CITY OF FERGUSON, et al.,
Plaintiffs,
v.
ST. LOUIS AREA INSURANCE TRUST,
Defendant.

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Cause No.: 16SL-CC02387
Division:

5

CITY OF FERGUSON’S MOTION FOR LEAVE
TO FILE AMENDED PETITION
COMES NOW Plaintiff City of Ferguson and hereby seeks leave to file its
Amended Petition (attached hereto at Tab A) against St. Louis Area Insurance
Trust – the only amended pleading it has filed with the Court. As grounds for
this filing, City of Ferguson states that the amended filing is being made to
incorporate facts developed in discovery, including those obtained via the
deposition of SLAIT’s corporate designee, which facts City of Ferguson believes
clearly demonstrate SLAIT’s liability to City of Ferguson under the disputed
liability insurance policy. While SLAIT’s counsel, after being presented with a
copy of the Amended Petition, has represented that he does not consent to the
filing of this Amended Petition, he has indicated that since the Missouri civil
rules provide that leave should be freely granted, it is unlike that SLAIT will file
any objection to the filing. Given the current posture of this case, no party will
be prejudiced by granting leave for the Amended Petition to be filed.
WHEREFORE Plaintiff City of Ferguson hereby pray for an Order from this
Court granting it leave to file its Amended Petition attached hereto at Tab A.

Electronically Filed - St Louis County - August 28, 2018 - 12:05 PM

THE CIRCUIT COURT OF ST. LOUIS COUNTY
STATE OF MISSOURI

 LEWIS RICE LLC
By: /s/ Ronald A. Norwood
Ronald A. Norwood, #33841
Jacqueline K. Graves, #64875
600 Washington Avenue, Suite 2500
St. Louis, MO 63101
Telephone: (314) 444-7759
Facsimile: (314) 612-7759
rnorwood@lewisrice.com
jgraves@lewisrice.com
Attorneys for Plaintiff
City of Ferguson
CERTIFICATE OF SERVICE AND
CERTIFICATE OF COMPLIANCE WITH RULE 55.03(a)
I hereby certify that a copy of the foregoing pleading was served by the
Court’s electronic filing system on this 28th day of August, 2018, on the counsel
of record. In addition, the undersigned counsel certifies under Rule 55.03(a) of
the Missouri Rules of Civil Procedure that he has signed the original of this
Certificate and the foregoing pleading.
/s/ Ronald A. Norwood

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Respectfully submitted,

 Electronically Filed - St Louis County - August 28. 2018 - 12:05 PM

Tab A

CITY OF FERGUSON, et al.,
Plaintiffs,
v.
ST. LOUIS AREA INSURANCE TRUST,
Defendant.

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Cause No.: 16SL-CC02387
Division:

5

AMENDED PETITION OF THE CITY OF FERGUSON
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”), and
for its Amended Petition against the St. Louis Area insurance Trust (“SLAIT”),
states as follows:
GENERAL ALLEGATIONS
1.

City of Ferguson is a constitutional charter home rule city located

in St. Louis County, Missouri, which operates pursuant to Article VI, Section 19
of the Missouri Constitution and its Home Rule Charter.
2.

Defendant SLAIT is an insurance trust, formed and operating under

the laws of the State of Missouri, for the sole and specific purpose of providing
a self-insured liability program and other self-insured programs for political
subdivisions located within the State of Missouri.
3.

For all relevant time periods, SLAIT procured one or more policies

of insurance or reinsurance that provided coverage for certain liability losses
covering various municipal entities, including City of Ferguson.
4.

At all times relevant to this action, City of Ferguson was a

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THE CIRCUIT COURT OF ST. LOUIS COUNTY
STATE OF MISSOURI

 conjunction with its authorized agents, acted in a trust capacity in the
administration of various insurance programs for SLAIT members. Pursuant to
various Public Entity Liability Insurance Policies issued by SLAIT to City of
Ferguson under its insurance programs, and given City of Ferguson’s status as
a SLAIT member and trust beneficiary, SLAIT, as well as various brokers and
agents retained by SLAIT to procure insurance coverage for SLAIT members,
owed City of Ferguson certain fiduciary duties, which duties included, but were
not limited to, the following:
a) a duty to procure appropriate liability insurance coverage for
claims that might be asserted against City of Ferguson as it
relates to its municipal operations;
b) a duty to provide notice of any inability to obtain appropriate
liability coverage for City of Ferguson as it relates to its municipal
operations and provide timely notice of any gaps in liability
coverage;
c) a duty to provide a defense and defense counsel who would be
free of any conflicts of interest, as well as avoid any conflicts of
interest by SLAIT and any SLAIT agents, and, if such conflicts of
interest arose, a duty to promptly notify City of Ferguson about
such conflicts, to not exploit such conflicts for its own financial
interests and to City of Ferguson’s detriment, and to not aid and
abet any such violations of any fiduciary obligations that might
be owed to City of Ferguson;
d) a duty to act honestly to effectually indemnify and save City of
Ferguson harmless and make payments to effectuate a
settlement in cases where requested to avoid financial harm to
the City;
e) a duty not to disregard the financial interests of City of Ferguson
in the hopes of escaping the full responsibility imposed upon
SLAIT by its policies and insurance programs;

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member/participant in SLAIT -- which was set up as a trust and, working in

 g) in the case of a lawsuit and demand by City of Ferguson, if SLAIT
assumed control over any defense to litigation involving City of
Ferguson, a duty to settle such lawsuits within any applicable
policy limits and act in accordance with such directives regarding
settlement to avoid financial harm and liability exposure for the
City of Ferguson.
5.

During various time periods, including Policy periods that extended

from July 1, 2010 through July 1, 2015, City of Ferguson was covered by a
SLAIT issued Public Entity Liability Insurance Policy – Claims Made (Policy
#GL007-14)(hereinafter referred to as the “Policy” and a complete copy of which
is attached hereto as Exhibit 1).
6.

The Policy provided coverage to City of Ferguson for certain liability

claims asserted against City of Ferguson, including “Claims” and damages
because of “Bodily Injury,” “Person Injury”, “Property,” and “Errors and
Omissions”.
7.

Under the Policy, “Claim” is defined as “a demand received by any

insured for damages alleging injury or damage to persons or property, including
the institution of a suit for such damages against any insured.”
8.

“Suit” is defined in the Policy as “a civil proceeding in which

damages because of bodily injury, property damage, personal injury or
advertising injury, acts, errors, or omission (or a first in a series of such offenses)
to which this insurance applies are alleged.”
9.

“Bodily Injury” is defined in the Policy as “bodily injury, sickness or
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f) a duty to advise and provide proper and clear notice to City of
Ferguson regarding the basis for any denial of coverage and
provide a clear and proper reservations of any rights with respect
to any dispute over liability coverage; and

 any time.”
10.

“Errors of Omission injury” is defined in the Policy as “injury (other

than ‘bodily injury, property damage’, [sic] advertising injury’, or ‘personal
injury’) that arises out of an insured’s act, error or omission (or a related series
of acts, errors or omissions) within the scope of your operations.” (Emphasis
added).
11.

“Personal Injury” is defined in the Policy as including “injury (other

than bodily injury) arising out or one or more of the following offenses: a) False
arrest, detention or imprisonment; b) Malicious prosecution. . ..”
12.

13.

“Property damage” is defined in the Policy as:
“a)

Physical injury to tangible property, including all
resulting loss of use of that property; or

b)

Loss of use of tangible property that is not physically
injured.”

In the Schedule of Included/Excluded Operations, the SLAIT Policy

identified the following as “Included” in the coverages afforded to City of
Ferguson and other SLAIT members under the Policy: “[a] Law Enforcement
Activities (Bodily Injury and Property Damage Coverage Only),” “[b] Law
Enforcement Activities (Personal Injury Coverage Only),” and “[c] Penal
Institutions, Jails, Correctional Facilities.”
14.

As part of the Policy, added as “Endorsement ‘C’,” (PERSONAL

INJURY COVERAGE – LAW ENFORCEMENT OPERATIONS), it provides:
With respect only to coverage for your Law Enforcement
Operations, the definition of personal injury is amended to
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disease sustained by a person, including death resulting from any of these at

 “Personal Injury” means injury (other than bodily injury)
arising out of one or more of the following offenses in the
conduct of your law enforcement operations:
1) False arrest, detention or imprisonment;
2) Malicious prosecution;
*
*
4) humiliation;
*

*

*

*

*

*

6) false arrest or improper service of process;
7) violation of property rights.
15.

The Policy provides for coverage of up to $3 million for any

individual claim and contains a general aggregate policy limit of up to $7.5
million, which aggregate policy limit is triggered when there are multiple claims
asserted against City of Ferguson within the Policy period.
16.

On or about February 8, 2015, a putative class action lawsuit was

filed against City of Ferguson in the United States District Court for the Eastern
District of Missouri by several persons, which action is styled: Keilee Fant et. al.
v. City of Ferguson, Cause # 4:15-00253-AGF. (Hereinafter referred to as the
“Fant Lawsuit”).

In the Fant Lawsuit, the Fant Plaintiffs claim that their

constitutional rights, and the rights of other individuals, were violated, and are
seeking relief that includes, but is not limited to, injunctive relief and money
damages, individually and on a class-wide basis, for what they allege was a
pattern and practice of arresting and detaining individuals indefinitely, in what
they claim were substandard jail conditions, which, in certain cases, led to
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read:

 of Ferguson has denied).
17.

Under the express terms of Policy with SLAIT, and by virtue of its

participation and membership in the Trust, SLAIT, inter alia, had and has
obligations to defend and indemnify City of Ferguson with respect to any such
claims, loss or judgment arising from the Fant Lawsuit.
18.

Both prior to the Fant Lawsuit and after the Fant Lawsuit was filed,

SLAIT provided defenses and indemnification to multiple municipalities,
including City of Ferguson, for similar claims brought against various SLAIT
members for claimed violations of constitutional rights by those municipalities
and claims relating to other similar municipal operations under the Policy form
issued to City of Ferguson and other SLAIT members.
19.

In response to a copy of the Fant Complaint sent by City of

Ferguson, on July 22, 2015, an agent for SLAIT sent a letter to City of Ferguson
wherein it agreed to defend the City of Ferguson under a reservation of rights, a
complete copy of which letter is attached hereto as Exhibit 2. SLAIT assigned
Peter Dunne and the Pitzer Snodgrass Law Firm to represent City of Ferguson.
While that particular reservation of rights letter suggested that certain claims
might not be covered, the letter implicitly acknowledged that other claims in the
suit would be covered. However, nowhere in this letter did SLAIT suggest that
there would not be coverage for the Fant Lawsuit under any claimed “class
action” exclusion.
20.

In assuming City of Ferguson’s defense of the Fant case, SLAIT
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personal injuries, physical abuses, and loss of monies (allegations in which City

 and, as of the date of this filing, continued to control that defense.
21.

On March 4, 2016, SLAIT forwarded to City of Ferguson a second

reservation of rights letter wherein SLAIT asserted a number of other purported
(and now admittedly baseless) grounds for denying coverage, a complete copy of
which letter is attached hereto as Exhibit 3. In this communication, SLAIT
admitted that some of the Fant Lawsuit claims sought damages for “bodily injury
and/or personal injury” and damages for “error or omissions injury” within the
meaning of the Policy. Moreover, SLAIT relied on what it now claims is a socalled “Class Action Exclusion” contained in Endorsement “H” of the Policy as a
basis for denying coverage.
22.

Endorsement “H” in the Policy provides as follows:
EXCLUSION – CLASS ACTION SUITS
This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE – CLAIMS MADE

We have no obligation under this policy to investigate, defend or pay
any damages, judgments, loss, costs or expenses that may be
awarded in a class action suit against any insured because of bodily
injury, property damage, personal injury, advertising injury,
error or omissions injury or employee benefit injury sustained
by any person in connection with the employment or
prospective employment of any person by any insured. (Bolded
emphasis in the original and italicized emphasis added).
Hereinafter referred to as Endorsement “H” or the “Class Action Exclusion.”
23.

Consequently, under the clear terms of the Endorsement “H,” this

exclusion is expressly limited to actions instituted and seeking damage recovery

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immediately began controlling the defense pursuant to Section VII of the Policy

 employment or prospective employment of any person by” City of Ferguson, i.e.,
employment related class action lawsuits.
24.

In the March 4, 2016 reservation of rights letter, SLAIT asserted a

number of claimed reasons why there might not be coverage for the Fant
Lawsuit. However, the sole position taken by SLAIT as to why Endorsement “H”
purportedly applied and precluded coverage was the suggestion that the Fant
claims were “in connection with the employment of police officers and other
personnel by the City of Ferguson.” SLAIT has not forwarded any reservation of
rights letter to City of Ferguson claiming that Endorsement “H” is a broad-based
class action exclusion that precludes coverage for any and all class action
lawsuits.
25.

At the time SLAIT assigned Peter Dunne and the Pitzer Snodgrass

Law Firm to represent City of Ferguson, City of Ferguson was unaware that Peter
Dunne and the Pitzer Snodgrass possessed various conflicts of interest (conflicts
that SLAIT would ultimately exploit to further its own financial interests to the
detriment of City of Ferguson’s interest) because a) Peter Dunne and the Pitzer
Snodgrass Law Firm served as general counsel and coverage counsel for SLAIT,
b) Peter Dunne and the Pitzer Snodgrass Law Firm would be asked to weigh in
on coverage issues associated with coverage under the Policy for the City of
Ferguson, including coverages that are at issue in this action, and c) the Pitzer
Snodgrass Law Firm would ultimately recommend to SLAIT that SLAIT bring a
lawsuit against City of Ferguson to establish the viability of various coverage
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for any otherwise covered “injury” for claims asserted “in connection with the

 defenses

to

coverage,

and

SLAIT

quickly

acted

on

that

recommendation by initiating the instant proceedings against City of Ferguson.
If these facts had been made available to City of Ferguson, it would have objected
to and rejected the assignment of Peter Dunne and Pitzer Snodgrass as defense
counsel and/or rejected the defense being proffered by SLAIT.
26.

On August 10, 2017, counsel for City of Ferguson forwarded a

demand letter that it received from counsel for the Fant Plaintiffs demanding
settlement in an amount that would ultimately permit settlement within the
Policy limits (see letter attached hereto as Exhibit 4). In that August 10, 2017
letter, counsel for City of Ferguson advised that counsel for the Fant Plaintiffs
had advised that they were willing to settle within the Policy limits, demanded
that SLAIT work to settle the Fant case within those Policy limits, and pointed
out how SLAIT’s failure to do so would severely prejudice City of Ferguson.
However, as of the date of this filing, SLAIT has made no efforts to settle the case
within the Policy limits.
27.

Ultimately, in a letter to City of Ferguson counsel dated November

27, 2017, and well after City of Ferguson had engaged in significant expense
defending the claimed bases asserted for the denial of coverage via SLAIT’s
declaratory judgment claims, counsel for SLAIT acknowledged and admitted
that, with the exception of the purported application of the Endorsement “H”
exclusion, all of the other bases for the denial of coverage set forth in the
declaratory judgment action SLAIT initiated against City of Ferguson (and, by
inference, that were set forth in the reservation of rights letters) were baseless:
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exclusions

 I hope this clarification is helpful. Let me know if you have
any questions.”
A copy of that November 27, 2017 letter is attached hereto as Exhibit 5.
28.

In a deposition of SLAIT Corporate Designee Steve Wicker

(pertinent excerpts for which are attached hereto as Exhibit 6), SLAIT made
numerous binding admissions under oath that establish coverage for City of
Ferguson and liability obligations under the Policy for SLAIT for the Fant
Lawsuit, including, but not limited to, the following:
a) Despite the claims asserted by SLAIT in these proceedings and
the various grounds asserted by SLAIT in its reservation of rights
letter, SLAIT has admitted that 1) the only arguably viable basis
for the denial was its reliance on the purported Endorsement “H”
exclusion, 2) the other claimed bases for coverage denial were
non-meritorious, and 3) if the same Fant claims were pursued as
individual claims, rather than asserted as class claims, there
would be coverage for those claims under the Policy. (Steve
Wicker Depo., pp. 57-60, 126-128, 130-131);
b) SLAIT internally never had any discussions regarding the
purported Endorsement “H” exclusion being added to the Policy
as a preclusion against all class actions, never decided that SLAIT
would have any broad-based class action exclusion as part of the
SLAIT Policy when SLAIT established the liability coverages
under the Policy, and SLAIT does not know if the language used
in Endorsement “H” was intended to be limited to employment
related class actions. (Steve Wicker Depo., pp. 60-62);
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“I wanted to clarify that the coverage position taken by SLAIT is
based on the [Fant] pleadings as they currently stand. As discussed,
if the pleadings would change, SLAIT’s coverage position would be
different. In particular, if the individual Plaintiffs’ claims were
brought simply as individuals, and not as a class action, SLAIT
would withdraw its reservation of rights. Instead, each individual’s
claims would be treated as being within coverage as a claim for
personal injury resulting from law enforcement operations. They
would not be considered claims for bodily injury, property damage,
advertising injury or errors or omissions.

 d) SLAIT never advised the City of Ferguson that there would not be
coverage for such class action lawsuits at any time prior to the
Fant Lawsuit and this action (Steve Wicker Depo, p. 64);
e) The general aggregate policy limit of $7.5 million would be
triggered if there were multiple claims made within the Policy
period (Steve Wicker Depo, p. 101);
f) Anything associated with penal institutions, jails and
correctional facilities is represented as being included as part of
the Policy liability coverage (Steve Wicker Depo, p. 112);
g) Unbeknownst to City of Ferguson, SLAIT retained Peter Dunne
and the Pitzer Snodgrass Law Firm, which served as “exclusive
panel counsel” for SLAIT members, when Peter Dunne and the
Pitzer Snodgrass Law Firm served as general counsel for SLAIT
advising SLAIT on policy endorsement issues, acted as SLAIT
coverage counsel (including coverage issues directly related to the
coverages claimed by City of Ferguson in this case), provided
advice to SLAIT regarding coverage issues associated with the
SLAIT policy and SLAIT members, and advised SLAIT on the
reservation of rights letters sent by SLAIT to City of Ferguson and
the applicability of various policy exclusions, including the
claimed Class Action Exclusion relied upon by SLAIT in this
lawsuit (Steve Wicker Depo, pp. 41-43, 55-56; 138-156);
h) Peter Dunne and the Pitzer law firm ultimately recommended to
SLAIT that SLAIT bring a declaratory judgment action against
City of Ferguson in reliance upon that the purported
Endorsement “H” exclusion, and SLAIT quickly acted on that
recommendation by filing the declaratory judgment action in this
Court. (Steve Wicker Depo, pp. 138-139);
i) SLAIT was fully aware that discussing coverage issues with
counsel retained to represent City of Ferguson would be and was
a conflict of interest for that retained counsel and SLAIT, yet
SLAIT exploited that conflict of interest for SLAIT’s benefit and to
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c) SLAIT sought to raise the purported Endorsement “H” exclusion
as a defense in pursuing its declaratory judgment action when it
was not sure whether the exclusion even applied, knew that no
court has ever ruled that Endorsement H precludes coverage for
all types of class action lawsuits, and decided to raise that
claimed exclusion because, in addition to the Fant Lawsuit,
several other SLAIT members were being subjected to similar
lawsuits (Steve Wicker Depo., pp. 62, 65);

 j) After Peter Dunne and the Pitzer Snodgrass Law Firm were
disqualified as City of Ferguson counsel in the Fant case based
on other conflicts of interest, SLAIT disputed over $253,000 in
attorneys’ fees billed by Pitzer Snodgrass as improper. SLAIT has
also alleged mismanagement of the case by failure to generate
and retain now needed attorney notes and work product, and a
serious lapse in judgment based on its hiring of an associate who
worked with Fant Plaintiffs’ counsel on City of Ferguson related
litigation matters. SLAIT has also taken the position that Pitzer
Snodgrass engaged in the intentional destruction of over 100,000
pages of electronic document production that had already been
produced to the Fant Plaintiffs, and withheld that fact from the
City of Ferguson as well as SLAIT -- the end result of which, along
with Peter Dunne’s and the Pitzer law firm’s various conflicts of
interest, have cost City of Ferguson unnecessary legal expenses
in this case and in the Fant Lawsuit and have significantly
prejudiced the City of Ferguson’s defense in the Fant Lawsuit
(Steve Wicker Depo, pp. 161-162);
k) The claimed Class Action Exclusion is vague and ambiguous
because the exclusion could be read to cover some but not all
class actions, that reasonable people could read the exclusion
differently, that exclusion could have been written more clearly,
and that the Policy form was ultimately revised to make the
exclusion easier to understand (Steve Wicker Depo, pp. 175-181);
and
l) Ultimately, because of ambiguity in the SLAIT Policy, SLAIT
revised that Policy language to make clear that all class actions
and defenses of class actions would not be covered under the
Policy. (See new SLAIT Policy Form attached hereto as Exhibit 7;
Steve Wicker Depo, pp. 170-172).
COUNT I – DECLARATION REGARDING COVERAGE AND AMOUNT
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count I of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”), states as follows:

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the ultimate detriment of City of Ferguson (Steve Wicker Depo,
pp. 41-43, 55-56; 134-135; 138-156);

 City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 28.
30.

Under the express language of the Policy, and in light of the binding

admissions set forth in paragraphs 27 and 28 regarding coverage, City of
Ferguson is entitled to a declaration from the Court that SLAIT has an obligation
under the Policy to fully defend and fully indemnify City of Ferguson in the Fant
Lawsuit up to the Policy limits.
31.

City of Ferguson is also entitled to a declaration from the Court that

Endorsement “H” does not bar coverage in this case because that endorsement,
by its terms, is limited to employment related class action lawsuits.
32.

Moreover, under the express language of the Policy, and in light of

the binding admissions set forth in paragraph 28 regarding the aggregate
coverage dollar amount, City of Ferguson is entitled to a declaration from the
Court that SLAIT has indemnity obligations for the Fant Lawsuit up to the total
general aggregate Policy limit of up to $7.5 million, which general aggregate
Policy limit is now triggered because the Fant Lawsuit involves multiple claims
asserted against City of Ferguson within the pertinent Policy period.
WHEREFORE Plaintiff City of Ferguson respectfully requests that this
Court find in favor of the City of Ferguson and declare that 1) SLAIT has an
obligation under the Policy to fully defend and fully indemnify City of Ferguson
in the Fant Lawsuit up to the Policy limits; 2) Endorsement “H” does not bar
coverage in this case because that endorsement only excludes employment
related class action lawsuits and the Fant Lawsuit is not an employment related
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29.

 SLAIT policy precludes coverage with regard to the Fant Lawsuit; and 4) SLAIT
has indemnity obligations for the Fant Lawsuit up to the total general aggregate
Policy limit of up to $7.5 million, which general aggregate Policy limit is now
triggered because the Fant Lawsuit involves multiple claims asserted against
City of Ferguson within the pertinent Policy period. City of Ferguson also prays
that the Court award it reasonable attorneys’ fees and costs incurred in
connection with protecting City of Ferguson’s interest and in avoiding further
losses to City of Ferguson arising from SLAIT’s various violations of its fiduciary
duties, and aiding and abetting its agents breaches of fiduciary duties to City of
Ferguson, and award the City of Ferguson such further and other relief as this
Court deems just and proper.
COUNT II – DECLARATION REGARDING WAIVER OF ENDORSEMENT “H”
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count II of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”), states as follows:
33.

City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 32.
34.

To the extend the Court concludes that Endorsement “H” has any

applicability as it relates to the Fant Lawsuit, SLAIT is now precluded from
denying liability due to any claim of non-coverage for the Fant Lawsuit because
SLAIT did not provide any proper and effective reservation of rights letter clearly
advising City of Ferguson as to the purported grounds for why Endorsement “H”
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class action; 4) no other Policy endorsement, exclusion or other provision of the

 of interests that existed, which conflicts have been exploited by SLAIT.
WHEREFORE, Plaintiff City of Ferguson respectfully requests that this
Court 1) declare that SLAIT is now precluded from denying liability due to any
claim of non-coverage for the Fant Lawsuit because SLAIT did not provide any
proper and effective reservation of rights letter clearly advising City of Ferguson
as to the purported grounds for why Endorsement “H” barred coverage, 2) award
City of Ferguson its attorneys’ fees and costs, and 3) enter such other and
further relief as this Court deems just and proper.
COUNT III – VEXATIOUS REFUSAL TO PAY
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count III of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”) states as follows:
35.

City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 34.
36.

SLAIT’s refusal to settle the case upon demand by City of Ferguson

was and is vexatious because it has been done in bad faith, been facilitated by
various breaches of fiduciary duty and SLAIT’s aiding and abetting breaches of
fiduciary duty by counsel retained by SLAIT to represent City of Ferguson, and
was all willful and without any reasonable cause or excuse, as it would appear
to any reasonable person at the time or at any other time, as fully borne out by
the Policy language, the Fant Lawsuit allegations and the binding admissions
set forth in paragraphs 27 and 28 above.
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barred coverage and failed to apprise City of Ferguson of the multiple conflicts

 Consequently, City of Ferguson is entitled to recover damages as

provided for in Section 375.420, Mo.Rev.Stat., as well as reasonable attorney’s
fees in pursuing this action.
38.

In addition, because SLAIT’s conduct and that of its agents reflect

evil motives and reckless indifference to the rights of City of Ferguson, SLAIT is
liable to City for Ferguson for punitive damages in an amount sufficient to deter
SLAIT and others from committing such wrongful actions in the future.
WHEREFORE, Plaintiff City of Ferguson respectfully requests that this
Court enter judgment in favor of City of Ferguson for damages as permitted by
Section 375.420, for the City of Ferguson reasonable attorneys’ fees and costs
incurred in pursuing this action, for punitive damages, and for such other and
further relief as this Court deems just and proper.
COUNT IV – BAD FAITH REFUSAL TO SETTLE
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count IV of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”) states as follows:
39.

City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 38.
40.

Because SLAIT has assumed control over negotiations, settlement

and the Fant Lawsuit defense, City of Ferguson has demanded that SLAIT settle
the Fant Lawsuit within the Policy limits.
41.

SLAIT, in bad faith, has refused to settle the Fant Lawsuit within

the Policy limits, and City of Ferguson has been damaged as a result.
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37.

 settle.
42.

Consequently, City of Ferguson is entitled to recover damages, as

well as reasonable attorney’s fees incurred, occasioned by SLAIT bad faith
refusal to settle.
43.

In addition, because SLAIT’s conduct, and that of its agents, reflect

evil motives and reckless indifference to the rights of City of Ferguson, SLAIT is
liable to City for Ferguson for punitive damages in an amount sufficient to deter
SLAIT and others from committing such wrongful actions in the future.
WHEREFORE, Plaintiff City of Ferguson respectfully requests that this
Court enter judgment in favor of City of Ferguson for compensatory damages,
for the City of Ferguson reasonable attorneys’ fees and costs incurred in
pursuing this action, for punitive damages, and for such other and further relief
as this Court deems just and proper.
COUNT V – BAD FAITH
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count V of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”) states as follows:
44.

City of Ferguson incorporates by reference as if fully set forth herein

its responses to paragraphs 1 through 43.
45.

By engaging in the conduct set forth herein, SLAIT and its agents

have engaged in bad faith conduct that has resulted in damage to City of
Ferguson.
17

Electronically Filed - St Louis County - August 28, 2018 - 12:05 PM

Consequently, SLAIT is liable to City of Ferguson in tort for bad faith refusal to

 In addition, because SLAIT’s conduct, and that of its agents, reflect

evil motives and reckless indifference to the rights of City of Ferguson, SLAIT is
liable to City for Ferguson for punitive damages in an amount sufficient to deter
SLAIT and others from committing such wrongful actions in the future.
WHEREFORE, Plaintiff City of Ferguson respectfully requests that this
Court enter judgment in favor of City of Ferguson for compensatory damages,
for the City of Ferguson reasonable attorneys’ fees and costs incurred in
pursuing this action, for punitive damages, and for such other and further relief
as this Court deems just and proper.
COUNT VI – BREACH OF FIDUCIARY DUTY
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count VI of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”) states as follows:
47.

City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 46.
48.

In light of SLAIT’s various breaches of fiduciary duty and those of

its agents, City of Ferguson has sustained damages.
49.

In addition, because SLAIT’s conduct, and that of its agents, reflect

evil motives and reckless indifference to the rights of City of Ferguson, SLAIT is
liable to City for Ferguson for punitive damages in an amount sufficient to deter
SLAIT and others from committing such wrongful actions in the future.
WHEREFORE Plaintiff City of Ferguson respectfully requests that this
Court enter judgment in favor of City of Ferguson for compensatory damages,
18

Electronically Filed - St Louis County - August 28, 2018 - 12:05 PM

46.

 pursuing this action, for punitive damages, and for such other and further relief
as this Court deems just and proper.
COUNT VII – AIDING AND ABETTING A BREACH OF FIDUCIARY DUTY
COMES NOW Plaintiff City of Ferguson, Missouri (“City of Ferguson”) and
for Count VII of its Amended Petition against the St. Louis Area insurance Trust
(“SLAIT”) states as follows:
50.

City of Ferguson incorporates by reference as if fully set forth herein

paragraphs 1 through 49.
51.

SLAIT actions, in addition to breaches of its own fiduciary duties

owed to City of Ferguson, constitute the aiding and abetting of such breaches
by counsel retained to represent City of Ferguson, as well as aiding and abetting
such breaches by SLAIT agents.
52.

In addition, because SLAIT’s conduct, and that of its agents, reflect

evil motives and reckless indifference to the rights of City of Ferguson, SLAIT is
liable to City for Ferguson for punitive damages in an amount sufficient to deter
SLAIT and others from committing such wrongful actions in the future.
WHEREFORE Plaintiff City of Ferguson respectfully requests that this
Court enter judgment in favor of City of Ferguson for compensatory damages,
for the City of Ferguson reasonable attorneys’ fees and costs incurred in
pursuing this action, for punitive damages, and for such other and further relief
as this Court deems just and proper.

19

Electronically Filed - St Louis County - August 28, 2018 - 12:05 PM

for the City of Ferguson reasonable attorneys’ fees and costs incurred in

 LEWIS RICE LLC
By: /s/ Ronald A. Norwood
Ronald A. Norwood, #33841
Jacqueline K. Graves, #64875
600 Washington Avenue, Suite 2500
St. Louis, MO 63101
Telephone: (314) 444-7759
Facsimile: (314) 612-7759
rnorwood@lewisrice.com
jgraves@lewisrice.com
Attorneys for Plaintiff City of
Ferguson
CERTIFICATE OF SERVICE AND
CERTIFICATE OF COMPLIANCE WITH RULE 55.03(a)
I hereby certify that a copy of the foregoing pleading was served by the
Court’s electronic filing system on this 28th day of August, 2018, on the counsel
of record. In addition, the undersigned counsel certifies under Rule 55.03(a) of
the Missouri Rules of Civil Procedure that he has signed the original of this
Certificate and the foregoing pleading.
/s/ Ronald A. Norwood

20

Electronically Filed - St Louis County - August 28, 2018 - 12:05 PM

Respectfully submitted,

 Electronically Filed - St Louis COunty - August 28. 2018 - 12:05 PM

Exhi it 1



I Stephen D. Wicker do hereby agree this is a certi?ed copy of the original

document entitled Public Entity Liability Insurance Policy? and the ?Renewal

Certi?cate" for the City of Ferguson for the July 1, 2014 through July 1, 2015 policy

year.

a Art/4e

Steph?'n D. Wicker

ale/?
May 19,2016

On this day of 

in the year

before me, Monica heBillups, a Notai? Public in and for the said state personally

appeared [drake f"

,known to me to be the person

who executed the within acknowledgement, and acknowledged to me that he executed

the same for the purposes therein stated.

WW laQ?z??m

Notary Public Signature

Monica D. Billuos
Type or Printed Name of Notary Public

Date

My Commission EXpires 75d"? 025

A A

  
 

My Explres: Julgfs. 2017

Weary/r 



 
   
 
      

MONICAD BILLUPS
Notary Public Note Seal
OFM MIS 80 Rt
St Louis City

 

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ST. LOUIS AREA INSURANCE TRUST

A Sel?/nsurance 

Policy 

RENEWAL CERTIFICATE

PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

 

 

 

 

INSURER: St. Louis Area Insurance Trust
c/o The Daniel and Henry Company
1001 Highlands Plaza Drive West, Suite 500
St. Louis, Missouri 631 10 (314) 421?1525
DECLARATIONS:
Items
1. Named Insured City of Ferguson
Mailing Address 1 10 Church St.
Ferguson, MO 63135
The Named Insured is: City County
Other

2. Policy Period Jul}; 1, 2014 Jul}: 1, 2015

Inception Date Expiration Date
. 12:01 am, standard time at the address of the
Named Insured as stated herein.

