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LAPTOPSANYTIME (JAVA CONNECTIONS, LLC) (2)
INSURANCE ON FILE WORK MAY PROCEED UNTIL;jNry-URANCE EXPIRES _ 121 IS I 22a-`♦ CITY CLERK DATE: JUL 2 9 1U14 O'. LD c6 ) t ;Q Cy sNo ),"e A-2024-093 THIS FIRST AMENDMENT to the above -referenced agreement is entered into on July 16, 2024, by and between Java Connections LLC, a Texas corporation dba LaptopsAnytime ("Contractor"), and the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California ("City"). RECITALS A. The parties entered into Agreement No. A-2020-249BB ("End -User License Agreement") dated July 1, 2023, for Contractor to provide laptop rental kiosks and related software support services for City Library locations. B. The Agreement is in full force and effect so long as City operates Contractor's kiosk(s). C. Because the City's Library is expanding to another location at the Delhi Center, the parties now wish to amend the Agreement to expand the scope. The Parties therefore agree: Section 1.1, Scope of Use, is hereby amended to also include Exhibit A-1 of this First Amendment. 2. Except as modified by this First Amendment, all terms and conditions of the Agreement shall remain in full force and effect. [signature page follows] Page 1 of 2 � WA!"11 � IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the Agreement on the date and year first written above. Jennifer L. au Cit APPROVED AS TO FORM SONIA R. CARVALHO, City Attorney By,_- Brkrdbn Salvatierra Deputy City Attorney RECOMMENDED FOR APPROVAL Brian 7t :,nberg{lErl, 2024 09:55 POT) Brain Steinberg Executive Director Library Services Agency - zf/,4 Ivaro Nunez Acting City Manager CONTRACTOR .70NQf.�1LIN �Glff.P.NI7P.Yp o�.u..x�n.�xn`umiro nro�— Name: Jonathan Ruttenberg Title: VP Page 2 of 2 EXHIBIT A-1 LAPTOPSANYTIME" Aulvm Ch,ck*WWa.a Quote ADDRESS Lynn Nguyen City of Santa Ana - Santa Ana Public Library 26 Civic Center Plaza Santa Ana, CA 92701 SALES REP NC Java Connections, LLC dba LaptopsAnytime 17304 Preston Road, Suite 800 Dallas, TX 75252 (614)579-3057 abigail@laptopsmytime.com laptopsmytime.com www.laptopsanytime.com SHIP TO Lynn Nguyen City of Santa Ana - Santa Ana Public Library 26 Civic Center Plaza Santa Ana, CA 92701 QUOTE # 4644 DATE 05/13/2024 EXPIRATIONDATE 08/16/2024 ACTIVITY QTY RATE Mask - 12 Bay Heat 1 24,950.00 12-Bay Host Station 30"w x 29"d x 60"h set for compatible laptops (to be specified at time of order placement). RFID 4.0 Technology. Includes Web Camera to take photo of every person checking out device. Touchscreen Monitor. Bar Code or Swipe Card Reader (to be specified at time of order placement). Note: devices furnished by customer. Annual Hardware Svc Agreement Platinum Plus 21 311.88 Annual Hardware Service Agreement. Cost based on total hardware purchase. Platinum Plus - 15%. (Platinum Plus provides Free SMART Bay Upgrades Once Every 3 Years). Price: $3,742.50/yr. $311.88/mos. This line -item is pro -rated from January 1, 2025 through September 30, 2026. Ann Software Lic Agreement 21 150.00 Annual Software Licensing Agreement per Host Station ($1000 per each Host of 6 or fewer devices plus $900 for each additional 6 devices). $1,800.00 (One (1) - 12-Bay Kiosk).Price: $1,800.00/yr. $150.00/mos. This line -item is pro -rated from January 1, 2025 through September 30, 2026. Deep Freeze Software License Faronics Deep Freeze Licenses. Cost up to $50/license. Waived. Up to 12 licenses. On -Site Installation On -Site Assistance with Installation and Training. $1,500. This is for the Delhi Branch. Crate Custom Wooden Crate (I per Kiosk). $700/Crate. Price Waived for Platinum Plus. Shipping Prepay and Add Shipping (I per Crate). $800/Crate. Price Waived for Platinum Plus. Renewal Annual Hardware Svc Agreement Platinum Plus Renewal Annual Hardware Service Agreement. Cost based on total 12 0.00 1 1,500.00 1 0.00 1 0.00 28 174.38 AMOUNT 24,950.00T 6,549.48T 3,150.00T O.00T 1,500.001' O.00T O.00T 4,882.64T Thank you for your business. ACTIVITY hardware purchase. Platinum Plus - 15%. (Platinum Plus provides Free SMART Bay Upgrades Once Every 3 Years). Unit 1 (6-Bay) Price: $2,092.50/yr. $174.38/month. This Kiosk is currently paid through May 31, 2024. This line -item will be pro -rated June 1, 2024 through September 30, 2026 Renewal Ann Software License Agreement Renewal Annual Software Licensing Agreement per Host Station ($1000 per each Host of 6 or fewer devices plus $800 for each additional 6 devices). Unit 1 (6-Bay) Price: $1,000.00/yr. $83.33/month. This Kiosk is currently paid through May 31, 2024. This line -item will be pro -rated June 1, 2024 through September 30, 2026. Note: Since this Kiosk will be out of operation from December 2024-June 2025, the Annual Software License Fee will be waived for these seven (7) months. On -Site Assistance On -Site Assistance with re -installing Kiosks at the Main and New Hope Libraries, respectively. Note: This 12-Bay Kiosk is scheduled to be at the Delhi Branch Library. Note: With the payment of this Quote and in turn Invoice, the Annual Software and Hardware Maintenance will be on the same cycle as the existing 6-Bay and 12-Bay already at Santa Ana. In summer 2026, a renewal for the Annual Software and Hardware Maintenance will be sent for all of the Kiosks. Note: The existing 12-Bay Kiosk at the Main Library is scheduled to be out of operation from July 2024 through April 2026 due to upcoming renovations. This Kiosk is currently paid through September 30, 2026. In fall 2026, when the Annual Software and Hardware Maintenance is sent out for all three (3) Kiosks, a credit will be given for the Annual Software amount for Main Kiosk. The Annual Hardware Maintenance amount will remain the same. QTY 21 RATE 83.33 1,000.00 AMOUNT 1,749.93T 2,000.00T T T --------..... ..----- ---......-- - ....------ * At time of PO, we request 50% Down -Payment with the SUBTOTAL 44,782.05 remaining balance paid Net 30. TAX (9.25%) 4,142.34 * Please ship one device and all power bricks to our facility in TOTAL $48 924.39 Hayward, CA to facilitate Kiosk Set-up prior to shipping. Accepted By Accepted Date Thank you for your business. JAVA CONNECTIONS LLC DBA LAPTOPS ANYTIME —First Amendment to EULA_signature required Final Audit Report Created: 2024-07-01 By: Ella Sepulveda (msepulveda@santa-ana.org) Status: Signed Transaction ID: CBJCHBCAABAAuFWDurFRLu3Qb63HzB7eEApNfm1-U6bD 2024-07-01 "JAVA CONNECTIONS LLC DBA LAPTOPS ANYTIME —First A mendment to EULA_signature required" History Document created by Ella Sepulveda (msepulveda@santa-ana.org) 2024-07-01 - 5:17:52 PM GMT Cy Document emailed to Abigail Ruttenberg Qonathan@laptopsanytime.com) for signature 2024-07-01 - 5:17:58 PM GMT Email viewed by Abigail Ruttenberg Qonathan@laptopsanytime.com) 2024-07-01 - 5:31:58 PM GMT 6Q Signer Abigail Ruttenberg Qonathan@laptopsanytime.com) entered name at signing as Jonathan Ruttenberg 2024-07-01 - 5:32:49 PM GMT dp Document e-signed by Jonathan Ruttenberg Qonathan@laptopsanytime.com) Signature Date: 2024-07-01 - 5:32:51 PM GMT - Time Source: server Agreement completed. 2024-07-01 - 5:32:51 PM GMT Q Adobe Acrobat Sign CERTIFICATE OF LIABILITY INSURANCE DATE (MMMD/YYYY) 1 /25/2024 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 have ADDITIONAL INSURED provisions or 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 enHnrsemcnflel PRODUCER Acrisure Partners West Coast Insurance Services, LLC 900 E. Hamilton Ave. kite 500 Campbell CA 95008 /J INSURED / ` ■ JAVACON-01 9 Java Connections, LLC dba Laptops e 17304 Preston Rd Ste 800 Nsc Dallas TX 75252 COVERAGES ER71 HAT C IN N E EE IS D T �N UR Y R IREMENT, TE O�. C rDITION F ANY 0 OT E POLICY PERINOTWITHSTANDING CT TO WHICH THIS MAY BE ISSUED OR MAY PERTAIN, THE INSUr ANr' .AFFORDED BY 7HE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, AND CONDITIONS OF SUCH POLICIES. LIMITS SI .OV'' ,MAY HAVE BEEN REDUCED BY PAID CLAIMS. ILADOL SUBRLYPE OF INSURANCE POLICY NUMBER MMIUDY EFF MMIO�Y/YEYYYLIMITS q777 RCIAL GENERAL LIABILITY Y Y ODF D785344-OS 12/15/2023 12/15/2024EACH OCCURRENCE $2,000,000 IMS-MADE OCCUR DAMAGE TO RENTED PREMISES Eaoccuoence $300,000 MED EXP (Any one person) $10,000 PERSONAL &ADV INJURY $2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER:POLICY X ❑ PET LOC GENERALAGGREGATE $4,000,000 PRODUCTS - COMP/OP AGG $4,000,000 OTHER, OTHER: $ A AUTOMOBILE LIABILITY ODE D785344-05 12/15/2023 12/152024 COMBINED SINGLE LIMIT Ea accident $ 2.000,000 ANY AUTO BODILY INJURY (Per person) $ OWNED SCHEDULED BODILY INJ (Pera¢itlent) $ AUTOS ONLYHAUTOS X HIRED NON N DA FFROPERTY GE Per amitlent $ AUTOS ONLYAUTOS ONLY S LY A X UMBRELLA LIAB X OCCUR ODE D785344-05 12/15/2023 12/15/2024 EACH OCCURRENCE $5,000,000 EXCESS LIAB CLAIMS -MADE AGGREGATE $5,000,000 OEO RETENTION$ WORKERS COMPENSATION $7-POLICY AND EMPLOYERS' LIABILITY Y/N OR ANYPROPRIETORIPARTNEWEXECUTIVE OFFICERIMEMBEREXCLUDED7 NIA DENT $ (Mandatory In NH) antler EA EMPLOYEE $ Dyes, IPTION DESCRIPTION OF OPERATIONS below POLICY LIMIT $B Technology E&O LHF H44634405 12/15/2023 12/15/2024 ate: $1,000,000 DESCRIPTION OF OPERATIONS I LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, maybe attached if more space Is required) As required by written contract, the following endorsements apply to the Certificate Holder and/or any other entity named in this section: General Liability Additional Insured 391-1006 08-16, Primary Non -Contributory including Waiver of Subrogation (pg.81) 391-1003 08-16. RE: Project Numbers: A-2020-249AA & A-2020-249B City of Santa Ana, Risk Management, it's officers, employees, agents, representatives, and volunteers rvo-rrnrarc .n. --- SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF. NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PRC City of Santa Ana Risk Management Division 20 Civic Center Plaza, 4th floor Santa Ana, CA 92702 ©1988.2015 AD ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD li6kMnmgemmLDtlidwt r� IW:tD dAPPROV@BY: Risk Management Speaalist �1 CERTIFICATE OF LIABILITY INSURANCE DATE(MMIDONM) 02/29/2024 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 have ADDITIONAL INSURED provisions or 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 Automatic Data Processing Insurance Agency, Inc. 1 Adp Boulevard NAME; C Automatic Data Processing Insurance Agency, Inc. PHONE 1-800-524-7024 FAX A/C No Eat: A/C No EIAAIL ADDRESS: Roseland NJ 07068 INSURER(S)AFFORDINGCOVERAGE NAICp INSURER A; Travelers Property Casualty Company of America 25674 INSURED Java Connections, LLC INSURER B: INSURER C : 17304 Preston Rd Ste 800 Dallas TX 752525645 INSURER 0 INSURER E : INSURER F: CY WIVIY IY YIYI6CR: 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. TN —SR R ADD TYPE OF INSURANCE INS BUBD POLICY NUMBER MM/D/YYYY MMIDDIYYXYY LIMITS LIABILITY CLAIMS -MADE OCCUR EACH OCCURRENCE $ PREMISES Esaccumance $ qCOMMERCIALGENERAL MED EXP (Any we person) $ GEN'L PERSONAL&ADV INJURY $ AGGREGATE LIMIT APPLIES PER: POLICY ❑ PR POLICY LOG OTHER: GENERAL AGGREGATE - $ PRODUCTS-COMP/OP AGG $ - $--AUTOMOBILE LIABILITY ANY AUTO OWNED SCHEDULED AUTOS ONLY AUTOS HIRED NON-OWNEDLY AUTOS ONLY AUTOSSONLY COMBINEDLE LIMIT Ea accident) $ BODILY INJURY(Perpersm) $ BODILY INJURY (Per accident) -DAMAGE $ FIROPERTY Perraccident) $ A UMBRELLA LIAR EXCESS LIAB OCCUR CLAIMS -MADE N/A N UB-7P272097-24-42 03/15/2024 03/15/2025 EACH OCCURRENCE $ AGGREGATE $ DEO RETENTION$ WORKERS COMPENSATION ANDEMPLOYERS'LIABILITY Y/N MY OFFICEMMEM ER EXCLUDED?XECUTIVE FY—] (f NH) Ryes, d yes.describe (Mandatory and DESCRIPTION OF OPERATIONS below PER O - STATUTE ER $ E.L. EACH ACCIDENT $ 1,000,000 E.L. DISEASE - EA EMPLOYE $ 1,000,000 E.L. DISEASE - POLICY LIMIT $ 1,000,000 DESCRIPTION OF OPERATIONS /LOCATION$ /VEHICLES (ACORO 101, Additional Remarks Schetlule, may be attached if more space is required) City of Santa Ana Risk Management Division 20 Civic Center Plaza 4th Floor Santa Ana CA 92702 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF. NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PR( AU IMUKUhU REPRESENTATIVE ©1988-2015 ACC ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD �\ Risk MougonedDitti im REVIEWED&APPROV®BY: s tillll A+�crAde(A ® Risk Management SpeciAct POLICY NUMBER:ODF D785344-05 Hanover Insurance Group - THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BUSINESSOWNERS LIABILITY SPECIAL BROADENING ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESSOWNERS COVERAGE FORM SUMMARY OF COVERAGES Limits Page 1. Additional Insured by Contract, Agreement or Permit 2. Additional Insured -Broad Form Vendors Included Included 1 2 3. Alienated Premises Included 3 4. Broad Form Property Damage -Borrowed Equipment, Customers Goods and Use of Elevators Included 3 5. Incidental Malpractice (Employed Nurses, EMT's and Paramedics) Included 3 6. Personal and Advertising Injury - Broad Form Included 4 1. Product Recall Expense Included 4 Product Recall Expense Each Occurrence Limit $25,000 Occurrence 5 Product Recall Expense Aggregate Limit $50,000 Aggregate 5 Product Recall Deductible $500 5 S. Unintentional Failure to Disclose Hazards Included 0 9. Unintentional Failure to Notify Included g This endorsement amends coverages provided under the Businessowners Coverage Form through new coverages and broader coverage grants. This coverage is subject to the provisions applicable to the Businessowners Coverage Form, except as provided below. The following changes are made to SECTION II - LIABILITY: 1. Additional Insured by Contract, Agreement or Permit The following is added to SECTION II - LIABILITY, C. Who Is An Insured: Additional Insured by Contract, Agreement or Permit a. Any person or organization with whom you agreed in a written contract, written agreement or permit to add such person or organization as an additional insured on your policy is an additional insured only with respect to liability for "bodily injury", "property damage", or "personal and advertising injury" caused, in whole or in part, by your acts or omissions, or the acts or omissions of those acting on your behalf, but only with respect to: (1) "Your work" for the additional insured(s) designated in the contract, agreement or permit; (2) Premises you own, rent, lease or occupy;or (3) Your maintenance, operation or use of equipment leased to you. b. The insurance afforded to such additional insured described above: (1) Only applies to the extent permitted by law; and (2) Will not be broader than the insurance which you are required by the contract, agreement or permit to provide for such additional insured. (3) Applies on a primary basis if that is required by the written contract, written agreement or permit. (4) Will not be broader than coverage provided to any other insured. (5) Does not apply if the "bodily injury", "property damage" or "Personal and advertising injur from coverage ul „s RAMawg=aADi*tan including any en( €` ,= REVIEWED&APPRoV®Br �' fl+�:e flctv4te Risk Management specialist 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its pern c. This provision does not apply: (1) Unless the written contract or written agreement was executed or permit was issued prior to the "bodily injury", "property damage", or "personal injury and advertising injury". (2) To any person or organization included as an Insured by another endorsement issued by us and made part of this Coverage Part. (3) To any lessor of equipment: (a) After the equipment lease expires; or (b) If the "bodily injury", "property damage", "personal and advertising injury" arises out of sole negligence of the lessor. (4) To any: (a) Owners or other interests from whom land has been leased if the "occurrence" takes place or the offense is committed after the lease for the land expires; or (b) Managers or lessors of premises if: (1) The "occurrence" takes place or the offense is committed after you cease to be a tenant in that premises; or (ji) The "bodily injury", "property damage", "personal injury" or "advertising injury" arises out of structural alterations, new construction or demolition operations performed by or on behalf of the manager or lessor. (5) To "bodily injury", "property damage" or "personal and advertising injury" arising out of the rendering of or the failure to render any professional services. This exclusion applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured, if the "occurrence" which caused the "bodily injury" or "property damage" or the offense which caused the "personal and advertising injury" involved the rendering of or failure to render any professional services by or for you. d. With respect to the insurance afforded to these additional insureds, the following is added to SECTION II - LIABILITY, D. Liability and Medical Expense Limits of Insurance: The most we will pay on behalf of the additional insured for a covered claim is the lesser of the amount of insurance: 1. Required by the contract, agreement or permit described in Paragraph a.; or 2. Available under the applicable Limits of Insurance shown in the Declarations. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations e. All other insuring agreements, exclusions, and conditions of the policy apply. 2. Additional Insured - Broad Form Vendors The following is added to SECTION II - LIABILITY, C. Who Is An Insured: Additional Insured - Broad Form Vendors a. Any person or organization that is a vendor with whom you agreed in a written contract or written agreement to include as an additional insured under this Coverage Part is an insured, but only with respect to liability for "bodily injury" or "property damage" arising out of "your products" which are distributed or sold in the regular course of the vendor's business. b. The insurance afforded to such vendor described above: (1) Only applies to the extent permitted by law; (2) Will not be broader than the insurance which you are required by the contract or agreement to provide for such vendor; (3) Will not be broader than coverage provided to any other insured; and (4) Does not apply if the "bodily injury", "property damage" or "personal and advertising injury" is otherwise excluded from coverage under this Coverage Part, including any endorsements thereto c. With respect to insurance afforded to such vendors, the following additional exclusions apply: The insurance afforded to the vendor does not apply to: (1) "Bodily injury" or "property damage" for which the vendor is obligated to pay damages by reasons of the assumption of liability in a contract or agreement. This exclusion does not apply to liability for damages that the insured would have in the absence of the contract or agreement; (2) Any express warranty unauthorized by you; 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its permi Risk MesvganmtoRvinn RWEWEDE,APPRQV®6Y 4P A�w44 ® Risk Management Spetlalis[ (3) Any physical or chemical change in the product made intentionally by the vendor; (4) Repackaging, unless unpacked solely for the purpose of inspection, demonstration, testing, or the substitution of parts under instruction from the manufacturer, and then repackaged in the original container; (5) Any failure to make such inspection, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business in connection with the sale of the product; (6) Demonstration, installation, servicing or repair operations, except such operations performed at the vendor's premises in connection with the sale of the product; Hanover Insurance Group- ODFD785344 5701644 The most we will pay on behalf of the vendor for a covered claim is the lesser of the amount of insurance: 1. Required by the contract or agreement described in Paragraph a.; or 2. Available under the applicable Limits of Insurance shown in the Declarations; This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. 3. Alienated Premises (7) Products which, after distribution or sale by you, have been labeled or relabeled or used as a container, part or 4, ingredient of any other thing or substance by or for the vendor; (8) "Bodily injury" or "property damage" arising out of the sole negligence of the vendor for its own acts or omissions or those of its employees or anyone else acting on its behalf. However, this exclusion does not apply to: (a) The exceptions contained within the exclusion in subparagraphs (4) or (6) above; or (b) Such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products. (9) "Bodily injury" or "property damage" arising out of an "occurrence" that took place before you have signed the contract or agreement with the vendor. (10)To any person or organization included as an insured by another endorsement issued by us and made part of this Coverage Part. (11)Any insured person or organization, from whom you have acquired such products, or any ingredient, part or container, entering into, accompanying or containing such products. d. With respect to the insurance afforded to these vendors, the following is added to SECTION II - LIABILITY, D. Liability and Medical Expense Limits of Insurance: SECTION II - LIABILITY, B. Exclusions, 1. Applicable To Business Liability Coverage k. Damage to Property, paragraph (2) is replaced by the following: (2) Premises you sell, give away or abandon, if the "property damage" arises out of any part of those premises and occurred from hazards that were known by you, or should have reasonably been known by you, at the time the property was transferred or abandoned. Broad Form Property Damage - Borrowed Equipment, Customers Goods, Use of Elevators a. The following is added to SECTION II - LIABILITY, B. Exclusions, 1. Applicable To Business Liability Coverage, k. Damage to Property: Paragraph (4) does not apply to "property damage" to borrowed equipment while at a jobsite and not being used to perform operations. Paragraph (3), (4) and (6) do not apply to "property damage" to "customers goods" while on your premises nor to the use of elevators. b. For the purposes of this endorsement, the following definition is added to SECTION II - LIABILITY, F. Liability and Medical Expenses Definitions: 1. "Customers goods" means property of your customer on your premises for the purpose of being: a. Worked on; or b. Used in your manufacturing process. c. The insurance afforded under this provision is excess over any other valid and collectible property insurance (including deductible) available to the insured whether primary, excess, contingent or on any other basis. 5. Incidental Malpractice - Employed Nurses, EMT's and Paramedics SECTION II - LIABILITY, C. Who Is An Insured , paragraph 2.a.(1)(d) does not apply to a nurse. 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its pem RlakMauigemmtDiWlan el+% rl RENEWED 6 APPROvm By.. k,A�1 la 1 A-f, Alw44 ®. Risk Management Specialist emergency medical technician or paramedic employed by you if you are not engaged in the business or occupation of providing medical, paramedical, surgical, dental, x-ray or nursing services. 6. Personal Injury - Broad Form a. SECTION 11 - LIABILITY, B. Exclusions, 2. Additional Exclusions Applicable only to "Personal and Advertising Injury", paragraph e. is deleted. b. SECTION II - LIABILITY, F. Liability and Medical Expenses Definitions, 14. "Personal and advertising injury", paragraph b. is replaced by the following: b. Malicious prosecution or abuse of process. c. The following is added to SECTION 11 - LIABILITY, F. Liability and Medical Expenses Definitions, Definition 14. "Personal and advertising injury": "Discrimination" (unless insurance thereof is prohibited by law) that results in injury to the feelings or reputation of a natural person, but only if such "discrimination" is: (1) Not done intentionally by or at the direction of: (a) The insured; (b) Any officer of the corporation, director, stockholder, partner or member of the insured; and (2) Not directly or indirectly related to an "employee", not to the employment, prospective employment or termination of any person or persons by an insured. d. For purposes of this endorsement, the following definition is added to SECTION II - LIABILITY, F. Liability and Medical Expenses Definitions: 1. "Discrimination" means the unlawful treatment of individuals based upon race, color, ethnic origin, gender, religion, age, or sexual preference. "Discrimination" does not include the unlawful treatment of individuals based upon developmental, physical, cognitive, mental, sensory or emotional impairment or any combination of these. e. This coverage does not apply if liability coverage for "personal and advertising injury" is excluded either by the provisions of the Coverage Form or any endorsement thereto. 7. Product Recall Expense a. SECTION II - LIABILITY, B. Exclusions, 1. Applicable To Business Liability Coverage, 391-1006 08 16 Includes copyrighted materials of Insurance services Offices, Inc., with its permit o. Recall of Products, Work or Impaired Property is replaced by the following: o. Recall of Products, Work or Impaired Property 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: (1) "Your product"; (2) "Your work"; or (3) "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 in it, but this exclusion does not apply to "product recall expenses" that you incur for the "covered recall" of "your product". However, the exception to the exclusion does not apply to "product recall expenses" resulting from: (4) Failure of any products to accomplish their intended purpose; (5) Breach of warranties of fitness, quality, durability or performance; (6) Loss of customer approval, or any cost incurred to regain customer approval; (7) Redistribution or replacement of "your product" which has been recalled by like products or substitutes; (8) Caprice or whim of the insured; (9) A condition likely to cause loss of which any insured knew or had reason to know at the inception of this insurance; (10)Asbestos, including loss, damage or clean up resulting from asbestos or asbestos containing materials; or (11)Recall of "your products" that have no known or suspected defect solely because a known or suspected defect in another of "your products" has been found. b. The following is added to SECTION 11 - LIABILITY, C. Who Is An Insured, paragraph 3.b.: "Product recall expense" arising out of withdrawal or recall that occurred before acquired or formed tt RA MAnaganadDivision fisvn D&APPRwM BY. A-f�, Aczv44 ��- Risk Management Specialist any you c. The following is added to SECTION II - LIABILITY, D. Liability and Medical Expenses Limits of Insurance: Product Recall Expense Limits of Insurance a. The Limits of Insurance shown in the SUMMARY OF COVERAGES of this endorsement and the rules stated below fix the most that we will pay under this Product Recall Expense Coverage regardless of the number of: (1) Insureds; (2) "Covered Recalls" initiated; or (3) Number of "your products" withdrawn. b. The Product Recall Expense Aggregate Limit is the most that we will reimburse you for the sum of all "product recall expenses" incurred for all "covered recalls" initiated during the policy period. c. The Product Recall Each Occurrence Limit is the most we will pay in connection with any one defect or deficiency. d. All "product recall expenses" in connection with substantially the same general harmful condition will be deemed to arise out of the same defect or deficiency and considered one "occurrence". e. Any amount reimbursed for "product recall expenses" in connection with any one "occurrence" will reduce the amount of the Product Recall Expense Aggregate Limit available for reimbursement of "product recall expenses" in connection with any other defect or deficiency. f. If the Product Recall Expense Aggregate Limit has been reduced by reimbursement of "product recall expenses" to an amount that is less than the Product Recall Expense Each Occurrence Limit, the remaining Aggregate Limit is the most that will be available for reimbursement of "product recall expenses" in connection with any other defect or deficiency. g. Product Recall Deductible We will only pay for the amount of "product recall expenses" which are in excess of the $500 Product Recall Deductible. The Product Recall Deductible applies separately to each "covered recall". The limits of insurance will not be reduced by the amount of this deductible. We may, or will if required by law, pay all or any part of any deductible amount, if applicable. Upon notice of our payment Hanover Insurance Group.. ODFD785344 5701644 of a deductible amount, you shall promptly reimburse us for the part of the deductible amount we paid. The Product Recall Expense Limits of Insurance 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 Declarations, 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 determining the Limits of Insurance. d. The following is added to SECTION 11 - LIABILITY, E. Liability and Medical Expense General Conditions, 2. Duties in the Event of Occurrence, Offense, Claim or Suit: You must see to it that the following are done in the 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. Include 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. e. For the purposs of this endorsement, the following definitions are added to SECTION II - LIABILITY, F. Liability and Medical Expenses Definitions: 1. "Covered recall" means a recall made necessary because you or a government body has determined that a known or suspected defect, deficiency, inadequacy, or dangerous condition in "your product" has resulted or will result in "bodily injury" or "property damage". 2. "Product recall expense(s)" means: a. Necessary and reasonable expenses for: (1) Communications, including radio or television announcements or printed advertisements including stationary, envelopes and postage; 391.1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its perm . y I Imo. RiskMmWnadxvislon RE Ewm ♦Y Ar Rovm By: Rbk Managemen[SpedAisl (2) Shipping the recalled products from any purchaser, distributor or user to the place or places designated by you; (3) Remuneration paid to your regular "employees" for necessary overtime; (4) Hiring additional persons, other than your regular "employees"; (5) Expenses incurred by "employees" including transportation and accommodations; (1) If the "products - completed operations hazard" is excluded from coverage under this Coverage Part including any endorsement thereto; or (2) To "product recall expense" arising out of any of "your products" that are otherwise excluded from coverage under this Coverage Part including endorsements thereto. 8. Unintentional Failure to Disclose Hazards (6) Expenses to rent additional warehouse or storage space; (7) Disposal of "your product", but only to the extent that specific methods of destruction other than those employed for trash discarding or disposal are 9, required to avoid "bodily injury" or "property damage" as a result of such disposal, you incur exclusively for the purpose of recalling "your product"; and b. Your lost profit resulting from such "covered recall". If. This Product Recall Expense Coverage does not apply: The following is added to SECTION II - LIABILITY, E. Liability and Medical Expenses General Conditions: Representations We will not disclaim coverage under this Coverage Part if you fail to disclose all hazards existing as of the inception date of the policy provided such failure is not intentional. Unintentional Failure to Notify The following is added to SECTION II - LIABILITY, E. Liability and Medical Expenses General Conditions, 2. Duties in the Event of Occurrence, Offense, Claim or Suit: Your rights afforded under this Coverage Part shall not be prejudiced if you fail to give us notice of an "occurrence", offense, claim or "suit", solely due to your reasonable and documented belief that the "bodily injury", "property damage" or "personal and advertising injury" is not covered under this Policy. ALL OTHER TERMS, CONDITIONS, AND EXCLUSIONS REMAIN UNCHANGED. 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its permit ,..ev Risk M0a9eM0dDivisicn u RFMEWM&APPRO BY: ' � ' ®• Risk Management Speoalis[ POLICY NUMBER: ODF D785344-05 BUSINESSOWNERS COVERAGE FORM Table of Contents SECTIONI- PROPERTY Hanover Insurance Group - A. Coverage................................................................................................................................................. 1. Covered Property.............................................................................................................................. 2. Property Not Covered....................................................................................................................... 3. Covered Causes of Loss.................................................................................................................. 4. Limitations......................................................................................................................................... 5. Additional Coverages........................................................................................................................ BusinessIncome............................................................................................................................ Business Income from Dependent Properties............................................................................ CivilAuthority................................................................................................................................. Collapse.......................................................................................................................................... Commercial Tools and Small Equipment.................................................................................... ComputerEquipment..................................................................................................................... Computer and Funds Transfer Fraud........................................................................................... DebrisRemoval.............................................................................................................................. DeferredPayments........................................................................................................................ ElectronicVandalism..................................................................................................................... Employee Theft including ERISA Compliance............................................................................. Equipment Breakdown................................................................................................................... ExtraExpense................................................................................................................................. FineArts.......................................................................................................................................... Fire Department Service Charge..........................................................................................-...... Fire Protection Equipment Recharge........................................................................................... Forgeryor Alteration..................................................................................................................... GlassExpenses.............................................................................................................................. Installation ...................................................................................................................................... Interruption of Computer Operations........................................................................................... Leasehold Interest (Tenants only)................................................................................................ Limited Coverage for Fungi, Wet Rot, or Dry Rot....................................................................... Moneyand Securities.................................................................................................................... Money Orders and Counterfeit Money........................................................................................ Ordinanceor Law.......................................................................................................................... Preservation of Property............................................................................................................... Pollutant Clean -Up and Removal................................................................................................. Rewards -Arson, Theft and Vandalism........................................................................................ Sales Representative Samples..................................................................................................... Tenant Building Insurance - When Your Lease Requires You to Provide Insurance ............... Tenant Business Personal Property Insurance - When Your Lease Requires You to ProvideInsurance.......................................................................................................................... Tenant Signs (Tenants Only)......................................................................................................... Theftof Telephonic Services......................................................................................................... Unauthorized Business Credit Card Use..................................................................................... UtilityServices................................................................................................................................ Water Damage, Other Liquids, Powder or Molten Material Damage ............... 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permis Page Number 4 4 5 6 6 7 10 17 13 8 27 20 34 7 31 31 18 22 12 28 8 18 13 18 27 32 29 33 21 13 14 8 12 20 29 34 34 22 34 30 30 �' Risk MffjFnedDkWm Risk Management Specialist 6. Coverage Extensions............................................. .......................... ................................ ................. 35 AccountsReceivable...................................................................................................................... 37 Business Personal Property Temporarily in Portable Storage Units ........................................ 39 AppurtenantStructures.................................................................................................................. 38 Inventoryand Loss Appraisal....................................................................................................... 39 Key Replacement and Lock Repair.............................................................................................. 38 Newly Acquired or Constructed Property.................................................................................... 35 OutdoorProperty............................................................................................................................ 36 PavedSurfaces............................................................................................................................... 39 PersonalEffects.............................................................................................................................. 36 PersonalProperty Off Premises................................................................................................... 36 Personal Property In Transit......................................................................................................... 38 Valuable Papers and Records (Other Than Electronic Data) .................................................... 36 UndergroundPipes........................................................................................................................ 40 B. Exclusions............................................................................................................................................... 40 C. Limits of Insurance................................................................................................................................. 45 D. Deductibles.............................................................................................................................................. 46 E. Property Loss Conditions....................................................................................................................... 47 1. Abandonment.................................................................................................................................... 47 2. Appraisal............................................................................................................................................ 47 3. Duties in the Event of Loss or Damage.......................................................................................... 47 4. Legal Action Against Us................................................................................................................... 48 5. Loss Payment............................................................ ........................................................................ 48 6. Recovered Property................................................. ............................ ............................. ................ 50 7. Vacancy.............................................................................................................................................. 50 8. Pair, Sets or Parts............................................................................................................................. 51 F. Property General Conditions.................................................................................................................. 51 1. Control of Property.................................................. ............................ ........................ ____ ............. 51 2. Mortgageholders ............................................................................................................................... 51 3. No Benefit to Bailee.......................................................................................................................... 52 4. Policy Period, Coverage Territory .................................................................................................. 52 5. Protective Devices............................................................................................................................ 52 6. Increase in Hazard............................................................................................................................ 52 G. Property Definitions................................................................................................................................ 52 SECTION II - LIABILITY A. Coverages............................................................................................................................................... 59 1. Business Liability .............................................................................................................................. 59 2. Medical Expenses............................................................................................................................. 61 B. Exclusions............................................................................................................................................... 62 1. Applicable to Business Liability Coverage..................................................................................... 62 2. Additional Exclusions Applicable only to Personal and Advertising Injury ................................. 68 3. Additional Exclusions Applicable to Medical Expenses Coverage Only ...................................... 69 4. Additional Exclusions Applicable to Both Business Liability Coverage and Medical Expenses 70 Coverage - Nuclear Energy Liability Exclusion.............................................................................. C. Who is an Insured.................................................................................................................................. 71 D. Liability and Medical Expenses Limits of Insurance........................................................................... 72 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi few Arr2a��� A+.0 A�wd. `®' Risk Management SpeakB[ 4 Hanover Insurance Group- ODF D785344 5701644 E. Liability and Medical Expenses General Conditions............................................................................ 73 1. Bankruptcy...................... ................................................................................. ............... ................... 73 2. Duties in the Event of Occurrence, Offense, Claim or Suit........................................................... 73 3. Legal Action Against Us................................................................................................................... 73 4. Separation of Insureds..................................................................................................................... 73 F. Liability and Medical Expenses Definitions.......................................................................................... 74 SECTION III - COMMON POLICY CONDITIONS (APPLICABLE TO SECTION I - PROPERTY AND SECTION II - LIABILITY) A. Cancellation............................................................................................................................................ 77 B. Changes................................................................................................................................................... 78 C. Concealment, Misrepresentation or Fraud........................................................................................... 78 D. Examination of Your Books and Records............................................................................................. 78 E. Inspections and Surveys........................................................................................................................ 78 F. Insurance Under Two or More Coverages........................................................................................... 78 G. Liberalization.......................................................................................................................................... 79 H. Other Insurance...................................................................................................................................... 79 I. Premiums.................................................................................................................................................. 80 J. Premium Audit......................................................................................................................................... 80 K. Transfer of Rights of Recovery Against Others to Us......................................................................... 80 L. Transfer of Your Rights and Duties Under This Policy....................................................................... 81 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permiss Rlak Managar�rt Diviaiun 41Wi,9 &,�� REYIEWIDSAPPRQJ®SV: A4faA,zvda �. ® Risk PAznagemen[Specialin BUSINESSOWNERS COVERAGE FORM Various provisions in this policy restrict coverage. Read the entire policy carefully to determine rights, duties and what is and is not covered. Throughout this Coverage Form the words "you" and "your" refer to the Named Insured shown in the Declarations. The words "we", "us" and 'bur" refer to the company providing this insurance. In SECTION II - LIABILITY, the word "insured" means any person or organization qualifying as such under paragraph C. Who is an Insured. Other words and phrases that appear in quotation marks have special meaning. Refer to paragraph G. Property Definitions In SECTION I - PROPERTY and paragraph F. Liability and Medical Expenses Definitions in SECTION II - LIABILITY. SECTIONI- PROPERTY A. Coverage We will pay for direct physical loss of or damage to Covered Property at the premises described in the Declarations caused by or resulting from any Covered Cause of Loss. 1. Covered Property Covered Property includes Buildings as described in paragraph a. below, Business Personal Property as described in paragraph b. below, or both, depending on whether a Limit of Insurance is shown in the Declarations for that type of property. Regardless of whether coverage is shown in the Declarations for Buildings, Business Personal Property, or both, there is no coverage for property described in SECTION I - PROPERTY, A. Coverage, 2. Property Not Covered. a. Buildings, meaning the buildings and structures at the premises described in the Declarations, including: (1) Completed additions; (2) Fixtures, including outdoor fixtures; (3) Permanently installed: (a) Machinery; and (b) Equipment; (4) Your personal property in apartments, rooms or common areas furnished by you as the landlord; (5) Personal property owned by you that is used to maintain or service the buildings or structures or the premises, including: (a) Fire protection equipment; (b) Outdoor furniture; (c) Floor coverings; and 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its (d) Appliances used for refrigerating, ventilating, cooking, dishwashing or laundering; (6) If not covered by other insurance (a) Additions under construction, alterations and repairs to the buildings or structures; (b) Materials, equipment, supplies and temporary structures, on or within 1,000 feet of the described premises, used for making additions, alterations or repairs to the buildings or structures. (7) Signs, whether or not they are attached to covered buildings or structures; (8) Interior and Exterior Building glass if you are a building owner; (9) Fences and retaining walls located on or within 1,000 feet of a covered building or structure, whether or not attached to buildings or structures, except for retaining walls that are used, in whole or in part, to contain water. b. Business Personal Property located in or on the buildings or structures at the described premises or in the open (or in a vehicle) within 1,000 feet of the building or structures or within 1,000 feet of the premises described in the Declarations, whichever distance is greater, including: (1) Property you own that is used in your business; (2) Property of others that is in your care, custody or control, including the cost of labor, materials or services furnished or arranged by you on others, a ��¢ i&MwarnodD6isim provided ^ R1111ED&ArracvW&1 Af, AWo(a Ruk Management Specialist PROPERTY, E. Property Loss Condition, 5. Loss Payment paragraph d., subparagraph (3)(b); (3) Tenant's improvements and betterments. Improvements and betterments are fixtures, alterations, installations or additions: (a) Made a part of the building or structure you occupy but do not own; and (b) You acquired or made at your expense but cannot legally remove. (4) Leased personal property for which you have a written contractual responsibility to insure, unless otherwise provided in paragraph (2) above; (5) Exterior building glass, if you are a tenant and no Limit of Insurance is shown in the Declarations for Building property. The glass must be owned by you or in your care, custody or control; (6) Physical damage sustained to a building leased to you caused by or resulting from "theft" or attempted "theft", burglary or robbery of your Business Personal Property. 