Risk Management Action Plan

​In 2004, the IMWCA Board of Trustees adopted the risk management action plan on the premise that members with recent large losses or large losses over several years, should bear a greater responsibility for those losses than the rest of the IMWCA membership. Effective October 1, 2014, on a monthly basis we will review the loss ratio of each member. Members will be considered for a Risk Management Action Plan based on the following:

Criteria if the member qualifies for an experience modification factor:

• The member has failed to respond to a high-level safety and risk improvement recommendation.
  
  -or-
• The member’s loss ratio exceeds 100% for the current year or has demonstrated a poor loss ratio over the last several years.

Result

At the next renewal they may be subject to the following:

1. Ineligible for good experience bonus and/or
2. Loss of IMWCA discounts and/or
3. Fifteen percent surcharge, or
4. Non-renewal of coverage

Criteria if the member does not qualify for an experience modification factor:

The member has failed to respond to a high-level safety and risk improvement recommendation.

-or-

The 5-year cumulative loss ratio exceeds 100 percent.

Result

At the next renewal they may be subject to the following:

1. Loss of IMWCA discounts, and/or
2. Fifteen percent surcharge, or
3. Thirty percent surcharge, or
4. Non-renewal of coverage

For further details, please contact the IMWCA Underwriting Analyst.