Contracts and Certificates of Insurance
What is Risk Management?
The objective of risk management is to reduce different risks related to numerous types of threats caused by environment, technology, humans, organizations and politics.
Risk management is a structured approach to managing uncertainty through tools such as risk assessment, strategic management, and mitigation of risk using managerial resources. Basic strategies involve decisions about transferring the risk to another party, avoiding the risk, reducing any negative effects of the risk or accepting some or all of the consequences of a particular risk.
Traditionally, risk management focuses on minimizing third-party liability risks stemming from physical or legal causes that can cause financial harm to the institution (e.g. natural disasters or fires, accidents, deaths and lawsuits), while financial risk management, typically referred to as "Enterprise Risk Management" or "ERM" focuses on bottom-line risks that can be managed using financial instruments.
Who manages risk at the University?
Some departments are responsible for managing specific risk areas. For example, the Office of Human Resources manages employment risks. Similarly, Environmental, Health & Safety consults on environmental risks.
However, as employees or agents of the University, we are all risk managers. What does that mean? Whether "risk manager" is in our job title or job description is irrelevant. We all are presented with risk in the workplace. For example, we all have resources at our discretion, such as staff, finances, property and information. What we do or do not do with those resources can either create or mitigate risk.
What is my role in managing risk?
You have two roles in managing risk. The first role is to be aware of and understand what areas of risk are present in your current position by familarizing yourself with current government laws as well as University's policies and practices for things like hiring, firing and creating a safe work environment.
Once you know your risk areas, you need to consider the implications of these risks on yourself, your department and the University. This second role in managing risk requires that you to assess each situation and that you anticipate the consequences of your actions.
Ask yourself the following questions:
a) Is this action legal? If it is not legal, stop here.
b) Does this action meet the University's standards?
c) Does this action meet my professional standards?
d) Does the "golden rule" apply? How would I feel if I were treated this way?
e) How would this look on the front page of the newspaper?
In addition, the University has many resources to help you assess risk. Such resources include IACRS, Human Resources and the University Counsel's office. See Related Resources for more web sites and contacts.Back to Top
Am I covered as an individual by NEU's insurance program?
While the University does not offer blanket indemnification of University employees, the University insurance program may provide employees coverage for claims made against them. In general, if such a claim is covered by a policy, that policy covers both the University and the individuals involved.
However, loss or damage resulting from willful misconduct, gross negligence or illegal activities will not be covered in any case.
What costs are covered?
Coverage provides for payment of all costs including defense costs, for which the University and covered persons become legally obligated to pay because of personal injury or damage to property of others arising out of the operations of the University.
Are volunteers covered?
The University's insurance provides liability coverage for volunteers while performing authorized services on behalf of the University. Insurance for injuries sustained while in the course of these services is not provided.
Is personal property covered?
Generally speaking, the University's coverage does not extend to personal property. Some exceptions apply if property is being used at the request of, or to benefit, the University.
What if a loss or damage occurs to a NEU building?
Emergency repairs and other reasonable steps should be taken to protect the property from further damage. As soon as possible notify NUPD and Risk Services of the details of the loss. Further repairs should not be started until the scope of work and estimated costs for repairs have been agreed upon between the University and our property carrier. See the Property Claims page for more information
Will insurance pay all of a department's repair/replacement costs after
Insurance reimburses the cost to repair or replace with like-kind or quality. Every attempt is made to reimburse the department the costs to put the building back to the condition it was in prior to the loss. A department may incur some costs not covered by insurance since there are normal limitations and exclusions to the policy. Risk Services will explain the coverage in more detail when circumstances apply.
Are building contents automatically insured on the University's Property
Yes, these contents must be University owned and the policy excludes losses due to theft.
What if someone is injured on our premises?
Contact NUPD immediately at x3333 and file a police report. NUPD will handle transportation to medical facilities and provide any on-the-spot treatment required.
Employees should never make a statement regarding liability or payment of bills.
Risk Services should be notified of all incidents involving bodily injury to a third party (student, visitor or guest) as soon as possible. Either file an Injury Report Form with our office or please call x5997 and provide us with the NUPD report number and any other information you can offer and
What if a tenant, student or employee wants to be reimbursed for damage to personal property?
Claims for damage to personal property are sent to Risk Services to determine whether there is negligence on the part of the University and Risk Services arrange the settlement or denial of any claims.
What should a driver do if an accident occurs while driving a University vehicle?
In the event an accident occurs the driver should do the following:
DO NOT ADMIT LIABILITY TO ANYONE.
Call NUPD at x3333.
Exchange vehicle information with the other driver - name, address, license number, plate number, year, make, model of car, name of Insurance Company.
Submit an Motor Vehicle Accident Report immediately to Risk Services.
If anyone is injured, he/she should additionally file an Injury Report Form with Risk Services.Back to Top
Do I need to purchase insurance to cover property in transit?
No, the University's property insurance program covers University owned property in transit.
Please let us know if there are large value assets (in excess of $100,000) that are being transported.
Do I need to obtain the collision damage waiver insurance when renting a vehicle?
No; we have agreements with various vendors that include insurance arrangements.
In general, when renting a car, you should:
Use the University's designated car rental companies
*Please note, when dealing with national agencies, it will be necessary to confirm the individual dealer's participation in NEU's corporate plan.
Use the University Pro-Card to rent the vehicle.
Does the University's auto insurance program respond to loss or damage involving a personal vehicle driven for University business?
The owner of the vehicle's insurance responds to the loss or damage. The mileage reimbursement rate includes an insurance reimbursement.
Contracts and Certificates of Insurance
Should all contracts be sent to Risk Services for review?
If there are particular insurance requirements, Risk Services will be happy to assist in determining what coverages can be provided by the University.
However, all contracts must be reviewed and approved by the University Counsels Office before Risk Services can issue certificates or take any required action within the scope of the contract.
How do I obtain a certificate of insurance?
To request a certificate or determine what coverages are required of vendors and other parties, please review the Certificates of Insurance section of our web site.