2022-06-02T09:20:02-05:00 2021-12-31 366055558 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 990 2021-01-01 363776789 NATIONAL INSURANCE CRIME BUREAU NATI 8475447000 1111 E TOUHY AVE STE 400 DES PLAINES IL 60018 CAROLYN BELLISIO CFO/TREASURER 8475447000 2022-06-02 1 CAROLYN BELLISIO 999009999 BRIDGET T ROCHE P00666837 3128560200 3 AAL1 IAL1 2021 2022-09-23 18:48:47Z NICB CAROLYN BELLISIO 1111 E TOUHY AVE STE 400 DES PLAINES IL 60018 96911117 0 X WWW.NICB.ORG X 1991 IL TO LEAD A UNITED EFFORT OF INSURERS, LAW ENFORCEMENT AND REPRESENTATIVES (CONTINUED IN SCH O) OF THE PUBLIC TO PREVENT AND COMBAT INSURANCE FRAUD AND CRIME. 16 16 413 16 0 0 0 0 68685445 67285364 7321679 5090419 7291 5839 76014415 72381622 0 0 0 0 42178018 42883770 0 0 0 23541742 21792371 65719760 64676141 10294655 7705481 69069184 77958509 30803331 27607784 38265853 50350725 X TO LEAD A UNITED EFFORT OF INSURERS, LAW ENFORCEMENT, AND PUBLIC REPRESENTATIVES TO PREVENT AND COMBAT INSURANCE FRAUD AND CRIME THROUGH INTELLEGENCE AND DATA ANALYTICS, INVESTIGATIONS, LEARNING AND DEVELOPMENT, STRATEGY, POLICY & GOVERNMENT AFFAIRS AND COMMUNICATIONS. 0 0 34471933 39607454 INVESTIGATIONS - NICB'S INVESTIGATIVE EFFORTS PRODUCED 2790 PROSECUTIVE ADMINISTRATIVE ACTIONS (PAA) RELATED TO MEDICAL FRAUD, 3940 IN THE COMMERCIAL FRAUD SEGMENT, AND 3990 IN THE ORGANIZED VEHICLE CRIME SEGMENT. 10172972 10042829 GEOSPATIAL IMAGERY - PROVIDED INSURANCE INDUSTRY AND FIRST RESPONDERS WITH GEOSPATIAL SUPPORT AND ANALYTICS IN DISASTER SITUATIONS. IN 2021, GIC COLLECTED IMAGERY OF TORNADO DAMAGE THAT OCCURRED THROUGHOUT THE SOUTHEAST UNITED STATES IN EARLY 2021. THROUGOUT THE YEAR, IMAGERY WAS PROVIDED TO EMERGENCY RESPONSDERS, LAW ENFORCEMENT, AND THE INSURANCE INDUSTRY, IN SUPPORT OF THEIR EFFORTS TO ADDRESS THE LARGE WILDLAND FIRES THAT OCCURRED IN CALIFORNIA, COLORADO, AND OREGON. THESE FIRES DESTROYED NEARLY 6000 PROPERTIES AND IMPACTED OVER THREE MILLION ACRES. IMAGERY WAS ALSO PROVIDED TO EMERGENCY RESPONDERS AND THE INSURANCE INDUSTRY DURING THE AFTERMATH OF HURRICANE IDA, WHICH CAUSED DAMAGE THROUGHOUT LOUISIANA IN LATE AUGUST. THE IMAGERY COLLECTED AFTER THE DECEMBER TORNADOES, WHICH CAUSED MASSIVE DAMAGE (CONTINUED IN SCH O) IN KENTUCKY, ARKANSAS, ILLINOIS, MISSOURI, AND TENNESEE, WERE OF MAJOR SUPPORT TO THE EMERGENCY RESPONSE EFFORTS IN THOSE AREAS, AS WELL AS THE SUPPORT IT PROVIDED TO THE EFFORTS OF THE INSURANCE INDUSTRY. 8135483 9358363 INTELLIGENCE AND ANALYTICS - PUBLISHED 813 MEDAWARE ALERTS, DISSEMINATED 655 SUSPECT VEHICLE LEADS FOR INVESTIGATION AND POTENTIAL RECOVERY. 