(A) A permittee shall obtain and maintain in full, force and effect for the duration of a permit the following insurance covering all insurable risks associated with its ownership or use of its system:
(1) A comprehensive general liability insurance policy, including completed operations liability, independent contractors liability, contractual liability coverage and coverage for property damage from perils of explosion, collapse or damage to underground utilities, commonly known as XCU coverage, in an amount not less than $5,000,000.
(2) An automobile liability insurance policy covering any vehicles used in connection with its activities under its permit in an amount not less than $1,000,000.
(3) Workers' compensation and employer's liability insurance with statutory limits.
(B) The city shall be named as an additional insured in all applicable policies. All insurance policies shall provide that they shall not be canceled or modified unless 30 days prior written notice is given to the city. A permittee shall provide the city with a certificate of insurance evidencing such coverage as a condition of issuance of the permit and shall maintain on file with the city a current certificate. All insurance shall be issued by insurance carriers licensed to do business by the state or by surplus line carriers on the Michigan Insurance Bureau approved list of companies qualified to do business in Michigan. All insurance and surplus line carriers shall be rated A+ or better by A.M. Best Company or another rating agency approved by the city.
(C) If the insurance policies required by this section are written with deductibles in excess of $50,000, the deductibles shall be approved in advance by the city. A permittee agrees to indemnify and save harmless the city from and against the payment of any deductible and from the payment of any premium on any insurance policy required to be furnished by this chapter.
(D) The permittee shall require that its contractors and subcontractors working in public rights-of-way carry in full force and effect workers' compensation and employer liability, comprehensive general liability and automobile liability insurance coverages of the types which permittee is required to obtain under § 114.23(A) with appropriate limits of coverage.
(E) The permittee's insurance coverage shall be primary insurance with respect to the city, its officers, agents, employees, elected and appointed officials, department, boards, and commissions. Any insurance or self insurance maintained by any of them shall be in excess of the permittee's insurance and shall not contribute to it.
(Ord. 895, passed 10-13-03)