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(1) The Aggregate Limit is the most we will <br />(1) Give us prompt notice of any discovery <br />relmburse you for the sum of all "product <br />recall expenses" Incurred for all "product <br />or notification that "your product" must <br />be <br />recall expenses" initiated during the policy <br />withdrawn or recalled. Include a <br />description of "your product" and the <br />period, <br />(2) The Each Occurrence Limit shown in the <br />reason for the withdrawal or recall; <br />Summary of Coverages Declaration is the <br />(2) Cease any further release, shipment, <br />most we will pay in connection with any one <br />consignment or any other method of <br />defect or deficiency. <br />distribution of Ilka or similar products <br />(a) All "product recall expenses" In <br />until It has been detarmined that all <br />such products are free from defects <br />connection with substantially the same <br />that could be a cause of loss under this <br />general harmful condition will be <br />insurance. <br />deemed to arise out of the same defect <br />or deficiency and considered <br />(5) Under Section V - Definitions, the following <br />one <br />definitions are added: <br />occurrence, <br />(b) Any amount reimbursed for "product <br />25. "Covered recall," means a recall made <br />necessary because you or a government <br />recall expenses" in connection with any <br />body has determined that a known or <br />one occurrence will reduce the amount <br />suspected defect, deficiency, Inadequacy, <br />of the Aggregate Limit available for <br />or dangerous condition in 'your product" <br />reimbursement of "product recall <br />has resulted or will result in "bodily injury" <br />expenses" in connection with any other <br />or "property damage "% <br />defect or deficiency, <br />26. "Product recall expense" means: <br />(c) If the Aggregate Limit has been <br />reduced by reimbursement of "product <br />a. Necessary and reasonable expenses <br />for: <br />recall expenses" to an amount that Is <br />less than the Each Occurrence Limit, <br />(f) Communications, Including radio or <br />the remaining Aggregate Limit is the <br />television announcements or <br />most that will be available for <br />printed advertisements including <br />reimbursement of "product recall <br />stationery, envelopes and postage; <br />expenses" in connection with any other <br />(2) Stripping the recalled products <br />defect or deficiency, <br />from any purchaser, distributor or <br />The Limits of insurance of Product Recall <br />user to the place or pieces <br />designated by you; <br />Expense apply separately to each <br />consecutive annual period and to any <br />(3) Remuneration paid to your regular <br />remaining period of less than 12 months, <br />"employees" for necessary over - <br />starting with the beginning of the policy <br />time; <br />period shown in the Declarations, unless <br />(4) Hiring additional persons, other <br />the policy period Is extended after Issuance <br />than your regular "employees "; <br />for an additional period of less than 12 <br />months. In that case, the additional period <br />(5) Expenses incurred by "employees" <br />will be 'deemed part of the last preceding <br />Including transportation and ec- <br />period for the purposes of determining the <br />commodations; <br />Limits of Insurance. <br />(0) Expenses to rent additional ware - <br />(3) A Deductible of $500 applies for Each <br />house or storage space; <br />Occurrence. <br />(7) Disposal of "your product ", but only <br />(4) Under Section IV - Commercial General <br />to the extent that specific methods <br />other than those <br />Liability Conditions, Condition 2 - Duties in <br />the Event of Occurrence, Offense, Claim or <br />a loyedcfor <br />employed far trash discarding <br />Suit, paragraph f. is added as follows: <br />disposal are required to avoid <br />"bodily injury" or "property damage" <br />d <br />f. You must see to It that the following are <br />as a result of such disposal; <br />done In the event of an actual or <br />anticipated "covered recall" that may result <br />You incur exclusively for the purpose of <br />"your <br />in "Product recall expense'recalling <br />product"; and <br />Is. Your lost profit resulting from such <br />"covered recall ". <br />Page 5 of 5 <br />427.0775 09 09 Includes copyrighted malarial of ISO Insurance Services Office, Inc. with its permission. <br />