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HomeMy WebLinkAboutInsurance Certificate: Rands Art Design 9RANDAR OP ID: PB ATE (MM/DDIYYYY) CERTIFICATE OF LIABILITY INSURANCE 04/26/20 6 04/26/2016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER Phone: 541-779-4232 NAME: CONTACT Hart Insurance Fax: 541-772-3963 PHONE FAX 1123 Royal Ave. A/c No Ext : A/C No : Medford, OR 97504 E-MAIL Hart Insurance / Medford ADDRESS: INSURER(S) AFFORDING COVERAGE NAIC # INSURER A: Mutual of Enumclaw Ins. Co. 14761 INSURED Rands Art Design dba INSURER B : Brandon Rands 1422 Hillcourt St INSURER C : Medford, OR 97504 INSURER D : INSURER E : INSURER F : COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR TYPE OF INSURANCE POLICY NUMBER MM/DD/YYYY MM/DD/YYYY GENERAL LIABILITY EACH OCCURRENCE $ 1,000,00 A X COMMERCIAL GENERAL LIABILITY X CPP0018398 06/12/2016 06/12/2017 DAMAGE TO RENTED 300,00 PREMISES Ea occurrence $ _ CLAIMS-MADE 7XI OCCUR MED EXP (Any one person) $ 10,00 PERSONAL & ADV INJURY $ 1,000,00 GENERAL AGGREGATE $ 2,000,00 GENT AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG $ 2,000,00 POLICY PRO LOC $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT 1,000,00 Ea accident $ A ANY AUTO CPP0018398 06/12/2016 06/12/2017 BODILY INJURY (Per person) $ ALL OWNED SCHEDULED BODILY INJURY (Per accident) $ AUTOS X AUTOS NON-OWNED PROPERTY DAMAGE $ X HIRED AUTOS X AUTOS Per accident $ UMBRELLA LAB H OCCUR EACH OCCURRENCE $ EXCESS LIAB CLAIMS-MADE AGGREGATE $ DED RETENTION $ $ WORKERS COMPENSATION W STATU- OTH- AND EMPLOYERS' LIABILITY Y / N TO C RY LIMITS ER ANY PROPRIETOR/PARTNER/EXECUTIVE E.L. EACH ACCIDENT $ N / A OFFICER/MEMBER EXCLUDED? F-1 (Mandatory in NH) E.I. DISEASE - EA EMPLOYEE, $ If yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE -POLICY LIMIT $ DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space is required) Certificate Holder is an additional insured per form # EG9901 12/04 attached CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Ashland ACCORDANCE WITH THE POLICY PROVISIONS. 20 East Main Street Ashland, OR 97520 AUTHORIZED REPRESENTATIVE ranc M ford Hart In Pa" ~U& ©1988-2010 AC OD CORPORATION. All rights reserved. ACORD 25 (2010/05) The ACORD name and logo are registered marks of AC COMMERCIAL GENERAL LIABILITY EG 99 01 12 04 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. SPECIAL GENERAL LIABILITY ENHANCEMENT ENDORSEMENT This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART Schedule 1. Incidental Malpractice Liability Included 2. Expected Or Intended Injury Included 3. Non-Owned Watercraft Up to 51 Feet in Length 4. Non-Owned Aircraft Included 5. Property Damage Liability ♦ By Use of Elevators Included ♦ "Borrowed Personal Property" $25,000 (Deductible: $1000) ♦ Premises Rented to You or Temporarily Occupied by You With Permission of Owner $300,000 6. Product Recall Expense $100,000 7. Medical Payments $10,000 8. Supplementary Payments - Increased Limits ♦ Bail Bonds $1,000 ♦ Loss of Earnings $500 a day 9. Broad Form Named Insured Included 10. Newly Formed Or Acquired Organizations - Covered up to 180 days Included 11. Additional Insured - Broad Form Vendors Included 12. Knowledge of Occurrence Included 13. Unintentional Failure To Disclose Hazards Included 14. Definitions 15. Employment-Related Practices Liability $15,000 each injury/$15,000 aggregate (Deductible: $3,000) EG 99 01 12 04 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 1 of 12 1. INCIDENTAL MALPRACTICE LIABILITY However, paragraph (6) does not apply if other insurance is available to the A. The definition of "bodily injury" in Section V - insured for a loss we cover under Definitions is amended to include injury arising paragraph (6), whether primary, out of the rendering or failure to render medical excess, contingent or any other basis. or paramedical services to persons by any physician, dentist, nurse, emergency medical S. PROPERTY DAMAGE LIABILITY technician or paramedic who is employed by you to provide such services. A. Exclusion j. under COVERAGE A (Section 1) is revised as follows: B. Paragraph 2.a.(1)(d) under WHO IS INSURED 1. The paragraph immediately following (Section 11) does not apply to nurses, paragraph (6) is replaced by the following: emergency medical technicians or paramedics referred to in a. above. Paragraphs (1), (3) and (4) of this This coverage does not apply if you are engaged in exclusion do not apply to "property damage" (other than damage by fire, the business or occupation of providing any explosion, smoke or leakage from fire services referred to in paragraph A. above. protection systems) to premises, including the contents of such 2. EXPECTED OR INTENDED INJURY premises, rented to you for a period of 7 or fewer consecutive days. A Exclusion a. under COVERAGE A (Section 1) is separate limit of insurance applies to replaced by the following: Damage To Premises Rented To You as described in Section III - Limits Of a."Bodily injury" or "property damage" expected Insurance. or intended from the standpoint of the insured. 