# Zurich-American Insurance Group

**SELF-INSURER:** INTERNATIONAL BUSINESS MACHINES CORPORATION

**DEDUCTIBLE AGREEMENT**

**AGREEMENT NO. 66017 - 91**

This Agreement between the Self-Insurer designated in the Information Pages (Self-Insurer") and ZURICH INSURANCE COMPANY ("Company"), in consideration of fees paid by the Self-Insurer and policies issued by and services performed by the Company, is effective on the date, at the time, and at the address of the Self-Insurer, all as stated in the Information Pages of this Agreement.

### A. DEDUCTIBLE AMOUNTS; APPLICATION OF DEDUCTIBLE AMOUNTS TO LIMITS OF LIABILITY; OTHER OBLIGATIONS OF SELF-INSURER; LIABILITY OF THE SELF-INSURER

1. The Deductible Amounts are as stated in the Information Pages of this Agreement for any one Occurrence/Accident and in the Aggregate, where applicable, applying as indicated to all losses, claims, suits, actions or other proceedings with respect to all coverages provided by the policies listed in the Information Pages of this Agreement, including all endorsements thereto.

   **Aggregate Deductible Amount - Retained by Self-Insurer.**

   The exhaustion of the Business Auto Liability Aggregate Deductible Amount shall be computed by the Company as stated in the Information Pages.

   In the event this Agreement is terminated prior to the end of the policy period stated in the Information Pages, the Aggregate Deductible Amount shall not be prorated.

2. **Application of Deductible Amounts.**

   The Limits of Liability of the policies subject to this Agreement shall be reduced by the Application of the Deductible Amounts.

3. **Other Obligations of Self-Insurer.**

   The Self-Insurer is completely responsible for and shall pay to the Company within ten (10) days of receipt of its demand therefore in the manner set forth in this Agreement:

   a. All reserves as determined and established by the Company, plus an allowance for losses incurred but not reported, within the Deductible Amounts, and

IBM 063093

**Form DUDA Edition 4 (12/89)**

**06-Jun-91**