Res No 179-17-14980RESOLUTION NO. 179-17-14980
A Resolution authorizing the City Manager to purchase Property Insurance
including Boiler and Machinery, General Liability Insurance, Automobile Liability
and Damage Insurance, Inland Marine Insurance, Crime/Fidelity Insurance, Law
Enforcement Liability Insurance and Worker's Compensation Insurance from
Preferred Governmental Insurance Trust (PGIT) for Fiscal Year 2017/2018.
WHEREAS, the insurance marketplace for Municipalities is extremely limited; and
WHEREAS, the City, through its Agent of Record, Brown & Brown, has solicited three
quotes and has received independent insurance quote for Property Insurance including Boiler
and Machinery, General Liability Insurance, Automobile Liability and Damage Insurance,
Inland Marine Insurance, CrimelFidelity Insurance, Law Enforcement Liability Insurance and
Worker's Compensation Insurance; and
WHEREAS, Preferred Governmental Insurance Trust (PGIT), was the only carrier that
would consider an insurance program for the City's combined Property, General Liability, Inland
Marine, Crime, General Liability, Law Enforcement Liability, Automobile Liability & Physical
Damage and Workers' Compensation coverage forms; and
WHEREAS, the City renewal quote from PGIT is for all lines of coverage; and
WHEREAS, the City Manager recommends that the City continue coverage with PGIT
for Property Insurance including Boiler and Machinery, General Liability Insurance, Automobile
Liability and Damage Insurance, Inland Marine Insurance, CrimelFidelity Insurance, Law
Enforcement Liability Insurance and Worker's Compensation Insurance for 2017/2018 Fiscal
Year based upon the current proposal; and
WHEREAS, the City continues to receive the company's preferred rating because of the
multiple lines of coverages, including a 5% credit for our Drug Free Workplace policy and a 2%
credit for our Safety Policy; and
WHEREAS, the premium amount shall be charged to departmental line items in their
respective account numbers.
NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA THAT:
Section 1. The City Manager is hereby authorized to purchase the renewal insurance
policy for PGIT for Property Insurance including Boiler and Machinery, General Liability
Insurance, Automobile Liability and Damage Insurance, Inland Marine Insurance, CrimelFidelity .
Insurance, Law Enforcement Liability Insurance and Worker's Compensation Insurances
201712018 Fiscal Year.
Section 2. Severability. If any section clause, sentence, or phrase of this resolution is for
any reason held invalid or unconstitutional by a court of competent jurisdiction, the holding shall
not affect the validity of the remaining portions of this resolution.
..
Pg. 2 of Res. No. 179-17-14980
Section 3. Effective Date. This resolution shall become effective immediately upon
adoption.
PASSED AND ADOPTED this 5th day of September, 2017.
APPROVED:
f1ft1!~ MAYO
COMMISSION VOTE: 5-0
Mayor Stoddard: Yea
Vice Mayor Welsh: Yea
Commissioner Harris: Yea
Commissioner Edmond: Yea
Commissioner Liebman: Yea
THE CITY OF PLEASANT LIVING
TO:
FROM:
DATE:
SUBJECT:
Background:
CITY OF SOUTH MIAMI
OFFICE OF THE CITY MANAGER
INTER-OFFICE MEMORANDUM
The Honorable Mayor & Members of the City Commission
Steven Alexander, City Manager
Agenda Item No.:. __ 6 ___ _ September 5, 2017
A Resolution authorizing the City Manager to purchase Property Insurance including
Boiler and Machinery, General Liability Insurance, Automobile liability and Damage
Insurance, Inland Marine Insurance, Crime/Fidelity Insurance, Law Enforcement
Liability Insurance and Worker's Compensation Insurance from Preferred
Governmental Insurance Trust (PGIT) for Fiscal Year 2017-2018.
The City, through its agent of record, Brown & Brown, solicited and received renewal
proposal for property insurance including boiler and machinery; general liability
insurance; automobile liability and damage insurance; inland marine insurance;
crime/fidelity insurance; law enforcement liability insurance and worker's
compensation insurance from PGIT. The following table is the breakdown of the City's
coverages and costs:
PGIT Summary of Proposed Premiums:
Property Coverage
General Liability
Automobile
Inland Marine
Crime/Fidelity
law Enforcement Liability
Worker's Compensation
[OTAl
$120,049
$103,815
$119,269
$ 836
$ 750
$ 79,187
$142,450
$S66,3Sij
The City continues to receive the company's preferred rating because of the multiple
lines of coverages, including a 5% credit for our Drug Free Workplace policy and a 2%
credit for our Safety Policy. This year's renewal represented no increase in premium
costs.
Recommended Action:
Attachments:
PGIT offers the most competitive rates. The staff recommends that the City renew its
policy with PGIT for its property insurance including general liability insurance;
automobile liability and damage insurance; fidelity insurance; law enforcement
liability insurance and worker's compensation insurance from PGIT for a total
premium of $566,356.
Proposed Resolution
Renewal package from PGIT
INSURANCE PROPOSAL SUBMITTED ESPECIALLY FOR:
CITY OF SOUTH MIAMI
POLICY TERM:
10/01/17 TO 10/01118
DATE OF PRESENTATION:
08/22/2017
PRESENTED By:
"ROBERT HOLLANDF..R
EXECUTIVE VICE PRESIDENT
BROWN & BROWN -MIAMI DIVISION
1
INTRODUCTION
We would like to take the· opportunity to thank. you for allowing us to work closely with you in
our effort to develop a comprehensive Risk Solution Program for your business. Brown &
Brown, Inc. is the largest independent agency organization in Florida and the 6th largest in· the
US. The company provides a variety of insurance products and services to corporate,
institutional, professional and individual clients. Headquartered in DaytOna Beach and Tampa,
Brown & Brown is publicly traded on the New York Stock Exchange (BRO)and has been
included in Forbes' list of the "200 Best Small Companies in America". The company handles
clients' premiums in excess of 12 Billion annually and has in excess of 6,500 employees.
We have insurance professionals who spe.cialize in evaluating and protecting your personal
assets -home, auto, watercraft and life.
We also have an experienced employee benefits department who can assist you with group
health, disabuity, life and. dental.
. . .
While size is not the sole criteria for choosing an insurance agent, it does enable us to offer our
clients clout in the marketplace ·and unmatched service capabilities.
Please feel free to visit our website at www.bbinsurance.com
This insurance proposal is prepared based on data furnished by you for our review. It is
not to be construed as an exact or complete analysis of the policies or as legal evidence of
insurance. It is only a brief outline of four insurance coverage and is for information
purposes only. In the event of difference, the provisions of the policy will prevail. Please
read your policy carefully for a thorough understanding of all terms. conditions and
exclusions.
2
ACCOUNT SERVICING TEAM
Robert Hollander
Executive Vice President
305-364-7818
rhollander@bbmia.com .
Nancye Batista, AAI
Account Manager
305-364-7816
nbatista@bbmia.com
Alexandra Sarria
Claims RepreseIitative
305-364-7812
asarrial@bbmia.com
14900 NW 79th Court, Suite 200
Miami Lakes, FL 33016
Telephone: 1-800-432-8844, (305) 364-7800 or (305) 714-4400 Fax: (305) 714-4401
3
TABLE OF CONTENTS
I. Schedule of Named Insureds
II. Coverage Sections
o Property
o Inland Marine
o Crime
o Commercial General Liability
o Law Enforcement
o Commercial Automobile
o Public OfficialJEmployment Practices Liability
o Workers Compensation
III. Summary
IV. illustrations and Definitions
4
SCHEDULE OF NAMED INSUREDS
. City of South Miami
This Jist includes all of the named insured's we presently have on your policies. Should any
revisions to this listing be required, please notify our office immediately.
Please Verify the Accuracy of Each Name and Update List, If Needed.
