(A) Owners of automobiles for hire shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the owner of automobiles for hire, his/her agents, representatives, employees or subcontractors.
(B) Minimum scope of insurance. Coverage shall be at least as broad as:
(1) Insurance Services Office Commercial General Liability coverage (occurrence Form CG 0001).
(2) Insurance Services Office Form Number CA 0001 covering Automobile Liability, code 1 (any auto).
(3) Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance.
(C) Minimum limits of insurance. Contractor shall maintain limits no less than:
(1) General liability (including operations, products, and completed operations): $1,000,000 per occurrence for bodily injury, personal injury and property damage. If commercial general liability insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.
(2) Automobile liability: $1,000,000 per accident for bodily injury and property damage.
(3) Workers' Compensation: As required by the State of California.
(4) Employer's liability: $1,000,000 per accident for bodily injury or disease.
(D) Deductibles and self-insured retentions. Any deductibles or self-insured retentions must be declared to and approved by the city. At the option of the city, either; the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the city, its officers, officials, employees and volunteers; or the owners for automobiles for hire shall provide a financial guarantee satisfactory to the entity guaranteeing payment of losses and related investigations, claim administration, and defense expenses.
(E) Other insurance provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provision:
(1) Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after 30 days' prior written notice by certified mail, return receipt requested, has been given to the city.
(2) Owners of automobiles for hire must submit with the annual permit application a current Inspection Certificate completed by any automotive repair dealer registered with the Bureau of Automotive Repairs of the State of California for each automobile proposed to be for hire. This certificate shall be considered current if completed no more than 60 days before the day it is tendered with an application.
(F) Acceptability of insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII. Exception may be made for the State Compensation Insurance Fund when not specifically rated.
(G) Verification of coverage. Owners of automobiles for hire shall furnish the entity with original certificates effecting coverage required by this clause. All certificates are to be received and approved by the city before work commences. The city reserves the right to require complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications at any time.
(H) Drivers. Owners of automobiles for hire shall include all drivers as insureds under its policies or shall furnish separate certificates and endorsements for each driver to the city for review and approval. All coverages for drivers shall be subject to all of the requirements stated herein.
(Ord. 2007-03 § 2, 2007)