2. Property Not Covered Covered Property does not include: a. Aircraft, automobiles, motortrucks and other vehicles subject to motor vehicle registration; b. Contractor's equipment, which is used or operated principally away from the premises described in the Declarations, or parts and equipment, whether attached or unattached to contractor's equipment, unless such parts and equipment is held for sale by you, or sold by you but not delivered unless specifically endorsed and scheduled, or as provided for in SECTION I - PROPERTY, B. Additional Coverages, v. Commercial Tools and Small Equipment; c. "Money" or "securities" except as provided in the: (1) Money and Securities Additional Coverage; or (2) Employee Theft Additional Coverage; d. Contraband or property in the course of illegal transportation or trade; e. Land, whether or not resurfaced with stone, gravel or similar layer (including me Hanover Insurance Croup- ODFD785344 5701644 land an which the property is located), water, growing crops or lawns (other than lawns which are part of a vegetated roof), except as provided in SECTION I - PROPERTY, A. Coverage, 6. Coverage Extension, I. Paved Surfaces; f. Outdoor radio or television antennas (including satellite dishes) and their lead-in wiring, masts or towers, trees, shrubs or plants (other than trees, shrubs or plants which are part of a vegetated roof), all except as provided in SECTION I - PROPERTY, A. Coverage, 6. Coverage Extension, c. Outdoor Property; g. Watercraft (including motors, equipment and accessories); h. Accounts, bills, food stamps, other evidences of debt, accounts receivable or "valuable papers and records"; except as otherwise provided in this Coverage Form; I. "Computer equipment", which is permanently installed or designed to be permanently installed in any aircraft, watercraft, motortruck or other vehicle subject to motor vehicle registration. This paragraph does not apply to "computer equipment" while held as "stock"; j. "Electronic Data", except as provided under the Computer Equipment and Electronic Vandalism Additional Coverages. This paragraph does not apply to your "stock" of prepackaged "software' or to "electronic data" which is integrated in and operates or controls the building's elevator, lighting, heating, ventilation, air conditioning or security system; k. Animals, unless owned by others and boarded by you, or held for sale by you, or sold but not delivered, and only while inside of buildings; I. The cost of excavations, grading, backfilling, or filling; m. Bulkheads, pilings, piers, wharves or docks; n. Retaining walls that are used, in whole or in part, to contain water. o. "Computer Equipment", except as provided for under the: (1) Computer Equipment Additional Coverage; (2) Equipment "---" .- Coverage; 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi Rlele �y=a.lit Mnugmnodlxvielan REVIEWED & APPRW® BY. �'•. 01 Risk Management Specialist (3) Electronic Vandalism Additional Coverage. p. Commercial tools and small equipment except as provided in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, v. Commercial Tools and Small Equipment or for contractor's equipment specifically endorsed and scheduled. This does not apply to your commercial tools and small equipment permanently installed or exclusively used at the described premises; q. Employee tools and small equipment except as provided for in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, v. Commercial Tools and Small Equipment or when added by separate endorsement; r. Bridges (unless the bridge is made a part of a covered Building), roadways, walks, patios or other paved surfaces, except as provided in SECTION I - PROPERTY, A. Coverage, 6. Coverage Extensions, I. Paved Surfaces; s. Underground pipes, flues or drains except as provided in SECTION I - PROPERTY, A. Coverage, 6. Coverage Extensions, m. Underground Pipes; and t. Personal Property while airborne or waterborne. 3. Covered Causes of Loss Risks of direct physical loss unless the loss is: a. Excluded in SECTION I - PROPERTY, B. Exclusions; or b. Limited in SECTION I - PROPERTY, A. Coverages, 4. Limitations 4. Limitations a. We will not pay for loss of or damage to: (1) Property that is missing, where the only evidence of the loss or damage is a shortage disclosed on taking inventory, or other instances where there is no physical evidence to show what happened to the property. This limitation does not apply to SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, s. Money and Securities. (2) Property that has been transferred to a person or to a place outside the described premises on the basis of unauthorized instructions. in the building or structure, caused by or resulting from rain, snow, sleet, ice, sand or dust, whether driven by wind or not, unless: (a) The building or structure first sustains damage by a Covered Cause of Loss to its roof or walls through which the rain, snow, sleet, ice, sand or dust enters; or (b) The loss or damage is caused by or results from thawing of snow, sleet or ice on the building or structure. (4) Lawns, trees, shrubs or plants which are part of a vegetated roof, caused by or resulting from: (a) Dampness or dryness of atmosphere or of soil supporting the vegetation; (b) Changes in or extremes of temperature; (c) Disease; (d) Frost or hail; or (a) Rain, snow, ice or sleet b. We will not pay for loss of or damage to the following types of property unless caused by any of the "specified causes of loss" or building glass breakage: (1) Animals, and then only if they are killed or their destruction is made necessary. (2) Fragile articles such as glassware, statuary, marble, chinaware and porcelain, if broken. This restriction does not apply to: (a) Glass that is part of the exterior or interior of a building or structure; (b) Containers of property held for sale; or (c) Photographic or scientific instrument lenses. c. For loss or damage by "theft", the following types of property are covered only up to the limits shown: (1) $10,000 for furs, fur garments and garments trimmed with fur. (2) $10,000 for jewelry, watches, watch movements, jewels, pearls, precious and semi-precious stones, bullion_ hold. silver_ (3) The interior of any building or platinum a structure, or to personal property or metals apply to worth $25( 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissic MiltMougmadDiMcin i RwEweo6 Afu Aiwa- ® Risk Management Specialist 5. Additional Coverages a. Debris Removal (1) Subject to paragraphs (2), (3) and (4) below, we will pay your expense to remove debris of Covered Property and other debris that is on the described premises, when such debris is caused by or results from a Covered Cause of Loss that occurs during the policy period. The expenses will be paid only if they are reported to us in writing within 180 days of the date of direct physical loss or damage. (2) Debris Removal does not apply to costs to: (a) Remove debris of property of yours that is not insured under this Coverage Form, or property in your possession that is not Covered Property; (b) Remove debris of property owned or leased to the landlord of the building where your described premises are located, unless you have a contractual responsibility to insure such property and it is insured under this Coverage Form; (c) Remove any property that is Property Not Covered except as provided under the Outdoor Property Coverage Extension; (d) Remove property of others of a type that would not be Covered Property under this Coverage Form; (e) Remove deposits of mud or earth from the grounds of the described premises; (f) Extract "pollutants" from land or water; or (g) Remove, restore or replace polluted land or water. (3) Subject to the exceptions in paragraph (4) below, the following provisions apply: (a) The most that we will pay for the total of direct physical loss or damage plus debris removal expense is the Limit of Insurance applicable to the Covered Property that has sustained loss or damage. Hanover Insurance Group- ODFD785344 5701644 (b) Subject to paragraph (a) above, the amount we will pay for debris removal expense is limited to 25% of the sum of the deductible plus the amount that we pay for direct physical loss or damage to the Covered Property that has sustained loss or damage. However, if no Covered Property has sustained direct physical loss or damage, the most we will pay for removal of debris of other property (if such removal is covered under this Additional Coverage) is $5,000 at each location. (4) We will pay up to an additional $25,000 for debris removal expense, for each location, in any one occurrence of physical loss of or damage to Covered Property, if one or both of the following circumstances apply: (a) The total of the actual debris removal expense plus the amount we pay for direct physical loss or damage exceeds the Limit of Insurance on the Covered Property that has sustained loss or damage. (b) The actual debris removal expense exceeds 25% of the sum of the deductible plus the amount that we pay for direct physical loss of or damage to the Covered Property that has sustained loss or damage. Therefore, if paragraphs (a) and/or (b) above apply, our total payment for direct physical loss or damage and debris removal expense may reach but will never exceed the Limit of Insurance on the Covered Property that has sustained loss or damage, plus $25,000. (5) Examples Example #1 Limit of Insurance $ 90,000 Amount of Deductible $ 500 Amount of Loss $ 50,000 Amount of Loss Payable $ 49,500 ($50,000 - . -- Debris Rel Debris Rel 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi 10ek MMWfflettDM3IDn a Renswm&APPROV BY. - Risk Management SpeaaRst Payable $ 10,000 ($10,000 is 20% of $50,000) The debris removal expense is less than 25% of the sum of the loss payable plus the deductible. The sum of the loss payable and the debris removal expense ($49,500 + $10,000 = $59,500) is less than the Limit of Insurance. Therefore the full amount of debris removal expense is payable in accordance with the terms of paragraph (3) above. Example #2 Limit of Insurance $ 90,000 Amount of Deductible $ 500 Amount of Loss $ 80,000 Amount of Loss Payable $ 79,500 ($80,000 - $500) Debris Removal Expense $40,000 Debris Removal Expense Payable Basic Amount $10,500 Additional Amount $25,000 The basic amount payable for debris removal expense under the terms of paragraph (3) above is calculated as follows: $80,000 ($79,500 + $500) x .25 = $20,000 (capped at $10,500). The cap applies because the sum of the loss payable ($79,500) and the basic amount payable for debris removal expense ($10,500) cannot exceed the Limit of Insurance ($90,000). The additional amount payable for debris removal expense is provided in accordance with the terms of paragraph (4) above, because the debris removal expense ($40,000)exceeds 25% of the loss payable plus the deductible ($40,000 is 50% of $80,000), and because (from paragraph (3) (a)) the sum of the loss payable and debris removal expense ($79,500 + $40,000 = $119,500) would exceed the Limit of Insurance ($90,000). The additional amount of covered debris removal expense is $25,000, the maximum payable under paragraph (4) above. Thus the total payable for debris removal expense in this example is $35,500; $4,500 of the debris removal expense is not covered. b. Preservation of Property If it is necessary to move Covered Property from the described premises to preserve it from loss or damage by a Covered Cause of Loss, we will pay for any direct physical loss of or damage to that property: (1) While it is being moved or while temporarily stored at another location; and (2) Only if the loss or damage occurs within 90 days after the property is first moved. This Additional Coverage does not increase the applicable Limit of Insurance. c. Fire Department Service Charge When the fire department is called to save or protect Covered Property from a Covered Cause of Loss, we will pay up to $25,000 for service at each premises described in the Declarations, unless a higher Limit of Insurance is shown in the Declarations. Such limit is the most we will pay regardless of the number of responding fire departments or fire units, and regardless of the number or type of services performed. This Additional Coverage applies to your liability for fire department services charges: (1) Assumed by contract or agreement prior to loss; or (2) Required by local ordinance d. Collapse The coverage provided under this Additional Coverage - Collapse applies only to an abrupt collapse as described and limited in paragraphs (1), (2), (3), (4), (5), (6) and (7) below. (1) For the purpose of this Additional Coverage - Collapse, abrupt collapse means an abrupt falling down or caving in of a building or any part of a building with the result that the building or part of the building cannot be occupied for its intended purpose. (2) We will pay for direct physical loss of or damage to Covered Property, caused by abrupt collapse of a building or --r -f � ti, itain� that is insu that cont;:RA"01 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its RemE &AppR Br. A+,p Aav44 Risk Management Speaalist insured under this policy, if such collapse is caused by one or more of the following: (a) Building decay that is hidden from view, unless the presence of such decay is known to any insured prior to collapse; (b) Insect or vermin damage that is hidden from view, unless the presence of such damage is known to any insured prior to collapse; (c) Use of defective material or methods in construction, remodeling or renovation if the abrupt collapse occurs during the course of the construction, remodeling or renovation; or (d) Use of defective material or methods in construction, remodeling or renovation if the abrupt collapse occurs after the construction, remodeling or renovation is complete, but only if the collapse is caused in part by: (i) A cause of loss listed in paragraphs (a) or (b) above of this Additional Coverage; (ii) One or more of the "specified causes of loss"; (iii) Breakage of building glass; (iv) Weight of people or personal property; or (v) Weight of rain that collects on a roof. (3) This Additional Coverage - Collapse does not apply to: (a) A building or any part of a building that is in danger of falling down or caving in; (b) A part of a building that is standing, even if it has separated from another part of the building; or (c) A building that is standing or any part of a building that is standing, even if it shows evidence of cracking, bulging, sagging, bending, leaning, settling, shrinkage or expansion. (4) With respect to the following property: (a) Awnings; (b) Gutters and downspouts; The Hanover ]nsorancc Group - ON D7S5344 5701644 (c) Yard Fixtures; (d) Outdoor swimming pools; (e) Beach or diving platforms or appurtenances; (f) Retaining walls; and (g) Walks, roadways and other paved surfaces; if an abrupt collapse is caused by a cause of loss listed in paragraph (2), subparagraphs (a), (b), (c) and (d) of this Additional Coverage, we will pay for loss or damage to that property only if such loss or damage is a direct result of the abrupt collapse of a building insured under this Coverage Form and the property is Covered Property under this Coverage Form. (5) If personal property abruptly falls down or caves in and such collapse is not the result of abrupt collapse of a building, we will pay for loss or damage to Covered Property caused by such collapse of personal property only if: (a) The abrupt collapse of personal property was caused by a cause of loss listed in paragraph (2), subparagraphs (a), (b), (c) and (d) of this Additional Coverage; (b) The personal property which collapses is inside a building; and (c) The property which collapses is not of a kind listed in paragraph (4) above, regardless of whether that kind of property is considered to be personal property or real property. The coverage stated in paragraph (5) does not apply to personal property if marring and/or scratching is the only damage to that personal property caused by the collapse. (6) This Additional Coverage - Collapse does not apply to personal property that has not abruptly fallen down or caved in, even if the personal property shows evidence of cracking, bulging, sagging, bending, leaning, settling, shrinkage or expansion. (7) This Additional Coverage - Collapse will not In"-..--- SE11-1" t PROPERTY, (8) The term t includes the 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permiss .'Y Risk ManagementDIMlnn Rtlnt DLAPPRw Br. A,fz "44 ©�' Risk Management SpeoXst Collapse as described and limited in paragraphs (1), (2), (3), (4), (5), (6) and (7) above. e. Water Damage, Other Liquids, Powder or Molten Material Damage If loss or damage caused by or resulting from covered water or other liquid, powder or molten material damage loss occurs, we will also pay the cost to tear out and replace any part of the building or structure to repair damage to the system or appliance from which the water or other substance escapes. We will not pay the cost to repair any defect that caused the loss or damage; but we will pay the cost to repair or replace damaged parts of fire extinguishing equipment if the damage: (1) Results in discharge of any substance from an automatic fire protection system; or (2) Is directly caused by freezing. f. Business Income When Business Income Coverage is provided under this policy: (1) Business Income (a) We will pay for the actual loss of Business Income you sustain due to the necessary "suspension" of your "operations" during the "period of restoration". The "suspension" must be caused by direct physical loss of or damage to a described premises shown in the Declarations and for which a Business Income Limit of Insurance is shown in the Declarations. The loss or damage must be caused by or result from a Covered Cause of Loss. With respect to loss of or damage to personal property in the open or personal property in a vehicle, the described premises include the area within 1,000 feet of such premises. With respect to the requirements set forth in the preceding paragraph, if you occupy only part of a building, your premises mean: (i) The portion of the building which you rent, lease or occupy; (ii) The area within 1,000 feet of the building or within 1,000 feet of the premises described in the Declarations, whichever distance is greater (with respect to loss of or damage to personal property in the open or personal property in a vehicle); and (ill) Any area within the building or at the described premises, if that area services, or is used to gain access to, the portion of the building which you rent, lease or occupy. (b) We will only pay for loss of Business Income that you sustain during the "period of restoration" and that occurs within the designated, consecutive number of months found on the Declarations Page beginning immediately after the date of direct physical loss or damage. For purposes of this insurance, all recoverable loss ceases when the "period of restoration" ends. (c) Business Income means the 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its Net Income (Net Profit or Loss before income taxes) that would have been earned or incurred if no physical loss or damage had occurred, but not including any Net Income that would likely have been earned as result of an increase in the volume of business due to favorable business conditions caused by the impact of the Covered Cause of Loss on customers or on other businesses; Continuing normal operating expenses incurred, including "payroll expenses". However, if your business is not generating any income because you are primarily in research or development or have not yet brought your product to market, your continuing normal operating expenses, including "payroll expenses", will not be offset Y �Qto IUekkl &A� Utg REviEvuEo 6 MrRw®tBv: Risk Management Specialist For manufacturing risks, Net Income includes the net sales value of production. (2) Extended Business Income 391.1003 08 16 If no Business Income Coverage is provided under this Coverage Form, then there is no Extended Business Income Coverage afforded under this Coverage Form. (a) Eldended Business Income - Other Than Rental Value If the necessary "suspension" of your"operations" produces a Business Income loss payable under this Coverage Form, we will pay for the actual loss of Business Income you incur during the period that: (i) Begins on the date property (except "finished stock") is actually repaired, rebuilt or replaced (to the extent necessary to resume "operations") and "operations" are resumed; and (ii) Ends on the earlier of 1) The date you could restore your "operations", with reasonable speed, to the level which would generate the Business Income amount that would have existed if no direct physical loss or damage had occurred; or 2) The number of consecutive days shown in the Additional Property Coverage Schedule for Extended Business Income after the date determined in (a) Extended Business Income - Other Than Rental Value, paragraph (1) above. the Hanover Insurance Group- 4z-,� ODF D785344 5701644 loss or damage at the described premises caused by or resulting from any Covered Cause of Loss. (b) Extended Business Income - Rental Value If the necessary "suspension" of your 'operations" produces a "rental value" loss payable under this Coverage Form, we will pay for the actual loss of "rental value" you incur during the period that: (1) Begins the date property is actually repaired, rebuilt or replaced and tenantability is restored; and (11) Ends the earlier of: 1) The date you could restore tenant occupancy, with reasonable speed, to the level which would generate the 'rental value" that would have existed if no direct physical loss or damage had occurred; or 2) The number of consecutive days shown in the Additional Property Coverage Schedule for Extended Business Income after the date determined in (b) Extended Business Income - Rental Value, paragraph (i) above. However, Extended Business Income does not apply to loss of "rental value" incurred as a result of unfavorable business conditions caused by the impact of the Covered Cause of Loss in the area where the described premises are located. Loss of 'rental value" must be caused by direct physical loss or damage at the described db However, Extended Business premises cause y or resulting Income does not apply to loss from any Covered Cause of of Business Income incurred as Loss. a result of unfavorable business (ill) We will reduce the amount conditions caused by the of your: impact of the Covered Cause of Business Income loss, Loss in the area where the other than Extra Expense, described premises are located. to tl Loss of Business Income must be caused by direct physical resum in who damac -�' 0 �,aEwEnynrao�ar ai Avg Includes copyrighted material of Insurance Services Office, Inc., with its permissi Risk Management Specialist property (including merchandise or "stock") at the described premises or elsewhere. (iv) If you do not resume "operations", or do not resume "operations" as quickly as possible, we will pay based on the length of time it would have taken to resume "operations" as quickly as possible. This Additional Coverage is not subject to SECTION I - PROPERTY, C. Limits of Insurance. g. Extra Expense When Business Income Coverage is provided under this Coverage Form: (1) We will pay the necessary Extra Expense you incur during the "period of restoration" that you would not have incurred if there had been no direct physical loss or damage to property at the described premises. The loss or damage must be caused by or result from a Covered Cause of Loss. With respect to loss of or damage to personal property in the open or personal property in a vehicle, the described premises include the area within 1,000 feet of such premises. With respect to the requirements set forth in the preceding paragraph, if you occupy only part of a building, your premises mean: (a) The portion of the building which you rent, lease or occupy; (b) The area within 1,000 feet of the building or within 1,000 feet of the premises described in the Declarations, whichever distance is greater (with respect to loss of or damage to personal property in the open or personal property in a vehicle); and (c) Any area within the building or at the described premises, if that area services, or is used to gain access to, the portion of the building which you rent, lease or occupy. (2) Extra Expense means expense incurred: to continue "operations": (i) At the described premises; or (it) At replacement premises or at temporary locations, including relocation expenses, and costs to equip and operate the replacement or temporary locations. (b) To minimize the "suspension" of business if ou cannot continue "operations' . (c) To: (1) Repair or replace any property; or (it) Research, replace or restore the lost information on damaged "valuable papers and records" to the extent it reduces the amount of loss that otherwise would have been payable under this Additional Coverage or SECTION 1 - PROPERTY, A. Coverage, 5. Additional Coverage, f. Business Income. With regard to paragraph (i) above, we will pay only for those expenses necessary to expedite the repair or replacement of the property. Under this provision we will not pay for any portion of the ordinary and expected cost to actually repair or replace property. (3) We will only pay for Extra Expense that occurs within 12 consecutive months beginning immediately after the date of direct physical loss or damage. (4) We will reduce the amount of your Extra Expense loss payment to the extent you can return "operations" to normal and discontinue such Extra Expense. (5) If you do not resume "operations", or do not resume "operations" as quickly as possible, we will pay based on the length of time it would have taken to resume "operations" as quickly as possible. This Additional Coverage is not subject to SECTION I - PROPERTY, C. Limits of Insurance. (a) To avoid or minimize the h. Pollutant Clean - "suspension" of business and We will pay c Y "pollutants" froi 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissic w®' a tusk MRnagawd D[tielmt RenE &APPRavm BY., A,1�4 Azv44 �" Risk Management SpedMist described premises if the discharge, dispersal, seepage, migration, release or escape of the "pollutants" is caused by or results from a Covered Cause of Loss that occurs during the policy period. The expenses will be paid only if they are reported to us in writing within 180 days of the date on which the Covered Cause of Loss occurs. This Additional Coverage does not apply to costs to test for, monitor or assess the existence, concentration or effects of "pollutants". But we will pay for testing which is performed in the course of extracting the "pollutants" from the land or water. The most we will pay for each location under this Additional Coverage is $25,000 for the sum of all such expenses arising out of Covered Causes of Loss occurring during each separate 12 month period of this policy. Civil Authority When Business Income Coverage is provided under this Coverage Form: (1) When a Covered Cause of Loss causes damage to property other than property at the described premises, we will pay for the actual loss of Business Income you sustain and necessary Extra Expense caused by action of civil authority that prohibits access to the described premises due to direct physical loss or damage to property within one mile of the described premises, provided that both of the following apply: (a) Access to the area immediately surrounding the damaged property is prohibited by civil authority as a result of the damage, and the described premises are within that area but are not more than one mile from the damaged property; (b) The action of civil authority is taken in response to dangerous physical conditions resulting from the damage or continuation of the Covered Cause of Loss that caused the damage, or the action is taken to enable a civil authority to have unimpeded access to the z me Hanover Insurance Group_ ODFD785344 5701644 first action of civil authority that prohibits access to the described premises and will apply for a period of up to four consecutive weeks from the date on which such coverage began. Civil Authority Coverage for Extra Expense will begin immediately after the time of the first action of civil authority that prohibits access to the described premises and will end: (a) Four consecutive weeks after the date of that action; or (b) When your Civil Authority Coverage for Business Income ends; whichever is later. (3) The definitions of Business Income and Extra Expense contained in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, f. Business Income; and g. Extra Expense also apply to this Additional Coverage. j. Money Orders and Counterfeit Money (1) We will pay for loss resulting directly from your having accepted in good faith, in exchange for merchandise, "money" or services: (a) Money orders issued by any post office, express company or "financial institution" that are not paid upon presentation; or (b) "Counterfeit money" that is acquired during the regular course of business. (2) Under this Additional Coverage, all loss: (a) Caused by one or more persons; or (b) Involving a single act or series of related acts; is considered one occurrence. (3) The most we will pay for any loss under this Additional Coverage is $5,000. k. Forgery or Alteration (1) We will pay for loss resulting directly from forgery or alteration of any: damaged property. (a) Check, draft, promissory note, ()2 Civil Authority Coverage for bill of exchange or similar Y 9 written pr^^.•^^^ ^0 ^^ ^ ^^" '^ Business Income will begin 72 hours after the time of the "money" I 1 " has ISSUE REmswao&APPRw®Bv ®' RBk Management Spennlis[ 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi� by someone who impersonates zoning or land use you or your agent; and requirements at the (b) Credit, debit or charge slips or described premise; documents, including (ii) Is in force at the time of signatures or the entry of a loss; and Personal Identification Number "payment (III) III Was not in force at the time (PIN) into a processing device" required the involved construction with the use of any credit, was completed. debit, or charge card issued to But coverage under this you or any "employee" for Additional Coverage applies business purposes. only in response to the (2) Under this Additional Coverage, all minimum requirements of the ordinance or law. Losses and loss: costs incurred in complying (a) Caused by one or more with recommended actions or persons; or standards that exceed actual (b) Involving a single act or series requirements are not covered of related acts; under this Additional Coverage. is considered one occurrence. (b) The building sustains direct physical damage: (3) If you are sued for refusing to pay the check, draft, promissory note, (I) That is covered under this bill of exchange or similar written Coverage Form and as a 9 promises of payment in "money", result of such damage, you on the basis that it has been forged are required to comply with or altered, and you have our the ordinance or law; or written consent to defend against (ii) That is covered under this the suit, we will pay for any Coverage Form and direct reasonable legal expenses that you physical damage that is not incur in that defense. covered under this (4) For purposes of this Additional Coverage Form and as a Coverage, check includes a result of the building substitute check as defined by the damage in its entirety, you United States Congress in the are required to comply with Check Clearing for the 21st Century the ordinance or law. Act and will be treated the same as (iii) But if the damage is not the original it replaced. covered under this (5) The most we will pay for any loss, Coverage Form and such including legal expenses, under damage is the subject of this Additional Coverage is $25,000, the ordinance or law, then unless a higher Limit of Insurance there is no coverage under is shown in the Schedule of this Additional Coverage Amended Limits of Insurance. even if building has also sustained covered direct I. Ordinance or Law physical damage. (1) This Additional Coverage applies only to buildings insured on a replacement cost basis. (2) Application of Coverages: The coverages provided under this Additional Coverage applies only if paragraphs (a) and (b) below, are satisfied and are then subject to the qualifications found in (c) below. (a) The ordinance or law: (1) Regulates the demolition, construction or repair of buildings, or establishes (c) In the situation described in (2) Application of Coverages, paragraph (b), subparagraph (ii) above, we will not pay the full amount of loss otherwise payable under the terms of coverages for Coverage for Loss to the Undamaged Portion of the Building, Demolition Cost Coverage or Increased Cost of Construction Coverage. Instead, we will pav a propor meanir 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissic ?F a �• RiekManaganodDivision REmexm&APPRW®BY: A+ fe "44 Risk Management Specialist the covered direct physical damage bears to the total direct physical damage. Paragraph (7) of this coverage provides an example of this procedure. However, if the covered direct physical damage alone would have resulted in a requirement to comply with the ordinance or law, then we will pay the full amount of the loss otherwise payable under the terms of Coverages for Loss to the Undamaged Portion of the Building, Demolition Cost Coverage or Increased Cost of Construction Coverage under this Additional Coverage. (3) We will not pay under this Additional Coverage for: (a) Enforcement of or compliance with any ordinance or law which requires the demolition, repair, replacement, reconstruction, remodeling or remediation of property due to contamination by "pollutants" or due to the presence, growth, proliferation, spread or any activity of "fungi", wet rot or dry rot; or (b) The costs associated with the enforcement of or compliance with any ordinance or law which requires any insured or others to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or assess the effects of "pollutants", "fungi", wet rot or dry rot. (4) Coverage (a) Coverage for Loss to the Undamaged Portion of the Building With respect to the building that has sustained covered direct physical damage, we will pay under this Additional Coverage for the loss in value of the undamaged portion of the building as a consequence of a requirement to comply with an ordinance or law that requires demolition of undamaged parts of the same building. Coverage for Loss to the Undamaged Portion of the Building is included within the Limit of Insurance shown in the 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its Htanoever anGroup- ODFD785344 5701644 Declarations as applicable to the covered building. Coverage for Loss to the Undamaged Portion of the Building does not increase the Limit of Insurance. (b) Demolition Cost Coverage With respect to the building that has sustained covered direct physical damage, we will pay the cost to demolish and clear the site of the undamaged parts of the same building, as a consequence of a requirement to comply with an ordinance or law that requires demolition of such undamaged property. SECTION I - PROPERTY, E. Property Loss Conditions, 5. Loss Payment, paragraph d. does not apply to Demolition Cost Coverage. (c) Increased Cost of Construction With respect to the building that has sustained covered direct physical damage, we will pay the increased cost to: (i) Repair or reconstruct damaged portions of that building; and/or (ii) Reconstruct or remodel undamaged portions of that building, whether or not demolition is required; when the increased cost is a consequence of a requirement to comply with the minimum standards of the ordinance or law. However: (I) This coverage applies only if the restored or remodeled property is intended for similar occupancy as the current property, unless such occupancy is not permitted by zoning or land use ordinance or law. (11) We will not pay for the increased cost of construction if the building is not repaired, reconstructed or remodeled. SECTION 1 - PROPERTY, E. Property Loss Conditions, 5. Loss P does no Cost oft s,: , A+ju Aw44 Risk Management Spea4st (5) Loss Payment (a) Loss Payment provisions (b), (c), (d) and (e) below are subject to the apportionment procedure set forth in above Application of Coverages, paragraph (2)(c). (b) When there is a loss in value of an undamaged portion of the building to which Coverage for Loss to the Undamaged Portion of the Building applies, the loss payment for that building, including damaged and undamaged portions, will be determined as follows: (i) If the property is repaired or replaced on the same or another premise, we will not pay more than the lesser of: 1) The amount you actually spend to repair, rebuild or reconstruct the building, but not for more than the amount it would cost to restore the building on the same premises and to the same height, floor area, style and comparable quality of the original property insured; or 2) The Limit of Insurance shown in the Declarations as applicable to the covered building. (ii) If the property is not repaired or replaced. We will not pay more than the lesser of: 1) The actual cash value of the building at the time of loss; or 2) The Limit of Insurance shown in the Declarations as applicable to the covered building. (c) The most we will pay for the total of all covered losses for Demolition Cost Coverage and Increased Cost of Construction is the Limit of Insurance shown in paragraph (d) below. Subject to this combined Limit of Insurance, the following loss payment provisions apply: (1) For Demolition Cost Coverage, we will not pay for more than the amount you actually spend to demolish and clear the site of the described premises. (ii) Loss payment under Increased Cost of Construction Coverage will be determined as follows: 1) We will not pay for the increased cost of construction until the property is actually repaired or replaced at the same or another premises; and 2) Unless the repairs or replacement is made as soon as reasonably possible after the loss or damage, not to exceed two years. We may extend this period in writing during the two years. (III) If the building is repaired or replaced at the same premises, or if you elect to rebuild at another premises, the most we will pay for the Increased Cost of Construction Coverage is the lesser of: 1) The increased cost of construction at the same premises; or 2) The Limit of Insurance described in paragraph (d) below. (iv) If the ordinance or law requires relocation to another premise, the most we will pay for the increased cost of construction is the lesser of: 1) The increased cost of construction at the new premises; or 2) The Limit of Insurance described in paragraph (d) below. (d) The most we will pay for the total of all covered losses for Demolition Cost and Increased Cost of Construction for each building described in the Declarations is $5,000 or the 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its 5 � �+nEwm&APPNW®9Y: A, *:g Aam4 Risk Management Spedahst If a damaged building(s) is covered under a Blanket Limit of Insurance and the Blanket Limit of Insurance applies to more than one building or item of property, then the most we will under this Additional Coverage, for each building, is $5,000, or the amount shown in the Additional Property Coverage Schedule. (6) Under this coverage, we will not pay for 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. (7) Example of Proportionate Loss Payment for Ordinance or Law Coverage losses (procedures as set forth in paragraph (2)(c) of this Additional Coverage). Assume: • Wind is a Covered Cause of Loss; "Flood" is an excluded Cause of Loss • The building has value of $200,000 • The total direct physical damage to the building: $100,000; • The ordinance or law in this Jurisdiction is enforced when building damage equals or exceeds 50% of the building's value; • Portion of direct physical damage that is covered (caused by wind): $30,000; • Portion of direct physical damage that is not covered (caused by "flood"): $70,000; and • Loss under Increased Cost of Construction: $60,000 Step 1: Determine the proportion that the covered direct physical damage bears to the total direct physical damage. $30,000 divided by $100,000 = .30 Step 2: Apply that portion to the Ordinance or Law loss. $60,000 x .30 = $18,000 In this example, the most we will pay under this Additional Coverage for the Increased Cost of The Hanover Insurance Group_ ODFD785344 5701644 Construction loss is $18,000, subject to the applicable Limit of Insurance and any other applicable provisions. Note: The same procedure applies to losses under Loss to the Undamaged Portion of the Building and Demolition Cost of this Additional Coverage. m. Business Income from Dependent Properties When Business Income Coverage is provided underthis Coverage Form: (1) We will pay for the actual loss of Business Income you sustain due to direct physical loss or damage at the premises of a "dependent property" caused by or resulting from any Covered Cause of Loss. However, this Additional Coverage does not apply when the only loss at the premises of a "dependent property" is loss or damage to electronic data", including destruction or corruption of "electronic data". If the "dependent property" sustains loss or damage to "electronic data" and other property, coverage under this Additional Coverage will not continue once the other property is repaired, rebuilt or replaced. (2) The most we will pay under this Additional Coverage is $5,000 per occurrence, regardless of the number of "dependent properties" affected. (3) We will reduce the amount of your Business Income loss, other than Extra Expense, to the extent you can resume "operations", in whole or in part, by using any other available: (a) Source of materials; or (b) Outlet for your products. (4) If you do not resume "operations", or do not resume "operations" as quickly as possible, we will pay based on the length of time it would have taken to resume "operations" as quickly as possible. (5) The coverage period for Business Income under this Additional Coverage: (a) Begins 72 hours after the time of direct physical loss or damage caused by or resulting from any Covered - - premise: property' A 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi Yc� y+Y k°. RWt M•nuganatf DMsE t riEVIEWED&APPROVED Err 01 Risk Mznzgemen[ Specizlist (b) Ends on the date when the property at the premises of the "dependent property" should be repaired, rebuilt or replaced (to the extent necessary to resume "operations") with reasonable speed and similar quality or 12 months immediately following the date of direct physical loss or damage, whichever is shorter. (6) The Business Income coverage period, as stated in paragraph (4) above, does not include any increased period required due to the enforcement of or compliance with any ordinance or law that: (a) Regulates the construction, use or repair, or requires the tearing down of any property; or (b) Requires any insured or others to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or assess the effects of "pollutants". The expiration date of this Coverage Form will not reduce the Business Income coverage period. (7) The definition of Business Income contained in the Business Income Additional Coverage also applies to this Business Income from Dependent Properties Additional Coverage. in. Glass Expenses When glass is damaged from a Covered Cause of Loss we will pay for your expenses incurred to: (1) Put up temporary plates or board up openings if repair or replacement of damaged glass is delayed; (2) Replace lettering, artwork, sensors or other items permanently affixed to, or a part of, the damaged glass; and (3) Remove or replace obstructions when repairing or replacing glass that is part of a building. This does not include removing or replacing window displays. o. Fire Protection Equipment Recharge (including hydrostatic testing if needed) if they are discharged on or within 1,000 feet of the described premises; and (b) For loss or damage to Covered Property if such loss or damage is the result of an accidental discharge of chemicals from a fire extinguisher or a fire extinguishing system. (2) No coverage will apply if the fire extinguishing system is discharged during installation or testing. (3) The most we will pay under this Additional Coverage Is $25,000 in any one occurrence. The deductible does not apply to these expenses. p. Employee Theft including ERISA Compliance (1) We will pay for loss or damage to "money", "securities" and 'other Property" resulting directly from theft" committed by an "employee", clergy, or any non -compensated person whether identified or not, acting alone or in collusion with other persons. For the purposes of this Additional Coverage, 'theft' shall also include "forgery". (2) This Additional Coverage terminates as to any "employee" as soon as: (a) You; or (b) Any of your partners, "members", "managers", officers, directors or trustees not in collusion with the "employee"; "Discovered" the 'theft' or any other dishonest act committed by the "employee" whether before or after becoming employed by you. (3) Under this Additional Coverage, all loss: (a) Caused by one or more persons; or (b) Involving a single act or series of related acts; is considered one occurrence. (1) We will pay: (4) We will pay only for loss you (a) The cost of recharging or sustain through acts committed or replacing, whichever is less, events occ your fire extinguishers and fire "discoverer wdtRmepn�rw extinguishing systems (a) During RwEwm&APPRuvm Sr. A- fe &tv44 Risk Management Spedalist 391-1003 0816 Includes copyrighted material of Insurance Services Office, Inc., with its permissic (b) No later than 1 year from the date of termination or cancellation of this insurance. However this extended period to "discover" loss terminates immediately upon the effective date of any other insurance obtained by you, whether from us or another insurer, replacing in whole or in part the coverage afforded under this Additional Coverage, whether or not such other insurance provides coverage for loss sustained prior to its effective date. (5) You may extend this coverage to apply to loss caused by any "employee" while temporarily outside the Coverage Territory for a period of not more than 90 days. (6) The most we will pay for all loss resulting directly from an occurrence is $10,000 or the Limit of Insurance shown in the Additional Property Coverage Schedule. Regardless of the number of years this policy remains in force or the number of premiums paid, no Limit of Insurance cumulates from year to year. (7) Special Employee Theft Exclusions We will not pay for: (a) Loss resulting from 'theft" or any other dishonest act committed by: (1) You; or (ii) Any of your partners or "members"; Whether acting alone or in collusion with other persons. (b) Loss caused by an "employee" if the "employee" has also committed 'theft" or any other dishonest act prior to the effective date of this policy and you or any of your partners, "managers", officers, directors or trustees, not in collusion with the "employee", learned of that 'theft" or dishonest act prior to the policy period shown in the Declarations. (c) Loss resulting from 'theft" or any other dishonest act committed by any of your "employees", "managers", directors, trustees or authorized representatives: TM Hanover Insurance Croup_ ODFD785344 5701644 (I) Whether acting alone or in collusion with other persons; or (ii) While performing services for you or others; Except when covered under this Additional Coverage. (d) Loss that is an indirect result of an occurrence covered by this Additional Coverage, including, but not limited to, loss resulting from: (e) (f) (g) (h) (i) Your inability to realize income that you would have realized had there been no loss of or damage to "money", "securities" or "other property"; (ii) Payment of damages of any type for which you are legally liable; (!it) Payment of costs, fees or other expenses you incur in establishing either the existence or the amount of loss under this Additional Coverage. Fees, costs and expenses incurred by you which are related to any legal action. Loss or that part of any loss, the proof of which as to its existence or amount is dependent upon: (i) An inventory computation; or (ii) A profit and loss computation. However, where you establish wholly apart from such computations that you have sustained a loss, then you may offer your inventory records and actual physical count of inventory in support of the amount of loss claimed. Loss resulting from trading, whether in your name or in a genuine or fictitious account. Loss resulting from fraudulent or dishonest signing, issuing, canceling or failing to cancel, a warehouse receipt or any papers connected with it. Loss rem„urn,, fm— (1) The discic 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi, REAexm 6A OVED BY H A. -fa AeaV44 RA Management Specialist confidential information including, but not limited to, patents, trade secrets, processing methods or customer lists; or (ii) The unauthorized use or disclosure of confidential information of another person or entity which is held by you including, but not limited to, financial information, personal information, credit card information or similar non public information. (8) Welfare and Pension Plan ERISA Compliance (a) The "employee benefit plan" (hereafter referred to as Plan) is included as an insured under this Additional Coverage. (b) If any Plan is insured jointly with any other entity under this Additional Coverage, you or the Plan Administrator must select a Limit of Insurance for this Additional Coverage that is sufficient to provide a Limit of Insurance for each Plan that is at least equal to that required if each Plan were separately insured. (c) With respect to loss sustained or "discovered" by any such Plan, paragraph (1) above, of this Additional Coverage is replaced by the following: (1) We will pay for loss of or damage to "funds" and "other property" resulting directly from fraudulent or dishonest acts committed by an "employee", whether identified or not, acting alone or in collusion with other persons. (d) If the first Named Insured is an entity other than a Plan, any payment we make for loss sustained by any Plan will be made to the Plan sustaining the loss. (a) If two or more Plans are insured under this Additional Coverage, any payment we make for loss: (1) Sustained by two or more Plans; or (ii) Of commingled "funds" or "other property" of two or more Plans; Resulting from an occurrence, will be made to each Plan sustaining loss in the proportion that the Limit of Insurance required for each Plan bears to the total Limit of Insurance of all Plans sustaining loss. (f) The deductible does not apply to this Additional Coverage. q. Rewards -Arson, Theft and Vandalism (1) We will reimburse you for payment of any reward offered on your behalf and for information that leads to the arrest and conviction of the person or persons responsible for: (a) Arson; (b) "Theft" or (c) Vandalism to Covered Property. (2) The arrest or conviction must involve a covered loss caused by arson, "theft" or vandalism. (3) The most we will pay under this Additional Coverage is $10,000 unless a higher Limit of Insurance is shown in the Additional Property Coverage Schedule. The amount we pay is not increased by the number of persons involved in providing the information. (4) The amount payable under this Additional Coverage is additional insurance. (5) The deductible does not apply to this Additional Coverage. Computer Equipment (1) We will pay for direct physical loss of or damage to the following Covered Property which is your property or property in your care, custody or control while at or away from the described premises when loss or damage is caused by or resulting from a Covered Cause of Loss: (a) "Computer equipment'; and (b) Programming documentation and instruction manuals. (2) We will pay for the actual loss of Business Income you sustain as described in the Business Income Additional Coverace and we will pay for Expense y "period 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissic ItiekMnugonwdDlrisim e we ,i%�°L, Ren oie APPROV®BY: A,.j� A�wrat� Risk Management Specialist as described in the Extra Expense Additional Coverage. (3) In the event of a loss of or damage to "Computer equipment' by a Covered Cause of Loss, we will pay your costs to modify or replace undamaged "hardware" or "software" when it: (a) Was dependent on the damaged "hardware" or "software" prior to the covered loss; and (b) Is not compatible with the "hardware" or "software" that is replacing the property that was involved in the covered loss. We will only pay for your costs to modify or replace undamaged "hardware" or "software" at a premises described in the Declarations. The most we will pay for your costs covered in any one occurrence is $10,000. (4) We will not pay for any loss of or damage to the following property: (a) Property you rent, loan or lease to others while it is away from the described premises; (b) Property you hold for sale, distribute or manufacture except as provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, paragraph b.; or (5) (6) (c) "Software" that cannot be duplicated or replaced with similar property of equal quality and/or substantially similar functionality. If we provide Building coverage only, we will only pay for loss to "computer equipment' that service building operations at the described premises and are located at the described premises. The most we will pay for any loss or damage to property described in paragraphs (1) and (2) above, is $35,000 unless a higher Limit of Insurance is shown in the Additional Property Coverage Schedule for Computer Equipment. The most we will pay for Extra Expense is $5,000 unless a higher Limit of Insurance is shown in the Additional Property Coverage Schedule for Extra Expense. Hanover Insurance Croup_ ODFD785344 5701644 (7) The following in SECTION I - PROPERTY, B. Exclusions, paragraph 1. do not apply to this Additional Coverage: (a) b. Earth Movement; and (b) g. Water. (8) Special Computer Equipment Exclusions We will not pay for loss or damage to portable electronic devices when caused by, resulting from, or arising out of "theft" or unexplained loss when the property is checked baggage with a carrier for transit. Portable electronic devices includes laptops, tablets, e-readers, smartphones or other lightweight, hand-held or wearable devices capable of storing, retrieving and processing data. s. Money and Securities (1) We will pay for loss of "money" and "securities": (a) Inside a building at the described premises or "financial institution" resulting directly from "theft' committed by a person present inside a building at the described premises or "financial institution",- (b) Inside a building at the described premises or "financial institution" resulting directly from disappearance or destruction; or (c) Outside of a building at or away from the described premises in the care and custody of a "messenger" or an armored motor vehicle company resulting directly from "theft', disappearance or destruction. (2) For the purposes of this Additional Coverage, all loss: (a) Caused by one or more persons; or (b) Involving a single act or series of related acts; is considered one occurrence. (3) You must keep records of all "money" and "securities" so we can verify the amount of any one loss or damage. (4) The amount payable under this Additional Coverage is additional insurance. 