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HomeMy WebLinkAboutCC Resolution 9934 (Claims Administration Services)RESOLUTION NO. 9934 A RESOLUTION AUTHORIZING THE SIGNING OF AN AGREEMENT WITH ACCLAMATION INSURANCE MANAGEMENT SERVICES FOR WORKERS' COMPENSATION CLAIMS ADMINISTRATION SERVICES (10/1/97 - 9/30/99) THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows: The MAYOR and CITY CLERK are authorized to execute, on behalf of the City of San Rafael, an Agreement with Acclamation Insurance Management Services for Workers' Compensation Claims Administration Services from October 1, 1997 to September 30, 1999. I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of said City on Monday, the 20th day of October, 1997, by the following vote, to wit: AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCIIIMEMBERS: None ABSENT: COUNCILMEMBERS: None A JE M. LEONC`INI, City Clerk AGREMMENT FOR WORKERS' COMPENSATION CLAIMS ADMINISTRATION SERVICES This Agreement is made and entered into this 2 0 th day of OCTOBER , 1997, by and between the CITY OF SAN RAFAEL (hereinafter "CITY"), and Acclamation Insurance Management Services (hereinafter "CONTRACTOR"). RECITALS WHEREAS, the City of San Rafael desires comprehensive Workers' Compensation Claims Administration services; and WHEREAS, Acclamation Insurance Management Services represents that it has the experience, the expertise and the ability to provide said services, and is willing to provide said services, AGREENIENT NOW, THEREFORE, the parties hereby agree as follows: 1. PROJECT COORDINATION The City Manager shall be the representative of the CITY for all purposes under this Agreement. The Assistant to the City Manager is hereby designated the PROJECT MANAGER for the CITY, and said PROJECT MANAGER shall supervise all aspects of the progress and execution of this Agreement. CONTRACTOR shall assign a single PROECT DIRECTOR to have overall responsibility for the progress and execution of this Agreement for CONTRACTOR The Vice President is hereby designated as the PROJECT DIRECTOR for CONTRACTOR. Should circumstances or conditions subsequent to the execution of this Agreement require a substitute PROJECT DIRECTOR for any reason, the CONTRACTOR shall notify the CITY within ten (10) business days of the substitution. 2. DUTIES OF CONTRACTOR CONTRACTOR shall provide Workers' Compensation Claims Administration Services as described in CONTRACTOR's Proposal for Workers' Compensation Claims Administration Services dated August 8, 1997 and by this reference incorporated herein. 1 COPY CONTRACTOR shall perform said services in a manner compatible and consistent with the standards of CONTRACTOR's profession, and shall use reasonable care and due diligence in Performing its obligations under this Agreement. 3, DUTIES OF CITY CITY shall cooperate with CONTRACTOR in the performance of this agreement, and compensate CONTRACTOR for the performance under this agreement. 4. RELATIONSHIP CONTRACTOR (including CONTRACTOR's agents, officers and employees) is not an agent or employee of CITY, but is an independent contractor solely responsible for CONTRACTOR's acts` and this Agreement shall not be construed as an agreement for employment. COMPENSATION A For the full performance of the services described herein by CONTRACTOR, CITY shall pay CONTRACTOR the sum of sixty-seven thousand three hundred and seventy- five dollars ($67,375) per year. Said sum shall be paid in quarterly installments of $16,843.75, due and deliverable to CONTRACTOR upon receipt by Project Manager of invoices submitted by the CONTRACTOR in every December, March, June and September, during the term of this Agreement, unless this payment schedule is altered by written mutual agreement of the parties hereto. B. The parties hereto agree that the $67,375 fee structure is based upon a cap of 40 new Indemnity claims and 80 new Medical Only claims on average per year. Ii; during the term of the Agreement, the average number of new indemnity claims or medical only claims for the prior three fiscal years as documented on the Public Self Insurer's Annual Reports exceeds the cap, City agrees to pay Contractor an additional fee of $795 per Indemnity claim in excess of the cap and $115 per Medical Only claim in excess of the cap. However, the total annual fee shall not exceed $70,000, regardless of the number of new claims. C. Paragraphs (A) and (B) notwithstanding, CITY agrees to consider an increased fee during the second year of this Agreement provided that: 1) such increase in fee be specifically requested in writing by CONTRACTOR at least thirty days prior to the anniversary date of the Agreement; and 2) such increase shall not exceed 75% of the annual CPI increase. "Annual CPI increase" shall mean the percentage change in the consumer price index for 2 S 9 California, All Urban Consumers, San Francisco -Oakland -San Jose areas, as published by Bureau of Labor Statistics, San Francisco, over the most recent twelve (12) month period for which figures are available through the month preceding the anniversary date of this Agreement. TERM OF AGREE%ffiNT The term of this Agreement shall be for two (2) years commencing on October 1, 1997 and ending on September 30, 1999. Upon mutual agreement of the parties, and subject to the approval of the City Manager, the term of this Agreement may be extended for an additional period of up to three (3) years, not to exceed a total term of five (5) years. TERM NATION Either party hereto shall have the right to terminate this Agreement at any time upon giving the other party hereto sixty (60) days written notice prior to the effective date of such termination, unless a sr orter period is mutually agreed. Upon termination of the Agreement, CONTRACTOR shall be entitled to only that pro rata fee based upon work actually accomplished as of the effective date of the termination. Any monies paid to the CONTRACTOR in excess of the pro rata fee shall be refunded to CITY. ASSIGNABILITY The parties agree that they shall not assign or transfer any interest in this Agreement nor the performance of any of their respective obligations hereunder, without the prior written consent of the other parry, and any attempt to so assign this Agreement or any rights, duties or obligations arising hereunder shall be void and of no effect. INSURANCE A During the term of this Agreement, CONTRACTOR shall maintain, at no expense to CITY, the following insurance policies: a comprehensive general liability insurance policy in the minimum amount of one million ($1,000,000) dollars per occurrence for death, bodily injury, personal injury, or property damage; 2. an automobile liability (owned, non -owned, and hired vehicles) insurance policy in the minimum amount of one million (S 1,000,000) dollars per occurrence; 3 a professional liability insurance policy in the minimum amount of one million $1,000,000) dollars to cover any claims arising out of the CONTRACTOR's performance of services under this Agreement. B. The insurance coverage required of the CONTRACTOR by section 8. k shall also meet the following requirements: The irprance shall be primary with respect to any insurance or coverage maintained by CITY against all claims arising out of the performance of the work described herein, caused in whole or in part by any negligent act or omission of CONTRACTOR, or anyone directly or indirectly employed by them, for whose acts CONTRACTOR may be liable, except where caused by the sole negligence or willful misconduct of the City. ?. Except for professional liability insurance, the insurance policies shall be endorsed for contractual liability and personal injury. 3. essional liability insurance, the insurance policies shall be Except for prof specifically endorsed to include the CITY, its officers, agents, employees, and volunteers, as additionally named insureds under the policies. 1. CONTRACTOR shall provide to PROJECT MANAGER, (a) Certificates of Insurance evidencing the insurance coverage required herein, and (b) specific endorsements naming CITY, its officers, agents, employees, and volunteers, as additional named insureds under the policies. S. The insurance policies shall provide that the insurance carrier shall not cancel, terminate or otherwise modify the terms and conditions of said insurance policies except upon thirty (30) days written notice to CITY's PROJECT MANAGER. 6. If the insurance is written on a Claims Made Form, then, following termination of this Agreement, said insurance coverage shall survive for a period of not less than five years. 