HomeMy WebLinkAboutInsurance City Polices - WA Cities (2000-2009) V
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CRIME AND FIDELITY
CR DS 04108 07
POLICY NUMBER:
GOVERNMENT CRIME 01-420-38-13
POLICY DECLARATIONS REPLACEMENT OF
POLICY NUMBER:
• 00-544-16-36
In ReiturnF For The Payment Of The Premium, And Subject To All The Terms And Conditions Of This
Policy, We Agree With You To, Provide The Insurance As Stated In This Policy.
Coverage, Is Written:
QPrimary ❑ Excess ❑ Coindemnity ❑ Concurrent
Company Name Area: National Union Fire Insurance Company of Pittsburgh, Pa.
Producer Name Area: MARSH;USA, INC.
500 W',HONROE ST #3600
CHICAGO, IL 60661
Named Insured: WASHINGTON CITIES INSURANCE AUTHORITY
(including any Employee Welfare or Benefit Plans)
Mailing Address: 320 ANDOVER PARK EAST
TUKWILA, WA 98188
Policy Period
From: December 31, 2008
To: December 31, 2009 12:01 A.M. at your mailing address shown above.
Limit of Insurance Deductible Amount
Insurance Agreements Per Occurrence Per Occurrence,
1.Em to ee Theft - Per Loss Coverage $2 500 000 $10,000
p Y 9 $
2.Employee Theft - Per Employee Coverage Not Covered
3. Forgery Or Alteration $2,500,000 $10,000
4. Inside The Premises - Theft Of Money And
Securities $2,500,000 $10.000
5. Inside The Premises - Robbery Or Safe Burglary
Of Other Property $2,500,000 $10,000
6. Outside The Premises $2,500,000 $10,000
7. Computer Fraud $2,500,000 $10,000
8. Funds Transfer Fraud $2,500,000 $10,000
9. Money Orders And Counterfeit Money $2,500,000 $10,000
If "Not Covered" is inserted above opposite any Insuring Agreement, such Insuring Agreement and
any other reference thereto in .this policy is deleted.
334046
CR DS 04 08 07 9 ISO Properties, Inc., 2006 Page' 1 of 2 ❑
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CRIME AND FIDELITY
CR DS 04;08 07
GOVERNMENT CRIME POLICY NUMBER:
01.420.38.13
POLICY DECLARATIONS REPLACEMENT OF
POLICY NUMBER:
00-544-16136
Endor-ements Forming Part Of This Policy When Issued:
#1.#2, •3,#4,#5,#6,#7,#8,#9,#10,#.11,#12
I I
Cance ation Of Prior Insurance Issued By Us:
By ac'ieptance of this Policy you give us notice cancelling prior policy Nos. 005441636; the
cancel ation to be effective at the time this Policy becomes effective.
Premi : $78,382
Countersignature Of Authorized Representative
Name:
Title:
Signs re:
Date:
I I
t21,e-ex-•*
hz . „:2
SECRETARY /7 / PRESIDENT
(71
AUTHORIZED REPRESENTATIVE
334046
CR DS 04 08 07 el ISO Properties, Inc., 2006 Page 2 of 2 ❑
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CRIME AND FIDELITY!
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CR00270506'
GOVERNMENT CRIME POLICY
(LOSS SUSTAINED FORM)
IVariious provisions in this policyrestrict aton of checks, drafts, romis-
II
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coverage. Read the entire policy carefully sory notes, or similar written
Ilto determine rights, duties and what is or promises, orders or directions to
1 .Iilis not covered. I pay a sum certain in "money" that
jIThroughout this policy) the words "you" are:
and1 "your" refer to the Named Insured (1) Made or drawn by or drawn
llshown in the Declarations. The words upon you; or
"we", "us" and "our" refer to the Company (2) Made or drawn by one acting
1 providing this insurance. as your agent;
1,Other words and phrases that appear in or that are purported to have
quotation marks have special meaning. been so made or drawn.
¢iRefer to Section F. Definitions.
AIII . Insuring Agreements For the purposes of this lnsulring
Agreement, a substitute check as
II Coverage is provided under the follow- defined in the Check Clearing for
ing Insuring Agreemlents for which a the 21st Century Act shall, be
Limit of Insurance is shown in the Dec- treated the same as the original lit
larations and applies to loss that you replaced.
sustain resultingdirectlyfrom an "oc-
b. Ifyou are sued for refusingto
„ g
currence takingplace duringthe Policy
covered
11 Period shown in the Declarations, ex-
pay any instrument co ed in ;
cept as provided in Condition E.1.n. or
Paragraph 3.a., on the basis that
it has been forged or altered, and
++ " g
E.1.o., which is discovered byou
1 �. Y you have our written consent to
curing the Policy Period shown in the
., defend against the suit, we will
Declarations or duri g the period of
� pay for any reasonable legal
time provided in the Extended Period expenses that
To Discover Loss Condition E.1.1.:
p you incur and ;pay
in that defense. The amount that
1. Employee Theft I Per Loss Coy- we will pay is in addition to the
erage Limit of Insurance applicable to
9 Pp
We will pay for loss of or damage to
this Insuring Agreement.
11 , "money",mone "securities" and "other 4. inside The Premises - Theft Of
property" resulting directly from Money And Securities
II theft committed byan "employee", "money"
m ee
p Y
a. We will payfor loss of money
whether identified or " "h identified not, acting -
and "securities inside the rem
alone or in collusion with other per- "
P
ises" or "bankingremises
sons. P
For (1) Resulting directly from "theft"
the purposes of this Insuring
committed by a person present
Agreement, "theft shall also include
inside such ,+premises"
or
11 forgery. l "banking premises'; or
i` 2. Employee Theft I- Per Employee (2) Resultingdirectlyfrom dis-
111 Coverage appearance or destruction.
11 We will pay for loss of or damage to b. We will pay for loss from damage ,
"money", "securities" and "other ,p ++
property" resulting directly from to the premises or its exterior
resulting directlyfrom an actual
"theft"
theft committedi by each "em- or attempted "theft" of "mone "
" ,• p Y
II to ee whether identified or not, "securities",Y
and if you are the
acting alone or in collusion with
owner of the "premises" or are
other persons.
liable for damage to it.
g
For the purposes'' of this Insuring c. We will payfor loss of or damage
" „ g
i Agreement, theft shall also include to a locked safe, vault, cash
er for
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register, cash box or cash drawer
ill
3. Forgery Or Alteration located inside the premises'
,
a. We will pay for loss resulting resulting directly from an actual
II
directly from "forgery" or alter- or attempted "theft" of or un-
lawful entry into those containers
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III 1 CR 00 127 05 06 Co ISO Properties, Inc., 2005 Page 1 of 115 0
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5. Inside The Premises - Robbery Or instruction" directing a financial in
Safe Burglary Of Other Property stitution to transfer, pay or deliver
a. We will pay for loss of or damage "funds" from your "transfer account.
to "other property": 9. Money Orders And Counterfe t
(1) Inside the "premises" resulting Money
directly from an actual or at- We will pay for loss resulting di-
tempted "robbery" of a "custo- rectly from your having accepted inn
dian"; or good faith, in exchange for mer-
(2) Inside the "premises" in a safe chandise, "money" or services: 1
or vault resulting directly from a. Money orders issued by any post
an actual or attempted "safe office, express company or bank
burglary". that are not paid upon pre-
b. We will pay for loss from damage sentation; or
to the "premises" or its exterior b. "Counterfeit money" that is ac-
resulting directly from an actual quired during the regular course
or attempted "robbery" or "safe of business.
burglary" of "other property", if B. Limit Of Insurance
you are the owner of the "prem-
ises" or are liable for damage to The most we will pay for all loss
it. resulting directly from an "occurrence"
c. We will pay for loss of or damage is the applicable Limit of Insurance
shown in the Declarations.
to a locked safe or vault located
inside the "premises" resulting If any loss is covered under more than
directly from an actual or at- one Insuring Agreement or Coverage,
tempted "robbery" or "safe bur- the most we will pay for such Ions
glary". shall not exceed the largest Limit of In-
6. Outside The Premises surance available under any one of
those Insuring Agreements or Cov
a. We will pay for loss of "money" erages.
and "securities" outside the C. Deductible
premises in the care and
custody of a "messenger" or an We will not pay for loss resulting di
armored motor vehicle corn- rectly from an "occurrence" unless the
pany resulting directly from amount of loss exceeds the Deductible
"theft", disappearance or destruc- Amount shown in the Declarations. We
tion. will then pay the amount of loss in
b. We will pay for loss of or damage excess of the Deductible Amount, up to
to "other property" outside the the Limit of Insurance.
"premises" in the care and cus- D. Exclusions
tody of a "messenger" or an 1. This policy does not cover:
armored motor vehicle company a. Acts Committed By You
resulting directly from an actual
or attempted "robbery". Loss resulting from "theft" or any
7. Computer Fraud other dishonest act committed bl
you, whether acting alone or in
We will pay for loss of or damage to collusion with other persons.
"money", "securities" and "other b. Acts Of Employees Learned Of
property" resulting directly from the
use of any computer to fraudulently By You Prior To The Policy Pei
cause a transfer of that property riod
from inside the "premises" or "bank- Loss caused by an "employee" if
ing premises": the "employee" had also comj
a. To a person (other than a "mes- mitted "theft" or any other disT
senger") outside those "prem- honest act prior to the effective
ises"; or date of this policy and you or ank
b. To a place outside those "prem- of your officials, not in collusion
ises". with the "employee", learned of
8. Funds Transfer Fraud that "theft" or dishonest act prior
to the Policy Period shown in the
We will pay for loss of "funds" Declarations.
resulting directly from a "fraudulent
Page 2 of 15 0 ISO Properties, Inc., 2005 CR 00 27 05 06 0
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c. Acts Of Officials, Employees Or by you which are related to any
Re resentatives le al action, except when covered
Loss resulting from "theft" or any under Insuring Agreement A.3.
other dishonest act committed by h. Nuclear Hazard
any of your officials, "employees" Loss or damage resulting from ,
or authorized representatives: nuclear reaction or radiation, or
(1) Whether acting alone or in radioactive contamination, how- ,
collusion with other persons; ever caused.
or I i. Pollution
(2) While performing services for Loss or damage caused by 'or,
you or otherwise; resulting from pollution. Pollution
except when covered under In- means the discharge, dispersal,,
suring Agreement A.1. or A.2. seepage, migration, release or'
1
d. Confidential Information escape of any solid, liquid, gas-
1 eous or thermal irritant or con-
Loss resulting from: taminant, including smoke, vapor,
(1) The unauthorized disclosure of soot, fumes, acids, alkalis, chem-
your confidential information leafs and waste. Waste includes
including, but not limited to, materials to be recycled, recon-
patents, trade secrets, proc- ditioned or reclaimed. I ,
essing methods or customer j. War And Military Action
lists; or
(2) The unauthorized use or dis Loss or damage resulting from:
closure of confidential infor- (1) War, including undeclared or
mation of another person or civil war;
entity which is held by you (2) Warlike action by a military
including, bilit not limited to, force, including action in hin- '
financial information, personal dering or defending against an
information, icredit card infor- actual or expected attack, by,
mation or similar non-public any government, sovereign or
information. other authority using military
e. Governmental Action personnel or other agents; or
Loss resulting from seizure or (3) Insurrection, rebellion, revolw-
destruction of propertyi by order Lion, usurped power, or action
of governmental authority. taken by governmental autho-
f. Indirect Loss j rity in hindering or defending
against any of these.
Loss that is an indirect result of 2. Insuring Agreements A.1. and A.2. do
an "occurrence' covered by this not cover:
policy including, but not limited
to, loss resulting from: a. Bonded Employees
(1) Your inability to realize income Loss caused by any "employee
that you would have realized required by law to be individuallly '
had there been no loss of or bonded. c
damage to "money", "secu- b. Inventory Shortages
rities" or "other property".
(2) of damages of any Loss, or that part of any loss, the
legally proof of which as to its existence
type Payment which you are
liable. But, we will pay corn-
or amount is dependent upon:
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pensatory damages arising di- (1) An inventory computation; or'
rectly from 1 a loss covered (2) A profit and loss computation.
under this policy.
(3) Payment off costs, fees or However, where you establish ,
wholly apart from such
corn-
other expenses you incur in sus-
establishing either the exis- putations that you have
tense or the amount of loss tained a loss, then you may offer
your inventory records and actual
under this policy. physical count of inventory in
g. Legal Fees, Costs And Expenses support of the amount of loss
Fees, costs and expenses incurred claimed.
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CR 00 27 05 06 0 ISO Properties, Inc., 2005 Page 3 of 15 ❑
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c. Trading introduce a virus or other
Loss resulting from trading, malicious instruction into
whether in your name or in a your computer system
genuine or fictitious account. which is designed to damf
age, destroy or corrupt data
d. Treasurers Or Tax Collectors or computer programs
Loss caused by any treasurer or stored within your computer
tax collector by whatever name system;
known. (f) As a result of a threat to
3. Insuring Agreements A.4., A.5. and contaminate, pollute or ren
A.6. do not cover: der substandard your prod-1
a. Accounting Or Arithmetical Er- ucts or goods; or
rors Or Omissions (g) As a result of a threat to
Loss resulting from accounting or disseminate, divulge or util
arithmetical errors or omissions. 1ze:
b. Exchanges Or Purchases (i) Your confidential infor-
Loss resultingfrom the motion; or
giving or
surrendering of property in any (ii) Weaknesses in th
exchange or purchase. source code within your
c. Fire computer system.
Loss or damage resultingfrom (2) But, this Exclusion does not
g apply under Insuring Agree
fire, however caused, except: ment A.6. to loss of "money'
(1) Loss of or damage to "money" "securities" or "other property"
and "securities'; and while outside the "premises" in
(2) Loss from damage to a safe or the care and custody of a
vault. "messenger" if you:
d. Money Operated Devices (a) Had no knowledge of an
threat at the time the con
Loss of property contained in any veyance began; or
money operated device unless
the amount of "money" deposited (b) Had knowledge of a threw
in it is recorded by a continuous at the time the conveyance
recording instrument in the de- began, but the loss was not
vice. related to the threat.
e. Motor Vehicles Or Equipment g. Vandalism
And Accessories Loss from damage to the 'prom-
Loss of or damage to motor ve- ices" or its exterior, or to any
hicles, trailers or semi-trailers or safe, vault, cash register, cash
equipment and accessories at- box, cash drawer or othe�
tached to them. property" by vandalism or ma-
licious mischief.
f. Transfer Or Surrender Of Prop- h. Voluntary Parting Of Title To Oi
e rty
(1) Loss of or damage to property Possession Of Property
after it has been transferred or Loss resulting from your, or any-
surrendered to a person or one acting on your express or
place outside the "premises" or implied authority, being induced
"banking premises": by any dishonest act to volun-
(a) On the basis of unauthor- tarily part with title to or pos
ized instructions; session of any property.
(b) As a result of a threat to do 4. Insuring Agreement A.7. does not
bodily harm to any person; cover:
(c) As a result of a threat to do a. Credit Card Transactions
damage to any property; Loss resulting from the use or
(d) As a result of a threat to purported use of credit, debit,
introduce a denial of service charge, access, convenience,
attack into your computer identification, stored-value of
system; other cards or the information
(e) As a result of a threat to contained on such cards.
Page 4 of 15 0 ISO Properties, Inc., 2005 CR 00 27 05 06 ❑
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b. Funds Transfer Fraud known to us.
Loss resulting from a "fraudulent (4) Notice of cancellation will '
instruction" directing a financial state the effective date of
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institution to transfer, pay or cancellation. The policy period
deliver "funds" from your "transfer will end on that date.
account". (5) If this policy is cancelled, we
c. Inventory Shortages will send the first Named In-
Loss, or that part of any loss, the sured any premium refund due.,
proof which as to its existence or If we cancel, the refund will be '
amount is dependent upon: pro rate. If the first Named In-
sured{1} An inventory; computation; or cancels, the refund may
be less than pro rata. The can-
(2) A profit and loss computation. cellation will be effective even
5. Insuring Agreement A.8. does not if we have not made or offered
cover: I a refund.
i I COMPUTER FRAUD (6) If notice is mailed, proof of
Loss resultingfrolm the use of anymailing will be sufficient proof
of notice.
computer to fraudulently cause a c. Changes
transfer of "money", "securities" or
"other property". This policy contains all the
agreements between you and us '
E. ConditionsI
concerning the insurance afford-
1. Conditions Applicable To All In- ed. The first Named Insured
suring Agreements shown in the Declarations is au-
a. Additional Premises Or Employ- thorized to make changes in the
ees terms of this policy with our
If, while this policy is in force, consent. This policy's terms can
you establish) any additional be amended or waived only by
"premises" or hire additional "em- endorsement issued by us and
ployees", such "premises" and made a part of this policy.
"employees" s',hail automatically d. Concealment, Misrepresentation
be covered under this policy. Or Fraud
Notice to us oft an increase in the This policy is void in any case of
number of "premises" or "em- fraud by you as it relates to ,this ,
ployees" need !not be given and policy at any time. It is also void
no additional premium need be if you or any other Insured, at
paid for the remainder of the anytime, intentionallyconceal or
PolicyPeriod shown in the Dec-
misrepresent a material fact con-
larations. cerning:
b. Cancellation Of Policy II , (1) This policy;
(1) The first Named Insured shown
in the Declarations may cancel (2) The property covered under'
this policy by mailing or de- thispolicy;
livering to us advance written (3) Your interest in the property
notice of cancellation. covered under this policy; or
(2) We may cancel this policy by (4) A claim under this policy.
mailing or !delivering to the
first Named Insured written e. Cooperation
notice of cancellation at least: Youcooperate
must co e prat with us in all
(a) 10 days before the effective matters pertaining to this policy
date of cancellation if we as stated in its terms and con-
e, cancel for nonpayment of ditions.
II premium; !or f. Duties In The Event Of Loss
(b) 30 days before the effective After you "discover" a loss or a
date of cancellation if we situation that may result in loss
cancel for any other reason. of or damage to "money", "secu-
(3) We will mail or deliver our rities" or "other property" you
notice to the first Named In- must:
sured's last! mailing address
,
CR 00?I27 05 06 i 0 iSO Properties, Inc., 2006 Page 5 of 15
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(1) Notify us as soon as possible. date.
I'li
if you have reason to believe j. Inspections And Surveys
that any loss (except for loss
covered under Insuring Agree- (1) We have the right to:
ment Al., A.2. or A.3.) involves (a) Make inspections and sur-
a violation of law, you must veys at any time;
also notify the local law en- (b) Give
forcement authorities. you reports on the
conditions we find; and
(2) Submit to examination under (c) Recommend changes.
oath at our request and give
us a signed statement of your (2) We are not obligated to make
answers. any inspections, surveys, re
(3) Produce for our examination all ports or recommendations and
pertinentod records. any such actions we do unj
dertake relate only to insure-IL
Give us a detailed, sworn proof bility and the premiums to be
of loss within 120 days. charged. We do not make
(5) Cooperate with us in the in- safety inspections. We do not
vestigation and settlement of undertake to perform the duty
any claim. of any person or organization
g. Employee Benefit Plans to provide for the health or
safety of workers or the public.
(1) The employee benefit plans And we do not warrant that
shown in the Declarations conditions: I
(hereafter referred to as Plan) (a) Are safe or healthful; or
are included as Insureds under
Insuring Agreement A.1. or A.2. (b) Comply with laws, regula-
(2) Any payment we make for loss tions, codes or standards.
sustained by any Plan will be (3) Paragraphs j.(1) and j.(2) apply
made to the Plan sustaining not only to us, but also to any
the loss. rating, advisory, rate service or
(3) The Deductible Amount appli- similar organization which
cable to Insuring Agreement surveyss,
insurance orin reticns,
A.1. or A.2. does not apply to surveys, reports or recom
loss sustained by any Plan. mendations.
h. Examination Of Your Books And k. Joint Insured
Records (1) If more than one Insured is
named in the Declarations, the
We may examine and audit your first Named Insured will act fo
books and records as they relate itself and for every other
to this policy at any time during
the Policy Period shown in the Insured for all purposes of this
Declarations and up to 3 years policy. If the first Named
afterward. Insured ceases to be covered,
i. Extended Period To Discover then the next Named Insured
Loss will become the first Named
Insured.
We will pay for loss that you (2) If any Insured or official of that
sustained prior to the effective Insured has knowledge of any
date of cancellation of this policy, information relevant to this
which is "discovered" by you no policy, that knowledge is con-I
later than 1 year from the date of sidered knowledge of every
that cancellation. Insured.
However, this extended period to (3) An "employee" of any Insured
"d
iscover"
loss terminates im- is considered to be an "em-
mediately upon the effective date ployee" of every Insured.
of any other insurance obtained
by you, whether from us or (4) If this policy or any of its
another insurer, replacing in coverages is cancelled as to
whole or in part the coverage any Insured, foss by
afforded under this policy, that Insured is coveeredred only if
it is discovered' by you no
whether or not such other insur-
once later than 1 year from the date
provides coverage for loss of that cancellation.
sustained prior to its effective
Page 6 of 15 0 ISO Properties, Inc., 2005 CR 00 27 05 06', ❑
However, this extended period place:
to discover' loss terminates
immediately"upon the effective (a) Partly during the Policy Pe-
riod shown in the Decla-
date of any other insurance rations; and I
1
, obtained by that Insured, Policy Pe-
insurer, during replacing in whole or riod(s) of any prior can-
in part the coverage afforded celled insurance that we or
under this policy, whether or any affiliate issued to you
not such other insurance pro- or any predecessor inl in- ,
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vides coverage for loss sus- terest;
tained prior, to its effective and this policy became ef-
date. festive at the time of can-
cellation of theprior insurance,
(5) We will not,pay more for loss
sustained by more than one we will first settle the amount.
Insured than the amount we of loss that you sustained 'du'r- ,
would pay if all such loss had ing this Policy Period. We' will
been sustained by one Insured. then settle the remaining '
6 Payment b y us to the first
amount of loss that you sus-
( ) Y Y
tained duringthe PolicyPe-
Named insured for loss sus- riod(s) of th prior insurance. '
tained by any Insured, other
than an employee benefit plan, (2) Loss Sustained Entirely Our- '
shall fully release us on ac- ing Prior Insurance
count of such loss. If you "discover" loss during
I. Legal Action Against Us the Policy Period shown in the
Declarations, resulting directly
You may not; bring any legal from an "occurrence" taking
action against us involving loss: place entirely during the Policy
(1) Unless you have complied with Period(s) of any prior cancelled
II all the terms', of this policy; insurance that we or any af-
(2) Until 90 days after you have filiate issued to you or any
filed proof of loss with us; and predecessor in interest, we will
(3) Unless brought within 2 years pay for the loss, provided:
from the date you "discovered" (a) This policy became effective'
the loss. at the time of cancellation
of the prior insurance; and;
' If any limitation in this Condition (b) The loss would have been
is prohibited bylaw, such lim-
covered under this policy
itation is amended so as to equal had it been in effect at the
the minimum period of limitation provided by such law. time of the "occurrence".
m. Liberalization I We will first settle the amount
of loss that you sustained dur-
If we adopt any revision that ing the most recent prior in-
would broaden the coverage un- surance. We will then settle
der this policy without additional any remaining amount of loss',
premium within 45 days prior to that you sustained during the
' or during the Policy Period shown Policy Period(s) of any other'
1 in the Declarations, the broad-
ened coverage, will immediately prior insurance.
apply to this policy. (3) In settling loss subject to this
n. Loss Sustained During Prior Condition:
Insurance Issued By Us Or Any (a) The most we will pay for
Affiliate the entire loss is the high-
(1) Loss Sustained Partly During eat single Limit of Insurance
This Policy And Partly During applicable during the period
Prior Insurance of loss, whether such limit
was written under this P o1-
If you "disc,over" loss during icy or was written under the
the Policy Period shown in the prior insurance issued by
1. Declarations, resulting directly
II from an "occurrence" taking us.
h
CR 00,27 05 06 1 0 ISO Properties, Inc., 2005 Page 7 of 15 ❑
(b) We will apply the applicable ($2,500) is settled first. Th
Deductible Amount shown amount we will pay is nil
in the Declarations to the ($0.00) because the amount
amount of loss sustained of loss is less than the
under this policy. If no loss Deductible Amount (i.e.,
was sustained under this $2,500 loss - $5,000
policy, we will apply the deductible =$0.00).
Deductible Amount shown 2. The remaining amount of
in the Declarations to the loss sustained under Polio+
amount of loss sustained B ($7,500) is settled next.
under the most recent prior The amount recoverable i
insurance. $5,000 after the remainin
If the Deductible Amount is Deductible Amount fror
larger than the amount of Policy A of $2,500 is applied
loss sustained under this to the loss (i.e., $7,500 lose
policy, or the most recent - $2,500 deductible =
prior insurance, we will ap- $5,000).
ply the remaining Deduct- The most we will pay for thi
ible Amount to the re- loss is $5,000.
maining amount of loss EXAMPLE NO. 2:
sustained during the prior
insurance. The insured sustained a coy
We will not apply any other ered loss of $250,000 resulting
Deductible Amount that directly from an "occurrence"
may have been applicable taking place during the terms
to the loss. of Policy A and Policy B.
(4) The following examples dem- POLICY A
onstrate how we will settle The current policy. Written at a
losses subject to this Con- Limit of Insurance of $125,000
dition E.1.n.: and a Deductible Amount of
EXAMPLE NO. 1: $10,000.
The insured sustained a coy- POLICY B
ered loss of $10,000 resulting Issued prior to Policy A.
directly from an "occurrence" Written at a Limit of Insurance
taking place during the terms of $150,000 and a Deductible
of Policy A and Policy B. Amount of $25,000.
POLICY A The amount of loss sustained
The current policy. Written at a under Policy A is $175,000 and
Limit of Insurance of $50,000 under Policy B is $75,000.
and a Deductible Amount of The highest single Limit of In-
$5,000. surance applicable to this en
POLICY B tire loss is $150,000 written
Issued prior to Policy A. under Policy B. The Policy A
Written at a Limit of Insurance Deductible Amount of $10,00
of $50,000 and a Deductible applies. The loss is settled asp
Amount of $5,000. follows:
The amount of loss sustained 1. The amount of loss sus-
under Policy A is $2,500 and tained under Policy A
under Policy B is . ($175,000) is settled first.
The amount we will pay ie
The highest single Limit of the Policy A Limit of
Insurance applicable to this $125,000 because $175,000
entire loss is $50,000 written loss - $10,000 deductible
under Policy A. The Policy A $165,000 which is greater
Deductible Amount of $5,000 than the $125,000 policy
applies. The loss is settled as limit.
follows:
1. The amount of loss sus-
tained under Policy A
Page 8 of 15 ISO Properties, Inc., 2005 CR 00 27 05 06 O
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2. The remaining amount of The amount we will pay is
loss sustained under Policy $250,000 (no deductible is,
B ($75,000) is settled next. applied).
The amount we will pay is 3. The amount of loss sus-
$25,000 (i.e., $150,000 Policy tained under Policy C"
B limit - $125,000 paid ($600,000) is settled next.
under Policy A =$25,000). The amount we will pay is
The most we will pay for this $500,000, the policy limit
loss is $150,000. (no deductible is applied).
EXAMPLE NO. 3: 4. We will not make any
The insured, sustained a cov-
ered loss of $2,000,000 re- cy D as the maximum
suiting directly from an "oc- amount payable under the,
currence" taking place during highest single Limit of In-
the terms of Policies A, B, C surance applying to the loss
and D. of $1,000,000 under Policy'A"
POLICY A has been satisfied. 1
The current policy. Written at a The most we will pay for this
loss is $1,000,000.
limit of Insurance of
$1,000,000 and a Deductible o. Loss Sustained During Prior In-
Amount of $100,000. surance Not Issued By Us Or
POLICY B Any Affiliate
Issued riot to Policy A. (1) if you "discover" loss during,
p the Policy Period shown in the,
Written at ai Limit of Insurance Declarations, resulting directly
of $750,000': and a Deductible from an "occurrence" taking,
Amount of $75,000. place during the Policy Period
POLICY C of any prior cancelled insur- i
Issued prior to Policy B. ance that was issued to you 'orl
apredecessor in interest b
Written at a, Limit of Insurance y;
another company, and the' e-
of $5000001 and a Deductible p y p
riod of time to discover loss
Amount of $50,000.
under that insurance had ex-
POLICY D pired, we will pay for the loss
Issued prior to Policy C. under this policy, provided:
Written at a Limit of Insurance (a) This policy became effective,
of $500,000 and a Deductible at the time of cancellation
Amount of $50,000. of the prior insurance; and'
The amount of loss sustained (b) The loss would have been!
under Policy A is $350,000, un- covered under this policy'
der Policy B is $250,000, under had it been in effect at the
Policy C is $600,000 and under time of the "occurrence".
Policy D is $800,000.
(2) In settling loss subject to this
The i hi hest sn le Limit of In-
g ' g Condition:
surance applicable to this
entire loss is $1,000,000 (a) The most we will pay for
written under Policy A. The the entire loss is the lesser
Policy A Deductible Amount of of the Limits of Insurance
$100,000 applies. The loss is applicable during the period'
settled as follows: of loss, whether such limit
1. The amount of loss sus-
1was written under this poi
tained under Policy A icy or was written under the:
($350,000) is settled first. prior cancelled insurance.
The amount we will pay is (b) We will apply the applicable,
$250,000 j(i.e., $350,000 loss Deductible Amount shown
- $100,000 deductible = in the Declarations to the
$250,000)L amount of loss sustained
2. The amount of loss sus under the prior cancelled
tained under Policy B insurance.
($250,000) is settled next.
' I
CR OO1127 05 06 0 ISO Properties, Inc., 2005 Page 9 of 15 ❑
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(3) The insurance provided under shown in the Dacia-
this Condition is subject to the rations;
following: whichever is greater. Our pay-
(a) If loss covered under this ment for loss is subject to the
Condition is also partially terms and conditions of this
covered under Condition policy.
E.1.n., the amount recov- (2) Excess Insurance
erable under this Condition
is part of, not in addition to, (a) When this policy is written
the amount recoverable un-
excess over other insurance,
der Condition E.1.n. we will only pay for the
(b) For loss covered under this amount of loss that exceeds
the Limit of insurance and
Condition that is not subject Deductible Amount of that
to Paragraph (3)(a), the other insurance, whether
amount recoverable under you can collect on it or not.
this Condition is part of, not Our payment for loss is
in addition to, the Limit of subject to the terms and
Insurance applicable to the conditions of this policy.
loss covered under this pol-
icy and is limited to the (b) However, if loss covered
lesser of the amount recov- under this policy is subject
arable under: to a Deductible, we will re
ll
(i) This policy as of its ef- duce the Deductible Amount
fective date; or shown in the Declarations
by the sum total of all sucl
iil
' (ii) The prior cancelled in- other insurance plus any
surance had it remained Deductible Amount appliI
in effect. cable to that other insur-
p. Other Insurance ante.
If other valid and collectible in- q. Ownership Of Property; Inter-
surance is available to you for ests Covered
loss covered under this policy, The property covered under this
our obligations are limited as fol- policy is limited to property:
lows:
(1) Primary insurance (1) That you own or lease; or
When this policy is written as (2) That you hold for others
i nry insurance, and: whether or not you are legally
prliable for the loss of such
(a) You have other insurance property.
subject to the same terms However, this policy is for you
and conditions as this pol- benefit only. It provides no right
icy, we will pay our share of or benefits to any other person or
the covered loss. Our share organization. Any claim for lost
is the proportion that the that is covered under this policy
1 applicable Limit of Insurance must in the Declarations be presented by you.
bears to the total limit of all r. Premiums 1
insurance covering the The first Named Insured shown in
same loss. the Declarations:
(b) You have other insurance (1) Is responsible for the payment
covering the same loss of all premiums; and
other than that described in
Paragraph (1)(a), we will (2) Will be the payee for any
only pay for the amount of return premiums we pay.
loss that exceeds: s. Records
(i) The Limit of Insurance You must keep records of al
and Deductible Amount property covered under this pol-
of that other insurance, icy so we can verify the amount
whether you can collect of any loss. 1
on it or not; or
(ii) The Deductible Amount
1
Page 10 of 15 4) ISO Properties, Inc., 2005 CR 00 27 05 06, ❑
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1
t. Recoveries to and including its face
(1) Any recoveries, whether ef- value.
fected before or after any (b) Loss of "securities" but only ;
II 1 payment under this policy, up to and including their
whether made by us or you, value at the close of bus-
shall be applied net of the iness on the day PP the loss
expense of such recovery: was "discovered". We may,
(a) First, to you in satisfaction
at our option:
of your .covered loss in (i) Pay the market value of
excess of the amount paid such "securities" or re-
under this policy; place them in kind, in
(b) Second, to us in satisfaction which event you must
of amounts paid in settle- assign to us all your
ment of your claim; rights, title and interest
(c) Third, to I ou in satisfaction in and orto those "se
Y curities"; or
of any Deductible Amount;
and 1 (ii) Pay the cost of any Lost
(d) Fourth, to you in satis- Securities Bond required
is-
factionin of any loss not connectioniawith tes of thesuing duplicates
covered under this policy. "securities". However, we
(2) Recoveries do not include any will be liable only for the
recovery: payment of so much of
(a) From insurance, suretyship, the cost of the bond as
reinsurance, security or in- would be charged for a
demnity taken for our bond having a penalty
benefit; or not exceeding the lesser
of the:
(b) Of original "securities" after I. Market value of 'the
II 1 duplicates of them have
been issued. "securities" at the
close of business on
u. Territory the day the loss was
This policy covers loss that you "discovered"; or
sustain resulting directly from an ii. The Limit of Insur- '
"occurrence" taking place within ance applicable to the
the United States of America securities.
(including its territories and pos-
sessions) and Puerto Rico. (c) Loss of or damage to "other
property" or loss from
v. Transfer Of Your Rights And damage to the "premises"
Duties Under This Policy or its exterior for the re-
Your rights and duties under this placement cost of the prop-
11 1 policy may not be transferred erty without deduction for ,
I without our written consent. depreciation. However, we
w. Transfer Of Your Rights Of Re- will not pay more than the
covery Against Others To Us least of the following:
You must transfer to us all your (i) The cost to replace the
rights of recovery against any lost or damaged property
person or organization for any with property of corn-
. loss you sustained and for which parable material and
we have paid . or settled. You quality and used for the
must also do everything neces- same purpose;
sary to secure those rights and (li) The amount you actually
11 do nothing after loss to impair spend that is necessary
them. i to repair or replace the
x. Valuation - Settlement lost or damaged prop-
erty; or
(1) The value of any loss for pur-
poses of coverage under this (Ill) The Limit of Insurance
policy shall be determined as applicable to the lost or
follows: damaged property.
(a) Loss of "money" but only up
CR 00 Ig,7 05 06 4 ISO Properties, Inc., 2005 Page 11 of 15 ❑
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With regard to Paragraphs c. Territory
x.(1)(c)(i) through x.(1)(c)(iii), We will pay for loss caused by
we will not pay on a any "employee" while temporarily
replacement cost basis for outside the territory specified in
any loss or damage: the Territory Condition E.1.u. for a
i. Until the lost or dam- period of not more than 90
aged property is consecutive days.
actually repaired or 3. Conditions Applicable To Insurin
replaced; and Agreement A,3.
ii. Unless the repairs or a. Deductible Amount
replacement are made
as soon as reasonably The Deductible Amount does not
possible after the loss apply to legal expenses pal
or damage. under Insuring Agreement A.3.
If the lost or damaged b. Electronic And Mechanical Sig
property is not repaired or natures
replaced, we will pay on an We will treat signatures that are
actual cash value basis. produced or reproduced elect
(2) Any property that we pay for tronically, mechanically or by
or replace becomes our other means the same as hand
property. written signatures.
2. Conditions Applicable To Insuring c. Proof Of Loss
Agreements A.1. And A.2. You must include with your proof
a. Indemnification of loss any instrument involved in
We will indemnify any of your that loss, or, if that is not pos
sible, an affidavit setting forth th
officials who are required by law amount and cause of loss.
to give individual bonds for the
faithful performance of their d. Territory
duties against loss through "theft" We will cover loss that you sus-
committed by "employees" who tain resulting directly from an
serve under them, subject to the "occurrence" taking place any-
applicable Limit of Insurance. where in the world. Territory
b, Termination As To Any Em- Condition E.1.u. does not apply to
ployee Insuring Agreement A.3.
This Insuring Agreement ter- 4. Conditions Applicable To Insurin
minates as to any "employee": Agreements A.5. And A.6.
(1) As soon as: a. Armored Motor Vehicle Com-
a) You; or panies
(b) Any of your officials or em- Under Insuring Agreement A.6.,
ployees authorized to man- we will only pay for the amount
age, govern or control your of loss you cannot recover:
"employees" not in collusion (1) Under your contract with the
with the "employee"; armored motor vehicle coma
learn of "theft" or any other pany; and
dishonest act committed by (2) From any insurance or in
the "employee" whether before demnity carried by, or for #h�
or after becoming employed benefit of customers of, the
by you. armored motor vehicle corn-
(2) On the date specified in a no- pany.
tics mailed to the first Named b. Special Limit Of Insurance For
Insured. That date will be at
least 30 days after the date of Specified Property
mailing. We will only pay up to $5,000 for
We will mail or deliver our any one "occurrence" of loss of
notice to the first Named In- or damage to manuscripts, draw-
sured's last mailing address ings, or records of any kind, o-
known to us. If notice is the cost of reconstructing them
mailed, proof of mailing will be or reproducing any information
sufficient proof of notice. contained in them.
Page 12 cif 15 0 ISO Properties, Inc., 2005 CR 00 27 05 0 El
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5.Conditions Applicable To Insuring mination is due to "theft" or
Agreement A.7. any other dishonest act
a. Special Limit Of Insurance For committed by the "ern- ,
Specified Property ployee";
We will only pay up to $5,000 for (b) Who you compensate di-
any one "occurrence" rectly loss of by salary, wages or
or damage to manuscripts, draw- commissions; and
ings, or record's of any kind, or (c) Who you have the right to
the cost of reconstructing them direct and control while
or reproducing any information performing services for you;
contained in them. (2) Any natural person who' is '
b. Territory furnished temporarily to you:
We will cover loss that you sus- (a) To substitute for a per-
tain resulting ,directly from an manent "employee" as de-
"occurrence" taking place any- fined in Paragraph a.(1), who
where in thei world. Territory is on leave; or
Condition E.1.u.,does not apply to (b) To meet seasonal or short-
Insuring Agreement A,7. term work load conditions;
F. Definitions while that person is subject to '
1. "Banking premises" means the in- your direction and control and
tenor of that portion of any building performing services for you,
occupied by a banking institution or excluding, however, any such
similar safe depository. person while having care and '
1 2. "Counterfeit money" means an custody of property outside
imitation of "money" that is intended the "premises";
to deceive and .to be taken as (3) Any natural person who is
genuine. I
a arementsed to yb tween underou ou an a d®a '
3. "Custodian" means you, or any labor leasing firm, to perform
"em-
ployee" while having care and cus- duties related to the conduct
tody of property inside the "prem-
ises", excluding any person while of your
abusiness,
but
ry does
not
acting as a watchperson or janitor.
as defined in Paragraph a.(2);
4. "Discover" or "discovered" means
the time when you first become (4) Any natural person who is:
1 aware of facts which would cause a (a) A trustee, officer, employee,
reasonable person' to assume that a administrator or manager,
loss of a type covered by this policy except an administrator or
has been or will be incurred, re- manager who is an in-
gardless of when, the act or acts dependent contractor, 1 of
causing or contributing to such loss any employee benefit plan;
occurred, even though the exact and
amount or details of loss may not
then be known. (b) An official of yours while
that person is engaged in '
"Discover" or "discovered" also handling "funds" or "other
means the time when you first property" of any employee
receive notice of an actual or benefit plan;
potential claim
in which it is alleged
(5) Any natural person who is a '
1 that you are liable to a third party former official, "employee', or i
under circumstances which, if true, trustee retained as a con-
would constitute a loss under this sultant while performing ser-
policy. vices for you; or
5. "Employee": I (6) Any natural person who is a'
a. "Employee" means: guest student or intern pur-
(1) Any natural person: suing studies or duties,
I. (a) While in ;
your service and excluding, however, any such
r he first 30 days person while having care and '
mediately after termination custody of property outside
is such the "premises".
of ser
vice',e, unless
1
CR 00,27 05 06 i 0 ISO Properties, Inc., 2005 Page 13 of 15 0
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b. "Employee" does not mean any (1) An individual act;
agent, independent contractor or (2) The combined total of all
representative of the same gen- separate acts whether or not
eral character not specified in related; or
Paragraph 5.a.
6. "Forgery" means the signing of the (3) A series of acts whether or not
name of another person or or- related;
ganization with intent to deceive; it committed by an "employee"
does not mean a signature which acting alone or in collusion with
consists in whole or in part of one's other persons, during the Policy
own name signed with or without Period shown in the Declarations,
authority, in any capacity, for any except as provided under Con=
purpose. dition E.1.n. or E.1.o.
7. "Fraudulent instruction" means: b. Under Insuring Agreement A.2.:
a. An electronic, telegraphic, cable, (1) An individual act;
teletype, telefacsimile or tele- (2) The combined total of all seer
phone instruction which purports arate acts whether or not
to have been transmitted by you, related; or
but which was in fact fraudulently (3) A series of acts whether or not
transmitted by someone else related;
without your knowledge or con- committed by each "employee"
sent; acting alone or in collusion with
b. A written instruction (other than other persons, during the Policy
those described in Insuring Period shown in the Declarations,
agreement A.3.) issued by you, except as provided under Cone
which was forged or altered by dition E.1.n. or E.1.o.
someone other than you without
your knowledge or consent, or c. Under Insuring Agreement A.3.:
which purports to knowledge or (1) An individual act;
consent, or which purports to
have been issued by you, but was (2) The combined total of all sep-
in fact fraudulently issued without arate acts whether or not re
your knowledge or consent; or lated; or
c. An electronic, telegraphic, cable, (3) A series of acts whether or not
teletype, telefacsimile, telephone related;
or written instruction initially re-
ceived by you which purports to committed by a person acting
have been transmitted by an alone or in collusion with other
"employee" but which was in fact persons, involving one or more
fraudulently transmitted by some- instruments, during the Policy
one else without your or the Period shown in the Declarations,
"employee's" knowledge or con- except as provided under Con-
sent. dition E.1.n. or E.1.o.
8. "Funds" means "money" and "se- d. Under All Other Insuring Agree'
curities". ments:
9. "Messenger" means you or any (1) An individual act or event;
"employee" while having care and
custody of property outside the (2) The combined total of all sep
"premises". orate acts or events whether
0. "Money" means: or not related; or
a. Currency, coins and bank notes in (3) A series of acts or event
current use and having a face whether or not related;
value; and committed by a person acting
b. Travelers checks, register checks alone or in collusion with other
and money orders held for sale to persons, or not committed by any;
the public. person, during the Policy Period
11. "Occurrence" means: shown in the Declarations, except
a. Under Insuring Agreement A.T.: as provided under Condition E.1.n.
or E.1.o.
Page 14 of 15 0 ISO Properties, Inc., 2005 CR 00 27 05 06, 0
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12. "Other property" means any tangible a meter) in current use; and
property other than "money" and b. Evidences of debt issued in
"securities" that has intrinsic value. connection with credit or charge
"Other property" ',does not include cards, which cards are not issued '
computer programs, electronic data by you;
or any property specifically excluded
under this policy. but does not include "money".
13. "Premises" means the interior of that 17. "hearty heft" ctans the edeprivationunlula taking
gtlo ,
portion of any building you occupy
in conducting your) business. Insured. I 1 1
14. "Robbery" means the unlawful taking 18. "Transfer account" means an ac-
of property from the care and cus- count maintained by you at a fi-
tody of a person by one who has: nancial institution from which you
a. Caused or threatened to cause can initiate the transfer, payment or
that person bodily harm; or delivery of "funds":
b. Committed an obviously unlawful a. By means of electronic, tele-
graphic, cable, teletype, tele-
act witnessed by that person. facsimile or telephone instruc-
15. "Safe burglary" means the unlawful tions communicated directly
taking of: through an electronic funds
a. Property from 1 within a locked transfer system; or
safe or vault by a person un- b. By means of written instructions
lawfully entering the safe or vault (other than those described in
as evidenced by marks of forcible Insuring Agreement A.3.) estab-
entry upon u its exterior; or lishingthe conditions under
b. A safe or vault from inside the which such transfers are to be
"premises". initiated by such financial in-
1 stitution through an electronic
1 16. "Securities" means negotiable and funds transfer system.
1 nonnegotiable instruments or con- 19. "Watchperson" means anyarson
tracts representing' either "money" or p
property and includes: you retain specifically to have care
a. Tokens, tickets, revenue and other and custody of property inside the
(whether represented bypremises" and who has no other
stamps
P duties.
actual stamps or unused value in
1
1
CR 00'127 05 06 0 ISO Properties, Inc., 2005 Page 15 of 15 G7
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ENDORSEMENT# 1
T is endorsement, effective 12;01 am December 31, 2008 forms a part of
policy number 01-420-38-13
ued to WASHINGTON CITIES INSURANCE AUTHORITY
b National Union Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
COVERAGE TERRITORY ENDORSEMENT
P.Ilyment of loss under this policy shall only be made in full compliance with all United
S.:tes of America economic or trade sanction laws or regulations, including, but not
li ited to, sanctions, laws and regulations administered and enforced by the U.S. Treasury
Department's Office of Foreign Assets Control ("OFAC").
v • � i
AUTHORIZED REPRESENTATIVE
END 001
89644 (7/05) Page 1 of 1
ENDORSEMENT# 2
CRIME AND FIDELITY
CR 02 10 08 07
This endorsement, effective 12:01 am December 31, 2008 forms a part of '
hpolicy number 01-420;-38-13 I
issued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Union' Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
WASHINGTON CHANGES
This endorsement modifies insurance provided under the following:
COMMERCIAL CRIME1POLICY
EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME POLICY
KIDNAP/RANSOM AND EXTORTION POLICY
A. The Cancellation Of PolicyCondition the refund will be pro rata. If the
is replaced by the following: first Named Insured cancels, the
CANCELLATION OF POLICY refund will be at least 90% of the
(1) The first Named' Insured shown in pro rata refund. The cancellation
will be effective even if we have
the Declarations may cancel this not made or offered a refund.
policy by mailing or delivering to
us advance written notice of can- (6) If notice is mailed, proof of mailing
cellation. will be sufficient proof of notice.
foll
owing o added We may cancel this policy by mail- B. The I wmg is ad ed and supersedes
ing or delivering Ito the first Named any other provision to the contrary:
Insured and the1 first Named In- NONRENEWAL
sured's agent or ;broker written no- 1. We may elect not to renew this
tice of cancellation, including the policy by mailing or delivering writ-
actual reason for the cancellation, ten notice of nonrenewal, stating
to the last mailing address known the reasons for nonrenewal, to the
to us, at least: first Named Insured and the first
(a) 10 days before the effective Named Insured's agent or broker, at
date of cancellation if we cancel their last mailing addresses known
for nonpayment of premium; or to us. We will also mail to any oth-
(b) 45 days before the effective er person shown in the policy to
date of cancellation if we cancel have an interest in any loss which
for any other (reason. may occur under this policy, at the
last mailing address known tol us,
(3) We will also mail or deliver to any written notice of renewal. We will
other person shown in this policy mail or deliver these notices at
to have an interest in any loss least 45 days before the:
which may occur, under this policy,
at their last mailing address known a. Expiration of the policy; or
to us, written notice of cancellation, b. Anniversary date of this policy if
prior to the effective date of can- this policy has been written for
cellation. This notice will be the a term of more than one year.
same as that mailed or delivered to Otherwise, we will renew this 'pol-
the first Named Insured.
icy unless:
(4) Notice of cancellation will state the a. The first Named Insured fails to
effective date of cancellation. The a the renewal
II policy period wild end on that date. pay premiumw after
we have expressed our willing
15) If this policy is cancelled, we will ness to renew, including a
send the first Named Insured any statement of the renewal pre-
premium refund due. If we cancel, mium, to the first Named, In-
END 002
CR 02 10 08 07 0 ISO Properties, Inc4006I Page 1 of 2 El
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i ,
ENDORSEMENT# 2 (continued)
sured and the first Named In- preciation. However, we will not
sured's insurance agent or pay more than the least of the fol-
broker, at least 20 days before lowing:
the expiration date; or a. The Limit of Insurance applica-
b. Other coverage acceptable to ble to the lost or damaged
the insured has been procured property;
prior to the expiration date of b. The amount it would cost to re-
the policy. place the lost or damageid
C The Transfer Of Rights Of Recovery property at the time of the loss
Against Others To Us Condition is re- with new property of comparal-
placed by the following: ble material and quality and
TRANSFER OF RIGHTS OF RECOVERY used for the same purpose; or
AGAINST OTHERS TO US c. The amount you actually spend
If any person or organization to or for that is necessary to repair or
whom we make payment under this replace the lost or damaged
insurance has rights to recover dam- property.
ages from another, those rights are 2. We will not pay on a replacement
transferred to us to the extent of our cost basis for any loss or damage:
payment. That person or organization a. Until the lost or damaged prop-
must do everything necessary to se- erty is actually repaired or reI
cure our rights and must do nothing placed; and
after loss to impair them.
D Paragraph (1)(c) of the Valuation - b. Unless the repairs or replace;
ment are made as soon as rea;
Settlement Condition is replaced by sonably possible after the loss
the following: or damage.
1. Loss of, or loss from damage to, If the lost or damaged
other property" or loss from dam- g property ill
age to the "premises" or its exterior not repaired or replaced,, we will
for the replacement cost of the pay on an actual cash value basis.
property without deduction for de-
A L OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
6:72
AUTHORIZED REPRESENTATIVE
END 002
Page 2 of 2 A ISO Properties, Inc4006I CR 02 10 08 07 0
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II
II
II ENDORSEMENT# 3
11
1• ,
i12:01 December 31,`Th s endorsement, effective dlll2008 forms a part of
G,poliicy number 01-4201;3$-13
lissued to WASHINGTON CITIES INSURANCE AUTHORITY
11
Illb National Union' Fire Insurance Company of Pittsburgh, Pa.
11
vP Y 9 ,
II
NOTICE OF CLAIM
(REPORTING BY E-MAIL)
II
11
IIIn consideration of the remium charged, it is herebyunderstood and agreed as follows:
P 9 9
III 1
Ii1. Email Reporting of Claims: In addition to the postal address set forth for any Notice of
II Claim Reporting under this policy, such notice may also be given in writing pursuant
to the policy's othler terms and conditions to the Insurer by email at the following
email address:
c-claim@aig•com
Your email must reference the policy number for this policy. The date of the
I Insurer's receipt of the emailed notice shall constitute the date of notice. ,
In addition to Notice of Claim Reporting via email, notice may also be given to,the i
Insurer by mailing such notice to: c-Claim'for Financial Lines, AIG Domestic Claims,
1,1 Inc., 175 Water Street, 9th Floor, New York, New York 10038 or faxing such notice to
(866) 227- 1750. I
1
2. Definitions: For this endorsement only, the following definitions shall apply:
,
III (a) "Insurer" means the "Insurer," "Underwriter" or "Company" or other name
II 'II specifically ascribed in this policy as the insurance company or underwriter for
this policy.p Y
(b) "Notice of Claim Reporting" means "notice of claim/circumstance," "notice of
II
loss" or other reference in the policy designated for reporting of claims, loss
or occurrences or situations that may give rise or result in loss under this
policy.
(c) "Policy means the policy, bond or other insurance product to which this
endorsementlis attached.
11 I
3. This endorsement] does not apply to any Kidnap & Ransom/Extortion Coverage
IIISection, if any, provided by this policy. ,
TALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
11 1,1
I ,
II
II
1: 4 , 4
1,
II,
1 ,
I �
AUTHORIZED REPRESENTATIVE
II 1
ill
®American International Group, Inc. All rights reserved
p g
I
END 003
I(99758 (i8 08 1
1,1di
/ ) Page
11
II
1
ENDORSEMENT# 4
CRIME AND FIDELITY
CR 25 19 05 06
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01.420-38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
b • National Union Fire Insurance Company of Pittsburgh, Pa.
T IS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADD FAITHFUL PERFORMANCE OF DUTY COVERAGE
GOVERNMENT CRIME COVERAGE
FOR GOVERNMENTFORM EMPLOYEES
T is endorsement modifies insurance provided under the following:
GOVERNMENT CRIME POLICY
a d applies to the Insuring Agreements designated below:
SCHEDULE
Insuring Agreement Limit Of Insurance
lA Employee Theft - Per Loss Coverage $2,500,000
J Employee Theft - Per Employee Coverage
Ir'formation required to complete this Schedule, if not shown above, will be shown in
the Declarations.
1. The following is added to the Employee ployee", except the conversion of
Theft Insuring Agreement designated property of other parties held b'
above: you in any capacity.
We will pay for loss or damage to 3. The Indemnification Condition is re-
"money", "securities" and ."other prop- placed by the following:
erty" resulting directly from the failure We will indemnify any of your officialls
of any "employee" to faithfully perform who are required by law to give bonds
his or her duties as prescribed by law, for the faithful performance of thek
when such failure has as its direct and duties against loss through the failur
immediate result a loss of your covered of any "employee" under the super-
property. The most we will pay for loss vision of that official to faithfully pert
arising out of any one "occurrence" is form his or her duties as prescribed b,
the Limit of Insurance shown in the
eCt
Schedule. That Limit, is part of, not in law, when such failure has as its dyour
addition to, the Limit of Insurance and immediate result a loss of your
covered property.
shown in the Declarations.
2. 4. Part Cl) of the Termination As To Any
The following exclusions are added to
Employee Condition is replaced by the
Section D.2. Exclusions: following:
a. Loss resulting from the failure of (1) As soon as:
any entity acting as a depository for
your property or property for which (a) You; or
you are responsible. (b) Any official or employee auth-
b. Damages for which you are legally orized to manage, govern or
liable as a result of: control your "employees" learn of
any act committed by the "em
(1) The deprivation or violation of the ployee" whether before or after
civil rights of any person by an becoming employed by you which
"employee"; or would constitute a loss covered
(2) The tortious conduct of an "ern- under the terms of the Employe
END 004
CR 25 19 05 06 C. ISO Properties, Inc., 005I Page 1 of 2 0
I I
ENDORSEMENT# 4 (Continued)
Theft Insuring Agreement, as amend-
' ed by this endorsement.
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED,
ic.2
_ I '
AUTHORIZED REPRESENTATIVE
END 004
Page 2''of 2 0. ISO Properties, Inc.,?0051 CR 25 19 05 0,6 CI
I
ENDORSEMENT# 5
CRIME AND FIDELITY
CR 25 20 08 .7
This endorsement, effective 12:01 am December 31, 2008 forms a part of
pilicy number 01-420-38-13
issued to NASHINGTON CITIES INSURANCE AUTHORITY
b5 National Union Fire Insurance Company of Pittsburgh, Pa,
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADD CREDIT, DEBIT OR CHARGE CARD FORGERY
This endorsement modifies insurance provided under the following:
COMMERCIAL CRIME COVERAGE FORM
COMMERCIAL CRIME POLICY
EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME COVERAGE FORM
GOVERNMENT CRIME POLICY
and applies to the Forgery Or Alteration Insuring Agreement:
SCHEDULE
Limit Of Insurance Covered Instruments
$12,500,000 x includes written Instruments required in
conjunction with any credit, debit or charge
card issued to you or any "employee" for
business purposes.
Limited to written Instruments required in
conjunction with any credit, debit or charge
card Issued to you or any "employee" for
business purposes.
Iriformation required to complete this Schedule, if not shown above, will be shown in
tie Declarations.
1. Covered Instruments either includes or 3. The following exclusion is added to
is limited to, whichever is indicated as Section D.:
applicable in the Schedule, written The Forgery Or Alteration Insuring
' instruments required in conjunction Agreement does not apply to:
with any credit, debit or charge card issued to you or any "employee" for NON-COMPLIANCE WITH CREDIT,
business purposes. DEBIT OR CHARGE CARD ISSUER'S
2. The most we will pay in any one
REQUIREMENTS
"occurrence" is the Limit of Insurance Loss arising from any credit, debit or
shown in the Schedule. charge card if you have not complied
fully with the provisions, conditions Or
other terms under which the card was
issued.
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
a „:32.
AUTHORIZED REPRESENTATIVE
END 005
CR 25 20 08 07 Q ISO Properties, Inc.4006l Page 1 of " ❑
ENDORSEMENT# 6
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-42038-13
illissued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Union Fire Insurance Company of Pittsburgh, Pa.
ADDITIONAL NAMED INSURED
ADDITIONAL NAMED INSURED
This endorsement modifies insurance provided under the following:
COMMERCIAL CRIME POLICY
GOVERNMENT CRIME POLICY
Schedule
Thel following Insured(s) is/are added as Named Insured(s):
NAMED INSURED
Aberdeen
Arlington
1 Auburn
Bainbridge Island
Battle Ground
Benton City
Bonney Lake
Bothell
Burien
II Burlington
Camas
Cashmere
Centralia
Chehalis
II Chelan
Cheney
Clarkston
Clyde Hill
Coupeville
Covington
11,
11
END
,I I
ENDORSEMENT# 6 (Continued}
T is endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-420-38-13
i-sued to WASHINGTON CITIES INSURANCE AUTHORITY
b National Union Fire Insurance Company of Pittsburgh, Pa.
owlitz-Wahkiakum Council of
1.overnments
14 es Moines
dIgewood
„dmonds
:lima
emergency Services
1 iumclaw
ii deral Way
life
is eorge
Iloldendale
41 randview
€frays Harbor 911
Iloquiam
1 saquah
Kelso
llenmore
gent
rkland
Conner
.cey
:ke Forest Park
:ke Stevens
kewood
avenworth
•ng Beach
•ngview
•TT
abton
END 6
i
ENDORSEMENT# 6 (Continued)
,This endorsement, effective 12:01 am December 31, 2008 forms a part of
fpolicy number 01-420J38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
'by National Union Fire Insurance Company of Pittsburgh, Pa.
Maple Valley
Marysville
Marysville Fire Dist.
1 McCleary
Medical Lake
Me'dina
Mercer Island
Metropolitain Park District
Mill Creek
Milton
Monroe
Monroe Fire District '
Moses Lake
I Mount Vernon
Mountlake Terrace
Mukilteo
Multi-Agency Communications
(MACC 911)
1 Newcastle
Normandy Park
North Bonneville
Northshore Utility District
Oak Harbor
Ocean Shores
Olympia
Othello
Port Angeles
Port Townsend
Pullman
;Puyallup
11 I END6
ENDORSEMENT# 6 (Continued)
T is endorsement, effective 12:01 am December 31, 2008 forms a part of
pi licy number 01-420-38-13
i- ued to WASHINGTON CITIES INSURANCE AUTHORITY
b National Union Fire Insurance Company of Pittsburgh, Pa.
"ichland
1
'.ammamish
I I
Ilhelton
horeline
'�Iilver lake Water &Sewer Dist.
IIlkagit 911
I
nohomish
1Inohomish Communications
'•nohomish Police Auxiliary Comm.
IInoqualmie
Ioap Lake
Ipokane Valley
itanwoodm Iteilacoo
I
1lumner
hurston Regional Planning
oppenish
umwater
nion Gap
Iniversity Place
galley Communications
I
?alley Regional Fire Authority
1Varden
1JNJashougal
\'Vestport
WI oodinville
\Noodway
Ilakima Conference of Govts.
illah
END 6
II I
ENDORSEMENT# 6 (Continued)
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-420-38-13
,issued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Union Fire Insurance Company of Pittsburgh, Pa.
No Limit of Insurance during any period will be cumulative with any other amount
applicable to the same coverage during any other period.
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
4 � 4
AUT ORIZED REPR EN ATIVE
American International Group, Inc. All rights reserved.
END 6
ENDORSEMENT# 7
CRIME AND FIDELITY
CR 20 02 08 07
This endorsement, effective December 31, 2008 forms a part of .
p licy number 01.420.38.13
is ued to WASHINGTON CITIES INSURANCE AUTHORITY
b National Union Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
POLICY CHANGE
(LOSS SUSTAINED FORM)
This endorsement modifies insurance provided under the Loss Sustained Form version of
th5 following:
COMMERCIAL CRIME COVERAGE FORM
COMMERCIAL CRIME POLICY
EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME COVERAGE FORM
GOVERNMENT CRIME POLICY
SCHEDULE
Change Number Date Of Issue Effective Date Of Change
12:01 A.M. on:
1 December 31, 2008 December 31, 2008
The Named Insured is changed to:
The following Insured(s) is added as a Named Insured:
The following Insured(s) is deleted as a Named Insured:
The Mailing Address is changed to:
The Policy Period is:
Extended to: Reduced to:
The following Insuring Agreement{s) is:
Added to the Coverage Form/Policy
Insuring Agreement(s) Limit Of Insurance Deductible Amount
END 007
CR 20 02 08 07 0 ISO Properties, lnc.,?006I Page 1 of 3 ❑
•
ENDORSEMENT# 7 (continued)
nDeleted from the Coverage Form/Policy
Insuring Agreements) Limit Of Insurance Deductible Amount
XI
Changed as respects the Limit(s) of Insurance and/or Deductible Amount(s)
Insuring Agreement(s) Limit Of Insurance Deductible Amount
Olympia, Richland, and Auburn $25,000
The following Endorsements) is:
Added to the Covierage Form/Policy •
Endorsement(s) Limit Of Insurance
Deleted from the 'Coverage Form/Policy
Endorsement(s) Limit Of Insurance
nChanged as respects the Limits) of Insurance
Endorsement(s) Limit Of Insurance
Information required tolcomplete this Schedule, if not shown above, will be shown in
the Declarations.
Application of changes affected by this an "occurrence" taking place at any
Endorsement: time, whether before or after the Addition Of Deductible Or Increase In Ef-
fective7. Date of Change which is "dis-
covered by you after the Effective
Deductible Amount Date of change,
This change applies to loss or damage 2. Deletion Of Coverage Or Decrease In
that you sustain resulting directly from Deductible Amount
END 007
Page 2lof 3 ek ISO Properties, Inc., 2006 CR 20 02 08 07 ❑
ENDORSEMENT# 7 (continued)
This change applies to loss or damage you after the Effective Date of
that you sustain resulting directly from change; and also
an "occurrence" taking place at any b. Before the Effective Date of Change
time, whether before or after the Ef- if "discovered" by you after 1 year
fective Date of Change which is "dis- from that date.
covered" by you after the Effective
Date of change. 3. All Changes Other Than In Para-
graphs 1. And 2.
2 Deletion Of Coverage Or Decrease In This change applies to loss or damage
Limit Of Insurance
that you sustain resulting directly from
This change applies to loss or damage an 'occurrenceT� taking place on or
that you sustain resulting directly from after the Effective Date of Change
an "occurrence" taking place: which is "discovered" by you after the
a. On or after the Effective Date of Effective Date of change.
Change which is "discovered" by
i Accepted
I
First Named Insured:
I
Name:
I
Title:
A L OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
1
a
6:::2
AUTHORIZED REPRESENTATIVE
END 007
CR 20 02 08 07 0 ISO Properties, Inc4006( Page 3 of 3 0
II I 1
ENDORSEMENT# 8
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-420;38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Union:Fire Insurance Company of Pittsburgh, Pa,
BONDED EMPLOYEES EXCLUSION DELETED
II
This endorsement modifies insurance provided under the following:
GOVERNMENT CRIME POLICY
In Section D. Exclusions, subparagraph 2., the exclusion entitled Bonded Employees is
deleted in its entirety.
jALLIOTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
(---7/ 62
AUTHORIZED REPRESENTATIVE
American International Group, Inc. All rights reserved
END 008
9541948/017) Page 1 of 1
ENDORSEMENT# 9
T is endorsement, effective 12:01 am December 31, 2008 forms a part of
p licy number 01-420-38-13
i ued to WASHINGTON CITIES INSURANCE AUTHORITY
i Y
b National Union Fire Insurance Company of Pittsburgh, Pa,
CRIME ADVANTAGES"
This endorsement modifies insurance provided under the following:
GOVERNMENT CRIME POLICY
1. E. Conditions, Conditions Applicable To Insuring Agreements A.1. And A.2.,
Termination As To Any Employee, section (2) is deleted in its entirety and replaced
with the following:
(2) On the date specified in a notice mailed to the first Named Insured. That
date will be at least 60 days after the date of mailing.
We will mail or deliver notice to the first Named insured's last mailing
address known to us. If notice is mailed, proof of mailing will be
sufficient proof of notice.
2. E. Conditions, Conditions Applicable To All Insuring Agreements, Cancellation Of
Policy, section (2) is deleted in its entirety and replaced with the following:
(2) We may cancel this policy by mailing or delivering to the first Named
Insured written notice of cancellation at least:
(a) 10 days before the effective date of cancellation if we cancel for
non-payment of premium; or
(b) 60 days before the effective date of cancellation if we cancel for
any other reason.
3. F. Definitions, "Employee," a. (1)(a) is deleted in its entirety and replaced with the
following:
(a) While in your service and for the first 60 days immediately after
termination of service, unless such termination is due to "theft" or any
other dishonest act committed by the "employee';
4. F. Definitions, "Employee," a. is amended by adding the following at the end
thereof:
"Employee" is also deemed to include:
(a) Any of your directors, trustees or non-compensated officers while
performing acts within the scope of the usual duties of an
"employee"
(b) Any of your directors or trustees who are members of any of your
elected or appointed committees to perform on your behalf
specific, as distinguished from general, directorial acts
(c) Students gaining work experience
(d) Any non-compensated natural person other than one who is a fund
solicitor, while performing service for you that are usual to the
'American International Group, Inc. All rights reserved
END 009
95427 (8/07) Page 1 of 2
ENDORSEMENT# 9 (continued)
(e) Any of your part-time "employees"
(f) Any natural person, whether or not compensated, while performing ,
services for you as the chairman, or a member of any committee
5. With respect to a ,foss for which coverage is provided by this policy and which is
sustained partly during the period of other policies providing coverage for such loss
issued to you or to any predecessor in interest of yours and terminated or canceled
or allowed to expire as of the inception date of this policy, the amount of the
deductible that is applicable to the portion of the loss sustained during this Policy
Period shall be reduced, in whole or in part, by:
(a) The amount of the loss which is sustained by you during the period of
such other policies if such loss is less than the amount of the deductible
applicable to that loss under such other policies, or
(b) The amount of the deductible applicable to the loss sustained by you
during the period of such other policies if the applicable deductible is
less than the amount of the loss sustained during such period.
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
AUTHORIZED REPRESENTATIVE
American International Group, Inc. All rights reserved
END 009
9542711(8IQ7) Page 2 of 2
ENDORSEMENT# 30
CRIME AND FIDELITY
CR 25 12 08 07
T1 is endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-420-38-13
i ued to WASHINGTON CITIES INSURANCE AUTHORITY
b National Union Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
INCLUDE TREASURERS OR TAX COLLECTORS
AS EMPLOYEES
T is endorsement modifies insurance provided under the following:
GOVERNMENT CRIME COVERAGE FORM
GOVERNMENT CRIME POLICY
SCHEDULE
1 Treasurers Or Tax Collectors
Any Treasurers or Tax Collector of any of those named as Insured
1
1
1
nformation required to complete this Schedule, if not shown above, will be shown in
he Declarations.
1. The definition of "employee" is amend-
ed to include your treasurers or tax
collectors shown in the Schedule.
2. Exclusion D.2.d. Treasurers Or Tax Col-
lectors is deleted.
AL_ OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
(.7.X 62. f4i.
AUTHORIZED REPRESENTATIVE
END 010
CR 25 12 u8 07 0 ISO Properties, Inc.,?0061 Page 1 of 1 ❑
ENDORSEMENT# 11
CRIME AND FIDELITY
CR 25 41 08 07
•
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy number 01-4201 38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
'by National Unionl Fire Insurance Company of Pittsburgh, Pa,
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
INCLUDE DESIGNATED PERSONS OR CLASSES
OF PERSONS AS EMPLOYEES
'This endorsement modifies insurance provided under the following:
COMMERCIAL CRIME COVERAGE FORM
COMMERCIAL CRIME POLICY
11 EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME COVERAGE FORM
GOVERNMENT CRIME POLICY
and applies to the Employee Theft Insuring Agreement:
SCHEDULE
Persons Or Classes Of Persons
Interim
nt rim Financial Director
Information required to complete this Schedule, if not shown above, will be shown in '
the Declarations.
The definition of "employee" is amended to
include any natural person or group of
persons named or described in the Schedule.
1
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
it Cam'.
AUTHORIZED REPRESENTATIVE
END 011
CR 2541 08 07 0 ISO Properties, Inc.,?006I Page 1 of1 1 0
ENDORSEMENT# 12
This en. rsement, effective 12:01 am December 31, 2008 forms a part of
policy n 'mber 01-420-38-13
issued ti. WASHINGTON CITIES INSURANCE AUTHORITY
1
by ational Union Fire Insurance Company of Pittsburgh, Pa.
FORMS INDEX ENDORSEMENT
The con ents of the Policy is comprised of the following forms:
EDITION
FORM N ,MBER DATE FORM TITLE
CRDSO4 08/07 GOVERNMENT CRIME POLICY DECLARATIONS
CR0027 05/06 GOVERNMENT CRIME POLICY (LOSS SUSTAINED FORM)
89644 07/05 COVERAGE TERRITORY ENDORSEMENT (OFAC)
CR0210 08/07 WASHINGTON CHANGES
99758 08/08 NOTICE OF CLAIM (REPORTING BY E-MAIL)
CR2519 05/06 ADD FAITHFUL PERFORMANCE OF DUTY COVERAGE FOR GOVERNMENT
EMPLOYEES
CR2520 08/07 ADD CREDIT, DEBIT OR CHARGE CARD FORGERY
ADDITIONAL NAMED INSURED
CR2002 08/07 POLICY CHANGE (LOSS SUSTAINED FORM)
95419 08/07 BONDED EMPLOYEES EXCLUSION DELETED
95427 08/07 CRIME ADVANTAGE
CR2512 08/07 INCLUDE TREASURER OR TAX COLLECTORS AS EMPLOYEES
CR2541 08/07 INCLUDE DESIGNATED PERSONS OR CLASSES OF PERSONS AS EMPLOYEES
78859 10/01 FORMS INDEX ENDORSEMENT
AL , OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
42 b/ 4.
AUTHORIZED REPRESENTATIVE
END 012
78859 (10 101) Page 1 of 1
National Union Fire Insurance Company of Pittsburgh, Pa.
CLAIM REPORTING INFORMATION SHEET
Reporting Under Policy/Bond Number: 01-420-38-13
Type Of Coverage: GC0700
Insured's Name, As Given On Policy Declaration(Face Page):
WASHINGTON CITIES INSURANCE AUTHORITY
Contact Person:
Title:
Phone:_( ) - Ext
Case or Claimant Name:
If The Party Involved is Different From "Insured" Name (As Given On The Policy
Declaration) State
Relationship:
Insurance Broker/Agent:' MARSH USA, INC.
Address: 500 W MONROE;ST #3600
CHICAGO, IL 60661
Contact: PAULEAN THOMAS
Phone:
Please Provide The Information Requested Above So That We Can Expedite Our Service To
You.
Send Notice Of Claims To:
c-Claim for Financial Lines Phone: (888) 602-5246
AIG Domestic Claims, Inc. Fax: (866) 227- 1750
175 Water Street Email: c-Claim@AIG.com
9th Floor
New York, NY 10038
centralized Customer Link and Information Management
ENDORSEMENT# 13
CRIME AND FIDELITY
CR20020807
This endorsement, effective January 1, 2009 forms a part of
pplicy number 01.420.38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Union Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
POLICY CHANGE
(LOSS SUSTAINED FORM)
This endorsement modifies insurance provided under the Loss Sustained Form version of
the following:
COMMERCIAL CRIME COVERAGE FORM
COMMERCIAL CRIME POLICY
EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME COVERAGE FORM
GOVERNMENT CRIME POLICY
SCHEDULE
Change Number Date Of issue Effective Date Of Change
12:01 A.M. on:
2 January 28, 2009 January 1. 2009
I j
The Named Insured is changed to:
The following Insured(s) is added as a Named Insured:
Snohomish County Emergency Radio System : City of Renton
The following Insured(s) is deleted as a Named Insured:
The Mailing Address Is changed to:
The Policy Period is:
Extended to: Reduced to:
The following Insuring Agreement(s) is:
Added to the Coverage Form/Policy
Insuring Agreement(s) Limit Of Insurance Deductible Amount
END 013
CR 20 02 38 07 0 ISO Properties, Inc.,2006 Page 1 of 3 ❑
ENDORSEMENT# 13 (continued)
ElDeleted from the Coverage Form/Policy
Insuring Agreement(s) Limit Of Insurance Deductible Amount,
Changed as respects the Limit(s) of Insurance and/or Deductible Amount(s)
Insuring Agreement(s) Limit Of Insurance Deductible Amount
The following Endorsement(s) is:
Added to the Coverage Form/Policy
Endorsement(s) Limit Of Insurance
Deleted from the'Coverage Form/Policy
Endorsement(s) Limit Of Insurance
Changed as respects the Limit(s) of Insurance
Endorsement(s) Limit Of Insurance
Information required to, complete this Schedule, if not shown above, will be shown in
the Declarations.
Application of changes affected by this an "occurrence" taking place at any
Endorsement: time, whether before or after the Ef-
fective1. Addition Of Deductible Or Increase to Date of Change which is 'dis-
Amount covered" by you after the Effective
Deductible
Date of change.
This change applies to loss or damage 2. Deletion Of Coverage Or Decrease In
that you sustain resulting directly from Deductible Amount
END 013
Page 2 of 3 c ISO Properties, Inc.,2006 CR 20 02 08 07 ❑
ENDORSEMENT# 13 (continued)
This change applies to loss or damage you after the Effective Date of
that you sustain resulting directly from change; and also
an "occurrence" taking place at any b. Before the Effective Date of Chang
time, whether before or after the Ef- if "discovered" be
J
fective Date of Change which is "dis- Y you after 1 year
from that date.
covered" by you after the Effective
Date of change. 3. All Changes Other Than In Para-
2. Deletion Of Coverage Or Decrease In graphs 1. And 2.
Limit Of Insurance This change applies to loss or damage
that you sustain resulting directly from
This change applies to loss or damage an "occurrence" taking place on oir
that you sustain resulting directly from after the Effective Date of Change
an "occurrence"taking place: which is "discovered" by you after the
a. On or after the Effective Date of Effective Date of change.
Change which is "discovered" by
Accepted
First Named Insured:
Nlme:
T tie:
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
a c:::2 4
AUTHORIZED REPRESENTATIVE
END 013
CR 20 02 08 07 4 ISO Properties, Inc.,?0061 Page 3 of 3 ❑
ENDORSEMENT# 14
CRIME AND FIDELITY,
CR 20 02 08 07
This endorsement, effective December 31, 2008 forms a part of
I:policy number 01-4201-38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
by National Unionl Fire Insurance Company of Pittsburgh, Pa.
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
POLICY CHANGE
(LOSS SUSTAINED FORM)
This endorsement modifies insurance provided under the Loss Sustained Form version, of
'the following:
COMMERCIAL CRIME COVERAGE FORM
'COMMERCIAL CRIME POLICY
,EMPLOYEE THEFT AND FORGERY POLICY
GOVERNMENT CRIME COVERAGE FOR
M
GOVERNMENT CRIME POLICY
SCHEDULE.
Change Number Da
te ate Of Issue Effective Date Of Change
3 January 28, 2009 12:01 A.M. on:December 31, 2008
The Named Insured is changed to:
I ' '
;The following Insured(s) is added as a Named Insured:
The following Insured(s) is deleted as a Named Insured:
City of Sammamish
'The Mailing Address is changed to:
II
The Policy Period is:
Extended to: Reduced to:
,The following Insuring Agreement(s) is:
nAdded to the' Coverage Form/Policy
Insuring Agre;ement(s) Limit Of Insurance Deductible Amount'
END 074
CR 20',02 08 07 0 ISO Properties, Inc.,2006 Page 110 a O
ENDORSEMENT# 14 (continued)
Deleted from the Coverage Form/Policy
Insuring Agreement(s) Limit Of Insurance Deductible Amount
II Changed as respects the Limit(s) of Insurance and/or Deductible Amount(s)
1
Insuring Agreement(s) Limit Of Insurance Deductible Amount
e following Endorsement(s) is:
Added to the Coverage Form/Policy
II Endorsement(s) Limit Of Insurance
, I Deleted from the Coverage Form/Policy
1
I Endorsement(s) Limit Of insurance
Changed as respects the Limit(s) of Insurance
1
Endorsement(s) Limit Of Insurance
I
I formation required to complete this Schedule, if not shown above, will be shown in
t ie Declarations.
Ap lication of changes affected by this an "occurrence" taking place at any
En orsement: time, whether before or after the Ef-
fective ddltion Of Deductible Or Increase In fective Date of Change which is "dis-
covered' by you after the Effective
beductible Amount Date of change.
his change applies to loss or damage 2. Deletion Of Coverage Or Decrease In
that you sustain resulting directly from Deductible Amount
END 014
Page 2 of 3 Q ISO Properties, lnc.,2006 CR 20 02 08 07 0
ENDORSEMENT# 14 (continued)
This change applies (to loss or damage you after the Effective Date of
thatyou sustain resultingdirectlyfrom change; and also
9
Ian "occurrence" taking place at any b. _Before the Effective Date of Change '
time, whether before or after the Ef- if "discovered" by you after 1 year
fective Date of Change which is "dis- from that date.
'covered" by you after the Effective
Date of change. 3. All Changes Other Than In Para-
2. Deletion Of Coverage Or Decrease In graphs 1. And 2.
Limit Of Insurance This change applies to loss or damage
that you sustain resulting directly from
This change applies to loss or damage an 'occurrence" taking place on or
that you sustain resulting directly from after the Effective Date of Change
an "occurrence" taking place: which is "discovered" by you after the
a. On or after the Effective Date of Effective Date of change.
Change which is "discovered" by
•
Accepted
First Named Insured:
Name: I
Title:
'ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
(1/1 672.
AUTHORIZED REPRESENTATIVE
I �
END 014
CR 20 02 08 07 ® ISO Properties, Inc. 3
A ,�006� Page 9 of 3 0
ENDORSEMENT# 15
This endorsement, effective 12:01 am December 31, 2008 forms a part of
policy ni.Jmber 01-420-38-13
issued to WASHINGTON CITIES INSURANCE AUTHORITY
by PationaT Union Fire Insurance Company of Pittsburgh, Pa,
FORMS INDEX (AMENDED)
In consi eration of the premium charged, it is hereby understood and agreed that the "Forms Index"
Endorse ent is amended to include the following:
EDITION
FORM N MBER DATE FORM TITLE
CR2002 08/07 POLICY CHANGE (LOSS SUSTAINED FORM)
CR2002 08/07 POLICY CHANGE (LOSS SUSTAINED FORM)
01/05 FORMS INDEX (AMENDED)
ALL OTHER TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
I
4
AUTHORIZED REPRESENTATIVE
END 015
(1/05) Page 1 of 1
POLICYHOLDER NOTICE
11 Thank you for purchasing insurance from a member company of American
International Group, Inc. (AIG). The AIG member companies generally pay
compensation to brokers and independent agents, and may have paid
compensation in connection with your policy. You can review and obtain
information about the nature and range of compensation paid by AIG member
companies to brokers and independent agents in the United States by visiting
our website at www.aigproducercompensation.com or by calling AIG at
1-800-706-3102.
