Insurance Law: What Every Practitioner Should Know

Featuring:

Les W. Robertson, Esq. Cheryl Dunn Soto, Esq.

Presented by:

Insurance/Bad Faith Law Section of the

San Diego County Bar Association

Tuesday, July 1, 2014 12:00 – 1:15 p.m.

1.0 GEN

1

EXHIBIT 1

ffisl COMMON POLICY DECLARATIONS

POLICY NO. GL RENEWAL OF:

"oMPP.. A MEMBER COMPANY OF AMERtCM! /NTERNATIOI'.JAL GROUP, tNC.

NAMED INSURED MAILING ADDRESS

POLICY PERIOD: From 06/30/03 / To 06/30/04 .,· . At 12:01 A.M. Standard Time at your mailing address shown above

BUSINESS DESCRIPTION CONSTRUCTION

IN RETURN FOR THE PAYMENT OF THE PREMIUM, AND SUBJECT TO ALL TERMS OF THIS POLICY, WE AGREE WITH YOU TO PROVIDE THE INSURANCE AS STATED IN THIS POLICY.

THIS POLICY CONSISTS OF THE FOLLOWING COVERAGE PARTS FOR WHICH A PREMIUM IS INDICATED. THIS PREMIUM MAY BE SUBJECT TO ADJUSTMENT PREMIUM

Boiler and Machinery Coverage Part Commercial Auto Coverage Part Commercial Crime Coverage Part Commercial General Liability Coverage Part Commercial Inland Marine Coverage Part Commercial Property Coverage Part Farm Coverage Part

Premium shown is payable: $ at inception.

$ $ $ $ $ $ $

TOTAL $ SURCHARGE $

Forms applicable to all Coverage Parts: -"S"'I,:"E::..::::A,_,To;T::;Az:C::;H=E::::D'-7S"'C'-'H-7E::;D=U::!L:::E:!. _

(Show numbers)

COUNTERSIGNED

::::"· :"·

'""

"'"&"'oo'C"' nr -··

In Witness Whereof, we have caused this policy to be executed and attested, and, if required by

{/ S.o

AMERICAN INTERNATIONAL SPECIALTY LINES INSURANCE COMPANY 175 Water Street

New York, N.Y.10038 A Capital Stock Insurance Company

A MEMBER COMPANY OF AMERICAN INTERNATIONAL GROUP, INC.

NOTICE:This Insurance company Is not licensed by the state of New York

COMMERCIAL GENERAL UABIUTY DECLARATIONS POUCV NO. Gl

NAMED INSURED MAILING ADDRESS

POLICY PERIOD:Frem 06/30/03 to 06/30/04 at

12:01 A.M. Standard Time at your maUing address shown above

IN RETURN FOR THE PAYMENT OF THE PREMIUM, AND SU CT TO ALL TERMS OF THIS POLICY, WE AGREE WITH YOU TO PROVIDE THE INSURANCE AS STATED IN THIS POLICY.

LIMITS OF INSURANCE

GENERAL AGGREGATE UMIT (Other Than Prod-Comp Operations} $ PROOUCT5-COMPI.ETED OPERATIONS AGGREGATE UMIT $ PERSONAL & ADVERTISING INJURY LIMIT $ EACH OCCURRENCE LIMIT $ FIRE DAMAGE UMIT $ MEDICAL EXPENSE UMIT $

Forms 01 Business: DIndividual 0Partnership 0Joint Venture

Buslneas Description: CONSTRUCTION

11 ;000,000 lJ ,ooo,ooo 3,000,000 3,000,000

50 ,000 Any One Fire 5 ,ooo Any One Parson

[!]Organization tother then Putnen.hip

or J-alnt Venturet

Location 01 AllPrtlmlaea You Own, Rant or Occupy: SEE ATTACHED SCHEDULE

I COO£ NO. I PREMIUM 8AS!S I RATE. j

SEE ATTACHED SCHEDULE

atln . Premium 1or CertifiH - of Terrorlam Undor T"""rlam Rlalr. lnau....,.,. Ad 2002:

