Update: Reduced Premiums for School Vehicles
Thursday, May 21, 2020
As a result of New York’s executive mandate to keep schools closed for the remainder of the school year, NYSIR has announced even greater insurance premium returns related to reduced use of district and BOCES vehicles.
New York Schools Insurance Reciprocal Executive Director Bob Lulley has announced that, based on a reduction in liability and collision exposure associated with the March-through-June closure of schools due to the coronavirus pandemic, the reciprocal will be returning $2 million to its members. NYSIR expects that, on average, its 356 individual subscriber districts and BOCES will receive a return on vehicle insurance premiums of approximately $5,600.
Earlier this year, before the decision not to reopen schools for the remainder of the school year was announced, NYSIR reported that each of its subscribers could expect, on average, a $2,100 return on premiums, based on the fact that quarantined schools weren’t using their vehicles as much.
“We have decided to use a general change in estimated vehicle usage,” Lulley noted, “as opposed to surveying all of our member districts and BOCES for specific, vehicle-by-vehicle data. With total annual vehicle premiums of approximately $11.7 million, we estimate that premiums returned to our subscribers will amount to 17 percent of total annual vehicle premiums.”
NYSIR officials said individual subscriber reductions will appear as credits on renewal invoices, or will arrive as return premium checks for non-renewing members.