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Home My WebLink AboutR-1994-139 Zaremba Claims Services, Inc.RESOLUTION NO. R-94-1 3 A RESOLUTION authorizing and directing the City Manager and City Clerk of the City of Yakima to execute a contractual agreement with Zaremba Claims Services, Inc. for claims adjusting services for damage claims filed against the City of Yakima. WHEREAS, the City desires to obtain claims adjusting services that are both low cost and of high quality, for the resolution of claims filed with the City of Yakima relating to both property damage and bodily injury; and WHEREAS, Zaremba Claims Services, Inc. has submitted a proposal to address the City's concerns with terms acceptable to the City, now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City Manager and City Clerk of the City of Yakima are hereby authorized and directed to execute a contractual agreement with Zaremba Claims Services, Inc. for the purpose described above, a copy of which agreement is attached hereto and made by reference a part hereof. ADOPTED BY THE CITY COUNCIL this .9 .54 day of Oco ill - 1994. MAYOR ATTEST: CITY CLERK Legal/BD Agenda ZCS CLAIMS SERVICE CONTRACT THIS AGREEMENT made and entered into this 4 day of P C c 1994., between ZAREMBA CLAIMS SERVICE, INC., a Washington Corporation, with principal offices at 508 N. 20th Avenue, Yakima, Washington 98902, hereinafter referred to as "ZCS" and CITY OF YAKIMA, WASHINGTON, with principal offices in Yakima, Washington, hereinafter referred to as "Client". WITNESS: WHEREAS, "ZCS" is in the claims service business and WHEREAS, "Client" desires to employ "ZCS" as its claims service company to service the Property and General Liability claims of "Client" contract as follows: "ZCS" Agrees: 1. (a) To review all claims and/or loss reports with claim and/or loss dates incurred during the term of this Contract which involves Property and General Liability claims against "Client". (b) To investigate, adjust, settle or resist all such losses and/or claims within the discretionary settlement authority limit of $2,500.00 (c) To investigate, adjust, settle or resist all such losses and/or claims as are in excess of the discretionary settlement authority limit of $2,500.00 only with specific prior approval of "Client". (d) To furnish all claim forms necessary for proper claims administration. (e) To establish claims and/or loss files for each reported claims and/or loss. Such files shall be the exclusive property of "Client" at any reasonable time, with notice. (f) To furnish "Client" a monthly Quarterly Activity Loss Run and a Quarterly Loss Prevention Analysis Run. (g) To maintain adequate General Liability, Automobile Liability, Workers' Compensation, Fidelity Bond and Errors and Omissions Insurance coverage. To furnish the "Client" with a Certificate of Insurance as evidence of liability and errors and omissions coverage at a minimum limit of $1,000,000 per occurrence. (h) To indemnify, defend and hold harmless "Client" with respect to any claims asserted as a result of any errors, omissions, torts, intentional torts or other negligence on the part of "ZCS" and or its employees unless the complained of actions of "ZCS" were taken at the specific direction of "Client". Legal/BD Agenda ZCS 1 "CLIENT" AGREES: 1. (a) To make funds available that "ZCS" may draw from at any time and from time to time for claim and/or loss payments and for associated allocated expense within the discretionary settlement authority limit of $2,500.00 and for claim and/or loss payments in excess of the discretionary settlement authority limit of $2,500.00 with the prior approval of "Client". (b) To pay "ZCS" the service fee as prescribed in this Contract. (c) To pay all allocated loss expense in addition to the claim service fee to be paid to "ZCS" as prescribed in this Contract. "Allocated Loss Expense" shall include but not be limited to attorneys' fees, commercial photographers' fees (i.e. engineering, physicians, chemists, etc.), fees