HomeMy WebLinkAboutItem 20 - Workers' Compensation InsuranceMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: BRUNO RUMBELOW, CITY MANAGER
MEETING DATE: SEPTEMBER 16, 2025
SUBJECT: APPROVAL TO RENEW ANNUAL INSURANCE POLICY FOR
WORKERS' COMPENSATION
RECOMMENDATION: City Council to consider annual policy for Workers' Compensation
insurance coverage with TML Risk Pool.
FUNDING SOURCE: Funds are available in the General Fund (Risk Management) for an
estimated annual amount of $506,000.
BACKGROUND: The City of Grapevine purchases Workers' Compensation insurance
coverage from TML through the Risk Pool. The mission of the TML Risk
Pool is "...to offer and provide Texas municipalities and other units of local
government with a stable and economic source of risk financing and loss
prevention services."
Workers' Compensation insurance is purchased to cover the cost of all on
the job injuries of City employees and volunteers. The premium for
coverage is based on employee job classification, estimated payroll and
number of employees in each class. The TML Risk Pool provides an
annual fund discount of 20%. Also, insurance carriers use experience
modifiers to help determine Workers' Compensation premium costs. The
lower the modifier, the lower the premium. The City's modifier continues to
remain low at .30 which reflects the City's claim history.
Staff reviewed the proposal from TML Risk Pool and determined that they
will provide the best policy, pricing, and service for meeting the needs of
the City. This is a one-year policy.
Staff recommends approval.