3. Retroactive Date 7/1/87 7/1/87 (Police), 3/1/89 (BBP), .. -
7/ 1/87 (EMT), if no date is entered herein, 
coverage does not apply prior to the inception
date stated in Item 2.

4. Deposit Premium $92,774 initial assessment. Includes
assessment for auto liability coverages also.
Any additional assessments would be made
in accordance with Article Seven ofthe
Articles of Association.

Minimum Earned Adjustment in the event of cancellation,

would be made in accordance with Article II,
Section 11 of the By-Laws.

1001 HIGHLANDS PLAZA DRIVE WEST - SUITE 500 SAINT LOUIS, MISSOURI 63m) 314-421-1525 
FAX 3 14444-3 1'74 ielandhenry.com

MBDIUOJIOBB

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ST. LOUIS AREA INSURANCE TRUST

A Self?Insurance P001

RENEWAL CERTIFICATE - City of Ferguson
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE
Page 2

 

 

Insurance is afforded for the following coverages and limits of Liability, subject to
all terms of the policy relating thereto.

 

 

5 . Coverage

Products-Completed Operations
Per Occurrence Limit $3,000,000
Aggregate Limit $3,000,000

Bodily Injury and Property Damage
(other than Operations)

Per Occurrence Limit $3,000,000
Personal Injury and Advertising Injury

Per Person or Organization Limit $3,000,000
Med Pay 250

General Aggre gate Limit $7,500,000
Deductibles: Law Enforcement $2,500
General Liability (other than
Law Enforcement) $500
Employee Bene?ts Liability
Per Occurrence Limit $3,000,000
Aggregate Limit $3,000,000

6. Classi?cations: Refer to policy extension schedule

7. Description of Operations: See Schedule of Included} Excluded
Operations in policy.

8. Form Numbers of Endorsements that are part of this policy.

Endorsements A through and including 001

This Policy will not be valid unless countersigned by duly authorized representative.

1 wig/L

Authorized Agent

DATE: 

1001 HIGHLANDS PLAZA DRIVE WEST SUITE 500 SAINT LOUIS, MISSOURI 63l10 314-421?1525 
FAX 3 144144-1774 

 

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PUBLIC ENTITY LIABILITY INSURANCE POLICY 

CLAIMS MADE

INDEX

DECLARATIONS PAGE
Your Name and Address
Policy Period
Retroactive Date

Premium
Coverage

AGREEHENT

SECTION I - DEFINITIONS

SECTION II - COVERAGE

SECTION - APPLICATNON OF POLICY
SECTION IV - WHO IS AN INSURED
SECTION - SUPPLEMENTARY PAYMENTS
SECTION VI LIMITS OF LIABILITY

SECTION VII EXTENDED REPORTING
PERIOD OPTION

SECTION - CONDITIONS

Premiums
Inspections and SurVeys

The Declarations Page has the
details of your policy such
as the term it is in effect,
the coverage and limits, the
premium and other facts about
your insurance.
Beginning On Page

Examination of Your Books and Records
Duties in the Event of Occurrence, Claim or Suit.

Legal Action Against Us
Transfer of Rights of Recovery
Changes

Against Others To Us

Transfer of Your Rights and Duties Under This Policy

Bankruptcy
other Insurance
Cancellation
Representations

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PUBLIC ENTITY LIABILITY INSURANCE
POLICY CLAIMS MADE POLICY PROVISIONS

 

THIS IS A POLICY. PLEASE READ ALL PROVISIONS AND
CONTACT YOUR AGENT IF YOU HKVE ANY QUESTIONS. YOUR APPLIES
ONLY TO CLAIMS FOR INJURY OR DAMAGE MADE AGAINST YOU AFTER THE
INCEPTION DATE AND BEFORE THE EXPIRATION DATE OF YOUR POLICY. 
A RETROACTIVE DATE IITIIES, YOUR POLICY WILL NOT COVER YOU FOR
INJURY DAMAGE WHICH OCCURRED BEFORE THE RETROACTIVE DATE OR
AFTER THE EXPIRATION DATE OF YOUR POLICY. UPON TERMINATION OF
YOUR POLICY AN EXTENDED REPORTING PERIOD Ml! BE AVAILABEE.

 

The insnrance company writing this insurance is shown on the
Declarations Page as the "insurer".

AGREEMENT

In return for payment of premium when due and subject to all the
terms of this policy, we agree with you as follows:

SECTION I - DEFINITIONS

In this policy, "you" and ?your" refer to the "named insured"
shown in the Declarations.

"us" and "our?'refer to the company writing this insurance.

The word "insured? means any person or organization qualifying as
such under SECTION IV -- WHO IS AN INSURED.

other words and phrases are defined belowr Emey are boldfaced
when used.

"Advertising Injury" means injury arising out of one or more of
the following offenses:

a) Oral or written publication of material that slanders or
libels a person or organization or disparages a person's
or organization's goods, products or services;

b) Oral or written publication of material that violates a
person's right of privacy:

0) Misappropriation of advertising ideas or style of doing
business.

Page 1 of 26

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"Auto? means a land motor vehicle, trailer or semitrailer designed
for travel on public roads, including any attached machinery or
equipment. But auto does not include mobile equipment.

"Bodily Injury" means bodily injury, sickness or disease sustained
by a person, including death resulting from any of these at any
time.

"Claim" means a demand received by any insured for damages
alleging injury or damage to persons or property, including the
institution of a suit for such damages against any insured.

"Claim Expenses? means all expenses incurred by the insured or us
in 'the investigation, negotiation, arbitration, settlement and
defense of any claim or suit, whether paid by us or the insured,
but the term claim expenses does not include salaries of any

insured's or our regular employees or expenses incurred by any
insured for first aid.

?Coverage territory" means all parts of the world if the insured's
responsibility to pay damages is determined in a suit on the
merits in the united States (including its territories' and

possessions), Puerto Rico or canada or in a settlement we agree
to.

"Damages" means monetary judgment, award or settlement, but does
not include fines or penalties or damages for which insurance is
prohibited by law applicable to the construction of this policy.

"Errors er Omission injury? means injury (other than? ?bodily
injury, property damage", advertising injury", or "personal
injury") that arises out of an insured's act, error or omission
(or a related series of acts, errors or omissions) within the
scope of your operations.
?Insured Contract? means:

a) A lease of premises;

b) A sidetrack agreement;

0) An easement or license agreement 2h) connection *with

vehicle or pedestrian private railroad crossings at
grade;

d) Any other easement agreement, except in connection with
construction or demolition operations on or within 50
feet of a railroad:

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f)

g)

An indemnification of a ?municipality' as required. by
ordinance, except in connection with work for a
municipality;

An elevator maintenance agreement: or

That part of any other contract or agreement pertaining
to your business under which you assume the tort
liability of another to pay damages because of bodily
injury or property damage to a third person or
organization, if the contract or agreement is made prior
to the bodily injury or property damage. Tort liability
means a liability that would be imposed by law in the
absence of any contract or agreement.

An insured contract does not include that part of any
contract or agreement:

a)

.I b)

C)

That indemnifies an architect, engineer or surveyor for
injury or damage arising out of:

1) Preparing, approving or failing to prepare or
~approve maps, drawings, opinions, reports, surveys,
change order, designs, or.specifications; or

Giving directions or instructions, or failing to
give them, if that is the primary cause of the
injury or damage;

Under which the insured, if an architect, engineer or
surveyor,_assumes liability for injury or damage-arising
out of the insured's rendering' or' failing? to :render
professional services, including ?those listed in a.
above and' supervisory, inspection or engineering
services; or 

That indemnifies any person or organization for damage
by fire to premises rented or loaned to you.

"Loading or unloading" means the handling of property:

a)

b)



After it is moved from the place where it is accepted

for movement into or onto an aircraft, watercraft or
auto;

While it is in or on an aircraft, watercraft or auto; or

While it is being moved from an aircraft, watercraft or
auto to the place where it is finally delivered;

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but loading and unloading does not include the movement of
property by means of a mechanical device, other than a hand
truck, that is not attached to the aircraft, watercraft or
auto.

"Mobile equipment" means any of the following types of land
vehicles, including any attached machinery or equipmentBulldozers, farm machinery, forklifts and other vehicles
designed for use principally off public roads;

Vehicles maintained for use solely on or next .to
premises you own or rent:

Any land motor vehicle, trailer or semi?trailer designed
for travel on public roads (including any machinery or
apparatus that is attached) owned or leased by you shall
be deemed an auto and not mobile equipment if the only
reason for considering it mobile equipment is that it is
maintained for use primarily or exclusively on streets
or highways owned by you:

~Vehioles that travel on crawler treads:

Vehicles, whether or not, maintained
primarily to provide mobility to permanently mounted:

1) Power cranes, shovels, loaders, diggers or drills;
or
2) Road construction or resurfacing equipment such as

graders, scrapers or rollers;

Vehicles not described in c. or d. above that
are not selfepropelled and are maintained primarily to
provide mobility to permanently attached equipment of
the following types:

1) Air compressors, pumps and generators, including
spraying, welding, building cleaning, geophysical
exploration, lighting and well servicing equipment:
or

2) Cherry pickers and similar devices used to raise or
lower workers:

Vehicles not described in c. or d. above

maintained primarily for purposes other than the
transportation or persons or cargo.

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However,

will be considered autos:

1) Equipment designed primarily for:
a) Snow removal

b) Road maintenance, but not construction or
resurfacing:

c) Street cleaning;

2) Cherry pickers and similar devices mounted on
automobile or truck chassis and used to raise or
lower workers: and

3) Air compressors pumps and generators including
spraying, 'welding, building? cleaning, geophysical
exploration, lighting and well Servicing equipment.

"Occurrence? means:

a]

b)

C)

d)

An accident, including continuous or repeated exposure
to substantially the same general conditions:

With respect only to personal injury, an offense
described in the definition of personal injury; or

With respect only to advertising" injury, an} offense
described in the definition cf advertising injury;

With respect only to "errors or omissions injury,? an
act, error or (or a related series of acts,

errors, or omissions) in the conduct of your operations.

"Personal Injury" means injury (other than bodily injury) arising
out of one or more of the following offenses:

a)



C)

d)

False arrest, detention or imprisonment;
Malicious prosecution;

Wrongful entry into, or eviction of a person from, a
room, dwelling or premises that the person occupies:

Oral or written publication of material that slanders or

libels a person or organization or disparages a person's
or organization's goods, products or services: or

Page 5 of 26

self?propelled vehicles with the following types of
permanently attached equipment are not mobile equipment but

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e) Oral or written publication of material that violates a
person's right of privacy.

"Productsecompleted operations hazard" includes all bodily injury
and property damage occurring away from premises you own or rent
and arising out of your product or your work except;

a) Products that are still in your physical possession; or
b) Work that has not yet been completed or abandoned.

Your- work will be deemed completed at the earliest of the
following times: -

a) When all of the work called for in your contract has
been completed.

b) When all of the work to be done at the site has been

completed if your contract calls for work at more than
one site.

0) When that part of the work done at a job site has been
put to its intended use by any person or organization
other than another contractor or subcontractor working
on the same project.

Work that may need service, maintenance, correction, repair

or replacement, but which is otherwise complete, will be
treated as completed.

This hazard_does not include bodily injury or property damage
arising out of:

1) The transportation of property, unless the injury
or damage arising out of a condition in or on a
vehicle created by the loading or unloading of it;

2) The existence of tools, uninstalled equipment or
abandoned or unused materials;

3) Products or operations for which the classification
in our manual of rules includes products or
completed operations.

"Property damage? means:

a) Physical injury to tangible property, including all
resulting loss of usevof that property; or

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 Loss of use of tangible property that is not physically
injured.

?Suit" means a civil proceeding in which damages because of bodily
injury, property damage, personal injury or advertising injury,
acts, errors, or omissions (or a first in a series of such
offenses) to ?which this insurance applies are alleged. Suit
includes an arbitration proceeding alleging such damages to which
you must submit or submit with our.consent.

"Your product? means:

a) Any goods or products, other than real property,
manufactured, sold, handled, distributed or disposed of

by:
1) You:
2) Others trading under your name; or
3) .A person or organization whose business or assets
you have-acquired; and

b) Containers (other than vehicles), materials, parts or
equipment furnished in connection with such goods or
products. 

Your product includes warranties or representations made at any
time with respect .to the fitness, quality, durability or
performance of any of the items included in a. and b. above.

Your product does not include vending machines or other property
rented to or located for the use of others but not sold.

"Your work? means:

a) Work or operations performed by you or on your behalf;
and

13) Materials, parts or equipment furnished in connection
with such werk or operations.

Your work includes warranties or representations made at any time

with respect to the fitness, quality, durability or performance of
any of the items included in a. or b. above.

Page 7 of 26



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SECTION II - COVERAGE

A.

Insuring Agreement

We will pay those sums that the insured, becomes legally
obligated to pay as damages because of:

1) bodily injury,

2) property damage,

3) personal injury, or
4) advertising injury,
5) errors or omissions

to which this policy applies.

No other obligation or liability to pay sums or perform acts
or services is covered unless explicitly provided for under
this insurance.

This insurance does not apply to "bodily injury;" "property
damage:" "personal injury" or ?advertising injury" offenses
(or a first in a series of such offenses); acts, errors, or
omissions (or a first in a series of offenses) which occurred

before the retroactive date if any, shown in the

Declarations, or which occurs after the policy period.

The bodily injury, property damage, personal injury or

advertising injury, acts, errors, or omissions (or a first in
a series of offenses) must be caused by an occurrence, The
occurrence must take place in the coverage territory.

We will have the right and duty to defend any claim or suit
seeking such damages, but:

1) The amount we will pay for damages is limited as
Idescribed in SECTION VI LIMITS 

2) We may, at our discretion, investigate any occurrence
and settle any claim or suit that may result; and

3) Our right and duty to defend end when we have used up
the applicable limits of liability in the payment of
judgments or settlements. This applies both to claims
and suits pending at that time and those filed
thereafter.

Page 8 of 26



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B.

Exclusions

1)

2)

This

.3)

4)

5)

This insurance does not apply to bodily injury, property

'damage, ,personal injury' or? advertising? injury, acts,

errors, or omissions (or a first in a series of
offenses) arising out of the operation, maintenance or
use of any facility' or operation designated in the
Schedule of Included/ Excluded.0perations as "excluded".

We have no obligation under this policy:

a) To investigate, settle or defend any claim or suit
against any insured alleging actual or threatened
injury or damage of any nature or kind to persons
or property which arises out of or would not have
occurred but for the pollution hazard; or

b) $0 pay any damages, judgments, settlements, loss,
costs or expenses that may be awarded or incurred
by reason of any such claim or suit or any such
injury or damage, or in complying with any action
authorized bylaw and relating to such injury or
damage.

As used in this exclusion, pollution hazard means an

actual eXposure or threat of exposure to the corrosive,
toxic or other harmful properties of any solid, liquid,
gaseous, or thermal pollutants, contaminants, irritants
or toxic substances, including smoke, vapors, soot,
fumes, acids or alkalis, and waste materials consisting
of or containing any of the foregoing.

insurance does not apply to:

Any obligation of the insured under a workers'
compensation, disability benefits or unemployment
compensation law or any similar law.

Any liability arising out of or in any way connected
with the operation of the principles of eminent domain,
condemnation proceedings or inverse condemnation,
adverse possession or dedication by adverse use or by
whatever' name _called, whether such. liability' accrues
directly against any insured or by virtue of any
agreement entered into by or on behalf of any insured.

Liability arising out of the rendering of or failure to

render professional medical, nursing, dental or
paramedical services.

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5)

.7)

8)

9)

- 10)

13.)

12)

Liability arising out of unfair competition or violation
of antiwtrust laws.

Liability arising out of infringement of copyright,

title, slogan, patent, trademark, trade dress, trade .

name, service mark, or service name.

Damages claimed for any loss, cost or expense incurred
by any insured or others for the loss of use,
withdrawal, recall, inspection, repair, replacement,
adjustment, removal or disposal of:

a) your product, or
b) your work

if such product, work, or property is withdrawn or
recalled from the market or from use by any person or
organization because of a? known or suspected defect,
deficiency, inadequacy or dangerous condition in it.

Bodily injury, property damage, personal injury or
advertising? injury, acts, errors? or'lomissions- (or' a
first in a series of offenses) expected or intended from
the standpoint of any insured. This exclusion does not
apply to budily injury resulting from the use of
reasonable force to protect persons or property.

Bodily injury, property damage, personal .injury .or
advertising injury, acts, errors or omissions (or a
first in a series of offenses) sustained by any person
and caused by demotion, dismissal, failure to promote,
or otherwise arising out of employment or prospective
employment of any person by any insured.

Bodily injury, property damage, personal injury or
advertising injury, acts, errors or omissions (or a
first in a series of offenses) caused by any dishonest,
fraudulent, criminal or malicious act or omission of any
insured. 

Bodily injury or property damage

a) For which any insured is obligated to pay damages
by reason of the assumption of liability in a
contract or agreement. This exclusion does not
apply to liability for damages:

(1) Assumed in a contract or agreement that is an
insured contract, or

Page 10 of 26



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b)

C)

(2) That the insured would have in the absence of
the contract or agreement.

For which any insured may be held liable by reason
of:

(1) Causing or contributing to.the intoxication of
any person;

(2) The furnishing of alcoholic ?beverages to a
person under the legal drinking age or under
the influence of-alcohol: or

(3) Any statute, ordinance or regulation relating
to the sale, gift, distribution or use of
alcoholic-beverages.

This exclusion applies only if either you or the
insured are in the business of- manufacturing,
distributing, selling, serving or furnishing
alcoholic beverages.

Arising out of the ownership, maintenance, use of
entrustment to others of any aircraft, auto or
watercraft owned or operated by or rented or loaned
to any insured. Use includes operation and loading
or unloading. This exclusion does not apply to:

(1) A watercraft while ashore on premises.yon own
or rent:

(2) A watercraft you do not own that is:
less than 26 feet long; and

not being used to carry persons or
property for a'charge:

3) Parking an auto on, or on the ways next to
premises you own or rent, provided the auto is
not owned by or rented or loaned to you or the
insured;

(4) Liability assumed under any insured contract

for the ownership, maintenance or use of
aircraft or watercraft:

Page 11 of 26



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(5) Bodily injury or property damage arising out
of the operation of any of the equipment
listed. in paragraph or of the
definition of mobile equipment.

Arising out of:

(1) 'The transportation of mobile equipment by an
auto owned or operated by or rented or loaned
to any insured; or

(2) The use of mobile equipment in, or while in
practice or preparation. for, a prearranged
racing, speed or demolition contest or in any
stunting activity.

Due to war, whether or not declared, or any act or
condition incident to war. war includes civil war,
insurrection, rebellion or revolution. This
exclusion applies only to liability assumed under a
contract or agreement.

Bodily injury to:

(1)

(2)

This

(1)

(23?

This

An employee of any insured arising out of or in the
course of employment by any insured: or

The spouse, child, parent, brother or sister of
that employee as consequence of (1) above.

exclusion applies:

Whether the insured may be liable as an employer or
in any other capacity; and

To any obligation to share damages with or repay
someone else who must pay damages because of the
injury.

exclusion ?does not apply to liability you assume

under an insured contract.

Property damage to:

(1)
(2)

Property any insured owns, rents or occupies;
Premises any insured sells, gives away or abandons,

if the property damage arises out of any part of
those premises;

Page 12 of 26



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(3) Property loaned to any insured:

(4) Personal property ill the care, custody or control
of any insured, (except property of an inmate of a
jail, penal institution or correctional center up
to $2,500 per inmate):

(5) That particular part of real property on which any
insured or any contractors or subcontractors
working' directly' or indirectly' on any insured's
behalf are performing operations, if the property
damage arises out of those operations: or

6) That particular part any property that must be
restored, repaired or replaced because your work
was incorrectly performed on it.

Paragraph (2) of this exclusion does not apply if the
premises are your work and were never occupied, rented
or held for rental by you.

Paragraphs (3), (4), (5) and (6) of this exclusion does

not apply to liability assumed under a sidetrack
agreement. 

Paragraph (6) of this exclusion does not apply to-

property damage included in the products-completed

?operations hazard.

Property Damage to:
a) Your product arising out of it or any part of it.
b) Your work arising out of it or any part of it and

included in the products~comp1eted operations
hazard.?

This exclusion does not apply if the damaged work
or the work out of which the damage arises was
performed on your behalf by a subcontractor.

0) Property that has not been physically injured,
arising out of:

(1) A defect, deficiency, inadequacy or dangerous
condition in your product or your work: or

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(2) A delay or failure by any insured or anyone
acting on any insured's behalf to perform a
contract or agreement in accordance with its
terms.

This exclusion does not apply to loss of use of
other property arising out of sudden and accidental
physical injury to your product or your work: after
it has been put to is intended use.

Personal injury or advertising injury:

a)

b)

C)

d)

Arising out of oral or written publication of
material, if done by or at the direction of. any
insured with knowledge of its falsity;

Arising out of oral or written publication of
material whose first publication took place "before
the retroactive date",-

Arising out of the willful knowledge or violation
of a penal statute or ordinance committed by or
with the knowledge or consent of any insured; or

For which any insured has assumed liability in a
contract or agreement. This exclusion does not
apply to liability for damages that the insured
would have in the absence of the contract or
agreement.

Advertising injury arising out of:

a)

b)

C)

61)

Breach of contract, other than misappropriation of
advertising ideas under an implied contract;

The failure of goods, products or services to
conform with advertised quality or performance:

The wrong description for the price of goods,
products or services; or

An offense committed by an insured whose business
is advertising, broadcasting, publishing or
telecasting.

Errors or omission injury:

a)

Arising out of any insured's activities in a
fiduciary capacity or as a trustee or in any
similar capacity;

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Arising out of any insured's advertising
activities:

Arising out of the operation of:

1) Schools

2) Airports

3) Hospitals or health care facilities

Gas Electric facilities

Arising out of:

1) Any insured obtaining remuneration of
financial gain to which insured was not
legally entitled, or

2) the willful violation of a penal statute or
ordinance committed by or with knowledge or
consent of any insured but only as respects

such insured.

That results in property damage or disappearance of
any tangible property (including money).

Arising out of law enforcement activities.

.Arising from failure to purchase or maintain

insurance coverage.

Based on contractual penalties or reainages, breach
of contract, or cost estimate overruns on any
contract or project.

Resulting in a "claim" or suit for "damages" for
the refund of taxes, assessments, fees or charges
as a result of an improper or illegal levy, tax,
imposition, assessment or valuation of property.

Resulting from discrimination or violation of civil
rights.

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SECTION APPLICATION OF POLICY

Your policy applies in: bodily injury, property damage, personal
injury or advertising injury, acts, errors, or omissions (or a
first in a series of offenses) only if a claim for damages because
of the bodily injury, .property damage, personal. injury or
advertising injury, acts, errors or omissions (or a first in a
series of offenses) is first made against any insured during the
policy period, provided you, at the time you applied for this
coverage had no knowledge of any claim or suit or any occurrence
which might reasonably be expected to result in a claim or suit.

a) A claim by a person or organization seeking damages will

be deemed to have been made when notice of such claim is

received and recorded by any insured or by us, whichever
comes first.

b) All claims for damages because of bodily injury to the
same person, including damages claimed by any person or
organization for care, loss of services, or death
resulting an: any time from the bodily injury will be
deemed to have been made at the time the first of those
claims is made against any insured

c) All claims for damages because of property damage
causing loss to the same person or organization as a
result of an occurrence will be deemed to have been made
at the time the first of those claims is made against
any insured.

d) All claims for damages because of personal injury to the
same person or organization as_a result of an occurrence
will be deemed to have been made at the time the first
of those claims is made against any insured.

e) All claims for damages because of advertising injury to
the same person or organization as a result of an
occurrence will be deemed to have been made at the time
the first of those claims is made against any insured.

15) All claims for damages because of errors 'or omissions
injury as E: result of an occurrence will be deemed to
have been made at the time the first of those claims is
made against any insured. 

g) All claims for damages because of employee ibenefit
injury as a: result of an occurrence will be deemed to
has been made at the time the first of those claims is
made against any insured.

Page 16 of 26

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SECTION IV WHO IS AN INSURED
Each of the following is an insured:
a) You:
b) Any commission, board, authority, -administrative

department or other similar unit operated by and under
_your jurisdiction:

0) Your employees and authorized. volunteers, other* than
licensed medical, nursing, dental or paramedical
personnel:

d) Any duly elected or appointed officials and members of
?your governing body; and

e) 'Any person or organization to whom you are obligated by
virtue of a written or oral contract to provide
insurance such as is afforded by this policy; but only
with respect to operations for you or to facilities you
own, rent or use.

The persons or organizations described above are insureds only
while acting within the scope of their duties with resPect to a
facility or operation that is designated in the Schedule. of
Included/Excluded Operations as "included"

SECTION - SUPPLEMENTARY PAWS
A) General Expenses
We will pay, with respect to any claim or suit we defend:

1) All claim expenses.

2) ?Up to $250 for cost of bail bonds required because of
accidents or traffic law violations arising out of the
use of any vehicle to which this insurance applies. We
do not have to furnish these bonds.

3) The cost of bonds to release attachments, but only for
bond amounts within the applicable limit of insurance.
We do not have to furnish these bonds.

4) All reasonable expenses incurred by the insured at our
request to assist us in the investigation or defense of
the claim or suit, including actual loss of earnings up
to $100 a day because of time off from work.

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All costs taxed against the insured in the suit.

All interest on the full amount of any judgment that
accrues after entry of the judgment and before we have
paid, offered to pay, or deposited in court the part of

the judgment that is within the applicable limit of
insurance.

These payments will not reduce the limits of liability.

B) Medical Expenses

We will also pay:

1)

2)

Medical expenses as described below for bodily injury
caused by an accident;

a) 0n premises you own or rent:
b) On ways next to premises you own or rent; or
0) Because of your operations;

provided that:

a) The accident takes place in the coverage territory-
and during the policy period;

b) The.expenses are incurred and reported to us within
one year of the date of the accident; and

c) The injured person submits to examination, at our
expense, by physicians of our choice as often as we
reasonably require.

We will make these payments regardless of fault up to a

maximum amount of $5,000 per person, $10,000 per

accident. We will.pay reasonable expense for:

a) First aid at the time of an accident;

b) Necessary medical, surgical, x-ray and dental
services, including prosthetic devices; and

o) Necessary ambulance, hospital, professional nursing
and funeral services.

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Exclusions

We will not pay expenses for bodily injury:

1) To any insured.

2) To a person hired to work for or on behalf of any insured or a tenant of
any insured.

3) To any inmate, patient or prisoner who is being treated, cared for,

detailed or imprisoned in any of your facilities.

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4) To a person injured on that part of premises you own or rent that the
person normally occupies.

5) To a person, whether or not an employee of any insured, if bene?ts for
the bodily injury are payable or must be provided under a workers?
compensation or disability bene?ts law or a similar law.

6) To a person injured while taking part in athletics.

7) Included within the products-completed operations hazard.

8) Due to war, whether or not declared, or any act or condition incident to
war. War includes civil war, insurrection, rebellion or revolution.

SECTION VI LIMITS OF LIABILITY

1)

2)

3)

The limits of Liability shown in the Declarations and the rules below ?x the most
we will pay regardless of the number of:

a) InSureds:
b) Claims made or suits brought; or
c) Persons or organizations making claims or bringing suits.

The General Aggregate Limit is the most We will pay for all damages because of:

a) Bodily injury and property damage except for bodily injury and property
damage included in the products-completed operations hazard; and

Personal injury and advertising injury.
The Products~Completed Operations Aggregate Limit is the most we will pay for

all damages because of injury or damage included in the products-completed
operations hazard.

Page 19 of 26
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4) The Errors or Omissions injury Aggregate Limit is the most we will pay for all
damages because of errors or omission hazard.

5) Subject to 2) above, the Personal Injury and Advertising Injury Limit is the most
we will pay for damages because of all personal injury and all advertising injury
sustained by any one person or organization.

6) Subject to 2) and 3) above, whichever applies, the Bodily Injury and Property
Damage Limit is the most we will pay for damages because of all bodily injury
(including damages for care or loss of services resulting from bodily injury) and
property damage arising out of one occurrence. All bodily injury and property
damage arising out of continuous or repeated exposure to substantially the same
general conditions shalt be considered as arising out of one occurrence. 

7) Subject to 4) above, the Errors or Omissions Injury Each Incident Limit is the
most we wiil pay for damages because of all errors or omissions injury arising
out of any one occurrence.

SECTION VII EXTENDED PERIOD OPTION

Upon termination of this insurance by you or by cancellation or non-renewal by us for
any reason other than non?payment of premium, you may elect to have an endorsement
issued providing for an extended reporting period of three years following the effective
date of termination or expiration of this policy.

A claim ?rst made during the Extended Reporting Period will be deemed to have been
made on the?last day of the policy period, provided that the claim is for damages and/or
personal injury or advertising injury offenses (or ?rst in a related series of such offenses),
acts, errors, or omissions (or the ?rst in a related series of acts, errors, or omissions)
which occurred because of bodily injury or property damage before the end of the policy
period, but not before the Retroactive Date, if any, shown in the Declarations.

The Extended Reporting Period will not reinstate or increase the limits of liability or
extend the policy period.

Page 20 of 26
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a) you request it in writing within 60 days after the end
of the policy period: and

b) you pay the additional premium when due, as may
be required by our Rules, Rates and Rating Plans then in
effect.

The Extended Reporting Period Endorsement will not take effect
unless the additional premium is paid when due. If that premium
is paid when due, the endorsement may not be cancelled.

SECTION VII - CONDITIONS

1) Premiums

The Named Insured shown in the Declarations:

a) Is responsible for the payment of all premiums; and

b) will be the payee for any return premiums we pay.

2) Inspections and Surveys

We have the right but are not obligated to:
a) Make inspections and surveys at any time:
b) Give you reports on the conditions we find; and
c) Recommend changes.
Any inspections, surveys, reports-or recommendations relate
only to insurability and the premiums to be charged. We do
not make safety inspections. We do_not undertake to perform
the duty of any person or organization to provide for the
health or safety of workers or the public. And we do not
warrant that conditions:

a) Are safe or healthful; or

b) Comply with laws, regulations, codes or standards.

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4)

This condition applies not only to 'us, but also to any
rating, advisory rate service or similar organization which
make insurance inspections, surveys, reports or
recommendations.

Examination of Your Books and Records

We may examine and audit your books and records as they
relate to this policy at any time during the policy period
and up to three years afterward.

Duties in the Event of Occurrence, Claim or Suit

a) You must see to it that we are notified as soon as

practicable of in] Occurrence, offense, act, error, or
omission which may result in a claim. Notice should

include:
1) How, when and where the occurrence took place;
The'names and addresses of any injured persons and

witnesses; and

3) The nature and location of any injury or damage
arising out of the occurrence.

Notice of any occurrence is not notice of a claim.
b) If a claim is received by any insured, you must:

1) Immediately record the speci?ics of the claim and
the date received: and

2) Notify us as soon as practicable.

You must see to it that we receive written notice of the
claim as soon as practicable.

c) You and any other involved insured must:
1) Imnediately send us copies of any demands, notices,
summonses or legal papers received in connection
with claim or suit;

2) .Authorize us to obtain records and other
?information;

3) Cooperate with us in the investigation, settlement
or defense of the claim or suit; and

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4) Assist us, upon our request, in the enforcement of
any right against any person or organization which
'may be liable to any insured because injury or
damage to which this insurance may also apply.

(1) No insured will, except at their own cost, voluntarily
make a payment, assume any obligation, or incur any
expense, other than for first aid, without our consent.

legal Action Against Us

No person or organization has a right under this policy:

a) To join us as a party or otherwise bring us into a suit
asking for damages from any insuredthis policy unless all of its terms have
been fully complied with.

A person or organization may sue us to recover on an agreed

settlement or on a final judgment against an insured obtained.

after actual trial but we will not be liable for damages
that are not payable under the terms of this policy or that
are in excess of the applicable limit of liability. An
agreed settlement means a settlement and release of liability
signed by us, the insured and either the claimant or the
claimant?s legal representative.