2. The following paragraphs are added to Exclusion g. under COVERAGE A (Section This exclusion does not apply to "bodily I): injury" or "property damage" resulting from Paragraphs (3) and (4) of do not apply the use of reasonable force to protect to the use of elevators. persons or property. Paragraph (4) of this exclusion does 3. NON-OWNED WATERCRAFT not apply to "property damage" to Paragraph (2) of Exclusion g. under COVERAGE A "borrowed personal property" while: (Section 1) is replaced by the following: (a) The "borrowed personal property" is on premises occupied by you This exclusion does not apply to, and owned, leased or rented by (2) A watercraft you do not own that is: you; and (a) Less than 51 feet long, and (b) Not being used to carry persons or (b) "Property damage" insurance property for a charge. under this policy applies to the premises. Paragraph (2) applies to any person, who with your expressed or implied Subject to paragraph 2. under LIMITS consent, either uses or is responsible OF INSURANCE (Section III), the most for the use of the watercraft; we will pay for "property damage" to "borrowed personal property" is 4. NON-OWNED AIRCRAFT $25,000 any one "occurrence". Our obligation to pay damages on your The following paragraph is added to Exclusion g. behalf applies only to the amount of under COVERAGE A. (Section I): damages in excess of $1,000. The deductible amount applies to all This exclusion does not apply to damages because of "property (6) An aircraft that is: damage" as the result of any one (a) Hired, chartered or borrowed with "occurrence" regardless of the number a paid crew; and of persons or organizations who (b) Not owned by any insured. sustain damages because of that Page 2 Of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04 "occurrence". We may pay any part or 6. PRODUCT RECALL EXPENSE the entire deductible amount to effect settlement of any claim or "suit' and, NOTICE: COVERAGE FOR "DEFENSE upon notification of the action taken, EXPENSES" IS SUBJECT TO THE LIMIT OF you shall promptly reimburse us for INSURANCE, NOT IN ADDITION TO THE LIMIT such part of the deductible amount as OF INSURANCE. THIS MEANS THAT PAYMENT has been paid by us. FOR "DEFENSE EXPENSES" REDUCES THE AMOUNT AVAILABLE TO PAY FOR DAMAGES. The insurance provided for "property damage" from the use of elevators and A. Exclusion n. under COVERAGE A (Section 1) - for "property damage" to "borrowed is replaced by the following: personal property" is excess over any other valid and collectible property n. Recall Of Products, Work Or Impaired insurance (including any deductible Property portion thereof) available to any insured whether primary, excess, Damages claimed for any loss, cost or contingent or on any other basis. expense incurred by you or others for the loss of use, withdrawal, recall, inspection, B. The last paragraph under Exclusions (Section I repair, replacement, adjustment, removal - Coverage A) is replaced by the following: or disposal of "your product" if "your product" is withdrawn or recalled from the Exclusions c. through n. do not apply to market or from use by any person or damage by fire, explosion, smoke or organization because of a known or leakage from fire protection systems to suspected defect, deficiency, inadequacy premises while rented to you or temporarily or dangerous condition in it. occupied by you with permission of the owner. A separate limit of insurance This exclusion does not apply to product applies to this coverage as described in recall expenses" that you incur for the paragraph 6. under LIMITS OF "covered recall" of "your product," except INSURANCE (Section III). for "product recall expenses" resulting from or due to: C. Paragraph 6. under LIMITS OF INSURANCE (Section 111) is replaced by the following: (1) Failure To Conform To Intended Purpose 6. Subject to 5. above, the Damage To The failure of "your product" to Premises Rented To You Limit of accomplish its intended purpose. $300,000 is the most we will pay under COVERAGE A for damages because of (2) Breach of Warranty "property damage" to any one premises, Breach of warranty of fitness, quality, while rented to you, or in the case of durability or performance, whether damage by fire, explosion, smoke or written or implied. leakage from fire protection systems, while rented to you or temporarily (3) Loss of Customer Approval occupied by you with permission of the Loss of customer approval, or any owner. cost incurred to regain customer approval. D. Paragraph 4.b.