5
PROPOSED PROPERTY COVERAGE
Insurer: J»referred Governmental Insurance Trust
Location of Premises:
Per Schedule Attached
Description of Property:
Blanket Building & Contents Limit, per attached schedule $22,763,841
I
Values Insured are Ultimately Chosen by the Client. In view of the continually
changing cost of construction·and building materials, we strongly suggest that you
review your property values annually. ANY changes in the occupancy of an insured
location should be reported to our office immediately. Changes in occupancy can
potentially reduce or negate the coverage afforded by your property policy
Description of Coverages Proposed:
Policy Form:
Building & Personal Property Coverage Fonn -Special .
Causes of Loss:
Special Form: Excluding Eartbquake/Earth Movement
Coinsurance:
Building & Personal Property: Nt A
Valuation:
. Replacement Cost
Flood Limit:
Per Occurrence and Aggregate: $1,000,000
Excess of NFIP Whether Purchased or Not
6
PROPOSED PROPERTY COVERAGE
Continued
Property Extensions of Coverage:
For a full description of terms, definitions and conditions, please refer to the policy
documents.
Accounts Receivable
Additional Expense
Animals
Loss of Business Income
Debris Removal
Demolition, Ordinance and ICC
Expediting Expense
Fire Department Charges
Fungus Cleanup Expense
Lawns, Plants, Trees and Shrubs
New Locations
Personal Property of Employees
Pollution Cleanup Expense
Preservation of Property
Recertification
Service Interruption Coverage
Transit
Errors and Omissions
Vehicle Property Coverage
7
Coverage
$ 250,000
$ 100,000
$ 1,000/$5,000
$ 500,000
$ 250,000
$ 500,000
$ 55,000
$ 25,000
$10,000/$20,000
$ 25,000
$ 2,000,000
$25,000/$50,000
$25,000/$50,000
$ 250,000
$ 10,000
$ 100,000
$ 250,000
$ 250,000
$ 0
I
I
I
f
I
PROPOSED PROPERTY COVERAGE
Continued •.•.
Deductible:
All Other Perils:
Named Windstorm:
Flood:
Coverage Enhancements:
Boiler & Machinery
$ 2,500 Per Occurrence -Building & Contents and
Extensions of Coverage
5% Per Occurrence -Subject to $15,000 Minimum
$2,500 Per Flood except zones A, V excess ofNFIP, whether
purchased or not
$22,763,841
NOTE: Detached walls, fences, radio and TV antennas, trees, shrubs, plants free-standing
property improvements such as athletic equipment, windscreens, lightpoles, satellite
dishes or signs are not covered unless specifically scheduled on the policy.
Property and Extensions of Coverage include. but are not limited to the following exclusions:
• EarthquakelEarth Movement
• Terrorism
• Electrohlc Data
• Electronic Date Recognition
• Asbestos -
• Pollution
• Fungus
• War, Nuclear
• Ordinance or Law -Limited per Extensions of Coverage
Note: The PGIT property program is a shared limit. The limits purchased are a per occurrence
limit and in the event an occurrence exhausts the limit purchased by PGIT on behalf of the
members, payment to you for a covered loss will be reduced pro-rata based on the amountS of
covered loss by all members affected by the occurrence.
8
WINDSTORM & HAIL DEDUCTIBLE SAMPLE ILLUSTRATION
FLAT DEDUCTIBLE vs. PERCENTAGE Windstorm and Hail Deductible
This deductible would apply to a claim for damage caused by windstorm.
~~t ~:~~;]i~ /~ .tf~l~ i~, ~.~i~f:}}:_:;~;~ji;:~~iU~~·;~:~:~f~~~(~~~~~~.! {~i ;'?~J' ~<?) :;~]'l-: _jf~·~~~%k'~~~~I1J~1~-~~:··jl~~r~::;~~~,~_~:~~-.~.:·~'~.~~;:~~ ;:~ ~'~~ t~~~l.:G'}.~ ~2~~
Bldg. #1 -$1,000,000' $5,000 $20,000 $30,000 $50,000
Bldg. #2 -$2,000,000 $5,000 $40,000 $60,000 $100,000
Bldg. #3 -$3,000,000 . $5,000 $60,000 $90,000 $150,000
Bldg. #4 -$4,000,000 $5,000 . $80,000 $120,000 $200,000
TOTALS:
Value -$10,000,000 $20,000 $200,000 $300,000 $500,000
Percentage wind deductibles are calculated as a percentage of the total replacement value.
The deductible for all other perils applies to an "occurrence", not per building.
9
SCHEDULE OF COVERED PROPERTY
unit. Dl!SCI1pt1G11 yearllui1l: Elf_DaCe BIII~ vaIm!! lbtillimured Viltue
Address Canst"lype TemtDate 0lI1t2rn1s nJm!o
1!OGf~~ I Raa'~ ROOICIm!rilIB 1 CIM!I'1IlB Ib!p-1 _Yrm
CAA hMd stut cm'I!!I" 1'170 tBIOUlD17 $471,2IIJ
CI01 6125 SW 611 sueet $f76,68'1
sauth MiiImi. fl.Ul'B ~0I01/lD14 $5,. ...
11')-.1M.
Flat I UIW« 10) Built ... fIIIGf w/out gRII2Il I
PllbliI: wens Office IIl1iT.ding "68 tOlOlI2017 $2lI1.lDII
IJIl'Z -rn!i SW7!ith.Avenue $BI8.lili
sautIt l!iami, fl. ]]143 ' 1Df01/lD18 ~,31t
11'J-JM
Hip I UlWic 10) Mphalt Shingte I I
S!IJra9!I_POOl.offi~ 1774 tOlO'UlD17 ~,OIJ(
GO) offlI5 SW 75th.Aft!mJe. SH,cKX
SOUth Miami, fl. 3]M3 1010'1/lD18 $1
U1 0 f1I
Flat I UIW«( 111) llIilt up rvaf ... rout!lJ3l'l!lj j
~W'aSU! llIdIJo!) 1lay1illap. lUll 10101/lD17 $l8!5,25CI
IKH 47116 SW 7!idlAYenIJe Sl85,~
SIIUth Miami, fl.]]143 10fOlJlD1B sa
Ut-NC'
Shed I UIW(C1Q) ASphalt SIIin&4e I I
Cit¥ 0iIr.J!P! ,"" 10J01/'ID17 $S6O,5QII
0CI!i 47'15SW75UlAvenue $56O,!iOIl
SIIUth IMami, fl.]]143 10101/lD18 $!I
l11-lIIIC
Flat I lAW{<l~ AspIW.t SIIinJIt&! I j
~~1iIIap font 10101121»7 $63,111(
ClO6 4i'J5SW'mh~ $1!12,2.1il
SOOth l.Ciamj, fl.]]143
U,-Jl6
1010'112018 $""Dj
Flat I UIW·(c to) stse( 0 staJ1dmg seam j j
I'iJIiIE SIIJr.I9! Ilk!\!! "74 lQ101l2Dt7 $18,'l1li
0117 offlI5SW75UtA_ $18,YII
