Office of the Controller

 State Risk & Insurance Services

The Division of State Risk and Insurance Services provides or procures adequate and cost effective insurance for state owned property, state owned vehicles and equipment, and liability risk exposures.  Additionally, this division provides insurance services and state-wide risk management services to state agencies, universities, and the Kentucky Community and Technical College Systems.  The division also procures Public Official Bonds, Commercial Liability and Sickness/Accident insurance policies, provides underwriting services, appraises/sets values of state owned structures and adjusts claims. State Risk provides professional advice while assessing the various state agencies’ insurance needs and acts as the insurance liaison between state agencies and the Finance Cabinet. 

  • The State Fire and Tornado Insurance Fund (F&T), is a self-insured, commercial property insurance program since 1936, which is an essential focus of the division. The F&T provides insurance protection for all state owned buildings and business personal property.  The fund provides property insurance coverage on an “all risk” basis, including losses caused by floods and earthquakes on some 6,800 state owned structures.  The current FY policy may be found under ‘Related Information’.
  • The Kentucky Self-Insured Auto Program (KSAP), is a self-insured, state owned vehicle insurance program established in 2011.  The KSAP staff audits and records all vehicle additions and deletions per agency, issues the annual renewal billing and collects the premium due.  KSAP is responsible for insuring in excess of 13,000 vehicles.

The operation of the F&T Fund and KSAP is comprised of three functions:

  • The appraisal staff performs field appraisals and annual appraisal updates for approximately 6,800 structures owned by the Commonwealth. This section determines the replacement cost and actual cost values by using industry standard appraisal software with an emphasis on square footage, perimeter, construction methods and cost of materials. These values are then utilized by the underwriting staff to determine the insurance premium for all state owned structures. 
  • The underwriting staff issues approximately 330 insurance certificates to insured state agencies, universities, and the Kentucky Community and Technical College Systems.  To assure proper insurance coverage, the underwriter counsels with state entities to determine the acquisition or surplus of buildings, and business personal property holdings and scheduled business continuation coverage, throughout the state.  For the current FY, $20 billion in assets is are insured.
  • The claims staff administers all property damage claims within the F&T  and auto claims within KSAP. The claims staff is responsible for setting up, investigating, assigning to a third party adjuster, and monitoring all property and auto claims, to settlement. The claims section adjusts property claims up to the retention and an outside DOI licensed third party claims adjustor adjusts the auto claims. Claim packets have been prepared to assist in reporting all claims and may be accessed under ‘Related Information’.

Quick Reference Phone Numbers:

Appraisal:  (502) 782 – 5421
Underwriting:  (502) 782 – 5441
KSAP:  (502) 782 – 5438
Property Claims:  (502) 782 -5433
Auto Claims:  (502) 782-0369


State Risk & Insurance Services Training:

We offer a variety of complementary State Risk and Insurance Services related trainings to State Agencies. The trainings include a wide variety of topics including, but not limited to the following:

  • A General Overview of the F&T and KSAP
  • The Property and Auto Claims Process
  • The KSAP Audit Process

For more information, please review the Training Request Form (CTR-1) under 'Related Information'


Related Information

Sheri B. Whisman, Director

Direct Line: (502) 782-5444
Work Cell:  (502)229-3905

Finance and Administration Cabinet
Office of the Controller
Division of State Risk 
209 St. Clair, 5th Floor
Frankfort, Ky 40602-0517

Toll Free:(866)731-4706

Offices and Divisions