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HomeMy WebLinkAbout175-10 RESOLUTIONRESOLUTION NO. 175-10 A RESOLUTION APPROVING RFP #10-04 AND AUTHORIZING A CONTRACT WITH REGIONS INSURANCE INC. IN THE AMOUNT OF $14,000.00 WITH FOUR ONE YEAR AUTOMATIC RENEWAL OPTIONS FOR THE PROVISION OF INSURANCE BROKERAGE SERVICES BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves RFP #10-04 and authorizes a contract, a copy of which is attached as Exhibit "A," with Regions Insurance Inc. in the amount of $14,000.00 with four one year automatic renewal options for the provision of insurance brokerage services. PASSED and APPROVED this 5th day of October, 2010. APPROVED: ATTEST: By: AAP ALO 1 ELD 405 AN, Mayor By: at144) Maki SON RA E. SMITH, City Clerk/Treasurer City of Fayetteville RFP 10-04, Insurance Brokerage & Consultation Services Agreement 44 This contract executed this �J ' day of b -e , 2010, between the City of Fayetteville, Arkansas, and Regions Insurance Inc .In consideration of the mutual covenants contained herein, the parties agree as follows. WITNESSETH: WHEREAS, City has previously determined that it has a need for INSURANCE BROKERAGE & CONSULTATION SERVICES; and WHEREAS, City, after soliciting competitive proposals for such services pursuant to City of Fayetteville RFP 10-04 (herein after referred to as Request for Proposal or RFP), City has awarded this contract to Regions Insurance Inc; and WHEREAS, Regions Insurance Inc. has represented that it is able to satisfactorily provide these services according to the terms and conditions of the RFP, which are incorporated herein by reference, and the terms and conditions are contained herein; and NOW THEREFORE, in consideration of the above and mutual covenants contained herein, the parties agree as follows: 1. Services to be Performed: Regions Insurance Inc. hereby agrees to provide the City with INSURANCE BROKERAGE SERVICES, as requested and more specifically outlined in the RFP, this agreement, and all subsequent official documents that form the Contract Documents for this Agreement. Regions Insurance Inc. shall provide, as a minimum, professional services and dedicated personnel necessary to perform the following: a. Develop a complete understanding of the City's areas of exposure and consult with City representatives about short and long term solutions. b. Evaluate existing insurance contracts, self retained risk and claims history and make recommendations concerning any changes, modifications, and/or additions in the terms, conditions and coverage limits needed to yield a comprehensive risk management program to protect the interests of the City. c. Identify programs, products and insurers capable of meeting the City's insurance needs and prepare specifications for markets capable of quoting for upcoming renewals. d. Approach appropriate markets on behalf of the City to obtain pricing with respect of the program adopted by the City. Competitive quotes from well rated insurance carriers will be obtained for each type of risk. City of Fayetteville, AR RFP 10-04, insurance Brokerage & Consultation Services e. Present for City consideration, in an understandable format, an evaluation of the results of each solicitation, with a comprehensive financial analysis and recommendations for selection of an insurer for each type of risk. f Negotiate on the City's behalf the details of insurance contracts with selected carriers and audit resulting policies for accuracy of coverage, terms and conditions, and compliance with financial arrangements and administrative procedures acceptable to the City. g. Provide evaluation, basic training and education relative to loss control, safety, claims management, and related topics in the area of risk management. h. Provide assistance in the form of advisory services or written reports as is customarily expected from a professional insurance Broker/Consultant. i. Provide claims processing support with insurance carriers for all policies, and produce quarterly written reports with loss runs. Address areas of concern, including the need for training and other preventive measures. j. Annually, approximately first week in May, Broker/Consultant will prepare a stewardship report which will include a complete list of insurance in force, an evaluation of the overall insurance program, including recommendations for change and a forecast of market conditions and estimated premium for future budgeting purposes. Regions Insurance Inc. assumes no liability in the event of inaccurate forecasts and premium estimates. At the time of the presentation of the stewardship report City personnel and Broker/Consultant will discuss any changes which are appropriate in services to be performed for the succeeding year. 2. Time of Service: Services shall be performed in a timely manner, as specified in the RFP. 3. Compensation: Compensation for the scope of services outlined in the contract will be as follows: a. Amount not to exceed $14,000.00 per year. Payments will be made within 30 days of receipt of invoice. b. In the event that operations change substantially by either the addition or deletion of other operations or entities or a substantial change in the scope and nature of the City's insurance program, the City will negotiate in good faith to revise compensation upward or downward as appropriate. c. Regions Insurance Inc. will disclose commissions received and will credit such commissions against compensation hereunder. If commissions exceed agreed-upon compensation hereunder, excess commissions will be returned to the City if permitted by law. Otherwise, excess commissions will be carried forward and applied against compensation for subsequent years of this agreement. 4. Insurance: Regions Insurance Inc. shall provide and maintain in force at all times during the term of the services contemplated herein insurance for Workers' Compensation, Commercial General Liability, Automobile Liability, and Errors and Omissions Liability. Such policies shall be issued by companies authorized to do City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services business in the State of Arkansas. Evidence of such coverage is to be submitted with contract approval. Minimum amount for Commercial General Liability and Errors and Omissions Liability is $1,000,000 aggregate. 5. Term of Agreement: Services performed pursuant to this Contract shall commence upon execution of this agreement and continue for a period of ONE (I) year, unless canceled or terminated within thirty (30) days written notice by either party. This contract may be automatically renewed for FOUR (4) additional one (I) year terms after the initial contract period. This option shall be exercised only if all discounts, prices, terms and conditions remain the same, and approval is granted by the Mayor or if contract exceeds $20,000 approved by Fayetteville City Council. In the event of termination, claims for compensation owed by the City shall be limited to verifiable services rendered 6. Amendment of Contract: This Contract may be amended only by mutual agreement of the parties. 7. Legal Compliance: Regions Insurance Inc. is responsible for full and complete compliance with all applicable laws, rules, regulations and licensing requirements imposed by any public authority having jurisdiction. 8. Approval of Agent: The City reserves the right to require Regions Insurance Inc. to replace the assigned agent with another agent of the same company if, in the opinion of the City staff, the agent is not rendering or is incapable of rendering the quality of service and cooperation required. 9. Auditable Records: Regions Insurance Inc. shall maintain such accounts and records in connection with its performance of services for the City as may reasonably be required by the City. Regions Insurance Inc. shall, at any reasonable time during the term and for a period of one year following the completion of work under the contract, afford the City's agents and auditors reasonable facilities and access for examination and audit of its records pertaining to its performance and shall, upon request by the City, produce and exhibit all such records. 10. Assignment and Subcontracting: Regions Insurance Inc. shall perform this contract. No assignment or subcontracting shall be allowed without the prior written consent of the City. In the event of a corporate acquisition and/or merger, Regions Insurance Inc. shall provide written notice to the City within thirty (30) business days of such notice of action or upon the occurrence of said action, whichever occurs first. The right to terminate this contract, which shall not be unreasonably exercised by the City, shall include, but not be limited to, instances in which a corporate acquisition and/or merger represent a conflict of interest or are contrary to any local, state, or federal laws. Action by the City awarding a proposal to a Proposer, which has disclosed its intent to assign or subcontract in its response to the RFP, without exception shall constitute approval for purposes of this Agreement. City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services 11. Cancellation: The City of Fayetteville reserves the right to cancel this Contract, without cause, by giving thirty (30) days notice to Regions Insurance Inc. of the intent to cancel, or with cause if at any time Regions Insurance Inc. fails to fulfill or abide by any of the terms or conditions specified. Failure of the Regions Insurance Inc. to comply with any of the provisions of this contract shall be considered a material breach of contract and shall be cause for immediate termination of the contract at the discretion of the City of Fayetteville. In addition to all other legal remedies available to the City of Fayetteville, the City reserves the right to cancel and obtain from another source any services which have not been provided within the period of time stated in the proposal, or if no such time is stated, within a reasonable period of time from the date of order or request, as determined by the City. In the event that sufficient budgeted funds are not available for a fiscal period, the City shall notify Regions Insurance Inc. of such occurrence and the Contract shall terminate on the last day of the then current fiscal period without penalty or expense to the City. The City reserves the right to terminate within the thirty (30) day notice because of budgetary issues. 