TO: Members of the City Council
FROM: Mayor Angela Birney
DEPARTMENT DIRECTOR CONTACT(S):
Finance
Chip Corder
425-556-2189
DEPARTMENT STAFF:
Finance
Irene Banschbach
Risk & Safety Program Coordinator
TITLE:
title
Adoption of a Resolution to Accept Membership into the Cities Insurance Association of Washington (CIAW) through an Interlocal Agreement
a. Resolution No. 1562: A Resolution of the City Council of the City of Redmond, Washington, Approving Membership in the Cities Insurance Association of Washington (CIAW) and the Bylaws and Interlocal Agreement of the CIAW
OVERVIEW STATEMENT:
recommendation
The City is exposed to various risks of loss such as theft, damage, destruction of assets, errors & omissions, injuries or property damage to others, employees' health, and natural disasters. The City is self-insured up to specific dollar limits, utilizing commercial insurance for claims in excess of these specific dollar limits.
Over the past 12 years the City has renewed its insurance policies including commercial, general liability, buildings, auto, and umbrella policies with Travelers Indemnity Company. This year Travelers declined to renew Redmond's suite of liability insurance policies for two reasons. One, Washington state does not have personal injury limits. Two, the City had a large settlement in 2022 on a police officer involved shooting case. Up to this point Redmond was the only city in Washington state that Travelers insured.
After a robust solicitation process, the City replaced Travelers with CIAW, a public entity risk program that provides comprehensive property and liability coverage. CIAW was created with the purpose of sharing risk and creating buying power for its members. Currently, CIAW has over 200 members, including 63 Washington cities. Prior to its 12-year relationship with Travelers, Redmond was a member of CIAW.
A Board of Directors, which is elected by the membership, governs the CIAW. The Board, in turn, contracts with a third-...
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