Not Applicable, Coverage Rejected By lnsurad

49983 (4/90}

ADVANCE PIIIMIUM I 1'!1/CO I AJJ. tm!ER

! TOTAL: s I

EXHIBIT 2

( COMMERCIAL GENERAL UABIUTY COVERAGE PART

DECLARATIONS

LlMlTS OF IN$UI!ANCE 1g;Q:tA.M•• S\an

Genera!A• Llm(lOI!wrThan Prodooi>-Compi!!ll'nls!lioo

a..iSO -{11--SS)elac.:e.psCcpy>Jsht, . IrSel\'!aes. 00ce; !r.e., 1003, 1!.lM fesa 1 cl1

\ o-r

EXHIBIT 3

This Declaration Page is attached to and forms part of certificate provisions (Form SLC-3). Previous No. Authority Ref.No. 111855 Certificate No.

EACH OF THE COV&RAGE SECTIONS OF THIS POLICY (MANAGED CARE ERRORS AND OMISSIONS, DIRECTORS & OffiCERS AND INSURED ORGANIZATION UABILITY, AND El\IPLOY!IIENT PRACTICES COVERAGE SECTIONS, WilEN APPLICABLE) IS WRITTEN ON A CLAIMS-MADE BASIS. EXCE:PT AS OTHERWISE PROVIDED, COVERAGE EXTE DS ONLY TO TIIOSE CLAIMS TIIAT ARE FIRST MADE AGAINST THE INSURED DURING TilE POLICY PERIOD, AND REPORTED TO UNDERWRITERS NO LATER THAN SIXTY (60) DAYS AFTER TilE CLAIMS ARE FIRST MADE.

Item A

Item B.

Item C.

Item D.

Named Insured: Principal Address: Policy Period: February 15,2012 to February 15,2013

both days at 12:01 a.m. Standard Time at the Principal Address stated in Item A. limits of Liability: 52,000,000.00 iu the aggregate for all Covemge Sections combined Coverage Section Description(s): Managed Care Errors and Omissions: a) Limits of Liability: $ 1,000,000.00 per each Claim

$ 2.000,000.00 in the aggregate for all Claims under dlis Coverage Section b) Retention: $ 50,000.00 each Claim c) Retroactive Date: November 6, 200 I

(See Section C. EXCLUSIONS, r.) Directors & Officers and Insured Organization liability: a) Limits of Liability: $ 1,000,000.00 per each Claim

$ 2,000,000.00 in the aggregate for all Claims under this Coverage Section b) Retention: $0.00 each Claim all Directors and Officers under Insuring Clause I.

$ 50,000.00 each Claim under Insuring Clause 2. S 50,000.00 each Claim under Insuring Clause 3.

c) Pending & Prior Date: February 15,2006 (See Section C. EXCLUSIONS, m.)

d) Retroactive Date: November 6, 2001 (See Section C. EXCLUSIONS, v.)

Employment Practices: a) Limits of Liability: Not Applicable per each Clnim

Not Applicable in the aggregate for all Claims under this C.overage Section b) Retention: Not Applicable each Claim c) Pending & Prior Date: Not Applicable

(See Section C. EXCLUSIONS. h.) d) Retroactive Date: Not Applicable

(See Section C. EXCLUSIONS, I.)

Item E.

Item F.

Premium: $16,733.00

3% California State Tax 0.250% Stamping Fee

Notification under the Certificate shall be given to:

NAS Jnsurance Services, Inc. 1650 I Ventura Boulevard, Suite 200 Encino, CA 91436 (818) 382-2030

s 501.99 s 41.83

D1855ED-1111CA Page I of2

of' 2

By: ----------1--2 .-J..

