PIPNJ Anniversary Report 03032026

2026 40

TH

ANNIVERSARY

Pooled Insurance Program of New Jersey

POOLED INSURANCE FUND SAVINGS SINCE INCEPTION INITIAL SAVINGS $43.4 MILLION

DIVIDENDS PAID $23.6 MILLION

RETAINED SURPLUS $2.6 MILLION SAVINGS SINCE INCEPTION

TOTAL SAVINGS $69.6 MILLION

Initial Savings 62.3%

Retained Earnings 3.7%

Dividends 34%

WELCOME A MESSAGE FROM THE EXECUTIVE DIRECTOR It has been an honor to serve the Pooled Insurance Program of New Jersey (PIP-NJ).

I have had the pleasure of partnering with some outstanding Professionals, Officers, Trustees, and Board Members. All these partnerships, in one way or another, have contributed to the 40-year success of the Pooled Fund.

Thank you to all the Business Administrators and Risk Management Consultants who are part of the Fund. Without your confidence and belief in the Pooled Fund, the program would not be what it is today.

We would also like to take a minute to acknowledge the contribution of Robert Kanwisher, of the Burton Agency, who led the Fund as Executive Director until 2015.

It was his perseverance, forward-thinking, and ability to think outside the box, that helped move the Fund forward to success.

As we pass the four-decade mark, it is important to pay tribute to the Fund Presidents for their leadership and guidance in navigating growth and propelling our success into the future.

THANK YOU: DOMINIC BUTLER (1999-2006)

BARBARA FRANCISCO (2016-2023)

STEPHEN CEA (2006-2010)

KERRY KEANE (2023-2024)

JAMES TEVIS (2010-2016)

JANET BEHRMANN (2024-PRESENT)

The Pooled Insurance Program has a strong future ahead. Working and partnering with all of you, I look forward to implementing enhancements to the program that will further solidify its position as a leader and innovator in the school board insurance arena.

Sincerely,

Debra Ginetto Executive Director, PIP-NJ President, Burton Agency

HISTORY

Janet Behrmann

Michael Ucci

CHAIR 2024 - PRESENT

VICE CHAIR/SECRETARY 2024 - PRESENT

Established in 1986, the Pooled Insurance Program of New Jersey (PIP-NJ) was formed to take advantage of special New Jersey legislation that allowed Public Entities to group purchase insurance. PIP was one of the early Joint Insurance Funds created specifically for Schools and has been a model for similar organizations ever since.

The principle goal is to provide fully-insured property and casualty insurance and workers’ compensation through self-insurance to School Boards across the state. The Fund was conservatively structured to achieve both cost savings and budget stability. This approach has resulted in providing quality insurance and stabilized premiums for all our Fund members.

SAVINGS Conservatively, PIP has saved members over $69 million – or 26% compared to regular commercial insurance rates – over the past 40 years.

Workers’ Compensation (68%) is a group self-insurance pooled program. The Fund purchases excess coverage for NJ Statutory and Employers Liability with a commercial stop-loss cap to protect the group from a large claim. The average initial premium provides an average 23% discount from the workers’ compensation rates established by the state. This strategy also allows the Fund to invest the claim reserves, saving an additional $13 million to date.

Property/Liability (32%) is a group purchase of coverages from commercial insurance companies at a flat negotiated premium. This strategy saves an average of 12.5% from regular commercial rates, and protects members against additional assessments from more unpredictable liability and property claims.

AHEAD OF THE CURVE Over the years, PIP has expanded member offerings to keep pace with the ever-changing insurance landscape. Environmental, Cyber, HIB, and Misconduct coverages are just a few of the expanded programs offered to our members, all part of the “fully-insured” coverage.

PIP has leveraged our purchasing power to increase the overall coverage limits for General Liability, School Board Legal, and Automobile Liability to $65 million.

COST CONTROLS To reduce claims, PIP provides extensive risk control services to help members implement effective safety programs. The property insurer, on a rotating basis, inspects each facility.

This is supplemented with visits by certified playground inspectors, and a wide array of MSI safety classes are offered both online and in the classroom – for no extra cost.

Non-claims costs have been kept to an absolute minimum. The insurance Fund spends only 10% of the budget on these expenses, as compared to 31% for commercial property/casualty insurance companies. These other costs include administration, general legal, claims adjusting expenses, advertising, and fees to Risk Managers.

As a government entity, the Fund is also exempt from federal and state taxes.

The Fund also offers an active “educational” element from our professionals. Over the past two years, PIP has included presentations that qualify for QPA credits for our membership.

Each member also receives assistance from a Risk Management Consultant, usually a local insurance agent. These professionals are responsible for numerous risk management functions that are detailed in the Group Bylaws. Their fees are about half the cost of the commissions paid by commercial insurance companies.

Workers’ compensation continues to be one of the largest areas of expense for School Districts. These charts illustrate the most common causes and departments of on-the-job accidents. Implementing risk controls and taking advantage of safety training significantly reduces accidents and claim costs.

ACCIDENTS BY DEPARTMENT

Educational 63%

CAUSES OF WORK ACCIDENTS

Falls 27%

Assault 27%

Managerial & Adm. 8% Custodial 21%

Other 8%

Other 9% Struck by 22%

Back & Strains 15%

MEMBER CONTROL Member control is one of the most important factors responsible for the ongoing success of the Fund. Each Board appoints their own Business Administrator to serve as a PIP representative. The representatives elect a Board of Trustees and Officers that oversee Fund business. Meetings are run exactly like a Board of Education meeting because the Fund is subject to all rules applicable to Boards of Education, including: Open Public Meetings Act, Open Public Records Act, Public Contracts Law, Fiscal Affairs Law, and the Ethics Act. The member involvement each quarter in the governance of “their” Fund is the critical factor in the $69.6 million in savings since 1986.

