Exhibit_A.pdf

EXHIBIT A

INSURANCE REQUIREMENTS

REQUIREMENTS FOR ALL INSURANCE POLICIES:

Insurers. All insurance shall be obtained from a licensed insurer, approved to do business in the

State of North Carolina with an A.M. Best’s Insurance Guide rating of A-VII or better, and the insurer must maintain said rating for the duration of this Agreement.

1. Occurrence and Claims Made Policies. Insurance must be written on an “occurrence” basis whenever possible. Certain policies may be written on a “claims made” basis with the approval of the Town’s Risk Manager or his/her designee.

2. Required Notice. The Vendor’s insurer must agree to provide a minimum thirty (30) days advance written notice of cancellation, material change, or nonrenewal of policies required under the contract to the Town of Mooresville. Upon notice of such cancellation, material change, or nonrenewal, Vendor shall procure substitute insurance so as to assure the Town that the minimum limits of coverage are maintained continuously during the term of this

Agreement.

3. Certificate of Insurance. Prior to the execution of this Agreement, Vendor must provide

Town a valid Certificate of Insurance (“COI”) acceptable to Town to be retained in its records. The COI must reflect the required insurance coverages for the project contemplated in this Agreement, including all Services and Deliverables, as required. The description section of the COI must include the following statement: “The Town of

Mooresville, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability.”

4. Workers Compensation Insurance. Vendor must carry Workers’ Compensation Insurance with statutory limits and Employers Liability Insurance as noted below.

5. Primary Coverage. Vendor’s insurance shall be the primary coverage for any claims related to this Agreement, and the insurer shall have no right of recovery or subrogation against the Town, or its agents, it being the intention of the parties that the insurance policies shall protect the Town and be primary coverage for any and all losses covered by the policies.

BASE INSURANCE REQUIREMENTS

This section lists the base insurance amounts required for all projects by Town. Additional coverages may be required based on job type, special risks or high hazards. Any such additional coverages required shall be noted in Exhibit B entitled Special Insurance

Requirements. All coverages must be evidenced and confirmed by a COI provided to the

Town prior to execution of this Agreement.

A. Commercial General Liability (“CGL”): The base CGL policy shall include the following coverages and be written on an Insurance Services Office (“ISO”) industry form CG0001 2010 or newer:

a. $500,000.00 Each Occurrence

b. $500,000.00 Personal & Advertising Injury

c. $500,000.00 Damages to Premises/Fire Legal

d. $1,000,000.00 Product & Completed Operations Aggregate

e. $1,000,000.00 General Aggregate

B. Commercial Automobile Insurance Coverage: If the work or services provided hereunder include ANY of the following, then Vendor must provide Commercial

Automobile Insurance Coverage:

a. construction or remodeling work;

b. tree trimming, cutting or similar services;

c. landscaping services of any kind;

d. the use of vehicles to transport material, or complete work on the job site;

e. job sites and projects that are conducted on or near roadways or that would alter traffic to conduct the work; or

f. work that requires the use of one or more motor vehicles.

Coverage, if needed, shall be either (a) in the minimum amount of $1,0000,000.00, combined single limit or (b) $500,000.00 per person, $500,000.00 per occurrence, $100,000.00 property damage, and $1,000.00 medical payments.

C. Workers’ Compensation Insurance. If the Vendor employs three (3) or more employees at any one time, then the Vendor shall maintain Workers’ Compensation affording protection under the Workers Compensation Law in an amount not less than the statutory limit at the time of the work. Additionally, Vendor shall obtain Employer

Liability Insurance with the following minimum coverages: $500,000.00 for bodily injury by accident –each accident; $1,000,000.00 bodily injury by disease – each disease; and $500,000.00 bodily injury by disease – each employee.

Workers’ Compensation Certification. The North Carolina Workers’ Compensation Act

(the “Act”) requires that all businesses which employ three or more employees (N.C.G.S.

§97-2), including those operating as corporations, sole proprietorships, limited liability companies and partnerships, obtain workers’ compensation insurance or qualify as self-insured employers for purposes of paying worker’s compensation benefits to their employees. An employer is not relieved of its liability under the Act by calling its employees “independent contractors.” Even if the employer refers to its workers as independent contractors and issues a Form 1099 for tax purposes, the Industrial

Commission may still find that the workers were in fact employees, based upon its analysis of several factors, including but not limited to the degree of control exercised by the employer over the details of the work.

The Town of Mooresville requires all vendors and contractors working for the Town to provide evidence of worker’s compensation insurance coverage unless excluded from coverage under North Carolina law. By execution of this agreement, the Vendor is certifying compliance with the Act.

Insurers. All insurance shall be obtained from a licensed insurer, approved to do business in the State of North Carolina with an A.M. Best’s Insurance Guide rating of A-VII or better, and the insurer must maintain said rating for the duration of thi...