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AGENDA REPORT
Meeting Date:
Item Number:
January 24, 2023
To: Honorable Mayor & City Council
From: Kirsten Rowe, Assistant Director of Human Resources Sharon L’Heureux Dressel, Risk Manager
Subject: AGREEMENT BETWEEN THE CITY OF BEVERLY HILLS AND ALLIANT INSURANCE SERVICES, INC. FOR INSURANCE
BROKERAGE SERVICES; AND
APPROVAL OF A PURCHASE ORDER FOR ANNUAL
INSURANCE BROKERAGE SERVICES FOR THE TOTAL NOTTO-EXCEED AMOUNT OF $165,000.
Attachments: 1. Agreement
RECOMMENDATION
Staff recommends that the City Council approve an agreement between the City of Beverly Hills and Alliant Insurance Services, Inc., for a total not-to-exceed amount of $495,000, and authorize the City Manager to approve a purchase order for annual insurance brokerage services in the amount not-to-exceed $165,000. The agreement is exempt from the bidding requirements under Beverly Hills Municipal Code Section 3-3-112 (G) (Professional Services).
INTRODUCTION
The City utilizes the services of Alliant Insurance Services, Inc. to provide insurance brokerage services.Alliant Insurance Services procures insurance for the City for General Liability, Property, Earthquake, Excess Workers Compensation and additional supplemental coverage including, but not limited to, Municipal Crime and Special Events.
E-8
Meeting Date: January 24, 2023
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DISCUSSION
As a result of an RFP process, the City entered into a professional services contract with Alliant Insurance Services, Inc. in 2018. The City has been extremely satisfied with the services provided by Alliant Insurance Services, Inc. Alliant is one of the largest and leading brokerage firms in the industry and within the region, providing a broad scope and superior level of service.
During this contract period, Alliant has exceeded expectations including assisting the City in recovering over $80,000 in COVID-19 damages.
The previous contract with Alliant expired on December 31, 2022. Alliant has proposed a new three-year contract with two optional one-year extensions with no increase to our current contract amount of $495,000 (annual flat fee of $165,000 each year of the contract) retroactively effective to January 1, 2022. Based on the scope and level of service, and to maintain the continuity of support and expertise provided to the City, staff recommends entering into the new contract with Alliant Insurance Services. The proposed agreement provides for a total three-year cost of $495,000, with an option to extend for two (2) additional one (1) year terms. Should the City exercise the option for either of the two (2) additional one (1) year extensions, the cost of each year is negotiable with a not-to-exceed increase of three percent (3%). At the end of this contract, staff will solicit proposals through an RFP process.
FISCAL IMPACT
Overall, the fiscal impact to the City over the three-year term of the agreement is $495,000. Funds for this agreement are available in the existing Risk Management budget.
Shelley Ovrom
Director of Human Resources
Approval By
Attachment 1
AGREEMENT BETWEEN THE CITY OF BEVERLY HILLS AND
ALLIANT INSURANCE SERVICES, INC. FOR INSURANCE
BROKERAGE SERVICES
NAME OF CONSULTANT: ALLIANT INSURANCE SERVICES, INC.
RESPONSIBLE PRINCIPAL OF CONSULTANT: Conor Boughey, Senior Vice President CONSULTANT’S ADDRESS: 560 Mission Street, 6th Floor
San Francisco, CA 94105
CITY’S ADDRESS: City of Beverly Hills
455 N. Rexford Drive
Beverly Hills, CA 90210
Attention: Sharon L'Heureux Dressel, Risk
Manager.
COMMENCEMENT DATE: January 1, 2023
TERMINATION DATE: December 31, 2025, unless extended
pursuant to Section 2 of this agreement
CONSIDERATION: Not to exceed $495,000, unless extended
2 AGREEMENT BETWEEN THE CITY OF BEVERLY HILLS AND
ALLIANT INSURANCE SERVICES, INC. FOR INSURANCE
BROKERAGE SERVICES
This Agreement is made by and between the City of Beverly Hills (hereinafter called “CITY”), and Alliant Insurance Services, Inc. (hereinafter called “CONSULTANT”).
