2025-2026
Alliant Insurance Services, Inc. 2180 Harvard Street, Ste 460 Sacramento, CA 95815 PHONE (916) 643-2700FAX (916) 643-2750 www.alliant.com License No.0C36861
Presented on June 3, 2025 by:
Kevin J. Bibler
Senior Vice President
City of Merced
Evan Washburn
AVP Associate Producer
Kortney K. Hughes Account
Manager
2025-2026 Alliant Property Insurance Program (APIP) Executive Summary Page 1 of 2 City of Merced
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
July 1, 2025 – July 1, 2026
EXECUTIVE SUMMARY
Attached is the annual renewal summary for the Alli ant Property Insurance Program (APIP) effective 7/1 /2025. A summary of the most significant matters is provided below for your review.
After multiple years in a hard market cycle, the pr operty market has significantly improved in 2025. G enerally, Insured’s that are loss free will see a rate reduction at the 2025/26 renewal. Insureds that have large increases in exposure or are loss challenged will be individually underwritten.
For the 2025/26 renewal, Berkshire Hathaway Specialty Insurance (BHSI) will lead the first $30,000,000 of the program.
Maximum program limits are $1,250,000,000 and will be placed with worldwide markets rated at A.M. Best A- VII or higher. Insureds should note several key highlights for this year’s renewal:
Boiler & Machinery cover for participating insured s of the APIP Boiler Program will be maintained wit h Hartford Steam Boiler (HSB), who will also continue to perform required jurisdictional inspections. Cyber (Privacy Liability) Coverage (1st and 3rd pa rties) for eligible insureds continues to be provid ed as an option. Please refer to coverage as outlined on th e following proposal which includes a summary of pr oposed changes for this renewal. Additional excess option s are available, if requested for insureds with goo d security controls in place. Please note claims reporting timeframe limitations for this coverage Pollution Coverage (1 st and 3 rd parties) for eligible insureds continues to be provided as an option. Please refer to coverage as outlined on the following proposal w hich includes a summary of proposed changes for thi s renewal. Please note claims reporting timeframe limitations for this coverage Vehicles/Contractor’s Equipment – it is important to note on the attached proposal whether the vehicl e and/or contractors equipment valuation is Replacement Cost (new) or Actual Cash Value (ACV). If Replacement C ost (new) valuation is needed, the insured must submit a schedule of vehicles or a vehicle valuation repor ting form (provided in the pre-renewal packet), and vehicles must be valued at today’s Replacement Cost (new). If values are not reported at Replacement Cost (new), the veh icle/contractor’s equipment valuation basis will be ACV Alliant Business Services (ABS) continues to play a significant role , not only in providing a wide range of loss control services, but also by offering appraisal se rvices, business interruption assessments, valuatio n, consulting, and infrared testing. Please refer to our program brochure inserts for further details of our ABS services. For the program, property valuations are a key focus. As a reminder, it is underwriters’ intent to have all buildings with a scheduled value of $5,000,000 or more appraised once every seven to ten years. This service is included in the total program cost. Insureds may also choose to have lower valued buildings apprais ed. The cost to have all, or specific buildings appraised t hat are valued on an insureds schedule between $25, 000 and $5,000,000 will be quoted at the time the request is made.
Finally, Alliant provides a Cyber Resilience Servic es Subscription Bundle which is available to APIP c lients. The Alliant Cyber Consulting Practice helps clients identify, evaluate, remediate, transfer, and respond to the cyber risks that matter most, driving better cyber risk management, resilie nce and insurability outcomes. Brochure is included , ask your Alliant representative for more details.
Please review important Disclosure and Loss Notification information included in your renewal materials.
Your review and acknowledgement of these documents are required via your signature once you authorize a request to bind coverage with your Alliant representative. Although this proposal packet is as complete as possible, the program is being negotiated up to the 7/1/2025 effective date. We will endeavor to provide any known material changes prior to renewal. All coverage items currently under review with APIP markets to be effective on 7/1/2025, are listed at the end of each coverage proposal being quoted.
2025-2026 Alliant Property Insurance Program (APIP) Executive Summary Page 2 of 2 City of Merced
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
July 1, 2025 – July 1, 2026
EXECUTIVE SUMMARY
The following table depicts key financial statistics relative to last year:
Year-over-Year Rate and Premium Comparison
City of Merced 2022-2023 2023-2024
2024-2025
(at 12/17/2024 )
2025-2026 Variance
Total Insurable Values
(TIV):
$ 334,195,918 $ 388,419,039 $ 437,265,220 $ 448,510,653 2.57% Earthquake TIV: Not Applicable Not Applicable Not Applicable Not Applicable N/A Earthquake Limit: Not Covered Not Covered Not Covered Not Covered N/A *Property Annual Cost: $ 652,918.82 $ 1,028,454.75 $ 1,183,854.64 $ 1,325,174.48 11.94% Cyber Liability Annual
Cost:
$ 17,532.88 $ 17,170.18 $ 15,975.36 $ 16,755.40 4.88% Pollution Liability Annual
Cost:
$ 2,546.15 $ 3,445.18 $ 4,460.47 $ 4,720.49 5.83%
Total Account Rate
($/100):
0.2013782 0.2700872 0.2754142 0.3002494 9.02%
**Total Annual Cost: $ 672,997.85 $ 1,049,070.11 $ 1,204,290.47 $ 1,346,650.37 11.82%
*Property Annual Cost includes: all premiums, under writing fees, commissions, loss control expenses, program administration charges, and applicable taxes
** Total Annual Cost includes the following: Property Annual Cost
Thank you for your continued support of APIP. We look forward to working with you this next year. Please let us know if you have any questions about your renewal.
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 1 of 12 City of Merced
06/03/2025 11:03:49 AM
ALLIANT INSURANCE SERVICES, INC.
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
PROPERTY PROPOSAL
TYPE OF INSURANCE: Insurance Reinsurance
NAMED INSURED: City of Merced
DECLARATION: 2-Cities 2
POLICY PERIOD: July 1, 2025 to July 1, 2026
COMPANIES: See Attached List of Companies
TOTAL INSURED
VALUES:
$ 448,510,653 as of June 03, 2025
ALL RISK
COVERAGES &
SUB-LIMITS:
$ 500,000,000
Per Occurrence: all Perils, Coverages (subject to p olicy exclusions) and all Named Insureds (as defined in t he policy) combined, per Declaration, regardless of the number of Named Insureds, coverages, extensions of coverage, or perils insure d, subject to the following per occurrence and/or aggr egate sub- limits as noted below.
$ 5,000,000 Flood Limit - Per Occurrence and in the Annual Aggregate (for those Named Insured(s) that purchase this optional dedicated coverage).
$ 5,000,000 Per Occurrence and in the Annual Aggreg ate for scheduled locations in Flood Zones A & V (inclusive of all 10 0 year exposures). This Sub-limit does not increase the s pecific flood limit of liability for those Named Insured(s) that purchase this optional dedicated coverage.
Not Applicable Per Occurrence for losses to locati ons in Tier 1 and/or Tier 2 Counties and resulting from a Named Windstorm.
Not Covered Earthquake Shock - Per Occurrence and in the Annual Aggregate (for those Named Insured(s) that purchase this optional dedicated coverage).
$ 100,000,000 Combined Business Interruption, Renta l Income and Tuition Income (and related fees). However, if specific va lues for such coverage have not been reported as part of the Named Insured's schedule of values held on file with Alliant Insura nce Services, Inc., this sub-limit amount is limited to $500,000 per Named Insured subject to maximum of $2,500,000 Per Occurrence, Per Declaration for Business Interruption, Rental Income and Tuition Income combined. Coverage for power generating pla nts is excluded, unless otherwise specified.
$ 50,000,000 Extra Expense.
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 2 of 12 City of Merced 06/03/2025 11:03:49 AM
ALL RISK
COVERAGES &
SUB-LIMITS:
(continued)
Per Bound TIV $10,000,000 Miscellaneous Unnamed Lo cations for Named Insureds with total insurable values greater than o r equal to $250,000,000 at time of binding or $5,000,000 Misc ellaneous Unnamed Locations for Named Insureds with total ins urable values less than $250,000,000 at time of binding ex cluding Earthquake coverage for Alaska and California locat ions. If Flood coverage is purchased for scheduled locations , this extension will extend to include Flood coverage for any location not situated in Flood Zones A or V.
180 Days Extended Period of Indemnity
See Policy Provisions $50,000,000, or a Named Insur ed's Policy Limit of Liability if less than $50,000,000, Automatic Acquisition for 120 days except:
- $25,000,000 Automatic Acquisition for 90 days for new sub- member and/or entity of an existing Pools, JPA or Group; - $25,000,000 Automatic Acquisition for 90 days for Vacant properties;
- $10,000,000 Automatic Acquisition for 120 days for Licensed Vehicles;
- $2,500,000 Automatic Acquisition for 60 days f or additional property and/or interests in Tier 1 Wind Counties, Parishes and Independent Cities for the states of Virginia, Nort h Carolina, South Carolina, Georgia, Alabama, Mississippi, Loui siana, Texas and/or situated anywhere within the states of Florida and Hawaii;
- The peril of Earthquake is excluded for the st ates of Alaska and California;
- If Flood coverage is purchased for all schedul ed locations, this extension will extend to include Flood coverage for any location not situated in Flood Zones A or V.
$ 1,000,000 Unscheduled Landscaping, tees, sand tra ps, greens, athletic fields and artificial turf; however, replacement of trees, plants and shrubs will be limited to the actual size of the de stroyed plant, tree or shrub at the time of the loss up to a maxim um size of 25 gallons per item but not to exceed $25,000 per item for existing Named Insureds excluding Earthquake coverage for Alaska and California locations. If Flood coverage is purchas ed for scheduled locations, this extension includes Flood coverage for any location not situated in Flood Zones A or V.
$ 5,000,000 or 110% of the scheduled values, whiche ver is greater, for Scheduled Landscaping, tees, sand traps, greens, athletic fields and artificial turf; however, replacement of trees, plants and shrubs will be limited to the actual size of the de stroyed plant, tree or shrub at the time of the loss up to a maxim um size of 25 gallons per item but not to exceed $25,000 per item.
$ 5,000,000 or 120% of the scheduled values, which ever is less, for Scheduled Landfills (as more fully defined in the policy).
$ 50,000,000 Errors & Omissions - This extension do es not increase any more specific limit stated elsewhere in this policy or D eclarations.
$ 25,000,000 Course of Construction and Additions ( including new) for projects with completed values not exceeding the sub- limit shown.
Projects valued greater than $15,000,000 require un derwriting approval and a premium charge.
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 3 of 12 City of Merced 06/03/2025 11:03:49 AM
ALL RISK
COVERAGES &
SUB-LIMITS:
(continued)
$ 500,000 Money & Securities for named perils only as referenced within the policy, however fraudulent impersonation, fraud ulent instruction or similar events are excluded.
$ 2,500,000 Unscheduled Fine Arts.
$ 250,000 Accidental Contamination per occurrence a nd annual aggregate per Named Insured with $500,000 annual aggregate fo r all Named Insureds per Declaration. Coverage shall not attach or become insurance upon any property which at the time of loss is more specifically described and covered under any o ther policy form until the liability of such other insurance ha s first been exhausted and shall then cover only the excess of value of such property over and above the amount payable under su ch other insurance, whether collectible or not.
$ 750,000 Unscheduled infrastructure including but not limite d to tunnels, bridges, dams, catwalks (except those not for publi c use), roadways, highways, streets, sidewalks, culverts, c hannels, levees, dikes, berms, embankments, landfills (as mo re fully defined in the policy), docks, piers, wharves, stre et lights, traffic signals, meters, roadway or highway fencing (includ ing guardrails), and all similar property unless a spec ific value has been declared. Unscheduled infrastructure coverage is
excluded for the peril of Earthquake and excluded for Federal Emergency Management Agency (FEMA) and/or Office of
Emergency Services (OES) declared disasters, provi ding said declaration provides funding for repairs.
$ 50,000,000 Increased Cost of Construction due to the enforcement of building codes/ ordinance or law (includes All Risk and Boiler & Machinery) except $2,500,000 for vacant properties.
$ 25,000,000 Transit - Physical Damage only.
$ 2,500,000 Unscheduled Animals; not to exceed $50, 000 per Animal, per Occurrence.
$ 2,500,000 Unscheduled Watercraft up to 27 feet.
Included Per Occurrence for Off Premises Vehicle Physical Damage.
$ 25,000,000 Off Premises Services Interruption inc luding Extra Expense resulting from a covered peril at non-owned/operated locations.
$ 5,000,000 Per Occurrence Per Named Insured subjec t to an Annual Aggregate of $10,000,000 for Earthquake Shock on Li censed Vehicles, Unlicensed Vehicles, Contractor's Equipment and Fine Arts combined for all Named Insured(s) in this Decl aration combined that do not purchase optional dedicated Ea rthquake Shock coverage, and/or where specific values for such items are not covered for optional dedicated Earthquake Shock coverage as part of the Named Insured's schedule of values h eld on file with Alliant Insurance Services, Inc..
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 4 of 12 City of Merced 06/03/2025 11:03:49 AM
ALL RISK
COVERAGES &
SUB-LIMITS:
(continued)
$ 5,000,000 Per Occurrence Per Named Insured subjec t to an Annual Aggregate of $10,000,000 for Flood on Licensed Vehi cles, Unlicensed Vehicles, Contractor's Equipment and Fin e Arts combined for all Named Insured(s) in this Declarati on combined that do not purchase optional dedicated Flood cover age, and/or where specific values for such items are not covered for optional dedicated Flood coverage as part of the Named Insur ed's schedule of values held on file with Alliant Insura nce Services, Inc..
$ 3,000,000 Contingent Business Interruption, Conti ngent Extra Expense, Contingent Rental Values and Contingent Tuition Inc ome separately.
$ 3,000,000 Tax Revenue Interruption – Per Policy P rovisions. However, if specific values for such coverage have not been reported as part of the Named Insured’s schedule of values held on file with Alliant Insurance Services, Inc., this sub-limit am ount is limited to $1,000,000 Per Occurrence – Per Policy Provisions.
$ 500,000 Jewelry, Furs, Precious Metals and Precio us Stones Separately.
$ 1,000,000 Claims Preparation Expenses.
$ 50,000,000 Expediting Expenses.
$ 100,000 Per Occurrence with a $1,000,000 Annual A ggregate per Declaration for Mold/Fungus Resultant Damage as mor e fully defined in the policy.
$ 100,000,000 Ingress/Egress Per Occurrence, Per Na med Insured for the actual loss sustained during the period of time not exceeding 30 days when, as a direct result of physical loss or damage caused by a covered peril(s) specified by this Policy and occurring at property located within a 10 mile radius of covered property, ingress to or egress from the covered property by t his Policy is prevented.
$ 100,000,000 Interruption By Civil Authority Per O ccurrence, Per Named Insured for the actual loss sustained during the period of time not exceeding 30 days when, as a direct result of physi cal loss or damage caused by a covered peril(s) specified by this Policy and occurring at property located within a 10 mile radi us of covered property, access to the covered property is specifically prohibited by order of a civil authority.
$ 10,000,000 Electronic Data Processing Media.
$ 1,000,000 Personal Property Outside of the USA ( including associated Business Interruption).
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 5 of 12 City of Merced 06/03/2025 11:03:49 AM
ALL RISK
COVERAGES &
SUB-LIMITS:
(continued)
Not Covered Per Occurrence Per Declaration Upgrade to Green Coverage subject to the lesser of, the cost of upgrade, an a dditional 25% of the applicable limit of liability shown in the s chedule of values or this sub limit.
Not Covered for Communicable Disease.
$ 100,000 Per Occurrence while in Storage and In Tr ansit coverage subject to $10,000 Deductible for Unmanned Aircraft as more fully defined in the Policy. Not Covered while in Flight.
