# New York Amendatory Endorsement

## Defense (continued)

However, if the Company makes an offer to pay the applicable Limits of Insurance, prior to judgment, the Company will not pay any pre-judgment interest that accrues after the offer.

## New York Laws

The terms of this policy as respects coverage for operations in the State of New York shall conform to the coverage requirements of the applicable insurance laws of the State of New York or the applicable regulations of the New York Insurance Department; provided, however, that loss covered by this insurance is always in excess of the underlying limits of insurance and subject to the Limits of Insurance of this policy shown in the Declarations.

### New York Laws

#### a. If the Company concludes that, based on occurrences, offenses, claims or suits which have been reported to the Company and to which this insurance may apply, the:

1. Aggregate limit;
2. Each Occurrence limit;

is likely to be used up in the payment of judgments or settlements, the Company will notify the first named insured in writing to that effect.

#### b. When a limit of insurance described in paragraph a. above has actually been used up in the payment of judgments or settlements:

1. The Company will notify the first named insured in writing, as soon as practicable, that:
   - such a limit has actually been used up; and
   - the Company's duty to defend suits seeking damages subject to that limit has also ended.
2. The Company will initiate and cooperate in the transfer of control, to any appropriate insured, of all claims and suits seeking damages which are subject to that limit and which are reported to the Company before that limit is used up. That insured must cooperate in the transfer of control of said claims and suits.
3. The Company agrees to take such steps, as the Company deems appropriate, to avoid a default in or to continue the defense of such suits until such transfer is completed, provided that the appropriate insured is cooperating in completing such transfer.
4. The Company will take no action whatsoever with respect to any claim or suit seeking damages that would have been subject to that limit, had it not been used up, if the claim or suit is reported to the Company after that limit has been used up.
5. The first named insured, and any other insured involved in a suit seeking damages subject to that limit, must arrange for the defense of such suit within such time period as agreed to between the appropriate insured and the Company. Absent any such agreement, arrangements for the defense of such suit must be made as soon as practicable.
6. The first named insured will reimburse the Company for expenses the Company incurs in taking those steps the Company deems appropriate in accordance with paragraph b.(2) above.

## Reference Copy

New York Amendatory

Form 07-02-1439 (Ed. 11/98) Endorsement
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