(1)(b) under COMMERCIAL GENERAL LIABILITY CONDITIONS (Section (4) Redistribution or Replacement of IV) is replaced by the following: Recalled Product The redistribution or replacement of (b) That is Fire, Explosion, Smoke Or "your product" which has been Leakage From Fire Protective Systems recalled, by like products or insurance for premises rented to you or substitutes. temporarily occupied by you with (5) Known Defect or Condition permission of the owner, A defect or condition known to exist by the by the named insured or the named insured's "executive officers", prior to the date when this Coverage Part was first issued to you or prior to EG 99 01 12 04 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 3 of 12 the time 'your product" leaves your "products completed operations control or possession; hazard"; (6) Expiration of Sheff Life b. "Product recall expenses"; and The expiration of the designated shelf life of "your product". c. "Defense expenses". (7) Deterioration, Decomposition, Or D. The following is added under LIMITS OF Chemical Transformation INSURANCE (Section III): Transformation of a chemical nature, deterioration or decompositions of Subject to S. above, $100,000 is the most "your product". This exclusion does we will pay for all "product recall expenses" not apply if it is caused by: and "defense expenses" arising out of the (i) An error in manufacturing, same known or suspected defect, design or processing; deficiency, inadequacy or dangerous (ii) Transportation of "your product", or condition in "your product". (iii) Product tampering. E. The following is added under COMMERCIAL (8) Otherwise Excluded Products GENERAL LIABILITY CONDITIONS (Section Recall of any specific products for IV) which "bodily injury" or "property damage" is excluded under You must see to it that the following are Coverage A (Section 1) by done in the event of an actual or endorsement. anticipated "covered recall" that may result in "product recall expense"; (9) Government Ban A recall of "your product" or a (1) Give us prompt notice of any discovery component contained within "your or notification that "your product" must product" which has been: be withdrawn or recalled. Include a (i) Banned from the market by an description of "your product" and the authorized government entity reason for withdrawal or recall; prior to the policy period; or (ii) Distributed or sold by you (2) Cease any further release, shipment, subsequent to any governmental consignment or any other method of ban. distribution of like or similar products until it has been determined that all (10) Third Party Damages, Fines And such products are free from defects Penalties that could be a cause of loss under this Any compensatory damages, fines, insurance. penalties, punitive or exemplary or other non-compensatory damages 7. MEDICAL PAYMENTS imposed upon the insured. A. Paragraph 1.a. under COVERAGE C - B. The following is added to paragraph 3 under MEDICAL PAYMENTS (Section I) is replaced WHO IS INSURED (Section 11): by the following: COVERAGE A does not apply to "product 1. Insuring Agreement recall expense" arising out of any a. We will pay medical expenses as withdrawal or recall that occurred before described below for "bodily injury" you acquired or formed the organization. caused by an accident: (1) On premises you own or rent, C. LIMITS OF INSURANCE (Section III) is (2) On ways next to premises you replaced by the following: own or rent, or (3) Because of your operations, 3. The Products-Completed Operations Aggregate Limit is the most we will pay provided that: for the sum of: a. Damages under Coverage A (1) The accident takes place in the because of "bodily injury" and "coverage territory" and during "property damage" included in the the policy period; Page 4 of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04 (2) The expenses are incurred and 10. NEWLY FORMED OR ACQUIRED reported to us within three ORGANIZATIONS years of the date of the accident, and Paragraph 3.a. under WHO IS INSURED (Section (3) The injured person submits to II) is replaced by the following: examination, at our expense, by physicians of our choice as a. Coverage under this provision is afforded often as we reasonably only until the 180th day after you acquire or require. form the organization or the end of the policy period, whichever is earlier, B. Paragraph 7. under LIMITS OF INSURANCE (Section III) is replaced by the following: 11. ADDITIONAL INSURED - BROAD FORM VENDORS 7.Subject to 5. above, the Medical Expense Limit of $10,000 is the most we will pay The following is added to WHO IS INSURED under Coverage C for all medical (Section II): expenses because of "bodily injury" sustained by any one person. Any person or organization with whom you have agreed, because of a written contract or 8. SUPPLEMENTARY PAYMENTS agreement to provide insurance, but only with respect to "bodily injury" or "property damage" Paragraph 1 under SUPPLEMENTARY arising out of "your products" which are PAYMENTS - COVERAGES A AND B (Section 1) distributed or sold in the regular course of the is revised as follows: vendor's business, subject to the following additional exclusions: We will pay, with respect to any claim we investigate or settle, or any "suit" against an a. Exclusions insured we defend: The insurance afforded the vendor does