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A Resolution authorizing the renewal of the Property and Casualty Insurance Program, which includes, but is not limited to, property, general liability, automobile liability, public officials errors and omissions, excess workers’ compensation, crime liability, cyber liability, terrorism property and liability, as well as other ancillary lines of insurance coverage and insurance broker fees through Arthur J. Gallagher Risk Management Services, Inc., for a not to exceed amount of $ 2,147,777, for the policy period of May 1, 2018 to May 1, 2019. (Funding Source: Insurance Fund)
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The City’s Agent of Record, Arthur J. Gallagher Risk Management Services, Inc. (“Gallagher”), has solicited and received quotes from various insurance carriers for the desired insurance policies shown below. The City Commission named Gallagher as the City’s Agent of Record awarding Gallagher bid number RFP 2015.09.11- Risk Management & Insurance Brokerage Services for the Property and Casualty Lines of Insurance Coverage.
Coverage limits for all lines of insurance have remained the same except for cyber liability, which will increase from $3,000,000 to $5,000,000. The City’s property insurance program premium increased by 13%, of which 4% was attributable to increased property values and 9% was attributable to a rate increase as market conditions adjusted after Hurricane Irma. The City’s general liability and workers’ compensation insurance carrier (Lloyds of London/BRIT) offered a flat renewal rate and the City’s excess workers’ compensation insurance carrier (Midlands) offered a 3% insurance premium reduction and 2-year rate guarantee. Although the City increased its cyber liability coverage from $3,000,000 to $5,000,000, the City was able to obtain a 37% premium reduction for its cyber liability coverage (Lloyds of London /BRIT).
The total cost to renew the various insurance policies with the increased coverage for cyber liability is $141,785 more than the co...
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