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HomeMy WebLinkAboutCC Resolution 13782 (Claims Administration Services)RESOLUTION NO. 13782 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH GEORGE HILLS COMPANY FOR THE PROVISION OF THIRD -PARTY LIABILITY CLAIMS ADMINISTRATION SERVICES FOR A TERM OF FIVE (5) YEARS (JULY 1, 2014 TO JUNE 30, 2019) WHEREAS, the City Council has determined that the general liability claims administration services provided by George Hills Company for the past several years have proven to be exceptional; and WHEREAS, George Hills Company and the City wish to continue their agreement for such services for additional years into the future; and WHEREAS, George Hills Company has offered to continue to provide the City with general liability claims administration services for an additional five (5) year period at a modest increase in cost. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San Rafael hereby approves and authorizes the City Manager to execute an Agreement with George Hills Company for the Provision of Third Party Liability Claims Administration Services for a Term of Five (5) Years (July 1, 2014 To June 30, 2019), in the form attached hereto as Exhibit "A" and incorporated herein, as finally approved by the City Attorney. I, Esther C. Beirne, 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 San Rafael City Council held on the 18th day of August, 2014, by the following vote to wit: AYES: Councilmembers: Bushey, Colin, Connolly, McCullough & Mayor Phillips NOES: Councilmembers: None ABSENT: Councilmembers: None ESTHER C. BEIRNTE, City- Clerk AGREEMENT BETWEEN CITY OF SAN RAFAEL AND GEORGE HILLS COMPANY FOR THE PROVISION OF THIRD PARTY -LIABILITY CLAIMS ADMINISTRATION SERVICES FOR A FIVE YEAR PERIOD (JULY 1, 2014 TO JUNE 30, 2019) This contract is made and entered as of the 157' day of 'Y 2014, by and between THE CITY OF SAN RAFAEL, hereinafter called CLIENT, and GEORGE HILLS COMPANY, INC., hereinafter referred to as the CLAIMS ADMINISTRATOR. The CLAIMS ADMINISTRATOR is a California Corporation doing business as licensed, independent insurance adjusters and administrators, with John E. Chaquica, President in charge of daily operations. The company's corporate office is located at 3043 Gold Canal Dr, Suite 200, Rancho Cordova, California, 95670, telephone, (916) 859-4800. The CLIENT is the City of San Rafael at P.O. Box 151560, San Rafael, CA, 94915. IT IS HEREBY AGREED by and between the parties signing this agreement as follows: GENERAL CLIENT is desirous of availing itself of property and liability claims adjusting and administrative services. The CLAIMS ADMINISTRATOR is a claim administrative firm experienced in the handling of self-insured claims and is ready and capable of performing such services. As such, the CLAIMS ADMINISTRATOR shall act as a representative with the investigation, adjustment, processing, supervision and evaluation of general liability, motor vehicle, and potential money damage claims assigned by third parties against clients, or against parties for whom the CLIENT is alleged to be legally responsible, which are premised upon allegations of willful, intentional, negligent or carless acts and/or omissions. II. SCOPE OF SERVICES CLAIMS ADMINISTRATOR agrees to provide complete claim handling services on each accident or incident which is or may be the subject of a claim. Such services shall include the following: A. INVESTIGATIVE SERVICES CLAIMS ADMINISTRATOR agrees to provide complete investigative services including, but not limited to: 1) Receipt and examination of all reports of accidents or incidents that are ory� may be the subject of claims. k =� Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company C:\Users\lisag\AppData\LocaP�Microsoft\Windows\Temporary Internet Files\Content.Outbok\PJSH2O6G\2014-2019 w contract 08 22 14 City rev (2).doc ','C! !,T� V %:i-' anr' ,..7, page i of 13 2) Investigate accidents or incidents, where the examination warrants such investigation, to include on-site investigation, photographs, interviewing of witnesses, determination of losses and other such investigative services necessary to determine all Client losses but not to include extraordinary investigative services outside the expertise of CLAIMS ADMINISTRATOR. 3) Maintain service on a 24-hour, 7 days per week basis, to receive telephone reports of any incident or accident which may be the subject of a liability claim and provide immediate investigative services to the extent necessary to provide a complete investigation. 