Public Utilities Risk Management Association

What Public Utilities Risk Management Association does

Public Utilities Risk Management Association (PURMA) is a not-for-profit, member-driven risk management association founded in 1996 and headquartered in Westborough, Massachusetts. It serves publicly owned municipal utilities and utility cooperatives in the Northeast United States (New England and New York), providing risk management consulting, insurance education and training, and policy procurement services. PURMA's core insurance offering consists of two member-owned captive insurance programs it administers: PUMIC (Public Utility Mutual Insurance Company), a Vermont-domiciled Risk Retention Group formed in 1997 with $1 million of capital from six founding member utilities and providing liability coverage; and PEIC (Public Energy Insurance Company LLC), which provides property and liability coverage exclusively to members.\n\nThe organization generates revenue through three streams: recurring membership dues, recurring captive insurance premiums under PUMIC and PEIC, and transactional commercial insurance placement fees. For commercial placements on exposures not covered by the captives, PURMA partners with Starkweather & Shepley Insurance as its broker, while AEGIS (Associated Electric & Gas Insurance Services) provides reinsurance for PUMIC. PURMA also operates as a 'sister' organization to the Northeast Public Power Association (NEPPA), which originally sponsored the insurance buying group that became PURMA in 1977 and continues as the regional service organization for publicly owned utilities in the Northeast.\n\nPURMA is staffed by three professionals—an Executive Director (Nichole Magnifico, CPCU), a Risk Management Analyst (Aliyah Minus, ACI), and a Risk Management Coordinator (Karen Ribeiro)—and is governed by a 10-person board composed of member utility representatives. Its stated vision is to become the risk management partner of every Public Utility and Utility Cooperative in the Northeast.

Name

Public Utilities Risk Management Association

Legal name

Public Utilities Risk Management Association

Website

https://purma.org

Company type

Private

Founded year

1996

Operating status

Operating

Headcount range

1–10 employees

Short description

PURMA is a not-for-profit risk management association that administers two member-owned captive insurance programs (PUMIC and PEIC) and provides commercial insurance placement and risk management consulting exclusively to public utilities and utility cooperatives in the Northeast United States.

Ownership category

akta.pro rank

Product category

Insurance Risk Management

NAICS

Agencies, Brokerages, and Other Insurance Related Activities (5242), Insurance Carriers and Related Activities (524), Direct Property and Casualty Insurance Carriers (524126)

SIC

Insurance Agents, Brokers & Service (6411), Fire, Marine & Casualty Insurance (6331), Insurance Carriers, Nec (6399)

akta.pro primary industry

Captive Insurance Advisory & Management (FSAEADAF)

akta.pro secondary industry

Management Liability (D&O/EPL/Fiduciary) (FSAJAGAD)

Keywords

• Risk management services
• Captive insurance programs
• Utility insurance solutions
• Commercial insurance placement
• Member-owned insurance pools

Headquarters

HQ city

Westborough

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Infrastructure

Revenue model

1. Membership Dues: PURMA generates revenue through membership fees from public utilities and utility cooperatives. Membership provides access to risk management services, captive insurance programs, and commercial insurance procurement.
2. Captive Insurance Premiums: PUMIC and PEIC provide liability and property insurance exclusively to members, generating premium revenue. PUMIC was originally formed in 1997 with $1 million capital from six member utilities.
3. Commercial Insurance Placement: PURMA leverages group buying power to negotiate commercial insurance placements for exposures not covered by member-owned captives, partnering with Starkweather & Shepley Insurance.

Go-to-market motion1 record

Distribution channels3 records

Marketing channels2 records

Core offering

Public Utilities Risk Management Association (PURMA) is a not-for-profit membership association that provides risk management services, education, training, and insurance procurement exclusively to Public Utilities and Utility Cooperatives in the Northeast. PURMA administers two member-owned captive insurance companies — PUMIC RRG (liability) and PEIC LLC (property and liability) — and leverages group buying power through Starkweather & Shepley Insurance to negotiate commercial insurance placements for members.

Product overview

PURMA is a not-for-profit risk management association providing a comprehensive portfolio of insurance and risk management services exclusively to Public Utilities and Utility Cooperatives in the Northeast. The core offerings consist of two member-owned captive insurance programs—PUMIC (Public Utility Mutual Insurance Company, a Risk Retention Group) providing liability coverage, and PEIC (Public Energy Insurance Company LLC) providing property and liability coverage—along with commercial insurance placement services. Supplementary services include risk management consulting, annual insurance program reviews, contract reviews, 24/7 consulting, certificate of insurance management, property appraisals, Medicare reporting, claims assistance, and drivers safety training through NEPPA partnership.

