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HomeMy WebLinkAboutMMIA - Olympic Torch RunMontana Municipal Insurance Authority October 25, 2001 Mary Embleton City Clerk-Treasurer City of Laurel PO Box 10 Laurel MT 59044 RE: Olympic Torch Run Dear Ms. Embleton: :x'01 r`f OF LAUREL Several weeks ago we were approached by one of our Liability Program members and asked to perform a risk management review of the proposed contract between several Montana communities and the Salt Lake Organizing Committee (SLOC) for the Olympic Winter Games of 2002. The contract involved matters surrounding an Olympic torch run which will traverse portions of Montana. Upon our receipt of this material we distributed information to the membership stating that we were working with representatives of the SLOC regarding some potential liability exposure matters associated with the document. A review of the language contained in Article V, Liability and Insurance, of the Agreement revealed several potential exposures for Montana cities and towns. Unfortunately, the events of September 11, 2001 and the resulting review of procedures of the SLOC caused a delay in their response to our concern. The SLOC has revised Article V to set forth new language that generally addresses municipal liability for Montana communities. I have attached a copy of the revised Article V. The MMIA has only conducted a risk management review of the document and addressed some concerns with the Liability and Insurance section. We have not conducted a legal review of the document and make no representation as to its adequacy. Further, the MMIA takes no position regarding participation by a city or town in the Torch Relay project. Cities and towns interested in participating in the Torch Relay should conduct their individual analysis of the project, the associated documents and responsibilities and make a decision based upon their investigation. It would be important that you include your city attorney in this investigative process. If your community is considering participation in this project I would suggest that you replace the previous Article V with the attached document. Sincerely, ? i?z// Bob Worthington CEO Att: O:\BWorthingtomBob\RiskManagement\SLOC torch run article v.101,doc P.O. Box 6669, Helena, Montana 59604-6669 (406) 443-0907 In MT: 1-800-635-3089 Fax (406) 449-7440 `L I?9 LS New Montana Article V ARTICLE V (71p RL _- 'Y AND INSURANCES -- - „_ 5.1 (a) To the fullest extent allowed by law, SLOC hereby agrees to save, defend indemnify and hold harmless the Community, its elected and appointed officials, its agents, employees and volunteers and others working on behalf of the Community for all claims, losses, expenses and damages, including but not limited to, court costs and reasonable attorney fees, which may be asserted against the Community arising out of the negligence or the negligent or intentional acts of SLOC for any and all actions associated with the agreement. (b) To the fullest extent allowed by law, Community hereby agrees to save, defend indemnify and hold harmless the SLOC, its directors, officers, agents, employees and volunteers and others working on behalf of the SLOC, for all claims, losses, expenses and damages, including but not limited to, court costs and reasonable attorney fees, which may be asserted against the SLOC, arising out of the negligence or the negligent or intentional acts of the Community for any and all actions associated with the agreement. 5.2 Community agrees to provide SLOC with a Certificate(s) of Insurance from the Montana Municipal Insurance Authority together with a copy of its Memorandum of Coverage. Certificates of Insurance shall be renewed annually with a copy forwarded to the SLOC Risk Manager. 5.3 During the term of this Agreement and for a minimum of SIX (6) months thereafter, Community agrees to maintain an insurance policy, or to remain self insured for (a) general liability insurance with a limit not less than $750,000 per individual and $1,500,000 per occurrence for general liability, property damage and bodily injury and death, (b) Automobile Liability Insurance with limits not less than 5750,000 per individual and $1,500,000 per occurrence. Such insurance shall cover liability arising out of any automobile, including those, which are owned, hired and non-owned. (c) workers compensation and employer's liability insurance with respect to their respective employees and other respective persons normally covered under such policies, and (d) with each policy of insurance, a provision that the policy shall not be cancelled or materially altered (including reduction of coverage) without at least thirty (30) days prior notice provided to the named additional insured.