HomeMy Public PortalAboutMURA ICRMP Policy`HAR?WELL
CORPORATION
Bonds m Benefits m Insurance m Risk Management
August 28, 2009
McCaII Urban Renewal
216 E. Park St.
McCall, ID 83638
RE: Policy #29A18024100109
Policy Term: 10/01/09 to 10/01/10
Dear Richard:
1220 Cleveland Blvd. 83605
P.O. Box 400
Caldwell, ID 83606-0400
208-459-1678
FAX 208-454-1114
www.thehartwellcorp.com
Thank you for renewing your insurance with The Hartwell Corporation. Your Public Entity
Policy is enclosed, and reflects the coverage you have selected. We have checked it against
our records but ask that you review it, including all inserts and notices.
The new policy term premium is $850.00 to be billed by ICRMP. Payment of the required
premium by the due date indicated on your billing notices will avoid cancellation of coverage
for non-payment.
Let us know if you have any questions or changes to be made. We appreciate your business
and thank you again for the opportunity to assist you with your insurance needs.
Sincerely,
Martin M. Koch, CIC
Account Executive
Sandy Q B9ard
Account Manager
Policy Year 2009-2010
Public Entity
Multi -Lines Insurance Policy
McCaII Urban Renewal
Idaho Counties Risk Management Program, UNDERWRITERS
3100 Vista Ave., Suite 300, Boise, ID 83705 Phone: (208) 336-3100 Fax: (208) 336-2100
ICRMP
PUBLIC ENTITY MULTI -LINES INSURANCE POLICY DECLARATIONS
Issued By
IDAHO COUNTIES RISK MANAGEMENT PROGRAM, UNDERWRITERS
Named Insured:
Address:
McCaII Urban Renewal
216 E Park Street
McCall, Idaho 83638
Policy No.: 29A18024100109
Policy Period: From: October 1, 2009
To: September 30, 2010
Application Date: August 1, 2009
Retroactive January 1, 2004 Member $850
Term: (Section IV Only) Contribution:
THE INSURANCE PROVIDED BY THIS POLICY SUPERSEDES
ALL INSURANCE PREVIOUSLY AFFORDED BY ANY OTHER ICRMP POLICY.
YPES OF COVERAGE
COVERAGE
COVERAGE BASI
DEDUCTIBL
SECTION I - Buildings, Structures and
Personal Property/Automobile Physical
Damage/Operational Disruption
Expense/Valuable Papers & Records
A. Buildings, Structures and Personal
Property;
• Architect's Fees
• Fine Arts
• Ordinance Deficiency
• Preservation of Property
Newly Acquired Property
• Property in Course of Construction
New
Repairs/Renovations of Existing
Service Animals
B. Automobile/Mobile Equipment
Physical Damage
C. Operational Disruption Expense
D. Valuable Papers and Records
Amount Reported in
Schedule of Values
$250,000
$500,000
$5,000,000
$25,000
$10,000,000
$250,000
$1,000,000
$10,000
$1,000,000
$1,000,000
$1,000,000
Per Covered Occurrence
Per covered occurrence or in the
aggregate for multiple
occurrences
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per covered occurrence or in the
aggregate for multiple
occurrences.
Per covered occurrence or in the
aggregate for multiple
occurrences.
* The First $500 of any
Loss. This Deductible is
applicable to Section I,
Coverages A, B, C, and
D.
D-1 ICRMP 29A2010
TYPES OF COVERAGE
LIMITS OF
INDEMNIFICATION
IM aS OF
DEFENSE
COSTS
COVERAGE
BASIS <,DEDUCTIBLE
SECTION II - General Liability and
Premises Medical Payments Insuring
Agreement
A. General Liability
City/County Prosecutors Or
Appointed City Attorneys
serving as Independent
contractors
Sewer Backup Mold & Fungus
Abatement & Remediation
B. Premises and Operations Medical
Payments
C. Law Enforcement Liability
SECTION III - Automobile Liability and
Automobile Medical Payments
A. Automobile Liability (Outside State
of Idaho)
Automobile Liability (Inside State
of Idaho)
B. Automobile Medical Payments
C. Uninsured/Underinsured
Motorists/No Fault
SECTION IV - Errors and Omissions
Insurance
CLAIMS MADE COVERAGE ONLY
A. Errors and Omissions
City/County Prosecutors Or
Appointed City Attorneys
serving as Independent
contractors
B. Employee Medical Insurance
Benefit Liability
For Claims
Brought Pursuant
to Title 6, Ch. 9,
Idaho Code
$ 500,000
$ 500,000
$ 500,000
$ 5,000
$ 100,000
$ 500,000
$ 500,000
$ 500,000
$ 5,000
$ 100,000
$ 500,000
$ 500,000
$ 500,000
$ 500,000
For All Other
Claims
$3,000,000
$ 500,000
$ 500,000
$ 5,000
$ 100,000
$3,000,000
$3,000,000
$500,000
$5,000
$ 100,000
$500,000
$3,000,000
$ 500,000
$3,000,000
For All Liability
Claims
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
$2,000,000
Per Covered
Occurrence
Per Covered
Occurrence
Per Covered
Occurrence
Each Person
Each Accident
Per Covered
Occurrence
Per Covered
Occurrence
Per Covered
Occurrence
Each Person
Each Accident
Per Covered
Occurrence
Per Covered
Occurrence
Per Covered
Occurrence
Per Covered
Occurrence
$0.00
(no deductible)
for Section II,
Coverages
A, B & C.
$0.00
(no deductible)
for Section ID,
Coverages
A, B & C.
* $0.00
(no deductible)
for Section IV,
Coverages
A&B.
5,000,000 Indemnification Limit In the Aggregate Annually For Section II, III and IVCombine
3,000,000 Defense Cost Limit In the Aggregate Annually For Section 11, III and IV Combined
D-2
ICRMP 29A2010
TYPES OF COVERAGE
SECTION V - Crime Insurance
(Including Coverage for Public Officials
in Lieu of Surety Bond Requirements)
A. Employee Dishonesty
B. Loss Inside the Premises
C. Loss Outside the Premises
D. Money Orders and Counterfeit
Paper Currency
E. Depositor's Forgery
LIMITS OF COVERAGE
$ 500,000
$ 500,000
$ 500,000
$ 500,000
$ 500,000
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
Per Covered Occurrence
SECTION VI - Boiler and Machinery
A. Damaged Property
• Off -Premise Property Damage $ 100,000 Per Covered Occurrence
• Data or Media (Property) $ 100,000 Per Covered Occurrence
• Data or Media $ 5,000,000 Per Covered Occurrence
(Bus. Income & Extra
Expense)
• Ammonia Contamination $ 1,000,000 Per Covered Occurrence
• Consequential Loss $ 1,000,000 Per Covered Occurrence
• Hazardous Substance $ 500,000 Per Covered Occurrence
• Water Damage $ 2,500,000 Per Covered Occurrence
• Fungus 15,000 Per Covered Occurrence
B. Expediting Expenses $ 2,500,000 Per Covered Occurrence
C. Business Income and Extra Included in Annual Aggregate Per Covered Occurrence
Expense
D. Spoilage Damage $ 1,000,000 Per Covered Occurrence
E. Utility Interruption $ 2,500,000 Per Covered Occurrence
F. Newly Acquired Premises $ 5,000,000 Per Covered Occurrence
G. Ordinance or Law $ 5,000,000 Per Covered Occurrence
H. Errors and Omissions $10,000,000 Per Covered Occurrence
Overall Aggregate Equipment $100,000,000 In the Aggregate Annually for all
ICRMP Members Collectively.
Breakdown Limit
*
The First $500 of
any Loss. This
Deductible is
applicable to
Section V,
Coverages A, B, C,
D and E.
* The First $500 of
any Loss. This
Deductible is
applicable to
Section VI, All
Coverages.
D-3 ICRMP 29A2010
LIMITS OF LIMITS OF COVERAGE
TYPES OF COVERAGE INDEMNIFICATION DEFENSE BASIS DEDUCTIBLE
COSTS
SECTION VII — Chemical Spraying
Activities Liability, Medical Payments
& Emergency Clean -Up Expenses
CLAIMS MADE COVERAGE ONLY
A. Chemical Spraying Activities
Liability
B. Medical Payments
C. Emergency Clean -Up Expense
$ 500,000 $ 500,000
$ 5,000
$ 10,000
$ 5,000
$ 10,000
Per Covered
occurrence and/or in
the aggregate for
multiple
occurrences.
Each Person
Each Accident
Each Person
Each Accident
NOTICE RE: INSURANCE GUARANTY ASSOCIATION
* $0.00 (no
deductible) for
Section VII,
Coverages A, B & C.
As required by Article 12, Section 4 of the Idaho Constitution and Idaho Code Section 41-3603(10), the
ICRMP Program is not a participant in the Idaho Insurance Guaranty Association. As such, ICRMP
Subscribers are not responsible for the costs of private insurer insolvencies, nor are they or claimants
against them entitled to any of the protections which participation in the Guaranty Association would
provide. This notice is provided in cooperation with the Idaho Insurance Guaranty Association. For
additional information concerning this notice, contact the ICRMP Executive Director at 1-800-336-1985
or Marty Koch at (208) 459-1678.
D-4 ICRMP 29A2010
TABLE OF CONTENTS
TABLE OF DEFINED TERMS ii
GENERAL DEFINITIONS 1
GENERAL INSURING AGREEMENT 2
GENERAL CONDITIONS 3
GENERAL EXCLUSIONS 7
SECTION I — PROPERTY INSURANCE 9
Property Insuring Agreements 9
Definitions Applicable to Property Insuring Agreements 9
Specific Conditions Applicable to Property Insuring Agreements 10
Exclusions Applicable to Property Insuring Agreements 12
SECTION II — GENERAL LIABILITY INSURANCE AND PREMISES AND OPERATIONS MEDICAL
PAYMENTS 15
General Liability and Premises and Operations Medical Payments 15
Definitions Applicable to General Liability and Premises and Operations Medical Payments 15
Specific Conditions Applicable to General Liability and Premises and Operations Medical Payments 16
Exclusions Applicable to General Liability and Premises and Operations Medical Payments 18
SECTION III AUTOMOBILE LIABILITY INSURANCE AND AUTOMOBILE MEDICAL PAYMENTS 20
Automotive Liability Insurance and Automobile Medical Payment Agreements 20
Definitions Applicable to Automotive Liability Insurance and Automobile Medical Payment Agreements, 20
Specific Conditions Applicable to Automotive Liability Insurance and Automobile Medical Payment
Agreements 21
Exclusions Applicable to Automotive Liability Insurance and Automobile Medical Payment Agreements 23
SECTION IV ERRORS AND OMISSIONS INSURANCE 24
Errors and Omissions Insuring Agreement 24
Definitions Applicable to Errors and Omissions Insuring Agreement 24
Specific Conditions Applicable to Errors and Omissions Insuring Agreement 25
Exclusions Applicable to Errors and Omissions Insuring Agreement 25
SECTION V — CRIME INSURANCE 27
Crime Insuring Agreements 27
Definitions Applicable to Crime Insuring Agreements 27
Specific Conditions Applicable to Crime Insuring Agreements 28
Exclusions Applicable to Crime Insuring Agreements 29
SECTION VI — BOILER AND MACHINERY INSURANCE 30
Boiler and Machinery Insuring Agreements 30
Definitions Applicable to Boiler and Machinery Insuring Agreements 30
Specific Conditions Applicable to Boiler and Machinery Insuring Agreements 32
Exclusions Applicable to Boiler and Machinery Insuring Agreements 34
SECTION VII — CHEMICAL SPRAYING ACTIVITIES LIABILITY INSURANCE 38
Chemical Spraying Activities Liability Insuring Agreements 38
Definitions Applicable to Chemical Spraying Activities Liability Insuring Agreements, 38
Specific Conditions Applicable to Chemical Spraying Activities Liability Insuring Agreements 39
Exclusions Applicable to Chemical Spraying Activities Liability Insuring Agreements 39
ENDORSEMENTS E1-E3
Upset and Overturn Endorsement E-1
Terrorism Exclusion Endorsement E-2
Electronic Data Limitation Endorsement E-11
Coverage Territory for Canada Endorsement E-12
Earthquake and Flood Endorsement E-13
Effective 10-1-2009
ICRMP 29A2010
TABLE OF DEFINED TERMS
Insured Automobile Section IV p. • 24
Section III p. • 20 Section VII p.• 39
Accident Damages M
Section II p. • 15 Section II p. • 15 R
Section III p. • 20 Section III p. • 20 Media
Section VII p . •38 Section IV p. • 24 Section VII p. •32 Replacement Cost
Actual cash value Data Medical Expenses Section I p. • 10
Section I p • 9 Section VI p. • 32 Section II p. • 16
Aircraft Dishonest or Section III p. • 21
Section I p. • 9 Fraudulent Acts Section VII p. 39 S
Automobile Section V p. • 27 Messenger
Section I p. • 9 Section V p. • 28 Schedule of Values
Section II p . 15 Mobile Equipment Section I. p.•10
Section III p. • 20 E Section I p. • 9 Stock
Section II p. • 16 Section VI. p.•32
Earthquake Section III p. • 21
B Endorsement
p.E-14 T
Bodily Injury Electronic Data N
Section II p.• 15 Limitation Terrorism
Section III p. • 20 Endorsement Named Insured Terrorism
Section IV p. • 24 p. E-3 General Def. p. •1 Endorsement.
Section VII p. •38 Emergency Clean-up p. •E-2
Breakdown Expense
Section VI p.• 30 Section VII p. • 38 0 U
Business Income Employee
Section VI p.• 31 Section V p. • 27 Occupying Underinsured
Business Income Extra Expense Section III p. • 21 Automobile
Actual Annual Section VI p. • 32 Occurrence Section III p. • 21
Value Section II p. • 16 Uninsured
Section VI p.• 31 Section VII p. • 39 Automobile
Business Income F One Breakdown Section III p. • 21
Estimated Annual Section VI p. • 32
Value First Aid
Section VI p.• 31 Section II p. 16
First Made 1' w
Section IV p.• 24
C Section VII p. 39 Period of
Wrongful Act
Flood Restoration
Chemical Spraying Endorsement Section I10 Sectionfla inp. • 24
p. Wrongful Taking
Activities p. E-13 Section VI p. • 32 Section V p. • 28
Section VII p. • 38 Functional Personal Injury
Claim Replacement Section II p. • 16
Section IV p • 24 Value Section IV p. • 24 y
Completed Section I p. • 9 Section VII p. •39
Operations Pollution Cost or You
Section II p. • 15 Expense General
Computer H Upset and Agreement
Equipment Overturn
Section VI p. 31 Hazardous Endorsement p. • 2
Section III p. • 20
Covered Cause of Substance p. • E-1
Your
Loss Section VI p. 32 Premises General
Section VI p. • 31 Section II p. • 16 Agreement
Covered Equipment Section V p. • 28 p . 2
Section VI p. 31 1 Proof of Loss
Covered Property Section III p. • 21
Section I p. 9 Insured Property Damage
Section VI p. • 32 General Def. p. 1 Section II p. •16
Section III p. • 20 Section III p. • 21
Effective 10-1-2009 ii ICRMP 29A2010
GENERAL DEFINITIONS
Unless otherwise stated, the following definitions are applicable to all Sections and Coverages of this
Policy.
"Insured" means not only the Named Insured, but also:
1. Any elected or appointed official serving as a volunteer or employee of the named insured, as
well as any volunteer or employee of the named insured while acting within the scope of their
duties as such. This does not include any appointed or elected official or employee who is
serving the named insured as an independent contractor.
2. City or County Prosecutors or appointed City Attorneys while serving as Independent
Contractors in the course and scope of their statutory roles.
3. With regard to Section III, Coverage A (Automobile Liability), any person while using an owned
automobile or a hired automobile and any person or organization legally responsible for the
use thereof, provided the actual use of the automobile is by the named insured or with its
permission, and any official of the named insured with respect to the use of non -owned
automobiles in the business of the named insured.