See Policy Provisions Scheduled Vacant Building per Conditions in Section IV., Item I
$ 2,500,000 Unscheduled Vacant Building per Policy Provisions Section IV., Item I
VALUATION: Repair or Replacement Cost (RCV)
Actual Loss Sustained for Time Element Coverages
Contractor’s Equipment /Vehicles either Replacemen t Cost (RCV) or Actual Cash Value (ACV) as declared by each insured. If not declared, valuation will default to Actual Cash Value (ACV)
EXCLUSIONS
(Including but not
limited to):
Seepage & Contamination
Cost of Clean-up for Pollution
Mold
Deductibles: If two or more deductible amounts prov ided in the Declaration Page apply for a single occurrence the total to be deducted shall not exceed the largest per occurrence deductible amount applicable . (The Deductible amounts set forth below apply Per Occurrence unless indicat ed otherwise).
“ALL RISK”
DEDUCTIBLE:
$ 25,000 Per Occurrence, which will apply in the ev ent a more specific deductible is not applicable to a loss.
DEDUCTIBLES FOR
SPECIFIC PERILS
AND COVERAGES:
$ 100,000 All Flood Zones Per Occurrence excluding Flood Zones A & V.
$ 500,000 Per Occurrence for Flood Zones A & V (inc lusive of all 100 year exposures).
Not Applicable for losses to locations in Tier 1 a nd/or 2 Counties and resulting from a Named Windstorm.
DEDUCTIBLES FOR
SPECIFIC PERILS
AND COVERAGES:
(continued)
Not Covered Earthquake Shock: If the stated deduc tible is a flat dollar amount, the deductible will apply on a Per Occurren ce basis, unless otherwise stated. If the stated deductible is on a percentage basis, the deductible will apply Per Occ urrence on a Per Unit basis, as defined in the policy form, su bject to the minimum deductible per occurrence.
$ 1,000 Per Occurrence for Specially Trained Animal s.
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 6 of 12 City of Merced 06/03/2025 11:03:49 AM
DEDUCTIBLES FOR
SPECIFIC PERILS
AND COVERAGES:
(continued)
$ 500,000 or the All Risk Basic Deductible, whichev er is greater, for Unscheduled
infrastructure including but not limited to tunnels ,
bridges, dams, catwalks (except those not for publi c use), roadways, highways, streets, sidewalks, culverts, c hannels, levees, dikes, berms, embankments, landfills (as mo re fully defined in the policy), docks, piers, wharves, stre et lights, traffic signals, meters, roadway or highway fencing (includ ing guardrails), and all similar property unless a spec ific value has been declared. Unscheduled infrastructure coverage is
excluded for the peril of Earth quake and excluded for Federal Emergency Management Agency (FEMA) and/or Office of
Emergency Services (OES) declared disasters, provi ding said declaration provides funding for repairs.
$ 10,000 Per Vehicle or Item for Licensed Vehicles, Unlicensed Vehicles and Contractor's Equipment subject to $100,000 Maxi mum Per Occurrence, Per Named Insured for the peril of Eart hquake for Named Insured(s) who do not purchase dedicated Eart hquake limits.
$ 50,000 Per Occurrence Per Named Insured for this Declaration for Fine Arts for the peril of Earthquake for Named Insured(s) who do not purchase dedicated Earthquake limits.
$ 10,000 Per Vehicle or Item for Licensed Vehicles, Unlicensed Vehicles and Contractor's Equipment subject to $100,000 Maxi mum Per Occurrence, Per Named Insured for the peril of Flood for Named Insured(s) who do not purchase dedicated Flood limits.
$ 50,000 Per Occurrence Per Named Insured for this Declaration for Fine Arts for the peril of Flood for Named Insured(s) wh o do not purchase dedicated Flood limits.
2.5% of Annual Tax Revenue Value per location for Tax Revenue Interruption.
$ 25,000, Except $50,000 for all police vehicles va lued under $250,000; $100,000 for All Vehicles with RCV of $250,000 to $ 750,000; $250,000 for All Vehicles with RCV in Excess of $75 0,000. Per Occurrence for Off Premises Vehicle Physical Damage . If Off- Premises coverage is included/purchased, the stated deductible will apply to vehicle physical damage both on and o ff-premises on a Per Occurrence basis, unless otherwise stated. If Off- Premises coverage is not included, On-Premises/In-Y ard coverage is subject to the All Risk (Basic) deductible.
Replacement Cost Vehicle Valuation Basis
$ 10,000 Per Occurrence for Contractor's Equipment.
Replacement Cost Contractor's Equipment Valuation Basis
Time Qualifiers
24 Hour Waiting Period for Ingress/Egress, per Occ urrence, as further defined in the Policy Form.
24 Hour Waiting Period for interruption by Civil A uthority, per Occurrence, as further defined in the Policy Form.
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 7 of 12 City of Merced 06/03/2025 11:03:49 AM
24 Hour Waiting Period for Off Premises Service Interruptio n per Occurrence, as further defined in the Policy Form.
SPECIAL TERMS AND
CONDITIONS:
It is understood and agreed that notwithstanding anything contained herein to the contrary the following shall apply to this Policy:
SPECIAL TERMS 1: The buildings at the following locations listed bel ow will have a 120% margin clause applicable based on the values reported per schedul e on file with Alliant Insurance Services. Under no circumstances will the company pay more than 120% of the reported values.
1. 3033 N G STREET, MERCED, CA 95348
Values reported per schedule on file with Alliant
Insurance Services
Special Terms Limit
See Policy Special Terms Deductible
The following stand-alone coverages are provided by the APIP program but are not covered in the Limit of Liability or the Sub-Limits of Liability above or attached to the Master Policy Form Wording. However, the coverage costs are included in the APIP Total Cost noted below. Carriers providing these coverages are included in the Schedule of Carriers.
$ 100,000,000 Per Named Insured Per Occurrence subj ect to $200,000,000 Annual Aggregate of Declarations 1-14, 18-30 and 32 -35 combined as respects Property Damage, Business Inte rruption, Rental Income and Extra Expense Combined for Terror ism (Primary Layer).
$ 25,000 Per Occurrence Deductible for Primary Terr orism.
$ 600,000,000 Per Named Insured for Terrorism (Exce ss Layer) subject to;
$ 1,100,000,000 Per Occurrence, All Named Insureds combined in Declarations 1-14, 18-21, 23-30 and 32-35 for Terrorism (Excess Layer) subject to;
$ 1,400,000,000 Annual Aggregate shared by all Name d Insureds combined in Declarations 1-14, 18-21, 23-30 and 32-35, as respects Property Damage, Business Interruption, Rental Income and Ex tra Expense combined for Terrorism (Excess Layer).
$ 500,000 Per Occurrence Deductible for Excess Terr orism (Applies only if the Primary Terrorism Limit is exhausted).
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 8 of 12 City of Merced 06/03/2025 11:03:49 AM
Included Information Security & Privacy Insurance with Electronic Media Liability Coverage. See attached Cyber Coverage Su mmary for applicable Limits. (Cyber Liability) If, insured pu rchases such coverage.
$ 25,000,000 Per Named Insured, Per occurrence subj ect to an Annual Aggregate of $50,000,000 combined for Declarations 1-14, 18- 30 and 32-35 as respects Personal and Real property for Cyber Attack Resultant Damage.
Included Pollution Liability Insurance Coverage. See attached Pollution Liability Insurance Coverage Document for applicabl e limits and deductibles. If, insured purchases such coverage. I f, insured purchases such coverage.
TERMS &
CONDITIONS:
Sub-limits, terms and conditions are subject to change.
25% Minimum Earned Premium and cancellations subjec t to 10% penalty
Except Cyber Liability Premium is calculated on a pro-rata basis, unless there is a claim in which case the premium is deemed fully ear ned. If, insured purchases such coverage.
Except Pollution Liability Premium is 100% Earned at Inception. If, insured purchases such coverage.
NOTICE OF
CANCELLATION:
90 Days except 10 Days for non-payment of premium
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 9 of 12 City of Merced 06/03/2025 11:03:49 AM
Option 1 $25,000 Deductible
Annual Cost*
Total Property
Premium:
$ 1,268,698.00
Excess Boiler: $ 5,751.00
Cyber Liability
Premium:
$ 16,239.00
Pollution Liability
Premium:
$ 4,575.00
ABS Fee: $ 10,198.00
SLT&F’s (Estimate) $ 41,189.37
Broker Fee: $ 0.00
TOTAL COST †:
(Including Taxes and
Fees)
$ 1,346,650.37
Option 2 $50,000 Deductible
Annual Cost*
Total Property
Premium:
$ 1,244,711.00
Excess Boiler: $ 5,751.00
Cyber Liability
Premium:
$ 16,239.00
Pollution Liability
Premium:
$ 4,575.00
ABS Fee: $ 9,886.00
SLT&F’s (Estimate) $ 40,426.59
Broker Fee: $ 0.00
TOTAL COST †:
(Including Taxes and
Fees)
$ 1,321,588.59
Option 3 $100,000 Deductible
Annual Cost*
Total Property
Premium:
$ 1,220,725.00
Excess Boiler: $ 5,751.00
Cyber Liability
Premium:
$ 16,239.00
Pollution Liability
Premium:
$ 4,575.00
ABS Fee: $ 9,574.00
SLT&F’s (Estimate) $ 39,663.83
Broker Fee: $ 0.00
TOTAL COST †:
(Including Taxes and
Fees)
$ 1,296,527.83
*Premiums are based on valid selectable options and the TIV’s above. Changes in TIV’s will require a premium adjustment. Please refer to invoice for new lock box remittance for address and account information.
† TOTAL COST includes: premiums, underwriting fees, c ommissions, loss control expenses, program administration charges, and applicable taxes (excluding the Cyber Enhancement premium - should you have elected to purchase this coverage)
PRINT DATE: June 3, 2025
PROPOSAL VALID UNTIL: July 1, 2025
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 10 of 12 City of Merced 06/03/2025 11:03:49 AM
BROKER: ALLIANT INSURANCE SERVICES, INC.
License No. 0C36861
NOTES:
• Some coverage, limits, sub-limits, terms and conditions will change, as negotiations are ongoing. Changes will be documented and accompany the Binder Confirmation for July 1, 2025 bound terms. Coverage outlined in this Proposal is subject to the terms and conditions being negotiated with the policy. To be finalized and presented at Program Inception. • The program expects to continue purchasing Cyber Resultant Physical Damage cover which is provided to insureds purchasing Terrorism within the program – limits to be determined. See expiring Policy No. PF2409084 for current coverage details. • This proposal is based on the current loss experience and is subject to change if this insured’s loss ratio deteriorates further and/or if the markets suffer a catastrophic event • Change in Total Insurable Values will result in adjustment in premium • Each line of coverage is rated separately. Increases in TIV’s on highly rated coverages such as Vehicles, CE, EQ or 100 year Flood Zones, etc. may increase the insured’s average account rate. • The flood zones provided on the Schedule of Values (SOVs) are for rating purposes only. The actual flood zone will be determined at the time of loss.
• Please refer to invoice for new lock box remittance for address and account information.
Kevin J. Bibler
Senior Vice President
Evan Washburn
Account Executive
Kortney K. Hughes
Account Manager
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 11 of 12 City of Merced 06/03/2025 11:03:49 AM
APIP SUMMARY OF PROPOSED PROPERTY CHANGES
BELOW IS A SUMMARY OF PROPOSED CHANGES FOR THE 2025-2026 POLICY PERIOD
Coverage 2024-2025 2025-2026 Status
All Risk Limit $1,000,000,000 $1,250,000,000
Enhancement
Tax Interruption
Sub-limit
2.5% of Annual Tax Revenue Value per Location
for Tax Interruption.
2.5% of Annual Tax Revenue Value per
Location for Tax Revenue Interruption.
Clarification
Waiting Periods 24 Hour waiting periods
Added sub-section with new header
identifying 24 hour waiting periods as “Time
Qualifiers”
Clarification
Service
Interruption
24 Hour Waiting Period for Service Interruption for
All Perils and Coverages.
24 Hour Waiting Period for Off Premises
Service Interruption per Occurrence, as
further defined in the Policy Form
Clarification
Ingress/Egress 24 Hour Waiting Period for Ingress/E gress 24 Hour Waiting Period for Ingress/Egress
per Occurrence, as further defined in the
Policy Form
Clarification
Civil Authority 24 Hour Waiting Period for Civil A uthority 24 Hour Waiting Period for interruption by
Civil Authority, per Occurrence, as further
defined in the Policy Form
Clarification
Unscheduled
infrastructure $500,000 deducitble $500,000 or basic deductible whichever is higher
Clarification
MASTER POLICY FORM PROPOSED CHANGES
Coverage 2024-2025 2025-2026 Status
Policy Period July 1, 2024 to July 1,2025 July 1, 2 025 to July 1,2026 Update USA Form No. 20 21 Update
Section I, A.
Insuring
Agreement
In consideration of the premium paid by the Named
Insured to the Company, the Company agrees to
insure the following per the terms and conditions
herein.
In consideration of the premium paid by the
Named Insured to the Company, the program
carriers agree to insure the following per the
terms and conditions herein, including all
carrier endorsements, thereto.
Clarification
Section I E 2.n
Sub-limits
n. Unscheduled infrastructure
.. Unscheduled Infrastructure coverage is excluded
for the peril of Earthquake Shock, and for Federal
Emergency Management Agency (F.E.M.A.)
and/or any State Office of Emergency Services
(O.E.S.) declared disasters, providing said
declaration provides funding for repairs.
Unscheduled Infrastructure coverage is
excluded for the peril of Earthquake Shock
and excluded for Federal Emergency
Management Agency (F.E.M.A.) and/or any
State Office of Emergency Services (O.E.S.)
declared disasters, providing said declaration
provides funding for repairs.
Clarification
2025-2026 Alliant Property Insurance Program (APIP) Property Proposal Page 12 of 12 City of Merced 06/03/2025 11:03:49 AM
MASTER POLICY FORM PROPOSED CHANGES CONTINUED
Coverage 2024-2025 2025-2026 Status
Section I, H. Unit
of Insurance
Defined
H. Unit of Insurance Defined
H. Percentage Deductibles – Unit(s) of
Insurance Defined
When the applicable deductible is on a unit(s)
of insurance basis, subject to any applicable
minimum deductible(s) the amount of the
deductible shall be determined by applying
the percentages separately to each of the
following units of insurance:
Clarification
Tax Interruption Where Tax Interruption is referen ced Revised to read: Tax Revenue Interruption Clarification Section II, B. 6.
Claim Preparation
Expenses
This Policy also insures as a direct result of
physical loss or damage insured hereunder any
claim preparation expenses including, but not
limited to, auditors, consultants and accountants.
However, the expenses of public adjusters are
specifically excluded
This Policy also insures as a direct result of
physical loss or damage insured hereunder
solely to any claim preparation expenses
including, but not limited to, auditors,
consultants and accountants. However, the
expenses of public adjusters, or those
expenses of any party associated with
prosecuting a claim for coverage under this
policy, are specifically excluded.
Clarification
Section II, D. 6.
Library Contents Expiring values Values inflated by 2024; 4 th quarter rate of
3.5%
Update
Section IV, 1.
Definition of
Vacant
However, the above definition of vacant, shall not
apply when customary business operations at a
building are temporarily suspended due to
circumstances that are usual to such business
operations, provided only that existing building
safeguards as described in part J. Protective
Safeguards are operational during the period of
temporary suspension.
However, the above definition of vacant, shall
not apply when customary business
operations at a building are temporarily
suspended due to circumstances that are
usual to such business operations, provided
only that existing building safeguards as
described in part J. Protective Safeguards
are operational during the period of
temporary suspension.
Clarification
Section IV, I. 4.
Other Vacancy
Conditions
a. …..the maximum amount recoverable shall not
be more than 120% of the amount reported on the
schedule of values held on file with Alliant
Insurance Services, Inc. for that building.
a. …..the maximum amount recoverable shall
not be more than the amount reported on the
schedule of values held on file with Alliant
Insurance Services, Inc. for that building.
Clarification
Endorsement Endorsement 7 Pollution, Contamination,
Debris Removal Exclusion
Clarification
2025-2026 Alliant Property Insurance Program (APIP) Boiler and Machinery Proposal Page 1 of 3 City of Merced 06/03/2025 11:13:36 AM
ALLIANT INSURANCE SERVICES, INC.
