Special District Risk Management Authority offers a straightforward, uncomplicated program for special districts and other public agencies. Coverage documents are broad form manuscript policies written on an “occurrence form” to ensure the highest level of coverage and maximum protection of assets for governmental entities providing municipal services. Established in 1986, this program has a proven reputation for stable, competitive rates, actuarially based fiscal management, and sound underwriting practices.

* Pooled Coverage available up to $10,000,000 per occurrence. SDRMA may purchase additional coverage above $10,000,000 on behalf of the member at the member’s request.

This information is provided as a general description only, and is not intended to supercede specific policy documents. In the event of a conflict in language, the policy(s) will be the controlling document.

Eligibility Requirements

SDRMA’s Property/Liability Program membership eligibility requirements include:

• Be a public agency formed under California Government Code
• Execute the SDRMA Joint Powers Agreement
• Commit to an initial three-year member enrollment (thereafter coverage may be renewed annually)
• Maintain annual membership in California Special Districts Association (CSDA)

General Liability

Coverage for claims and losses arising from third-party personal injury, bodily injury and property damages. Coverage includes: subsidence (associated with main leaks and breaks), sudden & accidental release of chlorine, water and wastewater as a completed product (not pollution), failure to supply, sewer overflow/backups, hazardous material loading/ unloading, volunteer/ employees, and inverse condemnation and dam failure liability (by endorsement). There are no general liability policy sub limits. Limits: $2,500,000 to $10,000,000 per occurrence; no annual aggregate. Deductible: None; $500 (property damage only).
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Automobile Liability

Auto liability coverage protects members from lawsuits for bodily injury and property damages to the public arising out of ownership, maintenance or use of a covered vehicle. Coverage includes: owned vehicles, non-owned and hired vehicles, and uninsured motorists. Limits: $2,500,000 to $10,000,000 per occurrence; no annual aggregate. Deductible: None (bodily injury); $1,000 (property damage) per occurrence.
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Automobile Physical Damage

Automobile Physical Damage (Comprehensive, Collision) provides protection for damage or loss to a member’s owned autos. Comprehensive coverage includes fire, theft, vandalism, windstorm, hail, flood, glass breakage, damage caused by riot or civil commotion, and damage from hitting or being hit by birds and animals. Collision coverage provides coverage for the repair or replacement for like kind, type and condition based on actual cash value. Valuation: Actual Cash Value (ACV) or agreed upon value. Deductibles: $250 comprehensive/$500 collision or $500 comprehensive/$1,000 collision.
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Boiler and Machinery

Coverage for the “sudden and accidental” breakdown of mechanical and electrical machinery. Coverage includes expediting expenses, business income, extra expense, spoilage, water damage, ammonia contamination, hazardous substances, error in description, and newly acquired property. Limits: Repair/Replacement. Deductible: $1,000 per occurrence. Additional deductibles based on hp, KW/KVA/AMPS, and boilers based on square feet of heating surface.
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Elected Officials Personal Liability

This highly specialized unique coverage protects elected/appointed officials from claims and settlements arising outside the course and scope of their duties. Coverage includes invasion of privacy, libel, slander, defamation of character, discrimination, false arrest, and malicious protection. Limits: $500,000 per official per year/annual aggregate. Deductible: $500 per claim.
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Employee and Officials Fidelity Blanket Bond

Coverage protection for member losses resulting from fraudulent or dishonest acts committed by employees, volunteers or board members. Coverage includes larceny, theft, embezzlement, forgery, and wrongful misappropriation. Limits: $400,000. Deductible: None.
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Employment Benefits Liability

Coverage for claims and settlements resulting from the negligent administration of employee benefit plans. Limits: $2,500,000 to $10,000,000 per occurrence/annual aggregate. Deductible: None.
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Employment Practices Liability

Coverage for claims and losses arising from “wrongful” employment practices. Coverage includes wrongful termination, sexual harassment, and discrimination. Limits: $2,500,000 to $10,000,000 per occurrence/annual aggregate. Deductible: None.
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Property Coverage

Coverage provided for the replacement cost value of building and contents. Additional extensions provided for accounts receivable, builders risk, business interruption, commandeered property, cost of construction, debris removal, electronic data processing (items not scheduled) extra expense, fine arts (appraised value), flood coverage (annual aggregate), pollution clean up (related to property loss), personal property of others, and valuable papers. Valuation: Replacement Cost (w/o depreciation). Limits: $1,000,000,000, no annual aggregate. Deductible: $2,000 per occurrence.
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Public Officials Errors and Omissions

Coverage for public officials’ and directors’ “wrongful acts”, alleged or actual negligence, errors and omissions, breach of duty, misfeasance, malfeasance, and nonfeasance, and defamation. Limit: $2,500,000 to $10,000,000 per occurrence/annual aggregate. Deductible: None.
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