EXHIBIT H - INSURANCE.pdf

EXHIBIT H

INSURANCE REQUIREMENTS

Transit Oriented Communities Economic Development Program Pilot Investment Fund

The Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons, or damages in property which may arise from or in connection with the performance of the work hereunder by the Contractor, his agents, representatives, employee or subcontractors.

MINIMUM SCOPE OF INSURANCE

Coverage shall be at least as broad as:

1. Commercial General Liability: Insurance Services Office Commercial General

Liability coverage (occurrence form CG0001).

2. Automobile Liability: Insurance Services Office form number CA0001 covering

Automobile Liability.

3. Workers' Compensation: As required by the State of California and Employer's

Liability Insurance.

4. Cyber/Privacy & Network Liability.

5. Professional Liability / Financial E&O.

6. Crime Coverage.

MINIMUM LIMITS OF INSURANCE

Contractor shall maintain limits no less than:

1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, the general aggregate limit shall be twice the required occurrence limit or $2,000,000.

2. Commercial Automobile Liability: $1,000,000 per accident for bodily injury and property damage.

3. Workers' Compensation: As required by the State of California/Employer's

Liability: $1,000,000

4. Cyber/Privacy & Network Liability: $2,000,000 per occurrence.

5. Professional Liability / Financial E&O: $2,000,000 per claim. Claims-Made form. Covers loan underwriting, credit analysis, fund administration, dispute/appeal decisions, and loan servicing errors.

6. Crime Coverage: $2,000,000 per loss. Coverage must include a "Third-Party

Fidelity" or "Client Property" endorsement specifically extending the employee dishonesty/theft coverage to protect the property and funds of LACMTA.

OTHER INSURANCE PROVISIONS

The insurance policies required per the terms of the contract are to contain, or be endorsed to contain, the following provisions:

• Additional Insured: Los Angeles Metropolitan Transportation Authority, its subsidiaries, officials and employees are to be covered as additional insureds as respects liability arising out of the activities performed by or on behalf of the

Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned leased, hired or borrowed by the Contractor. The general liability coverage shall also include contractual, personal injury, independent contractors and broad form property damage liability.

• No Special Limitations: The coverage shall contain no special limitations on the scope of protection afforded to LACMTA, its subsidiaries, officials and employees.

• Primary Coverage: For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects LACMTA, its subsidiaries, officials and employees. Any insurance or self-insurance maintained by LACMTA shall be excess of the Contractor's insurance and shall not contribute with it.

• Reporting: Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to LACMTA, its subsidiaries, officials and employees.

• Separation of Insureds: The Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

• Notice of Cancellation: Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days prior written notice has been given to LACMTA.

• Waiver of Subrogation: Workers' Compensation and Employer's Liability policies shall provide a waiver of subrogation in favor of LACMTA.

• Cyber / Privacy Liability: Claims-Made form. Insurance covering privacy breaches, network security failures, and unauthorized access/disclosure of confidential financial files, shall be acceptable if included and evidenced as part of the Commercial General and/or Professional Liability coverages.

• Tail Coverage: Professional Liability / Financial E&O, Cyber / Privacy & Network

Liability, and Crime Coverage must be continued—or two-year extended reporting (tail) coverage provided upon cancellation or non-renewal—for two (2) years following contract expiration, with evidence furnished to LACMTA. Policies covering Cyber and E&O must not exclude pure economic or financial losses arising from a product, system, or network availability failure.

DEDUCTIBLES AND SELF-INSURED RETENTIONS

Any deductibles or self-insured retentions must be declared to and amounts over

$25,000 approved by LACMTA.

ACCEPTABILITY OF INSURERS

Insurance is to be placed with California admitted, or non-admitted carriers approved by the California Department of Insurance. All carriers must have a current A.M. Best's rating of no less than A-VII, unless otherwise approved by LACMTA.

VERIFICATION OF COVERAGE

Contractor shall furnish LACMTA with original endorsements and certificates of insurance evidencing coverage required by this clause. All documents are to be signed by a person authorized by that insurer to bind coverage on its behalf. All documents are to be received and approved by LACMTA before work commences. If requested by

LACMTA, the Contractor shall submit copies of all required insurance policies, including endorsements affecting the coverage required by these specifications.

SUBCONTRACTORS

Contractor must ensure any and all subcontractors performing services under the

Contract are appropriately insured. Prime shall serve as repository of all Subcontractor insurance. LACMTA retains the right to obtain copies of evidence of Subcontractor insurance coverage at any time.