for independent medical examinations, witnesses travel expense, extraordinary travel expense incurred by "ZCS" at the request of "Client", court reporters' fees, transcript fees, the cost of obtaining public records, witness fees, auto appraisal or property appraisal fees, all outside expense items, and any other similar fee, cost or expense associated with the investigation, negotiation, settlement or defense of any claim hereunder or as required by the collection of subrogation on behalf of "Client". (d) To relinquish authority to "ZCS" in all matters relating to claims service within the discretionary settlement authority limit of $2,500.00 (e) In the event "ZCS" acting at the specific direction of "Client" becomes liable to any third party, "Client" becomes liable to any third party, "Client" agrees to indemnify, defend and hold "ZCS" and/or its employees harmless. (f) If "ZCS" or any of its employees are named as defendant in any action (i) where the plaintiff's cause of action involves a claim hereunder and (ii) where there are not allegations of errors, omissions, torts, intentional torts or other negligence on the part of "ZCS", "Client" will assume the defense of the action on behalf of "ZCS" and/or its employees. "ZCS" AND "CLIENT" MUTUALLY AGREE AS FOLLOWS: 1. (a) The term of this Contract is continuous from its effective date for one (1) year. The Contract may be terminated by either "ZCS" or "Client" with cause by sixty (60) days prior written notice certified mail. (b) "Client" shall have the option, upon termination of this Contract: (i) Legal/BD Agenda ZCS 2 To self -handle to a conclusion all claims and/or losses and associated services pending on the date of termination of this Contract, such handling not to result in any expense or reduction in Contract revenue to "ZCS" or (ii) For an auditional fee to be mutually agreed upon by "ZCS" and "Client" to have "ZCS" handle and adjust to a conclusion all claims and/or losses which have been reported to "ZCS" and which are open on the date of termination of this Contract. 2. (a) The contract covers Claim Service for "Client" in the United States of America. (b) "Client" shall pay "ZCS" fees in accordance with the fee schedule that follows: (c) "Client" agrees to pay "ZCS" with thirty (30) days of receipt of invoice. 3. (a) In the event any one or more of the provisions of this Contract shall be determined to be invalid or unenforceable by any court or other appropriate authority, the remainder of this Contract shall continue in full force and effect, as if said invalid and enforceable portion had not been included in this Contract. (b) This Contract shall be construed and interpreted in accordance with the laws of the State of Washington. 4. This contract represents the entire understanding of "ZCS" and "Client" and supersedes all prior oral and written communications between "ZCS" and "Client" as to the subject matter. Neither this Contract nor any provisions of it may be amended, modified or waived except in writing signed by a fully authorized representative of "ZCS" and "Client". 5. The failure or delay of either "ZCS" or "Client" to take action with respect to any failure of the other party to observe or perform any of the terms or provisions of this Contract, or with respect to any default hereunder by such other party, shall not be construed as a waiver or operate as a waiver of any rights or remedies of either "ZCS" or "Client" to operate to deprive either "ZCS" or "Client" of its right to institute and maintain any action or proceeding which it may deem necessary to protect, assert or enforce any such rights or remedies. Legal/BD Agenda ZCS 3 IN WITNESS WHEREOF, "ZCS" and "Client" have caused this Contract to be executed by the person authorized to act in their respective names. Beginning with calendar year 1995, the City of Yakima agrees to pay Zaremba Claims Service, Inc. an annual fee of $24,680 for a three year period. Payment will be billed quarterly in the amount