BUSINESSOWNERS BP 00 06 01 97 BUSINESSOWNERS LIABILITY COVERAGE FORM Various provisions in this policy restrict coverage. Read the entire policy carefully to determine rights, duties what is is not covered. Throughout this policy the wds "you" "your" refer to the Named Insured shown in the Declarations. The wds "we","us" "our" refer to the Company provi d- ing this insurance. The wd "insured" means any person ganization qualifying as such under Section C Who Is An Insured. Other wds phrases that appear in quotation marks have special meaning. Refer to Section F Liability And Medical Expenses Definitions. A. Coverages 1. Business Liability a. We will pay those sums that the insured becomes legally obligated to pay as damages because of "bodily injury", "property damage", "personal injury" "advertising injury" to which this insurance applies. We will have the right duty to defend the insured against any "suit" seeking those damages. However, we will have no duty to defend the insured against any "suit" seeking damages f "bodily injury", "property damage", "personal injury", "advertising injury" to which this insurance does not apply. We may at our discretion, investigate any "occurrence" settle any claim "suit" that may result. But: (1) The amount we will pay f damages is limited as described in Section D Liability And Medical Expenses Limits Of Insurance; (2) Our right duty to defend end when we have used up the applicable limit of insurance in the payment of judgments settlements medical expenses. No other obligation liability to pay sums perfm acts services is covered unless explicitly provided f under Coverage Extension Supplementary Payments. b. This insurance applies: (1) To "bodily injury" "property damage" only if: (a) The "bodily injury" "property damage" is caused by an "occurrence" that takes place in the "coverage territy"; (b) The "bodily injury" "property damage" occurs during the policy period. (2) To: (a) "Personal injury" caused by an offense arising out of your business, excluding advertising, publishing, broadcasting telecasting done by f you; (b) "Advertising injury" caused by an offense committed in the course of advertising your goods, products services; but only if the offense was committed in the "coverage territy" during the policy period. c. Damages because of "bodily injury" include damages claimed by any person ganization f care, loss of services death resulting at any time from the "bodily injury". d. Coverage Extension Supplementary Payments In addition to the Limit of Insurance we will pay, with respect to any claim we investigate settle, any "suit" against an insured we defend: (1) All expenses we incur. (2) Up to $250 f cost of bail bonds required because of accidents traffic law violations arising out of the use of any vehicle to which Business Liability Coverage f "bodily injury" applies. We do not have to furnish these bonds. (3) The cost of bonds to release attachments, but only f bond amounts within our Limit of Insurance. We do not have to furnish these bonds. BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 0 of 15
(4) All reasonable expenses incurred by the insured at our request to assist us in the investigation defense of the claim "suit", including actual loss of earnings up to $250 a day because of time off from wk. (5) All costs taxed against the insured in the "suit". (6) Prejudgment interest awarded against the insured on that part of the judgment we pay. If we make an offer to pay the Limit of Insurance, we will not pay any prejudgment interest based on that period of time after the offer. (7) All interest on the full amount of any judgment that accrues after entry of the judgment befe we have paid, offered to pay, deposited in court the part of the judgment that is within our Limit of Insurance. If we defend an insured against a "suit" an indemnitee of the insured is also named as a party to the "suit", we will defend that indemnitee if all of the following conditions are met: a. The "suit" against the indemnitee seeks damages f which the insured has assumed the liability of the indemnitee in a contract agreement that is an "insured contract"; b. This insurance applies to such liability assumed by the insured; c. The obligation to defend, the cost of the defense of, that indemnitee, has also been assumed by the insured in the same "insured contract"; d. The allegations in the "suit" the infmation we know about the "occurrence" are such that no conflict appears to exist between the interests of the insured the interests of the indemnitee: e. The indemnitee the insured ask us to conduct control the defense of that indemnitee against such "suit" agree that we can assign the same counsel to defend the insured the indemnitee; f. The indemnitee: (1) Agrees in writing to: (a) Cooperate with us in the investigation, settlement defense of the "suit"; (b) Immediately send us copies of any dems, notices, summonses legal papers received in connection with the "suit"; (c) Notify any other insurer whose coverage is available to the indemnitee; (d) Cooperate with us with respect to codinating other applicable insurance available to the indemnitee; (2) Provides us with written authization to: (a) Obtain recds other infmation related to the "suit"; (b) Conduct control the defense of the indemnitee in such "suit". So long as the above conditions are met, attneys' fees incurred by us in the defense of that indemnitee, necessary litigation expenses incurred by us necessary litigation expenses incurred by the indemnitee at our request will be paid as Supplementary Payments. Notwithsting the provisions of Paragraph B.1.b.(2) of Exclusions, such payments will not be deemed to be damages f "bodily injury" "property damage" will not reduce the limits of insurance. Our obligation to defend an insured's indemnitee to pay f attneys' fees necessary litigation expenses as Supplementary Payments ends when: a. We have used up the applicable limit of insurance in the payment of judgments settlements; b. The conditions set fth above, the terms of the agreement described in Paragraph f. above are no longer met. Page 2 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
