HomeMy WebLinkAboutExhibit 5 - Recommendation Letter
8/11/2026
City of Denton
215 E McKinney
Denton, TX 76201
Re: City of Denton 10/1/2026 – 10/1/2027 Casualty Insurance Program - Renewal Proposal
To Whom it May Concern,
Thank you for the opportunity to assist the City of Denton with the 10/1/2026 – 10/1/2027 Casualty Insurance Program Renewal.
For this renewal, Lockton approached the incumbent carrier, Safety National, as well as three competing markets: Travelers, Sentry,
and Old Republic. The casualty lines of insurance include General Liability, Auto Liability, Public Officials Liability, Law Enforcement
Liability, Auto Physical Damage, and Excess Workers’ Compensation.
Safety National presented terms on all renewing lines, which are competitive in the liability insurance marketplace today. Safety
National offered a flat rate renewal on the Excess Workers’ Compensation policy, and a 4% rate reduction on the liability lines, when
using the City’s payroll as the exposure basis. Auto Physical Damage (Comprehensive & Collision) premium is up 66% this year,
which is largely driven by a 37% increase in exposures (vehicle values). In an effort to control costs, Safety National offered
alternative structures, which do not generate a fair premium credit for the additional risk that would be self-insured.
As part of Safety National’s Casualty offering, they afford the City $15,000 in Risk Control Funds to utilize during the policy period.
Travelers, Sentry, and Old Republic declined to quote the business in 2026.
Safety National presented renewal terms on all renewing lines for a total premium of $1,097,497 (including an optional TRIA
Surcharge of $1,485). Maintaining coverage with Safety National ensures continuity, proven claims handling processes, and stability
with a carrier that has consistently supported the City’s needs.
Lockton recommends that the City renew its Casualty insurance policies with Safety National for an annual premium of $1,097,497
for the 10/1/2026 – 10/1/2027 term.
Thank you for the opportunity to work with the City of Denton. Please let us know if you have any questions regarding this renewal.
Sincerely,
Neil Cohen
Senior Vice President, Practice Leader
Lockton Companies
LOCKTON COMPANIES 214.969.6700 2100 Ross Avenue, Suite 1400, Dallas, TX 75201-6706 lockton.com