RECITALS
A. CITY desires to have certain services and/or goods provided as set forth in Exhibit A (the “Scope of Work”), attached hereto and incorporated herein.
B. CONSULTANT represents that it is qualified and able to perform the Scope of Works.
NOW, THEREFORE, the parties agree as follows:
Section 1. CONSULTANT’s Scope of Work. CONSULTANT shall perform the Scope of Work described in Exhibit A in a manner satisfactory to CITY and consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing in the same locality under similar conditions. CITY shall have the right to order, in writing, changes in the Scope of Work. Any changes in the Scope of Work by CONSULTANT must be made in writing and approved by both parties. The cost of any change in the Scope of Work must be agreed to by both parties in writing.
Section 2. Time of Performance.
CONSULTANT shall commence its services under this Agreement upon the Commencement Date or upon a receipt of a written notice to proceed from CITY. CONSULTANT shall complete the performance of services by the Termination Date set forth above and/or in conformance with the project timeline established by the City Manager or his designee.
The City Manager or his designee may extend the time of performance in writing for two additional one-year terms or such other term not to exceed two years from the date of termination pursuant to the same terms and conditions of this Agreement.
Section 3. Compensation.
(a) Compensation
CITY agrees to compensate CONSULTANT for the services provides under this Agreement, and CONSULTANT agrees to accept in full satisfaction for such services, a sum not to exceed the Consideration set forth above and more particularly described in Exhibit B. 3 (b) Expenses
The amount set forth in paragraph (a) shall include reimbursement for all actual and necessary expenditures reasonably incurred in the performance of this Agreement (including, but not limited to, all labor, materials, delivery, tax, assembly, and installation, as applicable).
There shall be no claims for additional compensation for reimbursable expenses. (c) Additional Services. CITY may from time to time require CONSULTANT to perform additional services not included in the Scope of Services. Such requests for additional services shall be made by CITY in writing and agreed upon by both parties in writing.
Section 4. Method of Payment. CITY shall pay CONSULTANT said Consideration in accordance with the method and schedule of payment set forth in Exhibit B.
Section 5. Independent CONSULTANT. CONSULTANT is and shall at all times remain, as to CITY, a wholly independent CONSULTANT. Neither CITY nor any of its agents shall have control over the conduct of CONSULTANT or any of CONSULTANT’s employees, except as herein set forth. CONSULTANT shall not, at any time, or in any manner, represent that it or any of its agents or employees are in any manner agents or employees of CITY.
Section 6. Assignment. This Agreement shall not be assigned in whole or in part, by CONSULTANT without the prior written approval of CITY. Any attempt by CONSULTANT to so assign this Agreement or any rights, duties or obligations arising hereunder shall be void and of no effect.
Section 7. Responsible Principal(s)
(a) CONSULTANT’s Responsible Principal set forth above shall be principally responsible for CONSULTANT’s obligations under this Agreement and shall serve as principal liaison between CITY and CONSULTANT. Designation of another Responsible by CONSULTANT shall not be made without prior written consent of CITY. (b) CITY’s Responsible Principal shall be the City Manager or his designee set forth above who shall administer the terms of the Agreement on behalf of CITY.
Section 8. Personnel. CONSULTANT represents that it has, or shall secure at its own expense, all personnel required to perform CONSULTANT’s Scope of Work under this Agreement. All personnel engaged in the work shall be qualified to perform such Scope of Work.
Section 9. Permits and Licenses. CONSULTANT shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a business license.
Section 10. Interests of CONSULTANT. CONSULTANT affirms that it presently has no interest and shall not have any interest, direct or indirect, which would conflict in any manner with the performance of the Scope of Work contemplated by this Agreement. No person having any such interest shall be employed by or be associated with CONSULTANT.
4 Section 11. Insurance.
(a) CONSULTANT shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:
(1) A policy or policies of Comprehensive General Liability Insurance, with minimum limits of Two Million Dollars ($2,000,000) for each occurrence, combined single limit, against any personal injury, death, loss or damage resulting from the wrongful or negligent acts by CONSULTANT.
