Liability insurance programs are provided by Public Utility Mutual Insurance Company, A Risk Retention Group (PUMIC RRG), a liability insurance company, which is owned by its members. Public Utility Mutual Insurance Company was originally formed as an association captive insurance company in 1997 by several PURMA utility members to take advantage of the outstanding loss history experienced by municipal utilities in the Northeast.
In 2007, the organization, while maintaining its structure as a mutual insurance company, converted to a risk retention group (RRG) under the Federal Liability Risk Retention Act. Losses in excess of $1,000,000 are reinsured through Associated Electric & Gas Insurance Services (AEGIS). PUMIC RRG is licensed in the State of Vermont, regulated by the Vermont Department of Banking, Insurance, Securities, & Healthcare Administration, and is registered to also operate in the States of Massachusetts, Rhode Island, Connecticut, New Hampshire and New York. Registration in other states will be completed as needed.
All members of PUMIC RRG are municipal utilities or associated tax-exempt public entities providing electric, gas, water, sewer, cable TV, telephone and internet services. More than 90% of our member’s revenue is generated by electric utility services.
PUMIC Risk Retention Group Programs
Commercial General Liability
Occurrence-based Broad Form CGL policy to “pay on behalf of” the insured all sums it is legally obligated to pay as damages due to bodily injury or property damage of a third party.
A claims-made policy providing excess liability coverage with limit options of $10 Million or $25 Million for bodily injury, property damage and personal injury claims, including those arising out of automobile accidents, employer’s liability and mutual assistance liability, which exceed the limits of your primary coverage or your self-insured retention of $500,000.
Fleet Auto Liability Insurance
Commercial Auto insurance providing bodily injury and property damage liability with limits of up to $500,000, including $100,000 /$300,000 Uninsured and underinsured motorist coverage, for all types of public utility vehicles. The liability portion covers damage to other vehicles or property and injury to others for accidents for which you are at-fault. While the auto liability coverage is provided through the risk retention group, the policy form is issued and claims are administered through Liberty Mutual Insurance Company.
Auto physical damage covers repair of vehicles you own. Since risk retention groups cannot currently provide property coverage, coverage for auto physical damage is provided separately, but seamlessly through an arrangement with Liberty Mutual Insurance Company.
Public Officials Liability
Claims-made policy to pay on behalf of any individual who was, now is, or shall be a Trustee, Director, Officer, Commissioner, General Manager, Employee, Volunteer or Staff member of the public entity for all losses legally obligated to pay as a result of claims made against the insured by reason of a wrongful act. Limits of $1,000,000, $3,000,000 and $5,000,000 are available.
Fiduciary and Employee Benefits Liability
A claims-made policy to indemnify the insured sponsor organization and employees from claims arising out of a wrongful act including any breach of fiduciary duty( FID) or any error or omission related to the administration of any employee benefits program (EBPL). Wrongful Act is defined as any actual breach of fiduciary committed in the administration of employee benefits programs.
Claims-made insurance for designated activities to pay on behalf of the insured all sums it is legally obligated to pay as a result of a Wrongful Act. A Wrongful Act is defined as an act, error or omission in the performance of professional services for others, such telecommunications, internet and cable operations.