Item No.:      7d_Supp 
Meeting Date:   September 12, 2011

Outline of Presentation 
Review of Liability Insurance Coverage 
Insurance Premium Factors
Premium Re-Cap 
Renewal Coverage Process 
Expiring Premium 2010-2011 
Renewal Issues 2011-2012 


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Liability Insurance Coverage 
Coverage    Description of Exposure Covered 
Law Enforcement   Police operations 
Public Officials     Wrongful acts of Port employees 
Employment     Wrongful acts of Port with respect to employees 
Practices 
Non-Aviation     Non-aviation operations 
Aviation         Airport operations only 
Auto           Automobile liability (Above what is self insured) 

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Liability Insurance Coverage 
Coverage    Description of Exposure Covered 
Fiduciary         Liability of managing employee benefit plans 
Foreign         Port employees who are in foreign countries 
Crime          Dishonest acts of Port employees 
Vessel           Police boat and other owned vessels 
Bonds         Self-insured pension bonds, notary bonds, custom
bonds, etc.. 
Excess Workers   Do not purchase at this time, getting quote. 
Compensation 

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Insurance Premium Factors 
Total operating-capital budget/payrollof Port 
Past losses and claims and audit reports/findings 
Strength of our indemnity agreements with tenants 
Indemnity/transfer in construction contracts 
Operations directly controlled by Port versus
tenant controlled operations 


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Insurance Premium Factors 
Size of automobile fleet and how utilized 
Interlocal agreements 
Number of employees and location concentration 
Airport enplanements, Seaport TEUs, Rail link 
Insurance markets 
External events 
Amount of Port's deductible 
Special coverage requests 

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Liability Premium Re-Cap 


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Renewal Coverage Process 
Coverage will run 10/1/2011 to 9/30/2012 
Risk management department networks with other port
and airport entities to check current limits, deductibles,
and coverage offered in the marketplace. 
Update of operations, and current claims and litigation. 
Port submits renewal information to the Port's broker,
who markets the account and solicits insurance bids
and coverage on the Port's behalf. 
Risk management reviews insurance proposals and
discusses issues/costs with Division management prior
to binding coverage. 
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Expiring Premium: 2010-2011 
Coverage Line     Limits           Deductible   Expiring Premium 
10/1/2010-9/30/2011 
Non-Aviation           $50 Million             $1,000,000      $407,000 

Airport                $300 Million             $50,000         $222,000 
Police                 $10 Million              $1,000,000       Included in Non-Aviation 

Auto                 Self Insured First Million    Self-Insured      No Premium  Self insured 
2010 Claims ~ $13,000 
Public Officials and       $10 Million              $1,000,000       Included in Non-Aviation 
Employment Practices 

Other Coverage -Crime,   Varies                Varies         $61,000 
Fiduciary, Foreign, Bonds 
Total = $690,000 
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Coverage Issues For 2011-2012 
(To Be Finalized In Discussion With Divisions prior to 10/1/2011)
Terrorism 
Purchase for non-aviation liability policies 
Airport Limits 
Keep at $300 Million (looking at $500 Million) 
Ramp Insurance at Airport 
Continue to purchase for ramp control vendor 
Excess Worker Compensation 
To receive quote; would add $350,000 in premium 
Has not been insured for past six years 

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Operational Issues 2011-2012 
(To Be Reviewed In Discussion With Divisions prior to 10/1/2011)
Real Estate Division 
Eastside Rail Corridor operating volumes should not
be significant enough to impact premium 
Maintenance of East Marginal Way Grade Separation 
Aviation Division 
Landside Busing Operations  Coverage for
operations between terminal and RCF/Bus
Maintenance Facilities 
Renewal Estimate~ $700,000 to $1,050,000

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