ML18110A320

Letter Enclosure of Nuclear Energy Liability Policy NS-308 and Mutual Atomic Energy Liability Underwriters Policy No. MS-59

ML18110A320
Person / Time
Site:	Saint Lucie, Turkey Point
Issue date:	02/04/1976
From:	Robert E. Uhrig Florida Power & Light Co
To:	Boyd R Office of Nuclear Reactor Regulation
References
L-76-44
Download: ML18110A320 (42)

Text

. O. BOX 013100, A<IAMI, FLORIDA 33101 i

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FLORIDA POWER Bi LIGHT COiVIPANY February 4, 1976 L-76-44 Pe@1 t@J3iCkBMIO-Z. WO 2 K/

U.

S. Nuclear Regulatory Washington, D.

C.

20555

Dear Mr. Boyd:

Re:

NELTA Policy No. NS-308 and

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~8 MAELU Polic No.

MS-59

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Enclosed are '5 copies of Nuclear Energy Liability Policy NS-308 and Mutual Atomic Energy Liability Underwriters Policy No, MS-59 (suppliers and transporters form) for coverage at both Turkey Point and St. Lucie Plants.

Yours very truly, 1'.~e

/

Robert E. Uhrig Vice President Office of Nuclear Reactor Regulation,&"

<ljjR

'>kg/f/g ATTN:

Mr. Roger Boyd, Director fsP Division of Project Manag'ement o+~c, se=~Zci Commis ij:orn REU:nch Enclosure cc:

Jack R.

Newman, Esq.

(w/copy)

Mr. J.

D. Saltzman (cert copy)

HE LPIN6 BUILD FLD FI IDA

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~ g MUTUAL ATOMIC ENERSY LIABILlTYUNDKRVIRITERS AMERICAN MUTUALLIABILITYLPSURANCE COMPANY'ake6eld, Massachusetts EMPLOYERS iVIUTUALLIABILITYINSURANCE COMPANY OF WISCONSIN, Wausau, Wisconsin HARD%'ARE MUTUAL CASUALTY COMPANY, Stevens Point, Wisconsin LIBERTY MUTUAL INSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY COMPANY, Chicago, Illinois MICHIGAN MUTUALLIABILITYCOMPANY, Detroit, Michigan HUCl EAR EHEIRGV ILIABIIILII7VPOLllCY (SUPPLlER'S AND TRANSPORTER'S FORM)

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Nucl eAa eNe~l-v LIABILnv Police (SUPPLIER'S AND TRANSPORTER'S FORM)

MUTUAL ATOMIC ENERGY LIABILITYUNDERWRITERS AMERICAN MUTUALLIABILITYINSURANCE COMPANY> Wakefield, massachusetts HMPLOYERS MUTUALLIABILITYIttISURANCE 'COMPAiCY OF AUISCOiVSIN,Wausau, Wisconsin HARDWARE MUTUAL CASUALTY COMPANY> Stevens Point, Wisconsin LIBERTY MUTUALINSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY COMPANYs Chicago, lljinois MICHIGAN MUTUALLIABILITYCOMPANY, Detroit, Michigan The undersigned mnnbers of Mutual Atomic Energy Liability Undeswriteri, hereinafter called the "companies," each for itself, severally and not jointly, and in the respective proportions hereinafter set forth, agree with the insured, named in thc declarations made a part hereof, in consideration of the premium and in reliance upon thc statements in the declarations and subject to the limit of liability, exclusions, conditions and other terms of this policy:

tNSURlNG AGREEMENTS BODILY INJIIRY AND PROPERTY DAMAGE LIABILITY To pay'n behalf of the insureds A

all sums which the insured shall become legally obligated to pay as damages because of bodily injury or property damage caused by the nuclear energy hazard, and the companies shall defend any suit against the insured alleging such bodily injury or property damage and seeking damages which arc payable under the tersns of this policy; but thc companies may make such investigation, negotiation and settlement of any claim or suit as they deem expedient; B.

costs taxed against the insured in any'such suit and interest on any judgment therein; C.

premiums on appeal bonds and on bonds to release attachments in any such suit, but without obligation to apply for or furnish

. such bonds; D.

reasonable

<<zpenies, other than loss of earnings, incurred by the insured at the companies'equest.

T DEFINITION OF INSIIRED The unqualified word "insured" in-cludes the named insured and also includes any employee,

oificer, director or, stockholder thereof while acting vlithin the scope of his duties as such. If the nasned insured is a partnership, the unquali-fied word "insured" also inciudes any partner therein, but only with respect to his liability as such.

This insurance do<<s not apply to any employee, as insured, vsith respect to bodily injury to another employee of the same employer arising out of and in the course of his employment.