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
BOILER AND MACHINERY PROPOSAL
NAMED INSURED: City of Merced
POLICY PERIOD: July 1, 2025 to July 1, 2026
COMPANIES: See Attached List of Companies
TOTAL INSURED VALUES: $ 448,510,653 as of June 3, 2025
STATUS/RATING: See Attached List of Companies
COVERAGES & LIMITS: $ 100,000,000 Boiler Explosion and Machinery Breakd own, (for those Named Insureds that purchase this optional dedicate d
coverage) as respects Combined Property Damage and
Business Interruption/Extra Expense (Including Bond
Revenue Interest Payments where Values Reported and
excluding Business Interruption for power generatin g
facilities unless otherwise specified). Limit incl udes loss adjustment agreement and electronic computer or
electronic data processing equipment with the follo wing sub-limits:
Included Jurisdictional and Inspections.
$ 10,000,000 Per Occurrence for Service/Utility/Off Premises Power Interruption.
Included Per Occurrence for Consequential Damage/P erishable Goods/Spoilage.
$ 10,000,000 Per Occurrence for Electronic Data Pro cessing Media and Data Restoration.
$ 2,000,000 Per Occurrence, Per Named Insured and i n the Annual Aggregate per Declaration for Earthquake Resultant
Damage for Named Insureds who purchase Dedicated
Earthquake Coverage.
$ 10,000,000 Per Occurrence for Hazardous Substance s / Pollutants / Decontamination.
Included Per Occurrence for Machine or Apparatus u sed for Research, Diagnosis, Medication, Surgical, Therapeu tic, Dental or Pathological Purposes.
NEWLY ACQUIRED
LOCATIONS:
$ 25,000,000 Automatic Acquisition for Boiler & Mac hinery values at newly acquired locations. Values greater than $25,000,000 or Power Generating Facilities must be reported wit hin 120 days and must have prior underwriting approval prio r to binding
2025-2026 Alliant Property Insurance Program (APIP) Boiler and Machinery Proposal Page 2 of 3 City of Merced 06/03/2025 11:13:36 AM
VALUATION: Repair or Replacement except Actual Loss sustained for all Time Element coverages
EXCLUSIONS
(Including but not limited
to):
Testing
Explosion, except for steam or centrifugal explosi on Explosion of gas or unconsumed fuel from furnace o f the boiler
OBJECTS EXCLUDED:
(Including but not limited
to):
Insulating or refractory material
Buried Vessels or Piping
NOTICE OF
CANCELLATION:
90 days except 10 days for non-payment of premium
DEDUCTIBLES: $ 25,000 Except as shown for Specific Objects or P erils.
$ 25,000 Electronic Data Processing Media.
$ 25,000 Consequential Damage.
$ 25,000 Objects over 200 hp, 1,000 KW/KVA/Amps or
Boilers over 5,000 square feet of heating surface.
$ 50,000 Objects over 350 hp, 2,500 KW/KVA/Amps or
Boilers over 10,000 square feet of heating surface.
$ 100,000 Objects over 500 hp, 5,000 KW/KVA/Amps or
Boilers over 25,000 square feet of heating surface.
$ 250,000 Objects over 750 hp, 10,000 KW/KVA/Amps o r
Boilers over 75,000 square feet of heating surface.
$ 350,000 Objects over 25,000 hp, 25,000 KW/KVA/Amp s or Boilers over 250,000 square feet of heating surface.
$ 10 per foot / $2,500
Minimum
Deep Water Wells.
24 Hour Waiting Period Utility Interruption.
24 Hours Business Interruption/Extra Expense Excep t as noted below.
30 Days Business Interruption - Revenue Bond.
5 x 100% of Daily Value Business Interruption - Al l objects over 750 hp or 10,000 KW/KVA/Amps or 10,000 square feet
heating surface.
5 x 100% of Daily Value Business interruption - Al l Objects at Waste Water Treatment Facilities and All Utilities.
Annual Cost
COST: Cost is included on Property Proposal
PRINT DATE: June 3, 2025
PROPOSAL VALID UNTIL: July 1, 2025
2025-2026 Alliant Property Insurance Program (APIP) Boiler and Machinery Proposal Page 3 of 3 City of Merced 06/03/2025 11:13:36 AM
BROKER: ALLIANT INSURANCE SERVICES, INC.
License No. 0C36861
NOTES:
Some coverage, limits, sub-limits, terms and conditions will change, as negotiations are ongoing. Changes will be documented and accompany the Binder Confirmation for July 1, 2025 bound terms. Coverage outlined in this Proposal is subject to the terms and conditions set forth in the policy.
Please refer to the Policy for specific terms, conditions, and exclusions. This proposal is based on the current loss experience and is subject to change if this insured’s loss ratio deteriorates further and/or if the markets suffer a catastrophic event. Change in Total Insurable Values will result in adjustment in premium.
Kevin J. Bibler
Senior Vice President
Evan Washburn
Account Executive
Kortney K. Hughes
Account Manager
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 1 of 16 City of Merced
ALLIANT INSURANCE SERVICES, INC.
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
POLLUTION LIABILITY COVERAGE PROPOSAL
TYPE OF INSURANCE: Insurance Reinsurance
TYPE OF COVERAGE: Claims Made and Reported Pollution Liability
PROGRAM: Alliant Property Insurance Program (APIP)
NAMED INSURED: Any member(s), entity(ies), agency(ies), organizati on(s), enterprise(s), pool(s), Joint Powers Authority(ies) and/or individual(s) attached to eac h Declaration insured as per Named Insured Schedule on file with Insurer, listed below.
POLICY PERIOD: July 1, 2025 to July 1, 2026
RETROACTIVE DATE: This coverage shall only apply if the Pollution Incident or Disinfection Event giving rise to the Claim, Loss, Business Interruption Expenses or Extra Expenses commenced, in its entirety, on or after July 1, 2011, or the date that the Insured first joined the Alliant Property Insurance Program (APIP) for environmental or pollution insurance coverage, whichever is later, except for the following coverages:
July 1, 2021 for Products Pollution and Exposure L iability; July 1, 2021 for Contractor’s Pollution
July 1, 2021 for Mold Matter
COMPANY: Ironshore Specialty Insurance Company
A.M. BEST
INSURANCE RATING::
A, Excellent, Financial Size Category XV
($2 Billion or greater)
Effective August 2, 2024
STANDARD & POORS
RATING:
A (Strong) as of May 19, 2024
ADMITTED STATUS: Non-Admitted in all states.
COVERED PROPERTY: Per the following Statements of Values (SOVs) submitted and on file with carrier:
1. PEPIP DEC 1 – SOVs
2. PEPIP DEC 2 – SOVs
3. PEPIP DEC 3 – SOVs
4. PEPIP DEC 4 – SOVs
5. PEPIP DEC 5 – SOVs
6. PEPIP DEC 11 – SOVs
7. PEPIP DEC 12 – SOVs
8. PEPIP DEC 14 – SOVs
9. PEPIP DEC 19 – SOVs
10. PEPIP DEC 23 – SOVs
11. PEPIP DEC 24 – SOVs
12. PEPIP DEC 26 – SOVs
13. PEPIP DEC 27 – SOVs
14. PEPIP DEC 28 – SOVs
15. PEPIP DEC 29 – SOVs
16. PEPIP DEC 30 – SOVs
17. PEPIP DEC 32 – SOVs
(Excludes SPIP, except as endorsed)
18. PEPIP DEC 33 – SOVs
19. PEPIP DEC 34 – SOVs
20. PEPIP DEC 35 – SOVs
21. PEPIP DEC 96 – SOVs
(Excluding HARPP members)
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 2 of 16 City of Merced
COVERED PROPERTY
(Continued):
Covered locations are defined as any real property owned, leased, rented, operated or occupied by the Insured as of Policy Inception, including, but not limited to, any subsurface potable water, wastewater or storm water pipelines to or from a Covered Location provided that such pipelines are located within a one thousand (1,000) foot radius of such Covered Location. Also includes any roads including, but not limited to, any alleys, streets or bridges owned or operated by the Insured, any vacant land, including any parks, open spaces, easements or rights-of-way owned or operated by the Insured any location scheduled to this policy by endorsement.
COVERAGES & LIMITS: $25,000,000
$ 2,000,000
$ 2,000,000
$ 2,000,000
Policy Program Aggregate (all insureds combined)
Per Pollution Incident
Per Named Insured Aggregate
Per JPA/Pool Aggregate
SUB-LIMITS: $ 100,000
$ 100,000
$ 250,000
$ 250,000
$ 5,000,000
$ 1,000,000
$ 3,000,000
$ 3,000,000
$ 250,000
$ 2,000,000
$ 5,000,000
$10,000,000
$ 1,000,000
$ 2,000,000
$ 2,000,000
$10,000,000
$ 5,000,000
Disinfection Event Expenses Per Pollution Incident *
Disinfection Event Expenses Program Aggregate*
Image Restoration Expenses Per Pollution Incident*
Image Restoration Expenses Program Aggregate*
Mold Matter Loss, Business Interruption and Extra Expense Program Aggregate*
Mold Matter Restoration Costs, Business Interruption Expenses and Extra Expenses Program Aggregate*
Sewer Backup and Overcharge Program Aggregate*
Lead or Lead Containing Materials Program Aggregate – All Claims* Any Punitive, Exemplary and Multiplied Damages and Civil Fines, Penalties and Assessments*
Products Pollution and Exposure Liability Per Pollution Incident* Products Pollution and Exposure Liability Program Aggregate - Biosolids*
Products Pollution and Exposure Liability Program Aggregate – Potable Water*
Contractor’s Pollution Per Pollution Incident - Herbicide, Insecticide, Pesticide Applications Only*
Contractor’s Pollution Program Aggregate - Herbicide, Insecticide, Pesticide Applications Only*
Contractor’s Pollution Per Pollution Incident - All other Operations* Contractors Pollution Program Aggregate* - All other Operations* Wildfire Program Aggregate Sublimit*
*Note: the above sub-limits payable under this coverage do not increase and are not in addition to the applicable limit of liability.
EXTENDED REPORTING
PERIOD:
Automatic Extended Reporting Period
The Named Insured shall be entitled to an Automatic Extended Reporting Period for a period of ninety (90) days following the effective date of termination of this Policy for no additional premium. This automatic ERP does not app ly if the insured has purchased other insurance to replace the insurance provided by this policy.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 3 of 16 City of Merced
SPECIFIC COVERAGE
PROVISIONS:
CLAIMS MADE AND REPORTED
Coverage A – Third Party Claims for Bodily Injury, Property Damage or Remediation Expenses:
Coverage for loss that the Insured becomes legally obligated to pay as a result of claims for Bodily Injury, Property Damage or Remediation E xpenses directly resulting from a Pollution Incident, provided that the claim is first made against the Insured and reported to the Insurer, in writing, during the policy period.
Coverage B – Onsite First Party Remediation Expense s:
Coverage for Remediation Expenses incurred exclusiv ely for remediation of pollutants that are on, at or under a covered location, provid ed that the pollution incident is first discovered by the Insured during the policy period, the Insured reports the pollution incident to the Insurer, in writing, during the pol icy period, and the pollution incident is promptly reported by the Insured to the appropriate governmental authority if and as required by environmental law.
Coverage C – Emergency Response Expenses:
To pay on behalf of the Insured, Emergency Response Expenses incurred by or on behalf of the Insured in response to an imminent and substantial threat to human health or the environment resulting from a Pollution Incident on, at , under or migrating from a Covered Property or arising from Transportation that commences, in its entirety, during the policy period. The Emergency Response Expenses must: (i) be incurred within seven (7) days of the commencement of such Pollution Incident; and (ii) be reported to the Insurer within fourteen (14) days of such comme ncement. For this Coverage to apply, the Pollution Incident giving rise to the Emergency Response Expenses must be unexpected and unintended from the standpoint of the Insured.
Coverage for Transportation is included in Emergenc y Response Expenses above.
Coverage D – Business Interruption:
Coverage for the Insured’s Business Interruption Expenses and Extra Expenses during the Period of Interruption that directly result fro m a Pollution Incident on, at or under a Covered Property.
This Coverage shall apply only if the Pollution Inc ident giving rise to the Business Interruption Expenses or Extra Expenses is first discovered by the Insured and reported to the Insurer, in writing, during the Policy Period, and such Pollution Incident results in Remediation Expenses covered under this Policy. Dis covery of a Pollution Incident happens when a Responsible Insured first becomes aw are of the Pollution Incident.
Further, if the interruption results from a Polluti on Incident and any other cause(s), the Company shall only pay that portion of Business Int erruption Expenses and Extra Expenses solely attributable to the Pollution Incid ent. In the event of a Period of Interruption, it is a condition precedent to Coverage that the Named Insured notifies the Company of the interruption within thirty (30) days of its commencement and that the Named Insured resume normal operation of the business as soon as possible and use all reasonable efforts to mitigate any Business Int erruption Expenses and Extra Expenses.
Coverage E – Coverage for Disinfection Event Expens es
To pay on behalf of the Insured, Disinfection Expen ses that directly result from a Disinfection Event at a Covered Property, provided that the Disinfection Event commences, in its entirety, during the Policy Perio d; such Disinfection Expenses are incurred within thirty (30) days of the first discovery of such Disinfection Event by a Responsible Insured; and the Insured reports the Di sinfection Event to the Insurer, in writing, during the Policy Period and within fourte en (14) days of a Responsible Insured’s first discovery of such Disinfection Event.
Disinfection Expenses means reasonable fees and cos ts incurred by the Insured to retain third party qualified vendors to disinfect t he actual presence of bacteria or virus at a Covered Property after a Disinfection Event.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 4 of 16 City of Merced
SPECIFIC COVERAGE
PROVISIONS -
CONTINUED:
Coverage F – Coverage for Image Restoration Expense s
To pay on behalf of the Insured, Image Restoration Expenses that directly result from an Image Restoration Event, provided that the Pollu tion Incident giving rise to the Image Restoration Event is on, at, under or migrati ng from a Covered Property or results from Transportation or Waste Disposal Activities; the Pollution Incident giving rise to the Image Restoration Expenses commenced, i n its entirety, during the Policy Period; such Image Restoration Expenses are incurre d by the Insured within fourteen (14) days of the first newspaper or magazine public ation or television news broadcast associated with the Pollution Incident giving rise to the Image Restoration. Event; and the Pollution Incident giving rise to the Image Res toration Expenses is reported to the Company, in writing, during the Policy Period and w ithin fourteen (14) days of a Responsible Insured’s first discovery of such Image Restoration Event.
Image Restoration Expenses are defined as reasonable and necessary public relations expenses to restore public reputation and consumer confidence. Image Restoration Expenses shall include fees and expenses incurred b y public relations or crisis management firms and reasonable and necessary print ing, mailing of materials and travel by directors, officers, employees or agents of the Named Insured at the direction of such firms. Image Restoration Expenses shall no t include the costs to purchase advertising on television, in newspapers or in any other media.
Supplemental coverage for Contractors Pollution is included. This coverage covers third-party claims arising out of “your work”, prov ided the claim is first made and reported during the policy period. The Contractor’ s Pollution must have commenced on or after 7/1/2021.
Supplemental coverage for Products Pollution and Exposure Liability is included. This coverage covers third-party claims arising out of p roduct pollution, provided the claim is first made and reported during the policy period . The Products Pollution must have commenced on or after 7/1/2021.
Insured’s Products are defined as:
Potable water manufactured, sold, handled or distr ibuted by the Insured or others trading under the Insured’s name, and includes cont ainers (other than automobiles, rolling stock, vessels or aircraft), materials, parts or equipment furnished in connection therewith, and includes warranties or representations made at any time with respect to the fitness, quality, durability, performance or use thereof, or the failure to provide warnings or instructions; or Biosolid-derived fertilizers manufactured, sold, h andled or distributed by the Insured or others trading under the Insured’s name, and includes containers (other than automobiles, rolling stock, vessels or aircraft), materials, parts or equipment furnished in connection therewith, and includes warranties or representations made at any time with respect to the fitness, quality, durability, performance or use thereof, or the failure to provide warnings or instructions.
Illicit Abandonment is included in the definition of pollution condition.
Other Insurance Condition
Any Loss covered under any other valid and collecti ble insurance, whether primary, excess, contingent, self-insurance, deductible or a ny other basis, including but not limited to any stand-alone policies purchased by a Named Insured, this insurance shall apply in excess of.
