Loading...
6THE 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 $566,3561 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 1 RESOLUTION NO. ____ _ 2 A Resolution authorizing the City Manager to purchase Property Insurance 3 including Boiler and Machinery, General Liability Insurance, Automobile Liability 4 and Damage Insurance, Inland Marine Insurance, Crime/Fidelity Insurance, Law 5 Enforcement Liability Insurance and Worker's Compensation Insurance from 6 Preferred Governmental Insurance Trust (PGIT) for Fiscal Year 2017/2018. 7 8 WHEREAS, the insurance marketplace for Municipalities is extremely limited; and 9 WHEREAS, the City, through its Agent of Record, Brown & Brown, has solicited three 10 quotes and has received independent insurance quote for Property Insurance including Boiler 11 and Machinery, General Liability Insurance, Automobile Liability and Damage Insurance, 12 Inland Marine Insurance, Crime/Fidelity Insurance, Law Enforcement Liability Insurance and 13 Worker's Compensation Insurance; and 14 WHEREAS, Preferred Governmental Insurance Trust (PGIT), was the only carrier that 15 would consider an insurance program for the City's combined Property, General Liability, Inland 16 Marine, Crime, General Liability, Law Enforcement Liability, Automobile Liability & Physical 17 Damage and Workers' Compensation coverage forms; and 18 19 WHEREAS, the City renewal quote from PGIT is for all lines of coverage; and 20 WHEREAS, the City Manager recommends that the City continue coverage with PGIT 21 for Property Insurance including Boiler and Machinery, General Liability Insurance, Automobile 22 Liability and Damage Insurance, Inland Marine Insurance, Crime/Fidelity Insurance, Law 23 Enforcement 'Liability Insurance and Worker's Compensation Insurance for 2017/2018 Fiscal 24 Year based upon the current proposal; and 25 WHEREAS, the City continues to receive the company's preferred rating because of the 26 multiple lines of coverages, including a 5% credit for our Drug Free Workplace policy and a 2% 27 credit for our Safety Policy; and 28 WHEREAS, the premium amount shall be charged to departmental line items in their 29 respective account numbers. 30 NOW THEREFORE BE IT RESOLVED BY THE MAYOR AND CITY 31 COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA THAT: 32 Section 1. The City Manager is hereby authorized to purchase the renewal insurance 33 policy for PGIT for Property Insurance including Boiler and Machinery, General Liability 34 Insurance, Automobile Liability and Damage Insurance, Inland Marine Insurance, Crime/Fidelity 35 Insurance, Law Enforcement Liability Insurance and Worker's Compensation Insurances 36 2017/2018 Fiscal Year. 37 38 Section 2. Severability. If any section clause, sentence, or phrase of this resolution is for 39 any reason held invalid or unconstitutional by a court of competent jurisdiction, the holding shall 40 not affect the validity of the remaining portions of this resolution. 41 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Section 3. Effective Date. This resolution shall become effective immediately upon adoption. PASSED AND ADOPTED this __ day of _____ , 2017. ATTEST: CITY CLERK READ AND APPROVED AS TO FORM, LANGUAGE, LEGALITY AND EXECUTION THEREOF CITY ATTORNEY APPROVED: MAYOR COMMISSION VOTE: Mayor Stoddard: Vice Mayor Welsh: Commissioner Harris: Commissioner Edmond: Commissioner Liebman: INSURANCE PROPOSAL SUBMITTED ESPECIALLY FOR: CITY OF SOUTH MIAMI POLICY TERM: 10/01117 TO. 10/01/18 DATE OF PRESENTATION: 