(2) A policy or policies of Comprehensive Vehicle Liability Insurance covering personal injury and property damage, with minimum limits of One Million Dollars ($1,000,000) per occurrence combined single limit, covering any vehicle utilized by CONSULTANT in performing the Scope of Work required by this Agreement. (3) Workers’ compensation insurance as required by the State of California.
(4) Professional Liability Insurance
A policy or policies of Professional Liability Insurance (errors and omissions) with minimum limits of One Million Dollars ($2,000,000) per claim and in the aggregate. Any deductibles or self-insured retentions attached to such policy or policies must be declared to and be approved by CITY. Further, CONSULTANT agrees to maintain in full force and effect such insurance for one year after performance of work under this Agreement is completed.
(b) CONSULTANT shall require each of its sub-CONSULTANTs to maintain insurance coverage which meets all of the requirements of this Agreement. (c) The policy or polices required by this Agreement shall be issued by an insurer admitted in the State of California and with a rating of at least an A+,VII in the latest edition of Best’s Insurance Guide.
(d) CONSULTANT agrees that if it does not keep the aforesaid insurance in full force and effect CITY may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, CITY may take out the necessary insurance and pay, at CONSULTANT’s expense, the premium thereon.
(e) At all times during the term of this Agreement, CONSULTANT shall maintain on file with the City Clerk a certificate or certificates of insurance on the form set forth in Exhibit C, attached hereto and incorporated herein, showing that the aforesaid policies are in effect in the required amounts. CONSULTANT shall, prior to commencement of work under this Agreement, file with the City Clerk such certificate or certificates. The general liability insurance shall contain an endorsement naming the CITY as an additional insured. All of the policies required under this Agreement shall contain an endorsement providing that the policies cannot be canceled or reduced except on thirty (30) days prior written notice to CITY, and specifically stating that the coverage contained in the policies affords insurance pursuant to the terms and conditions as set forth in this Agreement.
5 (f) The insurance provided by CONSULTANT shall be primary to any coverage available to CITY. The policies of insurance required by this Agreement shall include provisions for waiver of subrogation.
(g) Any deductibles or self-insured retentions must be declared to and approved by CITY. At the option of CITY, CONSULTANT shall either reduce or eliminate the deductibles or self-insured retentions with respect to CITY, or CONSULTANT shall procure a bond guaranteeing payment of losses and expenses.
(h) The failure of CONSULTANT to procure and maintain this required insurance does not negate its obligation under this Agreement to do so.
Section 12. Indemnification. CONSULTANT agrees to indemnify, hold harmless and defend CITY, City Council and each member thereof, and every officer, employee and agent of CITY, from any claim, liability or financial loss (including, without limitation, attorneys fees and costs) arising from any intentional, reckless, negligent, or otherwise wrongful acts, errors or omissions of CONSULTANT or any person employed by CONSULTANT in the performance of this Agreement.
Section 13. Termination.
(a) CITY shall have the right to terminate this Agreement for any reason or for no reason upon five calendar days’ written notice to CONSULTANT. CONSULTANT agrees to cease all work under this Agreement on or before the effective date of such notice. (b) In the event of termination or cancellation of this Agreement by CITY, due to no fault or failure of performance by CONSULTANT, CONSULTANT shall be paid based on the percentage of work satisfactorily performed at the time of termination. If this Agreement is terminated or canceled mid-year, and within the first three hundred (300) days of the contract year, then the Fee shall be prorated with a minimum of fifty percent (50%) deemed earned. The Fee shall be deemed fully earned if termination occurs after three hundred one (301) days of the contract year. In the event of a mid-term termination of this Agreement by either PARTY, all excess compensation will be paid to CITY within sixty (60) days of the date of termination. In no event shall CONSULTANT be entitled to receive more than the amount that would be paid to CONSULTANT for the full performance of the services required by this Agreement.
CONSULTANT shall have no other claim against CITY by reason of such termination, including any claim for compensation.