91222 (7/06)
::WH ILlllt5 1N5UKHNLt ' I-B.X:4t51(((242 . Iiec 1L LUUL lu:LS I,.Y-
rl EVIDENCE OF PROPERTY INSURANCE • ISSUE OATS(MhVDD/VY)
. 9/16/02
THIS'IS EVIDENCE THAT ''INSURANCE AS IDENTIFIED BELOW HAS BEEN ISSUED, IS IN FORCE, AND _'
CONVEYS ALL THE RIGHTS AND PRIVILEGES AFFORDED UNDER THE POLICY.
PRODUCER 1 COMPANY CIlYbF RENTON
ROBERT F. DRIVER COMPANY, INC.
P.O.BOX 6450 ! AS PER SCHEDULE ATTACHED DEC I 2 200�NEWPORT BEACH. CA 92658.6450
Ph (949)756-0271 / Fax(949)756-2713
LICENSE NO.0084379 RECEIVED
cops I EUe•cooe CITY CLERK'S OFFICE
INSURED LOAN NUMBER i POLICY NUMBER
NATIONAL PUBLIC ENTITY EXCESS PROGRAM MEMBER: i VARIOUS PER ATTACHED
WASHINGTON CITIES INSURANCE AUTHORITY AND ITS EFFECTIVE DATE(MWOO/YY) I EXPIRATION DATE(MIwDDIVVI CONT.UNTIL ' f"�
I '! TERMINATED 1 LJ
MEMBER; 09/01/02 09/01/03 '' IF CHECKED
CITY OF RENTON THIS REPLACES PRIOR EVIDENCE DATED:
CIO P.O.BOX 1165 '
RENTON,WA 98057 ,
PROPERTY INFORMATION • :`•
LDCAAS PER'SCHEDULE OF LOCATIONS WITH THE INSURANCE COMPANY AND ROBERT F. DRIVER ASSOCIATES '
'
COVERAGE INFORMATION • • - .... .
COVERAGE/PERILS!FORMS •
i AMOUNT OF INSURANCE I DEDUCTIBLE
rr i
ALL RISKS OF DIRECT PHYSICAL LOSSIOR DAMAGE. PER OCCURRENCE LOSS LIMIT, I $ 250,000,000 !.5250,000each&
SUBJECT TO SUB LIMITS AND AGGREGATES. II'every occurrence
$ 25,000,000 I s%Per unit of
EARTHQUAKE PER OCCURRENCE AND ANNUAL AGGREGATE. . ! Insurance(Real
Propeny,Personal
Property&The• Element)10%on
Pre 1940 6;utdings
Subject to
I ! St 00.000 Min.net
I Member
Earthquake Shock
occurrence
FLOOD PER OCCURRENCE AND ANNUAL AGGREGATE. •
$ 250,000,000, 'S2so.000 each a
1 •every occurrence
BUILDERS RISK/COURSE OF CONSTRUCTION (INCLUDING NEW FOR PROJECT VALUES). $ 10,000,000 sto,0D0 course cf
Corsauction.NI
Perils amp! •
,Earthquake A
1 _ Flood,
REMARKS lfocluding.SpeclalConditions). ..' -.. , :' 7.: _. .
EXCEPT DAYS FOR NON-PAYMENT OF PREMIUM.
PLEASE REFER TO THE POLICY FOR SPECIFIC TERMS,CONDITIONS AND EXCLUSIONS.
Note additional deductibles: ,
• Flood: except 3250,000 per occurrence in flood Zone A or within 100 year flood area special flood endorsement for the Lexington Policy only per the attached
• Vehicles,Property Damage/Collision Damage--550.000.
• Fine Arts—S50,000 per occurrence-Earthquake or Flood.
• Specially Trainee Animals—St,000 per occurrence.
$500,000 per occurrence for tunnels,bridges.dams.catwalks(except those not for public use),roadway highways,streets,sidewalks,culverts,streetlights and traffic
signals unless auspecific value has been declared
CANCELLATION .- • •
THE POLICY IS SUBJECT TO THE PREMIUMS, FORMS,AND RULES IN EFFECT FOR EACH POLICY PERIOD.'SHOULD THE
POLICY BE TERMINATED,THE COMPANY WILL GIVE THE ADDITIONAL INTEREST IDENTIFIED BELOW '30 DAYS WRITTEN
NOTICE, AND WILL SEND NOTIFICATION OF ANY CHANGES TO THE POLICY THAT WOULD AFFECT THAT INTEREST, IN
ACCORDANCE WITH THE POLICY PROVISIONS OR AS REQUIRED BY LAW.
ADDITIONAL INTEREST "NATURE Of INTEREST
NAME AND ADDRESS .-
1 MORTGAGEE ADDITIONAL INSURED
FOR EVIDENCE ONLY
43e EFU PAYEE I x. EVIDENCE ONLY
•• SIGNATURE OF AUTHORIZED AGENT OF '
COMPANY
u1
qt
�4.4Lloyd' s Proportional
I op
I 0 Reinsurance Certificate
Effected through
JLT Risk Solutions Limited
6 Crutched Friars
London EC3N 2PH
This is to Certify that in accordance with the authorisation granted under
the Contract(the number of which is specified in the Schedule)to the,undersigned
by certain Underwriters at Lloyd's, whose definitive numbers and the proportion
underwritten by them are as attached hereto and can also be ascertained by
reference to the said Contract which bears the Seal of Lloyd's Policy Signing
Office, and in consideration of the payment of the premium specified herein, the
said Underwriters are hereby bound, severally and not jointly, their Executors and
Administrators, to insure in accordance with the terms and conditions contained
herein or endorsed hereon.
The Reinsured,unless otherwise stated herein:
(i) shall retain during the period of this Certificate at least the retention(s),
subject to any proportional and/or excess of loss treaty reinsurance, on the
identical subject matter and perils and in identically the same
proportion(s) as stated herein. In the event of the retention(s) and/or
proportion(s) being less, the Underwriters' liability will be
correspondingly proportionately reduced.
(ii) warrants that the premium paid to the Underwriters for this Certificate is
calculated at the same gross rate as the original policy for the identical
subject matter and perils and in the proportions reinsured.
In the event of inconsistencies between the original policy and this Certificate,this
Certificate shall prevail.
If the Reinsured shall make any claim knowing the same to be false or fraudulent,
as regards amount or otherwise, this Certificate shall become void and all claims
hereunder shall be forfeited.
In Witness whereof this Certificate has been signed at the place stated and on
the date specified in the Schedule by JLT Risk Solutions Limited
LTL/J2 amended
S hedule
C,rtificate No: 901/LU0130474 Contract Number: 6165/01
T e Reinsured: WASHINGTON CITIES INSURANCE AUTHORITY(WCIA)
Tile Original Insured: MEMBERS OF WASHINGTON CITIES INSURANCE AUTHORITY(Named
Insured-Member as per the coverage Schedule agreed by Underwriters and contained in
the attached original wording)
The Premium: USD 121,676.35 part of USD 170,055.42 part of USD 293,199.00
T e Retention(s): NIL
T e Sum Reinsured hereunder: 58.00%of the Limits of Liability as more fully set forth in the attached original wording
� I
T le Period of Reinsurance:
F i
m 01 September 2001 to 01 September 2002 both days at 12.01 am Local Standard Time and for such further period or periods
.1 may be mutually agreed upon.
T le Subject Matter and Perils Reinsured hereunder:
TI is Certificate reinsures the Reinsured's interest in payments excluding without prejudice and ex-gratia payments made within
t e terms and conditions of the attached original wording for 58.00%on the identical subject matter and risk.
I I the event of inconsistencies between the attached original wording and the original wording issued to the Original Insured the
a1 ached original wording shall prevail
o dorsements,if any:
` rvice of Suit Clause naming:Messrs.Mendes and Mount as attached
lilaims Control Clause as attached
ines Clause as attached
',einsurance Clause as attached
"imultaneous Settlement Clause as attached
or and on behalf of JLT Risk Solutions Limited
•uthorised Signatory
dv"------------2,......„
9 ated in London,the \4\,.. A\-1 2cay2
I I TL/J2 (Schedule)for attachment to LTL/J2 amended
Attaching to and forming part of Certificate No. 901/LU0130474
Service of Suit Clause(U.S.A.)
It is agreed that in the event of the failure of the Reinsuring Underwriters hereon to pay any amount claimed to be
due hereunder,the Reinsuring Underwriters hereon, at the request of the Reinsured, will submit to the jurisdiction of
a Court of competent jurisdiction within the United States. Nothing in this Clause constitutes or should be
understood to constitute a waiver of Reinsuring Underwriters' rights to commence an action in any Court of
competent jurisdiction in the United States,to remove an action to a United States District Court,or to seek a transfer
of a case to another Court as permitted by the laws of the United States or of any State in the United States. It is
further agreed that service of process in such suit may be made upon:-
Messrs. Mendes and Mount(Attorneys),750 Seventh Avenue,New York, New York 10019-6829,USA and that
in any suit instituted against any one of them upon this contract, Reinsuring Underwriters will abide by the final
decision of such Court or of any Appellate Court in the event of an appeal.
The above-named are authorized and directed to accept service of process on behalf of Reinsuring Underwriters in
any such suit and/or upon the request of the Reinsured to give a written undertaking to the Reinsured that they will
enter a general appearance upon Reinsuring Underwriters'behalf in the event such a suit shall be instituted.
Further, pursuant to any statute of any state,territory or district of the United States which makes provision therefor,
Reinsuring Underwriters hereon hereby designate the Superintendent, Commissioner or Director of Insurance or
other officer specified for that purpose in the statute, or his successor or successors in office,as their true and lawful
attorney upon whom may be served any lawful process in any action,suit of proceeding instituted by or on behalf of
'the Reinsured or any beneficiary hereunder arising out of this contract of reinsurance,and hereby designate the
above-named as the person to whom the said officer is authorized to mail such process or a true copy thereof.
Claims Control Clause
Notwithstanding anything contained herein to the contrary, it is a condition precedent to any liability under this
'Certificate that:-
la) The Reinsured shall, upon knowledge of any loss or losses which may give rise to a claim under this
Certificate,advise the Reinsuring Underwriters thereof as soon as possible.
Lb) The Reinsured shall furnish the Reinsuring Underwriters with all information available respecting such loss
or losses, and the Reinsuring Underwriters shall have the right to appoint adjusters, assessors and/or
surveyors and to control all negotiations,adjustments and settlements in connection with such loss or losses.
'Lines Clause
This Reinsurance. being signed for 71.551% of 100% of 58.00% reinsures only that proportion of any loss, whether
total or partial, including but not limited to that proportion of associated expenses, if any, to the extent and in the
manner provided in this Reinsurance.
The percentages signed in the Schedule attached hereto are percentages of 100% of 58.00% of the amount(s) of
Reinsurance stated herein.
•
Reinsurance Clause
This Reinsurance is subject to all terms, clauses and conditions as original except as provided for herein, and to
follow in all respects the settlements or other payments of whatsoever nature made by the original Underwriters
arising out of and in connection with the original insurance and to bear its proportion of any expenses incurred
whether legal or otherwise in the investigation and defence of any claim hereunder.
Simultaneous Settlement Clause
'In the event of a claim under the original policy Reinsuring Underwriters agree that, any payment hereon shall take
place at the same time as settlement or advance of funds under the said original policy.
SEVERAL LIABILITY NOTICE
The subscribing reinsurers'obligations under contracts of reinsurance to which they subscribe are several and not
joir.t and are limited solely to the extent of their individual subscriptions. The subscribing reinsurers are not
responsible for the subscription of any co-subscribing reinsurer who for any reason does not satisfy all or part of its
obl Lgations.
08/�4
LS 1001 (Reinsurance)
Attaching to and forming part of Certificate No.901/LU0130474
Schedule of Reinsuring Underwriters
f
Percentage Underwriters Syndicate Number Underwriters Reference
21.551% 2020 N327492FOT
5.540% 861 60A82041K03Z
9.848% 1209 60A82041K03Z
1.439% 588 60E47894F03Z
1.276% 1209 60E47894F03Z
9.483% 2791 A2001TG00419
1.724% 2791 A2001HA00420
12.069% 2488 AVCA41 YA8474
8.621% 190 377OPO1O25XX
71.551% of 100%of 58.00%
EXCESS DECLARATION PAGE
1) REINSURED: WASHINGTON CITIES INSURANCE AUTHORITY(WCIA)
INSURED: MEMBERS OF WASHINGTON CITIES INSURANCE AUTHORITY
As more fully described in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endorsement (if applicable)
2) MAILING ADDRESS: P.O. BOX 1165, Renton, WA 98057
3) POLICY PERIOD: September 1, 2001 12:01AM TO September 1, 2002 12:01AM
4) LIMIT AND SUB-LIMITS OF LIABILITY:
THE LIMITS OF LIABILITY AND SUB-LIMITS OF LIABILITY SHOWN BELOW
INCLUDE THE $5,000,000 PRIMARY.
$ 500,000,000 Per Occurrence and in the annual aggregate in respect of Flood and
Earthquake Shock separately.
Sub-limits:
A. $250,000,000 Flood—Per Occurrence &Annual Aggregate—all coverages
B. $ 50,000,000 Earthquake Shock- Per Occurrence&Annual Aggregate—all coverages
C. $ 100,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
all members
D. $ 25,000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing
and new members as per endorsement No. 18 (including earthquake)
E. $ 25,000,000 Landscaping, tees, sand traps, greens and athletic fields
F. $ 25,000,000 Errors& Omissions
G. $ 25,000,000 Course Of Construction (including new for project values up to$25,000,000)
H. $ 1,000,000 Money & Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. $ 500,000 Accidental Contamination
K. $ 1,000,000 Tunnels, bridges, dams, catwalks (except those not for public use), roadways,
highways, streets, sidewalks, culverts, street lights and traffic signals unless
a specific value has been declared
L. $ 100,000,000 Demolition and Increased Cost of Construction due to the enforcement of
building codes
$ 10,000,000 Transit
$ 1,000,000 Animals; except$100,000 Specially Trained Animals
$ 1,000,000 Watercraft 27 feet or less unless scheduled in the statement of values
$ 50,000 Newly Acquired Vehicles (current members with auto coverage only)
$ Not Covered Replacement power extra expense at scheduled utility locations
$ 5,000,000 Off premises services interruption including extra expense resulting from s covered peril at
non-owned/operated locations
$ Not covered Contingent business interruption resulting from a covered peril at non owned/operated power
generating facilities
$ Not Applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles,
unlicensed vehicles, contractors equipment and fine arts combined for all
insureds/members combined that do not purchase optional coverage
Item-A); Earthquake Shock
As more fully described in "LIMITS OF LIABILITY" (Section I—Item 4)
4) A. EXGt55 LIAI3ILI I Y NKUVISIUNS:
This policy shall respond in excess of$5,000,000 per occurrence. The Primary
Occurrence Limit applies in the aggregate as respects the peril of Earthquake Shock and
in the aggregate as respect the peril of Flood.
The Primary$5,000,00,0 shall apply excess of the deductibles shown in item 5)
deductible(s) shown below
5.) DEDUCTIBLE(S): (APPLICABLE TO THE UNDERLYING PRIMARY)
A. "BASIC" ALL PERILS AND COVERAGES (EXCEPT SPECIFIED PERILS OR COVERAGE
DEDUCTIBLE SHOWN BELOW):
Deductible: $ 50,000 Per Occurrence (OR MORE AS SCHEDULED) each and
every loss before and after exhaustion of the annual
aggregate pool deductible (except flood, earthquake and
'i service interruption)
Aggregate Pool Deductible: $ Not Applicable maximum per occurrence/ $ Not
Applicable annual aggregate; however, losses involving any of the following are
subject only to the basic$ Not Applicable (OR MORE AS SCHEDULED)
deductible and do not erode to the aggregate pool deductible
• Vehicles
• Contractors Equipment
• Water Craft
• Scheduled Fine Arts
•Animals
• Tees and Greens
B. SPECIFIED PERILS AND COVERAGE DEDUCTIBLES
$ 100,000 Per Occurrence— Flood
1. Vehicles or Contractors Equipment—$25,000 Per Vehicle/Item
subject to $100,000 maximum as respects the peril of Flood
5% Per Unit of Insurance/minimum $100,000 per member/related sub-entities, divisions
and districts/Per Occurrence (subject to a maximum/minimum deductible
all members/Per Occurrence to be agreed by Underwriters) — Earthquake Shock,
except
,1. Vehicles or Contractors Equipment—$25,000 Per
Vehicle/Item subject to $100,000 maximum as respects the
peril of Earthquake
2. Fine Arts—$50,000 Per Occurrence
$ 50,000 Per Occurrence—Vehicle Property Damage
$ 50,000 'Per Occurrence—Vehicle Collision Damage
1 000 IPer Occurrence—Specially
$ Trained Animals
$ 500,000 'Per Occurrence—Tunnels, bridges, dams, catwalks (except those
not for public use), roadways, highways, streets, sidewalks,
culverts, street lights and traffic signals unless a specific value has
been declared
24 Hour Waiting Period—All Perils: Service Interruption tion
$10,000—Course of Construction—All Perils except Earthquake & Flood
As more fully described in "DEDUCTIBLE PROVISIONS" (Section I —Item 5)
I �
6) OPTIONAL COVERAGE PARTICIPATION
It is understood and agreed that the certain Member Agencies participate in Optional Coverage
on this Policy as set forth below:
Member Agency "Basic" Applicable
Coverage Optional
List members and applicable deductible and Deductible Coverages*
optional coverages A, B, C, D, E, F
All Members $ 100,000 A,B,C,D,F
All Members $ 250,000 A,B,C,D,F
All Members $ 500,000 A,B,C,D,F
All Members $ 1,000,000 A,B,C,D,F
*Optional Coverages Identification
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed
Vehicles
D) Scheduled Fine Arts
E) Flood (Program)
F) Flood (Individual)
Coverage: As per PEPIP USA Manuscript form
Description:As per PEPIP USA Manuscript form
ENDORSEMENT NO. 16A ELECTRONIC DATE RECOGNITION EXCLUSION
It is hereby understood and agreed that all members and named insureds have coverage as
described and defined in Endorsement No. 16— Electronic Date Recognition Exclusion-Wording
'A 1
,,It is further understood;and agreed that as respects members and named insureds listed below,
Electronic Date Recognition Exclusion — Wording A is hereby deleted and replaced with
Endorsement no. 16- Electronic Date Recognition Exclusion —Wording B (All Risks Write Back).
This change applies to the following members:
All members of Washington Cities Insurance Authority (WCIA)
I I
I 1
I i
I i
1 i
I I
I i
1 1
ENDORSEMENT NO 17
NAMED INSURED ENDORSEMENT
I
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
PEPIP USA PROPERTY PROGRAM
1 LIST OF NAMED INSUREDS
EF ECTIVE SEPTEMBER 1 , 2001 TO SEPTEMBER 1 , 2002
1 :A R ;gional Coalition for Housing I 42 'City of Maple Valley -_
2 !City of Aberdeen ; 43 City of Marysville
3 !Ci ;of Arlington ; 44 :Marysville Fire District •
4 !Ci of Auburn ! 45 !City of McCleary
5 ICi ;of Bainbridge Island 46 :City of Medical Lake
6 ;City Of Battle Ground 47 :City of Medina
7 !Ben on County Emergency Services 48 City of Mercer Island
8 :Citylof Bothell 49 City of Mill Creek
9_ Cit)Iof Burien : 50 City of Milton
10 ,Ci l of Camas ; 51 !City of Monroe
11 ;Cit I of Centralia ; 52 Monroe Fire District
12 'Ci jof Chehalis ; 53 City of Montesano
13 'Ci ;of Chelan `; 54 City of Mount Vernon
14 ;Ci i of Clarkston : 55 'City of Mountlake Terrace
,_ ---------
15 .C4 of Clyde Hill ; 56 .City of Mukilteo j
16 !To 'n of Coupeville , 57 City of Newcastle
17 .Cit.:of Covington ' 58 City of Normandy Park
18 Co' litz Sewer Operating Board 59 'City of North Bonneville
19 Ci ' of Des Moines , 60 City of Ocean Shores
20 Eai tside Public Safety Commission 61 City of Pacific
21 Ci f:' of Edgewood I 62 City of Olympia**Auto Only
22 Ci " of Edmonds , 63 Penninsula Communications
23 Ci ' of Elma , 64 City of Port Angeles
_ 24 E tergency Services Coord.Agency ; 65 City of Port Townsend ;
25 i Ci I, of Enumclaw • ; 66 :City of Puyallup
26 :Ci;; of Grandview 67 :City of Renton
27 ;Cili of Goldendale • 68 ;City of Richland
28 G ii,ys Harbor Communications 69 ;City of Sammamish
29 :Ci,' of Hoquiam ; 70 'Snohomish County Emergency Radio System (SERS)
30 IC( of Issaquah j 71 :City of Shelton
31 ;Ci: of Kelso I 72 ICity of Shoreline
32 !Ci'y of Kenmore - ; 73 ;Skagit
33 ICi• of Kirkland ; 74 ;SNOCOM
34 ITiwn of La Conner 75 ;City of Snohomish 1
35 ;CI; of Lacey I 76 iSNOPAC
36 IC 1,y of Lake Forest Park 77 ;City of Snoqualmie
37 IC;ty of Lake Stevens I 78 iCity of Stanwood
38 ;C ty of Leavenworth I 79 ITown of Steilacoom
39 IC,ly of Long Beach I 80 ;City of Sumner I
- 40 ;C,ty of Longview ; 81 ;Thurston Regional Planning Council
41 ,C ty of Mabton I 82 !City of Toppenish I
ENDORSEMENT NO 17
NAMED INSURED ENDORSEMENT
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
PEPIP USA PROPERTY PROGRAM
LIST OF NAMED INSUREDS
EFFECTIVE SEPTEMBER 1 , 2001 TO SEPTEMBER 1 , 2002
83 !City of Tukwila •
84 !City of Tumwater
85 ICity of Union Gap •
86 !City,of University Place
87 !Valley Communications Center
88 !City of Walla Walla
89 !Washington Cities Insurance Authority(WCIA)
90 ?City of Washougal
•
91 !Water Operating Board (WOB) _
92 !,City of Westport
93 ;City of Woodinville
94 ;Town of Woodway •
95 :Yakima Valley Conference of Govts.
96 .City of Zillah
PEPIP USA
CONTENTS
Page No.
I
Contents Pages 1-7
SECTION I
I
li
Declarations
1) Name of Insured 8
2) Address of Insured 8
3) Policy Period 9
4) Limits of Liability 9
4a) Optional Coverage Participation 10
5) Deductible Provisions 10
6) Unit of Insurance Defined 10
SECTION II
PHYSICAL DAMAGE TO PROPERTY
1) Coverage 11
2) Extensions of Coverage 11
A) Personal Effects L 11
B) Property in Course of Construction 11
C) Fire Fighting Expenses 12
D) Off Premises Services Clause 13
E) Architects and Engineers Fees and Loss
Adjustment Expenses 13
F) Expediting Expenses 13
� G)_ Debris Removal 13
H) Building Laws L 14
I) Demolition Cost 14
J) Increased Cost of Construction 14
K) Automatic Coverage 14
L) Errors and Omissions 14
M) Animals 15
N) Valuable Papers 15
0) Transit 15
P) Vehicles While On Insured Premises 15
ParaP 1
• 3) Exclusions 15
A) Property Exclusions I 15
B) Asbestos Clean-up and Removal 18
4) Loss;Payment BasisNaluation 18
5) Special Conditions
21
A) Automatic Coverage/Reporting Conditions 21
6) Defin1itions 22
A) Loss 22
1) Windstorm 22
2)'' Flood 23
3)i Earthquake Shock 24
4)1 Personal Effects 25
5), Improvements and Betterments 25
SECTION III
INTERRUPTION OF BUSINESS/EXTRA EXPENSE AND RENTAL INCOME
1) Coverage 26
A) Business Interruption 26
B) Extra Expense 26
2) Extensions of Coverage 27
A) Ingress/Egress 27
B) Interruption by Civil Authority 27
C) Demolition and increased time to rebuild 27
D) Non-Productive Property 28
E) Contingent business interruption and/or
extra expense and/or rental value 28
F) Extended period of indemnity extension 28
3) Exclusions 129
A) Special Exclusions 29
4) Loss Payment Valuation 29
A) Expenses to Reduce Loss 29
5) Conditions Applicable to Business Interruption/
Extra Expense and Rental Value 30
I
Paae 2
6) Definitions 30
A) Gross Earnings 30
B) Merchandise 31
C) Extra Expense 31
D) Rental Value 31
E) Period of Restoration 32
Paae 3
SECTION IV
GENERAL CONDITIONS
1) Perils Covered 33
2) Perils Excluded 33
3) Territorial Limits 35
4) Reinstatement 35
5) F.O.B. Shipments 35
6) Protection and Preservation of Property 35
7) Breach of Conditions 36
8) Permits and Privileges 36
9) Protective Safeguard ; 37
10) Notice of Loss 37
11) Protection of Property 38
12) Arbitration of Value 38
13) Proof of Loss 39
14) Subrogation 39
15) Cancellation 40
16) Abandonment 41
17) Assignment 41
18) Salivage 41
19) Other Insurance 41
20) Excess Insurance 42
21) Right to Review Records 42
22) Concealment and Fraud 42
23) Liberalization 43
24) Loss Payable Clause 43
25) Full Waiver 43
26) Report of Values/Premium 43
, I
Panic,
i
SECTION V
DATA PROCESSING MEDIA
1) Coverage 44
A) Property Covered 44
B) Perils Covered 44
2) Extensions of Coverage 1 44
3) Exclusions 44
A) Property Excluded 44
B) Perils Excluded 45
4) Loss Payment BasisNaluation 45
5) Special Conditions 46
6) Definitions 46
A) Active Data Processing Media 46
SECTION VI
FINE ARTS FLOATER
1) Coverage 47
A) Property Covered 47
B) This Floater Insures Against 48
C) Wall to Wall (Nail to Nail) Coverage 48
2) Extensions of Coverage 48
3) Exclusions 48
4) Loss Payment BasisNaluation 50
5) Special Conditions 50
1) Misrepresentation and Fraud 50
2) Notice of Loss 1 50
3) Examination Under Oath 51
4) Settlement of Loss 51
5) No Benefit to Bailee 51
6) Subrogation of Loan 51
7) Loss Clause 52
8) Protection of Property 52
9) Suits 52
10) Appraisal 52
11) Civil Authority J 53
12) Conformity to Statute 1 53
53
13) Changes
14) Additional Covered Party(ies) 53
15) Packing 1 53
16) Other Insurance 53
17) Pair and Set 53
6) Definitions 53
Paae 5
SECTION VII
EXTRA EXPENSE
ELECTRONIC DATA PROCESSING
1) Coverage 54
Measure of Recovery 55
2) Extensions of Coverage 55
3) Exclusions 55
4) Loss Payment Basis/Valuation
Deductible 56
5) Special Conditions 56
Resumption of Operations '56
6) Definitions 57
A) Extra Expense 57
B) Normal 57
SECTION VIII
MOBILE / CONTRACTORS EQUIPMENT
1) Coverage 58
2) Extensions of Coverage 59
3) Exclusions 60
4) Loss Payment BasisNaluation 60
5) Special Conditions 60
6) Definitions 60
SECTION IX
ACCOUNTS RECEIVABLE
1. Coverage 61
2. Extensions of Coverage 61
3. Exclusions 61
4. Loss,Payment BasisNaluation -62
Determination of Receivables; Deductions 62
5. Special Conditions 62
6. Definitions 63
Accounts Receivable 63
Parma R
SCHEDULE OF ENDORSEMENTS
ENDORSEMENT No. 1 Boiler and Machinery and Property Joint Loss
• Adjustment 64
ENDORSEMENT No. 2 Property Joint Loss Adjustment 65
ENDORSEMENT No. 3 Seepage and/or Pollution and/or
Contamination Exclusion, Debris
Removal and Cost of Clean-Up
Extension, Authorities Exclusion 66
ENDORSEMENT No. 4 Minimum Earned Assessments 68
ENDORSEMENT No. 5 Lender's Loss Payable Endorsement 69
ENDORSEMENT No. 6 Severability Notice 71
ENDORSEMENT No. 7 Accidental Contamination Extension 72
ENDORSEMENT No. 8 Automatic Additional Insureds
and/or Loss Payees 73
ENDORSEMENT No. 9 Earthquake and Flood Exclusion 74
ENDORSEMENT No. 10 County of Los Angeles
All Risk Loss Limit 75
ENDORSEMENT No. 11 Coverage Limited to Specific
Locations 76
ENDORSEMENT No. 12 Priority of Payments 77
ENDORSEMENT No. 13 Leasehold Interest 78
ENDORSEMENT No. 14 Revenue Interruption Protection
(excluding Earthquake and Flood) 79
ENDORSEMENT No. 15 Loss Payment BasisNaluation
(applicable to NPX Members only) 80
ENDORSEMENT No. 16 Electronic Date Recognition Exclusion
"Wording A" 81
Electronic Date Recognition Exclusion
"Wording B" 82
ENDORSEMENT No. 16A Electronic Date Recognition Exclusions 83
ENDORSEMENT No. 17 Named Insured and Members
(and Deductibles as shown) 84
ENDORSEMENT No. 18 Automatic Acquisition Clause 85
ENDORSEMENT No. 19 Loss Payable Provisions
(FormCP12181091) 87
ENDORSEMENT No. 20 Transit 90
ENDORSEMENT No. 21 Electronic Data Endorsement A 91
Pace 7
SECTION
In consideration of the premium paid by the Insured to this Insurer, the Insurer agrees to
insure the following per the terms and conditions herein:
1) NAME OF INSURED:
AS PER DECLARATIONS PAGE
and its members or (member agencies) as per the Named Insured Endorsement
and any entities or individuals for whom the Named Insured is required to provide
coverage as their interests may appear and other organizations and enterprises
which now exist or which hereafter may be created or acquired and which are
owned, financially controlled or actively managed by the herein named interest, all
jointly, severally or in any combination of their interests, for account of whom it may
concern.
Lessors and other party(ies) of interest in all property of every description covered
hereunder are included herein as additional Insureds for their respective rights and
interests, it being understood that the inclusion hereunder of more than one
covered party shall not serve to increase the.Insurer's limit of liability.
Mortgagees to whom certificates of coverage have been issued are covered
hereunder in accordance with the terms and conditions of Form 438 BFU NS, CP12
18 1091, or equivalent as required by the mortgagee.
Loss, if any, shall be adjusted with the Insured and payable to the named insureds
as their respective interests may appear, subject however, to the provisions of any
mortgagees or payee clauses which may otherwise be herein provided or endorsed
hereon.
2) MAILING ADDRESS OF INSURED:
AS PER DECLARATION PAGE
Pace 8
3) POLICY PERIOD:
12 MONTHS AS PER DECLARATION EFFECTIVE DATE AND EXPIRATION DATE
4) LIMITS OF LIABILITY:
The limit of liability as stated below is per occurrence and in the annual ggregate
as respects the peril of earthquake shock and also in the annual aggregate as
respects the peril of flood. The provisions of the reinstatement clause as stated
elsewhere herein, are null and void as respects the perils of earthquake shock and
flood.
Subject to specific exclusions, modifications, and conditions hereinafter provided,
the liability of this Insurer in any one occurrence regardless of whether one or more
of the coverages of this Policy are involved shall not exceed:
1. AS PER DECLARATION Per occurrence all risk perils except earthquake shock
and flood
THE FOLLOWING ARE OPTIONAL COVERAGES. COVERAGE IS ITROVIDED
IF A SUB-LIMIT IS SHOWN ON THE DECLARATIONS PAGE. SUB-LIMITS DO
NOT INCREASE THE OCCURRENCE LIMIT OF LIABILITY.
A. Per occurrence and in the annual aggregate as respects flood.
B. Per occurrence and in the annual aggregate as respects earthquake shock
C. Combined Business Interruption, Extra Expense, Rental Income, Taxi Interruption
D. Miscellaneous unnamed locations and automatic coverage as per Endorsement #18
E. Landscaping, tees, sand traps, greens and athletic fields
F. Errors & Omissions
G. Course of Construction
H. Money and Securities for Fire, Wind, Hail, Explosion, Smoke, Lightning, Riot,
Civil Commotion, Impact by Aircraft or Objects falling therefrom, Impact by
Vehicles, Water Damage and Theft (other than by an employee of the Insured)
I. Unscheduled fine arts
J. Accidental Contamination including owned land, land values and viater owned
by the Insured
K. Tunnels, bridges, dams, catwalks except those not for public use, roadways,
highways, streets, sidewalks, culverts, street lights and traffic signals
L. Other— as shown in declarations page
Page 9
4A) OPTIONAL COVERAGE PARTICIPATION
It is understood and agreed that certain Insureds participate in Optional Coverage
on this Policy as set forth below.
OPTIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood — Shared Program Limits
F) Flood — Specified Flood Per Insured
5) DEDUCTIBLE PROVISIONS:
If two or more deductible amounts provided above apply for a single 'occurrence',
the total to be deducted shall not exceed the largest per 'occurrence' deductible
amount applicable.
Deductibles are shown on the Declarations page.
' 6) UNIT OF INSURANCE DEFINED:
In the application of the Earthquake Shock Deductible Clause, and the
Apportionment of Loss Clause made a part of this Policy, each of the following shall
be considered a Separate Unit of Insurance:
(a) Each Separate Building or Structure;
(b) The Contents of each Building or Structure;
(c) Applicable Time Element Coverage of each separate Building or Structure;
and
(d) Property in each Yard.
This Insurer shall not be liable for loss to any Unit of Insurance covered hereunder
unless such-loss exceeds the percentages stated in this Policy of the replacement
values of such Unit of Insurance at the time when such loss shall happen, and then
only for its proportion of such excess.
The Terms and Conditions stated in #5 (Deductible provisions) and #6 (Unit of
insurance defined) supersede the provisions of any Deductible Clause contained
elsewhere in this Policy.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
o,,.... n
SECTION II
PHYSICAL DAMAGE TO PROPERTY
1) COVERAGE:
Subject to the terms, conditions and exclusions hereinafter containe , this
t
Y
Polic insures all property of every description of an insurable nature, both real
and personal (including improvements and betterments), of the Insured or
property of others in the care, custody or control of the Insured, for which the
Insured is liable or under obligation to keep insured.
It is also understood and agreed that the interest of additional covered parties
and/or loss payees are automatically included.
2) EXTENSIONS OF COVERAGE:
A) PERSONAL EFFECTS
This Policy is extended to cover only such personal effects and wearing apparel
of any of the officials, employees, students and personal effects of the Insured
named in this Policy for which the Insured may elect to assume liability while
located in accordance with the coverage hereof, but loss, if any, oh such
property shall be adjusted with and payable to the Insured.
B) PROPERTY IN COURSE OF CONSTRUCTION
It is understood and agreed that as respects course of constructs n and
remodeling projects, this Policy will provide automatic coverage subject to the
following conditions:
•
(1) Project involves only real property on new or existing locations
(excluding dams, piers, roads, and bridges)
(2) Value of the project at the location does not exceed $25,C00,000,
however the Insured shall report to the companies if values of Project
exceed $25,000,000. However, inadvertent failure to report shall not
void coverage of said Project.
(3) Additional Expense Soft Cost: This coverage applies to new
buildings or structures in the course of construction up to he time
that the new building (s) or structure (s) is initially occupied or put to
its intended use whichever occurs first.
Page 11
The Insurer will cover the additional expenses of the Insured as defined below
for up to 25% of the estimated completed value of the project which results
fromthe completion of the project beyond the date it would have
adelaymc p y
been completed had no loss or damage occurred. The delay must be due to
direct physical loss or damage to Property Insured and be caused by Or result
from a peril not excluded by this Policy. The Insurer will pay covered expenses
when they are incurred.
a. Additional Interest Coverage — The Insurer will pay the additional
interest on money you borrow to finance construction or repair.
b. Rent or Rental Value Coverage — The Insurer will pay the actual loss
of net rental income that results from delay beyond the projected
completion date. But the Insurer will not pay more than the reduction
in rental income less charges and expenses that do not necessarily
continue.
c. Additional Real Estate Taxes or Other Assessments — The, Insurer
will pay the additional real estate taxes or other assessments you
incur for the period of time that construction is extended beyond the
completion date.
d. Additional Advertising and Promotional Expenses — The Insurer will
pay the additional advertising and promotional expense that
becomes necessary as a result of a delay in the completion of the
project.
e. Additional Commissions Expense — The Insurer will pay the
additional expenses which result from the renegotiating of leases
following an interruption in the project.
f. Additional Architectural and Engineering Fees — The Insurer will pay
the additional architectural and engineering fees that become
necessary as a result of a delay in the completion of the project.
g. Additional License and Permit Fees — The Insurer will pay the
additional license and permit fees that become necessary as a delay
in the completion of the project.
h. Legal and Accounting Fees — The Insurer will pay the additional legal
and accounting fees you incur as a result of a delay in the completion
I
of the project.)
C) FIRE FIGHTING EXPENSES
It is understood and agreed that the Insurer shall be liable for the actual
charges of fire fighting expenses including but not limited to those charged by
municipal or private fire departments responding to and fighting fire 'in/on,
and/or protecting property included in coverage provided by this Policy.
l
Panes 19
D) OFF PREMISES SERVICES CLAUSE
It is understood and agreed that coverage under this Policy is extended to
include physical damage, business interruption loss and/or extra expense
incurred and/or sustained by the Insured as a result of damage to or
destruction of, by the perils insured against, to property of the type not
excluded by this Policy of any suppliers furnishing heat, light, power, gas,
water, telephone or similar services to an Insured's premises.
E) ARCHITECTS AND ENGINEERS FEES AND LOSS ADJUSTMENT
EXPENSES
This Policy also insures any of the following:
(1) Architects and engineers fees
(2) Loss adjustment expenses including, but not limited to, auditors,
consultants and accountants
F) EXPEDITING EXPENSES
It is understood and agreed that coverage under this Policy includes the
reasonable extra cost of temporary repair and of expediting the repair of such
damaged property of the Insured, including overtime and the extra costs of
express or other rapid means of transportation.
1
G) DEBRIS REMOVAL
This Policy also covers expenses incurred in the removal of debris of the
property covered hereunder that may be destroyed or damaged by a covered
peril(s). This debris removal coverage does not apply to the cost toi extract
pollutants from land or water, or to remove, restore or replace polluted land or
water, except as provided by Endorsement No 07.
Page 13
H) BUILDING LAWS
In the event of physical damage to property insured by a covered peril this
' Policy is extended to cover the loss occasioned by the enforcement of any local
or state ordinance or law regulating the construction, repair or demolition of
buildings or structures, which is in force at the time such a loss occurs, which
necessitates the demolition of any portion of the covered building not damaged
by the covered Iperil(s).
I) DEMOLITION COST
In the event of physical damage to property insured by a covered peril this
policy is extended to cover the cost of demolishing any undamaged portion of
the covered including the cost of clearing the site thereof, caused by
property
loss from any covered peril(s) under this Policy and resulting from enforcement
of any local or state ordinance or law regulating the construction, repair or
demolition of buildings or structures and in force at the time of loss which
necessitates such demolition;
J) INCREASED COST OF CONSTRUCTION
In the event of physical damage to property insured by a covered peril this
Policy is extended to cover the increased cost of repair or replacement
occasioned by the enforcement of any local state ordinance or law regulating
the construction, repair or demolition of buildings or structures, which is;in force
at the time such a loss occurs or which comes into force within 12 months after
such a loss occurs, which necessitates in repairing or replacing the building
covered hereunder which has suffered damage or destruction by the covered
peril(s) or which has undergone demolition, limited, however, to the minimum
requirements of such ordinance or law.
K) AUTOMATIC COVERAGE
This Policy provides automatic coverage without additional premium, for
additions and increases in values as respects existing Insureds subject to such
increase in_ values not exceeding $ per declaration page and as per
p 9
Endorsement#18 per Insured.
L) ERRORS;& OMISSIONS
No unintentional errors or omissions in description, location of property or
valuation of property will prejudice the Insured's right of recovery but will be
reported to the ;Insurer(s) as soon as practicable when discovered.
I I
Page 14
M) ANIMALS
Including police dogs, horses and other specially trained animals. Coverage
includes retraining expenses.
N) VALUABLE PAPERS
Valuable papers or the cost to reconstruct valuable papers lost or damaged by
perils insured against during the term of this Policy.
0) TRANSIT
Personal property of the Insured or property held by the Insured in trust or on
commission or on consignment for which the Insured may be held legally liable
while in due course of transit, worldwide, against All Risks of Direct Physical
Loss or Damage to the property insured occurring during the period of this
Policy.
P) VEHICLES WHILE ON INSURED PREMISES
Vehicles while on premises against lost or damaged by a peril insured against
during the term of this Policy.
3 PROPERTY NOT COVERED:
A) PROPERTY EXCLUSIONS
This Property Policy does not provide coverage for any of the following:
(1) Aircraft, watercraft and rolling stock, except: Watercraft up to 27', unless
scheduled and Light rail vehicles, subway trains and related track
maintenance vehicles for light rail and subway lines.
(2) Standing timber, bodies of water, growing crops, and dams.
(3) Land,--(including land on which covered property is located), and land
values (except athletic fields, landscaping, sand traps, tees and greens).
(4) Property in due course of ocean marine transit.
Page 15
(5) Shipment by mail after delivery into the custody of the United States Post
Office.
(6) Property lin course of construction with construction values greater than
$25,000,000.
(7) Power transmission, feeder lines and underground pipes more than 2,500
feet from Ithe premises of the Insured.
(8) Tunnels, 1 bridges, dams, catwalks (except those not for public, use),
roadways, highways, streets, sidewalks, culverts, streetlights, traffic
signals, excess of a $1,000,000 sub-limit unless values are specifically
declared.
(9) As respects course of construction the following exclusions shall apply:
(a) The 1 cost of making good, faulty or defective workmanship, material,
construction or design, but this exclusion shall not apply to damage
resulting from such faulty or defective workmanship, material,
construction or design.
(b) The cost of non-compliance of, or delay in completion of contract.
(c) The'cost of non-compliance with contract conditions.
(d) Contractors' equipment or tools not a part or destined to become a
part of the installation.
I ,
The following additional exclusions apply to loss or damage to animals 'covered
under this Policy:
(1) Death of any animal(s) from natural causes. I
4 i
(2) Death of any animal(s) which dies from an unknown cause unless:,
(a) upon the death of such animal a post-mortem examination made of
such animal by a licensed veterinarian, and if
(b) the veterinarian's post-mortem report shows the cause of death to
clearly fall within the coverages of this Policy.
� I
Page 16
orolo'snnl%AA CTro
(3) Death of any animal(s) as a result of surgical operation, including
inoculation, unless the necessity for same arises from an event coffered
by this Policy.
(4) The death or destruction of any animal(s) caused by resulting from, or
made necessary by physical injury caused by or resulting from the
activities of the injured animal or other animals unless such death or
destruction is the result of any event otherwise covered by this Policy.
(5) The death of any animal(s) caused directly or indirectly by the neglect or
abuse of the Insured, his agent, employees or bailees (carriers for hire
excepted) unless such loss is a result of an event otherwise covered by
this Policy.
(6) The loss by death of any animal(s) as a result of parturition or abortion.
(7) Loss resulting from depreciation in value caused by any animal(s) covered
hereunder becoming unfit for or incapable of filling the function or duties
for which it is kept, employed or intended unless such loss is the result of
an event otherwise covered by this Policy.
(8) Loss by destruction of any animal(s) on the order of the federal or any
state government, or otherwise as a result of having contracted or been
exposed to any contagious or communicable disease.
(9) The removal or disposal of the remains of any animal(s) nor the expense
thereof unless such loss is the result of an event otherwise covered by this
Policy.
(10) The loss of any animal(s) that has been unnerved (the term "unnerved" to
be considered as meaning the operation of neurotomy for lameness).
(11) Any claim consequent upon delay, deterioration, or loss of use or loss of
market arising from an event covered by this Policy.
Page 17
EPIP2001 MASTER
j I
B) ASBESTOS CLEAN-UP AND REMOVAL
This Policy specifically excludes asbestos clean-up, removal or loss of use of
any Insured facility as mandated by any Public Agency, code or ordinance.
However, in tlj e event that asbestos materials not previously required to be
removed by a Public Agency, code or ordinance sustains physical damage as a
result of a covered peril(s) then coverage is afforded for, Debris removal or
salvage operations within the immediate area of physical damage (caused by a
covered peril) to other covered property; then this Policy will provide coverage
for asbestos clean-up or removal within the damaged area and applicable time
element coverages.
Asbestos clean-up, removal and loss of use of insured facilities under the
demolition and increased cost of construction coverage provided by this Policy
is hereby excluded:
In no event will coverage be extended to cover undamaged asbestos, including
undamaged asbestos in any portions of the building mandated by Public
Agency, codes,or ordinances to be demolished or brought into compliance with
current building codes.
4) LOSS PAYMENT BASISNALUATION '
In case of loss to property of an Insured covered hereunder, the basis of
adjustment shall be as of the time and place of loss as follows:
(A) On all real and personal property, including property of others at the
replacement value at the time of the loss without deduction for
depreciation. If property is not replaced within a reasonable period of
time, then the actual cash value
(B) On improvements and betterments at the replacement value at time of
loss without deduction for depreciation. If property is not repaired or
replaced within a reasonable period of time, then the actual cash value. If
replaced or repaired by others for the use of the Insured, there shall be no
liability hereunder. The Insurer agrees to accept and consider the insured
as sole and unconditional owner of all improvements and betterments, any
contract or lease the Insured may have made to the contrary
notwithstanding.
Page 18
PEPIP2001 MASTER
(C) On manuscripts, mechanical drawings, patterns, electronic data
processing media, books of accounting and other valuable papers, the full
replacement cost of the property at the time of loss (including expenses
incurred to recreate the information lost, damaged or destroyed) or what it
would then cost to repair, replace or reconstruct the property with other of
like kind and quality. If not repaired, replaced or reconstructed within a
reasonable period of time, then not to exceed the cost of blank or
unexposed material.
(D) On antique, restored or historical buildings, the cost of acquisition,
relocation to the site and renovation or reconstruction. In the event of a
partial loss, normal replacement cost coverage as set forth in item A
above would apply.
(E) On property of others for which the Insured is liable under contract or
lease agreement the Insurer's liability in the event of loss is limited to the
Insured's obligation as defined in said contract or lease agreement.
(F) The valuation of library contents is as follows:
Category Value**
Juvenile Picture Book $ 14.75
Juvenile Book $ 14.75
Juvenile Reference Book $ 33.50
Pamphlets $ 2.00
Magazines $ 4.75
Fiction $ 21.00
Law Periodical $ 34.95
Non-Fiction $ 32.50
Reference $ 83.75
Law Reference $ 110.00
Art $ 71.75
Film (16mm) $ 600.00
Film ( 8mm) $ 15.00
Film (Super 8mm) $ 15.00
Strips $ 8.25
Cassette Film Strips $ 57.00
Records $ 11.00
Videos (Tapes and C.D.$) $ 51.00
Audio Cassette $ 11.75
Computer Software (incl. C.D.$) $ 400.00
(Law) CD ROM $ 80.00
Books on Tape $ 22.00
Law Magazines $ 6.25
Compact Discs $ 25.00
Paperback Books $ 7.50
Page 19
PEPIP2001 MASTER
_._.-.....— .......................n.,n..�r.�nn..ocoio nnn.MIACTco ...
These figures are the raw costs of each category of books established from the
' library association. The figures do not include the "shelving cost" of each book
as we recognize that not all books will be replaced. The coverage for shelving
is a "valuable papers" exposure i.e. and covered elsewhere in this Policy.
Therefore, the formula for adjusting a library loss is:
# of items in a category X valuation figure + shelving cost under "valuable
papers" coverage if item is replaced.
This eliminates the need to adjust each item on its specific actual cash value or
s replacement cost.
The actual cost per item in the final adjustment is to be computed as of the
time and place of loss or damage.
(G) Coveted vehicles and/or contractors' equipment/unlicensed vehicles
on or off premises (as per summary of values on file, with the
Insured). The Insurer shall not be liable* for more than the actual
cash value of the property at the time any loss or damage occurs and
the lass or damage shall be ascertained or estimated according to
such i actual cash value with proper deduction for depreciation.
However, in no event shall the loss exceed what it would then cost to
repair or replace the same with material of like kind and quality, nor
the amount for which the Insured may be liable.
* Unless specified as replacement cost (new). If summary of
values, provided by the Insured, for vehicles/contractors'
equipment provides valuation based on 100% "replacement cost
pew", then recovery will be on the same basis.
(H) Animals: The stated value as per schedule on file with the Insured.
(I) Landcape, sand traps, tees, greens and athletic fields; the -actual
replacement cost of sod, shrubs, sand (pertaining to sand traps.
within 15 yards of greens), plants and trees; however the Insurer's
liability for replacement of trees, plants and shrubs will belimited to
the actual size of the destroyed plant, tree or shrub at the time of the
loss up to a maximum size of 15 gallons per item.
Page 20
REPIP2001 MASTER
Definitions:
Wherever the term "actual cash value" is used as respects real property or
improvements and betterment's in this clause, or elsewhere herein, it shall
mean replacement value less physical depreciation.
The aforementioned valuations shall also be used for the purpose of the
assessment adjustment clause of this Policy.
5) SPECIAL CONDITIONS:
A) AUTOMATIC COVERAGE/REPORTING CONDITIONS
Subject to the terms, conditions and limitations in Endorsement #18.
It is understood and agreed that:
(1) This Policy is automatically extended to cover all additional property
as described in this Policy and associated Business Interruption /
Extra Expense which may be purchased, leased, acquired or
otherwise become at the risk of the Insured during the term of this
Policy
(2) This Insurer shall automatically cover such property and/or
properties, subject to all the terms and conditions of the Policy to
which this clause is attached; provided, however, that if therie shall
be any other insurance covering such additional property this Policy
shall not attach or provide coverage thereon until liability of all such
other insurance shall have first been exhausted and sh ali then
attach and cover only for its proportion of the excess of loss if any,
over and above the amount due from such other insurance, whether
valid or invalid or by solvent or insolvent insurers.
(3) It is understood and agreed as respects earthquake shock at Policy
annual inception, automatic coverage applies for the peril of
earthquake shock for a period of 30 days from date of contractual
requirement by any bond, certificate of participation or any similar
investment, for any new locations where there is such a contractual
requirement to provide earthquake shock coverage. Otherwise
there is no Automatic Coverage for Earthquake Shock for any other
new locations.
Page 21
PEPIP2001 MASTER
6) DEFINITIONS:;
A) LOSS 1
Means the loss by any peril or combination of covered peril(s) arising out of a
single occurrence. When the term applies to loss or losses from earthquake
shock, flood, and/or windstorm, the following provisions shall apply:
(1) WINDSTORM
Each loss by windstorm shall constitute a single claim hereunder;
provided, if more than one windstorm shall occur within any period of
seventy-two (72) hours during the term of this Policy, such windstorm
shall be deemed to be a single windstorm within the meaning thereof.
The Insured may elect the moment from which each of the aforesaid
periods of seventy-two (72) hours shall be deemed to have
commenced but no two such seventy-two (72) hour periods shall
overlpp. The Insurer shall not be liable for any loss occurring before
the effective date and time of the Policy. The Insurer will be liable for
any losses occurring for a period of up to seventy-two (72) 'hours
afterIthe expiration of this Policy provided that the first windstorm loss
or damage within that seventy-two (72) hours occurs prior to the date
9 Y
and time of expiration of this Policy.
In the event of there being a difference of opinion between the
Insured and the Insurer as to whether or not all windstorm losses
sustained by the Insured during an elected period of seventy-two (72)
hours arose out of, or was caused by a single atmospheric
disturbance, the stated opinion of the United States Weather Bureau
or comparable Authority in any other country or locality shall govern
as to whether or not a single atmospheric disturbance continued
throughout the period at the location(s) involved.
I i
Page 22
DCDIP7f1f11 MACTFP
(2) FLOOD
Each loss by flood shall constitute a single loss hereunder.
(a) If any flood occurs within a period of the continued rising or
overflow of any river(s) or stream(s) and the subsidence of
same within the banks of such river(s) or stream(s); or
(b) If any flood results from any tidal wave or series of tidal waves
caused by any one disturbance;
such flood shall be deemed to be a single occurrence within the
meaning of this Policy.
Should any time period referred to above extend beyond the
expiration date of this Policy and commence prior to expiration, the
Insurer shall pay all such flood losses occurring during sucl period
as if such period fell entirely within the term of this Policy.
The Insurer shall not be liable, however, for any loss cause by any
flood occurring before the effective date and time of this Policy or
commencing after the expiration date and time of this Policy.
Flood shall mean a general condition of partial or complete
inundation of normally dry land area from:
(a) overflow of inland or tidal water;
(b) unusual and rapid accumulation or run off of surface waters
from any source.
Flood shall also mean mudslide or mudflow, which is a river or
flow of liquid mud caused by flooding as defined in a. or b.
above.
The definition of flood does not include ensuing loss or damage
not otherwise excluded.
Page 23
3 EARTHQUAKE SHOCK
With respect to the peril of earthquake shock, any and all losses from
this cause within a one hundred sixty-eight (168) hour period shall be
deemed to be one loss. The Insured may elect the moment from
which each of the aforesaid periods of one hundred sixty eight (168)
hours shall be deemed to have commenced but no two such one
hundred sixty eight (168) hour periods shall overlap.
The Insurer shall not be liable for any loss caused by an earthquake
shock occurring before the effective date and time of this Policy. The
Insurer will be liable for any losses occurring for a period of up to one
hundred sixty eight (168) hours after the expiration of this Policy
provided that the first earthquake shock loss or damage within that
one hundred sixty eight (168) hours occurs prior to the date and time
of the expiration of this Policy.
In the event of there being a difference of opinion between the
Insured and the Insurer as to whether or not all earthquake shock
losses sustained by the Insured during an elected period of one
hundred sixty eight (168) hours arose out of, or were caused by a
single earthquake shock, the stated opinion of the National
Earthquake Shock Information Service of the United States
Department of the Interior or comparable Authority in any other
country or locality shall govern as to whether or not a single
earthquake shock continued throughout the period at the locations
involved.
The term earthquake shock is defined as: earth movement meaning
natural faulting of land masses, but not including subsidence,
landslide, rock slide, earth rising, earth sinking, earth shifting or
settling unless as a direct result of such earth movement. The
definition of earthquake shock does not include ensuing loss or
damage not otherwise excluded. Further Earthquake Sprinkler
Leakage is covered outside of the "Earthquake Shock" definition and
subject to the basic peril deductible.
Page 24
ncnlonnnl RRACTCD
i .
(4) PERSONAL PROPERTY OF OTHERS:
Any property (other than real property) belonging to others for which
an Insured has assumed liability. This includes but is not limited to:
• Articles of Clothing
• Jewelry
• Sound Equipment
• Fine Arts (up to the sub-limit of unscheduled fine arts)
• EDP Media & Hardware
• Valuable Papers
• Portable Electronic Equipment
• Employee Tools
(5) IMPROVEMENTS AND BETTERMENTS:
Additions or changes made by an Insured/lessee at their own
expense to a building they are occupying that enhance the building's
value.
Page 25
EPIP2001 MASTER
SECTION HI
INTERRUPTION OF BUSINESS EARNINGS/ EXTRA EXPENSE AND RENTAL
INCOME
Subject to the terms, conditions and exclusions stated elsewhere herein, this Policy
provides coverage for:
1) COVERAGE:
(A) BUSINESS INTERRUPTION
Against loss resulting directly from interruption of business, services or,rental
value caused by direct physical loss or damage, as covered by this Policy to
real and/or personal property insured by this Policy, occurring during the term
of this Policy.
In the event of such loss or damage the Insurer shall be liable for the actual
loss sustained iby the Insured for gross earnings as defined herein and rental
value as defined herein resulting from such interruption of business, services,
or rental value; less all charges and expenses which do not necessarily
continue during interruption of business for only such length of time as would
be required with the exercise of due diligence and dispatch to rebuild, repair or
replace such part of the property as has been damaged or destroyed,
commencing with the date of such damage or destruction and not limited by the
date of expiration of this Policy. Due consideration shall be given to the
continuation anormal charges and expenses including payroll expenses'to the
extent necessary to resume operations of the Insured with the same quality of
service which existed immediately preceding the loss.
(B) EXTRA EXPENSE
This Policy is extended to cover the necessary extra expenses at any'location
as hereinafter defined, incurred by the Insured in order to continue as nearly as
practicable the normal operation of the Insured's business following damage to
or destruction as covered by this Policy of real or personal property insured by
this Policy which is on premises owned, leased or occupied by the Insured. In
the event of such damage or destruction, the Insurer shall be liable for such
necessary extra expense incurred for only such length of time as would be
required with the exercise of due diligence and dispatch to rebuild repair or
replace such part of the property as has been damaged or destroyed
commencing with the date of damage or destruction and not limited by the date
of expiration of this Policy (hereinafter referred to as the period of restoration).
Page 26
i'p PI P P nnI MASTER
With respect to Power Generating Facilities, Extra Expense shall also include
any extra expense incurred resulting from the purchase of electrical power from
I any other power source subject to a $ —PER DECLARATION- Limit of Libility.
However, this Policy shall not cover loss of Bonus Capacity Payrients,
I performance Guarantee penalties or any other indirect or remote loss of
whatever nature.
2 EXTENSIONS OF COVERAGE:
A) INGRESS/EGRESS
This Policy is extended to insure the actual loss sustained during the period of
time not exceeding four consecutive weeks when, as a direct result of physical
loss or damage caused by a covered peril(s) by this Policy, ingress to or egress
from property covered by this Policy is prevented.
B) INTERRUPTION BY CIVIL AUTHORITY
This Policy is extended to include the actual loss sustained by the Insured, as
covered hereunder during the length of time not exceeding four consecutive
weeks when, as a direct result of damage to or destruction of property by the
covered peril(s), access to such described premises is specifically prohibited by
I order of civil authority.
C) DEMOLITION AND INCREASED TIME TO REBUILD
The Insurer shall, in the case of loss covered under this Policy, be liable also
for loss to the interest covered by the Policy, occasioned by the enforcement of
any local or state ordinance or law regulating the construction, repair or
demolition of buildings or structures and in force at the time such loss occurs,
which necessitates the demolition of any portion of the described building(s) not
damaged by the covered peril(s). The Insurer shall also be liable for Toss due
to the additional period of time required for repair or reconstruction in
I conformity with the minimum standards of such ordinance or law of the
building(s) described in this Policy damaged by a covered peril.
THE INSURER SHALL NOT BE LIABLE UNDER THIS CLAUSE FOR:
(1) More than the limit of liability as shown elsewhere in this Policy.
(2) Any greater proportion of any loss to the interest covered by this
Policy than the amount covered under this Policy on said interest
bears to the total insurance and coverage on said interest, whether
all such insurance contains this clause or not.
Page 27
PEPIP2001 MASTER
D) NON PRODUCTIVE PROPERTY
If the Real and/or Personal Property sustaining loss or damage does not
produce an income the actual loss sustained shall be the continuing fixed
charges and expenses directly attributable to such non productive property.
E) CONTINGENT BUSINESS INTERRUPTION AND/OR EXTRA EXPENSE
AND/OR RENTAL VALUE
Subject to the terms, conditions and exclusions of this Policy to which this
extension is attached and to the following conditions, the business interruption,
extra expense, rental value coverage provided by this Policy is extended to
cover loss directly resulting from physical damage to property of the type not
otherwise excluded bythis Policyat supplier or customer locations (whether
pp
such location is owned by the Insured or not) that prevents a supplier of goods
and/or services to the Insured from supplying such goods and/or services, or
that prevents a recipient of goods and/or services from the Insured' from
accepting such.goods and/or services.
F) EXTENDED PERIOD OF INDEMNITY EXTENSION
Subject to the terms, conditions and exclusions of the Policy to which this
extension is attached, the business interruption and/or extra expense and/or
rental value coverage provided by this Policy is extended to provide,coverage
for the additional length of time required to restore the business of the Insured
to the condition that would have existed had no loss occurred commencing on
either;
(1) the date on which the Insurer's liability would otherwise terminate or;
(2) the date on which rebuilding, repairing or replacement of such property as
has been 'lost, damaged or destroyed is actually completed, whichever is
later.
The Insurer's Ifability under this extension shall terminate no later than twelve
(12) months from the commencement date set forth above.
I �
Page 28
3) EXCLUSIONS:
SPECIAL EXCLUSIONS
•
1) The Insurer shall not be liable for any increase of loss which may be
occasioned by the suspension, lapse, or cancellation of any lease or
license, contract or order, unless such suspension, lapse, or cancellation
results directly from the interruption of business and, then this Insurer shall
only be liable for such loss as affects the Insured's earnings durirg and
limited to, the period of indemnity covered under this Policy.
2) Media for electronic data processing: applicable only to the loss of
earnings resulting from damage to or destruction of media for, or
programming records pertaining to, electronic data processing or
electronically controlled equipment, including data thereon by the covered
peril(s). The length of time for which the Insurer shall be liable hereunder
shall not exceed:
a) Thirty (30) consecutive calendar days; or
b) The length of time that would be required to rebuild, repair or leplace
such property herein described as has been damaged or destroyed
(other than media for, or programming records pertaining to,
electronic data processing or electronically controlled equipment,
including data thereon);
whichever is the greater length of time.
•) LOSS PAYMENT VALUATION:
A) EXPENSES TO REDUCE LOSS:
This Policy also covers such expenses as are necessarily incurred for the
purpose of reducing loss under this section (except incurred to extinguish a
fire); but in_no event to exceed the amount by which loss is thereby reduced.
Page 29
5) CONDITIONS' APPLICABLE TO BUSINESS INTERRUPTION/EXTRA
EXPENSE AND RENTAL VALUE
If the Insured could reduce the loss resulting from the interruption of business:
(1) by complete or partial resumption of operation of the property whether or
not such property be lost or damaged, or;
(2) by making use of merchandise or other property at the Insured's location
or elsewhere;
such reduction shall be taken into account in arriving at the amount of the loss
hereunder.
6) DEFINITIONS:,
A) GROSS EARNINGS
"Gross Earnings" is defined as the sum of:
(1) total net sales and;
(2) other' earnings derived from the operation of the business
less the cost of;
(3) merchandise sold including packaging materials and;
(4) materials and supplies consumed directly in supplying the service(s)
sold by the Insured, and;
(5) service(s) purchased from outside (not employees of the Insured) for
resale that does not continue under contract.
No other cost shall be deducted in determining gross earnings.
In determining gross earnings, due consideration shall be given to the
experience of the business before the date of loss or damage and the
probable experience thereafter, had no loss occurred.
Page 30
B) MERCHANDISE
Shall be understood to mean, goods kept for sale by the Insured which are not
the products of manufacturing operations conducted by the Insured.
C) EXTRA EXPENSE
The term "extra expense", whenever used in this Policy, is defined as the
excess (if any) of the total cost incurred during the period of restoration
chargeable to the operation of the Insured's business over and above the total
cost that would normally have been incurred to conduct the business during the
same period had no damage or destruction occurred. Any salvage value of
property obtained for temporary use during the period of restoration, which
remains after the resumption of normal operations, shall be taken into
consideration in the adjustment of any loss hereunder.
D) RENTAL VALUE
The term "rental value" is defined as the sum of:
(1) the total anticipated gross rental income from tenant occupa cy as
furnished and equipped by the Insured, and;
(2) the amount of all charges which are the legal obligation of the
tenant(s) and which would otherwise be obligations of the Insured,
and;
(3) the fair rental value of any portion of said property which is occupied
by the Insured, and;
(4) any amount in excess of (1), (2) and (3) (above) which is an
obligation due under the terms and conditions of any revenue bond,
certificate of participation or other financial instrument.
In determining rental value, due consideration shall be given to the
experience before the date of loss or damage and the probable
experience thereafter had no loss occurred.
Page 31
1'1 rn.nnnn♦,nnc'rt0
(E) PERIOD OF RESTORATION
The period during which business interruption and or rental interruption
applies will begin on the date direct physical loss occurs and interrupts normal
business operations and ends on the date that the damaged property should
have been repaired, rebuilt or replaced with due diligence and dispatch (i.e.
"normal speed).
Page 32
D DIO)nn1 MA CTFR
i
SECTION IV
GENERAL CONDITIONS
1) PERILS COVERED
Subject to the terms, conditions and exclusions stated elsewhere herein, this
Policy provides insurance against all risk of direct physical loss or damage
occurring during the period of this Policy.
2 PERILS EXCLUDED
This Policy does not insure against any of the following:
A) Loss or damage caused by or resulting from moths, vermin, termites, or
other insects, inherent vice, latent defect, faulty workmanship, wear, tear
or gradual deterioration, contamination, rust, wet or dry rot, mold, unless
caused by a peril not otherwise excluded, or loss or damage by ormal
settling, shrinkage or expansion in building or foundation.
B) Delay or loss of markets (this exclusion shall be inapplicable to the extent
inconsistent with any time element coverage provided elsewhere herein).
C) Breakdown or derangement of machinery and/or steam boiler explosion,
unless loss not otherwise excluded herein ensues and then only for such
ensuing loss. (This exclusion applicable only to boilers owned or
controlled by Insured.) This exclusion does not apply to data processing
equipment or media.
D) Loss or damage caused by or resulting from misappropriation, conversion,
inventory shortage, unexplained disappearance, infidelity or any dishonest
act on the part of the Insured, it's employees or agents or others to whom
the property may be entrusted (bailees and carriers for hire exce p ted) or
other party of interest.
E) Loss or damage caused by or resulting from electrical injury or
disturbance from artificial causes to electrical appliances, devices of any
kind or wiring, unless loss not otherwise excluded herein ensues and then
only for such ensuing loss. This exclusion does not apply to data
processing equipment or media.
Page 33
I'-mnnnn.uncrcn
F) Loss or damage to personal property resulting from shrinkage,
evaporation, loss of weight, leakage, breakage of fragile articles, marring,
scratching, exposure to light or change in color, texture or flavor, unless
such loss 'is caused directly by fire or the combating thereof, lightning,
windstorm, hail, explosion, strike, riot, or civil commotion, aircraft; vehicles,
breakage of pipes or apparatus, sprinkler leakage, vandalism; and
malicious mischief, theft, attempted theft, flood or earthquake shock
(earthquake shock shall apply only to locations that are scheduled for
earthquake shock. This applies only to California.).
G) Loss or 'shortage disclosed upon taking inventory or mysterious
disappearance of property (except property in the custody of carriers or
bailees for,hire).
H) Loss or damage caused by rain, sleet or snow to personal property in the
open (except in the custody of carriers or bailees for hire).
I) Loss caused directly or indirectly, by:
(1) hostile or warlike action in time of peace or war, including action in
hindering, combating or defending against an actual, impending or
expected attack
(a) by any government or sovereign power (de jure or de, facto), or
by any Authority maintaining or using military, naval or air
forces; or
(b) by military, naval or air forces; or
(c) by an agent of any such government, power, authority or forces;
(2) any weapon of war employing atomic fission or radioactive force
whether in time of peace or war;
(3) insurrection, rebellion, revolution, civil war, usurped power, or action
taken by governmental Authority or hindering, combating or
defending against such an occurrence, seizure or destruction under
quarantine or customs regulations, confiscation by order of any
government or public authority, or risks of contraband' or illegal
transportation or trade.
Ili
i I
Page 34
J) Loss by nuclear reaction or nuclear radiation or radioactive contamination,
all whether controlled or uncontrolled, and whether such loss be direct or
indirect, proximate or remote, or be in whole or in part caused by,
contributed to, or aggravated by the covered peril(s) in this �olicy;
however, subject to the foregoing and all provisions of this Policy, direct
loss by fire resulting from nuclear reaction or nuclear radiation or
radioactive contamination is insured by this Policy.
3 TERRITORIAL LIMITS
This Policy insures property within the United States. Personal property while
in transit therein is extended to worldwide coverage.
REINSTATEMENT
Any reduction in the amount insured hereunder due to payment of any loss or
losses shall be automatically reinstated for the balance of the term of this
contract except as respects to those perils that are subject to annual aggregate
limitation.
-j F.O.B. SHIPMENTS
This Insurer shall be liable for the interest of the Insured at sole option of the
Insured, the interest of the consignee in merchandise which has been Sold by
the Insured under terms of F.O.B. point of origin or other terms usually
regarded as terminating shippers' responsibility short of point of delivery.
•) PROTECTION AND PRESERVATION OF PROPERTY
In case of actual or imminent physical loss or damage of the type insured
against by this Policy, the expenses incurred by the Insured in taking
reasonable and necessary actions for the temporary protection and
preservation of property insured hereunder shall be added to the total physical
loss or damage otherwise recoverable under the Policy and be subject-to the
applicable deductible and without increase in the limit provisions contained in
this Policy.
Page 35
7) BREACH OF CONDITIONS.
If any breach of a clause, condition or warranty of this Insurer contract or Policy
shall occur prior to a loss affected thereby under this Policy, such breach shall
not void the Policy nor avail the Insurer to avoid liability breach shall exist at the
time of such Toss under this contract or Policy, and be a contributing factor to
the loss for which claim is presented hereunder, it being understood'' that such
breach of clause or condition is applicable only to the property affected thereby.
Notwithstanding the foregoing, if the Insured establishes that the breach,
9 9,
whether contributory or not, occurred without its knowledge or permission or
beyond its control, such breach shall not prevent the Insured from recovering
under this Policy.
8) PERMITS AND PRIVILEGES
Anything in the printed conditions of this Policy to the contrary notwithstanding,
permission is hereby granted:
A) to maintain present and increased hazards;
B) to make additions, alterations, extensions, improvements and repairs, to
delete, demolish, construct and reconstruct, and also to include all
materials,' equipment and supplies incidental to the foregoing operations
of the property covered hereunder, while in, on and/or about the premises
or adjacent thereto;
C) for such use of the premises as usual and/or incidental to the business as
conducted therein and to keep and use all articles and materials usual
and/or incidental to said business in such quantities as the exigencies of
the business require;
D) to be or become vacant or unoccupied without limit of time.
{
Nor shall this Policy be prejudiced by:
E) error in-stating the name, number, street, or location of any building(s) and
contents covered hereunder, or any error or omission involving the name
or title of the Insured;
Page 36
PFPIP7l,l11 MGCTPP
F) any act or neglect of the owner of the building, if the Insured hereunder is
not the owner, or of any occupant of the within described premises other
than the Insured, when such act or neglect is not within the control of the
Insured, named herein; or
G) by failure of the Insured to comply with any of the warranties or conditions
endorsed hereon in any portion of the premises over which the Insured
has no control.
9) PROTECTIVE SAFEGUARDS
The Insured shall exercise due diligence in maintaining in complete working
order all protective safeguard equipment and services.
10) NOTICE OF LOSS
In the event of loss or damage insured against under this Policy, the Insured
shall give immediate notice thereof to ROBERT F. DRIVER ASSOCIATES,
P.O. Box 6450, Newport Beach, CA 92658-6450 (949) 756-0271, FAX (949)
756-2713 of such loss.
The loss shall in turn be reported to Maxson Young Associates, Inc., One
Sansome Street, Suite 950, San Francisco, California 94104 who is hereby
authorized to represent the Insurer in the investigation and adjustment of any
loss or damage under this Policy at the expense of the Insurer and without
regard to the amount of loss or damage and/or applicable deductible if any.
All losses incurred by San Diego Pooled Insurance Program Authority
(SANDPIPA) and its members, as well as the San Diego Unified Port District,
shall be reported to Walsh Adjusting Company, 3547 Camino Del Rio South,
Suite D, San Diego, CA 92108 who is hereby authorized to represent the
Insurer in the investigation and adjustment of any loss or damage under this
Policy at the expense of the Insurer and without regard to the amount of loss or
damage and/or applicable deductible, if any.
All losses incurred by LAC-CAL shall be reported to McLarens Toplis, 5670
Wilshire Blvd. 20th Floor, Los Angeles, CA 90036 who is hereby authorized to
represent the Insurer in the investigation and adjustment of any loss or damage
under this Policy at the expense of the Insurer and without regard to the
amount of loss or damage and/or applicable deductible, if any.
Page 37
i
For Washington Cities Insurance Authority and Washington Schools Risk
Management Pool, in the event of loss or damage that falls within the reporting
requirements, the Insured will give immediate notice to the Insurer. For those
losses reported to the Insurer, the Insured agrees to use Crawford-THG
International Loss Adjusters, 19109 — 36th West, Suite 105, Lynnwood,
Washington 98036, for the investigation and adjustment of the loss. The
Insured will retiain responsibility for the direction of the investigation and the
overall adjustment of the loss.
However, Insurers reserve the right to utilize other adjusting firms if and when
they feel it necessary.
111) PROTECTION OF PROPERTY
The Insured shall protect the property from further damage forthwith, separate
the damaged and undamaged personal property stored in the best possible
order and furnish a complete inventoryof the destroyed, damaged and
undamaged property. The expense for same are covered expenses under this
Policy.
12) ARBITRATION;OF VALUE
In case the Insured and the Insurer shall fail to agree as to the amount; of loss,
then, on the written demand of either, each shall select a competent and
disinterested appraiser and notify the other of the appraisers selected. The
appraiser shall first select a competent and disinterested umpire, and failing to
agree upon such umpire, then, on request of the Insured or the Insurer such
umpire shall be selected by judge of a court of record in the state in which the
property covered is located.
The appraisers shall as soon as practicable, appraise the loss stating
separately thei loss of each item and failing to agree, shall submit their
differences only to the umpire. An award in writing so itemized, of any two
appraisers when filed with the Insurer shall determine the amount of loss-. The
party selecting him shall pay each appraiser and the expenses of appraisal and
umpire shall be paid by the parties equally.
1
Page 38
1 ;) PROOF OF LOSS
The Insured shall render a signed and sworn proof of loss as soon as practical
after the occurrence of a loss, stating the time, place and cause of Toss, the
interest of the Insured and of all others in the property, the value thereof and
the amount of loss or damage thereto.
14) SUBROGATION
In the event of any loss payment under this Policy, the Insurer, shall be
subrogated to all the Insured's rights of recovery thereof against any peison or
organization and the Insured shall execute and deliver instruments and papers
and do whatever else is necessary to secure such rights
As respects subrogation it is agreed that, after expenses incurred in
subrogation are deducted, the Insured and the Insurer shall share
proportionately to the extent of their respective interests as determined by the
amount of their net loss. Any amount thus found to be due to either party from
the other shall be paid promptly.
This Policy shall not be prejudiced by agreement made by the Insured
releasing or waiving the Insured's right to recovery against third parties
responsible for the loss, under the following circumstances only:
(1) If made before the loss has occurred, such agreement may run in favor of
any third party;
(2) If made after loss has occurred, such agreement may run only in favor of
a third party falling within one of the following categories at the time of
loss:
(a) a third party covered under this Policy; or
(b) a corporation, firm, or entity
(.1) owned or controlled by the Insured or in which the Insured owns
capital stock or other proprietary interest, or
(2) owning or controlling the Insured or owning or controlling capital
stock or other proprietary interest in the Insured
Page 39
ii1CDID7r n1 11AA CTFP
i
(3) whether made before or after loss had occurred, such agreement must
Right of Recover
y or waive the entireg of the named Insured
against such Third partyor
9
(4) a Tenant of the Named Insured.
15) CANCELLATION
This Policy may be canceled by the Insured at any time by written notice or
surrender of this Policy. This Policy may also be canceled by or on behalf of
the Insurer bydeliveringto the Insured ormailingto the Insured,
byby
registered, certified or other first class mail at the Insureds address,as shown
9 I,
inthis written less than ninety (90) days prior to the effective
Policy, tt n notice, not y
I
date of cancellation. The mailing of such notice as aforesaid shall be sufficient
proof and this Policy and shall terminate at the date and hour specified in such
notice. Notwithstanding what has been stated above, however, should this
Policybe canceled for non-payment of assessment, the Insurer shall onlybe
II,
required to give the Insured ten (10) days notice.
It is further agreed that this Insurer will abide by all the laws regulating the non-
renewal or cancellation of Insured instituted by the State Department of
Insurance, regardless of whether or not the Insurer is an admitted carrier in the
State havingjuksdiction over the named insured.
'III
If this insurance in total shall be cancelled by the Insured, the Insurer shall
retain the customary short rate proportion of the premium hereon. If the Insurer
I mid-term, cancellationshall elects to cancel coverage then such be handled on
apro-rata basis without short rate penalty.
p Y
In the event of ate cancellationthe aggregate retention and specific limit amount
t 9g 9 P
shall be appliedpro rata with the balance, if an to be paid to the Insured.
Pp Y�
Payment or tender of anyunearnedpremium bythe Insurer shall not be
Y
condition recedent to the effectiveness of cancellation but such a ment shall
II
p payment
be made forthwith.
Cancellation shall not effect coverage on any shipment in transit or date of
cancellation. Coverage will continue in full force until such property is safely
delivered and
accepted at place of final destination. '
p
II
III i i
I
1
1
Page 40
it i
1 ,) ABANDONMENT
There shall be no abandonment to the Insurer of any property.
1 '') ASSIGNMENT
Assignment or transfer of this Policy shall not be valid except with the written
consent of the Insurer.
1 :) SALVAGE
When, in connection with any loss hereunder, any salvage is received prior or
subsequent to the payment of such loss, the loss shall be figured on the basis
on which it would have been settled had the amount of salvage been known at
the time the loss was originally determined.
1 ) OTHER INSURANCE
Permission is hereby granted to the Insured to carry more specific insurance on
any property covered under this Policy. This Policy shall not attach or become
insurance upon any property which at the time of loss is more specifically
described and covered under any other policy form until the liability of such
other insurance has first been exhausted and shall then cover only the excess
of value of such property over and above the amount payable under such other
insurance, whether collectible or not. This Policy, subject to its conditions and
limitations, shall attach and become insurance upon such property as respects
any peril not covered by such other insurance and not otherwise excluded
herein.
In the event of a loss that is covered by other insurance, wherein this Policy is
excess of any amount paid by such other insurer shall be applied to the
deductible amount stated elsewhere. Should the amount paid by such other
insurance exceed these deductibles, no further deductibles shall be applied
under this Policy.
Page 41
I I I
I II i
20) EXCESS INSURANCE
Permission is granted the Insured to maintain excess insurance over the limit of
liability set forth in this Policy without prejudice to this Policy and the existence
of such insurance, if any, shall not reduce any liability under this Policy. Also it
is understood and agreed as respects earthquake shock or flood, that in the
event of reduction or exhaustion of the aggregate limits of liability under the
underlying Policy(s) by reason of loss(es) thereunder, this Policy shall:
(a) in the event of reduction, pay out excess of the reduced underlying
limit and
(b) in the event of exhaustion, continue in force as the underlying Policy.
21) RIGHT TO REVIEW RECORDS FOLLOWING AN INSURED LOSS
The Insured as often as may be reasonably required, shall submit and so far as
within their power, cause all other persons interested in the property or
employees to submit to examination under oath by any person named by the
Insurer relative toany and all matters in connection with a claim, and produce
for examination all books of account, bills, invoices and other vouchers or.
certified copies; thereof if originals be lost, at such reasonable time and place
as may be designated by the Insurer or their representatives and shall permit
extracts and copies thereof to be made.
22) CONCEALMENT AND FRAUD
This entire Policy shall be void, if whether before or after a loss, the Insured
has willfully concealed or misrepresented any material facts or circumstance
concerning this Policy of the subject thereof, or the interest of the Insured
therein, or in case of any fraud or false swearing by the Insured relating thereto.
