NPP Consolidated Insurance Program CIP

1
NPP Consolidated Insurance Program (CIP)
2
CIP integral to NPP Risk Management

• Objective To provide an overview of the CIP
  Insurance Coverage

3
CIP - General

• Purpose
• provide adequate, cost effective, insurance
  coverage to all NPF activities
• combination of self insurance and purchases
  commercial insurance policies providing national
  coverage for property losses and liability claims
• Activities covered
• all NPF property, business or economic
  undertakings of CANEX, Messes, Clubs,
  Base/Wing/Station activities, programs and
  funds, PMQ councils, the CFCF and all other NPF
  activities and programs accounted for in the NPF
  book of accounts.

4
NPP Insurance Coverage Structure

• Property
• Comprehensive General Liability
• Umbrella Liability
• Motor Vehicle Liability
• Environmental Damage Liability
• Group Travel Accident
• Directors Officers Liability

5
Property Coverage

• buildings, equipment, furniture and effects and
  inventories
• includes property under construction or in
  transit or located anywhere in the world.
• Items on loan or consignment
• PMQ/ Community Council
• money

6
Comprehensive General Liability

• Provides coverage for legal liability for
  damage/destruction/loss of or loss of use to
  property of third parties
• bodily injury, personal injuries, sickness,
  disease, disability, mental suffering, including
  death
• 10,000,000 per incident

7
Comprehensive General Liability (contd)

• NPF owned aircraft, including gliders, are not
  covered
• Licensed vehicles are insured under a separate
  Vehicle Liability Insurance Policy
• Injuries to NPF paid employees occurring in the
  course of their NPF employment are not covered,
  this is covered by GECA
• Volunteers are covered under this section

8
Comprehensive General Liability (contd)

• Provides for the payment of all sums which NPF
  may become obligated to pay by reason of the
  liability imposed by law for damages arising out
  of NPF operations

9
Umbrella Liability

• Increases liability limits for policies covering
  third party liability
• 10M Coverage

10
Motor Vehicle Liability

• Includes legal liability for the operation of
  NPF-owned vehicles and non-owned vehicles (lease)
• bodily injury/death or damage/loss to property of
  others
• 1,000,000 per incident plus Statutory Medical
  Benefits.

11
Environmental Damage

• Provides coverage for bodily injury/ property
  damage/clean up cost on or off premises due to
  tank release.
• Defense cost (250K Aggregate Limit)
• 8 Locations

12
Group Accident Travel

• Twenty-four hour business travel, provides Life,
  Paralysis, and Dismemberment coverage
• 200K
• Limit of Liability 2M Per Incident

13
Directors Officers Liability

• Defense, penal coverage and initial litigation
  expenses
• Most covered by Treasury Board of Canada
  Secretariats Policy on the indemnification of
  and Legal Assistance for Crown Servants

14
Units Shares of Deductibles

• Bases/Wings/CANEX/CFSU(O) 5,000
• Ships Small Units 500

15
CFCF Consolidated Insurance Program (CIP)

• Claims Processing
• CANEX Reports incident through VP Ops
• All other report through the Base/Unit PSP
  Manager
• Must report immediately by phone or FAX and a
  Preliminary Loss Report should be forwarded to
  CFO/BRM ASAP

16
RELEASE OF LIABILITY   WAIVER OF CLAIMS,
ASSUMPTION OF RISKS AND INDEMNIFICATION
AGREEMENT   I, ...................................
...................., of .........................
......................., realizing and
acknowledging the inherent risks and dangers of
playing golf on a golf course, on behalf of
myself, my heirs, devisees, successors, assigns,
executors and administrators, in consideration of
being permitted to play golf at the Hylands Golf
Course, do hereby   a. waive all claims of any
nature or kind whether in contract, tort,
negligence or otherwise, against Her Majesty the
Queen in right of Canada, Her officers, servants,
agents, employees and members of Her Canadian
Forces, and against those members' Non-Public
Property, and against the Canadian Forces
Personnel Support Agency, its officers, servants,
agents and employees, all in their employment and
private capacities, in any manner arising out of,
based upon, occasioned by or attributable to the
activities of them, including negligence on their
part, or any action taken or things done or
maintained by virtue thereof   b. having
determined and acknowledged that the activity is
inherently hazardous and may result in physical
harm and wishing in any event to carry out the
activity, voluntarily assume any risks that may
be associated with the activity   c. at all
times indemnify and save harmless Her Majesty the
Queen in right of Canada, Her officers, servants,
agents, employees and members of Her Canadian
Forces, and those members' Non-Public Property,
and the Canadian Forces Personnel Support Agency,
its officers, servants, agents and employees,
from and against all claims and demands, loss,
costs, damages, actions, causes of action, suits
or other proceedings by whomsoever made, brought,
or prosecuted in a manner, related to any loss,
property damage, personal injury or death,
resulting from, occasioned by or attributable in
any way to my presence on or at the Hylands Golf
Course   d. covenant that I will not commence or
maintain against any person, any action or
proceeding which will give rise to a claim
against Her Majesty the Queen in right of Canada,
Her officers, servants, agents, employees and
members of Her Canadian Forces, or against those
members' Non-Public Property, or against the
Canadian Forces Personnel Support Agency, its
officers, servants, agents and employees, for
contribution or indemnity and   e. acknowledge
having read this Release of Liability, Waiver of
Claims, Assumption of Risks and Indemnification
Agreement and understanding the Agreement is
intended to be broad and all inclusive so as to
preclude any claims, indicate my acceptance of
this document by my signature.     DATED at
............................................,
this .............. day of .......................
......, 20.......     WITNESS ....................
...................... SIGNATURE
..................................................
....."  
17
Insurance Cost Clubs

