Oglethorpe council renews contract with current insurer after debate over cyber limits and policy form

Councilmember Beckum moved and Councilmember Woodard seconded a motion to renew the city’s expiring umbrella insurance with the current carrier, and the motion carried after a brief but pointed debate over coverage limits, customer service and policy form.

The discussion, opened by Councilmember Moore, centered on two competing proposals presented to the council: the city’s existing carrier (represented by Carl Adams and Kevin Cole of Cole Insurance Agency) and a quote from GMA (also referenced in the meeting record as GIRMA). “Cheaper doesn’t always mean better,” Councilmember Moore said while describing gaps he saw in one lower-cost quote and emphasizing the need for cyber protection and faster customer service.

Carl Adams, speaking for the current carrier, told the council the company has insured the city for roughly 20 years and has paid prior claims, including an on-duty officer claim. “We have had this account for insurance for 20 years. Never had a complaint. Have always paid the claims,” Adams said. Kevin Cole described the carrier’s claims process and warned about the risks of changing professional-liability policy forms: because GMA’s professional policy is on an occurrence basis while some private carriers use a claims-made form, switching policies can create coverage gaps. “If you turn a claim in that occurred the day before yesterday, you got no coverage whatsoever with GMA,” Cole said, warning the council that prior acts could be exposed without tail coverage.

Councilmembers also raised customer-service and documentation issues. Councilmember Moore said he encountered delays getting requested loss runs and policy details; Kevin Cole and Adams replied that assembling loss runs and multi-line policy materials requires time and that staff had initiated requests. Councilmember Beckum urged caution about making a rapid change on a policy worth about $100,000.

On the motions, Councilmember Harrison moved to adopt coverage from GIRMA (seconded by Councilmember Moore); that motion failed. Councilmember Beckum then moved to renew the policy with the current carrier (seconded by Councilmember Woodard). The council recorded votes in favor from Councilmembers Beckum, Woodard, Mahone and Harrison and a vote against from Councilmember Moore; the record did not show a recorded vote by Mayor Daniels.

The council’s action keeps the city with its existing carrier for the coming policy period; council members asked the insurer to provide written clarifications on cyber limits, prior-acts/tail coverage options and the company’s claims-handling contacts before the policy is renewed.

A follow-up item the council discussed was whether to allow extended time for additional vendors (including GIRMA/GMA representatives) to present more details; councilmembers suggested further review before any future mid-term switch.