March 28, 2018

Risk Management Policies. You have heard about them, your Chapter has one and there is a National Risk Management Policy (NRMP). But what exactly makes a great one? The name pretty much sums up its purpose: to manage the risk of your Chapter.

Everything your Chapter does has a possible risk. Risks can be:

  • Physical - Is this an athletic event? Every participant needs to complete a liability waiver with emergency contact information.
  • Reputational - Does this activity promote and conform to the ideals and values of Phi Sigma Pi?
  • Emotional - Will this activity increase feelings of Brotherhood among all Members of the Chapter and is the event inclusive of everyone?
  • Facilities - Are the facilities adequate for the type of event and number of attendees and is it a safe environment to prevent injuries?
  • Financial - Contracts are a major consideration when money is involved. Submit any contracts for review when filling out the Event Planning Form before your Chapter signs the contract.

Your Chapter’s Risk Management Policy should look at all events and Chapter tasks and explain how to account for these risks. A great example would be to outline an event planning form for every event that your Chapter holds to go through a process to look for and evaluate potential risks.

This document should always be specific to your campus and account for any campus risk management policies that would impact your Chapter.

Sections in this document should include:

  • General event and activity guidelines
  • Emergency management guidelines
  • Hazing policy
  • Inter-Chapter Events
  • Controlled Substances & Alcohol Policy
  • Sexual Harassment & Abuse Policy
  • Social Media Policy
  • Risk Management Education schedule
  • Financial Management
  • Scope, Implementation & Amendments

All of the sections listed above will be looked for and reviewed when you submit your Chapter's Form 110.

Not all of the policies listed in your Chapter's Risk Management Policy will be apart of the National Policy. However, your Chapter's policy must follow and not contradict the National Risk Management Policy. You can find the NRMP at

Here are some examples of what should be included in your Chapter's Risk Management Policy.

Controlled Substances & Alcohol Policy

  • No alcoholic beverages may be purchased through Chapter funds nor may the purchase of the same for Members or guests be undertaken or coordinated by any Member in the name of or on behalf of the Chapter.
  • No Chapter Members, collectively or individually, shall purchase for, serve to, or sell alcoholic beverages to any minor (those under legal “drinking age”).
  • The possession, sale, or use of any illegal drugs or controlled substances during a Fraternity event or at any event that an observer would associate with the Fraternity is strictly prohibited.

Hazing Policy

  • No Member or Alumnus shall conduct or condone hazing activities.
  • No individual can consent to being hazed. Any activity falling within the definition of hazing activities is considered to be a forced activity; the willingness of the individual to participate notwithstanding.
  • Hazing activities are those defined as:
    • Any action taken or situation created, intentionally to produce mental, emotional or physical discomfort, embarrassment, harassment, fright, humiliation or ridicule or possibly cause physical harm or injury.
    • Any mental or physical requirement, request, or obligation placed upon any person which could cause pain, disgrace, or injury.
    • Any activity that violates federal, state, local statutes, or university policies.

Finacial Management


  • The Chapter will adopt the same fiscal year as Phi Sigma Pi.
  • The financial policies of the Chapter shall be governed by the budget adopted at the beginning of each fiscal year.

Chapter Accounts

  • All cash funds of the Chapter shall be deposited in the name of the Chapter in institutions, which are insured.
  • The Executive Board will authorize no more than three designated signers on Chapter accounts to include the Chapter President and Treasurer.
  • The Chapter shall not authorize the use of credit cards or ATM cards in the name of the Chapter.


  • The Chapter will present at least four risk management educational programs each academic year, two of which must focus on alcohol awareness.
  • Each Member and Initiate will read and sign the Phi Sigma Pi Risk Management Agreement (Form 20/20A or 21/21A). The original will be sent to National Headquarters by the specified due date and a copy will be kept in the Chapter files.

For more information visit the Risk Management tab in the Resource Center at