CCAP Insurance Matters

The Vermont Department of Insurance, which regulates PELICAN's operations, has approved the SAC's request for the dividend distribution. The actual amount of each Subscriber's dividend is based on their annual Subscriber Surplus Account allocations. This means subscribers who have been part of PELICAN since its inception in 2003 will receive a larger dividend than those who have joined in more recent years. Since the SSA allocations are also based on the amount of premium each subscriber paid to PELICAN, it follows that subscribers with larger premiums will receive a larger share of the dividend.

All subscribers and their local insurance producers have been notified of the dividend, and checks were mailed at the end of February.

This dividend is another example of how PELICAN differs from traditional insurance coverage. In addition to personalized claims service, special training sessions (at no cost), loss control services, and support for PACAH, PELICAN also gives subscribers some money back! And the longer they remain a participant in PELICAN, the more money they get back. When PACAH and CCAP developed this program, we were hoping to show this was a long term solution for nursing home med mal and general liability insurance, and after seven years we are pleased to see these results.

The PELICAN SAC would like to emphasize that this dividend is not necessarily something that will happen each year. The SAC reviews PELICAN's finances very closely. Due to the excellent claims experience of the PELICAN subscribers, and with some significant improvement in investment returns, there is presently sufficient funding to provide this dividend. Results may be different in other years. We urge subscribers not to budget for or expect a dividend return each year.

2010 RATES

The PELICAN SAC has also approved new rates for 2010, with a small increase to the skilled bed rate. The rate for 2010 will be $436 per bed, compared to $419 last year. This is a 4.05% increase. With a few less members due to three counties selling their facilities, a rate increase was needed. We also factored in the savings from our new rating basis (see below) to make sure we collected the same overall total premium, so many subscribers will see reductions in cost even with this small increase.

NEW RATING BASIS

In response to the changing nature of facilities, PELICAN has changed its rating structure. We now have four different rates by bed type:

Skilled Beds: $436 per bed

Independent Living: $109 (25% of the skilled bed)

Assisted Living/Personal Care: $218 (50% of the skilled bed rate)

Adult Day Care: $44 (10% of the skilled bed rate, based on average number of

clients per day)

Mcare has announced its 2010 rates. The rates went up an average of 13% compared to 2009.

PELICAN was developed by PACAH and CCAP as a long-term solution to the crisis in medical malpractice and general liability insurance coverage for county affiliated nursing homes. PELICAN is owned by the homes which purchase coverage from it, governed by the members, endorsed by PACAH, and managed by the County Commissioners Association of Pennsylvania under the direction of the PELICAN Subscriber's Advisory Council.

Reminder: PELICAN Subscribers should plan to attend the PELICAN Annual Subscribers' Meeting on Wednesday, April 21, 2010, beginning at noon at the Nittany Lion Inn (during the PACAH Spring Conference). There will be an election at this meeting for three PELICAN board positions. Watch for a separate mailing on this meeting.

Update: NACo deferred compensation program

Article provided by the National Association of Counties (NACo)

Recent headlines and the current economic climate highlight the importance of making sure personal and retirement investments are with a financially strong company.

As part of its oversight of its Deferred Compensation Program, NACo hires an independent consultant to evaluate several different program aspects. These include the creditworthiness of Nationwide Financial, the parent company to our program administrator, Nationwide Retirement Solutions, and the competitiveness of the fixed annuity investment option return to our program participants.

In their analysis of the creditworthiness of Nationwide, the consultants noted that while Nationwide continues as a strong organization even though in 2008 it was downgraded, due in part to the general economic conditions as well as some of those related specifically to the insurance industry. In some of the indicators against which Nationwide was evaluated, they continued very strong; in others, their position weakened from the prior year. NACo and the NACo Deferred Compensation Advisory Committee will continue to monitor Nationwide as economic conditions change in 2010.

The NACo deferred compensation program, also known as a 457 program, is a voluntary investment program that gives county employees the opportunity to save regularly for their retirement on a pre-tax basis. One of the investment options available to participants is a fixed annuity that offers county employees the opportunity to earn an investment return at a fixed rate that is established quarterly by Nationwide. In addition, on an annual basis, Nationwide sets an investment rate minimum (or floor) for the year.

According to the study, the 2008 return on this investment option placed highest among its competitors. The report was released at the November 4, 2009 meeting of NACo's Deferred Compensation Advisory Committee, held in Monterey County, California. This study has been conducted every year since 1989, and the NACo program has always come out on top. "Our 29-year partnership with NRS continues to deliver a quality program that helps county employees save for a more comfortable retirement - this is more important than ever in today's economy," said Larry Naake, NACo executive director.

The competitive interest rate test concluded that Nationwide met its contractual requirement to equal or exceed the top one-third of its competitors. This study reviewed the fixed annuity option offered by Nationwide and its nine largest competitors.

The consultants' analyses are only one feature of NACo's deferred compensation program that distinguishes it from others. As a result of NACo's Deferred Compensation Advisory Committee, the NACo program is the only one in the country that receives oversight and is advised by county participants. It also benefits from the oversight and endorsement of 41 state associations of counties.