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permis w RIekAlaugenmtDWision aENEwm 6 APPRave , By. A+j�, AeW44 Risk Management Specialist (5) The most we will pay for loss in any one PROPERTY, B. Exclusions, paragraph occurrence is: 1. does not apply to this Additional (a) $10,000 or the amount shown in the Coverage except for the following: Additional Property Coverage Schedule (a) c. Government Action; while: (b) d. Nuclear Hazard; and (1) Inside a building at the described (c) f. War and Military Action. premises; or (ii) Within a "financial institution" in the (3) We will not pay for loss or damage Coverage Territory; and caused by or resulting from: (b) $5,000 or the amount shown in the (a) Wear and tear; Additional Property Coverage Schedule (b) Hidden or latent defect; while outside of a building at the (c) Rust; described premises or when away from the described premises in the Coverage (d) Corrosion; or Territory. (e) Mechanical Breakdown, except as (6) Special Money and Securities Exclusions provided for in SECTION I - We will not pay for loss: PROPERTY, A. Coverage, 5. Additional Coverages, U. (a) Resulting from accounting or arithmetic Equipment Breakdown. errors or omissions; (4) The most we will pay for loss or (b) Resulting from giving or surrendering of damage in any one occurrence is property in any exchange or purchase; $5,000 regardless of the number of (c) Of property contained in any locations or buildings involved. money -operated device unless the u. Equipment Breakdown amount of "money" deposited in it is 1 () We will a for di pay direct physical recorded by a continuous recording instrument in the device; or damage to Covered Property that is the direct result of an accident" or (d) Loss or damage to "money" and 'electronic circuitry impairment". We "securities" following and directly will consider "electronic circuitry related to the use of any computer to impairment" to be physical damage fraudulently cause a transfer of that to "covered equipment". property. (2) The following coverages also apply to Tenant Signs (Tenants only) the direct result of an "accident" or (1) This Additional Coverage is available only "electronic circuitry impairment". when the Named Insured is a tenant and a However, with respect to coverage Limit of Insurance is shown in the A.5.u.(2)(h) Utility Services - Declarations Page for Business Personal Equipment Breakdown (Accident) and Property. A.5.m. Business Income from Dependent Properties provided in this We will pay for direct physical loss of or coverage form, coverage will apply damage to all signs: only to the direct result of an (a) Owned by you; or "accident" and will not apply to the (b) Owned by others but in your care, direct result of an "electronic circuitry impairment". These coverages do not custody or control; provide additional amounts of when loss or damage is caused by or insurance. resulting from a Covered Cause of Loss. (a) Data Restoration (2) SECTION I - PROPERTY, A. Coverage, 3. We will pay for your reasonable Covered Causes of Loss does not apply to and necessary cost to research, this Additional Coverage and SECTION I - replace and restore lost "data". The most we will pay for loss or expense under this coverage, including actual loss of Business Income you sustain and 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permis ltiak IVIW mLDtvieimt 5 RimEweD&AiTRa ft Risk Management Specialist necessary Extra Expense you incur is $50,000. (b) Expediting Expenses With respect to your damaged Covered Property, we will pay, up to $50,000, the reasonable extra cost to: Make temporary repairs; and (ii) Expedite permanent repairs or permanent replacement. (c) Fungi, Wet Rot, or Dry Rot (1) We will pay the additional cost to repair or replace Covered Property because of contamination by "fungi", wet rot or dry rot. This includes the additional costs to clean up or dispose of such property. This does not include spoilage of personal property that is "perishable goods" to the extent that such spoilage is covered under Spoilage coverage. (ii) As used in this coverage, additional costs mean those beyond what would have been payable under this Equipment Breakdown Coverage had no "fungi", wet rot or dry rot been involved. (iii) We will also pay the cost of testing performed after repair or replacement of the damaged Covered Property is completed only to the extent that there is reason to believe there is the presence of "fungi", wet rot or dry rot. (iv) This coverage does not apply to lawns, trees, shrubs or plants which are part of a vegetated roof. (v) The most we will pay in any "one equipment breakdown" for loss, damage or expense under this coverage, including actual loss of Business Income you sustain and necessary Extra Expense you incur, if shown as covered, is $15,000 even if the "fungi", wet rot or dry rot continues to be present or active or recurs in a later policy period. � me Hanover Insurance Group_ ODFD785344 5701644 (d) Hazardous Substances We will pay for the additional cost to repair or replace Covered Property because of a contamination by a "hazardous substance". This includes the additional costs to clean up or dispose of such property. This does not include contamination of "perishable goods" by refrigerant, including but not limited to ammonia, which is addressed in (g) Spoilage below. Additional costs mean those beyond what would have been payable had no "hazardous substance" been involved. The most we will pay for loss, damage or expense under this coverage, including actual loss of Business Income you sustain, and necessary Extra Expense you incur is $50,000. (a) Personal Property Off Premises Equipment Breakdown (1) Any direct physical damage for personal property off premises provided under Coverage Extension b. Personal Property Off Premises, also applies to the direct result of an "accident" or "electronic circuitry impairment". (ii) We will also pay for your reasonable and necessary cost to research, replace and restore lost "electronic data" contained within "covered equipment" when due to covered loss or damage as described in (i) above. This amount may not exceed the limit applicable to Data Restoration coverage. (!!!)The most we will pay for loss, damage or expense under this coverage, including actual loss of Business Income you sustain and necessary Extra Expense you incur and Data Restoration as described in (ii) above is $50,000. (f) Public Relations 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit Risk AlowgementD[Asian REAeE &APPROV®BY. M, Risk Management SpenAist (1) This coverage only applies if "accident" or "electronic you have sustained an actual circuitry impairment", less loss of Business Income. discounts and expenses you (ii) We will pay for your reasonable otherwise would have had. Otherwise our payment will costs for professional services be determined in accordance to create and disseminate with the Loss Payment communications, when the Condition. need for such communications arises directly from the (III) The most we will pay for loss interruption of your business. or damage under this This communication must be coverage is $50,000. directed to one or more of the (h) Utility Services - Equipment following: Breakdown (Accident) 1) The media; (i) Any insurance provided for 2) The public; or Business Income, Extra 3) Your customers, clients or Expense, Data Restoration or Spoilage is extended to members. apply to your loss, damage (iii) Such costs must be incurred or expense caused by a during the "period of failure or disruption of restoration" or up to 30 days service. The failure or after the "period of restoration" disruption of service must be has ended. caused by an "accident" to (iv) The most we will pay for loss equipment, including or expense under this coverage overhead transmission lines, is $5,000. that is owned by a utility, landlord, a landlord's utility (g) Spoilage or other supplier who (i) We will pay for: provides you with any of the 1) Physical damage to your following services: electrical power, waste disposal, air perishable goods" due to conditioning, refrigeration, spoilage. heating, natural gas, 2) Physical damage to your compressed air, water, "perishable goods" due to steam, Internet access, contamination from the telecommunications release of refrigerant, services, "cloud computing including but not limited to services", wide area ammonia. networks or data 3) Any necessary expenses transmission. The equipment must meet the definition of you incur to reduce the amount of loss under this "covered equipment" except coverage. We will pay for that it is not Covered Property. such expenses to the extent that they do not exceed the (ii) "Cloud computing services" amount of loss that must be provided by a otherwise would have been professional provider with payable under this whom you have a contract. coverage. (III) With respect to the Data (ii) If you are unable to replace Restoration portion of this "perishable goods" before its Service Interruption anticipated sale, the amount coverage, coverage will also of our payment will be apply to "data" stored in the determined on the basis of the equipment of a provider of sales price of the "perishable "cloud computing services". goods" at the time of the Iv An insurance (') y provided for Business Income or Data Restoration will not apply 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permis s%e� ttldrMouganmto[uwan RenE 6 APPRovm By. •, Risk Management Speaalis[ under this Service Interruption coverage unless the failure or disruption of service exceeds 24 hours immediately following the "accident". If the interruption exceeds 24 hours, coverage will begin at the time of the disruption, and the applicable deductible will apply. (v) The most we will pay in any "one equipment breakdown" for loss, damage or expense under this coverage is the applicable limit for Business Income, Extra Expense, Data Restoration or Spoilage. (3) Conditions (a) Suspension When any "covered equipment" is found to be in, or exposed to, a dangerous condition, any of our representatives may immediately suspend the insurance against loss from an "accident' or "electronic circuitry impairment" to that "covered equipment". We can do this by mailing or delivering a written notice of suspension to: (i) Your address as shown in the Declarations; or (11) The address where the "covered equipment" is located. Once suspended in this way, your insurance can be reinstated only by an endorsement for that "covered equipment". If we suspend your insurance, you will get a pro rate refund of premium for that "covered equipment". But the suspension will be effective even if we have not yet made or offered a refund. (b) Jurisdictional Inspections If any property that is "covered equipment" under this Additional Coverage requires inspection to comply with state or municipal boiler and pressure vessel regulations, we agree to perform such inspection on your behalf. We do not warrant that conditions are safe or healthful. � me Hanover Insurance Croup_ ON D785344 5701644 (c) Environmental, Safety and Efficiency Improvements If "covered equipment" requires replacement due to an "accident" or "electronic circuitry impairment", we will pay your additional cost to replace with equipment that is better for the environment, safer for people or more energy or water efficient than the equipment being replaced. However, we will not pay to increase the size or capacity of the equipment and we will not pay more than 150% of what the cost would have been to replace with like kind and quality. This provision does not apply to the replacement of component parts or to any property to which Actual Cash Value applies and does not increase any of the applicable limits. (4) Special Equipment Breakdown Exclusions (a) We will not pay for loss, damage or expense caused by or resulting from a hydrostatic, pneumatic or gas pressure test of any boiler or pressure vessel, or an electrical insulation breakdown test of any type of electrical equipment. (b) With respect to Business Income, Extra Expense and Utility Services coverages, we will also not pay for: (i) Loss caused by your failure to use due diligence and dispatch, and all reasonable means to resume business; or (ii) Any increase in loss resulting from an agreement between you and your customer or supplier. (c) Except as provided under u.2.(c) Fungi", Wet Rot or Dry Rot coverage we will not pay for loss, damage or expense caused directly or indirectly by the following, whether or not caused by or resulting from an "accident" or "electronic circuitry impairment": Any "fungi," wet rot or dry rot, including any presence, growth, proliferation, spread or any activity of "fungi," wet rot or dry rot. This includes, but is not 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit el,,.,�•e� ;;'a ® Risk MougmenLDIvidon �&APPR�ar A-juAuuwf, Ruk Management SpedMist 01 limited to, costs arising from clean up, removal, or abatement of such "fungi," wet rot or dry rot. However, this exclusion does not apply to spoilage of personal property that is "perishable goods," to the extent that such spoilage is covered under Spoilage coverage. (d) This Additional Coverage - Equipment Breakdown does not apply to an "accident' or "electronic circuitry impairment" caused by or resulting from: (i) Fire (including fire resulting from an "accident" or "electronic circuitry impairment'), or water or other means used to extinguish a fire; (ii) Explosion of gas or unconsumed fuel within the furnace of any boiler or fired vessel or within the passages from that furnace to the atmosphere; (!!!)Any other explosion, except as specifically covered under this Additional Coverage; (iv) Vandalism; (v) Lightning; smoke; aircraft or vehicles; riot or civil commotion; sprinkler leakage; elevator collision; (vi) Windstorm or hail; However, this exclusion does not apply when: 1) "Covered equipment" located within a building or structure suffers an "accident" or "electronic circuitry impairment" that results from wind-blown rain, snow, sand or dust; and 2) The building or structure did not first sustain wind or hail damage to its roof or walls through which the rain, snow, sand or dust entered. (vii)Breakage of glass; falling objects; weight of snow, ice or sleet; freezing (caused by cold weather); collapse or molten material; (viii)"Flood", surface water, waves, tides, tidal waves, overflow of any body of water, or their spray, all whether driven by wind or not; mudslide or mudflow; or water that backs up or overflows from a sewer, drain or sump. However, if electrical "covered equipment" requires drying out because of the above, we will pay for the direct expenses of such drying out subject to the applicable Limit of Insurance and deductible for Building or Business Personal Property, whichever applies. (ix) Any earth movement, including but not limited to earthquake, subsidence, sinkhole collapse, landslide, earth sinking, tsunami or volcanic action. (e) Special E uipment Breakdown Exclusions15)(d)(v), (5)(d)(vi) and (5)(d)(vii) shall not apply if: (1) The excluded cause of loss occurs away from any covered location and causes an electrical surge or other electrical disturbance; (ii) Such surge or disturbance is transmitted through utility service transmission lines to the covered location and results in an "accident' or "electronic circuitry impairment"; and (iii) The loss, damage or expense caused by such surge or disturbance is not covered elsewhere under the policy. (f) We will not pay under this Additional Coverage for any loss or damage to animals. The most we will pay for loss, damage or expense arising from any "one equipment breakdown" is the applicable Limit of Insurance shown in the Declarations. This Additional Coverage does not provide an additional amount of insurance. 391-1003 0816 Includes copyrighted material of Insurance Services Of0ce, Inc., with its permission. RiekManage nadDMslon REVIE &APPR Sy. MUM Risk Management Specialist v. Commercial Tools and Small Equipment (1) This Additional Coverage is available only when a Limit of Insurance is shown in the Declarations for Business Personal Property. (2) We will pay for direct physical loss of or damage caused by or resulting from a Covered Cause of Loss to commercial tools and small equipment, including their: (a) Accessories, whether attached or not attached; and (b) Spare parts that are specifically designed and intended for use in the maintenance and operation of property covered under this Additional Coverage; That is: (3) (4) (5) (c) Your property; (d) The property of others in your care, custody or control; or (e) The property of your "employees". Damage to the property of your "employees" is limited to while on the described premises. Commercial Tools and Small Equipment does not include communication devices and diagnostic equipment unless otherwise covered in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, r. Computer Equipment. This coverage only applies to any one tool or piece of small equipment with a replacement cost value of $2,500 or less, unless listed on a schedule included with this policy. The most we will pay for any loss under this Additional Coverage in any one occurrence is $5,000 unless a higher Limit of Insurance is shown in the Additional Property Coverage Schedule, but not more than $2,500 for any one tool, tool box or piece of small equipment. In addition to items listed within SECTION I - PROPERTY, A. Coverage, 2. Property Not Covered, we will not pay for any loss to the following property: (a) Watercraft or watercraft parts and equipment; me Hanover Group- ]nsurance ODFD785344 5701644 (b) Commercial tools and small equipment that are permanently mounted to a vehicle, including trailers; (c) Tires or tire tubes, attached or unattached, for use with commercial tools and small equipment, unless the loss or damage is caused by "theft", malicious mischief, or any of the "specified causes of loss"; or (d) Any property while underground, airborne or waterborne. (6) The following SECTION I - PROPERTY, B. Exclusions, in paragraph 1. do not apply to this Additional Coverage: (a) b. Earth Movement; (b) g. Water. (7) Special Commercial Tools and Small Equipment Exclusion We will not pay for any loss caused by or resulting from any repair, adjusting, servicing, testing or maintenance process unless fire or explosion ensues, then only for the loss caused by such ensuing fire or explosion. w. Installation (1) This Additional Coverage is available only when a Limit of Insurance is shown in the Declarations for Business Personal Property. (2) We will pay for direct physical loss of or damage to property sold under an installation agreement where your insurable interest continues until the property is accepted by the purchaser for whom the project is to be performed. Coverage applies under this Additional Coverage when the loss or damage is caused by or resulting from any Covered Cause of Loss. (3) The property under which this insurance applies includes: (a) Materials, supplies, equipment, machinery, fixtures owned by you or in your care, custody or control, and which are to be installed by you or at your direction; and (b) Temporary assembled cribbing, construct' 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permis structures built or on -site, including scaffolding and Risk MauganadDiviskm e REMe 6APPRovm By. '�' A,�te Aurwta iltlll�, Risk Management Spedalirt This property is covered while: a The cost to make () good or replace (c) At any jobsite you do not own, faulty or defective materials or lease or operate; workmanship; (d) Awaiting. and during installation, (b) Testing. However, if testing results in or awaiting acceptance by the fire or explosion, we will pay for the purchaser; loss or damage caused by that fire or (a) "In transit"; or explosion; (f) At a temporary storage location. (c) A fault, defect, deficiency, error or (4) Coverage provided under this omission in a plan, blueprint, design or specification; Additional Coverage will end when one of the following first occurs: (d) The weight of a load when it exceeds the designed capacity of any property (a) This policy expires or is covered under this Additional cancelled; Coverage to lift, move or support the (b) The property covered under this load from any position; or Additional Coverage is accepted (a) Collision, upset or overturn of any by the purchaser; property covered under this (c) Your interest in the property Additional Coverage to the extent of covered under this Additional any loss of or damage to the tires or Coverage ceases; inner tubes of such property. But we (d) You abandon the project to be will pay for the loss of or damage to the tires or inner tubes if the same performed by you for the accident causes other covered loss to purchaser, with no intention to the same property covered under this complete it; or Additional Coverage. (a) 90 days after the project to be (7) The following in SECTION I - PROPERTY, performed by you for the purchaser is completed, unless B. Exclusions paragraph 1. do not apply we specify a different date in to this Additional Coverage:: writing. (a) b. Earth Movement; and (5) In addition to SECTION I - (b) g. Water. PROPERTY, A. Coverage, 2. (8) The most we will pay for loss of or Property Not Covered, the following damage to property covered under this property is not covered with respect Additional Coverage in any one to this Additional Coverage: occurrence is $5,000, regardless if the (a) An existing building or structure property is located at a jobsite, while "in to which an addition, alteration, transit", or at a temporary storage improvement or repair is being location. made; This Additional Coverage does not (b) Property stored at a permanent increase SECTION I - PROPERTY, C. premises that you own; Limits of Insurance. (c) A plan, blueprint, design or x. Fine Arts specification; f () We will pay for direct physical loss to (d) Trees, grass, sod, shrubbery or "fine arts' which are your property or plants; and the property of others in your care, (a) Machinery, tools, equipment, custody or control while on the supplies or similar property that described premises. We also cover does not become a permanent your "fine arts' while temporarily on part of the project. This includes display or exhibit away from the contractor's equipment and other described premises or while "in tools belonging to a contractor transit" between the described or sub -contractor. premises and a location where the (6) Special Installation Exclusions We will not pay for any loss caused by or resulting from: 391.1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permis IN Rink MwagmwdDMelml ' RFME &APPRO RY: mom A�e "44 W Risk Management Specialist "fine arts" will be temporarily on display or exhibit. (2) The following of SECTION I - PROPERTY, B. Exclusions, paragraph 1. do not apply to this Additional Coverage: (a) b. Earth Movement; and (b) g. Water (3) The most we will pay for any loss under this Additional Coverage is $10,000 per occurrence regardless of the number of locations or buildings involved. (4) Special Fine Arts Exclusion We will not pay for any loss caused by or resulting from: (a) Breakage of statuary, glassware, bric-a-brac, marble, porcelain and similar fragile property. But we will pay if the loss or damage is caused directly by a "specified cause of loss", earthquake or "flood" and (b) Any repairing, restoration or retouching of the "fine arts". y. Sales Representative Samples (1) We will pay for direct physical loss or damage by a Covered Cause of Loss to samples of your "stock" in trade (including containers) while: (a) In the custody of your sales representative, agent or any "employee" who travels with sales samples; (2) (3) (4) (b) In your custody while acting as a sales representative; or (c) "In transit' between the described premises and your sales representatives. The following of SECTION I - PROPERTY, B. Exclusions, paragraph 1. do not apply to this Additional Coverage: (a) b. Earth Movement; and (b) g. Water The most we will pay for any loss or damage under this Additional Coverage is $5,000 unless a higher Limit of Insurance is shown in the Additional Property Coverage Schedule. We will not pay for loss to the following property: Hanoover uace Group_ ODFD785344 5701644 (a) Property which has been sold; (b) Jewelry, precious or semiprecious stones, gold, silver, platinum or other precious metals or alloys; (c) Fur, fur garments or garments trimmed with fur; or (d) Any property while waterborne. z. Leasehold Interest (Tenants Only) (1) If your lease is cancelled due to direct physical damage to property at the described premises caused by or resulting from a Covered Cause of Loss, we will pay the net loss you sustain due to increased rent under a replacement lease. (2) The most we will pay for loss because of the cancellation of any lease or leases due to the same covered cause of loss is the lesser of: (a) If your lease is cancelled and either: (1) Your landlord allows you to continue to use your premises under a new lease not to exceed the prevailing lease rate, or (ii) You relocate to other permanent premises and enter into a new lease. For the duration of the lease in effect at the time of the loss, we will pay the increase in rent between what you were paying at the time of loss and the rent you will be required to pay for equivalent premises under the replacement lease; (b) $10,000; or (c) Nothing if there is not a written or legally binding lease. (3) The following applies to paragraph (2), subparagraphs (a)(i) and (a)(ii) above: (a) If the lease in effect at the time of the loss contains a renewal option, the expiration date of the renewal option period will replace the expiration of the current lease. (b) If the lease has no end date (open-ended), we will pay the difference in rent for a period of no more than 24 months after the date of the direct physical damage t^ described, N. 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its wa u wow = k REVIEViED& APPROVED&C ��f1Le4'� Risk Management Specialist (4) The following applies to paragraph Additional Coverage is $5,000 per (2), subparagraphs (a) and (b) above: occurrence. (a) $10,000 will be the maximum bb. Utility Services amount payable regardless of the number of leases affected by the (1) We will pay for loss of or damage to same Covered Cause of Loss. Property Covered Pro p y. caused b y a interruption in service to the described (b) Existence of a renewal option will premises. The interruption must result not increase, or have any other from direct physical loss or damage by a effect on this Limit of Insurance. Covered Cause of Loss to property not on (5) Special Leasehold Interest Exclusion the described premises that provides the We will not pay for any loss or services shown in paragraph (3) below. damage: The most we will pay for loss in any one (a) If the unit or suite rented or occurrence under this Additional Coverage is $10,000 at each described leased you where direct premises or the Limit of Insurance shown damage occurs has been vacant in the Additional Property Coverage more than 60 consecutive days Schedule. before the loss or damage occurs, and you have not entered into an (2) We will pay for the actual loss of Business agreement to sublease the unit or Income you sustain and necessary Extra suite. Expense you incur caused by the (b) Caused by your cancelling the interruption of service at the described lease, or premises. The interruption must result from direct physical loss or damage by a (c) Caused by lessors' lease Covered Cause of Loss to property not on cancellation at the normal the described premises that provides the expiration date. services shown in paragraph (3) below. aa. Unauthorized Business Credit Card Use We will only pay for loss you sustain after (1) We will pay for loss resulting from the the first 24 hours following the direct "theft" or unauthorized use of physical loss of or damage to the property Business Credit Cards issued to you described above. or registered in your name. The most we will pay for loss in any one (2) We do not cover use of a Business occurrence under this Additional Credit Card: Coverage is $5,000 at each described premises or the Limit of Insurance shown (a) By a person who has been in the Additional Property Coverage entrusted with the card; or Schedule. (b) any of your "employees". (3) Services: (3) All loss: (a) Water Supply Services, meaning the (a) Caused by one or more persons; following types of property supplying or water to the described premises: (b) Involving a single act or series of (1) Pumping stations; and related acts; (ii) Water mains. is considered one occurrence (b) Communication Supply Services, regardless of the number of individual meaning the following types of unauthorized transactions. property supplying communication (4) If a suit is brought against you for services, including but not limited liability, we will pay for reasonable to telephone, radio, microwave, legal expenses incurred in that television services, internet defense under this Additional access or access to any Coverage. electronic, cellular or satellite (5) The most we will pay for any loss including legal expenses, under this 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permi. e ltiek Manugem�e Uivielon REVIEWED 6 APPROVED BY: '� Risk Management Specialist network to the described premises, such as: (1) Communication transmission lines, including optic fiber transmission lines; (ii) Coaxial cables; and (iii) Microwave radio relays except satellites. (c) Power Supply Services, meaning the following types of property supplying electricity, steam or gas to the described premises: (1) Utility generating plants; (ii) Switching stations; (iii) Substations; (iv) Transformers; and (v) Transmission lines. (4) Services under this Additional Coverage do not include overhead transmission lines that deliver utility services to you. Overhead transmission lines include, but are not limited to: (a) Overhead transmission and distribution lines; (b) Overhead transformers and similar equipment; and (c) Supporting poles and towers. (5) As used in this additional coverage, the term transmission lines includes all lines which serve to transmit communication service or power, including lines which may be identified as distribution lines. (6) This coverage is not an additional amount of insurance. (7) Coverage under this Additional Coverage for loss or damage to Covered Property does not apply to loss or damage to "electronic data", including destruction or corruption of "electronic data". (8) The definitions of Business Income and Extra Expense contained in the Business Income and Extra Expense Additional Coverages also apply to this Utility Services Additional Coverage. cc. Deferred Payments (1) We will pay for your interest in lost or damaged Business Personal Property sold by you under a conditional sale or �,e Hanover Insurance Group- ODFD785344 5701644 trust agreement or any installment or deferred payment plan after delivery to buyers. The loss or damage must be caused by a Covered Cause of Loss. (2) When a total loss to that property occurs, deferred payments are valued on the amount shown on your books as due from the buyer. When a partial loss to that property occurs and the buyer refuses to continue payment, forcing you to repossess, deferred payments are valued as follows: (a) If the realized value of the repossessed property is greater than or equal to the amount shown on your books as due from the buyer, we will make no payment; but (b) If therealized valueof the repossessed property is less than the amount shown on your books as due from the buyer, we will pay the difference. (3) When loss occurs and the buyer continues to pay you, there will be no loss payment. (4) The most we will pay for loss under this Additional Coverage is $5,000 per occurrence. dd. Electronic Vandalism (1) SECTION I - PROPERTY, A. Coverage, 2. Property Not Covered, paragraph o. is deleted. (2) We cover direct physical loss of or damage to covered "computer equipment' at the described premises caused by "electronic vandalism". (3) The most we will pay in any one occurrence under this Additional Coverage is $10,000. The most we pay for all covered losses under this Additional Coverage during each separate 12-month period of this policy is $10,000. (4) Special Electronic Vandalism Exclusions We do not cover: (a) Loss of proprietary use of any "electronic data" or "proprietary programs" that have been copied, scanned, or altered; (b) Loss of or reduction in economic or market value of any "electronic 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit RleleMann anmtDivulnn REVIEWED & APPRW® BY. A,g�e AmA4 ®' Risk Management SpenAkt data" or "proprietary programs" that have been copied, scanned, or altered; and (c) "Theft" from your "electronic data" or "proprietary programs" of confidential information through the observation of the "electronic data" or "proprietary programs" by accessing covered "computer equipment" without any alteration or other physical loss of or damage to the records or programs. Confidential information includes, but is not limited to, customer information, processing methods, or trade secrets. ee. Interruption of Computer Operations This Additional Coverage is only available if Business Income is covered under this Coverage Form. (1) Subject to all provisions of this Additional Coverage, you may extend the insurance that applies to Business Income and Extra Expense to apply to a suspension of "operations' at the described premises caused by an interruption in computer operations due to destruction or corruption of "electronic data" occurring at or away from the described premises resulting from any Covered Cause of Loss. (2) With respect to the coverage provided under this Additional Coverage, the Covered Causes of Loss are subject to the following: (a) With respect to the coverage provided under this Additional Coverage, the Covered Causes of Loss include "electronic vandalism". But there is no coverage for an interruption related to manipulation of a computer system (including "electronic data") by any employee, including a temporary or leased employee, or by an entity retained by you, or for you, to inspect, design, install, modify, maintain, repair or replace that system. (b) If the Businessowners Coverage Form is endorsed to add a Covered Cause of Loss, the additional Covered Cause of Loss does not apply to the coverage provided under this Additional Coverage. (3) The most we will pay under this Additional Coverage - Interruption of Computer Operations for all loss sustained and expense incurred in any one policy year, regardless of the number of interruptions or the number of premises, locations or computer systems involved, is $10,000 unless a higher Limit of Insurance is shown in the Declarations. If loss payment relating to the first interruption does not exhaust this amount, then the balance is available for loss or expense sustained or incurred as a result of subsequent interruptions in that policy year. A balance remaining at the end of a policy year does not increase the amount of insurance in the next policy year. With respect to any interruption which begins in one policy year and continues or results in additional loss or expense in a subsequent policy year(s), all loss and expense is deemed to be sustained or incurred in the policy year in which the interruption began. (4) This Additional Coverage - Interruption of Computer Operations does not apply to loss sustained or expense incurred after the end of the "period of restoration", even if the amount of insurance stated in paragraph (3) above has not been exhausted. (5) Coverage for Business Income does not apply when a "suspension"of "operations" is caused by destruction or corruption of "electronic data", or any loss or damage to "electronic data", except as provided under paragraphs (1), (2), (3) and (4) of this Additional Coverage. (6) Coverage for Extra Expense does not apply when action is taken to avoid or minimize a "suspension" of "operations" caused by "electronic vandalism", except as provided under paragraphs (1), (2), (3) and (4) of this Additional Coverage. (7) This Additional Coverage - Interruption of Computer Operations does not apply when loss or damage to "electronic data" involves only "electronic data" which is integrated in and operates or controls a building's elevator, lighting, heating, ventilation, air conditioning or security systeIx 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its =urureinn Risk Management Spedalist ff. Limited Coverage for Fungi, Wet Rot, or Dry Rot (1) The coverage described in paragraphs (2) and (6) below only applies when the "fungi", wet rot or dry rot is the result of any of the "specified causes of loss" other than fire or lightning that occurs during the policy period and only if all reasonable means were used to save and preserve the property from further damage at the time of and after that occurrence. This Additional Coverage does not apply to lawns, trees, shrubs or plants which are part of a vegetated roof. (2) We will pay for loss or damage by "fungi", wet rot or dry rot. As used in this Limited Coverage, the term loss or damage means: (a) Direct physical loss of or damage to Covered Property caused by "fungi", wet rot or dry rot, including the cost of removal of the "fungi", wet rot or dry rot; (b) The cost to tear out and replace any part of the building or other property as needed to gain access to the "fungi", wet rot or dry rot; and (c) The cost of testing performed after removal, repair, replacement or restoration of the damaged property is completed, provided there is a reason to believe that "fungi", wet rot or dry rot is present. (3) The coverage described under this Limited Coverage is limited to $50,000. Regardless of the number of claims, this limit is the most we will pay for the total of all loss or damage arising out of all occurrences caused by or resulting from any of the "specified causes of loss" (other than fire or lightning) which take place in a 12 month period (starting with the beginning of the present policy period). With respect to a particular occurrence of loss which results in "fungi", wet rot or dry rot, we will not pay more than the total of $50,000 even if the "fungi", wet rot or dry rot continues to be present or active, or recurs, in a later policy period. me Hanover ]nsurance Croup_ ODFD785344 5701644 (4) The coverage provided under this Limited Coverage does not increase the applicable Limit of Insurance on any Covered Property. If a particular occurrence results in loss or damage by "fungi", wet rot or dry rot, and other loss or damage, we will not pay more for the total of all loss or damage, than the applicable Limit of Insurance on the affected Covered Property. If there is covered loss or damage to Covered Property, not caused by "fungi", wet rot or dry rot, loss payment will not be limited by the terms of this Limited Coverage, except to the extent that "fungi", wet rot or dry rot causes an increase in the loss. Any such increase in the loss will be subject to the terms of this Limited Coverage. (5) The terms of this Limited Coverage do not increase or reduce the coverage provided in SECTION I - PROPERTY, A. Coverage, 5 Additional Coverages, d. Collapse; and/or e. Water Damage, Other Liquids, Powder or Molten Material Damage. (6) The following applies only if Business Income and/or Extra Expense Coverage applies to the described premises and only if the "suspension" of 'operations" satisfies all the terms and conditions of the applicable SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, f. Business Income and/or g. Extra Expense: (a) If the loss which resulted in "fungi", wet rot or dry rot does not In itself necessitate a "suspension" of 'operations", but such "suspension" is necessary due to loss or damage to property caused by "fungi", wet rot or dry rot, then our payment under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, f. Business Income and/or g. Extra Expense is limited to the amount of loss and/or expense sustained in a period of not more than 30 days. The days need not be consecutive. (b) If a covered suspension of "operations" was caused by loss or damage other than "fungi", wet 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permi. ei + �� ORA�j RlAMniagenadD[Wilmt NenEwID6AaaRov®Bv: &tv44 ®' R6k Management Spetlkist rot or dry rot, but remediation of "fungi", wet rot, dry rot prolongs the "period of restoration", we will pay for loss and/or expense sustained during the delay (regardless of when such a delay occurs during the "period of restoration"), but such coverage is limited to 30 days. The days need not be consecutive. gg. Theft of Telephonic Services (1) We will pay amounts you are obligated to pay that result from the "theft" of your "telephonic services" when someone who is not an "employee" gains unauthorized access to your "telephonic services" used in your business operations. (2) The most we will pay under this Additional Coverage for acts of "theft" of "telephonic services", regardless of the number of "thefts" of "telephonic services" that you sustain in one policy year is $25,000. hh. Computer and Funds Transfer Fraud (1) We will pay for: (a) Loss resulting directly from a fraudulent: (i) Entry of "electronic data" or "computer program" into; or (ii) Change of "electronic data" or "computer program" within; any "computer equipment" owned, leased or operated by you, provided the fraudulent entry or fraudulent change causes, with regard to (1)(a)(1) and (1)(a)(ii) in the above paragraph: (III) "Money", "securities" or "other property" to be transferred, paid or delivered; or (iv) Your account at a "financial institution" to be debited or deleted. (b) Loss resulting directly from a "fraudulent instruction" directing a "financial institution" to debit your "transfer account" and to transfer, pay or deliver "money" or "securities" from that account. (2) As used in (1)(a) above, fraudulent entry or fraudulent change of "electronic data" or "computer program" shall include such entry or change made by an "employee" acting, in good faith, upon a "fraudulent instruction" received from a computer software contractor who has a written agreement with you to design, implement or service "computer programs" for "computer equipment" covered under this Insuring Agreement. (3) The most we will pay per occurrence under this Additional Coverage is $5,000 unless a higher Limit of Insurance is shown in the Schedule of Amended Limits of Insurance. (4) Under this Additional Coverage all loss: (a) Caused by one or more persons; or (b) Involving a single act or series of acts: is considered one occurrence. H. Tenant Building Insurance - When Your Lease Requires You to Provide Insurance (1) This Additional Coverage is available only when the Named Insured is a tenant and a Limit of Insurance is shown in the Declarations Page for Business Personal Property. (2) We will pay for direct physical loss of or damage to a building on the described premises owned by your landlord and in your care, custody or control for which you have a written contractual responsibility to insure. The loss or damage must be the result of or caused by a Covered Cause of Loss. (3) Regardless of the number of described buildings affected, the most we will pay per insured location under this Additional Coverage is $25,000 in any one occurrence. jj. Tenant Business Personal Property Insurance - When Your Lease Requires You to Provide Insurance (1) This Additional Coverage is available only when the Named Insured is a tenant and a Limit of Insurance is shown in the Declarations Page for Business Personal Property. (2) Subject to SECTION I - PROPERTY, E. Property Loss Conditions, 5. Loss Payment, paragraph d., subparagraph (3)(b), we will pay for 391-1003 08 Includes copyrighted material of Insurance Services Office, Inc., with its permissi Risk Maggment Divietmt REveNm & APPR E) Sy: ®' Risk Management Speoilist direct physical loss of or damage to your landlord's personal property located inside of a building on the described premises and in your care, custody or control for which you have a written contractual responsibility to insure. The loss or damage must be the result of or caused by a Covered Cause of Loss. (3) Regardless of the number of buildings where the landlord's personal property is located, the most we will pay per insured location under this Additional Coverage in any one occurrence is $25,000. 