not apply to: b. Up to $1,000 for cost of bail required because of accidents or traffic laws (1) Contractual Liability violations arising out of the use of any "Bodily injury" or "property damage" for vehicle to which the Bodily Injury Liability which the vendor is obligated to pay Coverage applies. We do not have to damages by reason of the assumption furnish these bonds. of liability in a contract or agreement. This exclusion does not apply to d. All reasonable expenses incurred by the liability for damages that the vendor insured at our request to assist us in the would have in the absence of the investigation or defense of the claim or contract or agreement. "suit", including actual loss of earnings up $500 a day because of time off from work. (2) Express Warranty Any express warranty unauthorized by 9. BROAD FORM NAMED INSURED you. The following is added to paragraph 2. under WHO (3) Physical or Chemical Change IS INSURED (Section 11): Any physical or chemical change in the product made intentionally by the Any subsidiary and subsidiary thereof which is vendor. a legally incorporated entity of which you own a financial interest of more than 50% of the (4) Repackaging voting stock on the effective date of the Repackaging, unless unpacked solely Coverage Part. The insurance afforded herein for the purpose of inspection, for any subsidiary not named in the Coverage demonstration, testing or substitution of Part as a named insured does not apply to parts under instructions from the injury or damage with respect to which an manufacturer, and then repackaged in insured under this Coverage Part is also an the original container. insured under another policy or would be an insured under such policy but for its termination or the exhaustion of its limits of insurance. EG 99 01 12 04 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 6 of 12 (5) Failure to Make Inspections, 13. UNINTENTIONAL FAILURE TO DISCLOSE Adjustments, Tests or Servicing HAZARDS Any failure to make such inspections, adjustments, tests or servicing as the Paragraph 6. under COMMERCIAL GENERAL vendor has agreed to make or normally LIABILITY CONDITIONS (Section IV) is replaced undertakes to make in the usual course by the following: of business, in connection with the distribution or sale of the products. 6. Representations a. By accepting this policy, you agree: (6) Demonstration, Installation, Servicing or Repair (1) The statements in the Declarations Demonstration, installation, servicing or are accurate and complete; repair operations, except such (2) Those statements are based upon operations performed at the vendor's representations you made to us, premises in connection with the sale of and the product. (3) We have issued this policy in (7) Labeling, Re-labeling or Other Use reliance upon your representations. of Products After Distribution Products which, after distribution or b. We will not deny coverage under this sale by you, have been labeled or re- Coverage Part because of your labeled or used as a container, part or unintentional failure to disclose all ingredient of any other thing or existing hazards at the inception date substance by or for the vendor. of your policy. b. This insurance does not apply to any 14. DEFINITIONS insured person or organization, from whom you have acquired such products, or any A. The following definitions are revised under ingredient, part or container, entering into, DEFINITIONS (Section V): accompanying or containing such products. 1. Bodily Injury c. This insurance does not apply if "bodily "Bodily injury" means bodily injury, injury" or "property damage" included sickness or diseased sustained by a within the "products-completed operations person, including mental anguish or death hazard" is excluded either by the provisions resulting from any of these at any time. of the Coverage Part or by endorsement. 2. Insured Contract 12. KNOWLEDGE OF OCCURRENCE "Insured contract" means: a. A contract for a lease of premises. The following is added to paragraph 2 under However, that portion of the contract COMMERCIAL GENERAL LIABILITY for a lease of premises that indemnifies CONDITIONS (Section IV'): any person or organization for damage by fire, explosion, smoke or leakage Knowledge of an "occurrence", offense, claim from fire protection systems to or "suit" by any agent, servant or employee of premises while rented to you or any insured, or receipt by any agent, servant or temporarily occupied by you with employee of any insured of any demand, permission of the owner is not an notice, summons or other legal paper in "insured contract"; connection with a claim or "suit", shall not in b. A sidetrack agreement; itself constitute knowledge of any insured or c. Any easement or license agreement, receipt by any insured unless such except in connection with construction "occurrence", offense, claim or "suit" is known or demolition operations on or within 50 to or received by: feet of a railroad; d. An