12. Compensation: As compensation for Regions Insurance Inc. providing services to the City as described herein, the City shall pay Regions Insurance Inc. in arrears, based on the submission of invoices for work completed and properly authorized. 13. Permits & Licenses: Regions Insurance Inc. shall secure and maintain any and all permits and licenses required to complete this contract. 14. Minimum Insurance Requirements: Regions Insurance Inc shall maintain insurance in at least the amounts required in the RFP throughout the term of this contract. Regions Insurance Inc. must provide a Certificate of Insurance in accordance with the insurance requirements listed within the RFP, evidencing such coverage prior to issuance of a purchase order or commencement of any work under this contract. Regions Insurance Inc. shall ensure that any subcontractors or persons hired by subcontractors maintain the same level of insurance coverage as Regions Insurance Inc.. 15. Indemnification: Regions Insurance Inc. shall indemnify, pay the cost of defense, including but not limited to attorneys' fees, and hold harmless the City from all suits, actions or claims of any character brought on account of any injuries or damages received or sustained by any person, persons, or property by or from the said Regions Insurance Inc.; or by, or in consequence of any neglect in safeguarding the work; or on account of any act or omission, neglect or misconduct of Regions Insurance Inc. ; or by, or on account of, any claim or amounts recovered under the Workers' Compensation Law or of any other laws, by-laws, ordinances, order of decree, except only such injury or damage as shall have been occasioned by the sole negligence of the City of Fayetteville. The first ten dollars ($10.00) of compensation received by Regions Insurance Inc. represents specific consideration for this indemnification obligation. City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services Furthermore, Regions Insurance Inc., in performing its obligations under this contract, is acting independently and the City assumes no responsibility of liability for the Regions Insurance Inc. acts or omissions to third parties, and Regions Insurance Inc. shall agree to indemnify and hold harmless, the City, its officers and employees against any and all claims, lawsuits, judgments, costs and expenses for which recovery of damages is sought, suffered by any person or persons, that may arise out of or be occasioned by Regions Insurance Inc. breach of the terms or provisions of contract, or by any negligent act or omission of Regions Insurance Inc., its officers, agents, employees, or invitee, in the performance of this contract; except that the indemnity specified in this paragraph shall not apply to any liability resulting from the sole negligence of the City, its officers, or employees. In the event of joint and concurrent negligence of both Regions Insurance Inc. and the City, responsibility and indemnity, if any, shall be apportioned comparatively in accordance with the laws of the State of Arkansas, without, however, waiving any governmental immunity available to the City under Arkansas law and without waiving any defense of the parties under Arkansas law. This paragraph is solely for the benefit of Regions Insurance Inc. and the City and is not intended to create or grant any rights, contractual or otherwise, to any other person or entity. 16. Governing Law & Jurisdiction: Legal jurisdiction to resolve any disputes shall be Washington County, Arkansas with Arkansas law applying to the case. 17. Severability: The terms and conditions of this agreement shall be deemed to be severable. Consequently, if any clause, term, or condition hereof shall be held to be illegal or void, such determination shall not affect the validity of legality of the remaining terms and conditions, and notwithstanding any such determination, this agreement shall continue in full force and effect unless the particular clause, term, or condition held to be illegal or void renders the balance of the agreement impossible to perform. 18. Changes in Scope or Price: Changes, modifications, or amendments in scope, price, or fees to this contract shall not be allowed without a prior formal contract amendment approved by the Mayor and the City Council in advance of the change in scope, cost or fees. 19. Freedom of Information Act: Documents prepared while performing City contractual work are subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request is presented to the City of Fayetteville, Regions Insurance Inc. will do everything possible to provide the documents in a prompt and timely manner as prescribed in the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. seq.) Only legally authorized photocopying costs pursuant to the FOIA may be assessed for this compliance. 20. Documents Comprising Contract: The contract shall include this Agreement for INSURANCE BROKERAGE SERVICES, as well as the following documents, which are incorporated herein by reference. City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services a. City of Fayetteville's Request for Proposal 10-04 and all of its addenda and attachments; b. Regions Insurance Inc. Certificate of Insurance as required, listing the City as an additional insured; c. Regions Insurance Inc. Proposal. If there is a conflict between the terms of this Agreement and the above referenced documents, the conflict shall be resolved as follows: the terms of this Agreement shall prevail over the other documents, and the terms of the remaining documents shall be given preference in their above listed order. WITNESS OUR HANDS THIS vJ DAY OF 7 D b -€r , 2010. ST: COMPMES ARY 10025 s 1465 E. Joyce Blvd, Ste 205 BUSINESS ADDRESS Fayetteville, AR 72703 CITY OF FAYETTEVILLE, FAYETTEVILLE, ARKANSAS Attest: &otAlt4i Sondra Smith, City Clerk „own ,.‘`c ▪ • .c.,11 -Y oF°•� • ▪ :• A /1/1 -irk/ • ; FAYETI EVIf LE; ;▪ ��y� kASo�?�`� ,,,�G7CN,� REGIONS INSURANCE INC. BY ErE'c /ert1,Sr. Vice c.e P AND TITLE City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements 10/5/2010 City Council Meeting Date Agenda Items Only Peggy Vice 9W Purchasing Finance & Internal Services Submitted By Division Action Required: Department Award of RFP 10-04 for Insurance Broker of Record Services and approval of a contract with Regions Insurance Inc. in the amount of $14,000 with (4) four one year options that automatically renew each year if all terms and conditions remain the same. $14,000 Cost of this request 1010.1610.5314.00 Account Number N/A Project Number Budgeted Item X 14,000.00 Category / Project Budget 14,000.00 Professional Services Program Category / Project Name Purchasing Funds Used to Date Program 1 Project Category Name General Remaining Balance Fund Name Budget Adjustment Attached Depart AiOr ttorney irector --i5.2.ot0 Date Previous Ordinance or Resolution # Original Contract Date: 5-14-10 Original Contract Number: Date 4 - iS-'t.Otc) Finance and Internal Services Director Date 11-6 —ft Date 7//616 Date Received in City 09-14-101)02:15 R C V D Clerk's Office 41, 91 - Received in Mayor's Office Comments: Revised January 15, 2009 CITY COUNCIL AGENDA MEMO To: Mayor and City Council Thru: Paul Becker, Finance & Internal Services Director From: Peggy Vice, Purchasing Manger k)" Date: September 13, 2010 Subj: Insurance Broker of Record Services Contract Recommendation Staff recommends award of RFP 10-04 for Insurance Broker of Record Services and approval of a contract for $14,000 for insurance brokerage services to Regions Insurance Inc. Background In 1995, a committee was assigned to evaluate the best approach to handling the City's insurance and risk exposure. The committee determined it would be best to hire a broker/consultant to analyze the City's needs and negotiate and place coverage to the best advantage of the City. The broker/consultant is paid a flat service lee and any commissions on policy premiums are credited to offset the fee or reduce rates to the City of Fayetteville. Discussion Proposals were received from six (6) respondents. The selection committee selected Regions Insurance Inc. Regions Insurance Inc. has been the City's provider for these services for the past two five year terms. It initially started out as Rebsamen Insurance and was purchased by Regions Insurance Inc. They have been an excellent service provider. They worked hand in hand with Accounting and Purchasing Divisions to handle the losses from the ice storm. They assisted the City in putting together the information required by FEMA to get reimbursed for the losses not covered by the City's insurance. RESOLUTION NO. A RESOLUTION APPROVING RFP #10-04 AND AUTHORIZING A CONTRACT WITH REGIONS INSURANCE INC. IN THE AMOUNT OF $14,000.00 WITH FOUR ONE YEAR AUTOMATIC RENEWAL OPTIONS FOR THE PROVISION OF INSURANCE BROKERAGE SERVICES BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves RFP #10-04 and authorizes a contract, a copy of which is attached as Exhibit "A," with Regions Insurance Inc. in the amount of $14,000.00 with four one year automatic renewal options for the provision of insurance brokerage services. PASSED and APPROVED this 5th day of October, 2010. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer City of Fayetteville, Arkansas aye Purchasing Division — Room 306 113 W. Mountain ARKANSAS Fayetteville, AR 72701 Phone: 479.575.8220 TDD (Telecommunication Device for the Deaf): 479.521.1316 REQUEST FOR PROPOSAL: RFP 10-04, Insurance Brokerage & Consultation Services DEADLINE: Friday, August 06, 2010 at 2:00 PM, Central Standard Time DELIVERY LOCATION: Room 306 —113 W. Mountain, Fayetteville, AR 72701 PURCHASING AGENT: Andrea Foren, CPPB, aforencci.favetteville.ar.us, 479.575.8220 DATE OF ISSUE AND ADVERTISEMENT: Wednesday, July 14, 2010 REQUEST FOR PROPOSAL RFP 10-04, INSURANCE BROKERAGE & CONSULTATION SERVICES No late proposals will be accepted. RFP's shall be submitted in sealed envelopes labeled "RFP 10-04, Insurance Brokerage & Consultation Services" with the name and address of the bidder. All Proposals shall be submitted in accordance with the attached City of Fayetteville specifications and bid documents attached hereto. Each Proposer is required to fill in every blank and shall supply all information requested; failure to do so may be used as basis of rejection. Any bid, proposal, or statements of qualification will be rejected that violates or conflicts with state, local, or federal laws, ordinances, or policies. The undersigned hereby offers to furnish & deliver the articles or services as specified, at the prices & terms stated herein, and in strict accordance with the specifications and general conditions of bidding, all of which are made a part of this offer. This offer is not subject to withdrawal unless upon mutual written agreement by the Proposer/Bidder and City Purchasing Manager. Name of Firm: Regions Insurance, Inc. Contact Person: Eric Herget Title: Senior vice President E -Mail: eric.herget©regionsinsurance.com Business Address: 1465 E. Joyce Blvd., Suite 205 Phone: 501-519-0955 City: Fayetteville State: AR Zip: 72703 Signature: Date: 812110 City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services Page 1 of 25 City of Fayetteville RFP 10-04, Insurance Brokerage & Consultation Services SECTION D: Statement of Disclosure — To Be Submitted With ALL Proposals This page does not count towards page limitations set forth in this request for proposal or bid. Proposer must disclose any possible conflict of interest with the City of Fayetteville, including, but not limited to, any relationship with any City of Fayetteville employee. Your response must disclose if a known relationship exists between any principal or employee of your firm and any City of Fayetteville employee or elected City of Fayetteville official. If, to your knowledge, no relationship exists, this should also be stated in your response. Failure to disclose such a relationship may result in cancellation of a purchase and/or contract as a result of your response. This form must be completed and returned in order for your bid/proposal to be eligible for consideration. PLEASE CHECK ONE OF THE FOLLOWING TWO OPTIONS, AS IT APPROPRIATELY APPLIES TO YOUR FIRM: X 1) NO KNOWN RELATIONSHIP EXISTS 2) RELATIONSHIP EXISTS (Please explain) PLEASE FILL OUT THE SECTION BELOW AND SUBMIT THIS FORM WITH YOUR BID OR PROPOSAL: 1.) I, as an officer of this organization, or per the attached letter of authorization, am duly authorized to certify the information provided herein are accurate and true; and 2.) My organization shall comply with all State and Federal Equal Opportunity and Non -Discrimination requirements and conditions of employment. Eric Herget Printe (Lr Signature 8/2/10 Date City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services Page 16 of 25 City of Fayetteville RFP 10-04, Insurance Brokerage & Consultation Services SECTION F: Addendum Acknowledgement Form Please acknowledge receipt of addenda for this invitation to bid or request for proposal by signing and dating below. All addendums are hereby made a part of the bid or RFP documents to the same extent as though it were originally included therein. Proposers/Bidders should indicate their receipt of same in the appropriate blank listed herein. Failure to do so may subject vendor to disqualification. ADDENDUM NO. SIGNfi.TU E ANDPRINTED NAME _ DATE RECEIVED 1 w{j Eric Herget 7/21/2010 Note: Prior to submitting the response to this solicitation, it is the responsibility of the firm submitting a response to confirm if any addenda have been issued. If such document{s) has been issued, acknowledge receipt by signature and date in the section above. Failure to do so may result in being considered non- responsive. Information regarding addenda issued is available on the City of Fayetteville website under the Purchasing Division at www.accessfavetteville.orq by selection "Bid's, RFPs, and RFQ's" under the "Business" heading. City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services Pagel8of25 APPENDIX A - EXECUTIVE SUMMARY B - PROPOSAL PART I - BUSINESS ORGANIZATION PART II - CONCEPT AND SOLUTION PART III - PROGRAM PART IV - ACCOUNT TEAM PROPOSAL PART V - CORPORATE EXPERIENCE PART VI - AUTHORIZED NEGOTIATOR PART VII - COST PROPOSAL PART VIII - PROOF OF INSURANCE EXECUTIVE SUMMARY Response to RFP Regions Insurance and the City of Fayetteville have been partners for over 10 years. We have insured recycled rubber elephants, walking trails next to railroad tracks, consulted on complex claims, and assisted in getting you preferred legal counsel on claims and suits. Hopefully, you are satisfied with our work product. We certainly enjoy our relationship with the City of Fayetteville. Providing risk management services to towns, cities, states, colleges, and quasi -governmental entities is a specialty in itself. Your broker needs to know how tax revenue, budgets, local politics and city council interaction fits into the overall strategy. Those city employees charged with this function need the full support and attention of the broker/risk consultant. Cities and towns are asking so much more out of each and every employee and now more than ever you rely on your broker partner. At Regions Insurance, we work together, and we believe that we have put together an ideal team for you. You can reach out to anyone on this team at anytime. We feel our response time is spot on and challenge our competitors to provide better service to you. Your team consists of attorneys, claims and loss control specialists, and marketing advisors. The City has utilized the services of our contract/claims advocacy lawyers in the past in several functions. They have assisted with contract reviews and claim advocacy. No other agent/broker in Arkansas offers these services. Claims do happen. Insurers know this. You pay your premium and you expect claims to be settled and paid as quickly as possible. Our claims department works with your client service team to keep you informed, ask for your input, relay your input to adjustors and seek the outcome that is best for the City. This is one of the most important functions we perform for you. Our loss control specialists can assist you in identifying and eliminating risks that could cause potential claims, which is important to you because if there is a loss, you have to find out how to pay for the deductible and possibly an increase in premium down the road. Our strategy is to keep the loss from happening in the first place. Our marketing department has worked with your Regions Insurance service team to provide the proper coverage at the lowest premium possible. We have successfully negotiated to keep your deductible low without the premium increasing. We have been able to accomplish these things due to our strong relationships with the insurance marketplace and your underwriters. We have over $ I billionUSD in premiums placed for all of our customers. Regions Insurance has a professional services department. Public officials and law enforcement errors and omissions policies are a specialty placement. Knowing the latest coverage enhancement and exclusions to avoid is critical. This department also consists of an attorney, who can assist with these specialty placements and claims should they arise. Your city attorney will likely demand this expertise from your broker partner. Broker compensation is also important. We are paid via a fee, which has remained constant for several years. We feel that it is always best to operate under a fee arrangement, because it removes any conflict of interest. 