2. Medical Expenses a. We will pay medical expenses as described below f "bodily injury" caused by an accident: (1) On premises you own rent; (2) On ways next to premises you own rent; (3) Because of your operations; provided that: (a) The accident takes place in the "coverage territy" during the policy period; (b) The expenses are incurred repted to us within one year of the date of the accident; (c) The injured person submits to examination, at our expense, by physicians of our choice as often as we reasonably require. b. We will make these payments regardless of fault. These payments will not exceed the Limit of Insurance. We will pay reasonable expenses f: B. Exclusions (1) First aid administered at the time of an accident; (2) Necessary medical, surgical, x-ray dental services, including prosthetic devices; (3) Necessary ambulance, hospital, professional nursing funeral services. 1. Applicable To Business Liability Coverage This insurance does not apply to: a. Expected Or Intended Injury "Bodily injury" "property damage" expected intended from the stpoint of the insured. This exclusion does not apply to "bodily injury" resulting from the use of reasonable fce to protect persons property. b. Contractual Liability "Bodily injury" "property damage" f which the insured is obligated to pay damages by reason of the assumption of liability in a contract agreement. This exclusion does not apply to liability f damages: (1) That the insured would have in the absence of the contract agreement; (2) Assumed in a contract agreement that is an "insured contract", provided the "bodily injury" "property damage" occurs subsequent to the execution of the contract agreement. Solely f the purposes of liability assumed in an "insured contract", reasonable attney fees necessary litigation expenses incurred by f a party other than an insured are deemed to be damages because of "bodily injury" "property damage", provided: (a) Liability to such party f, f the cost of, that party's defense has also been assumed in the same "insured contract"; (b) Such attney fees litigation expenses are f defense of that party against a civil alternative dispute resolution proceeding in which damages to which this insurance applies are alleged. c. Liqu Liability "Bodily injury" "property damage" f which any insured may be held liable by reason of: (1) Causing contributing to the intoxication of any person; (2) The furnishing of alcoholic beverages to a person under the legal drinking age under the influence of alcohol; (3) Any statute, dinance regulation relating to the sale, gift, distribution use of alcoholic beverages. This exclusion applies only if you are in the business of manufacturing, distributing, selling, serving furnishing alcoholic beverages. d. Wkers' Compensation And Similar Laws Any obligation of the insured under a wkers' compensation, disability benefits unemployment compensation law any similar law. BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 3 of 15
e. Employer's Liability "Bodily Injury" to: (1) An "employee" of the insured arising out of in the course of: (a) Employment by the insured; (b) Perfming duties related to the conduct of the insured's business; (2) The spouse, child, parent, brother sister of that "employee" as a consequence of Paragraph (1) above. This exclusion applies: (a) Whether the insured may be liable as an employer in any other capacity; (b) To any obligation to share damages with repay someone else who must pay damages because of the injury. This exclusion does not apply to liability assumed by the insured under an "insured contract". f. Pollution (1) "Bodily injury" "property damage" arising out of the actual, alleged threatened discharge, dispersal, seepage, migration, release escape of pollutants: (a) At from any premises, site location which is was at any time owned occupied by, rented loaned to, any insured; (b) At from any premises, site location which is was at any time used by f any insured others f the hling, stage, disposal, processing treatment of waste; (c) Which are were at any time transpted, hled, sted, treated, disposed of, processed as waste by f any insured any person ganization f whom you may be legally responsible; (d) At from any premises, site location on which any insured any contracts subcontracts wking directly indirectly on any insured's behalf are perfming operations: (i) If the pollutants are brought on to the premises, site location in connection with such operations by such insured, contract subcontract; (ii) If the operations are to test f, monit, clean up, remove, contain, treat, detoxify neutralize, in any way respond to, assess the effects of pollutants. Subparagraph (d)(i) does not apply to "bodily injury" "property damage" arising out of the escape of fuels, lubricants other operating fluids which are needed to perfm the nmal electrical, hydraulic mechanical functions necessary f the operation of "mobile equipment" its parts, if such fuels, lubricants other operating fluids escape from a vehicle part designed to hold, ste receive them. This exception does not apply