obligation, as required by (1) You, if you are an individual, ordinance, to indemnify a municipality, (2) A partner, if you are a partnership; except in connection with work for a (3) A manager, if you are a limited liability municipality; company; or e. An elevator maintenance agreement, (4) An "executive officer" or insurance manager, if you are a corporation. Page 6 of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04 f. That part of any other contract or natural person, but only if such agreement pertaining to your business discrimination or humiliation is: (including an indemnification of a (1) Not done intentionally by or at the municipality in connection with work direction of; performed for a municipality) under a. Any insured, or which you assume the liability of b. Any "executive officer," director, another party to pay for "bodily injury" stockholder, partner or member of or "property damage" to a third person the insured; and or organization. (2) Not directly or indirectly related to the Paragraph f. does not include that part employment, prospective employment of any contract or agreement: or termination of employment of any person or persons by any insured. (1) That indemnifies a railroad for "bodily injury" or "property B. The following definitions are added under damage" arising out of construction DEFINTIONS (Section V): or demolition operations, within 50 feet of any railroad property and 1. Borrowed Personal Property affecting any railroad bridge or "Borrowed personal property" means trestle, tracks, roadbeds, tunnel, personal property other than "auto" which underpass or crossing; you receive from another for temporary use (2) That indemnifies an architect, in your business with the intent to return it engineer or surveyor for injury or or its equivalent. damage arising out of: (a) Preparing, approving or failing "Borrowed personal property" does not to prepare or approve maps, include: shop drawings, opinions, a. Personal property owned by, reports, surveys, field orders, (1) You or your spouse if you are an change orders or drawings and individual; specifications; or (2) Your members, partners or their (b) Giving directions or spouses if you are a partnership or instructions, or failing to give joint venture; them, if that is the primary (3) Your members or managers if you cause of the injury or damage; are a limited liability company, or (4) Your "executive officers" or (3) Under which the insured, if an directors if you are an organization architect, engineer or surveyor, other than a partnership, joint assumes liability for an injury or venture or limited liability company; damage arising out of the insured's or rendering or failure to render b. Personal property that is rented, leased professional services, including or hired. those listed in (2) above and supervisory, inspection, 2. Covered Recall architectural or engineering "Covered recall" means a recall made activities. necessary because you or a government body has determined that a known or 3. Mobile Equipment suspected defect, deficiency, inadequacy Paragraph 12.f.(1)(a)(b)(c) does not apply or dangerous condition in "your product" to self-propelled vehicles of less than 1000 has resulted or will result in "bodily injury" pounds gross vehicle weight. or "property damage." 4. Personal and Advertising Injury 3. Product Recall Expense The following is added to the "personal and "Product recall expense" means: advertising injury" definition: a. The following necessary and reasonable expenses you incur "Personal and advertising injury" includes exclusively for the purpose of recalling discrimination or humiliation that results in "your product": injury to the feelings or reputation of a (1) Communications, including radio or television announcements or EG 99 01 12 04 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 7 of 12 printed advertisements including "Defense expense" does not include stationery, envelopes and postage; salaries and expenses of our "employees" (2) Shipping the recalled products or the insured's "employees" other than from any purchaser, distributor or those described in Paragraphs (a) and (d) user to the place or places above. designated by you; (3) Remuneration paid to your regular 15. COVERAGE D - EMPLOYMENT-RELATED "employees" for necessary PRACTICES LIABILITY overtime, (4) Hiring additional persons, other NOTICE: COVERAGE FOR "DEFENSE than regular "employees"; EXPENSES" IS SUBJECT TO THE LIMIT OF (5) Expenses incurred by "employees" INSURANCE, NOT IN ADDITION TO THE LIMIT including transportation and OF INSURANCE. THIS MEANS THAT PAYMENT accommodations, FOR "DEFENSE EXPENSES" REDUCES THE (6) Expenses to rent additional AMOUNT AVAILABLE TO PAY FOR DAMAGES. warehouse or storage space; (7) Disposal of "your product," but only Employment- Related Practices Liability coverage is to the extent that specific methods added as follows: of destruction other than those employed for trash discarding or A. Insuring