Private Risk Management Association

Nonprofit profile at a glance

EIN
462430573
IRS 990 coverage
2014–2024
Forms available
Form 990 2024
Location
Schaumburg, IL, USA
Phone
8475177225
Rating
60
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Chambers of Commerce & Business Leagues

Official website

Reported finances

Revenue
$2,042,094
Expenses
$1,733,680
Assets
$1,295,190
Liabilities
$220,971

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

21 people listed

Highest reported compensation

  • DIANE DELANEY (Executive Dir.): $216,650 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The mission of prma is to improve advice, coverage and service provided to the high net worth insurance consumer through education and increased awareness.

What it reported doing in 2024

Prma academy offers several educational opportunities for members. The chartered private risk and insurance advisor (cpria) certificate is an online certification program specifically developed for professionals in private risk management, cpria aims to broaden knowledge and enable participants to better advise clients and provide them with specialized solutions to complex industry issues. The certification program was launched in may of 2015 and currently has over 400 participants and over 1200 graduates. The advanced chartered private risk and insurance advisor (acpria) certification was launched in november of 2018. Each twoyear program provides an opportunity to further participants knowledge and raise their professional profile. In addition to the certification courses the academy offers two ondemand courses on specific topics relevant to private risk management professionals. The introduction to family office risk management was launched in june of 2019 and has over 180 graduates. The elements of insuring to value was launched in 2021.

Operating model

Revenue model
Earned-program. 99% of the money available for current operations came from fees and other program 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

SUPPORTED - The filed numbers largely add up and most voting board members are independent. 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: 53
  • Transparency & Controls: 60
  • Accountability: 69
  • Sustainability: 50
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 55.8%; rating input score 56
  • Program expense ratio: 66.4%; rating input score 66
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd 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: 100%; rating input score 100; 63rd percentile among comparable filings
  • Governance controls: 2 of 8 controls in place; rating input score 25
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 15.1%; rating input score 71; 71st percentile among comparable filings
  • Total-asset coverage ratio: 0.75; rating input score 28; 28th percentile among comparable filings
  • Liabilities to assets ratio: 0.17; rating input score 48; 48th percentile among comparable filings
  • Officer compensation ratio: 12.5%; rating input score 23; 23rd percentile among comparable filings

Growth

  • Program expense growth: 11.5% per year; rating input score 100; 69th percentile among comparable filings
  • Revenue growth: 14.8% per year; rating input score 100; 81st percentile among comparable filings
  • Asset growth: 20.5% per year; rating input score 100; 85th percentile among comparable filings

Details

  • Where the money goes: 55.8% of revenue deployed · 66.4% of spending went to programs
  • Governance: 20 of 20 board members independent · 2 of 8 filing controls reported
  • Programs: 3 filed program accomplishments · $1.2M in reported program spending
  • Leadership: top reported pay $217K · 21 people listed · 0 of 6 pay-setting controls reported
  • Consistency: 24 of 24 current checks pass
  • Schedules: 2 filed schedules · includes executive pay
  • Filing history: 11 filing years from 2014 to 2024
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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.
  • Staff and benefit plans: Retirement and health plans the organization files with the Department of Labor, and the people in them.

Key Signals

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

  • Review — Financial Efficiency: Mission deployment rate scored 56/100.
  • High — Transparency & Controls: Pay-setting controls scored 0/100.
  • High — Accountability: Governance controls: 5 of 7 not reported.
  • High — Sustainability: Total-asset coverage ratio scored 28/100.
  • High — Sustainability: Officer compensation ratio scored 23/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 48/100.