7. The insurance policies shall provide for a retroactive date of placement coinciding with the effective date of this Agreement; 8. The insurance shall be approved as to form and sufficiency by PROJECT MANAGER and the City Attorney. C. If it employs any person, CONTRACTOR shall maintain workers' compensation and employer's liability insurance, as required by the State Labor Code and other applicable laws and regulations, and as necessary to protect both CONTRACTOR and CITY against all liability for injuries to CONTRACTOR's officers and employees. D. Any deductibles or self-insured retentions in CONTRACTOR's insurance policies must be declared to and approved by the PROJECT MANAGER and the City Attorney. At CITY's option, the deductibles or self-insured retentions with respect to CITY shall be reduced or eliminated to CITY's satisfaction, or CONTRACTOR shall procure a bond guaranteeing payment of losses and related investigations, claims administration, attorney's fees and defense expenses. 10. INDEMNIFICATION CONTRACTOR shall indemnify, hold harmless and defend CITY, its officers, agents, employ- ees, and volunteers, against any and all claims, demands, suits, loss, liability, cost and damages including attorney's fees, litigation expenses, and cost of administration (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) alleged against CITY, CONTRAC'T'OR or any other person, and from any and all claims, demands and actions in law or equity (including attorney's fees, Irtigation expenses, and cost of administration, arising or alleged to have arisen directly or indirectly out of the services provided under this Agreement. CONTRACTOR's obligations under the preceding sentence shall apply regardless of whether City or any of its officers, agents, employees or volunteers are actively or passively negligent, but shall not apply to any loss, liability cost or damages caused solely by the active negligence or willful misconduct of CITY. 11. RECORDS OWNERSHIP All claim files, loss reports, payroll information and other documents and materials shall be the property of the CITY. Said documents are subject to audit by an independent agent or contractor of CITY's choice and at CITY's expense. Adequate notice of such an audit shall be thirty (30) days. All information and reports described in this section shall be delivered to CITY upon termination of this Agreement. Additionally, all documentation generated by Contractor in performance of this Agreement shall be made available for review and copying by the CITY upon reasonable notice. CONTRACTOR agrees not to release any report, or portion thereof, or any result of any investigation it may undertake on behalf of CITY to any outside person or agency without the express written consent of CITY, except as provided in this Agreement. 12. NONDISCRUVE NATION. CONTRACTOR shall not discriminate, in any way, against any person on the basis of age, sex, race, color, religion, ancestry, national origin or disability in connection with or related to the performance of its duties and obligations under this Agreement. 5 13. COMPLIANCE WITH ALL LAWS CONTRACTOR shall observe and comply with all applicable federal, state and local laws, ordinances, codes and regulations, in the performance of its duties and obligations under this Agreement. CONTRACTOR shall perform all services under this Agreement in accordance with these laws, ordinances, codes and regulations. CONTRACTOR shall release, defend, indemnify and hold harmless CITY, its officers, agents and employees from any and all damages, liabilities, penalties, fines and all other consequences from any noncompliance or violation of any laws, ordinances, codes or regulations. 14. NO THIRD PARTY BENEFICIARIES CITY and CONTRACTOR do not intend, by any provision of this Agreement, to create in any third party, any benefit or right owed by one party, under the terms and conditions of this Agreement, to the other party. 