08/22/2017 PRESENTED By: Ro.BERT Ho.LLANDER EXECUTIVE VICE PRESIDENT BROWN & BROWN -MIAMI DIVISIo.N 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 specialize in evaluating and protecting your personal assets -home, auto, watercraft and life. We also have an experienced employee benefits department who can assist you withgroup health, disability, 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 your insurance coverage and is for information purposes only. In the event of difference, the provisions oUhe 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 Representative 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 OfficiallEmployment Practices Liability o Workers Compensation III. Summary IV. lllustrations and Definitions 4 SCHEDULE OF NAMED INSUREDS . City of South Miami This list 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: Preferred 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 Chosell by the Cliellt. III view of the continually changing cost of constrllctionalld building materials, we strongly suggest that you review your property values annually. ANY changes in the occupancy of all illsured location should be reported to our office immediately. Changes ill occupallcy can potentially reduce or Ilegate 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 EarthquakelEarth Movement Coinsurance: Building & Personal Property: NI 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 $ 1,0001$5,000 $ 500,000 $ 250,000 $ 500,000 $ 55,000 $ 25,000 $10,0001$20,000 $ 25,000 $ 2,000,000 $25,0001$50,000 $25,0001$50,000 $ 250,000 $ 10,000 $ 100,000 $ 250,000 $ 250,000 $ ° 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 of NFIP, 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. 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 uniu' Ilt5aipblln Year BUilt EIf_ Date Bfllldint nIue lOtiIllmured vatUI!' Address camtTYPf!> Term Date Olntents nIue _:sn~ I Roaf P1ttl1 Roof CIm!rlIl8 1 CDYeI1II!I Replamll I RoofYrl!llt eM f1eQd staJt 0!IItl!r 1'17D 10/0112017 $·m,2iIII OOt 6125 SIN 68 Stn!et $476,6B'/ :south Miami, fL 11143 tO/01/2013 $5,.Cl 1t'-JM F1aI: t lOW ,1< to) Built up roof wlout gravell I PUblic wms offICI! Building "68 t0/01l2017 $28t,ltK OOZ 41'1!> SIN 7Sth A'I'eIlUf!> $2SII.!>U south Miami;, fL 11l'lJ 10101/2018 $l,lU 1U-JM !tip I lOW{c 10) ASphalt Shingle I I ~MCtorPootOffj~ ,,, .. tOlO1/2017 ~!>4.1IOO OOJ 41'1!> SIN '75ith 1._ S!>4,.111l11 south Miami, fL 33143 10/01/2018 $Il Ut-FIt flat I lOW{< 10) Built up roof "",out gravelj I SIItid Waste Bldg: -!i by'Shop 1HO 10/01/2017 $1lS!1,2!ll 004 47'15 sw75ith AVenlill!' $11!5,l!>ll :south Miami, fL 33143 10101/2011! $0 152 -NC shed I lOW «(10) ASphalt Shingll!' I I dtyca,. ,')')4 10/01/2017 $!i6O,,!>OO 005 41'1!> sw75ith Avenue $S6O,500 southMiami, fL33143 10101/2018 $0 111-MNC F1aI: I lOW 1< 10) ASphalt ShinJle I I City's Aepai.-Shop non 10101/2017 $63,oo1l 006 41'1!> SlN75ith A'rII!IlUe $12:2,261 :south Miami, fL 33143 10/01/2018 $",261 lU-JM F1aI: I lOW« 10) Steel-standing SRm I I pulice sturag! !ltd!! "M 1010112017 $18,'100 007 41'1!> SW 75ith Awnlile $1lI,'lOCl :south Miami, fL ]]143 10/01/2018 $I] I lU-JM F1aI: I lOW'l.: 10) Built up roof "",out gravell I Dante S_ Fascell PI1rk1 Tennis Pm SIIop II; II.estn:Jom !ltd!! 1967 10/01/2017 $'1!