Mold matter and Legionella is included in the defin ition of Pollutant. Mold matter is defined as mold, mildew and fungi, whether or not s uch microbial matter is living.
Legionella means legionella pnuemophila.
Wildfire is defined as any hostile fire, wildland fire, forest fire, brush fire, vegetation fire, grass fire, peat fire, bushfire, hill hire, desert fire, veldfire, escaped prescribed fire or escaped wildland fire.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 5 of 16 City of Merced
SPECIFIC COVERAGE
PROVISIONS -
CONTINUED:
Automatic Acquisition – Automatic coverage for mid-term real property additions, upon the closing date of such acquisition, or the effective date of such lease, management, rental or occupation right or obligation, respectively, for no additional premium. Notice must be provided to the Insurer within 365 days, along with any supporting documentation reasonably requested by th e underwriter. To the extent that the Insured has a Phase I Environmental Assessment (“Phase I”) for such acquired real property, a copy must be provided to the Insurer’s underwriter, unless the acquired real property is leased, managed or rented.
Coverage does not apply to any Remediation Expenses or Emergency Response Expenses incurred for the remediation of Mold Matte r at such Acquired Real Property which is the result of any water intrusion or moisture condition prior to the Insured taking title or occupancy of such property. Any water-int rusion or moisture condition shall include, but not be limited to, any roof or building envelope leak, any heating, ventilation and air conditioning (HVAC) system improvement, rep lacement or upgrade or any plumbing or pipe leak.
Coverage is limited for Coverages A, B and D to Sud den and Accidental only for the Santa Barbara Municipal Airport. The pollution incident giving rise to such Remediation Expenses or Business Interruption Expenses and Extra Expenses must be discovered by the Insured during the policy period and within fifteen (15) days of commencement, the Pollution Incident is demonstrable as commencing on a specific date, and must be reported to the Insurer in writing during the policy period and no later than forty-five (45) days following the discovery of such Pollution Incident.
Blanket Underground Storage Tank coverage included, with a deductible of $500,000 for storage tanks less than twenty years old, a deductible of $375,000 for storage tanks between twenty and thirty years old, and a deductib le of $500,000 for storage tanks which are thirty years old or older. Note: Does not meet financial assurance requirements.
Loss covered pursuant to any state storage tank fun d, state administered insurance program or restoration funding for any underground storage tank(s) whose owners qualify for reimbursement, or any self-insurance fu nd established for the purpose of funding clean-up costs for pollution conditions fro m any underground storage tank(s), shall be considered primary insurance, to which the coverage afforded pursuant to this policy shall apply in excess.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 6 of 16 City of Merced
SPECIFIC COVERAGE
PROVISIONS -
CONTINUED:
Additional Insureds are as follows:
Any Entity
If any Named Insured pursuant to this Policy is a Public Entity, the following entities are additional insureds:
o A governmental agency or subdivision, department, municipal body, commission or board, or a not-for profit corporation which is owned or controlled by any Named Insured;
o An individual while acting in the capacity as a di rector of, officer of, trustee of, employee of, temporary or leased worker of, or staff member of, any Named Insured;
o A volunteer, but solely while acting within the sc ope of such duties and at the direction of any Named Insured;
o A paramedic or emergency technician, but solely wh ile acting within the course and scope of employment or while acting as a volunteer pursuant to the direction of any Named Insured;
o An elective or appointive officer or a member of a ny such commission, board or agency of any Named Insured but solely while acting within the scope of duties as such; or
o A joint venture or partnership, including a mutual assistance pact, joint powers agreement or similar association, but only with respect to the conduct of the business of any named Insured on beh alf of that entity or association and only to the extent of such Named Insured’s participation or interest in that entity or association.
If the Named Insured is an Educational Entity, the following persons or entities are additional insureds, individually and collectively, when acting solely within the scope of their duties, office, or employment for, and pursuant to the supervision of, any Named Insured:
Members of the School Board;
Officers;
Employees;
Temporary or Leased Workers;
Authorized individual volunteers; or
Student Body Organizations pursuant to the jurisdi ction of the governing board, but only while pursuant to the supervision required by the governing board.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 7 of 16 City of Merced
EXCLUSIONS (including
but not limited to):
Coverage does not apply to any claim or loss from:
Aircraft, Auto or Watercraft – does not apply to T ransportation Asbestos, PCBs and Lead –
o Any asbestos, asbestos containing materials, lead, lead containing materials, including but not limited to lead-based paint, polychlorinated biphenyls (PCBs) or materials containing PCBs in, on, at, within or applied to any building, utility, structure or building material. This exclusion does not apply to Claims for Bodily Injury or Property Damage, or Remediation Expenses for the remediation of any soil, groundwater body, surface water body or sediment; or
o Any asbestos, asbestos containing materials, lead or lead-containing materials, other metals, including but not limited to copper, or metal containing materials in, on or applied to any water supply or collection equipment, system or infrastructure, including but not limited to water service lines; this does not apply to third-party claims for bodily injury or property damage, or for remediation expenses of any groundwater body, surface water body or sediment;
Further, this exclusion shall not apply to Remediation Expenses solely incurred for the remediation of asbestos, asbestos containing materials or lead-based paint which has been inadvertently displaced (not including any displacement associated with demolition, renovation or abatement) by an accident which occurs, in its entirety, during the Policy Period and is demonstrable by the Insured as commencing during the Policy Period, provided that such accident is reported to the Company within thirty (30) days of its commencement. However, there shall be no coverage for any costs incurred to: remove, abate, repair, dispose of or otherwise address any asbestos, asbestos containing materials or lead-based paint that has not been displaced by such accident, or to remove or dispose of any building, construction or demolition debris. Asbestos is fully excluded under Products Pollution and Exposure Liability coverage.
Contractual Liability – This exclusion does not ap ply to liability that the Insured would have had in the absence of the contract or agreement or to liability assumed in an Insured Contract.
Criminal Punishments
Divested Property – does not apply to any Covered Property owned by an Insured as of Policy Inception which is leased to a third party, even if the Insured has relinquished operation or management control of such Covered Property, provided that such covered property was disclosed to the Insurer. Employer Liability – This exclusion applies whethe r the Insured may be liable as an employer or in any other capacity, and to any ob ligation to share damages with or repay someone else who must pay damages bec ause of such Bodily Injury.
Insured’s Internal Expenses
Insured’s Non-Compliance
Insured vs. Insured
Insured’s Professional Services – any professional services performed or rendered on behalf of the Insured, including but not limited to, medical services, recommendations, opinions and strategies rendered for architectural, consulting and engineering work, such as drawings, designs, maps, reports, surveys, change orders, plan specifications, assessment work , remedy selections site maintenance and equipment selection, and supervisor y, inspection or engineering service.
Material Change In Use – This exclusion shall not apply if the Insured submits prior written notice no less than thirty (30) days prior to such material change, and the Company approves such material change in an end orsement to this Policy issued within thirty (30) days of such notice.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 8 of 16 City of Merced
EXCLUSIONS (including
but not limited to):
Coverage does not apply to any claim or loss from:
Non-Disclosure – does not apply to any Inadvertent ly Omitted Locations Nuclear or Radiological Material
Property Damage to Conveyances
War
Workers Compensation, Unemployment, Social Securit y, Disability and Similar Laws
Waste Processing, Treatment or Disposal – does not apply to waste disposal activities at a non-owned disposal site.
Airports – defined as any airport where enplanemen t occurs and/o cargo is moved for a fee and storage, transportation and the dispensing of fuel and/or de- icing solution operations are conducted. This exclusion shall not apply to passenger airports with less than 2,500 passenger boardings per year, or to the Santa Barbara Municipal Airport.
Oil and/or Gas Operations – only applies to oil an d/or gas producing and refining facilities
Firearms, Explosives or Military Weapons
Activity Use Limitation
Landfill Closure, Post-Closure and Reclamation Cos ts – any closure, post closure or reclamation costs or obligations, including but not limited to any costs associated with landfill caps or gas or leachate systems. Does not apply to claims for Bodily Injury or Property Damage.
Combined Sewer Overflow – defined as any discharge of stormwater and / or wastewater into any body of water, including surface water or groundwater, arising from a sewer system (including but not limited to sewer lines, pipes, pumping stations, appurtenances and treatment plants) that handles both wastewater and stormwater due to the volume of stormwater and/or wastewater exceeding the capacity of such sewer system.
Commercial Ports – Any commercial port where ships load and unload cargo. Landfill
Odor - Solely with respect to any Pollution Incide nt on, at, under or migrating from any location used (in whole or part) at any time (currently or historically) for the collection, treatment, recycling, management, incineration or disposal of waste materials, any Claim, in whole or part, due to or in any way associated with any odor; any Claim for Bodily Injury or Property Damage due to or associated with any gas or emissions that have migrated beyond the boundaries of a Covered Property; or any Claim for public or private nuisance due to or associated with any odor or any gas or emissions migration.
Impoundments
Engineering Controls / Operation and Maintenance ( O&M) Costs Groundwater and Surface Water Monitoring Costs
COVID-19
Capital Improvement – Applies to all locations, al so applies to removal, replacement, repair or upgrade of an underground storage tank. Voluntary Site Investigation – Applies to all loca tions. Expected or Intended Injury or Damage (Product Pol lution and Covered Operations only)
Known Injury or Damage (Product Pollution and Cove red Operations only) Product Disposal (Product Pollution Only)
Products as Waste (Product Pollution Only)
Transportation (Product Pollution only)
Damage to the Insured’s Product (Product Pollution Only) Drinking Water Standards Exceedance (Product Pollu tion Only) Material Change in Potable Water Supply Source (Pr oduct Pollution Only) Conveyance (Covered Operations only)
Business Interruption (Covered Operations Only)
Owned Property (Covered Operations Only)
Damage to Your Work (Covered Operations Only)
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 9 of 16 City of Merced
EXCLUSIONS (including
but not limited to, Cont.):
Any perfluorinated compound (PFC) or perfluoroalky l or polyfluoroalkyl substance, including but not limited to 10:2 fluorotelomer sulfonic acid (10:2 FTS); 11-chloroeicosafluoro-3-oxaundecane-1-sulfonic acid (11ClPF3OUdS); 2H,2H,3H,3H-perfluorodecanoic acid (7:3 FTCA); 2H,2 H,3H,3H- perfluorohexanoic acid (3:3 FTCA); 2H,2H,3H,3Hperfluorooctanoic acid (5:3 FTCA); 4,8-dioxa-3H-perfluorononanoic acid (ADONA); 4:2 fluorotelomer sulfonic acid (4:2 FTS); 6:2 fluorotelomer sulfonic acid (6:2 FTS); 8:2 fluorotelomer sulfonic acid (8:2 FTS); 9-chlorohexadecafluoro-3ox anonane-1-sulfonic acid (9ClPF3ONS); n-ethyl perfluorooctane sulfonamido et hanol (NEtFOSE); hexafluoropropylene oxide dimer acid (HFPO-DA or Ge nX); n-methyl perfluorooctane sulfonamido ethanol (NMeFOSE); n-et hyl perfluorooctanesulfonamidoacetic acid (NEtFOSAA); n-ethyl perfluorooctane sulfonamide (NEtFOSA); n-methyl perfluorooctanesulfonamidoacetic acid (NMeFOSAA); n-methyl perfluorooctane sulfonamide (M eFOSA); nonafluoro3,6- dioxaheptanoic acid (NFDHA); perfluoro(2-ethoxyetha ne) sulfonic acid (PFEESA); perfluoro-3-methoxypropanoic acid (PFMPA) ; perfluoro-4- methoxybutanoic acid (PFMBA); perfluorobutane sulfonic acid (PFBS); perfluorobutanoic acid (PFBA); perfluorodecane sulfonic acid (PFDS); perfluorodecanoic acid (PFDA); perfluorododecanoic acid (PFDoA); perfluoroheptane sulfonic acid (PFHpS); perfluoroheptanoic acid (PFHpA); perfluorohexadecanoic acid (PFHxDA); perfluorohexan e sulfonic acid (PFHxS); perfluorohexanoic acid (PFHxA); perfluorononane sulfonic acid (PFNS); perfluorononanoic acid (PFNA); perfluorooctadecanoic acid (PFODA); perfluorooctane sulfonamide (PFOSA); perfluorooctan e sulfonic acid (PFOS); perfluorooctanoic acid (PFOA); perfluoropentane sulfonic acid (PFPeS); perfluoropentanoic acid (PFPeA); perfluorotetradecanoic acid (PFTA); perfluorotridecanoic acid (PFTrDA); perfluoroundecanoic acid (PFUnA); perfluorodedecanesulfonic acid (PFDoS); polytetrafluoroethylene (PTFE); 8:2 fluorotelomer unsaturated carboxylic acid (8:2 FTUC A) or 8:2 polyfluoroalkyl phosphate diester (8:2 diPAP), or any precursor chemicals. PFAS shall include:
(i) any PFAS that falls within the structural definition set forth in 40 CFR 705.3, or any additions or amendments thereto; (ii) any anion forms, structural isomers or salts of PFAS associated with their corresponding acid forms, or any processing aids or residual materials contained therein; or (iii) any transformation or degradation compounds of PFAS. Further, PFAS shall also include aqueous film forming foam (AFFF) containing PFAS or any additive s or component materials contained therein or degradation by-products thereof.
DEDUCTIBLE: $ 250,000
$ 500,000
Each Pollution Incident After July 1, 2021
Each Pollution Incident Prior to July 1, 2021
Any payments for covered loss paid by other insuran ce shall also be applied against the deductible amount.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 10 of 16 City of Merced
SPECIFIC
DEDUCTIBLES:
$ 250,000
$ 250,000
$ 250,000
$ 250,000
$ 350,000
$ 500,000
$ 500,000
*
Disinfection Event Expenses
Image Restoration Expenses
Products Pollution and Exposure Liability
Covered Operations
Mold Matter (*or $25,000 per room impacted, whichev er is greater, with a $2,500,000 maximum – a room is considered equal to 250 sq ft of floor space, education, healthcare and hospitality locations only) Legionella
Sewer Backup and Overcharge deductible
$ 250,000
$ 375,000
$ 500,000
$ 1,000,000
Underground Storage Tanks (less than 20 years old)
Underground Storage Tanks (20-30 years old)
Underground Storage Tanks (more than 30 years old)
Wildfire Deductible
5 Days
Business Interruption Waiting Period
CLAIMS REPORTING NOTICE
PLEASE NOTE THAT POLLUTION LIABILITY POLICIES CONTA IN EXTREMELY STRICT CLAIM REPORTING PROCEDURES. Below please find your policy specific claim reporting requirements - Please make sure you understand these obligations. Contact your Alliant Service Team with any questions.
THIS IS A CLAIMS MADE POLICY
This claims-made policy contains a requirement stat ing that this policy applies only to any claim firs t made against the Insured and reported to the insurer dur ing the policy period or applicable extended report ing period. Claims must be submitted to the insurer du ring the policy period, or applicable extended repo rting period, as required pursuant to the Claims/Loss Notification Clause within the policy in order for coverage to apply. Late reporting or failure to report pursuant to the policy’s requirements could result in a disclaimer of coverage by the insurer.
2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 11 of 16 City of Merced
LOSS REPORTING
REQUIREMENTS:
Written notice of any claim or pollution condition, within seven (7) days of discovery for pollution conditions requiring immediate emergency response. Concurrently, please send to:
1) Ironshore Environmental Claims CSO
28 Liberty Street, 5th Floor
New York, NY 10005 Office
By phone via: 24 Hour Claims Phone Number (888) 292 -0249 FAX to: 646-826-6601
Email: [email protected]
2) Akbar Sharif
Alliant Insurance Services, Inc.
18100 Von Karman Avenue
10 th Floor
Irvine, CA 92612
949 260-5088
949 756-2713 – fax
[email protected]
NOTICE OF
CANCELLATION:
90 days except 10 days for non-payment of premium
REINSTATEMENT
PROVISIONS:
Not Provided
POLLUTION LIABILITY
COST:
Cost is included in Total Property Premium
100% Earned Premium at Inception
QUOTE VALID UNTIL: July 1, 2025
BROKER: ALLIANT INSURANCE SERVICES, INC.
