COMPULINK MANAGEMENT CENTER INC. 2 - 2003

Home Browse Search

a. not done intentionally by or at the direction of: (1) the insured; or ~ (2) any executive officer, director, stockholder, partner or member of the insured staff; and b. not directly or indirectly related to the employment, prospective employment or termination of employment of any person or persons by any insured. The insurance afforded under this provision does not apply to fines or penalties, or that portion of any award or judgment caused by trebling or multiplication of actual damages under state or federal law. This provision does not apply if Coverage B - Personal and Advertising Injury Liability is otherwise excluded either by the provisions of this Coverage Form or by any endorsement. 19. PRODUCT RECALL EXPENSE a. With respect to this Provision 19., the Recall Of Products, Work Or Impaired Property exclusion under Coverage A Bodily Injury And Property Damage Liability is deleted. b. The following is added to Section III - Limits Of Insurance section: 1. The Limits of Insurance shown in the Product Recall Schedule and rules below fix the most we will pay regardless of the number of (a) Insureds; (b) "Covered recalls" initiated; or (c) Number of "your products" recalled. 2. The Product Recall Aggregate Limit is the most we will reimburse you for the sum of all "product recall expenses" incurred for all "covered recalls" initiated during the policy period. 3. Subject to 2. above, the Each Product Recall Limit is the most we will reimburse you for the sum of all "product recall expenses" arising out of anyone "covered recall" for the same defect or deficiency. Products Recall Schedule Limits of Insurance Product Recall Aggregate Limit Each Product Recall Limit $50,000 $25,000 The Limits of Insurance for this coverage apply separately to each consecutive annual period and to any remaining period of less than 12 months, starting with the beginning of the policy period shown in the Decla- rations, unless the policy period is extended after issuance for an additional period of less than 12 months. In that case, the additional period will be deemed part of the last preceding period for the purposes of de- termining the Limits of Insurance. c. The following is added to the Duties In The Event Of Occurrence, Offense, Claim Or Suit provision under Section IV - Conditions: You must see to it that the tollowing are done in ihe event of an actual or anticipated "covered recall" that may result in "product recall expense": 1. Give us prompt notice of any discovery or notification that "your product" must be withdrawn or recalled. In- clude a description of "your product" and the reason for the withdrawal or recall; 2. Cease any further release, shipment, consignment or any other method of distribution of like or similar products until it has been determined that all such products are free from defects that could be a cause of loss under this insurance; 3. As often as may be reasonably required, permit us to inspect "your product" that demonstrates the need for the "covered recall" and permit us to examine your books and records. Also permit us to take damaged and undamaged samples of "your products" for inspection, testing and analysis; and permit us to make copies from your books and records; 4. Send us a signed, sworn, proof of loss containing the information we requested to settle the claim. You must do this within 60 days after our request. We will supply you with the necessary forms; and 5. Permit us to examine any insured under oath, while not in the presence of any other insured and at such times as may reasonably be required, about any matter retating to this insurance or your claim, including an insured's books and records. In the event of an examination, an insured's answers must be signed. Page 6 of 7 Includes copyrighted material of Insurance Services Office, Inc. Copyright 2004, !!! t t!!!!!! I!!! 11!! Il!!!! 11!!!!!!!!!1!!!! Ill!!!!!! VCG 205 02 05