Page 554 - Onboarding May 2017
P. 554
22.1 Commercial General Liability Insurance.
Distributor agrees to maintain, during the entire term of this Agreement and, notwithstanding
any provision to the contrary in this Agreement, commercial general liability insurance,
including, but not limited to, public liability, completed operations and product liability
coverage, in amounts not less than those reasonably required from time to time by Operator
and CSCS as communicated to Distributor in writing. The use of a commercial umbrella
policy is permitted to satisfy any minimum required insurance limits. Such coverage will be
written only on an occurrence based form unless the use of a claims made form is approved
in writing and in advance by Operator and CSCS.
22.2 Workers Compensation Insurance.
Distributor also agrees to maintain a policy of workers’ compensation insurance as required
by law in the state or states in which this Agreement is to be performed. In addition,
Distributor agrees that any state in which this Agreement is to be performed will be named
in section 3.A of the workers’ compensation declarations page for such policy.
22.3 Insurance Coverage.
Distributor’s insurance coverage will be provided by an insurance company or companies
with an A. M. Best’s rating of A- or better. The insurance coverage will be primary to any
coverage that Operator may have whether pursuant to or independent of this Agreement. The
insurance coverage will not in any way be endorsed, amended or otherwise restricted to limit
the coverage provided under a simplified commercial general liability insurance policy
promulgated by Insurance Services Office, Inc. or its successor organization.
22.4 Required Certificate of Insurance.
Distributor agrees to furnish, together with its execution of this Agreement and thereafter in
advance of any annual renewal of or any relevant and material change in the Distributor’s
insurance coverage, a fully complying current certificate of insurance for Operator’s
approval, which certificate will list Operator as an additional insured on the Distributor’s
commercial general liability policy only. Notwithstanding the foregoing, Operator’s or
CSCS’ review or approval of such certificate will not relieve Distributor to any degree of its
obligation to maintain the required coverage.
22.5 Change in Insurance Coverage.
Distributor will notify Operator and CSCS at least 30 days in advance of any relevant and
material changes in Distributor’s insurance coverage. Each certificate will indicate that the
coverage will not be canceled, or modified (to Operator’s or CSCS’ detriment), until at least
30 days prior written notice has been given to Operator and CSCS. The insurance
requirements set forth in this Agreement are minimum coverage requirements and are not to
be construed in any way as a limitation on Distributor's liability under this Agreement.
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