For more information on NACo's deferred compensation program, please contact Lisa Cole at NACo at (202) 942-4270 or Nationwide Retirement Solutions at (877) 677-3678.

New Government Employee Marketplace

By Nancy Parrish, Director, NACo Financial Services Corporation

NACo is pleased to announce the Government Employee Marketplace as a benefit to its members. The Web site is a free service available to public employees and retirees. The Marketplace aggregates various government employee discount programs, features pre-negotiated discounts with major suppliers and aggregates other discounts and limited offers. Employees self-select the products and services they wish to use and may also select notification features for specific products. NACo partners with Govmarket.org to provide this service as a member benefit.

Key features of the program include:

Free - absolutely no cost to join, no membership fee, no activation fee, no access fee
Significant savings - exclusive volume discounts, collective markdowns and promotions, seasonal sales, free shipping
Convenience - one online portal, thousands of brand name merchants, Internet-based and also retail-based
Simple - user friendly, easy to navigate, search and categorization functionality, minimal registration and login requirements
Local Access - get information on local gas prices, travel search, sitter finder, dining & grocery deals

The local access feature also allows users to refer local providers and manufacturers to the site for featured discounts they offer locally to government employees or the public at large. To sign up for the program go to www.govmarket.org and follow the instructions to join.

For more information on the Marketplace, contact Nancy Parrish at nparrish@naco.org or (202) 661-8824.

Spring workshops!

By Linda Rosito, Insurance Training Director

The spring season of workshops held by the County Commissioners Association of Pennsylvania Insurance Programs begins this month. Our March workshops include Controlling Workers' Compensation Costs, Maintenance Workshop and Defensive Driving Course. For additional information on the rest of the workshop season, please refer to Glimpse Online.

You should have already received your copy of the spring Glimpse. If you would like additional copies, please contact us.

Please keep in mind that most of our training sessions are free (if sponsored by an insurance program in which your employer is a member) AND for PCoRP, PComp and UC Trust members you can SAVE MONEY off your insurance costs by attending training sessions.

As always, if you have any questions, please feel free to contact Linda Rosito or Jenn James at (800) 895-9039.

Thank you for your continued support of the CCAP Insurance Programs trainings.

We hope to see you this spring!

Workshops on financial management, personnel and labor relations scheduled for April

By Mandi Glantz, Director of Member and Vendor Relations

The County Commissioners Association of Pennsylvania (CCAP) is pleased to announce two workshops being held April 22 and 23 at the Ramada Inn and Conference Center in State College, PA and open to all county elected officials and staff.

On Thursday, April 22, join us for the "Financial Management" session with speakers William Warren, Jr., Esquire and Nailah Rogers, Esquire, from Saul Ewing LLP, James Allen from the Pennsylvania Municipal Retirement System and Michael Shone, CPA, from Peirce Park Group. Topics of discussion include county and state contracts, online auctions, local government construction, audits, pension plan management, employer/employee contributions, cash flow management/budgeting/Act 44/ARC, among others. This course is scheduled from 9 a.m. until 4 p.m. with lunch included. Participants in the CCAP Academy For Excellence In County Government and Advanced Certification programs may earn credit to fulfill the Financial Management required course upon their participation at the event.

Friday, April 23 features a "Personnel and Labor Relations" session with speakers Kathleen Bruder, Esquire, Robert Tribeck, Esquire, and Cory Iannacone, Esquire, of Rhoads & Sinon, LLP. Topics of discussion include hiring/firing, employment law updates, avoiding liability in technology, the Right to Know Act, labor law for counties, tips and tricks for collective bargaining and tips for succeeding at arbitrations, among others. The course will run from 9 a.m. to 3 p.m. and participants in the CCAP Academy For Excellence In County Government and Advanced Certification programs may earn credit to fulfill the Personnel and Labor Relations required course upon their participation at the event.

The workshops are open to all county commissioners, council members, county executives, administrators, chief clerks and solicitors. Associate members and other CCAP vendors are also invited to attend. Registered Academy and Academy Advanced Certification participants may attend at no cost. The costs for non-Academy participants (CCAP members) vary. Other fees may apply to Academy graduates, associate members and other vendors. The workshop fee includes refreshment breaks, lunch and session materials on both days.

Seating is limited - for registration information, please visit the CCAP Web site or contact Jennifer James, meetings coordinator, by phone (717) 526-1010 or e-mail jjames@pacounties.org.

Saving your back

By Greg Cunningham, ARM, GSP, CCAP Loss Control Specialist

Take it from someone who knows, back pain hurts! The back is the body part most affected by disabling work injuries in the United States. According to the Bureau of Labor Statistics, over a million workers suffer back injuries annually and they account for one of every five workplace injuries. Please read on to learn more about saving your back.