15. NOTICES All notices and other communications required or permitted to be given under this Agreement, including any notice of change of address, shall be in writing and given by personal delivery, or deposited with the United States Postal Service, postage prepaid, addressed to the parties intended to be notified. Notice shall be deemed given as of the date of personal delivery, or if mailed, upon the date of deposit with the United States Postal Service. Notice shall be given as follows: TO CITY: Sharon E. Andrus Assistant to the City Manager City of San Rafael 1400 Fifth Avenue PO Box 151560 San Rafael, CA 94915-1560 TO CONTRACTOR Darlene Tuell Vice President Acclamation Insurance Management Services 2000 Powell Street, #1000 Emeryville, CA 94608 16. ENTIRE AGREEMENT — AMENDMENTS The terms and conditions of this Agreement, all exhibits attached, and all documents expressly incorporated by reference, represent the entire Agreement of the parties with respect to the subject matter of this Agreement. No other agreement, promise or statement, written or oral, 0 relating to the subject matter of this Agreement, shall be valid or binding, except by way of a written amendment to this Agreement. If any conflicts arise between the terms and conditions of this Agreement, and the terms and conditions of the attached exhibits or the documents expressly incorporated by reference, the terms and conditions of this Agreement shall control. 17. WAIVERS The waiver by either party of any breach or violation of any term, covenant or condition of this Agreement, or of any ordinance law or regulation, shall not be deemed to be a waiver of any other term, covenant, condition, ordinance, law or regulation, or of any subsequent breach or violation of the same or other term, covenant, condition, ordinance, law or regulation. The subsequent acceptance by either party of any fee, performance, or other consideration which may become due or owing under this Agreement, shall not be deemed to be a waiver of any preceding breach or violation by the other party of any term, condition, covenant of this Agreement or any applicable law, ordinance or regulation. 18. APPLICABLE LAW The laws of the State of California shall govern this Agreement. 7 IN WITNESS WHEREOF, the parties have executed this Agreement as of the day, month and year first above written. CITY OF SAN RAFAEL Albertd: Boro yor ATTEST: Je46e M. Leoncini, City Clerk 8 Name7bDvl kh,c: 1 vsso Title:*�� ACORD CERTIFICA, E OF LIABILITY INSL ANC1tccD� 1 D09/29/97 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Heffernan Petersen Ins Brokers HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR 120 Howard Street, Suite 550 1 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. San Francisco CA 94105 1 COMPANIES AFFORDING COVERAGE Peter Picetti COMPANY Phone No. 415-778-03.00_ Fa:No.415-778-0301 A Atlantic Mutual INSURED COMPANY B Travelers/Aetna Acclamation Insurance COMPANY RECEIVED Management Services 2000 Powell St., Ste. 1000 COMPANY - Emeryville CA 94608 D COVERAGES L THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLI�Qa INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. POLICY EFFECTIVE f POLICY EXPIRATION TYPE OF INSURANCE TR POLICY NUMBER DATE (MM/DD/YYI I DATE (MM/DD/YYI LIMITS GENERAL LIABILITY GENERAL AGGREGATES 2, 0 0 0, 0 0 0 A X COMMERCIALGENERALLIABILITY 432301107 01/01/97 01/01/98 j PRODUCTS-COMPIOPAGG IS1,000F000 CLAIMS MADEFX OCCUR I PERSONAL & ADV INJURY I S 1, 0000 0 0 OWNER'S BCONTRACTOR'S PROT I EACH OCCURRENCE I $ 1, 000,, 000 �� I FIRE DAMAGE (Any one fire) $ 100,000 MED EXP (Any one person) $5F000 AUTOMOBILE LIABILITY A ANY AUTOCOMBINED 432301107 i SINGLE LIMIT $1,000,000 01/01/97 01/01/98 ALL OWNED AUTOS X SCHEDULED AUTOS BODILY INJURY (Per person) S X HIRED AUTOS X j NON -OWNED AUTOS BODILY INJURY S + (Per accident) (PROPERTY DAMAGE S GARAGE LIABILITY I AUTO ONLY - EA ACCIDENT $ ANY AUTO + OTHER THAN AUTO ONLY, EACH ACCIDENT S AGGREGATE S EXCESS LIABILITY I EACH OCCURRENCE $5,000,000 A NUMBRELLA FORM 1432301107 01/01/97 01/01/98 1 AGGREGATE $5,000,000 OTHER THAN UMBRELLA FORM S J WORKERS COMPENSATION ANDOT RYTLIM JOFR I ChIPLOiERS' LiABILIT' .S i THE PROPRIETOR/ n EL EACH ACCIDENT $ j INCL PARTNERS/EXECUTNE jl I! EL DISEASE - POLICY LIMIT S I~ OFFICERS ARE: EXCL EL DISEASE - EA EMPLOYEE $ I OTHER B Fiidelity Bond 100794606BCA 12/01/95 12/01/98 $500,000 :Coverage I DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS , Certificate holder is named as additional insured as respect to liability per the attached CG2010 Endorsement. CERTIFICATE HOLDER CANCELLATION CITY -SR SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE City of San Rafael EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL Attn : Sharon E. Andrus 1400 5th 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, Avenue