4. With regard to Section III, Coverage's B and C (Automobile Medical Payments and Uninsured/
Underinsured Motorist), anyone occupying an insured automobile with the permission of the
owner.
This Policy, with respect to any person or organization other than the named insured, does not apply:
1. To any person or organization, or to any agent or employee thereof, operating an automobile
sales agency, repair shop, service station, storage garage or public parking place, with respect
to any accident arising out of the operation thereof.
2. To any employee with respect to injury to or sickness, disease or death of another employee of
the same employer injured in the course of such employment in an accident arising out of the
maintenance or use of the automobile in the business of such employer.
3. With respect to any hired automobile, to the owner or a lessee thereof, other than the named
insured, nor to any agent or employee or such owner or lessee.
"Named Insured" means the public entity identified in the Declarations of this Policy.
Effective 10-1-2009 1 ICRMP 29A2010
GENERAL INSURING AGREEMENT
Idaho Counties Risk Management Program, Underwriters (ICRMP) agrees with the insured
named in the Declarations made a part hereof, in consideration of the payment of the member
contribution and in reliance upon the statement of Declarations, and subject to the Limits of Coverage,
conditions, exclusions and other terms of this Policy, as follows.
Throughout this Policy, "we", "us", and "our" mean Idaho Counties Risk Management Program,
Underwriters (ICRMP). "You" and "your" mean the named insured identified in the Declarations of this
Policy.
We will provide the insurance described in this Policy and Declarations if you have paid the member
contribution and have complied with the Policy provisions and conditions. This Policy is divided into
seven Sections, some with multiple coverages. You have only the coverages for which you have paid
member contributions. These types of coverages are indicated in the Declarations and are subject to the
indicated Limits of Coverage.
The liability coverages afforded by this policy to respond for claims for damages brought
pursuant to Title 6, Chapter 9, Idaho Code (the Idaho Tort Claims Act) are expressly limited to five
hundred thousand dollars ($500,000) per occurrence. It is the express intent of ICRMP to limit
exposure and coverage to the limits established by statute. Any reference to liability coverage
amounts in excess of five hundred thousand dollars ($500,000) contained in this policy shall not
apply to claims brought pursuant to the Idaho Tort Claims Act Title 6, Chapter 9, Idaho Code.
Certain provisions in this Policy restrict coverage. The entire Policy should be read carefully
to determine your rights and duties, and to determine what is and is not covered.
Effective 10-1-2009 2 ICRMP 29A2010
GENERAL CONDITIONS
Unless otherwise stated, the following conditions are applicable to ALL Sections of this Policy.
1. Apportionment. In the event a suit alleges a claim which is covered by the terms of this Policy and
a claim which is not covered by the terms of this Policy, our obligation for the costs of defense and
payment of any award or settlement for damages shall be limited to only those sums related to a
covered claim.
2. Assignment. Assignment of interest under this Insurance shall not bind us unless our written
consent is obtained prior to such assignment.
3. Bankruptcy and Insolvency. In the event of bankruptcy or insolvency of you or any entity
comprising you, we shall not be relieved of the payment of any claim by you or against you or the
liquidator, receiver or statutory successor of you under this Policy without diminution because of your
insolvency.
4. Cancellation by Withdrawing Member/Expulsion. This insurance is cancelable by you by sending
written request of cancellation to us. The effective date of the cancellation will be either the date you
requested or the date we received notice, whichever is later. A notice to cancel will be treated as a
Notice to Withdraw from the ICRMP program.
This insurance is available only though faithful participation as a Member of the ICRMP Program. If
you are expelled from the Program, insurance coverage pursuant to this policy is terminated. You
may be expelled from the Program pursuant to the terms and conditions of the JOINT POWERS
SUBSCRIBER AGREEMENT effective as of the date of this Policy.
5. Concealment or Fraud. This Policy is void if it was obtained by misrepresentation, fraud or
concealment of material facts by you or your agent before or after loss.
6. Currency. The member contribution and losses under this Insurance are payable in currency of the
United States.
7. Declarations. By acceptance of this Policy you agree that the Declarations accurately indicate the
coverages you have purchased.
8. Defense of Claims or Suit. We may investigate or settle any covered claim or suit against you.
We will provide a defense with counsel of our choice, at our expense, if you are sued for a covered
claim.
a. With respect to claims or suits involving Section II — General Liability Insurance and Premises
Medical Payments, Section III — Automobile Liability Insurance and Automobile Medical
Payments and Section IV — Errors and Omissions Insurance, our defense costs incurred will not
exceed $2,000,000 per covered claim, subject to $3,000,000 in the aggregate for Sections II, III,
and IV combined for all covered claims that are subject to this Policy's policy period. The "per
covered claim" defense costs amount is the most we will incur regardless whether one or more of
Sections II, III and IV are involved in a single claim, and is in addition to the Limits of
Indemnification shown in the Declarations. Our obligation to defend any claim or suit ends when
either:
(1.) The amount of loss or damages we pay equals the Limit(s) of Indemnification afforded under
this Policy, or
(2.) The defense costs incurred by us equal $2,000,000 per covered claim or the defense costs
incurred by us equal $3,000,000 aggregate for the policy period.
b. Notwithstanding the aforementioned, we will have no duty to investigate or defend any claim,
suit, dispute, disagreement or other proceeding seeking relief or redress in any form other than
money damages, including but not limited to costs, fees, or expenses which any Insured may
become obligated to pay as a result of a consent decree, settlement, adverse judgment for
Effective 10-1-2009 3 ICRMP 29A2010
declaratory relief or injunctive relief. Such denial of investigation or defense includes, but shall
not be limited to any claim, suit, dispute, disagreement or other proceeding:
(1.) By or on behalf of any Insured, whether directly or derivatively, against:
(a.) Any other Insured; or
(b.) Any other federal, state or local governmental entity or politically subdivision;
(2.) By the spouse, child, parent, brother, or sister of any Insured for consequential injury as a
result of any injury to an Insured; or
(3.) Involving any intergovernmental agreement(s) where any Insured is a party to the
agreement(s).
9. Dispute Resolution Procedure. You and we agree that it is in our mutual interest to have a
dispute resolution procedure in order to resolve potential disputes and disagreements as to whether
or not a claim is covered by the terms and conditions of this Policy. You and we agree that the
dispute resolution procedure as set out in the JOINT POWERS SUBSCRIBER AGREEMENT
currently in force as of the date of this Policy shall apply to resolve any potential disputes and
disagreements as to coverage
a. Inapplicable to Certain Disputes and Disagreements.
(1) These dispute resolution procedures do not apply to the Appraisal condition set forth in the
Specific Conditions Applicable to the Property Insuring Agreements in, Section I of this
Policy, or the Arbitration condition set forth in the Specific Conditions Applicable to the
Automobile Insuring Agreements set out in, Section III of this Policy.
(2) These Dispute Resolution Procedures do not apply in any way to our decisions regarding
claim settlement, claim payment or nonpayment, or the claim investigation process.
10. Duties After Occurrence, Claim or Suit.
a. You must see to it that we are notified as soon as practicable of an occurrence which may
reasonably result in a claim. To the extent possible, notice should include:
(1) How, when and where the occurrence, claim or suit took place.
(2) The names, addresses and telephone numbers of any injured persons and witnesses.
(3) The nature and location of any injury or damage arising out of the occurrence, claim or suit.
b. If a claim is made or suit is brought against any insured, you and any involved insured must:
(1) Immediately send us copies of any claims, demands, notices, summonses or legal papers
received in connection with the claim or suit.
(2) See that we receive written notice of the claim or suit as soon as practicable.
(3) Authorize us to obtain records and other information, and submit to a sworn statement, if
requested.
(4) Cooperate with us in the investigation, or defense of the claim or suit, including but not limited
to, attendance at hearings and trials, securing and giving evidence, and obtaining the
attendance of witnesses.
(5) Assist us, upon our request, in the enforcement of any right against any person or
organization which may be liable to you because of injury or damage to which this Insurance
may also apply.
Effective 10-1-2009 4 ICRMP 29A2010
c. You shall not, except at your own cost, voluntarily make a payment, assume any obligation, or
incur any expense, other than for first aid, without our consent.
d. Your failure to comply with the foregoing duties shall constitute a material breach deemed
prejudicial to us, thereby entitling us to refuse any coverage for the occurrence, claim or suit; or
any duties arising therefrom.
11. Entire Agreement. This policy, when read in concert with the Joint Powers Subscriber Agreement,
embodies the entirety of the agreement existing between you and us relating to this Insurance. You
acknowledge that the independent insurance agent responsible for maintaining information about
your insurance needs has no power to bind ICRMP to provide insurance coverage beyond that
expressed in this Policy and its attendant Declarations.
12. Fraudulent Claims. If you make any claim knowing the same to be false or fraudulent, as regards
amount or otherwise, this Policy shall become void and all claims hereunder shall be forfeited.
13. Inspections, Audit and Verification of Values. We shall be permitted, but not obligated, to review
or inspect your property, operations, records, and books, at any reasonable time. Neither our right to
make inspections or conduct reviews, nor the making thereof, nor any report thereon, shall constitute
an undertaking on behalf of or for the benefit of you or others, to determine or warrant that such
property or operations are safe or the accuracy of the values stated by you in your application. It is
solely your responsibility to disclose accurate statements of value.
14. Loss Payments. When it has been determined that we are liable under this Policy, we shall pay
losses in excess of the Deductible up to the Limits of Coverage stated in the Declarations. Our
obligation to make loss payments shall not arise until the amount thereof has been finally
determined.
15. Mitigation. In the event of a loss covered under this Policy, you must take all reasonable steps to
prevent further loss or damage.
16. No Benefit to Bailee. We will not recognize any assignment or grant any coverage for the benefit of
any person, entity, or organization holding, storing or transporting your property, regardless of any
other provision of this Policy.
17. Non -stacking of Insurance Benefits. No individual or entity entitled to coverage under any section
of this Policy shall recover duplicate coverages for the same elements of loss under other sections of
this Policy, or other policies written by us. Any claim which transcends more than one policy period
shall be subject to the Policy limits set forth in the Declaration of the Policy which covers the date of
the earliest actionable event, which gives rise to the claim.
18. Notice of Member contribution or Coverage Changes.
a. We will mail or deliver to the named insured, at the last known mailing address, written notice of
the following at least thirty (30) days prior to the expiration date of this Policy:
(1) A total member contribution increase greater than ten percent (10%) which is the result of a
comparable increase in member contribution rates.
(2) Changes in Deductibles.
(3) Reductions in Limits.
(4) Reductions in Coverage.
b. If we fail to provide such thirty (30) day notice, the coverage provided to you shall remain in effect
until thirty (30) days after such notice is given or until the effective date of replacement coverages
obtained by you, whichever occurs first.
c. For purposes of this provision, notice is considered given thirty (30) days following date of mailing
or delivery of the notice to the named insured. Proof of mailing of notice of cancellation to the
last known mailing address of the named insured shall be sufficient proof of notice.
Effective 10-1-2009 5 ICRMP 29A2010
19. Other Insurance. If you have other insurance (whether primary, excess or contingent), against loss
covered by this Insurance, we shall be liable, under the terms of this Insurance, only as excess of
other valid and collectible insurance. Notwithstanding the foregoing, you may purchase insurance
specifically in excess of this Insurance. Such excess insurance shall not be considered 'other
insurance" for purposes of this condition.
20. Reporting Property on Your Schedule of Values. Coverage is conditioned upon information being
entered into the ICRMP e-Agent system by your agent. It is the responsibility of the independent
insurance agent to enter information into the ICRMP e-Agent system. It is the responsibility of you to
report the required information to your agent.
21. Salvage. Payments received from the sale of your damaged property as salvage will be applied
toward the amount we have paid to replace your damaged property.
22. Subrogation/Recovery/Right of Reimbursement. If we make payment under this Policy to you or
on your behalf, and you or the person or entity for whom payment was made has a right to recover
damages, we will be subrogated to that right. You must do whatever is necessary to enable us to
exercise our rights and must do nothing after the loss to prejudice our rights. We may prosecute an
action or pursue other lawful proceedings in your name for the recovery of these payments, and you
must cooperate and assist us at our request. Recoveries made on your behalf must first be applied
to amounts we have paid on your behalf including both indemnity payments and expenses we have
incurred in handling your claim.
23. Suit Against Us. No action shall be brought against us by you unless there has been full
compliance with all pertinent provisions of this Policy. No one shall have any right to join us as a
party to any action against an insured. No action may be brought against us by a non-insured with
respect to any liability coverages.
24. Terms of Policy to Conform to Statutes. In the event any terms of this Policy are determined to
be in conflict with the statutes of the State of Idaho, they are hereby amended to conform to such
statutes.
25. Territory. The insurance provided by this policy and its extensions and endorsements applies to
occurrences only within the fifty (50) states of the United States of America, the District of Columbia,
the United States Virgin Islands and Puerto Rico.
Effective 10-1-2009 6 ICRMP 29A2010
GENERAL EXCLUSIONS
Unless otherwise stated, these exclusions are applicable to ALL Sections of this Policy.
1. Civil and Criminal Penalties. This Policy does not cover any claim, loss or damage resulting from
any civil and criminal penalties imposed or provided for pursuant to any federal, state, or local law,
statute, ordinance, or regulation, however characterized.
2. Claims by Members against Past or Present Public Officials. This policy does not cover the
interest of any past or present employee, elected official, or agent arising out of any claim for money
damages, monetary reimbursement or specific performance brought against such employee, elected
official or agent by the Member political subdivision by whom the public official, employee, elected
official or agent was employed or retained. Also excluded are those claims brought by an elected
official, or by one appointed to fill an elected position for a named insured against another official of
the same named insured, or the named insured itself, arising out of a dispute or interpretation
involving the relative governmental authority of the elected officials of the named insured.
3. Contractual Liability. This Policy does not cover any personal injury, property damage, or any
other claimed loss, however characterized, arising directly or indirectly from the performance or
nonperformance of terms of a contract, whether written, oral or implied, excepting, however,
employment contract claims premised upon implied contracts pursuant to Section IV (Errors &
Omissions).
This Policy does not provide coverage for the interests of the State of Idaho or the United States
Government, or their officers, agents, employees, volunteers, officials or trustees, for their conduct
and activities arising out of or in any way related to any written, oral or implied contract or agreement
with you, or otherwise. Each governmental entity shall be responsible for its own conduct and
activities under any covered contract.
This Policy does provide coverage with respect to Section II, Coverage C (Law Enforcement Liability)
of this Policy, for liability assumed by written intrastate mutual law enforcement assistance
agreements between political subdivisions in accordance with the terms and conditions of that
coverage.
4. Course and Scope. This Policy does not cover any personal injury or property damage resulting
from an act or omission outside the course and scope of employment or any act performed with
malice or criminal intent. This exclusion applies regardless of whether any insured is actually
charged with, or convicted of, a crime.
5. Nuclear Incident. This Policy does not cover any personal injury, property damage, or other
claims arising directly or indirectly from nuclear reaction, radiation, or radioactive contamination,
however caused or characterized, including any loss or damage by fire resulting therefrom.
6. Punitive Damages. This Policy does not cover any claim, loss or damage for exemplary or punitive
damages, however characterized.
7. War or Civil Disturbance. This Policy does not cover any claim, loss or damage arising directly or
indirectly from, by, happening through or in consequence of war, invasion, acts of terrorism, acts of
foreign enemies, any weapon of war employing atomic fission or radioactive force (whether in time of
peace or war), hostilities (whether war be declared or not), civil war, rebellion, revolution, insurrection,
military or usurped power, confiscation or nationalization or requisition or destruction of or damage to
property by or under the order of any government or public or local authority unless such acts of
destruction by order of civil authority are at the time of and for the purpose of preventing spread of
fire; or claims or liability arising directly or indirectly from nuclear fission, nuclear fusion or radioactive
contamination.