7231071 8291779 LEARNING AND DEVELOPMENT - CONDUCTED 2,457 HOURS OF EDUCATION TO MEMBER COMPANIES AND KEY PARTNERS, 263 HOURS TO LAW ENFORCEMENT PERSONNEL. RECORDED 155,399 VIEWS ON LEARNING ASSETS WHICH INCLUDES ELEARNING COURSES, VIRTUAL TRAINING AND VIDEO LIBRARY. RECEIVED 456 TRAINING ENGAGEMENT REQUESTS.EXPENSES = $3,515,415GRANTS = $ 0REVENUE = $4,022,607COMMUNICATIONS AND STRATEGY, POLICY & GOVERNMENT AFFAIRS - NICB LED ENGAGED IN LEGISLATIVE/REGULATORY EFFORTS IN CONJUNCTION WITH MEMBERS, TRADE GROUPS, AND ANTI-FRAUD GROUPS IN VARIOUS STATES, INCLUDING SOUTH CAROLINA (RESTRUCTURING FRAUD BUREAU'S OPERATIONS) AND ILLINOIS (CHICAGO TOWING ACTIVITIES REFORM). TRACKED VARIOUS ANTI-FRAUD LEGISLATION AND SPECIFICALLY 40 CONSUMER DATA PRIVACY BILLS IN 25 STATES, PROVIDED IN-PERSON TESTIMONY, AND WORKED CLOSELY WITH LEGISLATORS AND THEIR STAFF TO SUGGEST AMENDMENTS IN VIRGINIA, NEW YORK, OHIO, COLORADO, WASHINGTON STATE, AND D.C. DEVELOPED 15 PSA'S RELATING TO CONTRACTOR FRAUD, AUTO THEFT, AND FLOODED VEHICLES. PRODUCED 3 MULTIMEDIA RELEASES ON INSURANCE FRAUD.EXPENSES = $3,715,656GRANTS = $ 0REVENUE = $4,269,171 7231071 8291779 60011459 0 0 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 28 0 1 413 1 0 0 0 0 0 0 0 0 0 X 16 16 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 OK X CAROLYN BELLISIO 8475447000 1111 E TOUHY AVE STE 400 DES PLAINES IL 60018 JAMES MCSHEFFREY CHAIR 5.00 0.00 X 0 0 0 MATTHEW C MURPHY VICE CHAIR 5.00 0.00 X 0 0 0 MICHAEL CAPUZZI IMMEDIATE PAST CHAIR 2.00 0.00 X 0 0 0 ROBERT BOWERS MEMBER 2.00 0.00 X 0 0 0 JEREMY CONNOR MEMBER 2.00 0.00 X 0 0 0 CHRISTOPHER CONTI MEMBER (START 10/8/21) 2.00 0.00 X 0 0 0 JAMES GADBERRY MEMBER 2.00 0.00 X 0 0 0 JEAN GUAN MEMBER (THRU 11/1/21) 2.00 0.00 X 0 0 0 MICHAEL KEATING MEMBER (THRU 11/01/21) 2.00 0.00 X 0 0 0 SEJUNG KIM MEMBER (START 11/10/2021) 2.00 0.00 X 0 0 0 TERESA KING MEMBER (START 10/8/21) 2.00 0.00 X 0 0 0 PATRICK MEYER MEMBER (THRU 5/7/21) 2.00 0.00 X 0 0 0 TIM MURRAY MEMBER 2.00 0.00 X 0 0 0 MARK OPPENHEIM MEMBER 2.00 0.00 X 0 0 0 MICHAEL T PAYNE MEMBER (START 11/10/21) 2.00 0.00 X 0 0 0 STEVEN PIPER MEMBER 2.00 0.00 X 0 0 0 PETER RAUBENHEIMER MEMBER (THRU 11/01/21) 2.00 0.00 X 0 0 0 CLAUDIA RODRIGUEZ MEMBER 2.00 0.00 X 0 0 0 EMILEE SCIALPI MEMBER (START 10/8/21) 2.00 0.00 X 0 0 0 NICHOLAS SEMINARA MEMBER 2.00 0.00 X 0 0 0 DAVID GLAWE CHIEF EXECUTIVE OFFICER 50.00 0.00 X 794980 0 26122 TIMOTHY R SLATER CHIEF OPERATING OFFICER 50.00 1.00 X 376259 2278 24693 THOMAS P MARTIN GENERAL