5auIb MiaJJlj, fl. HI43 10f01J2018 $I I n,-JM
fIiIt I UIW{<111) Built ... roaI w/aut gr.weIl I
oantI!! Do F<I5D!II. PaN Tetmis Pm Shap 1\ _ Bldg 1967 10101/n1!:7 $5,88lI
00II 860IJ lied Road "'>,lJl!III
SOOth Miami, 1'l.]]1-'6 10f0112018 51
131 0 f1I
Fb.t I lAW{< 10) IkIiIt up nJDf ... /oot: !JiM!I1 I
Dantl!! D. Fascell Pari< -2. Gal!2IIos 1'J66 10f01/lD17 $16,00II
009 MOO lied Road $65J11111
SOOth Miamj. fl. ]3143 1Q(01/2018 $Il
152. 0 He
PfIl1llRt I MedUn (lOto 10) ASpllill.t Shingle j 1
0i1nte B.. fB:I!Il Pari< -(> Hal' mnl!llDis CCJm15 ($6.5D1t 1'JB5 10/01/2Dt7 $l2J.!iUIJ r.-..-.... -...I .. .L..n $123._ QUI 8IICIO Red Road
SOOth.Miamj, fJ.. 3Uti 101011m18 s~
117l. 0 PITO
HlA I MIA HlA 1 I
10
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Ott
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SCHEDULE OF COVERED PROPERTY
Continued
oem i,ptir.n 'E_Bullit EIf_~ Bm1CDIIiI v.Ive
AIfdreIIs CGmt1)pe "R!na DaIle €aiIads YaIvIe
_5IIi1p1! I _PIIID 1IIIOf0lVaillll I Ccm!fIIIB RII!pIiKeII
1lide8.. PaaeIi PiUflI "'taunmnd($6,!lOO CIllltet\tS 1m 11mM12Ol7 $'IGf,GlJli -..o...J-.... __ Red IAIJGId
$C saatIJooMiami, fl. 3314J 10101/2.D18
1111-PIrQ
MIA I MIA IIIIA 1
IIaDb! Il.. faSU!U PiUfI-2 RaDpIl!lllall c.aurts 1975 lDt01/Z1117 S!B.66!i
UlillIIli!Id IIIIiId
'5IIUtbMiami, FL UI4J 10101/_ $Ii
1112 -PIrQ
MIA I H/A IIIIA 1
1Iide& faIa!Il PaIk-1 I!a5In!cfIaU. 0IUrl "80 1Dt01/mu\ su • ...,
Il6IJO IIli!Id lad ~ :s.athllliamir FLlJl4J . 101D1/2.D18
100-PIrQ
MIA I HlA IIIIA 1
DiIIItI! &. FlISD!IIi -1 nJdillUt 1H5 10101/2D17 $10,UOII
UllDIIli!IdIlaBd
$II -sauthMiauli, FL )]19 101011_8
1I19-.!M
PyIamid 1 MediunI (fDtD.3IIJ WCIIId :slates 1
IIaDb! S_ FlIIlriI!Il CClilIlllmity SbIra!le "r;;r 1DJ101/2D17 sn,-
Il6IJO IIli!Id IIIXId
Sautll"Miimn. FLlll4J
131-fIt
10101/201B $C
flat . I LaW (c 10) IIIIiIt lip nrafwitll FJ!II!l\
RldlslPallt PalIilian ($4!iIiIJ ccnents 1lnil:1!Ided) '''5 10101I2l1017 SSI._
6'K5 SW B1 SInII!l
SllUthMiamf •. fLJJI4J 101D1110UI St,Rill
lD1 -fIalIIe
Hip I MBdium (IO to.3ll) AspIIiIIt SIJinaIe I
Rl£h5Pa1k -hlfIruom "'12 'DI'DIJ2D17 SSt,_
6445 WI a, SInII!l
$II :SIIIItbMimJi,. FLJJI4J '0I01l2D18
1I''1-JM
flat I Law «10. tilIfat Me'IiII Pi1nI!b I
Rl£h5iP;uk~a.SWiDJ~ '"3 11mM/2017 S1D.7M
6'K5 WI 81 stJml
$II sauthMiilllli, fl..JlI43 ,0I0112D18
Im-PIrQ
.. MIA I HIA IUA 1
RIImI!r PaIl-Field stIIa'iIJII!! IlUiIdq 1W7 11mM12D17 $'I5.5I1II
644!i WI at Sln!et
$11 SGulbIoliami. FLUI4J 10101120lB
ftZ-NC.
Flat 1 lJIW(uo) lllliltup nraf wiIb.pn!l I
RIImI!r Part FIladIaIlstDrap Bldg '917 111fD'112ll17 $J'5.cD
6M'1 SW 4mb JUti!IIIIe
$45.73C SallthMialm, FL1Jl41 10101/201B
n't-M
flat 1 IJIW «'11) IIUilt up nrafwilbprel I
11
llIGIllmln!dvalue
I _Yrllll
$I04,01J1
I
Sa,66!i
1
$13,G011
I·
$10,GOll
I
SIll ...
1
SS5,§R
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SM,GIII
J
$10;.76'1
1
$45,!iG11
1
$12.0,731
I
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OH
015
OD
027
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SCHEDULE OF COVERED PROPERTY
Continued
~ YeiIr _"It Elf_DatI! I IIIBkIIna nIue
~ TI!flII .,. OIntI!IIa 'valae
TIItaIIn!.unid vafue
omt."I)pe
RllGfShitpe . I _PIIDI -, .. I ~Ja!IIIiICI!II_ 1 _W'1Itt
I'IIImI!r pm ftIIICfIalJ SllalqctRaam 17'JS 101m 12M; $DJIOI
67C1'11:SW 61th AvaIlIe $D.!iIIIII
SlIutlll'iami. ft.JII.., 1W01./2MI SIII.SUI
11,-JIA
fin I ~((10) BlDltlUP nmf with tpII1!l 1 1
PIJ.Imer piIIIk FEId ffDUSe 1'f7l 1D10112017 S115,62IJ
.61oaSW61thAllemle $124,711
ScIIIth MAoni, ~ Jlt.., lD1Dl1J1118 St,t ...
," -.1M
flip I a.aw(c: 10) . AEpId sI!inaIe I 1
PalmEr pm FfaDftIIIDII 1!117 1D101J2M1 $m,1IIIfI
mal '!iIII'J 67th_ $'!6;,001
SaUth.Miami, FL 33'''' 10/0112M8 $' lCl2-PD"Q
"/A I MIA NIA j I
p;dmer park I UOO ftof!5 ft .. Fenm 1l/1111 10101/1017 $13",
61011 SW 67th AYEnue $U./JOI
.5Wt!fI Miami,. ft..J3,.., tOlO1.12M8 $I
lG2·PD"Q
MIA I !!I/A KIA 1 1
PIIImer Park -111C1O ft Of ,o·1t HiJh R!nte 1wa 1D1D1I2M1 $16,_
67OI.!iIII'J 67th A_ $16,7111
SGUtllMiaml,. R..D'41 1D101J2M8 $II
tCl!l-PITD
"/A I NIA KIA I I
I'IIImerpark -Aellb"OI.m IIId.J ,.» 1010112M1 $IM.-
6701sw 67th AvalUe $84.l1li
SlIJutiUMiIIDIi. ft.DI41 10/01/1018 $I
11l/-JIA
fin I LaW(c tot lllliltupruafwitb pn!l J 1
Palmer Park-clII!D!SSian Bhft 1917 10/1ll12Mi S'M.lIII
6101:SIW 67Ut AlIa'Iue ~,.DII
5iautII Miami, fL DI41 1010112018 $I
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fin I LaW (c 10) IlUitt up Iaaf _,aut !P¥l!ll 1
IlleWi!rPadt -2 tIaI:Ip!dIaII CQurt$ 1911i1 1010112017 . $2B.66!
61GII'SW 56th stn!Bt $2B,H!
:SIaUth<Miami,. FL.UI.., 1010112018 $.
11'-JM
fin I LaW(C1,0) Builtu,p raor wit1I tpII1!lj j
IIIeWer Park -tl2 ~ DIIIrt 1988 10/ot/2M1 $13._
ftlIIIl !iIII'J S61b stn!et $UJIIIIi
5iautllHiami, fL ]]141 1uiDl/2018 $a
lC1!l.-PDU
HfA I MIA lilA 1 1
__ Park -PIay§'ound iIIIII SWin!l5I!t
'918 I01ot/2Ol7 $:H.12!i
61GIISW !iMII stn!et S34.m
fIIIIItIt.MiimD, fL Dt.., 10/01/21M8 $II
111!-PDU
HIA I NIA IfIA I I
12
lMit.
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SCHEDULE OF COVERED PROPERTY
Continued
IBaIptiOu . YI!a" Blilill: Eff_Dafe IItIiIClln!l vallie
AIfdres.lI . 1\!I1'IJ Di!IIt OIIIIIIBIS-YalI111!