4) Undertake items of investigation requiring special handling for CLIENT at the direction of the CLIENT Attorney or authorized representative. B. LIABILITY CLAIM HANDLING SERVICES CLAIMS ADMINISTRATOR agrees to provide complete claim handling services on each accident or incident which is or may be the subject of a claim. Such services shall include the following: 1) Promptly set up a claim file upon receipt of the claim and maintain a claim file on each potential or actual claim reported. 2) Assess and evaluate the nature and extent of each claim and establish claims reserves for indemnity and legal expense. 3) Ensure timely claim handling, including follow-up with claimants regarding claim issues and processing. 4) Determine the need for defense representation, recommend legal counsel, and manage litigation activity. 5) Report claims to the excess insurer and coordinate with the excess insurer on a claim's progress in accordance with the excess insurer's reporting requirements. 6) Maintain records on any such claim and notify CLIENT when CLIENT is about to exhaust the Self Insured Retention. 7) Obtain settlement agreements and releases upon settlement of claims or potential claims not in litigation. 8) Perform the necessary data gathering for the MMSE and the Set Aside Agreements in compliance with Section 111 of the MMSEA including the required reporting (see Attachment A). 9) Provide an account manager and lead liability adjuster. Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & InfolSan Rafael, City of\Contra&2014-2019 contract 08 22 14 City rev.doc CITY REV. 8122114 page 2 of 13 C. LEGAL SUPPORT SERVICES CLAIMS ADMINISTRATOR agrees to provide the following legal support services on each claim in which a third party claimant has commenced or threatened to commence litigation: 1) Upon notification by the CLIENT that litigation has been filed on an open claim, contact and provide counsel with all information and files concerning the claim. 2) Cooperate with and assist any counsel assigned to litigation of open claims and provide such investigative services as directed during pre-trial and trial stages. 3) Assist in responding to discovery or preparing discovery. 4) At the request of the CLIENT, attend mandatory settlement conferences on behalf of CLIENT. 5) At the request of the CLIENT appear on behalf of CLIENT in small claim actions filed against CLIENT on open claims handled by CLAIMS ADMINISTRATOR. 6) Review, evaluate and adjust counsel statements for services. 7) Regularly and reasonably discuss, review, and direct investigation issues, discovery, and case strategy with counsel. 8) Review and evaluate case evaluations, correspondence and status reports forwarded to CLAIMS ADMINISTRATOR by counsel. 9) Cooperate with counsel as a team with an open communication approach on each case to obtain the most economical and best result for the CLIENT. D. REPORTS AND PROCEDURES: CLAIMS ADMINISTRATOR agrees to provide the following: 1) Within thirty (30) days of assignment, or sooner if practicable, required, or requested, CLAIMS ADMINISTRATOR will provide CLIENT with a full factual report, showing name(s) of claimant(s), type of claim, date of loss, comments on liability, reserve recommendations, settlement recommendations, and other pertinent information. Subsequent to the initial thirty (30) day report, the CLAIMS ADMINISTRATOR will report at least every thirty (30) days until the claim closes unless extended diary is appropriate. 2) All original reports, documents, and claim data of every kind or description, that are prepared in whole or in part by or for the CLAIMS ADMINISTRATOR in connection with this agreement shall be CLIENT's property and constitute the CLAIMS ADMINISTRATOR'S work product for which compensation is paid. A copy of all Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael; City of\Contractl2014-2019 contract 08 22 14 City rev.doc CITY REV, 8.122114 page 3 of 13 reports, documents, and claim data of every kind or description that is in whole or in part by or for the CLIENT is the property of the CLAIMS ADMINISTRATOR. Additional copies of original reports, documents, and data requested by the CLIENT will be at the CLIENT's expense in accordance with this agreement. 3) CLAIMS ADMINISTRATOR agrees that CLIENT or its auditors shall have access to and the right to audit and reproduce any of the CLAIMS ADMINISTRATORs relevant records to ensure that the CLIENT is receiving all services to which the CLIENT is entitled under this Agreement or for the purpose relating to the Agreement. E. DATA CLAIMS ADMINISTRATOR agrees to perform the following: 1) Utilize its "State of the Art" claims information system. 