A. A grantee, at its sole cost and expense, shall purchase and maintain not less than the commercial general liability insurance, business vehicle liability insurance, and workers compensation insurance required by this Chapter, and each franchise agreement shall require each grantee to satisfy insurance requirements that the City may establish from time to time.
1. Commercial general liability insurance: policy limits shall be no less than five (5) million dollars per occurrence for all coverages and ten (10) million dollars general aggregate. The City and its elected and appointed officials, employees, agents and volunteers shall be added as additional insured. Coverage shall apply on a primary non-contributing basis in relation to any other insurance or self-insurance, primary or excess, available to the City or any officer, employee, agent or volunteer of the City.
a. Coverage shall not be limited to the vicarious liability or supervisory role of any additional insured. There shall be no cross liability exclusion and no contractor limitation endorsement. In addition, there shall be no endorsement or modification limiting the scope of coverage for liability arising from pollution, explosion, collapse, underground property damage or employment-related practices.
b. Any umbrella liability insurance over primary provided to meet primary insurance limits shall apply to bodily injury, other personal injury or property damage at a minimum, and shall include a "drop down" provision providing primary coverage for liability not covered by primary policies but covered by the umbrella policy. Coverage shall be as broad as any underlying coverage. Coverage shall be provided with defense costs payable in addition to policy limits. Policy limits shall be not less than five (5) million dollars per occurrence and in the aggregate above any limits required in the underlying policies.
2. Business vehicle coverage shall be no less than one (1) million dollars per accident and in the aggregate. The policy shall be scheduled as underlying insurance to any umbrella policy required above for a total limit of no less than one (1) million dollars each accident.
3. The grantee shall provide workers' compensation statutory benefits as required by law. Employer's liability limits shall be no less than one (1) million dollars per accident or disease. Employer's liability coverage shall be scheduled under any primary or umbrella policy described above. Unless otherwise agreed, this policy shall be endorsed to waive any right to subrogation as respects the City or any of City's elected or appointed officials, employees, agents or volunteers.
B. Additional insurance requirements:
1. All insurance shall be submitted in a form approved by the City Attorney.
2. Grantee's insurance shall be written by insurers authorized to do business in the State, with a minimum "Best's Insurance Guide" rating of AA.
3. Coverage shall not be limited to the specific location or individual or entity designated as the address of the project.
4. Each grantee shall ensure that coverage provided to meet these requirements is applicable separately to each insured, and that there will be no cross liability exclusions that preclude coverage for suits between grantee and the City, between the City and any other named insured or additional insured under the policy, or between the City and any party associated with the City or the City's officers, employees, agents or volunteers.
5. The grantee will provide written proof to the satisfaction of the City Attorney that policies of insurance required herein expiring during the term of its franchise have been renewed or replaced with other policies providing at least the same coverage, and satisfying any other insurance requirements that may be applicable. Such written proof shall be furnished at least thirty (30) days before expiration or termination of coverage.
6. No general or auto liability insurance coverage provided in connection with the grantee's franchise shall prohibit grantee, and grantee's employees or agents, from waiving the right of subrogation prior to a loss.
7. A grantee shall provide immediate notice to the City of any claim or loss against grantee that includes the City as a defendant. The City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve the City.
C. A grantee shall file the required original certificate of insurance with endorsements or other satisfactory proof of insurance prior to the effective date of its franchise; the certificate shall be subject to approval by the City Attorney's office. In the case of franchises in effect as of the effective date of this Chapter, certificates of insurance shall be provided within sixty (60) days of the effective date of this Chapter, unless the franchise limits amounts and proofs of insurance to those specified in that existing franchise.
D. The grantee shall require all subcontrators operating in the City under its direction or authority to maintain at all times the insurance requirements contained in this Section. The subcontractor shall provide proof of such insurance coverage to the City prior to commencement of any work.
(Ord. No. 2001-014 § 2)