# Insurance Policy Document

## Definition of Terms

- **Explosion hazard**: Includes property damage arising out of blasting or explosion. The explosion hazard does not include property damage (1) arising out of the explosion of a boiler, steam vessel, piping under pressure, prime movers, machinery, power transmitting equipment, or (2) arising out of operations performed for the insured.
- **Incidental contract**: Means a written lease, release of premises, easement agreement, or similar condition with construction, mining, or other operations on or adjacent to the insured's land.
- **Insured**: Means any person or organization qualifying as an insured in the provisions of the division of the applicable insurance coverage. 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.
- **Mobile equipment**: Means a land vehicle including any machinery or apparatus attached thereto intended for use in connection with the operation thereof and subject to motor vehicle registration or maintained for use exclusively on premises owned by or rented to the named insured, including the ways immediately adjoining, or (3) designed for use primarily for the purpose of providing mobility to equipment of the following types forming an integral part of or permanently attached to such vehicle: power cranes, shovels, loaders, diggers, and drill and concrete mixers, including but not limited to truck graders, scrapers, bulldozers, and road construction or repair equipment; air compressors; pumps and generators, including spraying, welding and building cleaning equipment; and geophysical exploration and well servicing equipment.
- **Named insured**: Means the person or organization named in Item 1 of the declaration of the policy.
- **Named insured's products**: Means goods or products manufactured, sold, handled or distributed by the named insured or by others trading under his name, including any container thereof (other than a vehicle), but "named insured's products" shall not include a vending machine or any property other than such container referred to or occasioned for use of others but not sold.

## Conditions

### 1. Premium
All premiums for this policy shall be computed in accordance with the company's rates, dates, rating plans, premiums, and minimum premiums applicable to the named insured.

Premium designated in this policy as "advance premium" is a deposit premium only which shall be credited the amount of the earned premium due at the end of the policy period or the end of each period thereafter (hereinafter referred to as the "policy period") designated in the declarations as the audit period the earned premium shall be computed for such period and upon notice thereof the named insured shall pay the same. If due payment of the advance premium for the policy period is less than the premium previously paid, the company shall return to the named insured the unearned portion paid by the named insured.

The named insured shall maintain records of such information as is necessary for premium computation and shall send copies of such records to the company at the end of the policy period and at such times during the policy period as the company may direct.

### 2. Inspection and Audit
The company shall be permitted but not obligated to inspect the named insured's property and operations at any time. Neither the company nor its agents nor inspections nor the making thereof nor any report thereon shall constitute an undertaking on behalf of or for the benefit of the named insured or others to determine or warrant that such property or operations are safe.

The company may examine and audit the named insured's books and records at any time during the policy period and extensions thereof and within three years after the final termination of this policy, as far as they relate to the subject matter of this insurance.

### 3. Financial Responsibility Laws
When this policy is certified as proof of financial responsibility for the future under the provisions of any motor vehicle financial responsibility law, such insurance as is afforded by this policy for bodily injury liability and/or property damage liability shall comply with the provisions of such law. In the event of the failure of liability to be reinstated, the named insured agrees to reimburse the company for any payment made by the company which it would not have been obligated to make absent the agreement contained in this policy.

### 4. Insured's Duties in the Event of Occurrence
In the event of an occurrence, the named insured and also reasonably certain other parties sufficient in number to cover all claims with respect to the occurrence, shall promptly notify the company of the occurrence and the circumstances thereof and the names and addresses of the injured persons and of the owner or operator of any vehicle involved, if known, or for the benefit of the named insured to the company or any of its authorized agents as soon as practicable. The named insured shall promptly take at his expense all reasonable steps to prevent further bodily injury or property damage from arising out of the same conditions, but such expenses shall not be recoverable under this policy.

If claim is made or suit is brought against the insured, the insured shall immediately forward to the company every demand, notice, summons or other notice received from or on behalf of the representative.

The named insured shall cooperate with the company and, upon the company's request, assist in making settlements, in the conduct of suits and in enforcing any right of contribution or indemnity against any person or organization who may be found liable for the occurrence resulting in bodily injury or property damage with respect to which insurance is afforded under this policy and the insured shall attend hearings and trials and assist in securing and giving evidence and obtaining the alleged damages. The company shall not be required to:

(a) Compel the insured to make any payment, assume any obligation or incur any expense other than for first aid to others at the time of accident.

(b) Take any action against the company unless a condition precedent thereto shall have been full compliance with all the terms of this policy, nor shall the amount of the company's obligation under this policy be increased by any act or omission of the insured, the claimant, and the company.

Any person or organization or the legal representative thereof who has secure such judgment or court agreement shall thereafter be deemed to be insured under this policy. No person, organization shall have any right under this policy to join the company as a party to any action against the insured to determine the insured's liability, nor shall the company be required by reason of the insured's death, disability, bankruptcy, insolvency, or the insured's estate or of the insured's estate not relieve the company of any of its obligations hereunder.

### 5. Action Against Company
No action shall lie against the company unless a condition precedent thereto shall have been full compliance with all the terms of this policy, nor shall the amount of the company's obligation under this policy be increased by any act or omission of the insured, the claimant, and the company.

Any person or organization or the legal representative thereof who has secure such judgment or court agreement shall thereafter be deemed to be insured under this policy. No person, organization shall have any right under this policy to join the company as a party to any action against the insured to determine the insured's liability, nor shall the company be required by reason of the insured's death, disability, bankruptcy, insolvency, or the insured's estate or of the insured's estate not relieve the company of any of its obligations hereunder.

### 6. Other Insurance
The insurance afforded by this policy is primary insurance, except when stated to apply in excess of or contingent upon the absence of other insurance. When the insurance is stated to be primary and the insurance which is stated to be applicable to the loss on an excess or contingent basis, the amount of the company's liability under this policy shall not be reduced by the existence of such other insurance.

When both this insurance and other insurance apply to the loss on the same basis, whether primary, excess, or contingent, the company shall not be liable under this policy for a greater proportion of the loss than that stated in the additional contribution provision below.

**Contribution by Equal Shares**: If all of such other values have been paid for the loss, the company shall not be liable for a greater proportion of the loss than one share out of every equal shares of liability under any one policy of such kind and with respect to any amount of the loss paid. Remaining insurers continue to contribute their shares of the amount of the loss after such insurer has paid its limit in full or the amount of the loss.