Agreement disposal are required to avoid (1) We will pay those sums the insured "bodily injury" or "property becomes legally obligated to pay as damage" as a result of such damages resulting from "injury" to which disposal; and this insurance applies. We will have the b. Your lost profit resulting from such right and duty to defend the insured against "covered recall." any "suit" seeking those damages. However, we will have no duty to defend 4. Defense Expenses the insured against any "suit" seeking Solely for the of Products Recall Coverage, damages because of an "injury" to which "defense expenses" means payments this insurance does not apply. We may, at allocated to a specific "claim" we our discretion, investigate any incident that investigate, settle or defend, for its may result in "injury." We may, with your investigation, settlement or defense, written consent, settle any "claim" that may including: result. But: (a) Fees and salaries of attorneys and a. The amount we will pay for damages or paralegals we retain, including "defense expenses" is limited as attorneys and paralegals who are our described herein, "employees." b. The coverage and duty to defend (b) Fees of attorneys the insured retains provided by this policy will end when when, by our mutual agreement or we have used up the applicable limit of court order (or when required by insurance for "defense expenses" or administrative hearing or proceeding), the payment of judgments or the insured is given the right to retain settlements. defense counsel to defend against a "claim." No other obligation or liability to pay sums, (c) All other litigation or administrative such as civil or criminal fines, imposed on hearing expenses, including fees or you or any other insured, or to perform acts expenses of expert witnesses hired or services is covered unless explicitly either by us or by the defense attorney provided for under Supplementary retained by an insured. Payments. (d) Reasonable expenses incurred by the insured at our request to assist us in (2) This insurance applies to "injury" only if: the investigation or defense of the a. The "injury" arises out of an offense "claim," including actual loss of that takes place in the "coverage earnings up to $500 a day because of territory", and time off from work. b. The offense out of which the "injury" (e) Costs taxed against the insured in the arose commenced during the policy "suit." period. Page 8 of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04 B. Exclusions following: Title VII of the Civil Rights Act of This insurance does not apply to: 1964 and amendments thereto, the Age Discrimination in Employment Act, the (1) Criminal, Fraudulent Or Malicious Acts Equal Pay Act, the Pregnancy An insured's liability arising out of criminal, Discrimination Act of 1978, the Immigration fraudulent or malicious acts or omissions Reform Control Act of 1986 and the Family by that insured, or arising out of that and Medical Leave Act of 1993 or any insured's knowing acquiescence or failure other similar state or local statutes, rules or to act, or instruction, direction, or approval regulations to the extent that they prescribe given to another concerning such acts or responsibilities or duties concerning the omissions. same acts or omissions. This exclusion does not affect our duty to (6) Strikes and Lockouts defend, in accordance with Paragraph A.1. "Injury" to any striking or locked-out above, an insured prior to determining, "employee" or to an "employee" who has through the appropriate legal processes, been temporarily or permanently replaced that that insured is responsible for a due to an labor dispute. criminal, fraudulent or malicious act or omission or has instructed, directed or (7) Sexual Harassment provided approval for another concerning Liability of that insured who commits a such acts or omissions. "sexual harassment" offense. (2) Contractual Liability This exclusion does not affect our duty to "Injury" for which the insured is obligated to defend that insured prior to determining, pay damages by reason of the assumption through the appropriate legal processes, of liability in a contract or agreement. This that that insured has committed a "sexual exclusion does not apply to liability for harassment" offense, other than an assault damages that the insured would have in or battery. the absence of the contract or agreement. (8) Employment, Termination Or Relocation (3) Workers Compensation And Similar Due To Business Decisions Laws "Injury" arising out of termination of Any obligation of the insured under a employment, job relocation or workers compensation, disability benefits reassignment, if the action is taken or unemployment compensation law or any because; similar law. a. You have filed for bankruptcy protection, or your are placed in (4) Americans With Disabilities Acts receivership or liquidation; "Injury" arising out of your failure to comply b. You have merged with or been