6. Coverage Extensions Except as otherwise provided, the following extensions apply to property located in or on the building described in the Declarations or in the open (or in a vehicle) within 1,000 feet of the described premises: a. Newly Acquired or Constructed Property (1) Buildings If your policy covers Buildings, you may extend the insurance provided under Building to apply to direct physical loss or damage when such loss or damage is caused by a Covered Cause of Loss to: (a) Your new buildings while being built on the described premises; and (b) Buildings you acquire at premises other than the one described, intended for: (1) Similar use as the building described in the Declarations; or (ii) Used as a warehouse. (c) The most we will pay for loss or damage under this Extension for Newly Acquired or Constructed Buildings is $1,000,000 at each building. (2) Business Personal Property (a) If your policy covers Business Personal Property, you may extend the insurance provided under Business Personal Property to apply to direct physical loss or damage when such loss or damage is caused by a Covered Cause of Loss to: The Hanover Insurance Group_ ODFD785344 5701644 (i) Business Personal Property, including such property that you newly acquire, at any location you acquire; or (11) Business Personal Property, including such property that you newly acquire, located at your newly constructed or acquired buildings at the location described in the Declarations. (III) Business Personal Property that you newly acquire, located at the described premises. (b) This Extension does not apply to: (1) Personal property of others that is temporarily in your possession in the course of installing or performing work on such property; or (ii) Personal property of others that is temporarily in your possession in the course of your manufacturing or wholesaling activities. (c) This insurance may not be used to increase your Business Personal Property Limit. It does not apply to personal property you acquire as part of your usual customary business dealings whether or not such acquisition was related to anticipated seasonal demands. Under the terms of this Coverage Form, such property is not considered newly acquired, but falls within the provisions for Business Personal Property. (d) The most we will pay for loss or damage under this Extension is $500,000 at each premises. (3) Business Income and Extra Expense You may extend the insurance that applies to Business Income and Extra Expense to apply to property at any location you acquire. The most we will pay for loss or damage under this Extension is $250,000 at each premise. (4) Period of Coverage With respect to insurance provided under this Coverage Extension for Newly Acquired or Constructed 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its pern as. Rlelt MwagemmtDhivimi REVIEWED&APPRW BY: a Risk Management SpeaAot Property, coverage will end when any of the following first occurs: (a) This policy expires; (b) 180 days after you acquire the property or begin construction of that part of the building that would qualify as Covered Property; or (c) You report values to us. We will charge you additional premium for values reported from the date you acquire the property or begin construction of that part of the building that would qualify as Covered Property. b. Personal Property Off Premises (1) If your policy covers Business Personal Property, you may extend the insurance provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage when such loss or damage is caused by a Covered Cause of Loss while: (a) At a location you do not own, lease or operate; or (b) At any fair, trade show or exhibition. (2) The most we will pay for loss or damage under this Extension is $50,000 or the amount shown in the Additional Property Coverage Schedule, whichever is greater. (3) Special Personal Property Off Premises Exclusions This extension does not apply to property: (a) In or on a vehicle; or (b) In the care, custody or control of your sales representative, unless the property is in such care, custody or control at a fair, trade show or exhibition. c. Outdoor Property (1) You may extend insurance provided by this Coverage Form to apply to direct physical loss or damage to your radio and television antennas (including satellite dishes), trees, shrubs, plants and lawns (other than trees, shrubs or plants which are "stock" or are a part of a vegetated roof) including debris removal expense, caused by or resulting from any of the following causes of loss: (a) Fire; (b) Lightning; (c) Explosion; (d) Riot or civil commotion; (e) Aircraft; (f) Windstorm; or (g) Ice, snow, sleet and hail. (2) Coverage under this Extension does not apply to property held for sale by you. (3) Regardless of the number of described premises involved, the most we will pay for loss or damage under this Extension, including debris removal expense, is $10,000, but not more than $1,000 for any one tree, shrub or plant. d. Personal Effects (1) If your policy covers Business Personal Property, you may extend the insurance provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage to personal effects owned by you, your officers, your partners or "members", your "managers" or your "employees" when such loss or damage is caused by a Covered Cause of Loss. (2) This extension does not apply to: (a) Tools or equipment used in your business; and (b) "Employees" tools and small equipment; (3) The most we will pay for loss or damage under this Extension is $10,000 at each described premises. e. Valuable Papers and Records (Other Than Electronic Data) (1) If your policy covers Business Personal Property, you may extend the insurance provided under SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage to "valuable papers and records" that you own, or that are in your care, custody or control caused by or resulting from a Covered Cause d Ri&kmwwgenattDwlmt RLAEwED& APPROVED Br A+ju Auv44 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its perm ® Risk Management speardist The Hanover Insurance Group_ ODFD785344 5701644 of Loss. This Coverage Extension is caused by or results from a includes the cost to research, Covered Cause of Loss. We will replace or restore the lost pay: information on "valuable papers and (a) All amounts due from your records" for which duplicates do not customers that you are unable exist. to collect; (2) The most we will pay under this (b) Interest charges on any loan Coverage Extension for loss or "valuable required to offset amounts you damage to papers and are unable to collect pending records" in any one occurrence at our payment of these amounts; the described premises is $25,000, unless a higher Limit of Insurance for c Collection expenses in excess () p "valuable papers and records" is of your normal collection shown in the Additional Property expenses that are made Coverage Schedule. necessary by loss or damage; (3) The most we will pay under this and Coverage Extension for loss or (d) Other reasonable expenses damage to 'valuable papers and that you incur to re-establish records" in any one occurrence not your records of accounts at the described premises is $25,000, receivable; unless a higher Limit of Insurance for that result from direct physical loss "valuable papers and records" is or damage by any Covered Cause shown in the Additional Property of Loss to your records of accounts Coverage Schedule. receivable. (4) This Coverage Extension does not (2) We will pay under this Coverage apply to: Extension for loss or damage In (a) Property held as samples or for any one occurrence at the delivery after sale; or described premises. The most we (b) Property in storage away from will pay is $25,000 for accountsreceivable at the described the premises shown In the Declarations; premises, unless a higher Limit of Insurance for accounts receivable (5) SECTION I - PROPERTY, B. is shown in the Additional Property Exclusions does not apply to this Coverage Schedule. Coverage Extension except for: (3) We will pa under this Coverage (a) Paragraph 1.c. Governmental Extension for loss or damage in Action; any one occurrence not at the (b) Paragraph 1.d. Nuclear Hazard; described premises. The most we will pay is $25,000 for accounts (c) Paragraph 11 War and Military receivable not at the described Action; premises. (d) Paragraph 2.d. Dishonesty; (4) SECTION I - PROPERTY, B. (e) Paragraph 2.e. False Pretense; Exclusions does not apply to this (f) Paragraph 2.k. Errors or Coverage Extension except for: Omissions; and (a) Paragraph 1.c. Governmental (g) Paragraph 3.a. Weather Action; Conditions, 3.b. Acts or Decisions (b) Paragraph 1.d. Nuclear Hazard; and 3.c. Negligent Work. (c) Paragraph 11 War and Military f. Accounts Receivable Action; (1) If your policy covers Business (d) Paragraph 2.d. Dishonesty; Personal Property, you may extend (a) Paragraph 2.e. False Pretense; the insurance provided in SECTION I and - PROPERTY, A. Coverage, 1. (f) Paragraph 3.a. Weather Covered Property, b. Business Conditions, 3.b. Acts or Personal Property to accounts Decisions and 3.c. Negligent receivable when such loss or damage Wow (5) Accounts Exclusion We will not 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi `�..�,. RiskMarugawdDhbron e REMEWED&AWROVED&r ' " A+&s fkaade OF ® Risk Management Specialist (a) Loss or damage caused by or resulting from alteration, falsification, concealment or destruction of records of accounts receivable done to conceal the wrongful giving, taking or withholding of "money", "securities" or "other property". This exclusion applies only to the extent of the wrongful giving, taking or withholding. (b) Loss or damage caused by or resulting from bookkeeping, accounting or billing errors or omissions. (c) Any loss or damage that requires any audit of records or any inventory computation to prove its factual existence. g. Key Replacement and Lock Repair (1) You may extend the insurance provided under this Coverage Form to cover the reasonable and necessary expense you incur due to a covered 'theft" for: (a) Replacement of keys if they are stolen; (b) Lock repair; or (c) Rekeying, replacing or reprogramming undamaged locks to accept new keys or entry codes when the building security has been compromised. (2) The most we will pay under this Extension is $1,000. The deductible does not apply to this Extension. h. Appurtenant Structures (1) If your policy covers Buildings, you may extend the insurance provided under Building to apply to direct physical loss or damage to garages, carports, storage buildings and other appurtenant structures, including, but not limited to, swimming pools, spas and the associated equipment within 1,000 feet of the described premises when such loss or damage is caused by or results from a Covered Cause of Loss. (2) The most we will pay for loss or damage under this Extension is $50,000 at each described premises regardless of the number of buildings or structures affected. I. Personal Property in Transit (1) If your policy covers Business Personal Property, you may extend the insurance provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage to your property or property of others that is in your care, custody or control while "in transit" when such loss or damage is caused by or results from a Covered Cause of Loss. (2) You may extend the insurance that applies to SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage, caused by a Coverage Cause of Loss, to outgoing shipments that have been rejected, while in due course of transit back to you or while awaiting return shipment to you. (3) This Extension applies to the property while in: (a) A vehicle owned, leased or operated by you; or (b) The custody of a common carrier or contract carrier. (4) The following in SECTION I - PROPERTY, B. Exclusions, paragraph 1. do not apply to this Extension: (a) b. Earth Movement; and (b) g. Water. (5) The most we will pay for loss or damage under this Coverage Extension is $10,000 unless a higher Limit of Insurance is shown in the Schedule of Amended Limits of Insurance. (6) Special Personal Property In Transit Exclusions This Extension does not apply to: (a) Shipments that belong to others that you are transporting for a fee; (b) Property while waterborne; (c) Salesperson's Samples; or (d) Loss to "perishable goods" resulting from a breakdown of refriaerntion enuinment nn any v opera the ci contra 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permissic „sa—•, o ) RlekMuugenadDhilslan REV eAM & APPROVED Br. A A W Risk ManagementSpec` is j. Inventory and Loss Appraisal (1) We will pay for all reasonable expenses you incur at our written request to assist us in: (a) The investigation of a claim; (b) The determination of the amount of loss, such as taking inventory; (c) The cost of preparing specific loss documents and other supporting exhibits; or (d) Expenses you incur include costs charged to you by others, including property managers, acting on your behalf to assist us with items listed in paragraph (1)above. (2) Regardless of the number of premises involved, the most we will pay under this Extension is $10,000. (3) The deductible does not apply to these expenses. (4) Special Inventory and Loss Appraisal Exclusion We will not pay for expenses: (a) Incurred to perform your duties in the event of a loss under SECTION I - PROPERTY, E. Property Loss Conditions; (b) To prove that loss or damage is covered; (c) Billed by and payable to independent or public adjusters; attorneys; claims advocates; or any of their affiliated or associated entities; (d) To prepare claims not covered by this Coverage Form; or (e) Incurred under any appraisal provisions within the Coverage Form. k. Business Personal Property Temporarily in Portable Storage Units (1) If your policy covers Business Personal Property, you may extend the insurance provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, b. Business Personal Property to apply to direct physical loss or damage to such property while temporarily stored in a portable storage unit (including a detached trailer) located within 1,000 feet of the buildings or structures me Hanover Insurance Group_ ODFD785344 5701644 described in the Declarations or within 1,000 feet of the described premises, whichever distance is greater when such loss or damage is caused by or results from a Covered Cause of Loss. (2) We will not pay for loss of or damage to Business Personal Property temporarily in portable storage units, caused by or resulting from rain, snow, sleet, ice, sand or dust, whether driven by wind or not, unless: (a) The portable storage unit first sustains damage by a Covered Cause of Loss to its roof or walls through which the rain, snow, sleet, ice, sand or dust enters; or (b) The loss or damage is caused by or results from thawing of snow, sleet or ice on the building or structure. (3) Coverage underthis Extension: (a) Will end 90 days after the Business Personal Property has been placed in the storage unit; (b) Does not apply if the storage unit itself has been in use at the described premises for more than 90 consecutive days, even if the Business Personal Property has been stored there for 90 or fewer days as of the time of loss or damage. (4) Under this Extension, the most we will pay for the total of all loss or damage to Business Personal Property is $25,000 unless a higher limit is shown in the Additional Property Coverage Schedule for this Extension regardless of the number of storage units. (5) This Extension does not apply to loss or damage otherwise covered under this Coverage Form or any endorsement to this Coverage Form, and does not apply to loss or damage to the storage unit itself. I. Paved Surfaces (1) If your policy covers Buildings, you may extend the insurance provided under SECTION I - PROPERTY, A. Coverage, 1. Covered Property, a. BuildBuilding to apply to direct physical ing or damage to your paved surfaces, including but not limited to bridges, roadways, walks, patios, and parking lots when such loss or 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its per .,�.� x>eknfravgernattoM��n e R6 e� 6AP Rowo BY: A+1p Aav44 `� Risk Management SpedNist -. damage is caused by or results from a Covered Cause of Loss. (2) Regardless of the number of described premises involved, the most we will pay for loss or damage in any one occurrence is $25,000. (3) Payment for loss or damage to this property is included in the applicable Limit of Insurance. (4) Special Paved Surfaces Exclusion We will not pay for loss or damage caused by tree roots, freezing or thawing. m. Underground Pipes (1) If your policy covers Buildings, you may extend the insurance provided in SECTION I - PROPERTY, A. Coverage, 1. Covered Property, a. Building to apply to direct physical loss or damage to underground pipes, flues and drains when such loss or damage is caused by or results from a Covered Cause of Loss. (2) The most we will pay for loss under this Coverage Extension is the applicable Limit of Insurance. (3) Payment under this Additional Coverage is included within the Limit oflnsurance. (4) Special Underground Pipes Exclusion We will not pay for loss or damage caused by tree roots. B. Exclusions 1. 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. a. Ordinance or Law (1) The enforcement of or compliance with any ordinance or law: (a) Regulating the construction, use or repair of any property; or (b) Requiring the tearing down of any property, including the cost of removing its debris. (b) The increased costs incurred to comply with an ordinance or law in the course of construction, repair, renovation, remodeling or demolition of property or removal of its debris, following a physical loss to that property. This exclusion does not apply to the Ordinance or Law Additional Coverage. b. Earth Movement (1) Earthquake, including tremors and aftershocks and any earth sinking, rising or shifting related to such event; (2) Landslide, including any earth sinking, rising or shifting related to such event; (3) Mine subsidence, meaning subsidence of a man-made mine, whether or not mining activity has ceased; (4) Earth sinking (other than sinkhole collapse), rising or shifting including soil conditions which cause settling, cracking or other disarrangement of foundations or other parts of realty. Soil conditions include contraction, expansion, freezing, thawing, erosion, improperly compacted soil and the action of water under the ground surface. But if Earth Movement, as described in paragraphs (1), (2), (3) and (4) above, results in fire or explosion, we will pay for the loss or damage caused by that fire or explosion. (5) Volcanic eruption, explosion or effusion. But if volcanic eruption, explosion or effusion results in fire, building glass breakage or volcanic action, we will pay for the loss or damage caused by that fire, building glass breakage or volcanic action. Volcanic action means direct loss or damage resulting from the eruption of a volcano when the loss or damage is caused by: (a) Airborne volcanic blast or airborne shock waves; (b) Ash, dust or particulate matter; or (c) Lava flow. (2) This exclusion, Ordinance or Law, With respect to coverage for volcanic applies whether the loss results action as set forth in paragraph (5), from: all volcanic subparagraphs(a), thatdoccu)r within (a) An ordinance or law that is enforced even if the property has not been damaged; or .gam=;^.q. RI kMvaganmtDhWm 4+/ RVI &APPRIN®aY: ® Risk Management Specialist 397-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its p _ any 168-hour period will constitute a single occurrence. Volcanic action does not include the cost to remove ash, dust or particulate matter that does not cause direct physical loss of or damage to Covered Property. This exclusion applies regardless of whether or not any of the above, in SECTION I - PROPERTY, B. Exclusions, paragraph 1., b Earth Movement, subparagraphs(1), (2), (3), (4) and (5), are caused by an act of nature or is otherwise caused. c. Governmental Action Seizure or destruction of property by order of governmental authority. But we will pay for loss or damage caused by or resulting from acts of destruction ordered by governmental authority and taken at the time of a fire to prevent its spread, if the fire would be covered under this Coverage Form. d. Nuclear Hazard Nuclear reaction or radiation, or radioactive contamination, however caused. But if nuclear reaction or radiation, or radioactive contamination, results in fire, we will pay for the loss or damage caused by that fire. e. Utility Services The failure of power, communication, water or other utility service supplied to the described premises, however caused, if the failure: (1) Originates away from the described premises; or (2) Originates at the described premises, but only if such failure involves equipment used to supply the utility services to the described premises from a source away from the described premises. Failure of any utility service includes lack of sufficient capacity and reduction in supply. Loss or damage caused by a surge of power is also excluded, if the surge would not have occurred but for an event causing a failure of power. But if the failure or surge of power, or the failure of communication, water or other utility service, results in a Covered Cause The Hanover Insurance Group_ ODFD785344 5701644 of Loss, we will pay for the loss or damage caused by that Covered Cause of Loss. Communication services include but are not limited to service relating to Internet access or access to any electronic, cellular or satellite network. This exclusion does not apply to loss or damage to "computer equipment" and "electronic data" or to SECTION I - PROPERTY, 5. Additional Coverages, bb. Utility Services. f. War and Military Action (1) War, including undeclared or civil war; (2) 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 (3) Insurrection, rebellion, revolution, usurped power, or action taken by governmental authority in hindering or defending against any of these. g. Water (1) "Flood", surface water, waves (including tidal wave or tsunami), tides, tidal water, overflow of any body of water, or spray from any of these, all whether or not driven by wind (including storm surge); (2) Mudslide or mudflow; (3) Water that backs up or overflows or is otherwise discharged from a sewer, drain, sump, sump pump; or related equipment; (4) Water under the ground surface pressing on, or flowing or seeping through: (a) Foundations, walls, floors or paved surfaces; (b) Basements, whether paved or not; or (c) Doors, windows or other openings. (5) Waterborne material carried or otherwise moved by any of the water referred to in paragraphs (1), (3) or (4) above, or material carried or otherwise moved by mudslide or mudflow. This exclusion applies regardless of whether any of paragraphs (1), (2), (3), (4) and (5)bove,are caused by an ac{t of nature or is otherwi 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its pen =s..� o Risk Muaganad DiviYan REVIEWED&APPROVED Br. 401�—•. A, p Aew4ia Risk Management Sperialist of a situation to which this exclusion applies is the situation where a dam, levee, seawall or other boundary or containment system fails in whole or in part, for any reason, to contain the water. But if Water, as described in paragraphs 1), (2). (3). (4) and (5) above, results in ire, explosion or sprinkler leakage, we will pay for the loss or damage caused by that fire, explosion or sprinkler leakage. If electrical "covered equipment' requires drying out because of paragraphs (1), (2), (3), (4) and (5) above, we will pay for the direct expenses of such drying out subject to the applicable Limit of Insurance and Deductible for Building or Personal Property, whichever applies. h. Fungi, Wet Rot or Dry Rot Presence, growth, proliferation, spread or any activity of "fungi", wet rot or dry rot. But if "fungi", wet rot or dry rot results in any of the "specified causes of loss", we will pay for the loss or damage caused by any of the "specified causes of loss". This exclusion does not apply: (1) When "fungi", wet rot or dry rot results from fire or lightning; or (2) To the extent that coverage is provided in the SECTION I - PROPERTY, A. Coverage, 5. Additional Coverage, ff. Limited Coverage for Fungi, Wet Rot or Dry Rot, with respect to loss or damage by a cause of loss other than fire or lightning. Virus or Bacteria (1) Any virus, bacterium or other microorganism that induces or is capable of inducing physical distress, illness or disease. (2) However, the exclusion in paragraph (1) above, does not apply to loss or damage caused by or resulting from "fungi", wet rot or dry rot. Such loss or damage is addressed in SECTION I - PROPERTY, B. Exclusions, paragraph 1., h. Fungi, Wet Rot or Dry Rot (3) With respect to any loss or damage subject to the exclusion in paragraph (1) above, such exclusion supersedes any exclusion relating to "pollutants". SECTION I - PROPERTY, B. Exclusions, paragraphs 1.a., 1.b., 1.c., 1.d., 1.e., 1.f., 1.g., 1.h. and 1.1. apply whether or not the loss event results in widespread damage or affects a substantial area. 2. We will not pay for loss or damage caused by or resulting from any of the following: a. Consequential Losses Delay, loss of use or loss of market, however caused. b. Smoke, Vapor and Gas Smoke, vapor or gas from agricultural smudging or industrial operations. c. Frozen Plumbing Water, other liquids, powder or molten material that leaks or flows from plumbing, heating, air conditioning or other equipment (except fire protective systems) caused by or resulting from freezing, unless: (1) You do your best to maintain heat in the building or structure; or (2) You drain the equipment and shut off the supply if the heat is not maintained. d. Dishonesty Dishonest or criminal act by you, any of your partners, "members", officers, managers, employees, directors, trustees, authorized representatives or anyone to whom you entrust the property for any purpose: (1) Acting alone or in collusion with others: or (2) Whether or not occurring during the hours of employment. This exclusion does not apply to acts of destruction by your employees; but "theft" by employees is not covered. This exclusion does not apply to coverage that is provided under the Employee Theft Including ERISA Additional Coverage. e. False Pretense Voluntary parting with any property by you or anyone else to whom you have sold, given or otherwise entrusted the property if induced to do so by any fraudulent scheme, trick, device or false pretense. This exclusion does not apply to the Unauthorized Business Card Use Additional Coverage. f. Exposed Property Rain, snow, ice or sleet to personal property in the nnPn g. Collapse 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its per M0.y - RiekMankganmtDMS1mt 1/ ItEmEwED&ArrRa/®ar. A+u "4la `I�' Risk Management Spenalist (1) Collapse, including any of the following conditions of property or any part of the property: (a) An abrupt falling down or caving in; (b) Loss of structural integrity, including separation of parts of the property or property in danger of falling down or caving in; or (c) Any cracking, bulging, sagging, bending, leaning, settling, shrinkage or expansion as such condition relates to paragraphs (a) or (b) above. But if collapse results in a Covered Cause of Loss at the described premises, we will pay for the loss or damage caused by that Covered Cause of Loss. (2) This Exclusion g. does not apply: (a) To the extent that coverage is provided under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, d. Collapse; or (b) To collapse caused by one or more of the following: (1) Any of the "specified causes of loss" (ii) Breakage of building glass; (III) Weight of rain that collects on a roof; or (iv) Weight of people or personal property h. Pollution Discharge, dispersal, seepage, migration, release or escape of "pollutants" unless the discharge, dispersal, seepage, migration, release or escape is itself caused by any of the "specified causes of loss". But if the discharge, dispersal, seepage, migrollation, release or escape of "putants" results in any of the "specified causes of loss", we will pay for the loss or damage caused by any of the "specified causes of loss". i. Neglect Neglect of an insured to use all reasonable means to save and preserve property from further damage at and after the time of loss. j. Other Types of Loss ` the �\ Hanover Insurance Group_ ODFD785344 5701644 (2) Rust or other corrosion, decay, deterioration, hidden or latent defect or any quality in property that causes it to damage or destroy itself; (3) Smog; (4) Settling, cracking, shrinking or expansion; (5) Nesting or infestation, or discharge or release of waste products or secretions, by insects, birds, rodents or other animals; or (6) Mechanical breakdown, including rupture or bursting caused by centrifugal force. This exclusion does not apply with respect to the breakdown of "computer equipment". This exclusion does not apply to the Equipment Breakdown Additional Coverage. (7) The following causes of loss to personal property: (a) Dampness or dryness of the atmosphere; (b) Changes in or extremes of temperature; or (c) Marring or scratching. But if an excluded cause of loss that is listed in paragraphs (1), (2), (3), (4), (5), (6) and (7) above, results in any of the "specified causes of loss", "accident", "electronic circuity impairment" or building glass breakage, we will pay for the loss or damage caused by any of the "specified causes of loss", "accident", "electronic circuity impairment" or building glass breakage. k. Errors or Omissions Errors or omissions in: (1) Programming, processing or storing "electronic data" or in any "computer equipment" operations; or (2) Processing or copying "valuable papers and records". However, we will pay for direct physical loss or damage caused by resulting fire, "accident", "electronic circuity impairment" or explosion if these causes of loss would be covered by this Coverage Form. I. In Testing, Repair Errors or deficiency in design, installation, testing, maintenance, modification or (1) Wear and tear; 7� r RAM-.0geeadnwmn o REMEw &A c%Vmar: -.. a A+ju Aav44 ��� Risk Management spedAnt, 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its per Of repair of your "computer equipment' system including "software". However, we will pay for direct physical loss or damage caused by resulting fire or explosion if these causes of loss would be covered by this Coverage Form. m. Electrical Disturbance Electrical or magnetic injury, disturbance or erasure of "electronic data", except as provided for in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, and 6. Coverage Extensions. However, we will pay for direct loss or damage caused by lightning. n. Artificially Generated Electricity Artificially generated electric current including electric arcing, that disturbs electrical devices, appliances or wires except as provided for in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, u. - Equipment Breakdown. But, if artificially generated electric current results in fire, we will pay for the loss or damage caused by fire. o. Computer Processing Exclusion (1) Errors or omissions in programming or incorrect instructions to "hardware"; (2) Electrical or magnetic damage, disturbance of recordings or erasure of electronic recordings, except as provided under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, u. Equipment Breakdown. We will also pay for direct loss caused by lightning; (3) Mechanical breakdown or malfunction, component failure, faulty installation or blowouts; except as provided for under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, u. Equipment Breakdown; or (4) Faulty instruction or incorrect usage, including changes in arrangements or parts. p. Loss of Warranty Loss of warranty or similar future or potential benefit even when following a covered loss or covered damage. (1) Loss of this type does not meet direct physical loss or damage. (2) We agree that reasonable repair or reconditioning measures be pursued to ensure soundness of property after loss or damage: (a) Where proper and adequate report or reconditioning method is debated, you and we agree to follow the usual and customary industry repair and reconditioning practices; or (b) For situations not resolved by paragraph (a) above, either party may demand that the matter be resolved through Appraisal as provided for elsewhere in the Coverage Form. q. Continuous or Repeated Seepage or Leakage of Water Continuous or repeated seepage or leakage of water, or the presence or condensation of humidity, moisture or vapor, that occurs over a period of 14 days or more. r. Authorized Access Loss resulting from a fraudulent: (1) Entry of "electronic data" or "computer program" into; or (2) Change of "electronic data" or "computer program" within; any "computer equipment' owned, leased or operated by you by a person or organization with authorized access to that "computer equipment', except when covered under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, hh. Computer and Funds Transfer Fraud, paragraph b.. s. Fraudulent Instructions Loss resulting from an "employee" or "financial institution" acting upon any instruction to: (1) Transfer, pay or deliver "money", "securities" or "other property" or (2) Debit or delete your account; which instruction proves to be fraudulent, except when covered under SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, hh. Computer and Funds Transfer Fraud, paragraphs a.(2) and b.. 3. We will not pay for loss or damage caused by or resulting from paragraphs a., b. and c. below. But if an excluded cause of loss that is listed in paragraphs a., b. and c. below, results in a Covered Cause of Loss, we will pay for the loss or damage caused by "- - -- -- - Loss. _.... a. Weather Condit e M 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its I4nEWS) 6 APPROVED Br Risk Management SpedAist But this exclusion only applies if weather conditions contribute in any way with a cause or event excluded in SECTION I - PROPERTY, B. Exclusions, paragraph 1, to produce the loss or damage. b. Acts or Decisions Acts or decisions, including the failure to act or decide, of any person, group, organization or governmental body. c. Negligent Work Faulty, inadequate or defective: (1) Planning, zoning, development, surveying, siting; (2) Design, specifications, workmanship, repair, construction, renovation, remodeling, grading, compaction; (3) Materials used in repair, construction, renovation or remodeling; or (4) Maintenance; of part or all of any property on or off the described premises. 4. Additional Exclusion The following applies only to the property specified in this Additional Exclusion: Loss or Damage to Products We will not pay for loss or damage to any merchandise, goods or other product caused by or resulting from error or omission by any person or entity (including those having possession under an arrangement where work or a portion of the work is outsourced) in any stage of the development, production or use of the product, including planning, testing, processing, packaging, Installation, maintenance or repair. This exclusion applies to any effect that compromises the form, substance or quality of the product. But if such error or omission results in a Covered Cause of Loss, we will pay for the loss or damage caused by that Covered Cause of Loss. 5. Business Income and Extra Expense Exclusions We will not pay for a. Any Extra Expense or increase of Business Income loss caused by or resulting from: (1) Delay in rebuilding, repairing or replacing the property or resuming "operations", due to interference at the location of the rebuilding, repair or replacement by strikers or other persons; The Hanover Insurance Group- ODFD785344 5701644 (2) "Suspension", lapse or cancellation of any license, lease or contract. But if the "suspension", lapse or cancellation is directly caused by the "suspension" of "operations", we will cover such loss that affects your Business Income during the "period of restoration" in accordance with the terms of SECTION 1 - PROPERTY, A. Coverage, 5. Additional Coverages, f. Business Income, (2) Extended Business Income. (3) Damage or destruction of "finished stock"; the time required to reproduce "finished stock" or (4) Any other consequential loss. Paragraph 5.a.(3) does not apply to Extra Expense. C. Limits of Insurance 1. The most we will pay for loss or damage in any one occurrence is the applicable Limits of Insurance of SECTION I - PROPERTY shown in the Declarations. 2. The amounts of insurance applicable to the Coverage Extensions and the following Additional Coverages apply in accordance with the terms of such coverages and are in addition to SECTION I - PROPERTY, C. Limits of Insurance: a. Fire Department Service Charge; b. Pollutant Clean -Up and Removal; c. Civil Authority; d. Money Orders and Counterfeit Money; e. Forgery or Alteration; f. Ordinance or Law; g. Business Income from Dependent Properties; h. Glass Expenses; I. Fire Protection Equipment Recharge j. Employee Theft; It. Rewards - Arson and Theft; I. Computer Equipment; m. Tenant Signs (Tenants Only); n. Commercial Tools and Small Equipment; o. Installation; p. Fine Arts; q. Sales Representative Samples; r. Leasehold Interest (Tenants Only); s. Unauthorized Use; t. Deferred Paym 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit < y+� Rbh MemgandDh6bn REVIEWS)& Aa Rove By: t R6k Management Spedalist u. Money and Securities; v. Electronic Vandalism; w. Interruption of Computer Operations; x. Theft of Telephonic Services; y. Computer and Funds Transfer Fraud; z. Tenant Building Insurance - When Your Lease Requires You to Provide Insurance; or aa. Tenant Business Personal Property Insurance - When Your Lease Requires You to Provide Insurance. 3. BuildingLimit- Increase If Covered Property is written on a Replacement Cost basis: a. The Limit of Insurance for Buildings will be revised by changes that occurred in the cost of construction during the preceding policy year. b. The amount of increase will be determined by reports of a recognized valuation method. c. We will inform you of such adjusted values. Upon their acceptance, you agree to pay any additional premium for the adjusted limit. Payment of your renewal premium, which includes the revised Limit of Insurance, shall constitute acceptance. d. We will pay the replacement cost value of the damaged portion of the building at the time of loss, but not more than 125% of the Limit of Insurance for Building if: (1) The amount of any loss covered by this Coverage Form exceeds the Limit of Insurance for Building stated in the Declarations for the damaged Building; and (2) The actual repair or replacement is completed within one year of the date of loss. e. The Building Limit - Increase clause will not apply if: (1) You do not accept the adjusted value; or (2) You do not inform us of changes to covered Building: (a) Within sixty (60) days of the date any additions, improvements or enlargements to the building are begun, and (b) When the replacement value of the changes are more than 5%of A the Limit of Insurance for the building. 4. Business Personal Property Limit - Seasonal Increase a. The Limit of Insurance for Business Personal Property will increase by 25% to provide for seasonal variations. b. This increase will apply only if the Limit of Insurance shown for Business Personal Property in the Declarations is at least 100% of your average monthly values during the lesser of: (1) The 12 months immediately preceding the date the loss or damage occurs; or (2) The period of time you have been in business as of the date the loss or damage occurs. Deductibles 1. We will not pay for loss or damage in any one occurrence until the amount of loss or damage exceeds the Deductible shown in the Declarations. We will then pay the amount of loss or damage in excess of the Deductible up to the applicable limit in SECTION I - PROPERTY, C. Limit of Insurance. 2. No Deductible applies to the following Additional Property Coverages and Extensions of Coverage: a. Fire Department Service Charge; b. Fire Protection Equipment Recharge; c. Business Income; d. Extra Expense; e. Civil Authority; f. Key Replacement and Lock Repair; g. Deferred Payment; h. Debris Removal; I. Rewards - Arson, Theft and Vandalism; j. ERISA Compliance; k. Preservation of Property; I. Pollutant Clean -Up and Removal; m. Ordinance or Law; In. Leasehold Interest (Tenants Only); o. Unauthorized Business Credit Card Use; p. Business Income from Dependent Properties; and q. Inventory and Loss Appraisal. 3. A $250 Deductible aoolies to the following Coverages: a. Glass - Interior a 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its perm rE. el = = •• lthkatan.gaRoa1XVIslan REVIEWED 6 APPROVED BY: A+ f, ka4. Risk Management Spedalw � me Hanover Insurance Group_ ODFD785344 5701644 b. Glass Expenses. 3. Duties in the Event of Loss or Damage 4. A $500 Deductible applies to all of the a. You must see that the following are done in Additional Property Coverages and the event of loss or damage to Covered Extensions of Coverage scheduled on the Property: Declarations, except Equipment (1) Notify the police if a law may have been Breakdown, unless otherwise indicated in broken. paragraphs 2., 3. or 5. of this section. (2) Give us promptlude notice of the loss or 5. A $1,000 Deductible applies to the damage. Inca description of the following Additional Property Coverages property involved. and Extensions of Coverage: 3 As soon as possible, () P give a. Employee Theft (except ERISA description of how, when and where the re e Compliance); loss or damage occurred. b. Sales Representative Samples; (4) Take all reasonable steps to protect the c. Installation; Covered Property from further damage, d. Personal Property Off Premises; and keep xenses necessary atorecprotect ord of ythe our eCovered e. Personal Property In Transit. Property, for consideration in the 6. The Deductible shown in the Declarations settlement of the claim. This will not for the Equipment Breakdown Additional increase SECTION I - PROPERTY, C. Limits of Insurance. However, we will not Coverage applies to the Additional Coverage for Equipment Breakdown. pay for any subsequent loss or damage resulting from a cause of loss that is not 7. Each Deductible shall be applied a Covered Cause of Loss. Also, if separately, but only to the coverage feasible, set the damaged property aside specified. The total Deductible for all and in the best possible order for losses in one occurrence will be the examination. highest Deductible amount that applies to that occurrence. (5) At our request, give us complete inventories of the damaged and 8. The Business Income Waiting Period undamaged property. Include quantities, shown on the Declarations Page for the costs, values and amount of loss Business Income and Civil Authority claimed. Additional Coverages is applicable in addition to a Deductible. (6) As often as may be reasonably required, permit us to inspect the property proving E. Property Loss Conditions the loss or damage and examine your 1. Abandonment books and records. There can be no abandonment of any Also permit us to take samples of property to us. damaged and undamaged property for 2. Appraisal inspection, testing and analysis, and permit us to make copies from your If you and we disagree on the amount of a books and records. covered loss, either may make written (7) Send us a signed, sworn proof of loss demand for an appraisal of the loss. In containing the information we request to this event, each party will select a investigate the claim. You must do this competent and impartial appraiser. The within 60 days after our request. We will two appraisers will select an umpire. If supply you with the necessary forms. they cannot agree, either may request that selection be made by a judge of a court (8) Cooperate with us in the investigation or having jurisdiction. The appraisers will settlement of the claim. state separately the amount of loss. If they (9) Resume all or part of your 'operations" fail to agree, they will submit their as quickly as possible. differences to the umpire. A decision agreed to by any two will be binding. Each b• We may examine any insured under party will: oath, while not in the presence a. Pay its chosen appraiser; and of any other insured and at such times as may be reasonably b. Bear the other expenses of the required, about any matter appraisal and umpire equally. If there is an appraisal, we will still retain our right to deny the claim. RialtMoNganadDIMM REVIEWED & APPROVM Eh- A-JU A1044 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its perrc `® Rnk Managementspedkist relating to this insurance or the claim, including an insured's books and records. In the event of an examination, an insured's answers must be signed. 4. Legal Action Against Us No one may bring a legal action against us under this insurance unless: a. There has been full compliance with all of the terms of this insurance; and b. The action is brought within 2 years after the date on which the direct physical loss or damage occurred. The 2 year limitation also applies to indirect or consequential loss covered under this Coverage Form. 5. Loss Payment In the event of loss or damage covered by this Coverage Form: a. At our option, we will either: (1) Pay the value of lost or damaged property; (2) Pay the cost of repairing or replacing the lost or damaged property; (3) Take all or any part of the property at an agreed or appraised value; or (4) Repair, rebuild or replace the property with other property of like kind and quality, subject to paragraph d., subparagraph (1)(d) below. b. We will give notice of our intentions within 30 days after we receive the sworn proof of loss. c. We will not pay you more than your financial interest in the Covered Property. d. We will determine the value of Covered Property as follows: (1) At replacement cost without deduction for depreciation except as provided in paragraphs (2), (3), (12),((13), (14), (15) and (18)lbelow.I) (a) You may make a claim for loss or damage covered by this insurance on an actual cash value basis instead of a replacement cost basis. In the event you elect to have loss or damage settled on an actual cash value basis, you may still make a claim on a replacement cost basis if you notify us of your intent to do so within 180 days after the loss or damage. (2) (b) We will not pa on a replacement cost basis for any loss or damage: (1) Until the loss or damaged property is actually repaired or replaced; (ii) Unless the repairs or replacement are made as soon as reasonably possible after the loss or damage; and (iii) Unless the repairs or replacement are completed within 24 months for personal property or for buildings and other real property after the loss or damage, unless extended in writing by us. However, if the cost to repair or replace a damaged building is $2,500 or less we will determine the value at replacement cost without deduction for depreciation. (c) We will not pay more for loss or damage on a replacement cast basis than the least of the following amounts: (i) The cost to replace, on the same premises, the lost or damaged property with other property: 1) Of comparable material and quality; and 2) Used for the same purpose; or The amount that you actually spend that is necessary to repair or replace the lost or damaged property. If a building is rebuilt at a new location, the recoverable amount is limited to the cost which would have been incurred had the building been built at the original premises. (d) The cost to repair, rebuild or replace does not include the increased cost attributable to enforcement of any ordinance or law regulating the construction, use or repair of any property. If the Declarations indicate the Actual Cash Value applies to Building or Personal Property, paragraph (1) above does not apply to that property. Instead. we will determine the value of actual cash va 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission DWIslan REVIEWm^fi APPR^w®av: �,, rt�C Flcw41a Risk Management SpeaMut (3) The following property at actual cash value: (a) Used or second-hand merchandise held in storage or for sale; (b) Property of others. However, if an items) of personal property ofi others is subject to a written contract which governs your liability for loss or damage to that item(s), then valuation of that item(s) will be based on the amount for which you are liable under such contract, but not to exceed the lesser of the replacement cost of the property or the applicable Limit of Insurance; (c) Household contents, except personal property in apartments or rooms furnished by you as landlord; (d) Manuscripts; (e) Works of art, "antiques" or rare articles, including but not limited to, etchings, pictures, statuary, marbles, bronzes, porcelains, glassware and bric-a-brac not otherwise covered in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverage, x. Fine Arts; or (f) Commercial Tools and Small Equipment and Contractors Tools and Equipment. This does not apply to your Commercial Tools and Small Equipment permanently installed or exclusively used at the described premises. (4) Glass at the cost of replacement with safety glazing material if required by law. (5) Tenant's Improvements and Betterments at: (a) Replacement cost if you make repairs promptly. (b) A proportion of your original cost if you, as the tenant, do not make repairs promptly. We will determine the proportionate value as follows: (1) Multiply the original cost by the number of days from the loss or damage to the expiration of the lease; and Hanover Insurance Group_ ODFD785344 5701644 (ii) Divide the amount determined in paragraph (i) above by the number of days from the installation of improvements to the expiration of the lease. If your lease contains a renewal option, the expiration of the renewal option period will replace the expiration of the lease in this procedure. (c) Nothing if others pay for repairs or replacement. (6) "Valuable papers and records" at the cost of restoration or replacement, including the cost of data entry, re -programming, computer consultation services and the "media" on which the data or programs reside. To the extent that the contents of the "valuable papers and records" are not restored, the "valuable papers and records" will be valued at the cost of replacement with blank materials of substantially identical type. (7) "Money" at its face value; and (8) "Securities" at their value at the close of business on the day the loss is "discovered". (9) Accounts Receivable: (a) If you cannot accurately establish the amount of accounts receivable outstanding as of the time of loss or damage: (1) We will determine the total of the average monthly amounts of accounts receivable for the 12 months immediately preceding the month in which the loss or damage occurs; and (ii) We will adjust that total for any normal fluctuations in the amount of accounts receivable for the month in which the loss or damage occurred or for any demonstrated variance from the average for that month. (b) The following will be deducted from the total amount of accounts receivable, regardless of how that amount is established: (1) The for w dame 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permisi yv. r�J^ RAMagafted v6 rt REwer�nfiArrxa�Br. Risk Management Specialist (ii) The amount of the accounts that you are able to re-establish or collect; (Iii) An amount to allow for probable bad debts that you are normally unable to collect; and (iv) All unearned interest and service charges. (10)"Stock" you have sold but not delivered at the selling price less discounts and expenses you otherwise would have had. (11)"Finished stock" you manufactured at selling price less discounts and expenses you otherwise would have had. (12)Personal Property in Transit (other than "stock" you have sold) at the amount of invoice, including your prepaid or advanced freight charges and other charges which may have accrued or become legally due since the shipment. If you have no invoice, actual cash value will apply. (13)Precious metals, such as gold, silver and platinum, at the average market cost of replacements on the date of loss, or the actual cost of the replacement, if less. (14)"Fine Arts" We will pay the lesser of: (a) The market value at the time of loss or damage; (b) The reasonable cost of repair or restoration to the condition immediately before the covered loss or damage; or (c) The cost of replacement with substantially identical property. e. Our payment for loss of or damage to personal property of others will only be for the account of the owners of the property. We may adjust losses with the owners of lost or damaged property if other than you. If we pay the owners, such payments will satisfy your claims against us for the owners' property. We will not pay the owners more than their financial interest in the Covered Property. f. We may elect to defend you against suits arising from claims of owners of property. We will do this at our expense. g. We will pay for covered loss or damage within 30 days after we receive a properly completed sworn proof of loss, provided you have complied with all of the terms of this Coverage Form, and (1) We have reached agreement with you on the amount of loss; or (2) An appraisal award has been made. h. In settling covered losses involving a party wall, we will pay a proportion of the loss, to the party wall based on your interest in the wall in proportion to the interest of the owner of the adjoining building. A party wall is a wall that separates and is common to adjoining buildings that are owned by different parties. However, if you elect to repair or replace your building and the owner of the adjoining building elects not to repair or replace that building, we will pay you the full value of the loss to the party wall, subject to all applicable policy provisions including Limits of Insurance, the Valuation and all other provisions of this Loss Payment Condition. Our payment under the provisions of this paragraph does not alter any right of subrogation we may have against any entity, including the owner or insurer of the adjoining building, and does not alter the terms of SECTION III - COMMON POLICY CONDITIONS, K. Transfer of Rights of Recovery Against Others to Us in this policy. 