Laserfiche WebLink
The LMCIT municipal liability coverage is claims-made. In other words, in <br /> order to be covered the claim must be reported either within the coverage <br /> period or within an applicable extended reporting period if the city has left <br /> LMCIT (there are a few types of claims to which the extended reporting <br /> period does not apply). For certain types of claims,the coverage document <br /> further specifies when the claim is deemed to be made. <br /> Coverage only applies if the occurrence giving rise to the claim occurred after <br /> the applicable retroactive date, which is specified in the declarations. It is <br /> generally the date when the city first joined LMCIT or added the specific <br /> coverage in question. The coverage document further spells out how the <br /> occurrence date is determined for specific types of claims. Most cities have <br /> been LMCIT members long enough that the retroactive date is rarely an issue. <br /> C. Liability exclusions <br /> Since the LMCIT liability coverage is broad in scope, sometimes it's easier to <br /> first look at what's not covered by LMCIT rather than what is covered. <br /> Following are some of the standard exclusions to be aware of. <br /> 1. Liability not covered <br /> See Section III.M,Open • Damages arising out of a city's bankruptcy, except some defense cost <br /> meeting law and bankruptcy <br /> lawsuits. reimbursement coverage is available for city officials under the LMCIT <br /> defense cost reimbursement coverage. <br /> • Criminal proceedings. <br /> • Most non-sudden pollution. <br /> • Nuclear hazards. <br /> • War. <br /> • Amounts owed under contract. <br /> • Condemnation, except some regulatory takings. <br /> • Damage the city does to its own property. <br /> • Fixing the city's own work. <br /> • Not paying employees for the work they did. <br /> • Recalling defective products. <br /> 2. Risks that must be specifically underwritten <br /> See Section IILA,Airports; • Airports. <br /> Section III.C,Dams and <br /> downstream liability; • Dikes or Class I or Class II dams. <br /> Section IILG,Fireworks; <br /> Section III.I,Joint powers • Fireworks the city sponsors. <br /> entities;and Section III.Q, • Joint powers entities. <br /> Separate city boards and <br /> commissions. • Separate boards, commissions, and agencies. <br /> 57 <br />