if the fuels, lubricants other operating fluids are intentionally discharged, dispersed released, if such fuels, lubricants other operating fluids are brought on to the premises, site location with the intent to be discharged, dispersed released as part of the operations being perfmed by such insured, contract subcontract. Subparagraphs (a) (d)(i) do not apply to "bodily injury" "property damage" arising out of heat, smoke fumes from a hostile fire. As used in this exclusion, a hostile fire means one which becomes uncontrollable breaks out from where it was intended to be. (2) Any loss, cost expense arising out of any: (a) Request, dem der that any insured others test f, monit, clean up, remove, contain, treat, detoxify neutralize, in any way respond to, assess the effects of pollutants; Page 4 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
(b) Claim "suit" by on behalf of a governmental authity f damages because of testing f, moniting, cleaning up, removing, containing, treating, detoxifying neutralizing, in any way responding to, assessing the effects of pollutants. Pollutants means any solid, liquid, gaseous thermal irritant contaminant, including smoke, vap, soot, fumes, acids, alkalis, chemicals waste. Waste includes materials to be recycled, reconditioned reclaimed. g. Aircraft, Auto Or Watercraft "Bodily injury" "property damage" arising out of the ownership, maintenance, use entrustment to others of any aircraft, "auto" watercraft owned operated by rented loaned to any insured. Use includes operation "loading unloading". This exclusion does not apply to: (1) A watercraft while ashe on premises you own rent; (2) A watercraft you do not own that is: (a) Less than 26 feet long; (b) Not being used to carry persons property f a charge; (3) Parking an "auto" on, on the ways next to, premises you own rent, provided the "auto" is not owned by rented loaned to you the insured; (4) Liability assumed under any "insured contract" f the ownership, maintenance use of aircraft watercraft; (5) "Bodily injury" "property damage" arising out of the operation of any of the following equipment: (a) Cherry pickers similar devices mounted on automobile truck chassis used to raise lower wkers; (b) Air compresss, pumps generats, including spraying, welding, building cleaning, geophysical explation, lighting well servicing equipment. h. Mobile Equipment "Bodily injury" "property damage" arising out of: (1) The transptation of "mobile equipment" by an "auto" owned operated by rented loaned to any insured; (2) The use of "mobile equipment" in, while in practice f, while being prepared f, any prearranged racing, speed, demolition stunting activity. i. War "Bodily injury" "property damage" due to war, whether not declared, any act condition incident to war. War includes civil war, insurrection, rebellion revolution. This exclusion applies only to liability assumed under a contract agreement. j. Professional Services "Bodily injury", "property damage", "personal injury" "advertising injury" due to rendering failure to render any professional service. This includes but is not limited to: (1) Legal, accounting advertising services; (2) Preparing, approving, failing to prepare approve maps, drawings, opinions, repts, surveys, change ders, designs specifications; (3) Supervisy, inspection engineering services; (4) Medical, surgical, dental, x-ray nursing services treatment, advice instruction; (5) Any health therapeutic service treatment, advice instruction; (6) Any service, treatment, advice instruction f the purpose of appearance skin enhancement, hair removal replacement personal grooming; (7) Optometry optical hearing aid services including the prescribing, preparation, fitting, demonstration distribution of ophthalmic lenses similar products hearing aid devices; BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 5 of 15
(8) Body piercing services; (9) Services in the practice of pharmacy; but this exclusion does not apply to an insured whose operations include those of a retail druggist drugste. k. Damage To Property "Property damage" to: (1) Property you own, rent occupy; (2) Premises you sell, give away abon, if the "property damage" arises out of any part of those premises; (3) Property loaned to you; (4) Personal property in the care, custody control of the insured; (5) That particular part of real property on which you any contract subcontract wking directly indirectly on your behalf is perfming operations, if the "property damage" arises out of those operations; (6) That particular part of any property that must be rested, repaired replaced because "your wk" was increctly perfmed on it. Paragraph (2) of this exclusion does not apply if the premises are "your wk" were never occupied, rented held f rental by you. Paragraphs (3), (4), (5) (6) of this exclusion do not apply to liability assumed under a sidetrack agreement. Paragraph (6) of this exclusion does not apply to "property damage" included in the "products completed operations hazard". l. Damage To Your Product "Property damage" to "your product" arising out of it any part of it. m. Damage To Your Wk "Property damage" to "your wk" arising out of it any part of it included in the "products completed operations hazard". This exclusion does not apply if the damaged wk the wk out of which the damage arises was perfmed on your behalf by a subcontract. n. Damage To Impaired Property Or Property Not Physically Injured "Property damage" to "impaired property" property that has not been physically injured, arising out of: (1) A defect, deficiency, inadequacy dangerous condition in "your product" "your wk"; (2) A