T.otalOBUn!d'Mue
Dmt~
-:!IIYIR I IIGGfPRIIII -COW!rUJI I um!III1B III!PIlIII!II 1 --v:r III.t
~ Pa1It -2"11!nnis:autts ,-1DID1I2In7 $!ilI,_
am:sw §MII"StR!eIt S!I:Z,.
fGutb Miami, PI.. :lJ,430 10101/20'1 $I
UR.· pn:g
MfA I MIA Wit 1 I
__ PiIlk -411Dft of 10 ft.1tiJlb f'eIIa! ,-101D1J21n7 $7)l1li
t.JIIJ sw 56di 5tn!I!l: S7,8G11
fGutbMiami, R. lJ,41
10!-PITO
1DIDI/2D18 $II
MIA. I MIA HIA I I
. IIn!wer PaIk .3IiD It Of Ii ft HigflI'lIIIII» ,,. 10101/21111 $S,-
Ii-3IID SW 56th:Stn!e't $3.'111
5GUthMiami, R.:lU4I fgz·PITO
101D1/2ln8 $/:
KIA I MIA IfIA 1 I
MamIf PaIk -2 SliadeSlnll:tlln!s ''i'JII' 1010112111] $I,GIII
5IIIISW a SIn!I!t $2.UII
5GUth Miami, Pl..lJl'6
l1t-JIA
lD1011U111 $/:
ClaIIII! end!wilfllmt.1IraI:ilI!I I Law« 10) A5ll1!a1.t SIIinJIe X-l
MII'IaJr Park, DImIJIIIDity center 11115 10/1n/2ll11 $3IiD,tIIIII
mat SW' gl'fam $lMI,aaI
SGuth Miami,. Pl..lJ,<O 1Il101/21118 $II
ll1-Mltt
PJrurid I MediIn (lOID JiI) sIII!I!l-Sl:DdiIw!elm I I
Ha,eBuder ~cents ,H5 1D101/2D17 $%7''-
6701 SW' 58 PIaI:e $21'.681
fllUthMiaani, R.llf<O ,,,-JIll 10101121111 $/:
PyJiIIDid I .MediIn {10 ID l8J SII!II!l-SbDI&Ig SI!iIm 1 1
Off"BelPoibSlibDtion ,m 1Il101/21111 $11
nJS SIIII5a DrM $»,_
fIIUth Miami, R. Ul41 nt-JM
'0/01 ~21118 $l2.!iIICI
Diibleeadwilfllmt IJradI\Ig I Law(c 10} AlpI8lt Sllill)le I I
city Hall I PaIiD! 1'156· lDIDI 121117 $J,II:W._
6'30 SURSI!Ulrive $+,235,Jl1
1IIIMth1li.m. fL:lll41 ,DlDlIUIII $l'J!;,471
l19··.JM
f1at I Law (c,o) 81111(up IIIIIf with 1Jawl I 1
S1Ila MiII1ift Bldg "]5 ,OIOll2Dfl $420,'111
61311 '5lmI!t Drile $476,11l111
5IIuth Miami, R.lJ,4!o 101D1/2Df8 $!II&.11111 '''-.IM ~ I Medium (10to lII) IapIMl\ 5Idni4e I I
SGuth MianIi QIIftm CI!IIU!r I 0IfIIl 2IIOl lD101I21n7 $1.,%18 ....
5811119N-f16 SIn!I!t $1,6111,1611
sautb Miami, R.lJ,G 10101/21118 SJm.CIIII n'-MIIe
f1at I Law(c 10) Built up ruafwith griM!!. 1 I
13
Qliu'
M1
042
Q4];
IM4
04!i
046
IK7
l14li
IH9
om
SCHEDULE OF COVERED PROPERTY
Continued
Vearllllllt Eft. DilfIil' BIft ... YaIm!
JIdIIress l\!fm Dab! ClInII!Db YaIm!
n.bI.lRIUn!dI~
Canst"JYPe --.......-I ICIIDlJPIIDI _CiIm!flll8 1 Qm!Rng_ I ....... 'D" IIlI
JI!iIII WIIis NIk I tIBl!I!ba 1fi1 10/01/2011 $,',_
ltiOSW6ts11:ClIurt $17.!iIM
SGUthIolHrri, fl..nl43
101 -f'IiIme
111J101/201! $I
Pyrami:I I Mediin (to ID lG} A5pI!aI.tSlJin!le 1 I
MUj'JAU. wi~park 11lG!bD· ,"' 10101/2011 $115.I11III
6'21 SW 611 stI'lIet S6S.ooc
swttil.liimli, fl..3lH3 1D101t2018 $II .n-Ne
Pylamid I Medium (IOtDlO) AopIIalt SIr. I 1
~WiIiamsIJR PaIk I PliIJ!raund;mll SwiDaset ,"" '0/01/2011 $)1,_
6121 SW ea stn!et $32.!iIIIII
S!IIutlUliami. FL ]]'43
'Ir.l-PIrU
1010112.018 $I
MIA I MIA RIA I 1
MmbaUWiIliamsan Park -'Z Tanis COUtts ,"' 10101/201; $51.IJOI
6121 SW 18 5tnIet $SZ,IIGI
$I Sauth Miami. FL 33'43 10101/201.
IIr.l-PfrO'
MIA I NlA lilA 1 1
Girt Sc:QIIt PAIjIeJty 1'l65 '0101/21)11 $2341,l16li
_SW_5tnIet $U4,06C
5'!IIuth Miami. FL 33143 10101/201. $II
1117 -_
aq. I . Medium (10ID31I) Aspl!alt SI1in!tIe 1 I
I'iIIking 0iII9 ' 2IICID 10$0112011 $ll,.4.l5,m
_ S. W_ 13 street Sa,-m:.m
Sauthloliami, f1..13143 ,0101/2018 $I
13'1 -FJI.
F1-. I UIW (\C'O) Cc:III:n!b!TIle I 1
DisaD Park -am!IID "S! lD1-01 12011 '$3,_
SW 58Ih 1We .. SWast S25.0tII
smith IIiiImi. f1..13143 1D101/2D1. $I
'SZ-Ne
Pymnid I MI!dium (10ID lOJ ASpI!alt SIrInJIIe J 1
PlllIim 5ub~1BI 1')80 10/-01 12011 '~
IIn6 SW ft I'tm! 52&,_
S!IIUth Miami, FL33'43 11'-.IM
101·01/21)14 ~,
Flat I UIW (C'O) AspIalt SIIin!le 1 I
IUS SIIeIler "S! lD10U2011 $!iII.1III
N Silfe.CIf SUIIsI!t Dr a $!rOJIII
AllPIOIISW~_ '0/0l/2D18 S1I
'SZ-Ne
Flat I UIW (elD} Liflit MetlIl PanI!Is 1 I
l1li5 5Iai!Ib!r 1~ 'DI-OI12D11 S!iU,_
N S1dItof sunset Dr It. $58.GIIII
$II AflpllllllDO ftw at SW 61 A.'VfI 1010112018
-~ ..... -.: .. -...... -'SZ-Ne
Flat I UIW«I~ Li~ IMtlIl PmI!4s I 1
14
Q1it.
Oli1
0!i2
0§.3
054
055
056
SCHEDULE OF COVERED PROPERTY
Continued
~ Ye.-1lUJ1t Etf.Date Buikfilla Value
.Addn!5s c.anst'1)pl!
T __
_Yak&!
