School Insurance Fund

The North Carolina School Insurance Fund was established in 1949 by North Carolina General Statute 115C-533, empowering the North Carolina State Board of Education to establish a division to manage and operate an insurance fund for public school property. Consequently, The Board created the Public School Insurance Fund in order to insure the property assets of North Carolina Public Schools, and to provide adequate reserves against insured losses. Additionally, North Carolina Community Colleges have been allowed and can also elect to participate in the Fund. This statute does not mandate the participation of public schools or community colleges in the Fund but remains an equitable option to commercial insurance. To date, the Fund has grown to a considerable size, insuring tangible assets in excess of $23 billion of total insured values throughout the state. This includes the participation of 78 local education agencies and 32 community colleges.

At present time the Fund maintains well trained and qualified professional staff consisting of a Section Chief, Claims Consultant, Accounting Specialist, Insurance Specialist, Project Assistant and Risk Control Specialists.

"Safe Schools" are the ultimate goal of the North Carolina Public School Insurance Fund.

Property Insurance

The Fund is mandated by North Carolina General Statute 115C-538 with the responsibility of periodic inspection of all participating insured public school and community college properties. This is accomplished by Risk Control Specialists assigned to the fund’s member public schools and community colleges across the state. These specialists inspect in excess of 180 million square feet of public school and community college properties annually.

Additional School Employee Insurance Benefits

Employee Benefits

Employee Benefits

In addition to providing risk management and property insurance to LEAs and community colleges, the School Insurance Fund provides workers' compensation benefits to all state school employees, negotiates and purchases excess professional liability for public and charter school employees, and manages the Unemployment Insurance Fund.

Workers' Compensation Unemployment Insurance

Unemployment Insurance

In November 2015, Department of Employment Security (DES) provided information in employers' 2016 Tax Rate Notices that North Carolina would begin charging benefits to employer accounts quarterly rather than annually beginning with claims filed on or after January 3, 2016. This change is a result of legislative action in 2015. On Friday April 29, DES will be mailing the first quarter of charges to employers.

Prior to this legislation, DES charged benefits annually and only after the claimant's benefit year expired. Depending on when the claim was filed, benefits could be charged to the employer up to 18 months following the date the claimant began receiving benefits. The delay in applying benefit charges prevented DES from accurately gauging employers' experience rating. Moving to quarterly charging provides employers the opportunity to review their benefit charges sooner and assess potential future tax liabilities. It also helps DES identify potential fraudulent claims and others trying to defraud the unemployment system.

We encourage you to sign up online to receive up to date information concerning changes in employment security law, employer taxes, and other general information about what's going on at the Division of Employment Security. To enroll in this service go to Division of Employment Security.

For more information on unemployment insurance, please contact Traci Waters, Project Assistant/Unemployment Specialist or at 919-807-3521.

Excess Professional Liability

Excess Professional Liability

NC General Assembly’s 2011-12 Appropriations Act directed DPI to implement this Excess Educator’s Legal Liability policy.

This policy is excess of the LEA’s or charter school’s insurance policies, including: commercial general liability, errors and omissions, employment practices liability, and any other valid and collectible insurance.

For more information about this liability insurance, please go to Professional Liability for NC Public School Personnel or contact Eileen Bucko Townsend CPCU, AU or 919-807-3522.

Work-Based Learning

Work-Based Learning

Various forms of insurance should be considered in a student work-based learning program. Schools and LEAs often have someone who coordinates insurance needs.

Liability Insurance

The NC Department of Public Instruction contracts with an insurance agency each year to provide liability insurance for students in work-based learning. This insurance covers the student if he/she causes personal or property damage while at the worksite.

Student and Health Accident Insurance

It is recommended that all students participating in work-based learning be covered by adequate medical and accident insurance.

For more information about this liability insurance, please contact Eileen Bucko Townsend CPCU, AU or 919-807-3522.