Reporting Losses
Property Losses must be reported using the link to Origami, available below.
Agencies
must immediately report all losses and take prompt action to protect the
property from further damage or loss. In the event of a loss estimated to
exceed $50,000, agencies must contact Risk Management as soon as practicable.
Risk Management will contact the State’s property insurer, who will dispatch a
claims adjuster to the scene. Damaged property must be retained and all
evidence related to the loss preserved until inspected by an adjuster.
If the loss
involves vandalism, theft, or other criminal activity, a copy of the police
crime report must also be forwarded to Risk Management. Losses reported later
than 90 days from the date of loss may not be covered.
Losses that
result from mysterious disappearance (no signs of forced entry or losses found
during inventory) or resulting from known risks that have not been corrected
may not be covered.
Contested
claims compensability determinations can be referred to the Risk Manager for
review. The decision of the Risk Manager will be final and binding.
Link to Origami
Submit a Vehicle Accident/Property Loss Claim
Making Repairs
Agencies are responsible for
affecting the repair or replacement process by contacting the appropriate
parties as soon as possible. These contacts might include Buildings and
Grounds, State Purchasing, State Public Works Division, Governor’s Finance Office
or outside contractors or vendors (following Purchasing and State Public Works
Division requirements).
Repairs or
replacement for significant structural property losses (exceeding $50,000) must
be coordinated with the Risk Management Division and the State Public Works
Division, unless a specific waiver is approved by the Risk Manager.
Additionally, claims that require repair or replacement in excess of $100,000
will be submitted to the State’s outside insurer and subject to further review
by the property insurer adjuster.
Repairs must be completed within two years from
the date of loss unless a written waiver is obtained from the Risk Manager.
Paying for a Loss
Agencies are responsible for a
$10,000 deductible per occurrence or an alternate deductible identified by the
Risk Manager. Risk Management will pay the lesser amount of the repair or
replacement, excluding any betterment and subject to the exclusions contained
in the commercial excess property insurance policy.
Agency Reimbursement. When
an agency pays for the entire loss out of its budget, Risk Management will
reimburse it, after submission of the deductible, proof of repair/replacement,
and evidence that the invoices have been paid by the agency. Agencies must
submit the “Reimbursement Request Form” located on the Risk Management website.
Risk Management Direct
Vendor Payment. Risk Management can directly pay a repair/replacement vendor.
To do this, it is necessary that Risk Management be forwarded a copy of related
contracts or the original invoices and copies of all estimates and written
documentation from the agency that the work has been completed in an acceptable
fashion. The agency must pay Risk Management the appropriate deductible in
advance of payment to vendors.
Regardless of payment
method, it remains the responsibility of the agency to complete all necessary
paperwork required to affect the repair or replacement of the damaged or
destroyed items. This would include any contracts, purchase requisitions, etc.
Risk Management can be identified as the contracting agency once the SPWD
contract is reviewed and approved by the Risk Manager.
In the case of purchase
requisitions, agencies should complete the form, except for the budget coding
sections and the authorization signature and forward to Risk Management for
completion. The form must be retained by the requesting agency if electronic or
facsimile copies are used for payment purposes pursuant to SAM 2616.
Subrogation & Collections: If an agency's loss can be attributed to a third party's negligence, and Risk Management is successful in recovering the entire loss from the adverse party, the deductible will be waived or refunded to the agency.
State employees’ personal
property kept or maintained on State property will be “at
their own risk” and not covered under the state property insurance.