1. Insurance Required. The grantee shall maintain, throughout the term of the franchise, insurance in amounts at least as follows:
A. Worker’s Compensation. Worker’s compensation with Coverage A at statutory limits and Coverage B at limits of $500,000. Insurance shall cover the employees of the grantee in compliance with the State of Iowa and all other states having jurisdiction over each employee.
B. Comprehensive General Liability. Comprehensive general liability including premises/operations; products/completed operations; broad form property damage; contractual liability; coverage for explosion, collapse, and underground hazards; and pollution control liability shall include limits of not less than one million dollars for bodily injury (including death) and property damage for each occurrence and not less than one million dollars in the aggregate.
C. Umbrella Liability. Umbrella liability with limits of not less than two million dollars and carrying the following endorsement: It is hereby understood and agreed that despite anything to the contrary where underlying insurance, as described herein, provides greater protection or indemnity to the insured than the terms and conditions of this policy, this insurance shall pay on behalf of the insured the same terms, conditions, and coverage which apply to the basic underlying insurance. Where no such broader underlying insurance exists, this policy shall pay on behalf of the insured upon terms and conditions and limitations of the carrier’s umbrella excess policy.
2. Certificates to City. The grantee shall furnish the City with copies of such insurance policies or certificates of insurance within 45 days of the effective date of the franchise agreement. Certificates of insurance shall be furnished by the grantee to the City annually thereafter.
3. City as Additional Insured. Such insurance policies provided for herein shall name the City as additional insured, and shall be primary to any insurance carried by City, and shall contain the following endorsement: Should any of the above described policies be cancelled before the expiration date thereof, the issuing company will endeavor to mail 30 days’ written notice to the certificate holder named.
4. No Limitation on Liability. The minimum amounts set forth in the franchise agreement for such insurance shall not be construed to limit the liability of the grantee to the City under the franchise issued hereunder to the amount of such insurance.
5. Approved Insurers. All insurance carriers providing coverage under subsection 1 of this section shall be duly licensed to operate in the State of Iowa.