Item G. Policy fonn PJSSSM-1111 and Applicatio11 fonn dated Ja11uary 23, 2012 arc hereby attached and made a part of this Policy. \Vherever in any of the forms, clauses or conditions of this insurance the word "Policy" appears, this shall be deemed to be "Certificate . Fonn Numbers of Endorsements attached at Policy issuance: El855MB-0309, Et85SME-08t0, Et85SMAT-0309, EI855MF-0309, EISSSMBC-0309, El8S5MBR-10!1 Insurance is effected with certain UNDERWRITERS AT LLOYD'S, LONDON (100%)

Item H. Senice of Suit:

Mendes & Mount. LLP 445 S. Figueroa St., Suite 3800 Los Angeles, CA 90071-1601

Dated February 10,2012 NAS INSURANCE SERVICES, INC.

'Q,lr:.._, Corre - n-de-nl------------

DI8 5ED-lli!CA

2 cP 2

EXHIBIT 4

INSURANCE PROFESSIONALS ERRORS AND OMISSIONS POLICY WITH EMPLOYMENT PRACTICES LIABILITY

COVERAGE

CLAIMS MADE AND REPORTED FORM

THE COVERAGE AFFORDED BY THIS POLICY IS LIMITED TO LIABILITY FOR THOSE CLAIMS FIRST MADE AGAINST THE "INSURED" AND REPORTED IN WRITING TO US DURJNG THE POLICY PERIOD. READ THE ENTIRE POLICY CAREFULLY TO DETERMINE RIGHTS,DUTIES AND WHAT IS AND IS NOT COVERED.

Throughout this Policy, the words 'you' and 'your' refer to the Insured shown in the Declarations, and any other person or organiZation qualifying as an Insured under SECTION Ill. WHO IS AN INSURED of this Policy. The words 'we', "us" and "our' refer to the Underwriters providing this insurance. Other words and phrases that appear in bold also have special meaning. Refer to SECTION VII. DEFINITIONS.

In consideration of the payment of the premium, and in reliance upon the statements made and information provided in the Application and any supplemental matertals submilled, which are deemed attached to and incorporated in this Policy, and subject to all of the terms, conditions and limitations of this Policy and endorsements thereto, we agree with the Insured as follows:

I SECTION I. COVERAGE

1. INSURING AGREEMENTS

A. Professional Liability Insurance

We II pay on behalf of the Insured those sums in excess of the deductible amount specified in Item 4a of the Declarations which the Insured shall become legally obligated to pay as Damages resulting from any C!aim(s) first made against the Insured during the Policy Period and reported in writing by the Insured to us as soon as practicable, but in no event later than thirty (30) days after the end of the Policy Period or any Extended Reporting Period (if applicable), for any Wrongful Act of the Insured in the performance of or failure to perform Professional Services, but only if such Wrongful Act first happens on or after the Retroactive Date set forth in the Declaration and provided thaprior to the effective date of the first policy issued by us to the Insured and continuously renewed and maintained in effect to the inception of this Policy Period:

1) the Insured did not give notice to any prior insurer of such Wrongful

Act; and 2) the Insured had no reasonable basis to believe that the Insured had

breached a professional duty or to foresee that a Claim would be made against the Insured; and

3) there is no prtor policy or policies which provide insurance for such liability or Claim unless that available Limit of Liability of such prior policy or policies are insufficient to pay any liability or Claim in which event this Policy will be excess over any such prior coverage, subject to this Policy's terms, Limtts of Liability, Exclusions and Conditions.

M!SCIINS (1109) 2

of"L

of the judgment and before we have paid, tendered or deposited in court that part of the judgment which does not exceed the Limtt of Liability set forth in policy SECTION IV.LIMITS OF LIABILITY AND DEDUCTIBLE.

c. Pay premiums on appeal bonds required in any Claim brought against the Insured alleging a Wrongful Act or an Emplo)ll11ent Practices Wrongful Act covered by this Policy, and/or premiums on bonds to release attachments for an amount not in excess of the Limtt of Liability, but without any obligation to apply for or furnish any such bonds.