Transfer of Rights of Recovery Against Others to Us

If any insured has rights to rec'over all or part of any
payment we have made under this policy, those rights are
transferred to us. Any insured must do nothing after loss to
impair them. At our request, any insured will bring suit or
transfer those rights to us and help us enforce them.

Changes

This policy contains all the agreements between you and- us
concerning the insurance afforded. Notice to any of our
agents or knowledge possessed by any such agent or any other
person shall not act as a waiver or a change in any part of
this policy.

None of the provision of this policy shall be waived, changed

or modified except by written endorsement issued to form a
part of this policy.

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Transfer of Your Rights and Duties Under this Policy

No rights or duties under this policy may be transferred
without our written consent except in the case of death of an
individual insured.

If any insured dies, that insured's rights and duties will be
transferred to that insured?s legal representative but only
while acting within the scope of duties as that in'sured's
legal representative. Until the legal representative is
appointed, anyone having proper temporary custody of that
insured's property will have that insured's rights and duties
but only with respect to that property.

Bankruptcy

Bankruptcy or insolvency of the insured or of the insured's
estate will not relieve us of our obligations under this
policy. -


other Insurance

If other valid and collectible insurance is available to any
insured for a loss we cover under this policy, our

obligations are limited as follows:

a) Primary insurance

This insurance is primary insurance, except when b.
below applies. If this insurance is primary, our
obligations are not affected unless any of the other
insurance is also primary. Then, we will share with all
that other insurance by the method described in c.
below. -

b) Excess Insurance

This insurance is excess over any of the other
insurance, whether primary, excess, contingent or on any
other basis:

1) That is effective prior to the beginning of the
policy period shown in the Declarations of this
insurance applies to bodily injury, property
damage, personal injury or advertising injury,
acts, errors or omissions (or a first in a series
of offenses) on other than a claims made basis, if:

a) No Retroactive Date is shown in the
Declarations of this insurance; or

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b) The other insurance has a policy period which
continues after the Retroactive Date shown in
the Declarations of this insurance:

2) That is- Fire, Extended Coverage, Builders Risk,
Installation Risk or similar coverage for your

work;

3) That is Fire Insurance for premises rented to you;-
or

4) If the loss arises out of the maintenance or use of

aircraft, autos or watercraft to _the- extent not
subject to Exclusion 14.c.

When this insurance is excess, we will have no duty
under this policy to defend any-claim or suit that any
other insurer has a duty to defend. If no other insurer
defends, we will undertake to do so, but we will be
entitled to any insured's rights against all those other
insurers.

When this insurance is excess over other insurance, we
will pay only our share of the amount of the loss, if
any, that exceeds the sum of:

1) The total amount. that all such other insurance
would pay for the loss in the absence of this
insurance; and

2) The total of all deductible and selinnsured
amounts under all that other insurance.

We will share the remaining loss, if any with any other
insurance that is not described in this Excess Insurance
provision and was not bought specifically to apply in
excess of the Limits of Insurance shown in the
Declarations of this policy.

Method of Sharing

If all the other insurance permits contribution by
equal shares, we will follow this method also. Under
this approach, eadh insurer contributes equal amounts
until has paid its applicable limit of insurance or none
of the loss remains, whichever comes first.

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If any of the other insurance does not permit
contribution. by equal shares, we *will contribute .by
limits. Under this method each insurer?s share is based
on the ratio of its applicable limit of insurance to the
total applicable limits of insurance of all insurers.

Cancellation

a)

15)

C)
d)

e)

f)

The Named Insured shown in the Declarations may cancel
this policy by mailing; or delivering to us advance
written notice of cancellation.

We may cancel this policy by mailing or delivering to
the Named Insured written notice of cancellation at
least: 

1) 10 days before the effective date of cancellation
if we cancel for non?payment of premium; or

2) 60 days before the effective date of cancellation
if we cancel for any other reason.

We will mail or deliver our notice to the Named
Insured's last mailing address known to us.

Notice of cancellation will state the effective date of
cancellation; The policy period will end on that.date.

If this policy is cancelled, we will send. the Named
Insured any? premium refund due. If we cancel, the
refund will be pro-rate. If the Named Insured cancels,
the refund may be less than pro~rata. The cancellation
will be effective even if we have not made or offered a
refund.

If notice is mailed, proof of mailing will be sufficient
proof of notice.

Representations

By accepting this policy, you agree:

a)

b)

C)

The statements in the Declarations are accurate and
complete:

Those statements are based upon representations you made
to us: and

~We have issued this policy' in reliance upon your

representations.

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Included

Included
Included

Included

Included

Excluded

Excluded
Excluded
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Excluded
Excluded

Exo ed
Excluded

xc ed_

Excluded
Excluded

Excluded

Excluded
Excluded

Excluded

-Housing ?Authority

SCHEDULE OF OPERATIONS

Airport
Amusement Parks
Dams, Lakes, Reservoirs

Electric Utility System
Gas Department or Gas Utility System
Golf Courses

Hospitals and Nursing Homes

and Housing
Projects

Landfills

Law Enforcement Activities (Bodily
Injury and Property Damage 
Coverage Only)

Law Enforcement Activities (Personal
Injury Coverage Only)

Penal Institutions, Jails,
Correctional Facilities

Schools and_Colleges

Ski Facilities and Skiing Activities

Street, Roads, Highways or_Bridges
(including signs, meters,'
signals, etc.)

Transportation Systems

Water and Sewer Companies

Wharves, Piers, Docks, Marinas and
Watercraft

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Policy Endorsement #001
Effective: September 1, 1989 Named Insured:

This Endorsement Changes the Policy
Please Read it Carefully

This endorsement modifies insurance provided under the PUBLIC
ENTITY LIABILITY INSURANCE POLICY -- CLAIMS MADE

 

The medical payment coverage of the above mentioned policy is
hearby amended to the following limits

$250 Per Person
$500 Per Occurrence

Countersigned by:

 

Daniel Henry-Co.
Premium: None

 

. Date

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Endorsement Effective: September 1, 1992

This Endorsement Changes the Policy.
Please Read it Carefully.

De?nition of Insured Contract

This endorsement modi?es insurance provided under the .
- PUBLIC ENTRY LIABILITY INSURANCE POLICY CLAIMS MADE

Subsection (1 of ?Insured Contracts" in Section I - De?nitions is hereby repealed and a new
subsection 13 enacted to read as follows:

Any other easement agreement, except in connection with construction or demolition Operations
.on a railroad. .

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Endorsement 
This Endorsement Changes The Policy.
Please Read It Carefully.

AMNDHENT IV - WHO IS AN INSURED

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE

It is agreed that subsection C. of SECTION IV - WHO IS AN INSURED
is replaced by the following:

C.

Your employees and.authorized volunteers, other.than licensed
medical, nursing, dental or paramedical personnel, but only
for acts within the scope of their employment or as
authorized by you. However, none of these employees or
authorized volunteers is an insured for:

l) Bodily injury or personal injury to a oo-employee or to
a volunteer while in the course of his or her employment
or while acting on your behalf:

2) Bodily injury or personal injury arising out of
personally providing or failing to provide professional
health care service; or

3) Property damage to property owned or occupied by or
rented or loaned to that employee, that volunteer or any
of your other employees or volunteers.

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Endorsement 

This Endorsement Changes the Policy.
Please Read it Carefully.

FIRE DAMAGE LEGAL LIABILITY

This endorsement modifies insurance provided under the
.PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

In return for the payment of the premium when due and subject to
all the terms of the policy, except as modified with respect to
the insurance afforded by this endorsement, we agree with you as
follows:

SCHEDULE

Description Limit of Hate Bremium
of Property Liability (Per $100 of Limit) $Included

ALL REAL PROPERTY
$50,000 each occurrence

We will pay on behalf of the insured all sums the insured shall
become legally obligated to pay as damages because of property
damage arising out of fire to structure or portions thereof
including permaently attached fixtures, retned to or occupied by
any insured. and described in the Schedule of this endorsement,
subject to the following conditions:

The limit of liability stated in the Schedule of this endorsement
applies separately to the insurance affored by this endorsement and
is in lieu of and not in addition to any other limit of liability
stated in the policy, but is subject to the All Coverages Aggregate
Limit stated in the policy Declarations.

None of the exclusions of the policy applying to property damage,
other than the Nuclear Energy Liability Exclusion (Broad Form) 
apply to the property damage coverage afforded-by this endorsement
and in lieu thereof the following exclusion applies:

This insurance does not apply to property damage for which any
insured is obligated to pay damages by reason of the assumption of
liability in a contract or agreement. This exclusion does not
apply to liability for damages;

1) Assumed in a contract or agreement that is an insured
contract, or

2) -That the insured would have in the absence of the contract or
agreement.

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Endorsement 

This Endoreement Changes the Policy.
Please Read It Carefully.

PERSONAL INJURY COVERAGE 
LEW ENFORCEMENT OPERATIONS

This-endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE

with respect only to coverage for your Law Enforcement Operations,
the definition of personal injury is amended to read:

?Personal Injury? means injury (other than bodily injury) arising
out of one or more of the following offenses in the conduct of your
law enforcement operations:

1) false arrest, detention or imprisonment:
2) malicious prosecution:
3) wrongful entry, eviction or cdmer invasion of the right of

private occupancy:
4) humiliation:

5) the publication of utterance of a libel, slander or other
defamatory or disparaging material, or publication or
utterance in violation of an individual's right of privacy;

6) false arrest or improper service of process;

7) violation of property rights.

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Endorsement 
This Endorsement Changes The Policy.
Please Read it Carefully.

DEDUCTIBLE LIABILITY INSURANCE

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

SCHEDULE

Coverage Amount and Basis of Deductible

1)

2)

3)

1)

2)

3)

Bodily Injury and Property
'Damage 500 each occurrence

Personal Injury and
Advertising Injury 500 each occurrence

Law Enforcement Liability $2,500 each occurrence

Our obligation to pay damages on behalf of the insured because
of damages sustained by one or more persons or organizations
as a result of any one occurrence, applies only to the amount
of damages payable for each coverage shown in the Schedule of
this endorsement which is in excess of the deductible stated
in the Schedule for each such coverage.

We may pay any part or all of the deductible amount to effect
settlement of any claim and, upon notification of the action
taken, you shall reimburse us for such part of the
deductible amount as has been paid by us.

The terms of the policy of which this endorsement forms a part
including those with respect to our rights and duty to
defend any claim or suit seeking such damages, and your
duties in the event of an occurrence, claim or suit, apply
regardless of the application of the deductible amount.

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Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully.

WAIVER OF GOVERNMENTAL IWUNITY

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY -- CLAIMS MADE

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We will waiVe, both in the adjustment of claims and in the defense
of suits against any insured any governmental immunity of the
insured unless the insured requests in writing that we not do so.

Waiver of immunity as a defense will not subject us to liability

for any portion of a claim or judgment in excess of the applicable
'limit of liability.

Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully.

LIMITATION OF LIMIT OF LIABILITY

This endorsement modifies inSurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

In the event that more than one coverage applies .to the same claim
or suit brought against any insured, our total liability for all
damages with respect to such claim or suit shall not exceed the
highest limit of liability under any such coverages.

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Endorsement 

This Endorsement Changes The Policy.
Please Road It Carefully.

MOTOR VEHICLE LAWS MOBILE EQUIPMENT

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

It_is agreed that with respect to mobile equipment to which your
policy applies, we will provide any liability, uninsured motorists,
underinsured motorists, no~fau1t or other coverages required by any
motor vehicle insurance law. We will provide the required limits
for those coverages. ..

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Exdors ement 

This Endo?S?m??t changes-3 The Policy.
Please Read It Carefully.

EXCLUSION - ACTION SUITS

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY -- CLAIMS MADE

We have no obligation under this policy to investigate, defend or
pay any damages, judgments loss, costs or expenses that may be
awarded in a class action suit against any insured because of
bodily injury, property damage, personal injury, advertising
injury, error or omissions injury or employee benefit injury
sustained by any person in connection with the employment or
prospective employment of any person by any insured.

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Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully

EXCLUSION - ENGINEERS, ARCHITECTS OR SURVEYORS
PROFESSIONAL LIABILITY

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE

The policy of'which this endorsement forms a partdoes not apply to
bodily injury, property damage, personal injury, errors or
omissions injury or advertising injury arising out of the rendering
or failure to render any professional services by or for you,
including: 

1) The preparing, approving, or failure to prepare or approve
maps, drawings, opinions, reports, surveys, change orders,
de31gns or specifications; and

2) Supervisory, inspection or engineering services.

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Endorsement 
This Endorsement Changes The Policy.
Please Read It Carefully.

EXCLUSION - INJURY TO VOLUNTEER FIREMEH

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE

This insurance does not apply to bodily injury or personal injury
to any volunteer firemen while in the course of their duties as
such, whether or not members of your organization.

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Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully.

EXCLUSION PROFESSIONAL LIABILITY

This endorsement modifies insurance provided under the
ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

This insurance afforded by the-policy of.whioh this endorsement
forms a part does not apply to personal injury? or' errors or
omissions injury? arising out of an insured's rendering of or
failure to render professional services in his/her capacity as a
lawyer, to or on behalf of any person or organization with respect
to any matters not related to your covered operations or
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1)

Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully.

NUCLEAR ENERGY LIABILITY EXCLUSION ENDORSEKENT
(BROAD 

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

The insurance does not apply:

a)

10)

Under any Liability Coverage, to bodily injury or
property damage:

1) With respect to which an insured under the policy is
also an insured under a nuclear energy liability
policy issued by Nuclear Energy Liability Insurance
Association, Mutual Atomic Energy Liability
Underwriters or Nuclear Insurance Association of
Canada, or would be an insured under any such policy
but for its termination upon exhaustion of its limit
of liability: or -

2) 'Resulting from the hazards property of nuclear
material and with respect to which any person or
organization is required to maintain financial
protection pursuant to the .Atomic ?Energy ;Act. of
1954, or any law amendatory thereof, or the
insured is, or had this policy not been issued would
be, entitled to indemnity from the Untied States of
America, or any agency thereof, under any agreement
entered into by the United States of America, Or any
.agency thereof, with any person or organization.

Under any Medical Payments Coverage, to expenses incurred
with respect to bodily injury resulting from the
hazardous properties of nuclear material and arising out

of the operation of a nuclear facility by any person or
organization.

Under any Liability Coverage to bodily injury or property
damage resulting from the hazardous properties of nuclear
material, if:

1) The nuclear material is at any nuclear facility
owned by, or operated by or on behalf of, an insured
or has been discharged or dispersed therefrom;

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2)

2) The nuclear material is contained in spent fuel or
waste at any time possessed, handled, used,
processed, stored, transported or disposed of by or
on behalf of any insured; or

3) The bodily injury or property damage arises out of
the furnishing by an insured of services, materials,
parts or equipment in connection with the planning,
construction, maintenance, operation or use of any
nuclear facility, but if such facility is located
within the United States of America, its territories

'or possessions or Canada, this exclusion (3) applies
only to property damage to such nuclear facility and
any property thereat.

As used in this endorsement:

"hazard properties" include radioactive, toxic or explosiwe
properties;

?nuclear material" means source material, special nuclear
material or material:

"source material", ?special nuclear material" and "b.ywproduct?

material" have the meanings given in the Atomic Energy: Act of
1954 or in any law amendatory thereof;

"spent fuel? means any fuel element or fuel component, solid

?or liquid, whidh has been used or exposed to-radiation'in a

nuclear reactor;

"waste" means any waste material containing lay-"product
material other than the tailings or wastes produced by the
extraction or concentration of uranium or thorium for any ore

?processed primarily for its source material content, and 

resulting from the operation by any person or organization of
any nuclear facility included under the first two paragraphs
of the definition of nuclear facility.

"nuclear facility" means
a) Any nuclear reactor
b) Any equipment or device designated or?used for 
separating-the isotopes of uranium or plutonium, (2)

processing or utilizing spent fuel or (3) handling,
processing, or packaging waste,

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c) Any equipment or device used for the processing,
fabricating or alloying of special nuclear material
if at any time the total amount of such material in
the custody of the insured at the premises where
such equipment or device is located consists of or
contains more than 25 grams of plutonium or uranium
233 or any combination thereof, or more than 250
grams of uranium 235;

61) Any structure, basin, excavation, premises or place
prepared or used for the storage or disposal of
waste:

and includes the site on which any of the foregoing is
located, all operations: --conducted .on such site and all
premises used for such?operations:

"nuclear reactor" means any apparatus designed or used to
sustain nuclear fission in a selfwsupporting chain reaction or
to contain a critical mass of fissionable material;

"property damage? includes all forms of radioactive
contamination of property.

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Endorsement 
This Endorsement Changes the Policy.
Please Read It Carefully.

-EMERGENCY MEDICAL TREATMENT COVERAGE

This endorsement modifies insurance provided under the
ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

Premium

 

We agree with you:

i)

2)

For payment of an additional premium, the definition of bodily
injury is amended to include injury arising out. of the
rendering of or failure to render emergency medical treatment
by any person (other than a physician, dentist or nurSe
employed by you _to provide such services) including any
professional volunteer designated herein and who provides
these services on your behalf, subject to the following
provisions:

a) Exclusion 5. does not apply.

b) The insurance afforded by this endorsement to each such
person does not apply to bodily injury to another of your
employees or volunteers arising out of and in the course
of his or her duties for (1) you or (2) if the named
insured is a partnership or joint venture, any partner or
member thereof.

As used herein, "professional volunteer" means any person who
is a licensed or certified nurse, emergency medical technician
or paramedic, and performs medical or paramedical services
without a charge, for or at your direction.

Designated Professional Volunteers

Emergency medical Technicians and Paramedics per schedule on
file

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ERGORSEHENT 
EFFECTIVE DATE: MARCH 1, i989

 



 

 

 

 

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I I


EHPLOYEE asuems 

LIABILITY Insurance 5 1,000,000 sacs cum 1,000,000 AGGREGATE 5: 1,000 EACH cum
I 
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or EMPLOYEES I RETRO one PREMIUH
3/1139. I 5 incl.

I I

 

In consideration of the payment of the premium, this Comany agrees uith the Insured named in the Declarations to afford the
coverage set forth herein and on pages 2 and 3. The other terms, conditions and limits of liability in other- sections of the
policy to which this endorsement is attached shall no: apply to insurance afforded hereunder-


1. Employee Benefits Liability:

This Camsaany will pay on behalf of the Insured all suns which the Insured shall become legally obligated to pay as
damages because of any claim made against the Insured due to any negligent act, error or omission of the Insured, or any
other person for whose acts the Insured is legally liable, in the administration of the Insured's Employee Benefits.
programs, as defined herein, and this Coapany shall have the right and duty to defend any suit against the Insured
seeking damages on account of such negligent act, error or omission, even if any of the allegations. of the suit are
groundless, false or fraudulent, and may make such investigation and settlement of any clainor suit as it deems
expedient: but this Contpany shall not be obligated to defend any suit after the applicable limit of this Comany's
liability has been exhausted by payment of judgements or settlements.

2. Supplementary Pennents: This Company will pay, in addition to the applicable limits of liability:
(33 all expenses incurred by this Company, all costs taxed against the Insured _in any suit defended by this Conpany and
all interest on the entire amount of any judgment therein which accrues after the entry of judgment and before this
Company has paid or tendered or deposited in court that part of the judgment which does not exceed the limit of this
Company's liability thereon;

premiums on appeal bonds required in any such suit and premiums on bonds to release attachments fornan amount not in
excess of the applicable limit of liability of this policy, but without any obligation to apply or furnish any such
bonds;

reasonable expenses incurred by the insured at this Company's request including actual loss of wages or salary (but

not loss of other income) not to exceed $25 per day because of his attendance at hearings or trials at such women.
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Definition oi ?Insured": Uith respect to the insurance afforded by this endorsement the unqualified word
includes the Named Insured; provided that if the
only to the col-duct

the

if the Named insured is or includes a partnership or joint venture,

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DEFINITIONS

"Insured"
Named Insured is designated as an individual, the insurance applies
or a business of which he is the sole proprietor and lb) the mqualificd word ?insured"

also incluct
follouing:

any partner or neither thereof but only uitr.
respect to his liability as such;

any executive officer, director or stockholder of the ?amed Insured while acting ui thin the scope of his duties 3
such,-

any full-time, salaried employee, provided such employee is authorized to act in the administration of the Home:

lnsured's Emloyee Benefits Program.

loyee Senefits Programs?: The term "Emloyce Benefits Programs" means group life insurance, group accident or

health insurance, profit sharing plans, pension plans, amloyee stock subscription plans, uorkmen's commotion,
memployment insurance, social security benefits, disability benefits, disability benefits, and (in) any other similar
omloyee benefits instituted after the effective date of this endorsement, provided this emany is notified within
thirty days after the institution of such benefits.

3. "Adninistration": The unqualified word "adninistration" whenever used shall mean:

Interpreting the Employee Benefits Program;
Handling of records in connection with the Emloyeo Benefits Programs:


This.
(an

Effective enrollment, termination or cancellation of imployees under the Esployee Benefits Program; provided all
such acts are authorized by the Named Insured.

EXCLUSIONS
endorsement does not apply to:

It

any claim based upon or attributable to any dishonest, fraudulent, criminal or malicious act, libel, slander,
discrimination, or humiliation:

lb) bodily injury to or sickness, disease or death, of any person, or to injury to any tangible property, including :32
loss of use thereof:

any claim for failure of performance of contract by an insurer;

any claim based upon the Insured's failure to comply vith any law concerning uorkmen's compensation, 'memploymen:
insurance, Social security or disability benefits; 

any claim based upon:

advice given by an Insured to an ouployee to participate or not to participate in any Emloyee Benefit Plans:
(i i the appointment of, or the failure to appoint, any invcsunent manager, administrator, trustee, actuary,
adviser, counsel, accomtant, custodian, or comultant: .
any investment activity, including but not limited to, the management, ministration or disposition of
assets of any Emloyee Benefit Program.

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This endorsement does not provide coverage for any claim to the extent that recovery could no: have been attained upon

such claim in an action at lau prior to the effective date of the Esployee Retirement Income Security Act of 39W.
(E8153).

CORD ITIOHS 

1. Application of this Endorsement: This endorsenent applies to damages which occur within the United States of America,
its territories or possessions or Canada provided 91; EEK 1.5. 95.92212 55S $19.2 $11.9. WEE
period, and the Insured at the effective date of this endorsement had no knowledge or could not have reasonably foreseen
any circumstances which might result in a slain: or suit.

2

Limits of Liability: Regardless of the nunber of lnsureds under this policy lb) persons uho sustain damages 0"

claims made or suits brought for such damage; .the limit of liability stated in the Additional Beclarations as
applicable to ?each sum" is the limit of?this Cornpany's liability for all damages incurred on account of any claim 
the limit of liability stated in the Additional Declarations as ?aggregate" is, subject to the above

ZofllN

provision respecting each claim, the total limit of this Cmpa
occurring during each annual period this endorsement is in for

3. Premium:

annual period of this endorsement the Insured, on request, will furnish this Carpany a stat
employees at the end of the period and the earned premium shall be
the beginning and the end of such period in accordance
earned premium thus computed exceeds the estimated
less, this Company shall return to the Insured the

4. Insured?
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5.

Deductible:
all sums whit:
shall be Iial:

claim as stated in the-Additional Declarations. The terms or
claim or suit and this Comany?

ny's liability for all claims covered hereunder and

C2.

The premium stated in the Additional Declarations is an estimated premium only. Upon termination of each

oment of the total ntmber of
conputed on the average of the nmiber of mtployees
with the rates specified in the Additional Declarations. If the
premium paid, the Insured shall pay the excess to this to
unearned portion paid by such Insured:

many; if

Duties in the Event of Occurrence, Claim or Suit:

In the event of an occurrence which may result in a claim, written notice containing particulars sufficient to
identify the insured and also reasonably obtainable information with respect to the time
thereof, shall be given by or for the Insured to this it
practicable.

If claim is made or suit is brought against the Insured, the Insured shall immediately forward to this company eve.?
den-land, notice, sunnons or other process received by him or his representative.

The Insured shall cooperate with this Company and, upon this Company's request, shall attend hearings and trials,
assist in making settlements, in the conduct of suits, in securing and giving evidence and obtaining the attendance
of witnesses. The Insured shall not, except at his own cost,
incur any-expense.

place and circumstances
oopany or any of its authorized agents as soon as

.

The deductible amount indicated in the Additional Declarations shall be subtracted from the total amount of
it this Comany is obligated to pay or incur on behalf of- the_Insured on account of each claim.

This Camera
le only for the difference between such deductible munt and

the limit of this Cospanyl's liability for ess?
dthis endorsement including those with respect to notice 
right to investigate and negotiate any such claim or suit, apply irrespective of the

application of the deductible amount.

6.

Any person or organization or the legal representative thereof who has secured such Judgment or uritt

Action Against Company: No action shall lie against this Coaoany,
shall have fully-comlied with all of the terms of th
pay shall have been finally determined either by 
of the Insured, the claimant and the tummy.

unless as a condition precedent thereto, the insured
is endorsement, nor until'the mun: of the Insurec's obligation to
udgment against the Insured after actual trial or by written agreemen:

an agreement shal 

thereafter be entitled to recover wider this endorsement to the extent of the insurance afforded by this endorsement. to

person or organization shall have any right under
the Insured to determine the lnsure-d's liability,
representative. ?ankruptcy or insolv
of its obligations hereunder.

subrogati on:

rights of recovery therefor against any person or organization and the Insured shall exewte and deliver imtrunents and

this endorsement.to join- this Cmnany as a party to any action agains:
nor shall this Carpeny be impleaded by the Insured or his legal
may of the Insured or of the Insured?s estate shall not relieve this Company of any

Ithhe event of any payment wider this endorsement, this Corn-zany shall be subrogated to all the Insured?s

Papers and do whatever else is necessary to secure such rights. The Insured shall do nothing after loss to prejudice
such rights.

Changes 

Notice to any agent or knowledge possessed by an agent or by another person shall not affect ayaiver or a

change in any part of this endorsement or estop this Company from asserting any right under the terms of this

endorsement;

Assignrnent:
hereon; if, however,
as Named Insured;
mailed to the addr

nor shall the term stated herein be waived or changed, except by endorsement issued to effect such change.

Assignment of interest under this endorseoent shall not bind this Company until its consent is endorsed.
the Named Insured shall die, this endorsement shall cover the named Insurod's legal ?wr?sematwel
provided that notice of? cancellation addressed to the insured named in the Additional Declarations anc
oss shown in this endorsement shall be sufficient notice to effect cancellation of this ordersenent.

Bof?lN

voluntarily make any payment, assume any obligation 

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13.

Other Insurance:' If the Insured has other insurance against a loss covered by this endorsement this Company shall not
be liable under this endorsement for a greater proportion of such loss than the limit of liability stated in the
Additional Declarations bears to the total limit of liability of all valid and collectible insurance against such loss.
However? with respect to negligent acts, errors or omissions which occur prior to the effective date of this endorsement
the insurance hereunder shall apply only as excess insurance over any other valid and collectible insurance and shall
then apply only in the amount by which the applicable limit of liability of this endorsement exceeds the sum of the
applicable limits of liability of all such other insurance.

Additional oeclarations: 8y acceptance of this endorsement the Insured agrees that the statements in the Additional
Declarations are his agreements and representations, that this endorsement is issued in reliance upon the truth of sucn

representations and that this endorsement embodies all agreements existing between himself and this Company or any of it:
agents relating to this insurance-

conformity with Statue: Terms of this endorsement which are in conflict with the Statutes of the State wherein this
endorsement is issued are hereby amended to conform to such Statutes.

Cancellation: This endorsement may be cancelled by the ?amed Insured by surrender thereof to this Company or any of its
authorized agents or'by mailing to this Company written notice stating when thereafter the cancellation shall be
effective. This endorsement may be cancelled by this Company by mailing to the Named Insured at the address shown in Eh?
Additional Declarations written notice stating when not less than ten days thereafter such cancellation shall be
effective. The mailing oi notice as aforesaid shall be sufficient proof of notice. The time of the surrender or the
effecrive date and hour of cancellation stated in the notice shall become the end of the endorsement period. Delivery 3?
such written notice either by the Named Insured or by this Company shall be equivalent to mailing.

 

Authorized Representative

 

Date

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- Endorsemento
Endorsement Effective: November 1, 1993

This Endorsement Changes the Policy.
- . Please Read it Carefully.

Policy Subject to Governmental Immunity

This endorsement modi?es insurance provided under the
PUBLIC ENTITY INSURANCE POLICY CLAIMS MADE

Endorsement is hereby repealed, and a new Endorsement is enacted to read as follows:

Notwithstanding any other provision, it is expressly agreed that our liability under this policy
is limited to only those claims against insureds for which there is no governmental immunity
pursuant to the laws of the State of Missouri._

In the event we deny liability because of governmental immunity on any otherwise covered
claim, we will remain obligated to defend the claim, including the assertion of the governmental
immunity defense, and will be subject to liability, up to the applicable limit, for any portion of
the claim or judgment for which governmental immunity does not apply.

Passed by the Board of Directors of the
Property and Casualty Trust of St. Louis
August 24, 1993.

Martin IfCorcoran, President

Mid 0030 9 ?023 ?23 SURF 3313017} Dalhi 

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Endorsement?PV

This Endorsemen? Changes The Policy.
Please Read It Carefully;

EXCEUSION ASBESTOS RELATED CLAIMS

This endorsement modifies insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY CLAIMS MADE

?Bodily Injury" or "Property Damage" arising out-of or resulting
from Asbestos.

The company shall not have any duty to defend any ?suit" against
the insured seeking damages on account of any just injury?41: em? ?zunoa 8mm 1?3 - pens. mseaaumweig
Wd 902m - 8LOZ '88 lsn?nv - Munoz) 8mm 18 - IOGIH Anemuonoela

Endorsement?Q"

This Endorsement Changes The Policy.
Please Read It Carefully.

EXCLUSION - CHILD MOIESTATION

This endorsement modifies insurance provided'under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY -- CLAIMS MADE

?Bodily Injury? or "Property Damage" sustained inf any person
arising out of or resulting from the molesting of minors by:

1) Any Insured:
2) Any employee of any Insured: or

3) Any person performing volunteer services for or on behalf
of any insured. .

The company shall not have any duty to defend any ?suit" against
the insured seeking damages on account of any such injury.

Wd ngzo (no: ?52; em; $51011: pang Aggeoguonoegg
903ZL 8LOZ '8313n5n?v? 18 pel!:  AIIBOWOJIOGIEI

ENDORSEMENT 

This Endorsement Changes the Policy
Please Read it Carefully.

PERSONAL INJURY COVERAGE -
LAW ENFORCEMENT OPERATIONS

This endorsement modi?es insurance provided under the
PUBLIC ENTITY INSURANCE POLICY CLAIMS MADE,
ENDORSEMENT C, PERSONAL INIURY COVERAGE 
LAW ENFORCEMENT OPERATIONS

With respect to Endorsement C, subparagmph 4, "humiliation" is deleted.

Adopted by PACT Board of Directors 
Januaxy 24, 1995 to be effective March 1, 1995.

W?m

Martin Jwborcoran, President

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9033L

SECTION WHO IS AN INSURED, is hereby repealed endorsement and the 

Endorsement 

This Endorsement Changes The Policy.
Please Read It Carefully.

OF SECTION IV WHO IS AN INSURED

This endorsement modi?es the insurance provided under the
PUBLIC ENTITY LIABILITY INSURANCE POLICY - CLAIMS MADE

endorsement dealing with the same subject effective March 1,1994'13 hereby deleted and a new
SECTION IV WHO IS AN INSURED IS enacted to read as follows:

SECTION IV - WHO IS AN INSURED

Each of the following is an insured:

3)
b)

c)

CD

You;

Any commission, board, authority, administrative department, or other similar
unit operated by and under your jurisdiction; .

Your employees and authorized volunteers, other than licensed medical, nursing,
dental or paramedical personnel, but only for acts within the scepe of their
employment or as authorized by you. However, none of these employees or
au?torized volunteers is an insured for:

1) Bodily injury or personal injury to a co~employee or to a volunteer
while in the course of his or her employment or while acting on your
behalf;

2) Bodily injury or personal injury arising out of personally providing or
failing to provide professional health care service; or

3) Property damage to property owned or occupied by or rented or loaned
to that employee, that volunteer or any of your other employees or
volunteers.