8. Intergovernmental claims. This policy does not cover any claim alleging loss or damage, arising or in
any way related to a dispute or disagreement between an ICRMP member and another governmental
entity, including another political subdivision, a state or the government of the United States about the
respective authority of public agencies to use governmental powers, irrespective of the style or nature
of such claim. Without exception, this policy does not provide coverage that addresses disputes or
Effective 10-1-2009 7 ICRMP 29A2010
disagreements concerning the exercise of powers and authority of governmental entities whether
damages are claimed as a result of such dispute or disagreement. Additionally, no coverage shall be
afforded to claims of loss or damage between an ICRMP member and another governmental entity
wherein there has been no accident or allegation of actual bodily injury.
9. Pollution. This Policy does not cover any injury, loss, damage, costs, fines, penalties, or expenses of
any kind directly or indirectly arising out of the actual, alleged or threatened existence, discharge,
dispersal, release or escape of pollutants or negligence resulting therefrom:
a. At or from premises you now, or in the past, have owned, rented, or occupied, including but not
limited to premises that you have operated or managed as an involuntary possessor.
b. At or from any site or location used by or for you or others for the handling, storage, disposal,
processing or treatment of waste at any time.
c. Which are at any time involving the transportation, handling, storage, treatment, disposal, or
processing by or for you or any person or organization for whom you may be legally responsible.
d. At or from any site or location on which you or any contractors or subcontractors working directly
or indirectly on your behalf are performing operations:
(1) If the pollutants are brought on or to the site or location in connection with such operations.
(2) If the operations are to test for, monitor, clean up, remove, contain, treat, detoxify or
neutralize the pollutants.
e. Whether caused or alleged to have been caused by the named insured or any other person,
entity, or third -party, however characterized.
In addition, this Policy does not cover any loss, costs, expenses, fines, or penalties arising out of any
direction, request, or order of any governmental agency, court of law, or other authority, that you test for,
monitor, clean up, remove, contain, treat, detoxify or neutralize pollutants, including any and all costs or
attorneys fees associated therewith.
This policy does not cover claims arising out of the failure of the named insured to prevent or
regulate pollutants generated or caused by any other person, entity, or third -party, however
characterized.
Pollutants means any solid, liquid, gaseous, or thermal irritant or contaminant, including smoke,
vapor, soot, fumes, acids, alkalis, chemicals, metals and waste. Waste includes materials to be recycled,
reconditioned or reclaimed. This exclusion shall not apply to tear gas or mace.
This is an absolute pollution exclusion. It is the intention of you and we that there is
absolutely no coverage arising out of or relating to pollutants, however characterized or
defined.
Effective 10-1-2009 8 ICRMP 29A2010
SECTION I - PROPERTY INSURANCE
Property Insuring Agreements
COVERAGE A. Buildings, Structures, and Personal Property. We agree, subject to the terms and
conditions of this Coverage, to pay you, or on your behalf, for direct accidental physical loss of or direct
accidental physical damage to your covered property, during the Policy Period.
COVERAGE B. Mobile Equipment and Automobile Physical Damage. We agree, subject to the terms and
conditions of this Coverage, to pay you, or on your behalf, for direct accidental physical loss of or direct
accidental physical damage to any automobile or mobile equipment owned by the named insured; or any
automobile or mobile equipment for which the named insured has an obligation to provide adequate
insurance during the Policy Period.
COVERAGE C. Operational Disruption Expense. We agree, subject to the terms and conditions of this
Coverage, to pay you, or on your behalf, costs incurred by you in order to continue as nearly as practicable the
normal operation of your public entity immediately following damage to covered property arising out of a
covered loss during the period of restoration under Coverage A of Section I of this Policy during the Policy
Period. This includes the loss, if any, of income, net of expenses, incurred during the period of restoration of
the operation of the public entity.
COVERAGE D. Valuable Papers and Records. We agree, subject to the terms and conditions of this
Coverage, to pay you, or on your behalf, for direct accidental physical loss of or direct accidental physical
damage to valuable papers and electronic data following damage to covered property arising out of a covered
loss under Coverage A of Section I of this Policy during the Policy Period. You may extend this coverage to
apply to the costs to research, replace, or restore records which exist on electronic or magnetic media for which
duplicates do not exist.
Definitions Applicable to Property Insuring Agreements
The following definitions are applicable to the Property Insuring Agreements of this Policy:
1. "Actual cash value" means the cost of replacing damaged or destroyed property with comparable
new property, minus depreciation and obsolescence.
2. "Aircraft" means any machine capable of sustained atmospheric flight.
3. "Automobile" means a motorized land vehicle, trailer or semi -trailer principally licensed and
designed for travel on public roads. "Automobile" does not include "mobile equipment'.
4. "Covered Property" means your buildings and structures, building contents, leasehold
improvements, buildings and structures in the course of construction, personal property, automobiles
and mobile equipment listed on the Schedule of Values. It also means personal property and
mobile equipment of others that are in your care, custody or control, leased buildings and structures,
but only for the portion which you occupy and in which you have an insurable interest at the time of
the loss listed on the Schedule of Values. Items placed on the Schedule of Values will not be
covered if excluded elsewhere by this policy.
5. "Functional Replacement Cost" means the cost of replacing damaged property with similar
property that will perform the same function but may not be identical to the damaged property.
6. "Mobile Equipment" means equipment that is on wheels or tracks and is not licensed or principally
designed for travel on public roads and is self-propelled or specifically designed to be attached to or
pulled by a vehicle and identified in your Schedule of Values. Mobile Equipment also includes
watercraft thirty (30) feet and under in length.
Effective 10-1-2009 9 ICRMP 29A2010
7. "Period of Restoration" means that period of time that begins with the date of the direct physical
loss of or direct physical damage to covered property and ends with the date when such part of the
covered property as has been lost or damaged could, with the exercise of due diligence or dispatch,
be rebuilt, or replaced.
8. "Replacement Cost" means the cost to repair, rebuild or replace with new materials of like kind, size
and quality, without deduction for depreciation.
9. "Schedule of Values" means those values identifying covered property as entered into the ICRMP
e-Agent database by the member's agent and kept on file with us.
Specific Conditions Applicable to Property Insuring Agreements
The following conditions are applicable to the Property Insuring Agreements of this Policy.
1. Appraisal. If you and we fail to agree on the amount of loss, either one can demand that the amount
of loss be set by appraisal. If either makes a written demand for appraisal, each shall select a
competent, independent appraiser, and notify the other of the appraiser's identity within twenty-one
(21) days of receipt of the written demand. The two appraisers shall then select a competent,
impartial umpire. If the two appraisers are unable to agree upon an umpire within fourteen (14) days,
you or we can ask a district judge in the State of Idaho to select an umpire. The appraisers shall then
set the amount of the loss. If the appraisers submit a written report of an agreement to us, the
amount agreed upon shall be the amount of the loss. If the appraisers fail to agree within fourteen
(14) days, they shall submit their differences to the umpire. Written agreements signed by any two of
these three shall set the amount of the loss within seven (7) days. Any such decision resulting from
the appraisal process shall be final and binding upon you and us, and shall not be subject to judicial
review or appeal, except upon a showing of fraud, misrepresentation or other undue means. Each
appraiser shall be paid by the party selecting that appraiser. Other expenses of the appraisal and the
compensation of the umpire shall be shared equally by you and us.
2. Architects' Fees. Architects' fees are limited to seven percent (7%) of the loss to a maximum of
$250,000 per occurrence whichever is smaller.
3. Automobiles and Mobile Equipment that is leased or rented.
a. Automobiles that are leased or rented to an insured, for less than ninety (90) days, and used for
official business, are covered under the last clause under Coverage B, Mobile Equipment and
Automobile Physical Damage and are not required to be listed on the Schedule of Values.
b. Mobile Equipment that is leased or rented to an insured, for less than ninety (90) days, and
used for official business, is covered under Coverage B, Mobile Equipment and Automobile
Physical Damage and is not required to be listed on the Schedule of Values.
4. Automobiles Owned by Employees or Authorized Volunteers. Automobiles owned by
employees or authorized volunteers of the named insured are provided secondary physical damage
coverage while the automobiles are being used by the employee or authorized volunteers on official
business of the named insured. Coverage provided by this condition shall be deemed secondary to
the coverage of the employee or authorized volunteers' personal insurance, which shall be primary
insurance. The intent of this special condition shall not be interpreted to extend coverage to
automobiles owned by other public or private entities, which are made available to the named
insured or its employees. For these non -owned automobiles, the terms and conditions already
contained in the Policy shall apply.
a. This Specific Condition does not apply to automobiles or mobile equipment owned by
authorized volunteers engaged in search and rescue activities. These coverages are intended to
be primary insurance for search and rescue volunteers only when actively participating in search
and rescue mobilizations initiated by the named insured.
Effective 10-1-2009 10 ICRMP 29A2010
5. Civil Authority. Property which is insured under this Coverage is also covered against 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 war, invasion, revolution, rebellion, insurrection or other hostilities or warlike operations.
6. Debris Removal. This Coverage covers up to 25% of the amount of property damage loss
otherwise payable for any one "occurrence" under Coverage Part A for the expenses of removing
debris remaining after any loss thereby insured against, except that there shall be no liability for the
expense of removal of any foundations.
7. Newly Acquired Property: All newly acquired property shall be reported to us within (90) days in
order for coverage to continue and shall be limited to $10,000,000 until such time reported to us
within (90) days. Newly acquired property shall be valued in accordance with the criteria established
in the Valuation of Loss condition below.
8. Operational Disruption Expense. We shall not be liable for any Operational Disruption Expense
exceeding the period of restoration. We will pay up to $1,000,000 for any one occurrence or in the
aggregate for multiple occurrences under this policy.
9. Ordinance Deficiency. In the event of a covered loss, we shall be liable for additional cost not to
exceed $5,000,000 occasioned by the enforcement of any state or municipal law, ordinance or code,
which necessitates repairing, rebuilding, or replacement of covered property to meet such
requirements, provided such repairing, rebuilding or replacement is 1.) complete, or 2.) commences
and is continuing within twenty-four (24) months of the date of loss. If demolition is required to comply
with such requirement, we shall be liable for such additional costs, except as provided in the debris
removal provision above. The provisions of these conditions shall not, in any event, apply to
increased costs due to the enforcement of compliance with pollution statutes, ordinances or laws,
whether local, state or federal in nature.
10. Preservation of Property. If it is necessary to move covered personal property from the described
premises to preserve it from loss or damage, we will pay up to $25,000 for direct physical loss or
damage to that property while it is being moved or while temporarily stored at another location. We
shall be liable for reasonable expenses incurred to minimize insured loss, but any payment under
this provision shall not serve to increase the Limits of Coverage that would otherwise apply at the
time and place of loss, nor shall such expenses exceed the amount by which the loss is reduced.
11. Property in the Course of Construction. New construction of buildings, including equipment,
machinery, tools, materials or supplies intended for use in the construction of such property shall be
covered up to $250,000 for each building as listed per the Schedule of Values. Repairs or
renovations of existing buildings or structures listed on the Schedule of Values and that you have an
insurable interest in at the time of loss shall be covered up to $1,000,000.
12. Schedule of Values. Covered property need not be identified in the Schedule of Values if the
individual value of the item is less than $5,000. It is your responsibility, working with your
independent insurance agent, to make sure all covered property valued over $5,000 is listed on your
Schedule of Values. We will pay up to 50% of the repair or functional replacement cost,
whichever is less, for items inadvertently omitted on your Schedule of Values up to a per
occurrence limit and annual aggregate limit of $1,000,000.
13. Valuable Papers and Records. The maximum amount we will pay under Coverage D of this policy
section or any one occurrence or in the aggregate for multiple occurrences is $1,000,000.
14. Valuation of Loss.
a. Building and structures— We shall not be liable for loss or damage in excess of 125% of the total
values per location as reported in the Schedule of Values, which you have submitted to us in
accordance with the conditions described below:
(1) If property damaged or destroyed is not repaired, rebuilt or replaced on the same or another
site within two (2) years after the loss or damage, we shall not be liable for more than the
Effective 10-1-2009 11 ICRMP 29A2010
actual cash value as of the date of loss (ascertained with proper deduction for depreciation)
of the property destroyed.
(2) Our total liability under this Coverage for loss of property covered herein shall not exceed the
least of the following:
(a) The cost to repair; or
(b) The cost to rebuild or replace, calculated as of the date of the loss, on the same site,
with materials that are functionally equivalent, or
(c) The actual expenditure incurred in rebuilding, repairing or replacing on the same or
another site.
b. Building Contents -- at replacement cost of the damaged or destroyed covered property.
c. Automobile and Mobile Equipment —not to exceed the amount listed on the Schedule of Values
or at functional replacement cost, whichever is less, up to a maximum of $1,000,000.
d. Stock in process -- at the value of raw material and labor expended plus the proper proportion of
overhead charges.
e. Finished goods manufactured by you -- at the regular cash -selling price at the location where the
loss occurs, less all discounts and charges to which the property would have been subject had no
loss occurred.
f. Property of others — (1) at the amount for which you are liable, but in no event to exceed the
replacement cost value or (2) fine arts on display at the appraised value and included as contents
or listed separately on the Schedule of Values.
g. Leased buildings, leasehold improvements and betterments -- at replacement cost, if actually
replaced within two (2) years after the loss or damage; if not so replaced, at actual cash value on
date of loss.
h. Accounts, manuscripts, mechanical drawings and other records and documents not specifically
excluded -- at value plus cost of transcribing.
i. Fine arts -- at the appraised value of the article to a maximum of $500,000 per occurrence or in the
aggregate for multiple occurrences.
Exclusions Applicable to Property Insuring Agreements
A. Excluded Losses. We do not cover losses under the Property Insuring Agreements resulting directly
or indirectly from:
1.With Regard to all Property:
a. Loss or damage more specifically covered under any other Section of this Policy.
b. Moth, vermin, termites, or other insects; inherent vice; latent defect; wear, tear or gradual
deterioration; and contamination, rust, wet or dry rot, mold, dampness of atmosphere, smog or
extremes of temperature.
c. Settling, shrinkage or expansion of building or foundation.
d. Loss of use, delay, loss of markets or opportunity.
e. Breakdown or derangement of any machinery, unless an insured peril ensues, and then only
for the actual loss or damage caused by such ensuing peril.
f. Smog, acid rain, dampness of atmosphere or variations of temperature.
Effective 10-1-2009 12 ICRMP 29A2010
9.
Electrical appliances, devices, fixtures or wiring caused by artificially generated electrical
current, unless fire or explosion ensues, and then only for the actual loss or damage caused
by such ensuing fire or explosion.
h. Inventory shortage, mysterious disappearance or loss resulting from any kind of infidelity,
dishonesty by you or any of your employees, whether alone or in collusion with others.
i. An act or omission intended or reasonably expected from the standpoint of any insured to
cause property damage. This exclusion applies even if the property damage is of a different
kind or degree than that intended or reasonably expected.
J.
Any fraudulent, dishonest, or criminal act by any employee or authorized representative of the
named insured while acting alone or in collusion with others.
k. Theft, attempted theft, water damage, building glass breakage, sprinkler leakage, vandalism,
and any other loss or damage to a building or its contents which has been vacant for more
than ninety (90) consecutive days, including the date of the loss.
I. Fungi. This policy does not cover any claim made under Section 1 — Property Insurance
arising directly or indirectly from fungi including claims for the cost to clean up, remove,
remediate, or test for the presence or effects of fungi. Fungi means any form of fungi including
but not limited to, yeast, mold, mildew, rust, smut, mushroom, spores, mycotoxins, or any
other substances, odors, or byproducts arising out of the current or past presence of fungi.
