Minimum Threshold for Consolidated Insurance Programs

Bulletin No. 03-005 August 18, 2003 MINIMUM THRESHOLD FOR CONSOLIDATED INSURANCE PROGRAMS The eligibility requirements for Consolidated Insurance Programs are defined in Chapter 616B of the Nevada Revised Statutes (NRS). NRS 616B.710 sets the initial minimum estimated total cost of a construction project to be $150 million for such a program. On June 30 of each year, the Commissioner is required to adjust the minimum estimated total cost of a construction project to reflect the present value of that amount with respect to the “construction cost index.” NRS 616B.710(4)(a) states “ ‘Construction cost index’ means the construction cost index published by the Engineering News-Record as a measure of inflation.” Effective July 1, 2003, the minimum estimated total cost of a construction project must be $164 million for the project to be eligible for a Consolidated Insurance Program. ___________________________________ ALICE A. MOLASKY-ARMAN Commissioner of Insurance