CSAC EXCESS INSURANCE AUTHORITY

PRIMARY GENERAL LIABILITY PROGRAM

CERTIFICATE OF COVERAGE
ITEM 1:

MEMBER:

City of Carmel by the Sea

ITEM 2:

COVERAGE PERIOD:

July 1, 2016 to July 1, 2017, 12:01 a.m. local time of

the Member as stated herein.

ITEM 3:

CERTIFICATE NUMBER:

EIA-PE 16 PGL-67

ITEM 4:

POOLING AGREEMENT:
In consideration of the premium stated in Item 5, it is understood and agreed that
the Member is a participant in the Primary General Liability Program for the
coverage period stated in Item 2.

ITEM 5:

PREMIUM:
$156,608 (inclusive of all layers & fees)
The cost of the Primary General Liability Program shall be assessed to
participating Members by the Primary General Liability Committee as set forth in
the Memorandum of Understanding and in accordance with the applicable
provisions of the Joint Powers Agreement.

ITEM 6:

COVERAGE AFFORDED:
Coverage is provided in accordance with the Primary General Liability
Memorandum of Understanding adopted by the Member including any
subsequent amendments thereto. Except as is specifically set forth in this
Certificate of Coverage, coverage hereunder shall follow, and is subject to, all
agreements, terms, limitations and conditions as contained in General Liability I
Program Memorandum of Coverage number EIA-PE 16 EL-67 (hereinafter
referred to as the Memorandum) including all endorsements, renewals and
rewrites thereof.

ITEM 7:

LIMITS OF LIABILITY:
$100,000 per occurrence, offense, wrongful act, or any combination thereof,
including defense costs.

ITEM 8:

DEDUCTIBLE:
$10,000 per occurrence, offense, wrongful act, or any combination thereof,
including defense costs. The deductible is included in the limit of liability and
shall not increase limit of liability as stated in Item 7.
The deductible amount applies to payment of judgments, settlements and
defense costs. The Authority may pay any part of or all of the deductible
amount to advance defense costs or to effect settlement of any claim or suit.
Upon notification of any such action taken, the Authority will be reimbursed from
the fund which the Member will establish and maintain, as set forth in Item 9.

PGL Certificate of Coverage

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ITEM 9:

DEDUCTIBLE FUND:
Unless other arrangements have been made between the Member and the
Authority, the Member shall pre-fund a portion of anticipated losses within the
Members deductible. The deductible fund shall be reimbursed by the Member
upon receipt of an invoice from the Authority in order to maintain the balance
agreed upon by the Member and the Authority.

ITEM 10:

EXCLUSIONS (in addition to those in the GLI memorandum):

I. To liability any covered party may have, directly or indirectly, occasioned
by, happening through, or in consequence of:
a) War, including undeclared or civil war;
b) Warlike action by military force including action in hindering or defending
against an actual or expected attack, by any government, sovereign or
other authority using military personnel or other agents;
c) Insurrection, rebellion, revolution, usurped power, or action taken by
governmental authority in hindering or defending against any of these; or
d) Confiscation or nationalization or requisition or destruction of or damage
to property by or under the order of any government or public or local
authority.
II. To any loss, loss expense or other cost or expense:
a) Which would not have occurred, in whole or in part, but for the actual,
alleged or threatened inhalation of, ingestion of, contact with, exposure
to, existence of, or presence of, any fungi or bacteria on or within a
building or structure, including its contents, regardless of whether any
other cause, event, material or product contributed concurrently or in any
sequence to such injury or damage; or
b) Arising out of abating, testing for, monitoring, cleaning up, removing,
containing, treating, detoxifying, neutralizing, remediating or disposing of
or in any way responding to, or assessing the effect of fungi or bacteria,
by any covered party or by any other person or entity. This exclusion
does not apply to any fungi or bacteria, that are, are on, or are contained
in, a good or product intended for bodily consumption.
As used in this exclusion, fungi means any type of or form of fungus,
including mold or mildew and any mycotoxins, spores, scents or
byproducts produced or released by fungi.

ITEM 11:

DEFENSE COSTS:
The Authority will have the right and duty to defend any suit against a covered
party seeking damages for occurrences, offenses, wrongful acts or any
combination thereof, to which the Memorandum applies, even if such suit is
groundless, false or fraudulent. However, (1) the amount the Authority pays for
judgments, settlements or defense costs, or any combination thereof, is limited
to $100,000 for each and every occurrence, offense or wrongful act; (2) the
Authority may investigate, negotiate and settle any claim or suit, at the Authority's
discretion; and (3) any payment of amounts incurred hereunder will serve to
reduce the limits of Primary Liability coverage, as stated in this Certificate, and
the Authority's right and duty to defend ends when the Authority has used up the
applicable limit of liability of $100,000 each and every occurrence, offense or
wrongful act in the payment of judgments, settlements and/or defense costs

PGL Certificate of Coverage

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ITEM 12:

COVERED PARTYS DUTIES IN THE EVENT OF OCCURRENCE, OFFENSE,

WRONGFUL ACT, CLAIM OR SUIT:
The following condition supersedes and replaces Condition 4 of the
Memorandum, COVERED PARTYS DUTIES IN THE EVENT OF
OCCURRENCE, OFFENSE, WRONGFUL ACT, CLAIM OR SUIT:
(A) In the event of an occurrence, offense or wrongful act, written notice
containing particulars sufficient to identify the covered party and also
reasonably obtainable information with respect to the time, place, and
circumstances thereof, and the names and addresses of the injured and of
available witnesses, shall be given to the Authority or its authorized agents
as soon as practicable, after the individual responsible for the coverage at
the Member, or his/her designee, has knowledge of the occurrence,
offense or wrongful act.
(B) If claim is made or suit is brought against a party covered hereunder, the
covered party shall immediately forward to the Authority every demand,
notice, summons, or other process received by him/her or his/her
representative.
(C) The covered party shall cooperate with the Authority and, upon the
Authority'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 liable to the covered party because of liability
with respect to which coverage is afforded under this Certificate of
Coverage; and the covered party shall attend hearings and trials and assist
in securing and giving evidence and obtaining the attendance of witnesses.
The covered party shall not, except at its own cost, voluntarily make any
payment, assume any obligation or incur any expense.

ITEM 13:

ADMINISTRATION OF CLAIMS:
The administration of claims is the responsibility of the Primary General Liability
Program. The Primary General Liability Program agrees to satisfy, on behalf of
the Member, the requirements outlined in Section III.B. of the Underwriting and
Claims Administration Standards regarding the reporting of excess liability
losses.

ITEM 14:

CANCELLATION:
Cancellation of this coverage shall be in accordance with the terms and
conditions set forth in the Primary General Liability Memorandum of
Understanding and the applicable provisions of the Joint Powers Agreement.

Countersigned by:

Issue Date: June 24, 2016

Authorized Representative
CSAC Excess Insurance Authority

PGL Certificate of Coverage

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