delay failure by you anyone acting on your behalf to perfm a contract agreement in accdance with its terms. This exclusion does not apply to the loss of use of other property arising out of sudden accidental physical injury to "your product" "your wk" after it has been put to its intended use. o. Recall Of Products, Wk Or Impaired Property Damages claimed f any loss, cost expense incurred by you others f the loss of use, withdrawal, recall, inspection, repair, replacement, adjustment, removal disposal of: (1) "Your product"; (2) "Your wk"; (3) "Impaired property"; if such product, wk property is withdrawn recalled from the market from use by any person ganization because of a known suspected defect, deficiency, inadequacy dangerous condition in it. p. Personal Or Advertising Injury "Personal injury" "advertising injury": (1) Arising out of al written publication of material, if done by at the direction of the insured with knowledge of its falsity; (2) Arising out of al written publication of material whose first publication took place befe the beginning of the policy period; Page 6 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
(3) Arising out of the willful violation of a penal statute dinance committed by with the consent of the insured; (4) F which the insured has assumed liability in a contract agreement. This exclusion does not apply to liability f damages that the insured would have in the absence of the contract agreement; (5) Arising out of the actual, alleged threatened discharge, dispersal, seepage, migration, release escape of pollutants at any time. (6) With respect to any loss, cost expense arising out of any: (a) Request, dem der that any insured others test f, monit, clean-up, remove, contain, treat, detoxify neutralize in any way respond to, assess the effects of pollutants; (b) Claim suit by on behalf of a governmental authity f damages because of testing f, moniting, cleaning up, removing, containing, treating, detoxifying neutralizing in any way responding to, assessing the effects of pollutants. Pollutants means any solid, liquid, gaseous thermal irritant contaminant, including smoke, vap, soot, fumes, acids, alkalis, chemicals waste. Waste includes materials to be recycled, reconditioned reclaimed. q. Advertising Injury "Advertising injury" arising out of: (1) Breach of contract, other than misappropriation of advertising ideas under an implied contract; (2) The failure of goods, products services to confm with advertised quality perfmance; (3) The wrong description of the price of goods, products services; (4) An offense committed by an insured whose business is advertising, broadcasting, publishing telecasting. Exclusions c., d., e., f., g., h., i., k., l., m., n. o. do not apply to damage by fire explosion to premises while rented to you, temparily occupied by you with permission of the owner. A separate Limit of Insurance applies to this coverage as described in Section D., Limits of Insurance. 2. Applicable To Medical Expenses Coverage We will not pay expenses f "bodily injury": a. To any insured. b. To a person hired to do wk f on behalf of any insured a tenant of any insured. c. To a person injured on that part of premises you own rent that the person nmally occupies. d. To a person, whether not an "employee" of any insured, if benefits f the "bodily injury" are payable must be provided under a wkers' compensation disability benefits law a similar law. e. To a person injured while taking part in athletics. f. Included within the "products completed operations hazard". g. Excluded under Business Liability Coverage. h. Due to war, whether not declared, any act condition incident to war. War includes civil war, insurrection, rebellion revolution. 3. Applicable To Both Business Liability Coverage And Medical Expenses Coverage Nuclear Energy Liability Exclusion This insurance does not apply: a. Under Business Liability Coverage, to "bodily injury" "property damage": (1) With respect to which an insured under the policy is also an insured under a nuclear energy liability policy issued by Nuclear Energy Liability Insurance Association, Mutual Atomic Energy Liability Underwriters Nuclear Insurance Association of Canada, would be an insured under any such policy but f its termination upon exhaustion of its limit of liability; BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 7 of 15
(2) Resulting from the "hazardous properties" of "nuclear material" with respect to which: (a) Any person ganization is required to maintain financial protection pursuant to the Atomic Energy Act of 1954, any law amendaty thereof; (b) The insured is, had this policy not been issued would be, entitled to indemnity from the United States of America, any agency thereof, under any agreement entered into by the United States of America, any agency thereof, with any person ganization. b. Under Medical Expenses Coverage, to expenses incurred with respect to "bodily injury" resulting from the "hazardous properties" of "nuclear material" arising out of the operation of a "nuclear facility" by any person ganization. c. Under Business Liability Coverage, to "bodily injury" "property damage" resulting from the "hazardous properties" of the "nuclear material"; if: (1) The "nuclear material": (a) Is at any "nuclear facility" owned by, operated by on behalf of, an insured; (b) Has been discharged dispersed therefrom; (2) The "nuclear material" is contained in "spent fuel" "waste" at any time possessed, hled, used, processed, sted, transpted disposed of by on behalf of an insured; (3) The "bodily injury" "property damage" arises out of the furnishing by