D. Pay all reasonable expenses, other than loss of earnings or salartes, incurred by the

Insured at our request.

We have the rtght to make such investigation and conduct negotiations and enter into such settlement or compromise of any Claim or suit as we deem expedient. However, we shall not settle any Claim wtthout the prtor consent of the Insured. If, however, the Insured refuses to consent to a settlement or compromise recommended by us, our duty to defend shall then cease and the Insured shall thereafter at the Insured's own expense, negotiate or defend such Claim independently of us and our liability shall be limtted to the amount of Damages !or which the Claim could have been settled, if such recommendation had been consented to, and for all Claim Expenses incurred up to the time of such refusal.

The total amount we will pay for Damages and Claim Expenses is limited, as described in SECTION IV. LIMITS OF INSURANCE AND DEDUCTIBLE. Our right and duty to defend any Claim ends when we have used up the applicable limit of insurance in the payment of Damages and/or Claim Expenses.

I SECTION II.EXCLUSIONS

A. Exclusions Applicable to Insuring Agreements A.,B.and C.:

We will not defend any Claim or pay any Damages or Claim Expenses based upon, arising out of, directly or indirectly relating to or in any way involving:

1. A dispute concerning the payment of fees, commissions or other remuneration to an

Insured.

2. Falsification of any offer of an insurance contract or document, including but not limited to quotes, binders, indications or policies.

3. Insolvency, bankruptcy, liquidation, receivership, rehabilitation or financial inability of

the following, including but not limited to the failure, inabiltty, or unwillingness to pay Claims, losses, or benefits due to the insolvency, liquidation or bankruptcy of:

a. Any insurance company; or b. Any reinsurer; or c. Employee benefit plan; or d. Any seW-insured program; or e. Any trust; or f. Any rtsk retention group; or g. Any nsk purchasing group.

MISCIINS (1/09) 4

7_ "_""..ez..

EXHIBIT 5

and that in any suiT instituted against any one of them upon this contract, UndeiWiiters will abide by the final decision of such Court or of any Appellate Court in the event of an appeal.

The above named are authorized and directed to accept service of process on behalf of Underwriters in any such suiT and/or upon the request of the Insured (or Reinsured) to give a written undertaking to the Insured (or Reinsured) that they will enter a general appearance upon Underwriters' behalf in the event such a suit shall be instituted.

Further, pursuant to any statute of any state, territory or district of the United states which makes provision therefore, UndeiWiiters hereon hereby designate the Superintendent, Commissioner or Director of Insurance or other officer specified for that purpose in the statute, or his successor or successors in office, as their true and lawfulattorney upon whom may be served any lawful process in any action,, suit or proceeding instituted by or on behalf of the Insured (or Reinsured) or any beneficiary hereunder artsing out of this contract of insurance (or reinsurance), and hereby designate the abcve-named as the person to whom the said officer is authorized to mail such process or a true copy thereof.

I SECTION Vli- DEFINITIONS A- Administrative Hearing means any proceeding by a regulatory or disciplinary official or

agency to investigate charges made by a client or former client alleging professional misconduct in performing or failir'Q to perform ProfessionalServices.

B- Claim(s) means an oral or written demand received by the Insured for money, including

the service of suiT or institution of arbiTration proceedings against the Insured or the service of a complaint filed with the Equal Employment Opportunily Commission or with a comparable state or localgovernmental agency.

C. Claim Expenses means all reasonable and necessary fees, costs and expenses incurred

in connection wtth the investigation, adjustment defense and appeal of a Claim, including the fees charged by an attorney designated by us. Claim Expenses do not include the salaries of the Insured.

