HomeMy WebLinkAboutAgenda Report - February 2, 1983PREMIUM FOR Council had earlier received information pertaining to agenda
FSS COVERAGE item K-4 - "Approve premium for excess coverage for liability
FOR LIABILITY policy-. Following discussion on the matter, Council on
POLICY APPROVED motion of Councilman Snider, Mirphy second, approved payment
of the premium for excess coverage for liability policy with
Protective National in the amount of $29,500 and Twin City in
the amount of $11,000 for a total of $40,500, which premium is
effective 2/2/83 for a one year period.
-4-
CAEIFORNIA INSTITUTIONAL. INSURANCE ADMINISTRATORS
A division of Corroon d: Black Corporation
3580 5th Avenue; P.O. Box 33328
San Diego, California 92103-5082
619.297.6820
January 14, 1983 ;
Mr. Jim Elson
Max Elson Insurance, Inc.
P.O. Box 188
Lodi, California 95240
Re: City of Lodi, California
Public Entity liability Insurance
Dear Jim:
First of all, many thanks for your underwriting submission on the captioned.
Second of all, I'm stumped. Had the City's carrier been Transcontinental
or Admiral, as in the past, then I could have offered you alternative pro-
posals which in terms of quality of carrier, broadness of coverage, and
economy of premium, just would not be denied.
But it turns out I'm a year too late because last renewal you had the very
good sense to choose Protective National as primary liability insurer for
City of Lodi. I have such higft regard for that insurer that I automatically
place all my excess coverage with them.
Simple professionalism obliges me to tell you -- stay right where you are;
negotiate an "as is" renewal with Protective National. Lodi is w-11 server
by and well off with that competent competitive insurer..."I! It works, clon't
fix it."
Jim, in six policy years you've reduced premiums for Lodi by 73%, from $171,532
to $46,850, and improved coverages in the process. That awesome pre,nium
reduction cost your firm tens of thousands of dollars in commission income.
But you did it because it was professionally correct to do so.
The same spirit requires me to advise you to renew with Protective... Darn it!
Thomas Carlyle said it best: "There is great wisdom in a man's knowing when
to have done."
Thank you for your chance to compete.
With appreciation,
Phil Dwi nel l
Vice President
PD:bjw
January 28, 1983
Mr. Jerry L. Glenn
Assistant City Manager
CITY OF LODI
221 M. Pine
Lodi, CA 95240
Re: Self Insured General Liability Program
Dear Jerry:
We are faced Stith �an unusual dile»ma..;on this year's
renewal
Of the�three carriers that we're invited to`=,b.id, one
deuj ined per attached, and -`two responded, bo h with
extremely competitive quotes.
Out existing carri'er'spEe� i
T` Protgctivq ;. $J.000,00(k;bcess o "IOQ,0Q0 i'siR< $ 1500
2.Twih� City£ =20000;xtessf A. 000
Total 0.500
The sec'hnd quote is from the Transcontip�'tal with a
total Iii -ft., -of ,. $20;-000;000 Excess of i 5100,000 SIR
for an annua%F'bremtum of 533.0.5:0 z�`
Even though Transcontinental is $7,450 lower, I feel
that our past dealings with this carrier would indi-
cate some consideration be given to accepting this
quote.
You will recall that Transcontinental was the City's
carrier during the February 2, 1980-81 policy period.
It was under this policy that the City was presented
with a claim resulting from the death of an indivi-
dual while incarcerated in the City Jail - a claim
that was subsequently denied by the Transcontinental
on grounds of an exclusion than related to the pro-
viding of medical care.
832 SOUTH FAIRMONT AVENUE 9 LODI. CALIFORNIA NUI 9 P.O. BOX i00 • 200/38S,1W —
All saemed in accord that the intent of this exclusion
was to apply to hospitals and.doctors, which was ulti-
mately clArified by endorsement.
Transcontinental would not, however, backdate this en-
dorsement to cover this and to this date, the City is
still standing alone on this loss.
Jerry, under normal circumstances I do not think we
would have any problems making a recommendation to the
Council due to the quotes, but I do think we need to
discuss this prior to binding coverage.
Best regar s
JI ELSON
JE;bjd
Encl.
N
A,
11
} C I TY OF I.OD I
REVIEW OF SELF INSURED LIABILITY PROGRAM
VATE
AIL Aih-lx
} C I TY OF I.OD I
REVIEW OF SELF INSURED LIABILITY PROGRAM
VATE
IOMPAPIY
NO. OF
PD. LOSSES
RESERVES
POLICY NO.
_ LIMITS
SIR
PREM.
CLAIMS
&
EXPENSES
OUTSTANDIIV°y
2-2-77/78
ADMIRAL
$ 3009000
S 25,000
$85,532
56
$
24,081
S 6,614
7CM0351
MUTUAL FIRE
2009000
N/A
25,825
EL1002-5
INS. CO.
59000,000
WA
609175
ST. OF PENN.
`
4176-7138
`
2-2-78179
ADMIRAL (60%)
$ 500.000
$ 509000
$86,466
43
$
38,197
S 639246
1ST -ST.
INCL.
INCL.
INCL.
INS. CO. (40%)
i
78-WP3008
NEW HAMPSHIRE
5000000
N/A
47,250
5178-0801
2-2-79/80
ADMIRAL
i 190009000
$1009000
586,430
60
S
499722
$131,299
CM0731
AMBASSADOR
50009000
WA
24,352
SCO85167
°
2-2-80 81
TRANSCONTI-
$ 590009000
$100,000
$659250
34
$
23,764
S 79,437
NENTAL
SXP j84273
81/8'
i
TRANSCONTI-
$ 5x0009000
$100,000
$60.,000
29
i
81181
S 22,933
NENTAL
SXP 3584200
LLOYDS
45,0009000
WA
3,000
1W30514
.'R0TEL i t VE N.% i .
i 1-, 0009 000
$100,000
$34,750
28
S
764
$ 149011
CAL 160-49-36
AM. CENTENNIAL
990009000
N/A
89600
CC -OU -28-17
INTEGRITY
109000,030
N/A
3,500
AL 400-0831
CITY OF NODI
SELF INSURED WORKERS COMPENSATION PROGRAM
COMPANY
POLICY NO. TERM LIMIT
EMPLOYERS 1-1-77/78 $5,000,000
REINSURANCE °
C-21153
to 1-1-78/79
of 1-1-79/
t9
/t
of
C-27245
7/1/79
7-1-79/80
7-1-80/81
7-1-81/82
7-1-82/83
it
of
to
of
RATE
.5315
. 5929
.5315
.5896
.500
.2752
.2473
PREMIUM
$229362.
26,625.
12,438.
30t771.
30,001.
17,104.
14,275. DEP.
.