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Item D09 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: 9/21/05 Division: Management Services Bulk Item: Yes X No Department: Administrative Services AGENDA ITEM WORDING: Approval to purchase Specific Excess Workers' Compensation Insurance from Safety National Casualty Corporation at a rate of .2591 per $100 of payroll for a proj ected annual premium in the amount of $158,377,00 for FY 05/06, Waiver of purchasing policy is requested to the extent that a change in carrier only requires a waiver. (Broker remains unchanged) Approval to renew the Accidental Death & Dismemberment Policy with Hartford Life & Accident Insurance Company in the amount of $2,822,00, ITEM BACKGROUND: The County is currently insured with Midwest Employers Casualty Company for this fiscal year, The current premium is ,3011 per $100 of payroll for a projected premium of $168,443,00, The significant reduction in premium is due to the softening workers' compensation insurance market and favorable claims experience, PREVIOUS RELEVANT BOCC ACTION: This insurance contract was last bid on 2/29/03 for the 03/04 fiscal year. Low bidder at that time was Midwest at a rate ,3543 per $100 payroll for a projected premium of $197,271.00, CONTRACT/AGREEMENT CHANGES: Change in carrier from Midwest to Safety National. Both companies are AM Best "A" rated carriers, Safety National's contract language is more favorable to the County, (Stronger aircraft coverage, better definition of "occurrence," and continued "Statutory" coverage,) STAFF RECOMMENDATIONS: Approval TOTAL COST: $ 161,199,00 BUDGETED: Yes X No COST TO COUNTY: $161,199,00 SOURCE OF FUNDS: Primarily ad valorem REVENUE PRODUCING: Yes No X AMOUNTPERMONTH Year APPROVED BY: County Atty _ OMB/Purchasing _ Risk Management _ DIVISION DIRECTOR APPROVAL: Sheila A. Barker DOCUMENTA TION: Included X To Follow Not Required_ DISPOSITION: Revised 1/03 AGENDA ITEM # Oct-04-05 11:24A MONROE COUNTY 305-295-4301 P.02 MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CLIENT AUTHORIZATION TO BIND COVERAGE After careful consideration of your Excess Workers' Compensation and Accidenlal Death and Dismemherment proposal dated September 2, 2005. we accept your insurance program subject to the following: Please check tire de.'i/ired Option~': Specific Excess Workers Compensation DOption I - Midwest Employers Casualty COIporation o $1,000.000 SIR Deposit Premium $168,035 525,000,000 Limit o $1,000,000 SIR Deposit Premium $J 84,049 Statutory ~tion II - Safety National Casualty Corporation po $1,000,000 SIR Deposit Premium $158,377 Statutory o Two year option Deposit Premium $316,753 D $500,000 SIR Statutory Deposit Premium $481,670 Accidental Death and Dismemberment ~ Hartford Life and Accident Insurance Co Annual premium $2,822 TRIA EXPIRATION DISCLOSURE The Terrorism Risk Insurance Ad (TRIA) Is set to expire uli December 31, 20t5. There is no certainty of e:deJllion, thus tile covera.e prCJvided by your ills.rers mayor may DCJt es.tcod beyond December 31, lOGS. Ip the event you have loan covenanb ur other canlr.etual obllgatiHs requiriJae that terrorilm conrage be ...intained tbroughout the duration of your policy period, we recommend that II sepante "Stand Alo.," terrorism poUc:y be purebased to satisfy those obllgationll. It is undel"5tood thift proposal provides only a summary of the details; the policies will contain the actual cuverages. We confjnn the values, schedules, and other data contained in the proposal are from our records and acknowledge it. is our responsibiJity to see that they are maintained at:4;uratcly. Please provide us with a binder(s) and invoicc(~) for the coverages agreed upon at yo earl' HL con\' .CIICC. . ~ Broker's Signature Dixie K. S ehar Mayur/Chairman Dated September Dated N;\I'UBl.pROl'\MC)NkOr..RCC\200~-200(.\WC lIr. ^DO Pr~al Q80S.doc Oct-04-05 11:24A MONROE COUNTY 305-295-4301 P.03 MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CLIENT AUTHORIZAnON TO BIND COVERAGE After careful consideration of your Excess Workers' Compensation and Accidental Death and Dismembennent proposal dated September 2~ 2005, we accept your insurance program subject to the following: Please check the desired Opti0n3: Specific Excess Workers Compensation DOption I . Midwest Employers Casualty Corporation o $1,000,000 SIR Deposit Premium $168,035 525,000,000 Limit o $1,000.000 SIR Deposit Premium $184,049 Statutory .i!Option Jl - Safety National Casualty Corporation ~ 51,000,000 SIR Deposit Premium $lS8,3n Statutory o Two year option Deposit Premium $316,753 o $500,000 SIR Statutory Deposit Premium $481,670 Accidental Death and Dismembenneut CiI Hanford Life and Accident Insurance Co Annual premium $2,822 TRIA EXPIRATION DISCLOSURE Tile Terrorism Risk IRsurallCC Act (TRIA) I, set to espire on December 31, Z0t5. 'fbere is DO certatnt)' of extellllon, tlu. the coverqe provided by your wllren mayor may Dot emad be70nd December 31, 2005- In tile eveat YOD b.ve 10.. ~venan" or other centrlCt.1 ob.....1QI reqlllrlq thai terrorism coveraae be aaai.-'i.ed tbrolllllout the duration of yo..r policy period, wi reeo.mend Ilia. . separate "St.nd Alae" ter-ra...... policy be purchased to .atllt)' tltole Db....tlOD.. It is understood this proposal provides only a summary oC the details; the policies will contain the actual coverages. We conflnn the values, schedules, and other data contained in the proposal are from our records and acknowledge it is our responsibility to see that they are maintained accurately. Please provide us with a binder(s) and invoice(s) for the coverages agreed upon at y earliest c nvcnience. . . Dixie M. S ehnr Chai.rman/Mayor Broker's Silnature September 28, 2005 Dated Dated MONROE COUNTY ATTORNEY APPROVED AS TO FORM: N:\PUBLPROP\MONROIi.IJCruooS-2006\WC ole ADD Proposal 080S,doc .~ ~~';AN M ~~ ~,~et,...c~~ ASSISTANT COUNTY ATTORNEY Oct-04-05 11:24A MONROE COUNTY 305-295-4301 P.04 MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CLIENT AUTHORIZATION TO BIND COVERAGE After ClRfuI consideration of your Excess Workers' Compensation and Accidenral Death and Dismembennent proposal dated September 2, 200S, we awcept your insurance progrdIn subject to the following: Please chec1r. rite desired Optimu: Specific Excess Workers Compensation OOption I - Midwest Employers Casualty Corporation o $1,000,000 SIR Deposit Premium $168,035 $25,000,000 Limit o $1,000,000 SIR Deposit Premium $184,049 Statutory ~tion D - Safety National Casualty Corporation .f2] $1,0001000 SIR Deposit Premium $158,377 Statutory o Two year option Deposit Premimn S316,753 o $500,000 SlR Deposit Premium $481,670 Statutory Accidental Death and Dismembenneot ~ Hartford Life and Accident Iosurance Co Annual premium $2,822 TRIA EXPIRATION DISCLOStJRE Tbc Terrorism. Risk IDsDnnce Ad (TRIA) It set to ezplre OD December 31, 20t5. TheFe ia ao certaJaty of ate....... III.. tile cover. provided by your i...rers may 01' may not eKtead beyond Deeember 31. ZOos. III dle eveat you b.ve Ioaa COY_UII or other ~DtrH..ll obU..IIo... requb1Da that terrorism ClOVemp be ..'ataiDcd tbro..bobt tbe duntioD .(your poDe)' period, we reco.lDead dI., . ....nte "sr.1Id AIoae" lerrHima polley be purcbased to ..tiafy thOle obUJ.tht.... It is understood this proposal provides only a summary of the details; the policies will contain the actual cover8.JeS. We confirm the values, schedules, and otl1er data contained in the proposal are from 0Uf records and acknowledge It is our responsibility to see that they are maintained accurately. Please provide us with a bindcr(s) and invoice(s) for the coverages agreed upon at~. .eaz~l~icst coo. vcni)mc .c. t-- --l_ DI",fQ M. Spf!har Broker's SiiJ1ature J ent. ture Chairman/Mayor September Dated Dated 28, 2005 iv;ONRO~ COUNTY ATTORNEY APPR,~VE"D AS TO FORM: ~ ..( . ...J€::/?( /1.1....~J,L..:!....e~ SAJ6~N M. GRI LEY .I\sr STANT COUNTY ATTOfltNI=V N:\rUPI.PIlOP\MONROc.BCC\ZOO'.2006\WC at AJ)U f'nIpORl 080~.duc: O~t-04-05 11:25A MONROE COUNTY 305-295-4301 P.05 MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CLIENT AUTHORIZATION TO BIND COVERAGE Aftei- careful consideration of yout Exces.c; Workers' Compensation and Accidenlal Death and Dismemberment proposal dated September 2, 2005, we accept your insurance program subject to the following: Please check the desired Opti(m8: Specific Excess Worlte:rs Compensation OOption I - Midwest EmpJoyen Casualty Corporation o $1,000,000 SIR Deposit Premium 5168,03S 525,000,000 Limit o 51,000,000 SIR Deposit Premium $184,049 Statutory mOption IT - Safety National Casualty Corporation sa 51,000,000 SIR Deposit Premium $158,377 Statutory o Two year option Deposit Premium 5316,753 o $500,000 SIR Deposit Premium $481,670 Statutory Accidental Death and Dismemberment ~ Hartford r life and Accident Insurance Co Annual premium $2,822 TlUAI:XPlRATION DISCLOSURE The l'errorllm RUk I..urauee Act (I'RlA) Is set to elpire on December 31, Z.,. Tbere is DO certafDty of ut.DIJoa, tbus tile cover.. JIf1Jvided by your ins........ may or ...y Dot n:tead beyond December 31, 1005. In tile event yOII bave loan co\'eaaatl or other contractual obUaad... requlrbaa tIuIt terrorism coverap be ..i.biDed tIInHllhout the du...Cioa 0' yo..r poIIry period, WI reco,..mead ".t a Mpante ..Stand Alone" ternrfJm poliey be purtb"ed to .atisf)' tIIoR obU.atioal. It it lDIdcrstood thi,; proposal provides only a swnmary of the details; the policies will contain the aclUal coverages. We confirm the values, schedules, and other data contained in the proposal are from our records and acknowledse it is our respomibility to see that they are maintained accuratc:ly. Please provide us with a binder(s) and invoicc(s) {or the coverages agreed upon at liest con~ence. Uixie M. Spehar Broker's Signature Ilyor a rman Dated September 28 2005 D eel MEftJReC OO~tffy ATfOANI!Y at APPROVED AS TO FORM: ~.1 '~~~A;~: G-RI;{{e~ T ASSISTANT COUNTY ATTORNEY N:\l'UBU'ROP\MONROlO.BCC\200S.2006\Wr. & ADD Propn.~.1 OIlOS.doc