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RELEVANT LINKS: <br />League of Minnesota Cities Information Memo: 11/15/2018 <br />LMCIT Liability Coverage Guide Page 5 <br />In addition to the LMCIT coverage limit of $2 million per occurrence, there <br />are annual aggregate limits, or limits on the total amount of coverage for the <br />year regardless of the number of claims. <br />A $3 million annual aggregate applies for the following: <br />• Products. <br />• Failure to supply utilities (water, electricity, gas, steam service, and phone <br />and internet or other electronic data transmission services.) <br />See section II1.13, Data <br />. Data security breaches (a $250,000 sublimit, which is part of and not in <br />security breach and <br />computer-related risks.pp <br />addition to the $3 million aggregate, a lies for Payment Card Industry <br />Ym Y <br />fines and penalties and data security breach regulatory fines and penalties <br />resulting from a data security breach claim.) <br />• Electromagnetic fields. <br />• Limited contamination (sudden and accidental release of pollutants; <br />herbicide and pesticide applications; sewer ruptures, overflows, and <br />backups; lead and asbestos claims; mold claims; organic pathogen claims; <br />hostile fire claims; and excavation and dredging claims, which are also <br />subject to an annual $250,000 sublimit.) <br />See section IILJ, Land use <br />A $1 million annual aggregate applies to land use and special risk litigation. <br />and special risk litigation. <br />This coverage is provided on a sliding scale percentage basis, which is based <br />on participation in LMCIT's land use incentive. <br />See section II1.1), <br />A $100,000 annual aggregate applies for employees' activities in outside <br />Employees' activities in <br />outside organizations. <br />organizations. <br />2. Statutory liability limits <br />Minn. stat. § 466.04. <br />The statutory municipal tort cap is limited to a maximum of $500,000 per <br />claimant and $1.5 million per occurrence. These limits apply whether the <br />claim is against the city, against the individual officer or employee, or against <br />both. The LMCIT liability coverage provides a standard limit of $2 million <br />per occurrence. <br />See summary ofLMCIT <br />At the city's coverage renewal each year, it must decide whether to waive or <br />Liability Coverage Options <br />and the effects of choosing <br />not waive the statutory limits. There is no right or wrong answer, and it's a <br />the various coverage <br />discretionary decision each governing body must make. <br />structure options. <br />League of Minnesota Cities Information Memo: 11/15/2018 <br />LMCIT Liability Coverage Guide Page 5 <br />