� I
Page 42
i
2�i) LIBERALIZATION
If during the period that coverage is in force under this Policy, or within forty-
five (45) days prior to the inception date thereof, on behalf of this Insurer there
• be adopted, or filed with and approved or accepted insurance authorities, all in
conformity with law, any changes in the form attached to this Policy by which
this form of Policy could be extended or broadened without inc eased
assessment charge by endorsement or substitution of form, the such
extended broadened Policy shall inure to the benefit of the Insured hereunder
as though such endorsement or substitution of form had been made.
It is hereby agreed that the terms and conditions of this form are substituted for
those of the Policy to which it is attached, the provision of the latte' being
waived.
4,) LOSS PAYABLE CLAUSE
In the event of a loss occurring under this Policy, the loss payment will b made
in favor of the Insured(s) submitting the claim alone, and not to the program
name.
5) FULL WAIVER
The terms and conditions of this form and endorsements attached thereto are
substitute for those of the Policy to which it is attached, all terms, conditions
and endorsements of latter being waived.
:6) REPORT OF VALUES/PREMIUM
Premium shall be computed by applying the agreed rate against values
commensurate with the valuation clause. Values declared to the Insurer are for
premium purposes only and shall not limit the recovery under any area of
coverage afforded by this Policy.
Page 43
' SECTION V
DATA PROCESSING MEDIA
This Policy is extended to provide coverage for loss or damage to data processing
'' media: .
1), COVERAGE:
A) PROPERTY COVERED
I '
Active data processing media, being property of the Insured or property of
others for'which the Insured may be liable.
B) PERILS COVERED
This extension insures against all risks of direct physical loss or damage
to the property covered except as hereinafter provided.
2) EXTENSIONS OF COVERAGE:
None.
3 EXCLUSIONS
A) PROPERTY EXCLUDED
I � '
This extension does not insure accounts, bills, evidences of debt, valuable
papers, re'cords, abstracts, deeds, manuscripts or other documents except
as they may be converted to data processing media form, and then only in
that form,' or any data processing media which cannot be replaced with
other of like kind and quality.
Page 44
B) PERILS EXCLUDED
This extension does not insure against loss, damage or expense resulting
from or caused directly or indirectly by any of the following:
(1) Data processing media failure or breakdown or malfunction of the
data processing system including equipment and component parts
while said media is being run through the system.
(2) Dryness or dampness of atmosphere, extremes of temperature,
corrosion, or rust unless directly resulting from physical damage to
the data processing system's air conditioning facilities cause by a
peril not excluded by the provisions of this Policy.
(3) Delay, loss of market, loss of use or interruption of business, except
as provided for elsewhere in this Policy.
(4) Inherent vice, wear, tear, gradual deterioration or depreciation.
(5) Any dishonest, fraudulent or criminal act by the Insured, a partner
therein or an officer, director, employee or trustee thereof, whether
acting alone or in collusion with others.
For the purpose of this exclusion an act of vandalism or malicious
damage by an employee shall not constitute a dishonest, fraudulent
or criminal act.
(6) War risks or nuclear risks as excluded in the Policy to which this
extension is attached.
Exclusions 1, 2, and 4 above do not apply to ensuing loss or damage
unless another exclusion applies.
•) LOSS PAYMENT BASISNALUATION:
The limit of this Insurer's liability for loss or damage shall not exceed: -
A) The amount per article specified at the time of loss, said amount being the
agreed value thereof for the purpose of this Policy.
B) As respects all other property, the full reproduction cost of the property as
detailed elsewhere in this Policy; if not replaced or reproduced, blank
value of media; all subject to the applicable limit of liability stated in the
schedule of values.
Page 45
Ili I
5) SPECIAL CONDITIONS:
None
6)I, DEFINITIONS:
A) ACTIVE DATA PROCESSING MEDIA:
Wherever used in this contract, shall mean all forms of converted data
and/or program and/or instruction vehicles employed in the Insured's data
processing operation.
I I i
II I
i I
I ,
Page 46
•
I
SECTION VI
FINE ARTS FLOATER
1) COVERAGE:
The provisions and stipulations of this Section shall apply only to the p operty
covered hereunder and none of the provisions and stipulations of this Policy,
including any other endorsement made a part thereof, except the canc Ilation
provision, shall apply to this Section VI.
If any of the property covered by this Section is also covered under anyother
provisions of the Policy of which this Section is made a part, those proisions
are hereby amended to exclude such property, the intent being t at the
coverage under this Section is the sole coverage on such property.
This Section is extended to cover fine arts, which are the property of the
Insured or the property of others in the custody or control of the Insure while
on exhibition or otherwise within the limits of the Continental United States .
A) PROPERTY COVERED
(1) Objects of art of every kind and description, the property of the
Insured, the property of others and property in which the Insured
shall have a fractional ownership interest which are owned by or
have been leased, loaned, rented or otherwise made availa le to
the Insured. "Property" shall mean paintings, drawings, etc ings,
prints, rare books, manuscripts, rugs, tapestries, furniture, st tuary
and all other bonafide works of art and other objects of rarity,
historic value, cultural interest or artistic merit, which are part of the
collections of the Insured, or in the care, custody or control of the
Insured, and their frames, glazing and shadow boxes.
(2) Objects of art, and property incidental thereto, the property of the
Insured, or of others for which the Insured may be liable and while
such property is on or away from the Insured's premises in
accordance with the terms and conditions of this Policy.
Page 47
B) THIS FLOATER INSURES AGAINST
All risks of loss of or damage to the above described property except as
hereinafter provided.
C) "WALL TO WALL" ("NAIL TO NAIL") COVERAGE
This Section covers the Insured's property on a "Wall to Wall" ("Nail to
Nail") basis, or domicile to domicile basis, as applicable, from the time
said property is removed from its normal repository incidental to shipment
point designated
until returned thereto or otherg by the owner or owner's
agent prior, to return shipment, including while in transit to or from points of
consolidation or deconsolidation, packing, repacking or unpacking, while
at such locations duringsuchprocesses or awaitingshipment.
P
Coverage shall terminate upon arrival of the covered property at the final
destination designated by the owner or owner's agent, or upon expiration
of this Policy, whichever may occur first, except that expiration of this
Policy shall not prejudice coverage of any risk then in transit.
2) EXTENSIONS OF COVERAGE:
None
3) EXCLUSIONS:;
A) Loss or damage occasioned by: wear and tear, gradual deterioration,
insects, vermin, inherent vice or damage sustained due to and resulting
from any repairing, restoration or retouching process;
i I
Page 48
PPPIP9lf 1 MARTFR
I i I
B) Loss or damage caused by or resulting from:
(1) Hostile or warlike action in time of peace or war, including action in
hindering, combating or defending against an actual, impen ing or
expected attack;
(a) by any government or sovereign power (de jure or de fa to), or
by any authority maintaining or using military, naval or air forces;
or
(b) by military, naval or air forces; or
(c) by an agent of any such government, power, authority or orces;
(2) Any weapon of war employing atomic fission or radioactiv force
whether in time of peace or war;
(3) Insurrection, rebellion, revolution, civil war, usurped power, or action
taken by governmental authority in hindering, combating or
defending against such an occurrence, seizure or destruction under
quarantine or customs regulations, confiscation by order Hof any
government or public authority, or risks of contraband or illegal
transportation or trade.
C) Loss by nuclear reaction or nuclear radiation or radioactive contamination,
all whether controlled or uncontrolled and whether such loss be direct or
indirect, proximate or remote, or be in whole or in part caused by,
contributed to, or aggravated by the covered perils covered against in this
endorsement; however, subject to the foregoing and all provisions of this
endorsement, direct loss by fire resulting from nuclear reaction or 'nuclear
radiation or radioactive contamination is covered against by this
endorsement.
D) Any dishonest, fraudulent or criminal act by the Insured, a partner therein
or an officer, director, employee or trustee thereof, whether acting alone or
in collusion with others.
For the purpose of this exclusion an act of vandalism or malicious damage
by an employee shall not constitute a dishonest, fraudulent or criminal act.
Page 49
IFPIP9001 MASTFR
II'I 4) LOSS PAYMENT BASISNALUATION:
VALUATION
The valuation of each article of property covered by this Section shall be
determined as follows:
(1) Property
of the Insured shall be covered for and valued at the current
fair market value of each article indicated on the books and records
of the Insured prior to loss, according to the Insured's valuation of
each object covered.
(2) Property of others loaned to the Insured and for which the Insured
may be legally liable, or which the Insured has been instructed to
insure, shall be covered for and valued at the amount agreed upon
for each article by the Insured and owner(s) as recorded on the
books and records of the Insuredprior to loss.
(3) Otherwise, in the absence of recorded current fair market values or
agreed values for each article covered, the Insurer shall not be liable
beyond the fair market value of the property at the time any loss or
damage occurs. Said value shall be ascertained by the Insured and
the Insurer or, if they differ, then the amount of value or loss shall be
determined as provided in the following appraisal clause.
5) SPECIAL CONDITIONS:
(1) Misrepresentation and Fraud: This entire Section shall be void if, whether
before or after a loss, the Insured has concealed or misrepresented any
material fact or circumstance concerning this Policy or the subject thereof,
or the interest of the Insured therein, or in case of any fraud or false
swearing by the Insured relating thereto.
(2) Notice of toss: The Insured shall as soon as practicable report in writing
to the Insurer or its agent every loss, damage or occurrence which may
give rise to a claim under this Section and shall also file with the Insurer or
its agent within ninety (90) days from the date of discovery of,such loss,
damage or occurrence, a detailed sworn proof of loss.
I �
I �
Page 50
PFPIP2001 MASTER
(3) Examination under Oath: The Insured, as often as may be reasonably
required, shall exhibit to any person designated by the Insurer all that
remains of any property herein described, and shall submit, and insofar as
is within its power cause its employees, Insured and others to submit to
examination under oath by any person named by the Insurer and
subscribe the same; and, as often as may be reasonably required, shall
produce for examination all writings, books of account, bills, invoices and
other vouchers, or certified copies thereof if originals be lost, at such
reasonable time and place as may be designated by the Insurer or its
representative and shall permit extracts and copies thereof to be made.
No such examination under oath or examination of books or documents,
nor any act of the Insured or any of its employees or representatives in
connection with the investigation of any loss or claim hereunder, shall be
deemed a waiver of any defense which the Insured might otherwise have
with respect to any loss or claim, but all such examinations and acts shall
be deemed to have been made or done without prejudice to the Insurer's
liability.
(4) Settlement of Loss: All adjusted claims shall be paid or made good to the
Insured within sixty (60) days after presentation and acceptance of
satisfactory proof of interest and loss at the office of the Insurer. No loss
shall be paid or made good if the Insured has collected the same from
others.
(5) No Benefit to Bailee: This Section shall in no way inure directly or
indirectly to the benefit of any carrier or other bailee.
(6) Subrogation or Loan: If in the event of loss or damage the Insured shall
acquire any right of action against any individual, firm or corporation for
loss of, or damage to, property covered hereunder, the Insured will, if
requested by the Insurer, assign and transfer such claim or right of action
to the Insurer or, at the Insurer's option, execute and deliver to the Insurer
the customary form of loan receipt upon receiving an advance of funds in
respect of the loss or damage; and will subrogate the Insurer to, or will
hold in trust for the Insurer, all such rights of action to the extent of the
amount paid or advanced, and will permit suit to be brought, in the
Insured's name under the direction of and at the expense of the Insurer.
Page 51
IEPIP2001 MASTER
(7) Loss Clause: Any loss, hereunder shall not reduce the amount of this
Section, except in the event of payment of claim for total loss of an item
specifically scheduled hereon. If no claim is paid for total loss of one or
more scheduled items, the unearned premium applicable to such items
will be refunded to.the Insured or applied to the premium due on item(s)
replacing those on which the claim was paid.
(8) Protection and Preservation of Property: In case of actual or imminent
physical loss or damage of the type insured against by this Policy, the
expenses incurred bythe Insured in takingreasonable and necessary
actions for the temporary protection and preservation of property;insured
hereunder shall be added to the total physical loss or damage otherwise
recoverable under the Policy and be subject to the applicable deductible
and without increase in the limit provisions contained in this Policy.
(9) Suits: No; suit, action or proceeding for the recovery of any claim under
this Section shall be sustainable in any court of law or equity unless the
same be commenced within twelve (12) months next after discovery by
whichgives rise to the claim, provided
the Insured of the occurrence h
however, that if by the laws of the state within which this Section is issued,
such limitation is invalid, then any such claims shall be void unless, such
action, suit or proceeding be commenced within the shortest limit' of time
permitted by the laws of such state.
(10) Appraisal:' If the Insured and the Insurer fail to agree as to the amount of
loss, each shall on the written demand of other, made within sixty (60)
days after receipt of proof of loss by the Insurer, select a competent and
disinterested appraiser, and the appraisal shall be made at a reasonable
time and place. The appraisers shall first select a competent and
disinterested umpire, and failing for fifteen (15) days to agree upon such
umpire, then on the request of the Insured or the Insurer, such) umpire
shall be selected by a judge of a court of record in the state in which such
appraisal is pending. The appraisers shall then appraise the loss, stating
separately the actual cash value at the time of loss and the amount of
loss, and failing to agree shall submit their differences to the umpire. An
award in writing of any two shall determine the amount of loss. The
Insured and the Insurer shall each pay their chosen appraiser and shall
bear equally the other expenses of the appraisal and umpire. The Insured
shall not be held to have waived any of its rights by any act relating to
appraisal.
11
Page 52
nrrnnnnn. uwoTrn
(11) Civil Authority: Property covered under this Section against the peril of fire
is also covered against the risk of damage or destruction by Civil authority
during a conflagration and for the purpose of retarding the same; provided
that neither such conflagration nor such damage or destruction is caused
or contributed to by a peril otherwise excluded herein.
(12) Conformity to Statute: Terms of this Section that are in conflict with the
statutes of the state wherein this Section is issued are hereby amended to
conform to such statutes.
(13) Changes: Notice to any agent or knowledge possessed by any agent or
by any other person shall not effect a waiver or a change in any part of
this Section or stop the Insured from asserting any right under the terms of
this Section, nor shall the terms of this Section be waived or changed
except by endorsement issued to form a part of this Section.
(14) Additional Covered Party(ies): The owner and owners defined as
associations, corporations, firms, institutions, museums, persons and
others who own or control collections, objects or articles who make them
available to the Insured, and temporary borrowers or custodians (but not
carriers, packers or shippers) of property covered, are adlitional
Insured(s) hereunder, but only as respects coverage afforded said
Insured's property.
(15) Packing: It is agreed by the Insured that the property covered hereunder
be packed and unpacked by competent packers.
(16) Other Insurance: This fine arts floater Section is excess coverage over
any other valid and collectible insurance which may apply to any objects of
art for which coverage would apply under this Policy.
(17) Pair And Set: In the event of the total loss of any article or articles which
are a part of a set, the Insurer agrees to pay the Insured the full amount of
the value of such set and the Insured agrees to surrender the remaining
article or articles of the set to the Insurer.
61 DEFINITIONS:
Fine Arts includes but is not limited to:
Paintings, rare books, manuscripts, pictures, prints, etchings, drawings,
tapestries, bronzes, statuary potteries, porcelains, marbles and other blonafide
works of art or items of rarity or historical value of the Insured or in their care,
custody or control.
Page 53
-II DID9l1M AAACTCI7
SECTION VII
EXTRA EXPENSE
ELECTRONIC DATA PROCESSING
1) COVERAGE:
This Policy insures against the necessary extra expense as hereinafter defined,
incurred by the Insured in order to continue, as nearly as practicable the normal
operation of its business, immediately following damage to or destruction of the
data processing system including equipment and component parts thereof and
data processing media therefor, owned, leased, rented or under the control of
the Insured, asi a direct result of all risks of physical loss or damage, but in no
event to exceed the amount indicated in the declarations.
The extension is extended to include actual loss sustained, as covered
hereunder, during the period of time, hereinafter defined,
(1) when as a direct result of a covered peril, the premises in which the
property is located is so damaged as to prevent access to such property
or
(2) when as a direct result of a covered peril, the air conditioning system or
electrical 'system necessaryfor� the operation of the data ro'cessin
9
p p
equipment is so damaged as to reduce or suspend the Insureds ability to
actually perform the operations normally performed by the data processing
system.
This extension is further extended to include necessary extra expense incurred
by the Insured as covered hereunder, during the length of time, not exceeding
four (4) consecutive weeks, when as a direct result of damage to or destruction
11
of property adjacent to the premises herein described by the covered perils,
access to such described premises is specifically prohibited by order of Civil
authority. _
Page 54
PFPIP9001 MASTFR
MEASURE OF RECOVERY
If the above described property is destroyed or so damaged by the
covered perils occurring during the term of this extension so as to
necessitate the incurrence of extra expense (as defined in this extension),
this Insurer shall be liable for the extra expense so incurred, not exceeding
the actual loss sustained, for not exceeding such length in time,
hereinafter referred to as the "Period of Restoration", commencing with the
date of damage or destruction and not limited by the date of expirahion of
this Policy, as shall be required with the exercise of due diligence and
dispatch to repair, rebuild or replace such part of said property as may be
destroyed or damaged.
This Insurer's liability during the determined period of restoration, shall be
limited to the declared amount per period of time indicated in the
declarations (if a time period is declared), but in no event to exceed the
amount of coverage provided.
2 EXTENSIONS OF COVERAGE:
None.
3 EXCLUSIONS:
This extension does not insure extra expense incurred as a result of the
following perils:
A) The suspension, lapse, or cancellation of any lease, license, contract or
order except as a result of physical damage caused by an insured peril.
B) Interference at premises by strikers or other persons with repairing or
replacing the property damaged or destroyed or with the resumption or
continuation of the Insured's occupancy. _
C) Loss or destruction of accounts, bills, evidences of debt, valuable papers,
records, abstracts, deeds, manuscripts or other documents except as they
may be converted to data processing media form and then only in that
form.
D) Loss of or damage to property rented or leased to others while away from
the premises of the Insured.
Page 55
Icninnnna RA A CTFA
E) Error in machine programming or instructions to machine.
F) Inherent vice, wear, tear, gradual deterioration or depreciation.
{
G) Any dishonest, fraudulent or criminal act by the Insured, a partner therein
or an officer, director, employee or trustee thereof, whether acting alone or
in collusion with others.
For the purpose of this exclusion an act of vandalism or malicious damage
by an employee shall not constitute a dishonest, fraudulent or criminal act.
H) Damage due to mechanical failure, faulty construction, error lin design
unless fire or explosion ensues, and then only for loss, damage or
expense caused by such ensuing fire or explosion.
I) Delay or loss of market.
J) War or nuclear risks as excluded in the Policy to which this extension is
attached. li
1
11 I
4)' LOSS PAYMENT BASIS/DETERMINATIONNALUATION:
i
11
DEDUCTIBLE
I
Each and every loss occurring hereunder shall be adjusted separately and
from the j amount of each such loss when so adjusted the amount
indicated in the declarations shall be deducted.
1
I
5), SPECIAL CONDITIONS:
RESUMPTION OF OPERATIONS
I
As soon as practicable after any loss, the Insured shall resume complete
11 or partial business operations of the property herein described land, in so
far as practicable, reduce or dispense with such additional charges and
r ex enses as are beingincurred.
P
II
II
Page56
PEPIP2001 MASTER I
11 I
6) DEFINITIONS:
A) EXTRA EXPENSE
The term "Extra Expense" wherever employed in this extension is defined
as the excess (if any) of the total cost during the period of restoration of
the operation of the business over and above the total cost o such
operation that would normally have been incurred during the same period
had no loss occurred; the cost in each case to include the expense of
using other property or facilities of other concerns or other eme gency
expenses. In no event however, shall this Insurer be liable for loss of
profits or earnings resulting from diminution of business, nor for any direct
or indirect property damage loss insurable under property damage
policies, or for expenditures incurred in the purchase, construction, repair
or replacement of any physical property unless incurred for the purpose of
reducing any loss under this extension not exceeding, howev�r, the
amount in which the loss is so reduced. Any salvage value of the property
so acquired that may be sold or utilized by the Insured upon resumption of
normal operations, shall be taken into consideration in the adjustment of
any loss hereunder.
B) NORMAL
The term "normal" wherever used in this extension shall mean: The
condition that would have existed had no loss occurred.
Page 57
PFPIP2001 MASTER
SECTION VIII
MOBILE / CONTRACTORS EQUIPMENT
1) COVERAGE: ,
This Policy insures only mobile machines, including equipment thereof while
attached thereto or located thereon, such as bulldozers, drag lines, power
shovels, derricks, drills, concrete mixers and other machinery of a' mobile
nature.
This extension 'insures against all risks of direct loss or damage to the above
described property from any external cause except as provided below.
A) Loss or damage due to wear, tear, rust, corrosion, latent defect,
mechanical breakage, or improper assemblage.
B) Loss or damage due to the weight of the load imposed on the machine
exceeding,the capacity for which such machine was designed.
C) Loss or damage to crane or derrick boom(s) and jib(s) of lattice
construction while being operated unless directly caused by fire, lightning,
hail, windstorm, earthquake shock, explosion, riot, riot attending a strike,
civil commotion, actual physical contact with an aircraft or airborne missile
including objects falling therefrom, collision with other vehicles or other
contractors equipment whether or not such other equipment is covered
hereunder, landslide, or upset of the unit of which it is a part, (but only
when and to the same extent that such other perils are covered by the
Policy).
D) Loss or damage due to explosion arising from within steam boilers.
E) Loss or damage to dynamos, exciters, lamps, switches, motors or other
electrical a liances or devices, includingwiring, caused bylightning or
Pp 9 g � 9
other electrical currents (artificial or natural) unless fire ensues and then
for the loss by fire only.
F) Loss or damage due to dishonesty of Insured's employees or persons to
whom the Insured's property is entrusted.
G) Loss or damage caused by or contributed to failure of the Insured to keep
Iand maintain the property in a thorough state of repair.
Page 58
H) Loss or damage caused by or resulting from:
(1) hostile or warlike action in time of peace or, including a tion in
hindering, combating or defending against an actual, impending or
expected attack,
(a) by any government or sovereign power (de jure or de facto) or
by any authority maintaining using military, naval or air forces; or
(b) any military, naval or air forces; or
(c) by an agent of any such government, power, authority or forces;
(2) any weapon of war employing atomic fission or radioactive force
whether in time of peace or war;
(3) insurrection, rebellion, revolution, civil war, usurped power, or action
taken by governmental authority in hindering, combating or defending
against such an occurrence, seizure or destruction under quarantine
or customs regulations, confiscation by order of any government or
public authority, or risks of contraband or illegal transportion or
trade;
I) Loss by nuclear reaction or nuclear radiation or radioactive contamination,
all whether controlled or uncontrolled, and whether such loss be direct or
indirect, proximate or remote, or be in whole or in part caused by,
contributed to, or aggravated by the peril(s) covered against in this
endorsement; however, subject to the foregoing and all provisions of this
Policy, direct loss by fire resulting from nuclear reaction or nuclear
radiation or radioactive contamination is covered against by this Policy.
2) EXTENSIONS OF COVERAGE:
None
Page 59
3) EXCLUSIONS:
A) Automobiles, motorcycles, motor trucks, or parts thereof.
B) Buildings used as camps or otherwise.
C) Machinery or equipment or building materials to be installed in, any
building for, the purpose of becoming a part thereof; nor on any property
which has become a permanent part of any structure.
' D) Property that is located underground.
E) Property while waterborne except while being transported on any regular
ferry.
F) Storage risks at premises controlled or leased by the Insured, except
where incidental to the regular or frequent use of the equipment or
property.
G) Plans, blue',prints, designs or specifications.
4) LOSS PAYMENT BASISNALUATION:
See Section II, Item 4.G, page 21
5) SPECIAL CONDITIONS:
This extension covers only within the limits of the United States of America.
It is a condition; of this Policy that all articles covered hereunder are in sound
condition at the time of attachment of this Policy.
6) DEFINITIONS:
Contractors Equipment shall include but is not limited to:
Land vehicles including equipment and apparatus attached thereto, whether or
not self-propelled and not subject to motor vehicle registration.
II
Page 60
SECTION IX
ACCOUNTS RECEIVABLE
•
) COVERAGE:
This Policy covers the loss of or damage resulting from "all risks of direct
physical loss or damage" to the Insured's records of accounts receivable as
defined below, occurring during the Policy period.
") EXTENSIONS OF COVERAGE:
None
EXCLUSIONS:
This Extension does not apply:
A) To loss due to any fraudulent, dishonest or criminal act by the Insured, a
partner therein, or an officer, director, employee or trustee theref, while
working or otherwise and whether acting alone or in collusion with others.
For the purpose of this exclusion an act of vandalism or malicious damage
by an employee shall not constitute a dishonest, fraudulent or criminal act.
B) To loss due to bookkeeping, accounting or billing errors or omissions.
C) To loss, the proof of which as to factual existence, is dependent upon an
audit of records or an inventory computation; but this shall not preclude
the use of such procedures in support if claim for loss which the Insured
can prove through evidence wholly apart therefrom, is due solely to a risk
of loss to records of accounts receivable not otherwise excluded
hereunder.
D) To loss due to alteration, falsification, manipulation, concealment,
destruction or disposal of records of accounts receivable committed to
conceal the wrongful giving, taking, obtaining or withholding o money,
securities or other property, but only to the extent of such wrongful giving,
taking, obtaining or withholding.
Page 61
4) LOSS PAYMENT BASISNALUATION:
DETERMINATION OF RECEIVABLES; DEDUCTIONS
When there is proof that a loss covered by this Policy has occurred but •
the Insured cannot accurately establish the total amount of accounts
receivable outstanding as of the date of such loss, such amount shall be
based on the Insured's monthly statements and shall be computed as
follows:
(1) Determine the amount of all outstanding accounts receivable at the
end of the same fiscal month in the year immediately proceeding the
year in which the loss occurs;
v
(2) Calculate the percentage of increase or decrease in the average
monthly total of accounts receivable for the twelve (12) months
immediately preceding the month in which the loss occurs as
compared with such average for the months of the preceding year;
(3) The amount determined under (1) above, increased or decreased by
the percentage calculated under (2) above, shall be the agreed total
amount of accounts receivable as of the last day of the fiscal month
in which said loss occurs;
(4) The 'amount determined under (3) above shall be increased or
decreased in conformity with the normal fluctuations in the amount of
accounts receivable during the fiscal month involved, due
consideration being given to the experience of the business',since the
last day of the last fiscal month for which statement has been
rendered.
There shall be deducted from the total amount of accounts
receivable, however established, the amount of such accounts
evidenced by records not lost or damaged or otherwise established
or collected by the Insured, and an amount to allow for probable bad
debts, which would normally have been uncollectible by the Insured.
All.un'earned interest and service charges shall be deducted.
1'5) SPECIAL CONDITIONS:
11, None
� � l
Page 62
PFPIP7001 MASTER
6) DEFINITIONS: •
ACCOUNTS RECEIVABLE:
(1) All sums due the Insured from customers, provided the Insured is
unable to effect collection thereof as the direct result of Ibss or
damage to records of accounts receivable.
(2) Interest charges on any loan to offset impaired collections pending
repayment of such sums made uncollectible by such loss or damage.
(3) Collection expense in excess of normal collection cost and made
necessary because of such loss or damage.
(4) Other expenses, when reasonably incurred by the Insured, in re-
establishing records of accounts receivable following such loss or
damage.
Page 63
acnsnInni 64n crcv
ENDORSEMENT NO. 1
JOINT LOSS ADJUSTMENT ENDORSEMENT
In the event of damage to or destruction of property, at a location designated in this
Policy and also designated in a boiler and machinery insurance policy and there is a
disagreement between the Insurers and the Insured with respect to:
0) Whether such damage or destruction was caused by a peril covered against by
this Policy or by an accident covered against by such boiler and machinery
insurance policy(ies) or
(2) The extent of participation of this Policy and of such boiler and machinery
insurance policy in a loss that is covered against, partially or wholly, by one or
all of said policy(ies).
,This Insurer shall, upon written request of the Insured, pay to the Insured one-half of
,the amount of the loss which is in disagreement, but in no event more than this
Insurer would have paid if there had been no boiler and machinery insurance
policy(ies) in effect, subject to the following conditions:
(1) The amount of loss which is in disagreement after making provisions for any
undisputed claims payable under the said policy(ies) and after the amount of
the loss is agreed by the Insured and the Boiler and Machinery Insurer and this
Insurer is limited to the minimum amount remaining payable under either the
boiler and machinery insurance policy(ies).
(2) The boiler and machinery insurer(s) shall simultaneously pay to the Insured,
one-half of the said amount which is in disagreement.
(3) The payments by the insurer(s) hereunder and acceptance of the same by the
Insured signify the agreement of the insurer(s) to submit to and proceed with
arbitration within ninety (90) days of such payments:
1,1
The arbitrators shall be three (3) in number, one of whom shall be appointed by
the boiler insurer(s) and one of whom shall be appointed by the Insur
ed'hereon
and the third appointed by consent of the other two, and the decision by the
arbitrators_shallbe binding on the insurer(s) and the Insured and that judgment
upon such award may be entered in any court of competent jurisdiction.
(4) The Insured agrees to cooperate in connection with such arbitration but not to
intervene therein.
1 (5) This agreement shall be null and void unless the Policy of the boiler and
machinery Insurer is similarly endorsed.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
I
Page 64
ENDORSEMENT NO. 2
i
PROPERTY JOINT LOSS ENDORSEMENT
I, the event of damage to or destruction of property at a location designated in this
'f olicy and also designated in an excess insurance policy(ies) and if there is
U isagreement between the insurers with respect to:
( ) whether such damage or destruction was caused by a single event or by
multiple events or;
o) the extent of participation of this Policy and any excess insurance policy in a
loss covered against partially or wholly, by one of said Policy or policy(ies).
his Insurer shall, upon written request of the Insured, pay to the Insured one-half of
e amount of the loss which is in disagreement, but in no event more than this
surer would have paid if there had been no excess insurance or polic (ies) in
•ffect, subject to the following conditions:
11) the amount of loss which is in disagreement after making provisions for any
undisputed claims payable under the said policy(ies) and after the amount of
the loss is agreed by the Insured and the insurers is limited to the minimum
amount remaining payable under either the primary insurance policy or1 excess
insurance policy(ies);
12) the excess insurers shall simultaneously pay to the Insured one-half of the said
amount which is in disagreement; and,
,3) the payments by the Insurers hereunder and acceptance of the same by the
member signify the agreement of the insurers to submit to and proceed with
arbitration within ninety (90) days of such payments.
he arbitrators shall be three (3) in number, one of whom shall be appointed by the
xcess insurer(s) and one of whom shall be appointed by this Insurer and he third
1�ppointed by consent of the other two, and the decision by the arbitrators shall be
ending on the insurers and the Insured, and that judgment upon such award may be
ntered in any court of competent jurisdiction.
4) The Insured agrees to cooperate in connection with such arbitration but not to
intervene therein.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 65
ENDORSEMENT NO. 3
PAGE 1OF2
SEEPAGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION;
DEBRIS!REMOVAL AND COST OF CLEAN UP EXTENSION;
AUTHORITIES EXCLUSION
SEEPAGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION:
Notwithstanding any provision in the Policy to which the endorsement is attached,
this Policy does not insure against loss, damage, costs or expenses in connection
with any kind or description of seepage and/or pollution and/or contamination, direct
or indirect, arising from any cause whatsoever.
Nevertheless if fire; is not excluded from this Policy and a fire arises directly or
indirectly from seepage and/or pollution and/or contamination, any loss or damage
covered under this Policy arising directly from that fire shall, (subject to the terms,
conditions and limitations of the Policy) be covered.
However, if the covered property is the subject of direct physical loss or damage for
which the Insured has paid or agreed to pay, then this Policy (subject to its terms,
conditions and limitations) insures against direct physical loss or damage to the
property covered hereunder caused by resulting seepage and/or pollution and/or
contamination.
The Insured shall give notice to the Insurer of intent to claim NO LATER THAN
TWELVE (12) MONTHS AFTER THE DATE OF THE ORIGINAL PHYSICAL LOSS
OR DAMAGE.
DEBRIS REMOVAL AND COST OF CLEAN UP EXTENSION:
' Notwithstanding the provisions of the preceding exclusions in this endorsement or
any provision respecting seepage and/or pollution and/or contamination, and/or
debris removal and/or cost of clean up in the Policy to which this endorsement is
attached, in the event of direct physical loss or damage to the property covered
hereunder, this Policy (subject otherwise to its terms, conditions and limitations,
including but not limited to any applicable deductible) also insures, within the sum
covered:
(a) expenses reasonably incurred in removal of debris of the property hereunder
destroyed or damaged from the premises of the Insured;
and/or
Page 66
ENDORSEMENT NO. 3
PAGE 2 OF 2
SEEPAGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION;
DEBRIS REMOVAL AND COST OF CLEAN UP EXTENSION;
AUTHORITIES EXCLUSION
(bi cost of clean up at the premises of the Insured made necessary as a result of
such direct physical loss or damage;
P' OVIDED that this Policy does not insure against the costs of decontamination or
r; oval of water, soil or any other substance on or under such premises.
It is a condition precedent to recovery under this extension that the Insurer shall
hive paid or agreed to pay for direct physical loss or damage to the poperty
covered hereunder unless such payment is precluded solely by the operation of any
d-ductible and that the Insured shall give notice to the Insurer of intent to claim for
cost of removal of debris or cost of clean up NO LATER THAN TWELVE (12)
ONTHS AFTER THE DATE OF SUCH PHYSICAL LOSS OR DAMAGE.
THORITIES EXCLUSION:
is Policy does not cover expenses, fines, penalties or cost incurred or sustained
bb the Insured or imposed on the Insured at the order of any Government Agency,
•court of other Authority, in connection with any kind or description of environmental
i pairment including seepage or pollution or contamination of any cause.
othing in this endorsement shall override any radioactive contamination exclusion
cause in the Policy to which this endorsement is attached.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 67
colo'/nn1 RAA Tca
ENDORSEMENT NO. 4
MINIMUM EARNED ASSESSMENTS
It is understood and agreed that this Policy is subject to 25% minimum earned
assessments regardless of time in force.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED..
Page 68
PEPIP2001 MASTER
ENDORSEMENT NO. 5
PAGE 1 OF 2
LENDER'S LOSS PAYABLE ENDORSEMENT
The following provisions (or equivalent) apply as required by "mortgages" and "lenders" to
horn certificates of coverage have been issued.
Loss or damage, if any, under this policy, shall be paid to the Payee named on the first page of
this policy, its successors and assigns,,hereinafter referred to as "the Lender", in whatev+r form or
capacity its interests may appear and whether said interest be vested in said Lender in its
individual or in its disclosed or undisclosed fiduciary or representative capacity, or otherwise, or
vested in a nominee or trustee of said Lender.
1. The insurance under this policy, or any rider or endorsement attached thereto, as to the interest
only of the Lender, its successors and assigns, shall not be invalidated nor suspended: (�a) by any
error, omission, or change respecting the ownership, description, possession, or location of the
subject of the insurance or the interest therein, or the title thereto; (b) by the commencement of
foreclosure proceedings or the giving of notice of sale of any of the property covered by this policy
by virtue of any mortgage or trust deed; (c) by any breach of warranty, act, omission, neglect, or
non-compliance with any of the provisions of this policy, including any and all riders now or
hereafter attached thereto, by the named insured, the borrower, mortgagor, trustor,1 vendee,
owner, tenant, warehouseman, custodian, occupant, or by the agents of either or any f them or
by the happening of any event permitted by them or either of them, or their agents, or which they
failed to prevent, whether occurring before or after the attachment of this endorsement, or whether
before or after a loss, which under the provisions of this policy of insurance or of any rider or
endorsement attached thereto would invalidate or suspend the insurance as to the named insured,
excluding herefrom, however, any acts or omissions of the Lender while exercising active control
and management of the property.
�. In the event of failure of the insured to pay any premium or additional premium which shall be or
become due under the terms of this policy or on account of any change in occupancy or increase
in hazard not permitted by this policy, this Insurer agrees to give written notice to the bender of
such non-payment of premium after sixty (60) days from and within one hundred and twenty (120)
days after due date of such premium and it is a condition of the continuance of the rights of the
Lender hereunder that the Lender when so notified in writing by this Insurer of the failure of the
insured to pay such premium shall pay or cause to be paid the premium due within ten (10) days
following receipt of the Insurer's demand in writing therefor. If the Lender shall decline to pay said
premium or additional premium, the rights of the Lender under this Lender's Loss Payable
Endorsement shall not be terminated before ten (10) days after receipt of said written notice by the
Lender.
. Whenever this Insurer shall pay to the Lender any sum for loss or damage under this policy and
shall claim that as to the insured no liability therefor exists, this Insurer, at its option, may pay to
the Lender the whole principal sum and interest and other indebtedness due or to become due
from the insured, whether secured or unsecured, (with refund of all interest not accrue4 and this
Insurer, to the extent of such payment, shall thereupon receive a full assignment and transfer,
without recourse, of the debt and all rights and securities held as collateral thereto.
•. If there be any-other insurance upon the within described property, this Insurer shall be liable
under this policy as to the Lender for the proportion of such loss or damage that the sum hereby
insured bears to the entire insurance of similar character on said property under policies held by,
payable to and expressly consented to by the Lender. Any Contribution Clause included in any
Fallen Building Clause Waiver or any Extended Coverage Endorsement attached to this contract
of insurance is hereby nullified, and also any Contribution Clause in any other endorsement or
rider attached to this contract of insurance is hereby nullified except Contribution Clauses for the
compliance with which the insured has received reduction in the rate charged or ha received
extension of the coverage to include hazards other than fire and compliance with such
Contribution Clause is made a part of the consideration for insuring such other hazards. The
Lender upon the payment to it of the full amount of its claim, will subrogate this Insurer (pro rata
with all other insurers contributing to said payment) to all of the Lender's rights of contribution
under said other insurance.
Page 69
PEPIP2001 MASTER
ENDORSEMENT NO. 5
PAGE 2 OF 2
6. This Insurer reserves the right to cancel this policy at any time, as provided by its terms, but in
such case this policy shall continue in force for the benefit of the Lender for ten (10) days after
written notice of such cancellation is received by the Lender and shall then cease.
7. This policy shall remain in full force and effect as to the interest of the Lender for a period of ten
(10) days after its expiration unless an acceptable policy in renewal thereof with loss thereunder
payable to the Lender in accordance with the terms of this Lender's Loss Payable Endorsement,
shall have been issued by some insurance company and accepted by the Lender.
8. Should legal title to and beneficial ownership of any of the property covered under this policy
become vested in the Lender or its agents, insurance under this policy shall continue for the term
thereof for the benefit of the Lender but, in such event, any privileges granted by this Lender's
Loss Payable Endorsement which are not also granted the insured under the terms and conditions
of this policy and/or under other riders or endorsements attached thereto shall not apply to the
insurance hereunder as respects such property.
9. All notices herein provided to be give by the Insurer to the Lender in connection with this policy
and this Lender's Loss Payable Endorsement shall be mailed to or delivered to the Lender at its
office or branch described on the first page of the policy.
Approved:
Board of Fire Underwriters of the Pacific,
California Bankers' Association
Committee on Insurance.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 70
ncninnnn4 "11 cTco
ENDORSEMENT NO. 6
SEVERABILITY NOTICE
thhe subscribing Reinsurers' obligations under contracts of Reinsurance to which
ey subscribe are several, not joint, and are limited solely to the extent of their
i dividual subscriptions. The subscribing Reinsurers are not responsible for the
subscription of any co-subscribing Reinsurer who for any reason does not satisfy all
.r part of its obligations.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
•
Page 71
ENDORSEMENT NO. 7 •
ACCIDENTAL CONTAMINATION EXTENSION
In consideration of the premium charged and notwithstanding the terms, conditions
and stipulations contained in the Policy (except as regards the Policy 'term and
Limits of Liability), including all other endorsements attached thereto, (especially
Endorsement No 3'1 Seepage and/or Pollution and/or Contamination Exclusion;
Debris And Cost of Clean Up Extension; Authorities Exclusion to the extent that it is
in conflict herewith), to which this endorsement is attached this Policy is hereby
extended to cover Ousiness Interruption and Property Damage loss from accidental
contamination from any source to Insured Property, as covered by this Policy,
including expenses: necessarily incurred to clean up, remove and dispose of
contaminated substances so as to restore the Insured Property as covered by this
Policy to the same condition as existed prior to loss, all as a result of accidental
contamination, discharge or dispersal which is itself caused by fire, lightning, impact
from aircraft, explosion, riot, civil commotion, smoke, collapse, vehicles, windstorm,
hail, vandalism, malicious mischief or leakage and accidental discharge from
automatic fire protective systems whereupon this extension shall provide coverage
up to full limit of liability provided by this Policy.
For the purposes of this extension the term "Insured Property" as covered by this
Policy, is held to include Land (and Land Values) on which Covered Property is
located, as part of the below stated sublimit, whether or not the same are excluded
by this Policy. It being specifically understood and agreed that this extension shall
not afford coverage,to land, (including land on which Covered Property is located),
and land Values for loss in excess of the $500,000 sublimit liability.
It is further understood and agreed that this extension shall not override anything
contained in Asbestos Clean Up and Removal in this Policy.
The sublimit of liability stated above forms part of the limit(s) of liability provided by
this Policy and does not increase it (them).
ALL OTHER TERMS AND CONDITIONS REMAIN THE UNCHANGED
Page 72
PEPIP2001 MASTER
ENDORSEMENT NO. 8
It its hereby understood and agreed that the interest of Additional Insureds and/or
Loss Payees is automatically included, as per Schedule on File with Robert F. Driver
A :sociates.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 73
IPEPIP2001 MASTER
ENDORSEMENT NO. 9
11, EXCLUDED PERILS
EARTHQUAKE EXCLUSION
It is hereby understood and agreed that as respects Insureds where Optional
JCoyerage "A" is not shown as applicable on the Optional Coverage Participation'List,
'the'following Exclusion is added to the Policy:
Any earth movement, including, but not limited to earthquake, landslide or earth
;sinking, earth rising 'or shifting (this exclusion shall not apply to loss or damage by
ensuing fire or explosion or any other perils insured under this Policy).
As respects those Insureds where Optional Coverage "A" is shown as applicable,
Ithell terms and conditions of this endorsement are not applicable, but only as
respects locations specifically declared and for which a premium has been charged.
FLOOD EXCLUSION
It is hereby understood and agreed that as respects Insureds where Optional
(Coverage "E" or "F" is not shown as applicable on the Optional Coverage
Participation List, the following Exclusion is added to the Policy:
'Flood, meaning a general condition of partial or complete inundation of normally dry
',land area from:
a) overflow of inland or tidal water;
b) unusual and rapid accumulation or run off of surface waters from any source.
Flood shall also mean mudslide or mudflow, which is a river or flow of liquid mud
caused by flooding as defined in a. or b. above.
The definition of flood does not include ensuing loss or damage not otherwise
excluded. ---
As respects those Insureds where Optional Coverage "E" or "F" is shown as
applicable, the terms and conditions of this endorsement are not applicable, but only
as respects locations specifically declared and for which a premium has been
charged.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 74
PEPIP2001 MASTER
ENDORSEMENT NO. 10
COUNTY OF LOS ANGELES ALL RISK LOSS LIMIT WORDING
1p the event of a loss involving one or more of the named insureds for perils other
than Earthquake and Flood, it is understood and agreed that a $75,000,000 loss
11mit is preserved and will apply specifically to the County of Los Angeles. In the
vent a loss for the County of Los Angeles exceeds their $75,000,000 limit, then the
County of Los Angeles has the same rights to the $425,000,000 additional limits that
apply to all other Insureds.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 75
PEPIP2001 MASTER
ENDORSEMENT NO. 11
COVERAGE LIMITED TO SPECIFIC LOCATIONS
•
Due to the followings entities desire and/or need to insure certain properties outside
of the PEPIP Program, and/or not insure all properties altogether, it is understood
and agreed that coverage is limited to specific locations or values per schedule on
file with the underwriters for the following Insureds:
A) City and County of San Francisco
B) County of Los Angeles-LAC-CAL
This clause is not intended to exclude newly acquired property that is similar in
nature to property reflected in the existing schedules on file with the underwriter, and
is reported as required by policy wording.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 76
ENDORSEMENT NO. 12
PRIORITY OF PAYMENTS
In the event of loss caused by or resulting from more than one peril or coverage, the
I.
lin it of liability of the primary/underlying coverage shall apply first to the peril(s) or
c I'verage(s) not insured by this Policy and the remainder, if any, to the perils) or
cverage(s) insured hereunder. Upon exhaustion of the limit of liability of the
pr nary/underlying coverage, this Policy shall then be liable for loss uncollected from
th peril(s) or coverage(s) insured hereunder, subject to the limit of liability and the
of er terms and conditions as specified.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 77
1,1 11 • ENDORSEMENT NO. 13
II 1
II
11, LEASEHOLD INTEREST ENDORSEMENT
In ,the event of physical loss or damage of the type insured against by this Policy to
1, real property of the type insured this Policy which is leased by the Insured, this Policy
1iI is extended to cover:1
(1) If as a result of such loss or damage the property becomes wholly
the lease agreement
untenantable or unusable andrequires continuation of g
the rent, the Insurer shall indemnify th
e Insur
ed payable for
111 the unexpired term of the lease; or
exult of such loss or damage the roe becomes 1 artiall
2 If as a r g property►ty ,partially
nantable or unusable and the lease a reement requires uires continuation of g q
Insured for the proportion of'the rent
the rent, the Insurer shall indemnify the p p
applicable thereto; or
result of such loss or damage th
e lease is cancelled bythe lessor
(3) If as a g ,
pursuant to the lease agreement
or
operation of law, the Insurer shall
9by P
I
indemnifythe Insured for its Lease Interest for the first three months following
9
such loss or damage and for its Net Lease Interest for the remaining
unexpired term P of the lease;
F
,
il rovided, however, that the Insurer shall not be liable for any increase in the amount
p 11, recoverable hereunder resulting from the suspension, lapse or cancellatilon of any
Il lic'ense, or from the Insured exercising an option to cancel the lease; or from,any,act or
omission of the Insured which constitutes a default under the lease;' and provided
further that the Insured shall use any suitable property or service owned or,controlled
1, by the Insured or obtainable from another source to reduce the loss hereunder.
The following definitions shall apply to this coverage:
1
(1) Lease Interest means the excess rent paid for the same or similar
replacement property .c over actual rent payable plus ash bonuses or advance
P
rentpaid (includinganymaintenance o r operating charges) for each month
P 9 9
duringthe u' expired term of
the Insured's lease.
Lease Interest means that sum whichplaced at 8/o interest compounded
ounded
11, 2 Net p
annually11, would equal the Lease Interest (les
s anyamounts otherwise'payable
q
P Y
hereunder). •
I
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
11
Page 78
DcolO'lnM nn A CTFO
11
I 1
ENDORSEMENT NO. 14
REVENUE INTERRUPTION PROTECTION
(EXCLUDING EARTHQUAKE AND FLOOD)
1 Type of revenue to be covered: XX Sales Tax, XX Property Tax, XX Other -
whenever the word "Revenue" appears in this form, it shall mean only such
revenue as specified.
2 Except as hereinafter or heretofore excluded, this Policy covers only agairst loss
resulting directly from necessary interruption of revenue as specified above
collected by or due to the Insured caused by damage to or destruction by a peril
not excluded of any of the real or personal property insured by this Policy and
referred to any contribution property(ies) and which is not operated by the Insured
against all risks of direct physical loss or damage by a peril not excluded by this
Policy during the term of this Policy, which wholly or partially prevents the
generation of revenue for the account of the Insured.
I In the event of such damage or destruction, the Insurer shall be liable, with
limitations as indicated, if the following conditions (A) and (B) are both met:
(A) The total revenue is reduced to less than 97.5% of the insured's anticipated
revenue had no loss occurred.
(B) The Insurer shall be liable for the actual loss sustained by the insured from
direct damage by perils insured to one or more contributing properties which
results in the interruption of revenue for only the length of time as would be
required with exercise of due diligence and dispatch to rebuild, replace or
repair the contributing property commencing with the date of damage to the
contributing property, but not limited by the expiration date of this Policy.
Such loss recovery after deductible shall be limited to whichever is the least of:
1. The limit insured on the Policy;
2. The actual loss sustained:
3. The difference in amount between 97.5% of the anticipated revenue and the
actual total revenue after the loss.
) DEDUCTIBLE: Each loss or series of losses arising out of one event at each
location shall be adjusted separately and from the aggregate amount of all such
losses 2.50% of the annual revenue value shall be deducted.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 79
Endorsement No. 15
LOSS PAYMENT BASISNALUATION ; i
Applicable to NPX members only
(1) It is hereby understood and agreed that the Insured is a separate public entity
created by certain local public entities (hereafter called Insured ) subscribing to a
' joint exercise of powers agreement.
2 It is further Understood and agreed that reported losses over the described
deductibles shall be adjusted with and payable to the Insured including;the interest
of mortgagees and/or additional interests.
agreed that as respects above #1, the inclusion of
(3) It is further understood and p
more than one Insured shall not operate to increase the Insurer's limit of liability as
stated herein.
(4) It is further understood and agreed that as respects the limits of liability under this
Policy, in the event of a loss or accumulation of losses whereby the amount of loss
exceeds the limits of the combined policies, the payments to individual will be
made on a proportional basis. This proportion shall be determined as the ratio of
11 the total limits available divided bythe total amount that wo
uld have been payable
1 p Y
if no exhaustion of limits has occurred. This provision applies to exhaustion of
limits on a per occurrence and as respects earthquake shock and flood, on an
annual aggregate re ate basis.
lil
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 80
nrnannnn...n cTr_n
ENDORSEMENT NO. 16
ELECTRONIC DATE RECOGNITION EXCLUSION —Wording "A"
Words that appear in quotation marks in this endorsement have special meaning. Refer o Section
C. - DEFINITIONS.
A. . EXCLUSION
Notwithstanding any other terms or conditions, this Policy, including any otherl
endorsements which may be attached to it, does not insure against any loss, damage,
cost, claim or expense directly or indirectly arising out of or relating to:
1. The failure of any "system", whether the property of the insured or others, to
"recognize" any "data" involving any "date change"; or,
2. Any "modification" of any "system", whether the property of the Insured for others, to
permit such "system" to "recognize" any "data" involving any "date change".
Destruction, distortion or corruption of any computer data, coding or software, which is
caused by the failure of any "system" to "recognize" any "data" involving any "date
change" is not physical loss or damage insured against under this policy.
This exclusion shall apply regardless of any other cause or event that contributes
concurrently or in any sequence to the loss, damage, cost, claim or expense.
However, if physical loss or damage arising out of the perils of Fire, Explosion, Implosion,
Smoke, Collapse, Water damage, Sprinkler leakage, Riot and Civil Commotion,
Contamination, Aircraft and Vehicles, Theft, Vandalism, Freeze, Flooding, Windstorm or
Lightning as covered by this Policy results, then subject to all its terms and conditions,
this Policy shall be liable only for such resulting loss or damage. Each occursI ence of
resulting physical loss or damage shall be adjusted separately, and each occurrence
shall be subject to the provisions regarding sublimits and deductibles specified elsewhere
in this policy.
In the event physical loss or damage not otherwise excluded by this Policy results to any
"system", this Policy, including any other endorsements which may be attached to it, does
not insure against any loss, damage, cost, claim or expense, whether preventative,
remedial or otherwise, arising out of or relating to any "modification" of any "system",
whether the property of the Insured or others, to permit such "system" to "recognize" any
"data" involving any "date change".
B. This policy does not insure against any preventive or remedial costs to repair or modify any
items in A.1. and A.2. above to correct any actual or potential deficiencies or change any
features of logic or operation.
This policy does not insure against any expense incurred by the insured or otherls in the
defense, safeguarding, protecting or recovering of property whether before or after loss
due to any actual or potential loss excluded in Section A. above -
C. DEFINITIONS
1. "System" means any computer system, hardware, firmware, program, or software or
any microchip, integrated circuit, or similar device in computer equipment or non-
computer equipment.
2. "Recognize" means to recognize, interpret, calculate, compare, differentiate,
distinguish, accept, sequence or process.
3. "Data" means any data, instruction or information.
4. "Date Change" means the date change to the year 2000, the date change in any
leap year or any other date change.
5. "Modification" means any modification, change, addition, alteration or orrection.
Nothing herein contained shall be held to vary,alter,waive or extend any of the terms,conditions,or limitations of
the policy to which this endorsement is attached other than as above stated.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 81
PEPIP2001 MASTER
Endorsement No. 16
ELECTRONIC DATE RECOGNITION EXCLUSION -"Wording 137
. (All Risks Write Back)
ELECTRONIC DATE RECOGNITION EXCLUSION
Notwithstanding any provision of this Policy which may appear to the contrary, this Policy
does not insure any loss, damage, cost, claim or expense, whether preventative, remedial or
otherwise, directly or indirectly arising out of or relating to:
a) the recognition, interpretation, calculation, comparison, differentiation, sequencing or
processing of data involving one or more dates or times, including the Year 2000, by
any computer system, hardware, program or software, or any microchip, integrated
circuit or similar device in computer equipment or non-computer equipment, whether
the property of the Insured or not; or
b)' any change, alteration, correction or modification involving one or noire; dates or
times, including the Year 2000, to any such computer system, hardware,; program or
software, or any microchip, integrated circuit or similar device in computer equipment
or non-computer equipment, whether the property of the Insured or not.
Except as provided in the next paragraph, this Electronic Date Recognition Clause shall
apply regardless of any other cause or event that contributes concurrently or in any
sequence to the loss, damage, cost, claim or expense.
If direct physical loss or damage not otherwise excluded by this Policy results, then subject
to all its terms and conditions, this Policy shall be liable only for such resulting loss or
damage. Such resulting loss or damage shall not include physical loss or damage to data
resulting directly from a) or b) above, nor the cost, claim or expense, whether preventative,
remedial, or otherwise,' arising out of or relating to any change, alteration,; correction or
modification relating to the ability of any damaged computer system, hardware, program or
software, or any microchip, integrated circuit or similar device in computer equipment or non-
computer equipment to'' recognize, interpret, calculate, compare, differentiate sequence or
process any data involving one or more dates or times, including the Year 2000.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 82
DCDI0ff1/1l IRA CtCo
Endorsement No. 16-A
ELECTRONIC DATE RECOGNITION EXCLUSION
It is ereby understood and agreed that all members and named insureds have coverage as
desc bed and defined in Endorsement No. •16 — Electronic Date Recognition Exclusion-
Wor•ings A
It is further understood and agreed that as respects members and named insureds listed
beloW, Electronic Date Recognition Exclusion — Wordings A is hereby deleted and replaced
with Endorsement no. 16- Electronic Date Recognition Exclusion — Wordings B (All Risks
Writ:.'Back).
This hange applies to the following members:
(List association/members /insureds here that have complete the
Questionnaire last year)
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 83
Gcolfffl 1 taacmco
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
I i
•
'
The members of the (association/pool) are:
(LIST NAMED INSUREDS/ MEMBERS HERE)
(association/pool) shall be deemed the sole agent of each
and every Association/Pool member for the purpose of:
(1) Giving notice of cancellation,
(2)'1 Giving instructions for changes in the Policy and accepting changes in this Policy, and
(3) The payment of assessments/premiums or receipt of return assessments/premiums.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 84
PEPIP2001 MASTER
ENDORSEMENT NO. 18
• AUTOMATIC ACQUISITION CLAUSE
The 0 rovisions of this automatic acquisition clause do not increase 1) the occurrence limit(s) of
liabili , 2) the sub-limit(s) of liability or 3) the aggregate limit(s) provisions of this coverage.
1. ' Existing Named Insured Members
Any named insured member at coverage inception may increase or decrease total insured
values for all coverage's and all perils (EXCLUDING CALIFORNIA EARTHQUAKE)
purchased at inception subject to a maximum change in values not exceeding
$ Per Declaration Page at any one time.
The reporting of the changes to underwriters and the applicable additional or return premium
will be provided to/from the underwriters:
o At expiration with additional/return premium applicable on an ensuing year basis
Changes in total insured values exceeding the stated limitation will be reported Immediately to
underwriters for acceptance and additional/return premium agreement.
2. Special Provisions Applicable to California Earthquake Coverage
Any named insured may increase or decrease total insured values as respects California
earthquake coverage subject to a maximum change in values not exceeding
$ Per Declaration Page at any one time.
The reporting of the changes to underwriters and the applicable additional or return premium
will be provided to/from the underwriters:
o At expiration with additional/return premium applicable on an ensuing year basis
Changes in total insured values exceeding the stated limitation will be reported immediately to
underwriters for acceptance and additional/return premium agreement.
3. Provisions Applicable to new/deleted Named Insured Members
The "First Named Insured" may add/delete named insured members to the coy rage herein
provided subject to a maximum change in total insured values not -exceeding
$ Per Declaration Page for any one named insured member.
The reporting of new/deleted named insured members to underwriters and the applicable
additional or return premium will be provided to/from the underwriters:
❑ At expiration with additional/return premium applicable on an ensuing year basis
New/deleted named insured members with total insured values exceeding the stated limitation
will be reported immediately to underwriters for acceptance and additional/return premium
agreement.
Page 85
PEPIP20a1 MASTER
4. „ Provisions Applicable to Optional Coverage's
Any named insured member at coverage inception (or added as per provisions in item 3) may
effect optional coverage's of 1) Licensed Vehicles, 2) Contractor's equipment / Unlicensed
Vehicles or 3) Scheduled Fine Arts subject to a maximum in total insured values not
exceeding $100,000 per optional coverage at any one time.
The reporting of the changes to underwriters and the applicable additional or return premium
will be provided to/from the underwriters:
o At expiration with additional/return premium applicable on an ensuing year basis
Changes in total insured values exceeding the stated limitation will be reported Immediately to
underwriters for acceptance and additional/return premium agreement.
UPDATED: 6-3-00
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
Page 86
PEPIP2001 MASTER
ne nTurur itrn,u.nnnwnoour,nnl,V`MOnn4,DCDIO Inn,I4AQTCn I.'....
ENDORSEMENT NO. 19
Page 1 of 3
FORM NO. CP 12 18 10 91
COMMERCIAL PROPERTY
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
LOSS PAYABLE PROVISIONS
This aIndorsement modified insurance provided under the following:
BUILDING AND PERSONAL PROPERTY COVERAGE FORM
BUILDERS' RISK COVERAGE FORM
CONDOMINIUM ASSOCIATION COVERAGE FORM
CONDOMINIUM COMMERCIAL UNIT-OWNERS COVERAGE FORM
STANDARD PROPERTY POLICY
SCHEDULE
Provisions Applicable
Loss Lender's Contract
Payable Loss Payable Of Sale
Prem. Bldg. Description Loss Payee
No. No. of Property (Name & Address)
A. When this endorsement is attached to the STANDARD PROPERTY POLICY CP 00 99 the
term Coverage Part in this endorsement is replaced by the term Policy.
The fallowing is added to the LOSS PAYMENT Loss Condition, as indicated in the Declarations or by
an "X 1 in the Schedule:
B. LOSS PAYABLE
For Covered Property in which both you and a Loss Payee shown in the Schedule or in the
Declarations have an insurable interest, we will:
1. Adjust losses with you; and
. Pay any claim for loss or damage jointly to you and the Loss Payee, as irterests may
appear.
C. ENDER'S LOSS PAYABLE
. The Loss Payee shown in the Schedule or in the Declarations is a creditor, including a
mortgageholder or trustee, whose interest in Covered Property is established by such
written instruments as:
a. Warehouse receipts;
b. A contract for deed;
c. Bills of lading;
d. Financing statements; or
e. Mortgages, deeds of trust, or security agreements.
CP 12 18 10 91
Copyright, ISO Commercial Risk Services, Inc., 1990
Page 87
PEPIP200r1_MASTER
ENDORSEMENT NO. 19
Page 2of3 ,
FORM NO. CP 12 18 10 91
2. For Covered Property in which both you and a Loss Payee have an insurable interest:
a. We will pay for covered loss or damage to each Loss Payee in their order of
precedence, as interests may appear.
b. The Loss Payee has the right to receive loss payment even if the Loss Payee has
started foreclosure or similar action on the Covered Property.
c. If we deny you claim because of your acts or because you have failed to comply with
• the terms of the Coverage part, the Loss Payee will still have the right tot receive loss
payment if the Loss Payee:
(1) Pays any premium due under this Coverage Part at our request if you have failed
to do so;
(2) Submits a signed, sworn proof of loss within 60 days after receiving notice from
us of your failure to do so; and
(3) Has notified us of any change in ownership, occupancy or substantial change in
risk known to the Loss Payee.
All of the terms of this Coverage Part will then apply directly to the Loss Payee.
d. If we pay the Loss Payee for any loss or damage and deny payment to you because of
your acts or because you have failed to comply with the terms of this Coverage Part:
(1) The Loss Payee's rights will be transferred to us to the extent of the amount we
pay; and
• (2) The Loss Payee's rights to recover the full amount of the Loss Payee's'claim will
not be impaired.
At our option, we may pay to the Loss Payee the whole principal on the debt plus any
accrued interest. In this event, you will pay your remaining debt to us.
3. If we cancel this policy, we will give written notice to the Loss Payee at least:
a. 10 days before the effective date of cancellation if we cancel for your nonpayment of
premium; on
b. 30 days before the effective date of cancellation if we cancel for any other; reason.
4. If we elect not to renew this policy, we will give written notice to the Loss Payee at least 10 •
days before theexpiration date of this policy.
CP12181091
Copyright, ISO Commercial Risk Services, Inc., 1990
ill
Page 88
PEPIP2001 MASTER
ENDORSEMENT NO. 19
Page 3 of 3
FORM NO. CP 12 18 10 91
D. ONTRACT OF SALE
. The Loss Payee shown in the Schedule or in the Declarations is a person or organization
you have entered a contract with for the sale of Covered Property.
For Covered Property in which both you and the Loss Payee have an insurable interest we
will:
a. Adjust losses with you; and
b. Pay any claim for loss or damage jointly to you and the Loss Payee, as interests may
appear.
. The following is added to the OTHER INSURANCE Condition:
For Covered Property that is the subject of a contract of sale, the word "you" includes the
Loss Payee.
CP 12 18 10 91
Copyright, ISO Commercial Risk Services, Inc., 1990
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
Page 89
PEPIP2111 MASTER
ENDORSEMENT NO. 20
TRANSIT
It is hereby understood and agreed that with effect from inception coverage for Transit is
subject to a sublimit of USD10,000,000 per occurrence which shall apply combined over this
and all other layers of insurance.
•
•
ALL OTHER TERMS AND CONDITIONS REMAIN UNALTERED
Page 90
PEPIP2001 MASTER
ENDORSEMENT NO. 21
ELECTRONIC DATA ENDORSEMENT A
1. EIe tronic Data Exclusion
No ithstanding any provision to the contrary within the Policy or any endorsement thereto, it is
and erstood and agreed as follows:-
a) This Policy does not insure, loss, damage, destruction, distortion, erasure, corruption or
alteration of ELECTRONIC DATA from any cause whatsoever (including but not limited to
COMPUTER VIRUS) or loss of use, reduction in functionality, cost, expense of whatsoever
nature resulting therefrom, regardless of any other cause or event contributing concurrently or
in any other sequence to the loss.
ELECTRONIC DATA means facts, concepts and information converted to a form useable for
communications, interpretation or processing by electronic and electromechanical data
processing or electronically controlled equipment and includes programmes, software, and
other coded instructions for the processing and manipulation of data or the direction and
manipulation of such equipment.
COMPUTER VIRUS means a set of corrupting, harmful or otherwise unauthorised instructions
or code including a set of maliciously introduced unauthorised instructions or code,
programmatic or otherwise, that propagate themselves through a computer system or network
of whatsoever nature. COMPUTER VIRUS includes but is not limited to 'Trojan Horses',
'worms' and 'time or logic bombs'.
b) However, in the event that a peril listed below results from any of the matters described in
paragraph a) above, this Policy, subject to all its terms, conditions and exclusions will cover
physical damage occurring during the Policy period to property insured by this Policy directly
caused by such listed peril.
Listed Perils
Fire
Explosion
2. Elec Ironic Data Processing Media Valuation
No ithstanding any provision to the contrary within the Policy or any endorsement thereto, it is
und=rstood and agreed as follows:- -
Sho 'Id electronic data processing media insured by this Policy suffer physical los or damage
insu -d by this Policy, then the basis of valuation shall be the cost to repair, replace ore restore such
med : to the condition that existed immediately prior to such loss or damage, including the cost of
repra'ducing any ELECTRONIC DATA contained thereon, providing such media is repaired, replaced
or r--tored. Such cost of reproduction shall include all reasonable and necessary amounts, not to
exce-d USD10,000,000 any one loss, incurred by the Assured in recreating, gatheringl and
asset bling such ELECTRONIC DATA. If the media is not repaired, replaced or restored the basis of
valuation shall be the cost of the blank media. However this Policy does not insure any amount
pert-lining to the value of such ELECTRONIC DATA to the Assured or any other party even if such
ELECTRONIC DATA cannot be recreated, gathered or assembled.
ALL OTHER TERMS AND CONDITIONS REMAIN UNALTERED
Page 91
PEPIP20.0.MASTER,,.,,..,..,.,....,..
ifs
II I
ill
Lloyd' s
l � Proportional
it I
Reinsurance
Certificate
*-'11.314
wiet•�.s•1tA
Ill
Lloyd's London
1 Lime Street,
London EC3M 7HA
The Reinsured is requested to read this Reinsurance
and, if it is incorrect,return it immediately to your
Broker for alteration. In all communications the
Certificate Number appearing in line one of the
Schedule should be quoted
� l �
LTL/J2
I it
l � �
l I
'I I
f1D/T/Il//`I A/I O\/I T VAI,AIA1A
K
WASHINGTON CITIES INSURANCE
AUTHORITY,
(WCIA)
PEPIP USA PR
OPERTY ROPERTY POLICIES
EFFECTIVE
F CTIVE SEPTEIVIBER 1, 20
00 TO
SEPTEMBER 1, 2001
LAYER A
REINSURING
NG COMPANIES
� IEPA N S
a) SWISS REINSURANCE
b) XL EUROPE INSURANCE
dirlA41)174
.. .* • ,
V •
ASSOCIATES
Certificate of Insurance
arranged by
L-
JLT RISK SOLUTIONS
Limited
Proportional
Reinsurance Certificate
Effected through
JLT Risk Solutions Limited
6 Crutched Friars
London EC3N 2PH
This is to Certify that in accordance with the authorisation granted under
the Contract (the number of which is specified in the Schedule) to the undersigned
by certain Reinsurance Companies (hereinafter referred to as the "Underwriters"),
whose names and the proportion underwritten by them are as attached hereto, and
can also be ascertained by reference to the said Contract, and in consideration of
the payment of the premium specified herein, the said Underwriters are hereby
bound, severally and not jointly, their Executors and Administrators, to insure in
accordance with the terms and conditions contained herein or endorsed hereon.
The Reinsured, unless otherwise stated herein:
(i) shall retain during the period of this Certificate at least the retention(s),
subject to any proportional and/or excess of loss treaty reinsurance, on the
identical subject matter and perils and in identically the same proportion(s)
as stated herein. In the event of the retention(s) and/or proportion(s) being
less, the Underwriters' liability will be correspondingly proportionately
reduced.
(ii) warrants that the premium paid to the Underwriters for this Certificate is
calculated at the same gross rate as the original policy for the identical
subject matter and perils and in the proportions reinsured.
In the event of inconsistencies between the original policy and this Certificate, this
Certificate shall prevail.
If the Reinsured shall make any claim knowing the same to be false or fraudulent, as
regards amount or otherwise, this Certificate shall become void and all claims
hereunder shall be forfeited.
In witness whereof this Certificate has been signed at the place stated and on
the date specified in the Schedule by JLT Risk Solutions Limited
LTL/J2 amended -
Schedule
Certificate No: 901/LU0029117 Contract Number: 6165/00
The Reinsured: WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
The Original Insured: Members of Washington Cities Insurance Authority(Named Insured-Member as per the
coverage Schedule agreed by Underwriters and contained in the attached original wording)
The Premium: USD 165.648.42 part of USD 338,058.00 part of USD 450.744.00
The Retention(s): NIL
The Sum Reinsured hereunder: 75.00%of the Limits of Liability as more fully set forth in the attached original wording
The Period of Reinsurance:
From I September 2000 to 1 September 2001 both days at 12.01am Local Standard Time and for such further period or periods as
may be mutually agreed upon.
The Subject Matter and Perils Reinsured hereunder:
This Certifi ate reinsures the Reinsured's interest in payments excluding without prejudice and ex-gratia payments made within the
terms and conditions of the attached original wording for 75.00%on the identical subject matter and risk.
In the event of inconsistencies between the attached original wording and the original wording issued to the Original Insured the
attached original wording shall prevail
Endorsements,if any:
Service of Suit Clause naming:Mendes and Mount as attached
Claims Control Clause as attached
Lines Clause as attached
Reinsurance Clause as attached
Simultaneous Settlement Clause as attached
Coverage not confined to locations as declared
For and on behalf of JLT Risk Solutions Limited
Authorised Signatory ~7
Dated in London,the /J/ ll
LTL/J2 (Schedule)for attachment to LTL/J2 amended
Attaching to and forming part of Certificate No. 901/LU0029117
Service of Suit Clause(U.S.A.).
It is agreed that in the event of the failure of the Reinsuring Underwriters hereon to pay any amount claimed to be due
hereunder,the Reinsuring Underwriters hereon, at the request of the Reinsured, will submit to the jurisdiction of a Court
of competent jurisdiction within the United States. Nothing in this Clause constitutes or should be understood to
constitute a waiver of Reinsuring Underwriters' rights to commence an action in any Court of competent jurisdiction in
the United States,to remove an action to a United States District Court, or to seek a transfer of a case to another Court
as permitted by the laws of the United States or of any State in the United States. It is further agreed that service of
process in such suit may be made upon:-
Messrs. Mendes and Mount(Attorneys),750 Seventh Avenue, New York, New York 10019-6829, USA. and that in
any suit instituted against any one of them upon this contract, Reinsuring Underwriters will abide by the final decision
of such Court or of any Appellate Court in the event of an appeal.
The above-named are authorized and directed to accept service of process on behalf of Reinsuring Underwriters in any
such suit and/or upon the request of the Reinsured to give a written undertaking to the Reinsured that they will enter a
general appearance upon Reinsuring Underwriters'behalf in the event such a suit shall be instituted.
Further, pursuant to any statute of any state,territory or district of the United States which makes provision therefor,
Reinsuring Underwriters hereon hereby designate the Superintendent, Commissioner or Director of Insurance or other
officer specified for that purpose in the statute, or his successor or successors in office, as their true and lawful attorney
upon whom may be served any lawful process in any action, suit of proceeding instituted by or on behalf of the
Reinsured or any beneficiary hereunder arising out of this contract of reinsurance,and hereby designate the above-
named as the person to whom the said officer is authorized to mail such process or a true copy thereof.
Claims Control Clause
Notwithstanding anything contained herein to the contrary, it is a condition precedent to any liability under this
Certificate that:-
a) The Reinsured shall, upon knowledge of any loss or losses which may give rise to a claim against this
Certificate, advise the Reinsuring Underwriters thereof as soon as possible.
b) The Reinsured shall furnish the Reinsuring Underwriters with all information available respecting such loss or
losses, and the Reinsuring Underwriters shall have the right to appoint adjusters, assessors and/or surveyors
and to control all negotiations, adjustments and settlements in connection with such loss or losses.
Lines Clause
This Reinsurance, being signed for 49.000% of 100% of 75.00% reinsures only that proportion of any loss, whether
totals or partial, including but not limited to that proportion of associated expenses, if any, to the extent and in the
manner provided in this Reinsurance.
The percentages signed and listed hereon are percentages of 100% of 75.00% of the amount(s) of Reinsurance stated
herein.
Reinsurance Clause
Notwithstanding anything contained herein to the contrary this Reinsurance is subject to all terms, clauses and
conditions as original except as provided for herein, and to follow in all respects the settlements or other payments of
whatsoever nature made by the original Underwriters arising out of and in connection with the original insurance and to
bear its proportion of any expenses incurred whether legal or otherwise in the investigation and defence of any claim
hereunder.
Simultaneous Settlement Clause
In the event of a claim under the original policy Reinsuring Underwriters agree that, any payment hereon shall take
place at the same time as settlement or advance of funds under the said original policy.
SEVERAL LIABILITY NOTICE
II
The subscribing reinsurers' obligations under contracts of reinsurance to which they subscribe are several and not joint
and are limited solely to the extent of their individual subscriptions. The subscribing reinsurers are not responsible for
the subscription of any co-subscribing reinsurer who for any reason does not satisfy all or part of its obligations.
08/94
LSW1001 (Reinsurance)
Attaching to and forming part of Certificate No. 901/LU0029117
Schedule of Reinsurance Companies
Percentage Companies Reference
15.000% Munchener Ruckversicherungs as per fax dated 17 April 2000
Gesellschaft
17.333% Swiss Reinsurance Company as per fax dated 27 April 2000
16.667% XL Europe Insurance as per fax dated 5 May 2000
and E-mail dated 28 April 2000
49.000% of 100% of 75.00%
I I
DECLARATIONS PAGE
1) REINSURED:
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
As more fully described in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endorsement No. 17
2) MAILING ADDRESS: P. O. BOX 1165
RENTON, WA 98057
3) P®LICY PERIOD: SEPTEMBER 1, 2000 12:01AM TO SEPTEMBER 1, 2001 12:01AM
4) LIMIT AND SUB-LIMITS OF LIABILITY:
1. $'500,000,000 Per Occurrence: All Perils, Coverages and Insureds/Members combined,
subject to sub-limits
Sub-limits:
A. $ 250,000,000 Per Occurrence and in the Annual Aggregate as respects - Flood -all coverages
B. $ 100,000,000 Per Occurrence and in the Annual Aggregate as respects Earthquake Shock-all coverages
C. $ 100,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
D $ 25,000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing and new
members as per endorsement No. 18 (including earthquake) No new members for only
automobile coverage
E. $ 25,000,000 Landscaping, tees, sand traps, greens and athletic fields
F. $ 25,000,000 Errors & Omissions
G. $ 25,000,000 Course Of Construction (including new for project values up to $25,000,000)
H. $ 1,000,000 Money & Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. $ 500,000 Accidental Contamination
K. $ [1,000,000 Tunnels, bridges, dams, catwalks (except those not for public use), roadways, highways, streets,
sidewalks, culverts, street lights and traffic signals unless a specific value has been declared
L. $ 100,000,000 Demolition and Increased Cost of Construction due to the enforcement of building codes
$ 25,000,000 Transit
$ I1,000,000 Animals; except $100,000 Specially Trained Animals
$ 1,000,000 Watercraft under 27 feet or less unless scheduled
$ 50,000 Newly Acquired Vehicles (current members with auto coverage only)
$ Not covered Replacement power extra expense at scheduled utility locations
$ I5,000,000 Off premises services interruption including extra expense resulting from a covered peril at
non-owned/operated locations
$ Not Covered Contingent business interruption resulting from a covered peril at non owned/operated power
generating facilities
$Not applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles,
unlicensed vehicles, contractors equipment and fine arts combined for all insureds/members
combined that do not purchase optional coverage Item-A): Earthquake Shock
As More fully described in "LIMITS OF LIABILITY" (Section I — Item 4)
W.C.I.A.-PEPIP 2000 Declaration Page 1 of 3
T\DEPT,USER\WDGS\WDGS\2000\WCIA
5) DEDUCTIBLE(S):
A. "BASIC"ALL PERILS AND COVERAGES (EXCEPT SPECIFIED PERIL OR COVERAGE DEDUCTIBLE
SHOWN BELOW):
Deductible: $50,000 Per Occurrence
B. SPECIFIED PERILS AND COVERAGE DEDUCTIBLES
$ 100,000 Per Occurrence—Flood
2% Per Unit of Insurance (Real & Personal Property and Time Element) subject to $100,000 Minimum
Per Occurrence- Earthquake Shock, except
a. Vehicles or Contractors Equipment- $25,000 Per Vehicle/Item subject to
$100,000 maximum as respects the perils of Earthquake or Flood
b. Fine Arts - $50,000 Per Occurrence— Earthquake or Flood
$ 50,000 Per Occurrence-vehicle property damage
$ 50;000 Per Occurrence-vehicle collision damage
$ 1;000 Per Occurrence- Specially Trained Animals
$500;000 Per Occurrence -Tunnels, bridges, dams, catwalks (except those not for public use), roadways,
highways, streets, sidewalks, culverts, street lights and traffic signals unless
a specific value has been declared
24 hour waiting period —All Perils: Service Interruption
$ 10,000 -Course of Construction—All Perils except Earthquake & Flood
As more fully described in " DEDUCTIBLE PROVISIONS" (Section I— Item 5)
6) OPTIONAL COVERAGE PARTICIPATION
It is understood and agreed that the certain Member Agencies participate in Optional Coverage on this
Policy as set forth below:
MEMBER AGENCY "BASIC" COVERAGE APPLICABLE
DEDUCTIBLE OPTIONAL
COVERAGES*
All member per Named $ 50,000 A, B, C, E
Insured Endorsement No. 17
*OPTIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood
W.C.I.A.-PEPIP 2000 Declaration Page 2 of 3
T\DEPT USER\WDGS\WDGS\2000\WCIA
•
7) SPECIAL PROVISIONS
It is hereby understood and agreed that General Condition 10) Notice of Loss of the Wording
attach hereto, is amended to read as follows:
8,0) NOTICE OF LOSS
In the event of loss or damage insured against under this Policy, the Insured shall give
11 immediate notice thereof to ROBERT F. DRIVER ASSOCIATES, P.O. Box 6450, Newport
Beach, CA 92658-6450 (949) 756-0271, FAX (949) 756-2713 of such loss.
In the event of loss'or damage that falls within the reporting requirements, the,Insured will
give immediate notice to the Insurer. For those losses reported to the Insurer, the Insured
agrees to use Crawford-THG International Loss Adjusters, 19109 — 36th West, Suite 105,
Lynnwood, Washington 98036, for the investigation and adjustment of the loss. The
Insured will retain responsibility for the direction of the investigation and the overall
adjustment of the loss.
However, Insurers reserve the right to utilize other adjusting firms if and when they feel it
necessary.
•
W.C.I.A.-PEPIP 2000 Declaration Page 3 of 3
T\DEPT USER,W DGS\W DGS\2000\W CIA
WASHINGTON CITIES INSURANCE
AUTHORITY
(WCIA)
PEPIP USA PROPERTY POLICIES
EFFECTIVE SEPTEMBER 1, 2000 TO
SEPTEMBER 1, 2001
LAYER B
REINSURING COMPANIES
a) MUNICH AMERICAN RISK PARTNERS/GREAT LAKES
b) WELLINGTON SYNDICATE WELL2020
' c) M.E. BROCKBANK SYNDICATE MDR 861/IVIEB 1209/NJM
588/MEB 1209
d) HARVEY BOWRING SYNDICATE WEH 362/HRB 823
e) S.J. CATLIN SYNDICATE 1003/2003
f) ACE GLOBAL MARKETS SYNDICATE AGM 2488
g) F.R. WHITE SYNDICATE 190
elAi77
•
dr ro
ASSOCIATES
Certificate of Insurance
arranged by
L
JLT RISK SOLUTIONS
Limited
•
‘1-jiiinioi�: Llo d s Proportional
.._11;i1.. Reinsurance Certificate
Effected through
JLT Risk Solutions Limited
6 Crutched Friars
London EC3N 2PH
This is to Certify that in accordance with the authorisation granted under
the Contract (the number of which is specified in the Schedule) to the undersigned
by certain Underwriters at Lloyd's, whose definitive numbers and the proportion
underwritten by them are as attached hereto and can also be ascertained by
reference to the said Contract which bears the Seal of Lloyd's Policy Signing
Office, and in consideration of the payment of the premium specified,herein, the
said Underwriters are hereby bound, severally and not jointly, their Executors and
Administrators, to insure in accordance with the terms and conditions contained
herein or endorsed hereon.