2. With Regard to Buildings and Structures:
a. Cracking, bulging, expansion of pavements, foundations, walls, floors, ceilings or roofs, unless
one or more of the walls or roofs of the building or structure are physically broken and falls to a
lower level.
b. Extremes or changes of temperature (except to water piping or space heating equipment due
to freezing) or changes in relative humidity, regardless of whether or not atmospheric.
c. Any increase of loss due to interference with rebuilding, repairing, or replacing a building, or
with the resumption or continuation of business.
d. Any increase of loss due to the suspension, lapse or cancellation of any lease or license,
contract or order.
3.With Regard to Property in Course of Construction:
a. Loss or damage to property caused by or resulting from errors in design or testing of that
property, except resultant physical loss or damage to other property insured by this
Coverage.
b. The repair or replacement of faulty or defective workmanship, material, or construction,
except resultant physical loss or damage to other property insured by this Coverage.
c. Penalties for non -completion of or delay in completion of contract or non-compliance with
contract conditions, nor for loss of use of occupancy, however caused.
4.With Regard to Personal Property:
a. Shrinkage, evaporation, loss of weight, leakage, depletion, erosion, marring, scratching,
exposure to light or change in color, texture or flavor. This exclusion shall not apply if such
loss or damage is caused directly by fire or by the combating thereof, lightning, wind storm,
hail, explosion, strike, riot or civil commotion, aircraft, vehicles, breakage of pipes or
apparatus, sprinkler leakage, vandalism and malicious mischief, and theft or attempted theft.
b. Mechanical derangement, inherent vice, or latent defect.
Effective 10-1-2009 13 ICRMP 29A2010
c. Processing, renovating, repairing or faulty workmanship, unless fire or explosion ensues, and
then only for direct loss or damage caused by such ensuing fire or explosion.
B. Excluded Property. We do not cover physical loss or physical damage to the following property:
1. All animals and birds, except service animals that are identified on your Schedule of Values. For
those identified service animals, our liability for such loss shall not exceed the amount listed in the
Schedule of Values or $10,000, whichever is less, for injury, sickness or death.
2. Land and water.
3. Aircraft.
4. Watercraft over (thirty) (30) feet in length.
5. Standing timber, trees, lawns, shrubs, plants and growing crops.
6. Retaining walls not constituting part of a building when loss is caused by ice or water pressure.
7. Underground mines and mining property located below the surface of the ground.
8. Any property undergoing insulation breakdown tests.
9. Money, notes or securities.
10. Jewelry, furs, precious metals or precious stones, other than as covered under Section V of this
Policy.
11. Personal property of anyone other than the named insured, unless required as a condition of
employment.
12. Any property located in a building which has been vacant for more than ninety (90) consecutive
days, including the date of the loss.
13. Dams, canals, retaining ponds and ditches.
14. Roadways, highways, streets, bridges, and guardrails, however characterized.
15. Underground pipes.
16. Any mobile equipment, automobile, watercraft or other property while participating in any
prearranged or organized racing, speed or demolition contest or in any stunting activity or in
practice or preparation for any such contest or activity.
17. Overhead transmission and distribution lines, including wire, cables, poles, pylons, standards,
towers or other supporting structures which may be attendant to the transmission and/or
distribution of electrical power and/or telephone communications, but this exclusion shall not
apply to such property which is located on the Insured's premises or within one thousand (1,000)
feet thereof.
Effective 10-1-2009 14 ICRMP 29A2010
SECTION II -
GENERAL LIABILITY INSURANCE AND PREMISES MEDICAL
PAYMENTS
General Liability and Premises Medical Payments Insuring Agreements
COVERAGE A. General Liability. We agree, subject to the terms and conditions of this Coverage, to pay on
your behalf those sums which you become legally obligated to pay as damages for personal injury or property
damage which arise out of an occurrence during the Policy Period.
COVERAGE B. Premises and Operations Medical Payments. We agree, subject to the terms and
conditions of this Coverage, to pay medical expenses incurred during the Policy Period for such immediate
medical and surgical relief to others, except any insured, as shall be necessary at the time of an occurrence on
account of bodily injury sustained on premises owned or rented by you, or arising out of your operations with
your knowledge and consent.
COVERAGE C. Law Enforcement Liability. We agree, subject to the terms and conditions of this Coverage,
to pay on your behalf all sums which you become obligated to pay by reason of errors, omissions, or negligent
acts arising out of the performance of your duties while providing law enforcement services or the administration
of first aid resulting in personal injury or property damage during the Policy Period.
Definitions Applicable to General Liability and
Premises Medical Payments Insuring Agreements
The following definitions are applicable to the General Liability and Premises Medical Payments Insuring
Agreements of this Policy:
1. "Accident" means an unexpected happening without intention or design.
2. "Automobile" means a motorized land vehicle, trailer or semi -trailer principally licensed and
designed for travel on public roads.
3. "Bodily Injury" means physical injury to any person, including death or sexual molestation, and any
mental anguish or mental suffering associated with or arising from such physical injury.
4. "Completed Operations" means bodily injury or property damage arising out of operations or
reliance upon a representation or warranty made at any time with respect thereto, but only if the
bodily injury or property damage occurs after such operations have been completed or abandoned
and occurs away from premises owned by or rented to the named insured. Operations include
materials, parts or equipment furnished in connection therewith. Operations shall be deemed
completed at the earliest of the following times:
a. When all operations to be performed by or on behalf of the named insured under the contract
have been completed, or
b. When all operations to be performed by or on behalf of the named insured at the site of the
operations have been completed, or
c. When the portion of the work out of which the injury or damage arises has been put to its intended
use by any person or organization other than another contractor or subcontractor engaged in
performing operations for a principal as a part of the same project.
Operations which may require further service or maintenance work, or correction, repair or
replacement because of any defect or deficiency, but which are otherwise complete, shall be deemed
completed.
5. "Damages" means monetary damages awarded through judgment in a court proceeding or through
settlement agreed to by us to compensate a claimant for harm suffered.
Effective 10-1-2009 15 ICRMP 29A2010
6. "First Aid" means the rendering of emergency medical treatment at the time of an accident and only
when other licensed medical professional care is not immediately available.
7. "Medical Expenses" means expenses for necessary medical, surgical, x-ray and dental services,
ambulance, hospital, professional nursing and funeral services.
8. "Mobile Equipment" means equipment that is on wheels or tracks and is not licensed or principally
designed for travel on public roads and is self-propelled or specifically designed to be attached to or
pulled by a vehicle.
9. "Occurrence" means an accident or a continuous or repeated exposure to conditions which result in
personal injury or property damage during the Policy Period. All personal injuries to one or more
persons and/or property damage arising out of an accident or a continuous or repeated exposure to
conditions shall be deemed one occurrence. Coverage for personal injury arising out of sexual
molestation shall be covered as one occurrence and all damages shall be deemed to have occurred
at the time the initial act is committed whether committed by one perpetrator or two or more
perpetrators acting in concert regardless of the number of incidents of sexual molestation taking place
after the initial incident. This insurance does not apply to any insured that has been found to
have committed a criminal act involving sexual molestation.
10. "Personal Injury" means bodily injury, mental anguish, shock, sickness, disease, disability,
wrongful eviction, malicious prosecution, humiliation, invasion of rights of privacy, libel, slander or
defamation of character, piracy and any infringement of copyright of property, erroneous service of
civil papers, assault and battery and disparagement of property. As respects Coverage C only,
personal injury shall also mean false arrest, false imprisonment, detention, unlawful discrimination
and violation of civil rights arising out of law enforcement activities.
11. "Premises" means any real property or land possessed and controlled by the entity in its capacity as
a possessor.
12. "Property Damage" means physical damage to or destruction of tangible property, including loss of
use resulting from such physical damage or destruction.
Specific Conditions Aaalicable to General Liability and
Premises Medical Payments Insuring Agreements
The following conditions are applicable to the General Liability and Premises Medical Payments Insuring
Agreements of this Policy:
1. Completed Operations. Coverage A of this Section includes coverage for operations or reliance
upon representations or warranties made at any time with respect to such operation, but only if the
damage occurs after such operation has been completed or abandoned, and occurs away from
premises owned by or rented to the named insured. Operations include materials, parts, or
equipment furnished in connection therewith. Operations shall be deemed completed at the earliest
of the following times:
a. When all operations to be performed by or on behalf of the named insured under the contract
have been completed.
b. When all operations to be performed by or on behalf of the named insured at the site of the
operation have been completed.
c. When the portion of the work out of which the injury or damage arises has been put to its intended
use by any person or organization other than another contractor or subcontractor engaged in
performing an operation for a principal as a part of the same project.
Operations which may require further service or maintenance work, or correction, repair or
replacement because of any defect or deficiency, but which are otherwise complete, shall be deemed
completed.
Effective 10-1-2009 16 ICRMP 29A2010
2. Hostile Fire and Fire Suppression Liability. Coverage A of this Section includes coverage for loss
or damage arising out of heat, smoke, or fumes resulting from a hostile fire, as well as liability arising
out of fire suppression activities by authorized fire fighting personnel. For purposes of this specific
condition, a hostile fire means one which becomes uncontrollable or breaks out from where it was
intended to be; provided however, all requirements of the insuring agreement of Coverage A are
satisfied.
3. Garagekeeper's Liability. Coverage A of this Section includes coverage for the ownership and
operation of storage garages and parking lots of the named insured as bailee with respect to an
automobile left in its custody and control; provided however, all requirements of the insuring
agreement of Coverage A are satisfied.
4. Host/Liquor Liability. Coverage A of this Section includes coverage for the liability resulting from
the provision, sale or distribution of alcoholic beverages, or by reason of any local, state or federal
liquor control laws; provided however, all requirements of the insuring agreement of Coverage A are
satisfied.
5. Incidental Medical Liability. Coverage A and Coverage C of this Section includes coverage for
professional medical services rendered in the course and scope of delivering such services or during
medically supervised training related thereto or which should have been rendered to any person or
persons (other than employees of the named insured injured during the course of their employment)
only by any of the following persons employed by or acting on behalf of the named insured:
a. Employed or volunteer Emergency Medical Technicians (EMTs), Paramedics or First Responders.
b. Employed or volunteer, Nurse Practitioners, Registered Nurses, Licensed Practical Nurses, or
nurses otherwise licensed and regulated under the statutes of the State of Idaho, while employed
by you and while acting within the scope of their duties and responsibilities, serving inmates of a
jail operated by you.
c. Volunteer Registered Nurses, Licensed Practical Nurses, or nurses otherwise licensed and
regulated under the statutes of the State of Idaho, while employed by you and while acting within
the scope of their duties and responsibilities, serving as EMT, Paramedic, First Responder or
Ambulance personnel.
d. The providing of first aid by a law enforcement officer, fire fighter or employee on the pending
arrival of professional medical assistance, where the officer, fire fighter or employee arrives on the
scene of any emergency situation where a person requires medical assistance.
6. Multiple Insureds, Claims or Claimants. Inclusion herein of more than one insured or the making
of more than one claim or the bringing of suits by more than one person or organization shall not
operate to increase our Limits of Coverage.
7. Personal Injury. In that event that Coverage A of this Section includes coverage for personal injuries
to one (1) or more persons arising out of physical abuse, sexual abuse or molestation by any one (1)
person, the actions by any one (1) person shall be deemed to be one (1) occurrence, irrespective of
the number of claimants. In the event of an occurrence arising out of the actual, alleged or
threatened physical abuse, sexual abuse or molestation involving more than one policy period, our
liability under all policy periods during which the named insured has been a Member shall not exceed
what it would have been in any one policy period, alone.
8. Sewer Back-up Claims. Coverage A of this Section includes coverage for third -party claims for
property damage arising out of occurrences involving sewer line and facilities back-up and related
events, for which the named insured is responsible by virtue of its negligence; provided however, all
requirements of the insuring agreement of Coverage A are satisfied. This coverage extends to mold
and other fungus abatement and remediation demonstrated to be a direct result of an occurrence for
which you are clearly responsible. Fungi means any form of fungi including but not limited to, yeast,
mold, rust, smut, mushroom, spores, mycotoxins, or any other substances, odors, or byproducts
arising out of the current or past presence of fungi.
Effective 10-1-2009 17 ICRMP 29A2010
Exclusions Aaalicable to General Liability and Premises Medical Payments
Insuring Agreements
Liability Coverage under the General Liability and Premises Medical Payments Insuring Agreements does not
apply:
1. To any claim or loss more specifically covered under any other Section of this Policy.
2. To personal injury or property damage resulting from an act or omission intended or expected from
the standpoint of any insured to cause personal injury or property damage. This exclusion applies
even if the personal injury or property damage is of a different kind or degree, or is sustained by a
different person or property, than that intended or expected. This exclusion shall not apply to
personal injury resulting from the use of reasonable force to protect persons or property, or in the
performance of a duty of the insured.
3. To the ownership, maintenance or use, including loading and unloading, of watercraft over fifty (50)
feet in length.
4. To personal injury or property damage resulting from or arising out of the ownership, maintenance,
use or entrustment to others of any automobile.
5. To personal injury or property damage resulting from or arising out of the ownership, maintenance,
use or entrustment to others of any aircraft, airfields, runways, hangars, buildings, or other properties
in connection with aviation activities, other than premises liability in buildings involving aviation
operations to which the general public is admitted.
6. To property damage to property you own, rent or occupy; premises you sell, give away or have
abandoned; property loaned to you; and personal property in your care, custody and control. This
exclusion shall not apply to garagekeeper's liability coverage, as provided in the Specific Conditions
of this Section.
7. To any claim arising out of estimates of probable costs, or cost estimates being exceeded, or for
faulty preparation of bid specifications or plans.
8. To any damages claimed for any loss, cost or expense incurred by you or others for the loss of use,
withdrawal, recall, inspection, repair, replacement, adjustment, removal, or disposal of your product,
your work, or the impaired property if such product, work or property is withdrawn or recalled from the
market or from use by any person or organization because of a known or suspected defect,
deficiency, inadequacy or dangerous condition.
9. To any obligation for which you may be held liable under any workers' compensation, unemployment
compensation, disability benefits law, employer's liability, or under any similar federal, state or local
law, ordinance, rule or regulation, however characterized, as well as any claim or suit by a spouse,
child, parent, or sibling of an insured as a consequence of personal injury to the insured.
10. To any claim or suit for which the only monetary damages sought are costs of suit and/or attorney's
fees.
11. To any claim of liability arising out of or in any way connected with the operation of the principles of
eminent domain, condemnation proceedings, inverse condemnation, annexation, regulatory takings,
land use regulation, or planning and zoning activities or proceedings, however any such matters may
be characterized, whether such liability accrues directly against you or by virtue of any agreement
entered into by or on your behalf.
12. To personal injury or medical expense caused by the following diseases: asbestosis, mesothelioma,
emphysema, pneumoconiosis, pulmonary fibrosis, pleuritis, endothelioma, or to any lung disease or
any ailment caused by, or aggravated by exposure to or inhalation, consumption or absorption of
asbestos in any form.
Effective 10-1-2009 18 ICRMP 29A2010
13. To personal injury or property damage due to, or arising out of, the actual or alleged presence of
asbestos in any form, including the costs of remedial investigations or feasibility studies, or to the
costs of testing, monitoring, abatement, mitigation, cleaning, removal, or disposal of any property or
substance; or damages arising out of any supervision, instructions, recommendations, warnings or
advice given or which should have been given in connection with aforementioned; or obligations to
share damages with or repay someone else who must pay damages in connection with the
aforementioned.
14. To any claim relating to employment or wrongful termination of the employment of any person,
including threatened, actual or alleged discrimination or harassment.
15. To any investigatory, disciplinary or criminal proceeding against an insured, except that we may at
our own option, associate counsel in the defense of any such investigatory, administrative or
disciplinary proceeding. Should we elect to associate counsel, such election shall not constitute a
waiver or estoppel of any rights we may have pursuant to the terms, conditions, exclusions, and
limitations of this Policy.
16. To any obligation of a named insured to make payments pursuant to Idaho Code § 6-610A, which
provides for the payment of defense costs on behalf of certain employees of governmental entities
who are named as defendants in a criminal action.
