How is my companys administrative expense calculated?
A5: By statute, NJAIRE is empowered to raise sufficient money to pay its operating expenses. Each year, the NJAIRE Board approves the budget for the upcoming year. Each participating company’s share of the total Administrative Expense is the projected administrative budget times that company’s share of the latest year’s zero dollar tort threshold assessments. For example, the Sixteenth Annual Cash Settlement (evaluation date 3/01) collected 2002 budgetary amount based on the assessments collected for calendar/accident year 2000. B.
