# Certified Act of Terrorism Retained Amount Provisions

**Endorsement # 01**

**Policy No.:** AEC 5574320-02  
**Eff. Date of Pol.:** 05/21/2015  
**Exp. Date of Pol.:** 05/21/2016  
**Eff. Date of End.:** 05/21/2015  
**Producer:** 50522000  
**Return Prem.:**  

**Named Insured and Mailing Address:**
- **INTERNATIONAL BUSINESS MACHINES CORPORATION**
- **1 New Orchard Rd**
- **Armonk, NY 10504**

**Producer:**
- **AON RISK SERVICES NORTHEAST INC**
- **199 WATER ST FL 32ND**
- **NEW YORK, NY 10038-3526**

**THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.**

## CERTIFIED ACT OF TERRORISM RETAINED AMOUNT SCHEDULE
- **Each Occurrence Retained Amount:** $ 615,000,000
- **Products/Completed Operations Aggregate Retained Amount:** $ 620,000,000
- **Other Aggregate Retained Amount:** $ 620,000,000

## Certified Act of Terrorism Retained Amount Provisions
The following additional provisions apply to this policy as respects any liability, damage, loss, cost or expense arising, directly or indirectly, out of a certified act of terrorism, including any action taken in hindering or defending against an actual or expected certified act of terrorism, regardless of any other cause or event that contributes concurrently or in any sequence to the injury or damage:

A. We will pay on behalf of the insured the sums in excess of the Total Limits Of Underlying Insurance shown in Item 6.B. of the Declarations or in excess of the retained amount, whichever is greater, that the insured legally becomes obligated to pay as damages.

B. Except as otherwise provided by this policy and by this endorsement, coverage as respects a certified act of terrorism follows the terms, conditions, limitations, and exclusions of the Controlling Underlying Policy in effect at the inception of this policy.

C. The amount we will pay for damages is limited as described in SECTION II. LIMITS OF INSURANCE except that Paragraph B.6. is replaced with the following:

6. Subject to Paragraphs B.2., B.3., B.4., and B.5. above, if the limits of Underlying Insurance shown in Item 6. of the Declarations or the applicable retained amount are reduced or exhausted solely by payment of loss to which this policy applies, such insurance provided by this policy will apply in excess of the reduced limits of Underlying Insurance or retained amount or, if the Total Limits of All Underlying Insurance or retained amounts are exhausted, will apply as underlying insurance subject to the same terms, conditions, definitions, limitations and exclusions of the Controlling Underlying Policy, except for the terms, conditions, definitions, limitations and exclusions of this policy.

D. If the coverage of this policy applies in excess of the retained amount per paragraph A. of this endorsement, rather than the Total Underlying Limits of Insurance shown in Item 6.B. of the Declarations, the specific retained amounts applying to any certified acts of terrorism are as follows:

**U-EXS-279-C CW (07/14)**

Includes copyrighted material of Insurance Services Office, Inc., with its permission.