The persons, organization or association to whom the permit is issued shall be liable for all losses, damages or injuries sustained by any person, whether a participant or spectator at the block party or recreational event, whether or not said losses, damages or injuries arise by reason of the negligence of the person, persons or organization to whom such permit shall have been issued. The Village Manager shall require the applicant to enter into a hold-harmless agreement, which agreement shall provide that the applicant shall agree to save and hold the village harmless of and from any and all obligations and liabilities which may arise from the temporary street closing which represents the subject matter of the application. The applicant shall further agree as part of these provisions to hold harmless the village and to defend at his own cost and expense any claims or lawsuits instituted by third parties, which obligations or liabilities might otherwise exist or be asserted against the village. The Village Manager shall further have the option to require that, prior to the issuance of a permit or commencement of the temporary street closing for commercial advertising purposes or profit, the applicant submit evidence of liability insurance covering damages to property and injuries to members of the general public arising out of the temporary street closing in such amounts as may be determined by the Village Manager.