HomeMy WebLinkAbout1976-06-29; City Council; 3691; comprehensive liability insuranceCITY OF CARLSBAD
AGENDA BILL NO. <Js& 9/ Initial:
I/ ,„.,,.~ ' Dept.Hd.
DATE. June 29, 1976 . ^,.
c. Atty.
DEPARTMENT:. _ City Manager' __ ' ' • ' C. Mgr.
. _ . _ _ _ _
Subject: - .
CITY COMPREHENSIVE LIABILITY INSURANCE COVERAGE ..'
Statement of the Matter
In April of this year, the City received notice of cancellation
..from "our insurance carrier, Insurance Company of the Pacific,
Effective June 30, 1976. This company is dropping all
.'"municipalities regardless of the loss experience of the
- insured. ,
1 Upon receipt of this notice our broker of record, National
Certified, was contacted and negotiations commenced for new
insurance. Municipalities are having a difficult time securing
insurance at any cost as practically all' the carriers are . '
limiting their coverage of municipalities.
After checking many companies to obtain the best rate possible,
our broker has been able to supply us with complete coverage
for the City's operations. It was necessary for him to place
this coverage in three separate companies. The General Liability
Policy is written with Jefferson Insurance Company of New York
who writes insurance for many Northern California communities'
and is a satisfactory company.. The balance of the insurance
covering Water Department operations and Comprehensive Auto
Liability is written with Hartford Insurance Company. This
coverage gives us $300,000 combined single limits on City operations.
In addition to this, we have a $2,000,000 excess limit policy which
would provide. coverage above the $300,000 combined single limit.
This excess limit policy has a $10,000 deductible. This is identical
coverage that is now written and is still with the same carrier.
The, total cost of our insurance will be $107,000. This is a
- $33,000 increase over last year and, while substantial, is con-
siderably, lower' than most cities rate increases have- been.
'''.-*.
Exhibit . . ' •
Recommendation . ' _ .
Approve the writing of the insurance for the City by. minute .
motion.
Counci 1 Action'
6-29-76 Council accented staff recommendation.