Section 14. City’s Responsibility. CITY shall provide CONSULTANT with all pertinent data, documents, and other requested information as is available for the proper performance of CONSULTANT’s Scope of Work.
Section 15. Information and Documents. All data, information, documents and drawings prepared for CITY and required to be furnished to CITY in connection with this Agreement shall become the property of CITY, and CITY may use all or any portion of the work submitted by CONSULTANT and compensated by CITY pursuant to this Agreement as CITY deems appropriate.
Section 16. Records and Inspections. CONSULTANT shall maintain full and accurate records with respect to all matters covered under this Agreement for a period of three years. CITY shall have access, without charge, during normal business hours to such records, 6 and the right to examine and audit the same and to make copies and transcripts therefrom, and to inspect all program data, documents, proceedings and activities.
Section 17. Changes in the Scope of Work. CITY shall have the right to order, in writing, changes in the scope of work or the services to be performed. Any changes in the scope of work requested by CONSULTANT must be made in writing and approved by both parties.
Section 18. Notice. Any notices, bills, invoices, etc. required by this Agreement shall be deemed received on (a) the day of delivery if delivered by hand during the receiving party’s regular business hours or by facsimile before or during the receiving party’s regular business hours; or (b) on the second business day following deposit in the United States mail, postage prepaid to the addresses set forth above, or to such other addresses as the parties may, from time to time, designate in writing pursuant to this section.
Section 19. Attorney’s Fees. In the event that either party commences any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action shall be entitled to reasonable attorney's fees, costs and necessary disbursements, in addition to such other relief as may be sought and awarded.
Section 20. Entire Agreement. This Agreement represents the entire integrated agreement between CITY and CONSULTANT, and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by a written instrument signed by both CITY and CONSULTANT.
Section 21. Exhibits; Precedence. All documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. In the event of any material discrepancy between the express provisions of this Agreement and the provisions of any document incorporated herein by reference, the provisions of this Agreement shall prevail.
Section 22. Governing Law. The interpretation and implementation of this Agreement shall be governed by the domestic law of the State of California.
Section 23. City Not Obligated to Third Parties. CITY shall not be obligated or liable under this Agreement to any party other than CONSULTANT.
Section 24. Severability. Invalidation of any provision contained herein or the application thereof to any person or entity by judgment or court order shall in no way affect any of the other covenants, conditions, restrictions, or provisions hereof, or the application thereof to any other person or entity, and the same shall remain in full force and effect.
Section 25. CITY Cooperation. CITY agrees to cooperate with CONSULTANT in the performance of CONSULTANT’s services by providing CONSULTANT, upon written request, with reasonable access to CITY’s personnel and information, including providing complete and accurate information as to CITY’s loss experience, risk exposures and any other pertinent information that CONSULTANT requests. In addition, when known, CITY shall have the responsibility to keep record of and immediately report to CONSULTANT, if believed by CITY to be significant, changes in exposures, loss-related data, and/or any other material changes. This reporting must be memorialized in writing and delivered to CONSULTANT in accordance with the notice provisions below.
7 Section 26. Disaster Recovery; Continuity. CONSULTANT agrees that it has a disaster recovery plan in place that is intended to secure, and if necessary, restore information adversely affected by a security breach, force majeure or natural disaster. In addition, CONSULTANT will make commercially reasonable efforts to ensure that, at all times, it has a sufficient number of trained personnel on hand to meet its obligations under this Agreement including in the event of a force majeure, natural disaster, or pandemic.