COUNSEL/SECRETARY 50.00 5.00 X 335044 7555 22273 CAROLYN BELLISIO CFO/TREASURER (START 9/1/21) 50.00 1.00 X 138782 325 1723 DAN ABBOTT VICE PRESIDENT/PEMS 40.00 0.00 X 287060 0 72231 JOHN SELLECK VICE PRESIDENT/OIA 40.00 2.00 X 295306 10680 17781 JAMES BERRY VP/LEARNING & DEVELOPMENT 40.00 20.00 X 244686 19033 16575 KAREN GRACZYK VICE PRESIDENT/ITD 40.00 0.00 X 203428 0 70971 ROBERT COOPER VP/ASSOC GEN COUNSEL 40.00 1.00 X 187159 1758 48170 RICHARD DIZINNO VICE PRESIDENT/SPGA (START 2/8/21) 40.00 0.00 X 208220 0 13223 ALAN HASKINS VP/GOVT AFFAIRS (THRU 8/27/21) 40.00 0.00 X 162004 0 30922 GEORGE WORSHAM DIRECTOR FIELD OPERATIONS 40.00 0.00 X 192595 0 66381 FREDERICK LOHMANN DIRECTOR FIELD OPERATIONS 40.00 0.00 X 167028 0 40098 ROBERT JONES DIRECTOR FIELD OPERATIONS 40.00 0.00 X 181817 0 12083 DANA MACDONALD DIRECTOR FIELD OPERATIONS 40.00 0.00 X 175669 0 11359 KEVIN GALLAGHER DIRECTOR FIELD OPERATIONS 40.00 0.00 X 161712 0 10638 JOSEPH WEHRLE CHIEF EXECUTIVE OFFICER 0.00 0.00 X 147336 0 0 BARBARA LOW VICE PRESIDENT/HUMAN RESOURCES 0.00 0.00 X 138748 0 22002 4397833 41629 507245 18 1 1 0 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 ACCOUNTING SERVICES 108171 1 NONDEDUCTIBLE MEMBERSHIP DUES 813319 54126828 54126828 GEOSPATIAL MEMBER ASSESSMENT 541990 10042829 10042829 USER FEES 541990 1477038 1477038 LICENSE PLATE READER PROGRAM 541990 876100 876100 VEHICLE FINANCE PROGRAM 541990 378932 378932 383637 383637 67285364 1556882 1556882 28054407 8625 24518727 10768 3535680 -2143 3533537 3533537 RESTITUTION CONTRIBUTION 813319 5839 5839 5839 72381622 67285364 0 5096258 3867353 3710141 157212 29287310 28096750 1190560 -2773000 -2680183 -92817 10095117 9684741 410376 2406990 2331275 75715 123904 26796 97108 108171 108171 96271 96271 113061 113061 1327732 1204852 122880 62669 56402 6267 4647732 3832636 815096 1057445 982489 74956 1398619 878069 520550 218527 212034 6493 178587 173280 5307 5665 1298 4367 462295 416065 46230 902465 61213 841252 GEOSPATIAL IMAGERY 9428335 9428335 AUTO OPERATIONS 1632284 1576385 55899 REPORT AND SURV SUPPORT 23507 17712 5795 5102 1169 3933 64676141 60011459 4664682 0 1300 898 13235257 15104620 2628460 2903844 1028276 1211810 8658212 8065739 994004 592473 50914957 57856750 266930 288114 69069184 77958509 4541374 6436804 2264151 454524 23997806 20716456 30803331 27607784 X 38246094 50340188 19759 10537 38265853 50350725 69069184 77958509 X 7705481 845391 3534000 X 0 1 X 1 0 0 0 1 54126828 142328 56385 198713 96271 102442 0 2082421 1890003 192418 5628652 5328919 299733 947139 