The district was presented with three (3) renewal options.  The first option attempted to duplicate the expiring program with a $47,500,000 insured loss limit and the second option offered a $100,000,000 insured loss limit.

Option #3 is a compromise between the two that provides an insured loss limit of $70,000,000 at a total cost of $2,676,500 (premium + regulatory charges).  It is recommended that the School Board approve Option #3 with a total cost of $2,676,560 ($2,650,000 premium + $26,560 regulatory charges).  It is the best compromise between expanded coverage and pricing that is within budget.  The selection of Option #3 will allow the district to purchase 47.37% higher loss limits with a 4.47% reduction in premium.  The district will no longer participate (self-fund) in the primary and secondary layers, which will result in lower cost in the event of a major property loss.