Section 27. Ethics and Conflict of Interest Statement. CONSULTANT shall conduct its business so as to fulfill all legal and ethical requirements, and standards of the industry and the applicable state(s) in which SERVICES are rendered, and shall place the best interests of CITY ahead of any other concerns in the placement of insurance services and products. To this end, CONSULTANT:
a) Shall adhere to its ethical obligations to CITY to deliver honest, competitive, and meaningful service and advice on the placement of any insurance products, services, or coverages, and to provide access to an open, fair, and competitive insurance market place;
b) Shall exercise due diligence in making a full and complete disclosure of all quotes and declinations from all markets contacted for each specific line of coverage, including the date and time of contact and the name, address, phone number and, to the extent available, email address of the individual contact for each market; c) Shall make every good faith attempt to avoid even the appearance of a conflict of interest between CONSULTANT, CITY, and any provider of any insurance product or service, and will promptly notify CITY of any real or potential conflict of interest; d) Agrees to provide to CITY a copy of CONSULTANT’S own Ethics Statement or Code, or CONSULTANT’s Compliance Statement, or to make such statements available on CONSULTANT’s website; and
e) Shall request that all insurance carriers show any commission rates on their insurance policies and will otherwise ensure those rates are known to CITY. 8 EXECUTED the day of January 2023, at Beverly Hills, California.
CITY OF BEVERLY HILLS
A Municipal Corporation
LILI BOSSE
Mayor of the City of Beverly Hills, California
ATTEST:
________________________ (SEAL)
HUMA AHMED
City Clerk
CONSULTANT
Conor Boughey, Senior Vice President,
Public Entities
Daniel Howell, Senior Executive Vice President,
Managing Director – Public Entities
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
_____________________________
LAURENCE S. WIENER NANCY HUNT-COFFEY
City Attorney City Manager
_____
SHELLEY OVROM
Director of Human Resources
_____________________________
SHARON L’HEUREUX DRESSEL
Risk Manager
9 EXHIBIT A
SCOPE OF WORK
CONSULTANT shall perform the following services:
1. Develop and recommend insurance options and other risk financing or loss funding programs, techniques, and methods.
2. Assist CITY in developing underwriting and marketing information.
3. Review marketing plan with CITY and provide CITY with results of all marketing efforts.
4. Structure a coverage program as desired by CITY with financially acceptable insurance companies, when reasonably available.
5. When possible, negotiate insurance contract wording to meet the specific needs of CITY.
6. Review insurance agreements, binders, certificates, and other documents for accuracy and obtain revisions in such documents when needed.
7. Monitor the insurance placements to assure its continuing balance of coverage scope, cost, service, and stability.
8. Provide binders, certificates and policy documents.
9. Act as an advocate in claim matters for all lines of coverage and provide assistance in emergency situations.
10. Work with CITY Risk Management division in making a formal review of each CITY insurance program on an annual basis, including recommendations on alternative methods of handling the exposure and any analysis of exclusions and other problem areas.
11. Provide Insurance Requirements in Contracts (IRIC) training to staff involved in securing contracts.
12. Provide CITY with Probable Maximum Loss studies to evaluate appropriate levels of earthquake insurance.
13. Provide Loss Control Services as included in Attachment 1.
14. Provide CITY with options to participate in Joint Powers Authorities (JPA) to secure coverage.
15. Provide CITY with options to participate in joint purchase programs to secure coverage.
16. Provide CITY with an option to join Alliant Programs and all the ancillary services included in those placements.
17. Assist in enhancement of Loss Prevention & Risk Management Programs
18. Conduct Renewal Strategy Meeting’s (at least 100 days prior to major renewal dates) with CITY to review:
• Risk & Coverage Analysis and the adequacy of current insurance • portfolio
• Update CITY on current insurance market.
• Discuss recent renewal results for similar clients.
• Provide an analysis of viable underwriter alternatives, their capacity, and deductible preferences
• Provide renewal pricing ranges
• Suggest renewal timeline and options
10 Line of Insurance Coverage Provided
CITY agrees to designate Broker as CITY’s sole representative for marketing and placement of insurance coverage, services and products in the following CITY coverage(s):
1. “All Risk” Property,
2. Boiler and Machinery,
3. Earthquake and Flood/D.I.C.
4. Auto Physical Damage,
5. Fidelity (Crime),
6. Cyber Liability,
7. Pollution Liability,
8. Excess Workers Compensation,
9. Excess Municipal Liability Coverages,
10. Medical Malpractice Coverage, as necessary,
11. Employment Practices Liability Excess Coverage, and
12. Ancillary lines of coverage associated with CITY’S current exposures It is understood and agreed that CITY may obtain additional services and/or products or programs from CONSULTANT. CITY and CONSULTANT shall agree, in writing, the Scope of Work and compensation in advance of CONSULTANT’S performance and delivery.
