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<br />The City of San Marcos Facilities Service Contract <br /> <br />ARTICLE XIII <br /> <br />INSURANCE, UNCONTROLLABLE CIRCUMSTANCES <br />AND INDEMNIFICATION <br /> <br />SECTION 13.1. INSURANCE. (A) Company Insurance. At all times during <br />the Term of this Service Contract, the Company shall obtain and maintain or cause to be <br />obtained and maintained the Required Insurance in accordance with the requirements of <br />Appendix 9 and shall pay all premiums with respect thereto as the same become due and <br />payable. The City shall remain responsible for obtaining and maintaining all property <br />insurance relating to the Facilities and shall pay all premiums with respect thereto as the same <br />become due and payable. <br />(H) Insurers, Deductibles and City Rights. All insurance required by this <br />Section shall be obtained and maintained from financially sound and generally recognized <br />responsible insurance companies meeting the qualifications set forth in Appendix 9. The <br />insurers shall be selected by the Company, shall have a Hest's rating of "A" VII or higher, and <br />shall be authorized to write such insurance in the State. The Company shall be responsible for <br />all self-insured retentions contained in its insurance coverages, as well as any excluded losses <br />if such losses are within the liability of the Company hereunder. All policies evidencing such <br />insurance shall provide for: (1) at least 30 days' prior written notice of the cancellation thereof <br />to the Company and the City (except with respect to cancellation for non-payment of premiums <br />to which a 10-day written notice shall be required). All policies of insurance required by this <br />Section shall be primary insurance without any right of contribution from other insurance <br />carried by the City. The City shall have the right to fully participate in all insurance claim <br />settlement negotiations with respect to claims to which the City is a party. <br />(C) Certificates, Policies and Notice. The delivery by the Company to the City <br />certificates of insurance naming the City, its officers, officials and employees as "additional <br />insureds" (except with respect to Workers' Compensation Insurance) for the Required <br />Insurance as a condition to the occurrence of the Commencement Date. Not later than May 31 <br />in each Contract Year throughout the Term, the Company shall furnish the City with <br />certificates of insurance naming the City, its officers, officials and employees as "additional <br />insureds" (except with respect to Workers' Compensation Insurance) for the Required <br />Insurance. Whenever a Subcontractor is utilized, the Company shall either obtain and <br />maintain or require the Subcontractor to obtain and maintain insurance in accordance with <br />the applicable requirements of Appendix 9. <br />(D) Maintenance of Insurance Coverage. If the Company fails to pay any <br />premium or self-insured retention for Required Insurance, or if any insurer cancels any <br />Required Insurance policy and the Company fails to obtain replacement coverage so that the <br /> <br />93 <br />