• CIP represents excellent value compared to
  arranging insurance coverage at the local level
• Examples .typical large base

18
Insurance Cost Clubs (contd)

• Archery 2,500
• Auto Club 2,500
• Badminton 1,000
• Ball Hockey 1,000
• Baseball 1,000
• Basketball 1,000
• Broomball 1,000
• Canoe/Kayak 5,000
• Ceramics 1,000
• Climbing 5,000
• Computer 1,000
• Curling 3,000
• Cycling 2,500

19
Insurance Cost Clubs (contd)

• Dance 2,500
• Dragon Boat 1,000
• Gardening 1,000
• Golf Club 5,000
• Gun/Shooting Club 5,000
• Gymnastics 2,500
• Hockey 2,500
• Horseback Riding/Saddle 5,000
• Hunting/Fishing Club 1,000
• Indoor Soccer 1,000
• Internet 1,000
• Martial Arts 5,000
• Medieval 1,000

20
Insurance Cost Clubs (contd)

• Moms Tots 2,500
• Motor Cycle 2,500
• Paintball 5,000
• Pottery 1,000
• Radio 1,000
• Ringette 2,500
• Running 1,000
• Scuba Diving 5,000
• Sewing 1,000
• Skateboard 2,500
• Skating 1,000
• Ski 2,500
• Snow Mobile 2,500

21
Insurance Cost Clubs (contd)

• Soccer 1,000
• Squash 1,000
• Stained Glass 1,000
• Strategic Gaming 1,000
• Swimming 3,000
• Theatre 1,000
• Triathlon 2,500
• Weightlifting 2,500
• Wood Working 1,500
• Wrestling 2,500
• Yatch/Sailing/Marina 5,000
• Youth 2,500
• Youth Bowling 1,000

22
Insurance Cost Clubs

• Auto Club 2,500
• Canoe/Kayak 5,000
• Cycling 2,500
• Gardening 1,000
• Golf Club 5,000
• Gun/Shooting Club 5,000
• Gymnastics 2,500
• Hunting/Fishing Club 1,000
• Internet 1,000
• Martial Arts 5,000
• Medieval 1,000
• Moms Tots 2,500
• Motor Cycle 2,500
• Radio 1,000
• Scuba Diving 5,000
• Squash 1,000
• Triathlon 2,500
• Yatch Club Marina 5,000

23
Insurance Cost Clubs Impact for Typical Unit

• Total cost of locally arranged insurance
• 51,000
• Total cost of CIP
• 11,602

24
NPP Incident Profile Trend Third Party Liability

• Fell backward on a chair (Back injury) O/S
• Customer hit by a ladder (neck injury) 5K
• Slip and fall wet floor (Back injury) 3K
• Fell off ladder (Death) O/S
• Slip and fall dance floor (Broken ankle) O/S
• Trip over metal display (Broken arm) O/S
• Alcohol related car accident (4 Death) 875K
• Alcohol related car accident (1 Death) O/S
• Customer spill hot coffee (3rd degree burn) 8K

25
NPP Incident Profile Trend Third Party
Liability (contd)

• Slip in eggs on the floor (Back injury) 15.5K
• Slip on steps (Mess) (Broken ankle) 60K
• Slip and fall golf course (Broken ankle) 32K
• Slip and fall golf course Fractured hips) 21K
• Slip and fall parking lot (Broken forearm) O/S
• Slip and fall parking lot (Neck injury) O/S
• Skier hit by a skidoo (Broken nose, Jaws,
  Collarbone, concussion Facial injury) 53K

26
CFCF Consolidated Insurance Program (CIP)

• Contact Jean E. Delisle
• Budget/Risk Manager
• TEL [phone]
• FAX [phone]
• EMAIL delisle.jean_at_cfpsa.com
• CIP Website www.cfpsa.com/en/services/finance/cip
  /