Compensation Risk Managers of California, a wholly owned subsidiary of CRM Holdings, has signed a five-year contract extension with Contractors Access Program of California, a self-insured group managed by Compensation Risk Managers of California.
Under terms of the agreement, Compensation Risk Managers of California (CRM CA) will continue to manage Contractors Access Program of California (CAP) for a five-year term beginning July 1, 2008, and running through June 30, 2013.
The agreement also calls for a 10% increase in CRM CA’s annual management fee from the program. In addition, CRM CA has agreed to contribute towards CAP’s September 2006 settlement with its previous program manager. This resolution will consist of five annual payments by CRM CA of $400,000 commencing on July 1, 2009.
Daniel Hickey, chairman and CEO of CRM, said: Contractors has been an outstanding self-insured group in California since 2003, and we are pleased to continue managing the trust for the next five years on behalf of its members. This agreement demonstrates CAP’s continued confidence in CRM CA’s ability to provide high-level management services to self-insured groups throughout the state.