11 your account were on commission, the broker compensation would be much higher. In summary, Regions Insurance appreciates your business. We hope to continue our long standing relationship with the City of Fayetteville. A. REGIONS INSURANCE, INC. Member Regions Insurance Group Part I — BUSINESS ORGANIZATION Response to RFP Regions Insurance, Inc. is a holding company formed in 2004 to be the parent structure for all of the insurance operations and agencies of Regions Financial Corp. Our corporate vision is to be a regional partnership of insurance professionals that are acknowledged as the best in our industry by our key constituencies; which are our employees, clients, underwriters, communities and shareholders. Our business model is defined by local office leadership, decentralized sales, broking and client service functions and a centralized corporate back office for administrative and financial support. Based on revenue size, we are one of the top 20 insurance brokers in the United States and one of the top 5 bank affiliated insurance agencies. The Confidence of Business Security. Regions Insurance, Inc. is your single source for a wide range of business insurance services and products. We have the capability to provide property and casualty insurance, risk management services, employee benefits insurance and consulting services for any size business. Enjoy the confidence of having our extensive experience and resources supporting your business each day. BACKGROUND ■ 2009 Revenues of $112 Million • Over $1 Billion Written Premium — 2009 ■ Ranked 20th U.S. Insurance Broker & 4th Bank Affiliated Agencies • 80 Years of Insurance Brokerage Experience with Rebsamen Legacy • 645 Employees ■ 32 Offices in 8 States • Regions Financial - 8th Largest Financial Institution with over $ 143 Billion in Assets ■ Regions Insurance, 1465 E. Joyce Blvd., Suite 205, Fayetteville, AR 72703 A REGIONS INSURANCE, INC, Mamuer Flotom insurance Oroua REGIONS FINANCIAL CORPORATION AND ITS OPERATING SUBSIDIARIES Regions Financial Corporation Regions Mortgage Morgan Keegan Regions Insurance Group Response to RFP Regions Bank Regions Insurance Regions Claims Management Insurisk 2 A REGIONS INSURANCE, INC, Member beybone Inibro U %IN Part II — CONCEPT AND SOLUTION Regions Insurance Offers Total Cost of Risk Program Management ■ Knowledge of financial programs and insurance products ■ Local service team with specialized support • Access to global markets • Personal service tailored to your needs • Mutually agreed written service standards • Scheduled meetings to measure results • Pro -active development and implementation of strategic risk management plan • Client advocacy on claims and insurance carrier recommendations ■ Service of the City of Fayetteville account with respect and integrity 3 Response to RFP A REGIONS INSURANCE, INC. M¢mtle kation, Imu Noce Group • Market and place insurance coverages specifically for the City of Fayetteville Regions Insurance is a licensed insurance agent. We have contracts with many mainline admitted insurance companies. We also employ licensed brokers and surplus lines brokers who are permitted to place business with markets controlled by the various insurance departments as to form or rate. We have correspondent relations at Lloyd's and in Bermuda that give us access to this capacity. • How we market YOUR insurance program Regions Insurance works on a collaborative consulting method of risk placement. Our primary goal is to remain familiar with the City's current program, exposures and risk management philosophy. We will continue to do in-depth analysis of the exposures and the market while considering the City's expectations for the placement. A complete submission outlining the expected terms and coverage requirements providing detailed loss and exposure information will be prepared with your assistance. Underwriters will be contacted in a timely manner to facilitate the placement. A proposal will be returned to the City of Fayetteville outlining all results with an analysis of the various quotes or alternatives offered. This will be done for all lines of coverage. • Monitor published financial information of the City's insurers Regions Insurance monitors the financial strength of all its markets. Regions Insurance has set a minimum financial standard of AM Best A- VII for general insurance placements. Regions Insurance will look to develop specific standards for the City's placements. • Review and maintain copies of all the City's policies, etc. Regions Insurance reviews all policy documents for accuracy. The service team will review all polices, binders, endorsements and supporting information before delivery. A note will be made of any discrepancies and corrections ordered before delivery to the City. • Provide assistance in evaluating current property values Regions Insurance has loss control consultants that have expertise in providing insurance to value estimates for a wide range of industrial and commercial properties. The loss control consultant can provide both property surveys and replacement cost evaluation reports. • Conduct strategic planning sessions, etc. Regions Insurance staff has facilitated strategic planning sessions, lead enterprise risk evaluation analysis, developed criteria to evaluate programs and developed practices meant to identify the new challenges that arise for a publicly traded corporation. One tool used to help developing goal and strategies is Benchmarking. Regions Insurance has access to the Advisen benchmarking data base. • Review insurance company recommendations for feasibility Regions Insurance loss control consultants have many years experience in working with our clients and the insurance carriers to coordinate loss control activities between our clients and the insurance carriers and develop implementation plans for realistic insurer recommendations. The loss control consultants can provide risk identification surveys for property, general and auto liability and workers compensation; fleet safety evaluations; safety program reviews on auto, general liability, workers compensation and property loss control programs; safety training required by OSHA & safety manager training; safety committee consultations; and develop emergency response and disaster recovery plans. 4 Response to RFP A REGIONS INSURANCE, INC. Hemmer 141041 IRSurAnte OWu9 • Review and submit losses to appropriate carriers Regions Insurance account service team reviews all notice of claims for completeness and forwards them to the appropriate carriers. They will also maintain a monitoring system to follow up with the carrier and the client on any outstanding claim. ■ Analyze loss experience for frequency and severity trends Regions Insurance maintains loss analysis software that allows your account service team to develop loss trends, severity level analysis and can forecast for future losses based on appropriate exposure basis information. Regions Insurance loss control consultants have the expertise to review occurrence reports to develop recommendations that may reduce the number accidents and their severity. • Review alternatives and disadvantages of alternative programs Regions Insurance account service team reviews all proposals from carriers and outlines advantages and disadvantages of each. Regions staff has experience with captives, finite and blended finite plans, self insurance and fronted self funded programs and can work with the City of Fayetteville to find the optimal plan or combination of plans. ■ Assist in expediting, resolution and settlement of claims and coverage questions Regions Insurance has in-house legal staff that has experience in claims advocacy for our clients. They have been involved in the design of policy wording, interpretation of policy intent and direct claim settlement. Regions Insurance also has an adjusting company that can be utilized for direct claims adjustment where agreed with the carrier. ■ Provide the City of Fayetteville with consulting services on request The Regions Insurance staff has people with expertise in most aspects of alternative methods of risk financing and of insurance products. Our staff has prepared analysis of captive insurance companies, self insured programs, and fronted self funded programs with recommendations as to the feasibility for the client. Regions Insurance has software that helps in determining optimal retentions and routinely provides cost of risk analysis for our clients by line or on an overall account. Regions Insurance in-house legal staff is available to review all contracts, plan agreement letters, representations and plan prospectus. • Provide specified reports as requested by the City of Fayetteville It is Regions Insurance's practice to provide an overall Stewardship Report as often as the client requires. The report includes summaries of the policies and programs; summaries of claim activity; loss forecast and analysis; and a summary of the income Regions insurance receives in fees and commissions if not on a flat fee basis. Every project (program, renewal or study) will have a timeline with weekly updates on the progress of the project. 