(1) Contract with a third party administrator where appropriate for management of the self-insurance program;

(2) Contract for expert insurance advice in assessing alternative self-insurance strategies;

(3) Use full accrual in accounting for the self-insurance program including accounting for incurred but not reported (IBNR) claims as a liability;

(4) Pursue the development of a fund balance in the fund equal to two months of claim liabilities. This fund balance will serve as a contingency reserve for the self-insurance program;

(5) Adjust financing through premiums or other funding mechanisms for this program as needed to ensure that the program remains actuarially sufficient and able to meet its financial obligations as they become due;

(6) Develop a schedule of appropriate claims audits and benefit reviews in conjunction with the county’s insurance advisor; and

(7) Invest the assets of the program pursuant to SCC 4.42.080.

(8) No financial plan of this self insurance program shall permit interfund loans from assets held against liabilities for unpaid claims and claim adjustment expenses except for those amounts which are clearly inactive or in excess of liabilities for unpaid claim and claim adjustment expenses. (Added by Emerg. Ord. 01-025, Mar. 28, 2001, Eff date Mar. 28, 2001; Reenacted by Ord. 07-006, Feb. 14, 2007, Eff date Feb. 25, 2007).