HomeMy WebLinkAboutReso 2025-3886RESOLUTION NO. 2025 -Eml
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH,
FLORIDA, APPROVING THE RENEWAL OF THE COMMERCIAL PACKAGE POLICY
(PROPERTY, LIABILITY, AUTOMOBILE), WORKERS COMPENSATION, AND
MISCELLANEOUS INSURANCES WITH BROWN & BROWN / PREFERRED
GOVERNMENT INSURANCE TRUST (PGIT) FOR THE PERIOD OF OCTOBER 1,
2025, THROUGH SEPTEMBER 30, 2026, IN AN AMOUNT NOT TO EXCEED TWO
MILLION ONE HUNDRED TWENTY-NINE THOUSAND THREE HUNDRED FIFTY-
SEVEN DOLLARS AND NO CENTS ($2,129,357.00), AS OUTLINED IN EXHIBIT "A";
AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO
EFFECTUATE THIS RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on September 15th, 2016, via Resolution No. 2016-2579, the City Commission
entered into an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT)
as the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2016, through September 30,
2017, in an amount not to exceed $1,000,000.00; and
WHEREAS, on March 16th, 2017, via Resolution No. 2017-2670, the City Commission
approved an increase in spending authority for additional insurance coverage with Brown &
Brown/Preferred Government Insurance Trust (PGIT), in an amount not to exceed $150,000.00;
and
WHEREAS, on September 21St, 2017, via Resolution No. 2017-2720, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2017, through September 30,
2018, in an amount not to exceed $1,350,744.75, which included a contingency amount of
$200,000.00; and
WHEREAS, on September 20th, 2018, via Resolution No. 2018-2853, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2018, through September 30,
2019, in an amount not to exceed $1,500,000.00; and
WHEREAS, on September 19th, 2019, via Resolution No. 2019-2974, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2019, through September 30,
2020, in an amount not to exceed $1,500,000.00; and
WHEREAS, on September 17th, 2020, via Resolution No. 2020-3092, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
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379
miscellaneous insurances, for a one-year period of October 1, 2020, through September 30,
2021, in an amount not to exceed $1,500,000.00; and
WHEREAS, on September 141h, 2021, via Resolution No. 2021-3277, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2021, through September 30,
2022, in an amount not to exceed $1,500,000.00; and
WHEREAS, on September 15th, 2022, via Resolution No. 2022-3387, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2022, through September 30,
2023, in an amount not to exceed $1,800,000.00; and
WHEREAS, on September 211t, 2023, via Resolution No. 2023-3548, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2023, through September 30,
2024, in an amount not to exceed $1,900,000.00; and
WHEREAS, on September 19th, 2024, via Resolution No. 2024-3712, the City Commission
approved an Agreement with Brown & Brown/Preferred Government Insurance Trust (PGIT) as
the City's provider for the Commercial Package Policy and Workers Compensation, and
miscellaneous insurances, for a one-year period of October 1, 2024, through September 30,
2025, in an amount not to exceed $1,975,000.00; and
WHEREAS, the City of Sunny Isles Beach is in need of various insurance coverages to
protect it from liabilities, catastrophes, and other issues that may arise for the one-year period
of October 1, 2025, through September 30, 2026; and
WHEREAS, staff recommends acceptance of the Brown & Brown/Preferred
Governmental Insurance Trust (PGIT) proposal for the Commercial Package Policy and Workers
Compensation, and miscellaneous insurances, in an amount not to exceed Two Million One
Hundred Twenty -Nine Thousand Three Hundred Fifty -Seven Dollars and No Cents
($2,129,357.00), for the one-year period of October 1, 2025, through September 30, 2026,
attached hereto as Exhibit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY
ISLES BEACH, FLORIDA, AS FOLLOWS:
Section 1. Approval of Insurance Renewal. The City Commission hereby approves the
insurance renewal by Brown & Brown/Preferred Government Insurance Trust (PGIT) for the
Commercial Package Policy and Workers Compensation, and miscellaneous insurances, in an
amount not to exceed Two Million One Hundred Twenty -Nine Thousand Three Hundred Fifty-
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380
Seven Dollars and No Cents ($2,129,357.00), for the one-year period of October 1, 2025,
through September 30, 2026, attached hereto as Exhibit "A".
Section 2. Authorization of City Manager. The City Manager is hereby authorized to do all
other things necessary to effectuate this Resolution.
Section 3. Effective Date. This Resolution shall become effective upon adoption.
PASSED AND ADOPTED this 18th day of
MauriAo Betancur,1CMC, City Clerk
Marisa 5vecnin, Mayor
APPROVED AS TO FORM
AND LEGAL SUFFICIENCY:
Clain E. Boileau, for Nabors, Giblin &
Nickerson, P.A., City Attorney
Moved by: Seconded by:
Vote:
Mayor Svechin (Yes) (No)
Vice Mayor Lama (Yes) (No)
Commissioner Joseph (Yes) (No)
Commissioner Stuyvesant (Yes) (No)
Commissioner Viscarra (Yes) (No)
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381
City of Sunnv Isles Beach: 2025 Insurance Renewal
Premium Summary
Lme: of Business
Current Carrier .,
Renewal;D'ate -
2024 Premium ;
. 2025 Renewal ::.
%Change;'.