Any duly elected or appointed of?cials and members of your governing body; and
Any person or organization to whom you are obligated by virtue of a written

contract to provide insurance such as is afforded by this policy; but only with
respect to operations for you or to facilities you own,,rent or use. The written

aunp memos canon 13 perils Agieoguonoem

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contract must have been entered into prior to bodily injury, property damage,
personal injury or advertising injury. The persons or organizations described
above are insured only while acting within the scope of their duties with respect
to a facility or operation that is designated in the Schedule of IncludedlExcluded
Operations as "Included". Notwithstanding any other limit of liability contained
in this policy, the limits of liability for coverage provided to the insured for
bodily injury or pmperty damage under this Section shall not exceed
$100,000 for one person in a single accident or occurrence nor $1,000,000 for
all claims arising out of a single accident or occurrence. 

ADOPTED BY Pact Board of Directors on August 15, 1995, to be effectiye November 1, 1995.

MW

Michael G. Herring, President 

MBDIUOJIOBB

Mid. 0020 9:02: 3:13 5353003 33007 18 Delhi 
- 8105 '88 - Munog sumo-l 13

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Exhibit 2

 A - - I (314)725-2960
Fax (314) 725-2939

Administrators 9656011v98lvd..5te.205
St. Louis, MO 63132

July 22,2015 

Mr. Ed Beasley
interim City Manager
City of Ferguson

1110 Church Street
Ferguson, MO 63135

In Re: Keilee Fant et al v. City of Ferguson
Claim No: 20.21910 
Date/Loss: 01/26/2011

Dear Mr. Beasley:

As you know we are the adjusters acting on behalf of the St. Louis Area insurance Trust, inc. (SLAIT)
In connection with the above matter.

We have roceived a copy of the Complaint that was ?led in United States District Court, Eastern District

of Missouri in the _-l__aw_su_it styled__ Keilee Font eta! City of Ferguson Cause no. 4:15-cv1253. The
defense of this case has been assigned to attorney Peter]. Dunne In the Pitzer Snodgrass Law Firm,

under the polity of' Insurance issued by the to the City of Ferguson

SLAIT is defending this case subject to a full reservation'of rights. Based on the allegations contained in
the Complaint ?led on behalf of the Plaintiffs, and the coverage provided to the City of Ferguson under
the SLAlTpolicy, there are questions as to whether coverage under the policy applies to this ciaim.

Plaintiffs have raised claims in the following counts:

Count 1, Defendant City Of Ferguson Violated the Plaintiff?s Rights by Jailing
Them for Their Inability to Pay the City;

Count II, Defendant City of Ferguson Violated Plaintiff's Rights by lmprisoning
Them Without Appointing Adequate Counsel;

Count Iii, Defendant City of Ferguson 5 Use of inde?nite and Arbitrary Detention
Vioiates Due Process,

f?b I . Sub51d1ary of Condray Inc. . 

 

SLAIT 2035

 Count IV, The Deplorabie Conditions in the Ferguson Jail Vioiates Due
Process and Constitute impermissible Punishment;

Count V, Defendant City of Ferguson?s Use of Jail and Threatsoflail to Collect Debts

Owed to the City Violates Equal Protection Because it imposes Unduly Harsh and
Punitive Restrictions on Debtors Whose Creditor is the Government Compared to Those
Who Owe Money to Private Creditors; and, 

I Count VI, Defendant City' of Ferguson?s Policy and Practice of Issuing and'Se rving Invalid
Warrants, Including Those Solely Based on Nonpayment of Monetary Debt Violates the
Fourth and Fourteenth Amendments.

Mr Peter Dunne and the Pitzer Snodgrass Law Firm are defending this case Coverage' Is

provided to the City of Ferguson pursuant to the policy of Insurance issued by SLAIT to
the City.

Under the terms and conditions of the policy in insurance'issued by to Ferguson,
the City'of Ferguson is insured under the policy Under the Insuring Agreement in the
policy, SLAIT Agrees to pay those sums that the City of Ferguson becomes iegally

. . obligated to pay as damages because of: -

1. Bodily Injury;
2. Property Damage;
- 3. Personal injury;
4. Advertising Injury; and,
5. Errors or Omissions to which the policy applies.

Under the allegations contained in the Complaint, many ofithe claims asserted by the
Plaintiffs do not fall within the coverage provided by the policy or are excluded by
exclusions within the policy.

SLAIT 2036



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in addition, the amount SLAIT will pay for damages is limited, as described in the Limits
of insuran?e section of the policy. Further, damages is de?ned in the policy as a

- monetaryiudgment, award, or settlement, but does not include fines or penalties or
damages for which insurance is prohibited bylaw applicable to the construction of the
policy. Further, coverage is provided by the SLAIT policy for injuries or damages caused -
by an occurrence. An occurrence is de?ned with the policy as an accident, including
centinuous or repeated exposure to substantially the same general conditiians. 

Please be advised that in accepting this claim and as'signingcounsel to defend it, the
St. Louis Area insurance Trust, Inc._reserves all of its? rights and defenses in the above
matter?and does not-waive compliance by the City of Ferguson with all terms and
conditions contained within the policy of insurance issued by to the City of
Ferguson. - 

Please also be advised that remains willing to defend this claim even though -
coverage questions exist. However, no act of any company representatives while
investigating, negotiating, or defending the suit shall be construed as waiving any of
rights. reserves its rights under the policy, to further analyze and report
whether any claim asserted in this suit is covered under the terms and conditions of the
policy. There may be other reasons why coverage does not apply. SLAIT does not waive
it right to denycoverage fer any other valid reasons that exist .ormay arise. SLAIT
reserves its right to pursue any proceeding in a court of law to declare the rights bf


If you have any questions about this letter, feel free to contact rne.

Very Truly Yours,

Douglas R. Beermann
- Claims Manager
St Louis Area insurance Trust, Inc.

Cc: Stephanie Karr, Ferguson City Attorney

Cc: Stephen Wicker

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Exhibit 3



BCA II A (314)725-2960 
Inc. Fax (314) 725-2939

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Administrators - 9666 oriva BLVD STE 205
MARCH 4, 2016. ST. LOUIS, MISSOURI 631-32
Mr. De?Carlon Seewood -
City Manager 
City of. Ferguson 
110 Church Street

Ferguson, MO 63135

Re: Keilee Farm, er al. v. City of Ferguson
SLAIT Claim Number 20.21910

Date of Loss: 01/26/201 1

Dear Mr. Seewood:

This letter follows up my prior letter to Acting City Manager Ed Beasley, dated July 22,
2015. In that letter I advised Mr. Beasley that the St. Louis Area Insurance Trust, Inc. (SLAIT) is
defending the above-referenced lawsuit subject to a hill-reservation of rights. I advised Mr.
Beasley that any amount SLAIT would pay for damages is limited in accordance with the Limits of
Insurance section of the policy. I also summarized both the claims in the complaint and issues
regarding whether coverage under the SLAIT policy applies to plaintiffs? claim, noting that many
of plaintiffs? claims ?do not fall within the coverage provided by the policy or are excluded by
exclusions within the policy.? Having summarized coverage issues in my July 22, 2015 letter to
Mr. Beasley, I am now delineating those coverage issues in this letter to you.

First, under Section 11, Coverage, SLAJT will pay sums that its insured, the City of
Ferguson, becomes legally obligated to pay as damages because of certain injuries, including
bodily injury, personal injury, and errors or omissions injury, if those injuries are caused by an
occurrence, which is de?ned as ?an accident? or other speci?c events that are set out in Section I at
page of the policy. Based upon allegations in the complaint, plainti?'s? alleged injuries do not
appear to be caused by ?an occurrence? as de?ned in the policy. Accordingly, their claims for
damages do not fall within the coverage provided by the SLAIT policy. . .

Second, pursuant to Section II, Coverage, Paragraph B, Exclusions, Sub-Paragraph (S), the
insurance provided by SLAIT does not apply to ?Liability arising out of the renderingof or failure
to render professional medical, nursing, dental or paramedics] services." Accordingly, claims for
damages for bodily injury and personal injury arising out of alleged failure to provide medical
services to persons incarcerated in the Ferguson jail will not be covered.

Subsidiary of Bierman Condray Inc.

 

SLAIT 2001

i 

.- "Page 2

Third, pursuant to Section Paragraph (11), bodily injury and personal injury ?caused
by any dishonest, fraudulent, criminal or malicious act or omission of any insured? are excluded
from coverage under the SLAIT policy. In the complaint plaintiffs seek damages for bodily injury
and/or personal injury arising ?om alleged dishonest or fraudulent acts of Ferguson employees.
Those claims are not covered by the SLAIT policy.

Fourth, Section Paragraph (16) also excludes from coverage under the SLAIT
policy personal injury ?arising out of the willful knowledge or violation of a penal statute or
ordinance committed by or with the knowledge or consent of any insured.? Based upon allegations
in the complaint, plaintiffs appear to be seeking damages for personal injury arising from willful
violations of state or local laws by Ferguson police and other employees. Those claims are
excluded ?'om coverage under the foregoing section of the SLAIT policy.

Fifth, pursuant to Section II, Paragraphs (18) (1) and 18 damages for errors or
omission injuries arising out of ?any insured obtaining remuneration of ?nancial gain to which
insured was not legally entitled? and/or ?resulting from discrimination or violation of civil rights?
are excluded from coverage under the SLAIT policy. Therefore, claims based upon allegations that
Ferguson incarcerated plaintiffs to obtain money to which Ferguson was not legally entitled and/or
that Ferguson engaged in discrimination that amounted to unequal treatment of certain debtors
and/or that Ferguson committed civil rights violations are excluded ?om coverage.

Sixth, under Section V, Supplementary Payments, Paragraph C, Exclusions, Sub~Paragraph
(3), the SLAIT policy will not pay eXpenses as de?ned in Section V, Paragraphs (A) and (B) 
for bodily injury to any inmate or prisoner imprisoned in the Ferguson jail. Thus, general expenses
as de?ned in Paragraphs (A) and (B) of Section will not be paid for bodily injury allegedly
sustained by plaintiffs who claim they were incarcerated in the Ferguson jail.

Last, pursuant to Endorsement there is an exclusion for class action suits that states:

We have no obligation under this policy to investigate, defend or pay
any damages, judgments, loss, costs or expenses that may be awarded in
a class action suit against any insured because of bodily injury, property
damage, personal injury, advertising injury, error or omissions injury or
employee bene?t injury sustained by any person in connection with the
employment or prospective employment of any person by any insured.

The complaint alleges that the named plaintiffs and members of the plaintiff class have sustained
darnages due to bodily injury, personal injury, and/or error or omissions injury in connection with
the employment of police of?cers and other personnel by the City of Ferguson. Accordingly,
pursuant to Endorsement SLAIT has no obligation to pay any damages. that may be awarded
against Ferguson to the named plaintiffs and/or any members of the alleged plaintiff class because
of bodily injury, personal injury, or error or omissions injury. Furthermore, SLAIT has no
obligation even to investigate or defend this case.

2002

The fact that SLAIT continues to defend this case is not a waiver of right to
invoke the foregoing exclusion, or any other provision or exclusion in the SLAIT policy, and to
deny Coverage for any award of damages that may be entered in favor of any of the named
plaintiffs andfor members of the plaintiff class. As stated in my letter of July 22, 2015, SLAIT did
not waive its right to deny coverage for any valid reason existing under the SLAIT policy and
SLAIT reserved its right and continues to reserve its right to pursue any proceeding in court to
declare its rights under the SLAJT policy, even though SLAIT continues to defend this claim

wPageB

This letter and my prior letter of July 22, 2015 set forth position with regard to
coverage issues. Ifyou have any questions regarding this matter, please feel free to contact me.

Very truly yours,

Douglas?k. Beennann
Claims Manager
ST. LOUIS AREA INSURANCE TRUST

CC: Stephanie Karr, Ferguson City Attorney

Stephen Wicker

SLAIT 2003

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Exhibit 4

LEWIS Ricard
Ronald A. Norwood 600 Washington Avenue
d@ 0 Suite. 2500
mm Cl 51132.8 11'! 1' Ti
(direct) Attorneys at Law I. Laura, ssou 63101
314.612.?759 (fax) 
August 10, 2017

VIA EMAIL AND U.S. MAIL

Ms. Bonnie Stevenson Ms. Stacey Widlansky

Claims Manager Senior Claims Analyst

Corporate Claims Management, Inc. Allied World Insurance Company

782 Spirit 40 Park Drive 1690 New Britain Avenue, Suite 101
Chester?eld, MO 63005 Farmington, CT 06032

Re: Keilee Fant, et al. v. City of Ferguson
Cause No. 

Dear Ms. Stevenson and Ms. Widlansky:

As you may know, our firm represents the City of Ferguson with request coverage matters
involving litigation pursued against the City of Ferguson. Enclosed is a letter dated July 27, 2017

that we received from the attorneys representing the Plaintiffs in the Keilee Font, er al. v. City of
Ferguson litigation.

As you can see from this letter, the Plaintiffs have made a demand of $9.5 Million to settle
the Fan: class action lawsuit. In the letter, Plaintiffs? counsel framed this demand based upon its
interpretation of the applicable SLAIT policy (which they suggest provides maximum coverage of
$7.5 Million) and the Allied World policy (which they suggest provides at least $2 Million in
coverage). in my discussions with counsel for Plaintiffs upon receipt of this demand, they have

expressed a Willingness to settle this case up to the maximum limits of the reSpective policies,
whatever that maximum coverage turns out to be.

Based on our review of this correspondence and a review of both the SLAIT policy and the
Allied World policy, our firm agrees that full coverage under the SLAIT policy has been triggered
and that the Allied World policy provides full coverage despite its denial of coverage. As
expressed by counsel for the Plaintiffs, as it relates to the SLAIT policy, the Plaintiffs intend on
pursuing numerous claims on behalf of allegedly impacted punitive class members if the Court
ultimately refuses to certify the case as a class action. Needless to say, such multiple suits would
wreak havoc on the City, expose both SLAIT and Allied World to significant exposure both from
a coverage and defense costs standpoint as well as a bad faith standpoint, if the insurance
companies for the City do not move swiftly to resolve these cases. At this juncture, given the fact
that class certi?cation has not yet been denied, a settlement that would bind all punitive class
members is a practicable resolution given the signi?cant increased ?nancial exposure to the City

and the havoc that would result if the class ultimately is not certi?ed and individual claims are
pursued against the City.

Established I 9 9

 









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Ms. Bonnie Stevenson
Ms. Stacey J. Widlansky
August 10, 2017

Page 2

Based on these concerns, we hereby demand that both SLAIT and Allied World move
quickly to settle this case as soon as possible within the limits of your respective policies. Ifyou
fail to do so, the City will have no choice but to take steps to minimize any exposure and, if
necessary, pursue legal action, including, but not limited to, claims for bad faith refusal to settle.

After you have conducted a review of the Plaintiffs? demand and our demand to settle this
case, please advise as to your respective positions regarding how you plan to proceed in light of
this demand. We look forward to hearing from you.

Very?t?fu?ly yours,

 

RANzkip
Enclosure
cc: Stephen D. Wicker (w/encl. via e-mail)

Martin J. Buckley (w/enol. - via e-mail)
Apollo Carey (w/encl. via e?mail)

- 3mg '33 - Munoo Sln0?  13 - pend lineaguonoeg

902i

Thomas B. Harvey
CU?F?u?dcr,
Executive 

Christ Church Cathedral
1210 Locust St.
Second Floor

 

Michaelvjohn Voss .. St. Louis MO, 63103
Co~Founder, . . .
Direcror of Operations is, a 3 Main Phone: 8553243489
'l Fax:31?l?925?130?
Jacki Langum 501(c)(3) Nonpro?t
Director of Advocacy Holistic Legal Services 
.lul 27. Ni 7

Mr. Carey and Mr. Norwood,

This letter serves as an updated demand to settle all claims against the City of Ferguson
on behalf of the Plaintiffs and the purported class in Fan! v. Ferguson, 4:15-cv-00253-
AGF.

Offer of Settlement

Our analysis. as outlined below, con?rms that there is at least $9.5 million ofinsurance
coverage available for the Plaintiffs? claims, and that there are several available paths to
exhaust that coverage. This $9.5 million includes at least $2 million from the Allied
World Policy and at least $7.5 million from the SLAIT policy. Therefore, while we
believe that the total damages awarded at trial could far exceed Ferguson?s insurance
coverage, Plaintiffs are prepared to resolve the monetary portion of the lawsuit en a
classwide basis for $9.5 million.

Such a settlement must also include forgiveness of debts owed to the City of Ferguson
arising from municipal court cases for all members ofthe class and full amnesty for all
cases yet to reach ?nal resolution. If you agree to those terms, we are prepared to
withdraw all other claims for injunctive and declaratory relief.

We believe that the Current efforts by Ferguson and SLAIT to evade classwide
resolution-?by opposing class certi?cation and asserting a class exclusion within the
coverage, respectively?are ultimately counterproductive for both the City and its
insurers. If either of these efforts are successful and Plaintiffs are unable to resolve their
claims on a classvvide basis, we fully intend to bring many individual suits on behalf of
those harmed by Ferguson?s policies.

We have already identi?ed individual plaintiffs whose claims we continue to investigate.
Additional individual plaintiffs are easily identifiable from the list of putative class
members in this case. If forced, we are committed to bringing hundreds of individual
cases and have the combined resources to pursue them to their end.

Individual cases spread out over multiple years would almost certainly lead to greater
exposure for both Ferguson and its insurers. For the City?s insurers, the claims could
reach the applicable coverage limit each year for multiple years (at least 2.5 to 3 years of

 

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the current claims period). For Ferguson, the City would be responsible for paying a
deductible under its policies for each individual payout, which could ultimately cost the
City hundreds ofthousands of dollars. We believe this increased exposure, combined
with the legal and reputational costs to the City should it be forced to defend itself against
these claims for many years, should make classwide resolution desirable.

So that we may be prepared to take timely action in the event that this offer is reiected,
we request that you provide us with a response to this demand within thirty days, The
remaining sections of this letter outline the Plaintiffs? analysis of Ferguson?s insurance
coverage under both the SLAIT and Allied World policies.

Coverage Analysis

I. SLAIT

a. The SLAI policy class action exclusion only applies to claims that may be
awarded in connection with employment practices, and accordingly does not
apply in this case.

The policy language regarding the class action exclusion reads as follows:

?We have no obligation under this policy to investigate, defend or pay any
damages, judgments, loss, costs or expenses that may be awarded in a
class action suit against any insured because of bodily injury, property
damage, personal injury, advertising injury, error or omissions injury or
employee bene?t injury sustained by any person in connection with the
employment or prospective employment of any person by any insured.?

Given their plain meaning, the terms of the contract stipulate that the SLAIT policy
would be barred from covering class action claims ?sustained by any person in
connection with the employment or prospective employment of any person by an
insured Accordingly, class action claims regarding bodily injury, property damage,
personal, injury, advertising injury, error or omissions injury or employee benefit injury
sustained from an employment practice of the city would be barred from coverage.

Other claims not stemming from a ?connection with the employment or prospective
employment of any person by the [City of Fergusonj? are covered, assuming they meet
the other stipulations ofthe policy. This interpretation is also supported by the fact that
the ?rst ?ve types of injury listed (bodily injury, property damage, personal, injury,
advertising injury, error or omissions injury) are all defined as categories of injury within
the policy. while ?employee benefit injury? is not. The inclusion of this phrase

underscores the purpose ofthe exclusion, which is made clear by the ?nal, modifying
phrase.

in the alternative, the policy language should, at a minimum, be read as ambiguous.
SLA 1T has interpreted the language to bar coverage of all class action claims; however,

 

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the language and sentence structure point to an alternate meaning. Given the ambiguity
of the language, it should be construed in the favor of the insured, or the City of
Ferguson. Accordingly, the terms should be read as only excluding class actions related
to the employment practices of the city.

Ifthe class action exclusion were applicable in this case, bringing individual

claims would result in maxing out the policy?s general aggregate limitfar
multiple years.

The named Plaintiffs alone could bring claims of perSOnal injury and bodily injury far
exceeding the $7.5 million general aggregate limit stipulated by the SLAIT policy (which
includes a $2,500 deductible per claim for the City of FerguSOn). See SLAIT Pol?y at 3.
The named Plaintiffs each experienced multiple occurrences of ?false arrest, detention or
imprisonment? as well as ?malicious prosecution? as de?ned by the SLAIT policy. See
id. at 36 (de?ning personal injury coverage for law enforcement operations). Mereover,

given the conditions suffered by the named Plaintiffs, each experienced multiple
occurrences of bodily injury.

Additionally= a multi~suit strategy would in no way be limited to the named Plaintiffs, as
these individuals represent only a small share of potentially hundreds of plaintiffs that
could bring individual claims against the City. Given the relevant statute oflimitations,
the City and could be held liable for claims up to the general aggregate
limit for multiple years, potentially exposing to far more liability than if the
parties were to resolve the case as a single class action. Such a scenario would also result
in a deductible payment by the City of Ferguson for every single claim.

c. Assuming the class action exclusion is not applicable, the multiple o?enses
suffered by the named Plaintiffs will likely result in SLAI providing coverage
at the Cit)! ?5 general aggregate limit.

Assuming arguendo that the creation of the City?s unlawful policy and practice as alleged
in the Complaint was a single wrongful act for coverage purposes (as and its
representatives have argued), the multiple personal injury offenses suffered by the
Plaintiffs and the class would easily raise coverage liability up to the general
aggregate limit of With respect to personal injury, the SLAIT policy de?nes
?occurrence" as an offense described in the de?nition of personal injury. Personal injUry
with respect to coverage fer law enforcement operations is de?ned in the SLAIT policy
as an ?injury (other than bodily injury) arising out of one or more of the following
offenses: (1) false arrest, detention or imprisonment; (2) malicious prosecution; (3)
wrongful entry into, eviction or other invasion ofthe right of private occupancy; (4)
humiliation; (5) the publication of a libel, slander or other defamatory or disparaging
material, or publication or utterance in violation of an individual?s right to privacy; (6)

false arrest or improper service of process; (7) violation of property rights.? See SLAIT
Pol?y at 36.

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Plaintiffs and class members allege thousands of offenses as de?ned by the SLAIT
policy, so while may prefer to characterize the creation of Ferguson?s policy as a
single wrongful act, there are many offenses for which the City, and thus SLAIT, would
potentially be held liable. Accordingly, assuming multiple offenses as a result ofthe
creation of the City?s policy, liability would extend well beyond the per-
occurrence personal injury limit up to the general aggregate limit.

d. Assuming the class action exclusion is not applicable and there is only one
occurrence and (me (ernse, the injuries suffered by plaintiffs and class
members still create valid claims for or least of coverage under the policy.

if the creatiOn of the policy and practice served as the only relevant occurrence, the
injuries suffered due to the policy and practice fall within both the personal injury and
bodily injury categories ofthe SLAIT Policy. The SLAIT policy de?nes ?bodily injmy"
as ?bodily injury, sickness or disease sustained by a person, including death resulting
from any of these at any time.? At minimum, the claims against the City for its grotesque
and inhumancjail conditions allege damages that would fall within the bodily injury
portion ofthe policy. Thus, even in the unlikely event that a personal injury
?offense" were reinterpreted to mean the onetime creation of the City?s unlawful

policies, the personal injury and bodily injury per-occurrence limits would combine to
make a total of in available coverage.

Allied World

a. The Allied World policy law enforcement exclusion does not apply in this case

since the claims arose from the enforcement of the municipal code, laws or
regulations.

The Allied World policy language regarding law enforcement reads, in pertinent part, as
follows:

(C) The insurer shall not pay any Loss or Defense Expenses from any
claim based on, arising out of, directly or indirectly resulting from, in
consequence of, or in any way involving:

(I l) the activities ofany Insured as a law enforcement of?cer,
police of?cer, department or other law enforcement unit or agency;
the operation ofany jail cell, holding cell, detention or lock?up
facility of any kind; or the activities of any Insured charged with
the power to arrest, detain or interrogate another person, or to seize
or con?scate the property of any individual or entity;

provided however; that this Exclusion shall not apply to Claims
arising out of the administrative functions or activities of any
Insured in the enforcement of the municipal code, laws er
regulations ofthe Named Insured, including but not limited to, the

 



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issuance of citations, fines, warnings, notices ofviolation, the
issuance or denial of licenses or permits, or the impaction of
property of buildings, by persons authorized to conduct such

functions or activities on behalf ofthe Named insured.

Allied World argues that the OH exclusion applies in this case. However, this ignores
the clear exception to the Exclusion that it does not apply to ?claims arising out of
administrative functions or in the enforcement of the municipal code, laws or
regulations of the [City].? The Complaint speci?cally targets the administrative functions
and activities associated with enforcing municipal code laws and regulations.
Accordingly, the exclusion is not applicable in this case and Allied World should be held
liable for coverage ofthe claims alleged by the Plaintiffs up to the policy limit.

b. The Allied World policy ?3 exclusions ofclaims of bodily harm and errmtional
harm do not preclude coverage ofthe claims in this case.

Beyond claims ofbodily and emotional harm, the Plaintiffs? Complaint consists ofclaims
that fall within the policy?s ?Public Officials Wrongful Act,? given that the activities
alleged were carried out by the ?Insured? as de?ned in the policy. See Allied World Pol?y
at 13 (de?ning ?Insured? as the City of Ferguson as well as ?elected, appointed or
employed of?cials? and ?empltiyees? of the City of Ferguson). Damages claimed by
Plaintiffs and the class members they seek to represent admittedly include bodily and
emotional harm, but are in no way limited to these categories ofinjury.

Conclusion

We believe that neither the SLAIT class action policy exclusion nor the Allied World law
enforcement exclusion applies to the claims made in Font. Moreover, while the Allied
World exclusions for bodily and emotional harm will apply to some ofthe claims, the
Plaintiffs allege claims ofpersonal injury that still fall within the Allied World coverage.
There are multiple scenarios in which Ferguson's insurers will be liable for coverage of
the claims in this casewwhether on a class basis or through many individual lawsuitsm
and no scenario in which its insurers completely escape liability.

We therefore issue this classwide settlement demand for payment of $95 million and
other terms as outlined above. We look forward to receiving your response within thirty
days and remain open to discussing this matter with you further.

Very truly yours'l?homas B. Harvey
Executive Director, (Io?Founder

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1210 Locust Street

St. Louis, MO 63103
archcitydefendersorg
(855) 724?2489

/s/Jo hr: J. A mmarm
John J. Ammann

Ac/Brendan Roedz?ger
Brendan Road i ger

St. Louis University School of Law
100 N. Tucker Blvd.

St. Louis, MO 63101-1930

(314) 977-2778

/s/Sonia W. Murphy
Sonia W. Murphy
White Case L-LP

701 13th Street, NW
Washington, DC 20005
(202) 637-6161

$34186 Karakatsamls

Alec Karakatsanis

Civil Rights Corps

910 17th Street, NW, Suite 500
Washington, DC 20006

(2 02) 681-2409

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Exhibit 5

BUCKLEY 81 BUCKLEY, L.L.C.

ATTORNEYS AT LAW
some 2900
son MARKET STREET
MARTIN J. ST. LOUIS. 63101-2509
STEPHEN M. (314) 521-3434 LINDSAY E. DAVIS

ANN E. FACSIMILE (314) 621?3485 GRAHAM J. SPENCE
JOSHUA J. ENGELBART DANIEL J. 

ADRIAN P. 

 

EUGENE K. BUCKLEY

AND ILLINOIS
OF COUNSEL

November 27, 2017

morwood@lewisrice.com

Mr. Ronald A. Norwood
LewisRice LLC

600 Washington Ave, Ste. 2500
St. Louis, MO 63101

RE: St. Louis Area Insurance Trust v. City of Ferguson

Dear Mr. Norwood:

This follows up on our telephone conversation on October 26. I had previously sent you
St. Louis Area Insurance Trust?s (SLAIT) coverage position on September 20, 2017. I wanted to
clarify that the coverage position taken by SLAIT is based on the pleadings as they currently
stand. As discussed, if the pleadings would change, coverage position would be
different. In particular, if the individual Plaintiffs? claims were brought simply as individuals,
and not as a class action, SLAIT would withdraw its reservations of rights. Instead, each
individual?s claim would be treated as being within coverage as a claim for personal injury
resulting from law enforcement operations. They would not be considered claims for bodily
injury, property damage, advertising injury or errors or omissions.

I hOpe this clari?cation is helpful. Let me know if you have any questions.
Cordially,
IMartin .1. Buckley
MJBzad

 

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Exhibit 6

Page 1

In the Circuit Court of the County of St. Louis

State of Missouri
CITY OF FERGUSON, et al.,
PLAINTIFFS,
vs. Cause No. 
ST. LOUIS AREA INSURANCE TRUST,
DEFENDANT.
Corporate Designee Deposition of
STEVE WICKER
JUNE 19, 2018
Taken at:

Buckley Buckley, 800 Market Street

Margaret M. Perry, MO IL CSR

 

 

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Page 6 Page 8
1 Exhibit 14 Correspondence 148 1 Corporate Designee of that entity?
2 Exhibit 15 - 8/27/15 letter 149 2 A. Yes.
3 Exhibit 16 - 9/16/15 letter 151 3 Q. And have you had a chance to review the
4 Exhibit 17 Reporter re: Brown 152 4 Deposition Notice directed to St. Louis Area
5 Exhibit 18 - E-mail series 155 5 Insurance Trust?
6 Exhibit 19 6 A. Yes.
7 Re: Font, Webb Thomas case 156 7 Q. All right. We?re going to talk more about
8 Exhibit 20 - not used 8 that as we move along. Have you ever been deposed
9 Exhibit 21 - Thomas v. St. Ann 160 9 before?
10 Exhibit 22 - BCA letter 161 10 A. was, it was about 30 years ago.
1 1 Exhibit 23 - Letter to ?le 162 11 Q. Okay. So it?s been awhile, all right.
12 Exhibit 24 - SLAIT letter 163 12 A. Yes.
13 Exhibit 25 - Letter 164 13 Q. So that means a refresher in deposition
14 Exhibit 26 14 101 may be necessary. As it relates to the
. 15 Coverage Communication 165 15 deposition, of course, I?m going to ask you a
16 Exhibit 27 - News Conference 166 16 series of questions and you took an oath to tel].
17 Exhibit 28 Lawsuit 167 17 the truth, you understand that; correct?
18 Exhibit 29 Settlement Payment 167 18 A. Yes.
19 Exhibit 31 - Deposition Notice question you don't
20 Exhibit 33 2973-2977 88 20 understand, you can say so and I'll try to rephrase
21 Exhibit 34 SLAIT 2978?2993 88 21 it. If you answer the question, we'll have to
22 Exhibit 35 - SLAIT 2994?3008 88 22 assume that you both heard the question and
23 23 understood the question, can we agree that?
24 24 A. Sure.
25 25 Q. If you need to take a break, feel free to
Page '1 Page 9
1 STEVE WICKER, 1 say so and we'll do that. Other than that, you
2 of lawful age, having been ?rst duly 2 know, we're going to just jump right in. Let me
3 sworn to testify the truth, the whole truth, and 3 talk then about, and hand you, I guess what has
4 nothing but the truth in the case aforesaid, 4 been marked as Deposition Exhibit 31 and ask you if
5 deposes and says in reply to oral 5 you can take a look at that for us.
6 interrogatories propounded as follows, to?wit: 6 MR. VIETH: Ron, do you have extra copies
7 DIRECT EXAMINATION 7 of everything you brought?
8 QUESTIONS BY MR. NORWOOD: 8 MR. NORWOOD: Yes, 1 have copies of that.
9 Q. Good afternoon, sir. My name all, so let me give it to you as
10 Norwood and we?re here in conjunction with a 10 we go through.
1 lawsuit denominated, currently denominated as the 1 MR. VIETH: Is there a WiFi connection?
12 City of Ferguson versus St. Louis Area Insurance 12 MR. BUCKLEY: Okay.
13 Trust pending in St. Louis County. Would you state 13 (Off the record)
14 your ?ill name for the record, please? 14 Q. (By Mr. Norwood) So Mr. Wicker, I've
15 A. Steven Wicker. 15 handed you what's been marked as, pre-marked as
16 Q. And where do you reside? l6 Deposition Exhibit 31. Is that the Notice of
1. 7 A. 11909 Moorland Manor Court. 17 Deposition that you reviewed, that you referred to
18 Q. l?m sorry? 11909? 18 earlier?
19 A. 11909 Moorland Manor Court. 19 A. Yes.
20 Q. And where is that? 20 Q. All right. And so I just want to make
21 A. It's between Maryland Heights and Creve 21 sure we go down the topics. We did receive from
22 Coeur, St. Louis County. 22 Mr. Buckley some objections that were filed on
23 Q. All right. And now do you understand that 23 Friday while 1 was in Italy, so I didn?t have a
24 you have been designated by St. Louis Area 24 chance to review it much there, but 1 have had a
25 Insurance Trust to provide testimony as the 25 chance to review it, and so 1 just want to make

 

 

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Page 38
your property insurance from MOPERM, think that
basically the finance director checked MOPERM
versus the policies that we have through Chubb to
see which price is the best, and then other than
that, we wouldn?t be providing anything currently.

