COMPREHENSIVE INSURANCE PROGRAM



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COMPREHENSIVE INSURANCE PROGRAM A Group Program Designed Exclusively For Canadian IABC Members* Underwritten by: AXA Insurance Company of Canada 24 Hour Claims Response Hot Line Toll Free 1-800-268-8865 Coordinated by: Sound Insurance Services Inc. 505 Consumers Rd., Suite 400 Toronto, Ontario M2J 4V8 Tel. 1-888-756-3334 Fax (416) 756-1635 CONSIDER The very nature of the communication business presents risks, whether you are protecting your business contents from fire or natural disasters or yourself from an errors and omissions claim. The customized coverage packages contained in the Comprehensive Insurance Program have been specifically designed to cover the unique challenges associated with your business every day. *Currently not available in Quebec

Dear IABC Member: Good insurance coverage can help professionals mitigate the risks that are inherent in any business and prevent an uninsured loss which could be catastrophic. By leveraging the buying power of IABC in Canada as a group, individual members may affordably purchase Comprehensive Property, Liability coverage and Errors & Omissions protection at a significantly reduced premium. Sound Insurance Services and AXA Insurance Company of Canada have structured a group Property Insurance and Errors & Omissions product specifically designed for IABC members in Canada. For a very low premium starting at $700 for Errors & Omissions Insurance and $500 for Property and liability, you can receive a Comprehensive Property, General Liability and Errors & Omissions Policy. The following outlines coverage and deductible. Professional Liability, Errors & Omissions premiums: What is Professional Liability - Professional Liability commonly known as Errors & Omissions (E &O) results from errors or omissions in the performance of professional services. Professional liability covers mistakes committed while performing activities within the scope of your business. If you overlook a critical piece of information, misstate a fact, be misunderstood, forget to do something, improper documentation It's Benefit - It covers compensatory damages to a third party for which you may become legally liable if you commit a fault, an error or an omission in the course of your professional services. Furthermore many contracts from customers or government agencies require that professional liability be carried before they hire an outside contractor for communication work. Why Should you buy it - The primary reason for professional liability coverage is that a typical general liability policy will only respond to a bodily injury, property damage. Consider the impact of a $100,000 lawsuit. Most individuals can't absorb that kind of loss without feeling dramatic, possibly devastating effects. Yet such costs are only part of the pain - it's difficult to place a value on the hassle, lost time and damaged reputation that may result from an E &O claim. Another important thing to remember is that a company doesn't have to do anything wrong to be sued. In fact, a large proportion of lawsuits are meritless. Even so, such lawsuits must be defended, and that can be costly. Professional liability insurance covers these legal costs. Option A premium $700 / year (subject to claims free, Revenue $150,000) Option B premium $1,000/ year (subject to claims free, Revenue $150,000) **10% credit provided for Accredited Business Communicator (ABC) designation Professional Liability, Errors & Omissions, Claims Made Form Option A Limit $1,000,000 Option B - Limit $2,000,000 If you make an error or omission, or if you are sued for negligence or breach of contract, as a result your Errors & Omissions Policy will respond. You policy will also respond if you are sued for Libel and Slander.

Suits involving pure financial loss are covered Worldwide coverage for suits brought back in Canada Deductible - Errors and Omissions Property/General Liability premiums: (Subject to purchasing of E &O Insurance) Option A premium $500 / year (subject to claims free, Revenue $150,000) Option B premium $600/ year (subject to claims free, Revenue $150,000) The following is a condensed description of insurance coverage provided. This brochure is intended for promotional purposes and is not an insurance policy. It is not an offer of insurance. It contains some information about coverages offered by AXA Insurance but does not list all the conditions and exclusions which apply to described coverages. The actual wording of the policy governs all situations. The products and coverages detailed are subject to change. Please call your broker for complete details. Commercial Property Commercial Contents Limits of Liability (consists of Office Contents, EDP (Electronic Data Processing) Hardware, EDP Software & Leasehold Improvements) - EDP Sub Limit Option A Option B $25,000 $ 10,000 Coverages below applicable to both Option A & B: Business Interruption Loss of Income Actual Loss Sustained Extra Expense (100% 1 st Month) Crime Employee Dishonesty (Form A) Broad Form Money and Securities Money Order and Counterfeit Paper Depository Forgery Boiler & Machinery Comprehensive If your mechanical, electrical or electronic equipment accidentally breaks down, the damaged equipment, as well as any of your other property damaged as a result of this accident, will be repaired or replaced. Equipment such as office automation, communication equipment, computers, fax machines, photocopies, telephone system, heating and air conditioning systems is covered.

