Report to Carson Reclamation Authority
Tuesday, May 08, 2018
Discussion
SUBJECT:
Title
AUTHORIZE EXECUTIVE DIRECTOR TO APPROVE AND BIND COVERAGE ON AN OWNER PROTECTIVE PROFESSIONAL INDEMNITY PROGRAM (OPPI) WITH BERKLEY ASSURANCE COMPANY WITH A $25,000,000 LIMIT OF LIABILITY, AT AN ESTIMATED TOTAL COST OF UP TO $407,679 PLUS BROKER COMMISSION AND SURPLUS LINES TAXES, TO BE SHARED WITH CAM-CARSON, LLC BASED ON A 60/40 SPLIT, PROCURED THROUGH JLT SPECIALTY INSURANCE SERVICES, INC.
Body
I. SUMMARY
This action authorizes the Executive Director to bind the above-described policies procured through JLT Specialty Insurances Services, Inc.: an Owner's Protective Professional Insurance Policy ("OPPI") with a limit of liability of $25,000,000. The premium and costs is to be shared with CAM-Carson, LLC, the Cell 2 developer, based on the negotiated 60/40 split.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. AUTHORIZE the Executive Director to bind coverage on behalf of the Carson Reclamation Authority on an Owner Protective Professional Indemnity Program (OPPI) with a limit of liability of $25,000,000, procured through JLT Specialty Insurance Services, Inc. having a term of five years plus ten years of extended operations coverage, with a total cost of $407,649 plus broker commission and surplus lines taxes, to be shared with CAM-Carson, LLC based on a 60/40 split.
Body
III. ALTERNATIVES
TAKE any other action the Reclamation Authority Board deems appropriate.
IV. BACKGROUND
OPPI policies have 2 distinct coverage parts:
1. Protective Professional Indemnity - Indemnifies Insureds for their loss resulting from a protective professional claim excess the underlying insurance policies provided by the professional services firms on the project. This is a first-party coverage for the Insureds on the policy, and is designed to cover economic damages to owners/developers that result from professional errors or omissions. Economic damages may ...
Click here for full text