Deep delegation on the Municipal insurance company – Gävle (SE)

news_8On the 22nd of May the Deep Delegation took place in Gävle, Sweden, focusing on the municipal insurance company, Svenska Kommun Försäkrings AB (SKFAB), founded by the municipality of Gävle and today co-owned by 10 municipalities (9 Swedish and one Norwegian).

SKFAB, which started its insurance business in 2003, is now able to report its eleventh financial year (2013). The company is owned by the following municipalities: Gävle kommun, Sundsvall kommun, Kiruna kommun, Piteå kommun, Uppsala kommun, Trollhättan Stad, Trondheim kommun, Helsingborgs Stad, Örnsköldsviks kommun and Umeå kommun. To be a shareholder in SKFAB is only open to municipalities in the European Union.

The company has been established so that its shareholders and those municipal companies wholly or partly owned by its shareholders, by way of municipal collaboration in the long term and on as advantageous terms as possible, obtain insurance cover suited to their needs. In addition, the company co-ordinates and manages risk and loss prevention measures on behalf of its municipal co-owners where the current focus is placed on preventing arson attacks. In accordance with its Articles of Association, SKFAB is prevented from operating in any markets outside those of its existing shareholders.

Genoa and Harghita are the CCIC partners that are interested in this Good Practice and would like to learn more in order to see if implementation in their municipalities/regions/countries would be possible.

Questions and issues discussed during the Deep Delegation are:
-    The model of the municipal insurance company as an alternative to insurance solutions traditionally used in municipalities (given that insurance costs weigh heavily on public bodies’ and publicly owned enterprises’ balance sheets);
-    The origin of the municipal insurance company (its starting steps), founding members’ initial investment and the regulatory framework in which the municipal insurance company is inserted, in light of European legislation;
-    The modalities of new members’ admission.
More information on Svenska Kommun Försäkrings AB can be found on the following website: