Item Q06 �S Q.V
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County of Monroe
�y,4 ' �, "tr, BOARD OF COUNTY COMMISSIONERS
County �a� Mayor Michelle Coldiron,District 2
�1 nff `ll Mayor Pro Tem David Rice,District 4
-Ile Florida.Keys Craig Cates,District 1
Eddie Martinez,District 3
w Mike Forster,District 5
County Commission Meeting
September 15, 2021
Agenda Item Number: Q.6
Agenda Item Summary #8616
BULK ITEM: Yes DEPARTMENT: Risk Management
TIME APPROXIMATE: STAFF CONTACT: Maria Slavik (305) 295-3178
N/A
AGENDA ITEM WORDING: Approval of proposal from Florida League of Cities to renew the
2021-2022 liability insurance and excess workers' compensation insurance program for an annual
premium of $519,360 and authorization for Risk Management Administrator to sign all necessary
documents. The premium represents an increase of$66,215 (14.6%).
ITEM BACKGROUND:
The policy provides insurance coverage for sums which the County may become legally obligated to
pay as a result of bodily injury, property damage, or personal injury arising out of its operations.
The policy also provides for reimbursement percentage of legal fees incurred in the defense of
criminal, civil or ethics proceedings. The Excess Worker's Comp Policy provides coverage
consistent with chapter 440, Florida Statutes.
A portion of the premium increase is due to the County increasing the number of their vehicles from
532-540. Another contributing factor is the increase in payroll from $80,324,345 to $90,577,042.
Some of premium relief was reflected in the portion of the premium attributable to the workers'
compensation excess insurance, because the County's Experience Modification Factor remained the
same 1.21. The Experience Modification Factor is an indicator of the organization's historical
Worker's Compensation loss experience. The Experience Modification Factor has reduced
significantly over the past seven years.
PREVIOUS RELEVANT BOCC ACTION:
Coverage was previously bid in 2018. The BOCC approved the last renewal with FMIT on
September 16, 2020.
CONTRACT/AGREEMENT CHANGES:
Renewal. Annual premium increase of$66,215. (14.6%).
STAFF RECOMMENDATION: Approval to accept insurance proposal from Florida League of
Cities at a cost of$519,360.00 to be paid in quarterly installments for the period of October 1, 2021
to September 30, 2022, and approval for Risk Management to execute all necessary documents.
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Q.6
DOCUMENTATION:
0386.Monroe County BCC.21 22 Mini Renewal
Interisk Corporation Recommendation Letter 10-1-21-9-30-22
FINANCIAL IMPACT:
Effective Date: 10-1-2021
Expiration Date: 9-30-2022
Total Dollar Value of Contract: $519,360.00
Total Cost to County: $519,360.00
Current Year Portion: $453,145.00
Budgeted: Yes
Source of Funds: Internal Service Fund/Primarily Ad Valorem
CPI: N/A
Indirect Costs: N/A
Estimated Ongoing Costs Not Included in above dollar amounts: N/A
Revenue Producing: No If yes, amount:
Grant: No
County Match: No
Insurance Required: No
Additional Details:
09/15/21 503-08502 RISK MGMT INSURANCE $261,167.00
09/15/21 501-07501 WORKERS COMP ADMIN $258,193.00
Total: $519,360.00
REVIEWED BY:
Cynthia Hall Completed 08/24/2021 8:10 PM
Bob Shillinger Completed 08/30/2021 11:26 AM
Purchasing Completed 08/30/2021 11:30 AM
Budget and Finance Completed 08/30/2021 11:33 AM
Liz Yongue Completed 08/30/2021 3:48 PM
Board of County Commissioners Pending 09/15/2021 9:00 AM
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Q.6.a
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C'i e r,t,`r t fit-Communities 'v'v" Cc,,f Harr'te...
RENEWAL QUOTE FOR 2021-2022
Monroe County Board of County Commissioners
FMIT 0386
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Coverage Self Insured Retention Limit Premium U
General/Professional Liability $200,000 $5,000,000 $175,050 . .
