ITEM TITLE:
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Consider allowing HTG-Lawton Management LLC and LATS to use ‘The City of Lawton Transit Trust as the first named insured for LATS liability insurance.
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INITIATOR: Charlotte Brown, Community Services Director
STAFF INFORMATION SOURCE: LATS General Manager
BACKGROUND: Most insurance underwriters will not write an insurance quote unless the first name insured is an actual public entity (City of Lawton Transit Trust/City of Lawton), not a private third-party such as HTG-Lawton Mgt LLC. The main reason for this is due to the governmental tort liability protection. HTG-Lawton Mgt LLC will still be listed as additional insureds on the insurance policies. By adding Lawton City Transit Trust as the first insured, it will allow more insurance underwriters to participate when the LATS brokers accept bids for insurance premiums on an annual basis. More competition means the potential for lower rates and thus savings for the City of Lawton Transit Trust.
EXHIBIT: Hudson Insurance Package Policy
Hudson Insurance Umbrella Policy
Hudson Insurance Auto Policy
KEY ISSUES: None.
FUNDING SOURCE: : FTA (50%) and the Trust (50%)
STAFF RECOMMENDED COUNCIL ACTION: Allow HTG-Lawton Management LLC and LATS to use ‘The City of Lawton Transit Trust as the first named insured for LATS liability insurance.