1. The Independent Education and USI Insurance Services Program Partnering For Safer School Environments

2. The Mission Launch a program of Risk Management related products and services designed to maximize cost reductions through competitive pricing, broad coverage, and risk control services. The method of achieving the mission is to provide the safest possible environment for the students and the employees of member schools.

3. The IE/USI Program process Risk Identification  What types of operations/activities are specific to your school Risk Analysis  Identification of Risk Factors  Deficiency Analysis Risk Transfer  Insurance Coverage  Non-insurance alternatives Risk Control  On line Resources  USI Support  Carrier Resources  Specialized Services from Resource Partners Risk Management Strategic Plan  Written, Annual plan  Longer range (3 yr.) with measurable objectives

4. 4 USI’s Process Driven Solutions for Supporting Client’s Growth CREATING THE ROAD MAP Strategic Planning, Risk Identification, Risk Analysis SOLUTIONS DRIVNG GROWTH Safety & Loss Control, Claims Advocacy, Contract Management, Program Design SERVICE Passionate Professionals, Written Service Calendar TEAMWORK Client and Association feedback

5. Categories of Major Losses in 2009 Sexual Misconduct/Molestation General Liability Workers’ Compensation

6. Sexual Misconduct/Molestation 5 Largest Losses of 2009  (Teacher – Student) Inappropriate comments, touching, exposing - $150,000  (Teacher – Student) Inappropriate relationship – $100,000  (Teacher – Student) Inappropriate touching, private lessons (multiple students) - $50,000  (Student – Student) Assault - $25,000  (Teacher – Student) Inappropriate relationship - $25,000

7. General Liability 5 Largest Losses  8 th Grade Chemistry Class, experiment resulted in severe burns to two students - $850,000  School Visitor tripped over tarp - $700,000  Church using school facility, church member fell from catwalk - $515,000  Teacher held pool party at his home, student injured - $500,000  Student choked to death during lunch - $500,000

8. Workers’ Compensation 5 Largest Losses  Maintenance Person was on ladder (20’) when he fell from ladder - $641,000  Maintenance Person was lifting lawnmower - $573,000  Administrative Employee slipped and fell as they entered building - $408,000  Bus Driver ran into student resulting in fall - $362,000  Teacher slipped on icy sidewalk - $357,000

9. Deficiency Analysis Examples Turf Athletic Fields excluded as Land Punitive Damages Excluded Computer Fraud Excluded 90-day claims notice applies to any employee No-Fault Medical Payments exclude students/campers Excess limits may not apply over D&O, Corporal Punishment or Sexual Misconduct.

10. Summary The Key to a successful Risk Management program  Preserve and continue the development of a safe environment for students, employees, faculty and trustees while providing the tools to maximize cost savings