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THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ASCIC - ENV 98 011 11 04 ADDITIONAL INSURED COVERAGE ENDORSEMENT This Endorsement shall not serve to increase our limits of insurance, as described in SECTION III - LIMITS OF INSURANCE. In consideration of the payment of premiums, it is hereby agreed that the following provisions are added to the policy. A. The following shall be added to SECTION 1, COVERAGE A„ Par. 1. as subparagraphs d. and e. of the policy: d. Any person shown as an Additional Insured on a certificate of insurance issued by us or our authorized representative, or by endorsement to the policy, provided such person is required to be named as an Additional Insured in a written contract with you, shall be entitled to coverage hereunder solely for "claims" or "suits" for "bodily injury" or "property damage" arising solely out of your negligence. The limits of insurance provided to such Additional Insured shall be limited to the lesser of the limits of Insurance required in a written contract with you, or the limits of insurance as described in SECTION III - LIMITS OF INSURANCE under the policy. No obligation for defense or indemnity under the policy is provided to any Additional Insured for "claims" or "suits" directly or indirectly "arising from" the status, actions or inaction, including (without limitation) for vicarious, derivative or strict liability of said Additional Insured, its agents, consultants, servants, contractors or subcontractors (other than the Named Insured), except for the actions or inactions of the Named Insured. e. We will have no duty to defend any insured, other than the Named Insured, except when the sole allegation against that insured is vicarious liability for the sole negligence of the Named Insured. All terms, conditions and exclusions of the policy, including, but not limited to, any deductible or self - insured retention, shall apply to such Additional Insured. All other terms, conditions and exclusions under the policy are applicable to this Endorsement and remain unchanged. THE cMTY OF SANTA ANA, ITS OFFPCERS, EMPLOYEES, AGENTS, VOLUNTEERS AND REPRESENTATIVES. ENV 98 011 11 04 Copyrighl® 2004 American Safety Casualty Insurance Company Page 1 of 1