an insured of services, materials, parts equipment in connection with the planning, construction, maintenance, operation use of any "nuclear facility"; but if such facility is located within the United States of America, its territies possessions Canada, this Exclusion (3) applies only to "property damage" to such "nuclear facility" any property thereat. As used in this exclusion: "By-product material" has the meaning given it in the Atomic Energy Act of 1954 in any law amendaty thereof; "Hazardous properties" include radioactive, toxic explosive properties; "Nuclear facility" means: (a) Any "nuclear react"; (b) Any equipment device designed used f: (1) Separating the isotopes of uranium plutonium; (2) Processing utilizing "spent fuel"; (3) Hling, processing packaging "waste"; (c) Any equipment device used f the processing, fabricating alloying of "special nuclear material" if at any time the total amount of such material in the custody of the insured at the premises where such equipment device is located consists of contains me than 25 grams of plutonium uranium 233 any combination thereof, me than 250 grams of uranium 235; (d) Any structure, basin, excavation, premises place prepared used f the stage disposal of "waste"; includes the site on which any of the fegoing is located, all operations conducted on such site all premises used f such operations; "Nuclear material" means "source material", "special nuclear material" "by-product material"; "Nuclear react" means any apparatus designed used to sustain nuclear fission in a self-suppting chain reaction to contain a critical mass of fissionable material; "Property damage" includes all fms of radioactive contamination of property. "Source material" has the meaning given it in the Atomic Energy Act of 1954 in any law amendaty thereof; "Special nuclear material" has the meaning given it in the Atomic Energy Act of 1954 in any law amendaty thereof; "Spent fuel" means any fuel element fuel component, solid liquid, which has been used exposed to radiation in a "nuclear react"; Page 8 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
"Waste" means any waste material: (a) Containing "by-product material" other than the tailings wastes produced by the extraction concentration of uranium thium from any e processed primarily f its "source material" content; (b) Resulting from the operation by any person ganization of any "nuclear facility" included under Paragraphs (a) (b) of the definition of "nuclear facility". C. Who Is An Insured 1. If you are designated in the Declarations as: a. An individual, you your spouse are insureds, but only with respect to the conduct of a business of which you are the sole owner. b. A partnership joint venture, you are an insured. Your members, your partners their spouses are also insureds, but only with respect to the conduct of your business. c. A limited liability company, you are an insured. Your members are also insureds, but only with respect to the conduct of your business. Your managers are insureds, but only with respect to their duties as your managers. d. An ganization other than a partnership, joint venture limited liability company, you are an insured. Your "executive officers" directs are insureds, but only with respect to their duties as your officers directs. Your stockholders are also insureds, but only with respect to their liability as stockholders. 2. Each of the following is also an insured: a. Your "employees", other than either your "executive officers" (if you are an ganization other than a partnership, joint venture limited liability company) your managers (if you are a limited liability company), but only f acts within the scope of their employment by you while perfming duties related to the conduct of your business. However, none of these "employees" is an insured f: (1) "Bodily injury" "personal injury": (a) To you, to your partners members (if you are a partnership joint venture), to your members (if you are a limited liability company), to a co- "employee" while that co-"employee" is either in the course of his her employment perfming duties related to the conduct of your business; (b) To the spouse, child, parent, brother sister of that co-"employee" as a consequence of Paragraph (1)(a) above; (c) F which there is any obligation to share damages with repay someone else who must pay damages of the injury described in Paragraphs (1)(a) (1)(b); (d) Arising out of his her providing failing to provide professional health care services. However, if you have "employees" who are pharmacists in your retail druggist drugste operation, they are insured with respect to their providing failing to provide professional health care services; (2) "Property damage" to property: (a) Owned, occupied used by, (b) Rented to, in the care, custody control of, over which physical control is being exercised f any purpose by you, any of your "employees", any partner member (if you are a partnership joint venture), any member (if you are a limited liability company). b. Any person (other than your "employee"), any ganization while acting as your real estate manager. c. Any person ganization having proper tempary custody of your property if you die, but only: (1) With respect to liability arising out of the maintenance use of that property; (2) Until your legal representative has been appointed. BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 9 of 15
