IFB_5000_RBB1011_ATT_2_v1.docx

ATTACHMENT – Insurance Austin Energy

1. GENERAL INSURANCE REQUIREMENTS:

A. The Contractor shall provide a Certificate of Insurance as verification of coverages and endorsements required in Section B., Specific Insurance Requirements, to the City prior to Contract execution and within 14 calendar days after written request from the City. Failure to provide the required Certificate of Insurance may subject the Offer to disqualification from consideration for award. The Contractor must also forward a Certificate of Insurance to the City whenever a previously identified policy period has expired, or an extension option or hold over period is exercised, as verification of continuing coverage.

B. All endorsements naming the City as additional insured, waivers, and notices of cancellation shall indicate, and the Certificate of Insurance shall be mailed to the following address:

City of Austin Financial Services Department - Central Procurement 505 Barton Springs Road, Ste 330 Austin, TX 78704

OR

PURInsuranceCompliance@austinTexas.gov C. The Contractor shall not commence work until the required insurance is obtained and until such insurance has been reviewed by the City. Approval of insurance by the City shall not relieve or decrease the liability of the Contractor hereunder and shall not be construed to be a limitation of liability on the part of the Contractor.

D. The City may request that the Contractor submit certificates of insurance to the City for all Subcontractors prior to the Subcontractors commencing work on the project.

E. The Contractor’s and all Subcontractors’ insurance coverage shall be written by companies authorized to do business in the State of Texas and have an A.M. Best rating of B+VII or better.

F. The “other” insurance clause shall not apply to the City where the City is an additional insured shown on any policy. It is intended that policies required in the Contract, covering both the City and the Contractor, shall be considered primary coverage as applicable.

G. If insurance policies are not written for amounts specified in Section B., Specific Insurance Requirements, the Contractor shall carry Umbrella or Excess Liability Insurance for any differences in amounts specified. If Excess Liability Insurance is provided, it shall follow the form of the primary coverage.

H. The City shall be entitled, upon request, at an agreed upon location, and without expense, to review certified copies of policies and endorsements thereto and may make any reasonable requests for deletion or revision or modification of particular policy terms, conditions, limitations, or exclusions except where policy provisions are established by law or regulations binding upon either of the parties hereto or the underwriter on any such policies.

I. The City reserves the right to review the insurance requirements set forth during the effective period of the Contract and to make reasonable adjustments to insurance coverage, limits, and exclusions when deemed necessary and prudent by the City based upon changes in exposure, statutory law, court decisions, the claims history of the industry or financial condition of the insurance company as well as the Contractor.

J. The Contractor shall not cause any insurance to be canceled nor permit any insurance to lapse during the term of the Contract or as required in the Contract.

K. The Contractor shall be responsible for premiums, deductibles and self-insured retentions, if any, stated in policies. Self-insured retentions greater than $499,999 shall be disclosed on the Certificate of Insurance.

L. If any required insurance is written on a claims-made basis, the Certificate of Insurance shall state that the coverage is claims-made and the retroactive date shall be prior to or coincident with the date of the Contract and the coverage continuous and shall be provided for 24 months following the completion of the Contract.

M. The insurance coverages specified in Section B., Specific Insurance Requirements, are required minimums and are not intended to limit the responsibility or liability of the Contractor.

2. SPECIFIC INSURANCE COVERAGE REQUIREMENTS:

A. Without limiting Contractor's liability under this Agreement, Contractor shall obtain and maintain at its sole cost and expense, with insurance companies having an AM Best's Rating of A/VII or better, or otherwise acceptable to The City, the insurance described below. Coverage limits shall be no less than the minimums indicated.

i. Workers’ Compensation Employer’s Liability Insurance extending coverage consistent with the statutory benefits outlined in the Texas Workers’ Compensation Act (Section 401). The minimum policy limits for Employer’s Liability Insurance are:

a) $1,000,000 for bodily injury by accident,

b) $1,000,000 for bodily injury by disease (policy limit), and

c) $1,000,000 for bodily injury by disease (each employee).

