Joint Self-Insurance Programs.

Various types of joint self-insurance programs, also known as risk pools, are authorized for different types of entities, which are generally regulated by the State Risk Manager through the Office of Risk Management within the Department of Enterprise Services.  There is a local government joint self-insurance program, as well as joint self-insurance programs for affordable housing entities, nonprofit corporations, and public benefit hospital entities.

Public risk pools.  Through a local government joint self-insurance program, the governing body of a local government entity may individually self-insure, may join or form a self-insurance program together with other entities, and may jointly purchase insurance or reinsurance with other entities for property and liability risks, and health and welfare benefits.  In addition, the entity or entities may contract for or hire personnel to provide risk management, claims, and administrative services.  Funding for these programs are provided by annual assessments paid by each approved program.  An actuary apportions the costs among the members annually according to a formula which must be fair to each member.  In a claim or action against the state or a local government entity that is part of a risk pool, the portion of any funds or liability reserve established to satisfy a claim or cause of action is not disclosable.  All other records of individual or joint self-insurance programs are subject to disclosure to the extent allowable under the PRA.

Public Records Act.

The Public Records Act (PRA) requires state and local agencies to make all public records available for public inspection and copying unless a record falls within an exemption under the PRA or another statute that exempts or prohibits disclosure of specific information or records.  Exemptions under the PRA are permissive, meaning that an agency, although not required to disclose, has the discretion to provide an exempt record.  The exemptions under the PRA are inapplicable to the extent that information, the disclosure of which would violate personal privacy or vital governmental interests, can be redacted from the specific records sought.  The PRA is liberally construed, and its exemptions are narrowly construed. 

The PRA exempts certain financial, commercial, and proprietary information from disclosure.  Examples include certain valuable formulae, computer source code or object code, and research data obtained by any agency if disclosure would produce private gain and public loss.  Other information relating to insurance institutions is exempt from disclosure, but there is no specific exemption related to public joint self-insurance programs.

A new exemption under the PRA is created for formulae and data that public risk pools use to calculate rates for pool member contributions or assessments.  In addition, actuarial analyses and reports prepared by or for public risk pools are exempt from disclosure.