6. Recovered Property If either you or we recover any property after loss settlement, that party must give the other prompt notice. At your option, you may retain the property. But then you must return to us the amount we paid to you for the property. We will pay recovery expenses and the expenses to repair the recovered property, subject to SECTION I - PROPERTY, C the Limits of Insurance. 7. Vacancy a. Description of Terms (1) As used in this Vacancy Condition, the term building and the term vacant have the meanings set forth in paragraphs (a) and (b) below: (a) When this policy is issued to a tenant, and with respect to that tenant's interest in Covered Property, building means the unit or suite rented or leased to the tenant. Such leased space is vacant when it does not contain 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permis: �� 18ekA1nugemo¢D[vielun a P REVIEWED&APPROV®BY' •. A-lu Am44 Risk Management Spedalist enough business personal property to conduct customary "operations". (b) When this policy is issued to the owner or general lessee of a building, building means the entire building. Such building is vacant unless at least 31% of its total square footage is: (i) Rented to a lessee or sub -lessee and used by the lessee or sub -lessee to conduct its customary operations; and/or (ii) Used by the building owner to conduct customary operation. (2) Buildings under construction or renovation are not considered vacant when customary "operations" cannot be conducted as a direct result of the construction or renovation. Id. Vacancy Provisions If the building or leased space where loss or damage occurs has been vacant for more than 60 consecutive days before that loss or damage occurs: (1) We will not pay for any loss or damage caused by any of the following even if they are Covered Causes of Loss: (a) Vandalism; (b) Sprinkler leakage due to freezing, unless you have protected the system against freezing; (c) Building glass breakage; (d) Water damage; (e) "Theft"; or (f) Attempted "theft". (2) With respect to Covered Causes of Loss other than those listed in paragraphs (a), (b), (c), (d), (a) and ( above, we will reduce the amount we would otherwise pay for the loss or damage by 15%. 8. Pair, Sets or Parts For pairs or sets, we will either (a) Repair or replace any part to restore the value and condition of the pair or set to that immediately before the covered loss or damage or e ThHanover Insurance Group_ ODFD785344 5701644 (c) Covered Property consisting of several parts when complete, we will only pay for the value of the lost or damaged part. F. Property General Conditions 1. Control of Property Any act or neglect of any person other than you beyond your direction or control will not affect this insurance. The breach of any condition of this Coverage Form at any one or more locations will not affect coverage at any location where, at the time of loss or damage, the breach of condition does not exist. 2. Mortgageholders a. The term mortgageholder includes trustee. b. We will pay for covered loss of or damage to buildings or structures to each mortgageholder shown in the Declarations in their order of precedence, as interests may appear. c. The mortgageholder has the right to receive loss payment even if the mortgageholder has started foreclosure or similar action on the building or structure. d. If we deny your claim because of your acts or because you have failed to comply with the terms of this Coverage Form, the mortgageholder will still have the right to receive loss payment if the mortgageholder: (1) Pays any premium due under this policy at our request if you have failed to do so; (2) Submits a signed, sworn proof of loss within 60 days after receiving notice from us of your failure to do so; and (3) Has notified us of any change in ownership, occupancy or substantial change in risk known to the mortgageholder. All of the terms of this Coverage Form will then apply directly to the mortgageholder. e. If we pay the mortgageholder for any loss or damage and deny payment to you because of your acts or because you have failed to comply with the terms of this Coverage Form: (1) The mortgageholder's rights under the mortgage will be transferred to us to the extent of the amount we pay; and (b) Pay the difference between the value of (2) The mortg. recover the f x6kME OM10dDtwton the pair or set before and after the . covered loss or damage. " REmi & APPi Sr. ,l A+ fg Aw44 Risk Management Speaalist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit mortgageholder's claim will not be impaired. At our option, we may pay to the mortgageholder the whole principal on the mortgage plus any accrued interest. In this event, your mortgage and note will be transferred to us and you will pay your remaining mortgage debt to us. f. If we cancel this policy, we will give written notice to the mortgageholder at least: (1) 10 days before the effective date of cancellation if we cancel for your nonpayment of premium; or (2) 30 days before the effective date of cancellation if we cancel for any other reason. g. If we elect not to renew this policy, we will give written notice to the mortgageholder at least 10 days before the expiration date of this policy. 3. No Benefit to Bailee No person or organization, other than you, having custody of Covered Property will benefit from this insurance. 4. Policy Period, Coverage Territory Under SECTION I - PROPERTY: a. We cover loss or damage commencing: (1) During the policy period shown in the Declarations; and (2) Within the coverage territory or, with respect to property "in transit", while it is between points in the coverage territory. It. The coverage territory is: (1) The United States of America (including its territories and possessions); (2) Puerto Rico; and (3) Canada. 5. Protective Devices a. If you received a discount to the property premium of this policy because of the existence of one of the following protective devices, you are required to maintain that protective device. Existence of an applicable protective devices credit can be found on the Declarations Page. b. Protective devices include Automatic Sprinkler Systems including related supervisory services, Automatic Fire Alarms and Central Station Security Alarms. c. We will not pay for loss or damage caused by a Covered Cause of Loss which a device is intended to protect against if you: (1) Knew of any suspension or impairment in any protective device and failed to notify us of that fact; or (2) Failed to maintain any protective device over which you had control in complete working order. If part of an Automatic Sprinkler System is shut off due to breakage, leakage, freezing conditions or opening of sprinkler heads, notification to us will not be necessary if you can restore full protection within 48 hours. 6. Increase in Hazard We will not pay for loss or damage when there has been a material increase in hazard that is within your knowledge or control. This condition applies to any and all portions of a claim. G. Property Definitions 1. "Accident" a. "Accident" means a fortuitous event that causes direct physical damage to "covered equipment". The event must be one of the following: (1) Mechanical breakdown, including rupture or bursting caused by centrifugal force; (2) Artificially generated electrical current, including electric arcing, that disturbs electrical devices, appliances or wires; (3) Explosion of steam boilers, steam pipes, steam engines or steam turbines owned or leased by you, or operated under your control; (4) Loss or damage to steam boilers, steam pipes, steam engines or steam turbines caused by or resulting from any condition or event inside such equipment; or (5) Loss or damage to hot water boilers or other water heating equipment caused by or resulting from any condition or event inside such boilers or equipment. b. None of the following is an "accident": (1) Defect, programming error, programming limitation, computer virus, malicious code, loss of data, loss of access, loss of use, loss of functionality o" ^`"^ ^^^a;r;^^ • • �� ^ 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi GIN. WdtM�uganortD[vldon fsAe&m&APPROV®BY: A,j�x Auwdo '®' Risk Management Spedalist or involving data or "media" of any kind; or (2) Misalignment, miscalibration, tripping off-line, or any condition which can be corrected by resetting, tightening, adjusting or cleaning, or by the performance of maintenance. However, if an "accident" results, we will pay for the resulting loss, damage or expense caused by that "accident". 2. "Antique" or "antiques" means an object having value because its: a. Craftsmanship is in the style or fashion of former times; and b. Age is 100 years old or older. 3. "Cloud computing services" means professional, on -demand, self-service data storage or data processing services provided through the Internet or over telecommunications lines. This includes services known as IaaS (infrastructure as a service), PaaS (platform as a service), Saes (software as a service) and NaaS (network as a service). This includes business models know as public clouds, community clouds and hybrid clouds. "Cloud computing services" include private clouds if such services are owned and operated by a third party. 4. "Computer equipment" means: a. "Hardware" and related component parts. Component parts include but are not limited to modems, routers, printers, keyboards, monitors, and scanners; b. "Software"; and c. "Protection and control equipment" "Computer equipment" does not mean "Computer equipment" used to operate production -type machinery or equipment. 5. "Computer hacking" means an unauthorized intrusion by an individual or group of individuals, whether employed by you or not, into "hardware" or "software", a Web site, or a computer network and that results in but is not limited to: a. Deletion, destruction, generation, or modification of "software'; b. Alteration, contamination, corruption, degradation, or destruction of the integrity, quality or performance of "software"; TTM Hnover ]rance Group- ODFD785344 5701644 d. Damage, destruction, inadequacy, malfunction, degradation, or corruption of any "hardware" or "media" used with "hardware"'; or e. Denial of access to or denial of services from "hardware", "software", computer network, or Web site including related "software". 6. "Computer program" means a set of related electronic instructions, which direct the operation and function of a computer or devices connected to it, which enable the computer or devices to receive, process, store or send "electronic data". 7. "Computer Virus" means the introduction into "hardware", "software", computer network, or Web site of any malicious, self -replicating electronic data processing code or other code and that is intended to result in, but is not limited to: a. Deletion, destruction, generation, or modification of "software" b. Alteration, contamination, corruption, degradation, or destruction of the integrity, quality, or performance of "software", c. Damage, destruction, inadequacy, malfunction, degradation, or corruption of any "hardware" or "media" used with "hardware": or d. Denial of access to or denial of services from "hardware", "software", computer network, or Web site including related "software". 8. "Counterfeit money" means an imitation of "money" that is intended to deceive and to be taken as genuine. 9. "Covered equipment" means Covered Property which, during normal usage, operates under vacuum or pressure, other than the weight of its contents, or that generates, transmits or utilizes energy. "Covered equipment" may utilize conventional design and technology or new or newly commercialized design and technology. "Covered equipment" does not include: a. Structure, foundation, cabinet or compartment; b. Insulating or refractory material; c. Sewer piping, buried vessels or piping, or piping forming a part of a sprinkler or fire suppression system; c. Observation, scanning, or copying of d. Water piping other than "electronic data", 'programs and boiler feedwat-e ^i^i^� hnllor applications", and "proprietary condensate n programs"; ° Risk MusganmtD[wfnR n & REVIEWED^&APPRa^V®9'Y: Risk Management Speaalist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissior water piping forming a part of a refrigerating or air conditioning system; e. Dragline, excavation equipment or construction equipment; f. Vehicle, meaning any machine or apparatus that is used for transportation or moves under its own power or any equipment mounted on a vehicle. Vehicle includes but is not limited to: car, truck, bus, trailer, train, aircraft, watercraft, forklift, bulldozer, tractor or harvester. However, any property that is stationary, permanently installed at a covered location and that receives electrical power from an external power supplier will not be considered a vehicle; g. Equipment manufactured by you for sale or h. Satellite, spacecraft or any equipment mounted on a satellite or spacecraft. 10. "Data" means a representation of information, knowledge, facts, concepts or instructions which are being processed or have been processed in "computer equipment". 11. "Data records" means files, documents and information in an electronic format and that are stored within "electronic data". 12. "Denial of service attack" means the malicious direction or a high volume of worthless inquiries to website or e-mail destinations, effectively denying or limiting legitimate access regardless of whether or not damage to "computer equipment" results. 13. "Dependent property" or "dependent properties" means the property owned by others whom you depend upon to: a. Deliver materials or services to you or to others for your account. But services do not mean water supply services, wastewater removal services, communication supply services or power supply services; b. Accept your products or services; c. Manufacture products for delivery to your customers under contract of sale; or d. Attract customers to your business. The "dependent property" must be located in the coverage territory of this Coverage Form. 14. "Discover" or "Discovered" means: a. The time when you first become aware of facts which would cause a reasonable person to assume that a loss of a type covered by this policy has been or will be incurred, regardless of when the act or acts causing or contributing to such loss occurred, even though the exact amount or details may not be known. b. "Discover" or "Discovered" also means the time when you first receive notice of an actual or potential claim in which it is alleged that you are liable to a third party under circumstances which, if true, would constitute a loss under this policy. 15. "Electronic circuitry" means microelectronic components, including but not limited to circuit boards, integrated circuits, computer chips and disk drives. 16. "Electronic circuitry impairment" a. "Electronic circuitry impairment" means a fortuitous event involving "electronic circuitry" within "covered equipment" that causes the "covered equipment" to suddenly lose its ability to function as it had been functioning immediately before such event. This definition is subject to the conditions specified in b., c. and d. below. b. We shall determine that the reasonable and appropriate remedy to restore such "covered equipment's" ability to function is the replacement of one or more "electronic circuitry" components of the "covered equipment." c. The "covered equipment" must be owned or leased by you, or operated under your control. d. None of the following is an "electronic circuitry impairment": (1) Any condition that can be reasonably remedied by: (a) Normal maintenance, including but not limited to replacing expendable parts, recharging batteries or cleaning; (b) Rebooting, reloading or updating software or firmware; or (c) Providing necessary power or supply. (2) Any condition caused by or related to: (a) Incompatibility of the "covered equipment" with any software or equipment installed, introduced or networked within the prior 30 days; or (b) Insufficient size, capability or 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its �. w¢mnuganorcuivue. s � i7E17aVVm 6 APPROVm BY. A jp "44 `� Risk Management Sped alist (3) Exposure to adverse environmental conditions, including but not limited to change in temperature or humidity, unless such conditions result in an observable loss of functionality. Loss of warranty shall not be considered an observable loss of functionality. 17. "Electronic data" means files, documents, information and "programs and applications" in an electronic format and that are stored on "media". 18. "Electronic Vandalism" means 'computer hacking", "computer virus" or a "denial of service attack". "Electronic vandalism" does not include the "theft" of any property or services. 19. "Employee" or "employees" means a. Any natural person or persons: (1) While in your service and for 30 days after termination of service; and (2) Who you compensate directly by salary, wages or commissions; and (3) Who you have the right to direct and control while performing services for you; Id. Any natural person who is furnished temporarily to you: (1) To substitute for a permanent employee, as defined in paragraph a. above, who is on leave; or (2) To meet seasonal or short-term workload conditions; c. Any natural person or persons who is leased to you under a written agreement between you and a labor leasing firm, to perform duties related to the conduct of your business, but does not mean a temporary "employee" as defined in paragraph b. above; d. Any natural person who is a former "employee", partner, "manager", director or trustee retained as a consultant while performing services for you; or e. Any natural person who is a guest student or intern pursuing studies or duties, excluding, however, any such person while having care and custody or property outside the described premises; f. Any natural person who is: (1) A trustee, officer, employee, administrator or manager, except an administrator or manager who is an independent contractor, of any "employee benefit plan"; and 391-1003 08 16 Hanover Insurance Group- ODFD785344 5701644 (2) A director or trustee of yours while that person is engaged in handling "funds" or 'other property" of any "employee benefit plan"; "Employee" does not mean any agent, broker, factor, commission merchant, consignee, independent contractor or representative of the same general character not specified in paragraph 14. of this section. 20. "Financial institution" means: a. With regard to SECTION I - PROPERTY, A. Coverage, 5. Additional Coverage, s. Money and Securities: (1) A bank, savings bank, savings and loan association, trust company, credit union or similar depository institution; or (2) An insurance company. b. SECTION I - PROPERTY, A. Coverage, 5. Additional Coverage, hh. Computer and Funds Transfer Fraud: (1) A bank, savings bank, savings and loan association, trust company, credit union or similar depository institution; (2) An insurance company; or (3) A stock brokerage firm or investment company. c. Other than SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, s. Money and Securities and hh. Computer and Funds Transfer Fraud, any financial institution. 21. "Fine arts" means paintings, etchings, pictures, tapestries, rare art glass, art glass windows, valuable rugs, statuary, sculptures, "antique" jewelry, bric-a-brac, porcelains and similar property of rarity, historical value or artistic merit. 22. "Finished stock" means stock you have manufactured. "Finished stock" also includes whiskey and alcoholic products being aged. "Finished stock" does not include "stock" you have manufactured that is held for sale on the premises of any retail outlet. 23. "Flood" means a general and temporary condition of partial or complete inundation of normally dry land areas due to: a. Surface water or waves, tides, tidal waves, tsunami. overflow of anv bodv of water or tt driven by w RickMnuganentDMs1un storm surge); RENEWED&APPRD Br: '. ® Risk Management Speaalot Includes copyrighted material of Insurance Services Office, Inc., with its b. The unusual or rapid accumulation of runoff of surface waters from any source; c. Mudslides or mudflows which are caused by "flood" water. A mudslide or muciflow involves a river of liquid and flowing mud on the surface of normally dry land areas as when earth is carried by a current of water and deposited along the path of the current. d. The release of water impounded by a dam, levee, dike, seawall or "flood" control device, whether driven by wind or not (including storm surge). When a "flood" is a continuous or protracted event it will constitute a single "flood" occurrence. 24. "Forgery" means the signing of the name of another person or organization with intent to deceive; it does not mean a signature which consists in whole or in part of one's own name signed with or without authority, in any capacity, for any purpose. 25. "Fraudulent instruction" means: a. An electronic, telegraphic, cable, teletype, tele facsimile or telephone instruction which purports to have been transmitted by you, but which was in fact fraudulently transmitted by someone else without your knowledge or consent; Id. A written instruction (other than those described in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, k. Forgery or Alteration) issued by you, which was forged or altered by someone other than you without your knowledge or consent or which purports to have been issued by you, but was in fact fraudulently issued without your knowledge or consent. 26. "Funds" means "money" and "securities". 27. "Fungi" means any type or form of fungus, including mold or mildew, and any mycotoxms, spores, scents or by-products produced or released by "fungi". 28. "Hardware" means a network of electronic machine components (microprocessors) capable of accepting instructions and information, processing the information according the instructions, and producing desired results. "Hardware" includes but is not limited to c. Portable electronic devices. Portable electronic devices include laptops, tablets, e-readers, smartphones or other lightweight, hand-held or wearable devices capable of storing, retrieving and processing data; and d. Peripheral data processing equipment, including but not limited to printers, keyboards, monitors, and modems. "Hardware" does not mean electronic items that are not similar to the items listed in a., b., c. and A. above. "Hardware" does not include: e. Diagnostic equipment; f. Electronic items that contain a computer to perform functions other than "hardware"; and g. Peripheral data processing equipment valued more than the "hardware" itself. 29. "Hazardous substance" means any substance that is hazardous to health or has been declared to be hazardous to health by a governmental agency. 30. "In transit" means in the course of shipment from or to the premises shown in the Declarations. It includes such shipments while temporarily stopped or delayed, incidental to the delivery. 31. "Manager" or "managers" means a person or persons serving in a directorial capacity for a limited liability company (LLC). 32. "Media" means an instrument that is used with "hardware" and on which "electronic data", "programs and applications", and "proprietary programs" can be recorded or stored. "Media" includes, but is not limited to, films, tapes, cards, discs, drums, cartridges, cells, DVDs, CD-ROMs and other portable data devices. 33. "Member" or "Members" means an owner of a limited liability company represented by its membership interest, who also may serve as a "manager". 34. "Messenger" means you, or a relative of yours, or any of your partners or "members", or any "employee" while having care and custody of property away from the described premises. 35. "Money" means: a. Currency, coins and bank notes in a. Mainframe and mid -range computers current use and having a face value; and servers; b. Travelers the b. Personal computers and workstations; held for sale tc ta.kM..V--dolr;.rm c. In addition Inc 7 Re"�&nPPRovmav: �'�� A+fr:a Acwa.Lo Risk Management Speamst 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissio ` The Hanover Insurance Group_ ODFD785344 5701644 (1) For the purposes of SECTION I - (3) FICA payments you pay; PROPERTY, A. Coverage, 5. (4) Union dues you pay; and Additional Coverages, p. Employee Theft including ERISA Compliance (5) Workers' Compensation premiums. and k. Forgery or Alteration, 41. "Period of Restoration" deposits in your account at any "financial institution"; and a. Means the period of time that: (2) For the purposes of SECTION 1 - (1) Begins: PROPERTY, A. Coverage, 5. Additional (a) After the number of hours Coverage hh. Computer and Funds shown as the Business Income Transfer Fraud, deposits in your Waiting Period in the account at a "financial institution" as Declarations after the time of defined in SECTION I - PROPERTY, G. direct physical loss or damage Property Definitions, paragraph 19.b.. for Business Income Coverage; 36. "One equipment breakdown" means: If an or initial "accident" or "electronic circuitry (b) Immediately after the time of impairment" causes other "accidents" or direct physical loss or damage "electronic circuitry impairments," all will for Extra Expense Coverage; be considered "one equipment breakdown." "accidents" "electronic caused by or resulting from any All or circuitry Covered Cause of Loss at the impairments" that are the result of the "accident" "electronic described premises; and same or circuitry impairment" will be considered "one (2 ) Ends on the earlier of: equipment breakdown." (a) The date when the property at 37. "Operations" means your business the described premises should activities occurring at the described be repaired, rebuilt or replaced premises. (to a condition permitting 38. "Other property" means tangible property "money" "securities" occupancy) with reasonable speed and similar quality; or other than and that has intrinsic value. "Other property" does (b) The date when business is not include computer programs, resumed at a new permanent "electronic data" or any property location; or specifically excluded under this Coverage (c) Exhaustion of the number of Form. consecutive months as shown 39. "Payment processing device" means any on the Policy Declarations electronic device used to process credit, Page. debit or charge card transactions, b. Does not include any increased period including but not limited to, digital pen pad required due to the enforcement of any devices, PIN pad devices, Automatic Teller ordinance or law that: Machines (ATMs), credit card processing machines. (1) Regulates the construction, use or 40. "Payroll expense": repair, or requires the tearing down of any property; or a. Means payroll expenses for all your "employees" except: (1) Officers; (2) Executive; (3) Department Managers; (4) "Employees" under contract; and (5) Additional Exemptions shown in the Declarations as: (a) Job classifications; or 42' (b) "Employees". b. Includes: (1) Payroll; (2) Employee Benefits, if directly related to payroll; (2) Requires any insured or others to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to or assess the effects of "pollutants". The expiration date of this policy will not cut short the "period of restoration". "Perishable goods" means personal property: a. Maintained under controlled temperature or humidity conditions for preservation; and b. Susceptible to controlled tern 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissi Risk Mvnygemm 43. 'Pollutants" means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed. 44. 'Programs and applications" means operating programs and applications that you purchase and that are: a. Stored on "media" or b. Pre -installed and stored in "hardware". Applications include, but are not limited to, programs for word processing, spreadsheet calculations, and graphic design. 45. 'Proprietary programs" means proprietary operating programs and applications that you developed or that you had developed specifically for use in your 'operations" and that are: a. Stored on "media"; or b. Installed and stored in "hardware". 46. 'Protection and control equipment' means: a. Air conditioning or other cooling equipment used exclusively in the operation of the "hardware"; b. Fire protection equipment used for the protection of the "hardware", including automatic and manual fire suppression equipment and smoke and heat detectors; and c. Uninterruptible power supply system, line conditioner, and voltage regulator. 47. 'Rental Value" means Business Income that consists of: a. New Income (Net Profit or Loss before income taxes) that would have been earned or incurred as rental income from tenant occupancy of the premises described in the Declarations as furnished and equipped by you, including fair rental value of any portion of the described premises which is occupied by you; and b. Continuing normal operating expenses incurred in connection with that premises, including: (1) Payroll; and (2) The amount of charges which are the legal obligation of the tenant(s) but would otherwise be your obligations. 48. "Securities" means negotiable and non-negotiable instruments or contracts representing either "money" or 'other property" and includes: a. Tokens, tickets, revenue and other stamps (whether represented by actual stamps or unused value in a meter) in current use; and b. Evidences of debt issued in connection with credit or charge cards, which cards are not issued by you; but does not include "money". 49. "Software" means; a. "Media"; b. "Electronic Data"; c. 'Programs and applications"; and d. 'Proprietary programs". 50. "Specified Causes of Loss" means the following: Fire; lightning; explosion, windstorm or hail; smoke; aircraft or vehicles; riot or civil commotion; vandalism; leakage from fire extinguishing equipment; sinkhole collapse; volcanic action; falling objects; weight of snow, ice or sleet; water damage. a. Sinkhole collapse means the sudden sinking or collapse of land into underground empty spaces created by the action of water on limestone or dolomite. This cause of loss does not include: (1) The cost of filling sinkholes; or (2) Sinking or collapse of land into man-made underground cavities. b. Falling objects does not include loss of or damage to: (1) Personal property in the open; or (2) The interior of a building or structure, or property inside a building or structure, unless the roof or an outside wall of the building or structure is first damaged by a falling object. c. Water damage means (1) Accidental discharge or leakage of water or steam as the direct result of the breaking apart or cracking of any part of a system or appliance (other than a sump system including its related equipment and parts) containing water or steam; and (2) Accidental discharge or leakage of water or waterborne material as the direct result of the breaking apart or cracking of a water or sewer pipe that is located off the described premises and is part of a municipal potable water supply system or municipal 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permissior _ xmk Mnwgana Divwlan REWI r D 6 APPROV®BV: ® RM Management SpedaTist sanitary sewer system, if the breakage or cracking is caused by wear or tear. But water damage does not include loss or damage otherwise excluded in SECTION I - PROPERTY, B. Exclusions, paragraph 1. g. Water.. Therefore, for example, there is no coverage in the situation in which discharge or leakage of water results from breaking apart of cracking of a pipe which was caused by or related to weather -induced "flood" water, even if wear and tear contributed to the breakage or cracking. As another example, and also in accordance with the terms of the Water Exclusion, there is no coverage for loss or damage caused by or related to weather -induced "flood" water which follows or is exacerbated by pipe breakage or cracking attributable to wear and tear. To the extent that accidental discharge or leakage of water falls within the criteria set forth in paragraphs (1) or (2) above of this definition of "specified causes of loss", such water is not subject to the provisions of SECTION I - PROPERTY, B. Exclusions, paragraph 1., g. Water, which preclude coverage for surface water or water under the ground surface. 51. "Stock" means merchandise held in storage or for sale, raw materials and in process or finished goods, including supplies used in their packing or shipping. 52. "Suspension" means: a. The partial slowdown or complete cessation of your business activities; or b. Part or all of the described premises is rendered untenantable, if coverage for Business Income applies. 53. "Telephonic services" means use of your: a. Telephone services; b. Telephone credit cards; or c. Telephone access cards. 54. "Theft" means the unlawful taking of property to the deprivation of the Insured. 55. "Transfer account" means an account maintained by you at a financial institution from which you can initiate the transfer, payment or delivery of "money" and securities" by means of: a. Electronic, telegraphic, cable, teletype, telefacsimile or telephone instructions communicated directly through an electronic funds transfer system; or Hanover Insurance Group- ODFD785344 5701644 b. Written instructions (other than those described in SECTION I - PROPERTY, A. Coverage, 5. Additional Coverages, k. Forgery or Alteration) establishing the conditions under which such transfers are to be initiated by such financial institution through an electronic funds transfer system. 56. "Valuable papers and records" means: a. Inscribed, printed or written (1) Documents; (2) Manuscripts; and (3) Records; including abstracts, books, deeds, drawings, films, maps or mortgages; b. If you are a Printer, Publisher or Graphic Artist by trade, "valuable papers and records" means negatives, positives, artwork, separations, plates, dies, molds, forms, stock manuscripts and other similar property usual to the graphic arts, printing or publishing industry, including those which exist on electronic or magnetic "media", other than prepackaged software programs. But "valuable papers and records" does not mean "money" or "securities". SECTION II - LIABILITY A. Coverages 1. Business Liability a. We will pay those sums the insured becomes legally obligated to pay as damages because of "bodily injury", "property damage" or "personal and advertising injury" to which this insurance applies. We will have the right and duty to defend the insured against any "suit" seeking those damages. However, we will have no duty to defend the insured against any "suit" seeking damages for "bodily injury", "property damage" or "personal and advertising injury", to which this insurance does not apply. We may, at our discretion, investigate any "occurrence" or any offense and settle any claim or "suit" that may result. But: (1) The amount we will pay for damages is limited as described in SECTION II - LIABILITY, D - Liability and Medical Expenses Limits of Insurance; and (2) Our right and duty to defend end when we have used up the applicable Limit of Insurance in the payment of 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permit Risk MfvgmwaDivislm, o REVIEWED&APPRO BY: A Acwe�o RON Risk Management Specialist - judgments, settlements or medical expenses. No other obligation or liability to pay sums or perform acts or services is covered unless explicitly provided for under f. Coverage Extension - Supplementary Payments. b. This insurance applies: (1) To "bodily injury" and "property damage" only if: (a) The "bodily injury" or "property damage" is caused by an "occurrence" that takes place in the "coverage territory"; (b) The "bodily injury" or "property damage" occurs during the policy period; and (c) Prior to the policy period, no insured listed under C. Who Is An Insured, paragraph 1. and no "employee" authorized by you to give or receive notice of an "occurrence" or claim knew that the "bodily injury" or "property damage" had occurred, in whole or in part. If such a listed insured or authorized "employee" knew, prior to the policy period, that the "bodily injury" or "property damage" occurred, then any continuation, change or resumption of such "bodily injury" or "property damage" during or after the policy period will be deemed to have been known prior to the policy period. (2) To "personal and advertising injury" caused by an offense arising out of your business, but only if the offense was committed in the "coverage territory" during the policy period. c. "Bodily injury" or "property damage" which occurs during the policy period and was not, prior to the policy period, known to have occurred by any insured listed under C. Who Is An Insured, paragraph 1. or any "employee" authorized by you to give or receive notice of an "occurrence" or claim, includes any continuation, change or resumption of "bodily injury" or "property damage" after the end of the policy period. d. "Bodily injury" or "property damage" will be deemed to have been known to have occurred at the earliest time when any insured listed under C. Who Is An Insured, Paragraph 1. or any "employee" authorized by you to give or receive notice of an "occurrence" or claim: 391.1003 08 16 (1) Reports all or any part of the "bodily injury" or "property damage" to us or any other insurer; (2) Receives a written or verbal demand or claim for damages because of the "bodily injury" or "property damage"; or (3) Becomes aware by any other means that "bodily injury" or "property damage" has occurred or has begun to occur. e. Damages because of "bodily injury" include damages claimed by any person or organization for care, loss of services or death resulting at any time from the "bodily injury". f. Coverage Extension - Supplementary Payments (1) We will pay, with respect to any claim we Investigate or settle, or any "suit" against an insured we defend: (a) All expenses we incur. (b) Up to $2500 for cost of bail bonds required because of accidents or traffic law violations arising out of the use of any vehicle to which Business Liability Coverage for "bodily injury" applies. We do not have to furnish these bonds. (c) The cost of bonds to release attachments, but only for bond amounts within our Limit of Insurance. We do not have to furnish these bonds. (d) All reasonable expenses incurred by the insured at our request to assist us in the investigation or defense of the claim or "suit", including actual loss of earnings up to $500 a day because of time off from work. (e) All court costs taxed against the insured in the "suit". However, these payments do not include attorneys'fees or attorneys' expenses taxed against the insured. (f) Prejudgment interest awarded against the insured on that part of the judgment we pay. If we make an offer to pay tl we a MI F—M Includes copyrighted material of Insurance Services Office, Inc., with its IiEVI &APPRW ar. A+ju Aa,44 RM Management Specialist prejudgment interest based on that period of time after the offer. (g) All interest on the full amount of any judgment that accrues after entry of the judgment and before we have paid, offered to pay, or deposited in court the part of the judgment that is within our Limit of Insurance. These payments will not reduce the Limit of Insurance described in SECTION 11 -LIABILITY, D.Liability and Medical Expenses Limits of Insurance. (2) If we defend an insured against a "suit" and an indemnitee of the insured is also named as a party to the "suit", we will defend that indemnitee if all of the following conditions are met: (a) The "suit" against the indemnitee seeks damages for which the insured has assumed the liability of the indemnitee in a contract or agreement that is an "insured contract"; (b) This insurance applies to such liability assumed by the insured; (c) The obligation to defend, or the cost of the defense of, that indemnitee, has also been assumed by the insured in the same "insured contract"; (d) The allegations in the "suit" and the information we know about the "occurrence" are such that no conflict appears to exist between the interests of the insured and the interests of the indemnitee; (e) The indemnitee and the insured ask us to conduct and control the defense of that indemnitee against such "suit" and agree that we can assign the same counsel to defend the insured and the indemnitee; and (f) The indemnitee: (1) Agrees in writing to: 1) Cooperate with us in the investigation, settlement or defense of the "suit"; 2) Immediately send us copies of any demands, notices, summonses or Hanover Insurance Group_ ODFD785344 5701644 legal papers received in connection with the "suit"; 3) Notify any other insurer whose coverage is available to the indemnitee; and 4) Cooperate with us with respect to coordinating other applicable insurance available to the indemnitee; and (ii) Provides us with written authorization to: 1) Obtain records and other information related to the "suit"; and 2) Conduct and control the defense of the indemnitee in such "suit". So long as the above conditions are met, attorneys' fees incurred by us in the defense of that indemnitee, necessary litigation expenses incurred by us and necessary litigation expenses incurred by the indemnitee at our request will be paid as Supplementary Payments. Notwithstanding the provisions of SECTION 11 - LIABILITY, B. Exclusions, 1. Applicable to Business Liability Coverage, b. Contractual Liability, paragraph (2), such payments will not be deemed to be damages for "bodily injury" and "property damage" and will not reduce the limits of insurance. Our obligation to defend an insured's indemnitee and to pay for attorneys' fees and necessary litigation expenses as Supplementary Payments ends when: (g) We have used up the applicable Limit of Insurance in the payment of judgments or settlements; or (h) The conditions set forth above, or the terms of the agreement described in Paragraph (2)(f) above are no longer met. 2. Medical Expenses a. We will pay described belo caused by an ac (1) On premises 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its perm ergo s8��r. A+ f1 Aea44. `® Risk Management Spedalut (2) On ways next to premises you own or rent; or (3) Because of your operations; provided that: (a) The accident takes place in the "coverage territory" and during the policy period; (b) The expenses are incurred and reported to us within one year of the date of the accident; and (c) The injured person submits to examination, at our expense, by physicians of our choice as often as we reasonably require. b. We will make these payments regardless of fault. These payments will not exceed the applicable Limits of Insurance as described in D. Liability and Medical Expenses Limits of Insurance. c. We will pay reasonable expenses for: (1) First aid administered at the time of an accident; (2) Necessary medical, surgical, x-ray and dental services, including prosthetic devices; and (3) Necessary ambulance, hospital, professional nursing and funeral services. B. Exclusions 1. Applicable To Business Liability Coverage This insurance does not apply to: a. Expected or Intended Injury "Bodily injury" or "property damage" expected or intended from the standpoint of the insured. This exclusion does not apply to "bodily injury" resulting from the use of reasonable force to protect persons or property. b. Contractual Liability "Bodily injury" or "property damage" for which the insured is obligated to pay damages by reason of the assumption of liability in a contract or agreement. This exclusion does not apply to liability for damages: (1) That the insured would have in the absence of the contract or agreement; or (2) Assumed in a contract or agreement that is an "insured contract", provided the "bodily injury" or "property damage" occurs subsequent to the execution of the contract or agreement. Solely for the purposes of liability assumed in an "insured contract", reasonable attorney fees and necessary litigation expenses incurred by or for a party other than an insured are deemed to be damages because of "bodily injury" or "property damage", provided: (a) Liability to such party for, or for the cost of, that party's defense has also been assumed in the same "insured contract"; and (b) Such attorney fees and litigation expenses are for defense of that party against a civil or alternative dispute resolution proceeding in which damages to which this insurance applies are alleged. c. Liquor Liability "Bodily injury" or "property damage" for which any insured may be held liable by reason of: (1) Causing or contributing to the intoxication of any person; (2) The furnishing of alcoholic beverages to a person under the legal drinking age or under the influence of alcohol; or (3) Any statute, ordinance or regulation relating to the sale, gift, distribution or use of alcoholic beverages. This exclusion applies even if the claims against any insured allege negligence or other wrongdoing in: (4) The supervision, hiring, employment, training or monitoring of others by that insured; or (5) Providing or failing to provide transportation with respect to any person that may be under the influence of alcohol; if the "occurrence" which caused the "bodily injury" or "property damage", involved that which is described in paragraphs (1), (2) or (3) above. However, this exclusion applies only if you are in the business of manufacturing, distributing, selling, serving or furnishing alcoholic beverages. For the purp -' m marwommi permitting a R^e�&ARPR( alcoholic I A+.pAav44 premises fOrRisk Management specialist premises, BY., 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 62 of 81 not a fee is charged or a license is required for such activity, is not by itself considered the business of selling, serving or furnishing alcoholic beverages. d. Workers' Compensation and Similar Laws Any obligation of the insured under a workers' compensation, disability benefits or unemployment compensation law or any similar local, state, federal or foreign law or regulation. e. Employer's Liability "Bodily Injury" to: (1) An "employee" of the insured arising out of and in the course of: (a) Employment by the insured; or (b) Performing duties related to the conduct of the insured's business; or (2) The spouse, child, parent, brother or sister of that "employee" as a (b) consequence of paragraph (1) above. This exclusion applies: (3) Whether the insured may be liable as an employer or in any other capacity; and (c) (4) To any obligation to share damages with or repay someone else who must pay damages because of the injury. This exclusion does not apply to liability assumed by the insured under an "insured contract". f. Pollution (d) (1) "Bodily injury" or "property damage" arising out of the actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of "pollutants": (a) At or from any premises, site or location, which is or was at any time owned or occupied by, or rented or loaned to, any insured. However, this subparagraph does not apply to: (1) "Bodily injury" if sustained within a building and caused by smoke, fumes, vapor or soot produced by or originating from equipment that is used to heat, cool or dehumidify the building, or equipment that is used to heat water for personal use, by the Hanover ]nsurance Group_ ODFD785344 5701644 building's occupants or their guests; (ii) "Bodily injury" or "property damage" for which you may be held liable, if you are a contractor and the owner or lessee of such premises, site or location has been added to your policy as an additional insured with respect to your ongoing operations performed for that additional insured at that premises, site or location and such premises, site or location is not and never was owned or occupied by, or rented or loaned to, any insured, other than that additional insured; or (ill) "Bodily injury" or "property damage" arising out of heat, smoke or fumes from a "hostile fire"; At or from any premises, site or location which is or was at any time used by or for any insured or others for the handling, storage, disposal, processing or treatment of waste; Which are or were at any time transported, handled, stored, treated, disposed of, or processed as waste by or for: (i) Any insured; or (ii) Any person or organization for whom you may be legally responsible; or At or from any premises, site or location on which any insured or any contractors or subcontractors working directly or indirectly on any insured's behalf are performing operations if the "pollutants" are brought on or to the premises, site or location in connection with such operations by such insured, contractor or subcontractor. However, this subparagraph does not apply to: "Bodily injury" or .,property damage" arising out of the escape of fuels, lubricants or other operating fluids which are needed to perform the normal electrical, hydraulic or mechar 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission s� Rkk MareganmtDhris[= " \f REmEwED 6 AiTRoVM Br: '- `® Risk Management Spedalist necessary for the operation of "mobile equipment" or its parts, if such fuels, lubricants or other operating fluids escape from a vehicle part designed to hold, store or receive them. This exception does not apply if the "bodily injury" or "property damage" arises out of the intentional discharge, dispersal or release of the fuels, lubricants or other operating fluids, or if such fuels, lubricants or other operating fluids are brought on or to the premises, site or location with the intent that they be discharged, dispersed or released as part of the operations being performed by such insured, contractor or subcontractor; (ii) "Bodily injury" or "property damage" sustained within a building and caused by the release of gases, fumes or vapors from materials brought into that building in connection with operations being performed by you or on your behalf by a contractor or subcontractor; or (III) "Bodily injury" or "property damage" arising out of heat, smoke or fumes from a "hostile fire". (e) At or from any premises, site or location on which any insured or any contractors or subcontractors working directly or indirectly on any insured's behalf are performing operations if the operations are to 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 loss, cost or expense arising out of any: (a) Request, demand, order or statutory or regulatory requirement that any 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"; or (b) Claim or "suit" by or on behalf of a governmental authority for damages because of testing for, monitoring, cleaning up, removing, containing, treating, detoxifying or neutralizing, or in any way responding to, or assessing the effects of, "pollutants". However, this paragraph does not apply to liability for damages because of "property damage" that the insured would have in the absence of such request, demand, order or statutory or regulatory requirement or such claim or "suit" by or on behalf of a governmental authority. g. Aircraft, Auto or Watercraft (1) Unmanned Aircraft "Bodily injury", "property damage" or "personal and advertising injury" arising out of the ownership, maintenance, use or entrustment to others of any aircraft that is an "unmanned aircraft". Use includes operation and "loading and unloading". This paragraph g. (1) applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured, if the "occurrence' which caused the "bodily injury" or "property damage" or the offense which caused the "personal and advertising injury" involved the ownership, maintenance, use or entrustment to others of any aircraft that is an "unmanned aircraft". This paragraph g. (1) does not apply to: (a) The use of another's advertising idea in your "advertisement"; or (b) Infringing upon another's copyright, trade dress or slogan in your "advertisement". (2) Aircraft (Other Than Unmanned Aircraft), Auto or Watercraft "Bodily injury" or "property damage" arising out of the ownership, moinfanonrc entrustmen aircraft (o aircraft"), owned or c loaned tc includes of unloading". __ Riak Atarugar,adptvieton RWEWtD&APPROVm Br. '% Aye Auvo�o '® Risk Management Specialist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 64 of 81 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 64 of 81 391-1003 08 16 This paragraph g. (2) applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured, if the 'occurrence" which caused the "bodily injury" or "property damage" or the offense which caused the "personal and advertising injury" involved the ownership, maintenance, use or entrustment to others of any aircraft (other than "unmanned aircraft'), "auto' or watercraft that is owned or operated by or rented or loaned to any insured. This paragraph g. (2) does not apply to: (a) A watercraft while ashore on premises you own or rent; (b) A watercraft you do not own that is: (i) Less than 51 feet long; and (ii) Not being used to carry persons or property for a charge; (c) Parking an "auto" on, or on the ways next to, premises you own or rent, provided the auto" is not owned by or rented or loaned to you or the insured; (d) Liability assumed under any "insured contract" for the ownership, maintenance or use of aircraft (other than "unmanned -aircraft") or watercraft; or (e) 'Bodily injury" or "property damage" arising out of: (1) The operation of machinery or equipment that is attached to, or part of, a land vehicle that would qualify under the definition of "mobile equipment' if it were not subject to a compulsory or financial responsibility law or other motor vehicle insurance or motor vehicle registration law where it is licensed or principally garaged; or (ii) The operation of any of the following machinery or equipment: 1) Cherry pickers and similar devices mounted on automobile or truck Hanover Insurance Croup- ODFD785344 5701644 chassis and used to raise or lower workers; and 2) Air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well -servicing equipment; or (f) An aircraft (other than "unmanned aircraft') that is: (1) Chartered by, loaned to, or hired by you with a paid crew; and (ii) Not owned by any insured. h. Mobile Equipment "Bodily injury" or "property damage" arising out of: (1) The transportation of "mobile equipment' by an "auto" owned or operated by or rented or loaned to any insured; or (2) The use of "mobile equipment' in, or while in practice for, or while being prepared for, any prearranged racing, speed, demolition or stunting activity. i. War "Bodily injury", "property damage" or "personal and advertising injury", however caused, arising, directly or indirectly, out of: (1) War, including undeclared or civil war; (2) 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 (3) Insurrection, rebellion, revolution, usurped power, or action taken by government authority in hindering or defending against any of these. j. Professional Services "Bodily injury", "property damage", "personal and advertising injury" caused by the rendering of or failure to render any professional service, advice or instruction: Rldr filnugnnal.I7hielurt < Rwex & APPRo Sr Ap Aaw44 ® Risk Management Specialist Includes copyrighted material of Insurance Services Office, Inc., with its perm (1) By you; or (2) On your bel (3) From whor liability by agreement, regardless of whether any such person, organization or entity, for service, advice or instruction is repair, replacement, ordinary to any insured's profession. enhancement, restoration or Professional services include but are maintenance of such property for not limited to: any reason, including prevention (4) Legal, accounting or advertising of injury to a person or damage to another's property; services, notary, title abstract, tax preparation, real estate, (2) Premises you sell, give away or stockbroker, publishing, architects abandon, if the "property damage" or insurance services; arises out of any part of those (5) Preparing, approving, or failing to premises; prepare or approve maps, (3) Property loaned to you; drawings, opinions, reports, (4) Personal property in the care, surveys, change orders, designs custody or control of the insured; or specifications; (5) That particular part of real 6 Supervisory,ins ection or (), P property on which you or an engineering services; contractor or subcontractor (7) Medical, surgical, dental, x-ray or working directly or indirectly on nursing services treatment, advice your behalf is performing or instruction; operations, if the "property (8) Any health or therapeutic service damage" arises out of those operations; or treatment, advice or instruction; (9) Any service, treatment, advice or (6) That particular part of any property that must be restored, instruction for the purpose of repaired or replaced because appearance or skin enhancement, "your work" was incorrectly hair removal or replacement or performed on it. personal grooming, including use or exposure to any sun lamp, Paragraphs (1), (3) and (4? of this tanning booth or other similar exclusion do not apply to property appliance; damage" (other than damage by fire) (10)Optometry or optical or hearing P g to premises, including the contents of such rented to for aid services including the premises, you a period of 7 or fewer consecutive days. prescribing, preparation, fitting, A separate Limit of Insurance applies demonstration or distribution of to Damage to Premises Rented to You ophthalmic lenses and similar as described in SECTION II - products or hearing aid devices; LIABILITY, D. Liability and Medical (11)Body piercing services; Expenses Limit Of Insurance. (12)Services in the practice of Paragraph (2) of this exclusion does pharmacy; not apply if the premises are "your (13)Management, Human Resource, work" and were never occupied, Testing, Media or Public Relations rented or held for rental by you. consulting services. Paragraphs (3), (4), (5) and (6) of this This exclusion applies even if a claim exclusion do not apply to liability alleges negligence or other assumed under a sidetrack wrongdoing in the supervision, hiring, agreement. employment, training or monitoring of Paragraph (6) of this exclusion does others by an insured, if the not apply to "property damage" "occurrence" which caused the "bodily included in the "products - completed injury" or "property damage", or the operations hazard". offense which caused the "personal I. Damage to Your Product and advertising injury", involved the rendering of or failure to render any "Property damage" to "your product" professional service. arising out of it or any part of it. k. Damage to Property m. Damage to Your Work "Property damage" to: "Property damage" to "your work" (1) Property you own, rent or occupy, arising out of included in thf including any costs or expenses operations haz e" P"eVEo&APPRW incurred by you, or any other a9 BV: This exclusior damaged work A*f,Auwdo Risk Management spedalist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its � r~e Hanover Insurance Group_ ODFD785344 5701644 the damage arises was performed on c An () Y product provided by the your behalf by a subcontractor. insured and installed or used In. Damage to Impaired Property or in connection with any aircraft; Property Not Physically Injured (d) Any tooling used in respect to "Property damage" to "impaired any aircraft; property" or property that has not (e) Training and navigational aids, been physically injured, arising out of: instructions, manuals, (1) A defect, deficiency, inadequacy blueprints, engineering or or dangerous condition in "your other data in connection with product' or "your work"; or any aircraft; (2) A delay or failure by you or (f) Any advice, service or labor anyone acting on your behalf to supplied with any aircraft; or perform a contract or agreement (g) Services you or others trading In accordance with its terms. under your name provide or This exclusion does not apply to the recommend for use in the loss of use of other property arising manufacture, repair, out of sudden and accidental physical operation, maintenance or use injury to "your product' or "your work" of any aircraft. after it has been put to its intended (5) "Grounding" means the use. withdrawal of one or more aircraft o. Recall of Products, Work or Impaired from flight operations or the Property imposition of speed, passenger or Damages claimed for any loss, cost or load restrictions on such aircraft, expense incurred by you or others for due to the existence of or alleged the loss of use, withdrawal, recall, or suspected existence of any defect, fault or condition: inspection, repair, replacement, adjustment, removal or disposal of: (a) In such aircraft or any part (1) "Your product'; sold, handled or distributed by you or that is manufactured, (2) "Your work"; or assembled or processed by (3) 'Impaired property"; any other person or if such product, work or property is organization according to your specifications, plans, withdrawn or recalled from the market suggestions, orders or or from use by any person or drawings; or organization because of a known or suspected defect, deficiency, () b With tools, machinery or other it adequacy or dangerous condition in equipment furnished to such or organizations by p. Aircraft Products, Grounding and you; Testing whether such withdrawn aircraft (1) "Aircraft products " or reliance are owned or operated by the same or different persons or upon any representation or organizations. warranty made with such product; (2) The "grounding" of any aircraft; or "Grounding" shall be deemed to commence on the date of an (3) The "testing" of any aircraft. 'occurrence" which discloses the For purposes of this Exclusion, the necessity of "grounding" or on the following definitions apply: date an aircraft is first withdrawn from service because of such (4) "Aircraft Products" means: condition, whichever comes first. (a) Aircraft, including but not (6) 'Testing" means examination, limited to missiles, spacecraft, observation, evaluation or or any other aircraft goods or measuring of the performance of products you manufacture, "aircraft products", while either in sell, handle or distribute; the air or on the ground. (b) Aircraft and any ground q. Distribution of Material in Violation of support or control equipment Statutes used in connection therewith; Rick MOWgamadDhigm Renswm & Armco 9-r t tf�l la l A+f, A141441 391 -1003 08 16 Includes copyrighted material of Insurance Services Office, Ruk Management Specialist Inc., with its permi "Bodily injury", "property damage" or "personal and advertising in ury" arising directly or indirectly out any action or omission that violates or is alleged to violate: (1) The Telephone Consumer Protection Act (TCPA), including any amendment of or addition to such law; or (2) The CAN-SPAM Act of 2003, including any amendment of or addition to such law; or (3) The Fair Credit Reporting Act (FCRA), and any amendment of or addition to such law, including the Fair and Accurate Credit Transaction Act (FACTA); or (4) Any other laws, statutes ordinances or regulations, that address, prohibit, or limit the printing, dissemination, disposal, collecting, recording, sending, transmitting, communicating or distribution of material or information. r. Access Or Disclosure Of Confidential Or Personal Information And Data -related Liability Damages arising out of: (1) Any access to or disclosure of any person's or organization's confidential or personal information, including patents, trade secrets, processing methods, customer lists, financial information, credit card information, health information or any other type of nonpublic information; or (2) The loss of, loss of use of, damage to, corruption of, inability to access, or inability to manipulate electronic data. This exclusion applies even if damages are claimed for notification costs, credit monitoring expenses, forensic expenses, public relations expenses or any other loss, cost or expense incurred by you or others arising out of that which is described in paragraphs (1) or (2) above. However, unless paragraph (1) above applies, this exclusion does not apply to damages because of "bodily injury". As used in this exclusion, electronic data means information, facts or computer programs stored as or on, created or used on, or transmitted to or from computer software including systems and applications software), on hard or floppy disks, CD-ROMs, tapes, drives, cells, data processing devices or any other repositories of computer software which are used with electronically controlled equipment. The term computer programs, referred to in the foregoing description of electronic data, means a set of related electronic instructions which direct the operations and functions of a computer or device connected to it, which enable the computer or device to receive, process, store, retrieve or send data. Exclusions c., d., e., g., h., and k., I., m., n. and o. above do not apply to damage to premises while rented to you or temporarily occupied by you with permission of the owner. A separate Damage to Premises Rented to You Limit of Insurance applies to this coverage as described in SECTION II - LIABILITY, D. Liability and Medical Expenses Limits of Insurance. 2. Additional Exclusions Applicable Only to "Personal and Advertising Injury" This insurance does not apply to: a. Knowing Violation of Rights of Another "Personal and advertising injury" caused by or at the direction of the insured with the knowledge that the act would violate the rights of another and would inflict "personal and advertising injury". b. Material Published With Knowledge of Falsity "Personal and advertising injury" arising out of oral or written publication, in any manner, of material, if done by or at the direction of the insured with knowledge of its falsity. c. Material Published Prior to Policy Period "Personal and advertising injury" arising out of oral or written publication, in any manner, of material whose first publication took place before the beginning of the policy period. d. Criminal Acts "Personal and advertising injury" arising out of a criminal act committed by or at the direction of the insured. e. Contractual Liabilitv "Personal an( which the i liability in a This exclusic liability for da would have contractor a n ^o .71 1tlele Mn,.gemmt Ixviebrt REmEwm S APPROVED BY: Ruk Management SpedMtst 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 68 of 81 f. Breach of Contract "Personal and advertising injury" arising out of a breach of contract, except an implied contract to use another's advertising idea in your "advertisement". g. Quality or Performance of Goods -Failure to Conform to Statements "Personal and advertising injury" arising out of the failure of goods, products or services to conform with any statement of quality or performance made in your advertisement". h. Wrong Description of Prices "Personal and advertising injury" arising out of the wrong description of the price of goods, products or services stated in your "advertisement". i. Insureds in Media and Internet Type Businesses "Personal and advertising injury" committed by an insured whose business is: (1) Advertising, broadcasting, publishing or telecasting; (2) Designing or determining content of web -sites for others; or (3) An Internet search, access, content or service provider. However, this exclusion does not apply to F. Liability and Medical Expenses Definitions,15. "Personal and Advertising Injury", paragraphs a., b. and c. For the purposes of this exclusion, the placing of frames, borders or links, or advertising, for you or others anywhere on the Internet, is not by itself considered the business of advertising, broadcasting, publishing or telecasting. j. Pollution "Personal and advertising injury" arising out of the actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of "pollutants" at any time. k. Pollution -Related Any loss, cost or expense arising out of any: (1) Request, demand, order or statutory or regulatory requirement that any insured or others test for, monitor, clean-up, remove, contain, treat, detoxify or neutralize, or In any way respond to, or assessthe effects of, "pollutants" or 4 me Hanover Insurance Group_ ODFD785344 5701644 (2) Claim or "suit" by or on behalf of a governmental authority for damages because of testing for, monitoring, cleaning up, removing, containing, treating, detoxifying or neutralizing, or in any way responding to, or assessing the effects of, "pollutants". I. Electronic Chatrooms or Bulletin Boards "Personal and advertising injury" arising out of an electronic chatroom or bulletin board the insured hosts, owns or over which the insured exercises control. m. Infringement of Copyright, Patent, Trademark or Trade Secret "Personal and advertising injury" arising out of the infringement of copyright, patent, trademark, trade secret or other intellectual property rights. Under this exclusion, such other intellectual property rights do not include the use of another's advertising idea in your "advertisement". However, this exclusion does not apply to infringement, in your "advertisement", of copyright, trade dress or slogan. n. Unauthorized Use of Another's Name of Product "Personal and advertising injury" arising out of the unauthorized use of another's name or product in your e-mail address, domain name or metatags, or any other similar tactics to mislead another's potential customers. 3. Additional Exclusions Applicable to Medical Expenses Coverage Only We will not pay expenses for "bodily injury": a. Any Insured To any insured, except "volunteer workers". b. Hired Person To a person hired to do work for or on behalf of any insured or a tenant of any insured. c. Injury on Normally Occupied Premises To a person injured on that part of premises you own or rent that the person norm-",, d. Workers' Cor Laws To a person "employee" insured, q Ew M¢&Ag R VFT)Sn REVIEWID&APPROV®aV: ®' Rtsk Management Specialist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 69 of 81 the "bodily injury" are payable or must be provided under a workers' material" and arising out of the compensation or disability benefits operation of a "nuclear facility" by law or a similar law. any person or organization. e. Athletic Activities (3) Under Business Liability Coverage, To a person injured while practicing, to "bodily injury" or "property damage" resulting from the instructing or participating in any hazardous properties' of the physical exercises or games, sports "nuclear material"; if: or athletic contests. f. Products Completed Operations (a) The "nuclear material": Hazard t Is at an "nuclear facility" (�) Y y" Included within the "products - owned by, or operated by or on behalf of, an insured; or completed operations hazard". g. Otherwise Excluded (ii) Has been discharged or dispersed therefrom; Otherwise Excluded under SECTION (b) The "nuclear material" is II - LIABILITY, B. Exclusions, 1. contained in "spent fuel" or Applicable To Business Liability "waste" at any time possessed, Coverage. handled, used, processed, 4. Additional Exclusions Applicable To Both stored, transported or disposed Business Liability Coverage and Medical of by or on behalf of an insured; Expenses Coverage: or Nuclear Energy Liability Exclusion (c) The "bodily injury" or "property This insurance does not apply: damage" arises out of the furnishing by an insured of (1) Under Business Liability Coverage, services, materials, parts or to "bodily injury" or "property equipment in connection with the damage": planning, construction, (a) With respect to which an insured maintenance, operation or use of under the policy is also an any "nuclear facility"; but if such insured under a nuclear energy facility is located within the liability policy issued by the United States of America, its Nuclear Energy Liability territories or possessions or Insurance Association, Mutual Canada, this Exclusion (3) Atomic Energy Liability applies only to "property Underwriters or Nuclear damage" to such "nuclear Insurance Association of facility" and any property Canada, or would be an insured thereat. under any such policy but for its (4) As used in this exclusion: termination upon exhaustion of its limit of liability; or (a) "By-product material" has the (b) Resulting from the "hazardous meaning given it in the Atomic Energy Act of 1954 or in any law properties" of "nuclear material" amendatory thereof; and with respect to which: (b) "Hazardous properties" include (1) Any person or organization radioactive, toxic or explosive is required to maintain properties; financial protection pursuant to the Atomic Energy Act of (c) "Nuclear facility" means: 1954, or any law amendatory (i) Any "nuclear reactor" thereof; or (ii) Any equipment or device (11) The insured is, or had this designed or used for: policy not been issued would 1) Separating the isotopes be, entitled to indemnity of uranium or plutonium; from the United States of America, or any agency 2) Processing or utilizing thereof, under any "spent fuel"; or agreement entered into by 3) Handling, Processing or the United States of packaging 'waste"; America, or any agency thereof, with any person or (111) Any equipment or device organization. used fnr the nrnraccinn fabric (2) Under Medical Expenses Coverage, "sped xwrntnMsm^ to expenses incurred with respect to at an REVIEWED&APPROVm&r. "bodily injury" resulting from the of si °! tc% A+�+sfkcvufe "hazardous properties" of "nuclear '® Risk Manzgemen[Spedalist 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its me Hanover Iusuraoce Croup_ ODF D785344 5701644 custody of the insured at the a. An individual, you and your spouse premises where such are insureds, but only with respect to equipment or device is located the conduct of a business of which consists of or contains more you are the sole owner. than 25 grams of plutonium or 233 b. A partnership or joint venture, you uranium or any combination thereof, or more are an insured. Your members, your than 250 grams of uranium partners and their spouses are also 235; insureds, but only with respect to the conduct of your business. (iv) Any structure, basin, excavation, premises or place c. A limited liability company, you are prepared or used for the an insured. Your members are also storage or disposal of "waste"; insureds, but only with respect to the conduct of your business. Your and includes the site on which any managers are insureds, but only with of the foregoing is located, all respect to their duties as your operations conducted on such site managers. and all premises used for such d. An organization other than a operations; partnership, joint venture or limited (d) "Nuclear material" means "source liability company, you are an insured. material", "special nuclear Your "executive officers" and material" or "by-product material"; directors are insureds, but only with (e) "Nuclear reactor" means any respect to their duties as your apparatus designed or used to officers or directors. Your sustain nuclear fission in a stockholders are also insureds, but self-supporting chain reaction or only with respect to their liability as to contain a critical mass of stockholders. fissionable material; e. A trust, you are an insured. Your (f) "Property damage" includes all trustees are also insureds, but only forms of radioactive contamination with respect to their duties as of property. trustees. (g) "Source material" has the 2. Each of the following is also an insured: meaning given it in the Atomic a. Your "volunteer workers" only while Energy Act of 1954 or in any law performing duties related to the amendatory thereof; conduct of your business, or your (h) "Special nuclear material" has the "employees", other than either your meaning given it in the Atomic "executive officers" (if you are an Energy Act of 1954 or in any law organization other than a amendatory thereof; partnership, joint venture or limited liability company) or your managers (i) "Spent fuel" means any fuel (if you are a limited liability element or fuel component, solid company), but only for acts within the or liquid, which has been used or scope of their employment by you or exposed to radiation in a "nuclear while performing duties related to the reactor"; conduct of your business. However, Q) "Waste" means any waste none of these "employees" or material: "volunteer workers" are insureds for: (1) Containing "by-product material" other than the tailings or wastes produced by the extraction or concentration of uranium or thorium from any ore processed primarily for its "source material" content; and (ii) Resulting from the operation by any person or organization of any "nuclear facility" included under paragraphs (i) and (ii) of the definition of "nuclear facility". C. Who Is An Insured 1. If you are designated in the Declarations as: 391-1003 08 16 (1) "Bodily injury" or "personal and advertising injury": (a) To you, to your partners or members (if you are a partnership or joint venture), to your members (if you are a limited liability company), or to a co -"employee" while in the course of his or her employment or performing duties related to the conduct of your business, or to your other ^ iM.., nr4crc" while relate( busine (b) To the brother ^�s�. �7 '& � '� a 1 n Risk MOugmedD sIM'&m Riwi & APPR Rr: A, fu &w4�, ' Risk Management Speadist Includes copyrighted material of Insurance Services Office, Inc., with its permission. age o61 "employee" as a consequence of paragraph (1) (a) above; (c) For which there is any obligation to share damages with or repay someone else who must pay damages because of the injury described in paragraphs (1)(a) or (1)(b); or (d) Arising out of his or her providing or failing to provide professional services. (2) 'Property damage" to property: (a) Owned, occupied or used by; or (b) Rented to, in the care, custody or control of, or over which physical control is being exercised for any purpose by; you, any of your "employees", "volunteer workers", any partner or member (if you are a partnership or joint venture), or any member (if you are a limited liability company). b. Any person (other than your "employee" or "volunteer worker") or any organization while acting as your real estate manager. c. Any person or organization having proper temporary custody of your property if you die, but only: (1) With respect to liability arising out of the maintenance or use of that property; and (2) Until your legal representative has been appointed. d. Your legal representative if you die, but only with respect to duties as such. That representative will have all your rights and duties under this policy. 3. Any organization you newly acquire or form, acquire or form, other than a partnership, joint venture or limited liability company, and over which you maintain ownership or majority interest, will qualify as a Named Insured if there is no other similar insurance available to that organization. However: a. Coverage under this provision is afforded only until the 9dh day after you acquire or form the organization or the end of the policy period, whichever is earlier; and b. Business Liability Coverage does not apply to: (1) 'Bodily injury" or 'property damage" that occurred before you acquired or formed the organization; and (2) "Personal and advertising injury" arising out of an offense committed before you acquired or formed the organization. No person or organization is an insured with respect to the conduct of any current or past partnership, joint venture or limited liability company that is not shown as a Named Insured in the Declarations. D. Liability and Medical Expenses Limits of Insurance 1. The Limits of Insurance under SECTION II - LIABILITY shown in the Declarations and the rules below fix the most we will pay regardless of the number of: a. Insureds; b. Claims made or "suits" brought; or c. Persons or organizations making claims or bringing "suits". 2. Subject to the Aggregate Limit identified in paragraph 5. below, the most we will pay for the sum of all damages because of all: a. "Bodily injury", "property damage" and medical expenses arising out of any one "occurrence"; and b. 'Personal and advertising injury" sustained by any one person or organization; is the Liability And Medical Expenses Limit shown in the Declarations. 3. Subject to the Liability And Medical Expenses Limit, the most we will pay for all medical expenses because of "bodily injury" sustained by any one person is the Medical Expenses Limit shown in the Declarations. 4. The Damage to Premises Rented to You Limit shown in the Declarations is the most we will pay for damages because of "property damage" to any one premises while rented to you, or temporarily occupied by you with permission of the owner. 5. Aggregate Limits a. The most we will pay for: (1) All "bodily injury" and "property damage" that is included in the "products -completed operations hazard" is twice the Liability And Medical Expenses Limit. (2) All: (a) "Bodily injury" and "property damage" except damages becau: 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its per z � Risk moogmartDivisLon RE IT WED & AiTROVED BY A-j�x Aav4 `® R5k Management SpedAist "property damage" included in the "products -completed operations hazard"; (b) Plus medical expenses; (c) Plus all "personal and advertising injury" caused by offenses committed; is twice the Liability And Medical Expenses Limit. b. The Aggregate Limits of Insurance apply separately to each of your "locations" owned by or rented to you. "Location" means premises involving the same or connecting lots, or premises whose connection is interrupted only by a street, roadway, waterway or right-of-way of a railroad. 6. The Limits of Insurance of SECTION II - LIABILITY 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 Declarations, 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 purposes of determining the Limits of Insurance. E. Liability and Medical Expenses General Conditions 1. Bankruptcy Bankruptcy or insolvency of the insured or of the insured's estate will not relieve us of our obligations under this Coverage Part. 2. Duties in the Event of Occurrence, Offense, Claim or Suit a. You must see to it that we are notified as soon as practicable of an "occurrence" or an offense which may result in a claim. To the extent possible, notice should include: (1) How, when and where the "occurrence" or offense took place; (2) The names and addresses of any injured persons and witnesses; and (3) The nature and location of any injury or damage arising out of the "occurrence" or offense. b. If a claim is made or "suit" is brought against any insured, you must: (1) Immediately record the specifics of the claim or "suit" and the date received; and (2) Notify us as soon as practicable. The 4 Hanover 4Insurance Group- ODFD785344 5701644 You must see to it that we receive written notice of the claim or "suit" as soon as practicable. c. You and any other involved insured must: (1) Immediately send us copies of any demands, notices, summonses or legal papers received in connection with the claim or "suit' (2) Authorize us to obtain records and other information; (3) Cooperate with us in the investigation, or settlement of the claim or defense against the "suit"; and (4) Assist us, upon our request, in the enforcement of any right against any person or organization that may be liable to the insured because of injury or damage to which this insurance may also apply. d. No insured will, except at that insured's own cost, voluntarily make a payment, assume any obligation, or incur any expense, other than for first aid, without our consent. 3. Legal Action Against Us No person or organization has a right under this Coverage Part: a. To join us as a party or otherwise bring us into a "suit" asking for damages from an insured; or b. To sue us on this policy unless all of its terms have been fully complied with. A person or organization may sue us to recover on an agreed settlement or on a final judgment against an insured; but we will not be liable for damages that are not payable under the terms of this policy or that are in excess of the applicable Limit of Insurance. An agreed settlement means a settlement and release of liability signed by us, the insured and the claimant or the claimant's legal representative. 4. Separation of Insureds Except with respect to the Limits of Insurance under SECTION II - LIABILITY, and any rights or duties specifically assigned in this Coverage Part to the first Named Insured, this insurance applies: a. As if each N only Named IRisk t b. Separately whom claii brought. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its per MowgenadDivislan It o ,I k Rene &APp2w®Br. R6k Management Spedalist mi; F. Liability and Medical Expenses Definitions 1. "Advertisement" means a notice that is broadcast or published to the general public or specific market segments about your goods, products or services for the purpose of attracting customers or supporters. For the purposes of this definition: a. Notices that are published include material placed on the Internet or on similar electronic means of communication; and b. Regarding websites, only that part of a website that is about your goods, products or services for the purposes of attracting customers or supporters is considered an advertisement. 2. "Auto" means: a. A land motor vehicle, trailer or semitrailer designed for travel on public roads, including any attached machinery or equipment; or b. Any other land vehicle that is subject to a compulsory or financial responsibility law or other motor vehicle insurance law in the state where it is licensed or principally garaged. However, "auto" does not include "mobile equipment". 3. "Bodily injury" means bodily injury, sickness or disease sustained by a person, including death resulting from any of these at any time. "Bodily injury" includes mental anguish or other mental injury resulting from "bodily injury". 4. "Coverage territory" means: a. The United States of America (including its territories and possessions), Puerto Rico and Canada; b. International waters or airspace, but only if the injury or damage occurs in the course of travel or transportation between any places included in Paragraph a. above; or c. All other parts of the world if the injury or damage arises out of: (1) Goods or products made or sold by you in the territory described in paragraph a. above; (2) The activities of a person whose home is in the territory described in paragraph a. above, but is away for a short time on your business; or (3) "Personal and advertising injury" offenses that take place through the Internet or similar electronic means of communication; provided the insured's responsibility to pay damages is determined in a "suit" on the merits in the territory described in paragraph a. above or in a settlement we agree to. 5. "Employee" includes a "leased worker". "Employee" does not include a "temporary worker". 6. "Executive officer" means a person holding any of the officer positions created by your charter, constitution, by-laws or any other similar governing document. 7. "Hostile fire" means one which becomes uncontrollable or breaks out from where it was intended to be. 8. "Impaired property" means tangible property, other than "your product" or "your work", that cannot be used or is less useful because: a. It incorporates "your product" or "your work" that is known or thought to be defective, deficient, inadequate or dangerous; or b. You have failed to fulfill the terms of a contract or agreement; if such property can be restored to use by the repair, replacement, adjustment or removal of "your product" or 'your work", or your fulfilling the terms of the contract or agreement. 9. "Insured contract" means: a. A contract for a lease of premises. However, that portion of the contract for a lease of premises that indemnifies any person or organization for damage to premises while rented to you or temporarily occupied by you with permission of the owner is not an "insured contract'; b. A sidetrack agreement; c. Any easement or license agreement, except in connection with construction or demolition operations on or within 50 feet of a railroad; d. An obligation, as required by ordinance, to indemnify a municipality, except in connection with work for a municipality; e. An elevator maintenance agreement; f. That part of any other contractor agreement pertaining to your business (including an indemnification of a municipality in connection v for a munic you assume another part Injury" or to a third pers g -t°� ften & APP a�®B : 11" Ruk Management SpedNis[ 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 74 of 81 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 74 of 81 Tort liability means a liability that would be imposed by law in the absence of any contract or agreement. Paragraph f. does not include that part of any contract or agreement: (1) That indemnifies a railroad for "bodily injury" or "property damage" arising out of construction or demolition operations, within 50 feet of any railroad property and affecting any railroad bridge or trestle, tracks, road beds, tunnel, underpass or crossing; (2) That indemnifies an architect, engineer or surveyor for injury or damage arising out of: (a) Preparing, approving or failing to prepare or approve maps, drawings, opinions, reports, surveys, change orders, designs or specifications; or (b) Giving directions or instructions, or failing to give them, if that is the primary cause of the injury or damage; or (3) Under which the insured, if an architect, engineer or surveyor, assumes liability for an injury or damage arising out of the insuriid's rendering or failure to render professional services, including those listed in paragraph (2) above and supervisory, inspection or engineering services. 10. "Leased worker" means a person leased to you by a labor leasing firm under an agreement between you and the labor leasing firm, to perform duties related to the conduct of your business. "Leased worker" does not include a "temporary worker". 11. "Loading or unloading" means the handling of property: a. After it is moved from the place where it is accepted for movement into or onto an aircraft, watercraft or "auto'; b. While it is in or on an aircraft, watercraft or "auto'; or c. While it is being moved from an aircraft, watercraft or "auto" to the place where it is finally delivered; but "loading or unloading" does not include the movement of property by means of a mechanical device, other than a hand truck, that is not attached to the aircraft, watercraft or "auto". 12. "Mobile equipment" means any of the following types of land vehicles, including any attached machinery or equipment: The Hanover Insurance Group_ ODFD785344 5701644 a. Bulldozers, farm machinery, forklifts and other vehicles designed for use principally off public roads; b. Vehicles maintained for use solely on or next to premises you own or rent; c. Vehicles that travel on crawler treads; d. Vehicles, whether self-propelled or not, on which are permanently mounted: (1) Power cranes, shovels, loaders, diggers or drills; or (2) Road construction or resurfacing equipment such as graders, scrapers or rollers; e. Vehicles not described in paragraphs a., b., c. or d. above that are not self-propelled and are maintained primarily to provide mobility to permanently attached equipment of the following types: (1) Air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well servicing equipment; or (2) Cherry pickers and similar devices used to raise or lower workers; f. Vehicles not described in paragraphs a., b., c. or d. above maintained primarily for purposes other than the transportation of persons or cargo. However, self-propelled vehicles with the following types of permanently attached equipment are not "mobile equipment" but will be considered "autos": (1) Equipment designed primarily for: (a) Snow removal; (b) Road maintenance, but not construction or resurfacing; or (c) Street cleaning; (2) Cherry pickers and similar devices mounted on automobile or truck chassis and used to raise or lower workers; and (3) Air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well servicino eauioment. However, "mi not include ar compulsorybae „� wakMan.g�d.DMcmn AEVIEwED S APPR(N®aY: Ar�=A e Risk Management Specialist 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permission. Page 75 of 81 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permission. Page 75 of 81 law or other motor vehicle insurance law in the state where they are licensed or principally garaged. Land vehicles subject to a compulsory or financial responsibility law or other motor vehicle insurance law are considered "autos". 13. "Occurrence" means an accident, including continuous or repeated exposure to substantially the same general harmful conditions. 14. "Personal and advertising injury" means injury, including consequential "bodily injury", arising out of one or more of the following offenses: a. False arrest, detention or imprisonment; 15. 16. b. Malicious prosecution; c. The wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a room, dwelling or premises that a person occupies, committed by or on behalf of its owner, landlord or lessor; d. Oral or written publication, in any manner, of material that slanders or libels a person or organization or disparages a person's or organization's goods, products or services; e. Oral or written publication, in any manner, of material that violates a person's right of privacy; If. The use of another's advertising idea in your "advertisement"; or g. Infringing upon another's copyright, trade dress or slogan in your "advertisement". "Pollutants" mean any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed. "Products - completed operations hazard": a. Includes all "bodily injury" and "property damage" occurring away from premises you own or rent and arising out of "your product" or "your work" except: (1) Products that are still in your physical possession; or (2) Work that has not yet been completed or abandoned. However, "your work" will be deemed completed at the earliest of the following times: (a) When all of the work called for in your contract has been completed. (b) When all of the work to be done at the job site has been completed if your contract calls for work at more than one job site. (c) When that part of the work done at the job site has been put to its intended use by any other person or organization other than another contractor or subcontractor working on the same project. Work that may need service, maintenance, correction, repair or replacement, but which is otherwise complete, will be treated as completed. The "bodily injury" or "property damage" must occur away from premises you own or rent, unless your business includes the selling, handling or distribution of "your product" for consumption on premises you own or rent. b. Does not include "bodily injury" or "property damage" arising out of: (1) The transportation of property, unless the injury or damage arises out of a condition in or on a vehicle not owned or operated by you, and that condition was created by the "loading or unloading" of that vehicle by any insured; or (2) The existence of tools, uninstalled equipment or abandoned or unused materials. 17. "Property damage" means: a. Physical injury to tangible property, including all resulting loss of use of that property. All such loss of use shall be deemed to occur at the time of the physical injury that caused it; or b. Loss of use of tangible property that is not physically injured. All such loss of use shall be deemed to occur at the time of the "occurrence" that caused it. For the purposes of this insurance, electronic data is not tangible property. As used in this definition, electronic data means information, facts or programs stored as, created or used on, or transmitted — -- software, inch RAMmagenottDM9Iot applications sof dj°-"`tr. REMFWED&APPLE. disks, CD-ROM; data processing A-faAav44 media Which * � Ruk Management Spedalist electronically coi 391-1003 0816 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 76 of 81 18. "Suit' means a civil proceeding in which damages because of "bodily injury", "property damage", "personal and advertising injury" to which this insurance applies are alleged. "Suit' includes: a. An arbitration proceeding in which such damages are claimed and to which the insured must submit or does submit with our consent; or b. Any other alternative dispute resolution proceeding in which such damages are claimed and to which the insured submits with our consent. 19. "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. 20. "Unmanned aircraft" means an aircraft that is not: a. Designed; b. Manufactured; or c. Modified after manufacture; to be controlled directly by a person from within or on the aircraft. 