Q. Currently, okay. How about over the
timeframe in which the City of Ferguson has been a
member of 

A. We were probably providing public




DVD

officials quotes prior to that, but as I understand
it, MOPERM does that, that's included in MOPERM, so

put


Page 40

1 or four years and you know what the renewal quote

2 is, you'll probably tell the marketplace that you

3 "need to meet this kind of coverage document and

4 here?s where it's priced now, can you do that or

5 not", in that sense, some of them say "we?re not

6 going to quote", but you check with all those

7 companies.

8 Q. Okay. All right. Now let's talk more

9 about SLAIT. You talked about them being a sort of
10 self-insured's pool; is that a fair assessment?
11 A. Yes.

 

of?cials' coverage?

12 A. Yes. And you'd review the coverage

13 document and try to get close to the best that?s

14 out there on the marketplace too.

15 Q. Okay. And in conjunction with making, or
16 seeking out, in this case, the public officials'

17 coverage, would you have multiple Options available
18 to recommend to a company like the City of

19 Ferguson?

20 A. You could.

2i Q. And in this case, do you recall if, in

22 fact, you provided options other than Allied World
23 with respect to the public of?cials' coverage?

24 A. Generally what we do, and it depends, if

25 you had been with an Allied World, let?s say, three

 

 

12 we donlt do that any longer. 12 Q. When was SLAIT formed?
13 Q. Well 13 A. '86.
14 A. Yeah, then we probably did public 14 Q. And that formation, was that the joinder
15 of?cials. 15 of some different companies?
16 Q. That would have been with companies like 16 A. Not companies, it would have been the
17 Allied World? 1? various municipalities in St. Louis County that
18 A. Yes. 18 were looking at it. One of the first things they
19 Q. All right. As it relates to the Allied 19 did was they wanted it to be, have professionally
20 World coverage provided to the City of Ferguson as 20 managed cities, so in other words, only cities with
21 it relates to the Fant case, was Daniel and Henry 21 city managers or city administrators were eligible,
22 the broker for procuring that Allied World coverage 22 and then basically the only other underwriting
23 for the City of Ferguson? 23 criteria is they shouldn?t have utilities because
24 A. I think so. 24 that is more difficult to market the excess, and in
25 Q. All right. When you say you "think so", 25 St. Louis County, frankly, it's not very difficult
Page 39 Page 4] 1
how would you know for sure? Is there a way you 1 to find municipalities that don't provide
2 could find -- 2 utilities.
3 A. I?d just have to go back and check to make 3 Q. Well, we'll talk about that in more detail
4 sure we were. 4 when we get to that document. Okay. SLAIT, you
5 Q. Would there be documents to show that? 5 say, was formed around 1986?
6 A. Yes. 6 A. That was the workers' comp.
7 Q. Okay. And when you say you would offer 7 Q. When it was formed, what law firms were
8 quotes for Allied World coverage, is that all you 8 involved in that formation?
9 would do as a broker for, in this case, the City of 9 A. Evans Dixon did the work on the trust.
10 Ferguson as it relates to Allied and the public 10 Q. Okay. Did Mr. Peter Dunn have any




involvement in that formation?

12 A. No.

13 Q. Okay. Did the Pitzer firm have any

14 involvement that formation?

15 A. No.

16 Q. Did the Pitzer ?rm or has the Pitzer ?rm
1? represented SLAIT as a SLAIT entity?

18 A. I guess it has, yeah.

19 Q. In what capacities?

20 A. Probably just looking at helping us come
21 up with, you know, some kind of policy or

22 resolution that maybe we did endorse a policy, to
23 add an endorsement to the policy. Other than that,
24 not really, they do mostly claims work.

25 Q. Mostly claims work. Do they also provide

 

 

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Page 42
work as coverage counsel for 

A. No, they probably did when we assigned a
claim to somebody, to Krehbiel or somebody etse
that was doing the claim, they might have.

Q. I?m not following. What are you saying?

A. I'm not sure if they?ve ever done a
coverage letter or not.

Q. Okay. All right. So as you sit here now,
you can?t say one way or the other whether or not
the Pitzer ?rm has served as coverage counsel for
is that correct?

A. Right. I'm not sure.

Q. Okay. Do you know ifthe Pitzer firm has
provided advice to SLAIT regarding coverage issues
associated with the SLAIT poticy and SLAIT members?

A. Yes, I'm sure they have.

Q. Okay. Tell me more about that.

A. If you have a claim and you basically, any
question whether or not it's covered, which for the
most part it doesn't come up that often, you might
ask, and for the most part, these are things that
are done by the claims provider.

Q. What do you mean?

A. We hire a claims provider to administer
the claims and coordinate with the attorneys, et

Page 44
1 would have been involved in the discussions about
2 starting the trust and attended meetings and
3 decided to join.
4 Q. All right. Now, was there a time when it
5 was decided by SLAIT that the City of Ferguson
6 would no tonger be eligible for liability insurance
7 coverage through 
8

A. No.

9 MR. BUCKLEY: Are we on Number 6 now?
10 MR. NORWOOD: I?m not sure what number.
I 3 MR. BUCKLEY: Okay. Well, we?ll call it
12 6.

13 Q. (By Mr. Norwood) So you?re saying then
14 that there wasn't -- let me ask it this way;

15 does -- what kind of insurance does the City of
16 Ferguson currently have through 

17 A. They have workers' compensation and

18 they're in the health pian.

19 Q. All right. And what about liability

20 coverage?

21 A. They don't have liability coverage.

22 Q. And why don't they have liability coverage
23 through 

24 A. When we were doing the renewal after the
25 Michael Brown incident, it became impossible to get

 






 


LII

Page 43

cetera. They do most of that work.

Q. Okay.

A. If you Were going to get a reservation of
rights ietter, it?s probably written under, in
those days, Doug Beerrnann's signature.

Q. Okay. And so it's your understanding then
in conjunction with the preparation of the
Reservation of Rights letter, that the Pitzer firm
might be involved in that process as it relates to
that Reservation of Rights?

A. They might have had discussions with Mr.
Beermann.

MR. BUCKLEY: Are we taiking about a
particular claim or in the abstract?
MR. NORWOOD: I'm talking about in the

abstract right now.

A. Yeah, they might have might have had
discussions with Mr. Beermann.

Q. (By Mr. Norwood) Okay. When did the City
of Ferguson become a member of SLAIT, do you know?

A. Charter member.

Q. Charter member, meaning when it was formed
in 1986?

A. Yes, they would have been -- I can't
remember who the city manager was then, but they

 

Page 45

1 police excess coverage, 
2 Q. For 
3 A. From -- from the excess carrier for SLAIT.
4 Q. Because of the City of Ferguson?
5 A. Ferguson was going to have to not be
6 covered. So we tried a lot of ways to get them
7 covered, and I think what the SLAIT Board would
8 have done had Ferguson not found another option, I
9 think the SLAIT Board would have covered them up to
10 the self?insured retention.
1 1 Q. Was that ever communicated to the City of
12 Ferguson?
13 A. Sure.
14 Q. By whom?
15 A. By me, I think.
16 Q. In what form?
1? A. Discussions with Jeff Bloom.
18 Q. And who is Jeff Bloom?
19 A. Finance Director.
20 Q. Okay. Tell me about those discussions
2] with JeffBloom regarding the possibility of the




City of Ferguson continuing to have iiability


DJ

insurance coverage through SLAIT.
A. It's a much bigger story than that. When
we had indications that it would be dif?cult to

NM
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Page 54
1 auto liability.
2 Q. Okay. What is police liability?
3 A. Law enforcement liability, you know, in
4 1983 against police officers, excessive force,
5 false arrests, that's basically it.
6 Q. Okay. All right. And did, after ?90 --
7 I'm sorry. After 1987, were the entrees of
8 liability insurance coverages available to the City
9 of Ferguson expanded?
10 A. No, not really.
11 Q. Okay. So throughout the entire time

Page 56

A. Yeah, they, I guess they weren?t totally
exclusive because occasionally you can have a
con?ict and in that case, we used Kreihbiel, Bob
Kreihbiel.

Q. King Kreihbiel?

A. Yes, King Kreihbiel Hellmich.
Occasionally we used Brown James. Those were
normally chosen by the claims provider.

Q. And that would have been in those
situations where there would be a conflict for
Pitzer?

 

 

 

12 frame, the City of Ferguson just had police, law 12 A. Yeah. And really not too many conflicts,
13 enforcement liability coverage? 13 but it comes up a lot of times in police
14 A. And auto. 14 situations, you need an attorney for the City and
15 Q. And auto? 15 you need an attorney for the of?cer, so there
16 A. Yes. 16 might be some problems there, so in those cases,
I 17 Q. All right. Any other types of insurance 17 you may need two of them.
18 coverages obtained through SLAIT by the City of 18 Q. Where you need separate counsel?
l9 Ferguson? 19 A. Yes.
20 A. No, really all offered was the 20 Q. And that would be a conflict as well,
21 liability and workers' compensation. 21 right? lmean, in other words, the Pitzer firm
22 Q. Okay. What about health insurance? 22 couldn't represent the City, and in the case of an
23 A. They added health, I guess it's been about 23 of?cer, maybe a police of?cer who has been sued
24 nine years now. 24 as well?
25 Q. Okay. So health ultimately came online at 25 A. Yes. And as I understand the particulars,
Page 55 Page 57
1 some point? 1 often they -- most often they're, there isn't a
2 A. Yes. 2 con?ict, but when you might come up with one, you
3 Q. Along with the liability, along with the 3 might be confused of doing something that's outside
4 workers? comp? 4 the law, outside the City's procedures, et cetera,
5 A. Right. 5 that's my understanding.
6 Q. All right. Now, what ?rms did SLAIT use 6 Q. Okay. Now, let?s talk about the Fant
7 as panel counsel to represent members, let's 7 lawsuit. Does the City of Ferguson have SLAIT
8 say, starting when this liability insurance came 8 coverage for the Fant lawsuit?
9 online? 9 MR. BUCKLEY: Let me object. That's
10 A. At ?rst we used a couple of things The 10 subject to the declaratory judgment on both sides,
3 1 Board did, one, they weren?t going to allow city 11 but you can answer if they are providing any form
12 attorneys to defend SLAIT claims, I think primarily 12 of coverage.
13 because they just thought that would have every 13 A. We've been providing defense, my legal
14 city attorney going "this one should be mine". So 14 opinion, which isn't, l'm the only person in here
15 they used Teasdale to start. They then, 15 that?s maybe not a lawyer except for her.
16 like a lot of cities do, put together a committee 16 Q. (By Mr. Norwood) Well, I'm not asking you
.. 17 to select defense counsel and at that time, they 17 for a legal opinion.
18 really only needed one, they ended up with Peter 18 A. When you have a class action exclusion,
19 Dunn when it was Rabbit Pitzer Snodgrass. 19 but it is being defended and has been from the
20 Q. Okay. So when did Rabbit Pitzer 20 beginning.
21 Snodgrass they were the exclusive panel counsel? 21 Q. Okay. So the answer to my question then
22 A. Yes, I don't know when it was it, probably 22 is; you understand as the Corporate Designee of
23 1989?1990ish. 23 that there is no coverage because of this,
24 Q. Okay. So how long did they remain as the 24 what you refer to as a class action exclusion;
25 exclusive panel counsel for SLAIT members? 25 correct?

 

 

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l7 Page 58 Page 60
1 A. Yes. 1 of Rights letters all the time and they're 18 pages
2 Q. Outside of what you refer to as the class 2 long.
3 action exclusion, are there any other exclusions 3 Q. (By Mr. Norwood) Right.
4 that you believe preclude coverage for the Pant 4 A. They?re I'm never quite sure why.
5 lawsuit? 5 Q. All right. As it relates to discussions
6 MR. BUCKLEY: Let me object. It calls for 6 by the SLAIT board members about this exclusion and
7 a legal opinion, which no one can give but a judge, 2? the City of Ferguson, what discussions have The
8 and pleadings, forms of opinions of the company. 8 Board members had about this exclusion?
9 Subject to that, go ahead. 9 MR. BUCKLEY: Let me object. Just for
10 MR. NORWOOD: Well, just for the record, 10 clari?cation, I?m not trying to be obstreperous,
1 1 though, part of the topics relate to the denial of 11 do you mean what conversations have there been on
12 coverage and the issuance of Reservation of Rights 12 The Board about just exclusion in general or with
13 letter, which is Topic Number 9, so what I?m trying I3 respect to this particular case?
14 to ?gure out from this Corporate Designee is 14 MR. NORWOOD: Well, let's start with both.
15 position regarding the coverage, and so to 15 Q. (By Mr. Norwood) In general.
16 the extent that he can shed some light on that as a 16 A. I would say that The Board has never
1? Corporate Desi gnee, that's what l?m asking for. 17 discussed the exclusion speci?cally other than
l8 MR. BUCKLEY: I understand. The objection l8 authorizing the declaratory judgment action. It's
19 stands. 19 not something that The Board has looked, but should
20 MR. NORWOOD: Okay. 20 we have.
21 Q. (By Mr. Norwood) So back to my original 21 Q. I'm sorry? I didn't hear you.
22 question, which is; outside of what you referred to 22 A. The Board's never looked at should we have
23 as a class action exclusion, are there other 23 a class action exclusion or not.
24 exclusions that SLAIT is relying upon to suggest 24 Q. How did until Endorsement come about?
25 that there's no coverage for the City of Ferguson 25 A. It goes back to the beginning of the trust
Page 59 Page 6l
1 for this case? 1 when, in 1987, probably 90 percent of the
2 A. My layman's opinion would be, having read 2 municipalities, I wouldn't know for sure, had a
-. 3 quite a few Reservation of Rights letters, that 3 policy with a division or subsidiary of Hartford
4 there are often things put in there that I wouldn?t 4 and it was called 1 think it stood for
5 ?nd to be substantive, but that attorneys feel 5 Public Entity Company, so they were
6 they should at least be raised in case the lawsuit 6 putting the liability trust together, they
3? goes left, right and wherever. For the most part, 7 basically said ?let?s use that policy, that?s what
8 you know, other than maybe punitive damages, I 8 most people have". That endorsement was in that
9 think the class action issue is the issue. 9 policy. If you're looking through the SLAIT
10 Q. Okay. So on behalf of SLAIT then, if I?m 10 policy, you?ll notice that when you get farther
1 understanding your testimony, is that the sole 1 1 back in the endorsements, the chairman has signed
12 basis for which SLAIT believes that there is no 12 things where we have changed three or four things, 3
13 coverage for the Pant lawsuit is because of this 13 but Endorsement would have been in the PENCO I
14 Endorsement which talks about class actions, is 14 policy, so it's been there since 1987.
15 that correct? 15 Q. When they started offering the liability
16 MR. BUCKLEY: Let me object. It inisstates 16 coverage?
17 his previous testimony. He said the punitive 17 A. Yes.
18 damages and the eXclusion of Endorsement H, and it i 18 Q. All right. And so if I'm understanding
19 calls for a legal conclusion. Subject to that, you 19 your prior testimony is; you don?t recall any
20 can go ahead. 20 meetings where this issue about endorsement age and
21 A. Yeah, i, I, you know, the basic answer is; 21 the class action exclusion came up as part of those
22 we hire a claims company who then can use the 22 discussions; is that your testimony?
23 coverage attorney. i assume there is some things 23 A. Right.
24 in there that I would not necessarily be aware of, 24 Q. All right. In general?
25 but, you know, I get public of?cials? Reservation 25 A. Yes.

 

 

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Page 62 Page 64
1 Q. As it relates to the City of Ferguson, do 1 that because The Board wanted to be aware of where
2 you recall any discussions at The Board level as it 2 Ferguson stood as far as police liability
3 relates to Endorsement 3 coverage 
4 A. Only when discussing litigation. 4 Q. Okay.
5 Q. I'm sorry? 5 A. -- starting July of 2015.
6 A. Only when discussing litigation. 6 Q. Okay. Do you know -- strike that. Did
7 Q. What do you mean by that? 7 you or anyone else, to your knowledge, advise the
8 A. I mean The Board authorized ?ling the 8 City of Ferguson that there would not be coverage
9 declaratory judgment suit. 9 for the city in the case of this type of class
10 Q. Okay. And what do you recall about those 10 action lawsuit?
1 1 discussions as it relates to the authorization of 11 A. Other than providing the insurance policy
12 the ?ling of the declaratory judgment action? 12 to them?
13 A. There really I don?t think there were 13 Q. Right.
14 any discussions. It was presented to them that 14 A. No.
15 "there?s this exclusion, we?re not sure whether a 15 Q. Other than providing the insurance policy
16 judge would say it applies, so we?ll have to ?nd 16 to them?
17 out because we have three or four of these 1? A. No.
18 lawsuits". 18 Q. All right. To your knowledge, has SLAIT
19 Q. Let?s talk about that then. First of all, 19 provided coverage to any SLAIT member as it relates
20 these discussions, would those be re?ected in 20 to any class action lawsuit?
21 those meeting minutes that you identified? 21 A. I've learned that we have in something
22 A. They would be in closed meeting minutes. 22 called Powell versus St. Ann.
23 Q. Closed meeting minutes? But they would be 23 Q. Other than Powell versus St. Ann, we're
24 reflected in those minutes, is that correct? 24 going to talk about that a little more in detail,
25 A. (Witness nods) 25 other than that lawsuit, are you aware of SLAIT
Page 63 Page 65
1 Q. I'm sorry? 1 providing coverage to any member for any
2 A. They would probably be in a memo to a 2 class action lawsuit?
3 filememo to whose ?le? 4 Q. To your knowledge, has any court ever
5 A. To the SLAIT ?les. 5 ruled that Endorsement precludes coverage for any?
6 Q. Okay. Would it be re?ected in meeting 6 type of class action lawsuit?
7 minutesdon't think so. 8 Q. Are you aware of any case out of any court
9 Q. Either opened or closed? 9 that has ruled that this Endorsement precludes
10 A. I don?t think so. 10 coverage for any type of class action lawsuit?
1 I Q. Okay. If they were, you have those 1 1 MR. BUCKLEY: Objection. Calls for
12 meeting minutes, correct? 12 speculation. Calls for a legal conclusion.
13 A. Right. 13 Subject to that, you can go ahead.
14 Q. All right. Do you have meeting minutes 14 A. No, that?s sort of my answer; 1' have no
15 where that re?ect discussions regarding the 15 idea.
16 City of Ferguson either as it relates to the Fant 16 Q. (By Mr. Norwood) I'm sorry?
1? case or as it relates to the issue or issues that A. I always assume since Endorsement says
18 you described earlier about whether or not the City 18 class action exclusion, that it was a class action
19 of Ferguson could continue to receive liability 19 exclusion, but I?m not aware of what any courts
20 coverage through 20 have done.
21 A. I'm pretty sure the meeting that would 21 Q. Do you know if that class action exclusion
22 have been right before the renewal that The Board 22 is limited to employment class actions?
23 discussed the fact that, and I probably reported it 23 A. I do not.
24 because I was told that Ferguson was able to secure 24 Q. All right. How does a SLAIT member go
25 coverage through MOPERM and we probably reported 25 about obtaining coverage for class action

 

 

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A. Yes, and usually it would come up, I don't
think we?ve ever had a claim, if the firm hired
somebody and made the mistake of not telling them
they could get health insurance.

Q. Okay. Well, what about if there?s an
error saying providing proper ERISA bene?ts?
Would that fall under that kind of 

A. It could unless ERISA might be excluded,
but I?m not sure.

Q. Okay. Then we've got business, auto
liability insurance, medical individual stop loss.





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11

Page 100

A. I think that's exactly the way PEMCO
labeled them, so it's a liability policy for a
public entity.

Q. Okay. And is that different than police
and law enforcement coverage that you talked about
earlier?

A. It includes the police and law enforcement
coverage.

Q. It includes police and law enforcement,
okay. If we go to the next page, and it lists the
coverages provided; correct?

 

 

12 What is medical individual stop loss? 12 A. Yes.
13 A. These are for the health planit's on the next page, which is
14 health plan you could, you buy insurance very l4 Bates Stamped Page Number 3, and it?s under the
15 similar to what we've talked about, it comes 15 section called "coverage", which is item 5; right?
16 basically by covered person, so if somebody had, in l6 A. Yes.
17 this particular case, claims in a 12?month period 17 Q. And the coverages include, within the
18 over $225,000, so they were very sick or had a 18 public entity liability insurance coverage,
19 catastrophic injury, the insurance company will pay 19 includes products completed operations coverage;
20 everything over 225. 20 correct?
21 Q. Okay. And then the medical aggregate stop 21 A. Yes.
22 loss? 22 Q. Bodily injury and property damage
23 A. That's just another way to get, we 23 coverage --
24 basically have a pool of money we're going to pay 24 A. Right.
25 medical claims with, this is, this adds an 25 Q. is that correct?
Page 99 Page lOl
1 additional million dollars in aggregate, and for a i A. Correct.
2 pretty small premium, you get an extra million in 2 Q. Of $3,000,000?
3 coverage. 3 A. Yes.
4 Q. And this is all in excess of the retention 4 Q. And then personal injury and advertisement
5 amounts listed to the right? 5 liability, that's another 3,000,000; correct?
6 A. Correct. 6 A. Correct.
7 Q. All right. Let's go to -- let me hand you 7 Q. And then general aggregate liability of
8 what?s been marked as Exhibit $7,500,000, do you see that?
9 can identify that for us. 9 A. Yes.
10 A. Yes, it looks like the policy for the City 10 Q. What does general aggregate liability
1 of Ferguson for '14-'15. 11 mean?
12 Q. Policy number 12 A. It means if you, you could have claims in
13 A. Correct. 13 the aggregate, your $3,000,000 limit relates to the other 14 occurrence limit, so one claim has a $3,000,000
15 municipalities, they have a GL-type of policy 15 limit, but you could have two and a half claims of
16 number, it would just be a different number? 16 that magnitude in a one-year period.
1? A. Yes, just almost alphabetically if you 17 Q. Okay. So it?s based on the number of
18 joined at the same time. l8 claims up to the aggregate amount of 7.5 million?
19 Q. Okay. Now, this particular policy 19 A. Right. And in that case, it's actually
20 exception date July 1, 2014 through July 1, 2015 20 total dollars, I mean, you can get to seven and a
21 and this is it says public entity liability 2] half million with 500,000 claims theoretically, but
22 insurance policy, do you see that? 22 that?s not usually the way it happens.
23 A. Right. 23 Q. It doesn't matter the number of claims,
24 Q. What is a public entity liability 24 the question is; how much the dollar value of the
25 insurance policy? 25 claim is?

 

 

 

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1 Endorsement N, I don't think you have been able to 1 golf courses would be included, right?
2 identify it in Endorsement N, and the only thing 2 A. Right.
3 I'm trying to figure out is; is it defined in the 3 Q. And also included would be law enforcement
4 policy? 4 activities, right?
5 A. I disagree. I think if the employer's 5 A. Right.
6 legally liable in the administration of the bene?t 6 Q. Is that right?
7 plan, that's sort of the de?nition of the employee 7 A. Yes.
8 injury, benefit injury. 8 Q. And what is law enforcement activities in
9 Q. Well, I beg to differ, and let?s talk 9 the context of this policy?
10 about that. Liability is different than injury, 10 A. Really any activity related to, for the
1 1 right? 11 most part, police liability.
12 A. But this is telling you that you have 12 Q. Okay. Law enforcement; correct?
. 13 coverage if you have liability. 13 A. Yes.
14 Q. No, that wasn't my question. Liability is 14 Q. All right. And then included is penal
15 different than injury, right? 15 institutions, jails, correctional facilities;
l6 A. Sometimes it's the same. 16 correct?
]7 Q. Well, if the insurer has liability, that?s 17 A. Correct.
18 different than the injury incurred by the insured; 18 Q. What is that?
19 correct? 19 A. Jails, just detention facilities.
20 A. Yes. .. 20 Q. So anything associated with penal.
21 Q. All right. So liability is different than 21 institutions, jails and correctional facilities is
22 injury, we can agree with that; can't we? 22 represented as being included as part of this
23 A. Okay. 23 coverage; correct?
24 Q. All right. 1 mean, is that fair? 24 A. Right.
25 A. I suppose so. 25 Q. Okay. Now let's turn to endorsement on
Page 111 Page 113
1 Q. All right. And nowhere in this policy I 1 Bates Stamp Page 36. What is that?
2 could ?ndwould like 2 A. It's essentially law enforcement coverage,
3 for you to point it out for me so we can move on, 3 so it lists the things that commonly become police
4 do I see a de?nition of employee benefit injury 4 liability claims.
5 which would connote the injury to the insured; 5 Q. And listed there is, they de?ne personal
6 correct? 6 injury to include actually -- it?s an amendment of
'1 7 A. 1 will guarantee I cannot find it at this 'i the original policy, it appears, right?
8 particular moment. 8 A. It's speci?c to law enforcement, yes.
9 Q. Okay. 9 Q. Right. And as it relates to law
10 A. I dont know if it's in there or not. 10 enforcement operations, it defines personal injury
11 Q. All right. Now, let's look at Page Bates 11 and it de?nes it to include false arrest,
12 Stamp Page 31. 12 detentiou or imprisonment; correct?
13 A. Okay. 13 A. Right.
14 Q. All right. And what is this schedule of 14 Is that right?
15 included/excluded operations, what does that mean? 15 A. Yes.
16 A. 1 means that the policy covers and 16 Malicious prosecution; correct?
17 operations that it would not cover. 17 A. Yes.
18 Q. All. right. 18 Q. Wrongful entry, eviction or other invasion
19 A. So we're excluding landfills, schools, for 19 of the rights of private occupancy; correct?
20 the most part, things that dOn't occur in St. Louis 20 A. Yes.
21 County. 21 Q. Humiliation?
22 Q. Amusement parks, if they decide to open an 22 A. Correct.
23 amusement park, it wouldn't be covered? 23 Q. The publication of utterance of a liable,
24 A. Yes. 24 slander or other defamatory or disparaging
25 Q. Electric utility system, that's excluded, 25 material, publications or utterance in violation of

 

 

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1 covered, the implication being other claims might I A. Right.
2 be covered; right? 2 Q. And that explanation provided by Mr.
3 A. I agree. 3 Beermann as to the basis and the applicability of
4 Q. All right. And Douglas Beennann, the 4 the class action exclusion relates to the fact that
5 Claims Manager, he signed this on behalf of SLAIT 5 there was bodily injury, personal injury, errors
6 as the Policy Administrator for correct? 6 and omission, and it involved or in connection with
'7 A. He's the Claims Administrator; correct. 7 the employment of police officers and personnel of
8 Q. Okay. Now let's go then to another 8 the City of Ferguson; correct?
9 Exhibit, which is Ferguson Deposition Exhibit 6. 9 MR. BUCKLEY: It says "alleges?, but 
10 And this is a letter from RCA to Mr. De?Carlon 10 (By Mr. Norwood) Alleges, right.
1 Seewood, City Manager of the City of Ferguson datec ll A. Right.
12 March 4, 2016, and this is a second Reservation of 12 Q. And so that is the reason why Mr. Beermann
l3 Rights letter from Mr. Beermann dated March 4, 13 is explaining to the City why there?s no coverage
14 2016, and you were copied on that one as well; is 14 is because of the employment of police of?cers and
15 that correct? 15 other personnel by the City of Ferguson; correct?
16 A. Correct. 16 A. It appears to be.
17 Q. Do you recall discussing this letter or 17 Q. Okay. And that's all it says about the
18 the prior Reservation of Rights letter with Mr. 18 class action exclusion; right?
. l9 Beermann prior to it being sent to the City of 19 A. Well, yes, it listed the class action
2O Ferguson? 20 exclusion.
21 A. I'm sure I probably discussed some of it, 21 Q. Right, right, right. But in terms of
22 but I don't have a particular recollection. 22 explaining why there?s no coverage, that?s the only
23 Q. Okay. And why do you believe you would 23 explanation in this Reservation of Rights letter as
24 have? 24 to why there was no coverage; right?
25 A. He usually would have discussed a 25 MR. BUCKLEY: Let me object. The letter
Page 123 Page 125
1 Reservation of Rights letter with me. 1 speaks for itself, it misstates the letter. The
2 Q. Why? 2 next sentence talks about "accordingly, pursuant to
3 A. Just because the City is being told that 3 Endorsement 
4 it doesn?t have coverage for something. 4 Q. (By Mr. Norwood) Okay. "Accordingly,
5 Q. All right. Okay. Now, in this more 5 pursuant to EndorsementH, has no obligation
6 expansive Reservation of Rights letter, there?s a 6 to pay any damages that may be awarded against
7 reference to the class, what you referred to as the 'l Ferguson to the named plaintiffs andlor members of
8 class action exclusion on Page 2 of the letter, 8 the alleged class because of bodily injury,
9 which is SLAIT Page 2002; do you see that? 9 personal injury or errors and omissions injury";
10 A. Yes. l0 correct?
11 Q. And that's the last paragraph, which says 1 A. Correct.
12 ?last, pursuant to Endorsement H, there is an 12 Q. Right. So the "accordingly" istalking
l3 exclusion for class action suits that states", and 13 about the explanation provided, which is the
14 then it quotes the language we read from the 14 employment of police of?cers and other personnel;
15 policy; correct? 15 correct?
16 A. Yes. 16 A. It involves police officers, yes.
17 Q. And then with respect to the explanation i? Q. Right, right. And it talks about the fact
18 provided by Mr. Beermann to the City of Ferguson, 18 that it's because of bodily injury, personal injury
19 it says that "the complaint alleges that the named 19 or errors and omission injury which are defined in
20 plaintiffs and members of the plaintiff class have 20 the policy; correct?
21 sustained damages due to bodily injury, personal 21 A. Correct.
22 injury andfor errors and omissions injury in 22 Q. All right. Let?s go to Exhibit Let me
23 connection with the employment of police officers 23 hand you Deposition Exhibit First of all, have
24 and other personnel by the City of Ferguson"; do 24 you seen that particular letter, which is a letter
25 you See that? 25 from Mr. Martin Buckley to Ronald A. Norwood dated

 

 

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November 27, 2017? Have you seen that letter
before?

A. I don?t know that I have.

Q. All right. Now, take a minute to read it,
if you could.

A. Okay.

Q. All right. Now, in this particular
communication from Mr. Buckley, it says that "if
individual plaintiffs claims were brought simply





Page 128
offer. You can answer that question.
A. Yes.

