Laserfiche WebLink
<br />Page 2 <br />City of Elk River - 2004 <br /> <br />2) Liquor Liability rates with the League program have stayed stable. Although <br />the League program has been generally higher priced in the past, it has <br />remained stable - and available! Other markets continue to be difficult from a <br />price standpoint and sporadic. <br />3) Workers Compensation coverage will renew in October. We expect the <br />Experience Modifier to stay very favorable. The City's recent history from a <br />safety standpoint has been excellent! <br />4) We have included an optional quote again this year for Excess Liability <br />coverage. At $1,000,000 limits, the additional cost would be $50,236. At a <br />$2,000,000 limit, the annual additional cost would be $ 75,354. <br />5) Changing to a $2,500 Deductible this year, would result in a savings of <br />$14,690. I feel this option is worth considering this year. The City changed <br />. to $1,000 Deductible in 2002, and although 2001 and 2002 were generally <br />more costly from a claims standpoint, 2003 was excellent. I have requested a <br />complete set ofloss history valued as of 7/1/2004, but currently see only 3 <br />claims other than Workers Compensation. Of course, others can still be <br />reported, however, the frequency of claims filed appears to be declining. This <br />can make an increased Deductible more attractive. <br /> <br />The Council can decide to go ahead with the $2,500 Deductible, or can <br />request additional study with a follow-up recommendation at a later date. <br />We can also wait one more year to see if there is credibility in the results, or <br />any trending, and review again next year. <br /> <br />6) LMCIT paid a Dividend of$ 42,586 to city of Elk River in December 2003. <br /> <br />7) Optional Bond quote for a limit of $300,000 is an additional $123 annually. <br />A limit of $500,000 would be an additional $ 369 annually. <br /> <br />If the Council has any other questions, I will be happy to address them at your meeting, <br />with Staff, or at any other time convenient for you. Based on the continued stability and <br />superior coverage offerings, I can recommend the Council pass a motion to accept the <br />LMCIT renewal offer at $270,577, or to amend with any options selected, for the July <br />1,2004 to July 1,2005 coverage period. <br /> <br />Thank you for placing your confidence in First National Insurance Agency and me. I <br />appreciate the opportunity to work with, and for, the City of Elk River! <br /> <br />Respectfully, <br /> <br />~,~ <br /> <br />Agent <br />