness, our commitment to our members.

Sincerely,

Commissioner E.H. (Alex) Alexander, Red Springs; Chair: RMS Board of Trustees

Bob Haynes, NCLM associate director for Risk Management and Member Services

Interlocal Risk Financing Fund of North Carolina
(Property-Liability Trust)

Click here for 2009-10 IRFFNC Financials (PDF)

Click here for 2009-10 IRFFNC Members (PDF)

North Carolina Interlocal Risk Management Agency
(Workers' Compensation Trust)

Click here for 2009-10 NCIRMA Financials (PDF)

Click here for 2009-10 NCIRMA Members (PDF)

Municipal Insurance Trust of North Carolina
(Health Benefits Trust)

Click here for 2009-10 MIT Financials (PDF)

Click here for 2009-10 MIT Members (PDF)