Commercial General Liability Option A - Limit $1,000,000 Option B - Limit $2,000,000 This broad liability protection covers losses from bodily injury and/or property damage for your employees as well as your business, if you are brought into legal action as a result of a liability claim, coverage extends to include: Personal Injury Employees as Additional Named Insured Occurrence Basis Property Damage Broad Form Property Damage Blanket Contractual Liability Contingent Employers Liability Non-Owned Automobile Non-Owned Watercraft (under 8 metres) Incidental Medical Malpractice Extended Bodily Injury Products and Completed Operations Limited Worldwide Liability Voluntary Compensation Attached Machinery and Equipment Cross Liability Automatic Coverage on Newly Acquired Locations Employers Liability Canadian Currency Clause Broad Definition of Automobile Intentional Acts for the Protection of Persons & Property Voluntary Compensation 1,000,000 Employee Benefits Errors & Omissions 500,000 Tenants Legal Liability 25,000 Medical Payment Per Person Deductible: All Losses $1,000 except Flood Quake $50,000 Sewer Backup You are invited to participate in the IABC Program. Check the appropriate box below and fax to (416) 756-1635 or email: neilm@soundinsurance.ca. If you have any questions, please call Neil at Sound insurance Services at 1-888-756-3334 for more information. 1) Yes, I am interested in the program, please have someone contact me 2) Yes, I am interested in joining when my present policy renews in Requests for additional information about this exclusive program should be directed to your Broker, Sound Insurance Services Inc., using one of the following convenient methods: Tel.: 1-888-756-3334 Fax: (416) 756-1635 Email: neilm@soundinsurance.ca Sincerely yours, Neil Mahajan Vice President

PROGRAM ADVANTAGES Extremely competitive pricing due to purchasing power of IABC in Canada. Convenient payment method Program coverages and limits satisfy obligations contained in most agreements Broader coverages and higher limits are provided in comparison to regular commercial insurance package products. Low deductible Prompt claims service PROGRAM FEATURES AND EXTENSIONS PROPERTY Inflation Protection Stated Amount (if selected) Replacement Cost on Building and Contents Blanket By-Laws Blanket Glass Debris Removal 25% Peak Season Increase Accounts Receivable Valuable Papers and Records Fire Department Services Charges Personal Property of Employees Outdoor Signs Professional Fees Exhibition Floater Property In Transit Newly Acquired Buildings Contents at Newly Acquired Locations Sales Samples Consequential Loss Assumption Installation Floater Master Key Contents at Temporary locations LIMIT $500,000 $125,000 $7,500 Policy Cancellation Clause = 30 Days

Commonly Asked Questions Regarding The Comprehensive IABC Program The following will outline the most frequently asked questions and the answers so that everyone may benefit from the information. "What is the purpose of the Comprehensive Insurance Program designed for IABC members in Canada?" This program was structured in a manner to create a Comprehensive Property, General Liability and Errors & Omissions coverage policy for Canadian members of IABC*. The program extensions are extremely broad and designed to help bridge the gap in coverages and other limitations which could result by insuring separately. "Can we obtain higher limits for coverages?" The program limits were structured around the general business needs of the majority of members. The pricing and administration of the program was structured accordingly. Therefore, we will make every effort to accommodate individual members and each request will be dealt with individually. "I am interested in joining the program, but my current policy does not expire for several months. When should I send in my application?" If you currently have coverage, you can either enter the program immediately and seek a return premium from your current policy or indicate the expiration date of your existing policy and specify that date as your desired effective date. "How much does this cost?" The annual cost Property/General Liability is $500 per location for Option A or $600 per location for Option B annually. Professional Liability (E &O) $700 for Option A or $1000 for Option B. "Who is AXA Insurance?" AXA Canada has claimed a place at the forefront of the Canadian insurance industry with combined sales in excess of $2 billion and assets of over $5.3 billion. Being protected by AXA means you are backed by a solid and stable company that offers a broad range of outstanding products and services to cover all of your Liability and Personal Insurance needs, as well as providing a variety of Financial Services. Worldwide, the AXA Group has presence in 56 countries, with $142.9 billion in consolidated revenues, protecting over 96 million Clients. AXA is one of the top insurers in Canada, operating across the country with 2,300 employees. An innovative and responsible company, AXA is constantly redefining standards to better serve their Customers." *Currently not available in Quebec