17. To any liability arising out of the rendering of or failure to render the following professional health care
services:
a. Medical, surgical, dental, x-ray or nursing service or treatment or the furnishing of food or
beverages in connection therewith; or
b. Any professional medical service(s) by a physician, except Supervisory Physicians as defined by
Idaho Code § 6-902A (2) (b), and only when performing those duties as outlined in Idaho Code §
6-902A (2) (a).; or
c. Any professional medical service(s) by a physician's assistant or Nurse; or
d. Furnishing or dispensing of drugs or medical, dental or surgical supplies or appliances; or
e. Handling of or performing post-mortem examination on human bodies; or
f. Service by any person as a member of a formal accreditation or similar professional board or
committee of the insured, or as a person charged with the duty of executing directives of any such
board or committee.
However, this exclusion shall not apply to liability of an insured for Incidental Medical Liability
coverage, as provided in the Specific Conditions to this Section.
18. To any claim involving miscalculation or legality of assessments, adjustments, disbursements or the
collection of taxes, fees, licenses, however described.
19. To any liability of any insured arising out of the rendering of or failure to render services as an officer
or director, or other official of any organization, other than the named insured. This exclusion does
not apply if the insured is serving at the direction of or on behalf of the named insured, and is acting
within the scope of their duties as such.
Effective 10-1-2009 19 ICRMP 29A2010
SECTION III - AUTOMOBILE LIABILITY INSURANCE AND
AUTOMOBILE MEDICAL PAYMENTS
Automobile Liability and Automobile Medical Payments Insurina Agreements
COVERAGE A. Automobile Liability. We agree, subject to the terms and conditions of this Coverage, to
pay on your behalf those sums which you become legally obligated to pay as damages because of bodily injury
or property damage arising out of the ownership, maintenance, use, loading or unloading, of an insured
automobile.
COVERAGE B. Automobile Medical Payments. We agree, subject to the terms and conditions of this
Coverage, to pay an insured or on behalf of an insured, all reasonable medical expenses incurred by an
insured for medical treatment, services, or products actually rendered as a result of or arising out of bodily injury
caused by an automobile accident. The cost of treatment, services, or products must be incurred within one (1)
year after the accident or within three (3) years if the injury has been treated within one (1) year from the date of
the accident.
COVERAGE C. Uninsured/Underinsured Motorists. We agree, subject to the terms and conditions of this
Coverage, to pay damages for bodily injury which an insured is legally entitled to recover from the owner or
operator of an uninsured/underinsured automobile. The bodily injury must be caused by accident and arise
out of the ownership, maintenance, or use of an uninsured/underinsured automobile. Any amounts payable for
damages under this coverage will be reduced by:
1. All sums paid because of bodily injury by or on behalf of persons or organizations who may be
legally responsible for causing the bodily injury and
2. All sums paid by worker's compensation benefits or similar disability law.
This policy will pay under this coverage only after the limits of liability under any applicable bodily injury liability
policies or bonds have been exhausted in payments, settlements, or judgments and after all worker's
compensation benefits an employee may be entitled to have been paid.
Definitions Applicable to Automobile Liability Insurance and
Automobile Medical Payments Aareements
The following definitions are applicable to the Automobile Liability Insuring and Automobile Medical Payments
Agreements of this Policy:
1. "Accident" means an unexpected happening without intention or design.
2. "Automobile" means a motorized land vehicle, trailer or semi -trailer principally licensed and
designed for travel on public roads.
3. "Bodily Injury" means physical injury, sickness or disease, including mental anguish or death
resulting therefrom.
4. "Damages" means monetary damages awarded through judgment in a court proceeding or through
settlement agreed to by us to compensate a claimant for harm suffered
5. "Insured", with regard to Coverages B and C of this Section, means anyone occupying an insured
automobile with the permission of the owner.
6. "Insured Automobile" means an automobile owned by the named insured or a non -owned
automobile while operated by an insured in the course and scope of their duties or such use that is
otherwise authorized by the named insured.
Effective 10-1-2009 20 ICRMP 29A2010
7. "Medical Expenses" means expenses for necessary medical, surgical, x-ray and dental services,
ambulance, hospital, professional nursing and funeral services.
8. "Mobile Equipment" means equipment that is on wheels or tracks and is not principally licensed and
designed for travel on public roads and is self propelled or specifically designed to be attached to or
pulled by a vehicle.
9. "Occupying" with regard to Coverages "B" and "C" of this section means an individual who, at the
time of the accident is in physical contact with an insured automobile.
10. "Proof of Loss" means any written demand to recover damages for bodily injury pursuant to
Coverages B and C of this Section.
11. "Property Damage" means physical damage to or destruction of tangible property, including loss of
use resulting from such physical damage or destruction.
12. "Underinsured Automobile" means an automobile for which the sum of liability limits of all
applicable liability bonds or policies at the time of an accident is less than the Limits of Coverage
applicable to Coverage C of this Section.
13. "Uninsured Automobile" means an automobile:
a. To which a bodily injury liability bond or policy does not apply at the time of the accident.
b. For which an insuring or bonding company denies coverage or has become insolvent.
c. Which is a hit-and-run automobile and neither the driver nor the owner can be identified. The hit-
and-run automobile must come in contact with an insured automobile.
14. "You" with regard to Coverages "B" and "C" of this section means the individual seeking UM/UIM or
Automobile Medical Payments under this policy and who was occupying an insured automobile
with the permission of the owner.
Soecific Conditions ADDlicable to Automobile Liability Insurance and
Automobile Medical Payments Agreements
The following conditions are applicable to the Automobile Liability Insuring and Automobile Medical Payments
Agreements of this Policy:
A. With respect to Coverages A, B and C:
1. Automobiles Owned by Employees or Authorized Volunteers. An automobile owned by an
employee or authorized volunteer of the named insured is provided coverage afforded by this
Section while the automobile is being used by an employee or authorized volunteer on official
business of the named insured. Coverage provided by this condition shall be deemed secondary
to the coverage of the employee's or authorized volunteer's personal insurance, which is deemed
to be primary insurance. The intent of this special condition shall not be interpreted to extend
coverage to an automobile owned by other public or private entities, which are made available to
the named insured or its employees. For these non -owned automobiles, the terms and
conditions already contained in this Policy shall apply.
This Specific Condition does not apply to volunteers engaged in search and rescue activities.
These coverages are intended to be primary insurance for search and rescue volunteers only
when actively participating in search and rescue mobilizations initiated by the named insured.
2. Limits of Coverage. We will not pay more than the applicable Limits of Coverage shown in the
Declarations for the damages that result from any one accident.
3. Non -Duplication of Benefits. There will be no duplication of payments under the Automobile
Liability, Automobile Medical Payments, and the Uninsured/Underinsured Motorist Coverages,
Effective 10-1-2009 21 ICRMP 29A2010
respectively, of this Policy. Any amounts payable under these respective coverages will be
reduced by the amount of any advance payments.
B. With Respect to Coverage B:
1. Examinations/Medical Reports. The injured person may be required to take physical
examinations by physicians we choose, as often as we reasonably require. We must be given
authorization to obtain medical reports and other records pertinent to any such claim.
2. Proof of Loss. As soon as possible, any person making a claim under this Coverage must give
us written proof of loss as described below. It must include all details we may need to
determine the amounts payable.
C. With Respect to Coverage C:
1. Proof of Loss. A Proof of Loss must be served upon ICRMP as soon as practicable following
any such accident causing the injury in order to determine the amounts payable. Failure to
provide such notice shall be deemed a material and prejudicial breach of this Coverage, and
render any coverage null and void. All proof of losses presented shall accurately describe the
conduct and circumstances which brought about the injury, state the time and place the injury
occurred, state the names of all persons involved, and shall contain the amount of damages
claimed, together with any and all records that exist pertaining to said injury. Said records shall
consist of 1) all police reports pertaining to the accident and 2) complete medical and billing
records from all institutions (hospitals, rehabilitation facilities, and nursing homes) and physician
offices. A signed Medical Records Release form must be provided with the proof of loss giving
ICRMP authorization to obtain additional medical reports and other records pertinent to any such
loss.
2. Arbitration. If we and any person entitled to recover under Coverage C fail to agree on the
amount of damages thereof, the amount shall be settled by arbitration. In that event, each party
will select an arbitrator. The two arbitrators will then select a third arbitrator. If they cannot agree
upon a third arbitrator within thirty (30) days, both parties can ask a district judge in the State of
Idaho to select the third arbitrator. Each party will pay the expenses it incurs, and bear the
expenses of the third arbitrator equally. Written decisions of any two arbitrators will determine the
issues and will be binding. The arbitration will take place pursuant to the Uniform Arbitration Act,
Idaho Code Title 7, Chapter 9, unless both parties agree otherwise. Attorneys fees and fees paid
to medical and other expert witnesses as part of the arbitration proceeding will not be considered
arbitration expenses. These costs and expenses will be paid by the party incurring them.
3. Prejudgment or Pre -Arbitration Award Interest. Prejudgment or pre -arbitration award interest
shall not begin to accrue until the date that the proof of loss is received by us.
4. Medical Examinations. The injured person may be required to take, at our expense, physical
examinations by physicians we choose, as often as we reasonably require.
5. Hit -and -Run Accident. At our request, you shall make available for inspection any automobile
which any insured occupying at the time of a hit-and-run accident. You must also notify a law
enforcement agency within twenty-four (24) hours of any hit-and-run accident. You must also
notify us of any such hit-and-run accident within seven (7) days of any such accident. Failure to
provide such notice shall be deemed a material and prejudicial breach of this Coverage, and
render any coverage null and void.
6. Non -Binding Judgment. No judgment resulting from a suit brought without our written consent,
or which we are not a party to, is binding on us, either for determining the liability of the uninsured
or underinsured automobile or owner, or the amount of damages sustained.
7. Non -Stacking of Policies. If this Policy and any other insurance policy issued to you apply to the
same accident, the maximum limit of our liability under all the policies shall not exceed the highest
applicable limit under any one policy.
Effective 10-1-2009 22 ICRMP 29A2010
Exclusions Aoglicable to Automobile Liability Insurance and
Automobile Medical Payments Agreements
Liability Coverage under the Automobile Liability and Automobile Medical Payments Insuring Agreements
does not apply:
A. With respect to Coverages A, B and C:
1. To any claim or loss more specifically covered under any other Section of this Policy.
2. To any bodily injury sustained by any person, including an insured, engaged in the maintenance
or repair of an insured automobile.
3. To any claim that directly or indirectly benefits any worker's compensation or disability benefits
insurer.
4. To any claim arising out of the operation of mobile equipment.
5. For any Automobiles or Mobile Equipment owned or leased by a named insured when the
Automobile or Mobile Equipment is being rented or leased to a third party for compensation.
B. With Respect to Coverage A:
1. To bodily injury or property damage resulting from an act or omission intended or reasonably
expected from the standpoint of any insured to cause bodily injury or property damage. This
exclusion applies even if the bodily injury or property damage is of a different kind or degree, or
is sustained by a different person or property, than that intended or reasonably expected. This
exclusion shall not apply to bodily injury and property damage resulting from the use of
reasonable force to protect persons or property, or in the performance of your duties.
2. Damages to property rented to, used by, or in the care, custody or control of any insured.
3. To bodily injury to any insured arising out of or in the course of employment.
4. To any liability for indemnity or contribution brought by any party for bodily injury or property
damage sustained by any insured.
C. With Respect to Coverage B:
1. To any bodily injury arising out of or resulting from the use of an automobile not insured by us.
2. To any bodily injury arising out of or resulting from the operation of an insured automobile while
being used for hire or for a fee with authorization for such use.
3. For bodily injury to anyone eligible to receive benefits which are either provided, or are required
to be provided, under any worker's compensation, occupational disease, or similar disability law.
D. With Respect to Coverage C:
1. To any insured who enters into a settlement with a third party without our written consent.
2. To any bodily injury resulting from or arising out of the use of an automobile owned by you and
not insured by us.
Effective 10-1-2009 23 ICRMP 29A2010
SECTION IV - ERRORS AND OMISSIONS INSURANCE
CLAIMS MADE COVERAGE ONLY
Errors and Omissions Insuring Agreement
COVERAGE A. We agree, subject to the terms and conditions of this Coverage, to pay on your behalf all
sums which you shall become legally obligated to pay as damages because of any claim which is first made
against you during this Policy Period, arising out of any wrongful act by you.
All wrongful acts, including all related wrongful acts, must take place after the retroactive date, if any, shown in
the Declaration Page and before the end of this Policy Period. A claim may also be first made against you if it
is made during any Extended Reporting Period we may provide pursuant to the Specific Conditions outlined in
this section below.
COVERAGE B. Employee Medical Insurance Benefit Liability. This coverage is for liability arising out of
the negligent computation or withholding of an employee medical insurance benefit to which an employee of the
named insured is otherwise entitled; provided, however, all requirements of the Insuring Agreement of
Coverage A are satisfied.
Definitions Applicable to Errors and Omissions Insuring Agreement
The following definitions are applicable to the Errors and Omissions Insuring Agreement of this Policy:
1. "Bodily Injury" means physical injury to any person, including death or sexual molestation, and any
mental anguish or mental suffering associated with or arising from such physical injury.
2. "Claim" means a demand received by you for money damages alleging a wrongful act of a tortious
nature by you. No claim exists where the only monetary damages sought or demanded are costs of
suit and/or attorneys fees. A claim shall include complaints filed with the Idaho Human Rights
Commission (IHRC) and the Equal Employment Opportunities Commission (EEOC) subject to the
exclusions set out below.
3. "Damages" means monetary damages awarded through judgment in a court proceeding or through
settlement agreed to by us to compensate a claimant for harm suffered.
4. "First Made" means the earlier of the following times, but not later than the end of this Policy Period
or the end of any applicable Extended Reporting period:
a. When you first give written notice to us that a claim has been made against you; or
b. When you first give written notice to us of specific circumstances involving a particular person or
entity which may result in a claim. Reports of incidents or circumstances made by you to us as
part of risk management or loss control services shall not be considered notice of a claim.
5. "Personal Injury" means bodily injury, mental anguish, shock, sickness, disease, disability,
wrongful eviction, malicious prosecution, humiliation, invasion of rights of privacy, libel, slander or
defamation of character, piracy and any infringement of copyright of property, erroneous service of
civil papers, assault and battery and disparagement of property
6. "Property Damage" means physical damage to or destruction of tangible property, including loss of
use.
7. "Wrongful Act" means the negligent performance of or failure to perform a legal duty or
responsibility in a tortious manner pursuant to the Idaho Tort Claims Act or be premised upon
allegations of unlawful violations of civil rights pursuant to Federal law arising out of public office or
position.
Effective 10-1-2009 24 ICRMP 29A2010
Specific Conditions Applicable to Errors and Omissions Insuring Agreement
The following conditions are applicable to the Errors and Omissions Insuring Agreement of this Policy:
1. Extended Reporting Period. If this Policy is cancelled or not renewed for any reason, other than
non-payment of member contribution or non-compliance with the terms and conditions of this Policy,
you shall have the option of:
a. Upon payment of an additional member contribution, as determined by us, purchasing an
Extended Reporting Period extending such insurance afforded by this Section, subject otherwise
to its terms, exclusions and conditions, to apply to claims which are first made, within a
maximum period to be agreed to by us following immediately upon the effective date of such
cancellation or non -renewal, but only by reason of any wrongful act before such termination and
otherwise covered by this Coverage; or
b. If you do not purchase the Extended Reporting Period, we shall extend such insurance as is
afforded by this Section to apply to claims which are first made against you during the thirty (30)
days following immediately upon the effective date of such cancellation or non -renewal, but only
by reason of a claim covered under this Section, which commences and was sustained
subsequent to the Retroactive Date set out in the Declarations and prior to the effective date of
such cancellation or non -renewal, and which is otherwise afforded by this Coverage.