>,88Il 008 8MIII AJed Road $95,8/111 :south Miami, fL 331'i3 1Of01J2018 $I) 111 -FIt F1aI: I lOW{< 10) Built up roof "",out g,m>eIj I Dante S_ Fasc:e1L PaIk -2 oazebos 1965 10/01/2017 $65,00II QOI9 8MIIJ AJed Road $65,.000 :south Miami, fL ]3143 10/01/2018 $Il 152 -NC ~ramid I Medium (10tD30) ASphalt Shingle I I Dante Ii. Fascell PaIk -6, Mar TN TIi!rmis cooru {$6.511O 1985 tO/01/2017 $1n,m11 1"~ ..... -..I,,"""-oIIlI $123,500 010 8MIIJ AJed Road :south Miami, fL 3]143 10J01/2013 $( 102 -PITa MIA I MIA HfA I I 10 uniu 011 012 on 0'14 015 016 Ot7 G18 6i9 6111 SCHEDULE OF COVERED PROPERTY Continued DeWiption Year IkIIIIt Elf_Datil' 8uiklimg value AIfdrel:s comtl'Jpe Tl!f11II Date CClnteltts vallie -~ape I Il00. PIKl'I IIOOtCDYmIlfl I Ccm!f1J1fI RA!ptamII Dante 8. Facsell Park I Pi:aYJIfUund ($6,!iiOO Coot.ents "75 10/01/2017 $11M,000 ___ •• ,J_ ..... Il6OO Red Road Sooth l4iami, Fl 331'13 10/01/2018 $Q 1I:12-P1T0 MIA I MIA !'IIA I Dante 8... Fil5lCeU Park -2 Racqul!tllaII courts U75 10/0112017 $2B,66!i Il6OO Red Road Sooth J.I.iami, FL 33143 10/01/2018 $CI 1(12 -PITO MIA I MIA !'IIA I Dante Ii. FiI5ICelII'iIR -1 Basketball coon 17110 10/0112017 $13,000 Il6OO Red Road Sooth J.I.iami. FL 33143 10/01/2018 $(I 1(12 -PITO MfA I MIA !'I/A I Dante B_ Fil5lCeU -1 TiKi Hut 17115 1010112017 $10,000 Il6OO Red Road Sooth.Miami, Fl ]]143 101D1J201B $(I 1117-.JM Pyramid I Medillm II D to 30) Wood Shates I Dante 8. FiI5ICelI COO1mUl1lRy stIIra!Ie In7 10/0112017 $63,000 Il6OO Red Road Sooth.Miami, Fl 33143 10/.01 12018 $(I Ul-FR rut I Law «1D) 8mtt up roofwith gravel I FIl!:bs!Park pavilion ($4!i!50 Conllents Included) 1775 10fD1/2011 $11,00( M4!i SW 81 Stn!et Sooth l4iillni, FL ]]143 10/0112018 $4,m 101 -flame Hip I MediIIm (10 to 30) ASpIIalt SIIingte I FIl!:bs Park -sathroom un 10/01/2017 $14,000 M4!i SlY 81 stn!et Sooth Miami, FL 33143 10/01/20111 $(I 1U-.JM rut I Law« 10) lip.t Metall'ilne<ts I FUdIs .Park Pi:aY!JlTOUlld 8; SWing sets 1"3 1010112017 $70,761 M4!i SlY 81 Stn!et SoothMiillJlt, Fl 33143 10/01 12018 $I] 1(12 -PITO MIA I MIA !'I/A I I'aImi!J" part -Field storage IlUiIdq U77 10101/2017 $45,!iOIJ M4!i SW al Stn!et Sooth .Miami, FL 33143 lU-1NC 1010112018 $I] rut I Law« 10) Bmlt up roof with gravel I Palmer Part filo.Iha\l Storage IItdg U77 10JD1I2017 $75,000 6701 SlY 67tIIA\lI!I11Je Sooth J.I.iami, Fl. 33143 10101/2018 $45,730 117-.JM rut I Law « 10) Built up roof with gravel I 11 TiJUIIMUll!Cl value I RlIOJVrBlt $11M,IIIICI I $28,-66!i I $13.- I $10,oDll I $61,000 I $35,551] I $84,000 I $7D,71l'l I $45,lIOD I $,126,730 I lkIit", 02.1 an an 014 02.5 016 017 OZII 02.9 OlD SCHEDULE OF COVERED PROPERTY Continued o.scription Year IkIiIt Eff_ Date I 1kIi1dilll value J Address Comt"iype Term Dale CGnteI1ts value ROoT5I'Iape I RODtPnxn Roof coven .. I eovenng RepJaCell PaIrnet" park fOCIdlatl storage Roam '"5 10/0112017 $13,OOi 6701 WI 67th Awnue SIlUtIi.Miilllli, Ft. 3l14! 10101/2018 $19,501 l1'f-JM Flat I l.aW{< 10) Built up roof with gJ"iIVel I Pidmer park Field House U77 10101/2017 $115,m 6100 WI 67th Awnue SIlUtIi.MiiUlli, Ft. 3lt4! 10/0112018 $9.1-41 11't -JM Hip I l.aW{< 10) . A.'<pltalt Sltingte I PaIrnet" park I'ta.~d 1'f77 10101/2017 $26,00CI 671]t WI 67th A'III!Ilue south.MiiUlli, Ft. 3l14! 10/01l201B $~ tOll-Pml NIA I H/A KfA I Pidmer park 1 1200 ft of 5 ft High Fence 1'f70 10/0112017 $13,1l11J11 6701 WI 67th Awnue SOOtIII.Miilllli, Ft. 3l14! 1010112018 ~ 10ll· Pml NIA I H/A H/A 1 Pidmer park -1000 ft Of 10 It High R!IICe ''f7ll 10fD1/2017 $16,'lIOI 6701 WI 67th Avenue SIlUtIi Aiilllll, Ft.l114! 10101/2018 $( 102 -Pml MfA I HIA HIA J PaIrnet" park -I!e$trOtlm lIkIa 1't77 10101/2017 $IM,6IM 6701 WI 67th A'III!Ilue SOOtIII.M.iilllll, Ft. 3l14! 