Liability Programs respond when the University allegedly violates an individual's right or is found to be negligent in some manner and is legally obligated to pay the resulting damages. Liability may arise from the way a sidewalk is maintained, the way employees conduct their job duties or how employees operate University owned vehicles. Please see both Policy 300 and BUS 81 for detailed information.
Who is Covered?
The Regents and employees of the Regents are covered by the Liability Programs for their acts or omissions while acting within the course and scope of University employment. "Course and Scope" refers to activities that are normally a part of a particular employee's job. Illegal activities or willful misconduct, for example, are outside the course and scope of all jobs, and thus would not be covered by the Liability Programs. University volunteers may be covered by the program under certain conditions.
Charges to Campus Departments
UCLA participates in the University of California General and Automobile Self-Insurance Liability Program. Instead of purchasing an insurance policy, the UC campuses and medical centers pay self-insurance premiums into a trust fund managed by the Office of the President. Each campus pays its share of the premiums, which reflects the size and number of claims filed by each location.
UCLA began charging liability premiums to departments in fiscal year 1998/99. Starting in fiscal year 1999/2000, a surcharge for administrative costs was added to the liability premiums (Loss Prevention Surcharge). See the article, "Departmental Charges for Insurance" for further details.
Claim Deductibles
University of California Office of the President has mandated that the campuses assume responsibility for funding the General Liability Program. This funding is presently accomplished by allocating claims costs to the departments, which are paying premiums based on their claims experience, potential exposures and payroll dollars. The bulk of settlement and judgment costs are paid from the funds collected. In order to reduce claims and establish incentives to reduce claims, departments are required to pay a deductible, which is 20% of any claim settlement or judgment, with a minimum of $500 and a cap of $50,000 dollars for General Liability claims and a $7,500 minimum and a $50,000 cap for Employment Liability claims. This is addressed in Vice Chancellor Morabito’s Memorandum dated June 16, 1998.
For all other inquiries, please contact the General Liability Program Manager at IRM.
