Item C16
. BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: September 16, 2009 Division: Employee Services
Bulk Item: Yes X No - Department: Risk Management
Staff Contact Person: Maria L. Slavik X3178
AGENDA ITEM WORDING: Approval to accept renewal with VFIS to provide Portable Equipment
and Emergency Apparatus Insurance.
ITEM BACKGROUND: The policies provide insurance coverage for Emergency Vehicle and
Portable Equipment damages and/or losses.
PREVIOUS REVELANT BOCC ACTION: American Alternative Insurance Company through the
VFIS Insurance Agency is specialized especially for portable equipment used in firefighting,
ambulance and rescue operations.
CONTRACT/AGREEMENT CHANGES: The premium of$50,551.16 to be paid in four quarterly
payments. This represents an decrease of $5,252.51.
ST AFF RECOMMENDATIONS: Approval to accept proposal from VFIS Insurance Agency cost of
$50,551.16 to be paid in four (4) quarterly installments.
TOTAL COST: $50,551 INDIRECT COST: BUDGETED: Yes X No -
COST TO COUNTY: $50,551 SOURCE OF FUNDS: - Ad va10rum
REVENUE PRODUCING: Yes - No-X AMOUNT PER MONTH - Year
-
~.\\ o~asinglL
APPROVED BY: County Atty X Risk Management X
DOCUMENTATION: Included -K- To Follow_ Not Required _
DISPOSITION: AGENDA ITEM #
Revised 2/27/01
-
#
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
CONTRACT SUMMARY
Contract with: VFIS Contract #
Effective Date: 10/1/2009
Expiration Date: 9/30/10
Contract Purpose/Description:
Portable Equipment and Emergency Vehicle Physical Damage
Contract Manager: Maria L. Slavik 3178 Employee Services #1
(Name) (Ext.) (Department/Stop #)
for BOCC meeting on 09-16-2009 Agenda Deadline: 9/!12009
CONTRACT COSTS
Total Dollar Value of Contract: $ 50,551 Current Year Portion: $
Budgeted? YesC8J NoD Account Codes: 503-08502-530-450-_
Grant: $ - - - -
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County Match: $ - - - -
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- - - -
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ADDITIONAL COSTS
Estimated Ongoing Costs: $_/yr For:
(Not included in dollar value above) (eg. maintenance, utilities, janitorial, salaries, etc.)
CONTRACT REVIEW
Changes Date Out
Date In Needed if ~Viewer
Division Director '61L-Cft YesO No' ,.~., _ _ ~
RiskMana~ment ~ YesONoEJ
O.~jPur ~~g MO'l YesONod -.~-.:.~
County Attorney 8- (I.{ - 01 YesO NoG" ~ 1M
Comments:
OMB Form Revised 2/27/01 Mep #2
r
{~~ '" ,---...-.- BOARD OF COUNTY COMMISSIONERS
OK~~IY ~o2~~E Mayor George Neugent, District 2
Mayor Pro Tem Sylvia J. Murphy, District 5
Kim Wigington, District 1
Heather Carruthers, District 3
(305) 294.4641 Mario DiGennaro, District 4
Office of the Employee Services Division Director . ~'\
The Historic Gato Cigar factory
1100 Simonton Street, Suite 268
Key West, fL 33040 i~
(305) 292-4458 - Phone
(305) 292-4564 - fax
'\:.~""': '.~_~... ~~ 1
--..., :_~...... '
TO: Board of County Commissioners
FROM: Teresa E. Aguiar, ~J
Employee Services Direct . \
DATE: August 13, 2009
SUBJ: Insurance Renewal- with VFIS (Volunteer Fire Insurance Service)
Portable Equipment & Emergency Apparatus
This item requests approval to accept renewal with the American Alternative Insurance Company through
VFIS Insurance Agency to provide Portable Equipment and Emergency Apparatus Insurance coverage at
a premium of $50,551.16 to be paid in four quarterly payments for the 2009/1 0 policy term. This
insurance provides coverage for damages and/or loss to scheduled Emergency Vehicles and Portable
Equipment.
The Emergency Vehicle policy is designed to provide first party physical damage coverage for the
County's Fire and Emergency vehicles. With some of the covered vehicles on the policy having values
of$500,000 and more, it is believed that the amount is relatively low cost protection.
The Portable Equipment policy is primarily designed to cover the mobile radios used by the fire
departments.
The premiums have an overall decrease of $5.252.51. To date, the pro!'Tfam offered by American
Alternative/VFIS is the only pro!,Tfam that offers affordable coverage for the County's emergency vehicles
and equipment. The County would receive few, if any, alternative insurance pro!,Tfams that can compete
with the VFIS pro!,Tfam and it is recommended that American Alternative/VFIS be viewed as a sole
source and not seek competitive bids until other insurers otTer a competitive pro!,Tfam. It is therefore the
recommendation that the Board approve the request to renew these policies as proposed. If you have any
questions on this item. please do not hesitate to contact me at X4458.
.
I NTERISK CORPORA TION
Consultants 1111 North Westshore Boulevard
Suite 208
Risk Management Tampa, FL 33607-4711
Employee Benefits Phone (813) 287-1040
Facsimile (813) 287-1041
August 12, 2009
Ms. Maria Slavik, CPM
Risk Administrator
Monroe County
1100 Simonton St.
Suite 268
Key West, Florida 33040
Subject: Emergency Vehicle Physical Damage and Portable Equipment Damage Insurance
Dear Maria:
The County's Emergency Vehicle Physical Damage and Portable Equipment Damage policies are
scheduled to expire on October I, 2009. Currently the coverages are provided by the American Alternative
Insurance Company through the VFIS Insurance Agency. Both of these policies provide broad coverages
and have served the County well in years past. The current premium for the Emergency Vehicle Physical
Damage policy is $49,556.66 and the current premium for the Portable Equipment Damage policy is
$6,247.01.
I have reviewed VFIS' proposal for the renewal of these two policies. American Alternative has proposed
to renew these policies with comparable terms and conditions for an annual premium of$46,060.04 for the
Emergency Vehicle Physical Damage policy and $4,490.52 for the Portable Equipment policy. The
following table compares the proposed renewal premiums for these policies as compared to the expiring
policies.
Policy 2008/09 Premium 2009/10 Proposed Increase/ (Decrease) Percentage
Premium Increase/(Decrease)
Emergency
Vehicle Physical $49,556.66 $46,060.64 $(3,496.02) (7%)
Damage
Portable $6,247.01 $4,490.52 $(1,756.49) (28%)
Equipment Policy It is believed that the proposed renewal premiums for both of these policies are attractive. It is therefore
recommended that Monroe County renew its Emergency Vehicle Physical Damage and Portable
Equipment insurance policies with American Alternative as proposed by VFIS for the 2009/1 0 policy term.
Please give me a call if you have any questions or wish to discuss this issue in more detail.
Cordially,
INTERlSK CORPORA nON
() j tv;~
~/ Sidney G. Webber
CPCU, ARM
CC: Teresa Aguiar