§ 26-661 — Insurance

Sec. 26-661. - Insurance.

(a) The vehicle immobilization service shall obtain and maintain in effect during the term of a permit issued pursuant to section 26-652 of this Code insurance coverage as set out below and shall furnish certificates of insurance prior to the beginning of the term of such permit. All such policies shall be primary to any other insurance. Claims made policies shall have an extended reporting period (tail coverage) in place for two years after such policies expire. All liability policies shall be issued by a carrier that is authorized or deemed eligible by the Texas Department of Insurance to do business in the State of Texas. The vehicle immobilization service shall maintain at least the following insurance coverage in the following amounts: (1) Commercial General Liability, including Broad Form Coverage: Bodily Injury and Property Damage, Combined Single Limits of $500,000.00 each Occurrence and $500,000.00 Annual Aggregate; and (2) Automobile Liability Insurance, including owned, hired, or non-owned vehicles or any automobile: $500,000.00 Combined Single Limit per Accident. (b) The insurance policy must state that it may not be canceled, materially modified, or non-renewed unless the insurance company gives the police official 30 days' advance written notice. Defense costs are outside the limit of liability. Aggregate coverage limits are per 12-month policy period unless otherwise indicated. Proof of insurance required by this section shall be on the authorized form approved for this purpose by the police official. A permit shall be automatically suspended without any requirement for action by the city or notice to the permittee for any period of time that any of the insurance required by this section is not in effect. In addition, the police official may cause the permit to be revoked for cause pursuant to section 26-655 of this Code for failure to maintain insurance in compliance with this section.

(Ord. No. 08-847, § 2, 9-24-08; Ord. No. 09-1235, § 20, 12-2-09)