IT DOESN'T HAVE TO BE HEAVY TO HURT YOU

Most people think that the majority of back injuries occur when someone tries to lift something that's too heavy. While this is the source for many injuries it's also true that improper form while lifting is as much to blame for these injuries and definitely to blame for those injuries where weight isn't a factor. The amount of force placed on your back under certain conditions can be surprising. Any time you bend or lean over to pick something up without bending your knees, you put tremendous pressure on your lower back. Think of your back as a lever. With the fulcrum in the center of the lever, it only takes ten pounds of pressure to lift a ten pound object. However, if you shift the fulcrum to one side; it takes much more force to lift the same object. Your waist acts like the fulcrum in a lever system, and it is not centered. In fact, it operates on a 10:1 ratio; therefore lifting a ten pound object actually puts 100 pounds of pressure on your lower back. When you add in the 105 pounds of the average human upper torso, you see that lifting a ten pound object actually puts 1,150 pounds of pressure on your lower back! Given these figures, it is easy to see how repetitive, improper lifting and bending can quickly cause back problems. Even leaning forward while sitting at a desk or table and excessive driving can eventually lead to back-related problems.

OBSERVE THE FOLLOWING RULES WHILE LIFTING ANYTHING

Determine if you need help, consider the distance of the lift and the object's weight
Push heavy loads instead of pulling them
Look over the pick-up and delivery area for tripping hazards, slippery spots, small doors, sharp corners, blind spots, etc
Inspect the object for sharp corners, wet surfaces, etc
Place feet correctly - one foot close to the side of the object to provide stability -and one directly behind the object to provide lift
Keep the object as close to your body as possible
Get a correct grip or hold on the object by using a full grip, not just your fingers
Keep your back straight, this does not mean vertical, just aligned from head to pelvis
Avoid twisting, bending and reaching while handling heavy objects.
Do the actual lifting with your legs only.
Just as important as lifting correctly is the act of lowering the load correctly. You should lower objects in the same manner as you lifted them.

After following the tips mentioned above you'll notice that lifting correctly is the easiest way to lift the load, with the least strain and awkwardness. Lifting the wrong way, over time, will cause pain and injury. Remember, it only takes a short time to injure the back and a very long time to heal it.

BACK PAIN/ INJURY PREVENTION FOR THOSE USING COMPUTER WORKSTATIONS

With more and more employees working at least part of their day at computer or other seated workstations, we need to examine how to protect our backs while seated. Contrary to popular belief, all back injuries don't necessarily occur from a single incidence--for instance, bending over and picking up a heavy object. Rather, some back injuries are the result of repetitive motions, bad postures, and seated pressures over the course of months or even years. If you sit at a computer or other machine during the day, follow these tips to reduce your back injury potential:

Take frequent breaks during your shift; stand up, walk around and stretch
Make use of every adjustment at your workstation such as on chairs and worktables
If possible adopt a 'u-shaped' workstation design to avoid reaching and stretching
Adjust your workstation to fit your body and your work
Adjust seat height to keep your thighs parallel to the floor or sloping slightly forward and place a lumbar support in the natural curve of your lower back
Avoid awkward or unnatural positions

EXERCISE FOR GENERAL HEALTH AND A HEALTHIER BACK

Not only will frequent exercise improve your general health but the health of your back as well. Keeping your weight in check and maintaining flexibility are probably the most important things you can do physically to minimize your risk of a back injury. Also, having strong abdominal muscles is essential in supporting and strengthening your back and reducing the risk of injury.

Should you require further information on this or other safety/health related materials please contact the CCAP Loss Control Department.

Quote Of The Month

"Take everything you like seriously, except yourselves."

- Rudyard Kipling

CCAP Insurance Programs
PO Box 60769, Harrisburg, PA 17106-0769
Phone (800) 895-9039 - FAX (717) 526-1020
Claims Fax (888) 692-2368
Click here to go the Insurance Section of the CCAP Website.

email:jsallade@pacounties.org

Insurance Matters is published monthly by CCAP Insurance Programs for the use of members of CCAP's UC Trust, PCoRP, PComp, PIMCC, COMCARE, COMCARE PRO, BEST Flex, PELICAN and other insurance programs, and insurance producers of these members.

Advice contained in this publication is not legal advice and members are encouraged to seek the opinion of their solicitor.

The information provided in this publication is not intended to take the place of professional advice. Readers are encouraged to consult with competent legal, financial, or other appropriate professionals. Statements of facts and opinions expressed in this publication, by authors other than Association staff and officers, are the sole responsibility of the authors and do not necessarily represent an opinion or philosophy of the officers, members and staff of the County Commissioners Association of Pennsylvania (CCAP). No endorsement of advertised products or services is implied by CCAP unless those products or services are expressly endorsed, or are owned or managed by the Association programs, or our affiliates. This publication may not be reproduced, modified, distributed, or displayed in part or in whole, by any means, without advance written permission of CCAP. Please direct your requests to John Sallade, Managing Director, CCAP Insurance Programs, jsallade@pacounties.org.

Note: As part of its copyright agreement the CCAP grants the author the right to place the final version of his/her manuscript on the author's homepage, subject to CCAP's standards, or in a public digital repository, provided there is a link to the CCAP website.