The Reinsured, unless otherwise stated herein:
(i) shall retain during the period of this Certificate at least the retention(s),
subject to any proportional and/or excess of loss treaty reinsurance, on the
identical subject matter and perils and in identically the same proportion(s)
as stated herein. In the event of the retention(s) and/or proportion(s) being
less, the Underwriters' liability will be correspondingly proportionately
reduced.
(ii) warrants that the premium paid to the Underwriters for this Certificate is
calculated at the same gross rate as the original policy for the identical
subject matter and perils and in the proportions reinsured.
In the event of inconsistencies between the original policy and this Certificate, this
Certificate shall prevail.
If the Reinsured shall make any claim knowing the same to be false or fraudulent, as
regards amount or otherwise, this Certificate shall become void and all claims
hereunder shall be forfeited.
II 1
In Witness whereof this Certificate has been signed at the place stated and on
the date specified in the Schedule by JLT Risk Solutions Limited
LTL/J2 amended
Schedule
Certificate No: 901/LU0029117 Contract Number: 6165/00
The''Reinsured: WASHINGTON CITIES INSURANCE AUTHORITY(WCIA)
The,Original Insured: Members of Washington Cities Insurance Authority(Named Insured-Member as per the
coverage Schedule agreed by Underwriters and contained in the attached original wording)
I
II
The Premium: USD 172.409.58 part of USD 338.058.00 part of USD 450.744.00
The Retention(s): NIL
r ,
The Sum Reinsured hereunder: 75.00%of the Limits of Liability as more fully set forth in the attached original wording.
The Period of Reinsurance:
From I September 2000 to 1 September 2001 both days at 12.01am Local Standard Time and for such further period or periods as
may be mutually agreed upon.
11
The Subject Matter and Perils Reinsured hereunder:
This Certificate reinsures the Reinsured's interest in payments excluding without prejudice and ex-gratia payments made within the
terms''and conditions of the attached original wording for 75.00%on the identical subject matter and risk.
In the event of inconsistencies between the attached original wording and the original wording issued to the Original Insured the
attached original wording shall prevail
Endorsements, if any:
Service of Suit Clause naming :Messrs.Mendes and Mount as attached
Claim's Control Clause as attached
Lines Clause as attached
Reinsurance Clause as attached
Simultaneous Settlement Clause as attached
Coverage not confined to locations as,declared
For and on behalf of JLT Risk Solutions Limited
Authorised Signatory
Dated in London.the `)� /, .��ri f 4' V
LTL/J2 (Schedule)for attachment to LTL/J2 amended
I ii
Attaching to and forming part of Certificate No. 901/LU00291 17
Service of Suit Clause(U.S.A.)
It is agreed that in the event of the failure of the Reinsuring Underwriters hereon to pay any amount claimed to be due
hereunder,the Reinsuring Underwriters hereon, at the request of the Reinsured,will submit to the jurisdiction of a Court
of competent jurisdiction within the United States. Nothing in this Clause constitutes or should be understood to
constitute'a waiver of Reinsuring Underwriters'rights to commence an action in any Court of competent jurisdiction in
the United States,to remove an action to a United States District Court, or to seek a transfer of a case to another Court
as permitted by the laws of the United States or of any State in the United States. It is further agreed that service of
process in such suit may be made,upon:-
Messrs. Mendes and Mount(Attorneys),750 Seventh Avenue, New York, New York 10019-6829, USA and that in
any suit instituted against any one'of them upon this contract, Reinsuring Underwriters will abide by the final,decision
of such Court or of any Appellate Court in the event of an appeal.
The above-named are authorized and directed to accept service of process on behalf of Reinsuring Underwriters in any
such 'suit and/or upon the request of the Reinsured to give a written undertaking to the Reinsured that they will enter a
general appearance upon Reinsuring Underwriters' behalf in the event such a suit shall be instituted.
Further. pursuant to any statute of any state,territory or district of the United States which makes provision therefor,
Reinsuring Underwriters hereon hereby designate the Superintendent. Commissioner or Director of Insurance or other
officer specified for that purpose in the statute, or his successor or successors in office,as their true and lawful attorney
upon whom may be served any lawful process in any action, suit of proceeding instituted by or on behalf of the
Reinsured or any beneficiary hereunder arising out of this contract of reinsurance,and hereby designate the above-
named as the person to whom the said officer is authorized to mail such process or a true copy thereof.
Claims Control Clause
Notwithstanding anything contained herein to the contrary, it is a condition precedent to any liability under this
Certificate that:-
a) The Reinsured shall, upon knowledge of any loss or losses which may give rise to a claim against this
Certificate, advise the Reinsuring Underwriters thereof as soon as possible.
b) The Reinsured shall furnish the Reinsuring Underwriters with all information available respecting such loss or
losses, and the Reinsuring Underwriters shall have the right to appoint adjusters, assessors and/or surveyors
and to control all negotiations,adjustments and settlements in connection with such loss or losses.
Lines'Clause
This Reinsurance, being signed for 51.000% of 100% of 75.00% reinsures only that proportion of any loss, whether
total d'r partial, including but not'limited to that proportion of associated expenses, if any, to the extent and in the
manner provided in this Reinsurance.
The percentages signed in the Schedule attached hereto are percentages of 100% of 75.00% of the amount(s) of
Reinstrance stated herein.
Reinsurance Clause
Notwithstanding anything contained herein to the contrary this Reinsurance is subject to all terms, clauses and
conditions as original except as provided for herein, and to follow in all respects the settlements or other payments of
whatsoever nature made by the original Underwriters arising out of and in connection with the original insurance and to
bear its proportion of any expenses incurred whether legal or otherwise in the investigation and defence of any claim
hereunder.
Simultaneous Settlement Clause
In the event of a claim under the original policy Reinsuring Underwriters agree that, any payment hereon shall take
place at the same time as settlement or advance of funds under the said original policy.
SEVERAL LIABILITY NOTICE
•
The subscribing reinsurers'obligations under contracts of reinsurance to which they subscribe are several and not joint
and are limited solely to the extent of their individual subscriptions. The subscribing reinsurers are not responsible for
the subscription of any co-subscribing reinsurer who for any reason does not satisfy all or part of its obligations.
08/94
LSW1001 (Reinsurance)
I;I '
I '
li •
I .
Attaching'to and forming part of Certificate No. 901/LU0029117
Schedule of Reinsuring Underwriters
Percentage Underwriters Syndicate Number Underwriters Reference
11.333% 2020 N327492F0B
5.418% 861 60A82041K02Z
6.623% 1209 60A82041K02Z
1.296% 588 60E47894F02Z
0.829% 1209 60E47894F02Z
6.800% 362 M1800BA02794
1.700% 823 M1800BA02794
1.247% 1003 NB545602C8PD
4.420% 2003 NB545602C8PD
5.667% 2488 AVCA4OYA8474
5.667% 190 1521P01025
51.000% of 100% of 75.00%
•
Ic
i I
DECLARATIONS PAGE
1) REINSURED:
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
As more fully described in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endorsement No. 17
2) MAILING ADDRESS: P. O. BOX 1165
RENTON, WA 98057
3) POLICY PERIOD: SEPTEMBER 1, 2000 12:01AM TO SEPTEMBER 1, 2001 12:01AM
4) LIMIT AND SUB-LIMITS OF LIABILITY:
1. $ 500,000,000 Per Occurrence: All Perils, Coverages and Insureds/Members combined,
subject to sub-limits
Sub'T limits:
A. 1,$ 250,000,000 Per Occurrence and in the Annual Aggregate as respects - Flood -all coverages
B. �:$ 100,000,000 Per Occurrence and in the Annual Aggregate as respects Earthquake Shock -all coverages
C. '$ 100,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
D $ 25,000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing and new
1I I members as per endorsement No. 18 (including earthquake) No new members for only
automobile coverage
11
E. ,$ 25,000,000 Landscaping, tees, sand traps, greens and athletic fields
F. '$ 25,000,000 Errors &Omissions
G. '$ 25,000,000 Course Of Construction (including new for project values up to $25,000,000)
H. $ 1,000,000 Money & Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. I$ 1 500,000 Accidental Contamination
K. !$ 1,000,000 Tunnels; bridges, dams, catwalks (except those not for public use), roadways, highways, streets,
sidewalks, culverts, street lights and traffic signals unless a specific value has been declared
L. $ 100,000,000 Demolition and Increased Cost of Construction due to the enforcement of,building codes
$ 25,000,000 Transit
1,000,000 Animals; except $100,000 Specially Trained Animals
$ 1,000,000 Watercraft under 27 feet or less unless scheduled
$ 50,000 Newly Acquired Vehicles (current members with auto coverage only)
$ Not covered Replacement power extra expense at scheduled utility locations
$ 5,000,000 Off premises services interruption including extra expense resulting from a covered peril at
11, non-owned/operated locations ,
I$ Not Covered Contingent business interruption resulting from a covered peril at non owned/operated power
generating facilities
$Not applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles,
unlicensed vehicles, contractors equipment and fine arts combined for all insureds/members
combined that do not purchase optional coverage Item-A): Earthquake Shock
;
As more fully described,in "LIMITS OF LIABILITY" (Section I — Item 4)
i'
W.C.I.A.-PEPIP 2000 Declaration Page 1 of 3
TDEPT USER\WDGS\WDGS\2000\WCIA
11,
I
5) II;DEDUCTIBLE(S):
A. `BASIC"ALL PERILS AND COVERAGES (EXCEPT SPECIFIED PERIL OR COVERAGE DEDUCTIBLE
SHOWN BELOW):
j Deductible: $50,000 Per Occurrence
B. SPECIFIED PERILS AND COVERAGE DEDUCTIBLES
1$ 100,000 Per Occurrence—Flood
0
112/o PerUnit of Insurance (Real & Personal Property and Time Element) subject to 100 000'Minimum
$ ,
I
P Y 1
Per Occurrence- Earthquake Shock,except
I . Vehicles or Contractors Equipment- $25,000 Per Vehicle/Item sub
bject to
100 000 maximum as respects theperils of Earthquake or Flood
P q
I ;
b1. Fine Arts -$50,000 Per Occurrence— Earthquake or Flood I
$ 50,000 Per Occurrence-vehicle property damage
"$ 50,000 Per Occurrence-vehicle collision damage
$ 1,000 Per Occurrence-Specially Trained Animals
•
11$500,000 Per Occurrence - Tunnels, bridges, dams, catwalks (except those not for public use); roadways,
i highways, streets, sidewalks, culverts, street lights and traffic signals unless
a specific value has been declared
24 hour waiting period —All Perils: Service Interruption
$ 10,000 - Course of Construction—All Perils except Earthquake & Flood
11
As llmore fully described in " DEDUCTIBLE PROVISIONS" (Section I—Item 5)
6) 'L';OPTIONAL COVERAGE PARTICIPATION 1 1
'�It is understood and agreed that the certain Member Agencies participate in Optional Coverage on this
Policy as set forth below:
:
I; 1
MEMBER AGENCY "BASIC" COVERAGE APPLICABLE
I
1 i 1 DEDUCTIBLE OPTIONAL'
COVERAGES*
All member per Named $ 50,000 A, B, C, E
Insured Endorsement No. 17
*O IPTIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
1 D) Scheduled Fine Arts
E) Flood
HI i
I
W.C.11A.-PEPIP 2000 Declaration Page 2 of 3
l
T\DEP,iIT USER\WDGS\WDGS\2000\WCIA
II
7 (SPECIAL PROVISIONS
dlt is hereby understood and agreed that General Condition 10) Notice of Loss of the Wording
ttach hereto, is amended to read as follows:
10)I NOTICE OF LOSS
I
In the event of loss or damage insured against under this Policy, the Insured shall give
immediate notice thereof to ROBERT F. DRIVER ASSOCIATES, P.O. Box 6450, Newport
, P
Beach, CA 92658-6450 (949) 756-0271, FAX (949) 756-2713 of such loss.
In the event of loss or damage that falls within the reporting requirements, the Insured will
I I 9 P 9 q ,
give immediate notice to the Insurer. For those losses reported to the Insurer, the Insured
agrees to use Crawford-THG International Loss Adjusters, 19109 — 36th West, Suite 105,
Lynnwood, Washington 98036, for the investigation and adjustment of the loss. The
Insured will retain responsibility for the direction of the investigation and the overall
adjustment of the loss.
However, Insurers reserve the right to utilize other adjusting firms if and when they feel it
necessary.
•
II I i
III i
II
o' II I I
II I
j I '
,(III
W.C.I.a.-PEPIP 2000 Declaration Page 3 of 3
TIDEPT USERIWDGS\WOGS12000\WCIA
11
WASHINGTON CITIES INSURANCE
AUTHORITY
(WCIA)
PEPIP USA PROPERTY POLICIES
EFFECTIVE SEPTEMBER 1, 2000 TO
SEPTEMBER 1, 2001
LAYER C
REINSURING COMPANIES
a) WESTCHESTER FIRE INSURANCE COMPANY
b) COREGIS INSURANCE COMPANY (NOT YET RECEIVED)
c) D.P. MANN SYNDICATE #435, COX PROPERTY &
CASUALTY SYNDICATE #2027
d) AGRICULTURAL INSURANCE COMPANY
•
(71
! I '
SSOCIATES
Certificate of Insurance
arranged by
L-
JLT RISK SOLUTIONS
Limited
t tri
am Lloyd' s Non-Proportional
'Reinsurance
F�DENTIA
Effected through
• ,JLT Risk Solutions Limited
6 Crutched Friars
London EC3N 2PH
This is to Certify that in accordance with the authorisation
' granted under the Contract (the number of which is specified in the
Schedule) to the undersigned by certain Underwriters at Lloyd's,
whose definitive numbers and the proportion underwritten by them,
are as attached hereto and can also be ascertained by reference to
• the said Contract which bears the Seal of Lloyd's Policy Signing
Office, and in consideration of the payment of the premium
specified herein, the said Underwriters are hereby bound, severally
and not jointly, their Executors and Administrators, to reinsure the
Reinsured's interest in those payments made within the terms and
conditions of the original policy. This Certificate shall pay only
when the amount(s) stated in the Schedule as the Excess has been
exceeded and up to the amount(s) stated in the Schedule as the Sum
Reinsured hereunder.
In the event of inconsistencies between the original policy and this
Certificate, this Certificate shall prevail.
If the Reinsured shall make any claim knowing the same to be false
; or fraudulent, as regards amount or otherwise, this Certificate shall
become void and all claims hereunder shall be forfeited.
In Witness whereof this Certificate has been signed at the place
stated and on the date specified in the Schedule by JLT Risk
Solutions Limited
JLTRS/J3 Certificate
THE REINSURED IS REQUESTED TO READ THIS CERTIFICATE AND, IF IT IS INCORRECT,
RETURN IT IMMEDIATELY TO THE BROKER FOR ALTERATION.
IN ALL COMMUNICATIONS THE CERTIFICATE NUMBER APPEARING IN
THE SCHEDULE SHOULD BE QUOTED
Schedule
Certificate No: 901/LU0029345 Contract No. 6166/00
The Reinsured: WASHINGTON CITIES INSURANCE AUTHORITY(WCIA)
The Original Insured: Members of Washington Cities Insurance Authority(Named Insured-Member
as more fully defined in the attached Original Policy Wording)
The Premium: USD 13 522.40 part of USD 67 612.00
,
The Excess: USD 50,000,000 per occurrence
The Sum Reinsured hereunder:
USD450,000,000 per occurrence
The Period of Reinsurance:
From 1 September 2000 to 1 September 2001 both days at 12.01 am Local Standard Time
commencing and expiring at the hour expressed in the original policy, and for such further period or periods
as may be mutually agreed upon.
The Subject Matter and Perils Reinsured hereunder:
All Risks of Physical Loss or Damage including Flood, Earthquake Shock but excluding Boiler
Explosion and Machinery Breakdown as more fully defined in the Original Policy Wording
Endorsements, if any:
See attached Clauses
For and on behalf of JLT Risk Solutions Limited
Authorised Signatory L27
Dated in London,the /' n
% 11�.R./�
JLTRS/J3 Certificate
11 '
Attaching to and forming part of Certificate No. 901/LU0029345
1. Service of Suit Clause(U.S.A.)
It'is agreed that in the event of the failure of the Reinsuring Underwriters hereon to pay any amount
claimed to be due hereunder,the Reinsuring Underwriters hereon, at the request of the Reinsured,will
submit to the jurisdiction of a Court of competent jurisdiction within the United States. Nothing in this
Clause constitutes or should be understood to constitute a waiver of Reinsuring Underwriters'rights to
commence an action in any Court of competent jurisdiction in the United States,to remove an action to
a United States District Court,or to seek a transfer of a case to another Court as permitted by the laws
I of the United States or of any State in the United States. It is further agreed that service of process in'
such suit may be made upon:-
Messrs. Mendes and Mount(Attorneys),750 Seventh Avenue, New York,New York 10019-6829,
USA and that in any suit instituted against any one of them upon this contract, Reinsuring
Underwriters will abide by the final decision of such Court or of any Appellate Court in the event of an
appeal.
The above-named are authorized and directed to accept service of process on behalf of Reinsuring
Underwriters in any such suit and/or upon the request of the Reinsured to give a written undertaking to
the Reinsured that they will enter a general appearance upon Reinsuring Underwriters' behalf in the
event such a suit shall be instituted.
Further, pursuant to any statute of any state,territory or district of the United States which makes
provision therefor, Reinsuring Underwriters hereon hereby designate the Superintendent,
Commissioner or Director of Insurance or other officer specified for that purpose in the statute, or his
successor or successors in office, as their true and lawful attorney upon whom may be served any
lawful process in any action, suit of proceeding instituted by or on behalf of the Reinsured or any
beneficiary hereunder arising out of this contract of reinsurance, and hereby designate the above-
named as the person to whom the said officer is authorized to mail such process or a true copy thereof.
2. Claims Control Clause
Notwithstanding anything contained herein to the contrary, it is a condition precedent to any liability
under this Certificate that:-
a) The Reinsured shall,upon knowledge of any loss or losses which may give rise to a claim
against this Certificate, advise the Reinsuring Underwriters thereof as soon as possible.
b) The Reinsured shall furnish the Reinsuring Underwriters with all information available
respecting such loss or losses, and the Reinsuring Underwriters shall have the right to appoint
adjusters,assessors and/or surveyors and to control all negotiations, adjustments and
settlements in connection with such loss or losses.
3. Lines Clause
This Reinsurance, being signed for 100%of 20.00%reinsures only that proportion of any loss,
whether total or partial, including but not limited to that proportion of associated expenses, if any,to
the extent and in the manner provided in this Reinsurance.
The percentages signed in the Schedule attached hereto are percentages of 100%of 20.00%of the
amount(s)of Reinsurance stated herein.
4. Reinsurance Clause
Notwithstanding anything contained herein to the contrary this Reinsurance is subject to all terms,
clauses and conditions as original except as provided for herein, and to follow in all respects the
settlements or other payments of whatsoever nature made by the original Underwriters arising out of
and in connection with the original insurance and to bear its proportion of any expenses incurred
whether legal or otherwise in the investigation and defence of any claim hereunder.
5. Simultaneous Settlement Clause
In the event of a claim under the original policy Reinsuring Underwriters agree that, any payment
hereon shall take place at the same time as settlement or advance of funds under the said original
policy.
6. This Certificate reinsures the Reinsured's interest in payments excluding without prejudice and ex-
gratia payments made within the terms and conditions of the attached original wording for 20.00%on
the identical subject matter and risk.
7. In the event of inconsistencies between the attached original wording and the original wording_issued
to the Original Assured the attached original wording shall prevail.
8. Coverage not confined to locations as declared.
SEVERAL LIABILITY NOTICE
The subscribing reinsurers'obligations under contracts of reinsurance to which they subscribe are several and
not joint and are limited solely to the extent of their individual subscriptions. The subscribing reinsurers are
not responsible for the subscription of any co-subscribing reinsurer who for any reason does not satisfy all or
part of its obligations.
08/94
LS W 1 00 1 (Reinsurance)
Attaching to and forming part of Certificate No. 901/LU0029345
Schedule of Reinsuring Underwriters
Percentage Underwriters Syndicate Number Underwriters Reference
51.665% 435 79847000
25.000% 2027 00P27569A000
11.250% 506 T6T58100000
3.750% 506 N1218100000
8.335% 1243 P01 121 E00ABC
100% of 20.00%
I l I
DECLARATIONS PAGE
1) REINSURED:
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
As more fullydescribed in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endorsement No. 17
2) MAILING ADDRESS: 'P. O. BOX 1165
RENTON, WA 98057
3) POLICY PERIOD: SEPTEMBER 1, 2000 12:01AM TO SEPTEMBER 1, 2001' 12:01AM
4) LIMIT AND SUB-LIMITS OF LIABILITY:
1. $1459,000,000 Per Occurrence:All Perils, Coverages and Insureds/Members combined,
EXCESS OF
$ 50,000,000 Per Occurrence: All Perils, Coverages and Insureds/Members combined,
subject to sub-limits
Sub-limits:
A. $ 250,000,000 Per Occurrence and in the Annual Aggregate as respects - Flood -all coverages
B. $ 1100,000,000 Per Occurrence and in the Annual Aggregate as respects Earthquake Shock-Ian,coverages
C. $ 100,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
D $ 25,000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing and new
members as per endorsement No. 18 (including earthquake) No new members,for only
automobile coverage
E. $ 25,000,000 Landscaping, tees, sand traps, greens and athletic fields
F. $ 25,000,000 Errors & Omissions
G. $ 25,000,000 Course Of,Construction (including new for project values up to$25,000,000)
H. $ 11,000,000 Money& Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. $ I 500,000 Accidental Contamination
K. $ 1I,000,000 Tunnels, bridges, dams, catwalks (except those not for public use), roadways,lhighways, streets,
sidewalks;culverts, street lights and traffic signals unless a specific value has been declared
L. $;,100,000,000 Demolition and Increased Cost of Construction due to the enforcement of building codes
$ 125,000,000 Transit
$ 1:,000,000 Animals; except $100,000 Specially Trained Animals
$ 11,000,000 Watercraft under 27 feet or less unless scheduled
$ , 50,000 Newly Acquired Vehicles (current members with auto coverage only)
$ Not covered Replacement power extra expense at scheduled utility locations
$ 5,000,000 Off premises services interruption including extra expense resulting from a covered peril at
non-owned/operated locations
$'kNotlCovered Contingent business interruption resulting from a covered peril at non owned/operated power
generating facilities
$Not applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles,
unlicensed vehicles, contractors equipment and fine arts combined for all insureds/members
combined that do not purchase optional coverage Item-A): Earthquake Shock '
As more fully described in "LIMITS.OF LIABILITY" (Section I — Item 4)
1
W.C.I.A.-PEPIP,2000 Declaration Page 1 of 3
T\DEPT USER\WDGSIWDGS120001WCIA LU0029345'
5) DEDUCTIBLE(S):
A. "BASIC"ALL PERILS AND COVERAGES (EXCEPT SPECIFIED PERIL OR COVERAGE DEDUCTIBLE
SHOWN BELOW):
Deductible: $50,0001 Per Occurrence
B. SPECIFIED PERILS AND COVERAGE DEDUCTIBLES
$ 100,000 Per Occurrence—Flood
2% Per Unit of Insurance (Real & Personal Property and Time Element) subject to $100,000 Minimum
Per Occurrence- Earthquake Shock, except
a. Vehicles or Contractors Equipment-$25,000 Per Vehicle/Item subject to
$100,000 maximum as respects the perils of Earthquake or Flood
b. Fine Arts - $50,000 Per Occurrence— Earthquake or Flood
$ 50,000 Per Occurrence-vehicle property damage
$ 50,000 Per Occurrence-'vehicle collision damage
$ 1,000 Per Occurrence=Specially Trained Animals
$500,000 Per Occurrence -Tunnels, bridges, dams, catwalks (except those not for public use), roadways,
highways, streets, sidewalks, culverts, street lights and traffic signals unless
a specific value has been declared
24 hour waiting period —All Perils: Service Interruption
$ 10,000 - Course of Construction —All Perils except Earthquake & Flood
As more fully described in " DEDUCTIBLE PROVISIONS" (Section I—Item 5)
6) OPTIONAL COVERAGE PARTICIPATION
It is understood and agreed that the certain Member Agencies participate in Optional Coverage on this
Policy as set forth below: ,
MEMBER AGENCY "BASIC" COVERAGE APPLICABLE
DEDUCTIBLE OPTIONAL
COVERAGES*
All member per Named $ 50,000 A, B, C, E
Insured Endorsement No. 17
*OPTIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood
W.C.I.A.-PEPIP 2000 Declaration Page 2 of 3
T\DEPT USER\WDGS\WDGS12000\WCIA LU0029345
1
7) SPECIAL EXCESS PROVISIONS '
1. In the event of reduction or exhaustion of the Primary or Underlying aggregate limit or limits
for the perils of Flood and/or Earthquake Shock, it is hereby understood and agreed that
such Insurance as is afforded by this policy shall apply in excess of the reduced underlying
limit in respect of such perils, or if such limit is exhausted, shall apply as underlying
insurance, subject to the original deductible provisions contained in the underlying
policy(ies), notwithstanding anything to the contrary in the terms and conditions of this
policy.
In no event, however, shall this Insurer be liable for more than the limit(s) of liability specified
herein.
2. It is hereby understood and agreed that General Condition 10) Notice of Loss of the
Wording attach hereto, is amended to read as follows:
10) NOTICE OF LOSS
In the event of loss or damage insured against under this Policy, the Insured shall
give immediate notice thereof to ROBERT F. DRIVER ASSOCIATES, P.O. Box 6450,
Newport Beach, CA 92658-6450 (949) 756-0271, FAX (949) 756-2713 of such loss.
In the event of loss or damage that falls within the reporting requirements, the Insured
will give immediate notice to the Insurer. For those losses reported to the Insurer, the
Insured agrees to use Crawford-THG International Loss Adjusters, 19109' — 36th
West, Suite 105, Lynnwood, Washington 98036, for the investigation and adjustment
of the loss. The Insured will retain responsibility for the direction of the investigation
and the overall adjustment of the loss.
However, Insurers reserve the right to utilize other adjusting firms if and when they
feel it necessary.
W.C.I.A.-PEPIP 2000 Declaration Page 3 of 3
TDEPTIUSER\WDGS\WDGS\2000\WCIA L00029345
1
1
PEPIP USA
. CONTENTS
Page No.
•
; Contents Pages 1-6
11 , SECTION
1
Declarations
1) Name of Insured 7
2) Address of Insured 1 7
• 3) Policy Period 8
4) Limits of Liability 8
4a) Optional Coverage Participation 9
5) Deductible Provisions 9
6) Unit of Insurance Defined 9
SECTION II
PHYSICAL DAMAGE TO PROPERTY
1) Coverage 10
2) Extensions of Coverage 10
A) Personal Effects 10
B) Property in Course of Construction 10 '
C) Fire Fighting Expenses 11
D) Off Premises Services Clause 12
E) Architects and Engineers Fees and Loss
Adjustment Expenses 1,2
F) Expediting Expenses • 12
G) Debris Removal 12
H) Building Laws 12
I) Demolition Cost 13
J) Increased Cost of Construction 13
K) Automatic Coverage 13
L) Errors and Omissions 13•
M) Animals 13
N) Valuable Papers ; 13
0) Transit 14
__ P) Vehicles While On Insured Premises 14,
W.C.I.A.-PEPIP 2000 Declaration Page 1
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I 1 3) Exclusions 114 '
A) Property Exclusions 14
B) Asbestos Clean-up and Removal ;16
4) Loss Payment BasisNaluation 16
5) Special Conditions .19
A) Automatic Coverage/Reporting Conditions 19
6) Definitions 20
A) Loss 20
1) Windstorm 20
2) Flood 20
3) Earthquake Shock 21
4) Personal Effects 22
5-) Improvements and Betterments 22
SECTION III
INTERRUPTION OF BUSINESS 1 EXTRA EXPENSE AND RENTAL INCOME
1) Coverage 23
A) Business Interruption 23
B) Extra Expense !23
2) Extensions of Coverage 24
A) Ingress/Egress 24
B) Interruption by Civil Authority 24
C) Demolition and increased time to rebuild 24
D) Non-Productive Property 25
E) Contingent business interruption and/or
extra expense and/or rental value 25
F) Extended period of indemnity extension 25 I
3) Exclusions 26 ,
A) Special Exclusions 26
4) Loss Payment Valuation ' 26 '
A) Expenses to Reduce Loss 26
5) Conditions Applicable to Business Interruption/
Extra Expense and Rental Value 27
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6) Definitions 127
A) Gross Earnings 27
B) Merchandise 28 ,
C) Extra Expense 28
D) Rental Value 28
E) Period of Restoration 28
SECTION IV
GENERAL CONDITIONS
1
1) Perils Covered 29
2) Perils Excluded 29
3) Territorial Limits ' 31
4) Reinstatement 31
5) F.O.B.;Shipments 31
6) Protection and Preservation of Property ' 31
7) Breach of Conditions 31
8) Permits and Privileges 32
1 9) Proteq'tive Safeguard 132 ;
10) Notice.of Loss 33
11) Protection of Property 133
12) Arbitration of Value 34 ,
13) Proof of Loss 34
14) Subrogation 34
15) Cancellation 35
16) Abandonment I 36
17) Assignment 36
1 1 18) Salvage 36
19) Other'Insurance 36
20) Excess Insurance 37
21) Right to Review Records 37
22) Concealment and Fraud 37
! ' 23) Liberalization . 37'
24) Loss Payable Clause 38
1 25) Full Waiver ' 38 i
26) Report of Values/Premium 38
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' SECTION V
DATA PROCESSING MEDIA
1) Coverage '39
A) Property Covered 39
B) Perils Covered 39 ,
2) Extensions of Coverage 39
3) Exclusions 39
' A) Property Excluded 39
B) Perils Excluded 39
! , 4) Loss Payment BasisNaluation 40
5) Special Conditions 140
6) Definitions 40
Active Data ProcessingMedia 40
A) Ac e
B) Computer Virus 41
SECTION VI
FINE ARTS FLOATER
1) Coverage 42
, A) Property Covered '42 !
7 B) This Floater Insures Against 43
C) Wall to Wall (Nail to Nail) Coverage 43 ,
2) Extensions of Coverage '43
3) Exclusions 43
4) Loss Payment BasisNaluation 44
5) Special Conditions 45
' 1) Misrepresentation and Fraud 45
2) Notice of Loss 45
3) Examination Under Oath '45
4) Settlement of Loss '45
5) No Benefit to Bailee 45
6) Subrogation of Loan 46
7) Loss Clause 46
8) Protection of Property 46 ;
9) Suits 46
10) Appraisal 46
11) Civil Authority 477
12) Conformity to Statute 47
13) Changes 147
14) Additional Covered Party(ies) 47 ,
15) Packing 47
16) Other Insurance '47
17) Pair and Set - 47
6) Definitions 48
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SECTION VII
I EXTRA EXPENSE ,
ELECTRONIC DATA PROCESSING
1) Coverage 49'
Measure of Recovery 49
2) Extensions of Coverage 50,
3) Exclusions 50
4) Loss Payment Basis/Valuation
Deductible 51
5) Special1Conditions ' 51
Resumption of Operations 151
6) Definitions 51 ,
A) Extra Expense 51 ,
B) Normal 52
C) Computer Virus ! 52
SECTION VIII
MOBILE / CONTRACTORS EQUIPMENT
1) Coverage 53,
fl 2) Extensions of Coverage 54
} 3) Exclusions 54,
4) Loss Payment BasisNaluation 55;
5) Special Conditions 55
6) Definitions 55
SECTION IX
1
ACCOUNTS RECEIVABLE
.
1. Coverage 56'
2. Extensions of Coverage 58
3. Exclusions 56'
4. Loss Payment BasisNaluation 57,
' Determination of Receivables; Deductions 57'
5 Special Conditions 57
6 Definitions 58'
III Accounts Receivable 58
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W.C.I.A.-PEPIP 2000!Declaration Page 5
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SCHEDULE OF ENDORSEMENTS
ENDORSEMENT No. 1 Boiler and Machinery and Property
Joint Loss Adjustment 59
ENDORSEMENT No. 2 Property Joint Loss Adjustment 60
ENDORSEMENT No. 3 Seepage and/or Pollution and/or
Contamination Exclusion, Debris
Removal and Cost of Clean-Up
Extension, Authorities Exclusion 61/62
ENDORSEMENT No. 4 Minimum Earned Assessments 63
ENDORSEMENT No. 5 Lender's Loss Payable Endorsement. 64/65 '
ENDORSEMENT No. 6 Severability Notice 66
ENDORSEMENT No. 7 Accidental Contamination Extension 67
ENDORSEMENT No. 8 Automatic Additional Insureds
and/or Loss Payees 68
ENDORSEMENT No. 9 Earthquake and Flood Exclusion 69
ENDORSEMENT No. 10 Priority of Payments 70
ENDORSEMENT No. 11 Leasehold Interest 71
ENDORSEMENT No. 12 Revenue Interruption Protection
(excluding Earthquake and Flood) 72
ENDORSEMENT No. 13 Loss Payable Provisions
(Form CP 12 18 10 91) .73/74/75
ENDORSEMENT;No. 14 Electronic Date Recognition Exclusion
"Wording A" 76
ENDORSEMENT No. 15 Electronic Date Recognition Exclusion
"Wording B" 77
ENDORSEMENT No. 16 Electronic Date Recognition Exclusion
Members/Insureds provided "Wording B"
Coverage 78
ENDORSEMENT No. 17 Named Insured and Members (and
deductibles if shown) 79/80
ENDORSEMENT; No. 18 Automatic Acquisition Clause 81/82
W.C.I.A.-PEPIP 2000 Declaration Page 6
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SECTION I
In'consideration of the premium paid by the Insured to this Insurer, the Insurer agrees to
insure the following per the terms and conditions herein:
11
1)! NAME OF INSURED:
AS PER DECLARATIONS PAGE
1
and its members or (member agencies) as per the Named Insured Endorsement
and any entities or individuals for whom the Named Insured is required to provide
coverage as their interests may appear and other organizations and enterprises
which now exist or which hereafter may be created or acquired and which are
owned, financially controlled or actively managed by the herein named interest, all
jointly, severally or in any combination of their interests, for account of whom it
may concern.
Lessors and other party(ies) of interest in all property of every description covered
hereunder are included herein as additional Insureds for their respective bights and
interests, it being understood that the inclusion hereunder of more than one
covered party shall not serve to increase the Insurer's limit of liability.
Mortgagees to whom certificates of coverage have been issued are covered
hereunder in accordance with the terms and conditions of Form 438 'BFU NS,
CP12 18 1091, or equivalent as required by the mortgagee.
Loss, if any, shall be adjusted with the Insured and payable to the named insureds
as their respective,interests may appear, subject however, to the provisions of any
mortgagees or payee clauses which may otherwise be herein provided or
endorsed hereon.
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2)I MAILING ADDRESS OF INSURED:
AS PER DECLARATION PAGE
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W.C.I.A.-PEPIP 2000 Declaration Page 7
3) POLICY PERIOD:
12 MONTHS AS PER DECLARATION EFFECTIVE DATE AND EXPIRATION DATE
4)'; LIMITS OF LIABILITY:
The limit of liability as stated below is per occurrence and in the annual aggregate
as respects the peril of earthquake shock and also in the annual aggregate as
respects the peril Of flood. The provisions of the reinstatement clause las stated
elsewhere herein, are null and void as respects the perils of earthquake shock and
flood.
Subject to specific; exclusions, modifications, and conditions hereinafteriprovided,
the liability of this Insurer in any one occurrence regardless of whether one or more
of the coverages of this Policy are involved shall not exceed:
1.AS PER DECLARATION Per occurrence all risk perils except earthquake shock and;flood
THE FOLLOWING ARE OPTIONAL COVERAGES. COVERAGE IS PROVIDED IF A SUB-LIMIT
IS SHOWN ON THE DECLARATIONS PAGE. SUB-LIMITS DO NOT INCREASE THE
OCCURRENCE LIMIT OF LIABILITY.
A. Per occurrence]and in the annual aggregate as respects flood.
B. Per occurrence,and in the annual aggregate as respects earthquake shock
C. Combined Business Interruption, Extra Expense, Rental Income, Tax Interruption
E. Miscellaneous unnamed locations and automatic coverage as per •
Endorsement#18
E. Landscaping, tees, sand traps, greens and athletic fields
F. Errors & Omissions
G. Course of Construction
H. Money and Securities for Fire, Wind, Hail, Explosion, Smoke, Lightning,! Riot,
Civil Commotion, Impact by Aircraft or Objects falling therefrom, Impact by
Vehicles, Water Damage and Theft (other than by an employee of the Insured)
I'. Unscheduled fine arts
J. Accidental Contamination including owned land, land values and water owned
by the Insured,
K. Tunnels, bridges, dams, catwalks except those not for public use, roadways,
highways, streets, sidewalks, culverts, street lights and traffic signals '
L. Other— as shown in declarations page
W.C.I.A.-PEPIP 2000 Declaration Page 8
4A) OPTIONAL COVERAGE PARTICIPATION
It is understood and agreed that certain Insureds participate in Optional Coverage
on this Policy as set forth below.
OPTIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood — Shared Program Limits
F) —Flood Specified Flood Per Insured
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5A' DEDUCTIBLE PROVISIONS:
If two or more deductible amounts provided above apply for a single 'occurrence',
the total to be deducted shall not exceed the largest per 'occurrence' deductible
amount applicable.
Deductibles are shown on the Declarations page.
6 UNIT OF INSURANCE DEFINED:
In the application of the Earthquake Shock Deductible Clause, and the
Apportionment of Loss Clause made a part of this Policy, each of the following
I,IIShall be considered a Separate Unit of Insurance:
(a) Each Separate Building or Structure;
(b) The Contents of each Building or Structure; �
(c) Applicable Time Element Coverage of each separate Building or
Structure; and
it (d) Property in each Yard.
This Insurer shall not be liable for loss to any Unit of Insurance covered hereunder
unless such loss exceeds the percentages stated in this Policy of the replacement
values of such Unit of Insurance at the time when such loss shall happen, and then
only for its proportion of such excess.
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The Terms and Conditions stated in #5 (Deductible provisions) and #6 [(Unit of
insurance defined) supersede the provisions of any Deductible Clause contained
elsewhere in this Policy. !
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
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W.C.I.A.-PEPIP 2900 Declaration Page 9
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SECTION II
[PHYSICAL DAMAGE TO PROPERTY
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1) COVERAGE:
pl Subject to the terms, conditions and exclusions hereinafter contained, this Policy
insures all property of every description of an insurable nature, both 'real and
personal (including, improvements and betterments), of the Insured or property of
others in the care, custody or control of the Insured, for which the Insured is liable
or under obligation'to keep insured.
It is also understood and agreed that the interest of additional covered parties
and/or loss payees are automatically included.
2) EXTENSIONS OF COVERAGE:
A) PERSONAL EFFECTS
This Policy is extended to cover only such personal effects and wearing apparel of
any of the officials,;employees, students and personal effects of the Insured named
in this Policy for which the Insured may elect to assume liability while located in
accordance with the coverage hereof, but loss, if any, on such property shall be
adjusted with and payable to the Insured.
B) PROPERTY IN COURSE OF CONSTRUCTION
It is understood and agreed that as respects course of construction; and
remodeling projects, this Policy will provide automatic coverage subject to the
following conditions:
(1) Project involves only real property on new or existing locations
(excluding dams, piers, roads, and bridges)
(2) Value of the project at the location does not exceed $25,000,000,
however;the Insured shall report to the companies if values of Project
Ir
exceed $25,000,000. However, inadvertent failure to report; shall not
void coverage of said Project.
(3) Additional Expense Soft Cost: This coverage applies to new buildings or
structures in the course of construction up to the time that the new
I
building (s) or structure (s) is initially occupied or put to its intended use
whichever occurs first.
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W.C.I.A.-PEPIP 2000 Declaration Page 10
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The Insurer will cover the additional expenses of the Insured as defined below for
up to 25% of the estimated completed value of the project which results from a
delay in the completion of the project beyond the date it would have been
completed had no !loss or damage occurred. The delay must be due, to direct
physical loss or damage to Property Insured and be caused by or result from a
peril not excluded by this Policy. The Insurer will pay covered expenses when. they
are incurred.
a. Additional Interest Coverage —The Insurer will pay the additional interest
on money you borrow to finance construction or repair.
b. Rent or Rental Value Coverage — The Insurer will pay the actual loss of
net rental income that results from delay beyond the projected
completion date. But the Insurer will not pay more than the reduction in
rental income less charges and expenses that do not necessarily
continue.
c. Additional Real Estate Taxes or Other Assessments — The Insurer will
pay the additional real estate taxes or other assessments you incur for
the period of time that construction is extended beyond the completion
date.
d. Additional Advertising and Promotional Expenses — The Insurer will pay
the additional advertising and promotional expense that 'becomes
necessary as a result of a delay in the completion of the project.
e. Additional Commissions Expense — The Insurer will pay the additional
expenses which result from the renegotiating of leases following an
interruption in the project.
f. Additional Architectural and Engineering Fees — The Insurer will pay the
additional architectural and engineering fees that become necessary as
a result of a delay in the completion of the project.
! g. Additional License and Permit Fees — The Insurer will pay the additional
license and permit fees that become necessary as a delay; in the
completion of the project.
h. Legal and Accounting Fees — The Insurer will pay the additional.legal
and accounting fees you incur as a result of a delay in the completion of
the project.)
C) FIRE FIGHTING EXPENSES
It is understood and agreed that the Insurer shall be liable for the actual charges of
fire fighting expenses including but not limited to those charged by mdnicipal or
private fire departments responding to and fighting fire in/on, and/or protecting
property included in coverage provided by this Policy.
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W.C.I.A.-PEPIP 2000 Declaration Page 11
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D) OFF PREMISES SERVICES CLAUSE
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lit is understood and agreed that coverage under this Policy is extended to include
physical damage, business interruption loss and/or extra expense incurred and/or
sustained by the Insured as a result of damage to or destruction of, by the perils
insured against, to property of the type not excluded by this Policy of any suppliers
furnishing heat, light, power, gas, water, telephone or similar services to an
Insured's premises.
E) ARCHITECTS AND ENGINEERS FEES AND LOSS ADJUSTMENT
EXPENSESI
This Policy also insures any of the following:
(1) Architects and engineers fees
(2) Loss adjustment expenses including, but not limited to, auditors, consultants
and accountants
F) EXPEDITING EXPENSES
It is understood ;and agreed that coverage under this Policy includes the
reasonable extra cost of temporary repair and of expediting the repair of, such
damaged property of the Insured, including overtime and the extra costs of
express or other rapid means of transportation.
G) DEBRIS REMOVAL
This Policy also covers expenses incurred in the removal of debris of the property
covered hereunder that may be destroyed or damaged by a covered peril(s). This
debris removal coverage does not apply to the cost to extract pollutants!froni land
or water, or to remove, restore or replace polluted land or water, except as
provided by Endorsement No 07.
H) BUILDING LAWS
The loss occasioned by the enforcement of any local or state ordinance or law
regulating the construction, repair or demolition of buildings or structures, which is
in force at the time such a loss occurs, which necessitates the demolition of any
portion of the covered building not damaged by the covered peril(s).
_
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W.C.I.A.-PEPIP 2000 Declaration Page 12
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I) DEMOLITION COST
1 The cost of demolishing any undamaged portion of the covered property including
the cost of clearing the site thereof, caused by loss from any covered peril(s) 'under
this Policy and resulting from enforcement of any local or state ordinance or law
regulating the construction, repair or demolition of buildings or structures and in
force at the time of loss which necessitates such demolition;
J) INCREASED COST OF CONSTRUCTION
The increased cost of repair or replacement occasioned by the enforcement of any
local state ordinance or law regulating the construction, repair or demolition of
buildings or structures, which is in force at the time such a loss occurs or ;which
comes into force within 18 months after such a loss occurs, which necessitates in
repairing or replacing the building covered hereunder which has suffered damage
or destruction by the covered peril(s) or which has undergone demolition, limited,
however, to the minimum requirements of such ordinance or law.
K) AUTOMATIC COVERAGE
This Policy provides automatic coverage without additional premium, for additions
and increases in values as respects existing Insureds subject to such increase in
values not exceeding $ per declaration page and as per Endorsement #18 per
Insured.
L) ERRORS & OMISSIONS
No unintentional errors or omissions in description, location of property or valuation
of property will prejudice the Insured's right of recovery but will be reported to the
Insurer(s) as soon as practicable when discovered.
M) ANIMALS
Including police dogs, horses and other specially trained animals. Coverage
includes retraining expenses.
N) VALUABLE PAPERS
Valuable papers or the cost to reconstruct valuable papers lost or damaged by
perils insured against during the term of this Policy.
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W.c.I.A.PEPIP 2000 Declaration Page 13
0) TRANSIT.
Personal property of the Insured or property held by the Insured in trust ;or on
commission or on! consignment for which the Insured may be held Iegally;Iiable
while in due course of transit, worldwide, against All Risks of Direct Physical Loss
or Damage to the property insured occurring during the period of this Policy.
P) VEHICLES WHILE ON INSURED PREMISES
Vehicles while on premises against lost or damaged by a peril insured against
; during the term of this Policy.
3)! PROPERTY NOT COVERED:
A) PROPERTY EXCLUSIONS
This Property Policy does not provide coverage for any of the following:
(1) Aircraft, watercraft and rolling stock, except: Watercraft of the type'up to 27',
unless scheduled and Light rail vehicles, subway trains and related, track
maintenance'vehicles for light rail and subway lines.
(2) Standing timber, bodies of water, growing crops, and dams.
(3) Land, (including land on which covered property is located), and land values
(except athletic fields, landscaping, sand traps, tees and greens).
(4) Property
in due course of ocean marine transit.
P Y
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(5) Shipment by'' mail after delivery into the custody of the United States Post
Office.
(6) Property in course of construction with construction values greater than
$25,000,000.,
(7) Power transmission, feeder lines and underground pipes more than 2,500
feet from the premises of the Insured.
(8) Tunnels, bridges, dams, catwalks (except those not for public use), 'rgadways,
highways, streets, sidewalks, culverts, streetlights, traffic signals, excess of a
1 000 000 sub-limit unless values are specifically declared.
(9) As respects course of construction the following exclusions shall apply:
(a) The cost of making good, faulty or defective workmanship, material,
construction or design, but this exclusion shall not apply to damage
resulting from such faulty or defective workmanship,1 material,
construction or design.
W.C.I.A.-PEPIP 2000 Declaration Page 14
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(b) The cost of non-compliance of, or delay in completion of contract.
(c) The cost of non-compliance with contract conditions.
(d) Contractors' equipment or tools not a part or destined to become a part
of the installation.
The following additional exclusions apply to loss or damage to animal covered
under this Policy: i
(
1) Death ofanya nimal s from natural causes.
(I2) Death of any animals) which dies from an unknown cause unless:
(a) upon thle death of such animal a post-mortem examination made of
such animal by a licensed veterinarian, and if
ill
(b) the veterinarian's post-mortem report shows the cause of dleath to
clearly fall within the coverages of this Policy.
(I3) Death of any animal(s) as a result of surgical operation, including inoculation,
unless the necessity for same arises from an event covered by this Policy.
i
of anyanimal(s) caused byresultingfrom; or made
l' (I4) The death or destruction ,
necessary by physical injury caused by or resulting from the activities of the
injured animal or other animals unless such death or destruction is Ithe result
otherwise covered bythis Policy. I I
of anyevent
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5 The death of anyan
imal(s)s caused directlyor indirectlybythe neglect or
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abuse of the Insured, his agent, employees or bailees (carriers for hire
excepted) unless such loss is a result of an event otherwise covered by this
Policy.
(I6) The loss by death of any animal(s) as a result of parturition or abortion.
(I7) Loss resulting from depreciation in value caused by any animal(s) covered
hereunder becoming unfit for or incapable of filling the function or duties for
IP which it is kept, employed or intended unless such loss is the result ,of an
event otherwise covered by this Policy.
(18) Loss by destruction of any animal(s) on the order of the federal or,any state
government, or otherwise as a result of having contracted or been exposed to
any contagious or communicable disease.
(19) The removal or disposal of the remains of any animal(s) nor the expense
thereof unless such loss is the result of an event otherwise covered by this
Policy.
W.C.I.A.-PEPIP 2000 Declaration Page 15
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(10) The loss of any animal(s) that has been unnerved (the term "unnerved" to be
considered as meaning the operation'of neurotomy for lameness).
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� (11) Any claim consequent upondeterioration, or loss of use or 'loss of
delay,
market arising from an event covered by this Policy.
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B) ASBESTOS CLEAN-UP AND REMOVAL
This Policy specifically excludes asbestos clean-up, removal or loss of use of any
Insured facility as mandated by any Public Agency, code or ordinance. However,
in the event that asbestos materials not previously required to be removed; by a
Public Agency, code or ordinance sustains physical damage as a result) of a
covered peril(s) then coverage is afforded for, Debris removal or salvage
operations within the immediate area of physical damage (caused by a covered
peril) to other covered property; then this Policy will provide coverage for'l,asbestos
c clean-up or removal within the damaged area and applicable time, element
coverages.
Asbestos clean-up, removal and loss of use of insured facilities under the
J' demolition and increased cost of construction coverage provided by this; Policy is
hereby excluded:
In no event will coverage be extended to cover undamaged asbestos, or
in anyportions of the buildingmandated byPublic A enc
undamaged asbestos g. y,
codes or ordinances to be demolished or brought into compliance with 'current
buildingcodes.
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4)G LOSS PAYMENT BAS.ISNALUATION
In case of loss to property of an Insured covered hereunder, the basis of
adjustment shall be as of the time and place of loss as follows: ! '
1
(A) On all real and personal property, including property of others' at the
replacement value at the time of the loss without deduction for depreciation.
If property is not replaced within a reasonable period of time, then the actual
' cash value.
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' (B) On improvements and betterments at the replacement value at tine! of loss
, without deduction for depreciation. If property is not repaired or replaced
' within a reasonable period of time, then the actual cash value. If replaced or
repaired by others for the use of the Insured, there shall be no liability
11 hereunder. The Insurer agrees to accept and consider the Insured as sole
and unconditional owner of all improvements and betterments, any contract
or lease the Insured may have made to the contrary notwithstanding,
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(C) On manuscripts, mechanical drawings, patterns, electronic data processing
media, books of accounting and other valuable papers, the full replacement
' cost of the property at the time of loss (including expenses incurred to
recreate the information lost, damaged or destroyed) or what it would then
cost to repair, replace or reconstruct the property with other of like kind and
quality. If not repaired, replaced or reconstructed within a reasonable period
of time, then not to exceed the cost of blank or unexposed material.
(D) On antique, restored or historical buildings, the cost of acquisition, relocation
to the site and renovation or reconstruction. In the event of a partial loss,
normal replacement cost coverage as set forth in item A above would apply.
(E) On property of others for which the Insured is liable under contract or lease
agreement the Insurer's liability in the event of loss is limited to the Insured's
obligation as defined in said contract or lease agreement.
(F) The valuation of library contents is as follows:
Category Value**
Juvenile Picture Book $ 14.75
Juvenile Book $ 14.75
Juvenile Reference Book $ 33.50
Pamphlets $ 2.00
Magazines $ 4.75
Fiction , $ 21.00
Law Periodical $ 34.95
Non-Fiction $ 32.50
Reference $ 83.75
Law Reference $ 110.00
Art $ 71.75
Film (16mm) $ 600.00
Film ( 8mm) $ 15.00
Film (Super 8mm) $ 15.00
Strips $ 8.25
Cassette Film Strips $ 57.00
Records $ 11.00
Videos (Tapes and C.D.$) $ 51.00
Audio cassette $ 11.75 I
Computer Software (incl. C.D.$) $ 400.00
(Law) CD ROM $ 80.00
Books on Tape $ 22.00
Law Malgazines $ 6.25
Compact Discs - $ 25.00
Paperback Books $ 7.50
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These figures are the raw costs of each category of books established from the
library association. The figures do not include the "shelving cost" of each book as
we recognize that not all books will be replaced. The coverage for shelving is a
"valuable papers" exposure i.e. and covered elsewhere in this Policy.
Therefore, the formula for adjusting a library loss is:
# of items in a category X valuation figure + shelving cost under "valuable,papers"
coverage if item is replaced.
This eliminates the need to adjust each item on its specific actual cash value or
replacement cost.
The actual cost per item in the final adjustment is to be computed as of the time
and place of loss or damage.
(G) Covered vehicles and/or contractors' equipment/unlicensed vehicles on
or off premises (as per summary of values on file with the Insured). The
Insurer shall not be liable* for more than the actual cash value iof the
property at the time any loss or damage occurs and the loss or damage
shall be ascertained or estimated according to such actual 'cash, value
with proper deduction for depreciation. However, in no event shall the
loss exceed what it would then cost to repair or replace the 'same with
material of like kind and quality, nor the amount for which tle: Insured
may be;liable.
* Uni,less specified as replacement cost (new). If summary of values,
provided by the Insured, for vehicles/contractors' equipment
provides valuation based on 100% "replacement cost new", then
recovery will be on the same basis.
(H) Animals: The stated value as per schedule on file with the Insured.
(I) Landscape, sand traps, tees, greens and athletic fields; the actual
replacement cost of sod, shrubs, sand (pertaining to sand traps within 15
yards of greens), plants and trees; however the Insurer's liability for
replacement of trees, plants and shrubs will be limited to the actual size
of the destroyed plant, tree or shrub at the time of the loss up to a
maximum size of 15 gallons per item.
_
W IC.I.A.-PEPIP 2000 Declaration Page 18
Definitions:
Wherever the,term "actual cash value" is used as respects real property or
improvements! and betterment's in this clause, or elsewhere herein, lit ',shall
mean replacement value less physical depreciation.
The aforementioned valuations shall also be used for the purpose of the
assessment adjustment clause of this Policy.
5) SPECIAL CONDITIONS:
A) AUTOMATIC COVERAGE/REPORTING CONDITIONS
Subject to the terms, conditions and limitations in Endorsement#18.
It is understood and agreed that:
(1) This Policy is automatically extended to cover all additional property as
described in this Policy and associated Business Interruption / Extra' Expense
which may be;purchased, leased, acquired or otherwise become at the risk of
the Insured during the term of this Policy
(2) This Insurer shall automatically cover such property and/or properties,'subject
to all the terms and conditions of the Policy to which this clause is ;attached;
provided, however, that if there shall be any other insurance covering such
additional property this Policy shall not attach or provide coverage thereon
until liability of all such other insurance shall have first been exhausted and
shall then attach and cover only for its proportion of the excess of loss, if any,
over and above the amount due from such other insurance, whether valid or
invalid or by solvent or insolvent insurers.
(3) It is understood and agreed as respects earthquake shock at Policy annual
inception, automatic coverage applies for the peril of earthquake shock;for a
period of 30 days from date of contractual requirement by any. bond,
certificate of participation or any similar investment, for any new! locations
where there is such a contractual requirement to provide earthquake shock
coverage. Otherwise there is no Automatic Coverage for Earthquake Shock
for any other new locations.
II
W.C.I.A.-PEPIP 2000 Declaration Page 19
rnvPT I ICFR1wn[,c\Wnr.cI nnn\wr14
i
6), DEFINITIONS:
A) LOSS
Means the loss by any peril or combination of covered peril(s) arising out of a
single occurrence.' When the term applies to loss or losses from earthquake
shock, flood, and/or windstorm, the following provisions shall apply:
(1) WINDSTORM
Each loss by windstorm shall constitute a single claim hereunder;
provided, if more than one windstorm shall occur within any period of
seventy-two (72) hours during the term of this Policy, such windstorm
shall be deemed to be a single windstorm within the meaning thereof.
The Insured may elect the moment from which each of the aforesaid
periods of seventy-two (72) hours shall be deemed to have commenced
but no two such seventy-two (72) hour periods shall overlap. The
Insurer shall not be liable for any loss occurring before the effective date
and timeof the Policy. The Insurer will be liable for any losses;occurring
for a period of up to seventy-two (72) hours after the expiration of this
Policy provided that the first windstorm loss or damage within that
seventy-two (72) hours occurs prior to the date and time of expiration of
this Policy.
In the event of there being a difference of opinion between the Insured
and the Insurer as to whether or not all windstorm losses sustained by
the Insured during an elected period of seventy-two (72) hours arose out
of, or was caused by a single atmospheric disturbance, the stated
opinion of the United States Weather Bureau or comparable Authority in
any other country or locality shall govern as to whether or not a single
atmospheric disturbance continued throughout the period at the
location(S) involved. i
(2) FLOOD
Each loss by flood shall constitute a single loss hereunder.
(a) If any flood occurs within a period of the continued ,rising or
overflow of any river(s) or stream(s) and the subsidence of same
within the banks of such river(s) or stream(s); or
I �
(b) If any flood results from any tidal wave or series of tidal waves
caused by any one disturbance;
such flood shall be deemed to be a single occurrence within the
meaning, of this Policy.
W.C.IA.-PEPIP 2000 Declaration Page 20
Tnoor I icooIWnneummnewnnnonrrtn i
,
Should any time period referred to above extend beyond the expiration
date of'this Policy and commence prior to expiration, the Insurer shall
pay all such flood losses occurring during such period as if such period
fell entirely within the term of. this Policy.
The Insurer shall not be liable, however, for any loss caused by any
flood occurring before the effective date and time of this Policy or
commencing after the expiration date and time of this Policy.
Flood shall mean a general condition of partial or complete inundation
of normally dry land area from:
(a) overflow of inland or tidal water;
(b) unusual and rapid accumulation or run off of surface waters from
any source.
Flood shall also mean mudslide or mudflow, which is a river or flow
of liquid mud caused by flooding as defined in a. or b. above. '
The definition of flood does not include ensuing loss or damage
not otherwise excluded.
(3) EARTHQUAKE SHOCK
With respect to the peril of earthquake shock, any and all losses from
this cause within a one hundred sixty-eight (168) hour period shall be
deemed to be one loss. The Insured may elect the moment from which
' each of the aforesaid periods of one hundred sixty eight (168) hours
shall be deemed to have commenced but no two such one hundred sixty
eight (168) hour periods shall overlap.
The Insurer shall not be liable for any loss caused by an earthquake
shock occurring before the effective date and time of this Policy. The
Insurer will be liable for any losses occurring for a period of up to one
hundred sixty eight (168) hours after the expiration of this, Policy
provided that the first earthquake shock loss or damage within that one
hundred sixty eight (168) hours occurs prior to the date and time of the
expiration of this Policy.
In the event of there being a difference of opinion between the Insured
and the ,Insurer as to whether or not all earthquake shock losses
sustained by the Insured during an elected period of one hundred sixty
eight (168) hours arose out of, or were caused by a single earthquake
shock, the stated opinion of the National Earthquake Shock Information
Service of the United States Department of the Interior or comparable
- Authority:in any other country or locality shall govern as to whether or
not a single earthquake shock continued throughout the period' at the
locations involved.
W.C.I.A.-PEPIP 2000 Declaration Page 21
,
i
The term earthquake shock is defined as: earth movement meaning
natural faulting of land masses, but not including subsidence, landslide,
rock slide, earth rising, earth sinking, earth shifting or settling unless as a
direct result of such earth movement. The definition of earthquake
shock does not include ensuing loss or damage not otherwise excluded.
Further Earthquake Sprinkler Leakage is covered outside of the
"Earthquake Shock" definition and subject to the basic peril deductible.
(4) PERSONAL PROPERTY OF OTHERS:
li Any prop! erty (other than real property) belonging to others fors which an
Insured has assumed liability. This includes but is not limited to:
• Articles of Clothing
• Jewelry
• Sound Equipment
• Fine Arts (up to the sub-limit of unscheduled fine arts)
• EDP ,,Media & Hardware
• Valuable Papers
• Portable Electronic Equipment
• Employee Tools
(5) IMPROVEMENTS AND BETTERMENTS: •
Additions or changes made by an Insured/lessee at their own expense
to a building they are occupying that enhance the building's value.
•
•
W.C.I.A.-PEPIP 2000 Declaration Page 22
TDEF?TUSER\WDGS\WDGS\20001WCIA
� I
SECTION III
INTERRUPTION OF BUSINESS EARNINGS/EXTRA EXPENSE AND RENTAL INCOME
i'
Subject to the terms, conditions and exclusions stated elsewhere herein, this Policy
pr?vides coverage for:
1) i COVERAGE:
(A) BUSINESS INTERRUPTION
Against loss resulting directly from interruption of business, services or rental value
caused by direct physical loss or damage, as covered by this Policy to real and/or
personal property insured by this Policy, occurring during the term of this Policy.
I I
In the event of such loss or damage the Insurer shall be liable for the actual loss
sustained by the Insured for gross earnings as defined herein and rental value as
defined herein resulting from such interruption of business, services, :or rental
value; less all charges and expenses which do not necessarily continue' during
interruption of business for only such length of time as would be required with the
exercise of due diligence and dispatch to rebuild, repair or replace such part of the
property as has been damaged or destroyed, commencing with the date of such
damage or destruction and not limited by the date of expiration of this Policy. Due
consideration shall Ibe given to the continuation of normal charges and expenses
including payroll expenses to the extent necessary to resume operations of the
Insured with the same quality of service which existed immediately preceding the
loss.
(B) EXTRA EXPENSE I 1
This Policy is extended to cover the necessary extra expenses at any location as
hereinafter defined; incurred by the Insured in order to continue as nearly as
practicable the normal operation of the Insured's business following damage to or
III destruction of real or personal property which is on premises owned, leased or
occupied by the Insured. In the event of such damage or destruction, the Insurer
it shall be liable for such necessary extra expense incurred for only such length of
time as would be required with the exercise of due diligence and dispatch to
rebuild, repair or replace such part of the property as has been damaged or
destroyed commencing with the date of damage or destruction and not limited by
II thlle date of expiration of this Policy (hereinafter referred to as the period of
restoration).
1
I li i
W.C.I.A.-PEPIP 2000 Declaration Page 23
T\DEPT„USER\WDGS\WDGS\2000\WCIA i
With respect to Power Generating Facilities, Extra Expense shall also include any
extra expense incurred resulting from the purchase of electrical power from any
other power source subject to a $ —PER DECLARATION- Limit of Liability.
However, this Policy shall not cover loss of Bonus Capacity Payments,
performance Guarantee penalties or any other indirect or remote loss of whatever
nature. ,
2) EXTENSIONS OF COVERAGE:
A) INGRESS/EGRESS
This Policy is extended to insure the actual loss sustained during the period of time
not exceeding four consecutive weeks when, as a direct result of a covered perils)
by this Policy, ingress to or egress from property covered by this 'Policy is
prevented.
B) INTERRUPTION BY CIVIL AUTHORITY
This Policy is extended to include the actual loss sustained by the Insured, as
covered hereunderlduring the length of time not exceeding four consecutive weeks
when, as a direct result of damage to or destruction of property by the covered
peril(s), access to such described premises is specifically prohibited by order of
civil authority.
I
C) DEMOLITION,AND INCREASED TIME TO REBUILD
The Insurer shall, in the case of loss covered under this Policy, be liable also for
loss to the interest;covered by the Policy, occasioned by the enforcement,of any
local or state ordinance or law regulating the construction, repair or demolition of
buildings or structures and in force at the time such loss occurs, which
necessitates the demolition of any portion of the described building(s) not
damaged by the covered peril(s). The Insurer shall also be liable for loss due to
the additional period of time required for repair or reconstruction in conformity, with
the minimum standards of such ordinance or law of the building(s) described in this
Policy damaged by,a covered peril.
THE INSURER SHALL NOT BE LIABLE UNDER THIS CLAUSE FOR:
(1) More than the limit of liability as shown elsewhere in this Policy.
(2) Any greater proportion of any loss to the interest covered by this Policy
than the amount covered under this Policy on said interest bears to the
total insurance and coverage on said interest, whether all such
insurance contains this clause or not.
w.c.i'A.-PEPIP 2000 Declaration Page 24
llf]FPT I ISFR\WnrzS\WI7nS\2nnn\WCIA
D) NON PRODUCTIVE PROPERTY
If the Real and/or Personal Property sustaining loss or damage does not produce
an income the actual loss sustained shall be the continuing fixed charges and
expenses directly attributable to such non productive property.
E) CONTINGENT BUSINESS INTERRUPTION AND/OR EXTRA EXPENSE
AND/OR RENTAL VALUE
Subject to the terms, conditions and exclusions of this Policy to which this
111 extension is attached and to the following conditions, the business interruption,
extra expense, rental value coverage provided by this Policy is extended to cover
loss directly resulting from physical damage to property of the type not otherwise
excluded by this Policy at supplier or customer locations (whether such location is
owned by the Insured or not) that prevents a supplier of goods and/or services to
the Insured from supplying such goods and/or services, or that prevents a recipient
of goods and/or services from the Insured from accepting such goods, and/or
services.
F) EXTENDED PERIOD OF INDEMNITY EXTENSION
Subject to the terms, conditions and exclusions of the Policy to which; this
extension is attached, the business interruption and/or extra expense and/or rental
value coverage provided by this Policy is extended to provide coverage for the
additional length of time required to restore the business of the Insured to the
condition that would have existed had no loss occurred commencing on either;
(1) the date on which the Insurer's liability would otherwise terminate or;
(2) the date on which rebuilding, repairing or replacement of such property as
has been lost, damaged or destroyed is actually completed, whichever is
later.
The Insurer's liability under this extension shall terminate no later than twelve (12)
months from the commencement date set forth above.
j
i
W.C.I.A.-PEPIP 2000 Declaration Page 25
71DEPT USER\WOGS\WDGS\2000\WCIA
I i I
3) EXCLUSIONS:
SPECIAL EXCLUSIONS
1) The Insurer 'shall not be liable for any increase of loss which1 may be
occasioned by the suspension, lapse, or cancellation of any lease or license,
contract or Order, unless such suspension, lapse, or cancellation, results
directly from the interruption of business and, then this Insurer shall only be
liable for such loss as affects the Insured Insured's earnings during and
limited to, the'period of indemnity covered under this Policy.
2) Media for electronic data processing: applicable only to the loss of earnings
resulting from damage to or destruction of media for, or programming records
pertaining to, electronic data processing or electronically controlled
equipment, including data thereon by the covered peril(s). The length,of time
for which the Insurer shall be liable hereunder shall not exceed:
a) Thirty (30) consecutive calendar days; or
b) The length of time that would be required to rebuild, repair Or replace
such property herein described as has been damaged or destroyed
(other than media for, or programming records pertaining to, electronic
data processing or electronically controlled equipment, including data
thereon);1
whichever is the greater length of time.
4) LOSS PAYMENT VALUATION:
A) EXPENSES TO REDUCE LOSS:
This Policy also covers such expenses as are necessarily incurred for the purpose
of reducing loss under this section (except incurred to extinguish a fire); but in no
event to exceed the amount by which loss is thereby reduced.
I �
P
W.C.I!A.-PEPIP 2000 Declaration Page 26
I i I
5), CONDITIONS APPLICABLE TO BUSINESS INTERRUPTION/EXTRA EXPENSE
AND RENTAL VALUE
I I
If the Insured could reduce the loss resulting from the interruption of business:
(1) by complete or partial resumption of operation of the property whether or not
such property, be lost or damaged, or;
(2) by making use of merchandise or other property at the Insureds location or
elsewhere;
such reduction shall be taken into account in arriving at the amount of the loss
hereunder.
6)1 DEFINITIONS:
A) GROSS EARNINGS
"Gross Earnings" is defined as the sum of:
(1) total net sales and;
1
(2) other earnings derived from the operation of the business
less the cost of;
(3) merchandise sold including packaging materials and;
(4) materials and supplies consumed directly in supplying the service(s)
sold by the Insured, and;
(5) service(S) purchased from outside (not employees of the Insured) for
resale that does not continue under contract.
No other cost shall be deducted in determining gross earnings.
In determining gross earnings, due consideration shall be given1 to the
experience of the business before the date of loss or damage and the
probable experience thereafter, had no loss occurred.
I I
W.C;I.A.-PEPIP 2000 Declaration Page 27
B) MERCHANDISE
I
Shall be understood to mean, goods kept for sale by the Insured which are not the
products of manufacturing operations conducted by the Insured.
C) EXTRA EXPENSE
The term "extra expense", whenever used in this Policy, is defined as the excess
(if any) of the total cost incurred during the period of restoration chargeable to the
operation of the Insured's business over and above the total cost that would
normally have been incurred to conduct the business during the same period had
no damage or destruction occurred. Any salvage value of property obtained for
temporary use during the period of restoration, which remains after the re'sum'ption
of normal operations, shall be taken into consideration in the adjustment, of any
loss hereunder.
D) RENTAL VALUE
The term "rental value" is defined as the sum of:
(1) the total' anticipated gross rental income from tenant occupancy as
furnished and equipped by the Insured, and;
(2) the amount of all charges which are the legal obligation of the tenant(s)
and which would otherwise be obligations of the Insured, and;
(3) the fair rental value of any portion of said property which is occupied by
the Insured, and;
(4) any amount in excess of (1), (2) and (3) (above) which is an obligation
due under the terms and conditions of any revenue bond, certificate of
participation or other financial instrument.
In determining rental value, due consideration shall be given to the
experience before the date of loss or damage and the probable experience
thereafter had no loss occurred.
(E) PERIOD OF RESTORATION
The period during which business interruption and or rental interruption applies
will begin on the date direct physical loss occurs and interrupts normal business
operations and ends on the date that the damaged property should have been
repaired, rebuilt or replaced with due diligence and dispatch (i.e. "normallspeed).
Pane 28 W.C.IA.-PEPIP 2000 Declaration
I '
SECTION IV
GENERAL CONDITIONS
1); PERILS COVERED
Subject to the terms, conditions and exclusions stated elsewhere herein, this
Policy provides insurance against all risk of direct physical loss or damage
occurring during the period of this Policy.
2) PERILS EXCLUDED
This Policy does not insure against any of the following:
A) Loss or damage caused by or resulting from moths, vermin, termites, or other
insects, inherent vice, latent defect, faulty workmanship, wear, tear or gradual
deterioration,'contamination, rust, wet or dry rot, mold, unless caused by a
peril not otherwise excluded, or loss or damage by normal settling, shrinkage
or expansion in building or foundation.
B) Delay or loss of markets (this exclusion shall be inapplicable to the extent
inconsistent with any time element coverage provided elsewhere herein).
C) Breakdown or derangement of machinery and/or steam boiler explosion,
unless loss not otherwise excluded herein ensues and then only for such
ensuing loss., (This exclusion applicable only to boilers owned or controlled
by Insured.) This exclusion does not apply to data processing equipment or
media.
D) Loss or damage caused by or resulting from misappropriation, conversion,
inventory shortage, unexplained disappearance, infidelity or any dishonest act
on the part of the Insured, it's employees or agents or others to whom the
property may be entrusted (bailees and carriers for hire excepted) or other
party of interest.
E) Loss or damage caused by or resulting from electrical injury or disturbance
from artificial causes to electrical appliances, devices of any kind or wiring,
unless loss not otherwise excluded herein ensues and then only for such
ensuing loss. This exclusion does not apply to data processing equipment or
media.
1
F) Loss or damage to personal property resulting from shrinkage, evaporation,
loss of weight, leakage, breakage of fragile articles, marring, scratching,
exposure to light or change in color, texture or flavor, unless such'loss is
caused directly by fire or the combating thereof, lightning, windstorm,, hail,
' explosion, strike, riot, or civil commotion, aircraft, vehicles, breakage of pipes
or apparatus,i sprinkler leakage, vandalism and malicious mischief, theft,
attempted theft, flood or earthquake shock (earthquake shock shall apply only
to locations that are scheduled for earthquake shock. This applies only to
California.).
G) Loss or shortage disclosed upon taking inventory or mysterious
disappearance of property (except property in the custody of carriers or
bailees for hire).
I-I) Loss or damage caused by rain, sleet or snow to personal property in the
open (except in the custody of carriers or bailees for hire).
I) Loss caused directly or indirectly, by:
(1) hostile or warlike action in time of peace or war, including action in
hindering, combating or defending against an actual, impending or
expected'attack
(a) by any government or sovereign power (de jure or de facto), or by
any Authority maintaining or using military, naval or air forces; or
{
(b) by military, naval or air forces; or
I
(c) by an agent of any such government, power, authority or forces;
(2) any weapon of war employing atomic fission or radioactive force' whether
in time o(peace or war;
(3) insurrection, rebellion, revolution, civil war, usurped power, or action
taken by lgovernmental Authority or hindering, combating or defending
against such an occurrence, seizure or destruction under quarantine or
customs regulations, confiscation by order of any government or public
authority,;or risks of contraband or illegal transportation or trade.
J), Loss by nuclear reaction or nuclear radiation or radioactive contamination, all
whether controlled or uncontrolled, and whether such loss be direct or
indirect, proximate or remote, or be in whole or in part caused by, contributed
to, or aggravated by the covered peril(s) in this Policy; however, subject to the
foregoing and ,all provisions of this Policy, direct loss by fire resulting from
nuclear reaction or nuclear radiation or radioactive contamination is insured
by this Policy.
ill I I '
' I
3)i TERRITORIAL LIMITS
This Policy insures property within the United States. Personal property while in
transit therein is extended to worldwide coverage.
4) REINSTATEMENT
Any reduction in the amount insured hereunder due to payment of any loss or
losses shall be automatically reinstated for the balance of the term of this contract
except as respects,to those perils that are subject to annual aggregate limlitation.
5) F.O.B. SHIPMENTS
I
This Insurer shall be liable for the interest of the Insured at sole option of the
Insured, the interest of the consignee in merchandise which has been sold by the
Insured under terms of F.O.B. point of origin or other terms usually regarded as
terminating shipper's' responsibility short of point of delivery.
6) PROTECTION AND PRESERVATION OF PROPERTY I
In case of actual or imminent physical loss or damage of the type insured against
by this Policy, the expenses incurred by the Insured in taking reasonable and
necessary actions', for the temporary protection and preservation of property
insured hereunder ;shall be added to the total physical loss or damage otherwise
• y''' recoverable under the Policy and be subject to the applicable deductible, and
without increase in the limit provisions contained in this Policy.
7) BREACH OF CONDITIONS
If any breach of a clause, condition or warranty of this Insurer contract or Policy
shall occur prior to a loss affected thereby under this Policy, such breach shall not
void the Policy nor avail the Insurer to avoid liability breach shall exist at the 'time of
such loss under this contract or Policy, and be a contributing factor to the loss for
u which claim is presented hereunder, it being understood that such breach of
clause or condition is applicable only to the property affected thereby.
Notwithstanding the foregoing, if the Insured establishes that the breach,;whether
contributory or not,; occurred without its knowledge or permission or beyond its
control, such breach shall not prevent the Insured from recovering under' this
Policy.
w r I IG_PFPIP 7nnn narlaratinn Pane 31
,
Ili II
ill
8)', PERMITS AND PRIVILEGES
4 I
Anything in the printed conditions of this Policy to the contrary notwithstanding,
permission is hereby granted:
jl A) to maintain present and increased hazards; ,
B) to make additions, alterations, extensions, improvements and repairs, to
delete, demolish, construct and reconstruct, and also to include all 'materials,
equipment and supplies incidental to the foregoing operations of the property
covered hereunder, while in, on and/or about the premises or adjacent
thereto;
C) for such use of the premises as usual and/or incidental to the business as
conducted therein and to keep and use all articles and materials usual and/or
1 incidental to said business in such quantities as the exigencies i of the
' business require;
D) to be or become vacant or unoccupied without limit of time.
Nor shall this'Policy be prejudiced by:
E) error in stating the name, number, street, or location of any building(s) and
contents covered hereunder, or any error or omission involving the name or
title of the Insured;
F) any act or neglect of the owner of the building, if the Insured hereunder;is not
l the owner, or of any occupant of the within described premises other than the
Insured, when such act or neglect is not within the control of the 'Insured,
named herein; or
G) by failure of ;the Insured to comply with any of the warranties or conditions
endorsed hereon in any portion of the premises over which the Insured has
no control.
9 PROTECTIVE SAIEGUARDS
The Insured shall ;exercise due diligence in maintaining in complete working order
all protective safeguard equipment and services.
it
CAI r I A OCI310 onnn ne..in.mnn., Pans fl2
I I I
10) NOTICE OF LOSS
In the event of loss or damage insured against under this Policy, the Insured shall
give immediate notice thereof to ROBERT F. DRIVER ASSOCIATES, P.O. Box
6450, Newport Beach, CA 92658-6450 (949) 756-0271, FAX (949) 756-27'13 of
such loss.
The loss shall inj turn be reported to Maxson Young Associates, Inc.,, One
Sansome Street, Suite 950, San Francisco, California 94104 who is hereby
authorized to represent the Insurer in the investigation and adjustment of any loss
or damage under this Policy at the expense of the Insurer and without regard to
the amount of loss or damage and/or applicable deductible if any.
All losses incurred by San Diego Pooled Insurance Program Authority
(SANDPIPA) and its members, as well as the San Diego Unified Port District; shall
be reported to Walsh Adjusting Company, 3547 Camino Del Rio South, Suite D,
it San Diego, CA 92108 who is hereby authorized to represent the Insurer in the
investigation and adjustment of any loss or damage under this Policy at the
expense of the Insurer and without regard to the amount of loss or damage and/or
applicable deductible, if any.
All losses incurred by LAC-CAL shall be reported to McLarens Toplis, 5670
Wilshire Blvd. 20th Floor, Los Angeles, CA 90036 who is hereby authorized to
represent the Insbrer in the investigation and adjustment of any loss or damage
under this Policy at the expense of the Insurer and without regard to the amount of
loss or damage and/or applicable deductible, if any.
For Washington 1Cities Insurance Authority and Washington Schools Risk
Management Pool, in the event of loss or damage that falls within the reporting
requirements, the,' Insured will give immediate notice to the Insurer. IFor;those
losses reported to the Insurer, the Insured agrees to use Crawford-THG
International Loss Adjusters, 19109 — 36th West, Suite 105, Lynnwood,
Washington 980316, for the investigation and adjustment of the loss. The Insured
will retain responsibility for the direction of the investigation and the overall
El adjustment of the loss.
However, Insurers'. reserve the right to utilize other adjusting firms if and when they
feel it necessary.
1 i) PROTECTION OF PROPERTY
it •
The Insured shall ,protect the property from further damage forthwith, separate the
damaged and undamaged personal property stored in the best possible, order and
furnish a complete inventory of the destroyed, damaged and undamaged property.
1 The expense for same are covered expenses under this Policy.
W.C.IA.-PEPIP 2000 Declaration Page 33
12) ARBITRATION OF VALUE
In case the Insured and the Insurer shall fail to agree as to the amount of loss,
then, on the written demand of either, each shall select a competent, and
disinterested appraiser and notify the other of the appraisers selected,. The
appraiser shall first select a competent and disinterested umpire, and 'failing to
agree upon such umpire, then, on request of the Insured or the Insurer such
umpire shall be selected by judge of a court of record in the state in which the
property covered is located.