d. Your legal representative if you die, but only with respect to duties as such. That representative will have all your rights duties under this policy. 3. With respect to "mobile equipment" registered in your name under any mot vehicle registration law, any person is an insured while driving such equipment along a public highway with your permission. Any other person ganization responsible f the conduct of such person is also an insured, but only with respect to liability arising out of the operation of the equipment, only if no other insurance of any kind is available to that person ganization f this liability. However, no person ganization is an insured with respect to: a. "Bodily injury" to a co-"employee" of the person driving the equipment; b. "Property damage" to property owned by, rented to, in the charge of occupied by you the employer of any person who is an insured under this provision. No person ganization is an insured with respect to the conduct of any current past partnership, joint venture limited liability company that is not shown as a Named Insured in the Declarations. D. Liability And Medical Expenses Limits Of Insurance 1. The Limits of Insurance shown in the Declarations the rules below fix the most we will pay regardless of the number of: a. Insureds; b. Claims made "suits" brought; c. Persons ganizations making claims bringing "suits". 2. The most we will pay f the sum of all damages because of all: a. "Bodily injury", "property damage" medical expenses arising out of any one "occurrence"; b. "Personal injury" "advertising injury" sustained by any one person ganization; is the Liability Medical Expenses limit shown in the Declarations. But the most we will pay f all medical expenses because of "bodily injury" sustained by any one person is the Medical Expenses limit shown in the Declarations. 3. The most we will pay under Business Liability Coverage f damages because of "property damage" to premises while rented to you temparily occupied by you with permission of the owner, arising out of any one fire explosion is the Fire Legal Liability limit shown in the Declarations. 4. Aggregate Limits The most we will pay f: a. Injury damage under the "products completed operations hazard" arising from all "occurrences" during the policy period is the Liability Medical Expenses limit; b. All other injury damage, including medical expenses, arising from all "occurrences" during the policy period is twice the Liability Medical Expenses limit. This limitation does not apply to "property damage" to premises while rented to you temparily occupied by you with permission of the owner, arising out of fire explosion. The Limits of Insurance of this policy apply separately to each consecutive annual period 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 f an additional period of less than 12 months. In that case, the additional period will be deemed part of the last preceding period f purposes of determining the Limits of Insurance. E. Liability And Medical Expenses General Conditions 1. Bankruptcy Bankruptcy insolvency of the insured of the insured's estate will not relieve us of our obligations under this policy. 2. Duties In The Event Of Occurrence, Offense, Claim Or Suit a. You must see to it that we are notified as soon as practicable of an "occurrence" an offense which may result in a claim. To the extent possible, notice should include: (1) How, when where the "occurrence" offense took place; (2) The names addresses of any injured persons witnesses; (3) The nature location of any injury damage arising out of the "occurrence" offense. Page 10 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
b. If a claim is made "suit" is brought against any insured, you must: (1) Immediately recd the specifics of the claim "suit" the date received; (2) Notify us as soon as practicable. You must see to it that we receive written notice of the claim "suit" as soon as practicable. c. You any other involved insured must: (1) Immediately send us copies of any dems, notices, summonses legal papers received in connection with the claim "suit"; (2) Authize us to obtain recds other infmation; (3) Cooperate with us in the investigation, settlement of the claim defense against the "suit"; (4) Assist us, upon our request, in the enfcement of any right against any person ganization that may be liable to the insured because of injury damage to which this insurance may also apply. d. No insured will, except at that insured's own cost, voluntarily make a payment, assume any obligation, incur any expense, other than f first aid, without our consent. 3. Financial Responsibility Laws a. When this policy is certified as proof of financial responsibility f the future under the provisions of any mot vehicle financial responsibility law, the insurance provided by the policy f "bodily injury" liability "property damage" liability will comply with the provisions of the law to the extent of the coverage limits of insurance required by that law. b. With respect to "mobile equipment" to which this insurance applies, we will provide any liability, uninsured motists, underinsured motists, no-fault other coverage required by any mot vehicle law. We will provide the required limits f those coverages. 4. Legal Action Against Us No person ganization has a right under this policy: a. To join us as a party otherwise bring us into a "suit" asking f damages from an insured; b. To sue us on this policy unless all of its terms have been fully complied with. A person ganization may sue us to recover on an agreed settlement on a final judgment against an insured obtained after an actual trial; but we will not be liable f damages that are not payable under the terms of this policy that are in excess of the applicable limit of insurance. An agreed settlement means a settlement release of liability signed by us, the insured the claimant the claimant's legal representative. 