MR. NORWOOD: Well, I'm going to object to
your speaking objection, and we will have to get a
special master if you're going to be coaching this
witness how to answer. You can object, but you
can't tell this witness how to answer. You know
that's improper, Martin. You've been in the game
for 31 years, you say, and that's improper, okay,

 

 

 

 

10 as individuals and not as a class action, SLAIT 10 and I'm going to object, and if you do it again, 
i would withdraw its Reservation of Rights", do you 11 will terminate the deposition and we'll get a
12 see that? 12 special master and have the judge involved, okay? 1
13 A. Yes. 13 MR. BUCKLEY: That was an instruction by
1.4 Q. Is that your understanding of SLAIT's 14 counsel to the witness in terms of the privilege
15 position? 15 which is a matter that can be discussed. l?m 
16 A. Yes. 16 telling him to limit his answer to what was
1? Q. That if it were individual claims, then 17 offered, not to a discussion.
18 they would withdraw the reservation? 18 MR. NORWOOD: No, you can?t tell the
19 MR. BUCKLEY: It?s in terms of the offer 19 witness to limit his answer under oath, okay?
20 in compromise, but subject to that, go ahead. 20 MR. BUCKLEY: I can.
21 A. Yes. 21 MR. NORWOOD: That is improper. That is
22 Q. (By Mr. Norwood) it goes further and says 22 coaching and it's borderline --
23 "instead, each individual claim would be treated as 23 MR. BUCKLEY: Go ahead. Say it.
24 being within coverage as a claim of personal injury 24 MR. NORWOOD: -- proffering incomplete and
25 resulting from law enforcement operations"; do you 25 incorrect testimony.
5; Page 127 Page 129
1 see that? 1 MR. BUCKLEY: Okay. rm entitled to tell
2 A. Yes. 2 the Witness not to impinge on privileged matters.
3 Q. And is that position? 3 MR. NORWOOD: But that's not what you
4 MR. BUCKLEY: Again this is an offer in 4 instructed the witness. You didn't say anything on
5 compromise 5 impinging on privileged communications. And we can
6 MR. NORWOOD: Well, let me Object, Martin. 6 read back the record and tell exactly what you did.
7 The witness is here as a Corporate Designee, that's 7 Okay. You told him what to say as the Designee of
8 your position, I'm asking this witness? position 8 SLAIT and that's improper.
9 based upon his representation as a designee of 9 MR. BUCKLEY: First of all, it?s beyond 5
10 SLAIT. 10 the designation of anything in your notice and this
1 1 MR. BUCKLEY: Well, this is beyond the 11 is not a coverage position that was given. You and
12 scope of the notice then. 12 I discussed this as a matter of resolving this
13 MR. NORWOOD: No, it's not. Well, that 13 case.
14 asked about the denial of coverage and the reason 14 MR. NORWOOD: Well --
15 for the denial of coverage and this relates to the 15 MR. BUCKLEY: So it's within settlement
16 denial of coverage. 16 negotiations.
17 MR. BUCKLEY: This is not a denial of 1? MR. NORWOOD: Well, let me withdraw the
18 coverage. it's communication between attorneys 18 question. Let's read what you wrote, okay, instead
19 trying to resolve the case. 19 of talking about what you and talked about. What
20 Q. (By Mr. Norwood) Subject to that 20 you wrote on November 27, 201?, "clear, Mr. Norwood,
2} objection. is it your understanding that each 21 this follows up on our telephone conversation on
22 individual claim would be treated as being within 22 October 26th. I previously sent you a St. Louis
23 coverage as a claim for personal injury resulting 23 Area Insurance Trust coverage position on September
24 from law enforcement operation? 24 20, 2017. lwanted to clarify that the coverage
25 MR. BUCKLEY: As part of that settlement 25 position taken by SLAIT is based on the pleadings

 

 

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as they currently stand. As discussed, if the are.
2 pleadings would change, coverage position 2 Q. Okay. Let?s go to the second page under
3 would be different. In particular, if the 3 "remarks". It says "due to the nature of this
4 individual claims were brought simply as 4 lawsuit, something we have not encountered before
5 individuals and not as a class action, would 5 for SLAIT, we needed to bring this matter to the
6 withdraw its Reservation of Rights. Instead each 6 attention of The Boar Do you see that?
individual's claims would be treated as being 7 A. Yes.
8 within coverage as a claim for personal injury 8 Q. All right. And this would have been as of
9 resulting from law enforcement operations. They 9 March 26th, 2016; is that correct?
10 would not be considered claims for bodily injury, 10 A. Yes, it looks iike it.
1 1 personal property, advertising injury or errors and 11 Q. Do you know what Mr. Beet?mann meant when
12 omissions. 1 hope this clari?cation is helpful". 12 he said it was something that SLAIT had never
13 It doesn't say anything about an offer, okay, for 13 encountered before?
14 the record. "Let me know ifyou have any 14 A. I thinkjust the type of claim it is.
15 questions". All right. 15 Q. You mean type of claim in terms of being a
16 MR. BUCKLEY: "Let me know if you have any 16 class action --
questions" is part of the actual letter, not 17 A. Yes.
l8 comment by counsel. 18 Q. or type of claim in terms of dollar
19 MR. NORWOOD: So the letter speaks for 19 value?
20 itself. 20 A. Being a class action.
2] Q. (By Mr. Norwood) This letter is a letter 21 Q. All right. And so from this, at least,
22 that represents SLAIT's position as you understand 22 it's suggesting that this is the ?rst instance
23 it; correct? 23 where there?s been this type of class action that
24 MR. BUCKLEY: Subject to the instructions, 24 was brought to the attention of he Board; correct?
25 go ahead. 25 A. Yes.
Page 13] Page 133
A. Correct. 1 Q. Ail right. It goes further and says "when
2 Q. (By Mr. Norwood) All right. 2 the suit was ?rst filed, allegations in the
3 A. I mean, I think if these claims were 3 complaint on behalf of several plaintiffs were
4 individual claims, I don?t know why we wouldn't 4 identi?ed as potentially invoking coverage for at
5 cover them 5 least some of the plaintiffs' claims, and the suit
6 Q. That's right. 6 was answered and defended by SLAIT defense counsel.
7' A. -- if they were presented in that fashion. it Over the course of the past year, the scope of the
8 Q. Great. Understood. Now, let me hand you 8 case grew and the predominant focus of the case
9 what?s been marked as Ferguson Deposition Exhibit 9 9 became plaintiffs' class action claim. Concern
10 and ask you if you?ve seen that document before. it) grew when a similar suit was recently settled for
1 A. Yes. 11 what is believed to be a substantial amount of
12 Q. Okay. What is this document? 12 money. Since mediation is now scheduled, we have
13 MR. BUCKLEY: Let me get a copy of it. 13 instructed attorney Kreihbiei to file a declaratory
14 A. it's a status report prepared by Doug l4 judgment suit to determine coverage. We do not
15 Beermann, and he would report on claims that he 15 believe SLAIT policy covers class action suits".
16 thought had a larger than average total incurred 16 Do you see that?
17 value. 17 A. Yes.
18 Q. (By Mr. Norwood) Okay. Is that the only 18 Q. Okay. Now, let's go -- let me hand you
19 time he would prepare such reports? 19 what's been marked as Deposition Exhibit 10 and ask
20 A. Yes. 20 you if you can identify that for us.
21 Q. All right. And do you know what the 21 A. It looks like it was a mediation.
22 average value would be which would trigger such a 22 Q. Let me back up. First of all, have you
23 report? 23 seen this document before?
24 A. Not really. Part of it would be when a 24 A. I do not recall it, but I have no idea.
L25 claim is more complicated, which these obviously i 25 Q. Is the letter from Mr. Douglas Beermann?

 

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A. Correct.

Q. And who gets this report? Who does it go
to?

A. The Board.

Q. All right. So this is a report to The
Board?

A. Yes.

MR. BUCKLEY: Exhibit 10 is what he was

asking about.

WITNESS: Oh, the letter.

A. I don't know where it went other than, it

almost looks like he did it to the file, to me.
MR. BUCKLEY: It's weird, it?s to BCA-

A. I think he directed it to his file.

Q. (By Mr. Norwood) Okay. Who would
typically get copies of the reports that go to the
file at Bierman?Condray?

A. Nobody.

Q. I?m sorry? Nobody?

A. Nobody.

Q. So he just puts it away and that?s the end

A. Right.
Q. All right. Then we go back to Exhibit 1 1,
and the last sentence says "with the mediation now

19 Q. All right. And then in the next Bates

Page 140
1 Q. (By Mr. Norwood) It looks like you were
2 copied on it, and so I want you to take a look at
3 it, I?m going to ask you some questions about it.
4 A. Okay.
5 Q. You have seen that letter before, I take
6 it?
7 A. I assume so.
8 Q. I?m sorry. The series of e-mails before
9 you, you appear to be copied on the ?rst page,
10 1958 is an e?mail 
11 A. Right.
12 Q. -- sent on Wednesday, February 3rd, 2016
13 by Peter Dunn to Mr. Beermann and you?re copied on
14 that; correct?
15 A. Yes.
16 Q. And the subject is "here are the Great
1? American contacts". Do you see that?
18 A. Right.

20 Stamp Page, 1959, that?s an e?mail from Peter Dunn
21 dated Wednesday, February 3rd, 2016 at 2:19 p.m. to
22 Douglas Beennann, Steve Wicker, it says "notice to
23 State Auto and Great American re: Fant case". Do
24 you see that?

25 A. Yes.

 





25

 

Page 139 .
scheduled, we believe that a DJ suit to determine i
coverage may be necessary?; correct?

A. Correct.

Q. And so this is Mr. Dunn advising Mr.
Beermann that Mr. Dunn and his firm believes that
Ferguson should be sued in a Declaratory Judgment
action to determine coverage; correct?

A. It does appear that he?s indicating we
need to ?nd out what that exclusion means in the
courts.

Q. Well, what he says is meaning Mr.
Dunn and some other folks there at his ?rm, right?
"We believe a DJ suit to determine coverage may be
necessary", right? That's what he says?

A. That?s what it says.

Q. And that's what he tells Mr. Beermann, who
is the administrator for SLAIT, correct?

A. Claims Administrator, yes.

Q. At a time when he?s acting as counsel for
the City of Ferguson selected by SLAIT to defend
the City of Ferguson; correct?

A. Correct.

Q. Okay. Let?s look at Exhibit 12. So take
a look at Exhibit 12.

MR. BUCKLEY: Can I see it ?rst?

 

Page 141

Q. And then in his e-mail addressed to you
and Mr. Beermann, he says "Doug and Steve, I spoke
with Doug today about sending a letter to the prior
SLAIT re?insurance carrier for 2010 through 2015
about the Fant case. Below please ?nd my draft of
the letter Doug might send putting State Auto and
Great American on notice of the claim and the
upcoming referral to mediation. Attached is a copy
of the complaint and copies of the different
re?insurance agreements from 2010 to 2015. I know
1 1 Great American's Ms. Lofness is on notice about
12 Fant, but I don't think it would hurt to formalize
13 the notice pursuant to the reinsurance agreements.
14 Please let me know if you have any suggestions or
15 corrections you recommend?. That's what it says;
16 correct?
17 A. Yes.
18 Q. And then there's a draft letter to State
19 Automobile Mutual Insurance on behalf of SLAIT to
20 the re?insurance carrier?
21 A. Correct.
22 Q. Or to a potential re?insurance carrier;
23 correct?
24 A. Yes.
25 Q. Now, in this context, is Mr. Dunn



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1 representing and advising SLAIT with respect to 1 is; do you know if the City of Ferguson received a
2 this re-insurance coverage dispute? 2 copy of this communication?
3 MR. BUCKLEY: Let me object to the 3 A. I do not know.
4 question as far as it assumes there's a coverage 4 Q. Let me ?nish. And this draft letter that
5 dispute, but go ahead and answer. 5 was sent to you and Mr. Beerrnann in February of
6 A. I don?t think so. He's just telling him 6 2016?
7 to put any excess carrier that you might be 7 A. I do not know.
8 involved in this on notice since it covers quite a 8 Q. Okay. All right. Let?s go to the next
9 bit of time, et cetera, and it would appear we had 9 page, and parenthetically it says ?the Great
10 two excess carriers during that time. 10 American Insurance Company has this coverage from
1 1 Q. (By Mr. Norwood) All right. And did any 1 1 7/1/?12 to present. I think the same letter should
12 of the excess carriers step up and agree to pay the 12 be sent to them. Andrew Kay is the person
13 excess in this case? 13 identi?ed in their contracts. 1 also see in their
14 A. They do not agree to do that. They take 14 policies that notices are to be sent by certi?ed
15 notice of the case, they don't give you coverage 15 mail and to be sent to Swett and Crawford. They
16 opinions, they have the case and they're 16 have a lot of locations, but their main of?ce is
17 Q. I'm sorry? 17 in Los Angeles"; correct?
18 A. They're on notice, the re-insurance 18 A. Correct.
19 agreement basically tells you when you need to 19 Q. So essentially he's basically providing
20 report things. 20 advice as to how it should be sent, the method by
21 Q. But in this context, is Mr. Dunn 21 which it should be sent based on his review of the
22 representing SLAIT or is he representing the City 22 policy; correct?
23 of Ferguson? 23 A. Yes.
24 A. 1 think he was just reminding a SLAIT 24 Q. Then he?s got another draft of the letter
25 person that they should make sure they?ve done 25 to Great American; correct?
Page 143 Page 145
1 this. 1 mean, in a way he?s representing the City 1 A. Correct.
2 of Ferguson because if we don?t put the excess 2 Q. And do you know if, in fact, those letters
3 carrier on notice, we?ve got a lot less than 3 and the form prepared by Mr. Dunn were, in fact,
4 $3,000,000 in coverage. 4 prepared by Mr. Beermann and sent to those
5 Q. Okay. And so do you know if the City of 5 insurance carriers?
6 Ferguson received any communication of this sort? 6 A. I don't recall.
7 A. They wouldn't normally. 7? Q. Let me hand you what's been marked as
8 Q. I'm sorry? 8 Exhibit 13 and ask you if you can identify that for
9 A. They would not. 9 us. Have you seen Ferguson Exhibit 13 before?
10 Q. They did not? 10 A. It looks like I have.
1 1 A. I don't know if they did or not, but 1 i Q. Because you're re?ected as being copied
12 normally they wouldn't. 12 on that?
13 Q. Right. So they wouldn?t, so the City of 13 A. Yes. And it looks like i'm supposed to be
14 Ferguson wouldn?t know anything about this 14 sending the letter.
15 communication, right? l5 Q. This relates to the Brown case; correct?
16 A. Well, they should assume that it's been 16 A. Correct.
17 communicated to the excess carrier when it reaches 1?1 Q. And it's dared e-mail from Mr. Dunn to Mr.
18 a certain threshold. 18 Wicker and Mr. Beermann dated Monday, September 
19 Q. I?m sony, they should assume what? 19 2015 at 2:13 correct?
20 A. If we don?t report the claims to the 20 A. Correct.
21 excess carrier, they won't cover it and 1 think 21 Q. And here it looks like Mr. Dunn has
22 most of the members know that, so yes, when they 22 provided a draft of a proposed letter to send to
23 have a certain kind of case, it's reported to the 23 coverage counsel for Great American; correct?
24 excess carrier. 24 A. Yes.
25 Q. I understand that, but my question to you 25 Q. And so he's preparing again a letter to be

 

 

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1 sent to coverage counsel for Great American in A. That?s the problem. We either sent it to
2 response to a letter they submitted disputing 2 the wrong re-insurer, and I guess I guess the
3 coverage for the Brown case; correct? 3 answer is yes, they probably were the re-insurer on
4 A. Correct. 4 that case, but State Auto was the company that was
5 Q. And in that regard, he is acting on behalf 5 informed.
6 of SLAIT in terms of obtaining the re?insurance 6 Q. And so they were not timely noti?ed and
7 coverage; correct? 7 that's their basis for denying?
8 A. What we were really doing was, this is the 8 A. That's their basis.
9 only case I ever remember this, they wrote us a 9 MR. BUCKLEY: We?re challenging that, just
10 long letter with some silly statements like 10 so we?re clear.
11 "the officer meant to kill him, not until after 11 MR. Ron, before you change topics,
12 everything else has happened does he shoot him", so l2 Ml's got to leave. Can we take a very short break?
13 we were responding to that. And if you notice 13 I?m going to talk to him for a couple of.
14 there was supposed to be a meeting that they had 14 MR. NORWOOD: Let?s do that.
15 canceled, so we thought we would at least get him 15 (Recess)
16 to respond. 16 (Mr. Voss no longer present)
1? Q. Well, in preparing this letter and the I 17 Q. (By Mr. Norwood) Let?s go back on the
18 prior letters to these re?insurance carriers, it?s 18 record. Let me hand you what's been marked as
19 in interests for that re?insurance to kick 19 Exhibit 14 and ask you if you've seen that before.
20 in; correct? 20 A. I don't know that I would have seen it,
21 A. Correct. 21 it?s a pretty standard "we?ve assigned this
22 Q. Because SLAIT is on the hook for the full 22 attorney to this claim."
23 three million, right? 23 Q. Well, I believe before you had indicated
24 A. Right. 24 that typically you would receive or review or
25 Q. So regardless of what happens to the 25 discuss with Mr. Beermann Reservation of Rights
Page 147? Page M9
1 re?insurer, it doesn't really impact the City of 1 letters, particularly with complicated cases, isn't
2 Ferguson; right? 2 that a fair statement? And this would have been a
3 A. Unless we decided to decline the claim for 3 complicated case?
4 the same reasons that the re-insurance carrier 4 A. This really wasn't that complicated of a
5 declined it. 5 case. It's complicated but not from a coverage --
6 Q. Right. And you didn't do that in this 6 Q. Complicated from a liability standpoint?
7 case as it relates to the Brown case; correct? 7 A. Yes.
8 A. Correct. 8 Q. And it relates to Michael Brown case, it's 
9 Q. You stepped up and you ultimately settled 9 a coverage letter dated May 27, 2015 in the Michael
10 that claim on behalf of the City; correct? 10 Brown case; correct?
ll A. Correct. - 11 A. Correct.
12 Q. And you're currently in a fight with Great 12 Q. And in this case, the only reservation
13 American about the re-insurance; correct? 13 appears to be punitive damages; correct?
14 A. No. 14 A. Yes.
15 Q. You?ve resolved that with the 15 Q. Other than that, there was no denial of
16 A. We never had a ?ght. They sent us a 16 coverage from the standpoint of the Michael Brown
17 check very quickly. 1? case; correct?
18 MR. BUCKLEY: You?re thinking of the Moore 18 A. Correct.
19 case. 19 Q. Then we go to Exhibit 15, and I believe
20 MR. NORWOOD: The Moore case, right. 20 you alluded to this, but let's take a look at
21 Q. (By Mr. Norwood) So you?re familiar with 21 Exhibit 15 which for the record is a letter dated
22 the Moore case? 22 August 27, 2015 from Meagher Geer, I believe is
23 A. Yes. 23 the name of the firm, on behalf of Great American
24 Q. And was Great American re?insurer on that 24 Insurance Company?
25 one? 25 A. Correct.

 

 

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1 Q. And that?s the longwinded letter that you 1 is taking the position that there is coverage,
2 had referred to before? 2 right?
3 A. Yes. 3 A. Right.
4 Q. And this was a Reservation of Rights 4 Q. And he?s taking issue with the assessment
5 letter from Great American as it relates to Michael 5 of the excess carrier with respect to there may not
6 Brown? 6 be coverage; correct?
7 A. I don?t even know if I would term it as a 7 A. Correct.
8 Reservation of Rights letter, it?s more like 8 Q. And that would all be under the
9 "here's the way we read your policy". 9 assessment is based upon the Brown case as it
10 Q. Well, let's see. It talks about the fact 10 relates to whether or not there is coverage under
1 1 that they?re not responsible for anything beyond 11 the SLAIT policy that's at issue in this case;
12 what SLAIT would be responsible for in its policy; 12 correct?
13 correct? 13 A. Correct.
14 A. Let?s see. Yes. 14 Q. Let me hand you what's been marked as
15 Q. All right. And then it says basically 15 Ferguson Deposition Exhibit 17 and ask you if
16 they?re reserving the right to amend or revise this 16 you've seen that report before in the Michael Brown
17 position based upon additional information; 17 case dated September 4, 2015 from BCA, Inc.
18 correct? 18 A. I don't think I've seen this. This
19 A. Yes. 19 appears to be another thing that he was putting in
20 Q. All right. And they really -- if you ?ip 20 his file, but I was obviously at the meeting.
through it, they take issue with certain of the 21 Q. The meeting being a meeting in which you,
22 claims with respect to whether or not there is 22 Peter Dunn and Mr. Beermann were in attendance?
23 coverage, right? 23 A. Yes.
24 A. Right. 24 Q. And there was a discussion, according to
25 Q. And then we get to Page 8, which is Bates 25 the letter, it says there was a discussion and the
Page 15] Page 153
1 stamped Page 567, they talk about "no coverage 1 discussion related to deciding the best possible
2 potentially available for Amended Count ll". Then 2 way to respond to this letter of August 27, 2015
3 on the next page ?no coverage available for Count 3 from Great American Insurance attempting to explain
4 and then on the following page, Page 1 1, which 4 in their estimation under the policy why no
5 is Bates Stamped Page 570, "no COVerage likely for 5 coverage was afforded to the City of Ferguson and
6 Count The next page, Page 12, Bates Stamped 6 Police Of?cer Wilson, correct?
7 571, "no coverage for Count And the next 7 A. Correct.
8 page, 13522, "no coverage for Count correct? 8 Q. It says "we reviewed the letter in great
9 A. Right. 9 detail", and the "we" is referring to the three of
10 Q. And so they took the position at least 10 you; right?
I 1 questioning the coverage, but you said ultimately 1 1 A. Right.
12 though, at the end of the day when the case was 12 Q. And that would include Mr. Dunn; correct?
13 settled, they wrote a check without any issues? 13 A. Correct.
14 A. Yes. We send them basically a proof of 14 Q. "And each of us came with the same
15 how much we paid on the claim and they paid 15 conclusion that it was not factually correct in
16 everything that was in excess of the retention. 16 their explanation as to why they do not feel their
17 Q. Okay. All right. Let me hand you what's 17 excess coverage is in force for this incident?;
18 been marked as Exhibit 16, and that is, for the 18 correct?
19 record, a letter dated September 16, 2015 from 19 A. Correct.
20 Bierman?Condray, which is a report on the Brown 20 Q. So, the three of you were strategizing as
21 case; correct? 21 to how to respond to the letter from Great American
22 A. Yes. 22 as related to its position being proffered with
23 Q. And you have seen this document before? 23 respect to questions of coverage under the Great
24 A. Yes, lthink I have. 24 American re?insurance policy; correct?
25 Q. All right. And on this one, Mr. Beermann 25 A. Correct.

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1 Q. And we go to the next page, Bates stamped 1 e-mails that included Mr. Dunn, you and Mr.
2 653, it's Page 2, it says "needless to say, we have 2 Beermann.
3 great concerns about this type of thinking on the 3 A. Right.
4 coverage issue as we move forward in the defense of 4 Q. And it looks like Mr. well, it looks
5 the case", the "we" being the three of you; 5 like you are forwarding to Mr. Dunn and Mr.
6 correct? 6 Beennann an e-mail cornmunication from Ms. Carole
7 A. Right. 7 Lofness at Great American; correct?
. 8 Q. And then he says in the next paragraph "it 8 A. Yes.
9 was decided that we will immediately respond to 9 Q. And in your communication to Mr. Dunn and
10 this letter, which will be done by Mr. Steve Wicker 10 Mr. Beermann, you say ?interesting, we need a
ll advising them we do not in any way, shape or form ll coverage discussion on a classic excessive force
12 concur with their evaluation. We fully intend on 12 claim. Peter, any unusual claims in petition, in
13 having their coverage available on this loss". Do 13 your opinion? Steve". And then Mr. Dunn
14 you see that? 14 responds -- your e-mail was dated July 28, 2016 and
15 A. Correct. 15 his response is dated the same day at 1 1:56 am.
16 Q. Do you recall in response, or consistent 16 It says ?well, nothing 1 am aware of that invokes
1? with this discussion you had with Mr. Dunn and Mr. 17 any possible coverage problems, only legal
l8 Beermann, do you recall advising them in accordance 18 problems", do you see that?
i 19 with what is referenced here? 19 A. Yes.
20 A. Yes. 20 Q. Okay. Let me hand you what's been marked
21 Q. And how did you advise them? 21 as Ferguson Deposition Exhibit were just ?abbergasted with Great 22 you?ve seen that document before.
23 American's coverage letter and this, if this isn?t 23 A. Yes, I believe so.
24 the law enforcement claim, then there's no such 24 Q. All right. Now, this relates to the Fant
25 thing as a law enforcement claim, so we wanted to 25 case; correct?
Page 155 Page 15? 
1 make sure we responded to them in some fashion. 1 A. Yes.
2 Q. Right. And so I guess what I?m trying to 2 Q. And it also talks about the Webb case 
3 figure out is; did you send a letter? An e-mail? 3 well, actually three cases, Thomas versus St. Ann,
4 A. 1 think we sent a letter. 4 Webb versus Maplewood; correct?
5 Q. Do you have a copy of that letter 5 A. Yes.
6 somewhere? Because I don't know if we?ve seen 6 Q. And is this the -- this relates to Allied
7 that. 7 World coverage for those three municipalities;
8 A. 1 think you have it. lthought 1' saw it 8 correct?
9 on one of these. 9 A. Right.
10 MR. BUCKLEY: think it was, there was a 10 Q. And initially Allied World took the
1 1 draft of it. 1 1 position that it would not be providing any
12 MR. NORWOOD: Oh, okay. 12 coverage in the matter, this would be with respect
13 A. 1 don?t know if I have a copy or not. 13 to public employee coverage?
l4 Q. (By Mr. Norwood) Of the actual letter 14 A. It?s the public of?cials' policy.
15 that would have been written? 15 Q. l'm sorry. Public of?cials' policy. And
16 A. Yes. Because I tend not to have claims 16 initially, Allied World declined coverage in the
17 ?les, that?s what BCA keeps. 17 matter; correct?
18 Q. So if the letter was still around, you 18 A. Correct.
19 think it would be in this claims file? l9 Q. And then ultimately, they changed their
20 A. Yes. 20 mind, at least, and decided their willingness to
21 Q. Okay. Let me hand you what?s been marked 21 negotiate or attempt to negotiate a settlement; is
22 as Ferguson Deposition Exhibit 18 and ask you if 22 that a fair statement?
23 you?ve seen that before? 23 A. It?s not what I would have understood.
24 A. Yes. 24 Q. Well, let?s take a look at the letter.
25 Q. All right. And this is a series of . 25 A. Yes.

 

 

 

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Q. It says, second paragraph, it says "Allied
World continues to believe that the allegations
raised in these lawsuits triggers signi?cant
coverage issues under the respective Allied World
policies. Nonetheless, Allied World has concluded
it will accept these matters for coverage under the
respective policies issued to each city subject to
a Reservation of Rights. This includes the Fant
versus Ferguson matter for which Allied initially
denied coverage"; correct?

A. Okay. Yes.

Q. All right. And essentially, they're
taking the position that the Allied World policy
would be excess of the SLAIT policy; correct?

A. Right.

Q. And essentially, they?re asking for
position regarding settlement and the fact
that they would be amenable to settlement
negotiations; correct?

A. Yes.

Q. All right. And so then at this juncture,
though, SLAIT has not expressed a willingness to
engage in those settlement negotiations with Allied
World; correct?






22

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Page 160
It?s 7.5.
That would be the aggregate best scenario?
Right. But this is one claim.
I understand. I understand. And I'm not
saying I agree with the position, I'm just trying
to the aggregate claim amount would be 7.5
million, assuming you could tap into the aggregate,
and then the Allied World you understood to be
2,000,000; is that right?

A. Probably, yes. I would have to check.

That sounds like the way that plaintiffs would
probably put it together.

Q. Okay. Let me hand you what's been marked
as Exhibit 21 and ask you if you?ve seen that
document before.

A. I believe i have.

Q. Okay. And this relates to a case called
Quinton Thomas versus City of St. Ann case.

A. Correct.

Q. And is that a class action case similar to
the Fant case?

A. Yes.

Q. And this re?ects the SLAIT's coverage
position as it relates to the City of St. Ann?s



 




talks about received a recent demand of 9.5
million; right?

A. Okay. Yes.

Q. All right. And actually 9.5 represents
the understanding that there would be total
coverage under the SLAIT policy of 7.5 million and
2,000,000 under the Allied World policy; correct?
Up to?

A. I don?t know what the folks who made the
demand think. I would think that the SLAIT policy
probably only provides 3,000,000.

Q. Right. Well, I understand. But under the
SLAIT policy, though, there is an aggregate amount,
right? And what was that aggregate amount? I
think we talked about that.

 

r?nu?Ii?nb?nb?I
{Jr-Damnldon?t think they're saying that. 25 claim?
Page 159 Page 16]
1 They?re basically saying they?re going to be 1 A. Yes.
2 excess, so if there are settlement negotiations 2 Q. And do you know if that case is still
3 between SLAIT and the plaintiffs, then they'll talk 3 pending?
4 about what money they might contribute, is whatl 1 4 A. The case is still pending.
5 think. 5 Q. All right. Let me hand you what's been
6 Q. Right. Right. And you understand then 6 marked as Exhibit 22, which is a letter from BCA
7 the excess -- the demand in this case, according to 7 dated January 17, 2017 in the Cecelia Roberts Webb
8 the communication, was 9.5 million dollars; right? 8 case versus City of Maplewood. Have you seen that
9 A. I've seen that, yes. 9 before?
10 Q. Right. That?s in this e?mail, right? It 10 A. Ithink have, yes.

Q. All right. The Reservation of Rights
letter for the Webb case involved a claim that's
similar to the Fant claim?

A. Exactly.

Q. And similar to the City of St. Ann claim
that we talked about; is that correct?

A. Yes. Yes.

Q. And it talks about Brinker Doyen being
retained to represent Webb and the City of St. Ann;
correct?

A. Correct.

Q. And Brinker Doyen was also required to
come in and represent City of Ferguson; correct?

A. When the Pitzer Snodgrass folks were
disqualified.

 

 

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1 Q. And why were the Pitzer Snodgrass folks 1 been marked as Exhibit 25, and do you recognize

2 disquali?ed? 2 Exhibit 25?

3 A. I believe they hired someone from Arch 3 A. I can?t tell whether this is about Michael

4 City Defenders and that was brought to the court 4 Brown or Tracey White -- oh, it says Tracey White

5 and they ruled they should be disquali?ed. 5 on the back -- well, no. That's -- I really donyou understand also that 6 know which one it's for.

there's currently a dispute between the Dunn ?rm 7 Q. if the 

8 and regarding fees that were paid that SLAIT 8 A. The letter from Dunn is about Tracey

9 believed should not have been paid; correct? 9 White, so I assume maybe this is Tracey White.

10 A. Correct. 10 Q. Yeah. Well, okay. Let's assume it's

1 1 Q. And that dispute is still pending? 1 Tracey White, it?s not clear at least in the face

12 A. ?Pending", that?s the word. 12 of the letter, but it says "attached is a coverage

13 Q. All right. Let me hand you what has been 13 opinion", this is what you say to Mr. Dunn; right?

14 marked as Plaintiffs Exhibit Yes.

15 can identify that for us. 15 Q. ?Attached is a coverage opinion from the

16 A. It appears to be another item that Mr. 16 excess carrier relative to our only current

17 Beermann wrote to the ?le. 17 Ferguson lawsuit. Peter, please review and let me

18 Q. And it's a report, for the record, Exhibit 18 know what you think. I'm particularly interested

19 23 is a report from Mr. Beermann dated December 19 in what you think the limits paragraph on Page 2 is

20 3rd, 2015 referring to the Tracey White case; 20 saying. Does SLAIT have 2.5 million of coverage

21 correct? 21 for each and every separate occurrence? It sort of

22 A. Correct. 22 reads like that". Do you see that?

23 Q. And this is a suit brought, it looks like, 23 A. Yes.

24 brought against City of Ferguson and City of 24 Q. "The three of us should get together soon

25 Maryland Heights? 25 to discuss interactions with the carrier. They

Page 163 Page 165

I A. Yes, I think these were, there were 1 seem to be unhappy with some of our responses to
I 2 several demonstrators who ?led suit. I guess, if 2 this point. Steve". Do you see that?

3 I remember correctly, they originally named 3 A. Yes.

4 Ferguson, then because there were police of?cers 4 Q. And here you*re asking Mr. Dunn to provide

5 in Ferguson from nearly every entity in the County, 5 his legal opinion regarding certain information

6 I think some of these suits became St. Louis County 6 contained in that letter from Great American's

7 lawsuits because the arresting of?cer was a County 7 counsel; correct?

8 of?cer and it would appear that at least one of 8 A. Yes.

9 them had Maryland Heights of?cers were sued. 9 Q. And do you recall any follow?up meetings,
10 Q. Okay. Let me hand you what?s been marked 10 discussions, with Mr. Dunn about his assessment --
1 as Exhibit 24 and ask you if you?ve seen that 1 A. Yes.