SCHOOL BOARD SPECIFIC The School Board Legal program has evolved over the years to include many of the necessary coverages resulting from ongoing changes in school board operations.

Increased Administrative Hearing coverage along with expanded Employment Practices Liability are just a couple of the enhancements.

Equally important has been the unique offering of having the district’s Board Attorney eligible to defend the school district.

CONTINUED SUCCESS Risk management and subsequent cost control is becoming more complicated with new exposures such as cyber security, fire, and flood claims that have also grown dramatically because of a higher frequency of storms and higher construction costs. The largest cost drivers are still employee-related, including workers’ compensation and employment practices.

As we grow, PIP will continue to meet the insurance needs of our members and help them navigate these turbulent times. We continue to focus on maintaining stability, having the ability to return surplus to our members, and we are committed to providing a range of value-added services to help manage risk and contain costs.

Working together — the Professional Team, Risk Managers, Officers and Trustees of the Fund, Committee Members, and our Members — PIP can continue to achieve success, now and well in the future.

PIP-NJ PROGRAM HIGHLIGHTS COMPREHENSIVE RISK MANAGEMENT FOR SCHOOLS

FULL REPLACEMENT COST $65M LIABILITY TOWER ABUSE & MOLESTATION

ON-DEMAND COURSES SAFESCHOOLS PLAYGROUND INSPECTIONS

SIMPLIFIED REPORTING SPECIALTY CLAIMS SUPPORT

TOTAL SAVINGS MEMBER DIVIDENDS TRANSPARENCY & CONTROL

Broad Coverage & High Limits • All-in-one protection: property, liability, auto, cyber & more • High limits of insurance to meet modern school district needs • Coverage designed to address evolving school risks

Robust Risk Control Services • Dedicated and experienced public entity risk control and safety team • On-site assessments, training, resources to help prevent losses • Employment Practices Attorney Hotline • Access to best practices and compliance guidance • Ongoing support Expert Claims Advocacy • Responsive, dedicated claims professionals who understand the challenges schools face • Hands-on, step-by-step guidance through the claims process • Advocacy to ensure fair, prompt resolution and minimal operational disruptions Local Partnership, Trusted Results • A well-run, locally managed fund — premiums stay in your community • Collaborative approach: school districts share knowledge and resources • Transparent governance and financial stability you can count on

PROTECTING SCHOOLS. EMPOWERING COMMUNITIES. DELIVERING RESULTS.

LEADERSHIP TRUSTEES

REPRESENTATIVES

CHAIR Janet Behrmann

Bloomingdale BOE

Union County Vocational-Technical Schools

Felicia Kicinski

Robert Brown

VICE CHAIR/SECRETARY Michael Ucci

Lincoln Park BOE

Clifton BOE

Victoria Lopez

David Pawlowski South Brunswick BOE

Hoboken BOE

Rita Giacchi Jefferson Twp BOE

Stephen McHugh Parsippany-Troy Hills BOE

Cheryl Balletto Cedar Grove BOE

Colin Monahan Passaic Valley Regional BOE

Debra Andreniuk Lakeland Reg. BOE

Pamela Vargas Butler BOE

Gordon Gibbs Pequannock Township BOE

Katine Slunt Montville BOE

Melissa Bertagno West Milford BOE

Peter Starr Milburn BOE

Kerry Keane Riverdale BOE

Jennifer Nicholson Berkeley Heights BOE

Rosa Hock North Brunswick BOE

Angela Spasevski Pompton Lakes BOE

Kaitlyn Lawler Kinnelon BOE

FUND PROFESSIONALS

RISK MANAGEMENT CONSULTANTS

EXECUTIVE DIRECTOR Debra Ginetto

Shannon Balken David Balken Gia Mongioi

Burton Agency

FUND ADVISOR David N. Grubb Senior Partner PERMA

TREASURER William Van Tassel WC CLAIMS ADMINISTRATOR Kelly Guerriero CSO Team Leader Inservco Insurance Services Inc.

WC MANAGED CARE Kelly Royce, RN, CCM

Acrisure NJ Partners Insurance Services LLC

Robin Campbell Cedar Risk Management

Drew Doscher Arthur J. Gallagher Risk Management Services

Thomas J. FitzPatrick Fairview Insurance Agency Associates

Justin Gallo Spiro Molfetas Jessica Roberts Polaris Galaxy Insurance LLC

Raymond Gill

Senior Vice President First Managed Care Option, Inc.

USI Insurance Services

AUDITOR Andrew Kucinski, CPA

Clyde Paul Agency, Inc

Nisivoccia

Lisa Hamm

Kevin Larkin Michelle Sweisfort

FUND ATTORNEY Stephen Fogarty, Esq.

Business & Governmental Insurance Agency

Fogarty & Hara Esqs.

Lee Nestel Greg DerAsadourian Cassandra Curington

WC ATTORNEY John H. Geaney, Esq.

CBIZ Insurance Services

Capehart Scatchard Attorneys at Law

FUND BROKER Edward Cooney, MBA, CCIC Partner Conner Strong & Buckelew

Dan Regan Latonya Brennan Arthur J. Gallagher Risk Management Services

Sanders Reynoso Strategic Insurance Partners

FUND ACTUARY Jamie Shooks, FCAS, MAAA Consulting Actuary The Actuarial Advantage

Karen Waters Acrisure LLC dba IMAC Agency

Pooled Insurance Program of New Jersey c/o Burton Agency Inc. 44 Bergen Street, Westwood, NJ 07675

www.pipnewjersey.org