Property
PGIT
10/1/2025
$782,411
$711,068
-9%
Liability Package:
PGIT
10/1/2025
$562,328
$624,612
11%
Auto
PGIT
10/1/2025
$186,829
$226,712
21%
Inland Marine
PGIT
10/1/2025
$21,527
$23,904
11%
Crime / Fidelity
PGIT
10/1/2025
$1,766
$1,713
-3%
Workers Compensation
PGIT
10/1/2025
$276,810
$417,663
51%
Government Crime
Fidelity & Deposit
Co
10/1/2025
$1,000
$1,100
10%
Marine Hull
RLI Insurance
10/1/2025
$8,794
$9,504
8%
Student Activity
Gerber Life
Insurance
10/1/2025
$21,915
$21,515
-2%
Plate Glass
USPlate Glass
10/1/2025
$24,510
$24,510
0%
Flood -151 Sunny Isles
Blvd
Wright Flood
6/17/2025
$3,582
$4,210
18%
Flood -18050 Collins
Wright Flood
11/1/2025
$17,045
$17,045
0%
Flood -18500 Collins
Wright Flood
11/1/2025
$17,048
$17,048
0%
Flood -18080 Collins
Wright Flood
11/1/2025
$8,157
$8,157
0%
Flood -18070 Collins Ave
Wright Flood
10/1/2025
$4,414
$5,155
17%
Flood -18115 N Bay Rd
(N)
Wright Flood
10/1/2025
$6,523
$7,644
17%
Flood -18115 N Bay Rd
(S)
Wright Flood
10/1/2025
$6,654
$7,797
17%
$1,951,313
$2,129,357
9.12%
Liability Package includes GL, POL/EPLI, Law Enforcement, Cyber
Note: Experience Modification Rating Increased by 0.60 to 0.85
Red premiums reflect renewal quotes that have not yet been received
Year Over Year Exposure Changes
r
>K 4..s,,. ,_h . ... .: .... .. :.. .• ...; . ,..mar_ .,
Coverage' :' 2024
2025 %Change
Property:
$79,460,140
$79,809,875
0.44%
Liability Package:
$15,229,782
$17,741,083
16.49%
Auto:
$8,405,803
$9,598,624
14%
Inland Marine:
$5,789,493
$6,241,100
7.80%
Public Officials (full-time/part-time):
244/73
243/68
(-2%)
Workers Compensation:
$22,304,176
$25,598,000
15%
382
cFrY
OF SOA
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, Florida 33160
(305) 947-0606 City Hall
(305) 949-3113 Fax
MEMORANDUM
TO: Honorable Mayor and City Commissioners
VIA: Stan Morris, City Manager
FROM: Makia Curry, H R & Risk Management Director
DATE: September 18, 2025
RE: Renewal of Property, Casualty, Auto, Workers Comp Insurance with Brown &
Brown/Preferred Government Insurance Trust (PGIT)
RECOMMENDATION:
Staff recommends approval of this resolution.
REASONS:
It is recommended that the City Commission approve the attached resolution to renew the City's
Property, Liability, Auto, and Workers Compensation insurance with the Preferred Government
Insurance Trust (PGIT) and/or Brown & Brown Insurance for the period of October 1, 2025 through
September 30, 2026 in an amount not to exceed $2,200.00.00.
The renewal premium for the Commercial Package Policy (Property, Liability, and Auto) and Workers
Compensation is $2,129,357.00 which is $178,044.00 more than last year ($1,951,313). The
contributing factor for the premium increase is due to workers' comp claims, payroll and the addition of
new city vehicles and/or equipment.
Additionally, staff is allocating $70,843 for deductibles, additional flood policies and additional
premiums expected upon the completion of capital projects, which will be added to the property
insurance during the upcoming fiscal year.
Staff worked closely with Brown & Brown to review possible courses of action to reduce premiums to
include increasing our deductibles in certain coverage and the feasibility of self-insurance in areas that
we as a City have had good claims experience. Based on the available options, renewal with PGIT with
the coverage and terms indicated is our best, most cost effective, option.
Item Number: 9.J
377
In sum, staff recommends renewal of the Brown & Brown/Preferred Governmental Insurance Trust
(PGIT) proposal for the Package Policy and Workers Compensation and miscellaneous insurances as
attached.
ADDITIONAL INFORMATION:
The City currently has Commercial Insurance Package (Property, Casualty, and Auto) and Workers'
Compensation insurance through PGIT which is a premier insurance organization for public entities and
is a non -assessable Trust approved by the Florida State Legislature. The PGIT board of trustees has
elected to purchase an extremely conservative excess of loss insurance structure which provides PGIT
members several levels of protection that reinsurance does not. PGIT's excess of loss policies list every
individual member a named insured, giving every member direct access to the insurance company for
payment of claims.
Public Risk Underwriters (PRU), which is a premier insurance service organization for public entities and
is part of Brown & Brown, is the underwriting group that tailors customized insurance services and
products for the City.
The City has had a Commercial Package Policy (Property, Casualty, and Auto) and Workers
Compensation insurance coverage with PGIT since October 1, 2003. Prior to this date, from July 1,
2001, through October 1, 2003, insurance coverage was split between First Specialty Insurance for
Property and Coregis Insurance for General Liability coverage and with the Florida League of Cities for
Workers Compensation.
FUNDING SOURCE:
Funding is available in the 2-5132 (Risk Management) operating accounts for the Commercial Package
Policy and funding is available in each department's 424000 (Workers Comp Insurance) account for the
Workers Compensation Policy.
ATTACHMENTS:
Resolution
2025 Summary of Proposed Premiums
Item Number: 9.J
378