UNIVERSITY OF CALIFORNIA

SANTA BARBARA • SANTACRUZ BERKELEY • DAVIS • IRVINE • LOS ANGELES • MERCED • RIVERSIDE • SAN DIEGO • SAN FRANCISCO

OFFICE OF THE EXECUTIVE VICE PRESIDENT­CHIEF FINANCIAL OFFICER OFFICE OF THE PRESIDENT

1111 Franklin Street. 10th Floor Oakland, California 94607-5200

.To: Medical School Deans April 28, 2017

Hospital Directors Student Health Center Directors

Subject: Professional Liability Program Premium - 2017-18

The Professional Medical & Hospital Liability, General Liability, and Employment Practices Liability actuarial reports are now complete for FY 2017/2018. Ifyou would like to review the reports in their entirety, please contact Allison Hill (Allison.Hill@ucop.edu or 510.587 .6481) and she will send you the reports.

The overall increase in the annual program premium is 14%. Professional liability increased 16%. The increase is a result of an increase in the self-insured retention from $5 million to $7.5 million for program losses. The increases for non-patient general liability and employment practices liability is approximately 5% for each program. Loss prevention continues to be the key to controlling our self-insured and our insured expenses and financial liabilities.

We will be implementing a Professional Liability Risk Mitigation Program. This will be approximately 1.5% of the Professional Liability Premium. The program will focus on reducing losses related to professional liability. We will be sending information on this program to the Hospital Risk Manager in the beginning of the new fiscal year. We also encourage you to utilize the Be Smart About Safety funds for general liability and employment practices liability training or other loss prevention related programs (http://www.ucop.edu/risk-services/loss-prevention-control/be-smart-about-safety-program/index.html ). We would be happy to share some of the successful programs other locations have implemented with the BSAS funds.

Individual location reports will be sent to your hospital risk manager under separate cover. Ifyou have any questions, please do not hesitate to call me (510.987.9289) or Kim Yozgat (510.987.9822) for professional liability, or Kevin Confetti (510.987 .9868) for general liability and employment practices liability, or Karen Vecchi (510.987.9826) for risk financing.

Cheryl A. Lloyd Associate Vice-President & Chief Risk Officer Risk Services website: http://www.ucop.edu/risk-services/index.html

cc: Executive Vice President Stobo Executive Vice President - Chief Financial Officer Brostrom Associate Vice President Arrivas Interim Associate Vice President Alcocer Associate Vice President Nation Chief Medical Officers Budget Directors Campus/Medical Center Controllers Planning & Budget Officers Accounting Managers Vice Chancellors for Administration Hospital Finance Directors Hospital/Campus Risk Managers Director Satorre Accounting Supervisor Wildeman Deputy Chief Risk Officer Confetti Executive Director Yozgat Program Manager Lillington Director Vecchi

4/28/17

PROFESSIONAL MEDICAL & HOSPITAL LIABILITY 2017/18 PREMIUM SCHEDULE

Non-Patient General Liability Professional Employment Practices Liability Liability Premium"' Premium BSAS,,, Non-Liti •ate , TotalPremium BSAS.,. Total

Berkeley Berkeley

Student Health Center School ofOptometry

Davis Davis

Davis

Davis

School ofMedicine Medical Center

Subtotal Student Health Center

Veterinary

Total

Irvine Irvine

Irvine

School of Medicine Medical Center

Subtotal Student Health Center

Total

Los Angeles Los Angeles

Los Angeles Los Angeles Los Angeles

Los Angeles

School of Medicine School ofNursing

Medical Center Santa Monica Neuropsychiatric Inst.

