KCI East Jerry Stechmann
PO Box 2434
Cherry Hill, NJ 08034
Ph: (800) 486-9278
Fx: (856) 596-2218 jerrys@kciinsurance.com
Dick Giblin
2555 Kingston Rd.
Suite 260
York, PA 17402
Ph: (866) 600-0886
Fx: (717) 600-0887 dgiblin@kciinsurance.com
KCI Pittsburgh, PA
Jeff Smith
10850 Perry Highway
Suite #4
Wexford, PA 15090
Ph: (724) 940 1770
Fx: (724) 940-1779 jeffs@kciinsurance.com
KCI Western
George Richter
9751 62nd Ave S
Seattle, WA 98118
Ph: 314-409-7615
Fx: 314-667-3380 georger@kciinsurance.co
KCI Midwest
George Richter
11939 Manchester Rd Ste 240
St. Louis, MO 63131
Ph: 314-409-7615
Fx: 314-667-3380 georger@kciinsurance.com
PETRO Trust
"A Self-Insured Workers
Compensation Program"
In
1995, ten Pennsylvania trucking companies formed the
PETRO Trust to provide Workers Compensation coverage.
Their goal was to use the volume of their collective
size to achieve the cost savings of a much larger
organization. For those of you that don't remember, the
Work Comp rate for Truckmen was $23.67 per $100 of
payroll in 1995, and it was still difficult to purchase.
The concept is simple and makes sense. Members "pool"
their premiums to share in the gains and losses of the
group as a whole.
PETRO/York office staff (from left) are:
Dick Giblin, Senior VP/Sales and Manager
of PETRO and Elite RRG;
Shirley Ravenscraft, Account Manager and
Administrator of PETRO
Elite RRG; and Amy Seitz, Account
Administrator.
Statutory
Work Comp coverages are provided on a first dollar
basis. The group shares in small claims then purchases
an Excess insurance policy to protect against
catastrophic claims. The Members control all of the
service providers to ensure the highest quality at
lowest costs. The premiums also earn investment income,
which is returned to member companies (versus the
insurance carrier) and represents significant dollars.
The PETRO Trust is now in its 13th year, and has grown
to 27 trucking companies. The group is able to file for
its own rates, based on the group's experience, not that
of the entire industry. This over time has proven to be
a substantial cost savings. In addition to producing
stable and lower rates, the group has returned over $5.5
million in dividends to its members, with an additional
$7-8 million in dividends earned, but not yet distributed.
Due to the success of the PETRO trust, the members
formed a Fleet Liability group called the Elite
Transportation Risk Retention Group in 2005. While a
different legal structure, the concept is identical:
pool the premiums of several good companies, create
stability, and generate profit and investment income for
the members. This program is currently available for
transportation companies in all 48 contiguous states.
The PETRO Trust (Work Comp) and Elite Transportation
(Fleet Liability) programs look for trucking companies
with good safety practices and loss experience along
with strong financials. The members have set a minimum
annual Work Comp premium of $100,000, and Liability
premium of $250,000. These programs are designed for the
trucking company looking for long-term insurance
solutions that work.
