|
Each Pool Member agrees to adopt and accept the coverages,provisions,terms,conditions,exclusions,and limitations as further provided
<br /> for in the Texas Municipal League Cyber Liability and Data Breach Response Self-Insurance Plan or as specifically modified by the Pool
<br /> Member's Declarations of Coverage. This Interlocal Agreement shall be construed to incorporate the Texas Municipal League Cyber
<br /> Liability and Data Breach Response Self-Insurance Plan, Declarations of Coverage, and Endorsements and addenda whether or not
<br /> physically attached hereto.
<br /> 4. It is understood that by participating in this risk sharing mechanism to cover cyber liability and data breach response exposures,the Pool
<br /> Member does not intend to waive any of the immunities that its officers or its employees now possess.The Pool Member recognizes the
<br /> Texas Tort Claims Act and its limitations to certain governmental functions as well as its monetary limitations and that by executing this
<br /> Interlocal Agreement does not agree to expand those limitations.
<br /> 5. The term of this Interlocal Agreement and the self-insurance provided to the Pool Member shall be continuous commencing 12:01 a.m.
<br /> on the date designated in this Interlocal Agreement until terminated as provided below.Although the self-insurance provided for in this
<br /> Interlocal Agreement shall be continuous until terminated,the limit of liability of the Fund under the coverages that the Pool Member
<br /> elects shall be limited during any Fund Year to the amount stated in the Declarations of Coverage for that Fund Year.
<br /> This Interlocal Agreement may be terminated by either party giving to the other sixty(60)days'prior written notice of intent to terminate
<br /> except the Pool Member may terminate this Interlocal Agreement and its coverages thereunder without giving the sixty(60)days'notice
<br /> if the reason is because of a change by the Fund in the Pool Member's contribution,coverage,or other change in the limits of liability,
<br /> terms, conditions, exclusions, and limitations provided for in the Texas Municipal League Cyber Liability and Data Breach Response
<br /> Self-Insurance Plan provided that no termination by the Member shall be effective prior to the date that written notice of termination is
<br /> actually received in the offices of the Fund and provided that the Pool Member agrees to and shall pay the applicable premium and
<br /> contribution for those coverages it is terminating until the date the notice of termination is actually received by the Fund.
<br /> The Fund shall providethe Pool Member with Declarations of Coverage and any Endorsements that determine the applicability of the Texas
<br /> Municipal League Cyber Liability and Data Breach Response Self-Insurance Plan annually by December 1. Such Declarations of
<br /> Coverage shall include, but not be limited to, the coverage period which shall be the applicable Fund Year, limits, deductibles,
<br /> contributions, special provisions, and limitations. Changes made during the Fund Year, whether requested by the Pool Member or
<br /> required by the Fund,will be handled by Endorsement.
<br /> It is the intention of the parties that the Pool Member's coverages under this Interlocal Agreement shall remain in full force and effect
<br /> from Fund Year to Fund Year,subject to the limits of liability that the Fund can provide each Fund Year and the terms,conditions,and
<br /> limitations that the Fund may require to protect its solvency and to comply with reinsurance requirements,until notice of termination is
<br /> given as herein provided.Realizing that the Pool Member needs the earliest possible information concerning the Fund coverages,limits,
<br /> and exclusions,and the Pool Member's contribution that will be required for any new Fund Year,the Fund will endeavor to provide this
<br /> information as soon as possible before the beginning of each Fund Year.The parties recognize,however,that conditions in the reinsurance
<br /> industry are such that the Fund may not be able to provide this information to the Pool Member before the beginning of a Fund Year for
<br /> various reasons including the failure of the Pool Member to timely submit the appropriate exposure summary or delays on the part of
<br /> reinsurers in getting information to the Fund,and so,to protect the Pool Member from gaps in its coverage and to protect the solvency
<br /> of the Fund,the parties agree as follows:
<br /> If,for any reason other than the Pool Member's failure to provide the information requested in the exposure summary, the Fund has not
<br /> been able to provide the Pool Allember ivith information concerning available coverages for a new Fund Year or advise the Pool Alember
<br /> of the amount of its contribution for the new Fund Year by the beginning of the Fund fear, the Fund shall nevertheless continue the
<br /> Pool Member's coverages at the same limits of liability(if still available and if not, then at the highest limit of liability available for the
<br /> new Fund Year)so that the Pool Allember shall at all times remain covered as herein provided and the Pool Allember's initial contributions
<br /> for the new Fund Year shall be determined by a "tentative contribution"as determined by the Board with the Pool Member's actual
<br /> annual contribution to be credited by the amount paid in accordance with the tentative contribution and adjusted during the Fund Year.
<br /> In the event the Pool Allember does not wish to have its coverages extended or renewed at the end of any Fund Year, the burden shall be
<br /> upon the Pool Member to give written notice to the Fund as provided hereinabove and the Pool Allember agrees to pay as hereinabove
<br /> stated all contributions or pro rata contributions until the date such written notice is received in the offices of the Fund or the date of
<br /> termination of this Interlocal Agreement, whichever is later.
<br /> 6. Commensurate with the execution of this Interlocal Agreement and annually thereafter,the Pool Member shall complete the appropriate
<br /> exposure summary and deliver it or cause it to be delivered to the Fund, or, if so instructed,to a designated contractor, no later than
<br /> September I of each year and new annual contributions shall be calculated using manual rates times exposure, less any adjustments.
<br /> Intentional or reckless misstatements on the exposure summary shall be grounds for cancellation. In the event that the Pool Member
<br /> fails or refuses to submit the appropriate exposure summary,the Fund reserves the right to tenninate such Pool Member by giving thirty
<br /> (30)days'written notice and to collect any and all contributions that are earned pro rata for the period preceding contract termination.
<br /> Revised 04/2024
<br />
|