Agenda - Council - 11/27/2007 - Laserfiche WebLink

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ca 011 LMC -IT WAIVER FORM-CONSIDER NOT WAIVING THE STATUTORY TORT LIMITS By: Heidi A. Nelson, Asst. City Administrator Background: As a part of the annual renewal of our property, casualty, and liability insurance coverage for the City of Ramsey, the City Council is required to waive or not waive the statutory tort limits for its liability coverage. Attached to this case is the LMC -IT form that is required to be completed and signed after council approval of a resolution indicating whether the City chooses to waive or not waive the statutory tort limits for liability coverage. If Council were to waive the statutory limits, additional insurance coverage would need to be purchased by the City to cover the increased liability the City is assuming. Staff Recommendation: Staff recommends that Council not waive the statutory tort limits for liability coverage thereby limiting an individual claimant to recover no more than $400,000 on any claim to which the statutory tort limits apply. Under state law, the total which all claimants would be able to recover for a single occurrence to which the statutory tort limits apply would be limited to $1,200,000. The legislature has increased the liability limits for 2008 to $400,000 /$1,200,000 and $500,000 /$1,500,000 for 2009. The previous limits were $300,00051,000,000. Council Action: Adopt Resolution 07 -11 - Not Waiving the Statutory Tort Limits for League of Minnesota Cities Insurance Trust Liability Coverage for the City of Ramsey. Reviewed by: I IA . City Administrator: CC: 11/27/2007 -251-