SERVICE AGREEMENT (9) SERVICE AGREEMENT
THIS SERVICE AGREEMENT (the "Agreement") is made and entered into by and
between COMMERCIAL RISK MANAGEMENT,INC. (referred to as the"Company")and THE
CITY OF CLEARWATER(referred to herein collectively as the "Self-Insured").
In consideration of the covenants and conditions set forth below to be performed and
observed by the parties hereto and in consideration of the sum of ten dollars ($10.00) and other
good and valuable considerations passing between the parties hereto, it is agreed as follows:
1. So long as this Agreement remains in effect,the Company will furnish claims handling
for Property, General Liability and Auto Liability claims reported on an as needed basis to the
Company by the Self-Insured.
2. The Company will handle to a conclusion all claims that occur during the period that
this Agreement remains in effect at the rate as outlined in the agreement.
Furthermore, in the event of any cancellation of this Agreement, the Company agrees to
continue to provide claims adjusting services on all claims incurred during the period that this
Agreement was in effect, if requested to do so by the Self-Insured at the rate as outlined in the
agreement.
In the event claims files and claims servicing responsibilities are transferred to a new
service company,the Company will provide an accounting of all claims and claims activity to the
new service company.Upon the transfer of the files and final accounting of the claims activity,the
Company shall be released from all further responsibility and liability under this Agreement; and
the self-insured shall be responsible for all claims activity occurring on and after the date of such
transfer.
The Company acknowledges that files containing the records of the Self-Insured's claims
shall belong to the Self-Insured,provided that the Company shall have the right to retain copies of
any and all such records to the extent determined appropriate by the Company.
All claim expenses commonly referred to in the insurance industry as "Allocated Claims
Expenses" shall be the responsibility of and paid by, the Self-Insured. Without limiting the
generality of the immediately preceding sentence, the term "Allocated Claims Expenses" shall
include such items as attorneys' fees, court costs and independent investigative claims costs.
Allocated loss adjustment expenses will be billed to the file.
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3. The Self-Insured shall pay to the Company, for the Company's services under this
Agreement (except as otherwise provided in this Agreement), the Service Fee (referred to herein
as the"Service Fee") as outlined below:
FEES:
Liability Claims Administration Services will be billed at$125.00 per hour. Subrogation Only
Claims Administration will be billed at$150.00 per claim. Claims reported as Report Only will
be billed at$50.00 per claim. Services Fees are not to exceed $50,000.00 for the period October
1,2025 through October 1, 2026. Commercial Risk Management, Inc. is not responsible for
MMSEA Section I I I Reporting.
4. The initial term of this Agreement shall be one (1) year, with such term being deemed
to have commenced on October 1, 2025, and with such term to terminate at on October 1, 2026.
Any renewal of the term of this Agreement shall be documented by an instrument in writing signed
on behalf of both the Company and the Self-Insured.
Notwithstanding the foregoing provisions of this paragraph, either the Self-Insured or the
Company shall have the right to cancel this Agreement solely by giving the other not less than
sixty(60)days' advance written notice of the proposed date of cancellation.Any such cancellation
of this Agreement shall be subject to all of the applicable terms and provisions of this Agreement.
5. Each notice, request, demand, consent, approval or other communication required or
permitted under this Agreement (collectively a "notice") shall be valid only if it is (a) in writing
and shall be sent by certified United States Mail or National Parcel Service, return receipt
requested, (b) addressed by the sender to the other party at its address and in the manner set forth
below
(a) If to the Company: COMMERCIAL RISK MANAGEMENT, INC.
Post Office Box 18366
Tampa FL 33679-8366
(b) If to the Self-Insured: THE CITY OF CLEARWATER
Post Office Box 4748
Clearwater FL 33758
Except as otherwise provided herein, each notice shall be effective on the earlier of its
receipt, if delivered personally or by courier, or the third day after it(or the written confirmation
of it) is postmarked for dispatch by first-class, postage prepaid, certified or registered, United
States Mail, with return receipt requested (whether or not the return receipt is subsequently
received by the sender).
Any party wishing to change the person or address to which notices are to be given may
do so by complying with the notice provisions of this paragraph.
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6. This Agreement embodies the entire Agreement and understanding between the parties
with respect to the subject matter hereof, expressly superseding all prior agreements and
understandings,whether oral or written. No amendment,modification or attempted waiver of any
provisions of this Agreement shall be binding upon either party to this Agreement unless reduced
to writing and signed by or on behalf of each of the parties to this Agreement. The waiver by
either party of any breach of any covenant or condition of this Agreement shall not be construed
as a waiver of any subsequent breach of such covenant or condition or of the breach of any other
covenant or condition contained in this Agreement. Any number of counterparts of this Agreement
may be signed and delivered each of which shall be considered an original and all of which,
together, shall constitute one and the same instrument. The normal rule of construction to the
effect that any ambiguities are to be resolved against the drafting party shall not be utilized in the
interpretation or construction of this Agreement. This Agreement shall be governed by and shall
be construed in accordance with the laws of the State of Florida. In the event any litigation shall
be instituted for the purpose of enforcing any of the provisions of this Agreement, the prevailing
party, as determined by the court having jurisdiction thereof, shall be entitled to recover from the
non-prevailing party, in addition to all other relief, an amount equal to all costs and expenses
incurred in connection with such litigation, including, without limitation, reasonable attorneys'
fees at the pretrial level, the trial level and in connection with all appellate proceedings. The
provisions of this Agreement shall be binding upon, and shall inure to the benefit of, the parties
hereto, and their respective successors and assigns.
Signature Page to Follow
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IN WITNESS WHEREOF,the Company has caused this Agreement to be executed by its
undersigned officers duly authorized this 23rd day of September, 2025, but effective as of
October 1, 2025.
COMMERCIAL RISK MANAGEMENT, INC.
By: 'Sc�dG. Zer.�
Its President
ATTEST:
By:
Its Chief Operations Officer
IN WITNESS WHEREOF, the Self-Insured has caused this Agreement to be executed by
its undersigned officers duly authorized this 5+- day of ( , 2025, but
effective as of October 1, 2025.
THE CITY OF CLEARWATER
Its
ATTEST:
Its
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