Automobile Liability $200,000 $5,000,000 $62,794
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Automobile Physical Damage Per Schedule $23,323
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Workers' Compensation $500,000 Total Payroll
Experience Modification 1.21 10/1/20 $90,577,042 $258,193
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TOTAL FMIT PREMIUM $519,360
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`Includes: Drug Free Credit: Yes
Safety Credit: Yesco
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Note: Coverage summaries provided herein are intended as an outline of coverage only and are
necessarily brief. In the event of loss, all terms, conditions, and exclusions of actual Agreement and/or m
Policies will apply.
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InteriskCorporation Risk Mgt.&Employee Benefits
Consultants
1101 Red Maple Circle N.E.,St. Petersburg, Florida 33703-6318 — telephone: 813-287-1040
www.interisk.net
August 16,2021
Ms.Maria Slavik,CPM W
Risk Administrator
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Monroe County
1111 1211,Street 04
Suite 408
Key West,Florida 33040 J
Mr. MarkA. Gongre N
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Safety&Workers Comp Administrator '
Monroe County �
1100 Simonton Street
Suite 2-268 N
Key West, Florida 33040
Subject: Renewal of Florida Municipal Insurance Trust(FMIT)program
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Maria and Mark:
I have reviewed the proposal from the Florida Municipal Insurance Trust(FMIT) for Monroe County's
2021/22 insurance program submitted by the Florida League of Cities. The coverages included in the E
program are as follows: 0
➢ General Liability
➢ Cyber Liability c
➢ Public Officials Liability (the FMIT refers to this coverage as Professional Liability)
➢ Automobile Liability 0
➢ Automobile Physical Damage 0
➢ Excess Workers' Compensation U
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The premium for the 2020/21 policy period amounted to $453,145. The FMIT has proposed to renew the
program for an annual premium of$519,345. Following is a side-by-side comparison of the 2020/21
premiums and those being proposed for the 2021/22 program. The premiums reflected for the 2020/21
police year are those at policy inception and do not include any adjustments the County may have made m
during the year.
U
Packet Pg. 3158
Percent
Coverages 2020/21 Premium 2021/22 Premium Increase/(Decrease) of
Increase
General Liability $155,641 $175,050 $19,409 12.5
Incl.in General Incl.in General
Cyber Liability N/A N/A
Liability Liability
Public Officials Incl.in General Incl.in General N/A N/A _
Liability Liability Liability
Automobile Liability 57,702 62,794 $5,092 8.1
Automobile Physical
Damage 23,323 23,349 $(26) <(1.0)
Comoensation 216,453 258,193 $41,740 19.3 N
Total $453,145 $519,360 $66,215 14.6 U
While there will be some minor changes to the terms and conditions of FMIT's 2021/22 policy,it has been
confirmed that none of the changes will materially impact the coverages being provided. It has been N
confirmed that the 2021/22 coverages will not include any COVID-19 or Communicable Disease
exclustions or limitations.
N
This will result in the County's annual premium increase by$66,215 (14.6%). The majority of this
increase is due to the County increasing its payroll by over$10 million. This impacted both the General
Liability and Workers' Compensation premium. One of the key underwriting factors the FMIT uses in
establishing the General Liability premium is payroll. In addition,the County added 8 new vehicles to the
County's Vehicle schedule.
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It is believed that the proposed FMIT premium for the 2021/22 policy term is attractive and it is
recommended that the County renew its General Liability, Cyber Liability,Public Officials Liability,
Automobile Liability Automobile Physical Damage and Excess Workers' Compensation coverage for the
policy term of 10/1/21 to 10/1/22 as being proposed by the FMIT. E
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Please do not hesitate to call if you have any questions or concerns.
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Cordially, U
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INTERISK CORPORATION u
Sidney G.Webber
CPCU,ARM
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