Subject torCondiYion 3 and the other provisions of this pohcy, the insurance applies separately to each insured against whom claim is made or suit is brought.

r DEFINITIONS Xherever used in this policy:

"b dlly lnjnry" rn ene bodily jnj y, ~lebnee or dieeoee, inolndinn death resulting therefrom, sustained by any person; "property dosssdsgo" sneaas physical injury to or destruction or radioactive contamination of property, and loss of use of property so injured, destroyed or contaminated, anyd loss of use of property while evacuated or withdraivn from use because possibly so contaminated or because of imminent danger of such contamination; "nuclecsr material" means source material, special nuclear material or byproduct material; "sourco maferlal," "special nuclear material," and "byproduct sncsforlal" have the meanings given thnn in the Atomic Energy Act of 1954; or in any laiv amendatory thereof; "spent fuel" means any fuel elesnent or fuel component, solid or liquid, which has been used or exposed to radiation in any nuclear reactor

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"wdssfo" means any waste material (I) containing byproduct ma-terial and (2) resulting from the operation by any person or organ-ization of any nuclear facility included within the dcfinition of nuclear facility under paragraph (1) or (2) thereof; "radioactive isotopo" means any byproduct material except such material (1) contained in spent fuel or vraste, or (2) discharged or dispersed from any nuclear facility; o

"nuclear facility" means "the facility" as defined in any Nuclear Energy Liability Policy (Facility Form) issued by thc companies or by Nuclear Energy Liability Insurance Association.

Thc term "nuclear facility"also m~ans (1) any nuclear reactor, (2) any equipment or device designed or used for (a) separating the isotopes of uranium or plutonium, (b) processing or utiliz-ing spent fuel, 6r (c)

handling, processing, or packaging vjastey (3) any equipment or device used for thc 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 con-sists of or contains snore than 25 grams of plutonium or uranium 233 or any combination thereof, or snore than 250 grams of uraniusn

235, (0) any structure, basin, excavation, premises or place prepared or used for the storage or disposal of svaste, and Includes the site on vjhich any of the foregoing is located, all operations conducted on such site and all prnnises used for such operations; "nuclear roacforon means any apparatus designed or used to sustaiss nuclear fission in a self-supporting chain reaction or to contain a

criYicaI mass of fissionable snaterial I "nuclear energy hazard" means the radioactive, toxic, explosive or other hazardous properties of nuclear material; "confracf as ckfinod heroin" means (1) if in writing, a lease of

premises, easement agscnnent, agreement required by municipal ordinance, sidetrack agreement, or elevator or escalator maintenance agrecmcnt or (2) any written contract designated in Item 6 of the declarations.

APPLICATION OF POLICY This policy applies only to bodily injury or property damage (1) which is caused during the policy period by the nuclear energy hazard and (2) which is discovered and for ivhich written claim is made against thc insured, not later than two years after the end of the policy period.

e Nuclesr Energy Ld'sbillsy Policy (Supplies's end Tssnsposscr's Form) 3/l/Sy yo nren NPS.200

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EXCLUS This policy does not apply:

(a) to any obligation for which the insured or any carrier as his insurer may be held liable under any worhnen's compensation, un<<mploym<<ut compefisation or disability benefits laiv, or under any similar law; (b) except with respect to liability of another assumed by the in-sured under a contract as defined herein, to bodily injury to any employ<<e of the insured arising out of and in the course of his employment by the insured; (c) to liability assumed by the insured under any contract or agree-ment, other than (1) an assuinption in a contract as, defined herein of the liability of any person or organization which would bc imposed by law on such person or organization in thc absence of an express assumption of liability or (2) a war-ranty of materials, parts or equiprncnt; (d) to bodil>'njury or property damage due to the manufacturing, handling, transportation, distribution or usc by or on behalf of the named insured, in time of peace or war, of any nuclear weapon or other instrument of war utilizing special nuclear material or byproduct material; but this exclusion does not apply to watercraft until delivered to and accepted by the purchaser or owner thereof; (e) to bodily injury or property damage due to war, whether or not declared, civil war, insurrection, rebellion or revolution, or to any act or condition incident to any of the foregoing; (f) to property damage to any nuclear fatality or any property thereat arising out of the possession,

handling, use, storage or disposal of nuclear material at such nuclear facility, but this exclusion docs not apply to aircraft, watercraft or vehicles licensed for highivay use, provided such aircraft, watercraft or vehicles are not used in connection with the operation of such nuclear facility; (g) to property damage to nuclear material in the course of trans-portation by or on behalf of the named

insured, including handling or storage incidental th<<i<<to; (h) to bodily injury or property damage arising out of (1) the possession, transportation, handling, use, storage or dis-posal, outside thc territorial limits of thc United States of foNs ~