5. Separation Of Insureds Except with respect to the Limits of Insurance, any rights duties specifically assigned in this policy to the first Named Insured, this insurance applies: a. As if each Named Insured were the only Named Insured; b. Separately to each insured against whom claim is made "suit" is brought. F. Liability And Medical Expenses Definitions 1. "Advertising injury" means injury arising out of one me of the following offenses: a. Oral written publication of material that slers libels a person ganization disparages a person's ganization's goods, products services; b. Oral written publication of material that violates a person's right of privacy; c. Misappropriation of advertising ideas style of doing business; d. Infringement of copyright, title slogan. BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 11 of 15
2. "Auto" means a l mot vehicle, trailer semitrailer designed f travel on public roads, including any attached machinery equipment. But "auto" does not include "mobile equipment". 3. "Bodily injury" means bodily injury, sickness disease sustained by a person, including death resulting from any of these at any time. 4. "Coverage territy" means: a. The United States of America (including its territies possessions), Puerto Rico Canada; b. International waters airspace, provided the injury damage does not occur in the course of travel transptation to from any place not included in a. above; c. All parts of the wld if: (1) The injury damage arises out of: (a) Goods products made sold by you in the territy described in a. above; (b) The activities of a person whose home is in the territy described in a. above, but is away f a sht time on your business; (2) The insured's responsibility to pay damages is determined in a "suit" on the merits in the territy described in a. above in a settlement we agree to. 5. "Employee" includes a "leased wker". "Employee" does not include a "tempary wker". 6. "Executive officer" means a person holding any of the officer positions created by your charter, constitution, by-laws any other similar governing document. 7. "Impaired property" means tangible property, other than "your product" "your wk", that cannot be used is less useful because: a. It incpates "your product" "your wk" that is known thought to be defective, deficient, inadequate dangerous; b. You have failed to fulfill the terms of a contract agreement; if such property can be rested to use by: (1) The repair, replacement, adjustment removal of "your product" "your wk"; (2) Your fulfilling the terms of the contract agreement. 8. "Insured contract" means: a. A contract f a lease of premises. However, that ption of the contract f a lease of premises that indemnifies any person ganization f damage by fire to premises while rented to you temparily occupied by you with permission of the owner is not an "insured contract"; b. A sidetrack agreement; c. Any easement license agreement, except in connection with construction demolition operations on within 50 feet of a railroad; d. An obligation, as required by dinance, to indemnify a municipality, except in connection with wk f a municipality; e. An elevat maintenance agreement; f. That part of any other contract agreement pertaining to your business (including an indemnification of a municipality in connection with wk perfmed f a municipality) under which you assume the tt liability of another party to pay f "bodily injury" "property damage" to a third person ganization. Tt liability means a liability that would be imposed by law in the absence of any contract agreement. Paragraph f. does not include that part of any contract agreement: (1) That indemnifies a railroad f "bodily injury" "property damage" arising out of construction demolition operations, within 50 feet of any railroad property affecting any railroad bridge trestle, tracks, road beds, tunnel, underpass crossing; (2) That indemnifies an architect, engineer survey f injury damage arising out of: (a) Preparing, approving failing to prepare approve maps, drawings, opinions, repts, surveys, change ders, designs specifications; Page 12 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
(b) Giving directions instructions, failing to give them, if that is the primary cause of the injury damage; (3) Under which the insured, if an architect, engineer survey, assumes liability f an injury damage arising out of the insured's rendering failure to render professional services, including those listed in (2) above supervisy, inspection engineering services. 9. "Leased wker" means a person leased to you by a lab leasing firm under an agreement between you the lab leasing firm, to perfm duties related to the conduct of your business. "Leased wker" does not include a "tempary wker". 10. "Loading unloading" means the hling of property: a. After it is moved from the place where it is accepted f movement into onto an aircraft, watercraft "auto"; b. While it is in on an aircraft, watercraft "auto"; c. While it is being moved from an aircraft, watercraft "auto" to the place where it is finally delivered; but "loading unloading" does not include the movement of property by means of a mechanical device, other than a h truck, that is not attached to the aircraft, watercraft "auto". 