|
<br />Sunny Isles Beach Insurance 2008 Property/Casualty Insurance Proposals... page 2
<br />
<br />PROPERTY INSURANCE
<br />
<br />As you can see, FMIT is about $44,000 less for its property insurance, accounting for the bulk of
<br />the $52,000 overall premium difference.
<br />
<br />PROPOSER
<br />
<br />PROPERTY INSURANCE PREMIUM
<br />$290,471
<br />$246,946
<br />
<br />Preferred Governmental Insurance Trust (PGIT)
<br />Florida Municipal Insurance Trust (FMIT)
<br />
<br />Unfortunately, there is a major problem with the FMIT proposal; it contains a windstormlhail
<br />limit of coverage of $10,000,000, which is only about 37% of the City's approximately
<br />$27,000,000 of real and personal property.
<br />
<br />The deductible for windstorm insurance through PGIT is 5% of named windstorms, per occur-
<br />rence, subject to a minimum of $20,000.
<br />
<br />The windstorm deductible for FMIT is also 5%, but subject to a $100,000 minimum deductible
<br />for property within 1/2 mile of coastal water. For locations 1/2 mile or more from coastal water
<br />the deductible is 5% subject to a $5,000 minimum. The deductible through FMIT applies to all
<br />windstorms (whether named or not) and hail.
<br />
<br />In speaking with you about the FMIT windstorm coverage being limited to only $10,000,000,
<br />you stated it is unacceptable. Also, FMIT's $100,000 minimum windstormlhail deductible for
<br />property within 1/2 mile of the water could alone exceed the premium savings.
<br />
<br />OTHER COVERAGES
<br />The following are some differences in the other coverages:
<br />
<br />COVERAGEIDEDUCTIBLE PGIT FMIT
<br />Employee Dishonesty $1 ,000,000 $250,000
<br />General Liability $5,000,000 $5,000,000
<br />General Liability Deductible $2,500 $2,500
<br />Law Enforcement Liability Limit $5,000,000 $5,000,000
<br />Law Enforcement Liability Deductible $10,000 $2,500
<br />Public OfficialslEmployment Practices Limit $3,000,000 $5,000,000
<br />Public OfficialslEmployment Practices Deductible $5,000 $2,500
<br />Business Automobile Liability $5,000,000 $5,000,000
<br />Business Automobile Liability Deductible $2,500 $0
<br />
<br />The FMIT deductibles are more favorable.
<br />
<br />The PGIT coverage for Public Officials Liability and Employment Practices Liability is on a
<br />"claims made" basis. FMIT's coverage for these risks is "occurrence".
<br />
|