846817 100322 592473 ACCRUED OTHER LIABILITIES 336706 DUE TO ISO 2008750 POST RET. BENEFITS NON CURRENT 18371000 20716456 X 73113952 845391 845391 72268561 113061 113061 72381622 64563080 0 64563080 113061 113061 64676141 PART X, LINE 2: FIN 48 FOOTNOTE NICB HAS RECEIVED A FAVORABLE DETERMINATION LETTER FROM THE IRS STATING THAT IT IS EXEMPT FROM FEDERAL INCOME TAXES UNDER THE PROVISIONS OF SECTION 501(C)(4) OF THE INTERNAL REVENUE CODE OF 1986 (IRC), EXCEPT FOR INCOME TAXES PERTAINING TO UNRELATED BUSINESS INCOME. THE FINANCIAL ACCOUNTING STANDARDS BOARD ISSUED GUIDANCE THAT REQUIRE TAX EFFECTS FROM UNCERTAIN TAX POSITIONS TO BE RECOGNIZED IN THE FINANCIAL STATEMENTS ONLY IF THE POSITION IS MORE LIKELY THAN NOT TO BE SUSTAINED IF THE POSITION WERE TO BE CHALLENGED BY A TAXING AUTHORITY. MANAGEMENT HAS DETERMINED THAT THERE ARE NO MATERIAL UNCERTAIN TAX POSITIONS THAT REQUIRE RECOGNITION IN THE FINANCIAL STATEMENTS. NO PROVISION FOR INCOME TAXES HAS BEEN INCLUDED IN THE 2021 AND 2020 FINANCIAL STATEMENTS. ADDITIONALLY, THERE IS NO INTEREST OR PENALTIES RECOGNIZED IN THE STATEMENTS OF ACTIVITIES OR STATEMENTS OF FINANCIAL POSITION. X X X X 1 0 0 0 0 0 0 1 0 DAVID GLAWE CHIEF EXECUTIVE OFFICER 425864 0 276250 0 92866 0 17400 0 8722 0 821102 0 0 0 TIMOTHY R SLATER CHIEF OPERATING OFFICER 334155 2278 37250 0 4854 0 17400 0 7293 0 400952 2278 0 0 THOMAS P MARTIN GENERAL COUNSEL/SECRETARY 291882 7555 40975 0 2187 0 17400 0 4873 0 357317 7555 0 0 DAN ABBOTT VICE PRESIDENT/PEMS 226994 0 54072 0 5994 0 41579 0 30652 0 359291 0 0 0 JOHN SELLECK VICE PRESIDENT/OIA 200317 10680 5300 0 89689 0 12815 0 4966 0 313087 10680 0 0 JAMES BERRY VP/LEARNING & DEVELOPMENT 208843 19033 33750 0 2093 0 13704 0 2871 0 261261 19033 0 0 KAREN GRACZYK VICE PRESIDENT/ITD 174421 0 26308 0 2699 0 33737 0 37234 0 274399 0 0 0 GEORGE WORSHAM DIRECTOR FIELD OPERATIONS 168461 0 22610 0 1524 0 30734 0 35647 0 258976 0 0 0 ROBERT COOPER VP/ASSOC GEN COUNSEL 165178 1758 19151 0 2830 0 10546 0 37624 0 235329 1758 0 0 RICHARD DIZINNO VICE PRESIDENT/SPGA (START 2/8/21) 197577 0 10000 0 643 0 11855 0 1368 0 221443 0 0 0 FREDERICK LOHMANN DIRECTOR FIELD OPERATIONS 147944 0 15118 0 3966 0 9370 0 30728 0 207126 0 0 0 ROBERT JONES DIRECTOR FIELD OPERATIONS 159611 0 15552 0 6654 0 9639 0 2444 0 193900 0 0 0 ALAN HASKINS VP/GOVT AFFAIRS (THRU 8/27/21) 114165 0 25939 0 21900 0 7125 0 23797 0 192926 0 0 0 DANA MACDONALD DIRECTOR FIELD OPERATIONS 154343 0 14968 0 6358 0 9277 0 2082 0 187028 0 0 0 KEVIN GALLAGHER DIRECTOR FIELD OPERATIONS 145696 0 14117 0 