10/0112018 $I 11'f-JM Flat I I.lIW « 10) Built II\P roof with gJ"iIVel I Palrnet"park -com:essian_ 1't77 10/0112017 $54,0IH 671]1 WI 67th AlIB'Iue SIlUtIi.M.ii\!lli, Ft.l1141 1010112018 $I 1t'f-JM Flat I I.lIW « 10) lliuilt up roof w/out ~I ~pam-2R~~ICouns un 10101.12017 $28,66li 6100SW 56th strII!et SIlUtIi.M.iilllll, Ft..31141 10101/2018 $0 l1'f-JM Flat I I.lIW (< 10) Built II\P roof with!J"ilVel I ~ park -11Z 8iIsketIliIll court 1'1811 1010112017 $13,OOCI 6100 S\'I\' 56th strII!et SIlUtIi.MiiUlli, Ft.1314! 102-Pml 10101/2018 $~ NfA I H/A HIA I ~ park -p~ iII!d SWina Set 1'1811 1010112017 $]'I,ll! 6lOO WI 56th street SIlUtIi.MiiUlli, Ft.1314! 10/0112018 $~ 102-Pml NIA I HIA If/A I 12 Totallmun!d value I K.QOT Yr Btl $52,5lDII 1 $124,76 I $26,00( I $11,00( I $16,'tlII I sa4,€iOCI J $54,00( J $28,66!i J $13,00( 1 $14,12li 1 tmiu 0:11 0]2 on OJ4 0]5 0]6 0.37 038 019 040 SCHEDULE OF COVERED PROPERTY Continued I:IeocTiptiIIIn Year-Ikrilt Eff_~ llllildina vallJe Ad~· comt'Jype Term Date contents value Roof5hape I RoofPiI:dI Roof Clmln"l I COW!f1llB RepliW!d Brewer ParI! -2. TenniisCOlJrts 1'j'iO 10/D1/2017 $52,00Il 6300 SW 56th stR!et SOUth Miami, fl3114l 101D1/2013 $Ii 102.-PITO NfA I MIA NIA I Brewer ParI! -4IiO ft: of 10 ft High Fem:e 17'iO 10/D1/2017 $7)100 6300 S'\V 56th street SOUthMiami, fl]]l4l 10fD1J2013 $0 102.-PITO NfA I MIA NIA I Brewer Park -360 ft of Ii ft High Fence 1'j'iO 10/D1.f2017 $3,'iOO 6300SW 56th street SOUth Miami, flll141 10/D1/2OI3 $11 102. -PITa NIA I MIA HIA I 1IiurTay Part -2. Shadec SttIJI:tlJres "'iO 10/0112017 $2,OOIl 58IlCI SW 66 Stn!l!t SOUthMiamf, fl3314l 101D1/2OIS $II 11'1-JM Iliilbtl! end Withaut IIm:iR!I I Law!< 10) Asphalt shingte I' 1IiurTay part fcommunity Center 1711!i 10/0112017 $36O,00Il 6701 sw ~ Place SOUth Miami, fl3114l 101D1/201S $Ii 111-!.ANC Pymnid I Medimm (10 to lQ) steel -stamf"JI1!iI seam I Hope Butler Attivity Center 1'j1l!i 101D1f2Ol7 $271,flOO 6701 SW ~ Place SOUth Miami, flllf4l 10/0112013 $0 l1'1-JM Pymnid I Medimm (10 to 30' steel-5tanding seam I otrlCl!iPoIiI:e ~ '"1 10fD1l2017 $II S'J7!i 5m:!et Drive SOUth Miami, fl33141 10/0H2013 $12,§IKJ l1'1-JM OfoIbleendWithaut bracimg I Law (~10) Asphalt Shlnjle I City Hall J Police "56 10/0112017 $l,lll','iOlI 61lQ 5m:!et Drive SOUthMiaml, fl33141 101D1/201S $DS,472 11'j-JM Flat I Law(.: 10) emIt up roof with!lJ<lVel I Silva Martin Bldg 1'135 1010112017 $420,100 6130 SIInSI!t Drive SOUth Miami, fl ]]14l 101D1/201S $56,7IM 11'1-JM Hip I Medimm (10 to 30) ASphalt Sh~e I SOUth Miami CEJmm Center I ~ mDlI 101D1f2Ot7 $3,2111,56lI 58011 SW 66 Street SOUth Miami, flll14l 10/0117013 $:no.OOIl 111 -!.ANC Flat I Law « 1D) emIt 'UP roofwith ~ I 13 Total tnsured Value I ROOtYrBlt $52,001: I $7,301 I $3,700 I $2,0lI0 I $l&ll,DOll I $271,6811 I sn,SII! I $4,2.}!j:,m I $476,aB11 I $3,608,%11 I - lkIiu 011 012 013 IM4 015 046 047 048 IH9 050 SCHEDULE OF COVERED PROPERTY Continued DescrIptIOn Year Built Eff. Datii!' BlliklinJv.d1ll! Address conrtType TeI'm Dale Contf!nh v.dfJl! IIDOf ShapE! I Roof Plttb R.CIIot CIm!f1ll8 I COYenngiRepIaCe4 ..lean Willis pil/1t , oazebo 1911 10/01J2D17 $1'J,!iIlII 72W SW f>1s1t caurt 5Guth Miami, fL 331'13 10/01/20111 $II 1 01 -f'I:iImIe Pyramid I Medium (10 to 3D) Asphalt SIlingle I ~ WiUiill1\:SOfl park I Clazebo 1911 10/01/2017 $6!;,OIX 6121 SW 6B street 5Guth Miami, fL 331'13 10/01l2D111 $I: 152. -IfC Pyramid I Medium (10to 30) ASphalt SIlingle I MaIsbal Williamsm PiII1t 1 Ptayground ami :swing set 191' 10/01/2017 $32.,lm« 6121 SW 6B Street 5Guth Miami, fL 331'13 10/01J201.8 $I: 102 -PIT'O NIA I NfA If/A I MaIsbalI Williamson Park -2 Tennis Courts 1Wl 10/01l2D17 $52,OIX 6121 SW 6B Street 5Guth Miami, fL 331'13 102 -PITa 10/011201.8 $II NfA I Iff A HIA. 1 Girt SCout Property "65 1010112017 $2.14,06Ii 66O'J SW 60 street 5Guth #.Iiami, fL 331'13 10J0112D1.8 $I: U'-ll11 Hip I lo!edilBll (UI to 30) Asphalt SI1ingle I PiUking 0MiIigi!' 