The appraisers shall as soon as practicable, appraise the loss stating separately
the loss of each item and failing to agree, shall submit their differences only to the
umpire. An award,in writing so itemized, of any two appraisers when filed with the
Insurer shall determine the amount of loss. The party selecting him shall pay'each
appraiser and the expenses of appraisal and umpire shall be paid by the, parties
equally.
13,) PROOF OF LOSS;
The Insured shall render a signed and sworn proof of loss as soon as practical
after the occurrence of a loss, stating the time, place and cause of loss, the
interest of the Insured and of all others in the property, the value thereof land the
amount of loss or damage thereto.
14) SUBROGATION
In the event of any loss payment under this Policy, the Insurer, shall be subrogated
to all the Insured's rights of recovery thereof against any person or organization
and the Insured shall execute and deliver instruments and papers and do whatever
else is necessary to secure such rights
As respects subrogation it is agreed that, after expenses incurred in subrogation
are deducted, the!Insured and the Insurer shall share proportionately to.the'extent
of their respective interests as determined by the amount of their net loss. Any
,amount thus found to be due to either party from the other shall be paid promptly.
This Policy shall not be prejudiced by agreement made by the Insured releasing or
waiving the Insured's right to recovery against third parties responsible for the loss,
!under the following circumstances only:
1(1) If made before the loss has occurred, such agreement may run in favor'of any
third party;
1(2) If made after loss has occurred, such agreement may run only in favor of a
third party falling within one of the following categories at the time of loss:
Pant.. gd
(a) a third party covered under this Policy; or
(b) a corporation, firm, or entity
(1) owned or controlled by the Insured or in which the Insured owns
capital stock or other proprietary interest, or
(2) owning or controlling the Insured or owning or controlling •apital
stock or other proprietary interest in the Insured
(3) whether made before or after loss had occurred, such agre-ment
must release or waive the entire Right of Recovery of the named
Insured against such Third party or
(4) a Tenant of the Named Insured.
1 ) ANCELLATION
his Policy may be canceled by the Insured at any time by written noti e or
,I %urrender of this Policy. This Policy may also be canceled by or on behalf •f the
Insurer by delivering to the Insured or by mailing to the Insured, by regis ered,
(ertified or other first class mail at the Insured's address as shown in this 'olicy,
ritten notice, not less than ninety (90) days prior to the effective d.te of
t ancellation. The mailing of such notice as aforesaid shall be sufficient prof and
this Policy and shall terminate at the date and hour specified in such notice.
otwithstanding what has been stated above, however, should this Poli y be
anceled for non-payment of assessment, the Insurer shall only be required t give
;h (he Insured ten (10) days notice.
I is further agreed that this Insurer will abide by all the laws regulating thel non-
enewal or cancellation of Insured instituted by the State Department of Incur nce,
egardless of whether or not the Insurer is an admitted carrier in the State aving
j risdiction over the named insured.
I this insurance in, total shall be cancelled by the Insured, the Insurer shall etain
t e customary short rate proportion of the premium hereon. If the Insured elects to
lance! coverage mid-term, then such cancellation shall be handled on a prb-rats
oasis without short'rate penalty.
I the event of cancellation the aggregate retention and specific limit amoun I shall
ee applied pro rata'with the balance, if any, to be paid to the Insured.
"ayment or tender of any unearned premium by the Insurer shall not be cordition
i�recedent to the effectiveness of cancellation but such payment shall be made
•rthwith.
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1nt r I a_•DDID onnn
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ancellation shall not effect coverage on any shipment in transit or d to of
ancellation. Coverage will continue in full force until such property is safely
,.elivered and accepted at place of final destination.
16) BANDONMENT
here shall be no abandonment to the Insurer of any property.
17) £SSIGNMENT
ssignment or transfer of this Policy shall not be valid except with the ritten
onsent of the Insurer.
18) .ALVAGE
hen, in connection with any loss hereunder, any salvage is received 'p for or
.ubsequent to the, payment of such loss, the loss shall be figured on the ba.is on
hich it would have been settled had the amount of salvage been known :t the
ime the loss was originally determined.
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19) •THER INSURANCE
'ermission is hereby granted to the Insured to carry more specific insuran e on
:ny property covered under this Policy. This Policy shall not attach or ibecome
nsurance upon any property which at the time of loss is more spec fically
•escribed and covered under any other policy form until the liability of such other
nsurance has first been exhausted and shall then.cover only the excess Hof value
•f such property over and above the amount payable under such other insurance,
hether collectible or not. This Policy, subject to its conditions and lirriit tions,
.hall attach and become insurance upon such property as respects any peril not
overed by such other insurance and not otherwise excluded herein.
n the event of a loss that is covered by other insurance, wherein this Policy is
-xcess of any amount paid by such other insurer shall be applied to the ded� ctible
:mount stated elsewhere. Should the amount paid by such other iris rance
-xceed these deductibles, no further deductibles shall be applied under this "olicy.
i Ali
W c I A PFPIP'nnn Ilerinratinn Pace 36
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20) XCESS INSURANCE
rermission is granted the Insured to maintain excess insurance over the li it of
liability set forth in this Policy without prejudice to this Policy and the exist ce of
.uch insurance, if any, shall not reduce any liability under this Policy. Also it is
nderstood and agreed as respects earthquake shock or flood, that in the ev nt of
1! eduction or exhaustion of the aggregate limits of liability under the unde lying
!I "olicy(s) by reason of loss(es) thereunder, this Policy shall:
(a) in the event of reduction, pay out excess of the reduced underly'n limit
and
(b) in the event of exhaustion, continue in force as the underlying Polic .
21) -IGHT TO REVIEW RECORDS FOLLOWING AN INSURED LOSS
li
he Insured as often as may be reasonably required, shall submit and'so ar as
ithin their power, cause all other persons interested in the property or empl yees
o submit to examination under oath by any person named by the Insurer'r lative
o any and all matters in connection with a claim, and produce for examinati n all
,00ks of account,: bills, invoices and other vouchers or certified copies.the eof if
originals be lost, at such reasonable time and place as may be designated •y the
nsurer or their representatives and shall permit extracts and copies thereof to be
ade.
22) ONCEALMENT AND FRAUD
I
his entire Policy shall be void, if whether before or after a loss, the Insure• has
illfully concealed or misrepresented any material facts or circums ance
oncerning this Policy of the subject thereof, or the interest of the Insured th-rein,
' or in case of any fraud or false swearing by the Insured relating thereto.
231) IBERALIZATION
f during the period that coverage is in force under this Policy, or within fo y-five
45) days prior to the inception date thereof, on behalf of this Insurer there be
dopted, or filed with and approved or accepted insurance authorities, all in
!Ir onformity with law, any changes in the form attached to this Policy by which this
orm of Policy could be extended or broadened without increased asses..ment
if harge by endorsement or substitution of form, then such extended broadened
"olicy shall inure to the benefit of the Insured hereunder as though such
-ndorsement or substitution of form had been made.
t is hereby agreed that the terms and conditions of this form are substitiut-d for
'I hose of the Policy to which it is attached, the provision of the latter being,wai ed.
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w.c.I.A.--EPIP 2000 Declaration Page 37
24,) OSS PAYABLE CLAUSE
I the event of a loss occurring under this Policy, the loss'payment will be maide in
:vor of the Insured(s) submitting the claim alone, and not to the program na e.
25) ' ULL WAIVER
he terms and conditions of this form and endorsements attached thereto are
•.ubstitute for those of the Policy to which it is attached, all terms, conditions,a d
endorsements of latter being waived.
26) "EPORT OF VALUES/PREMIUM
'remium shall be computed by applying the agreed rate against values
ommensurate with the valuation clause. Values declared to the Insurer are r
•remium purposes only and shall not limit the recovery under any area of
overage afforded by this Policy.
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w.c.I.A.--EPIP 2000 Declaration Page 38
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SECTION V
DATA PROCESSING MEDIA
This -olicy is extended to provide coverage for loss or damage to data proc-ssing
media:
1) OVERAGE:
I • ) PROPERTY COVERED
Active data processing media, being property of the Insured or prop-rty of
others for which the Insured may be liable.
:) PERILS COVERED
This extension insures against all risks of direct physical loss or damage to
the property covered except as hereinafter provided.'
2) XTENSIONS OF COVERAGE:
oss as a result of a computer virus subject to a $5,000,000 any one occu rence
:nd in the annual aggregate sub limit of liability.
3) XCLUSIONS:
• ) PROPERTY EXCLUDED
This extension does not insure accounts, bills, evidences of debt, va uable
papers, records, abstracts, deeds, manuscripts or other documents exc-pt as
they may be converted to data processing media form, and then onlY i that
form, or any data processing media which cannot be replaced with iot er of
like kind and quality.
:) PERILS EXCLUDED
This extension does not insure against loss, damage or expense resulting
from or caused directly or indirectly by any of the following:
(1) Data processing media failure or breakdown or malfunction of Ih data
processing system including equipment and component parts whil said
media is being run through the system.
1A/(`I A _-CDID onnn Pane 1Q
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(2) Dryness or dampness of atmosphere, extremes of temPer:ture,
corrosion, or rust unless directly resulting from physical damage o the
data processing system's air conditioning facilities caused by a pe it not
excluded by the provisions of this Policy.
(3) Delay, loss of market, loss of use or interruption of business, except as
provided for elsewhere in this Policy.
(4) Inherent vice, wear, tear, gradual deterioration or depreciation.
(5) Any dishonest, fraudulent or criminal act by the Insured, a p rtner
therein or an officer, director or trustee thereof, whether acting al ne or
in collusion with others.
f
(6) War risks or nuclear risks as excluded in the Policy to which this
extension is attached.
Exclusions 1, 2, and 4 above do not apply to ensuing loss or damage
unless another exclusion applies.
4);j OSS PAYMENT BASISNALUATION:
he limit of this Insurer's liability for loss or damage shall pot exceed:
A ) The amount per article specified at the time of loss, said amount bei g the
agreed value.thereof for the purpose of this Policy.
:) As respects all other property, the full reproduction cost of the prope y as
detailed elsewhere in this Policy; if not replaced or reproduced, blank v.lue of
media; all subject to the applicable limit of liability 'stated in the sched le of
values.
5). .PECIAL CONDITIONS:
one
6)� 'EFINITIONS:
) ACTIVE DATA PROCESSING MEDIA:
Wherever used in this contract, shall mean all forms'of converted data' and/or
program and/or instruction vehicles employed in the Insured's data
processing operation.
W.CIA_-"EPIP 2000 f]arlaratinn PanA an
:) COMPUTER VIRUS:
A computer program whose sole design and intent is to disrupt, destroy or
otherwise cause physical damage to other valid and useful computer
software.
W C.I.A.PEPIP 2000 Declaration Pacie 41
I{ 1
SECTION VI
FINE ARTS FLOATER
1) C Ia VERAGE:
'i T e provisions and stipulations of this Section shall apply only to the property overed
h:reunder and none of the provisions and stipulations of this Policy, includ ng any
of er endorsement made a part thereof, except the cancellation provision, s,h_II apply
to this Section VI.
If any of the property covered by this Section is also covered under an, other
p 'visions of the Policy of which this Section is made a part, those provisions are
h:reby amended to exclude such property, the intent being that the coveragr under
I' th s Section is the sole coverage on such property.
itT is Section is extended to cover fine arts, which are the property of the Insure. or the
p •perty of others in the custody or control of the Insured while on exhi•ition or
of erwise within the limits of the Continental United States '.
� I
A PROPERTY COVERED
(1) Objects of art of every kind and description, the property of the In ured,
the property of others and property in which the Insured shall ave a
fractional ownership interest which are owned by or have been I-ased,
loaned, rented or otherwise made available to the Insured. "Propeirt " shall
mean paintings, drawings, etchings, prints, rare ADooks, manuscripts, rugs,
tapestries, furniture, statuary and all other bonafide works of art and other
objects of rarity, historic value, cultural interest or artistic merit, which are
part of the collections of the Insured, or in the care, custody or control of
the Insured, and their frames, glazing and shadow boxes.
(2) Objects of art, and property incidental thereto, the property of they I sured,
or of others for which the Insured may be liable 'and while such pro erty is
on or away from the Insured's premises in accordance with the terms and
conditions of this Policy.
W.C.I.A.-P:PIP 2000 Declaration Page 42
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B) THIS FLOATER INSURES AGAINST
All risks of loss of or damage to the above described property except as
hereinafter provided.
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' C) "WALL TO WALL" ("NAIL TO NAIL") COVERAGE
This Section covers the Insured's property on a "Wall to Wall" ("Nail tQ Nail")
basis, or domicile to domicile basis, as applicable, from the time said pro erty is
removed from its normal repository incidental to shipment until returned thereto
or other point designated by the owner or owner's agent prior to return sh pment,
including while in transit to or from points of consolidation or deconsol dation,
packing, repacking or unpacking, while at such locations during such pr cesses
or awaiting shipment.
Coverage shall terminate upon arrival of the covered property at the final
destination designated by the owner or owner's agent, or upon expiration of this
Policy, whichever may occur first, except that expiration of this Policy, siall not
prejudice coverage of any risk then in transit.
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2) E TENSIONS OF COVERAGE: I
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',u None
3) E CLUSIONS:
A Loss or damage occasioned by: wear and tear, gradual deterioration, f nsects,
vermin, inherent vice or damage sustained due to and resulting fr m any
repairing, restoration or retouching process;
B Loss or damage caused by or resulting from:
(1) Hostile or warlike action in time of peace or war, including a tion in
hindering, combating or defending against an actual, impending or e pected
attack;
(a) by any government or sovereign power (delure or de facto), or by any
authority maintaining or using military, naval, or air forces; or
(b) by military, naval or air forces; or I
(c) by an agent of any such government, power, authority or forces;
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W.C.I.A.-PE-IP 2000 Declaration Page 43
T\DEPT USE''\W DGS\W DGS\2000\WCIA
(2) Any weapon of war employing atomic fission or radioactive force wh ther in
time of peace or war;
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(3) Insurrection, rebellion, revolution, civil war, usurped power, or actin taken
by governmental authority in hindering, combating or defending gainst
such an occurrence, seizure or destruction under quarantine or'i customs
regulations, confiscation by order of any government or public auth rity, or
risks of contraband or illegal transportation or trade.
C) Loss by nuclear reaction or nuclear radiation or radioactive contaminat on, all
whether controlled or uncontrolled and whether such; loss be direct or, indirect,
proximate or remote, or be in whole or in part caused by, contributed to, or
; aggravated by the covered perils covered against in this endorsement; h wever,
subject to the foregoing and all provisions of this endorsement, direct loss by fire
resulting from nuclear reaction or nuclear radiation or radioactive conta ination
is covered against by this endorsement.
D) Any dishonest, fraudulent or criminal act by the Insured, a partner th,ereih or an
officer, director or trustee thereof, whether acting alone or in collusidn with
others.
4) L•SS PAYMENT BASIS/VALUATION:
VALUATION
The valuation 'of each article of property covered by this Section s all be
determined as follows:
(1) Property of the Insured shall be covered for and valued at the curr nt fair
market value of each article indicated on the books and records of the
Insured prior to loss, according to the Insured's valuation of each object
covered.
(2) Property of others loaned to the Insured and for which the Insured may be
legally liable, or which the Insured has been instructed to insure, hall be
covered for and valued at the amount agreed upon for each article by the
Insured and owner(s) as recorded on the books and records of the nsured
prior to loss.
I �
(3) Otherwise; in the absence of recorded current fair market values or agreed
values for each article covered, the Insurer shall not be liable beyond the fair
market value of the property at the time any loss or damage occur . Said
value shall be ascertained by the Insured and the Insurer or, if the. differ,
then the amount of value or loss shall be determined as provide• in the
following appraisal clause:
W.C.I.A.-PE•'IP 2000 Declaration Page 44
TIDEPT'USER WDGSIWDGS120001WCIA I
5) I S'ECIAL CONDITIONS:
(1) Misrepresentation and Fraud: This entire Section shall be void if, whether before
1. or after a loss, the Insured has concealed or misrepresented any material fact or
circumstance concerning this Policy or the subject thereof, or the interest of the
Insured therein, or in case of any fraud or false swearing by the Insured r-lating
thereto.
(2 Notice of Loss:. The Insured shall as soon as practicable report in writing to the
Insurer or its agent every loss, damage or occurrence which may give ri•e to a
claim under this Section and shall also file with the Insurer or its agent within
ninety (90) days from the date of discovery of such loss, damage or occu rence,
a detailed sworn proof of loss.
(3 Examination under Oath: The Insured, as often as may be reasonably 're•uired,
shall exhibit to any person designated by the Insurer all that remains of any
property herein described, and shall submit, and insofar as is within its power
cause its employees, Insured and others to submit to examination under oath by
any person named by the Insurer and subscribe the same; and, as often .:s may
be reasonably required, shall produce for examination all writings, books of
account, bills, invoices and other vouchers, or certified copies thereof if olginals
be lost, at such reasonable time and place as may be designated by th,e Insurer
or its representative and shall permit extracts and copies thereof to be made. No
such examination under oath or examination of books or documents, nor ny act
of the Insured or any of its employees or representatives in connection any
the
investigation of any loss or claim hereunder, shall be deemed a waiver of any
defense which the Insured might otherwise have with respect to any oss or
claim, but all such examinations and acts shall be deelmed to have been ade or
done without prejudice to the Insurer's liability.
(4 Settlement of Loss: All adjusted claims shall be paid or made good to the
Insured within sixty (60) days after presentation and acceptance of satisfactory
proof of interest and loss at the office of the Insurer. No loss shall be •aid or
made good if the Insured has collected the same fromlothers.
(5 No Benefit to Bailee: This Section shall in no way inure directly or indir-ctly to
the benefit of any carrier or other bailee.
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W.C.I.A.-PE'•IP 2000 Declaration Page 45
TDEPT,USE•WDGS\WDGS12000\WCIA
1
(61 Subrogation or Loan: If in the event of loss or damage the Insured shall cquire
any right of action against any individual, firm or corporation for loss of, or
damage to, property covered hereunder, the Insured will, if requested by the
,s Insurer, assign and transfer such claim or right of action to the Insurer or, at the
Insurer's option, execute and deliver to the Insurer the customary form of loan
i° receipt upon receiving an advance of funds in respectlof the loss or dama e; and
will subrogate the Insurer to, or will hold in trust for the Insurer, all such r ghts of
action to the extent of the amount paid or advanced, and will permit su t to be
brought in the Insured's name under the direction ofland at the expens of the
Insurer.
!
(7) Loss Clause: Any loss hereunder shall not reduce the amount of this Section,
except in the event of payment of claim for total loss of an item spelcifically
scheduled hereon. If no claim is paid for total loss of one or more scheduled
.' items, the unearned premium applicable to such items will be refundle to the
Insured or applied to the premium due on item(s) replacing those on w ich the
claim was paid.
(81 Protection and Preservation of Property: In case of actual or imminent physical
loss or damage of the type insured against by this Policy, the expense ihcurred
by the Insured in taking reasonable and necessary, actions for the temporary
'`' protection and preservation of property insured hereunder shall be added to the
total physical lbss or damage otherwise recoverable under the Policy nd be
subject to the applicable deductible and without increase in the limit pr 4visions
contained in this Policy. j
(91 Suits: No suit, action or proceeding for the recovery of any claim under this
Section shall be sustainable in any court of law or equity unless thee seme be
commenced within twelve (12) months next after discovery by the Insure of the
occurrence which gives rise to the claim, provided however, that if by the laws of
the state within which this Section is issued, such limitation is invalid, t en any
it such claims shall be void unless such action, suit or proceeding be com enced
:, within the shortest limit of time permitted by the laws of such state.
1
(1 I) Appraisal: If the Insured and the Insurer fail to agree as to the amount of loss,
each shall on the written demand of other, made within sixty (60) da s after
receipt of proof of loss by the Insurer, select a competent and disinterested
appraiser, and the appraisal shall be made at a reasonable time and pla e. The
appraisers shall first select a competent and disinterested umpire, and filing for
fifteen (15) days to agree upon such umpire, then on the request of the Insured
! or the Insurer, such umpire shall be selected by a judge of a court of redo d in the
state in which such appraisal is pending. The appraisers shall then appr ise the
loss, stating separately the actual cash value at the time of loss and the amount
of loss, and failing to agree shall submit their differences to the umpire. An
award in writing of any two shall determine the amount of loss. The Insu ed and
the Insurer shall each pay their chosen appraiser and shall bear equally the other
expenses of the appraisal and umpire. The Insured shall not be held to have
waived any of its rights by any act relating to appraisal. 1
III
W.C.I.A.-PE-IP 2000 Declaration Page 46
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(1 ) Civil Authority: Property covered under this Section ;against the peril ;of fire is
also covered against the risk of damage or destruction! by Civil authority during a
conflagration and for the purpose of retarding the same; provided that peither
such conflagration nor such damage or destruction is caused or contribute to by
a peril otherwise excluded herein.
(1 :) Conformity to Statute: Terms of this Section that are in conflict with the s atutes
of the state wherein this Section is issued are hereby amended to con rm to
such statutes. I
(1 ;) Changes: Notice to any agent or knowledge possessed by any agent or y any
other person shall not effect a waiver or a change in any part of this Se tion or
stop the Insured from asserting any right under the ;terms of this Secti n, nor
shall the terms, of this Section be waived or changed except by endor ement
issued to form a part of this Section.
(1 ,1 Additional Covered Party(ies): The owner and owners defined as assoc ations,
corporations, firms, institutions, museums, persons and others who wn or
li control collections, objects or articles who make them available to they Insured,
and temporary borrowers or custodians (but not carriers, packers or ship ers) of
property covered, are additional Insured(s) hereunder, but only as 1 r spects
coverage afforded said Insured's property.
(1 Packing: It is agreed by the Insured that the property covered hereunder be
packed and unpacked by competent packers.
(1 ;•) Other Insurance: This fine arts floater Section is excess coverage over any other
valid and collectible insurance which may apply to any objects of art fo- which
coverage would apply under this Policy.
(1 ') Pair And Set: In the event of the total loss of any article or articles whicl are a
part of a set, the Insurer agrees to pay the Insured the full amount of the value of
such set and the Insured agrees to surrender the remaining article or a 'ides of
the set to the Insurer.
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W.C.I.Q.-PE•IP 2000 Declaration Page 47
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6) DE INITIONS: I
Fin- Arts includes but is not limited to:
Pa ntings, rare books, manuscripts, pictures, prints, etchings, drawings, tapestries,
br.nzes, statuary potteries, porcelains, marbles and other bonafide works jof art or
ite s of rarity or historical value of the Insured or in their care, custody or ontrol.
1
W.C.I.A.-PE-IP 2000 Declaration Page 48
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SECTION VII
EXTRA EXPENSE
ELECTRONIC DATA PROCESSING •
1) "OVERAGE:
Ti is Policy insures against the necessary extra expense as hereinafter defined,
i curred by the Insured in order to continue, as nearly as practicable the normal
operation of its business, immediately following damage'to or destruction or the
d:ta processing system including equipment and component parts thereof and
d:ta processing media therefor, owned, leased, rented or under the control of the
I sured, as a direct result of all risks of physical loss or damage, but in no event to
e ceed the amount indicated in the declarations.
he extension is extended to include actual loss sustained, as covered hereunder,
' d ring the period of time, hereinafter defined,
( ) when as a direct result of a covered peril, the premises in which the pro erty
is located is so damaged as to prevent access to such property or
(') when as a direct result of a covered peril, the air conditioning system or
electrical system necessary for the operation of the data processing
equipment is so damaged as to reduce or suspend the Insured's abililty to
actually perform the operations normally performed., by the data processing
system.
his extension is further extended to include necessary extra expense incurred by
t e Insured as covered hereunder, during the length of time, not exceeding fo r (4)
consecutive weeks, when as a direct result of damage to or destruction of p'ro erty
adjacent to the premises herein described by the covered perils, access to such
described premises is specifically prohibited by order of Civil authority.
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EASURE OF RECOVERY
I' the above described property is destroyed or so damaged by the covered erils
occurring during the term of this extension so as to necessitate the incurrence of
r.xtra expense (as defined in this extension), this Insurer shall be liable for tile extra
:xpense so incurred, not exceeding the actual loss sustlained, for not exce ding
such length in time, hereinafter referred to as the ',Period of Restora ion",
commencing with the date of damage or destruction and not limited by the,d to of
-xpiration of this Policy, as shall be required with the exercise of due diligeric and
o ispatch to repair, rebuild or replace such part of said property as' m y be
destroyed or damaged.
his Insurer's liability during the determined period of restoration, shall be,limi ed to
t, e declared amount per period of time indicated in the declarations (if a time
period is declared), but in no event to exceed the amount of coverage provide .
W.C.I.A.--EPIP 2000 Declaration Page 49
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XTENSIONS OF COVERAGE:
oss as a result of computer virus subject to a $5,000,000 any one occurreic and
i the annual aggregate sub limit of liability.
3) ; XCLUSIONS:
his extension does not insure extra expense incurred as!a result of the follo ing
ti oerils:
� ) The suspension, lapse, or cancellation of any lease, license, contract or order
except as a result of physical damage caused by an insured peril.
:) Interference at premises by strikers or other persons with repair' g or
replacing the property damaged or destroyed or with the resumpti' n or
continuation of the Insured's occupancy.
) Loss or destruction of accounts, bills, evidences of debt, valuable (papers,
records, abstracts, deeds, manuscripts or other documents except as they
may be converted to data processing media form and then only in that form.
) Loss of or damage to property rented or leased to others while away from the
premises of the Insured.
) Error in machine programming or instructions to machine.
) Inherent vice, wear, tear, gradual deterioration or depreciation.
) Any dishonest, fraudulent or criminal act by the Insured, a partner ther in or
an officer, director or trustee thereof, whether acting alone or in collusio with
others.
) Damage due to mechanical failure, faulty construction, error in design unless
fire or explosion ensues, and then only for loss, damage or expense' c�:used
by such ensuing fire or explosion.
) Delay or loss of market.
) War or nuclear risks as excluded in the Policy to which this extension is
attached.
w.c.I.A.PEPIP 2000 Declaration Page 50
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4); OSS PAYMENT BASIS/DETERMINATIONNALUATION:
DEDUCTIBLE
Each and every loss occurring hereunder shall be adjusted separate) and
from the amount of each such loss when so adjusted the amount indicat-d in
the declarations shall be deducted.
5)'! -PECIAL CONDITIONS:
Dill,
RESUMPTION OF OPERATIONS
As soon as practicable after any loss, the Insured shall resume compI-te or
partial business operations of the property herein described and, in sq f.r as
practicable, reduce or dispense with such additional charges and ex -nses
as are being incurred.
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6) jl 1 EFINITIONS:
I i
• ) EXTRA EXPENSE
The term "Extra Expense" wherever employed in this extension is defin:d as
the excess (if any) of the total cost during the period of restoration o the
operation of the business over and above the total cost of such operatio that
would normally have been incurred during the same period had no loss
occurred; the cost in each case to include the expense of using other plro•erty
or facilities of other concerns or other emergency expenses. In no :vent
however, shall this Insurer be liable for loss of profits or earnings res Iting
from diminution of business, nor for any direct or indirect property da age
loss insurable under property damage policies, or for expenditures incurr-d in
'll the purchase, construction, repair or replacement of any physical property
unless incurred for the purpose of reducing any Toss'under this extensio not
exceeding, however, the amount in which the loss is so reduced. Any
salvage value,of the property so acquired that may be sold or utilized b the
Insured upon resumption of normal operations, shall be taken into
consideration in the adjustment of any loss hereunder.
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W.CI.A.-P PIP 2000 Declaration Page 51
T\DEPT US=R\WDGS\WDGS\2000\WCIA
y i
:) NORMAL
The term "normal" wherever used in this extension shall mean: The cons ition
that would have existed had no loss occurred.
�) COMPUTER VIRUS:
A computer program whose sole design and intent is to disrupt, destroy or
otherwise cause physical damage to other valid and useful com outer
software.
I i
W.C.I.A.-•EPIP 2000 Declaration Page 52
TIDEPT U'ER\W DGS\W DGS\2000\W CIA
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SECTION VIII
MOBILE ! CONTRACTORS EQUIPMENT
1) *OVERAGE:
his Policy insures only mobile machines, including equipment thereof while
a ached thereto or located thereon, such as bulldozers, drag lines, power shcvels,
d-rricks, drills, concrete mixers and other machinery of a mobile nature.
II
his extension insures against all risks of direct loss or damage to the wove
•escribed property from any external cause except as provided below.
� ) Loss or damage due to wear, tear, rust, corrosion, latent defect, mech.nical
breakage, or improper assemblage.
) Loss or damage due to the weight of the load imposed on the mai hine
exceeding the capacity for which such machine was designed.
I ) Loss or damage to crane or derrick boom(s) and jib'(s) of lattice constr ction
while being operated unless directly caused by fire, lightning, hail, winds orm,
earthquake shock, explosion, riot, riot attending a strike, civil commotion,
actual physical contact with an aircraft or airborne missile including objects
falling therefrom, collision with other vehicles or other contractors equipment
whether or not such other equipment is covered ;hereunder, landslide, or
upset of the unit of which it is a part (but only when and to the same xtent
that such other perils are covered by the Policy).
n) Loss or damage due to explosion arising from within !steam boilers.
: ) Loss or damage to dynamos, exciters, lamps, switches, motors or other
electrical appliances or devices, including wiring, caused by lightning or other
electrical currents (artificial or natural) unless fire ensues and then forth loss
by fire only.
' ) Loss or damage due to dishonesty of Insured's employees or persons to
whom the Insured's property is entrusted.
) Loss or damage caused by or contributed to failure of the Insured to kee. and
maintain the property in a thorough state of repair.
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W.C.I.A.-'•EPIP 2000 Declaration Page 53
T\DEPT U•ER\W DGS\WDGS120001WCIA
III it
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) Loss or damage caused by or resulting from:
(1) hostile or warlike action in time of peace or, including action in hind:ring,
combating or defending against an actual, impending or expected a ack,
(a) by any government or sovereign power (die jure or de facto) ' r by
any authority maintaining using military, naval or air forces; or
(b) any military, naval or air forces; or
;II (c) by an agent of any such government, power, authority or force ;
(2) any weapon of war employing atomic fission or radioactive force wh ther
in time of peace or war;
(3) insurrection, rebellion, revolution, civil war, usurped power, or action
taken by, governmental authority in hindering, combating or defending
against such an occurrence, seizure or destruction under quaranti e or
customs regulations, confiscation by order of any government or ublic
authority, or risks of contraband or illegal transportation or trade;
I) Loss by nuclear reaction or nuclear radiation or radioactive contaminate n, all
whether controlled or uncontrolled, and whether isuch loss be dire t or
indirect, proximate or remote, or be in whole or in part caused by, contributed
to, or aggravated by the peril(s) covered against in this endorsement;
however, subject to the foregoing and all provisions!of this Policy, direc loss
by fire resulting from nuclear reaction or nuclear radiation or radio.:ctive
contamination is covered against by this Policy.
•
2) : XTENSIONS OF COVERAGE:
one
3) XCLUSIONS:
) Automobiles, motorcycles, motor trucks, or parts thereof.
Buildings used as camps or otherwise.
•
p I ) Machinery or, equipment or building materials to be installed in any 'b ilding
for the purpose of becoming a part thereof; nor on any property whic has
become a permanent part of any structure.
9) Property that is located underground.
w.c.I.A.--EPIP 2000 Declaration Page 54
T\DEPT U%ER\WOGS\WDGS\2000\WCIA
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: ) Property while waterborne except while being transported on any regular
ferry.
) Storage risks at premises controlled or leased by the Insured, except here
incidental to the regular or frequent use of the equipment or property.
) Plans, blue prints, designs or specifications.
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4) OSS PAYMENT BASISNALUATION:
ee Section II, Item 4.G, page 21
5):1 PECIAL CONDITIONS:
his extension covers only within the limits of the United States of America.
I is a condition of this Policy that all articles covered hereunder are in -ound
ondition at the time of attachment of this Policy.
6), DEFINITIONS:
ontractors Equipment shall include but is not limited to:
and vehicles including equipment and apparatus attached thereto, whether or not
•elf-propelled and not subject to motor vehicle registration.
W.C.I.A.--EPIP 2000 Declaration Page 55 i
TVDEPT U.ERVW DGS\W DGS12000VWCIA
SECTION IX
ACCOUNTS RECEIVABLE
1) *OVERAGE:
This Policy covers the loss of or damage resulting from "all risks of direct physical
l.ss or damage" to the Insured's records of accounts receivable as defined below,
o curring during the Policy period.
2) E► TENSIONS OF COVERAGE:
N.ne
3) E► CLUSIONS:
T is Extension does not apply:
A) To loss due to any fraudulent, dishonest or criminal act by the Insured, a
partner therein, or an officer, director or trustee thereof, while worKinl or
otherwise and whether acting alone or in collusion with others.
B) To loss due to bookkeeping, accounting or billing errors or omissions.
C) To loss, the proof of which as to factual existence, is dependent upon.an udit
of records or an inventory computation; but this shall not preclude the u e of
Ili such procedures in support if claim for loss which] the Insured can p ove
through evidence wholly apart therefrom, is due solely to a risk of I;o s to
records of accounts receivable not otherwise excluded hereunder.
DI To loss due to:alteration, falsification, manipulation, concealment, destru tion
or disposal of records of accounts receivable committed to conceal the
wrongful giving, taking, obtaining or withholding of money, securities or other
property, but only to the extent of such wrongful giving, taking, obtaining or
withholding.
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W.CJ.A.-PE•IP 2000 Declaration Page 56
T\DEPT USE'\WDGS\WDGS\20001WCIA
4) OSS PAYMENT BASISNALUATION:
DETERMINATION OF RECEIVABLES; DEDUCTIONS
I� I
When there is proof that a loss covered by this Policy has occurred bu the
Insured cannot accurately establish the total amount of accounts recei able
outstanding as of the date of such loss, such amount shall be based !o the
Insured's monthly statements and shall be computed 'as follows: '
(1) Determine the amount of all outstanding accounts receivable at the end
of the same fiscal month in the year immediately proceeding the ye.r in
ip which the loss occurs;
(2) Calculate the percentage of increase or decrease in the aye age
monthly total of accounts receivable for the twelve (12) months
immediately preceding the month in which the loss occurs as comp red
with such average for the months of the preceding year;
(3) The amount determined under (1) above, increased or decreased by the
percentage calculated under (2) above, shall belthe agreed total amount
IIj of accounts receivable as of the last day of the fiscal month in, Which
said loss 'occurs;
II
(4) The amount determined under (3) above shall be increase or
decreased in conformity with the normal fluctuations in the amou t of
accounts receivable during the fiscal month involved, due consideration
being given to the experience of the business since the last day; o= the
last fiscal month for which statement has been rendered.
There shall be deducted from the total amount;of accounts receliv ble,
however established, the amount of such accounts evidence by
records not lost or damaged or otherwise established or collected by the
Insured, and an amount to allow for probable 'bad debts which \A ould
normally have been uncollectible by the Insured. All unearned interest
and service charges shall be deducted.
5) S'ECIAL CONDITIONS:
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W.C.I.A.-P:PIP 2000 Declaration Page 57
T\DEPT USE"1WDGSIWDGS120001WCIA
•
6) DEFINITIONS:
ACCOUNTS RECEIVABLE:
(1) All sums due the Insured from customers, provided the Insured is unable
to effect collection thereof as the direct result of loss or dam'ade to
records of accounts receivable.
(2) Interest charges on any loan to offset impaired collections pending
repayment of such sums made uncollectible by such loss or damaag .
(3) Collection expense in excess of normal collection cost and made
necessary because of such loss or damage.
(4) Other expenses, when reasonably incurred 'by the Insured, , in re-
establishing records of accounts receivable following such loss or
damage.
W.C.I.A.-"EPIP 2000 Declaration Page 58
T\DEPT U ER\WDGS\WDGS\2000\WCIA
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ENDORSEMENT NO. 1
JOINT LOSS ADJUSTMENT ENDORSEMENT
In the event of,damage to or destruction of property, at a location designated in this
Polio and also designated in a boiler and machinery insurance policy and there is a
disag eement between the Insurers and the Insured with respect to:
(1j) hether such damage or destruction was caused by a peril covered against by
t is Policy or by an accident covered against by such boiler and machinery
i surance policy(ies) or
(2) he extent of participation of this Policy and of such boiler and machinery
i surance policy in a loss that is covered against, partially or wholly, by one for all of
-aid policy(ies).
1
This I surer shall, upon written request of the Insured, pay to the Insured one-half of the
amount of the loss which is in disagreement, but in no event more than this Insurer
would have paid if there had been no boiler and machinery insurance policy(ies) in
effect, subject to the following conditions:
(1) The amount of loss which is in disagreement after making provisions fore any
undisputed claims payable under the said policy(ies) and after the amount of the
I ss is agreed by the Insured and the Boiler and Machinery Insurer and this Insurer
i limited to the minimum amount remaining payable under either the boiler and
i achinery insurance policy(ies). !
(2) he boiler and machinery insurer(s) shall simultaneously pay to the Insured, one-
h If of the said amount which is in disagreement.
1
(3) The payments by the insurer(s) hereunder and acceptance of the same'by the
Insured signify the agreement of the insurer(s) to submit to and proceed with
arbitration within ninety (90) days of such payments:
T e arbitrators shall be three (3) in number, one of whom shall be appointed by the
b iler insurer(s) and one of whom shall be appointed by the Insured hereon and
t e third appointed by consent of the other two, and the decision by the arbitrators
shall be binding on the insurer(s) and the Insured and that judgment upon such
a and may be entered in any court of competent jurisdiction. ,
(4)I T e Insured agrees to cooperate in connection with such arbitration but not to
in ervene therein.
(5) T is agreement shall be null and void unless the Policy of the boiler and machinery
Insurer is similarly endorsed.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I A.-PE-IP 2000 Declaration Page 59
TDEP T USE-\W DGS\W DGS\2000\WCIA
ENDORSEMENT NO. 2
PROPERTY JOINT LOSS ENDORSEMENT
In; th- event of damage to or destruction of property at a location designated im this
Polic and also designated in an excess insurance policy(ies) and if there is
disagreement between the insurers with respect to:
(1) hether such damage or destruction was caused by a single event or by multiple
vents or;
(2) the extent of participation of this Policy and any excess insurance policy in a loss
overed against partially or wholly, by one of said Policy or policy(ies).
This I surer shall, upon written request of the Insured, pay to the Insured one-half of the
anj ount of the loss which is in disagreement, but in no event more than this Insurer
would have paid if there had been no excess insurance or policy(ies) in effect, subject to
the following conditions:
(1) the amount of loss which is in disagreement after making provisions for any
d undisputed claims payable under the said policy(ies) and after the amount of the
' loss is agreed by the Insured and the insurers is limited to the minimum amount
r maining payable under either the primary insurance policy or excess insurance
p licy(ies);
(2)1 t e excess insurers shall simultaneously pay to the Insured one-half of the said
11 a ount which is in disagreement; and,
(3)'1 t e payments by the Insurers hereunder and acceptance of the same by the
ember signify the agreement of the insurers to submit to and proceed with
arbitration within ninety (90) days of such payments.
The a bitrators shall be three (3) in number, one of whom shall be appointed by the
exces insurer(s) and one of whom shall be appointed by this Insurer and the third
appointed by consent of the other two, and the decision by the arbitrators shall be
binding on the insurers and the Insured, and that judgment upon such award may be
entereo in any court of competent jurisdiction.
(4) T e Insured agrees to cooperate in connection with such arbitration but not to
d in ervene therein.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
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W.C.I.A.-PE-IP 2000 Declaration Page 60
T\DEPT USER WDGS\WDGS\2000\WCIA
1 1
1 1
ENDORSEMENT NO. 3
PAGE 1 OF 2
EEPAGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION
DEBRIS REMOVAL AND COST OF CLEAN UP EXTENSION; i
AUTHORITIES EXCLUSION
SEE-AGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION:
Notwi hstanding any provision in the Policy to which the endorsement is attached, this
Polic does not insure against loss, damage, costs or expenses in connection with any
kind dr description of seepage and/or pollution and/or contamination, direct or indirect,
arsin from any cause whatsoever.
Neve heless if fire is not excluded from this Policy and a fire arises directly or in'di Iriectly
from eepage and/or pollution and/or contamination, any loss or damage covered under
thi's Policy arising directly from that fire shall, (subject to the terms, conditions' and
Iirriitat ons of the Policy) be covered.
However, if the covered property is the subject of direct physical loss or damage for
wlilich the Insured has paid or agreed to pay, then this Policy (subject to its',l terms,
coedit ons and limitations) insures against direct physical loss or damage to the property
cover d hereunder caused by resulting seepage and/or pollution and/or contamination.
The I sured shall give notice to the Insurer of intent to claim NO LATER THAN
TWEE E (12) MONTHS AFTER THE DATE OF THE ORIGINAL PHYSICAL LOSS OR
DAMAGE.
DEBRIS REMOVAL AND COST OF CLEAN UP EXTENSION: '
Notwithstanding the provisions of the preceding exclusions in this endorsement or any
provision respecting seepage and/or pollution and/or contamination, and/or debris
remov I and/or cost of clean up in the Policy to which this endorsement is attached, in
the ev nt of direct physical loss or damage to the property covered hereunder, this
Policy subject otherwise to its terms, conditions and limitations, including but not limited
to any pplicable deductible) also insures, within the sum covered:
(a) a penses reasonably incurred in removal of debris of the property hereunder
d stroyed or damaged from the premises of the Insured;
.
a d/or
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W.C.I.A.-PE-IP 2000 Declaration Page 61
1
T\DEPTI USE'\WDGSIWDGS\2000VWCIA J
ENDORSEMENT NO. 3
PAGE 2 OF 2 � i
EEPAGE AND/OR POLLUTION AND/OR CONTAMINATION EXCLUSION;
DEBRIS REMOVAL AND COST OF CLEAN UP EXTENSION;
AUTHORITIES EXCLUSION
(b) ost of clean up at the premises of the Insured made necessary as a result of such
irect physical loss or damage; '
PROVIDED that this Policy does not insure against the costs of decontamination or
reno al of water, soil or any other substance on or under such premises.
It s a condition precedent to recovery under this extension that the Insurer shall have
paid r agreed to pay for direct physical loss or damage to the property covered
he!reu der unless such payment is precluded solely by the operation of any deductible
and t at the Insured shall give notice to the Insurer of intent to claim for cost of removal
of 'de ris or cost of clean up NO LATER THAN TWELVE (12) MONTHS AFTER(THE
DATE OF SUCH PHYSICAL LOSS OR DAMAGE.
AUTH RITIES EXCLUSION:
I
This olicy does not cover expenses, fines, penalties or cost incurred or sustained by
the In ured or imposed on the Insured at the order of any Government Agency, Court of
other uthority, in connection with any kind or description of environmental impairment
including seepage or pollution or contamination of any cause.
No him! in this endorsement shall override any radioactive contamination exclusion
clause in the Policy to which this endorsement is attached.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
1
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W.C.I. .-PE-IP 2000 Declaration Page 62
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11DEP11 USE'\W DGS\W DGS\2000\W CIA
ENDORSEMENT NO. 4
MINIMUM EARNED ASSESSMENTS
It lis understood and agreed that this Policy is subject to 25% minimum earned
assessments regardless of time in force.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I. .-PE•IP 2000 Declaration Page 63
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1I ENDORSEMENT NO. 5 •
PAGE 1OF2
LENDER'S LOSS PAYABLE ENDORSEMENT
;I I
The following provisions (or equivalent) apply as required by "mortgages" and "lenders" to whom
certific.tes of coverage have been issued.
1. Los or damage, if any, under this policy, shall be paid to the Payee named on the first page of this
po icy, its successors and assigns, hereinafter referred to as "the Lender", in whatever form or
ca•acity its interests may appear and whether said interest be vested in said Lender in its individual
or in its disclosed or undisclosed fiduciary or representative capacity, or otherwise, or vested in a
no inee or trustee of said Lender.
2. Th- insurance under this policy, or any rider or endorsement attached thereto, as to the interest only
of he Lender, its successors and assigns, shall not be invalidated nor suspended: (a) by any: error,
o ission, or change respecting the ownership, description, possession, or location of the subject of
th insurance or the interest therein, or the title thereto; (b) by the commencement of foreclosure
pr ceedings or the giving of notice of sale of any of the property covered by this policy by virtue of
any mortgage or trust deed; (c) by any breach of warranty, act, omission, neglect, or non-compliance
witi any of the provisions of this policy, including any and all riders now or hereafter attached thereto,
by the named insured, the borrower, mortgagor, trustor, vendee, owner, tenant, warehouseman,
custodian, occupant, or by the agents of either or any of them or by the happening of any;event
permitted by them or either of them, or their agents, or which they failed to prevent, whether occurring
i before or after the attachment of this endorsement, or whether before or after a loss, which under the
prdvisions of this policy of insurance or of any rider or endorsement attached thereto would invalidate
. or suspend the insurance as to the named insured, excluding herefrom, however, any i acts or
om ssions of the Lender while exercising active control and management of the property.
3. ,1 In he event of failure of the insured to pay any premium or additional premium which shall be or
I, be ome due under the terms of this policy or on account of any change in occupancy or increase in
ha4ard not permitted by this policy, this Insurer agrees to give written notice to the Lender of such
non-payment of premium after sixty (60) days from and within one hundred and twenty (120) days
aft r due date of such premium and it is a condition of the continuance of the rights of the Lender
her under that the Lender when so notified in writing by this Insurer of the failure of the insured to pay
su h premium shall pay or cause to be paid the premium due within ten (10) days following receipt of
'the Insurer's demand in writing therefor. If the Lender shall decline to pay said premium or additional
premium, the rights of the Lender under this Lender's Loss Payable Endorsement shall not be
I terminated before ten (10) days after receipt of said written notice by the Lender.
4. °.Wh never this Insurer shall pay to the Lender any sum for loss or damage under this policy and shall
jclai that as to the insured no liability therefor exists, this Insurer, at its option, may pay to the Lender
the whole principal sum and interest and other indebtedness due or to become due from the insured,
lwh ther secured or unsecured, (with refund of all interest not accrued), and this Insurer, to the extent
l'of sdch payment, shall thereupon receive a full assignment and transfer, without recourse, of the debt
and all rights and securities held as collateral thereto. •
5. 'Ilf there be any other insurance upon the within described property, this Insurer shall be liable under
'this policy as to the Lender for the proportion of such loss or damage that the sum hereby insured
bea s to the entire insurance of similar character on said property under policies held by, payable to
and expressly consented to by the Lender. Any Contribution Clause included in any Fallen Building
Clause Waiver or any Extended Coverage Endorsement attached to this contract of insurance is
her by nullified, and also any Contribution Clause in any other endorsement or rider attached to this
con ract of insurance is hereby nullified except Contribution Clauses for the compliance with which
Ithe nsured has received reduction in the rate charged or has received extension of the coverage to
incl de hazards other than fire and compliance with such Contribution Clause is made a part of the
consideration for insuring such other hazards. The Lender upon the payment to it of the full amount
of its claim, will subrogate this Insurer (pro rata with all other insurers contributing to said payment) to
:all o the Lender's rights of contribution under said other insurance.
W.c.LA.-P 'PIP 2000 Declaration Page 64
ADEPT USE \WDGS\WDGS\2000\WCIA
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ENDORSEMENT NO. 5
PAGE 2 OF 2 •
1
6. This Insurer reserves the right to cancel this policy at any time, as provided by its terms, but in such
ca e this policy shall continue in force for the benefit of the Lender for ten (10) days after written
no ice of such cancellation is received by the Lender and shall then cease.
7.; Th s policy shall remain in full force and effect as to the interest of the Lender for a period of ten (10)
da s after its expiration unless an acceptable policy in renewal thereof with loss thereunder payable
to he Lender in accordance with the terms of this Lender's Loss Payable Endorsement, shall have
be n issued by some insurance company and accepted by the Lender.
8. . Sh uld legal title to and beneficial ownership of any of the property covered under this policy become
I ve ted in the Lender or its agents, insurance under this policy shall continue for the term thereof for
th benefit of the Lender but, in such event, any privileges granted by this Lender's Loss Payable
En orsement which are not also granted the insured under the terms and conditions of this policy
ano/or under other riders or endorsements attached thereto shall not apply to the insurance
he eunder as respects such property.
9. All notices herein provided to be give by the Insurer to the Lender in connection with this policy and
thi• Lender's Loss Payable Endorsement shall be mailed to or delivered to the Lender at its;office or
branch described on the first page of the policy.
Approv-d:
Board of Fire Underwriters of the Pacific,
California Bankers'Association
Committee on Insurance.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
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W.C.I.I A.-PE PIP 2000 Declaration Page 65
T10EP11 tisFPo\wnr:swunrs\9nnn\WCIa
ii
ENDORSEMENT NO. 6
SEVERABILITY NOTICE
TIIhe ubscribing Reinsurers' obligations under contracts of Reinsurance to which they
subscribe are several, not joint, and are limited solely to the extent of their individual
subscriptions. The subscribing Reinsurers are not responsible for the subscription of
any 'o-subscribing Reinsurer who for any reason does not satisfy all or part of its
oblig-tions.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
PIP 2000 Declaration Page 66
TnOcT I icGRkwnr_cmwnrm9nnrnwrin
ENDORSEMENT NO. 7
ACCIDENTAL CONTAMINATION EXTENSION
In consideration of the premium charged and notwithstanding the terms, conditions and
stipulations contained in the Policy (except as regards the Policy term and Limits of
Liability), including all other endorsements attached thereto, (especially Endorsement
NIo,I 3 Seepage and/or Pollution and/or Contamination Exclusion; Debris And Cost of
Clean Up Extension; Authorities Exclusion to the extent that it is in conflict herewith), to
wOich this endorsement is attached this Policy is hereby extended to cover Business
Interrljption and Property Damage loss from accidental contamination from any source
to'l In ured Property, as covered by this Policy, including expenses necessarily incurred
toy cle n up, remove and dispose of contaminated substances so as to restore the
InIIsur d Property as covered by this Policy to the same condition as existed prior,to1 loss,
all as a result of accidental contamination, discharge or dispersal which is itself caused
by fir , lightning, impact from aircraft, explosion, riot, civil commotion, smoke, collapse,
vehic es, windstorm, hail, vandalism, malicious mischief or leakage and accidental
11
disch rge from automatic fire protective systems whereupon this extension shall'Iprovide
cover ge up to full limit of liability provided by this Policy.
For t e purposes of this extension the term "Insured Property" as covered by this Policy,
is hel to include Land (and Land Values) on which Covered Property is located,ias part
of ithe below stated sublimit, whether or not the same are excluded by this Policy: It
belling specifically understood and agreed that this extension shall not afford coverage to
land, including land on which Covered Property is located), and land Values for Toss in
exces of the $500,000 sublimit liability.
It is urther understood and agreed that this extension shall not override anything
contained in Asbestos Clean Up and Removal in this Policy.
The si blimit of liability stated above forms part of the limit(s) of liability provided by this
Policy and does not increase it (them).
ALL OTHER TERMS AND CONDITIONS REMAIN THE UNCHANGED
W.C.LA.-P PIP 2000 Declaration Page 67
TDE llT USE-\WDGS\WDGS\20001WCIA
ENDORSEMENT NO. 8
It is h-reby understood and agreed that the interest of Additional Insureds and/or,Loss
Payees is automatically included, as per Schedule on File with Robert F. Driver
As;so.iates.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
lil •
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W.C.I.A.-PE•'IP 2000 Declaration Page 68
ENDORSEMENT NO. 9
EXCLUDED PERILS
EARTHQUAKE EXCLUSION
It is h-reby understood and agreed that as respects Insureds where Optional Coverage
"A" is not shown as applicable on the Optional Coverage Participation List, the following
Exclu ion is added to the Policy:
Any earth movement, including, but not limited to earthquake, landslide or earth sinking,
eaIlrth ising or shifting (this exclusion shall not apply to loss or damage by ensuing fire
or lex•losion or any other perils insured under this Policy).
Asi respects those Insureds where Optional Coverage "A" is shown as applicable,t the
terms and conditions of this endorsement are not applicable, but only as respects
locati•ns specifically declared and for which a premium has been charged.
1
FLOOD EXCLUSION
It is h-reby understood and agreed that as respects Insureds where Optional Coverage
or "F" is not shown as applicable on the Optional Coverage Participation List, the
folk wi g Exclusion is added to the Policy:
Flood, meaning a general condition of partial or complete inundation of normally dry
land a ea from:
a) ov rflow of inland or tidal water;
b) 'unusual and rapid accumulation or run off of surface waters from any source.
Flo d shall also mean mudslide or mudflow, which is a river or flow of liquid mud
ca sed by flooding as defined in a. or b. above.
Th definition of flood does not include ensuing loss or damage not otherwise
ex luded.
As respects those Insureds where Optional Coverage "E" or "F" is shown as applicable,
the ter s and conditions of this endorsement are not applicable, but only as respects
locatio s specifically declared and for which a premium has been charged.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.l.l'I.-PE-IP 2000 Declaration Page 69
"'ADEPT USE-\W DGS\W DGS12000\WCIA
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ENDORSEMENT NO. 10
PRIORITY OF PAYMENTS
In11th: event of loss caused by or resulting from more than one peril or coverage, the
limit of liability of the primary/underlying coverage shall apply first to the peril(s) or
coverage(s) not insured by this Policy and the remainder, if any, to the peril(s) or
cover:ge(s) insured hereunder. Upon exhaustion of the, limit of liability of the
prima /underlying coverage, this Policy shall then be liable for loss uncollected, from
the p ril(s) or coverage(s) insured hereunder, subject to the limit of liability and the other
terms and conditions as specified.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I.A.-P-PIP 2000 Declaration Page 70
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TIDEPT USE"1W DGS\W DGS120001WCIA
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ENDORSEMENT NO. 11
LEASEHOLD INTEREST ENDORSEMENT
In the event of physical loss or damage of the type insured against by this Policy to real
prcpe of the type insured this Policy which is leased by the Insured, this P,olcy is
exten u ed to cover:
(1 If as a result of such loss or damage the property becomes wholly untenantable or
unusable and the lease agreement requires continuation of the rent, the;Insurer
shall indemnify the Insured for the actual rent payable for the unexpired term of
the lease; or
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(2, If as a result of such loss or damage the property becomes partially untenantable
or unusable and the lease agreement requires continuation of the rent, the:ln'surer
shall indemnify the Insured for the proportion of the rent applicable thereto; or
(3 If as a result of such loss or damage the lease is cancelled by the lessor pursuant
to the lease agreement or by operation of law, the Insurer shall indemnify the
Insured for its Lease Interest for the first three months following such floss or
damage and for its Net Lease Interest for the remaining unexpired term of the
lease;
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provid d, however, that the Insurer shall not be liable for any, increase in the amount
recoverable hereunder resulting from the suspension, lapse or cancellation of any license,
or from the Insured exercising an option to cancel the lease; or from any act or omission of
the In ured which constitutes a default under the lease; and provided further that the
Insured shall use any suitable property or service owned or controlled by the Insured or
obtain..ble from another source to reduce the loss hereunder. ,
The fol owing definitions shall apply to this coverage:
(1) Lease Interest means the excess rent paid for the same or similar replacement
property over actual rent payable plus cash bonuses or advance rent paid
(including any maintenance or operating charges) for each month during the
unexpired term of the Insured's lease.
(2) Net Lease Interest means that sum which placed at 8% interest compounded
annually would equal the Lease Interest (less any amounts otherwise payable
hereunder).
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I.A.-PE
'IP 2000 Declaration Page 71
Tneor;i Ic IIn,nr_eun,nr_c,nnnun,rie ,
ENDORSEMENT NO. 12
REVENUE INTERRUPTION PROTECTION
(EXCLUDING EARTHQUAKE AND FLOOD)
1) T pe of revenue to be covered: XX Sales Tax, XX Property Tax, XX Other -
I w enever the word "Revenue" appears in this form, it shall mean only such revenue
a specified.
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2)J; E cept as hereinafter or heretofore excluded, this Policy,covers only against loss
r suiting directly from necessary interruption of revenue as specified above collected
by or due to the Insured caused by damage to or destruction by a peril not excluded of
any of the real or personal property insured by this Policy and referred to any
contribution property(ies) and which is not operated by the Insured against all risks of
di ect physical loss or damage by a peril not excluded by this Policy during the term of
th s Policy, which wholly or partially prevents the generation of revenue for the account
o the Insured.
3) In the event of such damage or destruction, the Insurer shall be liable, with limitations
a- indicated, if the following conditions (A) and (B) are both met:
(a ) The total revenue is reduced to less than 97.5% of the insured's anticipated
revenue had no loss occurred.
(B) The Insurer shall be liable for the actual loss sustained by the insured from
direct damage by perils insured to one or more contributing properties which
results in the interruption of revenue for only the length of time as would be
required with exercise of due diligence and dispatch to rebuild, replace or repair
the contributing property commencing with the date of damage to, the
contributing property, but not limited by the expiration date of this Policy.
S ch loss recovery after deductible shall be limited to whichever is the least of:
1. The limit insured on the Policy;
2. The actual loss sustained:
3. The difference in amount between 97.5% of the anticipated revenue and the
actual total revenue after the loss.
4) II D DUCTIBLE: Each loss or series of losses arising out of one event at each location
sh ll be adjusted separately and from the aggregate amount of all such losses 2.'50D/0
of the annual revenue value shall be deducted.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
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W.C.I A.-P PIP 2000 Declaration Page 72
TDEPT USE,\WDGS\WDGS'2000\WCIA
ENDORSEMENT NO. 13
Page 1 of 3
FORM NO. CP 12 18 10 91
COMMERCIAL PROPERTY
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
LOSS PAYABLE PROVISIONS
Thisen•orsement modified insurance provided under the following:
BUILDING AND PERSONAL PROPERTY COVERAGE FORM
BUILDERS' RISK COVERAGE FORM
CONDOMINIUM ASSOCIATION COVERAGE FORM
CONDOMINIUM COMMERCIAL UNIT-OWNERS COVERAGE FORM
STANDARD PROPERTY POLICY
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SCHEDULE
Provisions Applicable
ICI Loss Lender's Contract
Payable Loss Payable Of Sale
Prem. Bldg. Description Loss Payee
No. No. of Property (Name &Address)
A. W en this endorsement is attached to the STANDARD PROPERTY POLICY CP 00 99 the
term Coverage Part in this endorsement is replaced by the term Policy.
The following is added to the LOSS PAYMENT Loss Condition, as indicated in the Declarations or
by an "X' in the Schedule:
B. LOSS PAYABLE
For Covered Property in which both you and a Loss Payee shown in the Schedule or in the
Declarations have an insurable interest, we will:
1. Adjust losses with you; and
112. Pay any claim for loss or damage jointly to you and the Loss Payee, as interests may
appear.
C. LE DER'S LOSS PAYABLE
1. The Loss Payee shown in the Schedule or in the Declarations is a creditor, including a
mortgageholder or trustee, whose interest in Covered Property is established by such
written instruments as:
a. Warehouse receipts;
b. A contract for deed;
c. Bills of lading;
d. Financing statements; or
e. Mortgages, deeds of trust, or security agreements.
.
CP 12 18 10 91
Copyright, ISO Commercial Risk Services, Inc., 1990
W.C.I.A.-'QEPI. 2000 Declaration Page 73
T\DEPT USER\W GS\WDGS\2000\WCIA
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ENDORSEMENT NO. 13
Page2of3
FORM NO. CP 12 18 10 91
2. For Covered Property in which both you and a Loss Payee have an insurable interest:
a. We will pay for covered loss or damage to each Loss Payee in their order of'
precedence, as interests may appear.
b. The Loss Payee has the right to receive loss payment even if the Loss Payee has
started foreclosure or similar action on the Covered Property.
c. If we deny you claim because of your acts or because you have failed to comply
with the terms of the Coverage part, the Loss Payee will still have the right to
receive loss payment if the Loss Payee:
(1) Pays any premium due under this Coverage Part atIour request if you ha\)e
failed to do so;
(2) Submits a signed, sworn proof of loss within 60 days after receiving notice
from us of your failure to do so; and
(3) Has notified us of any change in ownership, occupancy or substantial change
in risk known to the Loss Payee.
All of the terms of this Coverage Part will then apply directly to the Loss Payee.,
d. If we pay the Loss Payee for any loss or damage and deny payment to you because
of your acts or because you have failed to comply with the terms of this Coverage
Part:
(1) The Loss Payee's rights will be transferred to us to the extent of the amount
we pay; and
(2) The Loss Payee's rights to recover the full amount of the Loss Payee's cHim
will not be impaired.
At our option, we may pay to the Loss Payee the whole principal on the debt plus any
accrued interest. In this event, you will pay your remaining debt to us.
3. If we cancel this policy, we will give written notice to the Loss Payee at least:
a. 10 days before the effective date of cancellation if we cancel for your nonpayment of
premium; or
b. 30 days before the effective date of cancellation if we cancel for any other reason.
4. If we elect not to renew this policy, we will give written notice to the Loss Payee at least
10 days before the expiration date of this policy.
CP12181091
Copyright, ISO Commercial Risk Services, Inc., 1990
W.C.I.A.-PEPI"2000 Declaration Page 74
T\DEPT USER\ DGS\W DGS\2000\W CIA
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ENDORSEMENT NO. 13
Page3of3
FORM NO. CP 12 18 10 91
D. C•NTRACT OF SALE
1. The Loss Payee shown in the Schedule or in the Declarations is a person or
organization you have entered a contract with for the sale of Covered Property.
I 2. For Covered Property in which both you and the Loss Payee have an insurable interest
we will:
a. Adjust losses with you; and
b. Pay any claim for loss or damage jointly to you and the Loss Payee, as interests
may appear.
3. The following is added to the OTHER INSURANCE Condition:
I For Covered Property that is the subject of a contract of sale, the word "you" includes
the Loss Payee.
CP12181091
Copyright, ISO Commercial Risk Services, Inc., 1990
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
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W.C.I.A.-PEPI'•2000 Declaration Page 75
T\DEPT USER\ DGS\WDGS\2000\WCIA
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ENDORSEMENT NO. 14
ELECTRONIC DATE RECOGNITION EXCLUSION —Wording "A"
Words that appear in quotation marks in this endorsement have special meaning. Refer to Section C. -
DEFINITIONS.
A. EXCLUSION
Notwithstanding any other terms or conditions, this Policy, including any other endorsements
which may be attached to it, does not insure against any loss, damage, cost, claim or expense
directly or indirectly arising out of or relating to:
1. The failure of any"system",whether the property of the insured or others, to"recognize"
any"data" involving any"date change"; or,
2. Any"modification"of any"system", whether the property of the Insured or others, to
permit such "system"to"recognize" any"data" involving any"date change".
Destruction, distortion or corruption of any computer data, coding or software, which is caused
by the failure of any"system"to`recognize" any"data" involving any"date change" is not
physical loss or damage insured against under this policy.
This exclusion shall apply regardless of any other cause or event that contributes concurrently
or in any sequence to the loss, damage, cost, claim or expense.
However, if physical loss or damage arising out of the perils of Fire, Explosion, Implosion;
Smoke, Collapse, Water damage, Sprinkler leakage, Riot and Civil Commotion, Contamination,
Aircraft and Vehicles, Theft, Vandalism, Freeze, Flooding, Windstorm or Lightning as covered
by this Policy results, then subject to all its terms and conditions, this Policy shall be liable only
for such resulting loss or damage. Each occurrence of resulting physical loss or damage Ishall
be adjusted separately, and each occurrence shall be subject to the provisions regarding'
sublimits and deductibles specified elsewhere in this policy.
In the event physical loss or damage not otherwise excluded by this Policy results to any
"system", this Policy, including any other endorsements which may be attached to it, does not
I insure against any loss, damage, cost, claim or expense, whether preventative, remedial or
otherwise, arising out of or relating to any"modification" of any"system", whether the property
of the Insured or others, to permit such "system"to `recognize" any"data" involving any"date
change". I
B. This policy does not insure against any preventive or remedial costs to repair or modify any
i ems in A.1. and A.2. above to correct any actual or potential deficiencies or change any
f atures of logic or operation.
I Thhis policy does not insure against any expense incurred by the insured or others in the
' d:fense, safeguarding, protecting or recovering of property whether before or after loss
I d e to any actual or potential loss excluded in Section A. above
C. C DEFINITIONS .
; 1. "System" means any computer system, hardware, firmware, program, or software or any
microchip, integrated circuit, or similar device in computer equipment or non-computer'
equipment.
2. "Recognize" means to recognize, interpret, calculate, compare, differentiate, distingL ish,
accept, sequence or process.
3. "Data" means any data, instruction or information.
4. "Date Change" means the date change to the year 2000, the date change in any leap
II year or any other date change.
5. "Modification" means any modification, change, addition, alteration or correction.
Nothing erein contained shall be held to vary, alter,waive or extend any of the terms, conditions,
or lim''itati ns of the policy to which this endorsement is attached other than as above stated.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
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W.C.I.A.IPEPI 2000 Declaration Page 76
T\DEPT USER\W GS\WDGS\2000\WCIA
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Endorsement No. 15
ELECTRONIC DATE RECOGNITION EXCLUSION -"WordingB"
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(All Risks Write Back)
ELECTRONIC DATE RECOGNITION EXCLUSION
Notwith tanding any provision of this Policy which may appear to the contrary, this Policy
does n.t insure any loss, damage, cost, claim or expense, whether preventative, remedial
or o ,he ise, directly or indirectly arising out of or relating to:
a) i the recognition, interpretation, calculation, comparison, differentiation, sequencing
olr processing of data involving one or more dates or times, including the Year
I 2000, by any computer system, hardware, program or software, or any microchip,
integrated circuit or similar device in computer equipment or non-computer
e uipment, whether the property of the Insured or not; or
b) a y change, alteration, correction or modification involving one or more dates or
ti es, including the Year 2000, to any such computer system, hardware, program
o software, or any microchip, integrated circuit or similar device in computer
e uipment or non-computer equipment, whether the property of the Insured or not.
Except s provided in the next paragraph, this Electronic Date Recognition Clause 'shall
apply r gardless of any other cause or event that contributes concurrently or lin any
sequ'en a to the loss, damage, cost, claim or expense.
If direct physical loss or damage not otherwise excluded by this Policy results, then
subject t all its terms and conditions, this Policy shall be liable only for such resulting loss
or d9ma e. Such resulting loss or damage shall not include physical loss or damage to
data',re ulting directly from a) or b) above, nor the cost, claim or expense, whether
prevent tive, remedial, or otherwise, arising out of or relating to any change, alteration,
correIIcti.n or modification relating to the ability of any damaged computer system,
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hardwar-, program or software, or any microchip, integrated circuit or similar device in
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comput-r equipment or non-computer equipment to recognize, interpret', calculate,
comparz, differentiate sequence or process any data involving one or more dates or
times, in luding the Year 2000.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I.A.-I ER'2000 Declaration Page 77
T\DEPT USER\W CGS\WDGS\2000\WCIA
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Endorsement No. 16
ELECTRONIC DATE RECOGNITION EXCLUSION
It is the eby understood and agreed that all members and named insureds have coverage
as lildie-cribed and defined in .Endorsement No. 14 — Electronic Date Recognition
Exclusion-Wordings A
It is fu „her understood and agreed that as respects members and named insureds listed
below, Electronic Date Recognition Exclusion — Wordings A is hereby deleted and
replace. with Endorsement no. 15- Electronic Date Recognition Exclusion — Wordings B
(All Ris s Write Back).
This ch:nge applies to the following members:
II members of Washington Cities Insurance Authority (WCIA)
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W.C.I.Ail�PEP P 2000 Declaration Page 78
T\DEPT USER\ DGS\WDGS\2000\WCIA
11
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
Them.mbers of the WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)rare:
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They m=mbers of the Washington Cities Insurance Authority are:
A Regional Coalition for Housing Town of La Conner
City of Aberdeen City of Lacey
City of Arlington City of Lake Forest Park
City of Auburn City of Lake Stevens
City of Bainbridge Island City of Leavenworth
City of Battle Ground City of Long Beach
Benton County Emergency Services City of Longview
City of Bothell City of Mabton
City of Burien City of Maple Valley
City of Camas City of Marysville
City of Centralia Marysville Fire District .
City of Chehalis City of McCleary
City of Chelan City of Medical Lake
City of Clarkston City of Medina
City of Clyde Hill City of Mercer Island
Town of Coupeville City of Mill Creek
City of Covington City of Milton
Cowlitz Sewer Operating Board City of Monroe
City of Des Moines Monroe Fire District
Eastside Public Safety Commission City of Montesano
City of Edgewood City of Mount Vernon
City of Edmonds City of Mountlake Terrace
City of Elma City of Mukilteo
Emergency Services Coord. Agency City of Newcastle
City of Enumclaw City of Normandy Park
City of Grandview City of North Bonneville
City of Goldendale City of Ocean Shores
Grays Harbor Communications City of Pacific
City of Hoquiam City of Olympia
City of Issaquah Penninsula Communications
City of Kelso City of Port Angeles
City of Kenmore City of Port Townsend
City of Kirkland
W.C.LA.-PE-IP 2000 Declaration Page 79
T\DEPT USER1 DGS\WDGS\2000\WCIA
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City of Puyallup City of Tukwila
City of Renton City of Tumwater
City of Richland City of Union Gap
City of Sammamish City of University Place
City of Shelton Valley om
City of Shoreline City of Walla Walla
Skagit Washington Cities Insurance Authority
(WCIA)
Skagit Emergency Communication Center City of Washougal I
(SECOM)
SNOCOM, Water Operating Board (WOB)
City of Snohomish City of Westport
SNOPAC City of Woodinville
City of Snoqualmie Town of Woodway
City of Stanwood Yakima Valley Conference of Govts.
Town of Steilacoom City of Zillah
City of Sumner
City of Toppenish
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) shall be deemed the sole
ageht o each and every Association/Pool member for the purpose of:
(1) giving notice of cancellation,
(2) giving instructions for changes in the Policy and accepting changes in this
Policy, and
(3) the payment of assessments/premiums or receipt of return
assessments/premiums.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
W.C.I4.-PE•'IP 2000 Declaration Page 80
T\DEPTjUSER WDGS\WDGS\2000\WCIA
ENDORSEMENT NO. 18
AUTOMATIC ACQUISITION CLAUSE
The provisions of this automatic acquisition clause do not increase 1) the occurrence Iimit(s) of liability,
2) th0 sub-limit(s) of liability or 3) the aggregate limit(s) provisions of this coverage.
1. Existing Named Insured Members
I Any named insured member at coverage inception may increase or decrease ;total insured
values for all coverage's and all perils (EXCLUDING CALIFORNIA EARTHQUAKE) purchased
at inception subject to a maximum change in values not exceeding $ Per Declaration Pa e
at any one time.
The reporting of the changes to underwriters and the applicable additional or return premium
will be provided to/from the underwriters:
I ❑ At expiration with additional/return premium applicable on an ensuing year basi
I' Changes in total insured values exceeding the stated limitation will be reported Immediately to
uiderwriters for acceptance and additional/return premium agreement.
2. j Special Provisions Applicable to California Earthquake Coverage
Any named insured may increase or decrease total insured values as respects California
earthquake coverage subject to a maximum change in values not exceeding
II $ NO COVERAGE at any one time.
The reporting of the changes to underwriters and the applicable additional or return premium
will be provided to/from the underwriters:
❑ At expiration with additional/return premium applicable on an ensuing year basi
Changes in total insured values exceeding the stated limitation will be reported immediately to
Iu-iderwriters for acceptance and additional/return premium agreement.
3. I Provisions Applicable to new/deleted Named Insured Members
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The "First Named Insured" may add/delete named insured members to the coverage herein
provided subject to a maximum change in total insured values not exceeding
$ Per Declaration Page for any one named insured member.
The reporting of new/deleted named insured members to underwriters and the applicable
additional or return premium will be provided to/from the underwriters:
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o At expiration with additional/return premium applicable on an ensuing year basis
New/deleted named insured members with total insured values exceeding the state 1 limitation
will be reported immediately to underwriters for acceptance and additional/return premium
agreement.
W.C.I.AII PEPIP 2000 Declaration Page 81
TDEPT IJSERIWDGS\WDGS\20001WCIA
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4. 1 "rovisions A..licable to O.tional Covera.e's
Any named insured member at coverage inception (or added as per provisions in item 3) may
ffect optional coverage's of 1) Licensed Vehicles, 2) Contractor's equipment,/ Unlicensed
ehicles or 3) Scheduled Fine Arts subject to a maximum in total insured values no l exceeding
100,000 per optional coverage at any one time.
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he reporting of the changes to underwriters and the applicable additional or return premium
ill be provided to/from the underwriters:
At expiration with additional/return premium applicable on an ensuing year basis
I hanges in total insured values exceeding the stated limitation will be reported Immediately to
nderwriters for acceptance and additional/return premium agreement.
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ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
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W.C.I.A.-PE'I•IP 2000 Declaration Page 82
ADEPT USER,IWDGSIWDGS120001WCIA
Proportional
Reinsurance
Certificate
, I
The Reinsured is requested to read this Reinsurance
( and, if it is incorrect, return it immediately to your
Broker for alteration. In all communications the
Certificate Number appearing in line one of the
Schedule should be quoted
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KATO of n,.... r-'.r IT/T r rnn'1n11'7
CERTIFICATE OF PROPERTY FACULTATIVE REINSURANCE
ACE USA
Westchester Fire Insurance Company
21860 Burbank Blvd., Suite 250, Woodland Hills, CA 91367
These Declarations are subject to the Reinsurance Agreement and Conditions on the Certificate jacket,which are made part of this Agreement
WASHINTCN CITIES
INSURANCE AUTHORITY CERTIFICATE NUMBER: RAL-64620
P.O. BOX 1165
RENTON,WA 98057
RENEWAL OF: RAL-646188
DATE ACCEPTED: 9/1/2000
COMPANY POLICY NUMBER: WCIA-2001
CEDING COMPANY: COMPANY POLICY PERIOD: 9/1/2000-01,
WASHINGTON CITIES CERTIFICATE PERIOD: 9/1/200u-01
INSURANCE AUTHORITY
.
INSURED: WASHINGTON CITIES INSURANCE AUTHORITY, AS MORE FULLY
DEFINED IN ITEM #1 OF POLICY WCIA-2001
LOCATIONS COVERED: AS PER SCHEDULE ON FILE WITH UNDERWRITERS
1,1
TYPE OF INSURANCE: REAL AND PERSONAL PROPERTY, BUSINESS INCOME/EXT'R
EXPENSE/RENTS, TAX INTERRUPTION, COURSE OF
CONSTRUCTION, FINE ARTS, VALUABLE PAPERS, MOBILE
EQUIPMENT, BUILDING ORDINANCE, LEASEHOLD INTEREST A D AS
PER POLICY WCIA-2001
PERILS REINSURED: ALL RISK OF PHYSCAL LOSS INCLUDING EARTHQUAKE AND F OOD
REINSURANCE ACCEPTED: $6,250,000 PART OF$50,000,000 PRIMARY PER OCCURRENCE
111 SUBJECT TO $6,250,000 PART OF$50,000,000 EARTHQUAKE A, D
$6,250,000 PART OF $50,000,000 FLOOD
COMPANY RETENTION: $450,000,000 PART OF$500,000,000 SUBJECT TO $50,000,000 ART
' OF$100,000,000 EARTHQUAKE AND $200,000,000 PART OF 1
$250,000,000 FLOOD
COMPANY POLICY LIMITS: $500,000,000 SUBJECT TO $100,000,000 SUBLIMIT EARTHQUAKE AND
$250,000,000 FLOOD
OriginaI certificate Premium: $47,892
Commission: 15%
- Page 1 of 2
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COUNTERSIGNATURE: /� �`t'f � ''
AUJTIiORIZED REPRESENT I TIVE
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1. APPLICATION reinsurance afforded by this Certificate is on an Excess of Loss basis. salvage
shall be applied in the inverse order in which liability atta hes.
The Company warrai is to retain for its own account. the amount specified
in this Certificate w ich amount may be subject to. Treaty Reinsurance. 6. TAXES
unless otherwise d lased to the Reinsurer.. As respects Pro-Rata
Reinsurance. in the vent of the Company's retention being less than such The company shall be liable for all taxes on premiums ceded to the
amount. the Reinsunr's liability shall be proportionately reduced. Reinsurer under this Certificate.
Except as spccificall ' provided by the insolvency Clause. the Reinsurer's 7• INSOLVENCY
obligations under th s Certificate.shall run only to the Company and the In the event of the insolvency of the Company. the reinsurance provided by
Reinsurer shall have no obligation to the original insured or any other third this Certificate will be payable directly and exclusively to the Company or its
party. liquidator(except as provided by Section I1 13(a)of the New York Insurance
The liability of the Reinsurer shall follow that of the Company, subject in all Law) on the basis of the amount of the claim allowec in the insolvency
respects to all of the terns. limits and conditions of the policy(ies) reinsured. proceeding without diminution by reason of the inability of the Company to
except as otherwise specifically provided herein or designated as pay all or part of the claim. The Reinsurer shall he giv n written notice of
nonconnurentlreius caner. the pendency of each claim against the Companyi on the olicy(ies) reinsured
hereunder within a reasonable tune after such clai}n is filed in the
1. COMPANY DC TIE insolvency proceedings. The Reinsurer shall have the right to investigate
each such claim and interpose, at its own expense. in the proceeding which
The Company shall, unless otherwise advised, furnish the Reinsurer with a such claim is to be adjudicated, any defenses which it mdeem available to
copy of its policy(i 1 and all endorsements thereto which in any manner the Company or its liquidator. The expense thus loco by the Reinsurer
affect this Reinsures cc. and shall make available for inspection and place at shall be chargeable. subject to court approval. ag 'list the Insolvent
the disposal of the R insurer at reasonable times all records of the Company. Company as part of the expense of liquidation to the extent of a
howsoever maintai ed, relating to the Reinsurance or claims in connection
share of the benefit which may accrue to the Company solely
therewith as the result of the defense undertaken by the Reinsurer.
The Company,shal notify the Reinsurer promptly of any change in the 8 CANCELLATION
policy(ies)reinsured hereunder which affects this Certificate.
