History
The risk management program was first started in 1972, after an independent audit report focused on the state's need for a coordinated and professionally managed insurance program. The Division of Risk Management was established in 1979 as growth created additional and more complicated insurance demands. With a present staff of six - Risk Management operates from the State Office Building in Juneau - serving a statewide constituency that includes all departments of the executive, legislative and judicial branches of state government; all state boards and commissions; their respective employees and members. The risk management program affects those who contract (purchase, professional service and lease agreements) with state agencies and to all Alaskans that claim the state is legally liable for their individual property damage or personal injury.
By effectively managing the state's property and liability exposures through a comprehensive self insurance program Risk Management expends less public funds than would be paid to private insurance companies at the same time providing streamlined claims services utilizing professional adjusting firms located throughout Alaska.
| COVERAGE | SELF-INSURED RETENTION | LIMITS OF INSURANCE |
|---|---|---|
| PROPERTY - all risk owned/leased buildings incl. contents and museum fine arts replacement cost coverage | $1,000,000 each loss | $200,000,000 |
| (EARTHQUAKE & FLOOD) | 5% subject to min, $1,000,000 | $50,000,000 |
| BOILER & MACHINERY | $50,000 | $100,000,000 |
| COMBINED LIABILITY (including general liability, auto, professional liability, medical malpractice, director & officers etc.) | Self insured | |
| WORKERS' COMPENSATION | Authorized Self Insured Employer | Statutory Benefit |
| MARINE Vessel Hull & Machinery Marine P&I Legal Liabilities Marine Pollution |
$750,000 $500,000 $500,000 |
Declared Values $500,000,000 |
| FOREIGN LIABILITY | Nil | $1,000,000 |
| AVIATION LIABILITY Airports Aircraft |
$250,000 $250,000 |
$500,000,000 $25,000,000 |
| EMPLOYEE FIDELITY BOND incl. blanket faithful performance and statutory bond coverage |
$500,000 | $25,000,000 |
This list is not detailed and does not include all policies for special exposures, there are policy extensions and limitations not included in this statement, additional information concerning specific areas of coverage are available from Risk Management on request. The policies extend to cover all State Departments except those specifically excluded such as the Alaska Railroad and University of Alaska, who administer their own insurance program.