HomeMy WebLinkAboutPR 23631: SETTLEMENT CLAIM OF $82,369.31 MADE AGAINST VARIOUS INSURANCE CARRIERS THROUGH USI SOUTHWEST, INC., WINDSTORM DAMAGE TO THE BABE ZAHARIAS GOLF COURSE BRIDGE AND RESTROOM s„,,,,,,,,,„, ,,
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INTEROFFICE MEMORANDUM
Office of Safety & Risk Management
Date: March 8, 2024
To: Ronald Burton, CPM, City Manager
From: Trameka A. Williams, Director of Human Resources
RE: Resolution Authorizing The City Manager To Execute The Settlement Of A Claim In The
Amount of $82,369.31 Made Against Various Insurance Carriers Through USI Southwest,
Inc. As A Result Of Windstorm Damage To The Babe Zaharias Golf Course Bridge and
Restroom (3500 75th Street)
Nature of the request: On January 24, 2023, a wind related occurrence damaged the Babe
Zaharias Golf Course bridge and restroom. During the event, high winds and rain disconnected
the rails on the south bridge of the golf course. The damage to the restrooms was minimal to the
roof
Staff Analysis, Considerations: The City has windstorm insurance through USI Southwest,
Inc., for which a claim was filed for said damages. USI Southwest, Inc., and its subsidiary
layered carriers (Mt. Hawley Insurance Company and Renaissance Re Syndicate 1458 Lloyd's,
Landmark American Insurance Company, and Certain Underwriters at Lloyd's) for damages. Mt.
Hawley Insurance Company and Renaissance Re Syndicate 1458 Lloyd's ($13,730.96),
Landmark American Insurance Company ($41,184.66), and Certain Underwriters at Lloyd's
($27,453.69) has offered to settle the claim for $82,369.31, which has been determined to be a
fair and reasonable settlement.
Recommendation: I recommend approval of Proposed Resolution No. 23631 authorizing the
property damage settlement against USI Southwest Inc., and its layered carriers for wind-related
damages to the Babe Zaharias Golf Course and restroom. (3500 75th Street). USI Southwest, Inc.
has offered to settle the claim for $82,369.31. This is considered a fair and reasonable
settlement.
Budget Considerations: The funds received will be deposited in the Insurance Proceeds
Account#HINGF (General Fund for Insurance Proceeds).
"Remember we are here to serve the Citizens of Port Arthur."
P.R. No. 23631
03/07/24 TAW
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO EXECUTE THE SETTLEMENT OF A CLAIM IN THE AMOUNT OF $82,369.31 MADE
AGAINST VARIOUS INSURANCE CARRIERS THROUGH USI SOUTHWEST, INC. AS A
RESULT OF THE WINDSTORM DAMAGE TO THE BABE ZAHARIAS GOLF COURSE
BRIDGE AND RESTROOM (3500 75T" STREET)
WHEREAS, on January 24, 2023, a wind related occurrence damaged the Babe
Zaharias Golf Course bridge and restroom; and,
WHEREAS, as a result of the damage, a claim was filed with USI Southwest, Inc,
and its subsidiary layered carriers (Mt. Hawley Insurance Company and Renaissance Re
Syndicate 1458 Lloyd's, Landmark American Insurance Company, and Certain
Underwriters at Lloyd's) for damages; and,
WHEREAS, Mt. Hawley Insurance Company and Renaissance Re Syndicate 1458
Lloyd's ($13,730.96), Landmark American Insurance Company ($41 ,184.66), and
Certain Underwriters at Lloyd's ($27,453.69) has offered to settle the claim for
$82,369.31 , which has been determined to be a fair and reasonable settlement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR, TEXAS:
Section 1 . That, the facts and opinions in the preamble are true and correct.
Section 2. That, the City Manager is hereby authorized to execute settlement in the
amount of $82,369.31 for the claim against USI Southwest, Inc, and its subsidiary
layered carriers (Mt. Hawley Insurance Company and Renaissance Re Syndicate 1458
Lloyd's ($13,730.96), Landmark American Insurance Company ($41 ,184.66), and
Certain Underwriters at Lloyd's ($27,453.69). This amount is based on an estimated cost
for wind-related repairs; therefore, if additional wind-related costs are incurred, USI
Southwest, Inc. and its subsidiary layered carriers may issue a supplemental payment.
Section 3. That, a copy of this Resolution be spread upon the minutes of the City
Council.
READ, ADOPTED, AND APPROVED this day of , AD, 2024, at a
Meeting of the City Council of the City of Port Arthur, Texas, by the following
vote: AYES: Mayor , Councilmembers
NOES:
Thurman Bill Bartie, Mayor
ATTEST:
Sherri Bellard, City Secretary
APPROVED AS TO FORM:
(12/ A---.
