5.16.150 Financial responsibility.

(A) Every owner of a vehicle used in the transportation of passengers for hire, including vehicles for hire, shall maintain a public carrier liability insurance policy issued by an insurance company authorized/admitted to do business in California with minimum limits of one million dollars single limit for bodily injury and property damage naming the city of American Canyon as an additional insured. Every such policy of insurance shall continue to the full amount thereof, notwithstanding any recovery thereon, and the liability of the insurer shall not be affected by the insolvency or bankruptcy of the insured.

(B) The insurance policy required hereunder shall extend for the period to be covered by the license applied for and the insurer shall be obliged to give not less than thirty days written notice, to the finance department and to the assured, before any cancellation or termination thereof earlier than its expiration date. The expiration, cancellation or other termination of any such policy shall automatically revoke and terminate the vehicle for hire permit covered by such policy, unless another insurance policy complying with the provisions of this section is provided and in effect at the time of such expiration, cancellation or termination.