Item Coversheet
CITY OF PEORIA, ARIZONA
COUNCIL COMMUNICATION
 
Agenda Item: 15C. 


Date Prepared:   Council Meeting Date: 6/3/2025

TO:Honorable Mayor and City Council 
FROM:  Emily Jurmu, City Attorney 
SUBJECT:
Award of General Liability Insurance Package 

Purpose:

Discussion and possible action to approve the Fiscal Year 2026 Property and Casualty Insurance package for $2,644,786.

Summary:

This Insurance Package includes coverage for the City’s property, autos, equipment, watercraft, underground storage tanks, cyber liability, and general casualty (liability) insurance.  The package also provides for primary and excess liability layers, subject to policy deductibles, terms, conditions, limits, and any sub-limits, if applicable.    

 

The City has contracted with Alliant Insurance Services brokerage to assist with the process of obtaining and evaluating the most favorable coverage options and prices within the public entity insurance marketplace. Based on Alliant’s proposal and recommendation, this package will maintain the Self-Insured Retention (SIR) of $1 Million per liability claim occurrence; primary liability coverage of $5 Million; and five layers of excess liability coverage totaling $35 Million.      

   

Upward market pressures continue, related to excess liability costs and limits offered, with carriers increasing those costs and reducing in some cases the limits offered.  That market trend is continuing and reflects the carriers’ concerns related to the risks associated with Public Entities, Law Enforcement liability, and other exposures involving potentially high and adverse awards.  Legal costs and the costs associated with defending these cases and exposures have trended up as well.   

 

This FY we are recommending the $2,644,786 insurance package. Attached is Exhibit A outlining the FY 2026 insurance costs. This package maintains the same level of coverage as last year.

Staff Recommendation:

Staff recommends that the City Council approve the FY26 Property and Casualty Insurance package.  The City’s current insurance policies will expire on July 1, 2025 without approval of the recommended FY26 insurance package.   

Fiscal Analysis:

This Insurance Package will be funded within the Division 3600 budget for Claims & Insurance costs and under the Insurance account (3200-3600-523011).

ATTACHMENTS:
Description
FY 26 Policy Summary
Contact Name and Number:  

Brian Flint, Claims Coordinator, (623) 773-7234