21. "Volunteer worker" means a person who is not your "employee", and who donates his or her work and acts at the direction of and within the scope of duties determined by you, and is not paid a fee, salary or other compensation by you or anyone else for their work performed for you. 22. "Your product': a. Means: (1) Any goods or products, other than real property, manufactured, sold, handled, distributed or disposed of by: (a) You; (b) Others trading under your name; or (c) A person or organization whose business or assets you have acquired; and (2) Containers (other than vehicles), materials, parts or equipment furnished in connection with such goods or products. b. Includes: (1) Warranties or representations made at any time with respect to the fitness, quality, durability, performance or use of "your product'; and The Hanover Insurance Group_ ODFD785344 5701644 (2) The providing of or failure to provide warnings or instructions. c. Does not include vending machines or other property rented to or located for the use of others but not sold. 23. "Your work": a. Means: (1) Work or operations performed by you or on your behalf; and (2) Materials, parts or equipment furnished in connection with such work or operations. b. Includes: (1) Warranties or representations made at any time with respect to the fitness, quality, durability, performance or use of "your work" and (2) The providing of or failure to provide warnings or instructions. SECTION III - COMMON POLICY CONDITIONS (APPLICABLE TO SECTION I - PROPERTY AND SECTION II - LIABILITY) A. Cancellation 1. The first Named Insured shown in the Declarations may cancel this policy by mailing or delivering to us advance written notice of cancellation. 2. We may cancel this policy by mailing or delivering to the first Named Insured written notice of cancellation at least: a. 5 days before the effective date of cancellation if any one of the following conditions exists at any building that is Covered Property in this policy: (1) The building has been vacant or unoccupied 60 or more consecutive days. This does not apply to: (a) Seasonal unoccupancy; or (b) Buildings in the course of construction, renovation or addition. Buildings with 65% or more of the rental units or floor area vacant or unoccupied are considered unoccupied under this provision. (2) After damage by a covered cause of loss, permanent repairs to the building: (a) Have not started, and (b) Have i within 30 of loss. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permi ERwEwED I]vmer.A+� A,4v44 isk Management Specialist (3) The building has: (a) An outstanding order to vacate; (b) An outstanding demolition order; or (c) Been declared unsafe by governmental authority. (4) Fixed and salvageable items have been or are being removed from the building and are not being replaced. This does not apply to such removal that is necessary or incidental to any renovation or remodeling. (5) Failure to (a) Furnish necessary heat, water, sewer service or electricity for 30 consecutive days or more, except during a period of seasonal unoccupancy; or (b) Pay property taxes that are owed and have been outstanding for more than one year following the date due, except that this provision will not apply where you are in a bona fide dispute with the taxing authority regarding payment of such taxes. b. 10 days before the effective date of cancellation if we cancel for nonpayment of premium. c. 30 days before the effective date of cancellation if we cancel for any other reason. 3. We will mail or deliver our notice to the first Named Insured's last mailing address known to us. 4. Notice of cancellation will state the effective date of cancellation. The policy period will end on that date. 5. If this policy is cancelled, we will send the first Named Insured any premium refund due. If we cancel, the refund will be pro rate. If the first Named Insured cancels, the refund may be less than pro rate. The cancellation will be effective even if we have not made or offered a refund. 6. If notice is mailed, proof of mailing will be sufficient proof of notice. B. Changes This policy contains all the agreements between you and us concerning the insurance afforded. The first Named Insured shown in the Declarations is authorized to make changes in the terms of this policy with our consent. This policy's terms can be amended or waived only by endorsement issued by us and made a part of this policy. C. Concealment, Misrepresentation or Fraud This policy is void in any case of fraud by you as it relates to this policy at any time. It Is also void if you or any other insured, at any time, intentionally conceals or misrepresents a material fact concerning: 1. This policy; 2. The Covered Property; 3. Your interest in the Covered Property; or 4. A claim under this policy. D. Examination of Your Books and Records We may examine and audit your books and records as they relate to this policy at any time during the policy period and up to three years afterward. We have the right to make copies of these books and records. E. Inspections and Surveys We have the right but not the duty to: a. Make inspections and surveys at any time; b. Give you reports on the conditions we find; and c. Recommend changes. 2. We are not obligated to make any inspections, surveys, reports or recommendations and any such actions we do undertake relate only to insurability and the premiums to be charged. We do not make safety inspections. We do not undertake to perform the duty of any person or organization to provide for the health or safety of workers or the public. We do not warrant that conditions: a. Are safe and healthful; or b. Comply with laws, regulations, codes or standards. 3. Paragraphs 1. and 2. of this condition apply not only to us, but also to any rating, advisory, rate service or similar organization which makes insurance inspections, surveys, reports or recommendations. 4. Paragraph 2. of this condition does not apply to any inspections, surveys, reports or recommendations we may make relative to certification, under state or municipal statutes, ordinances or regulations, of boilers, pressure vessels or elevators. F. Insurance Under Two If two or more of 1 apply to the same to choose only one c apply to that loss. lttek Mawgnnmt Divivian ` BPAPJVED&APPRD BY: A� A�wzd� Risk Management Spedalis[ 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its permis 1. SECTION I - PROPERTY, if two or more of this coverage part's coverages apply to the same loss or damage, we will not pay more than the actual amount of the loss or damage. 2. SECTION II - LIABILITY, it is our stated intent that the various Coverage Parts, forms, endorsements or policies issued to the named insured by us, or any company affiliated with us, do not provide any duplication or overlap of coverage for the same claim, "suit", "occurrence", offense, accident, "wrongful act" or loss. We will not pay more than the actual amount of the loss or damage. If this Coverage Part and any other Coverage Part, form, endorsement or policy issued to the named insured by us, or any company affiliated with us, apply to the same claim, "suit", occurrence, offense, accident, "wrongful act" or loss, the maximum Limit of Insurance under all such Coverage Parts, forms, endorsements or policies combined shall not exceed the highest applicable Limit of Insurance under any one Coverage Part, form, endorsement or policy. This condition does not apply to any Excess or Umbrella Policy issued by us specifically to apply as excess insurance over this policy. G. Liberalization If we adopt any revision that would broaden the coverage under this policy without additional premium within 45 days prior to or during the policy period, the broadened coverage will immediately apply to this policy. H. Other Insurance 1. SECTION I - PROPERTY If there is other insurance covering the same loss or damage, we will pay only for the amount of covered loss or damage in excess of the amount due from that other insurance, whether you can collect on it or not. But, we will not pay more than the applicable Limit of Insurance of SECTION I - PROPERTY. 2. SECTION II - LIABILITY If other valid and collectible insurance is available to the insured for a loss we cover under SECTION II - LIABILITY, our obligations are limited as follows: a. Primary Insurance This insurance is primary except when paragraph b. below applies. If this insurance is primary, our obligations are not affected unless any of the other insurance is also primary. Then, we will share with all that other insurance by the method described in paragraph c. below. ame Z*, Hanover Insurance Group- ODFD785344 5701644 However, if you agree in a written contract, written agreement, or written permit that the insurance provided to any person or organization included as an Additional Insured under this Coverage Part is primary and non-contributory, we will not seek contribution from any other insurance available to that Additional Insured which covers the Additional Insured as a Named Insured except: (1) For the sole negligence of the Additional Insured; or (2) When the Additional Insured is an Additional Insured under another liability policy. b. Excess Insurance This insurance is excess over: (1) Any of the other insurance, whether primary, excess, contingent or on any other basis: (a) That is Fire, Extended Coverage, Builder's Risk, Installation Risk or similar coverage for "your work"; (b) That is Property Insurance for premises rented to you or temporarily occupied by you with permission of the owner; (c) That is insurance purchased by you to cover your liability as a tenant for "property damage" to premises rented to you or temporarily occupied by you with permission of the owner; or (d) If the loss arises out of the maintenance or use of aircraft, "autos" or watercraft to the extent not subject to SECTION II - LIABILITY, Exclusion g. Aircraft, Auto or Watercraft; and (2) Any other primary insurance available to you covering liability for damages arising out of the premises or operations, or the products and completed operations, for which you have been added as an additional insured by attachment of an endorsement. When this insurance is excess, we will have no duty under SECTION II - LIABILITY to defend the insured against any - -- -" — insurer has a insured against insurer defend: do so, but we 391-1003 08 16 Includes copyrighted material of Insurance services Office, Inc., with its perr RukMouganmtDnl = A+{, Aav44 am=-, Risk Management SpeaAnt insured's rights against all those other premium in accordance with our rates and insurers. rules then in effect. c. When this insurance is excess over other 3. With our consent, you may continue this insurance, we will pay only our share of policy in force by paying a continuation the amount of the loss, if any, that premium for each successive one-year exceeds the sum of: period. The premium must be: (1) The total amount that all such other a. Paid to us prior to the anniversary insurance would pay for the loss in date; and the absence of this insurance; and b. Determined in accordance with (2) The total of all deductible and paragraph 2. above. self -insured amounts under all that Our forms then in effect will apply. If you other insurance. do not pay the continuation premium, this d. We will share the remaining loss, if any, policy will expire on the first anniversary with any other insurance that is not date that we have not received the described in this provision and was not premium. bought specifically to apply in excess of 4. Undeclared exposures or change in your the Limits of Insurance shown in the business operation, acquisition or use of Declarations for this Coverage. locations may occur during the policy e. Method of Sharing period that is not shown in the If all of the other insurance permits Declarations. If so, we may require an contribution by equal shares, we will additional premium. That premium will be follow this method also. Under this determined in accordance with our rates approach each insurer contributes equal and rules then in effect. amounts until it has paid its applicable J. Premium Audit Limit of Insurance or none of the loss 1. This policy is subject to audit if a premium remains, whichever comes first. designated as an advance premium is If any of the other insurance does not shown in the Declarations. We will permit contribution by equal shares, we compute the final premium due when we will contribute by limits. Under this determine your actual exposures. method, each insurer's share is based on 2, Premium shown in this policy as advance the ratio of its applicable Limit of premium is a deposit premium only. At the Insurance to the total applicable limits of close of each audit period, we will insurance of all insurers. compute the earned premium for that f. When this insurance is excess, we will period and send notice to the first Named have no duty under Business Liability Insured. The due date for audit premiums Coverage to defend any claim or "suit" is the date shown as the due date on the that any other insurer has a duty to bill. If the sum of the advance and audit defend. If no other insurer defends, we premiums paid for the policy period is will undertake to do so; but we will be greater than the earned premium, we will entitled to the insured's rights against all return the excess to the first Named those other insurers. Insured. I. Premiums 3. The first Named Insured must keep 1. The first Named Insured shown in the records of the information we need for Declarations: premium computation and send us copies at such times as we may request. p a. responsible for the payment of all premiums; and K. Transfer of Rights of Recovery Against Others to Us b. Will be the payee for any return premiums we pay. 1. Applicable to SECTION I - PROPERTY 2. The premium shown in the Declarations was Coverage: computed based on rates in effect at the time If any person or organization to or for the policy was issued. On each renewal, whom we make payment under this policy continuation or anniversary of the effective has rights to recover damages from date of this policy, we will compute the another, those rights are transferred to us to the extent of our payment. That person or organization must do everything necessary to sec u rP n it rinhts and must do nothing after Ic you may waive yol RIakMvwgo�oislan % party in writing: �Renews&APPRQ Br A-pAzp44 ». - Risk Management Sperialis[ 391-1003 0816 Includes copyrighted material of Insurance Services Office, Inc., with its permissic a. Prior to a loss to your Covered Property. b. After a loss to your Covered Property only if, at time of loss, that party is one of the following: (1) Someone insured by this insurance; (2) A business firm: (a) Owned or controlled by you; or (b) That owns or controls you; or (3) Your tenant. You may also accept the usual bills of lading or shipping receipts limiting the liability of carriers. This will not restrict your insurance. 2. Applicable to SECTION II - LIABILITY Coverage: If the insured has rights to recover all or part of any payment we have made under this Coverage Part, those rights are transferred to us. The insured must do nothing after loss to impair such rights. At our request, the insured will bring "suit" or transfer those rights to us and help us enforce them. The Ilk Hanover lusurance Group_ ODFD785344 5701644 We waive any right of recovery we may have against any person or organization with whom you have a written contract, permit or agreement to waive any rights of recovery against such person or organization because of payments we make for injury or damage arising out of your ongoing operations or "your work" done under a contract with that person or organization and included in the "products -completed operations hazard". This condition does not apply to Medical Expenses Coverage. L. Transfer of Your Rights and Duties Under This Policy Your rights and duties under this policy may not be transferred without our written consent except in the case of death of an individual Named Insured. If you die, your rights and duties will be transferred to your legal representative but only while that legal representative is acting within the scope of their duties as your legal representative. Until your legal representative is appointed, anyone with proper temporary custody of your property will have your rights and duties but only with respect to that property. 391.1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permisf _ Rink MsuganentDMston 0,, R�ewm&APPROVm RY: A-JU "44 ®' Ruk Management Specialist 75/9/2025 E(MM/DD/YYYY) �� CERTIFICATE OF LIABILITY INSURANCE 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 have ADDITIONAL INSURED provisions or 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 CONTACT NAME: Certificate Department Acrisure Partners West Coast Insurance Services, LLC PHONE FAX 1950 W. Corporate Way#1 A/C No EXt:408-387-5200 A/c,No):925-686-6118 Anaheim CA 92801 ADDRESS: westcerts@acrisure.com INSURER(S)AFFORDING COVERAGE NAIC# License#:6009644 INSURERA: Massachusetts Bay Insurance Company 22306 INSURED JAVAGON-01 INSURERB:The Hanover Insurance Company 22292 Java Connections, LLC dba Laptops Anytime 17304 Preston Rd Ste 800 INSURER C: Dallas TX 75252 INSURER D: INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER:1463993347 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 TYPE OF INSURANCE ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR I POLICY NUMBER MM/DD/YYYY MM/DDIYYYY A X COMMERCIAL GENERAL LIABILITY Y Y ODFD785344 12/15/2024 12/15/2025 EACH OCCURRENCE $2,000,000 CLAIMS-MADE OCCUR DAMAGE TO RENTED PREMISES Ea or $300,000 MED EXP(Any one person) $10,000 PERSONAL&ADV INJURY $2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $4,000,000 POLICY PRO LOC PRODUCTS-COMP/OPAGG $4,000,000 X JECT OTHER:El $ A AUTOMOBILE LIABILITY Y ODFD785344 12/15/2024 12/15/2025 COMBINED SINGLE LIMIT $2,000,000 Ea accident ANY AUTO BODILY INJURY(Per person) $ OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS ONLY AUTOS X HIRED X NON-OWNED PROPERTY DAMAGE $ AUTOS ONLY AUTOS ONLY Per accident A X UMBRELLA LIAB X OCCUR ODFD785344 12/15/2024 12/15/2025 EACH OCCURRENCE $5,000,000 EXCESS LIAB CLAIMS-MADE AGGREGATE $5,000,000 DED RETENTION$ $ WORKERS COMPENSATION PER OTH- AND EMPLOYERS'LIABILITY YIN STATUTE ER ANYPROPRIETOR/PARTNER/EXECUTIVE E.L.EACH ACCIDENT $ ❑ OFFICER/MEMBER EXCLUDED? NIA (Mandatory in NH) E.L.DISEASE-EA EMPLOYEE $ If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $ B Technology E&O LHF H446344 06 12/15/2024 12/15/2025 Per Claim/Aggregate: $1,000,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) The General Liability policy includes automatic additional insured status, primary and noncontributory and waiver of subrogation if required by written contract/agreement/permit.The Auto Liability policy includes automatic additional insured status if required by written contract/agreement/permit. RE:Project Numbers:A-2020-249AA&A-2020-249B. TU Tran Digitally signed by Tu Tran Nguyen Date5.06.04 Additional Insureds:City of Santa Ana,its City Council,officers,officials,employees,agents,and volunteers. Nguyen 09:1321-07'00' y Y 09:13:21-0T00' APPROVED By Tu Tran Nguyen at 9:12 am,Jun 04,2025 CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Santa Ana ACCORDANCE WITH THE POLICY PROVISIONS. Attention: Library Services, Dylan Dario 20 Civic Center Plaza M-42 AUTHORIZED REPRESENTATIVE Santa Ana, CA 92701 @ 1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25(2016/03) The ACORD name and logo are registered marks of ACORD CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DD/YYYY) 05/05/2025 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 have ADDITIONAL INSURED provisions or 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 CONTACT NAME, Automatic Data Processing Insurance Agency,Inc. Automatic Data Processing Insurance Agency,Inc. HONE Ext: 1-800-524-7024 FAX No): E-MAIL ADDRESS: 1 Adp Boulevard INSURER(S)AFFORDING COVERAGE NAIC# Roseland NJ 07068 INSURER A: Rated by Multiple Companies INSURED Java Connections LLC INSURER B INSURER C 6628 Windrock Rd INSURER D INSURER E Dallas TX 752525855 INSURER F: COVERAGES CERTIFICATE NUMBER: 4294468 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 TYPE OF INSURANCE ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR INSD WVD POLICY NUMBER MM/DD/YYYY MM/DD/YYYY COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ OCCUR DAMAGE TO S( RENTED CLAIMS-MADE PREMISES Ea occurrence) $ MED EXP(Any one person) $ PERSONAL&ADV INJURY $ GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ POLICY❑ PRO ❑ LOC PRODUCTS-COMP/OP AGG $ JECT OTHER: $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ Ea accident ANY AUTO BODILY INJURY(Per person) $ OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS ONLY AUTOS HIRED NON-OWNED PROPERTY DAMAGE $ AUTOS ONLY AUTOS ONLY (Per accident) UMBRELLA LIAB OCCUR EACH OCCURRENCE $ EXCESS LIAB CLAIMS-MADE AGGREGATE $ DED RETENTION$ $ WORKERS COMPENSATION PER OTH- AND EMPLOYERS'LIABILITY STATUTE ER Y/N ANY PROPRIETOR/PARTNER/EXECUTIVE E.L.EACH ACCIDENT $ 1,000,000 A OFFICER/MEMBER EXCLUDED? N/A Y 76WEGBD8CYM 03/15/2025 03/15/2026 (Mandatory in NH) E.L.DISEASE-EA EMPLOYEE $ 1,000,000 If yes,describe under 1,000,000 DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $ DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) This certificate has a blanket Waiver of Subrogation for the following state(s):CA,CT,PA,TX APPROVED By Tu Tran Nguyen at 9:12 am,Jun 04,20251J CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE City of Santa Ana THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. Attention:Library Services, Dylan Dario 20 Civic Center Plaza M-42 AUTHORIZED REPRESENTATIVE Santa Ana,CA 92701 l ©1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25(2016/03) The ACORD name and logo are registered marks of ACORD POLICY NUMBER:ODF D785344-06 Hanover Insurance Croup THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BUSINESSOWNERS LIABILITY SPECIAL BROADENING ENDORSEMENT This endorsement modifies insurance provided under the following: BUSINESSOWNERS COVERAGE FORM SUMMARY OF COVERAGES Limits Page 1. Additional Insured by Contract, Agreement or Permit Included 1 2. Additional Insured - Broad Form Vendors Included 2 3. Alienated Premises Included 3 4. Broad Form Property Damage - Borrowed Equipment, Customers Included 3 Goods and Use of Elevators 5. Incidental Malpractice (Employed Nurses, EMT's and Paramedics) Included 3 6. Personal and Advertising Injury - Broad Form Included 4 7. Product Recall Expense Included 4 Product Recall Expense Each Occurrence Limit $25,000 5 Occurrence Product Recall Expense Aggregate Limit $50,000 5 Aggregate Product Recall Deductible $500 5 8. Unintentional Failure to Disclose Hazards Included 6 9. Unintentional Failure to Notify Included 6 This endorsement amends coverages provided under the Businessowners Coverage Form through new coverages and broader coverage grants. This coverage is subject to the provisions applicable to the Businessowners Coverage Form, except as provided below. The following changes are made to SECTION II - (2) Premises you own, rent, lease or LIABILITY: occupy-, or 1. Additional Insured by Contract, Agreement or (3) Your maintenance, operation or use of Permit equipment leased to you. The following is added to SECTION II - b. The insurance afforded to such additional LIABILITY, C. Who Is An Insured: insured described above: Additional Insured by Contract, Agreement or (1) Only applies to the extent permitted by Permit law; and a. Any person or organization with whom you (2) Will not be broader than the insurance agreed in a written contract, written which you are required by the contract, agreement or permit to add such person or agreement or permit to provide for such organization as an additional insured on additional insured. your policy is an additional insured only with (3) Applies on a primary basis if that is respect to liability for "bodily injury", required by the written contract, written property damage", or "personal and agreement or permit. advertising injury" caused, in whole or in part, by your acts or omissions, or the acts (4) Will not be broader than coverage or omissions of those acting on your behalf, provided to any other insured. but only with respect to: (5) Does not apply if the "bodily injury", (1) "Your work" for the additional insured(s) "property damage" or "personal and designated in the contract, agreement or advertising injury"is otherwise excluded permit; from coverage under this Coverage Part, including any endorsements thereto. 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its permission. Page 1 of 6 c. This provision does not apply: The most we will pay on behalf of the (1) Unless the written contract or written additional insured for a covered claim is the agreement was executed or permit was lesser of the amount of insurance: issued prior to the "bodily injury", 1. Required by the contract, agreement or "property damage", or "personal injury permit described in Paragraph a.; or and advertising injury". 2. Available under the applicable Limits of (2) To any person or organization included Insurance shown in the Declarations. as an insured by another endorsement This endorsement shall not increase the issued by us and made part of this applicable Limits of Insurance shown in the Coverage Part. Declarations (3) To any lessor of equipment: e. All other insuring agreements, exclusions, (a) After the equipment lease expires; or and conditions of the policy apply. (b) If the "bodily injury", "property 2. Additional Insured-Broad Form Vendors damage", "personal and advertising The following is added to SECTION II - injury" arises out of sole negligence LIABILITY, C.Who Is An Insured: of the lessor. (4) To any: Additional Insured-Broad Form Vendors a. Any person or organization that is a vendor (a) Owners or other interests from whom with whom you agreed in a written contract land has been leased if the or written agreement to include as an "occurrence" takes place or the additional insured under this Coverage Part offense is committed after the lease is an insured, but only with respect to liability for the land expires; or for "bodily injury" or "property damage" (b) Managers or lessors of premises if: arising out of "your products" which are (i) The "occurrence" takes place or distributed or sold in the regular course of the offense is committed after the vendors business. you cease to be a tenant in that b. The insurance afforded to such vendor premises; or described above: (ii) The "bodily injury", "property (1) Only applies to the extent permitted by damage", "personal injury" or law; "advertising injury" arises out of (2) Will not be broader than the insurance structural alterations, new which you are required by the contract or construction or demolition agreement to provide for such vendor; operations performed by or on behalf of the manager or lessor. (3) Will not be broader than coverage 5 To "bodilyinjury", "property dams e" or provided to any other insured; and ( ) i ig 4 Does not apply if the "bodily injury", "personal and advertising injury" arising ( ) pp Y Y out of the rendering of or the failure to "property damage" or "personal and render any professional services. advertising injury" is otherwise excluded This exclusion applies even if the claims from coverage under this Coverage Part, against any insured allege negligence or including any endorsements thereto other wrongdoing in the supervision, c. With respect to insurance afforded to such hiring, employment, training or vendors, the following additional exclusions monitoring of others by that insured, if apply: the "occurrence" which caused the The insurance afforded to the vendor does "bodily injury" or "property damage" or not apply to: the offense which caused the "personal 1 "Bodilyinjury" or "property dama e" for and advertising injury involved the rendering of or failure to render any which thevendor is bliated to pay professional services by or for you. damages by reasons of the assumption of liability in a contract or agreement. This d. With respect to the insurance afforded to exclusion does not apply to liability for these additional insureds, the following is damages that the insured would have in added to SECTION II - LIABILITY, D. Liability the absence of the contract or and Medical Expense Limits of Insurance: agreement; (2) Any express warranty unauthorized by you; 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc.,with its permission. Page 2 of 6 Hanover Insurance Group. (3) Any physical or chemical change in the The most we will pay on behalf of the vendor product made intentionally by the for a covered claim is the lesser of the vendor; amount of insurance: (4) Repackaging, unless unpacked solely for 1. Required by the contract or agreement the purpose of inspection, described in Paragraph a.; or demonstration, testing, or the 2. Available under the applicable Limits of substitution of parts under instruction Insurance shown in the Declarations; from the manufacturer, and then repackaged in the original container; This endorsement shall not increase the (5) Any failure to make such inspection, applicable Limits of Insurance shown in the adjustments, tests or servicing as the Declarations. vendor has agreed to make or normally 3. Alienated Premises undertakes to make in the usual course SECTION II - LIABILITY, B. Exclusions, 1. of business in connection with the sale Applicable To Business Liability Coverage k. of the product; Damage to Property, paragraph (2) is replaced by (6) Demonstration, installation, servicing or the following: repair operations, except such (2) Premises you sell, give away or abandon, if operations performed at the vendor's the "property damage" arises out of any part premises in connection with the sale of of those premises and occurred from hazards the product; that were known by you, or should have (7) Products which, after distribution or sale reasonably been known by you, at the time by you, have been labeled or relabeled the property was transferred or abandoned. or used as a container, part or 4. Broad Form Property Damage - Borrowed ingredient of any other thing or Equipment, Customers Goods, Use of Elevators substance by or for the vendor; a. The following is added to SECTION II - (8) "Bodily injury or property damage LIABILITY, B. Exclusions, 1. Applicable To arising out of the sole negligence of the Business Liability Coverage, k. Damage to vendor for its own acts or omissions or Property: those of its employees or anyone else Paragraph (4) does not apply to "property acting on its behalf. However, this exclusion does not apply to: damage" to borrowed equipment while at a jobsite and not being used to perform (a) The exceptions contained within the operations. exclusion in subparagraphs (4) or (6)above; or Para 3 (4) and (6) do not apply to Paragraph ( )� "property damage" to "customers goods" (b) Such inspections, adjustments, tests while on your premises nor to the use of or servicing as the vendor has elevators. agreed to make or normally b. For the purposes of this endorsement, the undertakes to make in the usual following definition is added to SECTION II - course of business, in connection g with the distribution or sale of the LIABILITY, F. Liability and Medical Expenses products. Definitions: (9) "Bodily injury" or "property damage" 1. "Customers ustomers roods meur ans property premises for the arising out of an occurrence that took place before you have signed the purpose of being: contract or agreement with the vendor. a. Worked on; or (10)To any person or organization included b. Used in your manufacturing process. as an insured by another endorsement c. The insurance afforded under this provision is issued by us and made part of this excess over any other valid and collectible Coverage Part. property insurance (including deductible) (11)Any insured person or organization, available to the insured whether primary, from whom you have acquired such excess, contingent or on any other basis. products, or any ingredient, part or container, entering into, accompanying 5. Incidental Malpractice - Employed Nurses, EMT's or containing such products. and Paramedics d. With respect to the insurance afforded to SECTION II - LIABILITY, C. Who Is An Insured , these vendors, the following is added to paragraph 2.a.(1)(d) does not apply to a nurse, SECTION II - LIABILITY, D. Liability and Medical Expense Limits of Insurance: 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its permission. Page 3 of 6 emergency medical technician or paramedic o. Recall of Products, Work or Impaired employed by you if you are not engaged in the Property is replaced by the following: business or occupation of providing medical, o. Recall of Products, Work or Impaired paramedical, surgical, dental, x-ray or nursing Property services. 6. Personal Injury-Broad Form Damages claimed for any loss, cost or expense incurred by you or others for a. SECTION II - LIABILITY, B. Exclusions, 2. the loss of use, withdrawal, recall, Additional Exclusions Applicable only to inspection, repair, replacement, "Personal and Advertising Injury", paragraph adjustment, removal or disposal of: e. is deleted. (1) "Your product"; b. SECTION II - LIABILITY, F. Liability and Medical Expenses Definitions, 14. "Personal (2) "Your work"; or and advertising injury", paragraph b. is (3) "Impaired property"; replaced by the following: If such product, work or property is b. Malicious prosecution or abuse of withdrawn or recalled from the market or process. from use by any person or organization c. The following is added to SECTION II - because of a known or suspected defect, LIABILITY, F. Liability and Medical Expenses deficiency, inadequacy or dangerous Definitions, Definition 14. "Personal and condition in it, but this exclusion does advertising injury": not appy to that youul "product incurfo recall r he "covered expenses"all" of "Discrimination" (unless insurance thereof is "your product". prohibited by law) that results in injury to the However, the exception to the exclusion feelings or reputation of a natural person, does not apply to product recall but only if such "discrimination" is: expenses resulting from: (1) Not done intentionally by or at the (4) Failure of any products to accomplish direction of: their intended purpose; (a) The insured; (5) Breach of warranties of fitness, (b) Any officer of the corporation, quality, durability or performance; director, stockholder, partner or (6) Loss of customer approval, or any member of the insured; and cost incurred to regain customer (2) Not directly or indirectly related to an approval; "employee", not to the employment, (7) Redistribution or replacement of prospective employment or termination "your product" which has been of any person or persons by an insured. recalled by like products or d. For purposes of this endorsement, the substitutes; following definition is added to SECTION II - (8) Caprice or whim of the insured; LIABILITY, F. Liability and Medical Expenses Definitions: (9) A condition likely to cause loss of 1. "Discrimination" means the unlawful which any insured knew or had treatment of individuals based upon race, reason to know at the inception of color, ethnic origin, gender, religion, age, this insurance; or sexual preference. "Discrimination" (10)Asbestos, including loss, damage or does not include the unlawful treatment clean up resulting from asbestos or of individuals based upon developmental, asbestos containing materials; or physical, cognitive, mental, sensory or (11)Recall of "your products" that have emotional impairment or any no known or suspected defect solely combination of these. because a known or suspected e. This coverage does not apply if liability defect in another of "your products" coverage for "personal and advertising has been found. injury" is excluded either by the provisions of b. The following is added to SECTION II - the Coverage Form or any endorsement LIABILITY, C. Who Is An Insured, paragraph thereto. 3.b.: 7. Product Recall Expense "Product recall expense" arising out of any a. SECTION II - LIABILITY, B. Exclusions, 1. withdrawal or recall that occurred before you Applicable To Business Liability Coverage, acquired or formed the organization. 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc.,with its permission. Page 4 of 6 Hanover Insurance Group. c. The following is added to SECTION II - of a deductible amount, you shall LIABILITY, D. Liability and Medical Expenses promptly reimburse us for the part of the Limits of Insurance: deductible amount we paid. Product Recall Expense Limits of Insurance The Product Recall Expense Limits of a. The Limits of Insurance shown in the Insurance apply separately to each SUMMARY OF COVERAGES of this consecutive annual period and to any endorsement and the rules stated below remaining period of less than 12 months, fix the most that we will pay under this starting with the beginning of the policy Product Recall Expense Coverage period shown in the Declarations, unless the regardless of the number of: policy period is extended after issuance for an additional period of less than 12 months. (1) Insureds; In that case, the additional period will be (2) "Covered Recalls" initiated; or deemed part of the last preceding period for (3) Number of "your products" the purposes of determining the Limits of withdrawn. Insurance. b. The Product Recall Expense Aggregate d. The following is added to SECTION II - Limit is the most that we will reimburse LIABILITY, E. Liability and Medical Expense you for the sum of all "product recall General Conditions, 2. Duties in the Event of expenses" incurred for all "covered Occurrence, Offense, Claim or Suit: recalls" initiated during the policy period. You must see to it that the following are c. The Product Recall Each Occurrence done in the event of an actual or anticipated Limit is the most we will pay in 11 covered recall that may result in product connection with any one defect or recall expense": deficiency. (1) orlve us notificationpthattice°yourf any discovery product" must d. All product recall expenses in be withdrawn or recalled. Include a connection with substantially the same description of "your product" and the general harmful condition will be deemed to arise out of the same defect reason for the withdrawal or recall; or deficiency and considered one (2) Cease any further release, shipment, "occurrence". consignment or any other method of e. Any amount reimbursed for "product distribution of like or similar products until it has been determined that all recall expenses connection with any such products are free from defects that one occurrence' will reduce the amount could be a cause of loss under this of the Product Recall Expense Aggregate insurance. Limit available for reimbursement of "product recall expenses" in connection e. For the purposs of this endorsement, the with any other defect or deficiency. following definitions are added to SECTION f. If the Product Recall Expense Aggregate II - LIABILITY, F. Liability and Medical Limit has been reduced by Expenses Definitions: reimbursement of "product recall 1. "Covered recall" means a recall made expenses" to an amount that is less than necessary because you or a government the Product Recall Expense Each body has determined that a known or Occurrence Limit, the remaining suspected defect, deficiency, Aggregate Limit is the most that will be inadequacy, or dangerous condition in available for reimbursement of "product "your product" has resulted or will result recall expenses" in connection with any in "bodily injury" or "property damage". other defect or deficiency. 2. "Product recall expense(s)" means: g. Product Recall Deductible a. Necessary and reasonable expenses We will only pay for the amount of for: "product recall expenses" which are in (1) Communications, including radio excess of the $500 Product Recall or television announcements or Deductible. The Product Recall printed advertisements including Deductible applies separately to each stationary, envelopes and "covered recall". The limits of Insurance postage; will not be reduced by the amount of this deductible. We may, or will if required by law, pay all or any part of any deductible amount, if applicable. Upon notice of our payment 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc., with its permission. Page 5 of 6 (2) Shipping the recalled products (1) If the "products - completed operations from any purchaser, distributor or hazard" is excluded from coverage under user to the place or places this Coverage Part including any designated by you; endorsement thereto; or (3) Remuneration paid to your (2) To "product recall expense" arising out of regular "employees" for any of "your products" that are otherwise necessary overtime; excluded from coverage under this (4) Hiring additional persons, other Coverage Part including endorsements than your regular "employees"; thereto. (5) Expenses incurred by"employees" 8. Unintentional Failure to Disclose Hazards including transportation and The following is added to SECTION II - accommodations; LIABILITY, E. Liability and Medical Expenses (6) Expenses to rent additional General Conditions: warehouse or storage space; Representations (7) Disposal of "your product", but We will not disclaim coverage under this only to the extent that specific Coverage Part if you fail to disclose all hazards methods of destruction other than existing as of the inception date of the policy those employed for trash provided such failure is not intentional. discarding or disposal are g, Unintentional Failure to Notify required to avoid "bodily injury" The following is added to SECTION II or property damage as a result g - of such disposal, LIABILITY, E. Liability and Medical Expenses you incur exclusive) for the purpose General Conditions, 2. Duties in the Event of Y Y P P Occurrence Offense, Claim or Suit: of recalling "your product"; and ' Your rights afforded under this Coverage Part b. Your lost profit resulting from such shall not be prejudiced if you fail to give us "covered recall". notice of an "occurrence", offense, claim or "suit", f. This Product Recall Expense Coverage does solely due to your reasonable and documented not apply: belief that the "bodily injury", "property damage" or "personal and advertising Injury" Is not covered under this Policy. ALL OTHER TERMS, CONDITIONS,AND EXCLUSIONS REMAIN UNCHANGED. 391-1006 08 16 Includes copyrighted materials of Insurance Services Offices, Inc.,with its permission. Page 6 of 6 POLICY NUMBER: ODF D785344-06 ri,,, Hanover ]nsurmice Croup BUSINESSOWNERS COVERAGE FORM Table of Contents SECTION I -PROPERTY Page Number A. Coverage................................................................................................................................................. 4 1. Covered Property.............................................................................................................................. 4 2. Property Not Covered....................................................................................................................... 5 3. Covered Causes of Loss.................................................................................................................. 6 4. Limitations......................................................................................................................................... 6 5. Additional Coverages........................................................................................................................ 7 BusinessIncome............................................................................................................................ 10 Business Income from Dependent Properties............................................................................ 17 CivilAuthority................................................................................................................................. 13 Collapse.......................................................................................................................................... 8 Commercial Tools and Small Equipment.................................................................................... 27 ComputerEquipment..................................................................................................................... 20 Computer and Funds Transfer Fraud........................................................................................... 34 DebrisRemoval.............................................................................................................................. 7 DeferredPayments........................................................................................................................ 31 ElectronicVandalism..................................................................................................................... 31 Employee Theft including ERISA Compliance............................................................................. 18 EquipmentBreakdown................................................................................................................... 22 ExtraExpense................................................................................................................................. 12 FineArts.......................................................................................................................................... 28 Fire Department Service Charge.................................................................................................. 8 Fire Protection Equipment Recharge........................................................................................... 18 Forgeryor Alteration..................................................................................................................... 13 GlassExpenses.............................................................................................................................. 18 Installation...................................................................................................................................... 27 Interruption of Computer Operations........................................................................................... 32 Leasehold Interest (Tenants only)................................................................................................ 29 Limited Coverage for Fungi, Wet Rot, or Dry Rot....................................................................... 33 Moneyand Securities.................................................................................................................... 21 Money Orders and Counterfeit Money........................................................................................ 13 Ordinanceor Law.......................................................................................................................... 14 Preservation of Property............................................................................................................... 8 Pollutant Clean-Up and Removal................................................................................................. 12 Rewards-Arson, Theft and Vandalism........................................................................................ 20 Sales Representative Samples..................................................................................................... 29 Tenant Building Insurance-When Your Lease Requires You to Provide Insurance............... 34 Tenant Business Personal Property Insurance - When Your Lease Requires You to 34 ProvideInsurance.......................................................................................................................... Tenant Signs (Tenants Only)......................................................................................................... 22 Theft of Telephonic Services......................................................................................................... 34 Unauthorized Business Credit Card Use..................................................................................... 30 UtilityServices................................................................................................................................ 30 Water Damage, Other Liquids, Powder or Molten Material Damage....................................... 10 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 1 of 81 6. Coverage Extensions........................................................................................................................ 35 AccountsReceivable...................................................................................................................... 37 Business Personal Property Temporarily in Portable Storage Units........................................ 39 Appurtenant Structures.................................................................................................................. 38 Inventory and Loss Appraisal....................................................................................................... 39 Key Replacement and Lock Repair.............................................................................................. 38 Newly Acquired or Constructed Property.................................................................................... 35 OutdoorProperty............................................................................................................................ 36 PavedSurfaces............................................................................................................................... 39 PersonalEffects.............................................................................................................................. 36 Personal Property Off Premises................................................................................................... 36 Personal Property In Transit......................................................................................................... 38 Valuable Papers and Records (Other Than Electronic Data).................................................... 36 UndergroundPipes........................................................................................................................ 