with any of the accommodations for the acquired by another business entity, disabled required of you by, or any c. You have closed an operation or a expenses incurred as the result of business location, or modifications made to accommodate any d. Your business location is partly closed person pursuant to, the Americans With or the size of an operation must be Disabilities Act, or any amendments reduced because of fire or other thereto, or any similar state or local disasters beyond your control. statutes, rules or regulations to the extent that they prescribe responsibilities or duties (9) Intentional Injury concerning the same acts or omissions. Liability of that insured who commits an act of intentional "discrimination" or coercion. (5) Violation Of Laws Applicable To Employers This exclusion does not affect our duty to A violation of your responsibilities or duties defend that insured prior to determining, required by any other federal, state or local through the appropriate legal processes, statutes, rules or regulations, and any rules whether that insured committed such act- or regulations promulgated therefor or amendments thereto, except for the EG 99 01 12 04 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 9 of 12 (10) Retaliatory Actions (2) The most we will pay for all damages and Liability arising out of an insured's retaliatory "defense expenses" arising out of "injuries" action against a person because the person during the policy period is $15,000. has'. (3) The limits of insurance apply separately to a. Declined to perform an illegal or each consecutive annual period and to any unethical act; remaining period of less than 12 months, b. Filed a complaint with a governmental starting with the beginning of the policy authority or a "suit" against you or any period shown in the Declarations, unless other insured in which damages are the policy period is extended after issuance claimed. for an additional period of less than 12 c. Testified against you or any other months. In that case, the additional period insured at a legal proceeding; or will be deemed part of the last preceding d. Notified a proper authority of any aspect period for purposes of determining the of your business operation which is limits of insurance. illegal. F. Paragraph 2 under COMMERCIAL GENERAL C. SUPPLEMENTARY PAYMENTS (Section 1) is LIABILITY CONDITIONS (Section IV) is extended to apply to COVERAGE D - replaced by the following: EMPLOYMENT RELATED PRACTICES. 2. Duties In The Event Of A "Claim" Or D. WHO IS INSURED (Section ll) is replaced by An Incident That May Result In the following: "Injury" a. If a "claim" is received by any (1) If you are designated in the Declarations insured, you must: as: (1) Immediately record the a. An individual, you and your spouse are specifics of the "claim" and the insureds. date received; and b. A partnership or joint venture, you are (2) Notify us, in writing, as soon as an insured. Your partners or your practicable, members are also insureds. c. A limited liability company, you are an b. You and any other involved insured. Your members are also insured must: insureds. (1) Immediately send us copies of d. An organization other than a any demands, notices, partnership, joint venture or limited summonses or legal papers liability company, you are an insured. received in connection with the Your "executive officers" and your "claim"; directors are also insureds. (2) Authorize us to obtain records and other information; and (2) Your "employees" who hold managerial or (3) Cooperate with us in the supervisory positions are also insureds. investigation or settlement of the "claim" or defense against No person or organization is an insured with the "suit." respect to the conduct of any current or past (4) Assist us, upon our request, in partnership, joint venture or limited liability the enforcement of any right company that is not shown as a Named against any person or Insured in the Declarations. organization which may be liable to the insured because of E. LIMITS OF INSURANCE (Section III) is "injury" or damage to which replaced by the following: this insurance may also apply. c. No insured will, except at that Limits of Insurance insured's own cost, voluntarily (1) The most we will pay is $15,000 for the make a payment, assume any sum of, obligation, or incur any expense a. All claims for damage arising out of an without our written consent. "injury"; and d. If you have knowledge of an b. "Defense expenses" for all claims incident which may result in "injury" seeking damages payable under and for which a "claim" has not yet Paragraph (1) above. been received, you must notify us, in writing, as soon as practicable. Page 10 of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04 G. DEFINITIONS (Section V) is replaced by the (4) Discrimination following, "Discrimination" means violation of a person's civil rights with respect to such (1) Claims person's race, color, national