HomeMy WebLinkAbout08.c EDB Insurance Renewal Proposal FY24-25 EXECUTIVE SUMMARY
AGENDA ITEM:
Insurance Renewal Proposals for Fiscal Year 2024/2025
Date: August 30,2024
BACKGROUND:
Total premiums for CCUA's General Liability, Auto, Employment Practices, Property, and Workers'
Compensation policies have nearly doubled since 2021. In response, CCUA staff requested, and the Board of
Supervisors(BOS)approved,the exploration of alternative risk financing options.At the June 4th BOS meeting,
staff presented a recommended approach to obtain alternative proposals. Accordingly, Arthur J. Gallagher
(Gallagher) and the incumbent broker,Brown&Brown(B&B),were engaged by staff to provide proposals.
B&B submitted one (1) alternative in its proposal, while Gallagher submitted four(4) alternatives. However,
option one(1), summarized in the attachment, is most consistent with CCUA's current coverage.
BUDGET:
The cost of insurance in each proposal is within the amount budgeted for insurance. The difference in the
proposed insurance amounts and the budget is projected to be adequate for flood insurance renewals and
additional premium due to completion of Peter's Creek expansion expected in December.
RECOMMENDATION:
All insurance proposals provide quality coverage and related services. Staff has determined that Brown &
Brown's proposal provides the best value and lowest cost for CCUA,and therefore recommends accepting this
proposal. Staff requests that the Board approves the Brown & Brown proposal and authorizes the Executive
Director to negotiate and bind coverage at a total cost not to exceed the amount in that broker's proposal.
ATTACHMENTS:
Risk Management Presentation
Insurance Proposals Summary
Broker: Brown & Brown Broker: Gallagher
Paul Dawson, Senior Vice President Nick Terlecki, Area Vice President
Insurer: Preferred Governmental Insurance Trust Insurer: Public Risk Management of Florida (PRM)
2024-2025
Brown & Brown Gallagher (Option 1)
Policy Premium Coverage Deductible Premium Coverage Deductible
General Liability $215,943 $2,000,000 $0 $165,570 $2,000,000 $0
Automobile $142,754 $2,000,000 $0 Liability;$5,000 property $141,917 $2,000,000 $0 Liability;$1,000 property
Cyberliability $2,356 $2,000,000 $25,000 Included $1,000,000 $25,000
$250,000 EE dishonety, $500,000 EE dishonety,
Crime $1,228
$50,000theft $5,000 Included $1,000
$500,000theft
$10,000;5%TIV Location&
Property/IM/Equipment Breakdown/Floater $929,220 $330,000,000 named storm $1,094,601 $50,000,000 named storm $1,000;5%TIV Unit&no min
$35,000 min
Earth movement* $1,000,000 $50,000,000
Flood Excluded $50,000,000
Increased cost of contruction $1,000,000 $25,000,000
Public Officals Liability/EPL $67,158 $5,000,000 $10,000 PO&$25,000 EPL $70,959 $2,000,000 $0
Workmans'Compensation $142,858 Statute $148,725 Statute
Pollution $75,615 $1,000,000(Aggregate) $100,000 $66,109 $1,000,000 $100,000
Agent Fee Included $96,856
Total Premium $1,577,132 $1,784,737
Difference from previous year ($434,676) ($227,071)
2023-2024
Policy Premium Coverage Deductible
General Liability $337,539 $2,000,000 $5,000
Automobile $143,242 $1,000,000 $0 Liability;$5,000 property
Cyberliability $2,295 $2,000,000($350,000 crime) $25,000
Crime $1,230 $250,000 EE dishonety,
50,000 theft $5,000
Property/IM/Equipment Breakdown/Floater $1,186,229 $330,000,000 named storm $10,000;5%TIV Location&
$35,000 min
Public Officals Liability/EPL $89,299 $5,000,000 $10,000 PO&$25,000 EPL
Workmans'Compensation $179,960 Statute
Pollution $72,014 $1,000,000(Aggregate) $100,000
Agent Fee Included
Total Premium $2,011,808
*Per USGS,chance of damaging earthquake is<2 in 10,000years