(A) This reinsurance may be cancelled at any time on a Pro-Rata basis by
3. STANDARD WAR ND NUCLEAR EXCLUSIONS either the Company or the Reinsurer giving written notice to the other party
by mailing such notice to the address appearing in ills Certificate. The
The Reinsurance ereunder is subject to the standard Nuclear Incident effective date of the cancellation shall be determined by.he numnher�of days
Exclusion Clause(s) and standard War Exclusion Clause(s) for the coverage allowed in the original policy plus 30 additional days no to exceed 10 days
provided. in all. Cancellation of the policy(ies) reinsured hereund r shall constitute tun
automatic cancellation of this Reinsurance as of the s me date and on the
4. NOTICE OF LOSS same premium basis as that of the policy(ies)reinsured. The Company shall
be entited to return premiums payable on the cancelled reinsurance less the
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Prompt written no ice shall be given to the Reinsurer by the Company of amount of the ceding commission thereon if any.
any occurrence or accident and all material developments relating thereto 1131 In the event of non-payment of premium. this Certificate may he
which.without regard to liability. appears likely to involve this Reinsurance less• cancelled by the Reinsurer by giving notthan 1 days prior written
and. while the Reinsurer does not undertake to investigate or defend claims notice stating when the reinsurance hermit dershall terminate.
or suits. the Reinsu or. directly or through its representatives and or counsel, Proof of mailing shall be deemed proof of notice.
shall nevertheless rave the right and be given the opportunity, with the
Companys [tell c operation. to associate with the Company and its
representatives, at he Reinsurer's expense. in the defense of any claim, suit 9. OFFSET
or proceeding'invol'Ong this Reinsurance. The Reinsurer and the Company may offset any and all balance(s). whether
5. CLAIM SETTLE. P NT on account of premiums. losses or otherwise.due or to become due from one•
part to the other under this Certificate or any other agreement. treaty or
All claims coverer by this Reinsurance. when settled by the Company. facultative. heretofore or hereafter entered into between the Company and.
provided paymen is within the terms, limits and conditions of the the Reinsurer, whether acting as assuming reinsurer oti ceding company. In
Certificate
the event of insolvency of either the Company or the einsurer, offset shall
Company's policy(es) as described in the Declarations and of this
be
of Reinsurance,shall be binding on the Reinsurer who shall be bound to pay permitted in accordance with the terms of this cla use and as otherwise'
its proportion of s ich settlements. Prejudgement Interest shall be deemed permitted by law. If the Company is comprised of mare than one entity. all
pan of loss. In ad'idol) thereto. the Reinsurer shall be bound to pay (A) its such entities will be considered the Company for'purpoSes of offset.
proportion of alto ated expenses. other than Company salaries and office
expenses. incurre. by the Company in the investigation and settlement of 10. AMENDMENTS
claims or suits un er the terms or policies reinsured. and (B) its proportion of The terms of this Certificate shall not be waived or changed except by
court costs. litiga ion expenses and interest on any judgment or award as endorsement issued to form a part hereof, executed by a duly authorized
follows: (11 ),Fitt respect to reinsurance provide on an Excess of Loss basis, representative of the Reinsurer.
in the ratio that tic Reinsurer's loss payment bears to the Company's gross
loss payment: an (21 t\'ith respect to reinsurance provided on a Pro-Rata
basis. in the ra o that the Reinsurer's limit of liability bears to, the
Company's gross 1 mit of liability.
Payment of the R insurers proportion of loss and expense incurred by the
Company and co•ered by this Certificate will be made to the Company
promptly upon re:eipt and approval by the Reinsurer of satisfactory proof of
loss and expense.
•
The Reinsurer wi he paid or credited by the Company with its proportion of
salvages. which is reimbursement obtained or recovery made by the
Company. less ti e actual cost (excluding Company salaries and office .
expenses)of;obtai ing such reimbursement or making such recovery. If the
DECLARATIONS PAGE
1) 'RE NSURED:
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
As Imo e fully described in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endorsement No. 17
2) MA LING ADDRESS: P. O. BOX 1165
RENTON, WA 98057 •
3) PO ICY PERIOD: SEPTEMBER 1, 2000 12:01AM TO SEPTEMBER 1, 2001
12:01A
4) LIMIT AND SUB-LIMITS OF LIABILITY:
1. $ 5 0,000,000 Per Occurrence: All Perils, Coverages and Insureds/Members combined, subject to
sub-limits
S b-limits:
A. $ 50 000 000 Per Occurrence and in the Annual Aggregate as respects-Flood -all coverages
B. $ 00 000 000 Per Occurrence and in the Annual Aggregate as respects Earthquake Shock- -all coverages
C. $ 00,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
D I$ 25.000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing and new members
as per endorsement No. 18 (including earthquake) No new members for only automobile
coverage
E. $ 25,000,000 Landscaping,tees, sand traps,greens and athletic fields
F. $ 25,000,000 Errors&Omissions
G. $ 25,000,000 Course Of Construction (including new for project values up to$25,000,000)
H. $ 1,000,000 Money&Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. $ 500,000 Accidental Contamination •
K. $ 1,000,000 Tunnels, bridges, dams,catwalks (except those not for public use) , roadways, highways,streets,
sidewalks,culverts,street lights and traffic signals unless a specific value has been declared
L. $ 00 000,000 Demolition and Increased Cost of Construction due to the enforcement of building codes
$ 25,000,000 Transit
$ 1,000,000 Animals;except$100,000 Specially Trained Animals
$ 1,000,000 Watercraft under 27 feet or less unless scheduled
$ 50,000 Newly Acquired Vehicles (current members with auto coverage only)
$ ot covered Replacement power extra expense at scheduled utility locations
$ 5,000,000 Off premises services interruption including extra expense resulting from a covered p ril at non-
owned/operated locations
$ ot Covered Contingent business interruption resulting from a covered peril at non owned/operate power
generating facilities
$ 'ot applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles, unlicensed
vehicles,contractors equipment and fine arts combined for all insureds/members combined that
do not purchase optional coverage Item-A): Earthquake Shock
As m•re fully described in "LIMITS OF LIABILITY" (Section I — Item 4)
V�LC.I A.-PEPIP 2000 Declaration
r
5) DE n UCTIBLE(S):
A. ;'BA.IC"ALL PERILS AND COVERAGES (EXCEPT SPECIFIED PERIL OR COVERAGE
'DEmUCTIBLE SHOWN BELOW):
Ded ctible: $50,000 Per Occurrence
B. SPE IFIED PERILS AND COVERAGE DEDUCTIBLES
100,000 Per Occurrence— Flood
'% Per Unit of Insurance (Real & Personal Property and Time Element) subject to $100,000
inimurn Per Occurrence- Earthquake Shock, except
p
a. Vehicles or Contractors Equipment- $25,000 Per Vehicle/Item subje t to
$100,000 maximum as respects the perils of Earthquake or Flood
b. Fine Arts -$50,000 Per Occurrence— Earthquake or Flood
• $ 54,000 Per Occurrence-vehicle property damage
$ 54,000 Per Occurrence-vehicle collision dariiage
$ ,000 Per Occurrence-Specially Trained Animals
$504,000 Per Occurrence -Tunnels, bridges, dams, catwalks ( except those not for public use) ,
roadways, highways, streets, sidewalks, culverts, street lights and traffic
signals unless a specific value has been declared
24 h•urwaiting period—All Perils: Service Interruption
$ 10 000 -Course of Construction—All Perils except Earthquake & Flood
As 'mor- fully described in " DEDUCTIBLE PROVISIONS" ( Section I—Item 5)
6) OP IONAL COVERAGE PARTICIPATION
It is nderstood and agreed that the certain Member Agencies participate in Optional Coverage o
this Policy as set forth below:
EMBER AGENCY "BASIC" COVERAGE APPLICABLE
DEDUCTIBLE OPTIONAL
COVERAGES*
A I member per Named $ 50,000 A, B, C, E
I sured Endorsement No. 17
*O•TIONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood
W.C.I.•.-PEPIP 2000 Declaration
Endorsement No. 16
ELECTRONIC DATE RECOGNITION EXCLUSION
It is hereby understood and agreed that all members and named insureds have
coverage as described and defined in Endorsement No. 14 —.Electronic Date
Rec.gnition Exclusion- Wordings A
It is urther understood and agreed that as respects members and named
insureds listed below, Electronic Date Recognition Exclusion — Wordings A is
her:by deleted and replaced with Endorsement no. 15- Electronic Date
Rec.gnition Exclusion —Wordings B (All Risks Write Back).
Thi- change applies to the following members:
All members of Washington Cities Insurance Authority (WCIA)
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W. I . I.A. - PEPIP 2000
Endorsement No. 16
• I
•
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
The members of the WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) are:
The members of the Washington Cities Insurance Authority are:
A Regional Coalition for Housing Town of La Conner
City of Aberdeen City of Lacey
City of Arlington City of Lake Forest Park
City of Auburn City of Lake Stevens
City of Bainbridge Island City of Leavenworth
City of Battle Ground City of Long Beach
Benton County Emergency Services City of Longview
City of Bothell City of Mabton •
City of Burien City of Maple Valley
City of Camas City of Marysville
City of Centralia Marysville Fire District
City of Chehalis City of McCleary
City of Chelan City of Medical Lake
City of Clarkston City of Medina
City of Clyde Hill City of Mercer Island
Town of Coupeville City of Mill Creek
City of Covington City of Milton
Cowlitz Sewer Operating Board City of Monroe
City of Des Moines Monroe Fire District
Eastside Public Safety Commission City of Montesano
City of Edgewood City of Mount Vernon
City of Edmonds City of Mountlake Terrace
City of Elma City of Mukilteo
Emergency Services Coord. Agency City of Newcastle
City of Enumclaw City of Normandy Park
City of Grandview City of North Bonneville
City of Goldendale City of Ocean Shores
Grays Harbor Communications City of Pacific
City of Hoquiam City of Olympia
City of Issaquah Penninsula Communications
City of Kelso City of Port Angeles
City of Kenmore City of Port Townsend
City of Kirkland
WCIA —2000 Form
1✓ ,7 4 44 l'7
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
The;members of the WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) are•
City of Puyallup City of Tukwila
City of Renton City of Tumwater
City of Richland City of Union Gap
City of Sammamish City of University Place
City of Shelton Valley Corn
City of Shoreline City of Walla Walla
Skagit Washington Cities Insurance Authority(WCIA)
Skagit Emergency Communication Center(SECOM) City of Washougal
SNOCOM Water Operating Board (WOB)
City of Snohomish City of Westport
SNOPAC City of Woodinville
City of Snoqualmie Town of Woodway
City of Stanwood Yakima Valley Conference of Govts.
Town of Steilacoom City of Zillah
City of Sumner
City of Toppenish
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) shall be deemed the sole
agent of each and every Association/Pool member for the purpose of:
0) giving notice of cancellation,
(2) giving instructions for changes in the Policy and accepting changes in this Policy, .nd
(3) the payment of assessments/premiums or receipt of return assessments/premiums.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
WCIA —2000 Form •
F.nrinrcnmPnt #17
ENDORSEMENT NO. 18
AUTOMATIC ACQUISITION CLAUSE
The provisions of this automatic acquisition clause do not increase .1) the occurrence
Iimitls) of liability, 2) the sub-limit(s) of liability or 3) the aggregate limit(s) provisions of
this overage.
1. Existing Named Insured Members
Any named insured member at coverage inception may increase or decrease
total insured values for all coverage's and all perils (EXCLUDING CALIFORNIA
EARTHQUAKE) purchased at inception subject to a maximum change in values
not exceeding $ 25,000,000 at any one time.
The reporting of the changes to underwriters and the applicable additional or
return premium will be provided to/from the underwriters:
1
o Every 6 months with additional/return premium due/payable
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
Immediately to underwriters for acceptance and additional/return premium '
confirmation.
2. Special Provisions Applicable to California Earthquake Coverage
Any named insured at coverage inception that purchases California earthquake
coverage at inception may increase or decrease total insured values as respects
California earthquake coverage subject to a maximum change in values not
exceeding $ NO COVERAGE at any one time.
• The reporting of the changes to underwriters and the applicable additional or
return premium Will be provided to/from the underwriters:
•
o NO COVERAGE
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
immediately to underwriters for acceptance and additional/return premium
confirmation.
w. .LA. PEPIP 2000
:Endorsement No. 18
3. Provisions Applicable to new/deleted Named Insured Members •
The "First Named Insured" may add/delete named insured members to the
coverage herein provided subject to a maximum change in total insured values
not exceeding $ 25,000,000 for any one named insured member.
COVERAGE FOR AUTOMOBLIESNEHICLES ONLY CANNOT BE ADDED
REGARDLESS OF VALUES
CALIFORNIA EARTHQUAKE IS EXCLUDED FROM THIS PROVISION
The reporting of new/deleted named insured members to underwriters and th-
applicable additional or return premium will be provided to/from the underwriters:
o Every 6 months with additional/return premium due/payable
The additional/return premium will be determined based on agreed rates.
New/deleted named insured members with total insured values exceeding the
stated limitation will be reported immediately to underwriters for acceptance
and additional/return premium confirmation.
. 4. Provisions Applicable to Optional Coverage's
Any named insured member at coverage inception (or added as per provisions in
item 3) may effect optional coverage's of 1) Licensed Vehicles, 2) Contractor's)
equipment / Unlicensed Vehicles or 3) Scheduled Fine Arts subject to al
maximum in total insured values not exceeding $ 100,000 per optional coverag
at any one time.
The reporting of the changes to underwriters-and the applicable additional or
return premium will be provided to/from the underwriters:
❑ Every 6 months with additional/return premium due/payable
•
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
Immediately to underwriters for acceptance and additional/return premium
Confirmation.
ALL OTHER TERMS AND-CONDITIONS REMAIN UNCHANGED
W.I.I.A.-PEPIP 2000
,Endorsement No. 18
^ . ^
" ^
^
' ^
`
P. E' P' [ P' - U��^4
/ , .
Washington Cities Insurance Authority(WzIA)
�
� Reinsurance Period: 8U/0OtoSM01
� Binder#000350
� SCHEDULE OF REINSURANCE COMPANIES
|
Policy#/Reins.
Company Certificate Participation ^,eonium
mRyinsu nq n Companies or<vvCuo'_'—_-- ---_—
fV (association policy nu) $114,93972
Ro�ou�nceCe��ca�NO. LU 0029117
s�s�Rewe*�a�e�/u�|m��aUona| 13.00m
XlEuimpeInsurance 12.50%
uuutum/ 25.50m
sV Reinsuhnnoomnanvuuovusavnmcateu Number of:0mowV (association policy mz) o223.118.28
Reinsurance Certificate NO. LU 0029117
MumichArrehcan Risk Partners/Great Lakes 11.25m
Wellington Syndicate VVEL2O2o 8.500%
M.E.8mckbank Syndicate MDR o§1 /MEB12os/NJM5aO/MEo12ou 10.625%
Harvey Bowhng Syndicate VVEH3§2/HRB8c3 6.375%
OJ. Catlin Syndicate 1003/2003 4.250m
ACE G|ub2{Markets S dicateAGM2488 4.250%
F.R.VVhite3yndicate 130 4.250%
� Subtotal ^o.ou%
qReinsurin"'Ins"ra=Companies&Lloyds Syndicate/Number of:(VVC1Aj (association policy no.)
nuo.00u.nonphman/ .
Westches-er Fire Insurance Company m«L 646e02 12.50m 891 55
comgis|mvrancoCo. 651-008823 7.50% $28.734.e3
$4somoo.noo excess vr$xo.nno.000
D.P.Mann Syndicate 435(8.3nsv)and Cox Property u Casualty 20orH.1s7%q Included above
Excess($4somM^s$oomw) Reinsurance Certificate No. LUooeo:4o s13.522.32
u000.000.000 Loss Limit
'
Aghcuxura Insurance Co. oPpzc1 1352 5.00% $22,537.20
'
�
Subtotal 25.00%
TOTAL 100i00Y6 %4 5o.744.0o
'
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�
�
•
•
•
PREVIOUS POLICY:CPP 3994645
AGRICULTURAL INSURANCE COMPANY
AGRICULTURAL INSURANCE COMPANY PROPERTY INSURANCE POLICY
Cincinnati, OH (Multi-Purpose Form)
A'STOCK INSURANCE COMPANY
,(herein called"the Company') POLICY NO.: CPP 3211352 .
PRODUCER'S NAME AND ADDRESS
NAMED INSURED:
M.T.S. INSURANCE SERVICES
PUBLIC ENTITY PROPERTY INSURANCE PROGRAM 1551 N.TUSTIN AVE.,#700
(AKA: PEPIP USA AND AS PER SPECIFIC ENDORSEMENTS • SANTA ANA,CA 92705
AND INDIVIDUAL DEC RATIONS AS ENDORSED)
•
Mailing Address: Ili PRODUCER CODE: 111130
AS PIER THE SPECIFIC
4041 MACARTHUR BL D. 1 MAY 1,2000 ENDTS &INDIVIDUAL
NEWPORT BEACH,C• 92660-1551 DECLARATIONS
TERM(YEARS) INCEPTION(MO DAY YR) EXPIRATION(MO DAY YR)
It is important that the'writt-n portions of all policies covering the same property read exactly alike. If they do not,they should be made uniform at once.
INSURANCE IS PROVIDE' AGAINST ONLY THOSE PERILS AND FOR ONLY THOSE COVERAGES INDICATED BELOW BY A PREMIUM CHARGE AND
AGAINST OTHER PERIL'AND FOR OTHER COVERAGES ONLY WHEN ENDORSED HEREON OR ADDED HERETO.
Item Limit(s)ofi Prepaid Term
No. Liability Rate(s) Premium Due Annual Payment
At Inception
5%OF THE LI ITS AND SUBLIMITS
1. AS PER ITEM OF THE INDIVIDUAL. AS PER THE SPECIFIC
DECLARATIONS AS ENDORSED TO ENDTS AND INDIVIDUAL
THIS POLICY. DECLARATIONS
TOTAL OF ANNUAL PREMIUMS FOR
POLICY TERM
Item Limit(s)of! Description of coverage(s)provided.Peril(s)insured against and location(s)
No. Liability covered(include deductible(s)and limitation(s),if any,applicable)
1. 5%OF THE LIMITS AND SUBLIMITS AS PER AS PER THE SPECIFIC ENDORSEMENTS AND INDIVIDU•L
ITEM 4 OF THE INDIVIDUAL DECLARATIONS DECLARATIONS.
AS ENDORSED TO THIS POLICY.
11
Subject to Form No.(s): PEPIP-2000(77 PAGES), IL 0017(11/98) INSERT FORM NUMBER(S) AND EDITION DATE(S) attached ereto. Mortgage
:lause: Subject to the provisions of the mortgage clause attached hereto,loss,if any,on building items,shall be payable to:
NSERT NAME(S)MORTGAGEE(S)AND MAILING ADDRESS(ES)
11 COUNTERSIGNED AT: LOS ANGELES,CALIFORNIA •
•
;OUNTERSIGNATURE DATE: OCTOBER 30,2000 COUNTERSIGNED BY:
Authoriz-• Rypresentative
N CONSIDERATION OF THE PROVISIONS AND STIPULATIONS HEREIN OR ADDED HERETO AND OF the premium above specified,(I this Company,for
he term of years specified above from inception date shown above at 12:01 A.M. (Standard Time)to expiration date shown above at 12:01 A.M. (Standard
'ime) at location of pitopery involved, to an amount not exceeding the amount(s) above specified, does insure the INSURED named above and legal
epresentatives,for any,amounts which the INSURED may be entitled to recover under the circumstances defined herein or added hereto.
assignment of this policy shall not be valid except with the written consent of this Company.
'his policy is made and accepted subject to the foregoing provisions and stipulations and those hereinafter stated,which are hereby made a 'art of this policy,
xgether with such other provisions,stipulations and agreements as may be added hereto,as provided in this policy.
•
,GR 257(06/92)
ROPPL
•
. +t
ENDORSEMENT
AGRICULTU"AL INSURANCE COMPANY
Insured: i PUBLIC ENTITY PROPERTY INSURANCE PROGRAM Endorsement No.: P
Policy No.: CPP 3211352 Additional: X R turn:
Effective Date Premium: $ 22 537.
of Endorsemen SEPTEMBER 1, 2000
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
IN CONSIDERA ION OF THE ADDITIONAL PREMIUM OF $22.537., IT IS UNDERSTOOD AND AGREED THAT
WASHINGTON ITIES INSURANCE AUTHORITY IS HEREBY ADDED PER THE ATTACHED DECLARATION. THE
NAMED INSUR:D IS MORE FULLY DEFINED IN ITEM 1 OF THE RESPECTIVE DECLARATION OF REINSURANCE
AND ENDORS:MENT #17 ATTACHED TO THIS ENDORSEMENT. THE ELECTRONIC DATE RECOGNITION
EXCLUSION AN' THE AUTOMATIC ACQUISITION CLAUSE ARE MORE FULLY DEFINED IN ENDORSEMENT NO.
16, AND NO. 18, RESPECTIVELY, AS ATTACHED TO THIS ENDORSEMENT.
I !
•
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
. A .
( HO E E RESEN A VE)
GAO 3016-12/99
11/20/00 TC/ma
DECLARATIONS PAGE
1) REI SURED:
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA)
As mor: fully described in "NAME OF INSURED" (Section I, Item 1) and Named Insured
Endors:ment No. 17
2) MAI ING ADDRESS: P. O. BOX 1165
RENTON, WA 98057
3) POLICY PERIOD: SEPTEMBER 1, 2000 12:01AM TO SEPTEMBER 1, 2001
12:01AM
4) LIMI AND SUB-LIMITS OF LIABILITY:
1. $ 500,000,000 Per Occurrence: All Perils, Coverages and Insureds/Members combined, subject to -
sub-limits
Sub limits:
A. 25S 000 000 Per Occurrence and in the Annual Aggregate as respects-Flood-all coverages i
B. $ 101 000 000 Per Occurrence and in the Annual Aggregate as respects Earthquake Shock- -all 'coverages
C. $ 100,000,000 Combined Business Interruption, Extra Expense, Rental Income and Tax Interruption
D $' 25,000,000 Miscellaneous Unnamed Locations and automatic acquisition as respects existing and new members
111 as per endorsement No. 18 (including earthquake) No new members for onl a tomobile
coverage
E. $ 25 000,000 Landscaping,tees,sand traps,greens and athletic fields
F. $ 25,000,000 Errors&Omissions
G. $ 25,000,000 Course Of Construction (including new for project values up to$25,000,000) i
H. $1, 1,000,000 Money&Securities
I. $ 10,000,000 Unscheduled Fine Arts
J. $;I 500,000 Accidental Contamination
K. $I 1,000,000 Tunnels, bridges, dams, catwalks(except those not for public use) ,roadways, highw-ys, streets,
sidewalks,culverts,street lights and traffic signals unless a specific value has beer declared
L. $ 100,000,000 Demolition and Increased Cost of Construction due to the enforcement of building cod s
$ 25,000,000 Transit
$I 1.000,000 Animals; except$100,000 Specially Trained Animals
$' 1,000,000 Watercraft under 27 feet or less unless scheduled •
$. 50.000 Newly Acquired Vehicles(current members with auto coverage only) • '
$1 Not covered Replacement power extra expense at scheduled utility locations
$ _ 5,000,000 Off premises services interruption including extra expense resulting from a covered pe 'I at non-
owned/operated locations
$ No:Covered Contingent business interruption resulting from a covered peril at non owned/operated ower
generating facilities
$, Not applicable Per occurrence and in the annual aggregate: Earthquake shock on licensed vehicles, nlicensed
vehicles,contractors equipment and fine arts combined for all insureds/members combined that
do not purchase optional coverage Item-A): Earthquake Shock
As more fullydescribed in "LIMITS OF LIABILITY" (Section I — Item
4)
II
W.C.I.A.-PEPIP 2000 Declaration
5) DE I UCTIBLE(S):
A. "BA-IC"ALL PERILS AND COVERAGES(EXCEPT SPECIFIED PERIL OR COVERAGE
DED CTIBLE SHOWN BELOW):
Ded ctible: $50,000 Per Occurrence
B. SPECI lED PERILS AND COVERAGE DEDUCTIBLES
$ 100,000 Per Occurrence—Flood
2% Per Unit of Insurance (Real &Personal Property and Time Element) subject to$100,000
inimum Per Occurrence- Earthquake Shock, except
J a. Vehicles or Contractors Equipment-$25,000 Per Vehicle/Item subje t to
$100,000 maximum as respects the perils of Earthquake or Flood
b. Fine Arts -$50,000 Per Occurrence—Earthquake or Flood
$1 50,800 Per Occurrence-vehicle property damage
$1 50,800 Per Occurrence-vehicle collision damage
$, 1,100 Per Occurrence-Specially Trained Animals
$500,800 Per Occurrence -Tunnels, bridges, dams, catwalks ( except those not for public use) ,
roadways, highways, streets, sidewalks, culverts, street lights and traffic
signals unless a specific value has been declared
24 ho r waiting period—All:Perils: Service Interruption
$I10,800 -Course of Construction—All Perils except Earthquake & Flood
As more fully described in " DEDUCTIBLE PROVISIONS" ( Section I—Item 5)
6) OPT!/NAL COVERAGE PARTICIPATION
It is u derstood and agreed that the certain Member Agencies participate in Optional Coverage on
this "olicy as set forth below:
M:MBER AGENCY "BASIC" COVERAGE APPLICABLE
DEDUCTIBLE OPTIONAL
COVERAGES*1
%All member per Named $ 50,000 A, B, C, E
In-ured Endorsement No. 17
r
*OP IONAL COVERAGES IDENTIFICATION:
A) Earthquake Shock
B) Licensed Vehicles
C) Contractors Equipment/Unlicensed Vehicles
D) Scheduled Fine Arts
E) Flood
4,4
W.CJ.A. EPIP 2000 Declaration
Endorsement No. 16
ELECTRONIC DATE RECOGNITION EXCLUSION
It is ereby understood and agreed that all members and named insureds have
coy:rage as described and defined in Endorsement No. 14 — Electronic Date
Recognition Exclusion-Wordings A
It is urther understood and agreed that as respects members and named
insu eds listed below, Electronic Date Recognition Exclusion — Wordings A is
herby deleted and replaced with Endorsement no. 15- Electronic Date
Recognition Exclusion —Wordings B (All Risks Write Back).
This change applies to the following members:
All members of Washington Cities Insurance Authority (WCIA)
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED.
W. C. I.A. - PEPIP 2000
Endor.ement No. 16
•
•
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
The members of the WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) are:
The Members of the Washington Cities Insurance Authority are:
A Regional Coalition for Housing Town of La;Conner
City of Aberdeen City of Lacey
City of Arlington City of Lake Forest Park
City of,Auburn City of Lake Stevens
City of Bainbridge Island City of Leavenworth
City of Battle Ground City of Long Beach
Benton County Emergency Services City of Longview
City of Bothell City of Mabton
City of Burien City of Maple Valley
City of Camas City of Marysville
City of Centralia Marysville Fire District •
City of Chehalis City of McCleary
City of Chelan City of Medical Lake
City_of Clarkston City of Medina
City of Clyde Hill City of Mercer Island
Town of Coupeville City of Mill'Creek
City of Covington City of Milton
Cowlitz Sewer Operating Board City of Monroe
City of Des Moines Monroe Fire District
Eastside Public Safety Commission City of Montesano
City of Edgewood , City of Mount Vernon
City of Edmonds City of Mountlake Terrace
City of Elma City of Mukilteo
Emergency Services Coord. Agency City of Newcastle
City of Enumclaw City of Normandy Park
City of Grandview City of North Bonneville
City of Goldendale City of Ocean Shores
Grays Harbor Communications City of Pacific
City of Hoquiam City of Olympia
City of Issaquah Penninsula Communications
City of Kelso t. City of Port Angeles
City of Kenmore City of Port Townsend
City of Kirkland
WCIA—2000 Form
Endorsement#17
.d i
••, ail '
•
ENDORSEMENT NO. 17
NAMED INSURED-MEMBER SCHEDULE
The members of the WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) are:
II
of Puyallup City
Cityof Tukwila
Y P
City of Renton City of Tumwater
City of Richland City of Union Gap
City of Sammamish City of University Place
City of Shelton Valley Corn
City of Shoreline City of Walla Walla
Skagit Washington Cities.Insurance A thority(WCIA)
Skagit Emergency Communication Center(SECOM) City of Washougal
SNOCOM Water Operating Board (WOB)
City of Snohomish City of Westport
SNOPAC City of Woodinville
City of Snoqualmie Town of Woodway
City of Stanwood Yakima Valley Conference of 'ovts.
Town of Steilacoom City of Zillah
City of Sumner •
City of Toppenisli
WASHINGTON CITIES INSURANCE AUTHORITY (WCIA) shall be deemed the sol-
agent of each and every Association/Pool member for the purpose of:
0) giving notice of cancellation,
1(2) giving instructions for changes in the Policy and accepting changes in this Policy and
(3) the payment of assessments/premiums or receipt of return assessments/premiums
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
r
WC —2000 Form
Endorsement#17
,J I
•
ENDORSEMENT NO. 18
AUTOMATIC ACQUISITION CLAUSE
The provisions of this automatic acquisition clause do not increase 1) the occurrenc-
limitis) of liability, 2) the sub-limit(s) of liability or 3) the aggregate limit(s) provisions o
this (overage.
1. Existing Named Insured Members
Any named insured member at coverage inception may increase or decreas-
total insured values for all coverage's and all perils (EXCLUDING CALIFORNIA
EARTHQUAKE) purchased at inception subject to a maximum change in values
not exceeding $ 25,000,000 at any one time.
11
The reporting of the changes to underwriters and the applicable additional or
return premium will be provided to/from the underwriters:
o Every 6 months with additional/return premium due/payable
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
Immediately to underwriters for acceptance and additional/return premium
confirmation.
2.1� Special Provisions Applicable to California Earthquake Coverage
Any named insured at coverage inception that purchases California earthquake
coverage at inception may increase or decrease total insured values as respects
California earthquake coverage subject to a maximum change in values not
exceeding NO COVERAGE at anyone time.e g $
The reporting of the changes to underwriters and the applicable additional 'I.or
return premium twill be provided to/from the underwriters:
o NO COVERAGE
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
immediately to underwriters for acceptance and additional/return premium
confirmation.
PEPIP 2000 .
Enid ors ment No. 18
� I I
3. Provisions Applicable to new/deleted Named Insured Members
The "First Named Insured" may add/delete named insured members to th
coverage herein .provided subject to a maximum change in total insured value
exceeding25,000,000 f not $ or one named insured member.
any
COVERAGE FOR AUTOMOBLIESNEHICLES ONLY CANNOT BE ADDED
REGARDLESS OF VALUES
CALIFORNIA EARTHQUAKE IS EXCLUDED FROM THIS PROVISION
The reporting of new/deleted named insured members to underwriters and the
applicable additional or return premium will be provided to/from the underwriters:
❑ Every 6 months with additional/return premium due/payable
III
The additional/return premium will be determined based on agreed rates.
New/deleted named insured members with total insured values exceeding the
stated limitation will be reported immediately to underwriters for acceptance
and additional/return premium confirmation.
I it
4 Provisions Applicable to Optional Coverage's
Any named insured member at coverage inception (or added as per provisions in
item 3) may effect optional coverage's of 1) Licensed Vehicles, 2) Contractor's
equipment / Unlicensed Vehicles or 3) Scheduled Fine Arts subject to a
maximum in total insured' values not exceeding100,000optional coverage
e
$ per co g
at any one time.
The reporting of the changes to underwriters and the applicable additional or
return premium will be provided to/from the underwriters:
❑ Every 6 months with additional/return premium due/payable
The additional/return premium will be determined based on agreed rates.
Changes in total insured values exceeding the stated limitation will be reported
Immediately to underwriters for acceptance and additional/return premium
Confirmation.
III ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
• .-PEPIP 2000
Endors,ment No. 18
P. E. P. I. P. - USA
Washington Cities Insurance Authority(WCIA)
Reinsurance Period: 9/1/00 to 9/1/01 •
•
Binder#000350
SCHEDULE OF REINSURANCE COMPANIES
•
•
Policy#/Reins.
Company Certificate Participation ' Premium
Reinsuring Companies of:(WCIA)
A) (association policy no.) $ 14,939.72
Reinsurance Certificate NO. LU 002 9117
Swiss Re New Markets/SR International 13.00% 1
XL Europe Insurance 12.50%
Subtotal 25.50%
B) Reinsuring Company&Lloyds Syndicate&Number of:(WCIA) (association policy no.) $223,118.28
Reinsurance Certificate NO. LU 002 9117 •
Munich American Risk Partners/Great Lakes 11.25%
Wellington Syndicate WEL2020 8.500%
M.E.Brockbank Syndicate MDR 861 /MEB 1209/NJM 588/MEB 1209 10.625%
Harvey Bowring Syndicate WEH 362/HRB 823 6.375%
S.J. Catlin Syndicate 1003/2003 4.250%
ACE Glob:I Markets Syndicate AGM 2488 4.250%
F.R.Whit: Syndicate 190 4.250%
Subtotal 49.50%
•
C) Reinsurin• Insu = ca Companies&Lloyds Syndicate/Number of:(WCIA) (association policy no.) •
•50 000 010 •rima
Westches er Fire Insurance Company RAL 646 202 12.50% 47,891.55
Coregis In-urance Co. 651-008823 7.50% 28,734.93
450 000 010 excess of 50 000 000
•
D.P.Mann •yndicate 435(8.333%)and Cox Property&Casualty 2027(4.167%) Included above
Exces- ($450MM xs$50MM) Reinsurance Certificate No. LU 002 9345 , 13,522.32 •
500 000 010 Loss Limit
Agricultural Insurance Co. CPP 321 1352 5.00% 22,537.20
•
• Subtotal 25.00%
TOTAL /00.00% $ 0,744.00
•
• f?.EFfI?:20OfENSEIEAfCE::::i::>:::::<::<:>:::: >::»:'.>:<.::»:<::::i::::?>::::>:'.:>:::>::>::» :: ::
f
•
IL 00 17 11 98
COMMON POLICY CONDITIONS
All Coverag- Parts included in this policy are subject to the following conditions.
A. Cancell•tion b. Give you reports on the conditiors we find;
1. The rst Named Insured shown in the Declara- and
tions may cancel this policy by mailing or de- c. Recommend changes.
li'eri g to us advance written notice of can- 2. We are not obligated to make any inspections,
cellat on. surveys, reports or recommendation and any
2. We ay cancel this policy by mailing or deliv- such actions we do undertake relate only to in-
ering to the first Named Insured written notice surability and the premiums to be charged. We
of ca cellation at least: do not make safety inspections. We do not un-
a. 1• days before the effective date of can- dertake to perform the duty of any person or
c;llation if we cancel for nonpayment of organization to provide for the health or safety
• pr-mium; or of workers or the public. And we do not warrant
that conditions:
b;! 3. days before the effective date of can- a. Are safe or healthful; or
cellation if we cancel for any other reason.
3. 'A a ill mail or deliver our notice to the first b. Comply with laws, regulations, codes or
Nam=d Insured's last mailing address known to standards.
us. 3. Paragraphs 1. and 2. of this condition apply
4. Notic: of cancellation will state the effective not only to us, but also to any rating, advisory,
date if cancellation. The policy period will end rate service or similar organization which
on th-t date. makes insurance inspections, surveys, reports
or recommendations.
. • 5. If(this policy is cancelled, we will send the first
Name. Insured any premium refund due. If we 4. Paragraph 2. of this condition does not apply
cance , the refund will be pro rata. If the first to any inspections, surveys, reports or recom-
Name• Insured cancels, the refund may be mendations we may make relative to' certifica-
less t an pro rata. The cancellation will be ef- tion, under state or municipal statutes, ordi-
nances or regulations, of boilers, pressure ves-
fectiv: even if we have not made or offered a
refun•. sels or elevators.
6. If hob, e is mailed, proof of mailing will be suf- E. Premiums
fluent proof of notice. The first Named Insured shown in the Declara-
B. Changes tions:
This policy contains all the agreements between 1. Is responsible for the payment of all premiums;
•
you and us concerning the insurance afforded. and
The first Named Insured shown in the Declara- 2. Will be the payee for any return pre iums we
tions Is a thorized to make changes in the terms pay.
of this po icy with our consent. This policy's terms F. Transfer Of Your Rights And Duties Under
can be a ended or waived only by endorsement This Policy
issued by us and made a part of this policy.
C. Examina ion Of Your Books And Records Your rights and duties under this policy may not
be transferred without our written consent except
We may -xamine and audit your books and rec- in the case of death of an individual n med in-
ords as th-y relate to this policy at any time during sured.
the policy period and up to three years afterward. If you die, your rights and duties will e trans-
D. Inspectio s And Surveys ferred to your legal representative but only while
1. We ha e the right to: acting within the scope of duties as your egal rep-
resentative. Until your legal representati a is ap-
a.' Ma e inspections and surveys at any time; pointed, anyone having proper temporary custody
_ of your property will have your rights'' and duties
but only with respect to that property.
IL 00 1711 9 Copyright, Insurance Services Office, Inc., 1998 Pa g e 1 of 1 0
CITY OF RENTON
FEB 0 6 2003
�a
RECEIVED
ace u s a CITY CLERKS OFFICE
AIRPORT OWNERS AND OPERATORS GENERAL LIABILITY POLICY
ACE PROPERTY AND CASUALTY INSURANCE COMPANY
1601 Chestnut Street, P. O. Box 41484
Philadelphia, PA 19101-1484
IN WITNESS WHEREOF, ACE Property and Casualty Insurance Company has caused this
policy to be executed and attested. This policy is a valid contract when countersigned by an
authorized representative (where required by law).
GEORGE O. MULLIGAN, Secretor,' SUSAN RIVERA. President
AAP200 (11-99)
TM
ace usa DECLARATIONS
This Insurance Policy is issued By:
ACE PROPERTY AND CASUALTY INSURANCE COMPANY Policy Number:AAP N00053983
1601 Chestnut Street, Philadelphia, Pennsylvania 19101 Renewal of: AAP N00032815
Named Insured and Mailing Address:
City of Renton
1055 S. Grady Way
Renton
Washington
Zip: 98055
The Named Insured is: A Public Corporation
Location of the Airport(s) You Own or Operate:
RNT Renton Municipal Airport, Renton, WA
W36 Will Rogers Wiley Post Memorial Seaplane Base, Renton, WA
Policy Period: From: January 1,2003 To: January 1,2004
at 12.01 a.m.Standard Time at your mailing address shown above.
In return for the payment of the premium, and subject to all of the terms of this policy, we agree with you to
provide the insurance as stated in this policy.
Limits of Insurance:
Products-Completed Operations Aggregate Limit $50,000,000
Personal Injury and Advertising Injury Aggregate limit $50,000,000
Malpractice Aggregate Limit $50,000,000
Each Occurrence Limit $50,000,000
Fire Damage Limit Any One Fire $100,000
Medical Expense Limit Any One Person $3,000
Hangarkeepers Limit Any One occurrence $50,000,000
Hangarkeepers Limit Any One Aircraft $50,000,000
Non-Owned Aircraft Liability Limit Any One Occurrence $50,000,000
Deductibles:
Each Occurrence or Offense Deductible Nil
Aggregate Deductible Nil
Premium:
Advance Premium $32,862
Extended Coverage Endorsment AAP 203 (11-01) Not Insured
Endorsement Premium Included
Total Advance Premium $32,862
Policy Forms and Endorsements are described in the attached Schedule of E orsements.
Signature
By Authorized Representative
AAP201 (11-99)
�i
Policy Number: AAF'":'10053983
Effective Date: January 1,2003
Insured: City of Renton
SCHEDULE OF ENDORSEMENTS
The endorse ents listed below form part of this policy at inception and are deemed to have been signed by
the same Aut orized Representative that signed the Declarations (form AAP 201 11/99).
Endorsement No.
TITLE and Edition Date
Amendment . Noise and Pollution and Other Perils Exclusion AAP 204 (11/99)
Extension Sp:cific Excess Liability Insurance -Automobile Liability AAP 211 (11/99)
Immunity er Endorsement , AAP 220i (11/99)
Nuclear Risks Exclusion Clause AAP 237 (11/99)
Excess Auto obile Liability AAP 238 (11/99)
Date Recogni ion Exclusion Endorsement AAP 256 (11/99)
Premium iAud t Endorsement AAP 257 (11/99)
Washington •hanges - Cancellation and Nonrenewal AAP WA (11/99)
Washington •hanges 9001-WA (11/99)
J
AAP 201 S (11/99)
Alft i j
AIRPORT OWNERS AND OPERATORS LIABILIT vi'OLICY
INDEX
Please Read Your Policy
SECTION I -COVERAGES 2
COVE- A GE A. BODILY INJURY AND PROPERTY DAMAGE LIABILITY 2
In-uring Agreement ,2
E lusions 21
COVE- A GE B. PERSONAL AND ADVERTISING INJURY LIABILITY 6
In.uring Agreement 6 1
E Iclusions 6
COVE' AGE C. MEDICAL PAYMENTS 17
In..uring Agreement 7
E iclusions 7
COVE AGE D. HANGARKEEPERS LIABILITY 8
In'.uring Agreement $
E clusions 8
COVE- A GE E. NON-OWNED AIRCRAFT LIABILITY 8
In.uring Agreement 8
E clusions 9
SUPPL MENTARY PAYMENTS -COVERAGES A, B, D AND E 10
SECTION II -COMMON COVERAGE EXCLUSIONS 11
SECTION II -WHO IS AN INSURED 12
SECTION I -LIMITS OF INSURANCE AND DEDUCTIBLES 14
�SECTION -CONDITIONS 15
SECTION I - DEFINITIONS 19
' II
AAP 20 2I�(11 99) Page 1 of 23
(7) "Aircraft' in your care, custody or control or "aircraft" while being serviced, handled or
maintained by you.
Pairagraph (2) of this exclusion does not apply if the premises are "your work" and were never
occupied, rented or held for rental by you.
Paragraphs (3), (4), (5) and (6) of this exclusion do not apply to liability assumed under a
sidetrack agreement.
Paragraph (4) of this exclusion does not apply to"property damage":
(a)1 to an "auto" or "mobile equipment" when your control is solely traffic control, but this
exception does not override Exclusion j. above;
(b) to an "auto"while on the"airport"; or
(c) to baggage or cargo handled by you, provided you are not handling the baggage or
cargo as bailee for hire.
Paragraph (6) of this exclusion does not apply to " roe damage" included in the "products-
completed PPY "property g P
completed operations hazard".
Pairagraph (7) of this exclusion does not apply to "property damage" to "aircraft" when your
control is solely traffic control, but this exception does not override Exclusion j above.
I. ' D Image to Your Product
"Property damage"to"your product" arising out of it or any part of it.
m. 'I D mage to Your Work ,
"P operty damage" to "your work" arising out of it or any part of it and included in the
"p oducts-completed operations hazard".
Th s exclusion does not apply if the damaged work or the work out of which the damage arises
w s performed on your behalf by a subcontractor.
n. D mage to Impaired Property or Property Not Physically Injured
"Property damage" to "impaired property" or property that has not been physically injured,
arising out of:
(1) A defect, deficiency, inadequacy or dangerous condition in "your product" or"your work";
or
; (2) A delay or failure by you or anyone acting on your behalf to perform a contract or
'i agreement in accordance with its terms.
This exclusion does not apply to the loss of use of other property arising out of sudden and
accidental physical injury to "your product" or"your work" after it has been put to its intended
use.
o. Recall of Products,Work or Impaired Property
D mages claimed for any loss, cost or expense incurred by you or others for the loss, of use,
wi hdrawal, recall, inspection, repair, replacement, adjustment, removal or disposal of:
(1 "Your product';
(2) "Your work"; or
(3) "Impaired property";
AAP 202(11- 9) Page 5 of 23
if -uch product, work or property is withdrawn or recalled from the market or from use by any
pe son or organization because of a known or suspected defect, deficiency, inadequacy or
da gerous condition in it.
Excl,usi•ns c. through o. do not apply to damage by fire to premises rented to you. A separate limit
of incur-.nce applies to this coverage as described in LIMITS OF INSURANCE (SECTION IV).
COVERAGE B. PERSONAL AND ADVERTISING INJURY LIABILITY
1. Insuirin• Agreement .
a. W: will pay those sums that you become legally obligated to pay as damages because of
"p:rsonal injury" or "advertising injury" to which this insurance applies. We will have the right
an. duty to defend any "suit" seeking those damages. We may at our discretion investigate
an offense and settle any claim or"suit"that may result, but:
(1) The amount we will pay for damages is limited as described in LIMITS OF INSURANCE
(SECTION IV); and
(2) Our duty to defend ends when we have used up the applicable LIMITS OF INSURANCE
in the payment of judgments or settlements under Coverage B.
N• other obligation or liability to pay sums or perform acts or services is covered unless
ex•licitly provided for under SUPPLEMENTARY PAYMENTS- COVERAGES A, B, D AND E.
b. Th s insurance applies to:
(1) "Personal injury" caused by an offense excluding advertising, publishing, broadcasting or
telecasting done by or for you;
(2) "Advertising injury" caused by an offense committed in the course of advertising your
goods, products or services;
but only if:
(a) The offense was committed or alleged to have been committed unintentionally by you or
any of your employees while engaged in their employment by you; and
(b) The offense was committed or alleged to have been committed in the "coverage territory"
during the policy period and arises out of your"airport operations"
2. Exciusi•ns .
This ins rance does not apply to:
a. ; "Personal injury" or"advertising injury":
' (1 Arising out of any oral or written publication of material, if done by or at the direction of
the insured with knowledge of its falsity;
(2 Arising out of any oral or written publication of material whose first publication took place
before the beginning of the policy period;
(3 Arising out of the willful violation of a penal statute or ordinance committed by or with the
consent of the insured;
(4 For which the insured has assumed liability in a contract or agreement. This exclusion
does not apply to liability for damages that the insured would have in the absence of the
contract or agreement; or
AAP 202'(11-•9) Page 6 of 23
(5 Arising out of the conduct of any airmeet, contest or exhibition permitted, sponsored or
participated in by any insured. This exclusion does not apply to static displays.
b. "A vertising injury" arising out of:
(1) Breach of contract, other than misappropriation of advertising ideas under an implied
contract;
(2 The failure of goods, products or services to conform with advertised quality or
performance; '
(3 The wrong description of the price of goods, products or services; or 1
(4) An offense committed by an insured whose business is advertising, broadcasting,
publishing or telecasting.
c. I A y offense which was committed or alleged to have been committed in any State which does
no recognize a cause of action for that offense based on negligence.
'1
COVERAG C. MEDICAL PAYMENTS
1
1. Insyrin Agreement . ,
a. i W will pay medical expenses as described below for"bodily injury" caused by an accident:
1 (1 On your"airport"; or
' (2 Because of your"airport operations";
pr vided that:
(1 The accident takes place in the"coverage territory"and during the policy period;
' (2 The expenses are incurred and reported to us within one year of the date of the accident;
and
(3 The injured person submits to examination, at our expense, by physicians of our choice
as often as we reasonably require.
b. ' W will make these payments regardless of fault. These payments will not exceed the
applicable LIMITS OF INSURANCE. We will pay reasonable expenses for:
(1 First aid at the time of an accident;
' (2 Necessary medical, surgical, x-ray and dental services, including prosthetic devices; and
(3 Necessary ambulance, hospital, professional nursing and funeral services.
1
2. Exclusi•ns .
We will of pay expenses for"bodily injury":
a. T• any insured.
b. i T• a person hired to do work for or on behalf of any insured or a tenant of any insured.
c. T• a person injured on that part of premises you own or rent that the person normally
o upies.
d. T• a person,whether or not an employee of the insured, if benefits for the "bodily injury" are
p-yable or must be provided under a workers' compensation or disability benefits law or a
si ilar law.
AAP 202!(11- 9) Page 7 of 23
1
e. T• a person injured while taking part in athletics.
f. In,luded within the"products-completed operations hazard".
g. E cluded under Coverage A.
COVERAG D. HANGARKEEPERS LIABILITY
1. Insurin• Agreement .
a. W- will pay those sums that the insured becomes legally obligated to pay as damages
be -use of physical injury to "aircraft" to which this insurance applies. We will have the right
j an. duty to defend any "suit" seeking those damages. We may at our discretion investigate
an "occurrence"and settle any claim or"suit"that may result, but:
(1 The amount we will pay for damages is limited as described in LIMITS OF INSURANCE
(SECTION IV); and
(2 Our duty to defend ends when we have used up the applicable LIMITS OF INSURANCE
in the payment of judgments or settlements under Coverage D.
N other obligation or liability to pay sums or perform acts or services is covered unless
ex licitly provided for under SUPPLEMENTARY PAYMENTS - COVERAGES A, B, D AND E.
b. T is insurance applies to physical injury only if:
(1 The "aircraft" is in your care, custody or control or while the "aircraft"is being serviced,
handled or repaired by you; and
(2 The physical injury to "aircraft" is caused by an "occurrence" that takes place on the
premises of the"airport"; and
(3 The physical injury to "aircraft"occurs during the policy period.
c. D mages because of physical injury include damages claimed for all resultant loss of use of
su h aircraft.
2. Exclus°ons .
This insurance does not apply to:
a. Physical injury to"aircraft"you own.
b. I Physical injury to"aircraft"you rent, lease or which are on loan to you.
c. Physical injury to"aircraft"while"in flight".
d. ; Physical injury to "aircraft"for which the insured is obligated to pay damages by reason of the
assumption of liability in a contract or agreement. This exclusion does not apply to liability that
1 th• insured would have in the absence of the contract or agreement.
COVERG• E. NON-OWNED AIRCRAFT LIABILITY
1. Insii ring_• Agreement .
a. W- will pay those sums that the insured becomes legally obligated to pay as damages
because of"bodily injury" or "property damage" to which this insurance applies. We will have
I I
AAP 202'F,(11-•9) Page 8 of 23
' thg right and duty to aefend any "suit" seeking those damages. We may at our discretion
investigate any"occurrence" and settle any claim or"suit"that may result, but:
(1) The amount we will pay for damages is limited as described in LIMITS OF INSURANCE
(SECTION IV); and
(21 Our duty to defend ends when we have used up the applicable limit of insurance in the
payment of judgments or settlements under Coverage E.
No other obligation or liability to pay sums or perform acts or services is covered unless
explicitly provided for under SUPPLEMENTARY PAYMENTS - COVERAGES A, B, D AND E.
b. ; This insurance applies to"bodily injury"and "property damage" only if:
(1 The "bodily injury" or"property damage" is caused by an "occurrence" that takes place in
the"coverage territory"; and
(2 The "bodily injury"or"property damage" occurs during the policy period; and
, (3) The "bodily injury" or"property damage" arises out of your use of any aircraft, or its use
on your behalf, provided that:
(a) The aircraft is not owned by you in whole or in part;
(b) The aircraft is not on lease to you;
(c) The aircraft is not subject to a lease-purchase agreement to which you are a party;
and
(d) The aircraft is used in connection with your"airport operations".
c. Damages because of "bodily injury" include damages claimed by any person or organization
f r care, loss of services or death resulting at any time from the "bodily injury".
2. Exclusions .
This in urance does not apply to:
a. ' "Bodily injury" or "property damage" expected or intended from the standpoint of the insured.
T'his exclusion does not apply to "bodily injury" resulting from the use of reasonable force to
' p otect persons or property.
b. " odily injury" or "property damage" for which the insured is obligated to pay damages by
reason of the assumption of liability in a contract or agreement. This exclusion does not apply
to liability for damages:
(1) Assumed in a contract or agreement that is an "insured contract" provided the "bodily
injury" or "property damage" occurs subsequent to the execution of the contract or
agreement; or
' (, ) That the insured would have in the absence of the contract or agreement.
c. " roperty damage"to the aircraft.
d. ny obligation of the insured under a workers' compensation, disability benefits or
unemployment compensation law or any similar law.
e. Bodily injury"to:
1) An employee of the insured arising out of and in the course of employment by the
insured; or
•
AAP 202(1 -99) Page 9 of 23
I
' (2 The spouse, child, parent, brother or sister of that employee as a consequence of (1)
above.
T is exclusion applies:
(1 Whether the insured may be liable as an employer or in any other capacity; and
1 (2 To any obligation to share damages with or repay someone else who must pay damages
because of the injury.
T is exclusion does not apply to liability assumed by the Insured under an "insured contract".
f. II " odily injury"or"property damage" included in the "products-completed operations" hazard.
g. " odily injury" or "property damage" arising out of your use of any aircraft or its use I on your
b half, if the aircraft is operated "in flight" by a pilot who is not properly certificated and rated
b the F.A.A. for the flight involved.
This exclusion does not apply if the aircraft so operated is without your knowledge or consent.
h. 1 "Froperty damage"to:
(1) Property you own, rent or occupy;
( .) Property loaned or leased to you;
I
( ) Personal property in the care, custody or control of the insured. . '
SUPPLEM: NTARY PAYMENTS -COVERAGES A, B, D AND E ,
We will pay with respect to any claim or"suit"we defend:
1
1. Alllexp-nses we incur.
2. Up'1to '.250 for cost of bail bonds required because of accidents or traffic law violations arising out of
the, us- of any vehicle to which the Bodily Injury Liability Coverage applies. We do not have to
furnish these bonds.
3. The •st of bonds to release attachments, but only for bond amounts within the applicable LIMITS
OF IN' URANCE (SECTION IV). We do not have to furnish these bonds. '
4. All reasonable expenses incurred by the insured at our request to assist us in the investigation or
defen a of the claim or"suit", including actual loss of earnings up to $100 a day because of time off
froIm ork.
5. All co is taxed against the insured in the"suit".
6. Preju gment interest awarded against the insured on that part of the judgment we pay. If.we make
an off r to pay the applicable LIMITS OF INSURANCE, we will not pay any prejudgment interest
based on that period of time after the offer.
7. ARint rest on the full amount of any judgment that accrues after entry of the judgment and before
we h-ve paid, offered to pay, or deposited in court the part of the judgment that is within the
appli -ble LIMITS OF INSURANCE.
These pay ents will not reduce the LIMITS OF INSURANCE.
AAP 202(11-99) , Page 10 of 23
I
I
I
SECTION II -COMMON COVERAGE EXCLUSIONS
included in this policyare subject to the followingexclusions.
All Coverages 1
A. Noise and pollution and other perils.
1. This policy does not cover claims directly or indirectly occasioned by, happening through or in
cdnsequence of:
' (al noise (whether audible to the human ear or not), vibration, sonic boom and any
phenomena associated therewith,
(b) pollution and contamination of any kind whatsoever,
(c) electrical and electromagnetic interference,
1
(d) interference with the use of property;
unless caused by or resulting in a crash fire explosion or collision or a recorded in-flight
emergency causing abnormal aircraft operation.
2. With respect to any provision in the policy concerning our duty to investigate or defend claims,
such provision shall not apply and we shall not be required to defend:
(a) claims excluded by Paragraph 1; or
i
(b a claim or claims covered by the policy when combined with any claims excluded by
Paragraph 1 (referred to below as"Combined Claims").
3. In respect of any Combined Claims, we shall (subject to proof of loss and the LIMITS OF
INSURANCE) reimburse you for that portion of the following items which may be allocated to
the claims covered by the policy:
(i) damages awarded against any insured; and '
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(ii) defense fees and expenses incurred by any insured.
4. Nothing herein shall override any radioactive contamination or other exclusion clause attached
to or forming part of this policy.
B. War, hi-jacking and other perils.
This policy does not cover claims caused by:
(a) War, invasion, acts of foreign enemies, hostilities (whether war be declared or not), civil war,
rebellion, revolution, insurrection, martial law, military or usurped power or attempts at
uslurpation of power.
(b) Any hostile detonation of any weapon of war employing atomic or nuclear fission and/or fusion
il or other like reaction or radioactive force or matter.
(c) Strikes, riots, civil commotions or labor disturbances.
(d) ,, Any act of one or more persons, whether or not agents of a sovereign Power, for political or
to lrorist purposes and whether the loss or damage resulting therefrom is accidental or
intentional.
(e) Any malicious act or act of sabotage.
(f) Confiscation, nationalization, seizure, restraint, detention, appropriation, requisition for title or
use by or under the order of any Government (whether civil military or de facto) or public or
local authority.
AAP 202,(11-99) Page 11 of 23
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(g) ;Hijacking or any unlawful seizure or wrongful exercise of control of the aircraft or crew in flight
p(including any attempt at such seizure or control) made by any person or persons on board the
!aircraft acting without the consent of the Insured.
Furtherrrore this policy does not cover'claims arising while the aircraft is outside the control of the
insured by reason of any of the above perils.
The aircraft shall be deemed to have been restored to the control of the insured on the safe return of
the aircraft to the insured at;an airfield not excluded by the "coverage territory" of this policy, and
entirely suitable for the operation of the aircraft (such safe return shall require that the aircraft be
parked With engines shut down and under no duress).
C. Radioactive Contamination.
1. 'This policy does not cover:
(a) loss or destruction of or damage to any property whatsoever or any loss or expense
+, whatsoever resulting or arising therefrom
(b) any legal liability of whatsoever nature
directly or indirectly caused or contributed to by or arising from ionizing radiations or
contamination by radioactivity from any source whatsoever.
2. Los, destruction, damage, expense or legal liability which, but for the provisions of paragraph
1. o 9 f this exclusion, would be covered by this policy, and is directly or indirectly caused or
contributed to by or arises from ionizing radiations or contamination by radioactivity from any
radioactive materials in course of carriage as cargo under International Air Transport
!;Association Regulations, shall (subject to all other provisions of this policy) be covered,
q pr•vided that:
Ni a. it shall be a condition precedent to our liability that the carriage of any radioactive
material shall in all respects comply with the current regulations issued 'by. the.
International Air Transport Association relating to the carriage of restricted articles byair;
' b. this policy shall only apply to any claim made against the insured arising out of any
accident or incident occurring during the period of.this insurance and any such claim
made by the insured against us or by any claimant against the insured shall have been
made within three years after the date of the occurrence giving rise to the claim;
c. the cover afforded by this paragraph 2. may be cancelled at any time by us giving seven
days notice of cancellation. 1 •
SECTION III -WHO IS AN INSURED
1. If you are designated in the Declarations as:
a. An individual, you and your spouse are insureds, but only with respect to your "airport .
operations".
b. A partnership or joint,venture, you are an insured. Your members, your partners, and their
s ouses are also insureds, but only with respect to your"airport operations".
AAP 202'(11-99) Page 12 of 23
c. .' A ublic corporation, you are an insured. Your elective or appointive officers or members of
any board or commission or agency of yours are also insureds, but only with respect to your.
"airport operations".
d. An organization other than a partnership, joint venture or public corporation, you are an
insured. Your executive officers and directors are insureds, but only with respect to their duties
as your officers or directors. Your stockholders are also insureds, but only with respect to their
liability as stockholders.
2. Each of the following is also an insured:
a. a Your employees, other than your executive officers, but only for acts within the scope of their
errjployment by you with respect to your"airport operations".
b. If you are designated in the Declarations as a public corporation, employees of your boards,
commissions or agencies, other than executive officers, but only for acts within the scope of
their employment by those boards, commissions or agencies with respect to your "airport
operations".
However, no employee of yours or your boards, commissions or agencies is an insured for:
(1) "Bodily injury" or"personal injury"to you or to a co-employee while in the course of his or
her employment, or the spouse, child, parent, brother or sister of that co-employee as a
consequence of such "bodily injury" or "personal injury", or for any obligation to share
damages with or repay someone else who must pay damages because of the injury; or
(2), "Bodily injury" or "personal injury" arising out of his or her providing or failing to provide
professional health care services; or
(3) "Property damage" to property owned or occupied by or rented or loaned to that
employee, any of your other employees, or any of your partners or members (if you are a
partnership or joint venture).
c. ; Any person (other than your employee), or any organization, while acting as your real estate
manager.
d. , Any person or organization having proper temporary custody of your property if you die, but
only:
ti (1) With respect to liability arising out of the maintenance or use of that property; and
(2) Until your legal representative has been appointed.
e. Your legal representative if you die, but only with respect to duties as such. That
representative will have all your rights and duties under this policy.
3. With respect to "mobile equipment" registered in your name under any motor vehicle registration
law,� any person is an insured while driving such equipment along a public highway with your
permission. Any other person or organization responsible for the conduct of such person is also an
insured, but only with respect to liability arising out of the operation of the equipment, and, only if no
other insurance of any kind is available to that person or organization for this liability. However, no
person or organization is an insured with respect to:
a. "Bodily injury"to a co-employee of the person driving the equipment; or
b. I "Property damage" to property owned by, rented to, in the charge of or occupied by you or the
employer of any person who is an insured under this provision.
AAP 202;01-99) Page 13 of 23
No person or organization is an insured with respect to the conduct of any current or past
partnership or joint venture'that is not shown as a Named Insured in the Declarations.
SECTION IV- LIMITS OF INSURANCE AND DEDUCTIBLES
A. LIMITS OF INSURANCE
1. T e LIMITS OF INSURANCE (SECTION IV) shown in the Declarations and the rules below fix
the most we will pay regardless of the number of:
a. Insureds;
b. Claims made or"suits" brought; or
c. Persons or organizations making claims or bringing "suits".
2. '' The Products-Completed Operations Aggregate Limit is the most we will pay under Coverage
A for all damages because of"bodily injury" and "property damage" included in the "products-
completed operations hazard".
3. The Personal and Advertising Injury Aggregate Limit is the most we will pay under Coverage B
for the sum of all damages because of"personal injury" and "advertising injury".
4. The Malpractice Aggregate Limit is the most we will pay under Coverage A for all damages
because of"malpractice".
5. Subject to 2, 3 or 4 above, whichever applies, the Each Occurrence Limit is the most we will
pay for the sum of:
a. Damages because of all "bodily injury" and "property damage" under Coverages A and
E; and
b. Medical expenses under Coverage C; and
c. Damages because of physical injury to"aircraft" under Coverage D. arising out of one
"occurrence"; and
d. Damages because of all "personal injury" and "advertising injury" under Coverage B.
arising out of one offense.
6. Subject to 5. above, the Fire Damage Limit is the most we will pay under Coverage A for
damages because of"property damage"to premises rented to you arising out of any one fire.
7. Subject to 5. above, the Medical Expense Limit is the most we will pay under Coverage C for all
medical expenses because of"bodily injury" sustained by any one person.
8. Subject to 5. above, the Hangarkeepers Limit Any One Aircraft is the most we will pay under
Coverage D for damages because of physical injury sustained by any one "aircraft" and the
Hangarkeepers Limit Any One Occurrence is the most we will pay under Coverage D for
physical injury sustained by all "aircraft" in any one "occurrence".
9. Subject to 5. above, the Non-Owned Aircraft Liability Limit Any One Occurrence is the most we
will pay under Coverage E for damages because of "bodily injury" and "property damage"
arising from one"occurrence".
The limits of this policy apply separately to each consecutive annual period and to any remaining
period of less than 12 months, starting with the beginning of the policy period shown in the
Declarations, unless the policy period is extended after issuance for an additional period of less than
12 months. In that case, the additional period will be deemed part of the last preceding, period for
purposes of determining the Limits of Insurance.
AAP 202(11-99) Page 14 of 23
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B. DEDUCTIBLES
1. Our-ob igation to pay:
a. Damages because of,"bodily injury"and "property damage" under Coverages A and E; and
b. Medical expenses under Coverage C; and '
c. Damages because of physical injury to "aircraft" under Coverage D arising out of one
occurrence; and
d. Damages because of"personal injury" and "advertising injury" under Coverage B arising out of
any one offense
applies only to the amount of damages or medical expenses in excess of the Each Occurrence or
Offense Deductible amount stated in the Declarations, but the LIMITS OF INSURANCE applicable
to Ea0 Occurrence will not be reduced by the amount of such deductible, nor will Aggregate limits
for such coverages be reduced by the application of such deductible amount.
2. + The Aggregate Deductible amount stated in the Declarations is the most you will have to pay
folr all deductible amounts under Coverages A, B, C, D and E for all damages and medical
expenses. i'
3. The terms'of this insurance, including those with respect to:
(af) Our right and duty to defend any"suits"seeking those damages; and
(b) Your duties in the event of an "occurrence", claim, or suit
9I apply irrespective of the application of the deductible amount.
4. VI We may pay any part or all of the deductible amount to effect settlement of any claim or suit
and, upon notification of the action taken, you shall promptly reimburse us for such part of the
deductible amount as has been paid by us.
The Aggregate Deductibles of this policy apply-separately to each consecutive annual period and to
any'i remaining period of less than 12 months, starting with the beginning of the policy period shown
in the declarations, unless the policy period is extended after issuance for an additional period of
less than 12 months. In that case, the additional period will be deemed the last preceding period for
purposes of determining the aggregate deductibles.
1
, , SECTION V-CONDITIONS I
1. Bankruptcy.
Bankruptcy or insolvency of the insured or of the insured's estate will not relieve ,us of our
obligations under this Policy.
2. Duties n The Event Of Occurrence, Offense, Claim Or Suit.
a. ' You must notify us as;soon as practicable of an "occurrence" or an offense which may result in
a claim. To the extent(possible, notice should include:
', (1) How, when and where the"occurrence"or offense took place; '
(2) The names and addresses of any injured persons and witnesses; and
(3) The nature and, location of any injury. or damage arising out of the "occurrence" or
offense.
b. If claim is made or"suit" is brought against any insured, you must: S
AAP 202i1'I(11-99) Page 15 of 23
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(1) Immediately record the specifics of the claim or"suit" and the date received; and
(2) Notify us as soon as practicable.
You must see to it that we receive written notice of the claim or"suit" as soon as practicable.
c. You and any other involved insured must:
(1) Immediately send us copies of any demands, notices, summonses or legal papers
received in connection with the claim or"suit";
(2) Authorize us to obtain records and other information;
(3) Fully cooperate with us in the investigation, settlement or defense of the claim or "suit";
and
(4) Assist us, upon our request, in the enforcement of any right against any person or
organization which may be liable to the insured because of injury or damage to which this
insurance may also apply.
d. I No insureds will, except at their own cost, voluntarily make a payment, assume any obligation,
or incur any expense, other than for first aid, without our consent.
II
3. Legal Action Against Us.
No,person or organization has a right under this policy:
a. To join us as a party or otherwise bring us into a"suit"asking for damages from an insured; or
b. To sue us on this policy unless all of its terms have been fully complied with.
A person or organization may sue us to recover on an agreed settlement or on a final judgment
againsi an insured obtained after an actual trial; but we will not be liable for damages that are not
payable under the terms of this policy or that are in excess of the applicable LIMITS OF
INSURANCE (SECTION IV). An agreed settlement means a settlement and release of liability
signed bby us, the insured and the claimant or the claimant's legal representative.
4. Other Insurance.
If other valid and collectible insurance is available to the insured for a loss we cover under Coverage
A, B, D or E of this policy, our obligations are limited as follows:
a. Primary Insurance
This insurance is primary except when b. below applies. If this insurance is primary, our
obligations are not affected unless any of the other insurance is also primary. Then, we will
share with all that other insurance by the method described in c. below.
b. Excess Insurance
This insurance is excess over any of the other insurance, whether primary, excess, contingent
or on any other basis:
(1) That is Fire, Extended Coverage, Builder's Risk, Installation Risk or similar coverage for
"your work";
(2) That is Fire insurance for premises rented to you; or
(3) If the loss arises out of the maintenance or use of"autos" or watercraft to the extent not
subject to Exclusion f. of Coverage A(Section I).
(4) That is Aircraft Liability insurance on any aircraft to which Coverage E (Section I) applies.
AAP 20211(11-I 99) Page 16 of 23
4',
When this insurance is excess, we will have no duty under Coverage A, B, D or E to defend
any claim or"suit" that any other insurer has a duty to defend. If no other insurer defends, we
II will undertake to do so, but we will be entitled to the insured's rights against all those other
insurers.
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When this insurance is excess over other insurance, we will pay only our share of the amount
y1 of the loss, if any, that exceeds the sum of:
al ( ) The total amount that all such other insurance would pay for the loss in the absence of
this insurance; and
(2) The total of all deductible and self-insured amounts under all that other insurance.
W� will share the remaining loss, if any, with any other insurance that is not described in this
ul Excess Insurance provision and was not bought specifically to apply in excess of the Limits of
Insurance shown in the Declarations of this Policy.
I '
c. i Method of Sharing
If all of the other insurance permits contribution by equal shares, we will follow this method
also. Under this approach each insurer contributes equal amounts until it has paid its
applicable limit of insurance or none of the loss remains, whichever comes first.
rl If any of the other insurance does not permit contribution by equal shares, we will contribute by
limits. Under this method, each insurer's share is based on the ratio of its applicable limit of
h1 insurance to the total applicable.limits of insurance of all insurers.
i'
5. Premi m Audit.
11 '
a. �, We will compute all premiums for this policy in accordance with our rules and rates.
i
b. Premium shown in this policy as advance premium is a deposit premium only. At the close of
each audit period we will compute the earned premium for that period. Audit premiums are due
y' and payable on notice to the first Named Insured. If the sum of the advance and audit
premiums paid for the policy term is greater than the earned premium, we will'return the
;[ excess to the first Named Insured: ;
c. 9' The first Named Insured must keep records of the information we need for premium
qi computation, and send us copies at such times as we may request.
6. Representations.
By accepting this policy, you agree:
a. I TIr statements in the Declarations are accurate and complete;
b. Tl.ose statements are based upon representations you made to us; and
c. V We have issued this policy in reliance upon your representations.
7. Separation Of Insureds.
Except with respect to the LIMITS OF INSURANCE (SECTION IV), and any rights or duties
specifically assigned in thisi policy to the first Named Insured, this insurance applies separately to
each insured against whom claim is made or"suit" is brought.
pl i
AAP 2021(11- 9) Page 17 of 23
8. Trans er Of Rights Of Recovery Against Others To Us.
If the i sured has rights to recover all or part of any payment we have made under this Policy, those
rights are transferred to us. The insured must do nothing after loss to impair them. At our request,
the ins fired will bring "suit"or transfer those rights to us and help us enforce them.
9. Changes.
This p licy contains all the'agreements between you and us concerning the insurance afforded. The
first Named Insured shown in the Declarations is authorized to make changes in the terms of this
policy with our consent. This policy's terms can be amended or waived only by endorsement issued
by us and made a part of this policy.
10. Examination of your books and records.
We,may examine and audit your books and records as they relate to this policy at any time during
the;policy period and up to three years afterward.
11. Inspections and surveys.
• Wei,have the right but are not obligated to:
1. ry ake inspections and surveys at any time;
2. Givell you reports on the conditions we find; and
3. Recommend changes.
Any inspections, surveys, reports or recommendations relate only to insurability and the premiums
to tbe charged. We do not make safety inspections. We do not undertake to perform the duty of any
person or organization to provide for the health or safety of workers or the public. And we do not
warrant that conditions:
1. ' Are safe or healthful; or
2. 11 Comply with laws, regulations, codes or standards.
This condition applies not only to us, but also to any rating, advisory, rate service or similar
organ' ation which makes insurance inspections, surveys, reports or recommendations.
12. Premiums and deductibles.
The first Named Insured shown in the Declarations:
1. 11 Is responsible for the payment of all premiums and deductibles; and
2. '' Will be the payee for any return premiums we pay.
13. TraInsf r of your rights and duties under this policy.
ai i
Your rights and duties under this policy may not be transferred without our written consent except in
thel'casle of death of an individual named insured as directed below:
If you die, your rights and duties will be transferred to your legal representative but only while acting
within the scope of duties as your legal representative. Until your legal representative is appointed,
an ,one having proper temporary custody of your property will have your rights and duties but only
with respect to that property.
AAP 2021 11-99 Page 18 of 23
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SECTION VI - DEFINITIONS
1. "Advertising injury" means injury arising out of one or more of the following offenses:
a. Oral or written publication of material that slanders or libels a person or organization or
disparages a person's or organization's goods, products or services;
b. Oral or written publication of material that violates a person's right of privacy;
c. Misappropriation of advertising ideas or style of doing business; or
d. Infringement of copyright, title or slogan.
2. "Aircraft" under Coverage D means any aircraft or its parts or equipment.
3. "Airport" means the Airport(s) designated in the Declarations, including ways and means
immediately adjoining such airport(s).
4. "Airport operations" means the ownership, maintenance, use or provision of premises, services and
faciilitieS necessary to the operation of the"airport".
5. "Auto" means a land motor vehicle, trailer or semitrailer designed for travel on public roads,
including any attached machinery or equipment, but"auto"does not include "mobile equipment".
6. "Bi;dily injury" means:
li
a. Bodily injury, sickness or disease sustained by a person, including death resulting from any of
these at any time; or
b. Fright or mental anguish sustained by a person.
7. "Coverage territory" means:
a. The United States of America (including its territories and possessions), Puerto Rico and
Canada;
b. International waters or airspace, provided the injury or damage does not occur in the course of
travel or transportation to or from any place not included in a. above; or
c. All parts of the world if:
(1) The injury or damage arises out of:
(a) Goods or products made or sold by you in the territory described in a. above; or
(b) The activities of a person whose home is in the territory described in a. above, but
is away for a short time on your business; and
(B) The insured's responsibility to pay damages is determined in a "suit" on the merits, in the
territory described in a. above or in a settlement we agree to.
8. "Impaired property" means tangible property, other than "your product" or "your work", that cannot
be used or is less useful because:
a. , It incorporates "your product" or"your work" that is known or thought to be defective, deficient,
inadequate or dangerous; or
b. You have failed to fulfill the terms of a contract or agreement;
AAP 202''(11-99) Page 19 of 23
9
41
if such property can be restored to use by:
a. The repair, replacement, adjustment or removal of"your product"or"your work"; or
b. i Your fulfilling the terms of the contract or agreement.
9. "In'flight" means:
a. w With respect to a fixed wing aircraft, from the time the aircraft moves forward in attempting to
" , take off until the aircraft has completed its landing run.
b. k VYith respect to a rotorcraft, while its rotors are in motion as a result of engine power or
autorotation. 1
AI 1 1
10. "In ured contract" means:
a. N A lease of premises; 1
I
b. 4 A sidetrack agreement;
1
c. Any y easement or license agreement, except in connection with construction or demolition
o I6erations on or within 50 feet of a railroad;
d. Ah obligation, as required by ordinance, to indemnify a municipality, except in connection with
work for a municipality;
e. An elevator maintenance agreement;
h f. li That part of any other contract or agreement pertaining to your business (including an
indemnification of a municipality in connection with work performed for a municipality) under
which you assume the tort liability of another party to pay for "bodily injury" or "property
damage"to a third person or organization. Tort liability means a liability that would be imposed
by law in the absence of any contract or agreement. i
An"insured red contract"does not' include that part of any contract or agreement:
a. That indemnifies any person or organization for"bodily injury" or"property damage" arising out
of construction or demolition operations, within 50 feet of any railroad property and effecting
any railroad bridge or'trestle, tracks, road-beds, tunnel, underpass or crossing;
b. That indemnifies an architect, engineer or surveyor for injury or damage arising out of:
ul (1) Preparing, approving or failing to prepare or approve maps, drawings, opinions, reports,
surveys, change orders, designs or specifications; or
(2) Giving directions or instructions, or failing to give them, if that is the primary cause of the
injury or damage;
c. a Under which the insured, if an architect, engineer or surveyor, assumes liability for an injury or
damage arising out of the insured's rendering or failure to render professional services,
including those listed in b. above and supervisory, inspection or engineering service's; or
d. That indemnifies any person or organization for damage by fire to premises rented or loaned to
yiu.
11. "Ldading or unloading" means the handling of property: i
a. After it is moved from the place where it is accepted for movement into or onto ;an aircraft,
watercraft or"auto";
b. �' hile it is in or on an aircraft,watercraft or"auto"; or . i
AAP 2021I11(11-99) Page 20 of 23 ' I
41
c. While it is being moved from an aircraft, watercraft or "auto" to the place where it is finally
delivered;
but "loading or unloading" does not include the movement of property by means of a mechanical
device other than a hand truck, that is not attached to the aircraft, watercraft or"auto".
12. "Malprctice means malpractice, error or mistake by a physician, surgeon, nurse, medical
technician or other person performing medical services on behalf of an insured in the provision of
emerg ncy medical relief.
13. "Mobile equipment" means any of the following types of land vehicles, including any attached
machinery or equipment:
a. Bulldozers, farm machinery, forklifts and other vehicles designed for use principally off public
roads;
b. Vehicles maintained for use solely on or next to premises you own or rent;
c. Vehicles that travel on crawler treads;
d. Vehicles, whether self-propelled or not, maintained primarily to provide mobility to permanently
mounted:
(1) Power cranes, shovels, loaders, diggers or drills; or
(2) Road construction or resurfacing equipment such as graders, scrapers or rollers;
e. Vehicles not described in a., b., c. or d. above that are not self-propelled and are maintained
primarily to provide mobility to permanently attached equipment of the following types:
•
(1) Air compressors, pumps and generators, including spraying, welding, building cleaning,
geophysical exploration, lighting and well servicing equipment; or
(2) Cherry pickers and similar devices used to raise or lower workers;
f. Vehicles not described in a., b., c. or d. above maintained primarily for purposes other than the
transportation of persons or cargo.
However, self-propelled vehicles with the following types of permanently attached equipment
are not"mobile equipment" but will be considered "autos":
(16 Equipment designed primarily for:
(a) Snow removal;
(b) Road maintenance, but not construction or resurfacing;
(c) Street cleaning;
(2) Cherry pickers and similar devices mounted on automobile or truck chassis and used to
raise or lower workers; and
(3) Air compressors, pumps and generators, including spraying, welding, building cleaning,
geophysical exploration, lighting and well servicing equipment.
14. "Occurrence" means an accident, including continuous or repeated exposure to substantially the
same general harmful conditions.
15. "Personal injury" means injury, other than "bodily injury", arising out of one or more of the following
offenses:
II
AAP 202,(11- 9) Page 21 of 23
a. Mistaken arrest, detention or imprisonment;
b. ,VII Malicious prosecution;
c. The wrongful eviction!from, wrongful entry into, or invasion of the right of private occupancy of
a room, dwelling or premises that a person occupies by or on behalf of its owner, landlord or
¶ lessor;
d. O al or written publication of material that slanders or libels a person or organization or
NI disparages a person's or organization's goods, products or services;
e. 1 Oal or written publication of material that violates a person's right of privacy; I
f. 91 Unintentional discrimination; j
g.
Misdirection of a passenger by an insured to the wrong aircraft, automobile or other connecting
ql transportation; or
The, offenses described in paragraph f. of this definition,do not include personal injury arising out of
the,employment, past employment or future employment of a person by any insured. I
16. a. 1 "Products-completed operations hazard" includes all "bodily injury" and "property damage"
�
occurring away from premises you own or rent and arising out of"your product" or"your work"
eXcept:
(1 Products that are still in your physical possession; or ,
' ' (2) Work that has not yet been completed or abandoned. 1
b. 'i'i "Your work"will be deemed completed at the earliest of the following times:
(1 When all of the work called for in your contract has been completed.
(2 When all of the work to be done at the site has been completed if your contract calls for
work at more than one site.
(3, When that part of the work done at a job site has been put to its intended use by any
person or organization other than another contractor or subcontractor working on the
same project.
Work that may need service, maintenance, correction, repair or replacement, but which is
otherwise complete, will be treated as completed. , 1
c. This hazard does not include "bodily injury" or"property damage" arising out of:
(1) The transportation of property, unless the injury or damage arises out of a condition in or
on a vehicle created by the"loading or unloading"of it;
.' (2) The existence of tools, uninstalled equipment or abandoned or unused materials;
I (3) Products or operations for which the classification in this policy or in our manual of rules
1I includes products or completed operations.
17. "Property damage" means: ' '
• a. °1 Physical injury to tangible property, including all resulting loss of use of that property. All such
I loss of use shall be deemed to occur at the time of the physical injury that caused it;;or
b. g Loss of use of tangible property that is not physically injured. All such loss shall be 'deemed to
ii occur at the time of the occurrence that caused it. 1
18. "Suit" means a civil proceeding in which damages because of "bodily injury", "property damage",
"personal injury"or"advertising injury"to which this insurance applies are alleged. "Suit" includes:
AAP 202b(11.99) Page 22 of 23
41
i Ali 1
a. h' An arbitration proceeding in which such damages are claimed and to which you must submit or
dQ submit with our consent; or
b. wi A y other alternative dispute resolution proceeding in which such damages are claimed and to
which you submit with our consent.
19. "Ydur product" means:
a. Any goods or products, other than real property, manufactured, sold, handled, distributed or
disposed of by:
(1) You;
O2I Others trading under your name; or
11 (3) A person or organization whose business or assets you have acquired; and
b. II Containers (other than vehicles), materials, parts or equipment furnished in connection with
such goods or products.
"Your product" includes:
a. 11 Warranties or representations made at any time with respect to the fitness, quality; durability,
performance or use of"your product"; and
b. The providing of or failure to provide warnings or instructions.