2) Record all claim information including all financial data. 3) Provide CLIENT Read only on-line access to the claims data system, if desired by CLIENT. 4) Provide monthly standard loss run and check register. 5) Provide annual claims data report for actuary and auditors upon request. 6) Provide an annual Quality Assurance report. 7) Provide assistance to CLIENT in developing customized reports when requested (may require additional charge). 8) If applicable, provide conversion of claims data beginning with the fiscal year at a cost not to exceed F. CLAIM REVIEW MEETINGS CLAIMS ADMINISTRATOR shall, upon request, meet and review with CLIENT to discuss claims inventory and claims results of past period and delivery of services by CLAIM ADMINISTRATOR. G. FINANCIAL ACCOUNTING Upon request CLAIMS ADMINISTRATOR shall provide the following: 1) Establish and maintain a trust fund for the purpose of paying indemnity and expenses that may be due on the claims. The amount to be maintained in the trust fund shall be determined by the CLIENT. 2) Maintain a copy of all checks drawn by the CLAIMS ADMINISTRATOR to pay benefits on claims and claims related expenses. Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael, City ofContract\2014-2019 contract 08 22 14 City rev.doc CITY REV. 8%22/14 page 4 of 13 3) Submit monthly check registers of all transactions made for the period. 4) Complete or update Attachment B "Preferred Method of Check Processing" for check processing options. H. SUBROGATION If, during the course of GHC handling a general liability and/or subrogation claim for CLIENT, the institution of a civil action is determined by CLIENT to be the best course of action and in the best interest of CLIENT, then CLIENT may, at CLIENT"s own expense: 1) Authorize GHC to engage the services of a litigation attorney to consult, review, and determine the best legal strategy available at the time to obtain the best possible result for CLIENT. Upon determination by the attorney that a civil action is in the best interest of CLIENT, GHC will notify CLIENT and obtain authorization to pursue recovery in accordance with the recommendations of the litigation attorney; or 2) Recall the claim to CLIENT's control so that CLIENT may pursue recovery in a manner to be determined by the CLIENT's attorney to be in the best interest of the CLIENT. In the event CLIENT recalls the claim as indicated above, CLIENT shall be responsible for payment to GHC of any and all time and expense incurred by GHC's claim adjuster (general liability and/or subrogation) or other general liability or subrogation specialist up to the time wherein the claim has been recalled by CLIENT. If, while GHC is handling a subrogation claim for CLIENT pursuant to the terms of this Agreement, the institution of a civil action is determined by CLIENT to be the best course of action, CLIENT may, at CLIENT"s own expense: 1) Authorize GHC to engage the services of a duly -licensed attorney to consult, review, and determine the best legal strategy available at the time to obtain the best possible result for CLIENT. Upon determination by the litigation attorney that a civil action is in the best interest of CLIENT, GHC will notify CLIENT and obtain authorization to pursue recovery in accordance with the recommendations of the litigation attorney; or 2) Recall the claim to CLIENT"s control so that CLIENT may pursue recovery in a manner to be determined by the CLIENT's attorney to be in the best interest of the CLIENT. In the event CLIENT recalls the claim as indicated above, CLIENT shall be responsible for payment to GHC of any and all time and expense incurred by GHC's subrogation claim adjuster and/or other subrogation specialist up to the time wherein the claim has been recalled by CLIENT. DENIAL, COMPROMISE OR SETTLEMENT OF CLAIMS Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:`.Client Contracts & Info\San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc CITY REV. 8/22/14 page 5 of 13 It is agreed that CLIENT has granted $25,000 authority to the CLAIMS ADMINISTRATOR for the purpose of compromising and/or settling any claims against CLIENT being handled by the CLAIMS ADMINISTRATOR. Prior approval to compromise or settle any claim, or pay any expense will be obtained from the designated CLAIM's officer or employee on matters exceeding the authority granted above. IV. FILE RETENTION CLAIMS ADMINISTRATOR shall retain in accordance with the CLIENT`s record retention policy up to a maximum of 7 years. For the first year paper files will be retained. For years 2 through 7 the files will be scanned and paper files shredded. After 7 years, unless requested by the CLIENT to retain at its own expense, CLAIMS