HomeMy WebLinkAbout2001-07-10; City Council; 16278; Renewal of Excess Workers' Compensation BenefitsCITY OF CARLSBAD - AGENDA BILL
48 # &i27~ TITLE: RENEWAL OF EXCESS WORKERS’
HTG. 7/10/01 COMPENSATION BENEFITS
IEPT. HR
3ECOMMENDED ACTION:
Approval of Resolution No. 200 I -2 /(> authorizing the renewal of Excess Workers’
Compensation Insurance coverage in accordance with staffs recommendation at a premium
deposit of $40,800.
ITEM EXPLANATION:
The current excess Workers’ Compensation Insurance Policy expired on June 30,200l.
Coverage has been continued pending Council action on the current proposal. This policy
provides for loss coverage which exceeds the City’s self-insured retention level.
Cal-Surance, the City’s insurance broker, has obtained a renewal quote from the City’s
incumbent carrier, Employers Reinsurance Corporation. The renewal premium is $40, 800,
which is significantly higher than last year’s premium of $25,827.
The increased premium reflects the withdrawal of several large workers’ compensation
insurance carriers from the excess insurance market. Of the five quotes received, the quote
from Employers Reinsurance was the most competitive. All other terms and conditions of
coverage are unchanged.
FISCAL IMPACT:
The recommended renewal quotation for one year is $40,800. The City’s Self Insurance
Retention (SIR) would remain at $300,000 for each claim.
EXHIBITS:
1. Resolution No. d00[ -&2/D
2. Summary of Excess Workers’ Compensation Insurance Quotations
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RESOLUTION NO. 2001-210
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CARLSBAD, CALIFORNIA, AUTHORIZING
RENEWAL OF THE CITY’S EXCESS WORKERS’
COMPENSATION INSURANCE.
WHEREAS, the City has established a self-insurance program for workers’
compensation; and
WHEREAS, the City’s Insurance Broker has received a renewal quotation for
Excess Workers’ Compensation Insurance coverage; and
WHEREAS, upon evaluation of this quotation for excess insurance, the City
desires to renew its insurance.
NOW, THEREFORE, BE IT RESOLVED by the City Council of Carlsbad,
California, as follows:
Ill
Ill
Ill
1. That the above recitations are true and correct.
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Ill
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1 2. That the renewal of the City’s Excess Workers’ Compensation Insurance
2 coverage with Employers Reinsurance is hereby approved and the Finance Director is
3 authorized to issue a warrant for the deposit premium of said renewal in the amount of
4 $40, 800.
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6 PASSED, APPROVED, AND ADOPTED at a Regular Meeting of the City
7 Council of the City of Carlsbad on the 10th day of JULY 2001, by the following
0 vote, to wit:
9 AYES: Council Members Lewis, Kulchin, Finnila, Nygaard, Hall
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NOES: None
ABSENT: None
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15 ATTEST:
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SEAL
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