HomeMy WebLinkAboutResolution - 2011-R0386 - Purchase Workers Compensation Coverage - TPSWCJSIF - 09_08_2011Resolution No. 2011-R0386
September 8, 2011
Item No. 5.8
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the City Manager of the City of Lubbock and is hereby authorized and
directed to purchase for and on behalf of the City of Lubbock, workers' compensation
coverage from the Texas Political Subdivisions Worker's Compensation Joint Self -
Insurance Fund, for a premium amount not to exceed $1,548,886; and
THAT the City Manager may execute any routine documents and forms
associated with said coverage.
Passed by the City Council this September 8, 2011
TOM MARTIN, MAYOR
ATTEST:
Rebe ca Garza, City Secretary
APPRO �D AS TO CONTENT:
Leisa Hutcheson, Director of Risk Management
APPROVE AS TO FORM:
C ad Weaver, Assistant CityAttorney
lRES.Risk Mgmt-Workers Compensation 9.2.11
Resolution No. 2011-RO386
WORKERS COMPENSATION
Insurance Company Texas Municipal League (TML)
AM Best Rating Not Rated
Effective Date: 10-01-11 to 10-01-12
COVERAGE
Limits of Insurance:
$ 1,000,000 Bodily Injury by Accident - Per Accident
$ 1,000,000 Bodily Injury by Disease - Policy Limit
$ 1,000,000 Bodily Injury by Disease - Per Employee
EXPERIENCE MOD .63
CLASS CODES & PAYROLL
Class
Code
Description
Em#ofees
Estimated Payrolls
WC Rate
WC Premium
0011
Farm NOC
2
$ 53,622
8.34
$4,472
3064
Sign Manufacturing
2
$ 58,578
5.49
$3,216
3365
Welding/Cutting NOC
1
$ 25,990
11.86
$3,082
4299
Copying & Duplicating Service & Drivers
4
$ 109,710
2.80
$3,072
4511
Building Inspection
80
$ 1,940,934
1.01
$19,603
4519
Exterminator & Drivers
7
$ 227,110
6.99
$15,875
5190
Traffic Signal Control Installation & Drivers
29
$ 867,343
5.19
$45,015
5191
Computer Device Installation
63
$ 1,822,450
1.09
$19,865
5506
Street & Road Repair
42
$ 1,189,362
10.54
$125,359
5506
Street or Road Construction or Repair - All
Operations - & Drivers
24
$ 641,570
10.54
$67,621
5606
Contractors Executive Supervisor
1
$ 42.716
2.86
$1,222
6229
Flood Control
9
$ 250,487
9.26
$23,195
7423
Airport Operations
25
$ 786,200
3.30
$25,945
7520
Waterworks Operations
190
$ 6,185,500
4.97
$307,419
7539
Electric Light or Power Co Noc - All Employees
- & Drivers
262
$ 10,882,148
1.85
$201,320
7580
Sewage Disposal Plant Operation & Drivers
19
$ 620,635
3.52
$21,846
7590
Garbage Works
20
$ 589,096
9.06
$53,372
7704
Fire Fighters & Drivers
620
$ 20,877,676
3.23
$674,349
7720
Police Officers & Drivers
572
$ 25,632,697
3.80
$974,042
Equipment Maintenance
21
$ 617,846
5.07
$31,325
9dHeavy
Warehouse Ops
4
$ 92,841
7.36 1
$6,833
This information is intended to be reviewed by the representatives for the entity and no other parties. Review by persons
other than the entity's representatives is prohibited. Likewise, dissemination or copying of this document or the information
contained herein to persons other than the entiWs representative is also prohibited.
CLASS CODES & PAYROLLS
8391
Automobile Machine Shop & Drivers
4
$ 80,850
4.02
$3,250
8601
Architect or Engineer - Consulting
21
$ 737,591
0.83
$6,122
8810
Clerical Office Employees Noc
605
$ 18,870,108
0.44
$83,028
8831
Animal Shelters & Drivers
23
$ 580,118
3.92
$22,741
8833
Hospital: Professional Employees
38
$ 1,367,196
1.20
$16,406
8838
Library 1 Museum
60
$ 1,746,439
0.43
$7,510
7720
Motorcycle Police
18
$ 762,048
7.59
$57,839
9014
Building Service Contractor
2
$ 39,214
5.72
$2,243
9015
Buildings Noc - Operation by Owner or lessee
- & Drivers
37
$ 1,045,975
4.92
$51,462
9016
Zoo Facility and Drivers
12
$ 280,354
5.49
$15,391
9019
Toll Road Operations & Drivers
1
$ 32„024
2.41
$772
9079
Restaurant Noc
1
$ 22,167
5.01
$1,111
9101
School, Library All Other
1
$ 36,397
6.16
$2,242
9101
School Crossing Guard
1
$ 21,621
3.24
$701
9102
Park Noc - All Employees - & Drivers
94
$ 2,729,271
4.17
$113,811
9154
Theater NOC: All Other Employees
2
$ 79,256
2.57
$2,037
9220
Cemetery Operations & Drivers
6
$ 211,214
6.85
$14,468
9402
Street Cleaning & Drivers
10
$ 274,559
11.23
$30,833
9402
Refuse Collection & Drivers
69
$ 2,036,558
5.81
$118,324
3724V
Outside Volunteers
110
$ 3,879
7.04
$3,178,340
8742V
Inside Volunteers
35
$ 21,557
0.63
$136
0570
Volunteer Police Reserves
5
$ 28,600
4.64
$1,327
8742
Elected Officials
341
$ 231,644
0.39
$903
Totals
3,493
$104,753,151
$3,180,979
Total Manual Contribution
$3,180,979
Experience Modifier
0.63
Total Standard Contribution
$2,004,017
Fund Discount (0.20)
$0.80
Discounted Standard Premium
$1,603,213
Net Contribution
$1,603,213
Total Contribution
$1,603,213
Annual Payment Discount
$48,096,.39
Total Annual Contribution
$1,555,116..61
Quarterly Payments
$400,803.25
This information is intended to be reviewed by the representatives for the entity and no other parties. Review by persons
other than the entib/s representatives is prohibited. Likewise, dissemination or copying of this document or the information
contained herein to persons other than the entity's representative is also prohibited.