America, its territories or possessions, Puerto Rico or the Canal Zone, of nuclear material; (2) or resulting from the radioactive, toxic, explosive or other hazardous properties of nuclear material contained in, or discharged or dispersed from, a nuclear reactor installed in any ship or vessel with respect to ivhich a Nuclear Energy Liability Policy (Marine Form) has been issued by thc companies or by Nuclear Energy Liability Insurance Asso-ciation; (3) the possession, handling, use, storage or disposal of nuclear material at any nuclear facili<<y owned or operated by the named insured; (4) nuclear material in the course of transportation, including handling or temporary storage incidental thereto, (a) to a nuclear facility oivned or operated by the named insured froin any other location, provided such transportation of such material from such other location is not by predetermination to be interrupted by the removal of such material from a transporting conveyance for any purpose other than the continuation of such transportation to such nuclear facility, or (b) from a nuc!<<ar facility oivned or operated by the narncd insured to any other location, provided such trans-

, portation of such material shall be deemed to cnd when such material is removed from a transporting conveyance for any purpose other than continuation of such transpor-tation; (5) the disposal of svaste; (6) any radioactive isotope while away from any nuclear facility; (i) to bodily injury or property damage with respect to which (1) any person or organization is required to maintain financial rotection pursuant to the Atomic Energy Act of 1954, or any aw amendatory thereof, or (2) th<< insured is, or had this policy not been issued svould be, entitled to indemnity from the Unit<<d States of America, or any agency thereof, under any agr<<cment entered into by the United States of America, or any agency thereof, ivith any person or organization.

CONDITl0NS PREMIUM The nained insured shall pay the companies the advance premiuin stated in the declarations, for thc p<<riod from the eff<<<<tive date of this policy through December 31 folloiving. Thereafter, at the beginning of each calendar y<<ar ivhile this policy is in force, the nam<<d insur<<d shall pay the advance pr<<mium for such year to the coinpanl<<s.

Thc advance premium for each calendar year shall be stated in a written notice given by the coinpanies to the named insured as soon as practicable prior to or after the beginning of such >'ear.

Such advance premiums are estimated premiums only.

As soon as practicable after each December 31 and after the termination of this policy, the earned premium for the preceding premium period shall be computed in accordance with the compames'ules, ratesi rating plans, premiums and minimum premiums applicable to this insurance.

If the earned premium thus computed for any premium period exceeds the advance premium previously paid for such period, the nained insured shall pay the <<xcess to the coinpanies; if less, the companies shall return to the named insured the unearned portion paid by such insured.

The named insured shall maintain records of the information nec<<ssary for premium computation and shall send copies of such records to the companies as directed, at the end of each calendar year, at the end of the policy period and at such other times during the policy period as tbe companies may direct.

INSPECTION: SUSPENSION The companies shall be permitted to inspect the insur<<d's premises and operations and to examine and audit the insured's booLs and records at'any time, as far as they r<<late to the subject matter of this. insurance.

If a representative of the companies discovers a condition which he believes to be unduly dangerous irith respect to the nuclear energy hazard and which is within the control of the insured, a representa-tive of the companies may request that such condition be corrected without delay.

In the cvcnt of non-compliance with such request, a

representative of the companies may, by ivritten notice to the named

insured, immediat<<l)'uspend the insurance irith respect to such condition.

The p<<ried of such suspension shall terminate as of the time stated in a written notice from the companies to the nained insured that such condition has been corr<<et<<*

LIMIT OF LIABILITY TERMINATION OF POLICY UPON EX HAUSTION OF LIMIT Regardless of the number of persons and organizations who are insureds under this policy, and regardless of thc number of claims inade and suits brought against any or all insureds because of one or morc occurrcnccs resulting in bodily injury or property damage caused during the policy period by the nuclear energy hazard, the limit of the companies'iability stated in the declarations is the total liability of the companies for their obligations under this policy and the expenses incurred by the com-panies in connection with such obligations, including (a) payments in s<<ttl<<ment of claims and in satisfaction of judg-ments against the insur<<ds for damages because of bodily injury or property damage and payments made under parts II, C and D of Insuring Agr<<ement I; (b) payments for expenses incurred in thc investigation, negotiation, s<<ttlemcnt and defense of any claim or suit, including, but not limited to, the cost of such services by salaried employees of the companies, fees and expenses of independent adjusters, attor-neys'ees and disbursements, expenses for expert testimony, inspection and appraisal of property, examination, X-ray or autopsy or medical expenses of any knead; (c) payments for expens<<s incurred by the companies in investigat-ing an occurrence resulting in bodily injury or property damage or in minimizing its efFects.

