Hamden Assurance Risk Retention Group Inc.

“The organization has a management agreement with aig management services to provide day-to-day accounting and administrative services (such as legal and insurance registrations). The board retains all voting rights and decision making over the organization.”

“Some of the organizations' officers are compensated by dartmouth-hitchcock clinic and mary hitchcock memorial hospital, both related and supported organizations of hrrg. Although paid by a related organization, the compensation for the reported officers is evaluated by internal hr staff using national benchmarking data, along with ongoing evaluations by an independent third party firm for reasonableness, with the last formal process in 2017. External benchmarking from an independent third party has been used for any officer who was hired or received a compensation adjustment since the last formal process. Compensation rates are determined by following the guidelines of the compensation committee charter and philosophy documents and a formal review by compensation committee members of dhc and mhmh.”

“HAMDEN ASSURANCE RISK RETENTION GROUP IS PART OF THE DARTMOUTH-HITCHCOCK HEALTH SYSTEM, WHICH OWNS FOR-PROFIT SUBSIDIARIES THAT PROVIDE SERVICES AND SUPPORTS THE MISSION OF THE ORGANIZATIONS. AS A RESULT, SOME OFFICERS OF HARRG MAY ALSO BE OFFICERS OF RELATED FOR-PROFITS ENTITIES. - Business relationship”

“There are two classes of members: class a members and class b members. The initial class a members shall be dartmouth-hitchcock medical center, dartmouth-hitchcock clinic, mary hitchcock memorial hospital, and the trustees of dartmouth college. Class b members shall be entities affiliated with or related to the class a members.”

“Each class a member shall have full voting rights. The number of votes each class a member shall be entitled to cast on each matter submitted to a vote of the members shall be based on a ratio that one class a member's risk bears to risks all class a members of the corporation as set forth in the corporation's bylaws, predicated on either the class a member's first year premiums or deposits. Class b members shall, voting as a separate class, have the right to elect one class b director of the corporation. Class b members shall not have the right to vote on any other matters submitted to a vote of the members, except as otherwise provided under vermont law. Each class b member shall have one vote for each matter on which the class b members are entitled to vote. In addition to approving board members, hrrg members must approve amendments to the bylaws, articles, and dissolution of the corporation.”

“The affairs of the organization shall be managed by a board of directors consisting of at least three and no more than seven members of dartmouth-hitchcock clinic, mary hitchcock memorial hospital, and the trustees of dartmouth college. The class b members shall, voting as a separate class, have the right to elect one class b director of the organization. All additional members of the board of directors, if any, shall be appointed by the clinic, hospital, and the trustees of dartmouth college.”

“An ad hoc committee including at least, but not limited to, the president, review the form before its filing and report to the board at their annual meeting. A copy of the full form 990 is given to the board for review prior to the filing.”

“The hamden risk retention group's board of trustees approved a policy concerning a voluntary self-disclosure of any potential conflict of interest. The dartmouth-hitchcock compliance and audit services department conducts an annual survey of all officers and trustees and performs other procedures as considered necessary to report on compliance with the conflict of interest policy. The department then reports to each board any potential conflicts for their review. Per the policy, and conflicts or otherwise perceived conflicts are required to be addressed by the board of trustees on an ongoing basis. In the event a conflict arises, the individual may be removed from participating in any decision making regarding the identified conflict and/or its corresponding transactions. If the board or committee has reasonable cause to believe that an interested person has failed to disclose actual or possible conflicts of interest, it shall inform such person on the basis for such belief and afford him/her an opportunity to explain the alleged failure to disclose. If, after hearing the response of the interested person and making such further investigation as may be warranted in the circumstances, the board or committee determines that such person has in fact failed to disclose an actual or possible conflict of interest, it shall take appropriate disciplinary and corrective action.”

“The organization makes its governing documents, conflict of interest policy, and financial statements available to the public upon request.”

“The entry on line 9 reflects the adjustment for retrospective premiums, which is a due from reinsurer/to members and affiliates account. Amounts due from reinsurer consist of reinsurance deposits for retrospective settlements for premiums related to all applicable income and costs under the reinsurance contracts; which includes development, general and administrative expenses, and investment income. Amounts due to members and affiliates consist of return premiums from retrospective settlements related to all applicable income and costs under the contracts; which includes loss development, general and administrative expenses, and investment income, for the direct policies, due to the rrg's members.”

“Adjustment for retrospective premiums - -57361;”