2000 10/01/2017 SII,4l!>,m 5112' S_ W _ 13 street 5Guth Miami, fL 33143 111 -FR 10/01J201.8 $I: Flat I Law « 10) COIICR!wTlIe I Dism Park -<laZleIIo 1lJlJ2 10101/2D17 $2.5,00II SW 5IIth _ &. SW.80 St 5Guth Miami, fL 33143 10/01/2D1.8 $I: 152-Ne Pyr.Jmid I Medium (10 to 30) ASphalt SI1ingle I 1'Diia! sub Statim 1lJ80 10/0112017 $II 6726 SW 57 I'ta.ce 5Guth Miami, fL 331'13 10/01120111 $26,OIX lU -1111 Flat I Law « 10) ASphalt Sflingle I Bus. Shelter UlJ2 10/01l2D17 $50,000 !If Side: of sunset Or & Approx SW 60 Ave: 152-NC 10/01/20111 $0 Flat I Law « 10) Li!Jlit Nle!!aI Panels 1 Bus. SI1eIter 1lJlJ2 10/0112017 $50,000 Itt Side: of Sunset Or & $II ApplUX 100 ft W of SW 67 Ave 10/01/2D1.8 ..... _~ ... L ... : .: -.......... 152-NC Flat I Law (0:: 10) Light Nle!!aI Panels J 14 - TDtiII.1mUn!d YlrIIK' 1 RIIiIIt Yr Blt $1lJ,!iIlII I $65,00II I $H,!>lIICi I $52,1lIX I $2.34,06C I S8,41~,!;2l I $2.5,00II I $26,0IX I $5G,OIXI I sm,OIXI I bliu 051 052 O!il 054 O!ili 056 SCHEDULE OF COVERED PROPERTY Continued DesulptMln Year IlUJIt Eff. Date IllllldinlVaiue Address Canstl'ypl! Term Date CIIIlb!I!IsvaiUl! RQOfS1lape I Roof PIttI'I RQOfCIIV1!f1I11 I Covenllllll!placell I!Us SIIeIter '"t 101·1I1/2m7 $50,000 S Sfde of sunset Dr &. AppfllX tOO ft E ofSW 67 Ave 100111/2mB $(I 152.-He flat I Low « 10) Li!fit Metal panels I I!Us SIIeIter '''2 10J01J2m7 SSO,OOCl s Side of sunset Dr &. S Miami City Hall. Site (6130) 10101/21113 $Q 152. -He flat I Low« 10) Li!fit Metal PiInI!Is I I!Us SIIeIter fUi! 10{01J2II17 $50,00Cl E Si~of SW 62. Ave a. AppfllX ~ ~ St 10/111/21118 $(I 152. -He flat I Low (< 10) li!ht /leta! PiInI!Is I IItUmIy park I'00I, SpIa:sh Pool, Restroom 2.014 10101/2m7 $1,184,411 6121 SW 68th street south Miami, fL131U 101111/2mB $Il l1ot· Jill flat I Low {(.10) Built up roof with gravel I VI'aod oooble aate Elldosure 2.01S 101111/2m7 $4,.m MIllO SW 78 S1reet SOUth Miami, fL 13141 10/1l1/2mB $(I 1 Ill! • PIfO I I I"cIIioec f\Je\ing station 2.ODl 101·01/21117 $160,5OQ 61lO sunset Drive SOUth Miami, fL 331U tOlOI/2.018 $10,~ 11ot· JIll 1 I Total Insured vailii!' I ROOf YrlSit sro,OOII I $!IlO,OOII I S!iO,ooo I $1,384,411 I $4,.m I $171,40'4 I \ Total:\ $11,7111 ,260 I $1,062,581 \ $t2, 763,IMI 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 Limits of Coverage: 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: 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 Damage to Premises LeasedlRented to You J-Irnnpr"t.., Damage 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 • Medical 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: Deductible: N/A Employee Benefits Liability: 19 PROPOSED LAW ENFORCEMENT LIABILITY COVERAGE Insurer: Preferred Governmental Insurance Trust Type of Form: Occurrence Limits of Liability: Deductible: N/A Exposure Basis: 20 PROPOSED COMMERCIAL AUTOMOBILE COVERAGE Insurer: Preferred Governmental Insurance Trust Limits of Liability: Bodily Injury & Property Damage Liability Liability Coverage Provided For: Personal Injury Protection (Florida No-Fault) Medical Payments Uninsured Motorists Non-Stacked Physical Damage: * Per Scheduled Vehicles Collision Com rehensive Physical Damage Coverage Provided For: * All New or Replacement Vehicles Must Be • Reported Immediately so as to avoid any possible gap in coverage Auto S mbols 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 VEHICLE SCHEDULE Continued ... 