Common use of Insurance to be Carried Clause in Contracts

Insurance to be Carried. Manager during the term of this Agreement shall keep in force at its expense the following insurance: (a) Commercial general liability insurance for claims of bodily injury and property damage due to the management, operation and maintenance of the Properties. Such insurance shall have a combined single limit of not less than Ten Million Dollars ($10,000,000) each occurrence/aggregate. Owner should be named as additional insured. (b) Workers’ Compensation insurance in accordance with statutory law and employers’ liability insurance with a limit of not less than One Million Dollars ($1,000,000) per accident, One Million Dollars ($1,000,000) disease policy limit, and One Million Dollars ($1,000,000) disease limit each employee. (c) Business auto liability coverage insuring bodily injury and property damage with a combined single limit of not less than One Million Dollars ($1,000,000) per accident for owned, non-owned and hired vehicles. (d) A fidelity bond with a corporate surety or employee dishonesty/crime insurance covering all employees who handle or are responsible for the rents and revenues from each of the Properties or for the payment of expenses from Owner’s account. The fidelity bond shall be in the amount not less then Five Million Dollars ($5,000,000) with a maximum deductible of Two Hundred Fifty Thousand Dollars ($250,000). The bond shall include a loss payable endorsement in favor of Owner. (e) Professional Liability coverage with limits not less then Five Million Dollars ($5,000,000) per incident and Five Million Dollars ($5,000,000) annual aggregate covering real estate management operations and leasing operations when applicable. (f) To the extent carried by other property managers in the same market, any other insurance reasonably required by Owner, or required by law. The policies required to be maintained by Manager shall be with companies rated A- or better by Standard & Poors or A- to very good by the A.M. Best Company. Insurers shall be licensed to do business in the state in which the Property are located and domiciled in the USA. Certificates of insurance shall be delivered to Owner prior to the Commencement Date of the Agreement and not less than annually thereafter at least ten (10) days prior to the expiration date of the old policy. Each policy of insurance shall provide notification to Owner at least thirty (30) days prior to any cancellation or modification to reduce the insurance coverage.

Insurance to be Carried. Manager during the term of this Agreement shall keep in force at its expense the following insurance: (a) Commercial general liability insurance for claims of bodily injury and property damage due to the management, operation and maintenance of the Properties. Such insurance shall have a combined single limit of not less than Ten Million Dollars ($10,000,000) each occurrence/aggregate. Owner should be named as additional insured. (b) Workers’ Compensation insurance in accordance with statutory law and employers’ liability insurance with a limit of not less than One Million Dollars ($1,000,000) per accident, One Million Dollars ($1,000,000) disease policy limit, and One Million Dollars ($1,000,000) disease limit each employee. (c) Business auto liability coverage insuring bodily injury and property damage with a combined single limit of not less than One Million Dollars ($1,000,000) per accident for owned, non-owned and hired vehicles. (d) A fidelity bond with a corporate surety or employee dishonesty/crime insurance covering all employees who handle or are responsible for the rents and revenues from each of the Properties or for the payment of expenses from Owner’s account. The fidelity bond shall be in the amount not less then Five Million Dollars ($5,000,000) with a maximum deductible of Two Hundred Fifty Thousand Dollars ($250,000). The bond shall include a loss payable endorsement in favor of Owner. (e) Professional Liability coverage with limits not less then Five Million Dollars ($5,000,000) per incident and Five Million Dollars ($5,000,000) annual aggregate covering real estate management operations and leasing operations when applicable. (f) To the extent carried by other property managers in the same market, any other insurance reasonably required by Owner, or required by law. The policies required to be maintained by Manager shall be with companies rated A- or better by Standard & Poors or A- to very good by the A.M. Best Company. Insurers shall be licensed to do business in the state in which the Property are located and domiciled in the USA. Certificates of insurance shall be delivered to Owner prior to the Commencement Effective Date of the Agreement and not less than annually thereafter at least ten (10) days prior to the expiration date of the old policy. Each policy of insurance shall provide notification to Owner at least thirty (30) days prior to any cancellation or modification to reduce the insurance coverage.