Raw:>nape 1 ADarPltDt RUlllrClm!riI1ll I Qm!Jt,.lIepIacecll
Ilil;;SI1eIb!r
1"' lru:IliI.l2OI~ $50,000
5 stele af sunset lit &
ApprlIa ~DO:ttEdSW 67 A.ve
15%-He
10I1liI12.Of~ $II
FIn I lDw(c 10) li!bt Metal pllJll!!s I
iIU$ SIIeb&-1H1! lQJiD1J2DtJ sm,u
5 Sidle or SInet lit a
s Miami _~ Hall Site (6130) 101411IDUI $II
152 -He
FIn I lDw(c ,'* tigIIt MetaII'liUleh I
Ilms/1elb!r lUZ 10f.lliI/mt7 $50,0IIII
ESideofsw 62 Ave a
ARl1'II« sw '!' St 11111)112DtB $II
152 -HC
FIn I Law {c III} li!ht Metal Panels I
JoIaImlyl'arltPad, SprashPaUl, ~ 21114 lIY01/W7 $1.u-t,411
61211.SIN fiIth_
SIIuth I.Iiami, R. nliS 10141/2018 $II
119· :JIll
flat I lDw(C.1D) BlliLt up raofwith gr.ml I
Woad IlIItIbIe <Jam Bld.osun! 2111S 101.DJ/2OI $4,41!1
6l8ID SW 78 street
SIIuth AIiamf, R. DI4J
'lIZ· PII'O
101.DJ '201~ $II
1 I
PDtir:e AII!I.iDJI SlaIlllD 2111)] 101.Q11201"1 $160,5l1li
"'JOsmsetill'Mt
SWthMi_. R.lll<6
119 -JIiI
10141.12lm1 $10,11&4
I I
TotaIllIDm!dvalue
I RfIOfVr81t
$50,_
I
$50,-
I
SW,OilIII
I
$1,384.411
I
$4,41!
I
$171,111"
I I Tota1:1 $11,701,260 I $1,1162,581 I 'S22,763,1K1
15
PROPOSED INLAND MARINE COVERAGE
Insurer: Preferred Governmental Insurance Trust
Description of Property:
Parking Meter Equipment -Blanket Unscheduled
Subject to $25,000 Any One Item
Excludes Watercraft
Causes of Loss:
Special Form: Excluding Flood and Earthquake
Values of Insurance:
$417,896.00
Loss of Use coverage is not automatically included
Valuation:
Actual Cash Value
Deductible:
$1,000
Exclusions Include But Are Not Limited To:
Flood
EarthquakelEarth Movement
Terrorism
Biological or Chemical Materials
Electronic Data
Electronic Date Recognition
Asbestos
16
PROPOSED CRIME COVERAGE
Insurer: Preferred Governmental Insurance Trust
Type of Policy:
Combination Crime
Liinits of Coverage:
loss forgery or alteration of checks, drafts, and promissory
notes (except by an employee) that are made or drawn by the insured or
his agent.
Covers against theft of money, securities, or property by using a
computer to transfer covered property from the insured's premises or
bank to another person or place. No coverage is provided for theft of
infonnation or for computer vandalism.
Other Coverages Available:
D. Robbery and Safe Burglary
E. Premises Burglary
G. Extortion
H. Premises Theft and Robbery Outside
I. Lessees of Safe Deposit Boxes
J. Securities. Deposited with Others
Deductibles:
Employee Dishonesty
Forgery or Alteration
COIDjJuter Fraud
Theft, Disappearance or Destruction
17
PROPOSED GENERAL LIABILITY COVERAGE
Insurer: Preferred Governmental Insurance Trust
Type of Form:
Commercial General Liability -Occurrence Form
Limits of Liability:
Bodily Injury & Property Damage Liability
Personal Injury & Advertising Injury
Higher Liability Limits may be Available Upon Request
Exposure Basis:
Be sure to get Certificates of Insurance with "Adequate" Limits and Coverage from
Subcontractors, to avoid being charged as though Subcontractors were your Employees.
Coverage Enhancements:
Herbicide & Pesticide -$1,000,000 Aggregate Limit
Sewer Backup and Water Damage Limit -$10,0001$200,000
Exclusions include but are not limited to:
• Pollution
• Asbestos
• Mold
• Fungus, Bacteria
• Lead
• Nuclear
• Medic~ Payments
• Liquor Liability
• Copyright or Patent Infringement
• Terrorism
18
PROPOSED EMPLOYEE BENEFITS LIABILITY COVERAGE
Insurer: Preferred Governmental Insurance Trust
Coverage Form:
Occurrence
Limits of Liability:
Per Person
Aggre ate
Deductible:
N/A
Employee Benefits Liability:
19
PROPOSED LAW ENFORCEMENT LIABILITY COVERAGE
Insurer: Preferred Governmental Insurance Trust
Type of Form:
Occurrence
Limits of Liability:
Per Person
Per Occurrence
Aggregate
Deductible:
N/A
Exposure Basis:
Law enforcement Number of Officers
20
45 Full Time
1 Volunteer .
PROPOSED COMMERCIAL AUTOMOBILE COVERAGE
Insurer: Preferred Governmental Insurance Trust
Limits of Liability:
Personal Injury Protection
(Florida No-Fault)
Medical Payments
New or Replacement Vehicles Must Be
Reported Immediately so as to avoid any
possible in coverage
Auto 7 & 8
Higher Limits of Liability May Be Available Upon Request
Description of Vehicles:
Please See Attached Schedule of Automobiles which indicates those vehicles that include
Comprehensive and Collision
Coverage Enhancements:
• Hired Auto Liability
• Non-Owned Auto Liability
• Hired Physical Damage
Limit: $75,000 Subject to deductible
NOTE: The vehicles listed on this policy must be owned by, titled to or leased to the Named Insured.
21
VEHICLE SCHEDULE
22
VEIDCLE SCHEDULE
Continued ...
23
I
I
I
VEHICLE SCHEDULE
Continued
24
VEHICLE SCHEDULE
Continued'
I
I
25
VEHICLE SCHEDULE
Continued
26
!
r
!
I
i
VEIDCLE SCHEDULE
Continued
27
VEHICLE SCHEDULE
. ContinD:ed .
28
_PUBLIC O~FICIALS & EMPLOYMENT PRACTICES
PROPOSED LIABILITY COVERAGE
Insurer: Ace American Insurance Company
Type of Form:
Claims Made -Retro Date Per Policy Fonn
Extended Reporting Period: 12 months for 100% of last annual premium
. Limits of Liability:
Defense Costs are Within Limit of Liability -Capped at $1,000,000
Deductible: .
$75,000 Public Officials Liability -Public Entity Liability -1 A2 and 1B
$100,000 Each Employment Practices Violation -IC
$250,000 Retention applies to all Zoning Claims and Matters
Exclusions Include But Are Not Limited To:
Network Security or Privacy Liability Exclusion
Bond Exclusion .
. False Claims Act Exclusion
Subject To:
Final review of loss runs 30 days prior to effective date
29
PROPOSED WORKERS' COMPENSATION COVERAGE
Classifications & Exposures:
Higher Limits of Liability My Be Available Upon Request
Policy is Subject to Audit
Additional States of Hire must be reported when payroll begins in that State
Certificates of Workers Compensation Insurance are required on all work performed by
. persons other than its employees
Subject To:
Signed PGIT we Application
Signed Drug Free and Safety Program Applications
30
SUMMARY OF ESTIMATED PROPOSED PREMIUMS
Premiums as Proposed:
Property Including
Boiler & Machinery
General Liability
Automobile
Inland Marine
Law Enforcement Liability
Employment Practices Liability
Workers Compensa~ion
Subject to Audit
Premium '
Fees
Taxes/Surj::harges
Total
Premium
Fees
Taxes/Surcharges
Total
Premium
Fees
TaxeslS urcharges
Total
Premium
Fees
Taxes/Surcharges
Total
Premium
Fees
Taxes/Surcharges
Total
. Premium
Fees
Taxes/Surcharges
Total
Premium
Fees.
