(A) A permit holder shall obtain and maintain insurance in the amounts prescribed by the city with an insurance company licensed to do business in the state acceptable to the city throughout the term of a permit issued pursuant to this chapter. A permit holder shall furnish the city with proof of insurance at the time of filing the acceptance of a permit. The city reserves the right to review the insurance requirements during the effective period of a permit, and to reasonably adjust insurance coverage and limits when the city determines that changes in statutory law, court decisions or the claims history of the industry or the permit holder require adjustment of the coverage. For purposes of this section, the city will accept certificates of self-insurance issued by the state providing the same coverage. In the alternative, for types of coverage for which the state does not issue letters, the city will accept a letter from an authorized company representative that evidences the same coverage.
(B) The city may, on request and at no cost to the city, receive copies of certificates of insurance evidencing the coverage required by this section. The city may request the deletion, revision or modification of particular policy terms, conditions, limitations or exclusions, unless the policy provisions are established by a law or regulation binding the city, the permit holder or the underwriter. If the city requests a deletion, revision or modification, a permit holder shall exercise reasonable efforts to pay for and to accomplish the change.
(C) An insurance certificate shall contain the following required provisions:
(1) Name of the city and its officers, employees, board members and elected representatives as additional insureds for all applicable coverage;
(2) Provide for 30 days’ notice to the city for cancellation, non-renewal or material change;
(3) Provide that notice of claims shall be provided to the city by certified mail; and
(4) Provide that the terms of the permit which impose obligations on the permit holder concerning liability, duty and standard of care, including the indemnity section, are included in the policy and that the risks are insured within the policy terms and conditions.
(D) A permit holder shall file and maintain proof of insurance with the city during the term of a permit or an extension or renewal. An insurance certificate obtained in compliance with this section is subject to city approval. The city may require the certificate to be changed to reflect changing liability limits. A permit holder shall immediately advise the City Attorney of actual or potential litigation that may develop that may affect an existing carrier’s obligation to defend and indemnify.
(E) An insurer has no right of recovery against the city. The required insurance policies shall protect the permit holder and the city. The insurance shall be primary coverage for losses covered by the policies.
(F) The policy clause “other insurance” shall not apply to the city if the city is an insured under the policy.
(G) (1) The permit holder shall pay premiums and assessments. A company which issues an insurance policy has no recourse against the city for payment of a premium or assessment.
(2) Insurance policies obtained by a permit holder must provide that the issuing company waives all right of recovery by way of subrogation against the city in connection with damage covered by the policy.
(Ord. 99-05, passed 6-15-1999)