Limit of Liability and Retention. The amount stated in Item 2(a). of the Declarations for this coverage section shall be the maximum aggregate liability of the Insurer under this coverage section for all Loss from all Claims for which this coverage section provides coverage, regardless of the time of payment by the Insurer, and regardless of whether such Claims are made or initiated during the Policy Period or during any Discovery Period (if purchased). The amount stated in Item 2(b). of the Declarations for this coverage section will be the maximum aggregate liability of the Insurer for all Voluntary Settlements and Defense Expenses covered under Insuring Clause 2. which are incurred by the Insureds as a result of all Settlement Program Notices for which this coverage section provides coverage, regardless of the time of payment by the Insurer. The amount stated in Item 2(b). of the Declarations for this coverage section is a sublimit which further limits and does not increase the Insurer's maximum liability under this coverage section. All Related Claims will be treated as a single Claim made when the earliest of such Related Claims was first made, regardless of whether such date is before or during the Policy Period. The applicable Retention shall apply only once to each such single Claim. The Insurer's liability with respect to all Loss resulting from each Claim shall apply only to that part of Loss which is excess of the applicable Retention set forth in Item 3. or Item 4. of the Declarations for this coverage section, which shall be borne by the Entity uninsured and at its own risk. No Retention shall apply to (i) Loss under Insuring Clause 1 incurred by any Insured Person for which the Entity or Insured Plan is not permitted or required by common or statutory law to indemnify or is permitted or required by law to indemnify but does not do so by reason of Financial Impairment, (ii) any HIPAA civil money penalty covered by reason of subparagraph (i)(3) of the definition of Loss above, or (iii) Voluntary Settlement or Defense Expenses under Insuring Clause 2. The respective Retention for Indemnifiable Loss set forth in Items 3. and 4. of the Declarations for this coverage section shall apply to all other Loss, except as otherwise provided in the next succeeding paragraph. For purposes of this subsection 9. the resolutions of the Entity or Insured Plan shall be deemed to provide indemnification for Loss to the fullest extent permitted by common or statutory law. If the Entity or Insured Plan is permitted or required by common or statutory law to indemnify the Insured Persons for any Loss, or to advance Defense Expenses on their behalf, and does not in fact do so other than for reasons of Financial Impairment, then any payment of such Loss or any advancement of such Defense Expenses by the Insurer under Insuring Clause 1 shall not be subject to any Retention amount, but the Entity shall reimburse and hold harmless the Insurer for such Loss up to the applicable Retention amount set forth in Item 3. or Item 4. of the Declarations for this coverage section. If Loss resulting from a Claim is subject in part to no Retention and in part to the Retention for Indemnifiable Loss, the Retention for Indemnified Loss shall be applied only to that part of the Loss otherwise subject to such Retention. Defense Expenses will be part of and not in addition to the Limit of Liability, and payment of Defense Expenses by the Insurer will reduce its Limit of Liability. SPECIMEN If the Limit of Liability is exhausted by the payment of Loss, the premium will be fully earned, all obligations of the Insurer under this coverage section will be completely fulfilled and exhausted, and the Insurer will have no further obligations of any kind or nature whatsoever under this coverage section.
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Sources: Fiduciary Liability Insurance Policy
Limit of Liability and Retention. The amount stated in Item 2(a). 2 of the Declarations for this coverage section shall be the maximum aggregate liability of the Insurer under this coverage section for all Loss and Compliance Fees from all Claims for which this coverage section provides coverage, regardless of the time of payment by the Insurer, and regardless of whether such Claims are made or initiated during the Policy Period or during any Discovery Period (if purchased). The amount stated in Item 2(b). 8 of the Declarations for this coverage section will be the maximum aggregate ag- gregate liability of the Insurer for all Voluntary Settlements and Defense Expenses Compliance Fees covered under Insuring Clause 2. 2 which are incurred by the Insureds as a result of all Settlement Program Notices Voluntary Compliance Programs for which this coverage section provides coverage, regardless of the time of payment by the Insurer, and regardless of whether such Voluntary Compliance Programs were initiated during the Policy Period, or during the Dis- covery Period (if purchased). The amount stated in Item 2(b). 8 of the Declarations for this coverage section is a sublimit which further limits and does not increase the Insurer's maximum liability under this coverage section. All Related Claims will be treated as a single Claim made when the earliest of such Related Claims was first made, regardless of whether such date is before or during the Policy Period. The applicable Retention shall apply only once to each such single Claim. The Insurer's liability with respect to all Loss resulting from each Claim shall apply only to that part of Loss which is excess of the applicable ap- plicable Retention set forth in Item 3. or Item 4. 3 of the Declarations for this coverage section, which shall be borne by the Entity uninsured and at its own risk. No Retention shall apply to (i) Loss under Insuring Clause 1 incurred by any Insured Person for which the Entity or Insured Plan is not permitted or required by common or statutory law to indemnify or is permitted or required by law to indemnify but does not do so by reason of Financial Impairment, (ii) any HIPAA civil money penalty covered by reason of subparagraph (i)(3) of the definition of Loss above, or (iii) Voluntary Settlement or Defense Expenses under Insuring Clause 2Im- pairment. The respective Retention for Indemnifiable Loss Claims set forth in Items 3. and 4. Item 3(a) of the Declarations for this coverage section shall apply to all other Loss, except as otherwise provided in the next succeeding paragraph. For purposes of this subsection 9. 10 the resolutions of the Entity En- tity or Insured Plan shall be deemed to provide indemnification for Loss to the fullest extent permitted by common or statutory law. If the Entity or Insured Plan is permitted or required by common or statutory law to ultimately indemnify the Insured Persons for any Loss, or to advance Defense Expenses on their behalf, and does not in fact do so other than for reasons of Financial Impairment, then any payment of such Loss or any advancement of such Defense Expenses by the Insurer under Insuring Clause 1 shall not be subject to any Retention amount, but the Entity shall reimburse and hold harmless the Insurer for such Loss up to the applicable Retention amount set forth in Item 33(a) of the Dec- larations for this coverage section. or The Retention for Indemnifiable Claims set forth in Item 4. 3(a) of the Declarations for this coverage sectionsection shall apply to Compliance Fees covered under Insuring Clause 2. If Loss resulting from a Claim is subject in part to no Retention and in part to the Retention for Indemnifiable LossClaims, the Retention for Indemnified Loss Claims shall be applied only to that part of the Loss otherwise subject to such Retention. Defense Expenses will be part of and not in addition to the Limit of Liability, and payment of Defense Expenses by the Insurer will reduce re- duce its Limit of Liability. SPECIMEN If the Limit of Liability is exhausted by the payment of Loss, the premium will be fully earned, all obligations of the Insurer under this coverage section will be completely fulfilled and exhausted, and the Insurer will have no further obligations of any kind or nature whatsoever what- soever under this coverage section. Solely with respect to Claims under this coverage section which are Class Actions and which are fully and finally resolved with preju- dice in favor of all Insureds without any Insureds becoming legally obligated to pay any monetary damages or settlement or judgment amounts arising out of the Claim, the Insurer shall reimburse the amount of the Retention paid by the Insureds for Defense Expenses in such Claim. If such a Class Action Claim is dismissed in its entirety without prejudice and without any Insureds becoming legally obligated to pay any monetary damages or settlement, such reimbursement shall occur 90 days after the date of dismissal as long as the Claim is not brought again within that time, and further subject to an undertaking by the Insureds in a form acceptable to the Insurer that such ▇▇▇▇- bursement shall be paid back by the Insureds to the Insurer in the event the Claim is brought after such 90 day period and before the expiration of the statute of limitations for such Claim.
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