Taxes/Surcharges
Total
Expiring Municipal Payroll $4,303,578 vs $4,015,903 Renewal
Workers Compensation Experience Modification Factor 1.04 Expiring vs 1.06 Renewal
Workers Compensation Payroll $7,916,544 Expiring vs Renewal $7,221,814
31
Payment Option:
PGrr Package: 50% Down: 25% due at 75 days and 25% due @ 166 days
POLlEPL: Full payment at inception -Financing may be (!.vailable
Workers Compensation: 25% Down and 9 Equal Installments
A 25% Minimum Earned Premium appUes to the foUowing policies:
Preferred Governmental Package and Preferred Governmental Workers Compensation
Quotations Subject To:
• Signed Acord applications
• Signed and Initialed PGIT Applications, Signature Page, UM Form
• Abuse Prevention Policy
• Signed Ace and Acord Applications -POL & EPL
• Review of Currently Valued Loss Runs Prior To Binding:
Ace American POLlEPL
Quotation is valid until th~ effective date of the policy.
This proposal is based upon the exposures to loss made known t'o the Agency. and is for
illustration only. Any changes in these exposures (i.e.! new operations. new products.
additional states of hire. etc.) need to be promptly reported to us in order that proper coverage(s)
may be put into place. All physical exposures insured by our policies must be owned by the
named insured. This proposal contains only a general description of the coverage(s) and does
not constitute a policY/contract .. For complete .policy information. including exclusions •.
limitations. and conditions. refer to the policy document. In the event of a difference between
this proposal and the policy. the policy will prevail.
32
A.M. BEST RATIl'lG OF PROPOSED COMPANIES
Preferred Governmental Insurance
Trust
Ace American Insurance Co.
Commercial Property, Crime,
Inland Marine, General
Liability, Law Enforcement
Liability, Commercial
Automobile, and Workers
OfficiallEPL
GENERAL RATING
Not Rated
A++XV
Yes
Yes
These rating classifications reflect BEST's opinion of the relative position of each company in .
comparison with others, based upon averages within the Property-Casualty insurance industry. They are
reflective of overall company services and standing within tIle industry.
A++, A+***
A, A-***
B++ B+**
1'.j'R'
Superior
Excellent
Very Good
Not Rated
B, B-***
C++ C+***
C, C~***
Good
Fair
Marginal
FINANCIAL SIZE CATEGORY
The Financial Size Category is an indication of the size of an Insurer and is based on reported
Policyholders' surplus plus conditional or Technical Reserve Funds, such as mandatory securities
valuation reserve; other investment and operating contingency funds and/or miscellaneous voluntary
reserves reported as liabilities. /
($ In thousands)
Class I $ Up to $ 1,000
Class II $ 1,000 To $ 2,000
Class III $ 2,000 To $ 5,000
Class N $ 5,000 To $ 10,000·
Class V $ 10,000 To $ 25,000
Class VI $ 25,000 To $ 50,000
Class VII $ 50,000 To $ 100,000
Class $ 100,000 To $ 250,000
VIII
Class IX $ 250,000 To $ 500,000
Class X $ 500,000 To $ 750,000
Class XI $ 750,000 To $ 1,000,000
Class XII $ 1,000,000 To $ 1,250,000
Class $ 1,250,000 To $ 1,500,000
XIII
Class $ 1,500,000 To $ 2,000,000
XN,
Class XV $ 2,000,000 To $ More
This information has been provided to you so that consideration is given to the financial condition of our
~roposed carriers. The financial information disclosed is the most recent available to Brown and Brown of
lorida Inc. -Miami Division.
33
COMPENSATION
hI addition to the commission or fees received oy us for assistance with the placement, servicing, claims
handling, or renewal of your insurance coverages, other parties, such as excess and surplus lines brokers,
w.holesale brokers, reinsurance intermediaries, underwriting managers and similar parties, some of which may
be owned in whole or in part by Brown & Brown, Inc., may also receive compensation for their role in
proViding insurance products or services to you pursuant to their separate contracts with insurance or
reinsurance carriers. That compensation is derived from your premium payments. Additionally, it is possible
that we, or our corporate parents or affiliates, may receive 'contingent payments or allowances from insurers
based on factors which are not client-specific, such as the performance and/or size of an overall book of
business produced with an insurer. We generally do not know if such a contingent payment will be made by a
particular insurer, or the amount of any such contingent payments, until the underwriting year is closed. That
compensation is partially derived from your premium dollars, after being combined (or "pooled") with the
premium dollars of other insureds that have purchased similar types of coverage. We may also receive
invitations to programs sponsored and paid for by insurance carriers to inform brokers regarding their products
and services, including possible participation in company~sponsored events such as trips, seminars, and
advisory council meetings, based upon the total volume of business placed with the carrier you select. We
may, on occasion, receive loans or credit from insurance companies. Additionally, in the ordinary course of
our business, we may receive and retain interest on premiums you pay from the date we receive them until the
date the premiums are remitted to the insurance company or intermediary. In the event that we assist with
placement and other details of arranging for the financing of your insurance premium, we may also receive a
fee from the premium finance company.
Wholesale BrokerIManaging General Agent: Public Risk Underwriters
This intermediary is owned in whole or part by Brown & Brown, Inc., the parent company of Brown & Brown
of Florida, 'Inc~ -Miami Division. Brown ~ Brown entities operate independently and are not required to
utilize other companies owned by Brown & Brown, Inc., but routinely do so. In addition to providing access
to the insurance company, the Wholesale Insurance Broker I Managing General Agent may provide additional
services including, but not limited to: underwriting; loss control; risk placement; coverage review; claims
coordination with insurance company; and policy issQance. Compensation paid for those services may be up
to 15% of the premium you pay for coverage, and any compensation paid for those services is derived from
your premium payment. The fee, if any, for the Wholesale Insurance Broker'slManaging General Agent's
services above is $ No Fee.
Should you have any questions, or require any additional information, please contact this office at
1-305-714-4400 or if you prefer, submit your question or request online at
http://www.bbinsurance.com!customerinquiry .shtm!.
34
PROPOSAL VARIANCE
Changes that need to be made prior to binding:
35
I
I
I
I
I
I
MINIMUM AND DEPOSIT PREMIUM'
MINIMUM EARNED PREMIUM
The following terms are often misunderstood, particularly among insureds or producers not
accustomed to dealing with surplus lines insurance companies. It is important that the definitions
are understood. .
MINIMUM AND DEPOSIT
This is the amount of premium due at inception. Although the policy is subject to adjustment
based on a rate per exposure unit, under no circumstances will the annual earned premium be
less than the minimum premium. Therefore, the policy may generate an additional premium on
audit, but not a return.
If such a policy is cancelled mid-term, the earned premium is the GREATER of the annual
minimum times the short rate or pro-nita factor, or the actual earned as determined by audit,
subject to a short rate penalty if applicable.
MINIMUM EARNED PREMIUM
A minimum earned premium endorsement can be attached to eitb.er a flat charge policy or an
adjustable policy., In either case, this amountis the LEAST that will be retained by the insurance
company once the policy goes into effect. The amount retained would be the GREATER of the
annual.earned premium whether calculated. on a pro-rate or short rate basis, or the minimum
earned premium.
FLAT CANCELLATIONS
Surplus lines insurance companies normally do not allow flat cancellations. Once the policy is in
effect, some premium will be earned.
If you need further explanation, please do not hesitate to contact us.
36
CLAIM REPORTING GUIDELINES
Make Brown & Brown, Inc. aware of any and all incidents immediately after they occur, whether
it be an auto a~cident, a theft, slip & fall; even a minor incident that appears will have no future
activity. Do not wait for a police report.
Gather as much concrete information as possible. For example, police reports, company incident
reports, conversation logs, medicals and pictures -anything that may assist in the handling of
your claim. Send this infonilation either by mail, e-mail or fax to:
Brown & Brown of Florida, Inc. -Miami DiviSion
Alexandra Sarria, Commercial Claim Specialist
14900 NW 79 Court, Suite 200
Miami Lakes, FL 33016
Phone: (305) 364-7812
Fax: (305) 714-4401
E-Mail: ASarria1@bbmia.com
If you have any questions or incur any problems, please contact our office and we will be glad to
assist you in any way we can.