CITY shall promptly review coverage documents delivered by CONSULTANT for consistency with CITY’s specifications.
11 EXHIBIT B
SCHEDULE OF PAYMENT AND RATES
The CITY will pay CONSULTANT based on the following schedule:
Year #1: $ 165,000.00
Year #2: $ 165,000.00
Year #3: $ 165,000.00
Year #4: Negotiable, not to exceed 3%
Year #5: Negotiable, not to exceed 3%
CITY shall compensate CONSULTANT for the satisfactory performance of the work described in this Agreement in a total amount not-to-exceed Eight Hundred Thirty-Four Thousand and Nine Hundred Dollars ($834,900) over a five (5) year period.
Annual Fee. As compensation for the Scope of Work, CITY shall pay the CONSULTANT for the each of the policy year listed above. Any mutually agreed extensions to this Agreement shall include negotiation of the Fee prior to the expiration of the then current term.
Retail Broker Fee shall include the Lines of Insurance Coverage Provided listed in Exhibit A, including any associated coverages. Additional lines such as Loss Portfolio Transfer products may be subject to additional compensation. CITY must approve any additional costs by written amendment.
Any Retail Broker Commissions paid to CONSULTANT for the current lines of coverage will be rebated back to the CITY in full; CONSULTANT will only earn the Annual Flat Fee noted above.
CONSULTANT shall submit an itemized statement to CITY for its services performed, which shall include documentation setting forth in detail a description of the services rendered. CITY shall pay CONSULTANT the undisputed amount of such undisputed billing within thirty (30) days of receipt of same.
Disclosures.
Revenue from Pool or JPA membership. Revenue CONSULTANT may receive for placing reinsurance or excess insurance for a pool or a joint power authority shall not be considered compensation paid by the CITY when the CITY participates in a pool or joint power authority placement.
Exclusions. Commissions for Notary and Fidelity Bonds, Special Event Policies and SLIP are not included in the annual Fee or compensation.
Transparency and Disclosure. During the time of this Agreement, CONSULTANT will, upon request, disclose COMMISSIONS, where possible, received by CONSULTANT in connection with any insurance placements on behalf of CITY under Alliant’s “Transparency and Disclosure” policy, a copy of which is made available upon request.
Pursuant to its policy, CONSULTANT will conduct business in conformance with all applicable insurance regulations and in advancement of the best interests of its clients. In addition, CONSULTANT’S conflict of interest policy precludes it from accepting any form of broker incentives that would result in business being placed with carriers in conflict with the interests of CONSULTANT’S clients.
12 Other CONSULTANT Services.
Alliant Specialty Insurance Services (ASIS). In addition to the compensation that CONSULTANT receives, its related entity, Alliant Specialty Insurance Services (ASIS) and its underwriting operations, Alliant Underwriting Services (AUS), may receive compensation from CONSULTANT and/or carriers for providing underwriting services.
The financial impact of the compensation received by ASIS is a cost included in the premium. Compensation received by ASIS will be disclosed in writing to CITY and is agreed to by CITY as part of the premium. CITY further acknowledges that CONSULTANT and ASIS maintain an arm’s length relationship. CITY understands that while CONSULTANT represents CITY as an individual entity, ASIS independently administers its program as a whole and not on behalf of any particular member.
Alliant Business Services (ABS). Additionally, CONSULTANT’S internal operating group, Alliant Business Services (ABS), may receive compensation from CONSULTANT and/or carriers for providing designated, value-added services. Services contracted for by the CITY directly will be invoiced accordingly. Otherwise, services will be provided at the expense of CONSULTANT and/or the carrier.
Taxes and Fees, Third Party Brokers and Indirect Income.