If, however, this Policy is immediately succeeded by similar claims -made insurance coverage with
any insurer, in which the Retroactive Date is the same as or earlier than that shown in the
Declarations, the succeeding policy shall be deemed to be a replacement of this Policy, and you shall
have no right to secure an Extended Reporting Period from us.
Your right to purchase the Extended Reporting Period must be exercised by written notice to us not
later than thirty (30) days after the cancellation or termination date of this Policy, and must include
tender of the entire member contribution for the Extended Reporting Period. If such notice and tender
is not so given, you shall not at a later date be able to exercise the right to purchase the Extended
Reporting Period.
2. Multiple Insureds, Claims or Claimants. Inclusion herein of more than one insured or the making
of more than one claim or the bringing of suits by more than one person or organization shall not
operate to increase our Limits of Coverage.
Two or more claims arising out of a single wrongful act or series of related wrongful acts shall be
treated as a single claim. All such claims, whenever made, shall be considered first made during
the Policy Period, or Extended Reporting Period, if purchased, in which the earliest claim arising out
of such wrongful act or related wrongful acts was first made and all such claims shall be subject
to the same Limits of Coverage.
Exclusions Applicable to Errors and Omissions Insuring Agreement
The Errors and Omissions Insuring Agreement does not cover any claim:
1. More specifically covered under any other Section of this Policy.
2. Arising out of any dishonest, fraudulent, criminal, malicious, deliberate or intended wrongful act
committed by you or at your direction.
3. For bodily injury, personal injury, or property damage, as defined in this Section.
4. Resulting from a wrongful act intended or expected from the standpoint of any insured to cause
damages. This exclusion applies even if the damages claimed are of a different kind or degree than
that intended or expected.
5. Based upon or attributable to any insured gaining in fact any personal profit or advantage to which
they were not legally entitled, including remuneration paid in violation of law.
Effective 10-1-2009 25 ICRMP 29A2010
6. Based upon or attributable to the rendering or failure to render any opinion, treatment, consultation or
service, if such opinion, treatment, consultation or service was rendered or failed to have been
rendered while any insured was engaged in any activity for which they received compensation from
any source other than as a public entity or an employee of a public entity.
7. Arising out of estimates of probable costs, or cost estimates being exceeded, or for faulty preparation
of bid specifications or plans.
8. Arising out of the failure to supply water, electrical power, fuel, or any other utilities.
9. For which you are entitled to indemnity and/or payment by reason of having given notice of any
circumstances which might give rise to a claim under any policy or policies, the term of which has
commenced prior to the inception date of this Policy, or from a wrongful act which occurred prior to
the retroactive date set forth in the Declarations of this Policy.
10. Resulting from a continuing wrongful act which commences prior to the retroactive date set forth in
the Declarations of this Policy.
11. Arising out of law enforcement activities or the performance of law enforcement duties.
12. To any claim of liability arising out of or in any way connected with the operation of the principles of
eminent domain, condemnation proceedings, inverse condemnation, annexation, regulatory taking,
land use regulation or planning and zoning activities or proceedings, however characterized, whether
such liability accrues directly against you or by virtue of any agreement entered into by or on your
behalf.
13. To any obligation of a named insured to make payments pursuant to Idaho Code § 6-610A, which
provides for the payment of defense costs on behalf of certain employees of governmental entities
who are named as defendants in a criminal proceeding.
14. Any claim for back wages or legal penalties to which the employee is lawfully entitled for work
performed, including any claim for wages, damages, liquidated damages or any other form of
compensation, however characterized, pursuant to, or derived in any way, from an employer's
responsibility to comply with the Fair Labor Standards Act or other state or federal statute directing
the manner or amount of payment of compensation to employees.
15. Any claim involving miscalculation or legality of assessments, adjustments, disbursements or the
collection of taxes, fees, licenses, however described.
16. No claim exists where the alleged harm for which compensation is sought derives from performance
or nonperformance of terms of a contract, concerns the measure of performance or payment related
to contract performance, derives from fines, penalties or administrative sanctions imposed by a
governmental agency, or is generated by intergovernmental determination, calculation, handling or
allocation of funds according to the law. The claims for which this section provides defense and
indemnification must arise out of conduct of a tortious nature or be premised upon allegations of
unlawful violation of civil rights pursuant to state or federal law.
17. Arising directly or indirectly out of the failure of any investment in any employee benefit program,
including but not limited to stocks, bonds, or mutual funds to perform as represented by an insured or
bv anv party authorized bv an insured to offer benefits to employees_
18. Arising directly or indirectly out of the negligence, financial failure or breach of contract by any health
or employee benefit provider that the named insured contracts with to provide employee benefits.
Effective 10-1-2009 26 ICRMP 29A2010
SECTION V - CRIME INSURANCE
Crime Insuring Agreements
COVERAGE A. Employee Dishonesty or Fraud. We agree, subject to the terms and conditions of this
Coverage, to pay the named insured, or on its behalf, for loss of money, securities, and other property
sustained by the named insured resulting directly from one or more dishonest or fraudulent acts committed
by an employee of the named insured, acting alone or in collusion with others.
COVERAGE B. Loss Inside the Premises. We agree, subject to the terms and conditions of this Coverage,
to pay the named insured, or on its behalf, for loss of the money and securities of the named insured by the
actual destruction, disappearance, or wrongful taking within the premises.
COVERAGE C. Loss Outside the Premises. We agree, subject to the terms and conditions of this
Coverage, to pay the named insured, or on its behalf, for loss of the money and securities of the named
insured by the actual destruction, disappearance, or wrongful taking thereof, outside the premises while
being conveyed by a messenger or any armored motor vehicle company.
COVERAGE D. Money Orders and Counterfeit Paper Currency. We agree, subject to the terms and
conditions of this Coverage, to pay the named insured, or on its behalf, for:
1. Loss sustained by the named insured due to the nonpayment upon presentation of any money order
issued by any post office or express company which the named insured accepts in good faith in
exchange for merchandise, money, or services.
2. Loss sustained by the named insured due to the good faith acceptance of the named insured in the
regular course of business of counterfeit United States currency.
COVERAGE E. Depositor's Forgery. We agree, subject to the terms and conditions of this Coverage, to
pay the named insured, or on its behalf, for loss which the named insured shall sustain through forgery or
alteration of, on, or in any check, draft, promissory note, bill of exchange or similar written promise, order or
direction to pay a sum certain in money made or drawn by or drawn upon the named insured, or made or
drawn by one acting as agent of the named insured, or purporting to have been made or drawn as
hereinbefore set forth, including:
1. Any check or draft made or drawn in the name of the named insured payable to a fictitious payee
and endorsed in the name of such fictitious payee;
2. Any check or draft procured in a face to face transaction with the named insured, or with one acting
as agent of the named insured, by anyone impersonating another and made or drawn payable to the
one so impersonated and endorsed by anyone other than the one so impersonated;
3. Any payroll check, payroll draft, or payroll order made or drawn by the named insured, payable to
bearer as well as to a named payee and endorsed by anyone other than the named payee without
authority from such payee.
Definitions Applicable to Crime Insurina Aareements
The following definitions are applicable to the Crime Insuring Agreements of this Policy:
1. "Dishonest or Fraudulent Acts" means acts committed by an employee of the named insured
which (a) cause the named insured to sustain such loss; and (b) results in financial benefit to the
employee or another person or organization intended by the employee to receive such benefit not
otherwise entitled to.
2. "Employee" means an officer or employee of the named insured, including elected or appointed
officials, and persons acting on behalf of the named insured in any official capacity, temporarily or
permanently in the service of the named insured. The term employee shall not mean a person or
other legal entity while acting in the capacity of any broker, factor, commission merchant, consignee,
contractor or other agent or representative.
Effective 10-1-2009 27 ICRMP 29A2010
3. "Messenger" means any employee who is duly authorized by the named insured to have the care
and custody of the insured property outside the premises.
4. "Premises" means the interior of that portion of any building which is occupied by the named
insured in conducting its business.
5. "Wrongful Taking" means an unauthorized conversion of property, whether or not proven in a court
of law.
Specific Conditions Applicable to Crime Insuring Agreements
The following conditions are applicable to the Crime Insuring Agreements of this Policy:
1. All Incidents - One Loss. All losses incidental to an actual or attempted fraudulent, dishonest, or
criminal act, or series of related acts at the premises, whether committed by one or more persons,
shall be deemed one loss.
2. Coverage in Lieu of Public Officials Surety Bond. Coverage under this Section of this Policy shall
be deemed to provide coverage for the terms and responsibilities of public officials or employees to
the extent required by the Idaho Code bonding requirements for public officials.
3. Limits of Coverage for Multiple Policy Periods/Prorata. Payment of loss under Coverages A or E
shall not reduce our liability for other losses under the same coverages, whenever sustained. Our
total liability is limited to the total amount specified in the Declarations of this Policy for the following:
a. Under Coverage A, for all losses caused by any employee or in which such employee is
concerned or implicated.
b. Under Coverage E, for all loss by forgery or alteration committed by any person or in which such
person is concerned or implicated, whether such forgery or alteration involves one or more
instruments.
Except as provided above for Coverages A and E, the applicable Limits of Coverage stated in the
Declarations is the total limit of our liability with respect to all loss of property of one or more persons
or organizations arising out of any one occurrence. All losses incidental to an actual or attempted
fraudulent, dishonest or criminal act, or series of related acts at the premises, whether committed by
one or more persons, shall be deemed one loss.
Regardless of the number of years this Policy shall continue in force and the number of member
contributions which shall be payable or paid, the Limits of Coverage specified in the Declarations
shall not be cumulative from year to year or period to period.
With respect to Coverages A and E, in the event of a loss caused by any person and which occurs
partly during the Policy Period and partly during the period of the policies issued by us to the named
insured and terminated or cancelled or allowed to expire, and in which the period for discovery has
not expired at the time any such loss thereunder is discovered, our total liability under this Section
and under such other policies shall not exceed, in the aggregate, the applicable Limits of Coverage
on such loss or the amount available to the named insured under such other policies as limited by
the terms and conditions thereof, for any such loss if the latter amount be the larger.
4. Loss Caused by Unidentified Employees. If a loss is alleged to have been caused by the fraud or
dishonesty of any one or more employees, and the named insured shall be unable to designate the
specific employee or employees causing such loss, the named insured shall nevertheless have the
benefit of Coverage A, provided that the evidence submitted reasonably proves that the loss was in
fact due to the fraud or dishonesty of one or more employees of the named insured.
5. Ownership of Property/Interest Covered. The insured property may be owned by the named
insured or held by the named insured in its care, custody, or control.
Effective 10-1-2009 28 ICRMP 29A2010
6. Recoveries. To the extent that a loss of the named insured exceeds the Limits of Coverage
applicable to this Section, the named insured shall be entitled to recoveries from third parties until
the named insured is fully reimbursed. Any remaining recovery shall be paid to us. Audit fees
incurred by us toward establishing your loss values will be deducted from the ultimate net loss.
Exclusions Applicable to Crime Insuring Agreements
Coverage under the Crime Insuring Agreements does not apply:
A. With Respect to All Coverages:
1. To any claim or loss more specifically covered under any other Section of this Policy.
2. To any claim for the potential income or increase including, but not limited to, interest and
dividends, not realized by the named insured because of a loss covered under this Section.
3. To any claim for costs, fees, or other expenses incurred by the named insured in establishing the
existence of, or amount of loss, covered under this Section.
B. With Respect to Coverage A:
1. To any loss, the proof of which, either as to its factual existence or as to its amount, is dependent
upon an inventory computation or a profit and loss computation.
2. To any loss that occurs more than one year subsequent to the end of any fiscal year for which
Idaho law would require an independent audit by a certified public accountant and in such year
when an audit has not been conducted.
3. To any loss claimed involving conduct more than three years prior to the date of the claim or the
retro date, whichever is less.
C. With Respect to Coverage B:
1. To any claim or loss due to any fraudulent, dishonest, or criminal act by any employee, director,
trustee, or authorized representative of the named insured, while working or otherwise, and
whether acting alone or in collusion with others.
2. To any claim or loss due to: (a) the giving or surrendering of money or securities in any exchange
or purchase; (b) accounting or arithmetical errors or omissions; or (c) manuscripts, books of
account, or records.
3. To any claim or loss of money contained in coin operated amusement devices or vending
machines, unless the amount of money deposited within the device or machine is recorded by a
continuous recording instrument therein.
D. With Respect to Coverage C:
1. To any claim or loss due to any fraudulent, dishonest, or criminal act by any employee, director,
trustee, or authorized representative of the named insured, while working or otherwise, and
whether acting alone or in collusion with others.
2. To any claim or loss due to: (a) the giving or surrendering of money or securities in any exchange
or purchase; (b) accounting or arithmetical errors or omissions; or (c) manuscripts, books of
account, or records.
3. To any insured claim or loss of the property of the named insured while in the custody of any
armored motor vehicle company, except as excess coverage over amounts recovered or received
by the named insured under: (a) the contract of the named insured with said armored motor
vehicle company; (b) insurance carried by said armored motor vehicle company for the benefit of
users of its services; and (c) all other insurance and indemnity in force in whatsoever form carried
by or for the benefit of users of said armored motor vehicle company's service.
Effective 10-1-2009 29 ICRMP 29A2010
SECTION VI - BOILER AND MACHINERY INSURANCE
Boiler and Machinery Insuring Agreements
We agree, subject to the terms and conditions of this Coverage to pay for:
COVERAGE A. Property Damage. Direct damage to Covered Property caused by a Covered Cause of
Loss as listed in the Schedule of Values kept on file with us.
COVERAGE B. Expediting Expenses. With respect to direct damage to Covered Property we will pay for
the extra cost you necessarily incur to make temporary repairs and expedite the permanent repairs or
replacement of the damaged property.
COVERAGE C. Business Income and Extra Expense. We will pay your actual loss of Business Income
during the Period of Restoration and Extra Expense you necessarily incur to operate your entity during the
Period of Restoration. We will consider the operations of your entity before the Breakdown and the probable
experience you would have had without the Breakdown in determining the amount of our payment.
COVERAGE D. Spoilage Damage. We will pay for the spoilage damage to raw materials, property in process
or finished products, provided conditions are met that are outlined further in this section. We will also pay any
necessary expenses you incur to reduce the amount of loss under this coverage. We will pay such expenses to
the extent that they do not exceed the amount of loss that otherwise would have been payable under this form.
COVERAGE E. Utility Interruption. Losses resulting from the interruption of utility services provided
conditions are met that are outlined further in this section.
COVERAGE F. Newly Acquired Premises. We will automatically provide coverage at newly acquired
premises you have purchased or leased. This coverage begins at the time you acquire the property and
continues for a period not exceeding ninety (90) days under conditions set forth below.
COVERAGE G. Ordinance or Law. We will pay for increases in loss as necessitated by the enforcement of
any laws or ordinances that are in force at the time of the Breakdown, which regulate the demolition,
construction, repair or use of the building or structure.
COVERAGE H. Errors and Omissions. We will pay for any loss or damage, which is not otherwise payable
under this coverage solely because of any error or unintentional omission in the description or location of
property as insured under this coverage part or in any subsequent amendments, any failure through error to
include any premises owned or occupied by you at the inception date of this coverage art; or any error or
unintentional omission by you that results in cancellation of any premises insured under this policy.
Definitions Applicable to Boiler and Machinery Insuring Agreements
The following definitions are applicable to the Boiler and Machinery Insuring Agreements of this Policy:
1. Breakdown:
a. Means the following direct physical loss that causes damage to "Covered Equipment" and
necessitates its repair or replacement:
(1) Failure of pressure or vacuum equipment;
(2) Mechanical failure including rupture or bursting caused by centrifugal force; or
(3) Electrical failure including arcing;
unless such loss or damage is otherwise excluded within this Coverage.
b. Does not mean or include:
(1) Malfunction including but not limited to adjustment, alignment, calibration, cleaning or
modification;
(2) Defects, erasures, errors, limitations or viruses in computer equipment and programs
including the inability to recognize and process any date or time or provide instructions to
"Covered Equipment";
Effective 10-1-2009 30 ICRMP 29A2010
(3) Leakage at any valve, fitting, shaft seal, gland packing, joint or connection;
(4) Damage to any vacuum tube, gas tube, or brush;
(5) Damage to any structure or foundation supporting the Covered Equipment or any of its
parts;
(6) The functioning of any safety or protective device; or
(7) The cracking of any part on an internal combustion gas turbine exposed to the products
of combustion.