J s Black, Interim City Attorney
APPROVED FOR ADMINISTRATION:
Ron Burton, CPM, City Manager
1
EXHIBIT "A"
S2,500,000.00 MWC0600932 /523965
AMOUNT OF POLICY AT SWORN STATEMENT POLICY'CLAIM NUMBER
TIME OF LOSS IN
PROOF OF LOSS
05/01/22 TO THE Boca Raton.Florida
ISSUED AGENCY AT
05/01/23 CRC Insurance Sersices Inc
EXPIRES AGENT
Mt.Hawley Insurance Company and Renaissance Re Syndicate 1458 Lloyd's
of Peoria,Illinois
At time of loss, by the above indicated policy of insurance our insured
City of Port Arthur
against loss by All Risk to the property described under the above policy,according to the terms and
conditions of the said policy and all forts,endorsements,transfers and assignments attached thereto.
TIME AND A Hind loss occurred on the 24th day of January,2023
ORIGIN The cause and origin of the said loss were: CAT 16- Windstorm
OCCUPANCY The building described,or containing the property described,was occupied at the time of loss as follows,
and for no other purpose whatever: Golf Course Bridge and Restrooms
TITLE AND At the time of the loss the interest of your insured in the property described therein was: OWNER
INTEREST No other person had any interest therein or encumbrance thereon,except: N/A
CHANGES Since the said policy was issued there has been no assignment thereof,or change of interest,use,occupancy,
possession,location or exposure of the property described,except: None Known
TOTAL THE TOTAL AMOUNT OF INSURANCE upon the property described by this policy was,at the time of
INSURANCE the loss, 52,500,000.00 as more particularly specified in the apportionment attached under
the policy besides which there was no policy or other contract of insurance.written or oral,valid or invalid.
VALUE THE ACTUAL CASH VALUE OF said property at the time of loss was Not Determined
LOSS THE WHOLE LOSS AND DAMAGE to date was S 107,369.31
DEDUCTIBLE Less the APPLICABLE DEDUCTIBLE $ 125,000.00)
AMOUNT THE AMOUNT CLAIMED at this time S 82,369.31
CLAIMED
AMOUNT THE AMOUNT CLAIMED under the above numbered policy is 16.67% S 13,730.96
CLAIMED
The said loss did not originate by any act,design or procurement on the part of your insured,or this affiant:nothing has been done or with the
privity or consent of your insured or this affiant,to violate the conditions of the policy,or render it void:no articles are mentioned herein or in
destroyed or damaged at the time of said loss:no property saved has in any manner been concealed,and no attempt to deceive the said company,
as to the extent of said loss,has in any manner been made. Any other information that may be required will be furnished and considered a part of
this proof.
Fraud Warning:It is a crime to provide false or misleading information to an insurer for the purpose of defrauding the insurer or any other person.
Penalties include imprisonment and/or fines.In addition,an insurer may deny insurance benefits if false information materially related to a claim
was provided by the applicant"
The furnishing of this blank or the preparation of proofs by a representative of the above insurance company is n 'ver of ny f its rights.
State of C41"7 CiJ X
County of Vj'p� 7-son nsurcd
Su ribed rn t r4 me this �1 day of Dui 2023
I
Notary Public I ;;�11.111I,�; TRAMEKA WILLIAMS
•w _ NOTARY PUBLIC,STATE OF TEXAS
' COM.EXPIRES 01/22/2025
oF, NOTARY ID #1218224-7
S2,500,000.00 LHD924125 /7030178012
AMOUNT OF POLICY AT SWORN STATEMENT POLICY-CLALM NUMBER
TIME OF LOSS IN
PROOF OF LOSS
05/01/22 TO THE Boca Raton,Florida
ISSUED AGENCY AT
05/01/23 CRC Insurance Services Inc
EXPIRES AGENT
Landmark American Insurance Company
of Atlanta,Georgia
At time of loss, by the above indicated policy of insurance our insured
City of Port Arthur
against loss by All Risk to the property described under the above policy,according to the terms and
conditions of the said policy and all forms,endorsements,transfers and assignments attached thereto.
TIME AND A wind loss occurred on the 24th day of January,2023
ORIGIN The cause and origin of the said loss were: CAT 16- Windstorm
OCCUPANCY The building described,or containing the property described,was occupied at the time of loss as follows,
and for no other purpose whatever: Golf Course Bridge and Restrooms
TITLE AND At the time of the loss the interest of your insured in the property described therein was: OWNER
INTEREST No other person had any interest therein or encumbrance thereon,except: N/A
CHANGES Since the said policy was issued there has been no assignment thereof,or change of interest.use,occupancy,
possession,location or exposure of the property described,except None Known
TOTAL THE TOTAL AMOUNT OF INSURANCE upon the property described by this policy was,at the time of-
INSURANCE the loss, S2,500,000.00 as more particularly specified in the apportionment attached under
the policy besides which there was no policy or other contract of insurance,written or oral,valid or invalid.