37
. DEFINITIONS
38
PROPERTY DEFINITIONS
Most building and business personal property policies have a coinsurance clause,
which requires the insured to carry insurance equal to at least a specified
percentage of the actual cash value of the property. If a loss occurs; and it is
d~termined that the amount of insurance carried is less than the amount required,
could be on the insured.
When the agreed value option is used the coinsurance requirement is removed and
the insurer agrees to cover losses for its agreed value. As an example, the insured
has property insured for $100,000 and the agreed value is also $100,000, if a loss
occurs, any loss up to $100,000 is covered 100%. When this option is used the
insured and the insurance company agree on the value of the property before the
is issued. This is to one-of-a-kind nrr,n",rhr
Property can be valued in several different ways. Insurance companies commonly
use two approaches to determine value, which also determines how a loss will be
paid: the replacement cost method and the actual cash value method. Insurers
consider replacement cost of a property item to be the cost to replace it with new
property of like kind. Actual cash value is replacement cost, minus the
accumulated for and condition.
An insured can insure a building for its full value at the beginning of the policy
year, but at the end of the year, it might not be covered for its full value. This
problem can be corrected by adding inflation guard coverage. With inflation
guard, the policy limit increases gradually during the policy term so that the total
increase amounts to the desired increase at the end the term.
In addition to the limits stated in the Building and p.ersonal Property coverage
form, the policy has a coverage extensions section and an additional coverages
section. The coverage extensions section provides limited coverage for newly
acquired or constructed property, property of others, certain out door property;
and the cost of research and reconstruct information on destroyed records, When
coverage is placed on the all risk form, two additional extensions are added for
property in transit and coverage for certain repair costs related to damage caused
by water. The two additional extensions are covered by certain perils only. The
additional coverage section provides coverage for indirect losses that result from a
direct loss. The coverage applies to removal of debris, preservation of property,
fire department service charges and pollutant cleanup and removal. The coverage
extensions and the additional coverages have limitations and are subject to certain
conditions.
Fire, lightning, explosion, windst0llI1: or hail, sInoke that causes sudden and
accidental loss or damage, aircraft or vehicles, riot or civil commotion, vandalism,
. sink hole and volcanic action.
39
EQUIPMENT BREAKDOWN DEFINITIONS
& Machinery. insurance covers· damage to
covered property when caused by a covered cause of loss.
Covered property is any property that is owned by the named' .
insured or is in the named insured's care, custody or control
and for which the named insured is legally liable. A covered
cause of loss is a sudden and accidental breakdown of the
insured's boiler & machlnery equipment or any part of the
described in the .
40
1
r
.1
I
GENERAL LIABILITY DEFINITIONS
Coverage is provided for damages arising out of ownership or
occupancy of the insured premises when maintained in a
reasonable manner. This also covers damages arising out of
. the insured business.
Products coverage is provided for damages arising out of
products manufactured, sold, handled or distributed by the
insured. Completed Operations covers damages occurring
after operations have been completed or abandoned, or after
an item is installed or built and released for it's intended
Personal Injury means injury other than bodily injury.
Coverage is provided for injury resulting from offenses such
as false arrest, malicious prosecution, detention or
imprisonment, the wrongful entry into, wrongful eviction
from and other acts of invasion, or rights of private
occupancy of a room. Coverage for libel and slander is also
. in the .
This coverage pays for damages done in the course of oral or
written advertisement that disparages, libels or slanders a
person's or organization's goods, products or services.
Coverage for these offenses is provided under 'advertising
injury coverage only if they occur during the course of
advertising the named insured's own goods, products. or
services.
Medical Payments coverage pays medical expenses resulting
from bodily injury caused by an accident on premises owned
or rented by the insured, or locations next to such property, or
when caused by the insured's operations. These payments are
made . to the liabili of the insured.
The fIre damage· limit provides coverage for fire damage
caused by negligence on the part of the insured to premises
rented to the named insured. If a fire occurs because of
negligence of the insured and causes damage to property not
rented to the insured, coverage would be provided under the
occurrence limit.
41
GENERAL LIABILITY DEFINITIONS
. Continued ....
Extends your coverage to liability assumed under contract, applies
to both oral and written' agreements relating to named insured's
business.
Covers your exposure for serving liquor to clients or employees at
company parties. Applies only to fIrms not engaged in business of
Intended for finns, which perform work or services, rather than sell
. or produce products. Usually intended for construction
contractors . of installers of ..... r'n .. ..n'
Extends term "bodily injury" to mean injury arising out of
rendering of or failure to render, during the policy period; medical,
surgical, dental, x-ray, or nursing services., or furnishing o.f food or
beverages in connection therewith or the dispensing or furnishing
or dental or
(Under 26 feet in length) Provides coverage for liability, which
arises from any watercraft as long as watercraft is not owned by
insured nor . used to or for a fee.
Intended to extend the scope of "policy territories" to anywhere in
the world. Limited to the activities of any insured who is
domiciled in the United States and the original suit for damage is
brought within the United States, its territories, possessions, or in
Canada.
Amends definition of occurrence to; includes any intentional act by
or at the direction of the insured, which results in bodily injury, but
only if such bodily injury results from the use of "reasonable"
force for of' or " .. """,.rtn
Automatic protection for newly acquired organizations until the
new organizations is specifically added to the policy or 90 days,
whichever occurs first
Includes as insureds; (1) Any spouse of a partner concerning
business activities of the partnership and (2) any employee of the
named insured while acting within the scope of his or her duties.
Does not apply to bodily injury or personal injury sustained by a
fellow which occurs . the course of .. TTl"''''''''''' ......
This coverage is provided automatically without an additional
premium charge if coverage is canceled, not renewed,-or the
insurer renewal with a later retroactive date. The basic extended
reporting period starts at the end of the policy period and last for
five years for claims made against the insured within the five year
period and reported to the insurer within 60 days after the end of
the
42
WORKERS' COMPENSATION DEFINITIONS
This coverage agreement obligates the insurer to pay all compensation and
other benefits required of the insured by the workers compensation law or
occupational disease law of any state listed in the policy. The coverage
applies to bodily injury by accident and bydisease.
Coverage (A) shows no dollar limit for the benefits provided since any
applicable limits would be those established within the law. Benefits .under
are to the without to fault.
This coverage protects employers for their legal liability for bodily injury by
accident or disease to an employee arising out of and in the course of the
employee's employment when not covered under the workers compensation
law. Before benefits are paid under this coverage, the employee must prove
the employer is liable for the injury.
1. Bodily Injury By Accident
This amount is the most an insurer will pay under Coverage (B) for all claims
arising from anyone accident, regardless of how many employees are
involved in the accident. The standard limit is $100,000 for anyone accident,
which can be increased.
2. Bodily Injury By Disease (Policy Limit)
This is the aggregate limit the insurer will pay under Coverage (B) for all
claims sustaining bodily injury by disease during the policy period. The
standard policy limit is $500,000, which can be increased.
3. Bodily Injury By Disease (Each Employee)
This amount is the most an insurer will pay under Coverage (B) for damages
due to bodily injury by disease to anyone employee. The standard limit of
for each is $100.000, which can be increased.
In some states, workers compensation law allows an insured to include or
exclude Executive Officers and Partners, or both, from coverage. Adding this
endorsement can the individuals not covered under the
This is a factor that deals with the rating of the policy. The Experience
Modification figure is based on the insured's loss-experience. The factor is
used to increase or decrease the manual rates of insurance.
This provides workers compensation coverages if the insured expands
operations into other states not declared at the time the policy is issued or
renewed. If the insured elects this coverage and operations begin in a state
listed under other states, the insurer provides the same coverage as if the state
was declared in the . at the time of . issuance.
This is a federal act, which is similar to the state workers compensation act.
The federal act was designed to provide workers compensation benefits to
employees who work in maritime employment upon the navigable waters of
the United States and who are usually considered outside the scope of state
workers compensation laws. When the USL&HW A endorsement is added to
the standard policy it applies to work done in the states scheduled on the
policy and extends the definition of the workers compensation law to include
the USL&HW A.