1899 0 8750 0 1888 0 172350 0 0 0 BARBARA LOW VICE PRESIDENT/HUMAN RESOURCES 0 0 22464 0 116284 0 0 0 22002 0 160750 0 0 0 JOSEPH WEHRLE CHIEF EXECUTIVE OFFICER 0 0 147336 0 0 0 0 0 0 0 147336 0 0 0 PART I, LINE 4A: SEVERANCE PAYMENTS ONE INDIVIDUAL REPORTED IN PART VII RECEIVED A SEVERANCE PAYMENT DURING THE YEAR. THE AMOUNT IS REPORTED AS TAXABLE WAGES ON THEIR W-2. THEIR NAME IS NOT REPORTED DUE TO NON-DISCLOSURE AGREEMENTS. PART I, LINE 7: NON-FIXED PAYMENTS EMPLOYEES ARE ELIGIBLE FOR BONUSES, BUT BONUSES ARE NOT GUARANTEED AS PART OF THEIR COMPENSATION OR SPECIFIED IN A CONTRACT. WHETHER ANY BONUS IS PAID AND THE AMOUNT PAID SOLELY DEPENDS ON WHETHER THE COMPANY MEETS THE PERFORMANCE METRICS SPECIFIED IN THE BONUS PAYMENT SCHEDULE. A BONUS IS PAID ONLY IF THE PERFORMANCE RATING IS 85% OR ABOVE. THE PERFORMANCE RATING FOR 2020 WAS 97%. PERFORMANCE TARGETS ARE SET FORTH AT THE BEGINNING OF THE BUDGET YEAR IN THE OPERATION PLAN AND APPROVED BY THE BOARD. THE AWARD GRADIENTS FOR THE CEO WAS 65%, OTHER OFFICERS AT 30% AND THE KEY EMPLOYEES AT 10%-15%; OF THEIR BASE SALARIES. THE TOTAL BONUS AND INDIVIDUAL OFFICER BONUS IS DETERMINED AND APPROVED BY THE EXECUTIVE COMMITTEE WHICH IS THE GOVERNING BODY OF THE EXECUTIVE/COMPENSATION/NOMINATING COMMITTEE. FORM 990, PART VI, SECTION A, LINE 1A EXECUTIVE COMMITTEE AND OTHER COMMITTEES EXECUTIVE COMMITTEE: AT EACH ANNUAL MEETING OF THE BOARD, THERE MAY BE ELECTED FROM ITS MEMBERSHIP AN EXECUTIVE COMMITTEE. THE EXECUTIVE COMMITTEE SHALL CONSIST OF THE CHAIRMAN AND VICE CHAIRMAN OF THE BOARD AND NO MORE THAN SEVEN (7) MEMBERS ELECTED FROM THE MEMBERSHIP OF THE BOARD. THE EXECUTIVE COMMITTEE SHALL BE VESTED WITH THE AUTHORITY TO ACT BETWEEN MEETINGS OF THE BOARD, SUBJECT TO THE LIMITATIONS OF THE GNFPCA. THE CHAIRMAN OF THE BOARD SHALL BE THE CHAIRMAN OF THE EXECUTIVE COMMITTEE. OTHER COMMITTEES: THE BOARD, BY RESOLUTION ADOPTED BY A MAJORITY OF THE GOVERNORS PRESENT AT A MEETING AT WHICH A QUORUM IS PRESENT, MAY, AS IT DEEMS FIT, ESTABLISH OR APPOINT OTHER COMMITTEES, THE CHAIRMAN THEREOF TO BE DESIGNATED BY THE BOARD IN THE MAKING OF SUCH APPOINTMENTS. EACH SUCH COMMITTEE SHALL HAVE TWO (2) OR MORE GOVERNORS, AND EACH COMMITTEE MEMBER SHALL BE A DULY AUTHORIZED REPRESENTATIVE OF A MEMBER OF THE CORPORATION. ANY COMMITTEE MEMBER MAY BE REMOVED BY THE BOARD WHENEVER, IN ITS JUDGEMENT, THE BEST INTERESTS OF THE CORPORATION ARE TO BE SERVED BY SUCH REMOVAL. FORM 990, PART VI, SECTION A, LINE 2 BUSINESS RELATIONSHIPS TIMOTHY R. SLATER, THOMAS P. MARTIN, JOHN SELLECK, JAMES BERRY, AND CAROLYN BELLISIO HAVE A BUSINESS RELATIONSHIP WITH EACH OTHER AS VOTING MEMBERS AT A RELATED ORGANIZATION NATIONAL INSURANCE CRIME TRAINING ACADEMY. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 REVIEW PROCESS A NATIONAL PUBLIC ACCOUNTING FIRM PREPARES THE FORM 990. A DRAFT OF THE RETURN IS REVIEWED BY THE NICB TREASURER AND INTERNAL ACCOUNTING NICB PERSONNEL. AN UPDATED FINAL DRAFT IS REVIEWED AND APPROVED BY THE NICB AUDIT/FINANCE COMMITTEE AND PROVIDED ELECTRONICALLY TO THE FULL NICB VOTING BOARD OF GOVERNORS FOR COMMENTS BEFORE IT IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST POLICY MONITORING & ENFORCEMENT NICB'S OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, AND HIGHEST COMPENSATED EMPLOYEES ARE SUBJECT TO THE CONFLICT OF INTEREST POLICY. NICB'S COMPLIANCE OFFICER IS IN CHARGE OF MONITORING EMPLOYEE ACTIVITIES FOR COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY. CONFLICTS ARE REPORTED TO THE COMPLIANCE OFFICER, AND THE COMPLIANCE OFFICER REPORTS ALL MATTERS TO THE NICB AUDIT/FINANCE COMMITTEE FOR REVIEW. FORM 990, PART VI, SECTION B, LINE 15 PROCESS FOR DETERMINING COMPENSATION SALARY RATES ARE BASED ON COMPARABLE SALARY DATA COMPILED BY HUMAN RESOURCES THAT APPROXIMATES NICB'S OPERATIONS, CANDIDATE'S QUALIFICATIONS AND EXPERTISE. NICB HAS AN INTERNAL COMMITTEE OF DEPARTMENT HEADS THAT REVIEW CANDIDATES. THE NICB BOARD OF GOVERNORS OVERSEES CANDIDATES AND SALARY LEVELS FOR OFFICER POSITIONS. FOR ITS COMPENSATION PROCESS, A COMPENSATION COMMITTEE, INDEPENDENT COMPENSATION CONSULTANT, COMPENSATION SURVEY DATA, AND APPROVAL OR RATIFICATION OF COMPENSATION BY THE BOARD OF GOVERNORS IS REQUIRED. THE BOARD REVIEW IS DONE ANNUALLY, AND THE OUTSIDE CONSULTANT REVIEW IS DONE PERIODICALLY. THE REVIEW PROCESS FOR NICB IS CONTEMPORANEOUSLY DOCUMENTED IN THE ORGANIZATION'S MINUTES. A TOTAL REWARDS (COMPENSATION AND BENEFITS) STUDY WAS BEGUN WITH AN EXTERNAL COMPANY IN SEPTEMBER 2021 AND EXPECTED TO BE COMPLETED BY MARCH 2022. THE FINAL SALARY FOR CEO AND OFFICERS ARE APPROVED BY THE EXECUTIVE COMMITTEE OF THE BOARD ANNUALLY. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS MADE AVAILABLE ARTICLES, BYLAWS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART XI, LINE 9: NET PERIODIC POST-RETIREMENT COSTS 3,534,000. NATIONAL INSURANCE CRIME TRAINING ACADEMY 1111 EAST TOUHY AVE STE 400 DES PLAINES IL 60018 311768814 PUBLIC SAFETY IL 501(C)(3) LINE 10 NICB 1 0 0 0 0 1 0 0 0 0 0 0 0 0 1 1 0 0 0 0 NATIONAL INSURANCE CRIME TRAINING ACADEMY O 258137 FMV