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Proposed Coverage—The City's renewed insurance program includes:
<br /> Property insurance—coverage limit of$1,000,000 per occurrence with a$250,000 SIR or deductible,
<br /> Excess Property insurance—coverage limit above$1,000,000 to total property of$250 million,
<br /> Auto physical damage insurance—coverage limit of$19.7 million with a $100,000 SIR or deductible.
<br /> Liability insurance—coverage limit of$15,000,000 per occurrence with a$250,000 SIR or deductible,
<br /> Business auto liability—coverage limit$5,000,000 per accident with a $250,000 SIR or deductible,
<br /> Workers Compensation insurance—coverage limit of$3,000,000 with a$300,000 SIR or deductible,
<br /> Equipment breakdown insurance—coverage limit of 100,000,000 with a$5,000 SIR or deductible,
<br /> Crime insurance—coverage limit$2,000,000 per loss with a $5,000 SIR or deductible,
<br /> Cyber liability insurance—coverage limit of$5,000,000 per occurrence with a$50,000 SIR or deductible.
<br /> Crisis protection insurance —coverage limit of$1,000,000 per occurrence with$5,000 SIR or deductible.
<br /> Recommendation
<br /> City Risk Management hereby requests City Council authorization to proceed forward to bind coverage
<br /> for the insurance period commencing October 1, 2022 and ending October 1, 2023, including renewal of
<br /> the coverage as proposed.
<br /> Arthur J Gallagher marketed the City's coverage to multiple insurers to ascertain interest and
<br /> competitiveness in the marketplace. The renewal proposals received from the expiring carriers offered the
<br /> most competitive terms and conditions.
<br /> Annual premium $ Prior Price Expiring Price Proposed Price % Change
<br /> 2020-2021 2021 -2022 2022-2023 vs expiring
<br /> Coverage:
<br /> Property&liability 280,803.00 289,776.00 417,111.00 44%
<br /> Excess property 85,409.00 91,500.00 126,627.00 38%
<br /> Equipment breakdown 5,998.00 5,998.00 5,998.00 -
<br /> Crime 8,846.00 8,947.00 8,981.00 -
<br /> Excess liability 83,305.00 340,597.00 366,871.00 8%
<br /> Auto physical damage 66,520.00 67,479.00 58,738.00 -13%
<br /> Cyber liability 55,810.00 160,299.00 250,000.00 56%
<br /> Crisis protection 44,278.00 46,997.00 52,003.00 11%
<br /> Worker's compensation 146,996.00 150,610.00 195,802.00 30%
<br /> Total coverage 777,965.00 1,162,203.00 1,482,131.00 28%
<br /> The market review conducted by Arthur J Gallagher indicated that the coverage and price offering from
<br /> the expiring carriers would not be improved upon by other carriers given current marketplace climate and
<br /> price offering of the expiring carriers.
<br /> POTENTIAL OBJECTIONS
<br /> None
<br /> INPUT FROM OTHER SOURCES
<br /> Ted Miller&Cary Peters,Arthur J. Gallagher Risk Management Service, Inc.
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