HomeMy WebLinkAboutA014 - Resolution accepting renewal quote of the City's membership in the ICAPITEM #:15
DATE:06-09-26
DEPT:HR
SUBJECT:RENEWAL OF ICAP MEMBERSHIP TO PROCURE CASUALTY AND
LIABILITY INSURANCE COVERAGES
COUNCIL ACTION FORM
BACKGROUND:
The City's annual membership in the Iowa Community Assurances Pool (ICAP) expires June
30, 2026. The City has been a member of ICAP since July 1, 2004, and secures its casualty
and liability coverages through this membership. ICAP provides similar protection to
approximately 300 cities, 70 counties, 50 fair boards, and over 250 other public entities. ICAP
is a member-owned and funded group insurance pool for Iowa public entities.
The following City coverages are provided by ICAP: General (Third Party) Liability, Vehicle
and Transit Bus Liability, Bookmobile Physical Damage, Public Officials Wrongful Acts, Police
Professional Liability, and Cyber Breach/Liability.
Membership in the ICAP pool is a long-term commitment based on the fundamentals of rate
stability, availability of coverages meeting the City's needs, and the quality of services
(underwriting, loss control, and claims handling). Below is a summary table of current fees
from ICAP's for these same services for FY 2026/27.
Type of Coverage &
Coverage Amount FY 2025/26 Premium FY 2026/27 Premium Quote
General Liability ($2,000,000)$251,244.15 $263,018.88
Automobile ($2,000,000)$271,259.38 $279,326.84
Public Officials ($2,000,000)$70,265.56 $72,329.16
Law Enforcement ($2,000,000)$48,275.59 $49,240.51
Bookmobile Physical Damage
($261,300)$1,232.04 $1,232.04
Cyber ($250,000)$15,964.38 $16,534.47
Excess Liability ($13,000,000)$180,435.40 $186,780.45
Total Invoice Cost $838,675.52 $868,462.35
The FY 2026/27 total cost of $868,462.35 is an increase of 3.6% from the Total Invoice
Cost for FY 2025/26. City staff expected an increase of 10% (based on the previous
experience) from FY 2025/26, which is why the FY 2026/27 budget includes funding in
the amount of $957,583 for liability coverage. The budgeted amount is sufficient to
cover the proposed cost of coverage with ICAP. The amounts contributed from City
departments for the premium will be adjusted during FY 2026/27 to reflect the actual
premium cost.
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ALTERNATIVES:
1. Accept the renewal of the City's membership in the Iowa Communities Assurance Pool
(ICAP), with the cost not to exceed $868,462.35 for the coverages indicated above.
2. Direct staff to seek other alternatives for casualty and liability insurance.
CITY MANAGER'S RECOMMENDED ACTION:
The City's membership in ICAP continues to result in receiving excellent casualty and
liability coverages and associated services at a competitive price. Therefore, it is the
recommendation of the City Manager that the City Council adopt Alternative No. 1, as
described above.
ATTACHMENT(S):
2026 Ames Invoice without commission.pdf
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I CAP
Member Invoice
Member Name: City of Ames
Policy Number: R0535PC202601-01
Anniversary Date: 07/01/2026
Coverage Limit of Coverage Contribution
General Liability $2,000,000 $263,018.88
Cyber $250,000 $16,534.47
Automobile Liability $2,000,000 $279,326.84
Law Enforcement Liability $2,000,000 $49,240.51
Public Officials Wrongful Acts $2,000,000 $72,329.16
Excess Liability $13,000,000 $186,780.45
Vehicles $261,300 $1,232.04
TOTAL CONTRIBUTION $868,462.35
Payment for this invoice can be submitted electronically via the ICAP website.
Please visit www.icapiowa.com and click "Member Pay" at the top right of the page to pay via
ACH transfer.There is no fee for utilizing this service. If you require assistance or prefer to pay via
check, please contact the ICAP office via1-(800) 383-0116.
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