ACPO Consortium

1
ACPO Consortium

• An Insurance Consortium arrangement aimed at the
  purchase of insurance at beneficial rates, best
  available cover and security Supported by a
  proactive Insurance Broker

2
Objectives of ACPO Midlands Group

• Obtain best value not simply price.
• Set common terms of cover
• Share Best Practice
• Efficiency
• Collaboration

3
The Participants (1)

• Leicestershire
• Northampton
• Staffordshire
• Warwickshire
• West Mercia
• West Midlands

T
4
The Participants (2)

• Best fit if linked in some way
• Common outlook
• Core Activity
• Claims experience
• Location
• Risk Managed Approach
• Risk spread
• Size
• If you can tick 3 or more of the above a workable
  plan is possible

5
The Preparation

• Which class or classes to Insure within
  Consortium.
• Could be minor covers initially
• Leading to-
• MD/BI
• Liability covers
• Advance planning to align-
• Renewal Dates
• LTAs
• Gather common data

6
The Advantages (1)

• Purchasing clout/Premium savings
• Common Policy conditions
• Some innovative inclusions
• Availability of a dedicated Loss Adjuster
• Survey Information and Valuation Guidance

7
The Advantages (2)

• Inclusions to minimise future problem areas
• BI
• Money (flexible approach)
• CAR
• Computer
• Deductibles can encourage a Risk Managed approach
• Broker fee cost economies

8
Problem Areas

• Potential for subsidising less Risk Managed
  Forces. But offset by
• Separate quotes within scheme
• Individual low claims rebates
• Locked into agreement.
• Varying deductibles
• Varying Loss Control measures

9
The Remedies (1)

• Agree a Memorandun of Understanding
• Sensible annual adjustments
• NCD to act as incentive for better RM
• Work with your broker to sort out problem areas

10
The Remedies (2)

• Plan for a Risk Managed Approach
• Common approach
• Deductibles
• Policy terms and conditions
• Valuation
• If all else fails set an Exit Strategy

11
The Figures

• Insurance Premiums for consortium costs
• Claims Experience
• Broker fees for this cover
• General Risk Improvement and advice
• Project advice and innovation

12
MD /BI Premiums (prior to any low claims
rebates)