D- Coverage Territory means the United States of America, its terrttories and possessions,

Puerto Rico and Canada

E- Damages means any amount that the Insure

a. Reatttution, fines, penatties, sanctions, taxes or multiplied damages; b. PuniTive or exemplary Damages where such Damages are not insurable because of

State or Federal Law; c. Penatties imposed by law or monies paid to the Insured as fees or expenses for

Professional Services rendered which are to be reimbursed or discharged as part of a judgment or settlement; or

d. Claim Expenses; e. Costs incurred or payments required to modify, adapt, or renovate any building or

property in order to make such building or property more accessible or accommodating to any disabled person;

f. Medical benefits, whether in the form of direct payments of medical costs or peyment of insurar.ce premiums to maintain medical coverage, or contributions to any medical insurance of any type;

MISC/INS (1109) 15

\ '-/

·-"

FORMS SCHEDULE

EFFECTIVE DATE: 06/30/2003

NAMED INSURED:

POLICY NO: GL

FORMS NO. DESCRIPTION

81751)(3/03) 81771 (3/03) 11..00030702 II..00171U8 IL0021 0702 IL022807 02 C000011001 co 008212 02 CO 02 2410D3 CG20 101185 CG2147 07 98 CG214S0798 CG224301sa CG240410B3 CG25031185 58332 (7193) 61707(12194) 62132 {3195) 62888 (7198) 64010 (11195) 85158 (4196) 85185 (4196) 87285 (3197) 87448( 7) 71709 •.. 81127 (12102) ENDORS!!MENT # 01 ENDORS!!MENT t 02 ENDORS!!MENT # 03 ENDORSEMENT# 04 ENDORSEMENT# 05 ENDORSEMENT I 08

COMMON POLICY DEC!..ARATlONS COMMERCIAL GENERAL LIABil.fiY DECLARATIONS NOTICE TO POLICYHOLDERS MICHIGAN POLICYHOLDER NOTICE CALCULATION OF PREMIUM COMMON POLICY CONDmONS NUCLEAR ENERGY LIABll.flYEXCLUSION ENDORSEMENT (Broad Form) COCHANGES-CANtNONRENEW COMMERCIAL aENERAL LIABll.flY COvERAGE FORM

• WAR LIABll.fiY EXCLUSION EARUER NOTICE OF CANCELLATION PROVIDED ElY US

-ADDITIONAL INSURED •OWNERS,lESSEES OR CONTRACTORS (FORM!I) l!MPLOYMENT-RELATED PRACTICES EXCLUSION Tl;lTAL POLLUTION EXCLUSION ENDORSEMENT

.vexCLUSION-ENGINEERS, ARCHITECTS OR SURVEYORS PROFESSIONAL LIABILITY WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US AMENDMENT-AGGREGATE UMITS OF INSURANCE (PER PROJECT) TOTAL LEAD EXCLUSION AMENDMENT OF DIJTIES IN THE EVENT OF OCCURRENCE,OFFENSE,CI.AIM OR SUIT UNINTENTIONAL ERRORS OR OMlSSlONS RADIOACTIVEMATTER EXCLUSION LENGTH OF WATERCRAFT ADJUSTMENT ENDORSEMENT SROAD FORMNAMED INSURED (ADIJITIONAL ENTITIES) ASBESTOS EXCLUSION ENDORSEM"..NT

-AMENDMENT OF OTHER INSURANCE UMITED JOlNT VENTURE COYERAGE cOMPOSITE RATING PLANPREMlUM ENDORS!!MENT TERRORlSM EXCLUSION JOlNT VENTURE EXcLUSION ENDORSEMENT AMENDMENT OF FELLOW EMPLOYEE EXCLUSION .SUPERVISORY PERSONNEL ONLY CLOSE OF ESCROW ENDORSEMENT cLOSE OF ESCROW ENDORSEMENT ADDmONAL INSURED • OESIGNATEO PERSON OR ORGANIZATION CI.AIM SERIES ENDORSB!ENT

.-- POLICY NO:

FORMS ENDORSEMENT

The following are the forms attached to and forming a part of the policy at inception:

I --··

I'HN 3004 I'HN 5034 GLJ?-1001 CL150 00-GL 3877 00-GL 3896 CG00010798 CG00570999 CG00521202 CG20101185 CG21351093 CG21470798 CG215301.96 CG21550999 CG21671204 C021B61204 CG21960305 CG2234079B

CG22430798

CG23011204

CG24041093

CG24250704 GLE-W23 GLX-8101 ICB-6003

ICB-6005 ICB-6007 ICB-6015

{01/03) Important Notice Regarding Te=orism Coverage

{01/05) Notice To Policyholders {01/03) General Liability Policy Declaration {Ifc) (11/85) commercial General Liability coverage Pa:rt

Declaration (12/03) Exclusion Of Certified Acts Of Te=orism

l'.nd other Acts Of To;>:t;rorism (08/04) Conditional EXclusion Of Ten-orism

Commercial General Liability Coverage Form l\lllenilmeJlt Of ll)>;uring l'.greement-Known Injury Or Da;-nage War Liability Exclusion Additional InsUred- ers, Lessees or Contractors {Form B) Exclusion-CO"".reraga C-Medical :Payments Emplo t-Ralated Practices Exclusion Exclusion-Designated Ongoing Operations Total Pollution Exclusion With A Hostile Fire ExceptiOD. Fungi Or :Bacteria Exclusion Exclusion - Exteri'or Insulation Ji.n FiiD h Syst8lll.S Silica Or Silica Related Dust Exclusion Exclusion-Construction Management Errors And. Omissions Exclusion-Engineers, Architects 0:;" SurveyorE Professional Liability Exclusion - Real Estate Agents Or Brokers Errors Or Omissions Waiver Of Transfer Of Rights Of Recovery Against Others To Us

· Jl...men.ament Of Insured Contract Definition {07/93) De ctible Liability Insurance (02/05) Repo_rting A Claim (12/04) 11lilen

/' (

J

ICB-6020 ICB-6024

ICB-£026

ICB-7006

ICB-9001

ICB-!l002 II,00030498 II,Q0171185 Th00210498

MSN-8007 MST-8003 XSE-1022

(Cgl) (07/05) Certain lvood Preservativces Exclusion (Cgll (06/05) Lead Exclusion - Co!nrnercial General

:t,iability (06/05) Asbestos Exclusion- Connnercial General·

Liability . (07 (05) SUb-Contractor.; Independent Contractors

Conditional Coverage With Da111age And Expense Limit

{04/05) Minimum Eru:ned Premium And Premium Audit Endorsement

(06/05) Service Of Suit Calculation Of Premium common Policy ConditioilE Nuclear Energy Liability Exclusion Endorsement (Broad Form)

(04/01) Validation Fonn {09/91) Commercial Insura. ce Policy {H/991 Pre-Existing Damage Exclusion ·

I,

'

ALL OTHER TERMS AND CON!JlTIONS OF THE POLICY ReMAIN UNCHANGED.

'··...-'

XSE-1001(01/!l6){Ed.011ES)elac.eps

EXHIBIT 6

ENDORSEMENT# 013

This endorsement, effective 12:01 AM 0913012007

Forms a part of policy no.:

Issued to

By:

PRIOR WORK EXCLUSION

It is hereby understood and agreed that this policy shall not respond to any claims that arise from comp!eted work done bv or for thA ln

EXHIBIT 7

II-. DEDUCTIBLE LIABILITY INSURANCE - - THIS ENDORSEMENT CHANGES fHEPOLTCY PlEASE READIT CAREFUlLY.