ADMINISTRATOR shall delete the scanned files in accordance with the timeline stated in Attachment C. V. CONFIDENTIALITY All data, documents, discussions, or other information developed or received by or for CLAIMS ADMINISTRATOR in performance of this agreement are confidential and not to be disclosed to any person except as authorized by CLIENT or CLIENT's designee, or as required by law. VI. CONFLICT OF INTEREST In the event the CLAIMS ADMINISTRATOR receives a claim from the CLIENT in which there arises a "conflict of interest," the CLAIMS ADMINISTRATOR shall immediately notify CLIENT. CLIENT may then, at their expense choose to hire another well-qualified claims firm to handle that particular claim to a conclusion. The CLAIMS ADMINISTRATOR covenants that it presently has no interest, direct or indirect, which would conflict in any manner with the performance of services required under this agreement. VII. CLIENT RESPONSIBILITY CLIENT agrees to the following: 1) CLIENT shall cooperate with Claims Administrator as may be reasonably necessary for Claim Administrator to perform its services. 2) CLIENT agrees to provide direction to Claims Administrator as requested regarding particular project requirements. 3) CLIENT shall identify primary contact person for account as well as for billing and loss run submission. In addition, CLIENT shall be responsible for reporting all changes thereto. Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc CITE' REV. 8122114 page 6 of 13 4) CLIENT shall be responsible for reporting all Bodily Injury Claims in addition to all other items noted in Attachment A "Medicare, Medicaid, and SCHIP Extension Act of 2007 (MMSEA)" 5) CLIENT shall be responsible for calculating and maintaining pool aggregate information. VIII. COMPENSATION CLIENT agrees to pay CLAIMS ADMINISTRATOR for services described in Section II — Scope of Services. 1) CLIENT agrees to pay CLAIMS ADMINISTRATOR for services described in Section 11- Scope of Services an annual fee of $84,500 for the first two years t, $85,500 for the third year, $87,000 for the fourth year, and $88,500 for the fifth year of this five agreement. 2) Subrogation Fee: Upon CLIENT's request, CLAIMS ADMINISTRATOR shall provide subrogation services in a scope and at a fee to be agreed upon at the time of the request. Such agreement shall be made by execution of a written Addendum to this Agreement. IX. PAYMENT SCHEDULE The CLAIMS ADMINISTRATOR will submit its bills to CLIENT, and payment shall be made by CLIENT, within a reasonable period of time, not to exceed thirty (30) days. X. TERM The term of this contract shall be from July 01, 2014 to and including June 30, 2019. For the purpose of maintaining the continuity of claims administration for CLIENT upon the end of the term of this Agreement, or upon termination pursuant to Section XI herein, CLAIMS ADMINISTRATOR may continue to perform services as outlined in Section II on a month-to-month basis, at the rates then in effect. XI. TERMINATION CLIENT and CLAIMS ADMINISTRATOR shall have the right to terminate this agreement without cause, by giving not less than ninety (90) days written notice of termination. XII. FAIR EMPLOYMENT It is the policy of George Hills Company to provide fair and equal treatment to all staff members. George Hills Company is an Equal Opportunity Employer and does not discriminate in any way against any person on the basis of age, race, sex, color, Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company ©:\Client Contracts & Info\San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc CITY REQ'. 8122114 page 7 of 13 national origin, national ancestry, physical disability, medical condition, religion, creed, marital status, sexual orientation, gender identification or any other classification deemed protected by law. XIII. INDEPENDENT CONTRACTOR In performing claims administrative services herein agreed upon, the CLAIMS ADMINISTRATOR shall have the status of an independent CLAIMS ADMINISTRATOR and shall not be deemed to be an officer, employee, or agent of CLIENT. XIV. INDEMNIFICATION The CLAIMS ADMINISTRATOR will defend, indemnify, and hold harmless CLIENT from and against all claims, demands, actions, or causes of action, which may arise, from the action, conduct, or failure to act by CLAIMS ADMINISTRATOR personnel. CLIENT will defend, indemnify, and hold harmless the CLAIMS ADMINISTRATOR from and against all claims, demands, actions, or causes of action, which may arise, from the action, conduct, or failure to act by CLIENT. CLIENT will defend, at no cost to the CLAIMS ADMINISTRATOR; in those cases wherein the CLAIMS ADMINISTRATOR is named in a