2. Business Income means the:
a. Net Income (Net Profit or Loss before income taxes) that would have been earned or
incurred; and
b. Continuing normal operating expenses incurred, including payroll.
3. Business Income Actual Annual Value means the sum of the net income and continuing
normal operating expenses incurred, including payroll that would have been earned had the
Breakdown not occurred.
4. Business Income Estimated Annual Value means the sum of the net income and continuing
normal operating expenses incurred, including payroll as estimated by you in the most recent
reported value on file with us via your agent as listed in our eAgent database.
5. Computer Equipment means:
a. Your programmable electronic equipment that is used to store, retrieve and process data;
and
b. Associated peripheral equipment that provides communication including input and output
functions such as printing or auxiliary functions such as data transmission.
It does not include Data or Media.
6. Covered Cause of Loss means a Breakdown to Covered Equipment.
7. Covered Equipment:
a. Means and includes any:
(1) Equipment built to operate under internal pressure or vacuum other than weight of
contents;
(2) Electrical or mechanical equipment that is used in the generation, transmission or
utilization of energy;
(3) Communication equipment, and Computer Equipment; and
(4) Equipment in Paragraphs (1), (2) and (3) that is owned by a public or private utility and
used solely to supply utility services to your premises.
b. Does not mean or include any:
(1) Media;
(2) Part of pressure or vacuum equipment that is not under internal pressure of its contents
or internal vacuum;
Insulating or refractory material, but not excluding the glass lining of any Covered
Equipment;
(4) Non-metallic pressure or vacuum equipment, unless it is constructed and used in
accordance with the American Society of Mechanical Engineers (A.S.M.E.) code or
another appropriate and approved code;
(5) Catalyst;
(6) Vessels, piping and other equipment that is buried below ground and requires the
excavation of materials to inspect, remove, repair or replace;
Structure, foundation, cabinet or compartment supporting or containing the Covered
Equipment or part of the Covered Equipment including penstock, draft tube or well
casing;
(8) Vehicle, aircraft, self-propelled equipment or floating vessel including any Covered
Equipment that is mounted upon or used solely with any one or more vehicle(s),
aircraft, self-propelled equipment or floating vessel;
Dragline, excavation, or construction equipment including any Covered Equipment that
is mounted upon or used solely with any one or more dragline(s), excavation, or
construction equipment;
Effective 10-1-2009 31 ICRMP 29A2010
(3)
(7)
(9)
(10)Felt, wire, screen, die, extrusion plate, swing hammer, grinding disc, cutting blade, non-
electrical cable, chain, belt, rope, clutch plate, brake pad, non-metal part or any part or
tool subject to periodic replacement;
(11)Machine or apparatus used solely for research, diagnosis, medication, surgical,
therapeutic, dental or pathological purposes including any Covered Equipment that is
mounted upon or used solely with any one or more machine(s) or apparatus unless
Diagnostic Equipment is shown as INCLUDED in the Declarations; or
(12)Equipment or any part of such equipment manufactured by you for sale.
8. Covered Property means any property that:
a. You own; or
b. Is in your care, custody or control and for which you are legally liable.
9. Data means:
a. Programmed and recorded material stored on Media; and
b. Programming records used for electronic data processing, or electronically controlled
equipment.
10. Extra Expense means the additional cost you incur to operate your business during the Period
of Restoration over and above the cost that you normally would have incurred to operate the
business during the same period had no Breakdown occurred.
11. Hazardous Substance means any substance other than ammonia that has been declared to be
hazardous to health by a government agency.
12. Media means electronic data processing or storage media such as films, tapes, discs, drums or
cells.
13. One Breakdown means if an initial Breakdown causes other Breakdowns, all will be
considered One Breakdown. All Breakdowns at any one premises that manifest themselves at
the same time and are the direct result of the same cause will be considered One Breakdown.
14. Period of Restoration means the period of time that:
a. Begins at the time of the Breakdown or 24 hours before we receive notice of Breakdown
whichever is later; and
b. Ends 5 consecutive days after the date when the damaged property at the premises
described in the Declarations is repaired or replaced with reasonable speed and similar
quality.
15. Stock means merchandise held in storage or for sale, raw materials, property in process or
finished products including supplies used in their packing or shipping.
Soecific Conditions ADolicable to Boiler and Machinery Insuring Agreements
The following conditions are applicable to the Boiler and Machinery Insuring Agreements of this Policy:
1. With Respect to Coverage C — Business Income and Extra Expense:
a. Damaged Media or Damaged Data. If Media is damaged or Data is lost or corrupted, we will pay
your actual loss of Business Income and/or Extra Expense during the time necessary to:
(1.) Research, replace or restore the damaged Media or lost or corrupted Data; and
(2.) Reprogram instructions used in any covered Computer Equipment.
b. There shall be no coverage for any Media or Data that we determine is not or cannot be replaced
or restored.
c. We will pay the lesser of your actual loss of Business Income and/or Extra Expense up to 30
days after the Period of Restoration or $25,000.
2. With Respect to Coverage D — Spoilage Damage:
a. The raw materials, property in process or finished products must be in storage or in the course of
being manufactured;
Effective 10-1-2009 32 ICRMP 29A2010
b. You must own or be legally liable under written contract for the raw materials, property in process
or finished products; and
c. The spoilage damage must be due to the lack or excess of power, light, heat, steam or
refrigeration.
3. With Respect to Coverage E — Utility Interruption:
a. The interruption is the direct result of a Breakdown to Covered Equipment owned, operated or
controlled by the local private or public utility or distributor that directly generates, transmits,
distributes or provides utility services which you receive;
b. The Covered Equipment is used to supply electric power, communication services, air
conditioning, heating, gas, sewer, water or steam to your premises; and
c. The interruption of utility service to your premises lasts at least the consecutive period of time of
twenty-four (24) hours. Once this waiting period is met, coverage will commence at the initial time
of the interruption and will be subject to all applicable deductibles
4. With Respect to Coverage F — Newly Acquired Premises:
a. You must inform us, in writing, of the newly acquired premises as soon as practicable;
b. The coverage for these premises will be subject to the same terms, conditions, exclusions and
limitations as other insured premises; and
5. With Respect to Coverage G — Ordinance or Law:
a. We will pay for:
(1) The loss in value of the undamaged portion of the building or structure as a consequence
of enforcement of an ordinance or law that requires the demolition of undamaged parts of the
same building or structure;
(2) Your actual cost to demolish and clear the site of the undamaged parts of the same
building or structure as a consequence of enforcement of an ordinance or law that requires
the demolition of such undamaged property; and
(3) The increased cost actually and necessarily expended to:
(a.) Repair or reconstruct the damaged or destroyed portions of the building or structure;
and
(b.) Reconstruct or remodel the undamaged portion of that building or structure with buildings
or structures of like materials, height, floor area, and style for like occupancy, whether or
not demolition is required on:
(i) The same premises or on another premises if you so elect. However if you rebuild at
another premises, the most we will pay is the increased cost of construction that we
would have paid to rebuild at the same premises; or
(ii) Another premise if the relocation is required by the ordinance or law. The most we will
pay is the increased cost of construction at the new premises.
b. We will not pay for:
(1) Demolition or site clearing until the undamaged portions of the buildings or structures are
actually demolished;
(2) Increase in loss until the damaged or destroyed buildings or structures are actually rebuilt or
replaced and approved by the regulating government agency;
Effective 10-1-2009 33 ICRMP 29A2010
(3) Loss due to any ordinance or law that:
a.You were required to comply with before the loss, even if the building was undamaged; and
b. You failed to comply with;
(4) Increase in the loss, excess of the amount required to meet the minimum requirement of any
ordinance or law enforcement at the time of the Breakdown; or
(5) Increase in loss resulting from a substance declared to be hazardous to health or
environment by any government agency.
c. If.
(1) The building or structure is damaged by a Breakdown that is covered under this policy;
(2) There is other physical damage that is not covered under this policy; and
(3) The building damage in its entirety results in enforcement of ordinance or law;
then we will not pay the full amount of the loss under this coverage. Instead, we will pay only that
proportion of such loss; meaning the proportion that the covered Breakdown loss bears to the
total physical damage.
But if the building or structure sustains direct physical damage that is not covered under this
policy and such damage is the subject of the ordinance or law, then there is no Ordinance or Law
coverage under this coverage part even if the building has also sustained damage by a covered
Breakdown.
6. With Respect to Coverage H — Errors and Omissions:
No coverage is provided as a result of any error or unintentional omission by you in the reporting of
values or the coverage you requested.
It is a condition of this coverage that such errors or unintentional omissions shall be reported and
corrected when discovered. The policy premium will be adjusted accordingly to reflect the date the
premises should have been added had no error or omission occurred.
Exclusions Apalicable to Boiler and Machinery Insuring Agreements
We will not pay for loss or damage caused directly or indirectly by any of the following. Such loss or damage is
excluded regardless of any other cause or event that contributes concurrently or in any sequence to the loss. The
exclusions apply whether or not the loss event results in widespread damage or affects a substantial area.
1. Ordinance or Law. Increase in loss from the enforcement of any ordinance, law, rule, regulation
or ruling which restricts or regulates the repair, replacement, alteration, use, operation,
construction, installation, clean-up or disposal of Covered Property. However the words use and
operation shall be eliminated as respects a covered Breakdown to electrical supply and
emergency generating equipment located on the premises of a Hospital.
2. Earth Movement. Earth movement, including but not limited to earthquake, landslide, land
subsidence, mine subsidence or volcanic action.
3. Water:
a. Flood, surface water, waves, tides, tidal waves, overflow of any body of water, or their spray,
all whether driven by wind or not;
b. Mudflow or mudslide;
c. Water damage caused by backup of sewer, drains or drainage piping; or
Effective 10-1-2009 34 ICRMP 29A2010
d. Water damage caused by the discharge or leakage of a sprinkler system or domestic water
piping.
4. Nuclear Hazard. Nuclear reaction or radiation, or radioactive contamination, however caused.
5. War or Military Action:
a. War, including undeclared or civil war;
b. 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
c. Insurrection, rebellion, revolution, usurped power or action taken by governmental authority in
hindering or defending against any of these.
6. An explosion. However, we will pay for direct loss or damage caused by an explosion of
Covered Equipment of a kind specified in a. through g. below, if not otherwise excluded in this
Section:
a. Steam boiler;
b. Electric steam generator;
c. Steam piping;
d. Steam turbine;
e. Steam engine;
f. Gas turbine; or
g. Moving or rotating machinery when such explosion is caused by centrifugal force or
mechanical breakdown.
7. Fire or combustion explosion including those that:
a. Result in a Breakdown;
b. Occur at the same time as a Breakdown; or
c. Ensue from a Breakdown.
8. Explosion within the furnace of a chemical recovery type boiler or within the passage from the
furnace to the atmosphere.
9. Damage to Covered Equipment undergoing a pressure or electrical test.
10. Water or other means used to extinguish a fire, even when the attempt is unsuccessful.
11. Depletion, deterioration, corrosion, erosion, or wear and tear. However, if a Breakdown occurs,
we will pay the resulting loss or damage.
12. A Breakdown that is caused by any of the following causes of loss if coverage for that cause of
loss is provided by another policy of insurance you have, whether collectible or not:
a. Aircraft or vehicles;
b. Freezing caused by cold weather;
c. Lightning;
d. Sinkhole collapse;
e. Smoke;
f. Riot, civil commotion or vandalism; or
g. Weight of snow, ice or sleet.
13. A Breakdown that is caused by Windstorm or Hail.
14. A delay in, or an interruption of any business, manufacturing or processing activity except as
provided by the Business Income and Extra Expense, and Utility Interruption coverages.
15. With respect to Business Income and Extra Expense, and Utility Interruption coverages, the
following additional exclusions shall apply:
a. The business that would not or could not have been carried on if the Breakdown had not
occurred;
b. Your failure to use due diligence and dispatch and all reasonable means to operate your
business as nearly normal as practicable at the premises shown in the Schedule of Values;
or
Effective 10-1-2009 35 ICRMP 29A2010
c. The suspension, lapse or cancellation of a contract following a Breakdown extending beyond
the time business could have resumed if the contract had not lapsed, been suspended or
canceled.
16. Lack or excess of power, light, heat, steam or refrigeration except as provided by the Business
Income and Extra Expense, Spoilage Damage and Utility Interruption coverages.
17. With respect to Utility Interruption coverage, any loss resulting from the following additional
causes of loss whether or not coverage for that cause of loss is provided by another policy you
have:
a. Acts of sabotage;
b. Collapse;
c. Deliberate act(s) of load shedding by the supplying utility;
d. Freezing caused by cold weather;
e. Impact of aircraft, missile or vehicle;
f. Impact of objects falling from an aircraft or missile;
g. Lightning;
h. Riot, civil commotion or vandalism;
i. Sinkhole collapse;
j. Smoke; or
k. Weight of snow, ice or sleet.
18. Any indirect result of a Breakdown to Covered Equipment except as provided by the Business
Income and Extra Expense, Spoilage Damage and Utility Interruption coverages.
19. Neglect by you to use all reasonable means to save and preserve Covered Property from further
damage at and after the time of the loss.
20. Limits of Insurance. The most we will pay for any and all coverages for loss or damage from
any One Breakdown is the applicable Limit of Insurance shown in the Declarations. Any
payment made will not be increased if more than one insured is shown in the Declarations. For
each coverage listed, if:
a. a limit is shown in the Declarations, the limit for such coverage is part of, not in addition to,
the Limit per Breakdown.
b. A limit is shown in the Declarations, we will not pay more than the Limit of Insurance for each
such coverage.
21. For any Covered Equipment that is:
a. Used solely to supply utility services to your premises;
b. Owned by a public or private utility;
c. Not in your care, custody or control and for which you are legally liable; and
d. Covered under this Coverage Form.
The Limit of Insurance for Property Damage stated in the Declarations is deleted and replaced by
the sum of one dollar. If you are a public or private utility, 4.b. is deleted and replaced by the
following:
b. Owned by a public or private utility other than you;
22. Unless a higher limit is shown in the Declarations, the most we will pay for direct damage as a
direct result of a Breakdown to Covered Equipment is $25,000 for each of the following. The
limits are part of, not in addition to, the Limit of Insurance for Property Damage or Limit per
Breakdown.
a. Ammonia Contamination. The spoilage to Covered Property contaminated by ammonia,
including any salvage expense.
b. Consequential Loss. The reduction in the value of undamaged "Stock" parts of a product
which becomes unmarketable. The reduction in value must be caused by a physical loss or
damage to another part of the product.
c. Data and Media. Your cost to research, replace or restore damaged Data or Media including
the cost to reprogram instructions used in any Computer Equipment.
Effective 10-1-2009 36 ICRMP 29A2010
d. Hazardous Substance. Any additional expenses incurred by you for the clean-up, repair or
replacement or disposal of Covered Property that is damaged, contaminated or polluted by
a Hazardous Substance. As used here, additional expenses mean the additional cost
incurred over and above the amount that we would have paid had no Hazardous Substance
been involved with the loss. Ammonia is not considered to be a Hazardous Substance as
respects this limitation. This coverage applies despite the operation of the Ordinance or Law
Exclusion.
e. Water Damage. The damage to Covered Property by water including any salvage
expenses, except no coverage applies to such damage resulting from leakage of a sprinkler
system or domestic water piping.
