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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />JULY 7, 2015 <br />TITLE: <br />INSURANCE RENEWALS <br />(STRATEGIC PLAN NO. 4, 1) <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />:--:9 i <br />❑ <br />As Recommended <br />❑ <br />As Amended <br />❑ <br />Ordinance on I" Reading <br />❑ <br />Ordinance on 2ntl Reading <br />❑ <br />Implementing Resolution <br />❑ <br />Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />1. Approve the City's continued membership in the Big Independent Cities Excess Pool from <br />July 1, 2015 to July 1, 2016 at an estimated premium cost not to exceed $1,530,000. <br />2. Approve the City's continued participation in the Public Entity Property Insurance Program <br />from July 1, 2015 to July 1, 2016 at an estimated premium cost not to exceed $320,000. <br />3. Approve the City's continued participation in the California State Association of Counties — <br />Excess Insurance Authority's Crime Bond Program from July 1, 2015 to July 1, 2016 at an <br />estimated premium cost not to exceed $11,400. <br />4. Approve the City's continued participation in the California State Association of Counties — <br />Excess Insurance Authority's Pollution Insurance Program from July 1, 2015 to July 1, 2018 <br />for an estimated three -year premium not to exceed $15,000. <br />DISCUSSION <br />The City is a member of Big Independent Cities Excess Pool ( BICEP) Joint Powers Authority which <br />was formed in September 1988. The current cities include Santa Ana, Huntington Beach, San <br />Bernardino, Oxnard, West Covina, and Ventura. The purpose of BICEP is to provide insurance <br />coverage for its members, shielding them from financial debt due to large liability claims, <br />judgments, and settlements. Additionally, participation in a pool provides rate stability and can offer <br />broader coverage. <br />The current excess liability and workers' compensation insurance policies expired on July 1, 2015. <br />The total BICEP insurance premium for the July 1, 2015 to July 1, 2016 period will not exceed <br />$1,530,000; an estimated $1,250,000 of which covers liability claims from $1,000,000 to <br />$27,000,000 per occurrence with a $1,000,000 self insured retention (SIR) which functions like a <br />29A -1 <br />