Pollution Liability Insurance – 3136 Rosecrans Avenue (Beazley ECLIPSE, Enviro Covered Location)
 

Staff recommends that the City Council authorize the City Manager to execute a policy for the Pollution Liability Insurance at 3136 Rosecrans Avenue.

The City recently acquired the property located at 3136 Rosecrans Avenue. To mitigate potential environmental risks associated with unknown or pre-existing contamination, the City sought Pollution Liability Insurance. Such coverage protects the City from financial losses due to pollution-related incidents, including cleanup costs, third-party claims, or legal liabilities.  Pollution Liability Insurance ensures protection against environmental contamination at City properties. Despite thorough due diligence during the acquisition process, unknown or pre-existing pollution conditions may still exist. Approval of this policy provides financial protection for incidents such as spills, leaks, or contamination discovered after purchase and safeguards City assets by limiting exposure to large, unexpected costs.

Policy Terms:

• Each Pollution Condition Limit: $20,000,000

• Aggregate Limit for the Policy Period: $20,000,000

• Each Pollution Condition Deductible: $100,000

• Revised Premium: $174,465 

• Policy Term: 10 years

Staff recommends that the City Council receive and file this update and authorize the City Manager to execute the Pollution Liability Insurance Policy.

N/A

A premium of $174,465 will be paid from the City’s general budget.

In accordance with the California Brown Act (Government Code §54950 et seq.), notice of this meeting and the accompanying agenda were posted at least 72 hours in advance in a publicly accessible location.