License No. 0C36861
NOTES:
• Some coverage, limits, sub-limits, terms and condit ions will change, as negotiations are ongoing. Cha nges will be documented and accompany the Binder Confirm ation for July 1, 2025 bound terms. • We reserve the right to request any additional information and make any modifications to the premiums, terms or conditions should there be any adverse cla ims activity between now and June 1, 2025. • This proposal is based on the current loss experien ce and is subject to change if this insured’s loss ratio deteriorates further and/or if the markets suffer a catastrophic event. • Change in Total Insurable Values will result in adjustment in premium.
SUMMARY OF BOUND CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY TERM 2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 12 of 16 City of Merced
Coverage 2024-2025 2025-2026
Pollution Liability
Policy Term July 1, 2024 to July 1,2025 July 1, 2025 to July 1, 2026 Retroactive Date
This coverage shall only apply if the Pollution
Incident or Disinfection Event giving rise to the
Claim, Loss, Business Interruption Expenses or
Extra Expenses commenced, in its entirety, on or
after July 1, 2011, or the date that the Insured fi rst joined the Alliant Property Insurance Program
(APIP) for environmental or pollution insurance
coverage, whichever is later, except for the following
coverages:
July 1, 2024 for Products Pollution
and Exposure Liability;
July 1, 2024 for Contractor’s Pollution
July 1, 2024 for Mold Matter
This coverage shall only apply if the Pollution Inc ident or Disinfection Event giving rise to the Claim, Los s,
Business Interruption Expenses or Extra Expenses
commenced, in its entirety, on or after July 1, 201 1, or the date that the Insured first joined the Alliant Property Insurance Program (APIP) for environmental or
pollution insurance coverage, whichever is later, except for the following coverages:
July 1, 2021 for Products Pollution
and Exposure Liability;
July 1, 2021 for Contractor’s Pollution
July 1, 2021 for Mold Matter
A.M. Best Insurance
Rating
A, Excellent, Financial Category XV
($2 Billion or greater)
Effective August 8, 2023
A, Excellent, Financial Category XV
($2 Billion or greater)
Effective August 2, 2024
Standard and Poors
Insurance Rating A (Strong) as of February 28, 2024 A (Strong) as of May 19, 2024 Covered Property
Covered locations are defined as any location
identified in one of the SOVs listed above, on file
with the Insurer, as of Policy Inception, including ,
but not limited to, any subsurface potable water,
wastewater or storm water pipelines to or from a
Covered Location provided that such pipelines are
located within a one thousand (1,000) foot radius of
such Covered Location. Also includes any
inadvertently omitted location and any location
scheduled to this policy by endorsement.
Covered locations are defined as any real property
owned, leased, rented, operated or occupied by the
Insured as of Policy Inception, including, but not limited to, any subsurface potable water, wastewater or sto rm
water pipelines to or from a Covered Location provided
that such pipelines are located within a one thousa nd
(1,000) foot radius of such Covered Location. Also
includes any roads including, but not limited to, a ny
alleys, streets or bridges owned or operated by the
Insured, any vacant land, including any parks, open
spaces, easements or rights-of-way owned or operated
by the Insured any location scheduled to this polic y by endorsement.
Sub-Limits
$2,000,000
Mold Matter Loss, Business
Interruption and Extra Expense
Program Aggregate*
$5,000,000
Mold Matter Loss, Business
Interruption and Extra Expense
Program Aggregate*
$1,000,000 Legionella Per Named Insured
Aggregate*
Deleted
$2,000,000 Sewer Backup and Overcharge
Program Aggregate* $3,000,000 Sewer Backup and Overcharge Program Aggregate*
$2,000,000
Lead or Lead Containing
Materials Program Aggregate –
All Claims*
$3,000,000 Lead or Lead Containing Materials
Program Aggregate – All Claims*
$5,000,000 Products Pollution and Exposure
Liability Program Aggregate* $5,000,000
Products Pollution and Exposure
Liability Program Aggregate -
Biosolids*
SUMMARY OF BOUND CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY TERM 2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 13 of 16 City of Merced
Coverage 2024-2025 2025-2026
Sub-Limits
(Continued) $10,000,000
Products Pollution and Exposure
Liability Program Aggregate –
Potable Water*
$5,000,000
Contractors Pollution Program
Aggregate* - All other
Operations*
$10,000,000 Contractors Pollution Program
Aggregate* - All other Operations*
$500,000
Inadvertently Omitted Location
Per Named Insured Aggregate
Sublimit*
Deleted
Specific Coverage
Provisions
(Continued)
Supplemental coverage for Contractors Pollution is
included. This coverage covers third-party claims
arising out of “your work”, provided the claim is f irst made and reported during the policy period. The
Contractor’s Pollution must have commenced on or
after 7/1/2024.
Supplemental coverage for Contractors Pollution is
included. This coverage covers third-party claims
arising out of “your work”, provided the claim is f irst made and reported during the policy period. The
Contractor’s Pollution must have commenced on or
after 7/1/2021.
Supplemental coverage for Products Pollution and
Exposure Liability is included. This coverage covers
third-party claims arising out of product pollution ,
provided the claim is first made and reported during
the policy period. The Products Pollution must have
commenced on or after 7/1/2024.
Supplemental coverage for Products Pollution and
Exposure Liability is included. This coverage cove rs
third-party claims arising out of product pollution ,
provided the claim is first made and reported during the policy period. The Products Pollution must have
commenced on or after 7/1/2021.
Automatic Acquisition – Coverage for mid-term
transactions for values that are less than
$25,000,000 shall be added as a covered location,
upon the closing date of such acquisition, or the
effective date of such lease, management, rental or
occupation right or obligation, respectively, for no
additional premium. An application and notification
of title or occupancy must be provided to Ironshore
within 180 days.
Property valued at more than $25,000,000
purchased, leased or otherwise acquired by the
Insured needs to be reported to the Insurer within
180 days, along with a completed and signed Site
Pollution Incident Legal Liability Select Applicati on
and shall be added as a covered location upon the
closing date of such acquisition subject to an
additional premium of $0.009885 per $1,000 of
Total Insurable Values, pro-rated with a minimum
premium of $450. There will be no additional
premium for any Covered Property with Total
Insurable Values which are less than $25,000,000.
Automatic Acquisition – Automatic coverage for mid-
term real property additions, upon the closing date of
such acquisition, or the effective date of such lease,
management, rental or occupation right or obligation,
respectively, for no additional premium. Notice must
be provided to the Insurer within 365 days, along with
any supporting documentation reasonably requested
by the underwriter. To the extent that the Insured has a Phase I Environmental Assessment (“Phase I”) for
such acquired real property, a copy must be provided
to the Insurer’s underwriter, unless the acquired real
property is leased, managed or rented.
Coverage is limited for Coverages A, B and D to
Sudden and Accidental only for any location with
Current or Historic use as an Airport or any
associated facility. The pollution incident giving rise to such Remediation Expenses or Business
Interruption Expenses and Extra Expenses must be
discovered by the Insured during the policy period
and within seven (7) days of commencement, the
Pollution Incident is demonstrable as commencing
on a specific date, and must be reported to the
Insurer in writing during the policy period and no
Coverage is limited for Coverages A, B and D to
Sudden and Accidental only for the Santa Barbara
Municipal Airport. The pollution incident giving ri se to such Remediation Expenses or Business Interruption
Expenses and Extra Expenses must be discovered by
the Insured during the policy period and within fif teen (15) days of commencement, the Pollution Incident i s
demonstrable as commencing on a specific date, and
must be reported to the Insurer in writing during t he
policy period and no later than forty-five (45) day s
following the discovery of such Pollution Incident.
SUMMARY OF BOUND CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY TERM 2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 14 of 16 City of Merced
Coverage 2024-2025 2025-2026
later than twenty-one (21) days following the
discovery of such Pollution Incident.
Blanket Underground Storage Tank coverage
included, with a deductible of $500,000 for storage
tanks less than twenty-five years old, and a
deductible of $1,000,000 for storage tanks older
than twenty-five years. Note: Does not meet
financial assurance requirements.
Blanket Underground Storage Tank coverage included,
with a deductible of $500,000 for storage tanks les s
than twenty years old, a deductible of $375,000 for
storage tanks between twenty and thirty years old, and
a deductible of $500,000 for storage tanks which ar e
thirty years old or older. Note: Does not meet
financial assurance requirements.
Exclusions
Any asbestos, asbestos containing materials, lead,
lead containing materials, including but not limited
to leadbased paint, polychlorinated biphenyls
(PCBs) or materials containing PCBs in, on, at,
within or applied to any building, utility, structure or building material. This exclusion does not apply to
Claims for Bodily Injury or Property Damage, or
Remediation Expenses for the remediation of any
soil, groundwater body, surface water body or
sediment; or
Any asbestos, asbestos containing materials, lead,
lead containing materials, including but not limited to lead-based paint, polychlorinated biphenyls (PCBs) or
materials containing PCBs in, on, at, within or applied to any building, utility, structure or building material.
This exclusion does not apply to Claims for Bodily
Injury or Property Damage, or Remediation Expenses
for the remediation of any soil, groundwater body,
surface water body or sediment; or
Airports – defined as any airport where
enplanement occurs and/or cargo is moved for a
fee and storage, transportation and the dispensing
of fuel and/or de-icing solution operations are
conducted. This exclusion shall not apply to
passenger airports with less than 2,500 passenger
boardings per year.
Airports – defined as any airport where enplanement
occurs and/or cargo is moved for a fee and storage,
transportation and the dispensing of fuel and/or de-
icing solution operations are conducted. This
exclusion shall not apply to passenger airports with
less than 2,500 passenger boardings per year, or to
the Santa Barbara Municipal Airport.
Damage to Property (Covered Operations Only) Owned Property (Covered Operations Only)
SUMMARY OF BOUND CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY TERM 2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 15 of 16 City of Merced
Coverage 2024-2025 2025-2026
Exclusions,
Continued
Any perfluoroalkyl or polyfluoroalkyl substance
(PFAS), including but not limited to perfluoroalkyl
acids (PFAAs), perfluorooctanoic acid (PFOA),
perfluorooctane sulfonate (PFOS),
perfluoroheptanoic acid (PFHpA),
perfluorononanoic acid (PFNA),
perfluorohexanesulfonic acid (PFHxS), GenX,
“C8”, “ADONA,” perfluoroalkane sulfonyl fluoride
(PASF), perfluorobutanesulfonic acid (PFBS),
polytetrafluoroethylene (PTFE),
perfluoropolyethers (PFPEs), fluoropolymers,
perfluorononanoic acid or ammonium
perfluorooctanoate , or any associated salts, acids,
alcohols, precursor chemicals or related higher
homologue chemicals. Further, Pollutants shall not
include aqueous film forming foam (AFFF)
containing PFAS (at any concentration) or any
additives or component materials contained therein
or degradation by-products thereof.
Any perfluorinated compound (PFC) or perfluoroalkyl
or polyfluoroalkyl substance, including but not limited to 10:2 fluorotelomer sulfonic acid (10:2 FTS); 11-
chloroeicosafluoro-3-oxaundecane-1-sulfonic acid
(11ClPF3OUdS); 2H,2H,3H,3H-perfluorodecanoic acid
(7:3 FTCA); 2H,2H,3H,3H-perfluorohexanoic acid (3:3
FTCA); 2H,2H,3H,3Hperfluorooctanoic acid (5:3
FTCA); 4,8-dioxa-3H-perfluorononanoic acid
(ADONA); 4:2 fluorotelomer sulfonic acid (4:2 FTS);
6:2 fluorotelomer sulfonic acid (6:2 FTS); 8:2
fluorotelomer sulfonic acid (8:2 FTS); 9-
chlorohexadecafluoro-3oxanonane-1-sulfonic acid
(9ClPF3ONS); n-ethyl perfluorooctane sulfonamido
ethanol (NEtFOSE); hexafluoropropylene oxide dimer
acid (HFPO-DA or GenX); n-methyl perfluorooctane
sulfonamido ethanol (NMeFOSE); n-ethyl
perfluorooctanesulfonamidoacetic acid (NEtFOSAA);
n-ethyl perfluorooctane sulfonamide (NEtFOSA); n-
methyl perfluorooctanesulfonamidoacetic acid
(NMeFOSAA); n-methyl perfluorooctane sulfonamide
(MeFOSA); nonafluoro3,6-dioxaheptanoic acid
(NFDHA); perfluoro(2-ethoxyethane) sulfonic acid
(PFEESA); perfluoro-3-methoxypropanoic acid
(PFMPA); perfluoro-4-methoxybutanoic acid (PFMBA);
perfluorobutane sulfonic acid (PFBS);
perfluorobutanoic acid (PFBA); perfluorodecane
sulfonic acid (PFDS); perfluorodecanoic acid (PFDA);
perfluorododecanoic acid (PFDoA); perfluoroheptane
sulfonic acid (PFHpS); perfluoroheptanoic acid
(PFHpA); perfluorohexadecanoic acid (PFHxDA);
perfluorohexane sulfonic acid (PFHxS);
perfluorohexanoic acid (PFHxA); perfluorononane
sulfonic acid (PFNS); perfluorononanoic acid (PFNA);
perfluorooctadecanoic acid (PFODA); perfluorooctane
sulfonamide (PFOSA); perfluorooctane sulfonic acid
(PFOS); perfluorooctanoic acid (PFOA);
perfluoropentane sulfonic acid (PFPeS);
perfluoropentanoic acid (PFPeA);
perfluorotetradecanoic acid (PFTA);
perfluorotridecanoic acid (PFTrDA);
perfluoroundecanoic acid (PFUnA);
perfluorodedecanesulfonic acid (PFDoS);
polytetrafluoroethylene (PTFE); 8:2 fluorotelomer
unsaturated carboxylic acid (8:2 FTUCA) or 8:2
polyfluoroalkyl phosphate diester (8:2 diPAP), or any
precursor chemicals. PFAS shall include: (i) any
PFAS that falls within the structural definition set forth in 40 CFR 705.3, or any additions or amendments
thereto; (ii) any anion forms, structural isomers or salts of PFAS associated with their corresponding acid
forms, or any processing aids or residual materials
contained therein; or (iii) any transformation or
degradation compounds of PFAS. Further, PFAS shall
also include aqueous film forming foam (AFFF)
containing PFAS or any additives or component
materials contained therein or degradation by-
products thereof.
SUMMARY OF BOUND CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY TERM 2025-2026 Alliant Property Insurance Program (APIP) Pollution Liability Proposal Page 16 of 16 City of Merced
Coverage 2024-2025 2025-2026
Specific Deductibles
$350,000
Mold Matter (*or $50,000 per
room impacted, whichever is
greater – a room is considered
equal to 250 sq ft of floor space,
education, healthcare and
hospitality locations only)
$350,000
Mold Matter (*or $25,000 per room
impacted, whichever is greater, with
a $2,500,000 maximum – a room is
considered equal to 250 sq ft of floor
space, education, healthcare and
hospitality locations only)
$500,000 Underground Storage Tanks
(less than 25 years old) $250,000 Underground Storage Tanks (less than 20 years old)
<Not Applicable> $375,000 Underground Storage Tanks (20-30 years old)
$1,000,000 Underground Storage Tanks
(more than 25 years old) $500,000 Underground Storage Tanks (more than 30 years old)
Quote Valid Until July 1, 2024 July 1, 2025
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 1 of 9 City of Merced
ALLIANT INSURANCE SERVICES, INC.
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
CYBER INSURANCE PROPOSAL SUMMARY
CORE COVERAGE
TYPE OF COVERAGE:
PROGRAM:
NAMED INSURED:
Information Security & Privacy Insurance with Electronic Media Liability Coverage
Alliant Property Insurance Program (APIP) inclusive of Public Entity Property Insurance Program (PEPIP), a nd
Hospital All Risk Property Program (HARPP), and Spe cial Property Insurance Program (SPIP)
APIP Cyber and Pollution Programs, Inc. which may include any member(s), entity(ies), agency(ies), organization(s), enterprise(s) and/or individual(s), attaching to each Declaration insured under the ALLIANT PROPERTY INSURANCE PROGRAM (APIP), inclusive of PUBLIC ENTITY PROPERTY INSURANCE PROGR AM (PEPIP) and HOSPITAL ALL RISK PROPERTY PROGRAM (HARPP) and Spec ial Property Insurance Program (SPIP) as their respective rights and interests may appear which now exist or which hereafter may be created or acqu ired and which are owned, financially controlled or actively managed by the h erein named interest, all jointly, severally or in any combination of their interests, for account of whom it may concern (all hereinafter referred to as Member(s) / Entity(ies).