SCHEDULE Of DEDUCTIBLES

Coverage Amount and Basis of Deductible

Bodily Injury Uabirrty

Property Damage Uabillty Bodily Injury and Property Damage Uabilir; Combined

10,000 Each·Occummce

If no ently appears above, information requirecl to complete this endDfSement will be shown in the Dealarations as applk:ab/e to this endorsement. ·

Al'Pl.ICAT!ON OF ENDORSEMENT (Enter below any lfmitafions on the applicatfon of this endorsement. If no limitation is entered, the deduotibles apply to damages for ail "bodily injury" and "property damage', however caused):

I. Our obugalionurderlhe Bodi!Y lnjtny Liabijiiy andProperty Damage llabfllly Coverages to pay damages on your behaapplies only lo 1he amoUfl! oldamages In excess of any daduc!lbie amcunls staled in !he Schedule above as appffceble tri..suCh coverngss, and the fiml!s of insurance appicable to 'each occurrence'lor suchC

•

I I i

(

B. PER OCCURRENCE BASIS - ff the deduclible is on 'per occurrence' basis,the deductible amount applies:

1. Under the Bodily lnjmyLiability or Property Damage LiabiHty Coverage,respectively;

a. To aU damages because of 'bodily lrjury• as the result of any one "occurrence•,or

i b. regardless of the number of persons or organizafions who sustain damages because of I 1hat occurrenc£0

2. Under Bodily Injury Uabifity and Prqpsrty Damage Llabilliy Coverage combined to all

damages because of 'bodily injury• and "property

EXHIBIT 8

Claims Reporting

Ali claims should be reported innnediately. It is imperative that possible.

receive notice of a claim as soon as

Claims can either be repmted directly to . or to your agent for processing.

All legal notices should be sent by fax or overnight mail. Many states have limited time frames to file a responsive pleading, thus requiring overnight mail.

If you want to report directly to information:

, please use one of the methods listed below and include the following

1. Name of the insured 2. Policy number and policy dates 3. Date of the loss 4. Detailed description ofhow and where loss occurred 5. Names, address, home and cell phone numbers of a!! persons involved 6. Business, home and cell phone numbers of insured 7. Police department name and case number, if reported to police 8. Detailed description of injury or damages

Claims can be reported in the following ways:

1. Phon

------- ---)

REPORTING A Cl.AJM

-r----··$committed to providing Insureds and clients with effective claim service.

In!he event of an incitlent whichmay result in a claim,an actualclaim, or your receipt of suit papers,please follow the procedures outlined below.

SUGGESTiONS FOR REPORTING CLAIMS

NOTICE OF EACH INCIDENT,C AIM OR SUIT SHOUW IMMEDIATELY BEHE?ORTED TO:

33W.Monroe street Chicago,Illinois 60603

Phone Numbs;; (312) 346-6400 1·(800)·628-8574.

To enable us to respond more qulcl\ly and efflcienlly,whenever possible, please fax or email a completed claims notice form and any pertinent details of the claim directly tothe Claim Department at

Pacsimue No. (312) 84!j.l!720 Nln: s?

EXHIBIT 9

Each policy also contains "Amended Definition of Claim Endorsement", form no. E562 (6/1/2006), which provides as follows:

This endorsement modifies insurance provided for under the following:

Professional Liability

AMENDED DEFINITION OF CLAIM ENDORSEMENT

The following is deleted from the policy:

Section IV Conditions 2. Duties in the Event of an Act, Error, Omission, Claim or Suit

A. Notice of an "incident" is notice of a "claim"

The following definition of claim is deleted:

Section VI Definitions 2. "Claim" means a written or verbal demand received by the "insured" for money or services, including service of "suit" o institution of arbitration proceedings against the "insured. "

And replaced with the following definition of a claim:

"The unqualified word 'claim' whenever used in the Policy shall mean a

written demand received by the insured for monev_,or services, including the service of suit or demand for arbitration against the insured. The filing of suit, or the filing of demand for arbitration, shall not constitute a claim within meaning of the policy. "

All other terms, conditions, provisions and exclusions of this policy remain unchanged.

* * *

Per the above-quoted policy language, a third party's written demand for money or services received by the insured during the policy period (which must also be reported tc during the policy period) is a condition precedent to obtain coverage under the respective policies.

cF I