|City of Independence|
|AGENDA ITEM COVER SHEET|
Approval is requested to accept the proposal submitted from Philadelphia Insurance Companies by Lockton Companies, Inc. for a liability insurance program for the Silverstein Eye Centers Arena, effective, February 22, 2017, with an estimated annual premium of $59,500.
Staff recommends approval of the insurance program submitted from Philadelphia Insurance Companies (Philadelphia) by Lockton Companies, Inc. (Lockton).
The existing Management Agreement for the Silverstein Eye Centers Arena (Arena) requires Comcast Spectacor (Comcast) to provide liability coverage regarding the operation of the Arena. The Law Department recently reviewed the liability insurance program for the Arena and found that there are potential claims that the City of Independence (City) could be liable for completely or shared with Comcast. To transfer the risks of owning the Arena, the City needs to purchase a separate liability insurance since the City’s existing liability insurance program with the Missouri Public Entity Risk Management Fund (MOPERM) does not provide coverage for the Arena.
Staff worked with Lockton, the City’s Broker of Record, and they requested liability insurance proposals for the insurance market. Philadelphia was the only insurance to provide Lockton with a proposal. For an estimated annual premium of $59,500, Philadelphia will provide general liability insurance coverage, auto liability and an excess liability program. This program has a $10,000 deductible. Please see the attached insurance quote summary for specific coverage limits.
Payment will be made from the Events Center Fund
|Department: Finance||Contact Person: Terry A. Hartwig|
|City Managers Office||Approved|
|City Clerk Department||Approved|
|Council Action: ||Council Action: Accepted|