origin, "Claim" means a "suit" or demand made by religion, gender, marital status, age, sexual or for the injured person for damages orientation or preference, physical or because of alleged "injury." mental condition, or any other protected class or characteristic established by any (2) Coverage Territory federal, state of local statutes, rules or "Coverage territory" means: regulations. (a) The United States of America (including its territories or possessions) (5) Employee and Puerto Rico; or "Employee" includes a "leased worker" and (b) All parts of the world if the insured's a "temporary worker." responsibility to pay damages is determined in a "suit" on the merits (6) Executive Officer brought in the territory described in a. "Executive officer" means a person holding above or in a settlement we agree to. any of the officer positions created by your charter, constitution, by-laws or any other (3) Defense Expense similar governing document. "Defense expenses" means payments allocated to a specific "claim" we (7) Injury investigate, settle or defend, for its "Injury" means injury to a person arising investigation, settlement or defense, out of one or more of the following including, offenses: (a) Fees and salaries of attorneys and (a) Refusal to employ the person, paralegals we retain, including termination of the person's attorneys and paralegals who are our employment, demotion or failure to "employees." promote, negative evaluation, (b) Fees of attorneys the insured retains reassignment, discipline, defamation or when, by our mutual agreement or humiliation of the person, based on court order (or when required by "discrimination" directed at that person; administrative hearing or proceeding), (b) Coercing that person to commit an the insured is given the right to retain unlawful act or omission within the defense counsel to defend against a scope of the person's employment, "claim." (c) Work-related "sexual harassment"; or (c) All other litigation or administrative (d) Other work-related verbal, physical, hearing expenses, including fees or mental or emotional abuse directed at expenses of expert witnesses hired the person with respect to that person's either by us or by the defense attorney race, color, national origin, religion, retained by an insured. gender, marital status, age, sexual (d) Reasonable expenses incurred by the orientation or preference, physical or insured at our request to assist us in mental condition, or any other the investigation or defense of the protected class or characteristic "claim," including actual loss of established by any federal, state or earnings up to $500 a day because of local statutes, rules or regulations. time off from work. (e) Costs taxed against the insured in the (8) Leased Worker "suit." "Leased worker" means a person leased to you by a labor leasing firm under an "Defense expenses" does not include agreement between you and the labor salaries and expenses of our "employees" leasing firm, to perform duties related to or the insured's "employees" other than the conduct of your business. "Leased those described in Paragraphs (a) and (d) worker" does not include a "temporary above. worker." EG 99 01 12 04 Includes copyrighted material of Insurance Services office, Inc. with its permission. Page 11 of 12 (9) Sexual Harassment H. Deductible "Sexual harassment" means unwelcome (1) Our obligation to pay damages and sexual advances, requests for sexual "defense expenses" applies only to the favors, or other verbal, visual or physical amount in excess of $3,000 as a result of conduct of a sexual nature when such any one "injury." conduct: (a) Is linked with a decision affecting an (2) We may pay any part or all of the individual's employment; deductible amount to effect settlement of (b) Interferes with an individual's job any claim or "suit" and, upon notification of performance, or the action taken, you shall promptly (c) Creates an intimidating, hostile or reimburse us for such part of the deductible offensive working environment for an amount as has been paid by us. individual. (10) Suit "Suit" means a civil proceeding in which damages because of "injury" to which this insurance applies are alleged, including: (a) An arbitration proceeding in which such damages are claimed and to which the insured must submit or does submit with our consent, (b) Any other alternative dispute resolution proceeding in which such damages are claimed and to which the insured submits with our consent, or (c) Any administrative proceeding or hearing conducted by a governmental agency (federal, state or local) having the proper legal authority over the matter in which such damages are claimed. (11) Temporary Worker 'Temporary worker" means a person who is furnished to you to substitute for a permanent "employee" on leave or to meet seasonal or short-term workload conditions. Page 12 of 12 Includes copyrighted material of Insurance Services Office, Inc. with its permission. EG 99 01 12 04