PO BOX 151560 BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY ni San Rafael CA 94915-1560 OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES. i AUTHO E ESENT : Pet i Rvt)0 ACORD 25-S (1/95) CACORD CORPORATION 1988 iKNAN y Ki 1107 TIMTS Insurance Brokers THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS (FORM B) This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART. WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization show in the Schedule, but only with respect to Liability arising out of 'your work" for that insured by or for you. Named Insured: Acclamation Insurance 2000 Powell Street Name of Person or Orcianization: SCHEDULE City of San Rafael 1400 5th Avenue PO Box 151560 San Rafael, CA 94915-1560 CG 2010 (11.85) Copyright, Insurance Services Office, Inc., 120 Hnward itrppt Rnita 5Fn Can rrnnricrn r`alifnrnin GA1nr A1C/770 ncnn CAV A1C/770 none nccnneo October 1, 1997 Certificate Holder: City of Rafael, c/o Ms. Sharon E. Andrus P. O. Box 151560 San Rafael, CA 94915-1560 Certificate of Insurance This certificate is issued as a matter of information only and confers no rights upon the Certificate Holder. This Certificate does not amend, extend or alter the coverage afforded by the policy listed below. Limits shown may have been reduced by paid claims. Named Acclamation Insurance Management Insured: 2000 Powell Street. Ste. 1000 Emeryville, CA 94608 This is to certify that the policy of insurance listed below has been issued to the Insured named above and is in force at this time. Insurance Company: Lexington Insurance Company Type of Insurance: Professional Liability Insurance Policy Number: 5633246 Effective Date: 12/12/96 Expiration Date: 12/12/97 Retroactive Date: 12/12/89 Limit per Claim: Limit Aggregate: Services Insured: 1,000,000 1,000,000 Insurance Adjusting, Certificate Number: 0114 Deductible: 7,500 CANCELLATION: Should the above descibed policy be cancelled before the expiration date thereof, the issuing Company will ENDEAVOR to mail 10 days written notice to the above named Certificate Holder, but failure to mail such notice shall impose NO obligation or liability of any kind upon the Company. NOTE: If the Named Insured is the same as the above Certificate Holder, written Notice of Cancellation will be provided to the Named Insured in accordance with the provisions of the policy and any applicable state law. Certificate holder is an additional insured on the policy, but only as respects the actions of the Named Insured. Kevin R. Miller c � C EASTERN SPECIAL RISK INSURANCE AGENCY ti 68 BROWN ROAD, P.O. BOX 218 K � HARVARD, MASSACHUSETTS 01451 0 PHONE (508) 456-8200 FACSIMILE (508) 456-3245 WATS (800) 341-1110 October 1, 1997 Certificate Holder: City of Rafael, c/o Ms. Sharon E. Andrus P. O. Box 151560 San Rafael, CA 94915-1560 Certificate of Insurance This certificate is issued as a matter of information only and confers no rights upon the Certificate Holder. This Certificate does not amend, extend or alter the coverage afforded by the policy listed below. Limits shown may have been reduced by paid claims. Named Acclamation Insurance Management Insured: 2000 Powell Street. Ste. 1000 Emeryville, CA 94608 This is to certify that the policy of insurance listed below has been issued to the Insured named above and is in force at this time. Insurance Company: Lexington Insurance Company Type of Insurance: Professional Liability Insurance Policy Number: 5633246 Effective Date: 12/12/96 Expiration Date: 12/12/97 Retroactive Date: 12/12/89 Limit per Claim: Limit Aggregate: Services Insured: 1,000,000 1,000,000 Insurance Adjusting, Certificate Number: 0114 Deductible: 7,500 CANCELLATION: Should the above descibed policy be cancelled before the expiration date thereof, the issuing Company will ENDEAVOR to mail 10 days written notice to the above named Certificate Holder, but failure to mail such notice shall impose NO obligation or liability of any kind upon the Company. NOTE: If the Named Insured is the same as the above Certificate Holder, written Notice of Cancellation will be provided to the Named Insured in accordance with the provisions of the policy and any applicable state law. Certificate holder is an additional insured on the policy, but only as respects the actions of the Named Insured. Kevin R. Miller