HomeMy WebLinkAboutDocumentation_Regular_Tab 03_08/08/2013 VILLAGE CLERK'S OFFICE
AGENDA ITEM TRANSMITTAL FORM
Meeting Date: Meeting Type: Regular Ordinance #:
8/8/2013
Consent Agenda: No Resolution #:
Originating Department: Human Resources
AGENDA ITEM T1TLE: (Wording form the SUBJECT Iine of your staff report)
Approval for the renewal of a 1-year agreement with the Florida Municipal Insurance Trust (FMIT) for Property,
Liability, Automobile and Workers' Compensation
BUDGET / FINANCIAL IMPACT:
Account #: Various Amount of this item: $337,605
Current Budgeted Amount Available: Amount Remaining after item:
$343,320 budgeted for FY2013-14 $5,715.00
Budget Transfer Required: No Appropriate Fund Balance: No
EXECUTIVE SUMMARY OF MA.IOR ISSUES: (This is a snap shof description of the agenda item)
Consideration and approval of $337,605 for Property and Casualty Insurance for FY2013/14.
APPROVALS: SIGNATU
Department Head ' ,;� �
Finance Director
Reviewed for Financial Sufficiency 0 , �/
� � ,
/ `�C
No Financial Impact ❑ �
Attorney: (for legal sufficiency) See aitached
Village Manager: , `.___�_` �
Submit for Council Discussion: [�
Approve Item: �
Deny Item: �
SPECIAL INSTRUCTIONS FOR CLERK: ('rf you wish to have agreements signed, be sure to include the
number of copies you warrt signed and place "Sign Heren sticker on them)
Form Amended: 10/20/11
. • •
Memo
To: Michael R Couzzo, Jr., Village Manager
From: Merlene Reid, HR Director ���
Date: July 30, 2013
Re: Property & Casualty Insurance Renewals 2013/14
I have attached the Florida Municipal Insurance Trust (FMIT) Property and Casualty
Evaluation schedule, prepared by our Brokers, The Gehring Group, which shows a 5.9%
increase of $17,888 in insurance premiums (inclusive of broker fees), up from $317,302 in
FY 2012/2013 to $334,605 for the upcoming 2013/14 Fiscal Year (Exhibit A).
The increase is comprised of a 9.4% increase of $13,120 in workers' compensation
premium, attributable to three (3) ongoing large claims which have moved our experience
rating from 1.13, up to 1.18. In addition, the Village received a 18.9% increase to our law
enforcement liability insurance, a direct result of the additional exposure of retuming the
police department to its staffing complement by adding regular, full-time officers with arrest
powers.
The costs of the other lines of insurance (property, general liability, and automobile) also are
covered by FMIT, and they offset each other. The Gehring Group has requested the Florida
League of Cities to provide quotations for increased liability deductible levels. If there is a
substantial credit offered for the increased ex�osure, Gehring Group will present the
alternative options to Council at the August 8 meeting.
The Village continues to receive a total of 7% credit for actively maintaining its Safety
program (2%) and enforcing its Drug Free Workplace policy (5%). We will again also
receive a minimum Return of Premium Credit of $15,090 in the second (2" quarter of the
new fiscal year.
In addition to the premium of 334,605 outlined above, a further $3,000 is being requested to
cover the anticipated premium for the 5 new vehicles budgeted across the fire, police and
water departments, inclusive of the new pumper, making a total of $337,605.
Based upon the foregoing analysis, I am recommending the Village renew the 2013/14
insurance program with the Florida Municipal Insurance Trust.
Village of Tequesta GEHRING �GROUP
FloridaMunicipallnsuranceTrustRenewal INSURANCE ■MDI(ERS . CONSULTAN75
2013 / 2014 Program Evaluation
_, .._.
p _t. � � � �
Coverage Type Current Carrie� Deductible Limlts P nmlum Proposed Cerrier Deducttble Limits Premlum
Property FMIT �$ 100,000 $ 15,286,829 $ 60,076 FMIT $ 100,000 i$ 15,851,352 $ 60,651 1.
- --- - -- _ --- -- - -- --- - - - --
*5%TIV Wind *5%TIV Wind
Deductible Deductible
Inlan Mari FMIT $500/$5,000 Per Schedule Included Above FMIT $500/$5,000 Per Schedule Included Above
General Liability FMIT $ 2,500 $ 2,000,000 $ 35,136 FMIT $ 2,500 $ 2,000,000 5 33,654 _4 Z%
Public Official Liability & $ 29,110 $ 31,995
Employment Practices Liability FMIT $ 2,500 $ 2,000,000 FMIT $ 2,500 $ 2,000,000 9.9%
Law Enforcement Liability FMIT $ 2,500 $ 2,000,000 $ 25 FMIT $ 2,500 $ 2,000,000 $ 30,641 18.9%
Auto Liability FMIT $ 2,500 $ 2,000,000 $ 20,735 FMIT $ 2,500 $ 2,000,000 $ 19,336 _6.7%
Personal Injury Protection N/A $ 10,000 Included Above N/A $ 10,000 Included Above
Medical Payments N/A $ 5,000 Included Above N/A $ 5,000 Included Above
Physical Damage $ 7,440 $ 6,182
Comprehe Coverage FMIT $ 1,000 Per Schedule FMIT $ 1,000 Per Schedule -16.9
Physical Damage '�
Collision Coverage $ 1,000 Per Schedule I Included Above $ 1,000 Per Schedule Included Above
Workers' Compensation FMIT FMIT
Modification Factor 1.13 Payroll 1.18 Payroll
$ 5,788,950 5 139,026 $ 5,586,209 S 152,146 g,4%
Total Annual Premium: $ 317,302 $ 334,605
Return Of Premium Credit $ (15,675) $ (15,090)
Adjusted Total Annual Premium: $ 301,627 $ 319,515
$ Increase or Decrease N/A $ 17,888
% Increase or Decrease N/A 5.9%
Gehring Group receives a 5% commission on all FMIT products
*Windstorm Deductible is 5%of the Total Insured Value Per Building Per Occurrence, subject to policy deductible, whichever is greater
Reid, Merlene
From: Keith Davis [Keith@corbettandwhite.com]
Sent: Wednesday, July 31, 2013 11:41 AM
To: Reid, Merlene
Subject: RE: Agenda ttem - Legal Sufficiency
Approved for legal sufficiency.
My e-mail address has changed. The new e-mail address is keithna,cwd-lesal.com. Please be sure to
update your records accordingly. Thanks!
Keith W. Davis, Esquire
Z�t�` iYf�sfe a,��J�vsa; ✓. JdG
Tel: (561) 586-7116
Faz: (561) 586-9611
Email: keith(u)cwd-le�al.com
From: Reid, Merlene fmailto:mreid@tequesta.orgj
Sent: Wednesday, July 31, 2013 10:51 AM
To: Keith Davis
Subject: Agenda Item - Legal Sufficiency
Good morning Keith,
Please review attached item for legal sufficiency. Thanks.
Merlene
Merlene Reid, M5, SPHR, Human Resources Director
Village of Tequesta � 345 Tequesta Drive � Tequesta, FL 33469
Tel: (561) 76&0415 � Fax: (561) 768-0697
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