VALUE THE ACTUAL CASH VALUE OF said property at the time of loss was Not Determined
LOSS THE WHOLE LOSS AND DAMAGE to date was S 107,369.31
DEDUCTIBLE Less the APPLICABLE DEDUCTIBLE S (25,000.00)
AMOUNT THE AMOUNT CLAIMED at this time $ 82,369.31
CLAIMED
AMOUNT THE AMOUNT CLAIMED under the above numbered policy is 50% S 41,184.66
CLAIMED
The said loss did not originate by any act,design or procurement on the part of your insured.or this affiant:nothing has been done or with the
privity or consent of your insured or this affiant,to violate the conditions of the policy,or render it void;no articles are mentioned herein or in
destroyed or damaged at the time of said loss:no property saved has in any manner been concealed,and no attempt to deceive the said company.
as to the extent of said loss,has in any manner been made. Any other information that may be required will be furnished and considered a part of
this proof.
Fraud Warning:It is a crime to provide false or misleading information to an insurer for the purpose of defrauding the insurer or any other person.
Penalties include imprisonment and/or fines.In addition,an insurer may deny insurance benefits if false information materially related to a claim
was provided by the applicant."
The furnishing of this blank or the preparation of proofs by a representative of the above insurance company is waiver any of its rights.
State of —RIM x
County of L e f to utlr r (, I ed
ilt"
Subscri and sworn o before e this day of V W 20�� -ale — ————ai
JJiw� NotaryPublic ; '''- TRAMEKA' _ l NOTARY PUBLIC,STATE OF TE 2S5
=°�•...:�'.= COM.EXPIRES 01/22/2025 i
° R'ro' NOTARY ID 01218224-7 J
$2,500,000.00 B0572NA22EDWM /126801
AMOUNT OF POLICY AT SWORN STATEMENT POLICY/CLAIM NUMBER
TIME OF LOSS IN
PROOF OF LOSS
05/01/22 TO THE Boca Raton,Florida
ISSUED AGENCY AT
05/01/23 CRC Insurance Services Inc
EXPIRES AGENT
Certain Underwriters at Lloyd's
At time of loss, by the above indicated policy of insurance our insured
City of Port Arthur
against loss by All Risk to the property described under the above policy,according to the terms and
conditions of the said policy and all forms,endorsements,transfers and assignments attached thereto.
TIME AND A wind loss occurred on the 24th day of January,2023
ORIGIN The cause and origin of the said loss were: CAT 16- Windstorm
OCCUPANCY The building described,or containing the property described,was occupied at the time of loss as follows,
and for no other purpose whatever: Golf Course Bridge and Restrooms
TITLE AND At the time of the loss the interest of your insured in the property described therein was: OWNER
INTEREST No other person had any interest therein or encumbrance thereon,except: N/A
CHANGES Since the said policy was issued there has been no assignment thereof,or change of interest,use,occupancy,
possession,location or exposure of the property described,except: None Known
TOTAL THE TOTAL AMOUNT OF INSURANCE upon the property described by this policy was,at the time of
INSURANCE the loss, $2,500,000.00 as more particularly specified in the apportionment attached under
the policy besides which there was no policy or other contract of insurance,written or oral,valid or invalid.
VALUE THE ACTUAL CASH VALUE OF said property at the time of loss was Not Determined
LOSS THE WHOLE LOSS AND DAMAGE to date was S 1117,369.31
DEDUCTIBLE Less the APPLICABLE DEDUCTIBLE S (25,000.00)
AMOUNT THE AMOUNT CLAIMED at this time S 82,369.31
CLAIMED
AMOUNT THE AMOUNT CLAIMED under the above numbered policy is 33.33% S 27,453.69
CLAIMED
The said loss did not originate by any act,design or procurement on the part of your insured,or this affiant;nothing has been done or with the
privity or consent of your insured or this affiant,to violate the conditions of the policy,or render it void;no articles are mentioned herein or in
destroyed or damaged at the time of said loss;no property saved has in any manner been concealed,and no attempt to deceive the said company.
as to the extent of said loss,has in any manner been made. Any other information that may be required will be furnished and considered a part of
this proof.
Fraud Warning:It is a crime to provide false or misleading information to an insurer for the purpose of defrauding the insurer or any other person.
Penalties include imprisonment and/or fines.In addition,an insurer may deny insurance benefits if false information materially related to a claim
was provided by the applicant"
The furnishing of this blank or the preparation of proofs by a representative of the above insurance company is not a waiv r f any of its rights.
State of IlDx(A X \
County of JeA Insured
Subscribed d swo to before me hi ilth day of Deed 20`J
Notary Public [ TRAMEWILLIAMS�.°8 KA
,Of„ NOTARY ID #1218224-7