11. "Mobile equipment" means any of the following types of l vehicles, including any attached machinery equipment: a. Bulldozers, farm machinery, fklifts other vehicles designed f use principally off public roads; b. Vehicles maintained f use solely on next to premises you own rent; c. Vehicles that travel on crawler treads; d. Vehicles, whether self-propelled not, on which are permanently mounted: (1) Power cranes, shovels, loaders, diggers drills; (2) Road construction resurfacing equipment such as graders, scrapers rollers; e. Vehicles not described in a., b., c. d. above that are not self-propelled are maintained primarily to provide mobility to permanently attached equipment of the following types: (1) Air compresss, pumps generats, including spraying, welding, building cleaning, geophysical explation, lighting well servicing equipment; (2) Cherry pickers similar devices used to raise lower wkers; f. Vehicles not described in a., b., c. d. above maintained primarily f purposes other than the transptation of persons cargo. However, self-propelled vehicles with the following types of permanently attached equipment are not "mobile equipment" but will be considered "autos": (1) Equipment designed primarily f: (a) Snow removal; (b) Road maintenance, but not construction resurfacing; (c) Street cleaning; (2) Cherry pickers similar devices mounted on automobile truck chassis used to raise lower wkers; (3) Air compresss, pumps generats, including spraying, welding, building cleaning, geophysical explation, lighting well servicing equipment. 12. "Occurrence" means an accident, including continuous repeated exposure to substantially the same general harmful conditions. 13. "Personal injury" means injury, other than "bodily injury", arising out of one me of the following offenses: a. False arrest, detention imprisonment; b. Malicious prosecution; c. The wrongful eviction from, wrongful entry into, invasion of the right of private occupancy of a room, dwelling premises that a person occupies, by on behalf of its owner, lld less; BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 13 of 15
d. Oral written publication of material that slers libels a person ganization disparages a person's ganization's goods, products services; e. Oral written publication of material that violates a person's right of privacy. 14. "Products completed operations hazard": a. Includes all "bodily injury" "property damage" occurring away from premises you own rent arising out of "your product" "your wk" except: (1) Products that are still in your physical possession; (2) Wk that has not yet been completed aboned. However, "your wk" will be deemed completed at the earliest of the following times: (a) When all of the wk called f in your contract has been completed. (b) When all of the wk to be done at the job site has been completed if your contract calls f wk at me than one job site. (c) When that part of the wk done at the job site has been put to its intended use by any other person ganization other than another contract subcontract wking on the same project. Wk that may need service, maintenance, crection, repair replacement, but which is otherwise complete, will be treated as completed. The "bodily injury" "property damage" must occur away from premises you own rent, unless your business includes the selling, hling distribution of "your product" f consumption on premises you own rent. b. Does not include "bodily injury" "property damage" arising out of: (1) The transptation of property, unless the injury damage arises out of a condition in on a vehicle not owned operated by you, that condition was created by the "loading unloading" of that vehicle by any insured; (2) The existence of tools, uninstalled equipment aboned unused materials. 15. "Property damage" means: a. Physical injury to tangible property, including all resulting loss of use of that property. All such loss of use shall be deemed to occur at the time of the physical injury that caused it; b. Loss of use of tangible property that is not physically injured. All such loss of use shall be deemed to occur at the time of the "occurrence" that caused it. 16. "Suit" means a civil proceeding in which damages because of "bodily injury", "property damage", "personal injury" "advertising injury" to which this insurance applies are alleged. "Suit" includes: a. An arbitration proceeding in which such damages are claimed to which the insured must submit does submit with our consent; b. Any other alternative dispute resolution proceeding in which such damages are claimed to which the insured submits with our consent. 17. "Tempary wker" means a person who is furnished to you to substitute f a permanent "employee" on leave to meet seasonal sht-term wkload conditions. 18. "Your product" means: a. Any goods products, other than real property, manufactured, sold, hled, distributed disposed of by: (1) You; (2) Others trading under your name; (3) A person ganization whose business assets you have acquired; b. Containers (other than vehicles), materials, parts equipment furnished in connection with such goods products. "Your product" includes: a. Warranties representations made at any time with respect to the fitness, quality, durability, perfmance use of "your product"; b. The providing of failure to provide warnings instructions. "Your product" does not include vending machines other property rented to located f the use of others but not sold. Page 14 of 15 Copyright, Insurance Services Office, Inc., 1997 BP 00 06 01 97
19. "Your wk" means: a. Wk operations perfmed by you on your behalf; b. Materials, parts equipment furnished in connection with such wk operations. "Your wk" includes: a. Warranties representations made at any time with respect to the fitness, quality, durability, perfmance use of "your wk"; b. The providing of failure to provide warnings instructions. BP 00 06 01 97 Copyright, Insurance Services Office, Inc., 1997 Page 15 of 15