Risk Management Considerations for Department Purchasing Card Use

1. Risk Management ConsiderationsforDepartment Purchasing Card Use

2. Risk Management and Safety Risk Management is the practice of helping an enterprise achieve its goals and protecting it from financial harm by identifying, analyzing, controlling and financing risk

3. Risk Management and Safety Overview of UA Insurance Coverage • State of Arizona provides insurance coverage per ARS § 41-621 • Insurance programs include property, liability, worker’s compensation • P-Card losses fall into the property loss category • P-Card Policy Manual Section 11 addresses Fraudulent Use

4. Risk Management and Safety Property losses are covered by insurance if certain criteria are met: • Minimum claim is $100 • Loss must not be excluded by statute (not generally applicable to P-Card losses) • Other types of recovery must be attempted first • Cancel card • Contact PCard Administration and JPMorgan Chase • Request reversal of charges from vendor in writing, and obtain written response • Make a report to UAPD • Complete Property Loss Report and submit to RM&S • 90 day deadline for claim notice (but DON’T wait this long!) • Let the claim adjusting process run its course (it takes time) • Report to RM&S any subsequent credits from vendors