2.4. ERMUSR 05-10-2016 - Laserfiche WebLink

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The defense cost reimbursement coverage does not pay the legal costs on the city official's behalf. Instead, LMCIT will reimburse the city official for defense costs to a maximum of$50,000 after the official has incurred those costs. The city official remains responsible for paying the defense attorney, as well as any costs beyond the $50,000 limit. The city official retains control of the litigation and decides, among other things,what attorney to hire,whether to settle or compromise the litigation, and whether to appeal. N. Police The basic LMCIT liability coverage contains no general exclusions for claims arising out of law enforcement activities,but there are three specific situations where coverage is excluded. First, there is an exclusion for damages arising out of detention facilities intended and regularly used for confinement of persons for periods in excess of 30 days. Contact LMCIT if the city is involved in this type of operation. See Section II.C.2,Risks Second, if the city is involved in a joint powers police or task force operation, that must be specifically underwritten and Section it's very important coverage is specifically addressed for that operation. The 111.1,Joint powers entities. LMCIT liability coverage contains an exclusion for claims arising out of the activities of a joint powers entity but coverage can be provided. See Section III.D, Third, an officer acting outside of his or her capacity as a city employee is not Employees'activities in outside organizations and a covered party for purposes of the LMCIT liability coverage. LMC information memo, Police Department Management and Liability Issues,Section IV.B,Off- duty employment (moonlighting). 0. Pollution See Section II.C.1,Liability There is a broad exclusion in the LMCIT liability coverage for any pollution not covered. claims,but there are a few limited exceptions. A pollution claim includes any claims for damages arising out of the actual, alleged, or threatened existence, discharge, dispersal, seepage,migration, release or escape of pollutants. Pollutants are defined as any solid, liquid, gaseous or thermal irritant or contaminant, including smoke,vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be recycled,reconditioned or reclaimed. See Section ILD.1,LMCIT The LMCIT liability coverage includes an exception for"limited primary liability limits. contamination liability claims."There is a$3 million annual aggregate for the following types of claims: 91