ii. Commercial General Liability Insurance with limits no less than

a) $1,000,000 per occurrence,

b) $2,000,000 in the aggregate,

c) $2,000,000 products-completed operations written on an occurrence ISO Form CG 00 01 04 13, or other form acceptable to The City. Products-completed operations coverage shall apply through the expiration of all applicable statutes of limitation and statues of repose. Such coverage shall include, with no sublimit or exclusion:

a) Broad-form third party bodily injury, including death;

b) Broad-form property damage, including loss of use thereof;

c) Premises and operations;

d) Contractual liability, including tort liability of another assumed in a written agreement;

e) Independent contractors;

f) Explosion, collapse, and underground damage (XCU coverage);

g) Defense outside the limits

h) Liability for Work within 50 feet of a railroad or railroad right of way;

i) Sudden & accidental pollution liability;

j) Wildfire liability including suppression costs;

iii. Business Automobile Liability Insurance including coverage for all owned, non-owned, hired, and leased vehicles, including loading, and unloading, with limits no less than $1,000,000 combined single limit per accident for bodily injury and property damage. Coverage shall be at least as broad as the most current ISO CA 00 01 form. Coverage shall include pollution coverage on ISO form CA 99 48, or its equivalent.

iv. Umbrella/Excess Liability Insurance on a follow-form basis including drop down coverage with limits no less than $5,000,000 per occurrence/aggregate. Such coverage shall be on an occurrence form and shall provide coverage excess of the Employer’s Liability, Commercial General Liability, and Business Automobile Liability. Such coverage shall not contain any endorsements that restrict the underlying policies or exclude cross-liability.

B. Endorsements: The specific insurance coverage endorsements specified above, or their equivalents must be provided. If endorsements, which are the equivalent of the required coverage are proposed to be substituted for the required coverage, copies of the equivalent endorsements must be provided for the City’s review and approval.

C. Subcontractor Insurance. Contractor shall require all subcontractors and vendors of every tier to obtain and maintain at their sole cost and expense, insurance coverage in accordance with Contractor’s normal practices and industry standards. Such coverage shall include additional insured, waiver of subrogation and primary/non-contributory endorsements in favor of The City as required by Contractor herein.

D. Additional Insured. The City shall be included as additional insureds on each of the Contractor’s policies except when applicable, for workers’ compensation, professional liability, technology errors and omissions, and/or cyber insurance.

i. The additional insured protection for the commercial general liability and umbrella/excess liability shall include both ongoing and completed operations coverage and be provided on an ISO endorsements CG 20 10 07/04 and CG 20 37 07/04 or its equivalent.

ii. Additional insured coverage shall not be limited to the minimum amounts of insurance required by written agreement and shall extend through the expiration of all applicable statutes of limitation and statutes of repose. Contractor shall require its subcontractors to include The City as additional insureds on the subcontractor- required insurance in compliance with the requirements herein.

E. Waiver of Subrogation. Contractor waives and shall cause all its insurers and subcontractors to waive, all rights of subrogation and set-off against The City. All insurance policies shall be endorsed to provide such waivers of subrogation.

F. Primary/Non-contributory. Contractor and its subcontractors’ insurance coverage shall be primary, and any insurance or self-insurance of The City shall be excess and non-contributory to Contractor’s coverage. Any Contractor policy stating that it applies on an excess or pro rata basis shall be endorsed to apply on a primary/noncontributory basis with respect to The City.

G. Severability of Interests. All Contractor policies shall provide or be endorsed to include a severability of interest’s provision. There shall be no exclusion for cross liability.

H. Notice of Cancellation. All policies shall be endorsed to provide The City with a minimum of 30 days advance written notice of cancellation, 10 days advance notice in the event of cancellation for non- payment of premium.

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