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its officers, employees and agents are named additional insureds under the policy as evidenced by an additional insured endorsement satisfactory to the City Attorney. The policy shall further state in writing either on the Certificate of Insurance or attached rider that this insurance will operate as primary insurance for work performed by Contractor and its subcontractors,and that no other insurance effected by City or other named insured will be called on to cover a loss. b. Automobile Liability Insurance. Automobile liability insurance with limits not less than$2,000,000 per person/per occurrence. c. Workers' Compensation Insurance. Workers' Compensation Insurance for all of Contractor's employees shall be in strict compliance with State laws, including a waiver of subrogation and Employer's Liability Insurance with limits of at least$1,000,000. For work or services deemed public works,by signing this Agreement,Contractor is certifying,pursuant to Section 1861 of the California Labor Code,that: "I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers'compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the work of this Contract." d. Certificate of Insurance. Contractor shall file a certificate of insurance with the City prior to the City's execution of this Agreement, and prior to engaging in any operation or activity set forth in this Agreement. The Certificate of Insurance shall provide in writing that the insurance afforded by this Certificate shall not be suspended,voided, canceled,reduced in coverage or in limits without providing notice to the City in accordance with California Insurance Code section 677.2,which requires the notice of cancellation to: 1) include the effective date of the cancellation; 2) include the reasons for the cancellation;and 3)be given at least 30 days prior to the effective date of the cancellation,except that in the case of cancellation for nonpayment of premiums or for fraud,the notice shall be given no less than 10 days prior to the effective date of the cancellation. Notice shall be sent by certified mail,return receipt requested. In addition, the insured shall provide thirty (30) days prior written notice to the City of any cancellation,suspension,reduction of coverage or in limits,or voiding of the insurance coverage required by this agreement. The City reserves the right to require complete certified copies of policies. e. Subcontractors. Contractor shall include all subcontractors as insured under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated in this Agreement, including but not limited to naming additional insureds. f. Waiver of Subrogation. The insurer agrees to waive all rights of subrogation against the City, its officers,employees and agents. g. Defense Costs. Coverage shall be provided on a"pay on behalf of"basis,with defense costs payable in addition to policy limits. There shall be no cross-liability exclusions. 6. Independent Contractor. The Contractor is an independent contractor retained by the City. All personnel employed by the Contractor,including subcontractors,and personnel of subcontractors,are not and shall not be employees of the City. 7. Contractor's Warranty. Contractor shall bear the risk of loss or damage to any goods associated with the services until delivered to and accepted by City. Contractor further warrants that all work done, and goods provided under this Agreement shall:a)meet all conditions of the Agreement;b)shall be free from all defects in design, material and workmanship; and 3) shall be fit for the purposes intended. If any defects occur within the 12 months following acceptance, Contractor shall be solely responsible for the correction of those defects. 8. Notices. All notices,demands,requests or approvals to be given under this Agreement shall be given in writing and conclusively shall be deemed served when delivered personally or on the second business