(A) Before beginning operation of any vehicle for hire, the operator shall file with the Clerk evidence of financial responsibility in the form of an indemnity bond with a corporate surety authorized to do business in the state, or an insurance policy issued by a company authorized to do business in the state, to cover possible liabilities arising out of the operation of each permitted vehicle for hire.
(B) The minimum limits of liability of such evidence of financial responsibility shall be as follows:
To cover the operator's legal liability for personal injury or death resulting therefrom, for each vehicle for hire, the owner shall maintain primary automobile insurance in the amount of at least $1,000,000 because of bodily injury to or death of one or more persons and injury to or destruction of property of others in any one accident. (Iowa Code § 325A.6 (2017))
(C) Every bond or insurance policy filed with the Clerk shall have attached thereto the following endorsement:
It is understood and agreed that before the policy, or bond, to which this endorsement is attached may be suspended or canceled, the City of Clinton, Iowa, will be given ten days' prior written notice of such proposed suspension or cancellation.
(D) Such bond or insurance policy shall be issued for a period to cover the life of the permit applied for. Failure to keep such insurance policy or bond in full force and effect shall be a cause for immediate revocation of the permit.
(E) Proof of financial responsibility (insurance or bond) shall be provided to the Clerk each year simultaneously with the owner's application for renewal of permit and vehicle inspection reports. No permit shall be renewed unless proof of financial responsibility has been provided to the Clerk as required by this section.
(Ord. 2561, passed 1-9-2018) Penalty, see § 114.99