filed or verified complaint simply by virtue of the fact it is the CLAIMS ADMINISTRATION firm on a given claim. XV. INSURANCE The CLAIMS ADMINISTRATOR shall provide CLIENT with Certificates of Insurance duly executed by the insurance company or companies authorized to transact business in the State of California, and said Certificates shall certify that the CLAIMS ADMINISTRATOR has in full force and effect $1,000,000 coverage applying to bodily injury, personal injury, property damage, errors and omissions coverage, statutory workers compensation coverage, and shall also maintain an employee fidelity bond in the amount of $500,000. Thirty (30) days notice, in writing, prior to cancellation or reduction in coverage will be provided. The insurance coverage required of the CLAIMS ADMINISTRATOR shall also meet the following requirements: 1) The insurance shall be primary with respect to any insurance or coverage maintained by CLIENT and shall not call upon CLIENT's insurance or coverage for any contribution. 2) Except for professional liability insurance, the insurance policies shall be endorsed for contractual liability and personal injury. 3) Except for professional liability insurance, the insurance policies shall be specifically endorsed to include the CLIENT, its officers, agents, and employees as additionally named insureds under the policies. Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc MY REV. 8122114 page 8 of 13 4) CLAIMS ADMINISTRATOR shall provide to CLIENT (a) Certificates of Insurance evidencing the insurance coverage required herein, and (b) specific endorsements naming CLIENT, its officers, agents and employees, as additional insureds under the policies. XVI. EMPLOYEE SOLICITATION During the period of this contract, and for a period of one (1) year thereafter, the CLAIMS ADMINISTRATOR agrees not to solicit for employment any CLIENT employee contacted during the performance of this agreement; CLIENT agrees not to solicit for employment, or employ, during the period of this contract, and for a period of one (1) year thereafter, any employee of the CLAIMS ADMINISTRATOR contacted by the CLIENT during the performance of this agreement. XVII. PERMITS, LICENSES, CERTIFICATES CLAIMS ADMINISTRATOR, at CLAIMS ADMINISTRATOR'S sole expense, shall obtain and maintain during the term of this Agreement, all permits, licenses, and certificates required in connection with the performance of services under this Agreement, including appropriate business license. XVIII. ARBITRATION CLAIMS ADMINISTRATOR and CLIENT agree that in the event of any dispute with regard to the provisions of the Agreement, the services rendered or the amount of CLAIMS ADMINISTRATOR'S compensation the dispute shall be submitted to arbitration upon mutual agreement of the parties, under such procedures as the parties may agree upon, or, if the parties cannot agree, then under the Rules of the American Arbitration Association. XIX. NOTICES All notices to the CLAIMS ADMINISTRATOR shall be personally served or mailed, postage prepaid, to the following address: ,George Hills Company, 3043 Gold Canal Dr Ste 200, Rancho Cordova, CA 95670. All notices to the CLIENT shall be personally served or mailed, postage prepaid, to the following address: City of San Rafael, P.O. Box 151560, San Rafael, CA 94915. CLAIMS ADMINISTRATOR and CLIENT agree that the terms and conditions of the Agreement may be reviewed or modified at any time. Any modifications to this Agreement, however, shall be effective only when agreed to in writing by both the CLIENT and CLAIMS ADMINISTRATOR. XX. ENTIRE AGREEMENT Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O`.Client Contracts & Info\San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc CITY REV. 8122/14 page 9 of 13 CLAIMS ADMINISTRATOR and CLIENT agree that this agreement constitutes the entire agreement of the parties regarding the subject matter described herein and supersedes all prior communications, agreements, and promises, either written or oral. XIX. TIME OF ESSENCE Time is of the essence in respect to all provisions of this Agreement that specify a time for performance: provided, however that the foregoing shall not be construed to limit or deprive a party of the benefits of any grace or use period allowed in this Agreement. BY.4W,+{ Date John :,Chaquica, President GEORGE HILLS COMPANY INC. BY: Date Nancy Mackle, City Manager CITY OF SAN RAFAEL ATTEST: 4 't. - ", ., Esther C. Beirne, City Clerk AS APPROVED AS TO FORM: Robert F. Epstein, City Attorney' Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael, City of\Contract'2014-2019 contract 08 22 14 City rev.doc CITY REV. 