ACCA’s self-insurance funds help county commissions and their entities optimally finance and manage risk through:
Henry van Arcken, Director of Insurance Services
334-263-7594
A self-insurance fund is like a family. No profit motive! Surplus is returned to the members in the form of refunds or dividends, or it is invested to ensure the stability of the funds.
Board members are peers. County officials and employees — not insurance executives — sit on the boards of trustees for both the liability fund and the workers’ compensation fund.
Coverage is designed for the specific needs of counties and related entities. The funds work closely with members to determine specific needs and encourage member input.
Any county commission that is a member of the Association of County Commissions of Alabama is eligible to participate in the funds.
Some boards, commissions and agencies created by participating county commissions may be allowed to participate.
The funds contract with a third-party administrator (TPA) to administer all liability and workers’ compensation claims.
For liability participants, claims are administered consistent with an agreement entered into between the TPA and the fund, and consistent with the provisions of the coverage document.
For workers’ compensation participants, claims are administered consistent with the workers’ compensation laws of Alabama and the rules and regulations of the Workers’ Compensation Division of the Alabama Department of Labor.
The current TPA for the funds is County Risk Services, Inc. (CRS) located in Montgomery, Alabama.
Each participant is required to make an annual financial contribution to the fund.
Contributions are invested and held until needed to pay claims and necessary operating expenses.
The amount of contribution by each participant is determined by the corresponding board of trustees upon the recommendation of a qualified actuary.
Both funds are audited annually by a certified public accounting firm.
The funds’ boards of trustees frequently approve the refund of contributions and distribution of fund investment earnings.
Refunds and distributions are based on participant claims experience and other actuarial considerations.
Participants in one or both funds can opt in to the Safety Incentive Discount Program. It is designed to encourage fund members to improve their safety efforts by establishing basic standards to control risk. Find out more
In addition to the payment and administration of claims, fund members receive other benefits and services as described below.
Reinsurance protects the funds against big losses. The funds get reinsurance from County Reinsurance Limited, which was organized by county associations across the country.