Consideration and Approval of Contract:  Approve the renewal of our Casualty insurance with Travelers Insurance and our Property coverage with AIG insurance.

Approval of our Property and Casualty insurance programs at a savings of $25,000 for a total of $850,000. There are no changes in carriers, coverage or deductibles. This renewal is $25,000 less than last fiscal period and $375,000 less than budgeted for the 2013-2014 fiscal period. There is no change in deductible and no changes in carriers or coverage from last fiscal period.

By renewing our Casualty coverage with Travelers insurance and our Property coverage with AIG the City will save an estimated annual premium expenditure of $25,000 over last fiscal period.

 Effective governance.

no

1)  Approve
2)  Reject and request quotes
3)  Self insure our Property and Casualty programs

The City of Flagstaff carries insurance to protect the City from unexpected financial loss. Main coverage areas include auto, general liability, excess liability ($20 million), property coverage, crime, cyber, airport liability in the amount of $40 million, flood and specific properties, employers liability, errors and omission coverage, and other supplemental coverages as appropriate. 
Our current carrier for most lines of coverage is Travelers Insurance. For our property coverage, we are insured with AIG.
The City has a $75,000 self insured retention on both general and auto liability claims. This self insured retention applies to both legal fees incurred as well as settlement amounts.

Recent adverse claim activity from a January 2011 claim, is likely to cause a modest increase in the general liability portion of our renewal in FY 2018.

Over the last three renewal periods we have saved $1,048,279 from what we paid in fiscal 14 for these coverage's.
We anticipate reviewing the appropriateness of our self insured retention, currently $75,000, and a potential recommendation for an increase over the next two to four years.

Inform