"Your product" does not include vending machines or other property rented to or located for the use
of others but not sold.
wl '
20. "Your vkork" means:
a. Work or operations performed by you or on your behalf; and
b. � Materials, parts or equipment furnished in connection with such work or operations.
"Your work" includes:
a. 11 Warranties or representations made at any time with respect to the fitness, quality; durability,
11 performance or use of"your work"; and
b. The providing of or failure to provide warnings or instructions.
it �
4�� I
$I
it �
!1
ail ,
tl ,
AAP 202,1(11-99) Page 23 of 23
it
This Endorsement effective January 1,2003
forms part o Policy Number AAP N00053983
Issued to City of Renton
ACE Property and Casualty Insurance Company
AMENDMENT OF NOISE AND POLLUTION AND
OTHER PERILS EXCLUSION ENDORSEMENT
This endorsement modifies insurance provided under AIRPORT OWNERS AND OPERATORS GENERAL
LIABILITY 'POLICY.
Paragraph 1.(b) of Exclusion A. of Common Coverage Exclusions (Section II) does not apply to pollution
or contamination of"your product."
Authorized Representative
Endorsement No. 1
AAP 204 (11/99) 12/03/2002
This Endorsement effective - January 1,2003
forms part of Policy Number AAP N00053983
Issued to City of Renton
ACE Property and Casualty Insurance Company
11 EXTENSION - SPECIFIC EXCESS LIABILITY INSURANCE
This en;dorsement modifies insurance provided under AIRPORT OWNERS AND OPERATORS GENERAL
LIABILITY POLICY.
SCHEDULE
Underlying Insurance: Automobile Liability Insurance
Underlying Limits of Liability ("ultimate net loss"): $14,000,000 each accident/occurrence
Underling Insurers: Self Insured
Limits of Insurance
Each Occurrence Limit: ' $50,000,000
Aggregate Limit: Not Applicable
This policy is amended to include the following coverage:
COVE GE F. SPECIFIC EXCESS LIABILITY
1. INSU ING AGREEMENT:
We will pay those: sums that the insured becomes legally obligated to pay as damages
because of bodily injury or property damage to which this insurance applies.
• b:1 This insurance applies to bodily injury or property damage only if:
(1) The bodily injury or property damage is caused by an "occurrence"that takes place in the
"coverage territory"; and
(2) The bodily injury or property damage occurs during the policy period; and;
(3) The bodily injury or property damage arises out of the hazards covered by and defined in
the underlying insurance described in the Schedule.
H (4) The bodily injury or property damage arises out of your"airport operations".
EXCLUSIONS:
2.
Triis }nsurance is subject to the Common Coverage Exclusions (Section II) of this policy and, in
addition, the same exclusions which are contained in the underlying insurance shown in the
Schedule, but only to the extent that they do not conflict with the Common Coverage Exclusions
(Section II) of this policy.
Endorsement No. 2
AAP 211I (11/99) Page 1 of 3 12/03/2002
This Endorsement effective January 1,2003
forms part of Policy Number AAP N00053983
Issued to City of Renton ,
ACE Property and Casualty Insurance Company
EXTENSION -'SPECIFIC EXCESS LIABILITY INSURANCE (CONT'D)
3. ATTACHMENT OF LIABILITY AND LIMITS OF LIABILITY:
We will pay under Coverage F only after the underlying insurers shown in the Schedule have paid
or have been held liable to pay the full amount of the underlying limits of liability as shown in the
Schedule.
� I
The nost we will pay under Coverage F regardless of the number of:
al. Insureds;
b' Claims made or"suits" brought; or
c. Persons or organizations making claims or bringing "suits"
is the Each Occurrence Limit shown in the Schedule subject, if applicable, to the Aggregate Limit
showr in the Schedule.
4. CON'ITIONS:
alj This insurance is subject to the same terms and conditions contained in or added to the
underlying insurance prior to the happening of an "occurrence" for which a claim is made
under this policy.
This condition 4.a. does not apply to the premium, our obligation to investigate and defend,
the renewal agreement (if any) and the limits of insurance.
b'. The underlying insurance shall be maintained in full effect during the policy period, but:
{ (1) If the aggregate limit contained in the underlying insurance is reduced or exhausted
because of payment of claims, this policy will apply in excess of the reduced aggregate
limit or will apply as underlying insurance if the aggregate limit is exhausted.
(2) If the insured fails to comply with this condition, this policy shall only apply; to the same
extent as would have been the case had the insured complied with this condition.
c. If a claim or claims arise which appear likely to exceed the underlying limits of liability the
insured must not incur any"costs"without our consent.
di:" "Costs" incurred by or on behalf of the insured with our consent and for which the insured is
not covered by the underlying insurers, will be apportioned as follows:
(1) As respects claims which are settled before trial for an amount which does not exceed
the underlying limits of liability, we will not pay any"costs".
(2) As respects claims which are settled before trial for an amount which exceeds the
underlying limits of liability, we will pay the same percentage of the "costs" as the
percentage we pay of the whole "ultimate net loss".
Endorsement No. 2
ni I
AAP 21 (11/99) Page 2 of 3 12/03/2002
This Endorsement effective January 1,2003 --
forms part of Policy Number AAP N00053983
Issued to City of Renton
ACE Pr 'perty and Casualty Insurance Company
EXTENSION -;SPECIFIC EXCESS LIABILITY INSURANCE (CONT'D)
(3) If the insured does not appeal a judgment which exceeds the underlying limits of liability,
we may elect to conduct such an appeal at our own expense including any associated
court costs and interest, but the most we will pay for such an appeal is limited to the
limits of insurance shown in the Schedule, plus the expenses of the appeal.
e All recoveries or payments recovered or received subsequent to a claim settlement under this
policy shall be applied as if recovered or received prior to such settlement. All necessary
adjustments shall then be made between you and us.
5. DEFINITIONS:
ai'' The term "ultimate net loss" means the amount payable in settlement of the liability of the
rl insured after making deductions for all recoveries and for other valid and collectible insurances,
excepting however the underlying insurance and shall exclude all expenses and "costs".
b The term"costs" means interest accruing after entry of judgment, investigation, adjustment and
legal expense (excluding, however, all expenses for salaried employees and general retainer
fees for counsel normally paid by the insured).
i
6. Section V of this policy shall apply to this insurance except condition 4. (Other Insurance).
4Ii i
11 ,4, 1 .
Authorized Representa i-
Endorsement No. 2
AAP 211 (11/99) Page 3 of 3 12/03/2002
This Endorsement effective January 1,2003
forms part o Policy Number AAP N00053983
Issued to City of Renton
ACE Property and Casualty Insurance Company
IMMUNITY WAIVER ENDORSEMENT
This endorsement modifies insurance provided underAIRPORT OWNERS AND OPERATOR GENERAL
LIABILITY POLICY.
We will not defend any"suit" seeking damages under Coverages A, B, D,'or E on the basis that the insured
is not liable due to the performance of governmental functions, unless we are required by statute or are
requested by you.
Authorized Representative
Endorsement No. 3
AAP 220 (11/99)
12/03/2002,
This Endorsement effective - January 1,2003
forms part of Policy Number AAP N00053983
Issued tub City of Renton
ACE Property and Casualty Insurance Company
NUCLEAR RISKS EXCLUSION CLAUSE
It is understood and agreed that the Radioactive Contamination exclusion under part C. of the Common
Coverage Exclusions (Section II) is deleted and replaced with the following:
(1) Tpis Policy does not cover:
(i) loss of or destruction of or damage to any property whatsoever or any loss or expense
whatsoever resulting or arising therefrom or any consequential loss
(i') any legal liability of;whatsoever nature
directly or indirectly caused by or contributed to by or arising from:
(a) the radioactive,toxic, explosive or other hazardous properties of any explosive nuclear assembly
1'' or nuclear component thereof;
(b) the radioactive properties of, or a combination of radioactive properties with toxic; explosive or
other hazardous properties of, any other radioactive material in the course of carriage as cargo,
including storage or handling incidental thereto;
(c) ionizing radiations or contamination by radioactive form, or the toxic, explosive or other
hazardous properties of, any other radioactive source whatsoever.
(2) I0is understood and agreed that such radioactive material or other radioactive source in paragraph
(qi)(b) and (c) above shall'not include:
(i) depleted uranium and natural uranium in any form;
(i) radioisotopes which have reached the final stage of fabrication so as to be usable for any
4 scientific, medical, agricultural, commercial, educational, or industrial purpose.
(3) This Policy, however, does not cover loss of or destruction of or damage to any property or any
consequential loss or any legal liability of whatsoever nature with respect to which:
(i) the Insured under ;this Policy is also an insured or an additional insured under any other
insurance policy, including any nuclear energy liability policy; or
(ii,) any person or organization is required to maintain financial protection pursuant'to legislation
in any country; or
(iii) the Insured under ''this Policy is, or had this Policy not been issued would ,be, entitled to
indemnification from any government or agency thereof.
(4) Loss, destruction, damage, expense or legal liability in respect of the nuclear risks not excluded by
reason of paragraph (2), shall (subject to all other terms, conditions, limitations, warranties and
exclusions of this Policy) be covered, provided that:
Endorsement No. 4
II
AAP 237(11/99) Page 1 of 2 12/03/2002
�, I
This Endorsement effective January 1,2003
forms part of Policy Number AAP N00053983
Issued pto ,City of Renton
ACE Property and Casualty Insurance Company
NUCLEAR RISKS EXCLUSION CLAUSE (CONT'D.)
G, 'I
(i) in the case of any claim in respect of radioactive material in the course of carriage as cargo,
III including storage for handling incidental thereto, such carriage shall in all respects have
complied with the full International Civil Aviation Organization"Technical Instructions for the Safe
Transport of Dangerous Goods by Air", unless the carriage shall have been subject to any more
restrictive legislation, when it shall in all respects have complied with such legislation;
(ii) this Policy shall only apply to an incident happening during the period of this Policy and where
any claim by the Insured against us or by any claimant against the Insured arising out of such
incident shall have been made within three years after the date thereof;
(iii) in the case of any claim for the loss of or destruction of or damage to or loss of use of an
aircraft caused by or contributed to by radioactive contamination, the, level of such
contamination shall have exceeded the maximum permissible level set out in'the following
dd; scale:
ll� I
! Emitter Maximum permissible level of non-fixed
radioactive surface contamination
(IAEA Health and Safety Regulations) (Averaged over 300 cm2 )
4'I Beta, gamma and low toxicity alpha emitters Not exceeding 4 Bequerels/cm2
(10-4 microcuries/cm 21 )
3i All other emitters Not exceeding 0.4 Bequerels/cm2
(10-5 microcuries/cm 2 )
(iv) the cover afforded herebymaybe cancelled byus at anytime bygivingseven days' notice of
Y '
cancellation.
Authorized Representative
II I
I I
Endorsement No. 4
AAP 237 (11/99) Page 2 of 2 12/03/2002
it
This Eridor ement effective January 1,2003
forms part f Policy Number ,AAP N00053983
Issued to City of Renton
ACE P operty and Casualty Insurance Company
i
EXCESS AUTOMOBILE LIABILITY
1
IMPOFTANT PROVISIONS WITH RESPECTTO EXCESS AUTOMOBILE LIABILITY INSURANCE PROVIDED
BY EN1'DO'RSEMENT AAP 211, WHICH FORMS PART OF THIS POLICY.
In consequence of 1
(a) the Insured being responsible for the handling and payment of claims within the Underlying Limits
of Li bility (Ultimate Net'Loss) as shown in endorsement AAP 211, this being without the existence
ofaformal policy of Insurance;and
(b) tle noverage provided by endorsement AAP 211 being dependent upon the existence of written terms
and¶onditions within a primary policy of insurance;
it is understood and agreed that the excess Automobile Insurance provided by endorsement AAP 211 is
limited to those payments that we would have made had the Insured purchased primary Automobile
Insura ce issued under the Business Auto Coverage Form which is attached to and forms part of this
policy.
II I
Authorized Representative
Endorsement No. 5
AAP 238 (11/99) j 12/03/2002
i I
1
1 '
,
COMMERCIAL AUTO
CA00010797
I
BUSINESS AUTO COVERAGE FORM '
Various pro isions in this policy�restrict coverage. SECTION I—COVERED AUTOS
Read the erI tire policy carefully to determine rights, Item Two of the Declarations shows th;e 'autos" that
duties and what is and is not covered. are covered "autos" for each ofyour coverages. The
Throughout this policy the words "you" "your" following symbols "autos"
ou andnumerical describe the
refer to the Named Insured shown refer to the next to a coverage on the Declarations Is, entered
in the Declare- that maym
be covered "autos". The s b'
tions. The words we , "us" and "our" signate the
Company prlIoviding this insurance! only"autos"that are covered "autos".
Other v ords and phrases that appear in quotation A. Description Of Covered Auto designation
marks have special meaning. Refer to Section V — Symbols
Definitiins.
ii
Symbol Description Of Covered Auto Designation Symbols
1 1 Any"Auto"
y youY you',don't own
2Owned "Autos" Onl those"autos"you own (and for Liability Coverage any"trailers"yo
Only while attached topower units own). This includes those"autos"you acquire
ownership of after the policy begins. '1
3 Owned Private Only the private passenger"autos"you own. This includes those private passenger
passenger "autos"you acquire ownership of after the policy begins. I
"Autos"Only i
4 1 Owned"Autos" Only those"autos"you own that are not of the private passenger type (and for Li-
Other Than Pri- ability Coverage any"trailers"you don't own while attached to power unite you
l gate Passenger own).This includes those"autos" not of the private passenger type you acquire
"Autos"Only ownership of after the policy begins. I i
5 Owned "Autos" Only those"autos"you own that are required to have No-Fault benefits in the state
Subject To No- where they are licensed or principally garaged. This includes those"autos"you ac-
Fault quire ownership of after the policy begins provided they are required to have No-
Fault benefits in the state where they are licensed or principally garaged.
6 (Owned "Autos" Only those"autos"you own that because of the law in the state where they'are li-
Subject To A censed or principally garaged are required to have and cannot reject Uninsured
Compulsory Motorists Coverage.This includes those"autos"you acquire ownership of after the
Uninsured Mo- policy begins provided they are subject to the same state uninsured motorists re-
torists Law quirement. _
7Specifically De- Only those"autos"described in Item Three of the Declarations for which!a premium
scribed "Autos" charge is shown (and for Liability Coverage any"trailers"you don't own while at-
tached to any power unit described in Item Three).
8 I Autos you lease, hire, rent,you
or lease, hire,
from t orc "employees",to does
,p "are a
include
enyOnly
� any yourP Y partners (if you are a
partnership),l members (if you are a limited liability company)or members of their
households. , ,
9 Nonowned Only those"autos"you do not own, lease, hire, rent or borrow that are,used in con-
"Autos"Only nection with your business. This includes"autos"owned by your"employees",
partners (if you are a partnership), members (if you are a limited liability company),
or members of their households but only while used in your business or your per-
sonal affairs. 1
1
I
Co ri ht, Insurance Services Office, Inc., 1996 I Pag
py CA00010797 g e 1 of 10 0
i
B. Ow ed Autos You Acquire After The Policy We have the right and duty to defend any"insured"
Beg ns against a "suit" asking for such damages or a
II
6 "covered pollution cost or expense".11 However, we
1. I Symbols 1, 2, 3, 4, 5 or i are entered next to . have no duty to defend any "insured" against a
II co era a in Item Two of the Declarations, "suit" seeking damages for "bodily injury" or "p p
a g
then you have coverage for "autos" that you ro -
l erty damage" or a "covered pollution cost or ex-
acquire of the type described for the remainder
to which this insurance does not apply. We
of the policy period. � pense"
III I I may investigate and settle any claim or "suit" as
2. But, if Symbol 7 is entered)next to a coverage we consider appropriate. Our duty to defend or
in Item Two of the Declarations, an "auto" you settle ends when the Liability Coverage Limit of In-
III will be a covered "auto" for that cover-
o acquire surance has been exhausted by payment of judg-
Ige only if: ments or settlements.
o. We already cover all "autos" that you own 1. Who Is An Insured
for that coverage or it replaces an "auto" The following are"insureds":
you previously owned that had that cover-
age; and a. You for any covered "auto".
b. Y lou tell us within 30 days after you acquire b. Anyone else while using with your permis-
it that you want us to cover it for that cover- sion a covered "auto" you own, hire or bor-
age. row except: I
C. Ce ain Trailers, Mobile Equipment; And (1) The owner or anyone else from whom
Te porary Substitute Autos you hire or borrow a covered "auto".
Ill
If Liability Coverage is provided by this Coverage This exception does not apply if the cov-
Form, the following types of vehicles are also cov- ered "auto" is a "trailer" connected to a
ered "autos"for Liability Coverage:
covered "auto"you own.
1. "Trailers" with a load capacity of 2,000 pounds (2) Your "employee" if the covered "auto" is
or lees designed primarily for travel on public owned by that "employee"'or a member
rdade. of his or her household.
2. $1oble equipment" while being carried or (3) Someone using a covered "auto" while
' "auto". he or she is working in a business of
towed by a covered
4ny
selling, servicing, repairing, parking or
3. ')auto" you do not own while used with the storing "autos" unless that business is
piermission of its owner as a temporary substi- yours.
t�l to for a covered "auto" you own that is out of
service because of its: (4) Anyone other than your "employees",
I I partners (if you are a p'artnership),
. Breakdown; members (if you are a limited liability
b. Repair; company), or a lessee or borrower or
any of their "employees", while moving
. Servicing; property to or from a covered"auto".
. "Loss"; or 5 Apartner (if you area partnership), or a
II I O
e. Destruction. member (if you are a limited liability
IIISECTION II—LIABILITY COVERAGE company)for a covered "auto"owned by
III him or her or a member of his or her
A. Coverage household.
We iI ill pay all sums an "insured" legally must pay c. Anyone liable for the conduct) of an "in-
as damages because of bodily injury" or"property
ex-
dam to which this insurance applies, caused sured" described above but only to the ex-
tent of that liability.
by an "accident" and resulting from the ownership, Extensions a
maintenance or use of a covered"auto". 2. Coverage
We will also pay all sums an "insured" legally must a. Supplementary Payments
pay as a "covered pollution cost or expense" to In addition to the Limit of Insurance, we will
which this insurance applies, caused by an "acci- pay for the"insured":
dent' arid resulting from the I ownership, mainte-
nance or use of covered "autos". However, we will (1) All expenses we incur.
only pay for the "covered pollution cost or ex- )
pense" if there is either "bodily injury" or "property I
III
damage" to which this insurance applies that is
caused by the same"accident";.
I
Page 2 Of 10 Copyright, Insurance Services Office, Inc., 1996 CA 00 01 07 97 El
I
1
I• T-
I (2) Up to $2,000 for cost of bail bonds (in- 2. Contractual
1 cluding bonds for related traffic law vio- Liability assumed under any contract or agree-
lations) required because of an "acci- ment. 1
'I dent" we cover. We!do not have to fur-
nish these bonds. But this exclusion does not apply to liability for
(3) The cost of bonds to release attach-
damages:
ments in any "suit" against the "insured" a. Assumed in a contract or agreement that is
we defend, but only for bond amounts an "insured contract" provided the "bodily
within our Limit of Insurance. injury" or "property damage" occurs subse-
quent(4) All reasonable expenses incurred by the to the execution of the contract' or
"insured" at our request, including actual agreement; or
loss of earning up to $250 a day be- b. That the "insured" would have in the ab-
cause of time off from work. sence of the contract or agreement.
(5) All costs taxed against the "insured" in 3. Workers'Compensation
any "suit" against the "insured" we de- Any obligation for which the "insured" or the
I fend. "insured's"insurer may be held liable under any
(6) All interest on the full amount of any workers' compensation, disability 1 benefits or
judgment that accrues after entry of the unemployment compensation law or any similar
judgment in any "suit" against the "in- law. I
sured" we defend, but our duty to pay 4. Employee Indemnification And Employer's
interest ends when we have paid, of- Liability ,
fered to pay or deposited in court the "Bodily injury"to:
part of the judgment that is within our
Limit of Insurance. ; a. An "employee"of the"insured"arising out of
b. Out-Of-State Coverage Extensions and in the course of:
I (1) Employment by the"insured"; or
While a covered "auto" is away from the
state where it is licensed we will: (2) Performing the duties related to the con-
(1) Increase the Limit of Insurance for Li- duct of the"insured's"business; or
ability Coverage to meet the limits speci- b. The spouse, child, parent, brother or sister
fled by a compulsory or financial re- of that "employee" as a consequence of
sponsibility law of the jurisdiction where Paragraph a. above.
the covered "auto"'is being used. This This exclusion applies: 1
extension does not apply to the limit or (1) Whether the "insured" may be liable as
limits specified by1 any law governing an employer or in any other capacity;
motor carriers of passengers or prop- and
erty.
(2) To anyobligation to share damages with
9 9
(2) Provide the minimum amounts and or repay someone else who must pay
types of other coverages, such as no- damages because of the injury.
fault, required of out-of-state vehicles by
the jurisdiction where the covered "auto" But this exclusion does not apply to "bodily in-
is being used. jury" to domestic "employees" not entitled to
workers' compensation benefits or to liability
We will not pay anyone more than once for assumed by the "insured" under'an "insured
IIIthe same elements of loss because of these contract". For the purposes of,the Coverage
jxtensions. Form, a domestic "employee" is a person en-
B. Exclusions gaged in household or domestic work per-
This insurance does not apply to any of the fol- formed principally in connection with a resi-
lo4ng: I dence premises.
1. 'ExpectedIntended Injury 5. Fellow Employee ,
l Or
�j'Bodily injury11 or "property damage" expected "Bodily injury" to any fellow "employee" of the
or intended from the standpoint of the "in- "insured" arising out of and in the course of the
sured". fellow "employee's" employment or while per-
, ; forming duties related to the conduct of your
business. ,
II 1 1
CA O0'11101 07 97 Copyright, Insurance Services Office, Inc., 1996 Page 3 of 10 0
II
1,
i
I��are, Custody Or Control Work that may need service,
6. maintenance,
'Property damage"to or"covered pollution cost correction, repair or replacement, but which
is otherwise complete, will be treated as
6r expense involving property owned or trans-� completed.
'Sorted by the "insured" or in the "insured's"
care, custody or control. But this exclusion 11. Pollution
does not apply to liability assumed under a "Bodily injury" or "property damage" arising out
sidetl-ack agreement. 1 of the actual, alleged or threatened discharge,
7. Handling Of Property dispersal, seepage, migration, release or es-
'podily injury" or "property damage" resulting cape of"pollutants":
from the handling of property: a. That are, or that are contained in any prop-
III that is: j
a. Before it is moved from the place where it is
accepted by the"insured"for movement into (1) Being transported or towed by, handled,
o.onto the covered "auto"; or or handled for movement into, onto or
b. After it is moved from the covered "auto" to from, the covered "auto";
the place where it is finally delivered by the (2) Otherwise in the course of transit by or
"insured". I on behalf of the"insured"; or
8. ovement Of Property By Mechanical (3) Being stored, disposed of,1 treated or
'J^IIBodily injury or property damage" resulting b. Before the "pollutants" or an covered"auto";rty
IlDevice , processed in or upon the
y property in
rom the movement of property by a mechani- which the "pollutants" are contained are
cal device (other than a hand truck) unless the moved from the place where they are ac- ,
device is attached to the covered "auto". cepted by the "insured" for movement into
9. Operations P or I
or onto the covered "auto";
'Bod ly injury" or "property damage arising out " P y property in
f the operation of any 'e ui ment listed in which the "pollutants" are contained are
c. After the "pollutants" or an.
P q p
th
"auto"
d th d from e covereto e
Paragraphs 6.b. and 6.c. of the definition of moveIplace
'^^mob'ile equipment". where they are finally delivered, disposed of
II or abandoned by the"insured".
10. Completed Operations 1
';Bodil injury" or "property dama e" arisingout Paragraph a. above does not apply to fuels,
Y 9 lubricants, fluids, exhaust gases ,or other
of yqur work after that work has been corn- similar "pollutants" that are needed for or
pleted or abandoned. result from the normal electrical, hydraulic
In this exclusion, your work means: or mechanical functioning of the covered
II "auto"or its parts, if: ' l
. Work or operations performed by you or on 1
your behalf; and (1) The "pollutants" escape, seep, migrate,
or are discharged, dispersed or released
b. Materials, parts or equipment furnished in directly from an "auto" part designed by
connection with such work or operations. its manufacturer to hold, (store, receive
Your work includes warranties or representa- or dispose of such "pollutants'; and
ions made at any time with respect to the fit-
(2) The"bodily injury", "property damage" or
essl quality, durability or(performance of any "covered pollution cost or expense"does
of the items included in Paragraphs a. or b.
i I not arise out of the operation of any
Ijlbove. equipment listed in Paragraphs'6.b. and
your work will be deemed completed at the 6.c. of the definition of "mobile equip-
earliest of the following times: ment".
(1) When all of the work called for in your Paragraphs b. and c. above) of this exclu-
contract has been completed. sion do not apply to "accidents" that occur
1 (2) When all of the work to be done at the away from premises owned by or rented to
1 site has been completed if your contract an "insured" with respect to "pollutants" not
calls for work at more than one site. in or upon a covered"auto" if:I
1 (3) When that part of the work done at a job (1) The "pollutants" or any property in which
site has been put to its intended use by the "pollutants" are contained are upset,
any erson or organization other than overturned or damaged as a result of the
another contractor or subcontractor maintenance or use of a covered "auto";
I
working on the same
project. and
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Page 4 of 10 Copyright, Insurance Services Office, Inc., 1996 CA 00 01 07 97 0
i
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111 (2) The discharge, dispersal, seepage, mi- (5) Mischief or vandalism; or
11I gration, release or escape of the "pollut- (6) The sinking, burning, collision or derail-
ants" is caused directly by such upset,damage.'
ment of any conveyance transporting the
overturn or d '' covered "auto".
I"
12. War
i, 1 c. Collision Coverage
1Bodily injury"or"property damage"due to war, Caused by: I 1
whether or not declared, or any act or condition
incident to war. War includes civil war, insur- (1) The covered "auto's" collision with an-
rection, rebellion or revolution. This exclusion other object; or 1
applies only to liability assumed under a con- (2) The covered "auto's"overturn.
tract or agreement.II 1 2. Towing
13. Racing We will pay up to the limit shown in the Decla-
Covered "autos"while used in any professional rations for towing and labor costs incurred each
or organized racing or demolition contest or time a covered "auto" of the private passenger
stunting activity, or while practicing for such type is disabled. However, the labor must be
contest or activity. This insurance also does not performed at the place of disablement.
apply while that covered "auto" is being pre- 3. Glass Breakage—Hitting A Bird Or Animal—
pared for such a contest or activity. Falling Objects Or Missiles
C. Limit Of Insurance
If you carry Comprehensive Coverage for the
Regardless of the number of covered "autos", "in- damaged covered "auto", we will pay for the
sureds"J premiums paid, claims made or vehicles following under Comprehensive Coverage:
involved in the "accident", the most we will pay for a. Glass breakage;
the,totall11 of all damages and "covered pollution cost
or expense"combined, resulting from any one "ac- b. "Loss" caused by hitting a bird or animal;
cident" is the Limit of Insurance for Liability Cover- and
age shown in the Declarations. c. "Loss"caused by falling objects,or missiles.
All III
injury", "property damage" and "covered However, you have the option of having glass
pollution cost or expense" resulting from continu- breakage caused by a covered "auto's" colli-
ou ', or repeated exposure ,to substantially the sion or overturn considered a "loss" under Col-
same conditions will be considered as resulting lision Coverage.
from one"accident". I 4. Coverage Extension 1 ,
No.one, will be entitled to receive duplicate pay- We will pay up to $15 per day to;a maximum of
merits for the same elements of "loss" under this $450 for temporary transportation expense in-
Coerage Form and any Medical Payments Coy-
1 curred by you because of the total theft of a
erage Endorsement, Uninsured Motorists Cover- covered "auto" of the private passenger type.
age Endorsement or Underinsured Motorists Coy- We will pay only for those covered "autos" for
erage Endorsement attached to this Coverage 1
Part. which you carry either Comprehensive or
Specified Causes of Loss Coverage. We will
SECTION III—PHYSICAL DAMAGE COVERAGE pay for temporary transportation expenses in-
A. Coverage curred during the period beginning 48 hours
after the theft and ending, regardless of the
1. !'We Twill payfor "loss" to a covered "auto" or its policy's expiration, when the covered "auto" is
egwpment under: returned to use or we pay for its"loss".
a. Comprehensive Coverage11 B. Exclusions
P From anycause except: 1. We will not pay for"loss"caused by or resulting
P
(1) The covered "auto's" collision with an- from any of the following. Such "loss" is ex-
II other object; or 1 cluded regardless of any other cause or event
(2) The covered "auto's"overturn. that contributes concurrently or, in, any se-
quence to the"loss". , 1
i b. Specified Causes Of Loss Coverage
a. Nuclear Hazard
Caused by:
(1) The explosion of any weapon employing
il (1) Fire,lightning or explosion; ' atomic fission or fusion; or
(2) Theft;
1 (2) Nuclear reaction or radiation, or radioac-
1u (3) Windstorm, hail or earthquake; tive contamination, howeve l caused.
(4) Flood;
CA 00 01 07 97 Copyright, Insurance Services Office, Inc., 1996 ' Page 5 of 10 0
I
I
. -
�3. War Or Military Action Exclusions 4.c. and 4.d.do not apply to:
I' (1) War, including undeclared or civil war; a. Equipment designed solely for the repro-
(2) Warlike action by ;a military force, in- duction of sound and accessories used with
cluding action in hindering or defending such equipment, provided such equipment
against an actual or expected attack, by is permanently installed in' the covered
any government, sovereign or other
"auto" at the time of the "loss" or such
authority using military personnel or equipment is removable from a housing unit
other agents; or which is permanently installed,in the cov-
ered "auto" at the time of the "loss", and
(3) Insurrection, rebellion, revolution, such equipment is designed to be solely
usurped power or action taken by gov- operated by use of the power from the
ernmental authority, in hindering or de- "auto's" electrical system, in Or upon the
fending against any of these. covered "auto"; or
2. We will not pay for"loss" to any covered "auto" b. Any other electronic equipment that is:
while used in any professional or organized (1) Necessary for the normal operation of
acing or demolition contest or stunting activity, „
or while practicing for such contest or activity.
the covered auto or the monitoring of
We 'will also not pay for "loss" to any covered the covered "auto's" operating system;
"auto" while that covered"'auto" is being pre- or
pared for such a contest or activity. (2) An integral part of the same unit housing
3. We will not pay for"loss"caused by or resulting any sound reproducing equipment de-
from any of the following unless caused by scribed in a. above and permanently in-
�pthei-"loss"that is covered by this insurance: stalled in the opening of the dash or
I console of the covered "auto" normally
a. Wear and tear, freezing, mechanical or used by the manufacturer for installation
electrical breakdown. of a radio.
p. Blowouts, punctures or other road damage C. Limit Of Insurance
to tires. pay
The most we willpayfor "loss"
„ .
s any one "acci-. 1 in
4. iNe will not a for "loss"Ito any of the follow- dent" is the lesser of:
ing: 1. The actual cash value of the damaged or stolen
a. Tapes, records, discs or other similar audio, property as of the time of the"loss"; or
visual or data electronic devices designed for use with audio, visual or data electronic 2. The cost of repairing or replacing the damaged
equipment. or stolen property with other property of like
II 4ny
kind and quality.
b. device designed' or used to detect D. Deductible
speed measuring equipment such as radar
or laser detectors and any jamming appa- For each covered "auto", our obligation to pay for,
ratus intended to elude or disrupt speed repair, return or replace damaged or IstOlen prop-
measurement equipment. erty will be reduced by the applicable deductible
c. Any electronic equipment, without regard to shown in the Declarations. Any Comprehensive
v�hether this equipment is permanently in- Coverage deductible shown in the Declarations
I stalled, that receives or transmits audio,
does not apply to"loss"caused by fire or lightning.
visual or data signalsl, and that is not de-
signed solely for the reproduction of sound.
id. Any accessories used with the electronic
equipment described in Paragraph c.
above.
II
III 1
11
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Page 6 of 10 Copyright, Insurance Services Office, Inc., 1996 CA 00 01 07 97 0
I
1
_
SECTI 0 N IV—BUSINESS AUTO CONDITIONS (5) Submit to examination, at our expense,
The following conditions apply in addition to the Corn-
by physicians of our choice,l as often as
mon Policy Conditions: we reasonably require.
A. Loss Conditions c. If there is "loss" to a covered "auto" or its
1 equipment you must also do the following:
1. Appraisal For Physical Damage Loss (1) Promptly notify the police if the covered
if you and we disagree on the amount of"loss", "auto"or any of its equipment is stolen.
either may demand an appraisal of the "loss".
In this event, each party will select a competent (2) Take all reasonable steps to protect the
appraiser. The two appraisers will select a
covered "auto" from further damage.
competent and impartial umpire. The apprais- Also keep a record of your expenses for
�u w m consideration in the settleent of the
ers will state separately the actual cash value claim.
and amount of"loss". If they fail to agree, they 1
will submit their differences to the umpire. A (3) Permit us to inspect the covered "auto"
decision agreed to by any two will be binding. and records proving the "loss" before its
EacI party will: repair or disposition.
la. Pay its chosen appraiser; and (4) Agree to examinations under oath at our
b. Sear the other expenses of the appraisal request and give us a signed statement
I and umpire equally. of your answers.
If.we submit to an appraisal, we will still retain 3. Legal Action Against Us
our right to deny the claim. No one may bring a legal action against us un-
2 Ilputies In The Event Of Accident, Claim,Suit der this Coverage Form until:
Or Loss a. There has been full compliance with all the
We have no duty to provide coverage under terms of this Coverage Form; and
this policy unless there has been full compli- b. Under Liability Coverage, we agree in writ-
ance with the following duties: ing that the "insured" has an obligation to
a. In the event of "accident", claim, "suit" or pay or until the amount of that obligation
has finally been determined by judgment
"loss", you must give us or our authorized after trial. No one has the right under this
representative prompt notice of the acci-
dent"or"loss". Include: policy to bring us into an action to determine
the"insured's"liability.
(1) How, when and where the "accident" or
"loss"occurred; 4. Loss Payment—Physical Damage
(2). The"insured's" name and address; and Coverages
i At our option we may:
(3) To the extent possible, the names and a. Pay for, repair or replace damaged or stolen
addresses of any injured persons and
witnesses. property;
b. Additionally, you and any other involved b. Return the stolen property, at our expense.
"insured"must: We will pay for any damage;that results to
•
(1) Assume no obligation, make no payment the"auto"from the theft; or
or incur no expense without our consent, c. Take all or any part of the damaged or sto-
except at the"insured's"own cost. len property at an agreed, or appraised
value.
(2) Immediately send us copies of any re-quest, demand, order, notice, summons 5. Transfer Of Rights Of Recovery Against
or legal paper received concerning the Others To Us
i j claim or"suit". If any person or organization to or for whom we
(3) Cooperate with us in the investigation or make payment under this Coverage Form has
settlement of the claim or defense rights to recover damages from'another, those
Ij rights are transferred to us. That person or or-
against the"suit". ganization must do everything necessary to se-
, (4) Authorize us to obtain medical records cure our rights and must do nothing after"acci-
or other pertinent information. dent"or"loss"to impair them.
I
CA 001'01 07 97 Copyright, Insurance Services Office, Inc., 1996 Page 7 of 10 ❑
a
d. When this Coverage Form and any General Conditions 9 other
1. Bankruptcy Coverage Form or policy covers on the
p 1 same basis, either excess or primary, we
Bankruptcy or insolvency of the"insured" or the will pay only our share. Ou,r share is the
Insured's" estate will not relieve us of any obli- proportion that the Limit of Insurance of our
gations under this Coverage Form. Coverage Form bears to the total of the lim-
2. Concealment, Misrepresentation Or Fraud its of all the Coverage Forms and policies
'This) Coverage Form is void in any case of covering on the same basis.
fraud by you at any time as it relates to this 6. Premium Audit
1.Coverage Form. It is also void if you or any a. The estimated premium for this ,Coverage
;,;other "insured", at any time, intentionally con- Form is based on the exposures you told us
;ceal or misrepresent a material fact concerning: you would have when this policy began. We
a. This Coverage Form; will compute the final premium due when we
b. The covered "auto"; determine your actual exposures. The esti-
mated total premium will be credited against
c. Your interest in the covered "auto'; or the final premium due and the first Named
Id. A claim under this Coverage Form. Insured will be billed for the balance, if any.
3. Liberalization If the estimated total premium;exceeds the
final premium due, the first Named Insured
If we revise this Coverage Form to provide will get a refund.
moree coverage without' additional premium b. If this policy is issued for more than one
charge, your policy will automatically provide year, the premium for this Coverage Form
the additional coverage as of the day the revi-
sion is effective in your state. will be computed annually based on our
rates or premiums in effect at the beginning
4. ;No Benefit To Bailee — Physical Damage of each year of the policy.
Coverages 7. Policy Period, Coverage Territory
'We will not recognize any assignment or grant "acci-
any this Coverage Form, we ,cover coverage for the benefit of any person or dents"and "losses"occurring:
organization holding, storing or transporting
property for a fee regardless of any other provi- a. During the policy period shown in the Decla-
sior of this Coverage Form. rations; and
5. Other Insurance b. Within the coverage territory.
a. For any covered "auto" you own, this Coy- The coverage territory is:
erage Form provides primary insurance. For a. The United States of America;
any covered "auto" you don't own, the in- b. The territories and possessions of the
surance provided by this Coverage Form is United States of America;
excess over any other collectible insurance.
However, while a covered "auto" which is a c. Puerto Rico; and j'trailer" is connected to another vehicle, the d. Canada.
Liability Coverage this Coverage Form pro-
1 vides for the"trailer"is: We also cover "loss" to, or "accidents" involv-
ing, a covered "auto" while being transported
ii (1) Excess while it is connected to a motor between any of these places..
1 vehicle you do not own.
8. Two Or More Coverage Forms Or Policies
1 (2) Primary while it is connected to a cov- Issued By Us 1 1
ered "auto"you own. If this Coverage Form and any;other Coverage
;b. For Hired Auto Physical Damage Coverage, Form or policy issued to you by us or any corn-
' covered "auto" you lease, hire, rent or pany affiliated with us apply to the same ,acci-
borrow is deemed tol be a covered "auto" dent", the aggregate maximum Limit of Insur-
you own. However, any "auto" that is ance under all the Coverage Forms or policies
leased, hired, rented, or borrowed with a shall not exceed the highest applicable Limit of
driver is not a covered"auto". Insurance under any one Coverage Form or
lc. Regardless of the provisions of Paragraph policy. This condition does not apply to any
A. above, this Coverage Form's Liability Coverage Form or policy issued by us or an af-
(Coverage is primary for any liability as- filiated company specifically to apply as excess
sumed under an "insured contract". insurance over this Coverage Form.
1
1
Page 8 of 10 Copyright, Insurance Services Office, Inc., 1996 CA 00 01 07 97 0
III
SECTI f N V—DEFINITIONS ! (2) The"bodilyinjury", "property dama e" or
J rY 9
A. "Accident" includes continuous or repeated expo- "covered pollution cost or expense"does
sure to !the same conditions resulting in "bodily in-
equipmentnot arise listed iut of n Pare agraphs eration 6.of any
jury" or"property damage". 1
6.c. of the definition of ;'mobile equip-
B. "A�to" means a land motor vehicle, "trailer" or ment".
semitrailer designed for travel on public roads but
Paragraphs b. and c. above do!not apply to
dos not include"mobile equipment". �
II . laccidents that occur away 'from;premises
"Bodily injury" mens bodily injury, sicdeath is- P ap red" with re-
C. Bob y sickness or is- - owned byor rented to an "insured"
ease sustained bya person including sect to "pollutants" not in orupon a cov-
sul ing from any of these. ered "auto" if: Il
D. "C 11vered pollution cost or expense" means any (1) The "pollutants" or any property in which
cost or expense arising out of: the "pollutants" are contained are upset,
1. Any request, demand or order; or overturned r damaged maintena ceor se of result covered "auto";
2. �, ny claim or"suit" by or on behalf of a govern-
, ental authority demanding and
(2) The discharge, dispersal, seepage, mi-
gration, release or escape of the "pollut-
ants"tha the "insured" or others test for, monitor, clean
up,;remove, contain, treat, detoxify or neutralize, or is caused directly by I such upset,
in any wary respond to, or assess the effects of overturn or damage.
"Couered s pollution cost or expense" does not in- E. "Employee" includes a "leased worker". "Em-
II I
elud0 , ployee"does not include a"temporary worker".
e any cost or expense arising out of the actual,
alleged or threatened discharge, dispersal, seep- F. "Insured" means any person or organization quali-
age, migration, release or escape of"pollutants": fying as an insured in the Who Is An Insured provi-
a. That are, or that are contained in any prop- sion of the applicable coverage. Except with re-
spect to the Limit of Insurance, the coverage af-
erty that is: I
forded applies separately to each insured who is
(1) Being transported or towed by, handled, seeking coverage or against whom a claim or"suit"
or handled for movement into, onto or is brought.
from the covered "auto";
G. "Insured contract"means:
(2) Otherwise in the course of transit by or 1. A lease of premises;
on behalf of the"ins;ured';
(3) Being stored, disposed of, treated or 2. A sidetrack agreement;
processed in or upon the covered "auto"; 3. Any easement or license agreement, except in
or connection with construction or'demolition op-
erations on or within 50 feet of a railroad;
.. Before the pollutants" or any property in
which the "pollutants are contained are 4. An obligation, as required by ordinance, to in-
moved from the place' where they are ac- demnify a municipality, except in connection
cepted by the "insured" for movement into with work for a municipality;
or onto the covered "auto"; or 5. That part of any other contract) or agreement
c. After the "pollutants" !or any property in pertaining to your business (including an in-
which the "pollutants", are contained are demnification of a municipality I in connection
moved from the covered "auto" to the place with work performed for a municipality) under
where they are finally delivered, disposed of which you assume the tort liability of another to
or abandoned bythe"insured". pay for"bodily injury" or"property damage"to a
!
third party or organization. Tort liability means a
Faragraph a. above do'es not apply to fuels, liability that would be imposed bylaw in the ab-
lubricants, fluids, exhaust gases or other is Y P
sence of any contract or agreement;
rimilar "pollutants" that are needed for or
sult from the normal electrical, hydraulic 6. That part of any contract or agreement entered
into, aspart ofyour business, pertainingto the
or mechanical functioning of the covered „
"auto"or its parts, if: ! rental or lease, by you or any of your employ-
; ees", of any "auto". However, such contract or
(1) The "pollutants" escape, seep, migrate, agreement shall not be considered an "insured
or are discharged, dispersed or releasedI
directly from an "auto" part designed by contract" to the extent that it obligates you or
hold, store, receive anyour "employees" to payfor,,"property
its manufacturer toll damage" to an "auto" rented leasedor ' by you
or dispose of such "pollutants"; and
or any of your"employees". 1
1
CA 00 01 07 97 Copyright, Insurance Services Office, Inc., 1996 Page 9 of 10 0
1
An "insured contract" does not include that part 6. Vehicles not described in Paragraphs 1., 2., 3.
of any contract or agreement: or 4. above maintained primarily for purposes
a. That indemnifies any person or organization
other than the transportation of persons or
' "property damage" cargfollowinev r, elff propelled Vehicles
with
for "bodily injury" orH hod
arising out of construction or demolition,op- th g typesp ly
orations, within 50 feet of any railroad prop- equipment are not "mobile equipment" but will
erty and affecting any railroad bridge or be considered autos .
trestle, tracks, roadbeds, tunnel, underpass a. Equipment designed primarily for:
1 or crossing; or (1) Snow removal;
b. That pertains to the loan, lease or rental of (2) Road maintenance, but not construction
an"auto"to you or any of your"employees", or resurfacing; or
if the "auto" is loaned, leased or rented with
a driver; or (3) Street cleaning;
i
'c. That holds a person or organization en- b. Cherry pickers and similar devices mounted
gaged in the business of transporting prop- on automobile or truck chassis and used to
arty by"auto" for hire harmless for your use raise or lower workers; and
of a covered "auto" over a route or territory c. Air compressors, pumps and, generators,
that person or organization is authorized to including spraying, welding,I building clean-
serveII 11 by public authority. ing,servgeophysical
en phyis lexploration, lighting or well
H. Leased worker" means a person leased to you by gequipment.
a Iaborl leasing firm under an agreement between K. "Pollutants" means any solid, liquid,' gaseous or
you and the labor leasing firm, to perform duties thermal irritant or contaminant, including smoke,
related the conduct of your business. "Leased vapor, soot, fumes, acids, alkalis, chemicals and
worker��does not include a"temporary worker". waste. Waste includes materials to ibe recycled,
1'I. Loss" reconditioned or reclaimed.
means direct and accidental loss or dam-
age. ; L. "Property damage" means damage to or loss of
J. "Mobil equipment" means 'any of the following use of tangible property. 1
types of land vehicles, including any attached ma- M. "Suit"means a civil proceeding in which:'
chinery or equipment: 1. Damages because of "bodily injury" or "prop-
1. ;Bulldozers, farm machinery, forklifts and other erty damage"; or I I
vehicles designed for use principally off public 2. A"covered pollution cost or expense",
' roads;
1 to which this insurance applies, are alleged.
2. ,Vehicles maintained for use solely on or next to
;premises you own or rent; "Suit" includes:
3. Vehicles that travel on crawler treads; a. An arbitration proceeding in which such
damages or "covered pollution costs or ex-
4. ,Vehicles, whether self-propelled or not, main- penses" are claimed and to which the "in-
;'tained primarily to provide mobility to perma- sured" must submit or does submit with our
nently mounted: consent; or
l a. Power cranes, shovels, loaders, diggers or b. Any other alternative dispute resolution pro-
drills; or
ceeding in which such damages or"covered
I. b. Road construction or resurfacing equipment pollution costs or expenses" are claimed
such as graders, scrapers or rollers. and to which the insured submits with our
5. Vehicles not described in,Paragraphs 1., 2., 3., consent.
or 4. above that are not self-propelled and are N. "Temporary worker" means a person who is fur-
:
maintained primarily to provide mobility to per- nished to you for a finite time period to support or
manently attached equipment of the following supplement your workforce in special work situa-
types: tions such as "employee" absences, temporary
a. Air compressors, pumps and generators, skill shortages and seasonal workloads.
including spraying, welding, building clean- O. "Trailer"includes semitrailer.
' ing, geophysical exploration, lighting and
well servicing equipment; or
b. Cherry pickers and similar devices used to
raise or lower workers.
I,
Page110 of 10 Copyright, Insurance Services Office, Inc., 1996 CA 00 01 07 97 ❑
This Endorsement effective January 1,2003
forms part of Policy Number AAP N00053983
Issued to I City of Renton
ACE Property and Casualty Insurance Company
DATE RECOGNITION EXCLUSION CLAUSE
This policy does not cover any claim, damage, injury, loss, cost, expense or liability (whether in contract,
tort, negligience, product liability, misrepresentation, fraud or otherwise) of any nature whatsoever arising
from obi occasioned by or in consequence of(whether directly or indirectly and whether wholly or partly):
(a) tie failure or inability of any computer hardware, software, integrated circuit, chip or ,information
technology equipment or system (whether in the possession of the Insured or of any third party)
accurately or completely to process, exchange or transfer year, date or time data or information in
connection with:
-,the change of year from 1999 to 2000; and/or
- the change of date from 21 August 1999 to 22 August 1999; and/or
I any other change of year, date or time;
whether on or before or after such change of year, date or time;
(b) any implemented or attempted change or modification of any computer hardware, software,
integrated circuit, chip or information technology equipment or system (whether in the possession
Of the Insured or of any third party) in anticipation of or in response to any such change of year, date
or time, or any advice given or services performed in connection with any such change or modification;
(c) any non-use or unavailability for use of any property or equipment of any kind whatsoever resulting
from'any act, failure to act or decision of the Insured or of any third party related to any such change
11,
of year, date or time;
iI
and any provision in this policy concerning any duty of Insurers to investigate or defend claims shall not
apply o any claims so excluded.
i
,II
1
II
4449
Authorized Representative
III i
Endorsement No. 6
AAP 256 ( 1/99) 12iO3i2002
This Endorsement effective January 1,2003
forms part of Policy Number AAP N00053983
Issued to City of Renton
ACE Property and Casualty Insurance Company
PREMIUM AUDIT ENDORSEMENT
It is agreed that the advance premium shown under the Declarations is adjustable as follows:
Products-Completed Operations:
Gross Receipt. Rate Developed
Classification policy period per$1,000 Premium
New Aircraft Sales If Any Included Included
Used Aircraft Sales If Any Included Included
Repairs & Service,
includidg parts installed If Any Included Included
Aviation gas and oil If Any Included Included
Parts not installed If Any Included Included
Earnetl Premium Included
Less Advance Premium Included
Additional / (Return Premium) due Included
i I
Authorized Representative
Endorsement No. 7
AAP 257 (11/99) 12/03/2002
6 '
This Endorsement effective January 1, 2003
forms part of Policy Number AAP N00053983
Issued too City of Renton
ACE Property and Casualty Insurance Company
'; WASHING,TON CHANGES - CANCELLATION
AND NONRENEWAL
This endorsement modifies insurance provided under AIRPORT OWNERS AND OPERATORS GENERAL LIABILITY
POLICY. ,
CANCELLATION
1. Thefirst Named Insured shown in the Declarations may cancel this policy by mailing or delivering to us advance
written notice of cancellation.
2. We may cancel this policy by mailing or delivering to the first Named Insured and the first Named Insured's agent or
broker written notice of cancellation, including the actual reason for the cancellation, to the last mailing address
kni'own to us, at least:
a. 10 days before the effective date of cancellation if we cancel for nonpayment of premium; or
b. 45 days before the effective date of cancellation if we cancel for any other reason.
3. We will also mail or deliver to any mortgage holder, pledgee or other person shown in this policy to have an
interest in any loss which may occur under this policy, at their last mailing address known to us;written notice
of cancellation, prior to the effective date of cancellation.This notice will be the same as that mailed or delivered
to:the first Named Insured.
4. Notice of cancellation will state the effective date of cancellation. The policy period will end on that date.
5. a. 1 If this policy is cancelled,we will send the first Named Insured any premium refund due.Ifwe cancel,the refund
wiill be pro rata.
b.�1 If the first named insured cancels,the refund will be at least 90% of the pro rata refund.
c.i If
(1i) You are an individual; and ;
(2) The first Named Insured cancels,
il the refund will be not less than 90% of any unearned portion not exceeding$100, plus 95% of any
! unearned portion over$100 but not exceeding$500, and not less than 97% of any unearned.portion in
i excess of$500.
d.1' Tie cancellation will be'effective even if we have not made or offered a refund.
6. If l otice is mailed, proof of mailing will be sufficient proof of notice.
1
NONRENEWAL '
1. We may elect not to renew this policy by mailing or delivering written notice of nonrenewal, stating the reasons
for nonrenewal, to the first Named Insured and the first Named Insured's agent or broker, at their last mailing
addresses known to us. Wewill also mail to any mortgage holder, pledgee or other person shown in this policy
I 1
to;have an interest in any loss which may occur under this policy, at their last mailing address known to us,
written notice of nonrenewal:We will mail or deliver these notices at least 45 days before the: '
a.i; *piration of the policy;for
b. Anniversary date of this,policy if this policy has been written for a term of more than one year.
Otherwise,we will renew this policy unless:
a.'' The first Named Insured fails to pay the renewal premium after we have expressed our willingness to
renew, including a statement of the renewal premium, to the first Named Insured and the first Named
i. Insured's insurance agent or broker, at least 20 days before the expiration date; or
b.,l, Other coverage acceptable to the insured has been procured prior to the expiration date of the policy.
Endorsement No. 8 Includes copyrighted material of Insurance Services Office,Inc.with its permission Page 1 of 1
Copyright,Insurance Services Office,Inc.1998
AAP WA(11/99)
1
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This Endorsement effective January 1, 2003
forms part of Policy Number AAP N00053983
Issued to City of Renton
ACE Property and Casualty Insurance Company
,„ WASHINGTON CHANGES
This en,idorsement modifies insurance provided under AIRPORT OWNERS AND OPERATORS GENERAL LIABILITY
POLICY.
A. Exclusion e. of coverage A-,Bodily Injury and Property Damage Liability (Section I - Coverages)applies only
aplplie only to"bodily injury"to any"employee"of the insured whose employment is not subject to the Industrial
Insurance Act of Washington (Washington Revised Code Title 51). '
With respectto"bodily injury"to"employees"of the insured whose employment is subject to the Industrial
insurance Act of Washington, Exclusion e. is replaced with the following:
This insurance does not apply to:
1.i,; Bodily injury"to an "employee"of the insured arising out of and in the course of:
a. Employment by the insured; or
b.l Performing duties related to the conduct of the insured's business; or
2. Any obligation to share damages with or repay someone else who must pay damages because of the injury.
Tye exclusion does not apply to liability assumed by the insured under an "insured contract".
B. Paragraph 2.b.(1)of Section III -Who Is An Insured applies only to"employees"of the insured whose employment
is not subject to the Industrial Insurance Act of Washington (Washington Revised Code Title 51). With respect to
"employees"of the insured whose employment is subject to the Industrial Insurance Act of Washington,
Pc ragraphs 2.a. and 2.b•of Section III -Who Is An Insured are replaced with the following:
2. , Each of the following is also an insured:
a! Your employees, other than your exective officers, but only for acts within the scope of their
employment by you with respect to your"airport operations".
b. If you are designated in the Declarations as a public corporation,employees of your boards,commissions
or agencies,other than executive officers,but only for acts within the scope of their employment by
those boards, commissions or agencies with respect to your"airport operations". ;
However, no employee of yours or your boards, commissions or agencies is an insured for:
(1) "Bodily injury"or"personal injury"to you or to a co-employee while in the course of his or her
employment, or for any obligation to share damages with or repay someone else who must pay
damages because of the injury; or
(2) "Bodily Injury"or"personal injury"arising out of his or her providing or failing to provide
professional health care services; or
(3) "Property damage"to property owned or occupied by or rented or loaned to that employee, any
Ills of your other employees, or any of your partners or members (if you are a partnership or joint
venture).
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Endorsement No. 9 Includes copyrighted material of Insurance Services Office,Inc.with its permission •
Copyright,Insurance Services Office,Inc.1998
9001-WA(11/99) ! I Page 1 of 1
bto - ,vv.,c k 1 0•
WA cities
Insurance Authority 6 � P.O. Box 88030
Human h esources& . N��� �.
Risk Management - �'
981 25th H 12006�� Tukwila, WA 98138
ANNivENSAfl'i �`
August 1, 2006 eft O� ��1 Phone: 206 575 6046
yCEA
Fax: 206-575-7426
Michael Webby
City of Renton
1055 South Grady Way
Renton, WA 98055
RE: Police Professional Liability Policy
Aspen Specialty Insurance
Effective Date: June 1, 2006 to June 1, 2007
Dear Mike:
Enclosed is the policy referenced above. A summary of insurance is also
enclosed for your reference. You should have already received the binder and
invoice for the policy.
Please contact Eric Larson or me if you have questions or require additional
information. Thank you for the opportunity to be of continued service.
Sincerely,
j.71 'a Merril Dunhan4414(-h../'
Y
Administrative Assistant
enc. 1
WA " cities
Insurance Authority P.O. Box 88030
Tukwila,WA 98138
7/21/2006
Phone:206-575-6046
City of Renton
1055 South Grady Way Fax:206 575 7426
Renton,WA 98055
INV#: 100255
Invoice
Liability 31,467
Total: $31,467
*k
/to
Renewal premium for Professional Liability Policy on City Jail. Term: June 1,
2006 to June 1,2007.
armlet
,
11
da'iver, UU INSURANCE SERVICES
1; 1
INTEGRATED INSURANCE&FINANCIAL SERVICES
Washington Cities Insurance Authority (WCIA)
1, Police Professional Liability
il,it
Summary of Coverage
NAMED INSURED: City of Renton
INSURER: Aspen Specialty Insurance Company
A.M.BEST RATING: A-(Excellent),Financial Size Category—VIII($100 million to$250 million)
as of June 1,2006
STANDARD&POOR'S: Not rated
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W'ASHINGTON STATUS: Not Admitted
POLICY NUMBER: LE000030
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POLICY PERIOD: June 1,2006 to June 1, 2007
II '
TYPE OF COVERAGE: Police Professional Liability
COVERAGE/LIMITS: Annual Aggregate Limit ' $' ' 1,000,000
. Each Person Limit $ 1,000,000
hEach Occurrence Limit $ 1,000,000
EXCLUSIONS(Major but Asbestos—Hazardous Properties Exclusion
not limited to): Consent to Settle Endorsement
'i Punitive&Exemplary Damages Endorsement I
Fungi,Bacteria, and Viruses Exclusion
11
Terrorist Exclusion
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Service of Suit 1 i
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LOSS/CLAIM REPORTING: Report all claims to:
l
Summit Risk Services,Inc.
424 South York Road
Hatboro,PA 19040
II I Ph: 800-851-9403 1 1
Fax: 215-773-7725
II
DAIS,Attention Diana Walizada, Claims Manager
Fax: 415-402-0773
D,, DUCTIBLE: $ ! 10,000
i
i 1 Driver Alliant Insurance Services Inc.
an Alliant Resources Group company
1301 Dove Street,Suite 200,Newport Beach CA 92660 • 949-756-0271
Lic#0C36861 • www.driveralliant.com
j;'rr3uo6 1
thrive ' t INSURANCE SERVICES
INTEGRATED INSURANCE&FINANCIAL SERVICES
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ANNUAL PREMIUM: $ 29,469.00
TAXES &FEES,
STAMPING FEES: $ 1,997.64
TOTAL: $ 31,466.64
BROKER: DRIVER ALLIANT INSURANCE SERVICES,INC.
6
Rick Steddom,Vice President
Patty Kopec,Unit Manager
This summary of insurance is provided as a matter of convenience and information only. All information included in this
summary, including but not limited to personal and real property values, locations, operations, products data, automobile
schedules,financial data and loss eperience,is based on facts and representations supplied to Driver Alliant Insurance Services,
Inc!'by you. This summary does not reflect any independent study or investigation by Driver Alliant Insurance Services,Inc.,or
its agents and employees.
11 THIS SUMMARY IS NOT CONFIRMATION OF INSURANCE AND DOES NOT ADD TO,EXTEND,AMEND,CHANGE OR ALTER ANY
11 COVERAGE IN ANY ACTUAL POLICY OF INSURANCE YOU MAY HAVE. ALL POLICY TERMS,CONDITIONS,EXCLUSIONS AND
LIMITATIONS APPLY. FOR SPECIFIC INFORMATION REGARDING YOUR INSURANCE COVERAGE, PLEASE REFER TO THE
, POLICY ITSELF. DRIVER ALLIANT INSURANCE SERVICES,INC.WILL NOT BE LIABLE FOR ANY CLAIMS ARISING FROM OR
RELATED TO INFORMATION INCLUDED IN OR OMITTED FROM THIS SUMMARY OF INSURANCE.
j ANAILYZING INSURERS' OVER-ALL PERFORMANCE AND FINANCIAL STRENGTH IS A TASK THAT REQUIRES''SPECIALIZED
SKILLS AND IN-DEPTH TECHNICAL UNDERSTANDING OF ALL ASPECTS OF INSURANCE COMPANY FINANCES AND OPERATIONS.
Insurance brokerages such as Driver Alliant Insurance Services,Inc. typically rely upon rating agencies for this type of market
analysis) Both A.M. Best and Standard and Poor have been industry leaders in this area for many decades, utilizing a
combination of quantitative and qualitative analysis of the information available in formulating their ratings.
I',
A. 1. Best has an extensive database of nearly 6,000 Life/Health,Property Casualty and International companies.You can visit
them at www.ambest.com
II,
additional information regarding insurer financial strength ratings visit Standard and Poor's website at
www.standardandp oors.com
Commissions are customarily paid by the insurance carriers to their agents and to brokers as a percentage of premiums. In
addition'to the commissions that Driver Alliant receives,its related entity,Alliant Specialty Insurance Services,Inc.("ASIS")
may receive compensation from Driver Alliant and/or the carrier for providing underwriting services. The financial impact of the
compensation received by ASIS is a cost included in the premium. Additionally,the related entities of Driver Signature Services
and/or Strategic HR may receive compensation from Driver Alliant and/or the carrier for providing designated,value-added
services. Services contracted for by the client directly will be invoiced accordingly. Otherwise,services will be provided at the
expense'of Driver Alliant and/or the carrier.Further information is available upon written request directed to: Driver Alliant
Insurance Services,Attention:Chief Operating Officer, 1620 Fifth Avenue,San Diego,CA 92101.
Il
1
Driver Alliant Insurance Services Inc.
an Alliant Resources Group company
1301 Dove Street,Suite 200,Newport Beach CA 92660 • 949-756-0271
d'1 I Lic#0C36861 • www.driveralliant.com
2
17/3 uoe
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ASPEN
' ASPEN SPECIALTY
POLICE'PROFESSIONAL LIABILITY DECLARATIONS
Policy#LE000030-02 I Previous Policy# LE000030
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1. NAMEDjINSiURED: City of Renton
MAILING ADDRESS: 1055 South Grady Way
Ii 1 Renton, WA 98055
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2. POLICY PERIOD: From 6/1/2006 to 6/1/2007
Ii at 12:01 A.M. Standard Time at your mailing address shown above.
IN RETURl'1 FOR THE PAYMENT OF THE PREMIUM,AND SUBJECT TO ALL THE TERMS OF THIS ,
POLICY,WE AGREE WITH YOU TO PROVIDE THE INSURANCE AS STATED IN THIS POLICY.
3. LIMITS IOF INSURANCE:
ANNUAL AGGREGATE LIMIT: $1,000,000.00 '
EACH OCCURRENCE LIMIT: $1,000,000.00
EACH PERSON LIMIT: $1,000,000.00
4. DEDUgjTIBLE AMOUNT: $10,000.00
5. PREMIUM: $29,469.00
TRIA P ;lemi m (if applicable): $ 0.00
Total Annual Premium: ' $29,469.00
0
`LOCATI`ON OF ALL PREMISES YOU OWN, RENT OR OCCUPY:
1. ,
2. j! \
7. ENDORSEMENTS FORMING A PART OF THIS COVERAGE PART ON ITS
EFFECTIVE DATE: ASPPL-LE001(7/1/2005), ASPPL-LEDECOCC(7/1/2005), ASPPL-GEN01(1/1/2005),
ASPPL-GEN03(1/1/2005), ASPPLT GEN05(1/1/2005), ASPPL-LE003(1/1/2005), ASPPL-LE005(1/1/2005),
ASPPL�ILE006(1/1/2005) 1
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THESE POLICY DECLARATIONS TOGETHER WITH THE COMMON POLICY CONDITIONS, COVERAGE
FORM(S)AND ENDORSEMENTS, IF ANY, COMPLETE THE ABOVE NUMBERED POLICY.
THIS POLICY IS MADE AND ACCEPTED SUBJECT TO THE PROVISIONS AND STIPULATIONS WHICH
ARE MADE A PART OF POLICY,TOGETHER WITH SUCH OTHER PROVISIONS, STIPULATIONS AND
AGREEMENTS AS MAY BE ADDED.
1
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j .0e.+7.7 ',. ""
drGiveroalliant I I '
DRIVER ALLIA INT INSURANCE SERVICES Authorized Representative
1301 DOVE STREET,SUITE 200
NEW�POR I BEACH,CA 92660 ,
LICENSE#0C36861
Issue Date: 05!/25/06 93001-Police Prof.Basic-w/holding cell and jail
ASPPL-LE-DEC (OCC) (07/05) I
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Endorsement # 1
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POLICE OFFICER PROFESSIONAL LIABILITY COVERAGE
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
General Change Endorsement
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This endorsement,effective 6/1/06 forms a part of Policy No.LE000030-02,issued to the Renton City
by Aspen Specialty Insurance Company
I i
This endorsement modifies insurance provided under the following:
POLICE PROFESSIONAL LIABILITY COVERAGE FORM
In consideration of the premium charged it is hereby understood and agreed that coverage is afforded but only with
respects to the jail operations)
All other terms and conditions of the Policy remain unchanged.
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ASPPL-GEN-02(1/05)
Page 1 of 1 I I
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POLICE PROFESSIONAL LIABILITY
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
GENERAL TERRORISM EXCLUSION
(FOR CERTIFIED ACTS OF TERRORISM AND
OTHER ACTS OF TERRORISM)
This endorsement, effective 61/1/2006 forms a part of Policy No. LE000030-02 issued to City of Renton by
Aspen Specialty Insurance Company.
VI
This endorsement modifies insurance provided under the following:
POLICE PROFESSIONAL LIABILITY COVERAGE FORM
It is agreed that this policy shall not provide coverage for"any injury or damage" arising, directly or indirectly,
out!1of a"certified act of terrorism or another act of terrorism".
"Celrtified act of terrorism" means an act that is certified by the Secretary of the Treasury, in concurrence
with the Secretary of State and the Attorney General of the United States, to be an act of terrorism
pursuant to the federal Terrorism Risk Insurance Act of 2002. The federal Terrorism Risk Insurance Act
of 2002 sets forth the following criteria for a"certified act of terrorism":
1. 'The act resulted in aggregate losses in excess of$5 million; and
12. The act is a violent act or an act that is dangerous to human life, property or infrastructure and is
committed by an individual or individuals acting on behalf of any foreign person or foreign
interest, as part of an effort to coerce the civilian population of the United States or to influence
!the policy or affect the conduct of the United States Government by coercion.
"Other act of terrorism" means a violent act or an act that is dangerous to human life, property or
infrastructure that is committed by an individual or individuals and that appears to be part of an effort to
coerce la civilian population or to influence the policy or affect the conduct of any government by coercion,
and,the;act is not certified as a terrorist act pursuant to the federal Terrorism Risk Insurance Act of 2002.
Fokhe purposes of this endorsement"any injury or damage" means any injury or damage covered under
the!policy to which this endorsement is applicable, and includes but is not limited to loss, damages,
clailms expenses, defense cots or clean-up costs.
All other terms and conditions,of this Policy remain unchanged.
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ASPPL JGEN03
Pagle 1 of 1
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ISSIIUE DATE: 05/25/06
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POLICE PROFESSIONAL LIABILITY
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
FUNGI, BACTERIA, AND VIRUSES EXCLUSION
Tpis endorsement, effective 6/1/2006 forms a part of Policy No. LE000030-02 issued to City of Renton
by Aspen Specialty Insurance Company.
This endorsement modifies linsurancp provided under the following:
I
FI�OLICE PROFESSIONAL LIABILITY COVERAGE FORM
Ili consideration of the premium charged, it is hereby understood and agreed that the
following Exclusion is added to the Policy:
The Company shall not make any payment nor defend any suit in connection with any
QLAIMS made against the INSURED:
where all or any part of such CLAIM arises from, is based upon, or is in any way
related to any allegation that Damages were suffered as a result of, presence; of,
suspected presence of, or exposure to:
fl I
a. Fungi, including but not limited to mold; mildew, mushroom, rust,
smuts, and yeast;
b. Bacteria;
c. Viruses; or
d. Dust, spores, or odors, including but not limited to allergens, irritants,
mycotoxins, endotoxins or scents, particulates, byproducts, microbial
volatile organic compounds produced by, resulting from or associated
with any of the organisms listed in a., b., or c. above;
from any source whatsoever.
Any loss, cost or expense arising out of the abating, testing for, monitoring of,
mitigation of, cleaning up of, removal of, containment of, treatment of, detoxification
of, neutralization of, remediation of, disposal of, or any other response to or
assessment,of, the effects of any of the items in a., b., c. or d. above, from any source
whatsoever.
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11 other terms and conditions remain unchanged.
ASPPL-GEN05(01/05)
Page'1 of 1
ISSUE DATE: 05/25/06
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POLICE PROFESSIONAL LIABILITY
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THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
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pi! CONSENT TO SETTLE ENDORSEMENT
This endorsement, effective 6/1/2006 forms a part of Policy No. LE000030-02 issued to City of
Renton by Aspen Specialty Insurance Company.
This iendorsement modifies insurance provided under the following:
POLICE PROFESSIONAL'LIABILITY COVERAGE FORM
We will not settle any claim or"suit"without the first Named Insured's consent. However,
if the first Named Insured refuses to consent to the settlement of such claim or"suit" after
receiving our request for consent to settle, and the first Named Insured elects to contest
such claim or"suit"and continues legal proceedings for such claim or"suit", then our ,
Liability to pay damages under this policy will be the lesser of the following:
I'
!i! 1. Up to and not to exceed the amount of the damages set forth in our request to settle,
Or
2. The Limits of Insurance as set forth in Section 3. on the Declarations.
Additionally, all further legal expenses, costs, and supplementary
payments, incurred by an insured after the date of such refusal of the
11i consent to settle, will be the responsibility of such insured.
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111 Page 1 of 1
' ISSUE DATE: 05/25/06
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POLICE PROFESSIONAL LIABILITY
1r THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
P1
I EXCLUSION -ASBESTOS -HAZARDOUS PROPERTIES
This endorsement, effective 6/1/2006 forms a part of Policy No. LE000030-02
issued to City of Renton by Aspen Specialty Insurance Company.
This endorsement modifies insurance provided under the following:
POL CE PROFESSIONAL LIABILITY COVERAGE FORM
�!I I
The following exclusion is added to SECTION .1 -COVERAGE:
This insurance does not apply to any claim made against the insured for any loss,
cost or expense arising out of, resulting from, caused or contributed to by asbestos
Or exposure to asbestos. This includes, but not limited to, any costs for abatement,
Mitigation, removal or disposal of asbestos.
This exclusion also includes, but is not limited to:
1. Any supervision, instructions, recommendations, requests, warnings or advice
;given or which should have been given in connection with the above; and
I2. Any obligation to share damages with or repay someone else who must pay damages.
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ASPPL-LE005(01/05)
:1 Page 1 of 1
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ISSUE DATE: 05/25/06
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POLICE PROFESSIONAL LIABILITY
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
i,,
!' j PUNITIVE & EXEMPLARY DAMAGES ENDORSEMENT
This endorsement, effective 6/1/2006 forms a part of Policy No. LE000030-02 issued to City of
Renti n by Aspen Specialty Insurance Company.
This endorsement modifies insurance provided under the following:
POLICE PROFESSIONAL LIABILITY COVERAGE FORM
The following exclusions are deleted in their entirety from SECTION 1. COVERAGES,
CO�ERAGE A. Bodily Injury and Property Damage, Subsection 2. Exclusions.
I. Any claim or"suit"seeking Punitive or Exemplary Damages. If a suit shall have been brought
against the insured for a claim falling within the coverage provided by this policy, seeking
compensatory and punitive or exemplary damages, we will afford a defense to such action, but.
we shall not have an obligation to pay for any cost, interest, or damages attributed to punitive
or exemplary damages.
I' and
,SECTION 1. COVERAGE, COVERAGE B. Personal Injury Liability, Subsection 2. Exclusions.
`g. Any claim or"suit" seeking punitive or exemplary damages. If a suit shall have been brought
against the insured for a claim falling within the coverage provided by this policy, seeking both '
compensatory and punitive or exemplary damages, we will afford a defense to such action,
1, but we shall not have an obligation to pay for any cost, interest, or damages attributed to
p punitive or exemplary damages.
1This endorsement only applies if punitive and exemplary damages are allowed in the jurisdiction
!where the action is filed. •
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ASPPL-LE006
„ Page 1 of
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POLICE PROFESSIONAL LIABILITY
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THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY
SERVICE OF SUIT
This endorsement, effective 6/1/2006 forms a part of Policy No. LE000030-02 issued to City of Renton by Aspen Specialty
Insurance Company.
This endorsement modifies insurance provided under the following:
POLICE PR 0 FESSIONAL LIABILITY COVERAGE FORM
1111
It is agreedthat your policy is amended by adding thereto the following condition:
In the event of our failure to pay any amount claimed to be due under your policy, we, at your request, agree to submit
to the jurisdiction of a Court of Competent jurisdiction within the United States and will comply with all requirements
necessary to give such Court jurisdiction, and all matters arising hereunder shall be determined in accordance with the
law and practice of such Court. However, we specifically reserve the right to remove any suit brought under,this policy
to a Federal Court of the United States.
41 1
Service of process in such suit may be made upon the highest one in authority bearing the title Commissioner, Director,
or Superintendent of Insurance of the State or Commonwealth wherein the property covered by your policy is located,
and in anyl'suit instituted against us upon this contract, we will abide by the final decision of such Court or any Appellate
Court in the event of an appeal.
The one in authority bearing the title Commissioner, Director, or Superintendent of Insurance of the State or
Commonwealth wherein the property covered by your policy is located is hereby authorized and directed to accept
service of[process on our behalf in any such suit, and/or upon your request, to give a written undertaking to you that
:hey will enter a general appearance on our behalf in the event such a suit is instituted.
iI 1
We hereby appoint the following as duly authorized agent, to which a copy of the service of process should be
forwardedi,by the Commissioner for delivery to us:
For policies issued by Aspen Specialty Insurance Company:
Claims Manager
Aspen Specialty Insurance Company
99 High Street
Boston, MA 02110
1111
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1PPL-GEN01 (01/05)
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ISSUE DATE: 05/25/06 '
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;Self-Insured Coverage Document
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WCIA Coverage Document#CT-2007 Page 2
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WASHINGTON CITIES INSURANCE AUTHORITY
1"
Ili j Self-Insured Coverage Document CT-200
January 1,2007,to January 1,2008
In 12:01 am Pacific Standard Time
LIMITS/ULTIMATE NET LOSS:
i'h I
SELF-INSURED LAYER LIMIT:
$3,000,000 PER OCCURRENCE
REINSURED EXCESS LAYER LIMIT:
$12,000,000 PER OCCURRENCE
11
TOTAL LIMIT:
$15,000,000 PER OCCURRENCE,subject to aggregates and sub-limits
111 below and in Section I.D,(Coverage Limits)in the WCIA Joint
Protection Program.
iio AGGREGATE LIMITS/SUB-LIMITS:
!' Above$4,000,000 Per Occurrence $10,000,000 annual aggregate Product
Liability coverage per Member,$10,000,000 Public Official Liability annual
aggregate per Member,$10,000,000 Employment Practice Liability annual
aggregate per Member and a$25,000,000 annual aggregate per Member for
Law Enforcement Liability arising out of Member owned jails or holding facilities
with overnight or greater length of stay for the confinement of inmates.
$3,000,000 per occurrence limit and$3,000,000 annual aggregate per Member
IIIapplying to Terrorism.
111 I $1,000,000 per occurrence limit and$1,000,000 annual aggregate limit per
it Member applying for the release,discharge or backup of liquids and/or effluents
from waste water and/or sanitary sewer lines owned,leased, maintained or
l' I operated by a"Member".
I
DESCRIPTION OF COVERAGE: General Liability,Automobile Liability,Stop-Gap Coverage, Errors or Omissions
Liability and Employee Benefits Liability.
11;
LIMITS OF LIABILITY FOR ALL COVERAGE.
I;
ih I The Limits/Ultimate Net Loss stated herein and the rules below set the maximum the Authority
I„ will pay regardless of the number of:
a. members;
b. claims made or lawsuits brought;or
1" c. persons or organizations making claims or bringing lawsuits
(TERRITORY:This coverage applies to General Liability,Automobile Liability,Stop-Gap Coverage, Errors or
Omissions Liability and Employee Benefit Liability occurring anywhere in the United States of America,its territories
and possessions or Canada.
I I
'MEMBERS COVERED BY THIS AGREEMENT:
1;'
1;1Aberdeen Benton County Emergency Services Cheney
'Anacortes Bonney Lake Chelan
I;!A Regional Coalition for Housing Bothell Clark Regional Emerg.Serv.Ag.(CRESA)
Arlington Burien Clarkston
Auburn Camas Cle Elum
j'Bainbridge Island Cashmere Clyde Hill
Battle Ground Centralia Coupeville
I Benton City Chehalis
j.
III
1111
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WCIA Coverage Document#CT-2007 Page 2
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Covington Medina Snohomish
Cowlitz-Wahkiakum Council of Gov. Mercer Island Snohomish Co.Emergency Radio Sys.
Des Moines Metropolitan Park District of Tacoma SNOCOM/Medic 7
Eastside Public Safety Communications Mill Creek SNOPAC
eCity Gov Alliance Milton Snoqualmie
Edgewood Monroe Soap Lake
Edmonds Monroe Fire District Spokane Valley
Elma I Montesano Stanwood
Emergency Services Coord.Agency Moses Lake Steilacoom
Enumclaw Mountlake Terrace Sumner
I,ife Mount Vernon Three Rivers Reg.Wastewater Auth.
George Mukilteo Thurston Regional Planning Council
Goldendale Newcastle Toppenish
Grandview Normandy Park Tukwila
Grays Harbor 911 Communications North Bonneville Tumwater
Hoquam Northshore Utility District Union Gap
Issaquah Oak Harbor University Place
Kelso Ocean Shores Valley Communications
Kenmore Olympia Walla Walla
Kent Othello WA Cities Insurance Authority
Kirkland Pasco Warden
Lacey PENCOM Washougal
La Conner Port Angeles Water Operating Board
Lake Forest Park Port Townsend Westport
Lake!Stevens Pullman WHITCOM 911
Leavenworth Pullman-Moscow Regional Airport Woodinville
Long Beach Pullman Metropolitan Park District Woodway
Longview Puyallup Yakima Valley Conference of Gov.
'LOTT Alliance Renton Valley Regional Fire Authority
Mabton Richland Yarrow Point
Maple Valley Ridgefield Zillah
(Marysville Sammamish
'Marysville Fire District Shelton
!McCleary Shoreline
(Medical Lake Skagit 911
This document is not an insurance policy. The Washington Cities Insurance Authority(Authority)is not an insurance
'Company. This document is an agreement by the Authority and its members to pay all covered losses subject to the
limits and other terms and conditions of this Agreement and any addenda attached. In consideration of the
assessments paid by the members,this Agreement provides the following coverages:
1111
I. COVERAGE AGREEMENTS
A. GENERAL&AUTOMOBILE LIABILITY COVERAGE
1. Coverage
In consideration of the assessment herein provided,the Authority hereby agrees,subject to the
limitations,terms and conditions hereinafter mentioned,to pay on behalf of the member all sums
which the member shall be obligated to pay by reason of liability:
I
a. imposed upon the member by law;or
b. assumed under contract or agreement by the member and/or any officer, director,
official,or employee of the member,while acting in his or her capacity as such:
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II for damages, direct or consequential and expenses,all as more fully defined by the term"ultimate
net loss"on account of:
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i. personal injury,
ii. property damage,
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WCIA Coverage Document#CT-2007 Page 2
iii. advertising liability,
caused by or arising out of an occurrence during the coverage period The coverage for the
liability assumed under contract in I.A.1.b.above shall be limited to the terms,conditions,
1; limitations and exclusions in the Coverage Document.
"Damages"as used in this section and this Agreement,do not include punitive or exemplary
damages or fines or penalties awarded against the member.
2. Exclusions
This Agreement is subject to the following exclusions:
1.1
111
This Agreement shall not apply to any claims against any member:
lr a. Regarding any obligation for which the member or any carrier as insurer may be held
1;' liable under any Worker's Compensation, unemployment compensation or disability
benefits law,or under any similar law;
f" I. with respect to liability arising out of bodily injury to Law Enforcement Officers
and Fire Fighters employed by the member it is agreed that exclusion(a)above
is deleted and the following substituted therefore:
this Agreement does not apply to personal injury of any employee arising out
of and in the course of their employment by the member to the extent that
119 benefits for such personal injury are either payable or required to be provided
under the"Washington Law Enforcement Officer's and Fire Fighter's
Retirement System Act."