5 Response to RFP A REGIONS INSURANCE, INC. Member flegbnf irouranee Group How we would market your insurance program Regions Insurance works on a collaborative consulting method of risk placement. Our goal is to remain familiar with the City's current programs, exposures and risk management philosophy. We will continue to do an in-depth analysis of the exposures and the market and establish with the City of Fayetteville's expectations for the placement. A complete submission outlining the expected terms and coverage requirements providing detailed loss and exposure information will be prepared with the help of the City of Fayetteville. Underwriters will be contacted and face- to- face meetings either in major insurance centers or at the appropriate City of Fayetteville location will be arranged if it is deemed to facilitate the placement. A proposal will be returned to the City of Fayetteville outlining all results with an analysis of the various quotes or alternatives offered. We will present back to the City of Fayetteville's insurance design options based on what program type produces the lowest Total Cost of Risk (T.C.O.R.) by line of coverage. This would be done for all lines of coverage from Professional Liability to Property to Executive Risk. AREGIONS INSURANCE, INC. Memoe( Regions insurance Group sS L . and l .ya 3,"J ;Y Ls�C.arkx -'-F+ - Z+_ -,$. * :r+ir^ .ti .1� �7la x,� `4'*r ref R�� --r .. a '--'rf s y i:.>.,#r .it L"`!r`i. `i .ct �'" wt. r �w_.# jjjji3iY y, t w'• _ �t� rxti...._ r4 x;;.- Response � � � f to RFP III;Jt• PROPERTY $100,000,000 Policy Limit $10,000 Deductible RAILROAD PUBLIC OFFICIALS PROTECTIVE & EMPLOYMENT LIABILITY PRACTICES CONTRACTORS LAW LIABILITY EQUIPMENT ENFORCEMENT $5,000,000 PROFESSIONAL Each Occurrence $3,000,000 $1,000,000 LIABILITY Aggregate Policy Limit $5,000,000 $1,000,000 Aggregate $50,000 Deductible $10,000 Each Wrongful Act Each Wrongful Act Deductible $3,000,000 $50,000 Aggregate Each Employment Practices Violation $50,000 Deductible Response to RFP Secure Broker Begin Collecting Submit Provide Bind Issue Stewardship of Record Information for Final to the the City of Coverage Certificates Report Letter & Fee Submissions Markets Fayetteville of Insurance Agreement to Markets with Bindable Insurance Program Secure Broker Submit Provide Bind Stewardship to the the City of Coverage Report Markets Fayetteville with Bindable Insurance Program Begin Collecting of Record Information for Final Letter & Fee Submissions Agreement to Markets Response to REP Railroad Protective Liability newly written for the Arkansas & Missouri Railroad for the walking trail. Builder's Risk for the new building 140 W Rock, Fayetteville. AR — changed address to 176 Church Street, Fayetteville, AR. Added $25,000 Removed Added 176 Church Fine Arts to Terrorism Street to permanent property policy, coverage property insurance. from Professional Policies. Added 6::e c__ -_-.- Davis Pa. t t property''aura" te 2 _- - - Added Moon lightng Endorsement to Law Enforcement policy Deleted the same elephant. Rogers Group ^ ci,:. _ _ ..- = BradfordJenkins Water damage Wind damage Water Equipment Equipment g Eq. rent g to 1560 Happy damage to stolen. Stolen. vs City of damage fi'om s, t. alleged abuse in arrest. at 10 S College Hollow Road, Walton Arts Fayetteville ice storm Fayetteville, AR. Center. Claims Advocacy & Management Regions Insurance takes a very proactive approach to claims management. This is demonstrated in part by our ownership and support of a full service Third Party Administrator (TPA) and Independent Adjustment (IA) firm. Regions Claims Management sets us apart from most brokers and also functions as our claims department. Our firm is staffed with experienced adjusters, with significant multi -line claims experience. Regions Claims Management has over thirty (30) claims professionals with an average of twenty (20) years of claims experience per adjuster. Our property & casualty claims experience includes: professional liability, general liability, auto liability, property, kidnap and ransom, and pollution liability. We can provide the City of Fayetteville with designated claims personnel who can assist with expert claims knowledge in the most difficult and complex claims scenarios, including high exposure losses and coverage issues. Professional Liability: Our dedicated Claims Advocacy team boasts over twenty-five (25) years of professional liability claims handling experience. Therefore, the initial claims investigation is one of the most important aspects of handling a professional claim. Our team can assist the City of Fayetteville with any questions or problems, which may arise, in a professional liability claim, from the initial investigation and coverage issues through settlement/resolution of the claim. Property: Our Third Party Administrator, Regions Claims Management, has a list of experienced and qualified General Property Adjusters, who have significant experience in handling property claims for major insurance carriers. Regions Claims Management has a strong relationship with the agreed upon adjustment and we feel this would benefit the City of Fayetteville in all aspects of a property claim, from the initial investigation and coverage analysis to the settlement and resolution of the claim. In summary, our proactive approach to claims management is demonstrated by our commitment of having the best claims personnel available to the City of Fayetteville. Our claims staff is on a par with the highest level of claims professionals, insurance carriers and Third Party Administrators have to offer. This is an invaluable benefit to the City of Fayetteville when there is a significant claim. AREGIONS I0 INSURANCE, INC. Vemner Regions Insurance Group Regions Insurance has Staff Attorneys for the City of Fayetteville ■ Review insurance and indemnity wording in contracts and provide suggested changes to help you mitigate risk or transfer risk ■ Advocate on the behalf of the City on claims where the carrier and the City are not in agreement on the claim ■ Provide coverage analysis for the City ■ Assist you in alternative wording that may be needed in their insurance policy • Assist the City in large and/or complex claims with the carrier ■ Review out of the ordinary wording on certificates that may be requested by another company ■ Provide other legal help as may be requested by the City Legal Advocacy Services - One of the most unique services at Regions Insurance is our legal advocacy service. While most brokers will provide legal contract review and assistance with difficult claims and/or coverage disputes, these services are rarely provided by professional attorneys. In fact, you will usually find that these services are provided along with a waiver encouraging clients to 'get a legal opinion'. Our legal department is staffed by two attorneys who are involved with our clients on a regular basis providing legal advice regarding claims, coverage and contractual obligations. This service also puts us at an advantage when it comes to analyzing coverage issues and comparing new policy forms. AREGIONS INSURANCE, INC. Member Regions Insurance Greup Loss Control/Safety Management Services Regions Insurance will provide loss control services for the City of Fayetteville using our in-house staff located in Little Rock, Arkansas. Regions Insurance has experience with the loss control/safety issues the health care industry faces. We provide loss control/safety management services to various municipalities located throughout the mid -south. General: ■ Regions Insurance reviews all existing safety programs and makes recommendations as warranted. • Regions Insurance reviews loss runs quarterly looking for trends and offers recommendations and implementation plans based on our findings. • Regions Insurance will provide the City of Fayetteville with access to Zywave/Mywave, which is a portal providing the latest in loss control and safety, including industry "Best Practices". Services per Line of Coverage: Property- ■ Regions Insurance will coordinate the property insurance company's loss control surveys and respond to recommendations as submitted. ■ Regions Insurance will conduct property replacement surveys to help determine the current replacement values of all major facilities owned by the City of Fayetteville. Please see the following examples of Building Valuation Report and RiskMeter.com, that helps determine risk for specific property. AREGIONS 12 INSURANCE, INC. Member Reg,pns insurance Group Commercial Building Valuation Report Travelers Policy: ESTIMATE -394841 7/23/2010 INSURED City of Fayetteville Effective Date: 10/01/2010 113W Mountain Expiration Date: 10/01/2011 Fayetteville, AR 72707 Cost as of: 03/2010 BUILDING Administration Office 113W Mountain FAYETTEVILLE, AR 72701 Location Adjustments Climatic Region: 2 - Moderate High Wind Region: i - Minor Damage Seismic Zone: 1 -Minor Damage, Distant Earthquakes SECTION 1 SUPERSTRUCTURE Occupancy: Construction Type: Gross Floor Area: Construction Quality: Adjustments Hillside Construction: 100% Office, Low -Rise, Older 100% Masonry (ISO 2) 36,000 sq. ft. 2 - Average Degree of Slope: Level Site Position: Unknown Fees Architect Fees: 7% is included Profit and Overhead: 20% is included Story Height: 12 ft. Number of Stories: 4 Irregular Adjustment: None SUMMARY OF COSTS Reconstruction SUPERSTRUCTURE Site Preparation 1,415 Foundations 99,321 Foundation Walls, Interior Foundations, Slab On Ground Exterior 1,007,800 Framing, Exterior Wall, Structural Floor, Roof Interior 568,914 Floor Finish, Ceiling Finish, Partitions Mechanicals 1,005,915 Heating, Cooling, Fire Protection, Plumbing, Electrical, Elevators Site Accessibility: Excellent Soil Condition: Excellent MSIB ms/s500/de labor end mate/el, nomtel profit and overhead aad date dreport. Coos represent general estimates which are no to be coeodemd adetalletl quanutysurvey. TM1ese mSslndutle generalhles end assumptions that aremmmon tothetyresd structures represented In the software. 