Pursuant to § 1.1 of general conditions of part II of the agreement (pages 21 through 22), each participating entity is required give the Fund Manager written notice of claims and losses likely to exceed its retained limit.
(A) In the event of an occurrence or wrongful act likely to exceed a participating entity’s retained limit (pages 17 and 19 of the agreement), such written notice shall be given to the Fund Manager within 30 days after constructive notice to the participating entity of the occurrence or wrongful act.
(B) In the event of claims or lawsuits against a participating entity, immediate written notice shall be provided to the Fund Manager within 48 hours after receipt of claims or law suits for the following:
(1) All claims or lawsuits within coverage A (general liability) that are reserved by a participating entity for 50% or more of the participating entity’s retained limit as listed in § 1.2 of coverage A of part II of the agreement (page 17);
(2) All claims or lawsuits within coverage B (director, officer and employee liability protection) that are reserved by a participating entity for 50% or more of the participating entity’s retained limit as listed in § 1.4 of coverage B of part II of the agreement (page 19);
(3) All claims or lawsuits for any occurrences involving paraplegics, quadriplegics, brain damage, death, extensive burns, spinal cord injury, paralysis, sensory organ and/or nerve injury or loss of limb;
(4) All claims or lawsuits for environ mental impairment arising out of toxic torts;
(5) All claims or lawsuits from any occurrence that results in ten or more individual injuries, unless all injuries are minor; and
(6) All claims or lawsuits which are likely to exceed a participating entity’s retained limit (pages 17 and 19 of the agreement).
(C) The written notice required in paragraph 7(b) shall be provided by the participating entity to the Fund Manager no later than 48 hours following a claim or lawsuit against the participating entity seeking damages due to an alleged occurrence or wrongful act. In accordance with § 1.1(E) of general conditions of part II of the agreement (page 22), the participating entity shall, within 48 hours after receipt, forward. to the Fund Manager a copy of every such claim or demand, notice, summons or other process received by it or its representative.
(D) The written notice to the Fund Manager required in paragraphs 7(a) and 7(b) shall be provided on Form A (attached). In addition, this written notice shall be updated at least once each year on Form B (attached). Such updates shall be due annually on all previously reported claims or lawsuits. For claims or lawsuits, first reported to the Fund Manager between January 1 and June 30 of any occurrence year, such updates shall be due on April 1 of the following and all subsequent years. For claims or lawsuits first reported to the Fund Manager between July 1 and December 31 of any occurrence year, such updates shall be due on October 1 of the following and all subsequent years. Closed claims and final settlements or judgments of lawsuits shall be reported to the Fund Manager on Form B within 30 days.
(E) Fund Advisors shall be responsible for coordinating submissions of claim notices and updates (Form A and Form B) from their respective participating entities.
(F) The Fund Manager reserves the right to require more frequent or more detailed reporting of any potential claim or loss that is likely to exceed a participating entity’s retained limit, including, but not limited to, submission of pleadings and other documentation upon which payment from the fund may be requested by a participating entity.
(Ord. MET 93-21, passed 11-9-1993)