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HomeMy WebLinkAboutRES 16-045 REGARDING RENEWAL OF MUNICIPAL INSURANCE COVERAGE AND THE NON WAIVER OF TORT LIABILITY LIMITS FOR THE LEAGUE OF MINNESOTA CITIES INSURANCE PROGRAMCITY OF ST. ANTHONY VILLAGE STATE OF MINNESOTA RESOLUTION 16 -045 A RESOLUTION REGARDING RENEWAL OF MUNICIPAL INSURANCE COVERAGE AND THE NON WAIVER OF TORT LIABILITY LIMITS FOR THE LEAGUE OF MINNESOTA CITIES INSURANCE PROGRAM. WHEREAS, the City Council of the City of St. Anthony hereby approves participation in the League of Minnesota Cities Insurance Trust ( LMCIT) insurance program for the year 2016 through 2017; and WHEREAS, the City has elected to purchase excess coverage in the amount of $1,000,000.00. WHEREAS, the City DOES NOT WAIVE the monetary limits on municipal tort liability established by Minnesota Statutes, Section 466.04. BE IT RESOLVED, that the City Council of the City of St. Anthony hereby approves the renewal of insurance coverage through the League of Minnesota Cities for the policy period of June 1, 2016 to May 31, 2017. THEREFORE, BE IT FURTHER RESOLVED, that the City Council of the City of St. Anthony hereby approves waiving of the monetary limits on tort liability established by MN statute 466.04, Subd. 7, to the extent of the limits of the liability coverage obtained from the LMCIT for the policy period of June 1, 2016 to May 31, 2017. Adopted this 24th day of May, 2016. J ome O. Faust, Mayor t ATTEST: J 1A -/no Nicbl6 Miller, City Clerk Review for Administration: Od Mark Casey, Ci6 Manager O® LEAGUE oP MINNESOTA CITIES CONNECTING & INNOVATING SINCE 1913 LIABILITY COVERAGE - WAIVER FORM LMCIT members purchasing coverage must complete and return this form to LMCIT before the effective date of the coverage. Please return the completed form to your underwriter or email to pstech @lmc.org This decision must be made by the member's governing body every year. You may also wish to discuss these issues with your attorney. League of Minnesota Cities Insurance Trust (LMCIT) members that obtain liability coverage from LMCIT must decide whether to waive the statutory tort liability limits to the extent of the coverage purchased. The decision has the following effects: If the member does not waive the statutory tort limits, an individual claimant would be able to recover no more than $500,000 on any claim to which the statutory tort limits apply. The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would be limited to $1,500,000. These statutory tort limits apply regardless of whether the city purchases the optional excess liability coverage. If the member waives the statutory tort limits and does not purchase excess liability coverage, a single claimant could potentially recover up to $2,000,000 for a single occurrence. (Under this option, the tort cap liability limits are waived to the extent of the member's liability coverage limits, and the LMCIT per occurrence limit is $2 million.) The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would also be limited to $2,000,000, regardless of the number of claimants. If the member waives the statutory tort limits and purchases excess liability coverage, a single claimant could potentially recover an amount up to the limit of the coverage purchased. The total all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would also be limited to the amount of coverage purchased, regardless of the number of claimants. Claims to which the statutory municipal tort limits do not apply are not affected by this decision. City of St. Anthony LMCIT Member Name Ch one: The member DOES NOT WAIVE the monetary limits on municipal tort liability established by Minnesota Statutes, Section 466.04. ❑ The member WAIVES the monetary limits on municipal tort liability established by Minnesota Statutes, Section 466.04 to the extent of the limits of the liability coverage obtained from LMCIT. Date of city cou ilfgovernin body meeting May 24th, 2016 Signature Position City Clerk 145 UNIVERSITY AVE. WEST PHONE: (651) 281 -1200 FAY: (651) 281 -1299 ST. PAUL, MN SS103 -2044 TOLL FREE: (800) 925 -1122 WEB:WWW.LMC.ORG