23 VEHICLE SCHEDULE Continued 24 VEHICLE SCHEDULE Continued 25 VEHICLE SCHEDULE Continued 26 VEHICLE SCHEDULE Continued 27 VEHICLE SCHEDULE Continued 28 _PUBLIC OFFICIALS & EMPLOYMENT PRACTICES PROPOSED LIABILITY COVERAGE Insurer: Ace American Insurance Company Type of Form: Claims Made -Retro Date Per Policy Form Extended Reporting Period: 12 months for lOO% of last annual premium Limits of Liability: Each Claim Defense Costs are Within Limit of Liability -Capped at $1,000,000 Deductible: $75,000 Public Officials Liability -Public Entity Liability -1 A2 and IB $100,000 Each Employment Practices Violation -lC $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: PremIUm 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 WC 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 CrimelFidelity Law Enforcement Liability Public Officials Employment Practices Liability Workers Compensation Subject to Audit Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total . Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total Premium Fees Taxes/Surcharges Total rr(;~mtum "'''''In",r" a.nniUa~nea mren'llUmS on any policy changes Fees shown above may befully earned at policy inception 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: PGIT Package: 50% Down, 25% due at 75 days and 25% due @ 166 days POLIEPL: Full payment at inception -Financing may be available Workers Compensation: 25% Down and 9 Equal Installments A 25 % Minimum Earned Premium applies to tbe following 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 POLIEPL Quotation is valid until the effective date of the policy. This proposal is based upon the exposures to loss made known to 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 bv 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 RATING 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 Compensation . Public Officia1JEPL 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+** NR Superior Excellent Very Good Not Rated B B-*** C++ C+*** C, C~*** Good Fair Marginal FINANCIAL SIZE CATEGORY The Financial Size Cate~ory is an indication of the size of an Insurer and is based on reported Policyholders' surplus p us 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. I ($ In thousands) Class I $ Up to $ 1,000 Class II $ 1,000 To $ 2,000 Class III $ 2,000 To $ 5,000 Class IV $ 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 XIV· 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 proposed carriers. The financial information disclosed is the most recent available to Brown and Brown of Florida Inc. -Miami Division. 33 COMPENSATION In addition to the commission or fees received by us for assistance with the placement, servicing, claims handling, or renewal of your insurance coverages, other parties, such as excess and surplus lines brokers, wholesale 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 andlor 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 Broker/Managing 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 / 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 issuance. 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's/Managing 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.comlcustomerinquiry .shtml. 