# Berkshire Hathaway Specialty Insurance

## ENDORSEMENT

This endorsement, effective 12:01AM: 05/21/2016  
Forms a part of Policy No.: 43-XSF-100238-03  
Issued to: International Business Machines Corp.  
By: National Liability & Fire Insurance Company

## ACT OF TERRORISM SELF-INSURED RETENTION ENDORSEMENT

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

This endorsement modifies insurance provided under the following:

- COMMERCIAL UMBRELLA LIABILITY POLICY
- FOLLOW FORM EXCESS LIABILITY POLICY

The following apply with respect to any act of "terrorism":

I. This policy is subject to the following additional self-insured retention:
   - Act of "Terrorism" Self-Insured Retention: $1,000,000

II. We will have no duty to defend any "suit" against the "insured" with respect to any act of "terrorism". We will, however, have the right, but not the duty, to participate in the defense of any "suit" and the investigation of any claim to which this policy may apply. If we exercise this right, we will do so at our own expense.

III. The Act of "Terrorism" Self-Insured Retention is only reduced by the payment of damages. Expenses incurred to defend any "suit" or to investigate any claim will not erode or exhaust the Act of "Terrorism" Self-Insured Retention.