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UNDERSTANDING THE CLAIMS-MADE POLICY
The claims-made insurance policy provides finaIlcial protection for all claims presented during·
the current policy year, providing the claim occurred after the prior actS date.
To understand the claims-made policy, we will define:
Current Policy Year:
The policy year begins on the effective date shown on the policy and expires on the expiration
date all sh~wn on the policy. The policy's effective and expiration dates change with yearly
renewal of the policy. The prior acts or retroactive date remains the same, so you are protected
for incidents that occurred prior years by the current policy. .
Prior Acts or Retroactive Date:
This is the date (shown on your policy) that dictates if a claim is eligible to be covered. Any
claim occurring after this date, presented during the current policy year, are eligible for coverage
by your current policy.
Supplemental Extended Reporting Period (Tail Coverage):
Should the policy be canceled or non-renewed, you are entitled to purchase insurance protection
for any claims which may be after the cancellation date. The premium charged for this insurance
is based upon the number of year.s you have been insured (prior acts years) arid the limits
purchased.
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AUTOMOBILE DEFINITIONS
liability coverage of. the commercial auto policy provides
protection against legal liability arising out of the ownership,
maintenance, or use of any insured automobile. The insuring
agreement agrees to pay damages for bodily injury or property damage
for which the insured is legally responsible because of an automobile
accident resulting from the ownership, maintenance, or use of a
covered auto: The insuring agreement also states that in addition to the
payment of damages for which the insured is legally liable, the insurer
also agrees to defend the insured for all legal defense cost. The
defense cost-is in addition to the . limits.
Covers the liability arising out of the ownership, maintenance or use of
automobiles.
Coverage is included for vehicle passengers under· No-Fault .Law
The irisuring agreement states that the insurer will pay all reasonable
and necessary medical and funeral expenses incurred by an insured
because of bodily injury caused by an accident. The insured is the
named insured, the insured's employees and guests, and any other
person occupying a covered auto. These payments are made without
to fault.
The business auto policy provides a coverage extension if an auto is
insured for comprehensive or specified cause of loss coverage, which
insures against loss of use of a covered auto only if the auto is a private
passenger type auto and is stolen. The coverage extension pays up to a
daily limit of $10 and a maximum limit of $300. Payments begin
forty-eight hours after the theft and ends when the insured auto is
returned or when the insurer has paid the insured for the auto. For
broader coverage, the insured can pay an additional premium for rental
reimbursement coverage. Rental reimbursement pays the cost of
renting a substitute auto for replacement of any covered auto that has
suffered a covered loss. The daily and maximum liniit for this
45
COVERED AUTO DESIGNATION SYMBOLS
Owned "autos" only. Only those
autos you own (and for liability
coverage any trailers you don't own
while attached to power units you
own.) This includes those "autos"
you acquire ownership of after the
Owned Private Passenger "Autos"
Only. Only the private passenger
"autos" you own. This includes
those private passenger "autos" you
acquire ownership of after the policy
Owned "Autos" other than private
passenger "autos" only. Only those
autos you own that are not of the
private passenger type (and for
liability coverage any "trailers" you
don't own while attached to power
units you own.) This includes those
autos not of the private passenger
type you' acquire ownership of after
the . .
Owned "Autos' subject to No-Fault.
Only those "autos" you own that are
required to have No-Fault benefits in
the state where they are licensed or
principally garaged. This includes
those "autos" you acquire ownership
of after the policy begins provided
they are required to have No-Fault
benefits in the state where they are
licensed or
46
Owned "autos" subject to a compulsory
uninsured motorists law. Only those
"autos" you own that because of the law
in the state where they are licensed or
principally garaged are required to have
and carniot reject Uninsured Motorists
coverage. This includes those "autos"
you acquire ownership of after the
policy begins provided they are subject
to the same state uninsured motorists
uirement.
Specifically Described "autos". Only
those autos described in ITEM THREE
of the Declarations for which a
premium charge is shown (and for
liability coverage any "trailers" you
don't own while attached to any power
unit described in ITEM THREE.
Hired "Autos" Only. Only those autos
you lease, hire, rent or borrow. This
does not include any "auto" you lease,
. hire, rent or borrow from any of your
employees or partners or members of
their households.
Non-Owned "Autos" Only. Only those
"autos" you do not own, lease, hire, rent
or borrow that are used in connection
with your business. This includes
"autos" owned by your employees or
partners or members of their households
but only while used in your business or
your personal affairs.
CRIME DEFINITIONS
Employee dishonesty is to be a criminal act
committed by an employee acting alone or in collusion
with others. There must be intent by the employee to cause
. the employer a loss and to obtain a financial benefit for the
employee or someone else. Coverage is provided for
dishonest acts of employees of the named insured only.
Coverage insures against loss of money, securities, and
property other than· money and securities. . The blanket
form provides coverage for dishonest acts of all employees.
The limit for blanket coverage applies per loss, regardless
of how many employees are involved. The scheduled form
provides coverage only for the dishonest acts of employees
specifically listed in the policy. On the scheduled form, a
separate limit applies to each employee listed on the
schedule.
Forgery is generating a document or signature that is not
Alteration is changing a document in a manner that is
neither authorized nor intended.
This form insures against loss caused by the forgery or
alteration of a covered item drawn against the insured's
A covered item might be a check, draft,
bill of or similar instrument:
Disappearance is unknown causes of loss. Disappearance
lacks the elements of knowing if the crime was a theft,
burglary or robbery.
Destruction is the loss of certain property, it is usually the
result of another cause of loss.
Section (1) of the form covers money and securities
against loss by theft, disappearance, or destruction inside
the premises. Section (2) covers money and securities
outside the in care and of a
47
. PREFERRED GOVERNMENTAL INSURANCE TRUST
"Preferred"
. NOTICE AND ACKNOWLEDGEMENT OF FINANCIAL
CONDITION
Brown & Brown of Florida, Inc. -Miami Division and its parent company, Brown & Brown, Inc. (collectively
"Brown & Brown") do not certify, warrant or guarantee the financial soundness or stability of any insurance carrier
or alternative risk transfer or pooling entity. We endeavored to place your coverage with an insurance carrier with
an A.M. Best Company financial rating of "A-" or better. * While Brown & Brown cannot certify, warrant or
guarantee the fmancial soundness or stability of any insurance carrier or alternative risk transfer or pooling entity or
otherwise predict whether the financial condition of any such entity might improve or deteriorate, we are hereby
providing you with notice and disclosure of financial con~tion so that you can make an informed decision regarding
the placement of coverage. Accordingly, with receipt of this notice you acknowledge the following with regard to
the placement and any subsequent renewal of the coverage indicated below:
• Brown & Brown may have other options for your insurance placement, including quotations with insurance
carriers holding an "A-" or better rating from A.M. Best Company. Alternative quotes may be available
with an A-or better rated carrier upon your request.
• Coverage is being placed through Preferred Governmental Insurance Trust ("Preferred"), which is as a
Florida local government self-insurance fund established pursuant to Section 624.4622, Florida Statutes, as
such Preferred is not rated by the A.M. Best Company.
• Preferred is not subject to the protections afforded by any state guaranty fund or association.
• The financial condition of insurance companies and other coverage providers including local government
self-insurance funds like Preferred may change rapidly and that such changes are beyond the control of
Brown & Brown .
. • You should review the financial and membership informati"On from Preferred and agree to abide by the
conditions of membership established by Preferred.
• You should consider the information provided, including the Preferred coverage quote and coverage
placement and review it with your accountants, legal counsel and advisors.
By: [NAME OF AUTHORIZED REPRESENTATIVE OF INSURED]
Named Insured: City of South Mi~
Policy Number: TBD
Policy Period: 10/01/17 TO 10/01118
Date of Notice: 8122/17
* A.M. Best Rating Guide: Rating for Stability: A++ to D = Highest to lowest rating
Rating for Assetsl Surplus: 15 to 1 -Largest to smallest rating
48