Q&A: How CIRSA uses hail alerts to protect municipal fleets, reduce risk

InsuranceNewsNet asked Mike Wagner, Claims Manager, CIRSA, about the impact of hail storms and their increasing severity, as well as how CIRSA is working to help mitigate damage to property and reduce loss.

INN: For readers who may not be familiar, what is CIRSA and who do you serve?

Mike Wagner: CIRSA is a governmental insurance pool based in Denver. We were formed in 1982 to provide property, casualty, and workers’ compensation insurance coverage to Colorado municipalities. Today, we serve nearly 300 member cities and towns across the state. I’ve been the Claims Manager since 2015, overseeing both property/casualty and workers comp claims.

INN: Why has hail risk—specifically damage to vehicles—become such a priority for CIRSA?

Wagner: Hail has always been a top loss category for us on the property side, but it’s gotten more severe over the last 7 or 8 years. Part of it is that our members’ fleets have grown, and part of it is the intensity and frequency of hailstorms. Since COVID, vehicle parts have become harder to get, and repair costs have gone way up. That’s made hail losses even more painful—not just financially, but operationally. Police and public works departments can’t afford to have vehicles out of service. It’s also impacted our insurance structure. Our retention has jumped from $500,000 to $5 million, and we’ve gone from having one excess carrier to needing coverage from 30+ carriers. That makes everything more expensive and more complex.

INN: What led CIRSA to shift from a reactive claims-based approach to something more proactive?

Wagner: It started with a conversation. Our executive director had heard that another pool was using a weather alert service. When I looked into it, I found that service was basically just pushing out National Weather Service alerts—nothing special. So, I started researching and came across KISTERS, who were providing hyper-local hail alerts for solar farms. I thought, well, municipalities are just like solar farms—fixed locations with assets to protect. That’s when we reached out to Dave Procyk at KISTERS and started the pilot.

INN: How does the HailSens Nowcast work for CIRSA members today?

Wagner: Right now, over 60 member municipalities are enrolled. They receive hail alerts 90 minutes in advance, updated every 6 minutes, with hail size and location data. Alerts are texted directly to member contacts. It’s up to each member to act on those alerts. Some move vehicles indoors, others use heavy-duty car covers. Our risk control team is even looking at bulk options for protective covers. One of the nice things about the system is that it’s customizable—we’ve set quiet hours so members don’t get woken up by alerts at 2 a.m.

INN: Have your members seen the value?

Wagner: Absolutely. We only had one hail event during the pilot, but KISTERS nailed it—the system predicted the hailstorm and got the size exactly right. That helped us make the case internally. And since launching the full program, we’ve seen strong interest. Fleet managers in particular, are excited because they’re the ones who deal with the headaches of damage and downtime.

INN: What kind of return on investment are you seeing?

Wagner: It’s hard to quantify ROI on something that prevents a loss. But we know that even if 20-30% of vehicles can be moved out of harm’s way, we’re saving real money. A single vehicle hail claim can be $5,000 or more. Some of our members have 100+ vehicles. The numbers add up quickly. Plus, we’re demonstrating to our excess carriers that we’re being proactive, which helps us negotiate better rates.

INN: What can other insurance pools learn from CIRSA’s approach?

Wagner: This isn’t just about cost—it’s about doing the right thing for our members. Commercial carriers may pass costs down, but in a pool, we’re stewards of public funds. If we can reduce losses and help our members avoid downtime, that’s a win. And I think other pools will follow if we can show results.

INN: Do you see real-time weather intelligence playing a bigger role in public sector insurance?

Wagner: Definitely. Weather risk isn’t going away—it’s getting worse. The more accurate, real-time data we can get and share with members, the better prepared they’ll be. Whether it’s hail, wildfire, or another hazard, early warning is everything. We’re already exploring wildfire risk tools with KISTERS now.

INN: What’s next for CIRSA?

Wagner: Right now, we’re focused on expanding hail alerts to more members. Our goal is to get full participation, especially across the eastern part of the state where hail is most frequent. Beyond that, wildfire is the next frontier for prevention. We’re always looking for ways to provide value and protect our members.

© Entire contents copyright 2025 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com.

This report compiled by InsuranceNewsNet staff.