152010 Marshall & Swift/Boeckh, LLC and its licensors Standard 13 BVS-C Commercial Building Valuation Report Travelers Policy: ESTIMATE -394841 7/23/2010 Built-ins 172,279 SUBSTRUCTURE Basement 846,831 TOTAL RC SECTION 1 $3,702,474 TOTAL RC BUILDING Administration $3,702,474 Office Reconstruction sq. ft. VALUATION GRAND TOTAL $3,702,474 48,000 $77.13 MS/B costs lncNtlekMrand rester/al, nor/cal profit and ovemeatl usddate of ,err. Casts represent general estimates which arena to be COnslaeretl adetailed geenYly survey. These cogs induao generelllles and assumptions lhal ere oamrnan to m.,ypesol slrvderes represented In the wfiware. © 2010 Marshall & Swift/Boeckh, LLC and its licensors Standard I n BVS-C RiskMetercom The Gr4hne $erwce rp fpr1crrn 4wfQ m.fed Prpparly Roppris The RiskMeter Test Results For: 113W Mountain St, Fayetteville,AR 72701 Geocoding Accuracy: S5 Matched to Street Address (Best) Original Input Address: 113W Mountain St, Fayetteville,AR 72701 Flood Zone Determinations SFHA Within 250 feet of multiple flood zones? Out No Map Number 05143CO220F Community Community_Name Zone Panel Panel_Dte COBRA 050216 FAYETTEVILLE, CITY OF X 0220F 20080516 COBRA_OUT FIPS CensusTract 05143 0108.00 Copyright 2000, First American Flood Data Services. All rights reserved. Flood Elevation SFHA Distance to Edge of Flood Zone Elevation Estimated Height Above BFE Out 1500-1600 ft 1417 107 Estimated Flooded Water Depth BFE BFE Source DNA* 1310 CDS Community Community_Name Zone Panel Panel_Dte COBRA 050216 FAYETTEVILLE, CITY OF X 0220F 20080516 COBRA_OUT Tornado Exposure Index Tornado Scale Tornado Percentile Storms Per Year Tornado Score 6 54 0.20 2 -Average Risk Distance to Earthquake Faults Distance to Closest Earthquake Fault Within 1 Mile I5 / w+ W EouIt WLtftjLsE .St ►�t- 1l..: St W Z's'�yb , : L fayetth S : 1180.', --T Arkansas Dick�nn St ` E Dickson[kSt > I , Spring 8t E Spring .$t ' C nt r-. fit; ubj�ct Fare#telle a: z :. . U dgers Dr - -, 18! '''' _....-. E :RQCk i. 'V Stun _ fit- p us i . 74.1. 1 - J th, ;St Rd _. €!20i0.Mibsa 4ftC�tp 200 �VTEQ,andf rTglt(iI s I - Flood Outside 100 Year Floodplain Inside 100 Year Floodplain A REGIONS 16 INSURANCE, INC. Membe Regions Insurance Group Flood Zones MGM OWMI c f the i oa- am SOo-yrear f�o�o eilrks Ares kxrdMed fir +b -ye r Aoading l ass WarMdaIad by 1t year flaadIng Arm i rnM*d by IMy.ar f1o0ding with vloeUy hid Fla4 * e arias F1odiirey areas VAh vslociR hazard PS6s 4f Isrmin.d W s N flogs hazards � s u not mlppd an a Pull had FIFA Tornado Legend Tornado Score 0- No Risk 1- Low Risk 2 - Average Risk 3 - Elevated Risk 4 -High Risk 5 - Extreme Risk Earthquake Faults 111 Fault Line Description Ho Storms 5 + years between tornadoes 2 to 5 years between tornadoes I to 2 years between tornadoes I to 2 tornadoes per year More than 2 tornadoes per year A REGIONS 17 INSURANCE, INC. Member Regions Insurance Group Part IV— ACCOUNT TEAM PERSONNEL Regions Insurance Team The Regions Insurance team members responsible for the placement, management and claims handling for the City of Fayetteville have over 125 years of experience combined. A large portion of that experience is with large complex placements including medical malpractice coverage, large property schedules and executive risk coverages. Regions Insurance is very fortunate to have knowledgeable and experienced people as the leading resource benefiting our clients. Whether it's hiring seasoned risk managers from Fortune 500 clients or experienced claims personnel away from our carriers. We are constantly looking for people that we identify as having exceptional talent in their specific field and bringing them to the Regions Insurance team. We take pride in providing our employees with a superior work environment including a generous benefits program. This results in low turnover therefore assuring the City of Fayetteville that the team members they work with today will be the same members years later. AREGIONS 18 INSURANCE, INC. Member Regions Insurance Group Response to RFP Account Executive Eric Herget Management Liaison Fred Stone, CEO • Property & •Claims Legal & SureLoss Control Account Mgmt. •Casualty •Management • FinPro Contract. Review ty Gina Williams •Marketing • Jeff Johnson • Rick Warner• Kristen Minton •Brenda Smith •Jim Moorhead • Amanda Campbell • jenny Bradford a ► REGIONS INSURANCE, INC. Member Regions Insurance Group 1465 E. Joyce Blvd., Suite 205 - Fayetteville, AR 72703 - 479-684-5250 Contact Name Title Office/Cell Number Fax Number Email Eric Her et g Senior Client Exec. 501.661.4833 O 501.519.0955 C 501.748.3842 eric.herget@regionsinsurance.com Gina Williams Account Manager 479.684.5250 O 501.748.3926 gina.williams@regionsinsurance.com 479.287.9738 C Jody Styles J y Legal 501.660.7140 O .. 5019788450 od re I y's �'les ionsinsurance.com g 501.580.4484 C Jeff Johnson Claims Management 501.660.7130 O 501.748.3968 jeff.johnson@regionsinsurance.com 501.539.0008 C Jim Moorhead Loss Control 501.661.4849 O 501.978.8475 jim.moorhead@regionsinsurance.com 501.680.3480 C Amanda Campbell P P & C Marketing 501.660.7146 O 501.574.1897 C 501.978.8578 amanda.campbell@regionsinsurance.com Jenny Bradford FinPro 501.661.4889 O 501.748.3870 jenny.bradford@regionsinsurance.com 501.590.5615 C Rick Warner FinPro 501.660.71560 501.748.3975 ricky.warner@regionsinsurance.com 501.539.0027 C Kristen Minton Legal g 501.660.71480 501.748.3900 kristen.minton@regionsinsurance.com 501.993.5886 C Brenda Smith Surety 501.661.4942 O 501.978.8434 brenda.smith@regionsinsurance.com 20 Eric Herget, Senior Vice President. Eric began his career with Arkansas Power & Light Company in design engineering for single and 3 -phase distribution systems and was later moved to customer service manager for Entergy Arkansas and then into marketing. He worked for Entergy Claims Management and began the move of working in the Risk Management field. Eric managed the GL/AL claims process for Entergy Arkansas and the small claims process for Entergy Corporation. In 1995, Eric moved to Sedgwick where he joined their Global Power team. After the Sedgwick/Marsh merger the next stop was to a regional bank owned brokerage with their primary office in Little Rock. Five years later, Eric joined Rebsamen Insurance, now Regions Insurance, and was named the Downstream Energy Industry Lead for all Regions Insurance offices. Eric is often in the London and Bermuda markets and is experienced in working with the industry mutuals and is involved in the claims process for clients. Other areas of expertise include risk management services for state, county and municipal government. Manufacturing is also a specialty. Eric is Senior Vice President of Regions Insurance Group, 45 years old and married with 4 children. He also serves on various boards and commissions. He is an Arkansas native and a graduate of the University of Arkansas. Gina Williams, Account Manager. Gina has worked in the insurance industry since 1984, receiving her Arkansas License in 1985. She has been with Regions Insurance since March, 2007. Her specialty is commercial lines of insurance, with experience in personal lines also. Gina obtained the Certified Insurance Counselor designation within two years. She also holds a Certificate in General Insurance from the Insurance Institute of America. Gina is a lifetime resident of the state of Arkansas. She lives in Fort Smith with her 10 year old Shih Tzu dog, Sammie, and her 21 year old daughter when she's home in the summer. She is very active in her church, enjoys dancing, exercising, and movies. Jeff Johnson, Claims Account Manager. Jeff joined Regions Insurance in December 2007. Jeff has sixteen (16) years of claims handling experience with large insurance companies. Jeff started his claims career at Travelers, he moved to Liberty Mutual, where he adjusted property and workers' compensation claims in multiple jurisdictions for over eleven years. Jeffs primary focus is claims advocacy for several of Regions Insurance producers. His job responsibilities include: developing strong working relationships with claims account service managers for various insurance companies, monitor and manage complex claims and coordinate and participate in claims reviews for our risk management accounts. Jeff graduated from the University of Central Arkansas with a Bachelor of Business Management Degree in May 1991. REGIONS INSURANCE, INC. Member Regions InswdnCe Ero,P Jim Moorhead, Senior Vice President of Risk Management Services and Loss Control. Jim is a Certified Hazard Control Manager, Certified Hospital/Health Care Safety Professional, Certified Occupational Safety and Health Technologist and holds degrees from Indiana State University in Safety Management (B.S.) and Kennedy -Western University Master in Business Administration (MBA) and an Associate in Risk Management for the Insurance Institute of America. Jim is experienced in the development and monitoring of risk control programs including risk management policies and procedures, safety training, ergonomic studies, fire protection and environmental controls. Jim has much recognition in safety related fields. He is the past president of the Arkansas Chapter of the American