# EXCLUSIONS

This policy does not apply:

(a) to liability assumed by the insured under and contract or agreement except under coverages A and C, (1) a contract as defined herein or (2) as respects the insurance which is afforded for the Products Hazard as defined, a warrant of goods or products.

(b) to injury, sickness, death, destruction due to war, whether or not direct, or to any act of insurrection, rebellion or revolution, or to any act or condition incident to any of the foregoing, with respect to (1) liabilities assumed by the insured under such contract or agreement or (2) expenses under Insurance Veremem (II. b.).

(c) under coverages A and C, in any obligation for which the insured may be held liable in an action on a contract or an agreement by a person not a party thereto.

(d) under coverages A and C, except with respect to operations performed by independent contractors, and except with respect to liability assumed by the insured under a contract as defined herein, to the owner, maintenance, operation, use, loading or unloading of (1) watercraft if the accident occurs away from premises owned by, rented to or controlled by the named insured, except that as this policy this exclusion is stated in the declarations, applicable or (2) aircraft.

(e) under coverage A, to any obligation for which the insured or any indemnitee, as a person or organization engaged in the business of manufacturing, selling or distributing alcoholic beverages, as an owner or lessee of premises used for such purpose, by reason of any statute or ordinance pertaining to the sale, gift, distribution or use of any alcoholic beverage.

(f) under coverage A, to any obligation for which the insured or any indemnitee as his insurer may be held liable under any workmen's compensation, unemployment compensation or disability benefits law, or under any similar law.

(g) under coverage A, except with respect to liabilities assumed by the insured under a contract as defined herein, to bodily injury to or sickness, disease or death of an employee arising out of and in the course of his employment by the insured, other than a domestic employee whose injury arises out of an automobile covered by this policy, and for whose injury benefits, in whole or in part, are payable or required to be provided under any workmen's compensation law;

(h) under coverage B, to injury to or destruction of property owned or transported by the insured, or property rented to or in charge of the insured other than a residence or private garage injured or destroyed by a private passenger automobile covered by this policy;

(i) under coverage C, with respect to operations performed by independent contractors, and except with respect to liability assumed by the insured under a contract as defined herein, to the ownership, maintenance, operation, use, loading or unloading of automobiles if the accident occurs away from premises owned by, rented to or controlled by the named insured or the warehousement adjoining.

(j) under coverage C, in injury to or destruction of (1) property owned or occupied by or rented to the insured, (2) except with respect to (a) items under a separate statement issued by this policy, premises used by the insured, (3) except with respect to liability under such subaragreement, the use of elevators or escalators at premises owned by rented to or controlled by the named insured, provided, however, that the insured for any purpose is exercising physical control, or (4) any goods, products, containers, thereof manufactured, sold, handled or distributed or premises, equipment, vehicles, or structures thereon, completed by or for the name insured, out of which the accident arises.

(k) under coverage C, in injury to or destruction of buildings or property therein, wherever occurring, arising out of any of the following causes, if such cause occurs on or from premises owned by, rented to or controlled by the insured: (1) discharge of steam, hot water, hot oil, hot steam from incinerator, heating, refrigerating or air-conditioning systems, standpipe for fire hose, or industrial or domestic appliances, or (2) failure or malfunction of automatic sprinkler systems, (3) collapse of walls or the roof of a building, (4) falling, burning, shifting, underpinning, raising or demolition of any building or structure or removal or rebuilding of any structure or support thereof; provided, however, this exclusion does not apply to liability assumed by the insured under any contract covered by this policy, to operations performed by independent contractors or to completed or abandoned operations within the meaning of paragraph 2 of this exclusion, but that this exclusion does not apply to operations stated in the declarations or in the company's manual, as not subject to such part of this exclusion;

(l) under coverage C, to injury to or destruction of wires, conduits, pipes, mains, sewers or other similar property, or any apparatus or machinery, thereof, beneath the surface of the ground, if such injury or destruction is caused by and occurs during the use of mechanical equipment, for the purpose of grading land, paving, excavating, drilling or boring, or any other similar operation, at any time resulting therefrom; provided, however, this exclusion does not apply with respect to liability assumed by the insured under any contract covered by this policy, to operations performed by independent contractors, to completed or abandoned operations within the meaning of paragraph 2 of this exclusion, or to operations stated in the declarations or in the company's manual, as not subject to such exclusion.

**Conditions**

5. 6. 7 and 8, apply to all contracts.

The advance premium stated in the declarations is an estimated premium. Upon termination of this policy, the earned premium shall be computed in accordance with the company's rules, rates, ratios, premiums and minimum premiums applicable to the policy. If the earned premium exceeds the estimated advance premium paid, the named insured shall pay the excess to the company; if less, the company shall return to the named insured the unearned portion paid by such insured.

When used a a premium basis:

(1) the word "admission" means the total number of persons, other than employees of the named insured, admitted to the event insured or events conducted on the premises whether on paid admission tickets, complimentary tickets or otherwise.

(2) the word "cost" means the total cost to (a) the named insured with respect to operations performed for the named insured during the policy period by independent contractors, or (b) any indemnity with respect to any contract covered by this policy, of a work let or entered into connection with such specific contract, including all costs of all labor, materials, equipment furnished or delivered for use in the execution of such work, whether furnished by the owner, contractor or subcontractor including all fees, allowances, bonuses or commissions made, paid or due.

(3) the word "receipts" means the gross amount of money charged to the names insured for such services, entertainment, etc., received from others, receipts being based as are rated on a regular basis, other than receipts from telecasting, broadcasting or mailing notices and including taxes other than taxes which the named insured is required to remit directly to a governmental division.

(4) the word "remuneration" means the entire remuneration earned under the policy period by proprietors and all employees of the named

**Premium Reduction Table**

| Number of Licensed Vehicles | Exclusion of Traders Insured Hereunder (computed per rate) | Percentage Reduction |
|-----------------------------|----------------------------------------------------------|----------------------|
| 1st                         | 5                                                       | 0%                   |
| Next                        | 15                                                      | 100%                 |
| Next                        | 30                                                      | 150%                 |
| Next                        | 50                                                      | 200%                 |
| All over 100                | 250%                                                    |                     |

**Z 006897**