Ik
b. For personal injury to or sickness,disease or death of any employee of the member
arising out of and in the course of their employment by the member;
c. For medical malpractice injury:
11;
against any member engaged in the business or occupation of providing
medical,surgical,dental,X-ray or nursing service or treatment or the furnishing
it of food or beverages in connection therewith. This exclusion shall not apply to
paramedics.
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ii. due to injury caused by any member if such member is engaged in the,
business or occupation of providing the furnishing or dispensing of drugs or
1,1 medical,dental or surgical supplies or appliances. This exclusion shall not
apply to paramedics.
d. For advertising activities,including claims made against any member for:
1!1° i. failure of performance of contract, but this shall not relate to claims for
1,1 unauthorized appropriation of ideas based upon alleged breach of an implied
contract;
i!„ ii. infringement of registered trade mark,service mark or trade name by use
thereof as the registered trade mark,service mark or trade name of goods or
14 services sold,offered for sale or advertised, but this shall not relate to titles or
slogans;
11;1 iii. incorrect description of any article or commodity;
iv. mistake in advertised price;
1y
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WCIA Coverage Document#CT-2007 Page 3
to
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e. For:
Ili i. contamination of any environment by pollutants that are introduced at any time,
anywhere, in any way;
ii. any bodily injury, personal injury,property damage,costs or other loss or
damage arising out of such contamination,including but not limited to,cleaning
Ili upon,remedying or detoxifying such contamination;or
iii. the payment of sums related to(1)the investigation or defense of any loss;
injury or damage or(2)payment of any cost,fine or penalty or(3)payment of
any expense involving a claim or suit related to i or ii above. As used in this
Exclusion,the following terms will have the following meanings:
(1) "Contamination"means any unclean or unsafe or damaging or injurious
or unhealthful condition arising out of the presence of pollutants,whether
permanent or transient in any environment.
(2) "Environment"includes any person,any man-made object or feature,
11' animals,crops and vegetation, land, bodies of water,underground water
or water table supplies,air and any other feature of the earth or its
atmosphere,whether or not altered,developed or cultivated,including but
not limited to any of the above,currently or formerly owned,controlled,
leased,used or occupied by the member.
(3) "Pollutants"means smoke,vapors,soot,fumes,acids,sound,alkalis,
chemicals, liquids,solids,gases,thermal pollutants,waste materials and
all other irritants,poisons or contaminants.
iv. However,the pollution exclusion as stated above in section 2e(i),(ii),(iii)will not,
apply to liability from an"Occurrence"causing"Personal Injury"or"Property
Damage"when the cause of such"Personal Injury"or"Property Damage"is the
Ili release,discharge or backup of liquids and/or effluents from waste water and/or
sanitary sewer lines owned, leased, maintained or operated by a"Member but,
the coverage limits for such an"Occurrence"shall be limited to a special per
occurrence and annual aggregate limit as stated in the AGGREGATE
1!1 LIMITS/SUB-LIMITS section on page 2 of this document and no other coverage
limits of this document shall apply to any such"Occurrence".
f. For personal injury or property damage due to war,whether or not declared,civil war,
insurrection, rebellion or revolution or to any act or condition incident to any of the
foregoing,with respect to liability assumed by the member under contract;
lip
g. For personal injury or property damage arising out of the ownership,maintenance,
1"' operation,use,loading or unloading of:
any aircraft owned or operated by any member,
Il
any other aircraft operated by any person in the course of his/her employment
by any member;
iii. any aircraft in the care,custody or control of the member for storage,servicing
or fueling;or
iv. any watercraft over 30 feet.
h. For liability imposed upon a member or which is imputed to a member under the
Federal"Employee Retirement Income Security Act of 1974"and any law amendatory
thereafter;
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'CIA Coverage Document#CT-2007 Page 4
For property damage to premises alienated by the member arising out of such premises
or any part thereof;
p, j For loss of use of tangible property which has not been physically injured or destroyed
resulting from:
a delay in or lack of performance by or on behalf of the member of any contract
or agreement,or
ii. the failure of the member's products or work performed by or on behalf of the
member to meet the level of performance,quality,fitness or durability
warranted or represented by the member;
ill
but this exclusion does not apply to loss of use of other tangible property resulting from
the sudden and accidental physical injury to or destruction of the member's products or
iP work performed by or on behalf of the member after such products or work have been
put to use by any person or organization other than a member.
k. For property damage to the member's products arising out of such products or any part
of such products;
For property damage to work performed by or on behalf of the member arising out of
the work or any portion thereof,or out of materials,parts or equipment furnished in
connection therewith;
m. For damages claimed for the withdrawal,inspection, repair,replacement,or loss of use
ill of the member's products or work completed by or for the member or of any property of
which such products or work form a part, if such products,work or property are
111 withdrawn from the market or from use because of any known or suspected defect or
Ip deficiency therein;
n. For any liability arising out of or in any way connected with the operation of the
principles of eminent domain,condemnation proceedings,or inverse condemnation, by
whatever name called,whether such liability accrues directly against the member or by
lil virtue of any agreement entered into by or on behalf of the member;
o. For any liability arising out of the operations,ownership, maintenance or use of any
III airport,hospital,alcoholic center;
"jail facilities",including detoxification units(commonly known as"drunk tanks")are not
to be considered as"alcoholic centers".
111 p. For any liability arising out of ownership,operation, maintenance or use of any transit
thereof;11, district buses or other transit however,this exclusion not n does apply tolliabilliiity arising out of transit ing loading and unloading
buses chartered by a member in respect to special events.
1, q. For any liability assumed by the member under any contract or agreement or resulting
from the member's failure to perform,failure to pay or default on any contract or
agreement. This exclusion would not apply to contracts or agreements to hold harmless
�I6 or indemnify another person or entity as contemplated by Section A, 1 b of the General
and Automobile Liability coverage.
r. For any liability for fines, penalties, punitive or exemplary damages awarded against a
member for any reason.
s. For any liability arising out of the failure to adequately supply,interruption or impairment
of electrical,gas,water,or sewer service.
1
it t. For nuclear energy liability as further described below:
!''' i. This Agreement does not apply:
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WCIA Coverage Document#CT-2007 Page 5
(1) Under any Liability Coverage,to personal injury or property damage:
II, (a) with respect to which a member is also an insured under a
nuclear energy liability policy issued by Nuclear Energy
Liability Insurance Association,Mutual Atomic Energy
lo„ Liability Underwriters or Nuclear Insurance Association of
Canada,or would be an insured under any such policy but
for its termination upon exhaustion of its limit of liability;or
Ik (b) resulting from the hazardous properties of nuclear material
and with respect to which
(i) any person or organization is required to maintain
financial protection pursuant to the Atomic Energy
Act of 1954,or any law amendatory thereof,or
(ii) the member is,or had this Agreement not been
issued would be,entitled to indemnity from the
United States of America,or any agency thereof,
under any agreement entered into by the United
States of America,or any agency thereof,with any
person or organization.
Ili (2) Under any medical payments coverage,or under any supplementary
payments provision relating to first aid,to expenses incurred with
respect to bodily injury resulting from the hazardous properties of
nuclear material and arising out of the operation of a nuclear facility by
any person or organization.
(3) Under any Liability Coverage,to bodily injury or property damage
resulting from the hazardous properties of nuclear material,if
(a) the nuclear material
•
(i) is at any nuclear facility owned by,or operated by or
on behalf of,a member,or
(ii) has been discharged or dispersed therefrom;
(b) the nuclear material is contained in spent fuel or waste at any
time possessed,handled, used,processed,stored,
Ili transported or disposed of by or on behalf of a member,or
(c) the bodily injury of property damage arises out of the
furnishing by a member of services,materials,parts or
equipment in connection with the planning,construction,
maintenance,operation or use of any nuclear facility,but if
such facility is located within the United States of America,its
li territories or possessions of Canada,this exclusion(3)
applies only to property damage to such nuclear facility and
any property there at.
As used in this exclusion:
(1) "hazardous properties"include radioactive toxic or explosive
properties,
(2) "nuclear material"means source material,special nuclear material or
by-product material,
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WCIA Coverage Document#CT-2007 Page 6
14 I
(3) "source material","special nuclear material"and"by-product material"
have the meanings given them in the Atomic Energy Act of 1954 or in
any law amendatory thereof,
(4) "spent fuel"means any fuel element or fuel component,solid or liquid,
which has been used or exposed to radiation in a nuclear reactor;
li
(5) "waste"means any waste material
(a) containing by-product material other than the tailings or
wastes produced by the extraction or concentration of
IV uranium or thorium from any ore processed primarily for its
source material content,and
III
(b) resulting from the operation by any person or organization of
II. any nuclear facility included under the first two paragraphs of
the definition of nuclear facility.
(6) "nuclear facility"means
(a) any nuclear reactor
(b) any equipment or device designed or used for
III (i) separating the isotopes of uranium or plutonium,
(ii) processing or utilizing spent fuel,or
(iii) handling,processing or packaging waste.
(c) any equipment or device used for the processing,fabricating
or alloying of special nuclear material if at any time the total
amount of such material in custody of the member at the
premises where such equipment or device is located consists
of or contains more than 25 grams of plutonium or uranium
233 or any combination thereof,or more than 250 grams of
uranium 235.
(d) any structure, basin,excavation, premises or place prepared
or used for the storage or disposal of waste and includes the
site on which any of the foregoing is located,all operations,
conducted on such site and all premises used for such
operations. "Nuclear reactor"means any apparatus
designed or used to sustain nuclear fission in a self
supporting chain reaction or to contain a critical mass of
fissionable material. "Property damage"includes all forms of
radioactive contamination of property.
u. For liability,defense costs,fines or damages arising out of the willful or wanton violation
of any civil statute,ordinance or regulation committed by or with the knowledge or
consent of any member,except that any fact pertaining to any one insured shall not be
imputed to any other member for the purpose of determining the application of this
exclusion.
li
v. For any liability,defense costs,fines or damages which arise out of, brought about or
contributed to by fraud,dishonesty or bad faith by a member or arising out of the willful
violation of a penal code or ordinance committed by or with the knowledge or consent of
any member or claims of injury arising out of the acts of fraud committed by or at the
direction of the member with affirmative dishonesty or actual intent to deceive or
defraud,except that any fact pertaining to any one member shall not be imputed to any
other member for the purpose of determining the application of this exclusion.
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WCIA Coverage Document#CT-2007 Page 7
III
w. For any liability of a member arising in whole or in part,out of any member obtaining
jh remuneration or financial gain to which the member was not legally entitled,except that
any fact pertaining to any one member shall not be imputed to any other member for the
purposed of determining the application of this exclusion.
x. For any property damage arising out of subsidence. "Subsidence"means any earth
movement,including but not limited to settling,expansion,earth sinking,earth rising or
shifting,slipping,falling away,tilting,caving in,eroding, mud flow and any other
movement of land or earth. This exclusion does not apply to property damage arising
out of subsidence proximately caused by a negligent act or omission of any member.
I�.
y. For any liability arising out of the rupture, bursting,overtopping,accidental discharge or
partial or complete structural failure to any owned dams.
"Dams"means any artificial barrier,together with appurtenant works,which:
1. Is 25 feet or more in height from the foot of a natural bed of stream or watercourse
at the down stream toe of the barrier,or from the lowest elevation of the outside
limit of the barrier,if it is not across a stream channel or water course to maximum
possible water storage elevation;or
2. Has water impounding capacity of 50 acre feet or more.
z. For any liability for refund of taxes,fees or assessments.
aa. Arising out of or resulting from:
1. Inhaling,ingesting,or prolonged physical exposure to asbestos or goods or
products containing asbestos;
2. The use of asbestos in constructing any good, product or structure;or
3. The removal of asbestos from any good, product or structure;or
4. The manufacture,sale,transportation,storage or disposal of asbestos or goods or
products containing asbestos.
111'
ab. To any liability,indemnity,defense or responsibility of any kind arising out of or imposed
III by Chapter 98(R48)known as the Private Property Regulatory Fairness Act.
ac. For any liability, indemnity,or defense arising out of the operations of:
1. Any separate non-member legal or administrative entity created in accordance with
11 Chapter 39.34 of the Revised Code of Washington entitled,"Interlocal Cooperation
Act",excluding the Authority its employees,officers and members;or
2. Any local improvement districts and/or taxing districts including but not limited to
1111
Fire Protection Districts(RCW Chapter 52), Port Districts(RCW Chapter 53), Public
Utility Districts(RCW Chapter 54),Sewer Districts(RCW Chapter 56),Water,
Districts(RCW Chapter 57), Intercounty Rural Library Districts(RCW Chapter
27.14), Irrigation Districts(RCW 87.03),Lake Management Districts(RCW 36.61),
County Roads&Bridges Service Districts(RCW 36.83)and County Park and
' Recreation Districts(RCW 36.69)excluding any authority members.
This exclusion is not applicable to any appointed or elected official of a member
while acting in the scope of their lawful duties for or on behalf of a member as a
board or commission representative to organizations described in 1.and 2.above.
ad. Any liability, indemnity,consequential damages,or defense arising out of or occurring, in
whole or in part,due to the failure of or improper operation of any member-owned or
used computer,computer software,or equipment with an embedded computer chip due
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WCIA Coverage Document#CT-2007 Page 8
to said items'failure to recognize correctly the year 2000 and beyond;or,due to said'
items'failure to operate or operate correctly on or after January 1,2000.
ae. Any liability,indemnity,consequential damages or defense arising out of or occurring in
whole or in part due to a member's criminal actions or conduct that violates any criminal
statute,code,ordinance or law.
B. STOP-GAP COVERAGE
1. Coverage
In consideration of the assessment herein provided,it is agreed that if, under any circumstances,
n it is determined that any employee of the member who is reported and declared under the
Worker's Compensation Law or Laws of the State of Washington is injured in the course of their
employment but is,not entitled to receive(or elects not to accept)the benefits provided by the
aforementioned Law,then this policy shall cover the legal liability of the member for such
personal injury,disease,or death and pay on behalf of the member all sums which the member
shall become legally obligated to pay as damages and expenses,all as defined by the terms
"ultimate net loss"and"occurrence".
III 2. Exclusions
The coverage granted hereunder shall not apply to:
a. Personal injury,disease or death suffered or caused by any person knowingly
employed by the member in violation of any law as to age,or under the age of 14 years
regardless of any such law.,
b. any claim recoverable under the insurance provisions of any Worker's Compensation or
Occupations Disease Act or Law or under the U.S.Longshoremen's and Harbor
Workers'Compensation Act or any other insurance available for the protection of the
member;
c. Personal injury,disease or death caused by or arising from the use,maintenance,or
operation of aircraft;
d. any premium assessment, penalty,fine or other obligation imposed by any Worker's
Compensation Law;
e. any claim for personal injury, disease,or death with respect to which the member is
deprived of any defense or defenses or is otherwise subject to penalty because of
default in premium payment under,or any other failure to comply with the provisions of
the Worker's Compensation Law or Laws of the State above named.
C. ERRORS OR OMISSIONS LIABILITY COVERAGE
III
1. Coverage
III
In consideration of the assessment herein provided,the Authority shall pay on behalf of its
member all sums which the member shall become legally obligated to pay because of any
occurrence which results in a claim for damages and expenses, all as more fully defined by the
term"ultimate net loss",because of any claim for breach of any duty made against the member
by reason of any negligent act,error or omission committed by the member during the policy
period.
I I
° 2. Exclusions
The exclusions applicable to Comprehensive General Liability section also apply to this section.
Additionally,the Errors and Omissions section does not apply:
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WCIA Coverage Document#CT-2007 Page 9
a. to physical injury to or destruction of tangible property including the loss of use thereof at
any time resulting therefrom;
b. liability or responsibility arising out of or imposed by any constitutional provision,statute,
county, municipal or local ordinance or law administrative order,or rule of law dealing
with the power of eminent domain,condemnation or inverse condemnation,or any acts
arising out of or caused by the member(s)thereunder;
c. to any dishonest,fraudulent,criminal or malicious act;
d. to claims,occurrences or accidents which are covered under any other section of this
Agreement;
e. to any claims or for any liability arising out of the member's failure to secure a proper
bond or secure payment for any contractor,subcontractor or third person who has
performed work or provided materials to the member as part of the performance of any
contract for the benefit of the member.
3. Prior Wrongful Acts
Claims based on wrongful acts that occurred before the effective date of WCIA membership will
also be covered, provided that all of the following conditions are met:
a. The wrongful act must have occurred within the prior thirty six(36)month period prior to
a member joining WCIA and be reported to WCIA within the next 12 month period;
b. The member must not have had prior knowledge of the wrongful act or claim on the
effective date of WCIA membership.nor have had any reasonable way to foresee that a
claim might be brought;
c. The claim must be for a wrongful act that would have been covered by the WCIA
Coverage Document in force at the time the claim is presented to WCIA.
d. The claim will only be indemnified up to the prior public officials or errors&omissions
III insurance policy or WCIA liability limits,whichever is less;
e. Use of any other available insurance covering the claim excludes the use of WCIA
coverage;
f. The prior wrongful act was within the course and scope of employment for employees or
duties as a public official;and
g. Prior to the expiration of their current insurance coverage and prior to joining WCIA,all
potential losses that the member knew about must have been reported to their
insurance carrier.
h. The thirty-six(36)month prior coverage referenced in paragraph 3(a)shall only apply to
members who have joined WCIA on or after June 1,2002. For members who have
joined prior to June 1,2002,the prior coverage shall be twelve(12)months instead of
thirty-six(36)months and be subject to all other conditions in 3(b),3(d),3(e),3(f), and
,1 3(g).
4. Optional Extended Reporting Period
A member may,at its option,subject to WCIA approval, purchase an additional extended
reporting period of twenty-four(24)months, provided that all the following conditions are met:
1ii a. The member requests the additional extended reporting period prior to the member
joining WCIA;
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WCIA Coverage Document#CT-2007 Page 10
b. The member shall purchase this coverage at a cost determined by an actuary hired by
V' WCIA;
c. The conditions applicable in Paragraph 3, Prior Wrongful Acts,also apply to this section
with the exception of 3(a)and 3(d);
d. The wrongful act must have occurred within the prior thirty-six(36)month period prior to
a member joining WCIA and be reported to WCIA within the next thirty-six month period;
e. If the optional extended reporting period is granted,the limit of liability for all prior
ICI wrongful acts coverage is$5,000,000 per occurrence and$5,000,000 in the aggregate;
f. The member shall have joined WCIA on or after June 1,2002.
011
D. EMPLOYEE BENEFITS LIABILITY COVERAGE
1. Coverage
I,,
° In consideration of the assessment herein provided,the Authority agrees with the member named
in this Agreement as follows:
a. The Authority will pay on behalf of the member all sums which the member shall become
legally obligated to pay as damages and expenses,all as more fully defined by the term
"ultimate net loss",because of any claim made against the member by any employee or
14 the beneficiaries or legal representatives thereof for injury arising out of any negligent
act,error or omission,during the coverage period,of the member or any other person
for whose acts the member is legally liable,in the administration of employee benefits as
defined.
2. Definitions
a. EMPLOYEE BENEFIT PROGRAM. The term"employee benefit program"shall,mean
Group Life Insurance,Group Accident or Health Insurance, Pension plans,Worker's
Compensation, Unemployment Insurance,Social Security and Disability Benefits,and
li any other similar benefit program.
b. ADMINISTRATION. As respects the coverage afforded hereby,the unqualified word
li "administration"whenever used shall mean:
giving counsel to employees with respect to the employee benefits;
interpreting employee benefits;
I!'
iii. handling of records in connection with employee benefits;
iv. affecting enrollment,termination or cancellation of employees under employee
ili benefit programs;
�iG I
Ili v. performed by a person authorized by the member to do such acts.
3. Exclusions
11,
This Agreement does not apply:
111
a. to any dishonest,fraudulent,criminal or malicious act;
b. to libel,slander,discrimination,or humiliation;
c. to bodily injury,or sickness,disease,or death of any person;
d. to injury to or destruction of any tangible property, including the loss of use thereof;
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WCIA Coverage Document#CT-2007 Page 11
e. to any claim based upon the member's failure to comply with the federal"Employee
Retirement Income Security Act of 1974";
f. to any claim for failure or performance of contract by any insurer;
Ali g. to any claim based upon the member's failure to comply with any law concerning
Worker's Compensation, Unemployment Insurance,Social Security or Disability
Benefits.
I. COVERAGE DEFINITIONS
This Agreement is subject to the following definitions:
A. MEMBER
"Member"includes the Washington Cities Insurance Authority and any member municipal corporation,
city,town or municipal entity in the State of Washington.
II
The unqualified word"member"includes:
1. all officials,officers,employees,and volunteers working for or on behalf of the member and any
person,organization,trustee or estate to whom or to which the member is obligated by virtue of a
written contract to provide insurance to the same extent as is afforded by this Agreement,but
only with respect to actions within the scope of their employment by or on behalf of the member;
2. any person serving on the members governing body,any persons serving on the members
II boards or commissions,any elected or appointed official of the member,any other employee,or
any volunteer serving the member;if the person is acting in the scope of their employment,
appointment,duties,or service to the member;
except with respect to the ownership, maintenance or use, including loading or unloading,of
automobiles while away from premises owned by,rented to or controlled by the member or the
ways immediately adjoining;
the term"member"does not include any private for profit businesses or corporations,volunteer
organizations or non-profit corporations and/or their officers,officials,or members when acting in
I..
or for the interests of and/or at the direction of said business,organization or corporation;
Ili 3. any person while using an automobile owned by,leased,rented,or loaned to the member or
hired for use on behalf of the member or any person or organization legally responsible for the
use thereof,provided the actual use of the automobile is by the member or with the member's
permission,and any executive officer,other employee,director or volunteer of the member with
respect to the use of an automobile not owned by the member in the business of the member.
The coverage with respect to any person or organization other than the member does not apply
under this section:
a. to any person or organization,or to any agent or employee thereof;operating an
II automobile sales agency,repair shop,service station,storage garage or public parking
place,with respect to any occurrence arising out of the operation thereof;
b. with respect to any automobile hired by or loaned to the member,to the owner or a
lessee thereof other than the member,or to any agent or employee of such owner or
Ili
lessee.
B. PERSONAL INJURY
The term"personal injury"means:
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III
II
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WCIA Coverage Document#CT-2007 Page 12
III
1. bodily injury,sickness,disease,disability or shock,including death arising therefrom, medical
II j malpractice injury,including emergency medical treatment and all acts of paramedics,or if arising
out of the foregoing,mental anguish and mental injury;
2. false arrest,false imprisonment,wrongful eviction,wrongful detention,or malicious prosecution;
or
i
3. libel,slander,defamation of character, humiliation or invasion of the rights of privacy,unless
arising out of advertising activities;
4. unlawful discrimination not committed by or at the direction of any executive officer of the
member,but only with respect to the liability other than fines and penalties imposed by law;
PII
5. false or improper services of process;and
111
6. assault or battery committed for the purpose of protecting persons or property or incident to an
arrest.
C. PROPERTY DAMAGE
The term"property damage"means loss of or direct damage to or destruction of tangible property
(other than property owned,rented or leased by the member),which occurs during the policy period,
including loss of use thereof at any time resulting therefrom and loss of use of tangible property which
has not been physically injured or destroyed.
D. ADVERTISING LIABILITY
The term"advertising liability"means:
1. libel,slander or defamation;
2. any infringement of copyright or of title or of slogan;
3. piracy or unfair competition or idea misappropriation under an implied contract;
II
4. any invasion of right of privacy;
III committed or alleged to have been committed in any advertisement,publicity article, broadcast or
telecast and arising out of the members advertising activities.
E. OCCURRENCE
The term"occurrence"means an accident or a happening or event or a continuous or repeated
exposure to substantially the same general harmful conditions which unexpectedly and unintentionally
result in personal injury, property damage,advertising liability,errors or omissions liability including
wrongful acts or stop-gap liability during the policy period. All such exposure to substantially the same
jl
general conditions existing at or emanating from one location shall be deemed one occurrence.
11 With respect to"Personal Injury'and"Property Damage"all"Damages"arising out of substantially the
same"Personal Injury"or"Property Damage"regardless of the frequency,timing,repetition,the
number or kind of events or offenses,or the number of"Claimants",will be considered as arising out of
one"Occurrence"and shall be deemed to have occurred on the date of the first event or offense
1,1 causing"Personal Injury"or"Property Damage".
Only one Self-Insured Coverage Document issued by WCIA and one limit of coverage is applicable to any one
"Occurrence".
I Further,the definition of occurrence includes any intended act by or at the direction of the member
which results in personal injury,if such injury arises solely from the use of reasonable force for the
1,1 purpose of protecting persons or property or making a lawful arrest.
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F. ULTIMATE NET LOSS
The term"ultimate net loss"means the total sum which the member becomes obligated to pay by
reason of liability claims,covered hereunder,either through adjudication or compromise and shall also
include hospital, medical and funeral charges and all sums paid as salaries,wages,compensation,
fees,charges and law costs,premiums on attachment or appeal bonds,interest expenses for doctors,
lawyers, nurses and investigators and other persons,and for litigation,settlement,adjustment and
investigation of claims and suits covered hereunder. Ultimate net loss shall include all sums paid as
salaries,expense,or costs to lawyers,or a lawyer's representative,other than paid employees of the
member,and investigators, retained experts or other persons rendering services in handling specific
Ilk, litigation. Other salaries paid to employees of the member or the company;fees paid to the member's
service company for handling claims are excluded from the ultimate net loss.
G. SELF-INSURED RETENTION
The term"self-insured retention"means the amount of"ultimate net loss"payable by the member in
respect of each occurrence.
H. PRODUCTS AND COMPLETED OPERATIONS LIABILITY
11'
The term"products liability"means:
1. liability arising out of goods or products manufactured,sold,handled or distributed by the member
or by others trading under their name if the occurrence occurs after possession of such goods or
products has been relinquished to others by the member or by others trading under their name
and if such occurrence occurs away from premises owned,rented or controlled by the member;
provided such goods or products shall be deemed to include any container thereof,other than a
vehicle,but shall not include any vending machine or any property,other than such container,
rented to or located for use of others but not sold;
2. The term"completed operations"means liability arising out of operations,if the occurrence
occurs after such operations have been completed or abandoned and occurs away from
11 premises owned,rented or controlled by the member,provided operations shall not be deemed
incomplete because improperly or defectively performed or because further operations may be
required pursuant to an agreement,provided further the following shall not be deemed to be
"operations"within the meaning of this paragraph,
a. pick-up or delivery,except from or onto a railroad car,
b. the maintenance of vehicles owned or used by or in behalf of the member,
c. the existence of tools, uninstalled equipment and abandoned or unused materials.
o I. ANNUAL PERIOD
1,1
y, The term"each annual period"means each consecutive period of one year commencing from the
effective date of'this Agreement.
J. AIRCRAFT
The term"aircraft"means any heavier than air or lighter than air aircraft designed to transport persons
IN or property.
K. AUTOMOBILE
The term"automobile"means a land motor vehicle,trailer or semi-trailer designed for travel on public
roads(including any machinery or apparatus attached thereto),but does not include mobile equipment.
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WCIA Coverage Document#CT-2007 Page 14
L. PARAMEDIC
The term"paramedic"shall include all personnel who may engage in rendering emergency medical
assistance,including but not limited to the categories defined in RCW 18.73 and RCW 18.71.200:
"Emergency medical technicians,""Physicians trained mobile intravenous therapy technicians,"
"physicians trained mobile airway management technicians,"and physicians trained mobile intensive
care paramedics";provided that all amendments of RCW 18.73 and RCW 18.71.200 shall here and
hereafter be included in the definition of the above categories.
M. TERRORISM
The term"Terrorism"means activities against persons,organizations or property of any nature:
1
1. That involve the following or preparation for the following:
a. Use or threat of force or violence;or
b. Commission or threat of a dangerous act;or
c. Commission or threat of an act that interferes with or disrupts an electronic,
II communication,information,or mechanical system;and
2. When one or both of the following applies:
a. The effect is to intimidate or coerce a government or the civilian population or any
segment thereof,or to disrupt any segment of the economy;or
b. It appears that the intent is to intimidate or coerce a government,or to further political,
ideological,religious,social or economic objectives or to express(or express opposition
to)a philosophy or ideology.
III. COVERAGE CONDITIONS
This Agreement is subject to the following conditions:
A. ASSESSMENT
The assessment for this coverage varies from member to member and is set by the Board of Directors
of the Authority in accordance with its By-laws and the Joint Protection Program.
Coverage under this Agreement is conditioned on and offered in consideration of the assessment
being paid by a member in the time,manner,amount and method specified by the Board of Directors,
Bylaws and Joint Protection Program of WCIA.
PI B. PRIOR EXCESS INSURANCE AND NON-CUMULATION OF LIABILITY
Ili �
It is agreed that if any loss is covered in whole or in part under any other excess policy issued to the
member prior to the effective date hereof the limit of liability hereunder shall be reduced by any
amounts due to the member on account of such loss under such prior excess insurance. Subject to
the foregoing and to all the other terms and conditions of this Agreement in the event that personal
injury or property damage arising out of an occurrence covered hereunder is continuing at the time of
termination of this Agreement,the Authority will continue to protect the member for liability in respect of
such personal injury or property damage without payment of additional assessment.
C. INSPECTION AND AUDIT
ill The Authority shall be permitted to examine and audit the member's books and records at any time
during the coverage period and any extension thereof and within three(3)years after the final
termination of this Agreement,as far as they relate to the assessment bases or the subject matter of
this coverage.
D. CROSS LIABILITY
This Agreement shall protect each member in the same manner as though a separate Agreement had
been issued to each,except that nothing herein shall operate to increase the Authority's liability
beyond the amount or amounts for which the Authority would have been liable had only one member
been named.
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WCIA Coverage Document#CT-2007 Page 15
E. NOTICE OF OCCURRENCE
Whenever the authorized representatives of the member have information from which the member may
reasonably conclude that an occurrence covered hereunder involves injuries or damages which,in the
event that the member should be held liable,is likely to involve this coverage,notice shall be sent to
the Authority as soon as practicable. However,immediate written notice shall be given to the Authority
when any injury of the following type occurs:
III 1. a fatality or death of a person in police custody,
2. amputation of a major extremity,
i; 3. any serious head injury(including skull fracture or loss of sight of either or both eyes),
4. any injury to the spinal cord,
5. any disability of more than one year or where it appears reasonably likely that there will be
disability of more than one year,
II16. any burn 25%or more of the body,
ii 7. heart or vascular disorders,
8. accidents where multiple injuries are involved or
9. acts of employment discrimination and/or harassment involving race,age,gender, religion,
II,
disability or prohibited retaliation
Such notice shall contain particulars sufficient to identify the member and also reasonably obtainable
information respecting the time, place and circumstances of the injury,the names and addresses of the
injured and of available witnesses. If suit or other proceeding is brought against the member,the
member shall immediately forward to the Authority every demand,notice,summons,or other process
or true copies thereof received by the member or the member's representatives,together with copies
of reports of investigations made by the member with respect to such claim,suit or proceeding.
Ip
F. ASSISTANCE AND COOPERATION
The member and the Authority shall cooperate in all things in the defense of such claim,suit or
proceeding.
111
G. APPEALS
;III,
In the event the member elects not to appeal a judgment,the Authority may elect to make such appeal
1'1 at its cost and expense,and shall be liable for the taxable costs and disbursements and interest
incidental thereto,but in no event shall the liability of the Authority for ultimate net loss exceed the
amount set forth in this Agreement for anyone occurrence and in addition the cost and expense of
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H. BANKRUPTCY AND INSOLVENCY
11, In the event of the bankruptcy or insolvency of the member or any entity comprising the member,the
Authority shall not be relieved thereby of the payment of any claims hereunder because of such
P'I bankruptcy of insolvency.
I. OTHER INSURANCE
III If other valid and collectible insurance,which is written by another insurer is available to the member
covering a loss also covered by this Agreement,other than insurance that is in excess of this
coverage,the coverage afforded by this Agreement shall be in excess of and shall not contribute with
such other insurance.
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WCIA Coverage Document#CT-2007 Page 16
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III J. SUBROGATION
The Authority shall be subrogated to the extent of any payment hereunder to all the member's rights of
recovery thereof,and the member shall do nothing after loss to prejudice such right and shall do
everything necessary to secure such right.
K. CHANGES
Notice to or knowledge possessed by any person shall not effect a waiver or change in any part of this
Agreement or stop the Authority from asserting any right under the terms of this Agreement;nor shall
the terms of this Agreement be waived or changed,except by addenda issued to form a part hereof,
II
signed by the Authority.
pl L. ASSIGNMENT
Assignment of interest under this Agreement shall not bind the Authority unless and until its consent is
endorsed hereon.
M. CANCELLATION
III
Refer to the language of the Joint Protection Program,Article 8.
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Liability Joint Protection Program
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WA ' cities
Insurance Authority
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V\CIA Liability Joint Protection Program Page 2
WASHINGTON CITIES INSURANCE AUTHORITY
11 Liability Joint Protection Program for the
Coverage Year January 1,2007 to January 1,2008
Il 12:01 A.M. Pacific Standard Time
!6
I. AUTHORITY LIABILITY COVERAGE
A. COVERAGE AGREEMENT
The Washington Cities Insurance Authority,(Authority)has been formed to provide self-insured and
standard insurance coverage as detailed in the Authority's Coverage Document.
Coverage consists of two layers;a self-insured layer, and a reinsured excess layer. Dollar limits
for each coverage layer are determined each year by the Authority's Board of Directors(Board)at
the beginning of the coverage year.
The Board also determines the terms and conditions of coverage and herein adopts the
continuation of Coverage Document#CT-2007 as the limits,terms and conditions for the Self-
Insured layer of coverage.
The Board,at its discretion, may choose to purchase insurance in the Reinsured Excess Layer,or
self-insure that layer. Purchased insurance policies may differ from each other and the Self-Insured
II11, layer in language,exclusions,conditions and underwriters intent. Coverage among the various
policies may not be continuous.
In the event the Authority self-insures any Reinsured Excess Layer,the terms and conditions in the
primary layer Coverage Document shall also serve for the Reinsured Excess layer and shall offer
1,1 continuous coverage in those self-insured layers.
11,
Included in the Authority's payment obligations is the legal defense expense,which becomes part of
the loss cost and contributes towards the primary and excess limits.
B. EXCLUSIONS
Exclusions of coverage are identified by each policy or Coverage Document of each coverage
1,1
' layer. Policies may differ from each other in the number,language and underwriters intent of
exclusions. Underinsured/uninsured motorist coverage is not provided to members or employees.
C. MEMBERS
II
Current Members are identified in the WCIA Coverage Document#CT-2007
I I
D. COVERAGE LIMITS
IV, The Authority will pay all sums which members become legally obligated to pay,subject to all terms
and conditions of the Authority's Coverage Document, up to the Authority's$15 million limit levels
11,
as outlined below:
Self-Insured Layer: $3 million per occurrence
"" Reinsured Excess Layer $12 million per occurrence
Total Limit: $15 million per occurrence,subject to the annual
aggregates and sub-limits below:
Above$4,000,000 per occurrence $10,000,000 annual aggregate Product Liability
coverage per Member, $10,000,000 Public Official Liability annual aggregate per
Member,$10,000,000 Employment Practice Liability annual aggregate per Member and
a$25,000,000 annual aggregate per Member for Law Enforcement Liability arising out of
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WCIA Liability Joint Protection Program Page 3
Member owned jails or holding facilities with overnight or greater length of stay for the
Ili confinement of inmates.
$3,000,000 per occurrence limit and$3,000,000 annual aggregate per Member applying
to Terrorism.
$1,000,000 per occurrence limit and$1,000,000 annual aggregate limit per Member
I14 j applying for the release,discharge or backup of liquids and/or effluents from waste water
and/or sanitary sewer lines owned, leased,maintained or operated by a"Member".
,11
It is understood and agreed that in the event that financial liability for an occurrence exceeds the
II Reinsured Excess Layer coverage limits,or if any aggregate limit has been exhausted within the
coverage term,any remaining obligation will be the sole responsibility of the applicable member and
shall not be the responsibility of the Authority nor any other member.
I" Coverage limits in any self-insured excess layers are limited to budgeted funds.Possible scenarios
1 resulting from frequency of losses or a severity of loss may result in the exhaustion of all Authority
funds.In that event any remaining financial obligation will be the sole responsibility of the applicable
member and shall not be the responsibility of the Authority.Replenishment of any self-insured
layers may be made by special assessment as approved by the Board.
i I
It is also understood and agreed that any liability claim not within the coverage afforded in the Self-
1,1 Insured or Reinsured Excess Layers shall be the sole responsibility of the applicable member or
employee against whom the claim is made and not the responsibility of the Authority nor any other
III member.
11
In the event of an excess or reinsurance carrier financial failure,or the exhaustion of the Self-
I Insured or Reinsured Excess Layer,the total liability of the Authority for the policy years shall
remain at$3 million per occurrence. Any remaining obligation over the$3 million coverage limit is
p, also the responsibility of the applicable member. The Board may authorize the purchase of new
I, reinsurance or excess liability insurance or extend the self-insurance layer.
1
Liability coverage is subject to the terms,conditions and exclusions stated in the WCIA Coverage
I' Document CT-2006 for the Self-Insured and Reinsured Excess Layers. . Liability coverage is also
11 subject to the terms,conditions and coverage limitations specific to the Reinsured Excess Layer
1, that may be required by the reinsurance or excess carrier.
E. CLAIMS DEDUCTIBLES
Ilh Claims deductible levels of$25,000,$50,000,$100,000,$250,000,$500,000 and$1,000,000 are
coverage options for members with the following characteristics:
1.1
11, 1. The actuary must categorize the member in the highest total worker hour group
for the projected period.
111
2. The member must be in compliance with applicable state and/or federal
governmental accounting standards,including the establishment of a claims
payment internal fund.
111
3. The member must have staff with authority to implement and administer the risk
I management function within the entity.
1'' Members that exercise this coverage option report all claims and incidents to the Authority for
/11 investigation. The Authority will periodically analyze and review the claims history of the member
and distribute claims status reports.
11,
The Authority retains control of claims,assignment of defense counsel and settlement authority.
The member will be included in the claims decision-making process. For claims decisions that are
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WCIA Liability Joint Protection Program Page 4 ,
referred to the Executive Committee,the member involved will be invited to participate in claims
settlement discussions in Executive Session.
If the Authority deems that settlement is appropriate,the Authority will issue an authorization for
payment to the member. The member is required to promptly pay the claimant upon receipt of the
authorization. Any resulting action arising from the member's failure to pay is the sole responsibility
of the member.
This claims deductible program is designed to provide the member who assumes significant
individual risk with a reduced annual assessment and cash flow benefits.There are no changes to
the Interlocal Agreement,By-Laws or Claims Manual concerning claim and litigation control or
II requirements for members that participate in a claims deductible program.
II. DESCRIPTION OF SERVICES AND COST ALLOCATION
A. COVERAGE ASSESSMENT BASIS
Assessment cost per member is primarily based on a ratio of individual member employee worker
hours to total Authority member worker hours,for the period consisting of the four quarters of the
previous year,and a loss experience factor as determined by the actuary.
B. AUTHORITY ADMINISTRATION
The Executive Director shall administer Authority operations and be accountable to the Board in the
areas of insurance purchases,claims and loss control administration,coverage determinations and
new membership.
C. LEGAL SERVICES
The Authority Legal Counsel is appointed by the Board to provide legal assistance concerning
Authority operations to the Board and Executive Director. Authority Legal Counsel is an
administrative expense.
D. CLAIMS COSTS
Administration of the liability claims program is conducted in-house by Authority staff and is an
administrative expense. Some losses are assigned by staff to an outside claims service company
for resolution. The service company's fees are administrative costs.
Defense of lawsuits are also a part of the program,are considered loss costs,and apply against a
member's loss experience and also against coverage limits. Selection and assignment of defense
counsel is the sole responsibility of the Executive Director.
III. MEMBER ASSESSMENTS
Each member's assessment with the Authority is due within thirty(30)days of billing. Mid-year
(new)membership will be prorated against the remaining coverage year assessment, payable
within thirty(30)days.
I I
IV. CLAIMS PROCESS
The claims process is supervised by the Authority and includes development and implementation of
claims procedures. Claims reports will be distributed annually to the membership.
Members shall cooperate by promptly reporting all incidents,occurrences,claims and lawsuits
which may result in potential liability,by participating fully in any investigation conducted by the
Authority or its claims administrator,and by adhering to the claims procedures as set forth in the
Authority Claims Manual. The Executive Director may settle any claim up to$100,000. Dollar
authority above that level must be brought before the Executive Committee for approval.
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WCIA Liability Joint Protection Program Page 5
II
V. DEFAULT PENALTY
A failure on the part of a member to file a Notice of Appearance within the required time from
service of a lawsuit against the member result in a Motion for Default entered in favor of Plaintiff.
Any"terms"of the motion or judgment rendered by the courts on behalf of plaintiff shall be the sole
responsibility of the defendant member,and shall not be payable with Authority funds.
Appeals on the enforcement of this Section may be made as outlined in Article VI,Section 2 of the
Ili Authority By-Laws(Bylaws).
COVERAGE DETERMINATION
jp The Executive Director shall be responsible for making all coverage determinations within the Self-
Insured layer and Reinsured Excess Layers in regard to all claims or suits filed against the member
in which a question of coverage and/or defense exists.
An appeal process has been adopted in the By-Laws,Article VI,Section 2,to allow members tol
bring before the Executive Committee any coverage decisions which they may contest. Respective
requirements of each participating party are detailed as appropriate in the By-Laws. Failure to
follow the stated requirements may result in a waiver of legal rights.
lo,
Ili VII. CO-INSURANCE
If any member has other valid and collectible insurance which is written by another insurer,and
such insurance is available to the member covering a loss also covered by this Joint Protection
Program,other than insurance that is provided in excess of this program,the protection and excess
insurance afforded bythis Joint Protection Program shall be in excess of and shall not contribute
9
with such other insurance.
ii
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VIII CANCELLATION OR TERMINATION OF MEMBER LIABILITY COVERAGE
° Liability coverage provided under the Joint Protection Program may be canceled by an individual
member by written notification of its intent to withdraw from participation in the Interlocal Agreement
I!6 pursuant to Article 20 thereto. Coverage will cease either at the next coverage expiration date after
notice,or upon the effective date of the member's withdrawal from the Authority,whichever comes
first.
Coverage under this program may be terminated by the Authority by a majority vote of the Board
present at the meeting whereby such termination is proposed. Notice of termination shall be
provided to the member, in writing, not less than sixty(60)days prior to the effective date of the
termination,except that, if the member fails to pay any assessment when due,this coverage may
be terminated by providing, in writing,ten(10)days notice.
It is understood that cancellation or termination of coverage under this program shall constitute
cancellation of coverage in both the primary and excess layer. Limits,terms and conditions of
coverage is restricted to those in force at time of cancellation or termination. Should any premium
credit of an individual member be returned to the Authority as a result of the cancellation in any
excess insurance policy,it may be retained by the Authority and applied toward any outstanding or
anticipated debts of the member to the Authority. Should all the financial obligations of the member
jp be met, 90%of any premium return from the excess insurance carrier for the individual member
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shall be forwarded to the member.
IX MEMBERSHIP
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WCIA Liability Joint Protection Program Page 6
As the Interlocal allows for membership to include municipal corporations,the following is a partial
listing of the Executive Committee's definition of municipal corporations:
A. CITIES AND TOWNS
Membership is open to cities and towns in Washington State,to be reviewed on a case by case
basis and subject to current Authority underwriting guidelines.
B. INTERLOCAL ENTITIES
Membership is open to interlocal entities to be reviewed on a case by case basis,and subject to
current Authority underwriting guidelines and the following requirements:
1. The Interlocal Entities or Municipal Corporations must provide traditional
municipal services with its own staff and Board.
2. A member city must sponsor the Interlocal Entities or Municipal Corporations for
WCIA membership.
3. The member city must maintain active participation in the Interlocal Entities or
Municipal Corporations and be represented on the Interlocal Entities or Municipal
Corporations governing board.
4. The Interlocal Entities or Municipal Corporations must support and attend risk
management training sessions.
5. The overall effect of this type of Organization impact on the pool may be
reviewed and periodically re-evaluated.
II,
6. The Interlocal Entities or Municipal Corporations must perform to current
underwriting standards.
Ljpp2007
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Property
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WCIA Property Joint Protection Program Page 2
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WASHINGTON CITIES INSURANCE AUTHORITY
Property Joint Protection Program for the
Coverage Year December 31,2006 to December 31,2007
PROPERTY COVERAGE
Washington Cities Insurance Authority(WCIA)provides an optional program to its members
whereby they may obtain protection for losses or damages to member owned property.
A. COVERAGE LAYERS
There are three layers in the Property Program:
• The first layer is an Individual Member Deductible where each member has a choice of
individual deductible layers for each program for all perils other than flood and earthquake.
• The second layer is the WCIA Self-Insured Property Retention Layer,which covers from the
members chosen deductible to$500,000 per occurrence.
I I
• The third layer is group purchased Property Insurance,which covers from$500,000 to a limit of
$300 million per occurrence for all members combined, except for damage that is subject to a
separate$100 million pool annual aggregate limit to cover all member losses as a result of a
flood subject to a$50 million annual aggregate for flood in zones NV,a$100 million pool
Ik annual aggregate limit to cover all member losses as a result of an earthquake,and$250,000
for unscheduled tunnels,bridges,dams,catwalks,roadways, highways,streets,sidewalks,
l!, culverts,street lights and traffic signals above an individual member deductible of$500,000.
PROGRAM INDIVIDUAL MEMBER WCIA SELF-INSURED,
DEDUCTIBLE RETENTION LAYER
Property All Perils $1,000 or$5,000 or$25,000 $500,000
Except Flood
&Earthquake
and certain
unscheduled
property listed
above.
II Flood $250,000 per occurrence except $0
for flood in Zone A or V
3%of values involved in
loss subject to a
$500,000 minimum per
occurrence
Earthquake 2%of values involved in a loss. $0
Subject to$100,000
minimum
Builders Risk $25,000 I $0
The Board,at its discretion,may choose to self insure or purchase insurance in any of the layers.,
Purchased insurance policies may differ from each other in language,exclusions,conditions and
underwriter's intent. Coverage among the various policies may not be continuous.
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WCIA Property Joint Protection Program Page 3
Further, moneyavailable forSelf-Insured
a b losses within WCIA Self Insured Property Retention Layer is limited to
budgeted funds and a high frequency of$500,000 losses may result in the exhaustion of all WCIA
funds. Replenishment of WCIA Self-Insured Property Retention Layer may be made by special
assessment as approved by the Board at its discretion. The carrier(s)for the group purchased
Property Insurance may change during the coverage period.
It is also understood and agreed that any property loss not within the coverage definitions or terms
of the Property Insurance and/or Excess Property Insurance policies shall be the sole responsibility
I of the applicable member and not the responsibility of WCIA nor any other member.
Within the WCIA Self-Insured Retention Layer of$500,000 maximum per occurrence,WCIA does
I, not exclude the peril of terrorism. The peril of terrorism is excluded in all the insured layers,over
$500,000 per occurrence subject to all other terms,conditions,exclusions and limitations found in
the property insurance policy for all layers of coverage above the$500,000 per occurrence Self-
!! Insured Retention Layer.
I' I
B. LIMITS APPLICATIONS
In the event a member incurs a loss which exceeds the currently available policy limits of insurance,.
sub-limits,or annual aggregate limits including partially exhausted annual aggregate limits,or if a
combination of members incur losses which exceed available limits of insurance on a per
occurrence or annual aggregate basis;the losses shall be paid on a pro rata basis from the
proceeds of insurance currently available at the time the loss was incurred. The calculation of pro
rata payment of member losses shall be determined by taking the dollar value of each members
111 loss and dividing it by the total dollar value of all members losses to determine a pro rata
percentage which each members loss bears to the combined total dollar value of member losses
being submitted for coverage. Each member will then be paid the lesser of the following:either the
full value of their loss or the percentage that their loss bears in proportion to all members losses
times the total dollar value of insurance proceeds currently available at the time of the occurrence
causing the loss.
C. DEDUCTIBLE APPLICATIONS
In the event more than one member sustains a flood or earthquake loss from the same occurrence,
that is covered by group purchased Property Insurance,the deductible shall be applied on a pro
rata basis to each member suffering loss. The calculation of the pro rata deductible shall be
determined by taking the dollar value of each members'loss and dividing it by the total dollar value
of all members losses.This determines a pro rata percentage which each members'loss bears to
the combined total'dollar value of member losses being submitted for coverage. Each member will
then bear a portion of the flood and earthquake deductible in proportion to the total loss.
D. DEFINITION OF OCCURRENCE
The definition of "occurrence"is consistent with Self-Insured Property Retention Layer and Group
Purchased Property Insurance definitions.
E. COVERAGE TERMS, EXCLUSIONS,AND CONDITIONS
1. The terms,definitions, exclusions and conditions of the primary layer of group
purchased Property insurance policies shall also apply to WCIA Self-Insured
Property Retention Layer. The Property Program shall allow each member to
fyy
select property coverage for buildings,contents and inland marine.
III 2. Under any circumstances WCIA's obligation to make payment to a member for
property loss or damage shall be limited to no more than$500,000 per
occurrence regardless of the amount or number or kinds of properties that are
damaged,destroyed or affected by the occurrence. The definition of an
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WCIA Property Joint Protection Program Page 4
"occurrence"which may give rise to a claim against WCIA Self-Insured Property
Retention Layer shall be the same as the definition given in the group purchased
4 Property Insurance Policy.
1
I F. MEMBERS
II
Current members in the Property Program include:
A Regional Coalition for HousingKirkland Renton
9
Aberdeen Lacey Richland
Arlington La Conner Ridgefield
Auburn Lake Forest Park Sammamish
Bainbridge Island Lake Stevens Skagit 911
Battle Ground Leavenworth Shelton
Benton City Long Beach Shoreline
Benton County Emergency Services Longview SNOCOM/Medic 7
Bonney Lake LOTT Alliance Snohomish ,
Bothell Mabton SERS
Burien Maple Valley SNOPAC
Camas Marysville Snoqualmie
Cashmere Marysville Fire District Soap Lake
Centralia McCleary Spokane Valley
Chehalis Medical Lake Stanwood
Cheney Medina Steilacoom
Chelan Mercer Island Sumner
CRESA Metropolitan Park Dist.of Tacoma Thurston Regional Planning Council
Clarkston Mill Creek Three Rivers Reg,Wastewater Auth
;11 Clyde Hill Milton Toppenish
, Cle Elum Monroe Tukwila
, Coupeville Monroe Fire District Tumwater
Covington Montesano Union Gap
Cowlitz-Wahkiakum COG Moses Lake University Place
Des Moines Mountlake Terrace Valley Communications
Eastside Public Safety Corn. Mount Vernon Valley Regional Fire Authority
Edmonds Mukilteo Walla Walla
Edgewood Newcastle WA Cities Insurance Authority
Elma Normandy Park Warden
Emergency Sery Coord Agency North Bonneville Washougal
Enumclaw Northshore Utility District Water Operating Board
p Fife Oak Harbor Westport
41 George Ocean Shores WHITCOM 911 ,
Goldendale Othello Woodinville
44 Grandview PENCOM Woodway
I Grays Harbor 911 Corn Port Angeles Yakima Valley Conf.of Gov.
Hoquiam Port Townsend Yarrow Point
1 Issaquah Pullman-Moscow Airport Board Zillah
I Kelso Puyallup
1 Kenmore
1; II. DESCRIPTION OF SERVICES AND COST ALLOCATION
", A. COVERAGE ASSESSMENT BASIS
II Assessment costs per member is based on replacement cost.
B. PROPERTY SCHEDULES
Each member is responsible for reporting,additions or changes to property schedules including
increases in replacement values as soon as practicable to WCIA. Property not scheduled may be
denied coverage in the event of loss.
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WCIA Property Joint Protection Program Page 5
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C. WCIA ADMINISTRATION
The Executive Director shall administer WCIA operations and be accountable to the Board in the
areas of insurance purchases,claims and loss control administration,coverage determinations and
new membership.
D. LEGAL SERVICES
WCIA Legal Counsel is appointed by the Board to provide legal assistance concerning WCIA
operations to the Board and Executive Director. WCIA Legal Counsel is an administrative expense.
E. SUBROGATION
IY WCIA shall be subrogated to all legal rights to seek and recover damages for injury,theft,loss or
destruction of member owned property which the member may have against any person or other
entity with respect to any payment made under this Property Joint Protection Program. The
member shall execute all papers required by WCIA and shall cooperate with WCIA to secure and
protect WCIA's rights. WCIA shall have the exclusive right to select,retain and pay attorneys as
necessary to pursue legal remedies for recovery of its subrogation interests. In case any
reimbursement is obtained or recovery is made by the member or WCIA on account of any loss
covered by this Property Joint Protection Program,the distribution of such reimbursement or
recovery,shall be first applied in the following order:
1. Payment of legal costs and attorney fees incurred by WCIA in making the
recovery.
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2. Second,to recover the member's loss because of application of their deductible;
3. Third,to recover WCIA's payments until WCIA is fully reimbursed.
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F. CLAIMS COSTS
i I
Administration of the property claims program is conducted in-house by WCIA staff and is an
administrative expense. Some losses are assigned by staff to an outside claims service company
for resolution. The service company's fees are administrative costs.
III. MEMBER ASSESSMENTS
Each member's assessments with WCIA is due within thirty(30)days of billing. Claims reports will
be distributed annually to the membership. Mid-year(new)membership will be prorated against the
remaining coverage year premium, payable within thirty(30)days. Any assessment paid is not
refundable or short rated in the event of a member withdrawal from Property Joint Protection
Program prior to the end of a policy year.
I ,
IV. CLAIMS PROCESS
The claims process is supervised by WCIA and includes development and implementation of claims
procedures which members agree to follow.
Members shall cooperate by promptly reporting all property claims,by participating fully in any
investigation conducted by WCIA or its claims administrator,and by adhering to the claims
procedures as set forth in the WCIA Claims Manual. The Executive Director may settle any claim
within the WCIA Retention Layer.
V COVERAGE DETERMINATION
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;I WCIA Property Joint Protection Program Page 6
The Executive Director shall be responsible for making all coverage determinations within the WCIA
Self-Insured Property Retention Layer in regard to all claims filed by the member in which a
question of coverage exists.
I
Any member aggrieved by a coverage determination of the Executive Director shall follow the
appeal process which has been adopted in the By-Laws,Article VI,Section 2,to allow members to,
bring before the Executive Committee any coverage decisions which they may contest. Respective
requirements of each participating party are detailed as appropriate in the By-Laws. Failure to
follow the stated requirements may result in a waiver of legal rights.
III
I' VI. OTHER-INSURANCE
II If any member has other valid and collectible insurance which is written by another insurer,and
'I, such insurance is available to the member covering a loss also covered by this Property Joint
;I
h Protection Program,other than insurance that is provided in excess of this program,the protection
I!, and excess insurance afforded by this Property Joint Protection Program shall be in excess of and'
III' shall not contribute with such other insurance.
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VII. CANCELLATION;OR TERMINATION OF MEMBER PROPERTY COVERAGE
A member's participation and coverage in the Property Joint Protection Program may terminate or
cease in one of the following ways:
II A. A member withdraws from WCIA by giving its one year notice in advance of withdrawal from
III WCIA's Interlocal Agreement pursuant to Article 20(a)thereto.
l
IIIt B. A member gives 60 days advance written notice to WCIA of its intent to cease participation in
I'II the Property Joint Protection Program.
I
III; C. Immediate termination of coverage will occur if a member's membership in WCIA is terminated
by vote of the Board of Directors as provided in Article 20(b)of the Interlocal Agreement.
II
1, D. Termination of coverage will occur if a member fails to pay assessments when due as required
,! by Section 10 of the By-Laws of WCIA and Article 21 of the Interlocal Agreement.
E. Coverage will cease if the Executive Committee or Board of Directors votes to cease offering
III
11, coverage for property to a member as provided by Article 21(b)of the Interlocal,or if either I
votes to cease offering the Property Joint Protection Program to all members.
No member shall be entitled to any return of assessment or premium or"short rate"assessment or
' premium in the event of termination of coverage under the Property Joint Protection Program or,
II termination of membership in WCIA.
11, Coverage under this program may be terminated by WCIA by a majority vote of the Board present
II
at the meeting whereby such termination is proposed,or by the property insurance company.
I Notice of termination shall be provided to the member, in writing,not less than sixty(60)days prior
to the effective date of the termination,except that,if the member fails to pay any assessment when
1, due,this coverage may be terminated by providing, in writing,ten(10)days notice.
I,
II
III Limits,terms and conditions of coverage is restricted to those in force at time of cancellation or I
II termination. Should any premium credit for an individual member be returned to WCIA as a result
of the cancellation in any insurance policy,it will be retained by WCIA and may be applied toward
;IIII any outstanding or anticipated debts of the member to WCIA. Any assessment or premium
II adjustments due to property additions during the last year of participation shall be payable after the
assessment/premium audit of that year. I
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VIII. ESTABLISHMENT OF CONTINGENCY FUND
III
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WCIA Property Joint Protection Program Page 7
The Board may establish a contingency fund from money accumulated in excess of losses in
WCIA's Retention Layer each year,to offset future property premiums,expand program
enhancements,and/or build up funds for unallocated loss reserves.
IIp:pp2007
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''' Self-Insured Coverage Document
Auto Physical Damage
APDCov2007
11.
WA cities
Insurance Authority.
y; II
WCIA Auto Physical Damage Coverage Document Page 2
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Washington Cities Insurance Authority
Self-Insured Coverage Document
Auto Physical Damage
APDCov2007
December 31,2006 to December 31,2007
12:01 AM Pacific Standard Time
This document is not an insurance policy. The Washington Cities Insurance Authority(WCIA)is not an
insurance company. This document is an agreement by WCIA and its member participating in this Auto
Physical Damage program to pay all covered losses subject to the limits,terms and conditions of this
Agreement and any addenda attached. Various provisions in this agreement restrict coverage. Read the
ntire agreement carefully to determine rights,duties and what is and is not covered.
Throughout this agreement,the words"you"and"your'refer to the Member shown in the Property Joint
Protection Program that is participating in the Auto Physical Damage Program. The words"we,""us"and
"burn refer to WCIA.
Other words and phrases that appear in quotation marks have special meaning. Refer to Section IV-
Definitions.
I COVERED AUTOS
This Agreement covers autos and equipment,being the property of the Member or similar property of
others for which the member is responsible,per Member Schedule of Values on file with WCIA.
We also cover owned"autos"you acquire after the policy if you report it to us within 30 days after you
acquire it.
We also cover any"auto"you rent or lease if you tell us within 10 days after you rent or lease it.
A. PROPERTY EXCLUDED
This Agreement does not cover:
jl 1. Aircraft,watercraft, mobile homes, house trailers;
2. Property while waterborne(except during ferry operations);
3. Tires or tubes unless the loss or damage is caused by fire,windstorm,theft or vandalism or is
coincidental with other loss or damage covered by this agreement;
4. Portable buildings and improvements and betterments to buildings;
5. Plans,blueprints,specifications,designs, records or any similar property;
6. Property while airborne except while in due course of transit.
II. PHYSICAL DAMAGE COVERAGE
A. COVERAGE
1. We will pay for direct physical loss of or damage to the scheduled vehicle or its equipment under:
a. Comprehensive Coverage. From any cause except:
(1) The covered"auto's"collision with another object;or
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(2) The covered"auto's"overturn.
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WCIA Auto Physical Damage Coverage Document Page'3
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b. Specified Causes of Loss Coverage. Caused by:
(1) Fire,lightning or explosion;
iit (2) Theft;
ii
(3) Windstorm, hail or earthquake;
(4) Flood;
it (5) Mischief or Vandalism;or
II (6) The sinking,burning,collision or derailment of any conveyance transporting the covered
tl "auto."
c. Collision coverage. Caused by:
(1) The covered"auto's"collision with another object;or
(2) The covered"auto's"overturn.
2. Towing.
II, We will pay for towing and labor costs incurred each time a covered"auto"is disabled as a result of a
covered loss. However,towing will only be provided to the closest location that can provide the
appropriate repairs.
II
3. Glass Breakage-Hitting a Bird or Animal-Falling Objects or Missiles.
We will pay for the following under Comprehensive Coverage:
a. Glass breakage;
b. "Loss"caused by hitting a bird or animal;and
c. "Loss"caused by falling objects or missiles.
B. EXCLUSIONS
1. We will not pay for"loss"caused by or resulting from any of the following. Such"loss"is
excluded regardless of any other cause or event that contributes concurrently or in any
sequence to the"loss."
a. Nuclear Hazard.
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(1) The explosion of any weapon employing atomic fission or fusion;or
(2) Nuclear reaction or radiation,or radioactive contamination,however caused.
b. War or Military Action.
(1) War,including undeclared or civil war;
(2) Warlike action by a military force,including action in hindering or defending against an
actual or expected attack,by any government,sovereign or other authority using
military personnel or other agents;or
(3) Insurrection, rebellion, revolution,usurped power or action taken by governmental
authority in hindering or defending against any of these.
2. Other Exclusions.
a. We will not payfor"loss"to anyof the following:
(1) Tape decks or other sound reproducing equipment unless permanently installed in,a 1
covered"auto."
11
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WCIA Auto Physical Damage Coverage Document Page 4
(2) Tapes,records or other sound reproducing devices designed for use with sound
reproducing equipment.
(3) Sound receiving equipment designed for use as a citizens'band radio,two-way
mobile radio or telephone or scanning monitor its antennas and other accessories,
II unless permanently installed.
b. We will not pay for"loss"caused by or resulting from any of the following unless caused by
other"loss"that is covered by this agreement:
(1) Wear and tear,freezing,mechanical or electrical breakdown.
(2) Blowouts,punctures or other road damage to tires.
it
C. LIMIT OF COVERAGE
1. The most we will pay for"loss"in any one"accident"is the lesser of:
a. The actual cash value of the damaged or stolen property as of the time of the"loss";ors
b. The cost of repairing or replacing the damaged or stolen property with other property of
like kind and quality.
IC,
2. With respect to autos valued$25,000 or greater and if the Member's Schedule of Values on file
with WCIA specifies replacement cost coverage,we will:
II a. Pay for the cost of repairing the damaged or stolen property with a part or parts of like'
kind and quality,without deduction for depreciation;or
b. Pay for cost to replace the entire covered auto and its permanently attached equipment
at the time of loss with a comparably new auto and comparably new attached equipment.
D. DEDUCTIBLE
For each covered"auto,"our obligation to pay for,repair,return or replace damaged or stolen property
will be reduced by the applicable deductible shown in the Declarations. Any deductible shown in the
Declarations does not apply to"loss"caused by fire,lightning or glass repair.
III. LOSS CONDITIONS
A. APPRAISAL FOR,PHYSICAL DAMAGE LOSS
If you and we disagree on the amount of`loss,"either may demand an appraisal of the"loss." In this
event,each party will select a competent appraiser. The two appraisers will select a competent and
impartial umpire. The appraisers will state separately the actual cash value and amount of"loss." If
they fail to agree,they will submit their differences to the umpire. A decision agreed to by any two will
be binding. Each party will:
1. Pay its chosen appraiser;and
2. Bear the other expenses of the appraisal and umpire equally.
If we submit to an appraisal,we will still retain our right to deny the claim.
II B. DUTIES IN THE EVENT OF ACCIDENT, CLAIM,SUIT OR LOSS
1. In the event of"accident,"claim,"suit"or"loss,"you must give us or our authorized
li representative prompt notice of the"accident"or"loss." Include:
a. How,when and where the"accident"or"loss"occurred;
b. The"Member's"name and address;and
c. To the extent possible,the names and addresses of any injured persons and witnesses.
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II' WCIA Auto Physical Damage Coverage Document Page 5
2. Additionally,you and any other involved"Member"must:
a. Assume no obligation,make no payment or incur no expense without our consent,except
at the"Member's"own cost.
b. Immediately send us copies of any demand, notice,summons or legal paper received
concerning the claim or"suit."
c. Cooperate with us in the investigation,settlement or defense of the claim or"suit."
II 3. If there is"loss"to a covered"auto"or its equipment you must also do the following:
a. Promptly notify the police if the covered"auto"or any of its equipment is stolen.
b. Take all reasonable steps to protect the covered"auto"from further damage. Also keep a
record of your expenses for consideration in the settlement of the claim.
c. Permit us to inspect the covered"auto"and records proving the"loss"before its repair or
disposition.
d. Agree to examinations under oath at our request and give us a signed statement of your
answers.
C. LOSS PAYMENT-PHYSICAL DAMAGE COVERAGES
At our option we may:
1. Pay for,repair or replace damaged or stolen property;
2. Return the stolen property,at our expense. We will pay for any damage that results to the
"auto"from the theft;or
3. Take all or any part of the damaged or stolen property at an agreed or appraised value.
li D. TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US
If any person or organization to or for whom we make payment under this Agreement has rights to
recover damages from another,those rights are transferred to us. That person or organization must do
nothing after"accident"or"loss"to impair them.
General Conditions:
1. Bankruptcy.
Bankruptcy or insolvency of the"Member"will not relieve us of any obligations under this
Agreement.
2. No Benefit to Bailee-Physical Damage Coverages.
We will not recognize any assignment or grant any coverage for the benefit of any person or
organization holding,storing or transporting property for a fee regardless of any other provision
of this Agreement.
3. Other Insurance.
a. For any covered"auto"you own,this Agreement provides primary coverage. For any
covered"auto"you don't own,the coverage provided by this Agreement is excess over
any other collectible insurance.
b. When this Agreement and any other Coverage Form or insurance policy covers on the
same basis,either excess or primary,we will pay only our share. Our share is the
proportion that the Limit of Coverage of our Agreement bears to the total of the limits of all
the Coverage Forms and insurance policies covering on the same basis.
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WCIA Auto Physical Damage Coverage Document Page 6
4. Policy Period,Coverage Territory.
'1
Under this Coverage,we cover"accidents"and"losses"occurring:
a. During the policy period shown in the Declarations;and
b. Within the coverage territory.
The coverage territory is:
a. The United States of America;
b. The territories and possessions of the United States of America;
c. Puerto Rico;and
d. Canada.
We also cover"loss"to,or"accidents"involving,a covered"auto"whole being transported
between any of these places.
IV. DEFINITIONS
A. ACCIDENT
"Accident"includes continuous or repeated exposure to the same conditions resulting in"bodily
injury"or"property damage."
B. AUTO
"Auto"means a land motor vehicle,trailer or semi-trailer designed for travel on public roads but
does not include"mobile equipment."
C. BODILY INJURY
"Bodily injury"means bodily injury,sickness or disease sustained by a person including death
resulting from any of these.
D. MEMBER
"Member"means any municipal corporation participating in the Auto Physical Damage Program as
identified in the Auto Physical Damage Joint Protection Program. Except with respect to the Limit
of Coverage,the coverage afforded applies separately to each Member who is seeking coverage or •
against whom a claim or"suit"is brought.
II E. LOSS
"Loss"means direct and accidental loss or damage.
it
F. MOBILE EQUIPMENT
' I
"Mobile equipment"means any of the following types of land vehicles,including any attached
machinery or equipment:
1. Bulldozers,farm machinery,forklifts and other vehicles designed for use principally off public
it roads;
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2. Vehicles maintained for use solely on or next to premises you own or rent;
3. Vehicles that travel on crawler treads;
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WCIA Auto Physical Damage Coverage Document Page 7,
it 4. Vehicles,whether self-propelled or not, maintained primarily to provide mobility to permanently
mounted:
a. Power cranes,shovels, loaders,diggers or drills;or
b. Road construction or resurfacing equipment such as graders,scrapers or rollers.
I ,
5. Vehicles not described in paragraphs 1,2,3,or 4 above that are not self-propelled and are
maintained primarily to provide mobility to permanently attached equipment of the following
types:
a. Air compressors, pumps and generators,including spraying,welding,building cleaning,
geophysical exploration, lighting and well servicing equipment;or
jll b. Cherry pickers and similar devices used to raise or lower workers.
II 6. Vehicles not described in paragraphs 1,,2,3 or 4 above maintained primarily for purposes
other than the transportation of persons or cargo. However,self-propelled vehicles with the
following types of permanently attached equipment are not"mobile equipment"but will be
considered"autos":
a. Equipment designed primarily for:
(1) Snow removal;
(2) Road maintenance,but not construction or resurfacing;or
r I
(3) Street cleaning;
II
b. Cherry pickers and similar devices mounted on automobile or truck chassis and used to
raise or lower workers;and
c. Air compressors,pumps and generators,including spraying,welding, building cleaning,
geophysical exploration, lighting or well servicing equipment.
G. PROPERTY DAMAGE
"Property damage"means damage to or loss of use of tangible property.
H. SCHEDULE OF VALUES
"Schedule of Values"means the list on file with WCIA of a Member's Autos and their attached
equipment submitted by each Member to WCIA describing each Auto to be covered by this ,
agreement and the Members election as to each Auto to cover its replacement or repair at either its
actual cash value or its cost of replacement as selected by the Member.
I. SUIT
"Suit"means a civil proceeding in which damages because of"bodily injury'or"property damages"
to which this coverage applies are alleged. "Suit"includes an arbitration proceeding alleging such
damages to which you must submit or submit with our consent.
J. TRAILER
"Trailer"includes semi-trailer.
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Apdcov2007
II,
Auto Physical Damage
Joint Protection Program
2007
WA t cities
Insurance Authority
III '
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II,I WCIA APD Joint Protection Program Page 2
Id
IPA
I WASHINGTON CITIES INSURANCE AUTHORITY
Ill Auto Physical Damage Joint Protection Program for the
IIIl Coverage Year December 31,2006 to December 31,2007
I. AUTO PHYSICAL DAMAGE COVERAGE
Washington Cities Insurance Authority(WCIA)provides an optional program to its members
1 whereby they may obtain protection for losses or damages to member owned,leased or rented
!'i autos.
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11
II' A. COVERAGE LAYERS
Ili
IThere are two layers in the Auto Physical Damage Program:
'"I 1. The first layer is an Individual Member Deductible where each member has a choice of11
11 individual deductible layers for each program.
Ii
II 2. The second layer is the WCIA Self-Insured Auto Physical Damage Retention Layer,which
attaches from the individual deductible.
III
II The Board,at its discretion,may choose to self insure or purchase insurance in any of the layers.'
III Purchased insurance policies may differ from each other in language,exclusions,conditions and
IIII underwriter's intent. Coverage among the various policies may not be continuous.
lli Further,money available for losses within WCIA Self-Insured Auto Physical Damage Retention
III Layer is limited to budgeted funds and a high frequency of losses may result in the exhaustion of all
11 WCIA funds. Replenishment of WCIA Self-Insured Auto Physical Damage Retention Layer may be
II made by special assessment as approved by the Board at its discretion.
III
It is also understood and an agreed that auto loss not within the coverage definitions or terms of
9 Y
the Auto Physical Damage Insurancepolicies or Self Insured Coverage Document for Auto Physical
Il Y 9 9 Y
Damage shall be the sole responsibility of the applicable member and not the responsibility of
9 P Y PP P tY
III WCIA nor any other member. I
B. COVERAGE TERMS, EXCLUSIONS,AND CONDITIONS
I'
II
I The terms,definitions,exclusions and conditions of the Auto Physical Damage program
are outlined in the WCIA Self Insured Coverage Document for Auto Physical Damage
APDCov2007.
II
III C. MEMBERS
I
I' Current members include:
III
Aberdeen Clarkston Kenmore 1
IIII Arlington Cle Elum
III Auburn Clyde Hill Kirkland
Bainbridge Island Covington Lacey
11
II Battle Ground Coupeville La Conner
Benton City Cowlitz-Wahkiakum Council of Gov. Lake Forest Park
II Benton County Emergency Services CRESA Lake Stevens
I Bonney Lake Des Moines Leavenworth
, Bothell Edgewood Long Beach
" Burien Edmonds Longview
II Camas Elma LOTT Alliance 1
II Cashmere Enumclaw Mabton
Centralia Fife Maple Valley
Chehalis Goldendale Marysville
Chelan Issaquah Marysville Fire District
liII Cheney Kelso McCleary
111
II
II
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WCIA APD Joint Protection Program Page 3
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Medical Lake Olympia Spokane Valley
Medina Othello Stanwood
Mercer Island Port Angeles Sumner
II
Metropolitan Park District of Tacoma Port Townsend Steilacoom
Mill Creek Pullman-Moscow Airport Board Three Rivers Reg.Wastewater Authority
Milton Puyallup Toppenish
Monroe Renton Tukwila
Monroe Fire District Richland Tumwater
Montesano Ridgefield Union Gap
Moses Lake Sammamish University Place
Mountlake Terrace SERS Valley Regional Fire Authority
Mount Vernon Shelton Walla Walla
Mukilteo Shoreline Washougal
Newcastle Skagit 911 Westport
1,1
Normandy Park Snohomish Woodinville
!I' North Bonneville SNOCOM Woodway
Northshore Utility District SNOPAC Yarrow Point
ii Oak Harbor Snoqualmie Zillah
Ocean Shores Soap Lake
I'
III II. DESCRIPTION OF SERVICES AND COST ALLOCATION
A. COVERAGE ASSESSMENT BASIS
Assessment costs per member is based on scheduled values of member owned autos.
B. AUTOMOBILE SCHEDULES
Each member is responsible for reporting any changes in automobile values as soon as practicable
II'+ to WCIA.
C. WCIA ADMINISTRATION
The Executive Director shall administer WCIA operations and be accountable to the Board in the
areas of insurance purchases,claims and loss control administration,coverage determinations and
Ill new membership.
D. LEGAL SERVICES
I
WCIA Legal Counsel is appointed by the Board to provide legal assistance concerning WCIA
operations to the Board and Executive Director. WCIA Legal Counsel is an administrative expense.
Il I
E. SUBROGATION
Ali I
WCIA shall be subrogated to all legal rights to seek and recover damages for injury,theft,loss or
destruction of member owned Autos which the member may have against any person or other
III, entity with respect to any payment made under this Auto Physical Damage Joint Protection
Program. The member shall execute all papers required by WCIA and shall cooperate with WCIA
to secure and protect WCIA's rights. WCIA shall have the exclusive right to select,retain and pay
attorneys as necessary to pursue legal remedies for recovery of its subrogation interests. In case,
any reimbursement is obtained or recovery is made by the member or WCIA on account of any loss
covered by this Auto Physical Damage Joint Protection Program,the distribution of such
li reimbursement or recovery,shall be first applied in the following order:
1. Payment of legal costs and attorney fees incurred by WCIA in making the recovery.
2. Second,to recover the member's loss because of application of their deductible;
3. Third,to recover WCIA's payments until WCIA is fully reimbursed.
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WCIA APD Joint Protection Program Page 4,
F. CLAIMS COSTS
Administration of the Auto Physical Damage claims program is conducted in-house by WCIA staff
and is an administrative expense. Some losses are assigned by staff to an outside claims service
company for resolution. The service company's fees are administrative costs.
i 1
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11 III. MEMBER ASSESSMENTS
Each member's assessments with WCIA is due within thirty(30)days of billing. Claims reports will
be distributed annually to the membership. Mid-year(new)membership will be prorated against the
remaining coverage year premium, payable within thirty(30)days. Any assessment paid is not
refundable or short rated in the event of a member withdrawal from Auto Physical Damage Joint
II, Protection Program prior to the end of a policy year.
1111
IV. CLAIMS PROCESS
Ili The claims process is supervised by WCIA and includes development and implementation of claims
procedures which members agree to follow.
111
Members shall cooperate by promptly reporting all Auto Physical Damage claims,by participating
fully in any investigation conducted by WCIA or its claims administrator,and by adhering to the
claims procedures as set forth in the WCIA Claims Manual. The Executive Director may settle any
II claim within the WCIA Retention Layer.
I!I I
V. COVERAGE DETERMINATION
Ili The Executive Director shall be responsible for making all coverage determinations within the WCIA
Self-Insured Auto Physical Damage Retention Layer in regard to all claims filed by the member in
1" which a question of coverage exists.
II, �
Any member aggrieved by a coverage determination of the Executive Director shall follow the
appeal process which has been adopted in the By-Laws,Article VI,Section 2,to allow members to
bring before the Executive Committee any coverage decisions which they may contest. Respective
requirements of each participating party are detailed as appropriate in the By-Laws. Failure to
1111 follow the stated requirements may result in a waiver of legal rights.
1,1 VI. OTHER-INSURANCE
111 If any member has other valid and collectible insurance which is written by another insurer, and
such insurance is available to the member covering a loss also covered by this Auto Physical
Damage Joint Protection Program,other than insurance that is provided in excess of this program,
the protection and excess insurance afforded by this Auto Physical Damage Joint Protection
111 Program shall be in excess of and shall not contribute with such other insurance.
11 VII. CANCELLATION OR TERMINATION OF MEMBER AUTO PHYSICAL DAMAGE COVERAGE
A member's participation and coverage in the Auto Physical Damage Joint Protection Program may
terminate or cease in one of the following ways:
A. A member withdraws from WCIA by giving its one year notice in advance of withdrawal from
WCIA's Interlocal Agreement pursuant to Article 20(a)thereto.
1
B. A member gives 60 days advance written notice to WCIA of its intent to cease participation in
1 the Auto Physical Damage Joint Protection Program.
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WCIA APD Joint Protection Program Page 5
C. Immediate termination of coverage will occur if a member's membership in WCIA is terminated
by vote of the Board of Directors as provided in Article 20(b)of the Interlocal Agreement.
D. Termination of coverage will occur if a member fails to pay assessments when due as required
II by Section 10 of the By-Laws of WCIA and Article 21 of the Interlocal Agreement.
E. Coverage will cease if the Executive Committee or Board of Directors votes to cease offering
j coverage for Auto Physical Damage to a member as provided by Article 21(b)of the Interlocal,
Ii or if either votes to cease offering the Auto Physical Damage Joint Protection Program to all
members.
No member shall be entitled to any return of assessment or premium or"short rate"assessment or
premium in the event of termination of coverage under the Auto Physical Damage Joint Protection
Program or termination of membership in WCIA.
Coverage under this program may be terminated by WCIA by a majority vote of the Board present
at the meeting whereby such termination is proposed,or by the Auto Physical Damage insurance
DIY company. Notice of termination shall be provided to the member,in writing,not less than sixty(60)'
days prior to the effective date of the termination,except that, if the member fails to pay any
assessment when due,this coverage may be terminated by providing,in writing,ten(10)days
jl notice.
I �
Ili It is understood that cancellation or termination of coverage under this program shall constitute
cancellation of coverage in all WCIA self-insured and group insured programs. Limits,terms and
conditions of coverage is restricted to those in force at time of cancellation or termination. Should
any premium credit for an individual member be returned to WCIA as a result of the cancellation in
any insurance policy, it will be retained by WCIA and may be applied toward any outstanding or
anticipated debts of the member to WCIA. Any assessment or premium adjustments due to
property additions during the last year of participation shall be payable after the
ji assessment/premium audit of that year.
I VIII. ESTABLISHMENT OF CONTINGENCY FUND
jll The Board may establish a contingency fund from money accumulated in excess of losses in
WCIA's Retention Layer each year,to offset future Auto Physical Damage premiums,expand
o program enhancements,and/or build up funds for unallocated loss reserves.
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Ajpp2007
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