8022;14 page 10 of 13 ATTACHMENT A MEDICARE, MEDICAID, AND SCHIP EXTENSION ACT OF 2007 (MMSEA) This law requires liability insurers, self -insurers, no fault insurers and workers' compensation insurers to report certain information to The Centers for Medicare and Medicaid Services (CMS) concerning Medicare beneficiaries. The penalty for failure to comply is $1,000 per day, per claimant. George Hills Company, Inc. (GHC) has contracted with Gould & Lamb (G & L) for Mandatory Insurer Reporting (MIR) for CLIENT. G & L shall represent the responsible CLIENT and Responsible Reporting Entity (RRE) and party to this existing contract and this addendum, and shall be the designated reporting agent. . GHC will be responsible for gathering and reporting accurate claims data required by the MMSEA to G & L timely. GHC agrees to assume the responsibility for reporting data to G & L to meet all reporting requirements in accordance to the MMSEA, on behalf of RRE; including assuming responsibility for any fines or penalties that are directly caused by GHC non- compliance. GHC further agrees to indemnify and hold -harmless, RRE, and staff, for any penalties or fines resulting from GHC's direct failure to timely and accurately provide the reporting data to G & L. The above-mentioned obligations to indemnify and hold -harmless shall not be applicable to matters relating to delays caused by RRE or other third parties, or inaccurate data supplied to GHC by RRE or other third parties. G & L shall indemnify and hold GHC harmless from and against any claim, damage, fine, loss and expense, arising in connection with, or as a result of, any error, omission, or negligent performance of its obligations as reporting agent, which indemnity shall include all reasonable costs of litigation and attorneys' fees incurred. Without in any way limiting the indemnity set forth in this Agreement, all work performed by G & L shall be done in a good and professional manner. GHC shall perform the necessary data gathering for RRE and G & L; as such GHC shall include in our monthly invoicing the time for such work at our contract hourly rate. G & L shall perform the MMSEA Mandatory Insurer Reporting function for GHC, and it's RRES, without charge, subject to the following. RRE will designate G & L, unless otherwise requested as its exclusive vendor for all of RRE'S "Qualified Referrals" (those claims determined to require Medicare Set Aside (MSA) or a Claim Settlement Allocation (CSA) and RRE will utilize other services related to Medicare Secondary Payer (MSP) compliance identified in their fee schedule. Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:`Client Contracts & Info\San Rafael, City of,Contract`2014-2019 contract 08 22 14 City rev.doc CITY REV, 8122/14 page 11 of 13 ATTACHMENT B PREFERRED METHOD OF CHECK PROCESSING 1. Selection of Bank a) Clients Choice Name West America Bank Address 1108 Fifth Ave., San Rafael, CA 94901 Please provide signature cards, sample check, starting check number, name of contact person b) GHC uses CA Bank & Trust ❑ 2. Trust Balance Desired $ -0- (zero balance account with automatic transfers as GHC issues checks) 3. Account funding: GHC will notify client when the balance falls below required balance 4A. Number of Signatures Required AS IS a) One ❑ b) Two on all checks ❑ c) Two on checks in excess of $ ❑ 4B If two signatures are required please specify: a) Both GHC ❑ b) One GHC, one client GHC signers: Michael J Kielty, CEO; John Chaquica, President; Kimberly Santin, Finance Director 5. Accountability a) Positive Pay Yes ❑ No ❑ GHC recommends positive pay to mitigate the potential for fraud. b) Daily check registers Yes ❑ No ❑ c) Statement to be balanced by client d) Statement to be balanced by GHC with copies to client ❑ Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company O:\Client Contracts & Info\San Rafael, City of,Contract\2014-2019 contract 08 22 14 City rev.doc CITY REv.. 8122/14 page 12 of 13 ATTACHMENT C TIME LINE FOR RECORD RETENTION Claim Files with TPA Claims Involving Minors Litigated Claims Files Formal Notice of Liability Claim General Correspondence Incident Reports Investigative Files and Tapes Loss Runs 5 years after date closed 3 years from age 18 or 7 years whichever is longer from closure 5 years after litigation is concluded Closed + 2 years unless litigated 3 years Closed + 2 years unless litigated 7 years Current year end report + 7 years Claims Adjusting and Administration Services Between the City of San Rafael and George Hills Company 0:\Client Contracts & Info',San Rafael, City of\Contract\2014-2019 contract 08 22 14 City rev.doc CITY REV. 8/22114 page 13 of 13