Newsletter

Changes to the Memorandum of Coverage – Liability Program

Throughout each coverage period, staff continually evaluates the Authority’s Memoranda of Coverage for sections that should be considered for clarification, amendment, or change. These changes accomplish the goal of providing an easy to follow, fair coverage document for the Authority’s membership.

On June 23, 2021, the California JPIA Executive Committee approved revisions to the Memorandum of Coverage – Liability Program, as follows:

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Page 3-4 – Protection Limit; Additional language was added to clarify how coverage will be applied when faced with an employment claim spanning multiple coverage periods. This is also reflected on Page 3 of Endorsement 2 for the excess liability program, and it also clarifies application of the member retained limit.

Page 15 – Definition of Weapon; Created definition for new term in the MOC.  Necessary for inclusion of new Exclusion “GG” for weapons in the workplace.

Page 16 – Exclusion “E”; Add additional language to the exception to the exclusion for inverse claims to include fire, sewer backup and construction activities due to recent claims and our intent that matters such as that be covered.

Page 20 – Exclusion “P”; Added to the exclusion to include claims for “by-district” or “at-large” elections.

Page 21 – Exclusion “W”; Added a new exclusion relative to claims by member employees or councilpersons for expenses incurred in defending administrative actions.

Page 24 – Exclusion “GG”; Added a new exclusion relative to claims that involve weapons in the workplace, unless it is involving an employee that is certified by POST to carry a weapon as part of their job duties.

Page 25 – Protected Party’s Duties in the Event of an Occurrence or Claim; Added language to confirm that failure to adhere to these duties may result in a denial or recission of coverage, and that the Executive Committee governs that process.

Endorsement 1; Added clarification that the most the Authority will pay for the Organic Pathogens sublimit is $1,000,000 in the primary liability program and $1,000,000 in excess of the member retained limit in the excess liability program. We have created this Endorsement in order to address the exposures related to COVID 19 and limit the Authority’s exposure.

You can access the current Memorandum of Coverage – Liability Program on our website. Your agency’s personalized Memoranda of Coverage and Program Certificates for 2021-22 are available for download. Members can go to cjpia.org, then click on Coverage and then Memoranda of Coverage. Log in to land on your agency’s Organization page in our Member Portal and have access to this year’s Memoranda and Program Certificates.

If you have any questions about coverage related issues, please contact Paul Zeglovitch at pzeglovitch@cjpia.org or (562) 467-8786.

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