Society of Safety Engineers, Member of the Industrial Hygiene Association, National Safety Management Society, National Fire Protection Association, Board member of the Ozark Chapter National Safety Council, board member Arkansas Chapter Associated General Contractors of America and former chairman of the Little Rock Safety Commission. Vocal about his field, Jim is often engaged as a public speaker on the subject of safety management and current issues. Jim writes articles that are published in two professional publications monthly. In addition, Jim has held the position as Adjunct Professor of Engineering University of Arkansas School of Operations Management at the Little Rock Air Force Base. Past accomplishments include Arkansas Safety Professional of the Year, Who's Who in Safety, and Regional Vice President for Professional Development, American Society of Safety Engineers. Amanda Campbell, Property & Casualty Marketing. Amanda joined the Regions Insurance Marketing Department in 2008 with her primary focus on marketing middle market and risk management accounts. Her additional responsibilities included developing strong working relationships with various insurance company underwriters and principals. Amanda started her insurance career with Marsh USA in Dallas, Texas where she was an Assistant Vice President in their Middle Market Department. She moved to Little Rock to lead the marketing department for a startup property and casualty agency before joining the Regions team. Amanda has earned her General Insurance Designation and the Associate Risk Management Designation from the AICPCU and well as taken several classes towards earning the Associated in Claims designation as well as the Certified Insurance Counselor designation. Amanda graduated with her Masters in Business Administration from Texas A&M in 2007. She graduated from Southern Methodist University in Dallas, Texas with a Bachelor of Business Administration in Management Information Systems in 2002. Jenny B. Bradford, J.D., Vice President Financial Products. In January 2006, Regions Financial Corporation (RFC) promoted Ms. Bradford within. She began working with Rebsamen Insurance, a wholly owned subsidiary of RFC, as an internal specialist in the professional lines of insurance. She has an undergraduate degree in Journalism and Political Science from the University of Arkansas and a furis Doctor degree from the University of Arkansas at Little Rock. In addition to her law license, she holds Series 7, Series 63 and State of Arkansas Insurance licenses. Ms. Bradford continues to remain active in the legal community by maintaining the required continuing legal education for an active attorney's license and participates continuously in management liability insurance training. Ms. Bradford has over eight years experience in the financial services industry. She first joined RFC in 2003, initially working in the Trust Department specializing in retirement services. Prior to working for RFC, she worked for Bank of the Ozarks Trust Department as Vice President of Retirement Services and UBS PaineWebber as a Financial Advisor and Insurance Coordinator. Ms. Bradford primarily works with publicly traded companies ranging in size. Ms. Bradford is a member of the Arkansas Bar Association and is the past membership chairman for the Harvesters, benefiting the Arkansas Foodbank Network. She also works with the Arkansas Chapter of the American Red Cross as a member of Club Red. Ms. Bradford is a member of St. James United Methodist Church. A REGIONS INSURANCE, INC. Member Reg+On$ in3urarlCq Group Rick L. Warner, Senior Vice President. Rick works with executives and their boards throughout the United States, treating and managing their various and unique executive risk insurance management needs. Rick has over 30 years of experience in the executive risk and financial services industries and currently serves as Regions Insurances Executive Risk Division's Practice Leader. Prior to joining Regions Insurance, Rick served as a Senior Vice President and Executive Risk Practice Leader at Apex Global Partner, USI Southwest at Summit Global Partners, Inc. Rick also served as a national executive risk specialty resource with several major global insurance brokers. As Practice Leader of Regions Insurance's Executive Risk Services Division, Rick assists and supports all of Regions Insurance's offices nation-wide with executive risk products and services. Products and services include, but or not limited to, conducting and/or participating on various educational seminars, product design, marketing, risk consulting and claims management, as they apply to directors & officers liability, employment practices liability, general / limited partnership liability, errors & omissions, crime, ERISA fiduciary liability and kidnap -ransom or extortion coverage. Rick has extensive experience and expertise pertaining to due diligence, mergers& acquisitions, initial and secondary public offerings as it pertains to these lines of coverage. Specialty industries include banking, oil & gas, aviation, private investment/venture capital, as well as biotech/pharmaceuticals, technology and various types of healthcare entities. Rick is a graduate of Baylor University and Mississippi College. Kristen Minton, Vice President and Associate General Counsel. Kristen has BBA with a major in Accounting from the University of Central Arkansas and a Juris Doctorate degrees from the University of Arkansas at Little Rock. Kristen obtained a master of laws in taxation with a certification in employee benefits from Georgetown University Law Center. For approximately five years Kristen worked for Friday, Eldredge & Clark, LLP as an associate attorney in the tax and benefits department. She consulted with clients on various tax and employee benefit issues. She advised clients who were audited by the Internal Revenue Service and Department of Labor. She drafted plan documents for retirement and health and welfare benefit plans. In 2006, Kristen left Friday, Eldredge & Clark, LLP to join Regions Insurance, Inc. as Associate General Counsel and is acting as a claims advocate and legal resource for clients of Regions Insurance, Inc. and its affiliates. Brenda Smith, Surety Representative. Brenda has over 30 years of experience in the insurance industry. Brenda began her insurance career in 1977 with Travelers Insurance. Over her 25 years with Travelers she held positions of Underwriting Specialist and Lead Account Collector. She joined Regions Insurance in 2003 and has over 6 years experience working in the Surety sector. In an effort to increase her knowledge in the Surety sector she has attended the NASBP Surety School. Brenda has also won numerous awards over her career. In 2009 she was chosen for membership to the prestigious Presidential Council for her dedication and client service excellence. A REGIONS INSURANCE, INC. Member Regions Insurance Gioup City of Fayetteville RFP 10-04, Insurance Brokerage & Consultation Services SECTION C: Vendor References The following information is required from all Proposers so all proposals may be reviewed and properly evaluated COMPANY NAME: Regions Insurance Group BUSINESS ADDRESS: 1465 E. Joyce Blvd., Suite 205. Fayetteville, AR 72703 NUMBER OF YEARS IN BUSINESS: 80 HOW LONG IN PRESENT LOCATION: 80 TOTAL NUMBER OF CURRENT EMPLOYEES: 645 FULL TIME PART TIME NUMBER OF EMPLOYEES YOU PLAN TO USE TO SERVICE THIS CONTRACT: 12 FULL TIME _ PART TIME PLEASE LIST LOCAL COMMERCIAL AND/OR GOVERNMENTAL REFERENCES THAT YOU HAVE PREVIOUSLY PERFORMED SIMILAR CONTRACT SERVICES FOR WITHIN THE PAST FIVE (5) YEARS (All fields must be completed): 1. City of North Little Rock/North Little Rock Electric 2. City, Water& Light Plant of the City of Jonesboro COMPANY NAME COMPANY NAME North Little Rock, AR 72119 Jonesboro, AR 72043 CITY, STATE, ZIP CITY, STATE, ZIP Joe Smith Larry Thompson CONTACT PERSON CONTACT PERSON 501-975-8880 870-930-3341 TELEPHONE TELEPHONE 501-975-8885 870-935-5581 FAX NUMBER FAX NUMBER jsmith@northlittlerock.ar.gov Thompson@jonesborocwtorg E-MAIL ADDRESS E-MAIL ADDRESS 3. University of the Ozarks COMPANY NAME Clarksville, AR 72830 CITY, STATE, ZIP Darrell Williams CONTACT PERSON 479-979-1207 TELEPHONE 479-979-1355 FAX NUMBER dwwillia@ozarks.edu E-MAIL ADDRESS 4. Central Arkansas Risk Management Association COMPANY NAME Little Rock, AR 72201 CITY, STATE, ZIP Timothy J. Miles CONTACT PERSON 501-379-1118 TELEPHONE 501-372-3300 FAX NUMBER timothy@aristotle.net E-MAIL ADDRESS City of Fayetteville, AR RFP 10-04, insurance Brokerage & Consultation Services Page 15 of 25 Part VI— AUTHORIZED NEGOTIATOR Please see attached, completed Authorization Negotiator form. AREGIONS 22 INSURANCE, INC. Member Revue..