34 PROPOSAL VARIANCE Changes that need to be made prior to binding: 35 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-rata 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 either a flat charge policy or an adjustable policy. In either case, this amount is 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,ccident, a theft, slip & faU; 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 information 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 detennined that the amount of insurance carried is less than the amount required, a enalt could be laced on the insured. (Exam Ie Attached) 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 olic is issued. This 0 tion is usuall assi ned to one-of-a-kind ro ert . Property can be valued in several different ways. Insurance companies commonly use two approaches to determine value, which also detennines how a loss will be paid: the replacement cost method and the actual cash value method. Insurers 'I 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 de reciation for a e 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 ercenta e increase at the end of the olic term. In addition to the limits stated in the Building and Personal Property coverage fonn, 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 infonnation on destroyed records. When coverage is placed on the all risk fonn, 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, windstonn or hail, smoke that causes sudden and accidental loss or damage, aircraft or vehicles, riot or civil commotion, vandalism, s rinkler leaka e, sink hole colla se and volcanic action. Fire, lightning, explosion, windstorm or hail, smoke that causes sudden and accidental loss or damage, aircraft or vehicles, riot or civil commotion, vandalism, sprinkler leakage, sink hole collapse, volcanic action, glass breakage, falling objects, weight of snow, ice, or sleet, and water damage (accidental discharge or leaka e). Excluding flood and earth uake. 39 EQUIPMENT BREAKDOWN DEFINITIONS Boiler & Machinery insurance covers direct 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 & machinery equipment or any part of the e ui ment described in the olic . Which pays the reasonable extra cost incurred to expedite ro ress after a loss Covers accidents to objects at newly acquired locations for up to ninet da s after the named insured ac uires the ro ert . 40 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 o erations erformed b 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 u ose. 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 rovided in the olic . 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 withoutregard to the liability 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 selling or serving alcoholic bevera es. Intended for firms, which perform work or services, rather than sell or produce products. Usually intended for construction contractors, re airers of automobiles, installers of property. 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 of food or beverages in connection therewith or the dispensing or furnishing dru s or medical, dental or sur ical su lies (Under 26 feet in length) Provides coverage for liability, which arises from any watercraft as long as watercraft is not owned by insured nor bein used to carry ersons or ro ert 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 u oses of rotecting ersons or ro erty .. 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 em 10 ee which occurs durin the course of em 10 ment. 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 olic eriod. 