DECLARATION: Various Declarations as on file with Insurer
POLICY PERIOD: July 1, 2025 to July 1, 2026
TERRITORY: WORLD-WIDE
RETROACTIVE DATE:
APIP/PEPIP
For new members post renewal – the retroactive date will be the date of addition July 1, 2025 For new members included on the July 1 , 2025/26 policy July 1, 2024 For existing members included on the J uly 1, 2024/25 policy July 1, 2023 For existing members included on the J uly 1, 2023/24 policy July 1, 2022 For existing members included on the J uly 1, 2022/23 policy July 1, 2021 For existing members included on the J uly 1, 2021/22 policy July 1, 2020 For existing members included on the J uly 1, 2020/21 policy July 1, 2019 For existing members included on the J uly 1, 2019/20 policy July 1, 2018 For existing members included on the J uly 1, 2018/19 policy July 1, 2017 For existing members included on the J uly 1, 2017/18 policy July 1, 2016 For existing members included on the J uly 1, 2016/17 policy July 1, 2015 For existing members included on the J uly 1, 2015/16 policy July 1, 2014 For existing members included on the J uly 1, 2014/15 policy July 1, 2013 For existing members included on the J uly 1, 2013/14 policy July 1, 2012 For existing members included on the J uly 1, 2012/13 policy
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 2 of 9 City of Merced
COVERAGES &
LIMITS:
Ai. $ 75,000,000 Annual Policy and Program Aggregate Limit of Liability (subject to policy exclusions) for all Insureds/Mem bers combined (Aggregate for all coverages combined,
including Claims Expenses), subject to the followin g limits and sub-limits as noted.
Aii. $ 2,000,000 Insured/Member Annual Aggregate Limit of Liability (subject to policy exclusions) for each Insured/Mem ber, within the Annual Policy and Program Aggregate Limit of Liability and JPA/Pool Annnual Aggregate Limit of Liability (Aggregate for all coverages combined, including Cl aim Expenses) subject to the following limits and sub-l imits as noted.
BREACH RESPONSE
Breach Response
Costs:
FIRST PARTY LOSS
Business Interruption
and Dependent
Business Interruption
Aggregate Sub-Limit:
Business
Interruption
Loss Resulting from
Security Breach
Business
Interruption Loss
Resulting from
System Failure:
$ 500,000 Aggregate Limit of Liability for each Insured/Member (Limit is increased to $1,000,000 if Beazley Nomina ted Services Providers are used)
$ 750,000 Aggregate Limit of Liability for each Insured/Member
$ 750,000 Aggregate Limit of Liability for each Insured/Member (Within the $750,000 Business Interruption and Dependent Business Interruption Aggregate Sublimit)
$ 500,000 Aggregate Limit of Liability for each Insured/Member (Within the $750,000 Business Interruption and Dependent Business Interruption Aggregate Sublimit)
Dependent Business
Loss Resulting from
Security Breach:
Dependent Business
Loss Resulting from
System Failure:
Cyber Extortion Loss:
Data Recovery Costs:
$ 750,000 Aggregate Limit of Liability for each Insured/Member (Within the $750,000 Business Interruption and Dependent Business Interruption Aggregate Sublimit)
$ 100,000 Aggregate Limit of Liability for each Insured/Member (Within the $750,000 Business Interruption and Dependent Business Interruption Aggregate Sublimit)
$ 750,000 Aggregate Limit of Liability for each Insured/Member
$ 750,000 Aggregate Limit of Liability for each Insured/Member
INSURER: Lloyd’s of London - Beazley Syndicate: Syndicates 2623 - 623 - 100% Liberty Surplus Insurance Corporation (Ironshore)
Associated Industries Insurance Company, Inc. (AmTr ust Financial) Westchester Surplus Lines Insurance Company (Chubb)
100% MRS at Lloyd's (MunichRE)
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 3 of 9 City of Merced
Data & Network
Liability:
Regulatory Defense &
Penalties:
$ 2,000,000 Aggregate Limit of Liability for each Insured/Member for all Damages and Claims Expenses
$ 2,000,000 Aggregate Limit of Liability for each Insured/Member
Payment Card
Liabilities & Costs:
Media Liability:
$ 2,000,000 Aggregate Limit of Liability for each Insured/Member
$ 2,000,000 Aggregate Limit of Liability for each Insured/Member for all Damages and Claims Expenses
eCRIME
Fraudulent Instruction:
Funds Transfer Fraud:
Telephone Fraud:
$ 75,000 Aggregate Limit of Liability for each Insured/Member
$ 75,000 Aggregate Limit of Liability for each Insured/Member
$ 75,000 Aggregate Limit of Liability for each Insured/Member
CRIMINAL REWARD
Criminal Reward:
$ 25,000 Aggregate Limit of Liability for each Insured/Member
COVERAGE
ENDORSEMENT(S)
Reputation Loss:
Claims Preparation
Costs for Reputation
Loss Claims Only:
$ 200,000 Aggregate Limit of Liability for each Insured/Member
$ 50,000 Aggregate Limit of Liability for each Insured/Member Computer Hardware
Replacement Costs:
Invoice Manipulation:
Cryptojacking:
$ 200,0000 Aggregate Limit of Liability for each Insured/Member
$ 100,000 Aggregate Limit of Liability for each Insured/Member
$ 50,000 Aggregate Limit of Liability for each Insured/Member
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 4 of 9 City of Merced
RETENTION:
$ 50,000 Per Claim for each Member/Insured with Tot al Insured Value (TIV) up to $250,000,000 at the time of polic y
inception
8 Hour waiting period for Dependent/Business Inter ruption Loss
$ 100,000 Per Claim for each Member/Insured with To tal Insured Value (TIV) greater than $250,000,000 and up to
$750,000,000 at the time of policy inception
8 Hour waiting period for Dependent/Business Inter ruption Loss
$ 250,000 Per Claim for each Member/Insured with To tal Insured Value (TIV) greater than $750,000,000 at the time of policy inception
8 Hour waiting peri od for Dependent/Business Interruption Loss
NOTICES:
Policy coverage of this policy provides coverage o n a claims made and reported basis; except as otherwise provided, cover age under noted coverage schedule applies only to claims first made against the Insured/Member and reported to underwriters during the policy period.
Claims expenses shall reduce the applicable limit o f liability and are subject to the applicable retention.
This is a shared limit policy among the Named Insur eds.
The per
Insured/Member policy limits are on a per claim or incident for each Insured/Member basis, sub- limits listed are aggregated per Insured/Member and are within the total Insured/Member aggregat e limit. In the event of a claim/incident with multiple Insureds/Members exhau sting the program aggregate limit provided by the Insurer to Insureds /Members, payment to all Insureds/Members for the claim/incident will be det ermined by the Insurer. Where coverages are aggregated, sub- limit and limits apply to all Insureds/Members for the entire Policy Period unles s specifically stated otherwise. The policy aggregate limit is not a per Insured/Mem ber maximum limit.
EXTENDED
REPORTING PERIOD:
For Named Insured - To be determined at the time of election (additional premium will apply)
SPECIFIC COVERAGE
PROVISIONS:
A.
Breach Response indemnifies the Insured/Member for Breach Response Costs incurred by the Insured/Member because of an actual or reasonably suspected Data Breach or Security Breach that the Insured fir st discovers during the Policy Period.
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 5 of 9 City of Merced
B.
First Party Loss
Business Interruption Loss indemnifies the Insured/Member for a Business Interruption Loss sustained as a result of a Security Breach or System Failure that the Insured first discovers during the Policy Period.
Dependent Business Interruption Loss indemnifies the Insured/Member for a Dependent Business Interruption Loss sustained as a result of a Security Breach or a System Failure that the Insured first discover during the Policy Period.
Cyber Extortion Loss indemnifies the Insured/Member for a Cyber Extortio n Loss incurred as a result of an Extortion Threat first m ade against the Insured/Member during the Policy Period.
Data Recovery Costs indemnifies the Insured/Member for Data Recovery Co sts incurred as a direct result of a Security Breach or System Failure that the Insured first discovers during the Policy Period.
C.
Liability
Data & Network Liability pays Damages and Claims Expenses, which the Insured is legally obligated to pay because of any Claim fi rst made against any Insured during the Policy Period for a Data Breach, a Security Breach, the Insured’s failure to disclose a Data Breach or Security Breach, or fa ilure of the Insured to comply with the part of a Privacy Policy that specifically is related to disclosure, access or procedures related to Personally Identifiable Information.
Regulatory Defense & Penalties pays Penalties and Claims Expenses, which the Insured is legally obligated to pay because of a Re gulatory Proceeding first made against any Insured during the Policy Period for a Data Breach or a Security Breach.
Payment Card Liabilities & Costs indemnifies the Insured/Member for PCI Fines, Expenses and Costs which it is legally obligated to pay because of a Claim first made against any Insured during the Policy Period.
Media Liability pays Damages and Claims Expenses, which the Insured is legally obligated to pay because of any Claim first made ag ainst any Insured during the Policy Period for electronic Media Liability.
D.
E.
eCrime indemnifies the Insured/Member for any direct fina ncial loss sustained resulting from:
Fraudulent Instruction
Funds Transfer Fraud
Telephone Fraud
That the Insured first discovers during the Policy Period.
Criminal Reward indemnifies the Insured/Member for Criminal Reward Funds.
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 6 of 9 City of Merced
Coverage
Endorsement(s)
Reputational Loss indemnifies the Insured Organization for Reputation Loss that the Insured Organization sustains solely as a resul t of an Adverse Media Event that occurs during the Policy Period, concerning: a Data Breach, Security Breach, or Extortion Threat that the Insured first discovers during the Policy Period.
Computer Hardware Replacement Costs is part of the Extra Expense coverage. Extra Expense means reasonable and necess ary expenses incurred by the Insured Organization during the Period of Restoration to minimize, reduce or avoid Income Loss, over and above those expenses the Insured Organization would have incurred had no Security Breach, System Failure, Dependent Security Breach or Dependent System Failure occurre d; and includes reasonable and necessary expenses incurred by the Insured Orga nization to replace computers or any associated devices or equipment op erated by, and either owned by or leased to, the Insured Organization that are unable to function as intended due to corruption or destruction of software or firmware directly resulting from a Security Breach
Invoice Manipulation indemnifies the Insured Organization for Direct Ne t Loss resulting directly from the Insured Organization’s inability to collect Payment for any goods, products or services after such goods, products or services have been transferred to a third party, as a result of Invoice Manipulation that the Insured first discovers during the Policy Period. Invoice Manipu lation means the release or distribution of any fraudulent invoice or fraudulen t payment instruction to a third party as a direct result of a Security Breach or a Data Breach.
Cryptojacking indemnifies the Insured Organization for any direc t financial loss sustained resulting from Cryptojacking that the Ins ured first discovers during the Policy Period. Cryptojacking means the Unauthorized Access or Use of Computer Systems to mine for Digital Currency that directly results in additional costs incurred by the Insured Organization for electricity, natural gas, oil, or internet.
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 7 of 9 City of Merced
EXCLUSIONS:
(Including but not
limited to)
Coverage does not apply to any claim or loss from:
Bodily Injury or Property Damage
Trade Practices and Antitrust
Gathering or Distribution of Information
Prior Known Acts & Prior Noticed Claims
Racketeering, Benefit Plans, Employment Liability & Discrimination Sale or Ownership of Securities & Violation of Sec urities Laws Criminal, Intentional of Fraudulent Acts
Patent, Software Copyright, Misappropriation of In formation Governmental Actions
Other Insureds & Related Enterprises
Trading Losses, Loss of Money & Discounts
Media-Related Exposures – Contractual liability or obligation Nuclear Incident
Radioactive Contamination
Tribral Exclusion Endorsement
Sanctions Limitation
War and Cyber War Exclusion with Single Entity Car ve Back Asbestos, Pollution and Contamination
Tribal Exclusion Endorsement
First Party Loss – with respects: 1. seizure, nati onalization, confiscation, or destruction of property or data by order of any gov ernmental or public authority; 2. costs or expenses incurred by the Insured to identify or remediate software program errors or vulnerabilities or updat e, replace, restore, assemble, reproduce, recollect or enhance data or C omputer Systems to a level beyond that which existed prior to a Security Breach, System Failure, Dependent Security Breach, Dependent System Failure or Extortion Threat;
3. failure or malfunction of satellites or of power , utility, mechanical or telecommunications (including internet) infrastruct ure or services that are not under the Insured Organization’s direct operational control; or 4. fire, flood, earthquake, volcanic eruption, explosion, lightning , wind, hail, tidal wave, landslide, act of God or other physical event.
Website Tracking Exclusion specific to hospitals a s defined by: Hospitals defined as institutions that comprise all the follo wing: A health facility with overall administrative and professional responsibil ity and an organized medical staff that provides 24-Hour inpatient care, including the following services: Medical, nursing, surgical, anesthesia, l aboratory, pharmacy, and dietary services.
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 8 of 9 City of Merced
NOTICE OF CLAIM:
IMMEDIATE NOTICE must be made to Beazley NY of all potential claim s and circumstances (assistance, and cooperation clause applies) Claim notification under this policy is to:
Beazley Group
Attn: TMB Claims Group
45 Rockefeller Plaza, 16 th Floor
New York, NY 10111
[email protected]
Toll Free 24 Hour Hotline 866-567-8570
NOTICE OF
CANCELLATION:
10 days for non-payment of premium
OTHER SERVICES Unlimited Access to Beazley Breach Solutions websit e https://www.beazley.com/en-us/cyber-customer-centre /cyber/
BROKER: ALLIANT INSURANCE SERVICES, INC.
License No. 0C36861
NOTES:
• Some coverage, limits, sub-limits, terms and condit ions may change, as negotiations are ongoing. Changes will be documented and accompany the Binder Confirmatio n for July 1, 2025 bound terms. Coverage outlined in this Proposal is subject to th e terms and conditions being negotiated with the policy. To be finalized and presented at Progra m Inception. • Please refer to Policy for specific terms, conditions and exclusions
2025-2026 Alliant Property Insurance Program (APIP) Cyber Proposal Summary Page 9 of 9 City of Merced
CYBER SUMMARY OF PROPOSED CHANGES
THE FOLLOWING ITEMS ARE PROPOSED CHANGES FOR THE 2025-2026 POLICY PERIOD
Coverage 2024-2025 2025-2026
Beazley Breach Response
Endorsement
Coverage offered to new and
existing Members – Underwriting
required
No Change
Retention Buy Down
Coverage is being offered to new
and existing members;
underwriting required
No Change
New members to APIP Cyber Core-
Mid Term Transactions
New this year; no underwriting, all
members requesting core
coverage are eligible.
Ransomware application,
statement of no losses, and AFB
warranty required.
All insureds requesting core cyber
coverage are required to complete
the Beazley Ransomware
Supplemental application in the
application portal, provide a signed
statement of no losses, and an AFB
warranty .
New To APIP Core effective Mid-
Term or July 1 Minimum Premium was $500 Minimum Premium Changed to $1,000
Beazley Core Coverage-Website
Tracking Exclusion
Website Pixel Tracking Exclusion
specific to Hospitals defined as a
Health Facility with overall
administrative and professional
responsibility and organized
medical staff that provides 24-
hour inpatient care, including the
following services: Medical,
nursing, surgical, anesthesia,
laboratory, pharmacy, and dietary
services.
No Change
Beazley Core Coverage-New Boost
offering
By endorsement and included
only with the BBR purchase.
Open to all members. Provides
full limit coverage for some First
Party Limits; Business
Interruption, Cyber Extortion, and
Data Recovery.
No Change
Beazley Breach Response
No retention at time of loss for
forensic services only when using
Beazley Security; applicable to
Beazley Breach Response
Endorsement purchasers only.