12 before. 12 Q. of the coverage Opinion from Great
13 A. For the record, Ferguson Exhibit 24 is a 13 American?
14 letter dated November let, 2014 to care of 14 A. I don't really, but it was basically the
15 Mr. Steven Wicker by Meagher how do you 15 same letter that they had written about Michael
16 pronounce the firm? 16 Brown, which makes it kind of silly from this
17 MR. BUCKLEY: 1 think it's Meagher. l7 standpoint because if these aren?t law enforcement
18 A. I don?t know. 18 liability claims, then there are no such thing as
19 Q. (By Mr. Norwood) It?s and 19 law enforcement liability claims.
20 Geer, G-E-E-R. And that relates to the Tracey 20 Q. Okay. And let me hand you what's been
21 White case and the position being staked by Great 21 marked as Plaintiff?s Exhibit 26 -- I?m sorry.
22 American Insurance Company as it related to that 22 Ferguson Deposition Exhibit 26. And do you recall
23 claim; correct? 23 seeing that particular coverage communication from
24 A. It does appear that way. 24 BCA on behalf of SLAIT regarding the Tracey White
25 Q. Right. All right. Let me hand you what?s 25 case? 

 

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A. No. This was it looks like another one
where he's just talking about punitive damages, and
frankly, these particular suits were nothing like
some of the suits we face. These were people that
weren't, at least there were no major injuries, et
cetera, et cetera.

Q. Right. Right. Right. But the nature of
the claims related to arrests and things of that
9 sort?



 



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Deposition Exhibit 31, it talks about you're
Speaking on behalf of SLAIT regarding "the
production of documents provided to counsel for the
City of Ferguson in response to Request for
Production of Documents including efforts made to
locate documents responsive to the document
request". Have you been involved in the process of
attempting to gather and locate documents
responsive to the City of Ferguson?s request?

 

10 A. Correct. 10 A. Only in the sense that I authorized the
11 Q. What are alleged to be false arrests, 1 1 claims provider and Mr. Buckley to produce the
12 right? 12 information.
i 13 A. Right. 13 Q. The claims provider being which claims
14 Q. Okay. Let me hand you what's been marked 14 provider?
15 as Exhibit 27 and ask you if you can identify that 15 A. At this time, I think you were all with
16 document and the attachment? 16 CCMI because they had all the files.
17 A. Oh, this is the one where they held a news 17 Q. It's your understanding that BCA turned
18 conference in front of federal court, I think. 18 over the claims ?les relating to the City of
19 Q. And this relates to the Tracey White case; 19 Ferguson and other municipalities to 
20 right? 20 A. Yes, they should have turned over all the
21 A. Yeah, declaring they were going to sue. 21 ?les.
i 22 Q. Okay. And attached to that is the copy of 22 Q. Okay. So to the extent that there are
23 the complaint; correct? 23 files, claims files, available, those would be in
24 A. Yes. 24 the possession of CCMI, is your understanding?
25 Q. All right. Let me hand you what's been 25 A. Yes, they should be.
Page 16? Page 169
marked as Exhibit Are you aware of any other files that you
2 familiar with that document. 2 might be in possession of that might be responsive
3 A. I don?t think I?ve ever seen this lawsuit. 3 to that request?
4 Q. Okay. You?re familiar with this Powell 4 A. No.
5 versus the City of St. Ann case though? 5 Q. All right. I think that's all the
6 A. Yes, I am. 6 questions I have at the moment.
7 Q. And you understand this was a class action 7 MR. VIETH: Can we go off the record for
8 complaint? 8 just a second?
9 A. I didn't understand it at one time, but 9 (Off the record)
10 I've been told since it?s a class action claim. 10 EXAMINATION
11 Q. And ultimately, you understand there was a 11 QUESTIONS BY MR. VIETH:
12 settlement of that case that was paid by SLAIT in 12 Q. Mr. Wicker, my name is Erich Vieth. I?m
13 the amount of 10,000? 13 an attorney representing the folks who brought the
14 A. Yes, I authorized the 10,000. 14 original underlying suit. Iwork alongside of Arch
- 15 Q. All right. And let me hand you what?s 15 City Defenders and luckily most of my questions
16 been marked as Ferguson Deposition Exhibit 29 and 16 were asked already. You might hear some pauses
17 ask you if that is the settlement payment for that 17 from me because I don?t want to re-ask because it?s
18 particular matter? 18 already been asked. So I just thought we could
19 A. I assume that it is since that's the 19 talk a little more about your duties and the fact
20 indicatiou made, and Steve Garrett is the attorney 20 that you, I assume, are pretty good or at least
21 for the City of St. Ann who I was told worked out 21 experienced in looking over insurance policies and
22 the settlement. 22 determining what coverages and exclusions exist in
23 Q. Okay. All right. 1 think at this time -- 23 the various policies.
24 let me just double check one thing. Item 16 on the 24 A. Iusually have an idea, but I?ve often
25 Deposition Notice, which is marked as Ferguson been surprised by what judges say.

 

 

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Q. What is an exdorsement?

A. A typo.

Q. Okay. Is there any word that you know of
that is the word "exdorsement"? Is that a real
word?

A. Not that I?m aware of.

Q. Is it important for an insurance company
to draft its insurance policy to be easy to
understand?

MR. BUCKLEY: Are you taking his




CKD

Page 176
at that Endorsement again, Bates Page 41?

A. Yes.

Q. And tell me all of your reasons for your
believe that excludes coverage for this class
action.

A. Because it?s 

MR. BUCKLEY: Let me object. it calls for
a legal opinion. Subject to that, go ahead.

A. Because it says "exclusion, class action

suits?.

 

 

 

11 deposition of him individually right now? 11 Q. (By Mr. Vieth) Is that your only reason?
12 MR. VIETH: No. 12 A. Yeah.
13 MR. BUCKLEY: Which one does this apply 13 Q. Okay. So it does not say "exclusion, all
14 to? 14 class action suits", does it?
15 MR. VIETH: This refers to let me pull 15 A. It doesn?t say "some" either.
a l6 it out. 16 Q. All right. And so would it be reasonable
17 MR. NORWOOD: It's Exhibit 31, if you have 17 to read what follows instead of looking at the
18 that. 18 title of any particular endorsement in this policy
19 MR. BUCKLEY: Yes, 1 have it here. 19 or any policy?
20 MR. VIETH: 1 would suggest that it would 20 A. Yes.
21 be Numbers 4 and 13. 21 Q. All right. So this title "exclusion 
22 MR. NORWOOD: And 8. 22 class action suits", isn?t it true that that could
23 MR. BUCKLEY: Go ahead and re?ask the 23 refer to some class action suits or perhaps all
24 question. 24 class action suits, depending upon the context?
25 MR. VIETH: Would the court reporter read 25 MR. BUCKLEY: Objection. Calls for a
Page 175 Page 177
1 the question back, please? 1 hypothetical. Calls for opinion. Inde?nite.
2 (Whereupon, the requested portion of the 2 Subject to that, go ahead and answer.
3 transcript was read for the record) 3 A. I guess so.
4 MR. BUCKLEY: I?m going to object to that 4 Q. (By Mr. Vieth) Your opinion is that
5 as calling for a personal opinion or perhaps an 5 Endorsement excludes coverage for this class
6 opinion of law. Subject to that, I?m going to let 6 action; correct?
7 him answer. 7 A. Yes.
8 A. Yes. i' 8 Q. Other people who read Endorsement might
9 Q. (By Mr. Vieth) As a general rule, 9 interpret it differently; correct?
10 municipalities purchase insurance to ?nancially 10 MR. BUCKLEY: Objection. Calls for what
ll protect themselves from lawsuits; correct? 11 other people might think. Speculation. Subject to
12 A. Correct. 12 that, you can go ahead and answer.
13 Q. ls it not your understanding -- let me 13 A. Yes, I assume some have.
14 strike that. Isn't it your understanding that 14 Q. (By Mr. Vieth) Okay. And in fact,
15 Ferguson bought this SLAIT policy that we're 15 reasonable people could read this same endorsement
16 talking about today to protect itself from 16 and interpret it to give coverage to this class
17 lawsuits? 17 action, correct?
18 A. Yes it doesn?t protect you from 18 MR. BUCKLEY: Same objection. Inde?nite.
19 lawsuits, it's for liability 19 Calls for opinion without foundation. Subject to
20 Q. It protects you from the consequences of 20 that, you can answer.
21 some lawsuits. 21 A. I don't think so, but 
22 A. Okay. I like that better. 22 Q. (By Mr. Vieth) Okay.
23 Q. All right. I know we talked aboutjust going to call it Endorsement even though 24 Q. Why not?
25 it's not reading that way exactly. Could you look 25 A. I think it's a class action suit

 

 

45 (Pages 174 - 177)

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Page 180
1 exclusion. 1 as calling for actually calls for opinion of
2 Q. Okay. And I gave you a chance to say all 2 law. It calls for an opinion of grammar, which is
3 your reasons for why you believe that and you 3 incorrect, and it calls for a personal opinion.
4 pointed to the title ?exclusion 4 Subject to that, you can go ahead and answer.
5 A. Exactly. 5 A. I actually forgot the question.
6 Q. "class action suits"; correct? 6 MR. VIETH: Could you read that back,
7 A. And I don?t see anything in the body that please.
8 makes me think otherwise. 8 (Whereupon, the requested portion of the
9 Q. We talked a bit about the fact that some 9 transcript was read for the record)
10 of the words in this exclusion are bolded; correct? 10 A. Yes.
1 I A. Yes. 1 1 Q. (By Mr. Vieth) All right. So are there
12 Q. And I just want to go over this to make 12 other ways that you have considered that
13 sure that we're documenting it on the record. The 13 Endorsement could have been worded to make it
14 word "damages" is bolded; correct? 14 easier to understand?
15 A. It's hard to tell, but yes, I think so. 15 A. I would assume you could make it easier to
16 Q. Okay. And then we skip on down to "bodily 16 understand.
17 injury" is bolded on the fourth line? 17 Q. Have you yourself dralted possible better
18 A. It doesn?t really look like it is on this 18 ways to express that idea that?s in current
19 copy. 19 Endorsement 
20 MR. BUCKLEY: I think it is. 20 A. No.
21 WITNESS: Okay. 21. Q. Do you know anybody else who has done
22 Q. (By Mr. Vieth) So you?re agreeing that 22 that?
23 "bodily injury" is bolded? 23 A. The revised policy probably has made it
24 A. I'm willing to agree, yes. 24 easier to understand.
25 Q. And ?property damage? is bolded? 25 Q. So it was possible to draft a better way
Page 1?9 Page 181
A. Right. 1 to express the idea that you see in current
2 Q. "Personal injury" is bolded? 2 Endorsement ll; correct?
3 A. Yes. 3 MR. BUCKLEY: Let me object as to what's
4 Q. "Advertising injury?? 4 possible, calls for speculation. Subject to that,
A. Yes. 5 go ahead and answer.
6 Q. "Error or omissions injury"? 6 A. 1 would think almost anything you write
7 A. Yes. 7 could be written better.
8 Q. And ?nally "employee benefit injury"? 8 Q. (By Mr. Vieth) Including Endorsement 
9 A. Correct. 9 correct?
10 Q. Okay. So other than the word "damages", 10 A. Yes.
11 all of these bolded terms comprise an itemized list 11 Q. Have you had discussions with other
12 within that paragraph; correct? 12 people, and I'm not going to include any
13 MR. BUCKLEY: I think that calls for a 13 conversation with any of your attorneys, whether
14 well, it calls for a -- the document speaks for 14 it?s SLAIT's attorneys or your personal attorney, I
15 itself, it?s an entire list of things, you know. 15 don't want to know about that.
16 MR. VIETH: All right. 16 A. All right.
17 Q. (By Mr. Vieth) It's a list of things. 17 Q. Have you had any discussions with anyoue
18 A. It*s everything the policy covers. 18 else where you or they express concern that
19 Q. All right. And after that ?nal bolded l9 Endorsement is not clearly enough worded?
20 term, which is "employee bene?t injury", we have 20 A. No.
21 two more lines that are not bolded; correct? 21 Q. Have you heard of such discussions by any
22 A. Correct. 22 person, whether or not you were part of the
23 Q. And so those final two lines can refer to 23 conversation?
24 all of the items in the bolded list, correct? 24 A. No.
25 MR. BUCKLEY: I'm going to object to that 25 MR. BUCKLEY: Other than attorneys?

 

 

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Electronically Filed - St Louis COunty - August 28. 2018 - 12:05 PM

Exhi it 7

MISSOURI CIRCUIT COURT
TWENTY-FIRST JUDICIAL CIRCUIT
ST. LOUIS COUNTY

CITY OF FERGUSON, et al.,
Plaintiffs Cause 87
v.

Division 5
ST. LOUIS AREA INSURANCE TRUST,

 

Defendant

RESPONSES TO CLASS ACTION
THIRD REQUEST FOR PRODUCTION OF DOCUMENTS

COMES NOW Defendant/Counterclaimant St. Louis Area Insurance Trust by
and through counsel, and for its responses to the Class Action Claimants? Third Request for
Production of Documents states the following:

4. Complete copies of the any insurance policies issued by or administered by

SLAIT, including all attachments, declarations sheets and endorsements, that have been

a. used by SLAIT, or subsequent to use of the version of the SLAIT policy
produced by SLAIT in response to the ACTION 
SECOND REQUEST FOR PRODUCTION OF DOCUMENTS TO 

b. considered for use by SLAIT at any time from 2010 to the present, or

c. referenced in the corporate representative deposition of Steve Wicker 0 June 19,
201 8.

RESPONSE:

a. Defendant SLAIT produces herewith a copy of the SLAIT policy issued to
members and effective July 1, 2018.

b. Defendant objects to this portion of the request as it would call for the
production of attorneyuclient communications and privileged attorney mental
impressions.

c. See response to subpart a.

 

?IT?rl'j ?Ilwuvllwela

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5. Copies of any documents created by or possessed by SLAIT relating to

a. ?Endorsement or ?Exdorsement as found in the SLAIT policy produced by
SLAIT in response to the ACTION SECOND
REQUEST FOR PRODUCTION OF DOCUMENTS TO or

b. Any language SLAIT considered or is considering that pertains to the exclusion of
coverage of class actions regarding SLAIT policies.

For purposes of this 5th request, ?documents? should be construed to have the same

meaning as set forth in Missouri Rule of Civil Procedure 58.01.

RESPONSE:

3. Defendant objects to this request in so far as it might be construed as calling for
the production of attorney-client communications concerning Endorsement H.
Defendant has no further documents not already produced relating to
Endorsement H.

b. Defendant objects to this portion of the request as it would call for the
production of attorney-client communications and privileged attorney mental
impressions. In reSponse to Request 4 Defendant produces a copy of the
SLAIT policy issued to members and effective July 1, 2018.

BUCKLEY BUCKLEY, L.L.C.

Martin J. Buckley

Martin J. Buckley #37000
Adrian P. Sulser #33103
800 Market Street, Suite 2900
Saint Louis, MO 63101
Telephone: (314) 621?3434
Facsimile: (314) 621-3485

mbucklev@bucklevlawlic.com
sulser@bucklevlawllc.com

Attorneys for Defendant/Counterclairnant
St. Louis Area Insurance Trust

Leila ?Ilwuvllwela

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CERTIFICATE OF SERVICE

The undersigned certi?es that on this 25th day of July 2018, copies of the foregoing were
served on the following counsel of record Via email to: Nathaniel R. Carroll, Blake A. Strode,
Michael-John Voss, Arch City Defenders, 1210 Locust Street, 2nd Floor, St. Louis, MO 63103,
ncanoll@archcitydefendersorg, bstrode@archcitydefenders.org, mivoss@archcitydefenders.org,
Attorneys for Defendants Keilee Fant, Roelif Carter, Allison Nelson, Herbert Nelson, Jr., Alfred
Norris, Anthony Kimble, Donyale Thomas, Shameika Morris, Daniel Jenkins, Ronnie Tucker, and
Tonya DeBerry; Ronald A. Norwood, Jacqueline K. Graves, Lewis Rice, LLC, 600 Washington
Ave, Suite 2500, St. Louis, MO 63101, morwood@lewisrice.corn, igraves@lewisriee.con1,
Attorneys for Plaintiff City of Ferguson; and Erich Vieth, Erich Vieth Attorney at Law, 20 South
Sarah Street, St. Louis, MO 63108, Attorney for Defendants Keilee
Fant, Roelif Carter, Allison Neison, Herbert Nelson, Jr., Alfred Norris, Anthony Kimble, Donyale
Thomas, Shameika Morris, Daniel Jenkins, Ronnie Tucker, and Tonya DeBerry.

 

 

Martin J. Buckley

- 8108 '8818n?nv - Munoo stnO?l 13 - pend Annotuonoalg

9038l

St. Louis Area Insurance Trust
A Self-Insurance Pool

PUBLIC ENTITY LIABILITY INSURANCE POLICY
Claims Made Policy

THIS IS A CLAIMS MADE POLICY. THIS POLICY APPLIES ONLY TO
CLAIMS MADE AGAINST YOU AFTER THE INCEPTION DATE AND BEFORE THE
EXPIRATION DATE OF THIS POLICY. THERE WILL BE COVERAGE FOR ANY
CLAIM ONLY IF IT IS REPORTED TO US AS SOON AS PRACTICABLE AND NO
LATER THAN THIRTY (30) DAYS AFTER THE EXPIRATION DATE OF THE
POLICY. IF A RETROACTIVE DATE APPLIES, YOUR POLICY WILL NOT COVER
YOU FOR INJURY OR DAMAGE WHICH OCCURRED BEFORE THE RETROACTIVE
DATE OR AFTER THE EXPIRATION DATE OF YOUR POLICY.

In consideration of the payment of the premium when due and subject to the Coverage
Certi?cate and all terms and conditions of this Policy, we agree with you as follows:

I - 

A. Insuring Agreement

We will pay those sums that the insured becomes legally obligated to pay as damages
because of:

l) Bodily Injury,

2) Property Damage,

3) Personal Injury, and

4) Law Enforcement Activities

to which this Policy applies.

No other obligation or liability to pay sums or perform acts or services is covered unless
explicitly provided for under this Policy.

The bodily injury, property damage, or personal injury must be caused by an
occurrence that takes place in the coverage territory.

We will have the right and duty to defend any claim or suit seeking such damages, but:

1) The amount we will pay for damages is limited as described in SECTION VI -
LIMITS OF 

SLAIT 3009

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2) We may, at our discretion, investigation any occurrence and settle any claim or
suit that may result; and

3) Our right and duty to defend end when we have used up the applicable limits of
liability in the payment of judgments or settlements. This applies both to claims
and suits pending at that time and those ?led therea?er.

4) When a claim or suit involves both covered and excluded claims, We will work
on a cooperative basis with such other legal counsel, whom You select to defend
the excluded claims, and We will not settle any excluded claim without your
approval.

B. Non-Waiver of immunity

Nothing contained in this Policy shall constitute any waiver of any kind of the defenses or
limitations of sovereign immunity, governmental immunity or of?cial immunity. The Insuring
Agreement is not intended to provide coverage for any liability, claim, suit or damages which
are barred by the doctrines of sovereign immunity, governmental immunity, or of?cial immunity,
by whatever name, as set forth in 537.600 537.650 as amended from time to time,
and as established by common law.

C. Exclusions
This insurance does not apply to:

1. Any claim or suit arising out of the operation, maintenance or use of any facility
or operation designated in the Schedule of Included/Excluded Operations as ?excluded.?

2. Any claim or suit alleging bodily injury, property damage or personal injury
arising in whole or in part from the actual, alleged or threatened discharged, dispersal, seepage,
migration, release or escape of pollutants.

3. Any claim or suit arising out of any obligation of the insured under a workers?
compensation, disability bene?ts or unemployment compensation law or any similar law.

4. Any claim or suit for which there is or would be any coverage under Part A or Part
of a workers? compensation insurance Policy.

5. Any claim or suit arising out of or in any way connected with the operation of the
principles of eminent domain, condemnation proceedings, inverse condemnation, adverse
possession, dedication by adverse use, by whatever name called, whether such liability is asserted

directly against any insured or by virtue of any agreement entered into by or on behalf of any
insured.

SLAIT 3010



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6. Any claim, or that part of any suit, seeking recovery of punitive or exemplary
damages.

7. Any claim or suit arising out of unfair competition or violation of any anti?trust
laws.

8. Any claim or suit arising out of infringement of copyright, title, slogan, patent,

trademark, trade dress, trade name, service mark or service name.

9. Any claim or suit arising out of any loss, cost or expense incurred by any insured
or others for the loss of use, withdrawal, recall, inspection, repair, replacement, adjustment,
removal or disposal of:

3. Your product, or
13. Your work

if such product, work or property is withdrawn or recalled from the market or from use by
any person or organization because of a known or suspected defect, de?ciency, inadequacy
or dangerous condition in it.

10. Any claim or suit arising out of bodilywinju-ry, property damage or personal

injury expected or intended from the standpoint of any insured. This exclusion does not apply to
bodily' injury resulting from the use of reasonable force to protect persons or property.

1 1 . Any claim or suit arising out of the employment or prospective employment of any
person by any insured, including any claim(s) or suit(s) for bodily injury, property damage or
personal injury sustained by any person and caused by the demotion, dismissal or failure to
promote or refusal to hire any person by any insured.

12. Any claim or suit brought as a class action or seeking certi?cation as a class action.

13. Any claim or suit alleging bodily injury, property damage or personal injury
caused by any dishonest, fraudulent, criminal or malicious act or omission of any insured.

14. Any claim or salt alleging bodily injury, property damage or personal injury:
a. For which any insured is obligated to pay damages by reason of the
assumption of liability in a contract or agreement. This exclusion does not
apply to liability for damages:

(1) Assumed in a contract or agreement that is an insured contract, or

(2) That the insured would have in the absence of the contract or
agreement.

SLAIT 3011



?ll?i



111%]





-

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b. For which any insured may be held liable by reason of:
Causing or contributing to the intoxication of any person;

(2) The furnishing of alcoholic beverages to a person under the legal
drinking age or under the influence of alcohol; or

(3) Any statute, ordinance or regulation relating to the sale, gift,
distribution or use alcoholic beverages.

c. Arising out of the ownership, maintenance, use or entrustment to others of

any aircraft, auto or watercraft owned or Operated by or rented or loaned
to any insured. Use includes operation and loading or unloading. This
exclusion does not apply to:

(1) A watercraft while ashore on premises you own or rent;
(2) A watercraft you do not own that is:

Less than 26 feet long; and
Not being used to carry persons or property for a charge;

(3) Parking an auto-on-orethe ways next to premises you own or rent,
provided the auto is not owned by or rented or loaned to you or
any insured;

(4) Liability assumed under any insured contract for the ownership,
maintenance or use of aircraft or watercraft;

(5) Bodily injury, property damage or personal injury arising out
of the operation of the equipment iisted in Paragraph or 
of the de?nition of mobile equipment.

d. Arising out of:

The transportation of mobile equipment by an auto owned or
operated by or rented or loaned to any insured; or

(2) The use of mobile equipment in, or while in practice or
preparation for, a prearranged racing, speed or demoiition contest
or in any stunting activity;

e. Due to war, whether or not declared, or any act or condition incident to
war. War includes civil war, insurrection, rebellion or revolution.

Any claim or suit alleging bodily injury, property damage or personal injury

to:

SLAIT 3012



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(2)

An employee of any insured arising out of. or in the course of
employment by any insured; or

The spouse, child, parent, brother or sister of that employee as a
consequence of above.

This exclusion applies:

(1) Whether the insured may be liable as an employer or in any
other capacity; and

(2) To any obligation to share damages with or repay someone
else who must pay damages because of the injury.

This exclusion does not apply to liability you assumed
under an insured contract.

16. Any claim or suit alleging property damage to:

(1)

(2)

(3)
(4)

(5)

(6)

Property any insured owns, rents or occupies;
Premises any insured sells, gives away or abandons, if the
property damage arises out of any part ofthosc premises;

Property loaned to any insured;

Personal property in the care, custody or control of any insured
(except property of an inmate of ajail if Penal Institutions, Jails,
Correctional Facilities, and Detention Facilities are shown as an
?included? operation on the Schedule of Includedexcluded
Operations, and then only up to a limit of $2,500 per inmate);

That particular part of real property on which any insured or any
contractor(s) or subcontractor(s) working directly or indirectly on
any insured?s behalf are performing operations, if the property
damage arises out of those operations; or

That particular part of any property that must be restored, repaired
or replaced because your work was incorrectly performed on it.

Paragraph (2) of this exclusion does not apply if the premises are

your work and were never occupied, rented or held for rental by
you.

SLAIT 3013



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17.

18.

Paragraphs (3), (4), (5) and (6) of this exclusion do not apply to
liability assumed under a sidetrack agreement.

Paragraph (6) or this exclusion does not apply to property
damage included in the products-completed operations hazard.

Any claim or suit alleging property damage to:

Your product arising out of it or any part of it.

Your work arising out of it or any part of it and included it in the
products-completed operations hazard.

This exclusion does not apply of the damaged work or the work out of
which the damage arises was performed on your behalf by a subcontractor.

Property that has not been physically injured, arising out of:

A defect, de?ciency, inadequacy or dangerous condition in your
product or your work; or

- (2) - ?Aelelay or failure by any insured or anyone acting-on aniinsuredi-s

behalf to perform a contract or agreement in accordance with its
terms.

This exclusion does not apply to loss of use of other property
arising out of the sudden and accidental physical injury to your
product or your work after it has been put to its intended use.

Any claim or suit alleging personal injury:

a?

Arising out of oral or written publication of material, if done by or at the
direction of any insured with knowledge of its falsity; or

Arising out of oral or written publication of material whose ?rst
publication took place before the retroactive date shown on the Certificate
of Coverage for this Policy; or

Arising out of the willful or knowing violation of a penal statute or
ordinance committed by or with the knowledge or consent of any insured;
or

For which any insured has liability in a contract or agreement. This

exclusion does not apply to liability for damages that the insured would
have in the absence of the contract or agreement.

SLAIT 3014



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19. Any claim or that part of any suit seeking solely non?monetary relief including,
without limitation, injunctions or declaratory relief.

20. Any claim or suit alleging damages for which there is coverage under any
commercial general liability policy, automobile liability policy, cyber insurance policy or public
of?cials liability policy issued to the named insured.

21. Any claim or suit arising out of the rendering of or failure to render professional
medical, nursing, dental or paramedical services.

22. Any claim or suit arising out of the rendering or failure to render any professional
services by or for you by any engineer, architect, or surveyor including, but not limited to:

The preparing, approving, or failure to prepare or approve maps, drawings,
opinions, reports, surveys, changers, designs or specifications; and

(2) Supervisory, inspection or engineering services.

23. Any claim or suit alleging damages arising out of the rendering or failure to render
professional services by any lawyer.

-- ~24. -- Any claim or? suit alleging bodily' injury, property damage or persen-?al injury to
any volunteer flreman while the course of his or her duties as a ?reman, whether member of your organization.

25. Any claim or suit alleging bodily injury, property damage or personal injury
arising in whole or in part from asbestos exposure or the presence of asbestos in any real or
personal property.

26. Any claim or suit alleging bodily injury, property damage or personal injury
arising in whole or in part from lead exposure or the presence of lead in any real or personal
property.

27. Any claim or salt alleging bodily injury, property damage or personal injury
arising out of or resulting from sexual abuse, sexual molestation or sexual exploitation of any
person, including minors, by:

(1) Any insured;
(2) Any employee of any insured; or

(3) Any person performing volunteer services for or on behalf of any insured.

This exclusion shall not apply to an insured who is not alleged to have
sexually abused, sexually molested or sexually exploited the claimant.

SLAIT 3015



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.112728. Any claim or suit arising out of collapse, ?ooding, cracking, settling, seepage,

underseepage, spillage, subsidence, landslide or earth movement of any dam.

29. Any liability arising, in whole or in part, from a Certi?ed Act of Terrorism.

11 APPLICATION OF POLICY

A. Claims Made Coverage and Renortine

This Policy applies to bodily injury, property damage and personal injury only if a
claim for damages because of the bodily injury, property damage or personal injury, is
first made against any insured during the Policy Period and is reported to us no later than thirty
(30) days after the conclusion of the Policy Period shown on the Certi?cate of Coverage. The
Policy will apply only if, at the time you applied for this coverage, no insured had any
knowledge of such claim or suit or of any occurrence which might reasonably be expected to
result in such claim or suit.

a. A claim seeking damages will be deemed to have been made when notice of such
claim is ?rst received by any insured or by us, whichever comes first.

13. All claims for damages because of bodily injury, property damage or personal
injury to the same person or entity will be deemed to have been made at the time
of the ?rst claim made against any insured.

c. All claims for damages because of employee bene?t injury as a result of an
occurrence will be deemed to have been made at the time of the ?rst claim made
against any insured.

B. Deductible Liability Coverage
Our obligation to pay damages on behalf of any insured because of injury or harm sustained
by one or more persons or organizations as a result of any one claim applies only to the amount

of damages payable which is in excess of the deductible amounts stated below:

a. Bodily Injury and Property

Damage $500 each occurrence
b. Personal Injury $500 each occurrence
0. Law Enforcement Activities $2,500 each act or omission

We may pay any part or all of the deductible amount to effect settlement of any claim or suit
and, upon noti?cation of such a settlement, you shall reimburse us for such part of
the deductible amount that has been paid by us.

SLAIT 3016



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 WHO IS AN INSURED
Each of the following is an insured:
a. You;

b. Any commission, board, authority, administrative department or other similar unit
operated by you and under yourjurisdiction;

c. Your employees and authorized volunteers, other than licensed medical, nursing,
dental, paramedical or legal personnel (including lawyers and paralegals), but
only for acts within the scope of their employment or as authorized by you.
However, none of these employees or authorized volunteers is an insured for:

1) Bodily injury or personal injury to a co-employee or to a volunteer
while in the course of his or her employment or while acting on your
behalf;

2) Bodily injury or personal injury arising out of personally providing or

to provide professional healthcare service;

3) - Bodily injury,- personal injury-or propertydamage arising out of
providing or failing to provide legal services; or

4) Property damage to property owned or occupied by or rented or loaned
to that employee, that volunteer or any of your other employees or
volunteers.

Any duly elected or appointed of?cials and members of your governing body; and
e. Any person or organization to whom you are obligated by virtue of a written

contract to provide insurance such as is afforded by this Policy, but only with respect with to
operations for you or to facilities you own, rent or use. The written contract must have been entered
into prior to the bodily injury, property damage or personal injury. The persons or
organizations described above are insured only while acting within the scope of their duties with
respect to a facility or operation that is designated in the Schedule IncludedIExcluded
Operations as ?inciuded?. Notwithstanding any other Limit of Liability contained in this Policy,
the Limit of Liability for coverage provided to any insured for bodily injury, property damage
or personal injury under this subparagraph shall not exceed $100,000 for one person in a single
accident or occurrence nor $1,000,000 for ali claims arising out of a single accident or
occurrence.

SUPPLEMENTARY PAYMENTS

A. General Expenses

SLAIT 3017



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We will pay, with respect to any claim or suit we defendAll claim expenses;

Up to $250 for cost of bail bonds required because of accidents or traf?c
law violation arisings out of the use of any vehicle to which this insurance
applies. We do not have to furnish these bonds.

The cost of bonds to release attachments, but only for bond amOUnts
within the applicable limit of insurance. We do not have to furnish these
bonds.

All reasonable expenses incurred by the insured at our request to assist us
in the investigation or defense of the claim or suit, including actual loss of
earnings up to $100 per day because of time off from work.

All costs taxed against the insured in the suit; and
All interest on the full amount of any judgment that accrues after entry of

the judgment and before we have paid, offered to pay or deposited in court
the part of the-judgment that is-within the applicable limit of insurance.?

These payments will not reduce the limits of liability.

B. Medical Expenses

1.

We will also pay medical expenses as described below for bodily injury

caused by an occurrence:

a) On premises you own or rent;
b) On ways next to premises you own or rent; or
0) Because of your Operations;
Provided that:
a) The occurrence takes place in the Coverage Territory and during

the Policy Period;

b) The expenses are incurred and reported to us within one year of the
day of the accident; and

10

SLAIT 3018

Munog 13 - pend 

'8105 

l?lc  90331

c) The injured person submits to examination, at our expense, by
physicians of our choice as often as we reasonably require.