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 by disease. Coverage (A) shows no dollar limit for the benefits provided since any applicable limits would be those established within the law. Benefits under Coverage (A) are paid to the employee without regard 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. i 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 $lOO,OOO 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 liabilit for each em 10 ee is $lOO.OOO, 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 desi nate the individuals not covered under the olicy. 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 olic at the time of olicy 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. 43 UNDERSTANDING THE CLAIMS-MADE POLICY The claims-made insurance policy provides financial 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 shown 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 years you have been insured (prior acts years) arid the limits purchased. 44 AUTOMOBILE DEFINITIONS The 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 policy limits. Covers the liability arising out of the ownership, maintenance or use of automobiles. Coverage is included for vehicle passengers under No-Fault Law rovisions. The insuring 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 re ard to fault. Protects insureds who are not contributorily negligent against bodily injury caused by negligent under insured or uninsured drivers and hit- and-run motorists. Covers the liabilit for the use of hired automobiles in our business ... Covers the liability for the use of non-owned automobiles in your business. An example would be an employee using his own car on an errand for ou. Pays for loss of or damage to automobiles from perils other than collision. Pays for loss of or damage to automobiles from collision with another ob· ect or u set. 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 limit 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 olicy begins. 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 be ins. 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 att~ched to power units you own.) This includes those autos not of the private passenger type you acquire ownership of after the olicy be ins. . 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 rinci all ara ed. 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 cannot 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 requirement. 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 considered 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 accounts. A covered item might be a check, draft, romissor note, bill of exchan e or similar instrument: Theft means any act of stealing. 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. ,,,,,,,,,,,,,;,;,,,,,,,,,1 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 remises in care and custody of a mana er. 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 AM. Best Company financial rating of "A-" or better. * While Brown & Brown cannot certify, warrant or guarantee the financial 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 condition 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 AM. 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 AM. 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 information 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 Miami Policy Number: TBD Policy Period: 10/01/17 TO 10/01/18 Date of Notice: 8/22/17 * A.M. Best Rating Guide: Rating for Stability: A++ to D = Highest to lowest rating Rating for Assets/ Surplus: 15 to 1 -Largest to smallest rating 48