Effective 10-1-2009 37 ICRMP 29A2010
ENDORSEMENTS
THESE ENDORSEMENTS CHANGE THE POLICY.
PLEASE READ THEM CAREFULLY.
Upset and Overturn Endorsement
Exception to Pollution Exclusion
Notwithstanding anything to the contrary contained in the policy to which this endorsement attaches, it is
hereby understood and agreed that Section III, Automobile Liability Insurance, is extended to cover
"Pollution cost or expense" as defined and limited below. This coverage is limited to $25,000 per
occurrence and aggregate.
"Pollution cost or expense" means any cost or expense arising out of:
1. Any request, demand or order by or on behalf of a governmental authority demanding that the
insured or others test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in
any way respond to, or assess the effects of, pollutants.
2. Any claim or suit by or on behalf of a governmental authority demanding the insured or test for,
monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or
assess the effects of pollutants.
"Pollution cost or expense" does not include any cost or expense arising out of the actual, alleged or
threatened discharge, dispersal, seepage, migration, release or escape of pollutants:
1. Before the pollutants or any property in which the pollutants are contained are moved from the
place where they are accepted by the insured for movement into or onto the covered
automobile or mobile equipment; or
2. After the pollutants or any property in which the pollutants are contained are moved from the
covered automobile or mobile equipment to the place where they are finally delivered,
disposed of or abandoned by the insured.
Paragraphs a. and b. above do not apply to accidents that occur away from the premises owned by or
rented in an Assured with the respects to pollutants not in or upon a covered automobile or mobile
equipment if:
1. The pollutants or any property in which the pollutants are contained are upset, overturned or
damaged as a result of the maintenance or use of a covered automobile or mobile equipment
and
2. The discharge dispersal, seepage, migration, release or escape of the Pollutants is caused
directly by such upset, overturn or damage.
ALL OTHER TERMS AND CONDITIONS REMAIN UNCHANGED
Effective 10-1-2009 E-1 ICRMP-29A2010
Section 1
TERRORISM INSURANCE
PHYSICAL LOSS OR PHYSICAL DAMAGE
INSURING CLAUSE
Subject to the exclusions, limits and conditions hereinafter contained, this Insurance insures property as
stated in the Schedule attaching to and forming part of this Policy (hereinafter referred to as the
"Schedule") against physical loss or physical damage occurring during the period of this Policy caused by
an Act of Terrorism or Sabotage, as herein defined.
For the purpose of this Insurance, an Act of Terrorism means an act or series of acts, including the use of
force or violence, of any person or group(s) of persons, whether acting alone or on behalf of or in
connection with any organization(s), committed for political, religious or ideological purposes including the
intention to influence any government and/or to put the public in fear for such purposes.
For the purpose of this Insurance, an act of sabotage means a subversive act or series of such acts
committed for political, religious or ideological purposes including the intention to influence any
government and/or to put the public in fear for such purposes.
Section 2
LOSSES EXCLUDED
This Policy does not insure against:
1. Loss or damage arising directly or indirectly from nuclear detonation, nuclear reaction, nuclear
radiation or radioactive contamination, however such nuclear detonation, nuclear reaction, nuclear
radiation or radioactive contamination may have been caused.
2. Loss or damage occasioned directly or indirectly by war, invasion or warlike operations (whether war
be declared or not), hostile acts of sovereign or local government entities, civil war, rebellion,
revolution, insurrection, martial law, usurpation of power, or civil commotion assuming the proportions
of or amounting to an uprising.
3. Loss by seizure or legal or illegal occupation unless physical loss or damage is caused directly by an
Act of Terrorism or an Act of Sabotage.
4. Loss or damage caused by confiscation, nationalisation, requisition, detention, embargo, quarantine,
or any result of any order of public or government authority which deprives the Insured of the use or
value of its property, nor for loss or damage arising from acts of contraband or illegal transportation or
illegal trade.
5. Loss or damage directly or indirectly arising from or in consequence of the seepage and or discharge
of pollutants or contaminants, which pollutants and contaminants shall include but not be limited to
any solid, liquid, gaseous or thermal irritant, contaminant or toxic or hazardous substance or any
substance the presence, existence or release of which endangers or threatens to endanger the
health, safety or welfare of persons or the environment.
6. Loss or damage arising directly or indirectly from or in consequence of chemical or biological
emission, release, discharge, dispersal or escape or chemical or biological exposure of any kind.
Effective 10-1-2009 E-2 ICRMP-29A2010
7. Loss or damage arising directly or indirectly from or in consequence of asbestos emission, release,
discharge, dispersal or escape or asbestos exposure of any kind.
8. Any fine or penalty or other assessment which is incurred by the Insured or which is imposed by any
court, government agency, public or civil authority or any other person.
9. Loss or damage by electronic means including but not limited to computer hacking or the introduction
of any form of computer virus or corrupting or unauthorised instructions or code or the use of any
electromagnetic weapon.
This exclusion shall not operate to exclude losses (which would otherwise be covered under this
Policy) arising from the use of any computer, computer system or computer software program or any
other electronic system in the launch and/or guidance system and/or firing mechanism of any weapon
or missile.
10. Loss or damage caused by vandals or other persons acting maliciously or by way of protest or
strikes, labour unrest, riots or civil commotion.
11. Loss or increased cost occasioned by any public or government or local or civil authority's
enforcement of any ordinance or law regulating the reconstruction, repair or demolition of any
property insured hereunder.
12. Loss or damage caused by measures taken to prevent, suppress or control actual or potential
terrorism or sabotage unless agreed by Underwriters in writing prior to such measures being taken.
13. Any consequential loss or damage, loss of use, delay or loss of markets, loss of income, depreciation,
reduction in functionality, or increased cost of working.
14. Loss or damage caused by factors including but not limited to cessation, fluctuation or variation in, or
insufficiency of, water, gas or electricity supplies and telecommunications or any type of service.
15. Loss or increased cost as a result of threat or hoax.
16. Loss or damage caused by or arising out of burglary, house - breaking, looting, theft or larceny.
17. Loss or damage caused by mysterious disappearance or unexplained loss.
18. Loss or damage directly or indirectly caused by mould, mildew, fungus, spores or other
microorganism of any type, nature or description, including but not limited to any substance whose
presence poses an actual or potential threat to human health.
Section 3
PROPERTY EXCLUDED
This Policy does not cover physical loss or physical damage to:
1. Land or land values.
2. Power transmission, feeder lines or pipelines not on the Insured's premises.
3. Any building or structure, or property contained therein, while such building or structure is vacant or
unoccupied or inoperative for more than thirty days, unless the property is intended to be unoccupied
in its normal operations.
Effective 10-1-2009 E-3 ICRMP-29A2010
4. Aircraft or any other aerial device, or watercraft.
5. Any land conveyance, including vehicles, locomotives or rolling stock, unless such land conveyance
is declared hereon and solely whilst located at the property insured herein at the time of its damage.
6. Animals, plants and living things of all types.
7. Property in transit not on the Insured's premises.
Section 4
CONDITIONS
1. JOINT INSUREDS
The Underwriters' total liability for any loss or losses sustained by any one or more of the Insureds
under this Insurance will not exceed the sum insured shown in the Schedule. The Underwriters shall
have no liability in excess of the sum insured whether such amounts consist of insured losses
sustained by all of the Insureds or any one or more of the Insureds.
2. OTHER INSURANCE
This Policy shall be excess of any other insurance available to the Insured covering a loss covered
hereunder except such other insurance which is written specifically as excess insurance over this
Policy. When this Policy is written specifically in excess of other insurance covering the peril insured
hereunder, this Policy shall not apply until such time as the amount of the underlying insurance,
(whether collectible or not), has been exhausted by loss and damage covered by this Policy in excess
of the deductible with respect to each and every covered loss.
3. SITUATION
This Policy insures property located at the addresses stated in the Schedule.
4. SUM INSURED
The Underwriters hereon shall not be liable for more than the Policy aggregate of twenty million
dollars ($20,000,000) for all members combined.
5. DEDUCTIBLE
Each occurrence shall be adjusted separately and from each such amount the sum stated in the
Schedule shall be deducted of twenty-five thousand dollars ($25,000) per occurrence.
6. OCCURRENCE
The term "Occurrence" shall mean any one loss and/or series of losses arising out of and directly
occasioned by one Act or series of Acts of Terrorism or Sabotage for the same purpose or cause.
The duration and extent of any one "Occurrence" shall be limited to all losses sustained by the
Insured at the property insured herein during any period of 72 consecutive hours arising out of the
same purpose or cause. However no such period of 72 consecutive hours may extend beyond the
expiration of this Policy unless the Insured shall first sustain direct physical damage by an Act of
Terrorism or an Act of Sabotage prior to expiration and within said period of 72 consecutive hours nor
shall any period of 72 consecutive hours commence prior to the attachment of this Policy.
Effective 10-1-2009 E-4 ICRMP-29A2010
7. DEBRIS REMOVAL
This Policy also covers, within the sum insured, expenses incurred in the removal from the insured
location of debris of property stated in the Schedule damaged by an Act of Terrorism or an Act of
Sabotage.
The cost of removal of debris shall not be considered in determination of the valuation of the property
covered.
8. DUE DILIGENCE
The Insured (or any of the Insured's agents, sub or co -contractors) must use due diligence and do
(and concur in doing and permit to be done) everything reasonably practicable, including but not
limited to taking precautions to protect or remove the insured property, to avoid or diminish any loss
herein insured and to secure compensation for any such loss including action against other parties to
enforce any rights and remedies or to obtain relief or indemnity.
9. PROTECTION MAINTENANCE
It is agreed that any protection provided for the safety of the property insured shall be maintained in
good order throughout the currency of this Policy and shall be in use at all relevant times, and that
such protection shall not be withdrawn or varied to the detriment of the interests of the Underwriters
without their consent.
10. VALUATION
It is understood that, in the event of damage, settlement shall be based upon the cost of repairing,
replacing or reinstating (whichever is the least) property on the same site, or nearest available site
(whichever incurs the least cost) with material of like kind and quality without deduction for
depreciation, subject to the following provisions:
The repairs, replacement or reinstatement (all hereinafter referred to as "replacement") must be
executed with due diligence and dispatch;
Until replacement has been effected the amount of liability under this Policy in respect of loss
shall be limited to the actual cash value at the time of loss;
If replacement with material of like kind and quality is restricted or prohibited by any by-laws,
ordinance or law, any increased cost of replacement due thereto shall not be covered by this
Policy.
The Underwriters' liability for loss under this Policy shall not exceed the smallest of the following
amounts:
The Policy limit applicable to the destroyed or damaged property,
The replacement cost of the property or any part thereof which was intended for the same
occupancy and use, as calculated at the time of the loss,
The amount actually and necessarily expended in replacing said property or any part thereof.
The Underwriters will normally expect the Insured to carry out repair or replacement of the insured
property, but if the Insured and the Underwriters agree that it is not practicable or reasonable to do
this, the Underwriters will pay the Insured an amount based on the repair or replacement costs, less
Effective 10-1-2009 E-5 ICRMP-29A2010
an allowance for fees and associated costs which are not otherwise incurred. The Underwriters will
only pay the Insured up to the Sum Insured shown in the Schedule.
11. INCORRECT DECLARATION PENALTY
If the values declared as stated in the Schedule are less than the correct insured values as
determined above, then any recovery otherwise due hereunder shall be reduced in the same
proportion that the values declared bear to the values that should have been declared, and the
Insured shall co-insure for the balance.
12. NOTIFICATION OF CLAIMS
The Insured, upon knowledge of any occurrence likely to give rise to a claim hereunder, shall give
written advice as soon as reasonably practicable to the Underwriters and or the Broker, named for
that purpose in the Schedule, who is to advise the Underwriters within seven (7) days of such
knowledge of any occurrence and it is a condition precedent to the liability of Underwriters that such
notification is given by the Insured as provided for by this Policy.
If the Insured makes a claim under this Insurance he must give the Underwriters such relevant
information and evidence as may reasonably be required and co-operate fully in the investigation or
adjustment of any claim. If required by the Underwriters, the Insured must submit to examination
under oath by any person designated by the Underwriters.
13. PROOF OF LOSS
The Insured shall render a signed and sworn proof of loss within sixty (60) days after the occurrence
of a loss (unless such period be extended by the written agreement of Underwriters) stating the time,
place and cause of loss, the interest of the Insured and all others in the property, the sound value
thereof and the amount of loss or damage thereto.
If the Underwriters have not received such proof of loss within two years of the expiry date of this
Policy, they shall be discharged from all liability hereunder.
In any claim and/or action, suit or proceeding to enforce a claim for loss under this Policy, the burden
of proving that the loss is recoverable under this Policy and that no limitation or exclusion of this
Policy applies and the quantum of loss shall fall upon the Insured.
14. SUBROGATION
Any release from liability entered into in writing by the Insured prior to loss hereunder shall not affect
this Policy or the right of the Insured to recover hereunder. The right of subrogation against any of the
Insured's subsidiary or affiliated companies or any other companies associated with the Insured
through ownership or management is waived;
In the event of any payment under this Policy, the Underwriters shall be subrogated to the extent of
such payment to all the Insured's right of recovery therefore. The Insured shall execute all papers
required, shall cooperate with Underwriters and, upon the Underwriters' request, shall attend hearings
and trials and shall assist in effecting settlements, securing and giving evidence, attaining the
attendance of witnesses and in the conduct of suits and shall do anything that may be necessary to
secure such right. The Underwriters will act in concert with all other interests concerned (including the
Insured) in the exercise of such rights of recovery. If any amount is recovered as a result of such
proceedings, such amount shall be distributed in the following priorities:
(i) Any interest, (including the Insured's), exclusive of any deductible or self insured retention,
suffering a loss of the type covered by this Policy and in excess of the coverage under this
Effective 10-1-2009 E-6 ICRMP-29A2010
Policy shall be reimbursed up to the amount of such loss (excluding the amount of the
deductible);
(ii) Out of the balance remaining, the Underwriters shall be reimbursed to the extent of payment
under this Policy;
(iii) The remaining balance, if any, shall inure to the benefit of the Insured, or any insurer
providing insurance primary to this Policy, with respect to the amount of such primary
insurance, deductible, self insured retention, and/or loss of a type not covered by this Policy.
The expense of all proceedings necessary to the recovery of any such amount shall be apportioned
between the interests concerned, including that of the Insured, in the ratio of their respective
recoveries as finally settled. If there should be no recovery and proceedings are instituted solely on
the initiative of Underwriters, the expense thereof shall be borne by the Underwriters.
15. SALVAGE AND RECOVERIES
All salvages, recoveries and payments recovered or received subsequent to a loss settlement under
this Policy shall be applied as if recovered or received prior to the said settlement and all necessary
adjustments shall be made by the parties hereto.
16. FALSE OR FRAUDULENT CLAIMS
If the Insured shall make any claim knowing the same to be false or fraudulent, as regards amount or
otherwise, this Policy shall become void and all claims and benefit hereunder shall be forfeited.
17. MISREPRESENTATION
If the Insured has concealed or misrepresented any material fact or circumstance relating to this
Insurance, this Insurance shall become void. If the Insured is unsure what constitutes material fact(s)
or circumstance(s), they should consult their broker or agent.
18. ABANDONMENT
There shall be no abandonment to the Underwriters of any property.
19. INSPECTION AND AUDIT
The Underwriters or their agents shall be permitted but not obligated to inspect the Insured's property
at any time.
Neither the Underwriters' right to make inspections nor the making thereof nor any report thereon
shall constitute an undertaking, on behalf of or for the benefit of the Insured or others, to determine or
warrant that such property is safe.
The Underwriters may examine and audit the Insured's books and records at any time up to two
years after the final termination of this Policy, as far as they relate to the subject matter of this
Insurance.
20. ASSIGNMENT
Assignment or transfer of this Policy shall not be valid except with the prior written consent of the
Underwriters.
Effective 10-1-2009 E-7 ICRMP-29A2010