% 1h$Uf nce GrOp City of Fayetteville RFP 10-04, Insurance Brokerage & Consultation Services SECTION E: Authorized Negotiator Information — To Be Submitted With ALL Proposals At the discretion of the City, one or more firms may be asked for more detailed information before final ranking of the firms, which may also include oral interviews. NOTE: Each Proposer shall submit to the City a primary contact name, e-mail address, and phone number (preferably a cell phone number) where the City selection committee can call for clarification or interview via telephone. PART I: Primary Contact Information: Name of Firm: Regions Insurance Group Name of Primary Contact: Eric Herget Title of Primary Contact: Senior Vice President Phone#1 (cell preferred): 501-519-0955 Phone#2: 479-684-5250 E -Mail Address: eric.her et re ionsinsurance.com PART 2: Contact for Legally Binding Contracts: Is the primary contact (listed in Part I) able to legally bind contracts? NO {circle one) If no, please list contact that can legally bind a contract for the firm: Name: Title: Phone#1 (cell preferred): E -Mail Address: Date: 812110 Signed: Phone#2: City of Fayetteville, AR RFP 10-04, Insurance Brokerage & Consultation Services Page 17 of 25 Part VII— COST PROPOSAL Our compensation is derived from our experiences in managing other property risks that closely resemble those of the City of Fayetteville not only in size but in complexity. All the services that we have outlined in our proposal are included in our risk management fee. Below is a summary of the essential components of our services. The majority of our expenses are generated during the marketing and negotiations of your account placement. Time, travel and expenses to meet with underwriters and management of insurance carriers is included in our fee. This would include their additional time as the core group who will manage the City of Fayetteville's insurance program throughout the year. Eric Herget will continue to manage the task of gathering the specific property information to prepare comprehensive property assessments on your high value properties. These assessments are key to our ability to communicate to underwriters the attributes of the City of Fayetteville's property exposures. Our annual risk management fee is $14,000. There are no penalties for early termination. A REGIONS 23 INSURANCE, INC. Member Regwns Insurance Group Part VIII — PROOF OF INSURANCE Enclosed with this section, you will find Certificates of Insurance for Regions Insurance. Please note That on the Errors & Omissions certificate, the limit is actually greater than $5,000,000, and can be provided if you so require. Also included is a copy of the current Arkansas license for Eric Herget. Licenses for other team members are available upon request. A REGIONS 24 INSURANCE, INC. Member Reg:ens Insurance Group State of Arkansas Arkansas Insurance Department HERGET, WALTER ERIC IS LICENSED TO ENGAGE IN THE BUSINESS•QF INSURANCE IN THE STATE OF ARKANSAS IN THE CAPACITY STATED BELOW, SUBJECT TO APPLICABLE LAWS AND RULES. LICENSE NUMBI R 29870 LICENSE TYPO • EFFgCTIVE DATE ReAdebt Prodecer 9/812010 QUA�4FjCAYION$°.. ' . ` ' EXPIRATION DATE CAS, i' t4P, 6I3 MAR - �., 09/0112011 Mike Beebe Jay Brad ord Governor Insurance Commissioner State of Arkansas Arkansas Insurance Department Mike Beebe, Governor Jay Bradford, Insurance Commissioner AREGIONS 25 INSURANCE, INC. Member Regionn insurance Group ACORD,. CERTIFICATE OF INSURANCE ISS0EDATE 1,1psJ2009 PRODUCER This certificate is Issued as a matter of information only and confers no rights upon the Certificate Holder. This Certificate does not amend, extend or slier the coverage afforded by the policies below. COMPANIES AFFORDING COVERAGE Company XL Specialty Insurance Co. INSURED Regions Insurance, Inc. 1500 Riverfront Drive Little Rock, AR 72202 Company B Company Company Commpmany This is to certify that the policies of Insurance described herein have been issued to the insured named herein for the policy period indicated. Notwithstanding any requirement, term or condition of contract or other document with respect to which this certificate may be issued or may pertain, the insurance afforded by the policies described herein is subject to all the terms, conditions and exclus₹ons of such policies, Limits shown may have been reduced by paid claims. CO TYPE OF INSURANCE POLICY NUMBER EFFECTIVE EXPIRATION LIMITS OF LIABILITY GENERAL LIABILITY ❑ Dommerdet r:ienerei Uabikly ❑Germs Made ❑ 0omwance ❑ Owners` endOmlredare' Pmlecllan ❑ ❑ ley PProject❑i ©Pdlp—aay LJ re�gale ums "ggue n EACH OCCURRENCE $ FIRE DAMAGE $ MEDICAL EXPENSE $ PER$.ANDADVERTISING INJURY $ GENERAL AGGREGATE $ PRODUCTS AND COMP. OPER. AGG. $ AUTOMOBILE LIABILITY ❑ AnyAulanM* ❑ All Owned Automobiles ❑ SchetluledArsanoarei ❑ Fired Aetoww O AnnawnedAurunndlea 0 COMBINED SINGLE LIMIT $ BODILY INJURY ar O $ BODILY INJURY Pe acct n $ PROPERTY DAMAGE tPetscddentj$ COMPREHENSIVE COLLISION WORKERS' COMPENSATION AND EMPLOYERSLIABILITY wc Statutory umitLLotoer EL EACH ACCIDENT $ ELDISEASE (Each I $ EL DISEASE (Policy f I $ EXCESS LIABILITY ❑Omunence ❑cwmsMeae EACH OCCURRENCE $ AGGREGATE $ A BANKERS PROFESSIONAL ELU114131 11/04/2008 11/04/2010 $ $ $ $ Inlcudes Insurance Agents Errors & Omissions Coverage. Regions Insurance, Inc. Offices In LIdle Rock, Fayetteville, and Fort Smith, Arkansas, Springfield, Missouri, Texarkana and Waco, Texas are Included under this policy, $260,000 Deductible for Insurance Operations. CERTIFICATE HOLDER For Information Only pa SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES. Authorized Representative a a of 1 csrlisesmlD# HGC$3AQD -if CERTIFICATE OF LIABILITY INSURANCE OP ID TO =07/23/10 REGIO01 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Regions insurance, Inc. (LR) 1500 Riverfront Drive HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Little Rock AR 72202 Phonei501-661-4800 Faxs501-666-9592 INSURERSAFFORDINGCOVERAOE NAIC# INSURED INSURER A: Tom Co of tb. state o! Taen 19429 INSURER B: S ioe firs lea Co Pitt PA Regions i a Cia1Z Corporation & Its Su aid antes Ilro AL039288C 9 _Ball INSURERC: Row Ham AhirO Insuranca Co 23841 INSURERD: Hidxast replayars Casualty Coe 23612 INSURER E: gham COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECTTO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. D[[ y EFFECTWE 'DUCT EXPIRATION LTR NSR TYPEOFINSURANCE POLICYNUMBER ATE0M D T MMIDD UNITS A GENERAL LIABILITY X COMMERCIAL GENER�A�L, L�IABILITY 6506372 10/01/09 10/03./x0 EACHOCCURRENCE $1,000,000DCI SD PREMIS S�i:aaccuence] $1,000,000 CLAIMS MADE ti OCCUR Il MEO ESP (Any one p&ICn) $ PERSONAL&ADVINJURY $1,000,000 GENERAL AGGREGATE $3,000,000 GENL AGGREGATE LIMIT APPLIES PER: PRODUCTS -COMP/OP AGO $ 3, 000, 000 X POLICY JET LOC A AUTOMOBILE LIABILITY X ANYAUTO 6647286 10/01/09 10/01/10 COMBINED SINGLE LIMIT (Eaacddent) 51,000,000 BODILY INJURY {Perperaan► $ ALL OWNEDAUTOS SCHEDULEDAUTOS BODILY INJURY (Peraoddent) X HIRED AUTOS X NON•OWNEDAUTOS PROPERTY DAMAGE (Per acddent} GARAGE LIABILITY AUTO ONLY-EAACCIOENT $ OTHERTHAN FAACC AUTO ONLY: AGO $ ANY AUTO $ EXCESS I UMBRELLA LIABILITY EACH OCCURRENCE $10,000,000 B X OCCUR ❑ CLAIMSMADE 14227885 10/01/09 10/01/3.0 AGGREGATE $10,000,000 $ DEDUCTIBLE $ X RETENTION S 1M A D W RKE COM NATION AND EMPLOYERS' LIABIUTY YIN ANYPROPRIETORIPARTNERIEXECUTIV OFF109RWEMBER EXCLUDED? (Mandatory In NH) 4289217 EWC007861 10/01/09 10/01/09 10/01/10 10/01/10 WCSIATU' 0111- X TORY LIMITS ER E.L. EACH ACCIDENT $1,000,000 V.L. DISEASE -EA EMPLOYE $1,000,000 H yes, desalbe under SPECIAL PROVISIONShelow E.L. DISEASE -POLICY LIMIT $1,000,000 OTHER DESCRIPTION OF OPERATIONS 1 LOCATIONS I VEHICLESI EXCLUSIONS ADDED BY ENDORSEMENTISPECIAL PROVISIONS Certificate holder is additional insured on General Liability as required by contract. Regions Insurance, Inc. is included as named insured on this policy. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORETHE EXPIRATION CIOFFAI DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY FOND UPON THE INSURER, ITS AGENTS OR City of Fayetteville 113 west Mountain REPRESENTATIVES. AUTHORIZED REPRESENTATIVE Fayettevile AR 72701 ACORD 25 (2008101) i$ TES$ 2009 ACORO CORPORATION. All ngnte I'eservea. The ACORD name and logo are registered marks. of ACORD i ��, taws CITY COUNCIL AGENDA MEMO To: Mayor and City Council Thru: Paul Becker, Finance & Internal Services Director From: Peggy Vice, Purchasing Manger Date: October 5th, 2010 Subj: Insurance Broker of Record Services Contract RFP 10-04 Insurance Broker of Record Services selection committee members were Adella Gray, Kit Williams, Officer Kenny Yates, Peggy Bell and Peggy Vice. Selection criteria for the RFP was based on the following: 20% Qualifications 20% Experience, Competence and Capacity for Performance 20% Proposed Method of Doing Work 30% Past Performance 10% Price Proposals were received from six (6) respondents. Fees ranged from $13,000 to $95,000. Regions Insurance was unanimously selected by the committee with Eason Company selected in second place. Regions has been an excellent company to work with. They have kept our rates down and obtained a rate decrease in 2010 even with the $300,000 plus hangar fire and losses from the ice storm in 2009. Regions worked hand in hand with Accounting and Purchasing Divisions to handle the losses from the ice storm. They played a big role in assisting the City to put together the information required by FEMA to get reimbursed for the losses not covered by the City's insurance. Regions Insurance has attorneys on staff to assist the City with any claims issues that may come up. Last year they assisted the City in obtaining coverage for a claim that had been denied coverage by the underwriter. They performed this service at no additional charge to the City. Regions Insurance is rated 20°i US Insurance Broker in the United States with $1 Billion USD in premiums in 2009. This gives them more negotiating power for the City when negotiating the City's insurance rates. Their office is located on Joyce Blvd with 30 or more employees.