Alliant Insurance Services Inc.
APIP INVOICE
NAMED INSURED:
City of Merced
INVOICE DATE: June 3, 2025
PAYMENT DUE DATE: July 23, 2025
CUSTOMER NUMBER: MERCED0-02
EFFECTIVE DATE: July 1, 2025
TOTAL INVOICE DUE AT THIS TIME: $ 1,346,650.37
INSURANCE CO: Various INVOICE NUMBER: 10170607 POLICY NUMBER: PPROP2526
Total Property Premium:
Total Pollution Premium:
Total Cyber Premium:
Total Boiler & Machinery Premium:
ABS Fee:
Estimated SLT&F:
Broker Fee:
$ 1,268,698.00
$ 4,575.00
$ 16,239.00
$ 5,751.00
$ 10,198.00
$ 41,189.37
$ 0.00
TOTAL DUE AT THIS TIME: $ 1,346,650.37
Total Due includes Premiums, Taxes and Fees where a pplicable. The Cyber Enhancement premium, should you have elected to purchase this coverage, is not included as part of this invoice.
Please return a copy of the invoice with your payme nt. Premiums are due and payable upon receipt of t his invoice but no later than 30 days of Binding. If payment is not received by the due date, policies may be subject to cancellation.
Alliant embraces a policy of transparency with respect to its compensation from insurance transactions. Details on our compensation policy, including the types of income that Alliant may earn on a placement, are av ailable on our website at www.alliant.com . For a copy of our policy or for any inquiries regarding compensation issues pertaining to your account you may also contact us at: Alliant Insurance Services, Attention: General Counsel, 701 B Street, 6th Floor, San Diego, CA 92101.
Coverages, limits, sub-limits, terms and conditions could change. All changes will be advised prior to binding and accompany the Binder Confirmation fo r July 1, 2025 bound terms.
Important Notice of Remittance
Payment Address
We have implemented lockbox deposit services with our Bank.
Please use to avoid delays in processing your payments.
Effective immediately, please mail all future checks along with your remittance detail invoice to the following:
Standard Mail Remittance Address:
AIS Trust Account Newport
P.O. Box 744963
Los Angeles, CA 90074-4963
Overnight/Courier Remittance Address:
Bank of America Lockbox Services
Lockbox 744963
2706 Media Center Drive
Los Angeles, CA 90065-1733
ACH/WIRE PAYMENTS
Bank of America
Alliant Insurance Services Trust Account
Account Number: 1453355421
ACH Routing Number: 122000661
Wire Routing: Number: 026009593
SWIFT: BOFAUS3N (US Domestic)
SWIFT: BOFAUS6S (Foreign Currency)
ACH/Wire Reference: Include your ten-digit Client Account Number and Invoice Number (both can be found at the top right of this invoice) E-mail remittances to [email protected]
Pay your Invoice via ACH using AlliantPay: https://billpay.alliant.com
LOSS NOTIFICATION REQUIREMENT
ALLIANT PROPERTY INSURANCE PROGRAM (APIP)
Claim notifications need to be sent to Robert Frey, Diana Walizada and Sandra Doig. In the event this is a Cyber loss please include item III contact, for a Pollution loss please include item IV contact in addition to Alliant Insurance Services contacts .
I. During regular business hours (between 8:30 AM a nd 5:00 PM PST), First Notice of Claim should be reported to Alliant Insurance Services via telephone, fax, mail or e-mail to our San Francisco Office:
Robert A. Frey, RPA Diana L. Walizada, AIC, CPIW, RPA, AINS Senior Vice President,
Regional Claims Director
Vice President, Claims Unit Manager
Voice: (415) 403-1445 Voice:(415)403 -1453
Email: [email protected] Email: [email protected]
Address: Alliant Insurance Services, Inc.
560 Mission Street, 6 th Floor
San Francisco CA 94105
Toll Free Voice: (877) 725-7695 Fax: (415) 403-1 466
II. Please be sure to include APIP’s Claim Administ rator as a CC on all Claims correspondence:
Sandra Doig
McLaren’s Global Claims Services
Address: 18100 Von Karman Avenue, 10 th Floor
Irvine, CA 92612
Voice: (949) 757-1413 Fax: (949) 757-1692
Email:
[email protected]
III. Cyber Liability Carrier Beazley NY needs to al so be provided with Notice of Claim immediately (if purchased):
Beazley Group
Address: 1270 Avenue of the America’s, Suite 1200
New York, NY 10020
Fax: (546) 378-4039
Email:
[email protected]
Elaine G. Tizon, V.P. CISR, E-mail: [email protected] Donna Peterson, E-mail: [email protected]
Address: 560 Mission Street, 6 th Floor
San Francisco, CA 94105
Voice: (415) 403-1458 Fax: (415) 403-1466
IV. Pollution Liability Carrier Ironshore Specialty Insurance Company (if purchased):
Ironshore Environmental Claims CSO
Address: 28 Liberty Street, 5th Floor
New York, NY 10005
In emergency call: (888) 292-0249
Fax: (646) 826-6601
Email:
Akbar Sharif
Claims Advocate
Address: 18100 Von Karman Avenue, 10 th Floor
Irvine, CA 92612
Voice: (949) 260-5088 Fax: (415) 403-1466
Email:
[email protected]
Please include the Insured /JPA name along with the following information when reporting claims:
Time, date and specific location of property damag ed A description of the incident that caused the dama ge (such as fire, theft or water damage) Estimated amount of loss in dollars
Contact person for claim including name, title, vo ice & fax numbers Complete and return the Property Loss Notice for p rocessing. Mortgagee or Loss Payee name, address, and account number
APIP Claims Reporting Acknowledgement(s) Receipt Form
The Claims Reporting Forms are being included with your packet to ensure claims reporting procedures a re known and available for future reference. Please review the i nformation. We ask that you share these critical documents with all members of your team (and Pool Members and their staffs where applicable.)
We request that you review the items indicated as a ttached, then complete the bottom portion, sign and submit to your
Alliant Insurance Services representative either by a scanned e-mail or mail to have it be included in your insurance records.
APIP Property Claims Reporting
Cyber Claims Reporting ( this is a claims made policy ) if coverage is purchased
Pollution Liability Claims Reporting ( this is a claims made policy ) if coverage is purchased
Acknowledgement for Claims reporting procedures under Alliant Property Insurance Programs In effect: July 1, 2025 until further notice
I have read and been informed about these separate reporting requirements under the coverage parts that apply to our entity as indicated above and provided through APIP by Alliant.
Insured Entity Name: City of Merced
X
Signature of Authorized Insured Representative
Title Date
Print / Type Insured Representative Full Name:
Applicable in Arizona
For your protection, Arizona law requires the follo wing statement to appear on this form. Any person w ho knowingly presents a false or fraudulent claim for payment of a loss is subject to criminal and civil penalties.
Applicable in Arkansas, Delaware, District of Colum bia, Kentucky, Louisiana, Maine, Michigan, New Jersey, New Mexico, New York, North D akota, Pennsylvania, South Dakota, Tennessee, Texas, Virginia and West Virgini a
Any person who knowingly and with intent to defraud any insurance company or another person, files a s tatement of claim containing any materially false information, or conceals for the purpose of misleading, informat ion concerning any fact, material thereto, commits a fraudulent in surance act, which is a crime, subject to criminal prosecution and [NY: substantial] civil penalties. In DC, LA, ME, TN and VA, insurance benefits may also be denied.
Applicable in California
For your protection, California law requires the fo llowing to appear on this form: Any person who kno wingly presents a false or fraudulent claim for payment of a loss is guilty of a crime and may be subject to fines and c onfinement in state prison.
Applicable in Colorado
It is unlawful to knowingly provide false, incomple te, or misleading facts or information to an insura nce company for the purpose of defrauding or attempting to defraud the company. Penalties may include imprisonment, fi nes, denial of insurance, and civil damages. Any insurance company or agent of an insurance company who knowingly pro vides false, incomplete, or misleading facts or informati on to a policy holder or claimant for the purpose o f defrauding or attempting to defraud the policy holder or claimant with regard to a settlement or award payable from insurance proceeds shall be reported to the Colorado Division of Insur ance within the Department of Regulatory Agencies.
Applicable in Florida and Idaho
Any person who Knowingly and with the intent to injure, Defraud, or Deceive any Insurance Compa ny Files a Statement of Claim Containing any False, Incomplete or Misleading information is Guilty of a Felony.* * In Florida - Third Degree Felony
Applicable in Hawaii
For your protection, Hawaii law requires you to be informed that presenting a fraudulent claim for pay ment of a loss or benefit is a crime punishable by fines or imprisonm ent, or both.
Applicable in Indiana
A person who knowingly and with intent to def raud an insurer files a statement of claim con taining any false, incomplete, or misleading information commits a fel ony.
Applicable in Minnesota
A person who files a claim with intent to defraud o r helps commit a fraud against an insurer is guilty of a crime.
Applicable in Nevada
Pursuant to NRS 686A.291, any person who knowingly and willfully files a statement of claim that conta ins any false, incomplete or misleading information concerning a m aterial fact is guilty of a felony.
Applicable in New Hampshire
Any person who, with purpose to injure, defraud or deceive any insurance company, files a statement of claim containing any false, incomplete or misleading information is subject to prosecution and punishment for insurance fraud, as provided in RSA 638:20.
Applicable in Ohio
Any person who, with intent to defraud or knowing t hat he/she is facilitating a fraud against an insur er, submits an application or files a claim containing a false or deceptive st atement is guilty of insurance fraud.
Applicable in Oklahoma
WARNING: Any person who knowingly and with intent t o injure, defraud or deceive any insurer, makes any claim for the proceeds of an insurance policy containing any false, incomplete or misleading information is guil ty of a felony.
ACORD 1 (2006/02)
IN THE EVENT OF A
PROPERTY LOSS:
1) Follow your organization procedures for reporting and responding to an incident 2) Alert local emergency authorities, as appropriate
3) Report the incident to Alliant Insurance Services immediately at:
877-725-7695
All property losses must be reported as soon as
practicable upon knowledge within the risk management or finance division of the insured that a loss has occurred.
Be prepared to give basic information about the loc ation and nature of the incident, as well as steps which have been taken in response to the incident. 4) Report the incident to McLarens Global Claims Services AND your Alliant representative
PROPERTY FIRST NOTICE OF LOSS FORM
SEND TO: Alliant Insurance Services, Inc.
BY MAIL: 560 Mission Street, 6
th Floor, San Francisco, CA 94105
BY FAX: (415) 403-1466
BY EMAIL:
[email protected] AND [email protected]
Carbon Copy APIP Claims Administrator: [email protected] and your Alliant representative
Today’s Date: _________________
Type of Claim: (check all that apply)
Insured’s Name & Contact Information
Insured’s Name: Point of Contact:
Address:
Phone #: Email Address:
Broker/Agent’s Name & Contact Information
Company Name: Alliant Insurance Services - Claims Point of Contact: Robert A. Frey & Diana L. Walizada Address: 560 Mission Street, 6 th Floor, San Francisco, CA 94105_____________________ ___________ Phone #: 877-725-7695 Fax #: 415-403-1466
Policy Information
Policy Number:_APIP2025 (Dec 02)________________ Po licy Period: July 1, 2025- July 1, 2026 Limits of Liability: _______________per___________a gg Self-Insured Retention/Deductible: _____________ Loss Information
Date of Incident/Claim: _____________ Location:__ ________________________________________________ Description of Loss: ______________________________ _____________________________________________ ___________________________________________________ __________________________________________ Please list all attached or enclosed documentation: (check if none provided) _________________________ _ ___________________________________________________ __________________________________________
Name of Person Completing This Form: Signature:
Per the Master Policy Wording, Section IV General Conditions;
L. NOTICE OF LOSS
In the event of loss or damage insured against under this Policy, the Insured shall give notice thereof to ALLIANT INSURANCE SERVICES, INC., 560 Mission Street, 6 th Floor, San Francisco, CA 94105.
TEL NO. (877) 725-7695, FAX NO. (415) 403-1466 of such loss. Such notice is to be made as soon as practicable after the inception of loss.
Real Property Vehicles
Personal Property Other
IN THE EVENT OF A
CYBER LOSS:
1) Follow your organizations procedures for reporting and responding to an incident
2) Alert authorities, as appropriate
3) Report the incident to Beazley Group immediately at:
(866)567-8570
All Cyber losses must be reported as soon as practicable upon knowledge by the insured that a loss has occurred.
Be prepared to give basic information about the loc ation and nature of the incident, as well as steps which have been taken in response to the incident.
4) Report the incident to Alliant Claims Department and your Alliant representative
SPECIAL NOTE REGARDING PRIVACY NOTIFICATION COSTS:
The policy provides a $500,000 Aggregate Limit for Privacy Notification Costs. If you utilize a Beazley vendor, the limit is increased to $1,000,000.
Please contact Beazley for a list of approved vendors.
CYBER FIRST NOTICE OF LOSS FORM
Today’s Date:
Insured’s Name & Contact Information
Insured’s Name: Point of Contact:
Address:
Phone #: Email Address:
Broker/Agent’s Name & Contact Information
Company Name: Alliant Insurance Services – Claims Point of Contact: Elaine Tizon
Address: 560 Mission Street, 6
th Floor, San Francisco, CA 94105
Phone #: 877-725-7695 Fax #:415-403-1466
Policy Information
Policy Number: Policy Period: July 1, 2025- July 1, 2026
Limits of Liability: per agg Self-Insured Retention/Deductible
Loss Information
Date of Incident/Claim: Location:
Description of Loss:
Please list all attached or enclosed documentation:
(check if none provided)
Name of Person Completing This Form: Signature:
SEND TO: Beazley Group
BY MAIL: 1270 Avenue of the America’s, Suite 1200, New York, NY 10020 BY FAX: (546) 378-4039
BY EMAIL:
[email protected]
CC Alliant Claims Department:
[email protected] , [email protected] and your Alliant representative
A. NOTICE OF CLAIM, LOSS OR CIRCUMSTANCE THAT MIGHT LEAD TO A CLAIM
1. If any Claim is made against the Insured , the Insured shall, as soon as practicable upon knowledge by the Insured , forward to the Underwriters through persons named in Item 9.A. of the Declarations written notice of such Claim in the form of a telecopy, or express or certified mail together with every demand, notice, summons or other process received by the Insured or the Insured’s representative; provided that with regard to coverage provided under Insuring Agreements I.A. and I.C., all Claims made against any Insured must be reported no later than the end of the Policy Period , in accordance with the requirements of the Optional Extension Period (if applicable), or within thirty (30) days after the expiration date of the Policy Period in the case of Claims first made against the Insured during the last thirty (30) days of the Policy Period .
2. With respect to Insuring Agreement I.B. for a l egal obligation to comply with a Breach Notice Law because of an incident (or reasonably suspected incident) described in Insuring Clause I.A.1 or I.A.2, such incident or reasonably suspected incident must be reported as soon as practicable during the Policy Period after discovery by the Insured. For such incidents or suspected incidents discovered by the Insured within 60 days prior to expiration of the Policy, such incident shall be reported as soon as practicable, but in no event later than 60 days after the end the Policy Period , provided; if this Policy is renewed by Underwriters and covered Privacy Notification Costs are incurred because of such incident or suspected incident reported during the 60 day post Policy Period reporting period, then any subsequent Claim arising out of such incident or suspected incident is deemed to have been made during the Policy Period .
3. With respect to Insuring Agreements I.A. and I. C., if during the Policy Period , the Insured first becomes aware of any circumstance that could reasonably be the basis for a Claim it may give written notice to Underwriters in the form of a telecopy, or express or certified mail through persons named in Item 9.A. of the Declarations as soon as practicable during the Policy Period of:
a. the specific details of the act, error, omissio n, or Security Breach that could reasonably be the basis for a Claim ;
b. the injury or damage which may result or has re sulted from the circumstance; and c. the facts by which the Insured first became aware of the act, error, omission or Security Breach
Any subsequent Claim made against the Insured arising out of such circumstance which is the subject of the written notice will be deemed to have been made at the time written notice complying with the abov e requirements was first given to the Underwriters.
