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CC SR 20210615 D - Claim Against the City Tara Klein RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 06/15/2021 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA TITLE: Consideration and possible action regarding a claim against the City by Mercury Insurance RECOMMENDED COUNCIL ACTION: 1) Reject the claim and direct Staff to notify the claimant, Mercury Insurance (insured Tara Klein). FISCAL IMPACT: None Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Teresa Takaoka, City Clerk REVIEWED BY: Karina Bañales, Deputy City Manager APPROVED BY: Ara Mihranian, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Mercury Insurance claim (page A-1) BACKGROUND AND DISCUSSION: The City of Rancho Palos Verdes (City) is a member of the California Joint Powers Insurance Authority (Authority), which provides risk management services and handles any liability claims received by the City. Under the current practice, claims presented to the City Clerk are forwarded by the Authority to a third-party claims administrator, Carl Warren and Company (Carl Warren) for adjusting. Carl Warren’s staff reviews each claim on its merits and contacts the City with any requested action pertaining to the disposition of the claim. The City Clerk and the Ci ty Attorney review each claim when received and work closely with Carl Warren throughout the claims process. 1 Claimant: On May 3, 2021, the City received a claim for damages from Mercury Insurance for their insured, Tara Klein. The claim was referred to Carl Warren for review and investigation. The claimant’s insurance representative states that on March 13, 2021, branches from a City tree fell, rolled down a hill and damaged the insured’s vehicle. The claim alleges the City is at fault due to a lack of maintenance of the tree. Deposition: Carl Warren has reviewed the claim and found that there is no liability for the City as the tree is not owned or maintained by the City of Rancho Palos Verdes. Carl Warren recommends denying the claim for damages. 2 A-1 A-2 A-3