Before the franchise shall be issued by the Clerk, the applicant to whom this permit shall be awarded by the Council shall deliver to the Clerk a policy of insurance executed by a company duly authorized under the laws of the state to do an insurance business. The policy shall include the following information:
(A) Grantee shall assume all responsibility for damages to property or injuries to persons, including accidental death, which may be caused by the grantee’s performance of a contract, whether such performance be by himself or herself, his or her subcontractor, or anyone directly or indirectly employed by him or her and whether such incurred damage is discovered before or after termination of contract.
(B) The grantee shall take out and maintain during the life of the contract a comprehensive liability policy, including contractual liability, as shall protect him or her and the city from claims for such damages. The policy shall name the City of Tulare, California, its agents, officers and employees as additional insured under the policy, in the following amounts:
(1) Public liability insurance; in an amount not less than $1,000,000 per occurrence for personal injuries, including accidental death to any one person;
(2) Property damage insurance; in an amount not less than $1,000,000; and
(3) Subject to the above limits, as combined single limit of insurance in an amount not less than $2,000,000.
(C) In addition, the policy shall contain a severability of interest clause and provide that the coverage shall be primary for losses arising out of the contractor’s performance of the contract. Neither the city nor any of its insurers shall be required to contribute to any such loss.
(D) The grantee shall furnish a certificate of insurance countersigned by an authorized agent of the insurance carrier on a form of the insurance carrier setting forth the general provisions of the insurance coverage. This countersigned certificate shall verify that the City of Tulare, California, its agents, officers and employees are named as additional insured under the policy. The certificate of insurance carrier shall contain a statement of obligation on the part of the carrier to notify the city of any material change, cancellation or termination of the coverage at least 30 days in advance of the effective date of any such material change, cancellation or termination.
(1995 Code, § 7.40.080)