of $6,170. Claims in excess of 120 per year will be an additional $225.00 per claim. Signed this day of ,1994. ZAREMBA CLAIMS SERVICE, INC. WITNESS: By: /-721 CITY OF YAKIMA WITNESS: Xa-A,L-1--- Legal/BD Agenda ZCS 4 TITLE: 7 By: TITLE: 0-(4-1 AI/III:II® # ICA W: � # DATE (MM/DD/YY) 12/02/94 PRODUCER HEILMAN INSURANCE AGENCY INC. PO BOX 1510 706 W WALNUT THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. YAKIMA WA 98907 COMPANIES AFFORDING COVERAGE COMPANY AMERICAN STATES INSURANCE COMPANY A INSURED ZAREMBA CLAIMS SERVICE, INC. AND LJB, INC. COMPANY B PO BOX 87 YAKIMA WA 98907 COMPANY C COMPANY D THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE (MM/DD/YY) POLICY EXPIRATION DATE (MM/DD/YY) LIMITS A GENERAL X LIABILITY COMMERCIAL GENERAL LIABILITY 01-CC-290065-6 1/20/94 1/20/95 GENERAL AGGREGATE $ 2,000,000 PRODUCTS - COMP/OP AGG $ 1,000,000 PERSONAL & ADV INJURY $ 1,000,000 CLAIMS MADE X OCCUR EACH OCCURRENCE $ 1,000,000 OWNER'S & CONTRACTOR'S PROT FIRE DAMAGE (Any one fire) $ 50,000 MED EXP (Any one person) $ 5,000 A AUTOMOBILE X X X LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON-OWNED AUTOS 01-CC-290065-6 1/20/94 10/20/95 COMBINED SINGLE LIMIT $ 1,000,000 BODILY INJURY (Per person) BODILY INJURY (Per accident) $ PROPERTY DAMAGE $ GARAGE LIABILITY ANY AUTO AUTO ONLY - EA ACCIDENT $ OTHER THAN AUTO ONLY EACH ACCIDENT $ AGGREGATE $ EXCESS LIABILITY UMBRELLA FORM OTHER THAN UMBRELLA FORM EACH OCCURRENCE $ AGGREGATE $ $ WORKERS COMPENSATION EMPLOYERS' LIABILITY THE PROPRIETOR/ PARTNERS/EXECUTIVE OFFICERS ARE: OFFICERS AND --- INCL EXCL STATUTORY LIMITS EACH ACCIDENT $ DISEASE - POLICY LIMIT $ DISEASE - EACH EMPLOYEE $ OTHER DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS CEtaTIF1CATE: HO ER . CITY OF YAKIMA iCAHCE LzAT:I:ON: SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL 10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, 121 N 2ND STREET YAKIMA WA 98901 BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES. ACOfRD::2543193 :�s ORIZED REPRESENTATIVE ,�, A Q ORD :GO if?ORATJO 993' 11, • • AOOI:%I)® .... ..... .• .• . • .. PRODUCER ARGUS INSURANCE 415 N 2ND STREET YAKIMA ...• • INC WA 98901 • •• • , ) THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICES BELOW. COMPANIES AFFORDING COVERAGE COMPANY A ST PAUL FIRE & MARINE INS INSURED ZAREMBA CLAIMS SERVICE INC PO BOX 87 YAKIMA WA 98907 COMPANY B COMPANY C COMPANY D THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, BEEN REDUCED BY PAID CLAIMS. CO LTR TYPE OF INSURANCE POLICY NUMBER POUCY EFFECTIVE DATE (MM/DD/YY) POUCY EXPIRATION DATE (MM/DD/YY) LIMITS GENERAL LIABILITY COMMERCIAL GENERAL LIABILITY PROT GENERAL AGGREGATE $ PRODUCTS - COMP/OP AGG $ CLAIMS MADE OCCUR PERSONAL & ADV INJURY $ OWNER'S & CONTRACTOR'S EACH OCCURRENCE - $ FIRE DAMAGE (Any one fire) $ MED EXP (Any one person) $ AUTOMOBILE UABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON -OWNED AUTOS - COMBINED SINGLE LIMIT $ BODILY INJURY (Per person) $ BODILY INJURY (Per accident) $ PROPERTY DAMAGE $ GARAGE UABIIJTY ANY AUTO AUTO ONLY - EA ACCIDENT $ OTHER THAN AUTO ONLY: EACH ACCIDENT $ AGGREGATE $ EXCESS LIABILITY UMBRELLA FORM OTHER THAN UMBRELLA FORM EACH OCCURRENCE $ AGGREGATE $ $ WORKERS COMPENSATION EMPLOYERS' LIABILITY THE PROPRIETOR/ PARTNERS/EXECUTIVE OFFICERS ARE: AND INCL EXCL STATUTORY LIMITS EACH ACCIDENT $ DISEASE - POLICY LIMIT $ DISEASE - EACH EMPLOYEE $ A OTHER PROFESSIONAL GL00621258 07/14/94 07/14/95 LI 1,000,000/2,000,000 DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS CITY OF YAKIMA ATTIN JOHN HANSON, TREASURER 121 NO 2ND STREET YAKIMA WA 98901 ACORD 255 (3/93)• . ... . .... . . . ....... SHOULD ANY EXPIRATION 10 DAYS . • • • • • . . . OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE DATE 'THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, TO MAIL WCH-NOTICE, SHALL IMPOSE NO OBLIGATION OR UABILITY UPO COM PAN ITS GENT OR REPRESENTATIVES. BUT FAILURE OF ANY KIND AUTHORIZED REPRE GLEN L 146) •• - to .......• •• :: - c ....... Akti -... 1993