operations conducted on such site and all premises used for such operations:

- "Nuclear reactor" means any apparatus designed or used to sustain nuclear fission in a self-supporting chain reaction or to contain a critical mass of "fissionable material";
- "Bodily injury" means bodily injury, sickness or disease sustained by any person which occurs during the policy period, including death at any time resulting therefrom;
- "Property damage" means:
  (1) physical injury to or destruction of tangible property which occurs during the policy period, including the loss of use thereof at any time resulting therefrom; or
  (2) loss of use of tangible property which has not been physically injured or destroyed provided such loss of use is caused by an occurrence during the policy period and includes all forms of radioactive contamination of property.

2. to ultimate net loss arising out of invasion, acts of foreign enemies, hostilities (whether war to be declared or not), civil war, rebellion, revolution or insurrection or to any act or condition incident to any of the foregoing.

### III. LIMITS OF LIABILITY

The insurance afforded applies separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the Company's liability.

Regardless of the number of (1) insureds under this policy, (2) persons or organizations who sustain injury or damage or (3) claims made or suits brought, the Company's liability is limited as follows:

(a) the limits of the Company's liability under this policy apply only after the underlying insurers have paid or have been held legally liable to pay the full amount of their respective limits of liability which makes up the total stated in Item 5 of the Declarations, provided that:
(i) unless aggregate limits are specifically stated in both Items 4 and 5 of the Declarations, the insurance afforded by this policy applies with respect to each occurrence only for limits of liability in excess of the amounts afforded for each occurrence in the underlying insurance, and does not apply over any reduced amount of underlying insurance in the event of the exhaustion or reduction of aggregate limits of liability, if any, in the underlying insurance; or
(ii) if aggregate limits of liability are specifically stated in both Items 4 and 5 of the Declarations, the insurance afforded by this policy applies in excess of reduced underlying insurance, provided such reduction in the underlying insurance is solely the result of the payment of claims because of occurrences taking place during the period of this policy;

(b) if the limits of the Company's liability stated in Item 4. a) of the Declarations, are less than the entire limit of liability stated in Item 4. b) of the Declarations, the limits of the Company's liability shall be that proportion of all ultimate net loss which the limits of liability in Item 4. a) bear to the limits of liability in Item 4. b) to which this policy applies and which is in excess of underlying insurance, up to the limits so stated;

(c) if the limits of the Company's liability in Item 4. a) of the Declarations are equal to the limits of liability in Item 4. b), the limits of the Company's liability shall be the amount of all ultimate net loss to which this policy applies which is in excess of underlying insurance, up to the limits so stated;

(d) subject to provisions (a), (b), and (c) above, the total liability of the Company for all ultimate net loss as the result of any one occurrence, shall not exceed the limit of liability stated in Item 4. a) of the Declarations as applicable to "each occurrence";

(e) subject to provisions (a), (b), and (c) above, the total liability of the Company for all ultimate net loss because of all occurrences, to which this policy applies shall not exceed the limit of liability stated in Item 4. a) of the Declarations as "aggregate".

### IV. PERSONS OR ENTITIES INSURED

Each of the following is an insured under this policy to the extent set forth below:

(a) Any named insured; and
(b) Any person or organization which is an insured under the terms of the governing underlying insurance policy, subject to all the limitations upon coverage under such governing underlying insurance policy other than the limits thereof.

### V. INVESTIGATION; DEFENSE; SETTLEMENT

The Company shall not be obligated to assume charge of the investigation, defense or settlement of any claim or suit against the Insured, but the Company shall have the right and shall be given the opportunity to associate with the Insured or its underlying insurers, or both, in the investigation, defense or settlement of any claim or suit which, in the opinion of the Company, involves or appears reasonably likely to involve the Company. If the Company avails itself of such right and opportunity, the Insured, its insurers and the Company shall cooperate in such matters so as to effect a final determination thereof. The Insured shall not make or agree to any settlement for an amount in excess of underlying insurance without the approval of the Company.

Subject to the above provision, costs incurred by the Insured shall be borne as follows:

(a) All costs incurred by the Insured without the written consent of the Company shall be borne by the Insured;