A. It is unlawful for an owner or driver to operate a taxicab unless there is in full force and effect a policy of insurance whereby the owner and driver of each taxicab operated within the city are insured against liability for damage to property and for injury to or death of any person as a result of the ownership, operation or other use thereof. The minimum liability limits upon each such vehicles shall be subject to the approval of the city manager and city attorney. Such policy of insurance shall also contain an endorsement providing that the policy shall not be canceled or materially modified until notice in writing has been given to the city, addressed to the risk manager of the city of Wasco, at least thirty days immediately prior to the time such cancellation or material modification becomes effective. Furthermore, such policy of insurance name the city, its officers, agents and employees as additional named insured. Additionally, a vehicle owner and driver shall indemnify, defend and hold harmless the city, its officers, agents and employees from claims arising from or alleged to arise from the operation of the vehicle owner or driver.

B. The motor vehicle liability policy shall insure to the benefit of any and all persons suffering loss or damage, either to person or property, as provided in this chapter, and the liability of the insurance carrier shall be in no manner abrogated or abated by the death of the tort feasor and/or the owner. The motor vehicle liability amount thereof notwithstanding any recovery thereon, and the policy shall so certify.

C. The policy and policy amounts shall be subject to the approval of the city manager and city attorney.

D. In addition to liability insurance, an owner or carrier shall also provide proof of worker’s compensation insurance to city manager, if applicable.

E. If, at any time, the policy of insurance required under this chapter is canceled or materially modified by the company issuing the same, the owner shall, within ten days of notice of such cancellation or modification, replace such policy with another policy satisfactory to the city manager and city Attorney. Failure to maintain the minimum levels and standards of required insurance for any period of time is a violation of this chapter and shall be sufficient grounds for suspension, revocation, or non-renewal of a permit. (Ord. 473 §1, 2002).