Surplus Lines Fees and Taxes. In certain circumstances, placement of insurance services made by CONSULTANT on behalf of CITY, with the prior approval of CITY, may require the payment of surplus lines assessments, taxes, and/or fees to state regulators, boards, and associations. Such assessments, taxes, and/or fees will be charged to CITY and identified separately on invoices covering these placements. CITY shall be responsible for all such assessments, taxes, and fees, whether or not separately invoiced. CONSULTANT shall not be responsible for the payment of any such fees, taxes, or assessments, except to the extent such fees, taxes or assessments have already been collected from CITY.
Third Party Brokers. CONSULTANT may determine from time to time that it is necessary or appropriate to utilize the services of third-party brokers (such as surplus lines brokers, underwriting managers, London market brokers, and reinsurance brokers) to assist in marketing the CITY’S insurance program. These Third Party Brokers may be affiliates of Broker (e.g., other companies of Alliant Insurance Services, Inc. that provide services other than those included within the scope of Services of this Agreement), or may be unrelated third party brokers. Compensation of such Third Party Brokers will be paid by the insurance company out of paid insurance premiums. Where a placement through such Third Party Brokers will result in any compensation to a Alliant affiliate, CONSULTANT will fully disclose in writing to CITY its relationship to the affiliate, the reason(s) for the placement of coverage through the affiliate, and why such placement is in the best interest of the Client, and an estimate of the amount of compensation received by the CONSULTANT, affiliate, and/or third party brokers Should CONSULTANT determine, subsequent to a placement of CITY’s business, that one or more affiliates and/or intermediaries of Broker received compensation for the placement of CITY’s business, CONSULTANT shall promptly disclose this information to CITY in writing.
Indirect Income. “Indirect Income” means insurance carrier contingency arrangements.
CONSULTANT will not accept these compensation incentives from insurers, if any, including contingent commissions, market service agreements (MSA), volume-based commission incentives and rebates on business placed on behalf of CITY within the Scope of Work in this Agreement.
13 EXHIBIT C
CERTIFICATE OF INSURANCE
This is to certify that the following endorsement is part of the policy(ies) described below:
NAMED INSURED COMPANIES AFFORDING COVERAGE
A.
B.
ADDRESS C.
COMPANY
(A. B. C.) COVERAGE
POLICY
NUMBER
EXPIRATION
DATE
B.I. LIMITS
P.D.
AGGREGATE
AUTOMOBILE LIABILITY
GENERAL LIABILITY
PRODUCTS/COMPLETED
OPERATIONS
BLANKET CONTRACTUAL
CONSULTANT'S PROTECTIVE
PERSONAL INJURY
EXCESS LIABILITY
WORKERS' COMPENSATION
It is hereby understood and agreed that the City of Beverly Hills, its City Council and each member thereof and every officer and employee of the City shall be named as joint and several assureds with respect to claims arising out of the following project or agreement:
It is further agreed that the following indemnity agreement between the City of Beverly Hills and the named insured is covered under the policy: CONSULTANT agrees to indemnify, hold harmless and defend CITY, City Council and each member thereof, and every officer, employee and agent of CITY, from any claim, liability or financial loss (including, without limitation, reasonable attorneys fees and costs) to the extent arising from any intentional, reckless, negligent, or otherwise wrongful acts, errors or omissions of CONSULTANT or any person employed by CONSULTANT in the performance of this Agreement.
It is further agreed that the inclusion of more than one assured shall not operate to increase the limit of the company's liability and that insurer waives any right of contribution with insurance which may be available to the City of Beverly Hills.
In the event of cancellation or material change in the above coverage, the company will give 30 days written notice of cancellation or material change to the certificate holder.
Except to certify that the policy(ies) described above have the above endorsement attached, this certificate or verification of insurance is not an insurance policy and does not amend, extend or alter the coverage afforded by the policies listed herein.
Notwithstanding any requirement, term, or condition of any contract or other document with respect to which this certificate or verification of insurance 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.
DATE: BY:
Authorized Insurance Representative
TITLE:
AGENCY: ADDRESS:
RM02.DOC REVISED 10/14/96.