# EXCLUSIONS

This policy does not apply:

(a) to liability assumed by the insured under any contract or agreement except under coverage (b) and (c) (1), a contract as defined herein or (2) as to the insurance which is afforded for the Products Hazard as defined, a warranty of goods or products;

(b) to injury, sickness, death or destruction due to war, civil commotion or revolution, or to any act or condition incident to any of the foregoing, with respect to (1) liability assumed by the insured under any contract or agreement or (2) expenses under Insuring Agreement (a) (3);

(c) under coverages A and C, to any obligation for which the insured may be held liable on 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 named insured under a contract covering the ownership, maintenance, operation, use, loading or unloading of (1) aircraft if the accident occurs away from premises owned, rented, by or controlled by the named insured, except insofar as this part of this exclusion is stated in the declarations or in the company's manual; (2) motor vehicles;

(e) under coverage C, to liabilities imposed upon the insured or any indemnitees, as a person or organization engaged in the business of manufacturing, selling or distributing alcoholic beverages, or as an owner or lessee of premises used for such purposes, 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 carrier of his insurer may be held liable under any workmen's compensation, unemployment compensation or disability benefit law, or under any similar law;

(g) under coverage A, except with respect to liability assumed by the insured under a contract as defined herein, to bodily injury to or sickness, disease or death of any employee of the insured arising out of and in the course of his employment, except with respect to any such employee whose injury arises out of an automobile covered by this policy and for whose injury benefits in whole or in part are not 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, 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, rented to or controlled by the named insured or the ways immediately adjoining;

(i) under coverage C, to injury to or destruction of (1) property owned or occupied by or rented to the insured or (2) except with respect to liability under sidetrack agreements covered by this policy, property used by the insured, or (3) except with respect to liability under such sidetrack agreements or the use of elevators or escalators at premises owned by the insured or controlled by the named insured, to the extent that the cause thereof is (a) the exercise of physical control, or (b) any goods, products or materials manufactured, sold, handled or distributed or premises alienated by the named insured, unless such goods, products or materials are completed by or for the named insured, out of which the accident arises;

(k) under coverage C, to any of the following insofar as any of them occur on or from premises owned by or rented to the named insured and are not caused by the named insured: (1) fire, lightning, explosion, collapse or overflow of water or steam from plumbing, heating, refrigerating or air-conditioning systems, standpipes for fire hose, or industrial or domestic water supply systems, or from automatic sprinkler systems; (2) the collapse or fall of tanks or the component parts thereof, whether or not they form a part of an automatic sprinkler system; or (3) rain or snow admixed directly to the building interior through defective roots, leaders or spout pipes, or through openings in the roof, walls or floors, or through gutters provided, however, this exclusion does not apply to loss due to fire, to the use of elevators or escalators, to operations performed by independent contractors, or to operations stated in the declarations, to the extent that this exclusion is stated in the declarations to be inapplicable;

(l) under coverage C, to injury to or destruction of any property arising out of (1) blasting or explosion, other than the explosion of air or steam resulting from piping under pressure, prime movers, machinery or power transmitting devices, or (2) the collapse of a structure (other than a building or structure due (a) to grading of land, excavation, borrowing, filling, back-filling, tunneling, pile driving, coffer-dam work or caisson work, or (b) to the making, breaking, raising, razing or demolition of any building or structure or removal or retaking of any structural support thereof); provided, however, this exclusion does not apply with respect to liability assumed by the insured under a contract covered by this policy, to operations performed for the named insured by independent contractors or to completed or abandoned operations within the meaning of paragraph 2 of the Products Hazard, and provided further that this exclusion (2) of 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;

(m) under coverage C, to injury to or destruction of wire, conduit, cables, mains, fixtures, or other similar apparatus or any apparatus in connection therewith, below the surface of the ground, if the injury or destruction is caused by and occurs during the use of mechanical equipment for the purpose of grading of land, paving, excavating or drilling, or to operations performed for the named insured by independent contractors; 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 for the named insured by independent contractors or to completed or abandoned operations within the meaning of paragraph 2 of the Products Hazard, or to operations stated, in the declarations or in the company's manual, as not subject to this exclusion.

**Conditions**

The conditions, except conditions 4, 5, 6, 7, 8, 9 and 9, apply to all coverages.

L Premium. The premium bases and rates for the hazards described in the declarations are stated therein. Premium bases and rates for hazards not so described are those applicable in accordance with the manuals in use by the company.

**Ness Whereof**, the Zurich Insurance Company has caused same shall not be binding upon the company unless countersigned.

An average percentage reduction is to be computed in accordance with the following table and applied to the premiums for all owned automobiles.

| Number of Licensed Owned Automobiles, Exclusive of Trailers, Insured Hereunder (computed pro rata if less than the policy period) | Percentage Reduction |
|---|---|
| None | 0% |
| Next 5 | 5% |
| Next 15 | 10% |
| Next 30 | 15% |
| Next 50 | 20% |
| All over 100 | 25% |

**Premium Reduction Table**

When used as 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 to events conducted on the premises whether on paid admission tickets, complimentary tickets or passes;

(2) the word "work" 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 indemnitee with respect to any contract covered by this policy, of all work let or sub-let in connection with each specific project, including the cost of all labor, materials and supplies furnished by the named insured, and the remuneration 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 by the named insured for such operations by the named insured or by others during the policy period, are received on a receipts basis other than receipts from telecasting, broadcasting, motion picture production taxes, other than taxes which the named insured collects as a separate item and remits directly to a governmental division;

(4) the word "remuneration" means the entire remuneration earned during the policy period by rioters and by all employees of the named ins.