Harford County, Maryland FY 24 Proposed Operating Budget

INSURANCE

ORIGIN/PURPOSE :

The County maintains a Self-Insurance Fund for the purpose of paying Workers' Compensation, General and Automobile Liability claims and County Property Damage losses. Self-Insurance funding is determined on the basis of an annual contracted actuarial analysis and internal evaluation of loss experience and exposures. Funding requirements are allocated to the following budgets: General Fund Insurance, Highways Fund Insurance, and Water and Sewer Operating Fund Insurance. At the start of each fiscal year, these budgeted funds are transferred into the Self-Insurance Fund, from which all claims are paid. Costs of insurance for the Libraries, Sheriff's Office and Detention Center are reflected in their budgets. The Self-Insurance Program is administered by Risk Management. The County implemented a policy of combining commercially purchased insurance with the retention of higher deductible levels, the use of selective self-insurance programs and the implementation of a risk management program, which includes a Countywide safety program.

Workers' Compensation:

Harford County carries excess commercial coverage, with a $1,500,000 retention level for claims. The County is also required to maintain reserve funds of $750,000 for Workers' Compensation claims in accordance with Article 101, Section 16 of the Code of Public General Laws of Maryland.

General and Automobile Liability:

Since September 5, 1991 the County has carried excess commercial coverage, with a $350,000 retention for claims.

Property Damage:

The County carries commercial property insurance coverage with varying deductibles on real and personal property, and a $50,000 deductible for physical damage to County owned vehicles.

ALL FUND SUMMARY:

ORIGINAL BUDGET FY 23

EXECUTIVE PROPOSED FY 24

AUDITED FY 21

AUDITED FY 22

CHANGE FY 23 VS FY 24

SUMMARY BY CHARACTER:

20 CONTRACTUAL SERVICES

896,148

1,206,687

1,546,730

1,884,077

337,347

GRAND TOTAL

896,148

1,206,687

1,546,730

1,884,077

337,347

624