4. A Claim or legal obligation under section X.A.1 or X.A.2 above shall be considered to be reported to the Underwriters when written notice is first received by Underwriters in the form of a telecopy, or express or certified mail or email through persons named in Item 9.A. of the Declarations of the Claim or legal obligation, or of an act, error, or omission, which could reasonably be expected to give rise to a Claim if provided in compliance with sub-paragraph X.A.3. ab ove.
POLLUTION LIABILITY
IN THE EVENT OF AN
ENVIRONMENTAL EMERGENCY:
1) Follow your organization procedures for reporting and responding to an incident
2) Alert local emergency authorities, as appropriate
3) Report the incident immediately at:
888-292-0249
4] Report the incident to Alliant
Akbar Sharif
Claims Advocate
949-260-5088
415-403-1466 – fax
Be prepared to give basic information about the loc ation and nature of the incident, as well as steps which have been taken in response to the incident.
DO follow your organization’s detailed response plan
DO contact your management as well as appropriate authorities DO ensure anyone who could come in contact with a spill or release is kept away
DO NOT ignore a potential spill or leak
DO NOT attempt to respond beyond your level of training or certification
Today’s Date:
Notice of: (check all that apply)
Pollution Incident Potential Claim Other
Third-Party Claim Litigation Initiated
Insured’s Name & Contact Information
Company Name: Point of Contact:
Address:
Phone #: Email Address:
Broker/Agent’s Name & Contact Information
Company Name: Alliant Insurance Services - Claims Point of Contact: Akbar Sharif Address: 18100 Von Karman Ave., 10 th Floor, Irvine, CA 92612 Phone #: 949-260-5088
Policy Information
Policy Number: Policy Period: July 1, 2025- July 1, 2026 Limits of Liability: per agg. Self-Insured Retention/Deductible Loss Information
Date of Incident/Claim: Location:
Claimant Name/Address:
Description of Loss:
Please list all attached or enclosed documentation: (check if none provided)
Name of Person Completing This Form: Signature:
SEND TO: IRONSHORE ENVIRONMENTAL CLAIMS CSO
BY MAIL: 28 Liberty Street, 5th Floor, New York, NY 10005 BY PHONE: (888) 292-0249
BY FAX: (646) 826-6601
BY EMAIL:
CC Alliant Insurance: [email protected] and your Alliant Representative
Last Updated: May 2022 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 1
ALLIANT INSURANCE SERVICES
POLICYHOLDER DISCLOSURE
NOTICE OF TERRORISM
INSURANCE COVERAGE
June 3, 2025
Named Insured: City of Merced
We are required to send you this notice pursuant to federal legislation concerning terrorism insurance. The below is for TRIA coverage as issued by the United States of America and is not tied to or representat ive of the Terrorism coverage offered in our property insurance program.
You are hereby notified that under the Terrorism Ri sk Insurance Act, as amended, you have a right to purchase insurance coverage for losses resulting from acts of terrorism. As defined in Section 102(1) of the Act : The term “act of terrorism” means any act or acts that are certified by the Secretary of the Treasury—in consultation with the Secretary of Home land Security, and the Attorney General of the United States—to be an act of terrorism; to be a vi olent act or an act that is dangerous to human life , property, or infrastructure; to have resulted in da mage within the United States, or outside the Unite d States in the case of certain air carriers or vesse ls or the premises of a United States mission; and to have been committed by an individual or individuals as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the United States Government by coercion.
YOU SHOULD KNOW THAT WHERE COVERAGE IS PROVIDED BY THIS POLICY FOR LOSSES
RESULTING FROM CERTIFIED ACTS OF TERRORISM, SUCH LO SSES MAY BE PARTIALLY
REIMBURSED BY THE UNITED STATES GOVERNMENT UNDER A FORMULA ESTABLISHED BY FEDERAL LAW. HOWEVER, YOUR POLICY MAY CONTAIN OTHER EXCLUSIONS WHICH MIGHT AFFECT YOUR COVERAGE, SUCH AS AN EXCLUSION FOR NUCL EAR EVENTS. UNDER THE FORMULA, THE UNITED STATES GOVERNMENT GENERALLY REI MBURSES 80% BEGINNING ON JANUARY 1, 2020, OF COVERED TERRORISM LOSSES EXC EEDING THE STATUTORILY
ESTABLISHED DEDUCTIBLE PAID BY THE INSURANCE COMPAN Y PROVIDING THE COVERAGE. THE PREMIUM CHARGED FOR THIS COVERAGE IS PROVIDED BELOW AND DOES
NOT INCLUDE ANY CHARGES FOR THE PORTION OF LOSS THA T MAY BE COVERED BY THE FEDERAL GOVERNMENT UNDER THE ACT.
YOU SHOULD ALSO KNOW THAT THE TERRORISM RISK INSURA NCE ACT, AS AMENDED, CONTAINS A $100 BILLION CAP THAT LIMITS U.S. GOVERN MENT REIMBURSEMENT AS WELL AS INSURERS’ LIABILITY FOR LOSSES RESULTING FROM CE RTIFIED ACTS OF TERRORISM WHEN THE AMOUNT OF SUCH LOSSES IN ANY ONE CALENDAR YEAR EXCEEDS $100 BILLION.
IF THE AGGREGATE INSURED LOSSES FOR ALL INSURERS EX CEED $100 BILLION, YOUR COVERAGE MAY BE REDUCED.
THE PREMIUM CHARGED FOR THIS COVERAGE CAN BE REQUES TED BELOW AND WILL NOT
INCLUDE ANY CHARGES FOR THE PORTION OF LOSS COVERED BY THE FEDERAL GOVERNMENT UNDER THE ACT.
Last Updated: May 2022 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 2
SELECTION OR REJECTION OF THE TERRORISM RISK INSURA NCE ACT, as AMENDED (A.K.A.: TRIA, TRIEA, TRIPRA, TRIP OR TRIPA. We ref er to these collectively as “TRIA”.)
THIS COVERAGE IS OUTSIDE OF THE PROGRAM’S TERRORISM COVERAGES AND LIMITS. IT IS PROVIDED AND OVERSEEN BY THE U.S. GOVERNMENT.
THIS COVERAGE IS CONSIDERED RESTRICTIVE COMPARED TO THE APIP TERRORISM LIMITS AND COVERAGES AVAILABLE. THIS ACT DOES NOT FOLLOW O UR PROGRAM’S TERRORISM POLICIES.
HOWEVER, IF YOU’D LIKE A QUOTE FOR TRIA COVERAGE, P LEASE CHECK THE “I AM INTERESTED” BOX. OTHERWISE, PLEASE CHECK THE “DECL INE” BOX. YOUR SIGNATURE FOR CONFIRMATION OF RECEIPT IS REQUIRED. ANY QUESTIONS PLEASE CALL YOUR ALLIANT SERVICE TEAM MEMBER.
I am interested in receiving a quote for Terrorism Risk Insurance Act coverage as required by law to be offered under the last amended Act. Please provide a quote.
I hereby decline to purchase Terrorism Risk Insuran ce Act coverage as required by law to be offered under the last amended Act.
___________________________________________________ __
Policyholder/applicant signature
___________________________________________________ ___ ___________ Print Name Date
City of Merced
Last Updated: May 2023 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 1 Disclosures / Disclaimers
This proposal of insurance is provided as a matter of convenience and information only. All informati on included in this proposal, including but not limited to personal and real property values, locations, operations, produ cts, data, automobile schedules, financial data and loss experience, is based on facts and representations supplied to Alliant Insurance Services, Inc. by you. This proposal does not reflect any independent study or investigation by Alliant Insurance Services, Inc. or its agents and employees.
Please be advised that this proposal is also expres sly conditioned on there being no material change i n the risk between the date of this proposal and the inception date of the proposed policy (including the occurrence of a ny claim or notice of circumstances that may give rise to a claim under any policy which the policy being proposed is a renewal or replacement).
In the event of such change of risk, the insurer ma y, at its sole discretion, modify, or withdraw this proposal, whether or
not this offer has already been accepted.
This proposal is not confirmation of insurance and does not add to, extend, amend, change, or alter an y coverage in any actual policy of insurance you may have. All exist ing policy terms, conditions, exclusions, and limit ations apply. For specific information regarding your insurance cover age, please refer to the policy itself. Alliant In surance Services, Inc. will not be liable for any claims arising from or related to information included in or omitted from this proposal of insurance.
Alliant embraces a policy of transparency with resp ect to its compensation from insurance transactions . Details on our compensation policy, including the types of income that Alliant may earn on a placement, are available on our website at www.alliant.com . For a copy of our policy or for any inquiries regar ding compensation issues pertaining to your account you may also contact us at: Alliant Insurance Servi ces, Inc., Attention: General Counsel, 701 B Street , 6th Floor, San Diego, CA 92101.
Analyzing insurers' over-all performance and financ ial strength is a task that requires specialized sk ills and in-depth technical understanding of all aspects of insurance company finances and operations. Insurance brokera ges such as Alliant Insurance typically rely upon rating agenci es for this type of market analysis. Both A.M. Best and Standard and Poor's have been industry leaders in this area for many decades, utilizing a combination of quantitati ve and qualitative analysis of the information available in formulating their ratings.
A.M. Best has an extensive database of nearly 6,000 Life/Health, Property Casualty and International companies. You can visit them via this www.AmBest.com . For additional information regarding insurer financial strength ratings visit Standard and Poor's website at www.standardandpoors.com .
Our goal is to procure insurance for you with under writers possessing the financial strength to perfor m. Alliant does not, however, guarantee the solvency of any underwriters with which insurance or reinsurance is placed and maintains no responsibility for any loss or damage arising from the financial failure or insolvency of any insurer. We encourage you to review the publicly available information collected to enable you to make an informed decision to acce pt or reject a particular underwriter. To learn more about compan ies doing business in your state, visit the Departm ent of Insurance website for that state.
New York Regulation 194 and General Broker Compensation Disclosure Alliant Insurance Services, Inc. is an insurance pr oducer licensed by the State of New York and other States. Insurance producers are authorized by their license to confer with insurance purchasers about the benefits, term s and conditions of insurance contracts; to offer advice concerning the substantive benefits of particular insurance contracts; to sell insurance; and to obtain insurance for purchasers. The role of the producer in any particular transaction typically involves one or more of these activities.
Compensation will be paid to the producer, based on the insurance contract the producer sells. Depend ing on the insurer(s) and insurance contract(s) the purchaser selects, compensation will be paid by the insurer(s) selling the insurance contract or by another third party. Such compensation may vary depending on a number of factors, including the insurance contract(s) and the insurer(s) the pu rchaser selects. In some cases, other factors such as the volume of business a producer provides to an insurer or the profitability of insurance contracts a producer provides to an insurer also may affect compensation.
Last Updated: May 2023 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 2
Disclosures / Disclaimers Cont.
The insurance purchaser may obtain information abou t compensation expected to be received by the produ cer based in whole or in part on the sale of insurance to the purchaser, and (if applicable) compensation expected to be received based in whole or in part on any alternative quotes prese nted to the purchaser by the producer, by requestin g such information from the producer.
Declaration Limit Disclosure
Unless stated otherwise, coverage limits of liability and sub-limits of liability are shared across the Named Insured(s) designated in a single Declaration. Exceptions include:
Terrorism coverage, if purchased by a specific Nam ed Insured, is provided on a combined basis with a sub-limit of liability that is shared across Named Insureds covered under multiple relevant Declarations.
Flood and Earthquake sub-limits of liability, if p urchased by a specific Named Insured and except as indicated below, are dedicated by Named Insured and cannot be reduced by losses sustained by other Named Insured s.
If a single Occurrence causes direct physical loss or damage to property of multiple Named Insureds covered by the same Declaration (or all relevant Declarations as respects Terrorism coverage), it is possible that the applicable shared limit of liability or sub-limit of liability may be insufficient to fully indemnify the physical loss or damage as sustained by multiple Named Insureds.
In the event of a loss or accumulation of losses whereby the amount of loss exceeds the applicable sha red limit of liability or sub-limit of liability, the recovery available will be allocated on a proportional basis among individual Named Insureds under the same Declaration (or all relevant Declarations as respects Terrorism coverage). This allocation applies until exhaustion of limits on a per Occurrence basis and on an Annual Aggregate basis (if applicable). If a Named Insured’s claim reporting is delayed, such Na med Insured’s recovery may be reduced or eliminated.
Furthermore, any Annual Aggregate limit of liability or sub-limit that is shared across all Named Insureds covered under a particular Declaration (or all relevant Declarations as respects Terrorism coverage) may be reduced or exhausted by the prior payment of claims arising out of separate Occ urrences in the same Policy Period. As a result, it is possible that there may be no remaining limit available to pay a specific Named Insured’s claim under the Policy.
To the extent actually covered, the Annual Aggregate limits are as follows:
Accidental Contamination
Mold/Fungus Resultant Damage
Terrorism
Flood and Earthquake damage to Licensed Vehicles, Unlicensed Vehicles, Contractor’s Equipment and Fin e Arts for Named Insured(s) that do not purchase optional dedicated Earthquake or Flood coverage Privacy
At Alliant, one of our top priorities is making sure that the information we have about you is protected and secure. We value our relationship with you and work hard to preserve your privacy and ensure that your preferences are honored. At the same time, the very nature of our relationship may result in Alliant’s collecting or sharing certain types of information about you in order to provide the products and serv ices you expect from us. Please take the time to read our full Privacy Policy posted at www.alliant.com and contact your Alliant service team should you h ave any questions.
FATCA
The Foreign Account Tax Compliance Act (FATCA) requ ires the notification of certain financial accounts to the United States Internal Revenue Service. Alliant does not provide tax advice so please contact your tax consultant for your obligation regarding FATCA.
Last Updated: May 2023 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 3 Disclosures / Disclaimers Cont.
NRRA
(Applicable if the insurance company is non-admitted)
The Non-Admitted and Reinsurance Reform Act (NRRA) went into effect on July 21, 2011. Accordingly, surplus lines tax rates and regulations are subject to change which could result in an increase or decrease of the total surplus lines taxes and/or fees owed on this placement. If a change is required, we will promptly notify you. Any additional taxes and/or fees must be promptly remitted to Alliant Insurance Services, Inc.
Changes and Developments
It is important that we be advised of any changes in your operations, which may have a bearing on the validity and/or adequacy of your insurance. The types of changes that concern us include, but are not limited to, those listed below:
Mergers and/or acquisition and any change in busin ess ownership, including percentages. Any newly assumed contractual liability, granting of indemnities or hold harmless agreements. Any changes in existing premises including vacancy , whether temporary or permanent, alterations, demolition, etc. Also, any new premises either purchased, constructed or occupied Circumstances which may require an increased liabi lity insurance limit. Any changes in fire or theft protection such as th e installation of or disconnection of sprinkler sys tems, burglar alarms, etc. This includes any alterations to the system. Immediate notification of any changes to a schedul ed of equipment, property, vehicles, electronic dat a processing, etc.
Property of yours that is in transit, unless previ ously discussed and/or currently insured.
Loss Notification Requirements:
Your policy will come with specific claim reporting requirements. Please make sure your organization understands these obligations and time limitations which are outlined in the attached Loss Notification documents. Cont act your Alliant Service Team with any questions.
Last Updated: May 2023 Alliant Insurance Services, Inc. | www.alliant.com | CA License No. 0C36861 Page 4 Binding Requirements Recap
Required with Binding Request:
Signed and dated Request to Bind Coverage form (be low) Signed and dated Surplus Lines forms as required b y your state and attached to this proposal* Signed and dated APIP Claims Reporting Acknowledge ment(s) Receipt Form Signed and dated Terrorism Risk Insurance ACT
*- only required for coverage in the following states: AR, CA, CT, FL, KS, MA, MT, NE, NY, ND, OH, RI, WV, WY Request to Bind Coverage
City of Merced
We have reviewed the proposal and agree to the term s and conditions of the coverages presented.
This Authorization to Bind Coverage also acknowledg es receipt and review of all disclaimers, disclosures, and loss notification requirements including exposures used to develop insurance terms, contained within this proposal.
X
Signature of Authorized Insured Representative Date
Title
Print / Type Insured Representative Full Name
This proposal does not constitute a binder of insurance. Binding is subject to final carrier approval . The actual terms and conditions of the policy will prevail.