We will make these payments regardless of fault up to a maximum amount
of $250 per person or $500 per occurrence. The medical expenses for
which we will pay are reasonable expenses for:

a) First aid at the time of an accident;

b) Necessary medical, surgical, X?ray and dental services, including
prosthetic devices; and

c) Necessary ambulance, hospital, professional nursing and funeral
services.
Exclusions

We will not pay medical expenses as described above for bodily injury:
a) To any insured;

b) To any-person-hired?to work for on or on behalf of any insured or a - 
tenant of any insured;

c) To any inmate, patient or prisoner who is being treated, cared for,
detained or imprisoned in any of your facilities;

(3) To any person injured on that part of premises you own or rent that
the person normally occupies;

e) To any person, whether or not an employee of any insured, if
bene?ts for the bodily injury are payable or must be provided
under a workers? compensation or disability bene?ts law or similar
law;

f) To any person injured while taking part in athletics;

g) Any injury included within the Products-Completed Operations
Hazard; and

h) Due to war, whether or not declared, or by any act or condition
incident to war. War includes civil war, insurrection, rebellion or

revolution.

11

SLAIT 3019

Munog 8?le 13 - pond 

+3105 

l?lc  90331

 DEFINITIONS

In this Policy, ?You? and ?Your? refer to the ?Named Insured? shown in the Certi?cate of
Coverage.

?Us? and ?Our? refer to St. Louis Area Insurance Trust.

The word ?Insured? means any person or organization qualifying as such under SECTION
WHO IS AN INSURED.

Other words and phrases are de?ned below. They are bold-faced when used.

?Auto" means a land motor vehicle having at least four wheels, trailer or semi-trailer
designed for travel on public roads, including any attached machinery or equipment. But auto
does not include mobile equipment.

?Bodily Injury? means bodily injury, sickness or disease sustained by a person, including
death resulting from any of these at any time.

?Certified Act of Terrorism? means an act that is certi?ed by the Secretary of the
Treasury, in concurrence with the Secretary of State and the Attorney General of the United
States, to be an act of--?terrorism pursuanHe-the federal Terrorism Risk insurance 

?Claim? means a demand received by any insured for damages alleging bodily injury,
property damage, personal injury or law enforcement activities including the institution of a
suit for such damages against any insured.

?Claim Expenses? means all expenses incurred by the insured or us in the investigation,
negotiation, arbitration, settlement and defense of any claim or suit, whether paid by us or the
insured, but the term claim expenses does not include the salaries of any insureds or your regular
employees or the expenses incurred by any insured for ?rst aid.

?Coverage Territory? means all parts of the world if the insured?s responsibility to pay
damages is determined in a suit on the merits in the United States (including its territories and
possessions), Puerto Rico or Canada or in a settlement we agree to.

?Damages? means a monetary judgment, award or settlement, but does not include fines,
penalties or punitive or exemplary damages.

?Fungi? means any type or form of fungus, including mold or mildew and any
mycotoxins, spores, scents or byproducts produced or released by Fungi.

?Insured Contract? means:

a) A lease of premises;

12

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b)

C)

d)

a)

An ?Insured Contract? does not include that part of a contract or agreement:

a)

b)

C)

A sidetrack agreement;

An easement or license agreement in connection with vehicle or pedestrian
private railroad crossings at grade;

Any other easement agreement, except in connection with construction or
demolition operations on or within fifty feet of a railroad;

An indemni?cation of a municipality as required by ordinance, except in
connection with work for a municipality;

An elevator maintenance agreement; or

That part of any other contract or agreement pertaining to your business under
which you assume the tort liability of another to pay damages because of bodily
injury or property damage to a third person or organization, if the contract or
agreement is made prior to the bodily injury or property damage. Tort liability
means a liability that wouid be imposed by law in the absence of any contract or
agreement.

That indemni?es an architect, engineer or surveyor for injury or damage arising
out of:

1) Preparing, approving or failing to prepare or approve maps, drawings,
opinions, reports, surveys, change orders, designs, or speci?cations; or

2) Giving directions or instructions, or failing to give them, if that is a
contributing cause of the injury or damage;

Under which the insured, if an architect, engineer or surveyor, assumes liability
for injury or damage arising out of the insured?s rendering or failing to render
professional services, including those listed in a) above and supervisory,
inspection or engineering services; or

That indemni?es any person or organization for damage by ?re to premises rented
0r loaned to you.

?Law Enforcement Activities? means acts or omissions of police of?cers, jail of?cials,
jail guards or code officials taken in the course and scope of their employment by you that result
in a claim or suit aileging bodily injury, property damage or personal injury.

?Loading or Unloading? means the handling of property;

13

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a) After it is moved from the place where it is accepted for movement into or onto an
aircraft, watercraft or auto;

b) While it is in or on an aircraft, watercraft or auto; or
c) While it is being moved from aircraft, watercraft or auto to the place where it is
?nally delivered;

But loading and unloading does not include the movement of property by means of a
mechanical device, other than a hand truck, that is not attached to the aircraft, watercraft or auto.

?Mobile Equipment? means any of the following types of land vehicles, including any
attached machinery or equipment;

a) Bulldozers, farm machinery, forklifts and other vehicles designed for use primarily
off public roads;
b) Vehicles maintained for use solely on or next to premises you own or rent;

Any land motor vehicle, trailer or semi-trailer designed for travel on public roads
(including any machinery or apparatus that is attached) owned or leased by you shall be deemed
an auto and not-mobileeq-uipment if the only reason for considering it mobile?equipment is that
it is maintained for use primarily or exclusively on streets or highways owned by you;

0) Vehicles that travel on crawler treads;

d) Vehicles, whether self-propelled or not, maintained primarily to provide mobility
to permanently mounted:

1) Power cranes, shovels, loaders, diggers or drills;
2) Road construction or resurfacing equipment such as graters, scrapers or
rollers;
e) Vehicles not described in or d) above that are not self?propelled and are

maintained primarily to provide mobility to permanently attached equipment of
the following types:

1) Air compressors, pumps and generators, including spraying, welding,
building cleaning, geophysical exploration, lighting and well servicing
equipment; or

2) Cherry pickers and similar devices used to raise or lower workers;

Vehicles not described in or d) above maintained primarily for purposes
other than the transportation of persons or cargo.

14

SLAIT 3022



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However, self-propelled vehicles with the following types of permanently attached
equipment are not mobile equipment but will be considered autos:

1) Equipment designed primarily for:

a) Snow removal;
Road maintenance, but not construction or resurfacing;
c) Street cleaning;
2) Cherry pickers and similar devices mounted on automobile or truck

chassis and used to raise or lower workers; and

3) Air compressors, pumps and generators, including spraying, welding,
building cleaning, geophysical exploration, lighting and well servicing
equipment.

?Occurrence? means:

including continuous or repeated exposureatosubstantially the same

b)

general conditions;

With reSpect to personal injury, an offense described within the de?nition of
personal injury.

?Personal Injury? means injury (other than bodily injury) arising out of one or more of
the following offensesFalse arrest, false detention or imprisonment;
Malicious prosecution;

Wrongful entry into, or eviction of a person from, a room, dwelling or premises
that the person occupies;

Oral or written publication of material that slanders or libels a person or
organization or disparages a person?s or organization?s goods, products or
services; or

Oral or written publication of material that violates a person?s right of privacy.

With respect to Law Enforcement Activities only, impmper service ofprocess and

violations of civil rights.

15

SLAIT 3023

pang MBDIUOJIOBB

- 8105 '85 - Munog smo?l 13

l?lc  90331

?Pollutants? means any solid, liquid, gaseous or thermal irritant or contaminant, including
smoke, vapor, soot, fumes, fungi, acids, alkalis, chemicals and waste. Waste includes materials
to be recycled, reconditioned or reclaimed.

?Products?Completed Operations Hazard? includes all bodily injury and property
damage occurring away from premises you own or rent and arising out of your product or your
work except:

a) Products that are still in your physical possession; or

b) Work that has not yet been completed or abandoned.

Your work will be deemed completed at the earliest of the following times:

a) When all of the work called for in your contract has been completed;

b) When all of the work to be done at the site has been completed if your contract
calls for work at more than one site;

c) When that part of the work done at thejobsite has been put to its intended use by
any person or organization other than another contractor or subcontractor working
on the samc projectWork that may need service, maintenance, correction, repair or replacement, but which is
otherwise complete, will be treated as completed.

This hazard does not include bodily injury or property damage arising out of:

l) The transportation of property, unless the injury or damage arises out of a
condition in or on a vehicle created by the loading or unloading of it;

2) The existence of tools, uninstalled equipment or abandoned or unused
materials;

?Property Damage? means:

a) Physical injury to tangible property, including all resulting loss of use of that
property; or

b) Loss of use of tangible property that is not physically injured.
?Suit? means a civil proceeding in which damages because of bodily injury, property
damage or personal injury to which this Policy applies are alleged. Suit includes an arbitration

proceeding alleging such damages to which you must submit or submit with our consent.

?Your Product? means:

16

SLAIT 3024

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a) Any goods or products, other than real property, manufactured, sold, handled,
distributed or disposed of by:

1) You;

2) Others trading under your name; or

3) Any person or organization whose business or assets you have acquired;
and
b) Containers (other than vehicles), materials, parts or equipment furnished in

connection with such goods or products.

Your product includes warranties or representations made at any time with respect to the
?tness, quality, durability or performance of any ofthe items included in a) and b) above.

Your product does not include vending machines or other property rented to or located
for the use of others but not sold.

?Your Work? means:

 

a) Work or operations performed by you or on your behalf; and

Materials, parts or equipment furnished in connection with such work or
operations.

Your work includes warranties or representations made at any time with respect to the
?tness, quality, durability or performance of any of the items included in a) and b) above.

VI - LIMITS OF LIABILITY

l. The Limits of Liability shown in the Certi?cate of Coverage and the rules below
fix the most we will pay regardless of the number of:

a) lnsureds;
b) Claims made or suits brought; or
c) Person or organizations making claims or bringing suits.
2. The Per Occurrence Limit is the most we will pay for any damages arising out of
one occurrence.
3. The General Aggregate Limit shown in the Certi?cate of Coverage is the most we

will pay for all damages regardless of the number of occurrences.

17

SLAIT 3025

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4. The Products-Completed Operations Aggregate Limit shown in the Certi?cate of
Coverage is the most we will pay for all damages because of bodily injury or damage included
in the products-completed operations hazard.

5. In the event that more than one coverage applies to the same claim or suit brought
against any insured, our total liability for all damages with respect to such claim or suit shall not
exceed the highest limit of liability under any such coverage.

6. With respect to any coverage afforded under subparagraph e. of Section 
WHO IS AN INSURED, coverage is limited to $100,000 for any one person in a single accident
or occurrence and $1,000,000 for all claims arising out of single accident or occurrence.

VII - CONDITIONS
1. Premiums
The named insured shown in the Certi?cate of Coverage:
3) Is responsible for the payment of all premiums; and
b) -- Will be the payee-for any return premiums we pay.-

2. Inspections and Surveys

We have the right, but not the obligation, to:

a) Make inspections and surveys at any time;
b) Give you reports on the conditions we ?nd; and
0) Recommend changes.

Any inspections, surveys, reports or recommendations relate only to insurability
and the premiums charged. We do not make safety inSpections. We do not undertake to perform
the duty of any person or organization to provide for the health and safety of workers or the public.
We do not warrant that condition:

a) Are safe or healthful; or
b) Comply with laws, regulations, codes or standards.
This condition applies not only to us, but also to any rating, advisory rate service

or similar organization which makes insurance recommendations, surveys, reports or
recommendations.

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3. Examination of Your Books and Records

We may examine and audit your books and records as they relate to this Policy at
any time during the Policy Period and up to three (3) years afterward.

4. Duties In The Event of Occurrence, Claim or Suit

3)

b)

CD

You must see to it that we are noti?ed as soon as practicable of an
occurrence which may result in a claim. Notice must include:

1)
2)

3)

How, when and where the occurrence took place;

The names and addresses of any injured persons and witnesses;
and

The nature and location of any injury or damage arising out of the
occurrence.

Notice of any occurrence is not notice of a claim.

If a claim is received by an insured, you must:

1)

2)

Immediately record the speci?cs of the claim and the date
received; and

Notify us in writing as soon as practicable, but in no event later
than thirty (30) days after the expiration of this Policy.

You and any other involved insured must:

1)

2)

3)

4)

Immediately send us copies of any demands, notices, summons or
legal papers received in connection with a claim or suit;

Authorize us to obtain records and other information;

Cooperate with us in the investigation, settlement or defense of the
claim or suit; and

Assist us, upon our request, in the enforcement of any right against
any person or organization which may be liable to any insured
because of injury or damage to which this insurance may also

apply.

No insured will, except at his, her or its own costs, voluntarily make any
payment, assume any obligation or incur any expense without our consent,
unless for ?rst aid.

19

SLAIT 3027

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5. Legal Action Against Us
No person or organization has a right under this Policy:

a) To join us as a party or otherwise bring us into a suit asking for damages
from any insuredthis Policy unless all of its terms have been fully complied
with.

6. No Assignment of Rights
Your rights under this Policy are not assignable. if you attempt to assign your rights
to coverage under this Policy to any other person, company, firm or entity, you agree that you will
reimburse us for all legal expenses we incur in defending against that assignment and any judgment
that might be entered as a result of such assignment.
7. Transfer of Rights and Recovery Against Others to Us
If any insured has rights to recover all or part of any payment we have made under
- this Policy, those rights to us. Such insured must-d0 nothing-after loss~te~impair
those rights. At our request, such an insured will bring suit or transfer those rights to us and help
us enforce them.

8. Changes

None of the provisions of this Policy shall be waived, changed or modi?ed except
by written endorsement issued by us to form a part of this Policy.

9. Bankruptcy

Bankruptcy or insoivency of the insured or of the insured?s estate will not relieve
us of our obligations under this Policy.

10. Other Insurance
There is no coverage under this Policy for any occurrence for which there is
coverage under a commercial general liability policy, automobile liability policy, cyber insurance
policy or public of?cials liability policy issued to the named insured. If other valid and collectible
insurance is available to any insured for a claim we cover under this Policy, our obligations are
limited as follows:

a) Primary Insurance

20

SLAIT 3028



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b)

This insurance is primary insurance, except when b. below applies. If this
insurance is primary, our obligations are not affected unless any of the
other insurance is also primary. In that event, we will share with all that
other insurance by the method described in c. below.

Excess Insurance

This insurance is excess over any of the other insurance, whether primary,
excess, contingent or on any other basis:

1) That is effective prior to the beginning of the Policy Period shown
in the Certi?cate of Coverage of this Policy and applies to
bodily injury, property damage, or personal injury on other
than a claims-made basis, if:

a. No retroactive date is shown in the Certi?cate of Coverage
of this insurance; or

b. The other insurance has a Policy Period which continues
after the retroactive date shown in the Certi?cate of
Coverage of this insurance;

2) That is Fire, Extended Coverage, Builders Risk, Installation Risk
or similar coverage for your work;

3) That is Fire Insurance for premises rented to you; or

4) If the loss arises out of the maintenance or use of aircraft, autos or
watercraft to the extent not subject to Exclusion 14.e.

When this Policy is excess, we wili have no duty to defend any claim or
suit that any other insurer has a duty to defend. If no other insured defends,
we will undertake to do so, but we will be entitled to any insured?s rights

against all those other insurers.

When this insurance is excess over other insurance, we will pay only our
share of the amount of loss, if any, that exceeds the sum of:

l) The total amount that all such other insurance would pay for the
loss in the absence of this insurance; and

2) The total of all deductible and self-insured amounts under all that
other insurance.

We will share the remaining loss, if any, with any other insurance that is
not described in this Excess insurance provision and was not bought

21

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speci?cally to apply in excess of the Limits of Insurance shown in the
Certi?cate of Coverage of this Policy.

Method of Sharing

If all of the other insurance permits contribution by equal shares, we will
follow this method also, except in those instances in which b. above
applies under this approach, each insurer contributes equal amounts until
each has paid its applicable Limit of Insurance or none of the loss remains,
whichever comes ?rst.

If any of the other insurance does not permit contribution by equal shares,
we will contribute by limits, unless b. above applies under this method,
each insurer?s share is based on the ratio of its applicable Limit of
Insurance to the total applicable Limits of Insurance of all insurers.

l. Cancellation

d)

e)

The Named Insured shown in the Certi?cate of Coverage may cancel the
Policy by mailing or delivering to us advanced written notice of
cancellation.

We may cancel this Policy by mailing or delivering to the Named Insured
written notice of cancellation at least:

1) Ten (10) days before the effective date of cancellation if we cancel
for non-payment of premium; or

2) Sixty (60) days before the effective date of cancellation if we
cancel for any other reason.

We will mail or deliver our notice to the Named Insured?s last mailing
address known to us.

Notice of cancellation will state the effective date of cancellation. The
Policy Period will end on that date.

If this Policy is cancelled, we will send the Named Insured any premium
refund due. If we cancel, the refund will be pro-rate. if the Named
Insured cancels, the refund may be less than pro-rata. The cancellation
will be effective even if we have not made or offered a refund.

If notice is mailed, proof of mailing will be suf?cient proof of notice.

22

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12.

Representations

By accepting this Policy, you agree:

a)
b)

C)

The statements in the Certi?cate of Coverage are accurate and complete;
Those statements are based upon representations you made to us; and

We have issued this Policy in reliance upon your representations.

23

SLAIT 3031

V\lc  - 8LOZ ?83 lsn?nv - Munoz) 8mm 18 - pend Alleowonoela

SCHEDULE OF OPERATIONS

Coverage

Included

?Includedm





_Included__m__

?includedm

Excluded



?Excluded?


Excluded?

Excluded?
Excluded__

Excluded?

Excludedm

Excluded-?

Excluded?

Excludedm

Excluded?

Excluded?

Description of Operations

Airport

Amusement Parks

Dams, Lakes, Reservoirs

Electric utility system

Gas Department or Gas Utility System
Golf Courses

Hospitals and Nursing Homes
liaising?Anthem}! and Housing Preje'cts I
Land?lls

Law Enforcement Activities (bodily injury and
property damage coverage only)

Law Enforcement Activities (personal injury
coverage only)

Penal Institutions, Jails, Correctional Facilities,
Detention Facilities
Schools and Colleges

Ski Facilities and Skiing Activities

Street, Roads, Highways or Bridges (including
signs, meters, signals, etc.)
Transportation Systems

Water and Sewer Companies

Wharvcs, Piers, Peeks, Marinas and Watercra?

Zoos

24

3032

- 8108 ?88 isn?nv - Anmoo sinO'I 13 - pang 

9038l

Endorsement A

This Endorsement Changes The Policy.
Please read it carefully.

EMERGENCY MEDICAL TREATMENT COVERAGE

This endorsement modi?es insurance provided under the PUBLIC ENTITY LIABILITY
INSURANCE POLICY CLAIMS MADE

We agree with you:

1) For the payment of premium, the de?nition of bodily injury is amended to include
injury arising out of the rendering of or failure to render emergency medicai treatment by any
person (other than a physician, dentist or nurse employed by you to provide such services)
including any professional volunteer designated in this endorsement and who provides these
services on your behalf subject to the following provisions:

a) Exclusion 6. Does not apply.

- b) -- -- insurance afforded?bythis endorsement to each such person does not 
apply to bodily injury to another of your employees or volunteers arising
out of and in the course of his or her duties for (I) you or (2) if the named
insured is a partnership orjoint venture, any partner or member thereof.

2) As used herein, ?professional volunteer? means any person who is a licensed or
certi?ed nurse, emergency medical technician or paramedic, and performs medical or paramedical

services without charge, for or at your direction.

3) The coverage afforded by this endorsement shali only apply if you have selected
this endorsement.

Designated Professional Volunteers

Emergency Medical Technicians and Paramedics per schedule on ?le.

25

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Endorsement 

This Endorsement Changes The Policy.

Please Read It Carefully.

NUCLEAR ENERGY LIABILITY EXCLUSION ENDORSEMENT

(BROAD FORM)

This Endorsement modi?es insurance provided under the PUBLIC ENTITY LIABILITY

INSURANCE POLICY CLAIMS MADE

1) This insurance does not apply:

a)

b)

0)

Under any Liability Coverage to bodily injury or property damage:

(1)

(2)

With respect to which an insured under the Policy is also an
insured under a Nuclear Energy Liability policy issued by the
Nuclear Energy Liability insurance Association, Mutual Atomic
Energy Liability Underwriters or Nuclear Insurance Association of
Canada, or would be an insured under any such policy but for its

- --termination- upon exhaustion of its limit of liability; or?- -- - 

Resulting from the hazardous property of nuclear material and
with respect to which any person or organization is required to
maintain ?nancial protection pursuant to the Atomic Energy Act of
1954, or any law amendatory thereof, or the insured is, or had
this Policy not been issued would be, entitled to indemnity from

the United States of America, or agency thereof, under any
agreement entered into by the United States of America, or any
agency thereof, with any person or organization.

Under any Medical Payments Coverage, to expenses incurred with respect
to bodily injury resulting from the hazardous properties of nuclear
material and arising out of the Operation ofa nuclear facility by any
person or organization.

Under any Liability Coverage to bodily injury or property damage
resulting from the hazardous properties of nuclear material, if:



The nuclear material is at any nuclear facility owned by, or
operated by or on behalf of, an insured or has been discharged
or disbursed therefrom;

26

SLAIT 3034

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2)

(2) The nuclear material is contained in spent fuel or waste at any
time possessed, handled, used, processed, stored, transported or
dispensed of by or on behalf of any insured; or

(3) The bodily injury or property damage arises out of the
furnishing by any insured of services, materials, parts or equipment
in connection with the planning, construction, maintenance,
operation or use of any nuclear facility, but if such facility is
located within the United States of America, its territories or
possessions or Canada, this exclusion (3) applies only to property
damage to such nuclear facility and any property thereat.

As used in this endorsement:
?Hazard Properties? include radioactive, toxic or explosive properties;

?Nuclear Material? means source material, special nuclear material or bi?
product material;

?Source Material?, ?special nuclear material? and ?bi-product material? have
the meanings given in the Atomic Energy Act of 1954 or in any law amendatory
thereof?Spent Fuel? means any ?le] element or fuel component, solid or liquid, which
has been used or exposed to radiation in a nuclear reactor;

?Waste? means any waste material containing any bi-product material other
than the tailings or wastes produced by the extraction or concentration of uranium
or thorium or any ore processed primarily for its source material content, and 
resulting from the Operation by any person or organization of any nuclear facility
included under the ?rst two paragraphs of the de?nition of nuclear facility.

?Nuclear Facility? means:
a) Any nuclear reactor;

b) Any equipment or device designated or used for (1) separating the
isotopes of uranium or plutonium, (2) processing or utilizing spent
fuel or (3) handling, processing, or packing waste;

0) Any equipment or device used for the processing, fabricating or
alloying of special nuclear material if at any time the total
amount of such material in the custody of the insured at the
premises where such equipment or devices located consist of or
contains more than 25 grams of plutonium or uranium 233 or any
combination thereof, are more than 250 grams of uranium 235;

27

SLAIT 3035

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d) Any structure, basin, excavation, premises or place prepared or
used for the storage or disposal of waste;

And includes the site on which any of the foregoing is located, all
operations conducted on such site and all premises used for such

operations;

uclcar Reactor? means any apparatus designed or used to sustain nuclear ?ssion
in a self-supporting chain reaction or contain a critical mass of ?ssionable materials;

?Property Damage? includes all forms of radioactive contamination of property.

28

SLAIT 3036

Wd 90m - 8LOZ ?83 isn?nv - Munoz) 8mm 18 - IOGIH 

Endorsement 

This Endorsement Changes the Policy

Please Read It Carefully

Employee Bene?ts Liability Coverage
This endorsement modi?es insurance provide under the PUBLIC ENTITY LIABILITY
INSURANCE POLICY CLAIMS MADE

 

 

 

 

 

Coverage Limits of Liability Deductible
Employee Bene?t $1 ,000,000 each claim $1,000 each claim
Liability Insurance $1,000,000 aggregate

 

 

In consideration of the premium paid, we agree with you to afford the coverage set forth in
this endorsement. The other terms, conditions and limits of liability in other sections of the policy
to which this endorsement is attached shall not apply to the insurance afforded under this

endorsement.

INSURING AGREEMENTS

-- dewmv-Employee Bene?ts Liability:

2.

We will pay on behalf of the Insured all sums which the Insured shall become
legally obligated to pay as damages because of any claim made against the Insured due to
any negligent act, error or omission of the Insured, or any other person for whose acts the
Insured is legally liable, in the administration of the lnsured?s Employee Bene?ts Program,
as de?ned herein, and we shall have the right and duty to defend any suit against the Insured
seeking damages on account of such negligent act, error or omission, even if any of the
allegations of the suit are groundless, false or fraudulent, and may make such investigation
and settlement of any claim or suit as we deem expedient; but we shall not be obligated to
defend any suit after the applicable limit of liability set forth above has been exhausted by
payment of judgm cuts or settlements.

Supplementary Payments:

We will pay, in addition to the applicable limit of liability:





All expense we incur, all costs taxed against the Insured in any suit defended
by us and all interest on the entire amount of any judgment therein which
accrues after entry of judgment and before we have paid or tendered or
deposited in court that part of thejudgment which does not exceed the limit

of liability set forth above;

Premiums on appeal bonds required in any such suit and premiums on bonds
to release attachments for an amount not in excess of the applicable limit of

29

SLAIT 3037



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liability set forth above, but without any obligation to apply or furnish any
such bonds;

Reasonable expenses incurred by the Insured at our request, including
actual loss of wages or salary (but not less of other income) not to exceed
$25 per day because of his or her attendance at hearings or trials at our
request.


1. De?nition of ?Insured?:

With respect to the insurance afforded by this endorsement, the unquali?ed word
?Insured? includes the named insured as shown on the Certi?cate of Coverage. The
unquali?ed word ?Insured? also includes the following:

Any executive of?cer or director of the Named Insured while acting within
the scope of his or her duties as such;
Any full?time, salaried employee, provided that such employee is
authorized to act in the administration of the Named insured?s Employee
Bene?ts Program?Employee Bene?ts Programs?:

The term ?Employee Bene?ts Programs? means group life insurance, group
accident or health insurance, pro?t sharing plans, pension plans, employee stock
subscription plans, workman?s compensation, unemployment insurance, social security
bene?ts, disability bene?ts, and any other similar employee bene?ts instituted after the
effective date of this endorsement, provided that we are noti?ed within 30 days after the
institution of such bene?ts.

3. ?Administration?:

The unquali?ed word ?Administration? whenever used shall mean:



(0)

Interpreting the Employee Bene?ts Programs;
Handling of records in connection with the Employee Bene?ts Program;
Effective enrollment, termination or cancelation of employees under the

Employee Bene?ts Programs; provided all such acts are authorized by the
named insured.

30

SLAIT 3038



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1. This Endorsement Does Not Apply to:

Any claim based upon or attributable to any dishonest, fraudulent, criminal
or malicious act, libel, slander, discrimination, or humiliation;

Bodily

injury to sickness, disease or death, of any person, or to any injury

to any tangible property, including the loss of use thereof;

(0) Any claim for failure of performance of contract by an insurer;

Any claim based upon the Insured?s failure to comply with any law
concerning workman?s compensation, unemployment insurance, social
security or disability bene?ts;

(6) Any claim based upon:

(0





Advice given by an Insured to an employee to participate or not to
participate in any Employee Bene?t Plans;

failure to appoint, any-investment
manager, administrator, trustee, actuary, adviser, counsel,
accountant, custodian, or consultant;

Any investment activity, including but not limited to, the
management, administration or disposition of assets of any
Employee Benefit Program.

2. This endorsement does not provide coverage for any claim to the extent that
recovery could not have been attained upon such claim in an action at law prior to the
effective date of the Employee Retirement Income Security Act of 1974 (ERISA).

99w

1. Application of the Endorsement:

This endorsement applies to damages which occur within the United States of
America. Its territories or possessions or Canada provided claim or suit is brought against
the Insured during the endorsement period. And the Insured at the effective date of this
endorsement had no knowledge or could not have reasonably foreseen any circumstances
which might result in a claim or suit.

31

SLAIT 3039



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2. Limits of Liability:

Regardless of the number insureds under this policy, persons who sustain
damage, or claims made or suits brought for such damage; the Limit of Liability stated
above as applicable to ?each claim? is the limit of our liability for all damages incurred on
account of any claim covered hereunder; the Limit of Liability stated above as ?aggregate?
is, subject to the foregoing provision respecting ?each claim?, the total limit of our liability
for all claims covered under this endorsement and occurring during the annual period this
endorsement is in force.

3. Insured?s Duties in the Event of Occurrence, Claim or Suit:

In the event of an occurrence which may result in a claim, written notice
concerning the particulars sufficient to identify the Insured and claimant,
and also reasonably obtainable information with respect to the
circumstances of the claim shall be given by or for the insured to us as soon
as practicable.

If claim is made or suit is brought against the Insured, the Insured shall
immediately forward to us every demand, notice, summons or other process
received.

The insured shall cooperate with us and, upon our request, shall attend
hearings and trials, assist in making settlements, assist in the conduct of
suits and in securing and giving evidence or obtaining the attendance of
witnesses. The Insured shall not, except at its own cost, voluntarily make
any payment, assume any obligations or incur any expense.

4. Deductible:

The deductible amount indicated above shall be subtracted from the total amount
of all sums which we are obligated to pay or which we incur on behalf of the Insured on
account of each claim. We shall be liable only for the difference between such deductible
amount and the limit of liability as set forth above. The terms of this endorsement,
including those with respect to notices of claim or suit and this company?s right to
investigate and negotiate any such claim or suit, apply irrespective of the application of
this deductible amount.

5. Action Against Company

No action shall lie against this company, unless as a condition precedent thereto,
the Insured shall have fully complied with all of the terms of this endorsement, nor until
the amount of the Insured?s obligation to pay shall have been finally determined by a

judgment against the Insured after actual trial or by written agreement of the Insured, the
claimant and us.

32

SLAIT 3040

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Any person or organization or the legal representative thereof who has secured such
judgment or written agreement shall thereafter be entitled to recover under this
endorsement to the extent of the insurance afforded by this endorsement. No person or
organization shall have any right under this endorsement to join us as a party to any action
against the Insured to determine the lnsured?s liability, nor shall we be impleaded by the
Insured or his legal representative. Bankruptcy or in solvency of the Insured or of the
Insured?s estate shall not relieve us of any of our obligations hereunder.

6. Subrogation

In the event of any payment under this endorsement, we shall be subrogated to all
of the Insured?s rights of recovery therefor against any person or organization and the
Insured shall execute and deliver instruments and papers and do whatever else is necessary
to secure such right. The insured shall do nothing after loss to prejudice such rights.

7. Changes

Notice to any agent or knowledge possessed by and agent or by another person shall
not affect a waiver or a change in any part of this endorsement or estop us from asserting
any right under the terms of this endorsement; nor shall the terms stated herein be waived
or changed, except by endorsement issued to effect such change.

8. Assignment

Assignment of interest under this endorsement shall not bind us unless we give
consent in writing.

9. Other Insurance

If the Insured has other insurance against a claim or suit covered by this
endorsement, we shall not be liable under this endorsement for a greater proportion of such
loss than the Limit of Liability stated above bears to the total Limit of Liability of all valid
and collectible insurance providing coverage for such claim or suit. However, with respect
to negligent acts, errors or omissions which occur prior to the effective date of this
endorsement, the insurance provided in this endorsement shall apply only as excess
insurance over other valid and collectible insurance and shall then apply only in the amount
by which the applicable Limit of Liability state above exceeds the sum of the applicable
limits of liability of all such other insurance.

10. Statements in this Endorsement:

By acceptance of this endorsement, the Insured agrees that the statements contained
herein, including those regarding the number of employees, are its representations and are
true. The Insured agrees that this endorsement is issued in reliance upon the truth of such
representations and that this endorsement embodies all agreements existing between the
insured and us relating to the coverage provided by this endorsement.

33

SLAIT 3041



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11. Conformity with Statute

Terms of this endorsement which are in con?ict with the statutes of the State
wherein this endorsement is issued are hereby amended to conform to such statutes.

12. Cancellation

This endorsement may be canceiied by the Named Insured by surrender thereof to
us or by mailing to us written notice stating when thereafter the cancellation shall be
effective. This endorsement may be cancelled by us by mailing to the named insured at the
address shown in the Certi?cate of Coverage written notice stating when such cancellation
shall be effective. Such notice by us will set a cancellation date at least ten days after the
notice. The mailing of such notice shall be suf?cient proof of notice. The time of surrender
or the effective date and hour of the cancellation stated in the notice shall become the end
of the endorsement period. Delivery of such written notice either by the named insured or
by as shall be equivalent to mailing.

34

SLAIT 3042

we SOIZL - 8LOZ '88 isn?nv - Munoz) 8mm 18 - IOGIH