2.4 ERMUSR 04-11-2023�i
Elk River --�-
Municipal Utilities UTILITIES COMMISSION MEETING
TO:
FROM:
ERMU Commission
Melissa Karpinski — Finance Manager
MEETING DATE:
AGENDA ITEM NUMBER:
April 11, 2023
2.4
SUBJECT:
Resolution Electing Not to Waive Statutory Tort Limits for Liability Insurance
ACTION REQUESTED:
Adopt Resolution 23-5 Electing Not to Waive the Statutory Tort Limits for Liability Insurance
BACKGROUND:
The League of Minnesota Cities Insurance Trust (LMCIT) requires annual approval of the
Utilities' intent to waive or not waive the statutory limits on tort liability as set forth in
Minnesota Statutes.
DISCUSSION:
Attached is the waiver form which also has information regarding making a decision on whether
to elect not to waive, or to waive, the statutory limits. Last year we did not waive the limits, and
neither did the City. The recommendation we have received from our insurance agent is not to
waive the limits.
FINANCIAL IMPACT:
This limits our exposure to $500,000 rather than $2,000,000 for an individual claimant; and
$1,500,000 rather than $2,000,000 for all claimants of a single occurrence.
ATTACHMENTS:
• Resolution No. 23-5 - Electing Not to Waive the Statutory Tort Limits for Liability
Insurance
• LMCIT Liability Coverage Waiver Form
Page 1 of 1
53