Florida Workers’ Compensation Joint Underwriting Association Executive Compensation Committee Report: November 17
Nov 18, 2009
The Florida Workers’ Compensation Joint Underwriting Association (“FWCJUA”) Executive Compensation Committee (“Committee”) met via teleconference on Tuesday, November 17, 2009 to consider FWCJUA executive compensation and related benefits such as life insurance coverage, 401(k) issues and regular salaries for 2010.
After discussing the possibility of raising the life insurance benefit to $500,000 for the executive director and to $250,000 for the other two FWCJUA top executives, the Committee decided to postpone the issue until next year because of economic conditions.
The Committee also considered changing the FWCJUA’s standard 401(k) plan to one that incorporates profit sharing with the existing eight percent match of employee salary contributions.
The Committee decided to keep the current plan, but also to create a “safe harbor” within the existing plan in order to ensure that no cutbacks could be made on salary deferrals. A “safe harbor” 401(k) plan is similar to a traditional 401(k) plan, except that all employee and employer matching or non-elective contributions are 100 percent vested when made. However, the safe harbor 401(k) is not subject to many of the complex tax rules that are associated with a traditional 401(k) plan.
Once again citing economic conditions, FWCJUA Executive Director Laura Torrence recommended that executive salaries remain the same for 2010. The Committee agreed.
The meeting materials packet is attached.
Should you have any questions or comments, please contact Colodny Fass.
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