Office of the Superintendent of Schools
Office of Finance and Operations
title
Approval Of The Purchase Of Property Insurance From Various Insurers And Authority To Negotiate And Execute The Purchase Of $250 Million Of Property Insurance Coverage
body
The Houston Independent School District (HISD) carries a portfolio of all risk property insurance policies based on a manuscript form to protect HISD's schools, support service facilities, and contents valued at approximately $7.6 billion spread over an area of more than 333 square miles within Houston. The current portfolio of policies includes limits of $250 million per occurrence, with separate sublimits for named storm, wind, flood, and earthquake. The 2023-2024 deductibles are $5,000,000 per occurrence for wind, hail, and/or flood losses due to a named storm; and $500,000 per occurrence for losses due to wind, hail, flood, and earthquake. The 2024-2025 deductibles will remain the same and will include additional coverage for high-risk areas. A deductible buy-back policy will be put into place to reduce the per-occurrence deductible from $5,000,000 to $2,500,000 for wind, hail, and/or flood losses due to a named storm.
In May 2021, a request for proposals for property insurance brokerage services was issued. In September August 2021, the HISD Board of Education approved the award of the services contract to Alliant Insurance Services, Inc., which has a minority/women-owned business enterprise (M/WBE) participation of 25 percent.
Alliant Insurance Services, Inc., is negotiating the policies at an annual cost not to exceed TBD $26,730,000. There may be minor changes in the positioning and pricing of some of the insurance carriers within the various layers, as negotiations continue.
COST/FUNDING SOURCE(S):
The total cost for this program is not to exceed TBD $26,730,000 and will be funded as follows:
Fund Source
Fund
Cost Center
Functional Area
General Ledger
Internal Order/ Work Breakdown Structure
Amount...
Click here for full text