Caduceus Indemnity Insurance Corporation Ltd

Nonprofit profile at a glance

EIN
990343363
IRS 990 coverage
2009–2014
Forms available
Form 990 2014
Location
Honolulu, HI, USA
Phone
5206942700
Rating
39
Verdict
REVIEW
Rating confidence
Moderate
Sector
Insurance Providers

Official website

Reported finances

Revenue
$7,791,077
Expenses
$217,043
Assets
$16,215,862
Liabilities
$5,593,641

Source: IRS Form 990. Selected filing: tax year 2014. Amounts in USD.

Leadership & pay

7 people listed

Executive titles in this filing

  • LEO BRENNAN (PRESIDENT)
  • REBECCA HAVLISCH (PRESIDENT AND TREASURER)
  • BRUCE COULL (VICE PRESIDENT)

Highest reported compensation

  • MICHAEL WALDRUM (DIRECTOR): $993,425 total reported compensation
  • MISTY HANSEN (TREASURER): $479,958 total reported compensation
  • BRUCE COULL (VICE PRESIDENT): $407,753 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2014. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Caduceus indemnity insurance corporation, ltd. Is a wholly-owned subsidiary of banner health and was created as a pure captive insurance company.

What it reported doing in 2014

Insures banner-university medical group (formerly university physicians healthcare dba the university of Arizona physicians) on a claims-made basis for medical professional liability, managed care professional liability, and defense costs (exclusive to the losses with occurrence dates prior to july 1, 2013).

Operating model

Revenue model
Other-operating. 77% of the money available for current operations came from other operating revenue.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

REVIEW - The filed numbers largely add up and revenue comfortably covers expenses. A relatively small share of available resources goes toward mission work and few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence.

Rating breakdown

  • Financial Efficiency: 17
  • Transparency & Controls: 60
  • Accountability: 53
  • Sustainability: 81
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 2.3%; rating input score 2
  • Program expense ratio: 47.5%; rating input score 47
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
  • Pay-setting controls: 0 of 6 controls in place; rating input score 0
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Missing
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 66.7%; rating input score 67; 11th percentile among comparable filings
  • Governance controls: 3 of 9 controls in place; rating input score 33
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Pass
    • CEO compensation review process: Fail
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 97.2%; rating input score 100; 100th percentile among comparable filings
  • Total-asset coverage ratio: 74.71; rating input score 99; 99th percentile among comparable filings
  • Liabilities to assets ratio: 0.34; rating input score 39; 39th percentile among comparable filings
  • Officer compensation ratio: 76.6%; rating input score 0; 0th percentile among comparable filings

Growth

  • Program expense growth: -175.7% per year; rating input score 0; 0th percentile among comparable filings
  • Revenue growth: -6% per year; rating input score 0; 10th percentile among comparable filings
  • Asset growth: -11.9% per year; rating input score 0; 6th percentile among comparable filings

Details

  • Where the money goes: 2.3% of revenue deployed · 47.5% of spending went to programs
  • Governance: 2 of 3 board members independent · 3 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $103K in reported program spending
  • Leadership: top reported pay $993K · 7 people listed · 0 of 6 pay-setting controls reported
  • Consistency: 17 of 17 current checks pass
  • Schedules: 5 filed schedules · includes executive pay
  • Filing history: 6 filing years from 2009 to 2014
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • Related organizations: 25 filed related-organization links
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Financial Efficiency: Mission deployment rate scored 2/100.
  • High — Transparency & Controls: Pay-setting controls scored 0/100.
  • Moderate — Financial Efficiency: Program expense ratio scored 47/100.
  • Moderate — Accountability: Governance controls: 5 of 8 not reported.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Officer compensation ratio scored 0/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 39/100.