Differentiator

Problem solved

Functional benefit

Products and services

• PUMIC (Public Utility Mutual Insurance Company) A Risk Retention Group (RRG) providing liability insurance programs exclusively to PURMA members. Coverage lines include General Liability, Excess Liability, Auto Liability, Public Officials' Liability, Employment Practices Liability, Fiduciary & Employee Benefits Liability, and Errors & Omissions. Governed by a 10-person Board of Directors composed of member utility representatives.
• PEIC (Public Energy Insurance Company LLC) A member-owned captive insurance company providing Liability and Property Insurance exclusively to PURMA members.
• Commercial Insurance Placement Group purchasing program leveraging collective buying power to negotiate premium discounts and favorable coverage language for exposures not covered by member-owned captives. Partnered with Starkweather & Shepley Insurance for commercial placements.
• Risk Management Consulting Services Comprehensive risk management services including annual insurance program reviews, contract reviews, 24/7 risk management consulting, certificate of insurance management, property appraisals, Medicare reporting, claims assistance, and education and training.
• Drivers Safety Training National Safety Council-certified defensive driving training for drivers, fleet managers, supervisors, and managers, emphasizing risk identification, safe decision-making, and collision prevention. Provided in partnership with NEPPA.

Quantifiable outcome

• More than 90% of member revenue is generated by electric utility services

Named customers1 record

Segments2 records

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Six partnerships are on record, tiered core and minor.

• Starkweather & Shepley InsurancecoreChannel Partner/ Reseller/ DistributorStarkweather & Shepley Insurance partners with PURMA to provide commercial insurance placement for exposures not placed in member-owned captives. They also provide certificate of insurance record management and Medicare reporting agent services.
• Northeast Public Power Association (NEPPA)coreStrategic or Co-development PartnerNEPPA and PURMA are 'sister' organizations. NEPPA originally acted as sponsor and coordinator for the insurance buying group in 1977 and continues as the regional service organization for publicly owned utilities in the northeast.
• National Rural Electric Cooperative Association (NRECA)minorStrategic or Co-development PartnerNRECA is listed as a service partner/affiliate, providing industry support and resources for utility cooperatives.
• Vermont Captive Insurance Association (VCIA)minorOthersVCIA is listed as a service partner/affiliate. PUMIC is domiciled in Vermont and regulated by the Vermont Department of Financial Regulation.
• Primmer Piper Eggleston & Cramer (PPEC)minorOthersPPEC is listed as a service partner/affiliate, providing legal services potentially related to captive insurance operations.
• CroweminorImplementation/ SI/ Consulting PartnerCrowe (accounting/consulting firm) is listed as a service partner/affiliate, potentially providing audit or consulting services.

Scale indicators3 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Chubb: Large multi-line property and casualty insurer with a dedicated utilities practice. Competes with PURMA's commercial insurance placement program for utility exposures not covered by the captive.
• Travelers: Major U.S. property and casualty insurer with strong public-sector and management liability practices. A broad incumbent alternative to PURMA's pooled/D&O/EPL coverages for member utilities.
• Aon: Global insurance brokerage and risk advisory firm with a public-sector and utilities practice. Comparable in the risk advisory and brokerage function, but serving a much broader market than PURMA's regional focus.

Direct peers

• American Public Power Association (APPA): National trade association for publicly owned electric utilities, including pooled insurance and member benefit programs. Comparable as a national-level counterpart to PURMA's municipal-utility risk management focus.
• Associated Electric & Gas Insurance Services (AEGIS): Mutual insurance company owned by and serving electric and gas utilities in the U.S. and abroad. AEGIS is both a peer to PURMA's captive insurance programs and PURMA's primary reinsurance partner for PUMIC, making it the most directly comparable organization.
• National Rural Electric Cooperative Association (NRECA): National service organization for rural electric cooperatives, with insurance and benefit programs. Listed as a PURMA partner/affiliate and offers a parallel suite of insurance and risk management services to a similar utility cooperative audience.
• Starkweather & Shepley Insurance: Regional insurance brokerage partnering with PURMA to provide commercial insurance placements for member utilities. Comparable as a placement partner executing the same group-buying / commercial placement model PURMA leverages.
• Federated Rural Electric Insurance Exchange: Insurance exchange providing property, casualty, and other coverages to rural electric cooperatives and related entities. Closely comparable to PURMA's mission of providing specialized insurance to utility cooperatives.
• Northeast Public Power Association (NEPPA): Regional service organization for publicly owned utilities in the Northeast and PURMA's 'sister' organization. Originally coordinated the insurance buying group that became PURMA and continues to provide adjacent training and services to the same customer base.

Others

• Vermont Captive Insurance Association (VCIA): Industry association for captive insurance companies domiciled in Vermont. Listed as a PURMA partner and is closely related through PUMIC's Vermont domicile, though it competes for attention rather than directly for the same customers.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/public-utilities-risk-management-association

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Subsidiaries2 records

Funding overview

Funding rounds

Investors

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M&A

Investments

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Frequently asked questions about Public Utilities Risk Management Association