SPECIAL TERMS & CONDITIONS
Experience Mod - .63
Fund Factor - .20
Quotation is based on the estimated payroll provided by the city
Payroll is auditable at expiration and premium is subject to change
3% Discount if fall premium paid by November 1, 2011.
This information is intended to he revinved by the representatives for the entity and no other parties. Review by persons
other than the entitys representatives is prohibited. Likewise, dissemination or copying of this document or the information
contained herein to persons other than the entity's representative is also prohibited.
PREMIUM SUMMARY
Texas Political Subdivisions (TPS)
$1,596,790 - Monthly or Quarterly Installments
$1,54E8,886 - Annual Payment
Texas Municipal League (TML)
$1,603,213 - Quarterly Installments
$1,555,116.61 - Annual Payment
This information is intended to be reviewed by the representatives for the entity and no other parties. Review by persons
other than the entity's representatives is prohibited. Likekrise, dissemination or copying of this document or the information
contained herein to persons other than the entity's representative is also prohibited.
WORKERS' COMPENSATION: Under this coverage, the insurance company agrees
to assume statutory liability imposed by the Workers' Compensation law of the State of
Texas and any other state in which incidental operations take place.
EMPLOYER'S LIABILITY: This section protects against tort liability for injury to
employees in the course of their employment. Employer's Liability applies to suits
brought against you by or in behalf of employees injured in the course of their
employment, outside and distinct from any claim for benefits payable under the
Workers' Compensation section.
COVERAGE EXTENSIONS AND ENDORSEMENTS
UNITED STATES LONGSHOREMEN'S AND HARBOR WORKER'S
ENDORSEMENT - is involved in any operations that come within the USL and HW
Act. This endorsement provides for the statutory coverage as required by this act on an
"If Any" basis.
BROAD FORM OTHER STATES COVERAGE ENDORSEMENT - This form is
designed to grant temporary protection in states not described in the policy. This
extension of coverage does not apply to monopolistic states or to fines and penalties
imposed by any failure to comply with the respective Workers' Compensation law.
VOLUNTARY WORKERS' COMPENSATION - This endorsement is designed to
apply to all employees and provide benefits based upon the law of contract and hire.
This coverage would be available if for some reason the Workers' Compensation law
was not applicable.
KNOWLEDGE OF ACCIDENT - The policy has been amended so that an executive
officer or the administrator of insurance must have knowledge of the accident/injury
before the company considers that the insured has knowledge of the event.
EXECUTIVE OFFICERS - TEXAS ENDORSEMENT - This coverage extension
provides Texas Workers' Compensation benefits for all executive officers in Texas.
STOP GAP LIABILITY - This endorsement provides employer's liability coverage in
monopolistic states.
This information is intended to be reviewcd by the representatives for the entity and no other parties. Review by persons
other than the entity's representatives is prohibited. Likewise, dissemination or copying of this document or the information
contained herein to persons other than the entity's representative is also prohibited.
Transparency and Disclosure
Insurance is a highly regulated, competitive industry that fuels the US economy and
protects individuals and commercial entities from losses. There is nothing more
important to our uzdustry and to Wells Fargo Insurance Services than maintaining the
trust of our customers and conducting business with the utmost integrity. We believe
that our leadership role on disclosure should tie directly to our core values. Among
these we state that we:
■ Value and reward open, honest, two-way communication
■ Do what is right for the customer
■ Talk and act with the customer in mind
■ Exceed our customers' expectations
Wells Fargo Insurance Services is proactively providing customers with complete
transparency on standard and contingent commission income. We receive
compensation from the insurance companies we represent when placing your
insurance. Our compensation is usually a percentage of the premium you pay for your
insurance policy or bond (a "commission"), which is paid to us by the insurance
companies for placing and servicing your insurance or bonds with them. We also may
receive fees agreed to in writing from our customers. Intermediaries, such as wholesale
brokers, may sometimes be used to access certain insurance companies. Such
intermediaries will allocate a portion of the compensation from the insurance
companies to us and may, in some cases, be an affiliated company.
This information is intended to be reviewed by the representatives for the entity and no other parties. Rexiew by persons
other than the entity's representatives is prohibited. Likewise, dissemination or copying of this document or the information
contained herein to persons other than the entity's representative is also prohibited.