Subtotal Student Health Center

Total

Merced Student Health Center

Riverside Riverside

School of Medicine Student Health Center

Total

San Diego San Diego San Diego San Diego

San Diego

School of Medicine CSSD Nevada Medical Center

Subtotal Student Health Center

Total

San Francisco San Francisco San Francisco San Francisco San Francisco San Francisco San Francisco San Francisco

San Francisco

School of Medicine School ofNursing Dental School Affiliated Hospitals-Other Fresno SF General Medical Center Langley Porter Institute

Subtotal Student Health Center

Total

Santa Barbara Student Health Center

Santa Cruz Student Health Center

GRAND TOTAL

$ 159,828 25,514

185,342

$ ---

$ ---- ­-

$ ---

$ $ - $ - $ $

$

$ $

$

5,747,153 5,747,153

-474,000

-22,000

-496,000 2,153,000 148,000 92,000 2,393,000

11,494,306 104,834

20,500

11,619,640

474,000 --

474,000

22,000 ---- ­

22,000

496,000

--

496,000

2, 153,000

2,153,000

148,000

148,000

92,000

92,000

2,393,000

2,393,000

4,105,361 4,105,361

8,210,722 52,977

8,263,699

-187,000

187,000 -

187,000

----2,QQQ_

9,000 --- ­

9,000

-196,000

196,000

-196,000

1,282,000

1,282,000

1,282,000

88,000

88,000

88,000

55,000

55,000

55,000

1,425,000

1,425,000

1,425,000

9,159,402 11,551

--

--

--

7,299,005 1,549,284

311,113

18,330,355 187,722

18,518,077

988,000 192,000 45,000

1,225,000

-1,225,000

45,000 9,000

___bQQQ_ 56,000

--- ­56,000

1,033,000 201,000 47,000

1,281,000 -

1,281,000

1,708,000 252,000

58,000

2,018,000

2,018,000

118,000 17,000

_____..1,QQQ_ 139,000

139,000

73,000 11,000 2,000

86,000

86,000

1,899,000 280,000

64,000

2,243,000

2,243,000

12,884 - - -171,659 39,953

211,612

--

---- ­-

---

5,635,792 1,781,699

---

---

---

5,635,792

13,053,283 92,872

13,146,155

372,000

372,000

-372,000

____!1QQQ_ 17,000

--- ­17,000

389,000

389,000

-389,000

2, 113,000

2,113,000

2,113,000

146,000

146,000

146,000

90 000

90,000

90,000

2,349,000

2,349,000

2,349,000

5,999,250 13,086

264,991 1,700,086 3,030,483 3,177,182 5,965,706

33,544

20,184,328 13,166

20,197,494

------

651,000 5,000

656,000

-656,000

------

30,000

--- ­30,000

--- ­30,000

------

681,000 5,000

686,000

-686,000

1,745,000 13,ooo

1,758,000

1,758,000

120,000 ___!,QQQ_

121,000

121,000

75,000 1,000

76,000

76,000

1,940,000 15,000

1,955,000

1,955,000

108,961 - - -

48,365 - --- ­ -$ 72,312,229 $2,914,000 $ 134,000 $3,048,000 $9,324,000 $ 642,000 $ 399,000 $ I 0,365,000

Total Premium,

159,828 25,514

185,342

5,747,153 8,636,153

14,383,306 104,834

20,500

14,508,640

4,105,361 5,726,361

9,831,722 52,977

9,884,699

9,159,402 11,551

10,231,005 2,030,284

422,113

21,854,355 187,722

22,042,077

12,884

171,659 39,953

211,612

5,635,792 1,781,699

-8,373,792

15,791,283 92,872

15,884,155

5,999,250 13,086

264,991 1,700,086 3,030,483 3,177,182 8,586,706

53,544

22,825,328 13,166

22,838,494

108,961

48,365

$ 85, 725,229

(I) Generally based on the "Medical Malpractice Guidelines", a 50150 split between Medical Center/Affiliates and the School of Medicine.

(2) BSAS-Be Smart About Safety Loss Prevention Program (Guidelines & Application available at http·l/www ucop cdLLfrisk-soviccs11oss-prevcntion-controllbc-sman-about-safcty-pmgram'indcx html)

(3) Funding to cover Non-Litigated Employment Practices claims.

(4) Total prcmiuum ofthe annual cost for the fiscal year.