Americas Leading Insurer of Emergency Organizations

LOSAP FAQs


Find answers to your frequently asked questions about Length of Service Award Programs (LOSAPs) for your volunteer firefighters.


A: Similar to a retirement program, a LOSAP is designed to retain and reward volunteers for their service to the community. VFIS has provided LOSAP administration and support since 1983. With our package of services and products, volunteers can focus on what they do best – protecting the community.

A: Offering a LOSAP would provide:

  • Lump sum benefit - At entitlement (or termination of service).
  • Death benefit - Accumulated funds paid to beneficiary.
  • Disability benefit - Accumulated funds may be distributed.

A: 

  • Defined Benefit - the sponsoring ESO predefines the monetary reward per year of the service that the volunteer will receive monthly at entitlement age.
    • Fluctuation in contribution is assumed by the sponsor to ensure adequate funds are accumulated to pay benefits.


  • Defined Contribution - the sponsoring ESO predefines the monetary contribution to the volunteer's account per year of service. At entitlement age, the account balance is awarded to the volunteer as a lump sum.
    • Fluctuation in reward is assumed by the volunteer depending on investment results.

A:

  • Community - Establishing a LOSAP can provide significant savings to municipalities that are otherwise associated with paying salaries and benefits for full-time firefighters.

  • Emergency Service Organization - Establishing service requirements to qualify for benefits promotes a better trained and managed team of volunteers.

  • Volunteers - Establishing a LOSAP offers rewards to volunteers for community service and encourages volunteer retention.

A: Implementing a LOSAP can provide significant savings to municipalities that are otherwise associated with paying salaries and benefits for full-time firefighters. LOSAPs offer financial rewards to volunteers for community service, which encourages volunteer retention.

A: A defined contribution plan allows the ESO to contribute a recurring amount to the eligible volunteer’s LOSAP account. A defined benefit provides a guaranteed benefit from which the annual premium may change based on actuarial tables.