40 B. Exclusions............................................................................................................................................... 40 C. Limits of Insurance................................................................................................................................. 45 D. Deductibles.............................................................................................................................................. 46 E. Property Loss Conditions....................................................................................................................... 47 1. Abandonment.................................................................................................................................... 47 2. Appraisal............................................................................................................................................ 47 3. Duties in the Event of Loss or Damage.......................................................................................... 47 4. Legal Action Against Us................................................................................................................... 48 5. Loss Payment.................................................................................................................................... 48 6. Recovered Property.......................................................................................................................... 50 7. Vacancy.............................................................................................................................................. 50 8. Pair, Sets or Parts............................................................................................................................. 51 F. Property General Conditions.................................................................................................................. 51 1. Control of Property........................................................................................................................... 51 2. Mortgageholders............................................................................................................................... 51 3. No Benefit to Bailee.......................................................................................................................... 52 4. Policy Period, Coverage Territory.................................................................................................. 52 5. Protective Devices............................................................................................................................ 52 6. Increase in Hazard............................................................................................................................ 52 G. Property Definitions................................................................................................................................ 52 SECTION II - LIABILITY A. Coverages............................................................................................................................................... 59 1. Business Liability.............................................................................................................................. 59 2. Medical Expenses............................................................................................................................. 61 B. Exclusions............................................................................................................................................... 62 1. Applicable to Business Liability Coverage..................................................................................... 62 2. Additional Exclusions Applicable only to Personal and Advertising Injury................................. 68 3. Additional Exclusions Applicable to Medical Expenses Coverage Only...................................... 69 4.Additional Exclusions Applicable to Both Business Liability Coverage and Medical Expenses 70 Coverage-Nuclear Energy Liability Exclusion.............................................................................. C. Who is an Insured.................................................................................................................................. 71 D. Liability and Medical Expenses Limits of Insurance........................................................................... 72 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 2 of 81 Hanover Insurance Group.- custody of the insured at the a. An individual, you and your spouse premises where such are insureds, but only with respect to equipment or device is located the conduct of a business of which consists of or contains more you are the sole owner. than 25 grams of plutonium or b. A partnership or joint venture, you uranium 233 or any are an insured. Your members, your combination thereof, or more partners and their spouses are also than 250 grams of uranium insureds, but only with respect to the 235; conduct of your business. (iv) Any structure, basin, c. A limited liability company, you are excavation, premises or place an insured. Your members are also prepared or used for the insureds, but only with respect to the storage or disposal of 'waste'; conduct of your business. Your and includes the site on which any managers are insureds, but only with of the foregoing is located, all respect to their duties as your operations conducted on such site managers. and all premises used for such d. An organization other than a operations; partnership, joint venture or limited (d) "Nuclear material" means "source liability company, you are an insured. material", "special nuclear Your "executive officers" and material" or "by-product material"; directors are insureds, but only with (e) "Nuclear reactor" means any respect to their duties as your apparatus designed or used to officers or directors. Your sustain nuclear fission in a stockholders are also insureds, but self-supporting chain reaction or only with respect to their liability as to contain a critical mass of stockholders. fissionable material; e. A trust, you are an insured. Your (f) "Property damage" includes all trustees are also insureds, but only forms of radioactive contamination with respect to their duties as of property. trustees. (g) "Source material" has the 2. Each of the following is also an insured: meaning given it in the Atomic a. Your "volunteer workers" only while Energy Act of 1954 or in any law performing duties related to the amendatory thereof; conduct of your business, or your (h) "Special nuclear material" has the "employees", other than either your meaning given it in the Atomic "executive officers" (if you are an Energy Act of 1954 or in any law organization other than a amendatory thereof; partnership, joint venture or limited liability company) or your managers (i) Spent fuel means any fuel (if you are a limited liability element or fuel component, solid company), but only for acts within the or liquid, which has been used or scope of their employment by you or exposed to radiation in a nuclear while performing duties related to the reactor"; conduct of your business. However, Q) "Waste" means any waste none of these "employees" or material: "volunteer workers" are insureds for: (i) Containing "by-product (1) "Bodily injury" or "personal and material" other than the advertising Injury": tailings or wastes produced by (a) To you, to your partners or the extraction or concentration members (if you are a of uranium or thorium from partnership or joint venture), any ore processed primarily to your members (if you are a for its source material' limited liability company), or content; and to a co-"employee" while in (i i) Resulting from the operation the course of his or her by any person or organization employment or performing of any "nuclear facility" duties related to the conduct included under paragraphs (i) of your business, or to your and (ii) of the definition of other "volunteer workers" "nuclear facility". while performing duties C. Who Is An Insured related to the conduct of your business ; 1. If you are designated in the Declarations (b) To the spouse, child, parent, as: brother or sister of that co- 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 71 of 81 "employee" as a consequence (2) "Personal and advertising injury" of paragraph (1) (a) above; arising out of an offense (c) For which there is any committed before you acquired obligation to share damages or formed the organization. with or repay someone else No person or organization is an insured with who must pay damages respect to the conduct of any current or past because of the injury partnership, joint venture or limited liability described in paragraphs (1)(a) company that is not shown as a Named or (1)(b); or Insured in the Declarations. (d) Arising out of his or her D. Liability and Medical Expenses Limits of providing or failing to provide Insurance professional services. 1. The Limits of Insurance under SECTION (2) "Property damage" to property: II - LIABILITY shown in the Declarations (a) Owned, occupied or used by; and the rules below fix the most we will or pay regardless of the number of: (b) Rented to, in the care, custody a. Insureds; or control of, or over which b. Claims made or "suits" brought; or physical control is being c. Persons or organizations making exercised for any purpose by; claims or bringing "suits". you, any of your "employees", 2. Subject to the Aggregate Limit identified "volunteer workers", any partner in paragraph 5. below, the most we will or member (if you are a pay for the sum of all damages because partnership or joint venture), or of all: any member (if you are a limited liability company). a. "Bodily injury", "property damage" b. Any person (other than your and medical expenses arising out of employee or volunteer worker ) or any one "occurrence"; and any organization while acting as your b. "Personal and advertising injury" real estate manager. sustained by any one person or c. Any person or organization having organization; proper temporary custody of your is the Liability And Medical Expenses property if you die, but only: Limit shown in the Declarations. (1) With respect to liability arising out 3. Subject to the Liability And Medical of the maintenance or use of that Expenses Limit, the most we will pay for property; and all medical expenses because of "bodily (2) Until your legal representative has injury" sustained by any one person is been appointed. the Medical Expenses Limit shown in the Declarations. d. Your legal representative if you die, 4. The Damage to Premises Rented to You but only with respect to duties as Limit shown in the Declarations is the such. That representative will have all most we will pay for damages because your rights and duties under this of "property damage" to any one policy. premises while rented to you, or 3. Any organization you newly acquire or temporarily occupied by you with form, acquire or form, other than a permission of the owner. partnership, joint venture or limited 5. Aggregate Limits liability company, and over which you maintain ownership or majority interest, a. The most we will pay for: will qualify as a Named Insured if there is (1) All "bodily injury" and "property no other similar insurance available to damage" that is included in the that organization. However: "products-completed operations a. Coverage under this provision is hazard" is twice the Liability And afforded only until the 90th day after Medical Expenses Limit. you acquire or form the organization (2) Al 1: or the end of the policy period, whichever is earlier; and (a) "Bodily injury" and "property b. Business LiabilityCoverage does not damage" except damages g because of "bodily injury" and apply to: (1) "Bodily injury" or "property damage" that occurred before you acquired or formed the organization; and 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 72 of 81 Hanover Insurance Group.- "property damage" included You must see to it that we receive in the "products-completed written notice of the claim or "suit" operations hazard"; as soon as practicable. (b) Plus medical expenses; c. You and any other involved insured (c) Plus all "personal and must: advertising injury" caused by (1) Immediately send us copies of offenses committed; any demands, notices, is twice the Liability And Medical summonses or legal papers Expenses Limit. received in connection with the claim or "suit"; b. The Aggregate Limits of Insurance (2) Authorize us to obtain records apply separately to each of your and other information; "locations"owned by or rented to you. "Location" means premises involving (3) Cooperate with us in the the same or connecting lots, or investigation, or settlement of premises whose connection is the claim or defense against the interrupted only by a street, roadway, "suit"; and waterway or right-of-way of a railroad. (4) Assist us, upon our request, in 6. The Limits of Insurance of SECTION II - the enforcement of any right LIABILITY apply separately to each against any person or consecutive annual period and to any organization that may be liable remaining period of less than 12 months, to the insured because of injury starting with the beginning of the policy or damage to which this period shown in the Declarations, unless insurance may also apply. the policy period is extended after d. No insured will, except at that issuance for an additional period of less insured's own cost, voluntarily make than 12 months. In that case, the a payment, assume any obligation, additional period will be deemed part of or incur any expense, other than for the last preceding period for purposes of first aid, without our consent. determining the Limits of Insurance. E. Liability and Medical Expenses General 3. Legal Action Against Us Conditions No person or organization has a right 1. Bankruptcy under this Coverage Part: Bankruptcy or insolvent of the insured or a. To join us as a party or otherwise P Y Y bring us into a 'suit" asking for of the insured's estate will not relieve us damages from an insured; or of our obligations under this Coverage Part. b. To sue us on this policy unless all of its terms have been fully complied 2. Duties in the Event of Occurrence, with. Offense, Claim or Suit A person or organization may sue us to a. You must see to it that we are notified recover on an agreed settlement or on a as soon as practicable of an final judgment against an insured; but "occurrence or an offense which may we will not be liable for damages that result in a claim. To the extent are not payable under the terms of this possible, notice should include: policy or that are in excess of the (1) How, when and where the applicable Limit of Insurance. An agreed "occurrence" or offense took settlement means a settlement and place; release of liability signed by us, the (2) The names and addresses of any insured and the claimant or the injured persons and witnesses; claimant's legal representative. and 4. Separation of Insureds (3) The nature and location of any Except with respect to the Limits of injury or damage arising out of the Insurance under SECTION II - 11occurrence" or offense. LIABILITY, and any rights or duties b. If a claim is made or "suit" is brought specifically assigned in this Coverage against any insured, you must: Part to the first Named Insured, this insurance applies: (1) Immediately record the specifics a. As if each Named Insured were the of the claim or suit and the date received; and only Named Insured; and (2) Notify us as soon as practicable. b. Separately to each insured against whom claim is made or "suit" is brought. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 73 of 81 F. Liability and Medical Expenses Definitions provided the insured's responsibility 1. "Advertisement" means a notice that is to pay damages is determined in a broadcast or published to the general "suit" on the merits in the territory described in paragraph a. above or public or specific market segments about your goods, products or services for the in a settlement we agree to. purpose of attracting customers or 5. "Employee" includes a "leased worker". supporters. For the purposes of this "Employee" does not include a definition: "temporary worker". a. Notices that are published include 6. "Executive officer" means a person material placed on the Internet or on holding any of the officer positions similar electronic means of created by your charter, constitution, communication; and by-laws or any other similar governing b. Regarding websites, only that part of a document. website that is about your goods, 7. "Hostile fire" means one which becomes products or services for the purposes uncontrollable or breaks out from where of attracting customers or supporters it was intended to be. is considered an advertisement. 8. "Impaired property" means tangible 2. "Auto" means: property, other than "your product" or a. A land motor vehicle, trailer or "your work", that cannot be used or is semitrailer designed for travel on less useful because: public roads, including any attached a. It incorporates "your product" or machinery or equipment; or "your work" that is known or thought b. Any other land vehicle that is subject to be defective, deficient, inadequate to a compulsory or financial or dangerous; or responsibility law or other motor b. You have failed to fulfill the terms of vehicle insurance law in the state a contract or agreement; where it is licensed or principally if such property can be restored to use garaged. by the repair, replacement, adjustment However, "auto" does not include "mobile or removal of "your product" or "your equipment". work", or your fulfilling the terms of the 3. "Bodily injury" means bodily injury, contract or agreement. sickness or disease sustained by a 9. "Insured contract" means: person, including death resulting from any o a. A contract for a lease of premises. f these at any time. "Bodily injury" includes mental anguish or other mental However, that portion injury resulting from "bodily injury". for a lease of premises that of the contract indemnifies any person or 4. "Coverage territory" means: organization for damage to premises a. The United States of America while rented to you or temporarily (including its territories and occupied by you with permission of possessions), Puerto Rico and the owner is not an "insured Canada; contract"; b. International waters or airspace, but b. A sidetrack agreement; only if the injury or damage occurs in c. Any easement or license agreement, the course of travel or transportation except in connection with between any places included in construction or demolition Paragraph a. above; or operations on or within 50 feet of a c. All other parts of the world if the injury railroad; or damage arises out of: d. An obligation, as required by (1) Goods or products made or sold ordinance, to indemnify a by you in the territory described in municipality, except in connection paragraph a. above; with work for a municipality; (2) The activities of a person whose e. An elevator maintenance agreement; home is in the territory described f. That part of any other contract or in paragraph a. above, but is away agreement pertaining to your for a short time on your business; business (including an or indemnification of a municipality in (3) "Personal and advertising injury" connection with work performed offenses that take place through for a municipality) under which the Internet or similar electronic you assume the tort liability of another party to pay for bodily means of communication; injury" or "property damage" to a third person or organization. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 74 of 81 Hanover Insurance Group.- Tort liability means a liability that a. Bulldozers, farm machinery, forklifts would be imposed by law in the and other vehicles designed for use absence of any contract or agreement. principally off public roads; Paragraph f. does not include that part b. Vehicles maintained for use solely of any contract or agreement: on or next to premises you own or (1) That indemnifies a railroad for rent; "bodily injury" or "property c. Vehicles that travel on crawler damage" arising out of treads; construction or demolition operations, within 50 feet of any d. Vehicles, whether self-propelled or railroad property and affecting any not, on which are permanently railroad bridge or trestle, tracks, mounted: road beds, tunnel, underpass or (1) Power cranes, shovels, loaders, crossing; diggers or drills; or (2) That indemnifies an architect, (2) Road construction or resurfacing engineer or surveyor for injury or equipment such as graders, damage arising out of: scrapers or rollers; (a) Preparing, approving or failing e. Vehicles not described in paragraphs to prepare or approve maps, a., b., c. or d. above that are not drawings, opinions, reports, self-propelled and are maintained surveys, change orders, primarily to provide mobility to designs or specifications; or permanently attached equipment of (b) Giving directions or the following types: instructions, or failing to give (1) Air compressors, pumps and them, if that is the primary generators, including spraying, cause of the injury or damage; welding, building cleaning, or geophysical exploration, lighting (3) Under which the insured, if an and well servicing equipment; or architect, engineer or surveyor, (2) Cherry pickers and similar assumes liability for an injury or devices used to raise or lower damage arising out of the workers; insured's rendering or failure to f. Vehicles not described in paragraphs render professional services, including those listed in paragraph a., b., c. or d. above maintained i n above and supervisory, primarily for purposes other than the inspection or engineering transportation of persons or cargo. services. However, self-propelled vehicles with 10. "Leased worker" means a person leased the following types of permanently to you by a labor leasing firm under an attached equipment are not "mobile agreement between you and the labor equipment but will be considered leasing firm, to perform duties related to 11 autos": the conduct of your business. "Leased (1) Equipment designed primarily worker" does not include a "temporary for: worker". (a) Snow removal; 11. "Loading or unloading" means the (b) Road maintenance, but not handling of property: construction or resurfacing; a. After it is moved from the place where or it is accepted for movement into or (c) Street cleaning; onto an aircraft, watercraft or "auto"; b. While it is in or on an aircraft, (2) Cherry pickers and similar watercraft or "auto"; or devices mounted on automobile or truck chassis and used to c. While it is being moved from an raise or lower workers; and aircraft, watercraft or "auto" to the (3) Air compressors, pumps and place where it is finally delivered; generators, including spraying, but "loading or unloading" does not welding, building cleaning, include the movement of property by geophysical exploration, lighting means of a mechanical device, other than and well servicing equipment. a hand truck, that is not attached to the However, "mobile equipment" does aircraft, watercraft or "auto". not include any land vehicles that 12. "Mobile equipment" means any of the are subI�eCt to a following types of land vehicles, compulsory br tlnancial responsibility including any attached machinery or equipment: 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 75 of 81 law or other motor vehicle insurance (b) When all of the work to be law in the state where they are done at the job site has licensed or principally garaged. Land been completed if your vehicles subject to a compulsory or contract calls for work at financial responsibility law or other more than one job site. motor vehicle insurance law are (c) When that part of the work considered "autos". done at the job site has 13. "Occurrence" means an accident, been put to its intended use including continuous or repeated by any other person or exposure to substantially the same organization other than general harmful conditions. another contractor or 14. "Personal and advertising injury" means subcontractor working on injury, including consequential "bodily the same project. injury", arising out of one or more of the Work that may need service, following offenses: maintenance, correction, repair a. False arrest, detention or or replacement, but which is imprisonment; otherwise complete, will be treated as completed. b. Malicious prosecution; The "bodily injury" or "property c. The wrongful eviction from, wrongful damage" must occur away from entry into, or invasion of the right of premises you own or rent, private occupancy of a room, dwelling unless your business includes or premises that a person occupies, the selling, handling or committed by or on behalf of its distribution of "your product" for owner, landlord or lessor; consumption on premises you d. Oral or written publication, in any own or rent. manner, of material that slanders or b. Does not include "bodily injury" or libels a person or organization or "property damage" arising out of: disparages a person's or organization's goods, products or (1) The transportation of property, services; unless the injury or damage arises out of a condition in or on e. Oral or written publication, in any a vehicle not owned or operated manner, of material that violates a by you, and that condition was person's right of privacy; created by the "loading or f. The use of another's advertising idea unloading" of that vehicle by any in your "advertisement"; or insured; or g. Infringing upon another's copyright, (2) The existence of tools, trade dress or slogan in your uninstalled equipment or "advertisement". abandoned or unused materials. 15. "Pollutants" mean any solid, liquid, 17. "Property damage" means: gaseous or thermal irritant or a. Physical injury to tangible property, contaminant, including smoke, vapor, including all resulting loss of use of soot, fumes, acids, alkalis, chemicals and that property. All such loss of use waste. Waste includes materials to be shall be deemed to occur at the time recycled, reconditioned or reclaimed. of the physical injury that caused it; 16. "Products - completed operations hazard": or a. Includes all "bodily injury" and b. Loss of use of tangible property that "property damage" occurring away is not physically injured. All such from premises you own or rent and loss of use shall be deemed to arising out of "your product" or "your occur at the time of the work" except: "occurrence" that caused it. (1) Products that are still in your For the purposes of this insurance, physical possession; or electronic data is not tangible property. (2) Work that has not yet been As used in this definition, electronic completed or abandoned. data means information, facts or However, "your work" will be programs stored as, created or used on, deemed completed at the earliest or transmitted to or from computer of the following times: software, including systems and (a) When all of the work called for applications software, hard or floppy disks, CD-ROMs, tapes, drives, cells, in your contract has been data processing devices or any other completed. media which are used with electronically controlled equipment. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 76 of 81 Hanover Insurance Group.- 18. "Suit" means a civil proceeding in which (2) The providing of or failure to damages because of "bodily injury", provide warnings or instructions. "property damage", "personal and c. Does not include vending machines advertising injury" to which this insurance or other property rented to or located applies are alleged. "Suit" includes: for the use of others but not sold. a. An arbitration proceeding in which 23. "Your work": such damages are claimed and to which the insured must submit or a. Means: does submit with our consent; or (1) Work or operations performed by b. Any other alternative dispute you or on your behalf; and resolution proceeding in which such (2) Materials, parts or equipment damages are claimed and to which furnished in connection with such the insured submits with our consent. work or operations. 19. "Temporary worker" means a person who b. Includes: is furnished to you to substitute for a permanent "employee" on leave or to (1) Warranties representations time meet seasonal or short-term workload made at any tme with respect to conditions. the fitness, quality, durability, performance or use of "your 20. "Unmanned aircraft' means an aircraft work"; and that is not: (2) The providing of or failure to a. Designed; provide warnings or instructions. b. Manufactured; or SECTION III - COMMON POLICY CONDITIONS c. Modified after manufacture; (APPLICABLE TO SECTION I - PROPERTY AND to be controlled directly by a person from SECTION II - LIABILITY) within or on the aircraft. A. Cancellation 21. "Volunteer worker" means a person who 1. The first Named Insured shown in the is not your "employee", and who donates Declarations may cancel this policy by his or her work and acts at the direction mailing or delivering to us advance of and within the scope of duties written notice of cancellation. determined by you, and is not paid a fee, 2. We may cancel this policy by mailing or salary or other compensation by you or delivering to the first Named Insured anyone else for their work performed for written notice of cancellation at least: you. a. 5 days before the effective date of 22. "Your product': cancellation if any one of the a. Means: following conditions exists at any (1) Any goods or products, other than building that is Covered Property in this policy: real property, manufactured, sold, handled, distributed or disposed (1) The building has been vacant or of by: unoccupied 60 or more (a) You; consecutive days. This does not apply to: (b) Others trading under your (a) Seasonal unoccupancy; or name; or (c) A person or organization (b) Buildings n the course of whose business or assets you construction,, renovation or addition. have acquired; and Buildings with 65% or more of (2) Containers (other than vehicles), the rental units or floor area materials, parts or equipment vacant or unoccupied are furnished in connection with such considered unoccupied under goods or products. this provision. b. Includes: (2) After damage by a covered (1) Warranties or representations cause of loss, permanent repairs made at any time with respect to to the building: the fitness, quality, durability, (a) Have not started, and performance or use of "your product'; and (b) Have not been contracted for, within 30 days of initial payment of loss. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 77 of 81 (3) The building has: amended or waived only by endorsement (a) An outstanding order to issued by us and made a part of this policy. vacate; C. Concealment, Misrepresentation or Fraud (b) An outstanding demolition This policy is void in any case of fraud by order; or you as it relates to this policy at any time. It (c) Been declared unsafe by is also void if you or any other insured, at governmental authority. any time, intentionally conceals or (4) Fixed and salvageable items have misrepresents a material fact concerning: been or are being removed from 1. This policy; the building and are not being 2. The Covered Property; replaced. This does not apply to 3. Your interest in the Covered Property; such removal that is necessary or or incidental to any renovation or remodeling. 4. A claim under this policy. (5) Failure to: D. Examination of Your Books and Records (a) Furnish necessary heat, water, We may examine and audit your books and sewer service or electricity for records as they relate to this policy at any 30 consecutive days or more, time during the policy period and up to except during a period of three years afterward. We have the right to seasonal unoccupancy; or make copies of these books and records. (b) Pay property taxes that are E. Inspections and Surveys owed and have been 1. We have the right but not the duty to: outstanding for more than one s at a. Make inspections and surveys year following the date due, p y except that this provision will any time; not apply where you are in a b. Give you reports on the conditions bona fide dispute with the we find; and taxing authority regarding c. Recommend changes. payment of such taxes. b. 10 days before the effective date of 2. We are not obligated to make any cancellation if we cancel for inspections, surveys, reports or nonpayment of premium. recommendations and any such actions we do undertake relate only to c. 30 days before the effective date of insurability and the premiums to be cancellation if we cancel for any other charged. We do not make safety reason. inspections. We do not undertake to 3. We will mail or deliver our notice to the perform the duty of any person or first Named Insured's last mailing address organization to provide for the health or known to us. safety of workers or the public. We do not warrant that conditions: 4. Notice of cancellation will state the effective date of cancellation. The policy a. Are safe and healthful; or period will end on that date. b. Comply with laws, regulations, 5. If this policy is cancelled, we will send the codes or standards. first Named Insured any premium refund 3. Paragraphs 1. and 2. of this condition due. If we cancel, the refund will be pro apply not only to us, but also to any rata. If the first Named Insured cancels, rating, advisory, rate service or similar the refund may be less than pro rata. The organization which makes insurance cancellation will be effective even if we inspections, surveys, reports or have not made or offered a refund. recommendations. 6. If notice is mailed, proof of mailing will be 4. Paragraph 2. of this condition does not sufficient proof of notice. apply to any inspections, surveys, B. Changes reports or recommendations we may make relative to certification, under This policy contains all the agreements state or municipal statutes, ordinances between you and us concerning the or regulations, of boilers, pressure insurance afforded. The first Named vessels or elevators. Insured shown in the Declarations is F. Insurance Under Two or More Coverages authorized to make changes in the terms g of this policy with our consent. This If two or more of this policy's coverages policy's terms can be apply to the same loss or damage, you may choose only one of these coverages to apply to that loss. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 78 of 81 Hanover Insurance Group.. 1. SECTION I - PROPERTY, if two or more of However, if you agree in a written this coverage part's coverages apply to contract, written agreement, or the same loss or damage, we will not pay written permit that the insurance more than the actual amount of the loss or provided to any person or damage. organization included as an 2. SECTION II - LIABILITY, it is our stated Additional Insured under this intent that the various Coverage Parts, Coverage Part is primary and forms, endorsements or policies issued to non-contributory, we will not seek the named insured by us, or any company contribution from any other affiliated with us, do not provide any insurance available to that Additional duplication or overlap of coverage for the Insured which covers the Additional same claim, "suit", "occurrence", offense, Insured as a Named Insured except: accident, "wrongful act" or loss. We will (1) For the sole negligence of the not pay more than the actual amount of Additional Insured; or the loss or damage. (2) When the Additional Insured is If this Coverage Part and any other an Additional Insured under Coverage Part, form, endorsement or another liability policy. policy issued to the named insured by us, b. Excess Insurance or any company affiliated with us, apply to the same claim, "suit", occurrence, This insurance is excess over: offense, accident, "wrongful act" or loss, (1) Any of the other insurance, the maximum Limit of Insurance under all whether primary, excess, such Coverage Parts, forms, contingent or on any other basis: endorsements or policies combined shall (a) That is Fire, Extended not exceed the highest applicable Limit of Insurance under any one Coverage Part, Coverage, Builder's Risk, form, endorsement or policy. Installation Risk or similar This condition does not apply to any coverage for "your work"; Excess or Umbrella Policy issued by us (b) That is Property Insurance for specifically to apply as excess insurance premises rented to you or over this policy. temporarily occupied by you G. Liberalization with permission of the owner; If we adopt an revision that would broaden (c) That is insurance purchased P Y by you to cover your liability the coverage under this policy without as a tenant for "property additional premium within 45 days prior to or damage" to premises rented during the policy period, the broadened to you or temporarily coverage will immediately apply to this policy. occupied by you with H. Other Insurance permission of the owner; or 1. SECTION I - PROPERTY (d) If the loss arises out of the If there is other insurance covering the maintenance or use of same loss or damage, we will pay only for aircraft, "autos" or watercraft the amount of covered loss or damage in to the extent not subject to excess of the amount due from that other SECTION II - LIABILITY, insurance, whether you can collect on it or Exclusion g. Aircraft, Auto or not. But, we will not pay more than the Watercraft; and applicable Limit of Insurance of SECTION 1 (2) Any other primary insurance - PROPERTY. available to you covering liability 2. SECTION II - LIABILITY for damages arising out of the premises or operations, or the If other valid and collectible insurance is products and completed available to the insured for a loss we operations, for which you have cover under SECTION II - LIABILITY, our been added as an additional obligations are limited as follows: insured by attachment of an a. Primary Insurance endorsement. This insurance is primary except when When this insurance is excess, we paragraph b. below applies. If this will have no duty under SECTION II - insurance is primary, our obligations LIABILITY to defend the insured are not affected unless any of the against any "suit" if any other other insurance is also primary. Then, insurer has a duty to defend the insured against that "suit". If no other we will share with all that other insurer defends, we will undertake to insurance by the method described in paragraph c. below. do so, but we will be entitled to the 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 79 of 81 insured's rights against all those other premium in accordance with our rates and insurers. rules then in effect. c. When this insurance is excess over other 3. With our consent, you may continue this insurance, we will pay only our share of policy in force by paying a continuation the amount of the loss, If any, that premium for each successive one-year exceeds the sum of: period. The premium must be: (1) The total amount that all such other a. Paid to us prior to the anniversary insurance would pay for the loss in date; and the absence of this insurance; and b. Determined in accordance with (2) The total of all deductible and paragraph 2. above. self-insured amounts under all that Our forms then in effect will apply. If you other insurance. do not pay the continuation premium, this d. We will share the remaining loss, if any, policy will expire on the first anniversary with any other insurance that is not date that we have not received the described in this provision and was not premium. bought specifically to apply in excess of 4. Undeclared exposures or change in your the Limits of Insurance shown in the business operation, acquisition or use of Declarations for this Coverage. locations may occur during the policy e. Method of Sharing period that is not shown in the If all of the other insurance permits Declarations. If so, we may require an contribution by equal shares, we will additional premium. That premium will be follow this method also. Under this determined in accordance with our rates approach each insurer contributes equal and rules then in effect. amounts until it has paid its applicable J. Premium Audit Limit of Insurance or none of the loss 1. This policy is subject to audit if a premium remains, whichever comes first. designated as an advance premium is If any of the other insurance does not shown in the Declarations. We will permit contribution by equal shares, we compute the final premium due when we will contribute by limits. Under this determine your actual exposures. method, each insurer's share is based on 2. Premium shown in this policy as advance the ratio of its applicable Limit of premium is a deposit premium only. At the Insurance to the total applicable limits of close of each audit period, we will insurance of all insurers. compute the earned premium for that f. When this insurance is excess, we will period and send notice to the first Named have no duty under Business Liability Insured. The due date for audit premiums Coverage to defend any claim or "suit" is the date shown as the due date on the that any other insurer has a duty to bill. If the sum of the advance and audit defend. If no other insurer defends, we premiums paid for the policy period is will undertake to do so; but we will be greater than the earned premium, we will entitled to the insured's rights against all return the excess to the first Named those other insurers. Insured. I. Premiums 3. The first Named Insured must keep 1. The first Named Insured shown in the records of the information we need for Declarations: premium computation and send us copies at such times as we may request. p a. responsible for the payment of all K. Transfer of Rights of Recovery Against Others premiums; and to Us b. Will be the payee for any return premiums we pay. 1. Applicable to SECTION I - PROPERTY 2. The premium shown in the Declarations was Coverage: computed based on rates in effect at the time If any person or organization to or for the policy was issued. On each renewal, whom we make payment under this policy continuation or anniversary of the effective has rights to recover damages from date of this policy, we will compute the another, those rights are transferred to us to the extent of our payment. That person or organization must do everything necessary to secure our rights and must do nothing after loss to impair them. But you may waive your rights against another party in writing: 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc.,with its permission. Page 80 of 81 Hanover Insurance Group. a. Prior to a loss to your Covered We waive any right of recovery we may Property. have against any person or b. After a loss to your Covered Property organization with whom you have a only if, at time of loss, that party is written contract, permit or agreement one of the following: to waive any rights of recovery against such person or organization because of (1) Someone insured by this payments we make for injury or insurance; damage arising out of your ongoing (2) A business firm: operations or "your work" done under a (a) Owned or controlled by you; contract with that person or or organization and included in the "products-completed operations (b) That owns or controls you; or hazard". (3) Your tenant. This condition does not apply to You may also accept the usual bills of Medical Expenses Coverage. lading or shipping receipts limiting the L. Transfer of Your Rights and Duties Under liability of carriers. This Policy This will not restrict your insurance. Your rights and duties under this policy 2. Applicable to SECTION II - LIABILITY may not be transferred without our written Coverage: consent except in the case of death of an individual Named Insured. If you die, your If the insured has rights to recover all or rights and duties will be transferred to your part of any payment we have made legal representative but only while that under this Coverage Part, those rights legal representative is acting within the are transferred to us. The insured must scope of their duties as your legal do nothing after loss to impair such representative. Until your legal rights. At our request, the insured will representative is appointed, anyone with bring 'suit, or transfer those rights to us proper temporary custody of your property and help us enforce them. will have your rights and duties but only with respect to that property. 391-1003 08 16 Includes copyrighted material of Insurance Services Office, Inc., with its permission. Page 81 of 81 POLICY NUMBER: ODF D785344-06 Hanover Insurance Group.- THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. HIREDAUTOAND NON-0WNEDAUTO LIABILITY This endorsement modifies insurance provided under the following: BUSINESSOWNERS COVERAGE FORM SCHEDULE Coverage Additional Premium A. Hired Auto Liability $ INCLUDED B. Non-owned Auto Liability $ INCLUDED Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Insurance is provided only for those coverages (2) The spouse, child, parent, brother or for which a specific premium charge is shown in sister of that "employee" as a the Declarations or in the Schedule. consequence of Paragraph (1) above. 1. Hired Auto Liability This exclusion applies: The insurance provided under Paragraph (1) Whether the insured may be liable as A.I. Business Liability in Section II - Liability an employer or in any other capacity; applies to "bodily injury" or "property and damage" arising out of the maintenance or (2) To any obligation to share damages use of a "hired auto" by you or your with or repay someone else who must employees In the course of your business. pay damages because of injury. 2. Non-owned Auto Liability This exclusion does not apply to: The insurance provided under Paragraph (1) Liability assumed by the insured A.1. Business Liability in Section II - Liability under an "insured contract"; or applies to bodily injury or property damage" arising out of the use of any (2) "Bodily injury" arising out of and in "non-owned auto" in your business by any the course of domestic employment by person. the insured unless benefits for such B. For insurance provided by this endorsement injury are in whole or in part either payable or required to be provided only: under any workers' compensation law. 1. The exclusions under Paragraph B.1. b. "Property damage" to: Applicable To Business Liability Coverage in Section II -Liability, other than Exclusions a., (1) Property owned or being transported b., d., f. and i. and the Nuclear Energy by, or rented or loaned to the insured; Liability Exclusion, are deleted and replaced or by the following: (2) Property in the care, custody or a. "Bodily injury" to: control of the insured. (1) An "employee" of the insured arising out of and in the course of: (a) Employment by the insured; or (b) Performing duties related to the conduct of the insured's business; or BP 04 04 01 10 Copyright, Insurance Services Office, Inc., 2009 Page 1 Of 2 2. Paragraph C. Who Is An Insured in Section II c. Any person while employed in or -Liability is replaced by the following: otherwise engaged in duties in 1. Each of the following is an insured under connection with an "auto business", this endorsement to the extent set forth other than an "auto business" you below: operate; a. You; d. The owner or lessee (of whom you are a sublessee) of a "hired auto" or the b. Any other person using a "hired auto" owner of a "non-owned auto" or any with your permission; agent or "employee" of any such c. For a "non-owned auto": owner or lessee; or (1) Any partner or "executive officer" e. Any person or organization for the of yours; or conduct of any current or past (2) Any "employee" of yours; partnership or joint venture that is not shown as a Named Insured in the but only while such "non-owned auto" Declarations. is being used in your business; and C. For the purposes of this endorsement only, d. Any other person or organization, but Paragraph H. Other Insurance in Section III - only for their liability because of acts Common Policy Conditions is replaced by the or omissions of an insured under a., b. following: or c. above. This insurance is excess over any primary 2. None of the following is an insured: insurance covering the "hired auto" or a. Any person engaged in the business "non-owned auto". of his or her employer for "bodily D. The following additional definitions apply: injury" to any co-"employee" of such person injured in the course of 1. "Auto business" means the business or employment, or to the spouse, child, occupation of selling, repairing, servicing, parent, brother or sister of that storing or parking "autos". co-"employee" as a consequence of 2. "Hired auto" means any "auto" you lease, such "bodily injury", or for any hire, rent or borrow. This does not include obligation to share damages with or any "auto" you lease, hire, rent or borrow repay someone else who must pay from any of your "employees", your partners damages because of the injury; or your "executive officers" or members of b. Any partner or "executive officer" for their households. any "auto" owned by such partner or 3. "Non-owned auto" means any "auto" you do officer or a member of his or her not own, lease, hire, rent or borrow which is household; used in connection with your business. This includes "autos" owned by your "employees", your partners or your "executive officers", or members of their households, but only while used in your business or your personal affairs. Page 2 of 2 Copyright, Insurance Services Office, Inc., 2009 BP 04 04 01 10 . „- 'm ill THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT - CALIFORNIA Policy Number: 76 WEG BD8CYM Endorsement Number: 003 Effective Date: 05/28/25 Effective hour is the same as stated on the Information Page of the policy. Named Insured and Address: Java Connections LLC 6628 WINDROCK RD DALLAS TX 75252 We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be % of the California workers' compensation premium otherwise due on such remuneration. SCHEDULE Person or Organization Job Description City of Santa Anna, its City Council, Officers, Officials, Employees, Agents and Volunteers.20 Civic Center Plaza S-42 Santa Anna CA 92701 Countersigned by Authorized Representative Form WC 04 03 06 (1) Printed in U.S.A. Process Date: 05/28/25 Policy Expiration Date: 03/15/26