Each payment made by the companies in discharge of their obliga-tions under this policy or for expenses incurred in connection svith such obligations shall r<<duce by the amount of such pa>ment the limit of the companies'iability under this policy.

If, during the policy period or subsequent

thereto, the total of such payments made by the companies shall exhausc the limit of the companies'iability under this policy, all liability and obliga-tions of the companies under this policy shall thereupon tcrminatc and shall be conclusively presumed to have been discharged.

This policy', if not theretofore

canceled, shall thereupon automatically terminate.

Regardless of the nuinb<<r of years this policy shall continue in force and the number of premiums ivhich shall be payable or paid, the limit of the companies'iability stated in the declarations shall not be cumulative from year to year.

'PA'GE 4

0 LIMITATIONOF LIABILITY;MULTIPLE POUCIES With respect to any occurrence or series of occurrences for mhich insurance is afforded under this policy and for mhich insurance (a) is afforded to any person or organization, whether or not an insured under this policy, under any other Nuclear Energy Liability Policy issued by the companies, or (b) mould be afforded under any other such policy but for its termination upon exhaustion of its limit of liability (1) the total aggregate liabilityof the companies under all Nuclear Energy Liability Policies (Supplier's and Transporter's Form),

including this policy, affording insurance for such occurrence or series of occurrences shall be the suin of the limits of liability of all such policies, the limit of liability of each such policy being as determined by Condition 3 thereof, but in no cvcnt shall such total aggregate liability of the companies be greater than the ainount by svhich $13,500,000 exceeds the sum of the limits of liabilitystated in the dcejarations of all Nuclear Energy Liability Policies (Facility Form) issued by the companies and affording insurance for such occurrence or series of occurrences, provided each such Nuclear Energy Liability Policy (Facility Form) issued by the companies shall, solely for the purpose of computing the total aggregate liability of the companies, be deemed to be in ciiect notivithstanding it has terminated upon exhaustion of its limit of liability; and (2) if in thc performance of the companies'bligations with rcspcct to such occurrence or series of occurtences and in payment for expenses incurred in connection ivith such obligations the total of the payments made by thc companies under any Nuclear Energy LiabilityPolicy or Policies (Supplier's and Transporter's Form) shall exhaust such total aggrcgatc liability of the com-panies, all liability and obligations of the companies under this policy with respect to such occurrence or series of occurrences shall thereupon terminate and shall bc conclusively presumed to have been discharged, whether or not any of such payments have been charged against this policy.

The provisions of this condition shall not operate to increase the limit of the companies'iability under this policy.

NOTICE OF OCCURRENCE, CLAIM OR SUIT In thc cvcnt of bodily injury or property damage to which this policy applies or of an occurrence mhich may give rise to claims therefor, written notice containing particulars su6icient to identify th>> insured and also reasonably obtainable information mith respect to the time, place and circumstances thereof, and the names and addresses of the in-jured and of available witnesses, shall be given by or for the insured to Mutual Atomic Energy Liability Underwriters or the companies as soon as practicable.

If claim is made or suit is, brought against the insured, he shall imin<<diatcly forward to Mutual Atomic Energy Liability Undcrivriters or the companies every de-

mand, notice, summons or other process received by hiin or his representative.

ASSISTANCE AND COOPERATION OF THE INSURED The in-sured shall cooperate mith thc companies and, upon the companies'equest,,

attend hearings and trials and assist in making settlements, securing and giving evidence, obtaining the attendance of witnesses and in the conduct of any legal proceedings in connection with the subject matter of this insurance.

The insured shall not, except at his omn cost, make any payment, assume any obligation or incur ally expensel ACTION AGAINST COMPANIES No action shall lie against the companies or any of them unless, as a condition precedent

thereto, the insured shall have fully complied with all the terms of this policy, nor until the amount of the insured's obligation to pay shall have been finally determined cithcr by judgment against the insured after actual trial or by written agreement of the insured, the claimant and the companies.

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 policy to the extent of the insurance afforded by this policy.

No person or organization shall have any right under this policy to join the companies or any of them as parties to any action against the insured to determine the insured's liability, nor shall the companies or any of them be impleaded by the insured or his legal representative.

Bankruptcy or insolvency of the insured or of the insured's estate shall not relieve thc corn-panics of any of their obligations hereunder.

SUBROGATION In the event of any payment under this policy, thc companies shall bc subrogated to all the insured's rights of rccovcry therefor against any person or organization, and the insured shall execute and deliver instruments and papers and do whatever cise is accessary to secure such rights.

Prior to knomledge of bodily injury or property damage caused by the nuclear energy hazard the insured may waive in writing any right of recovery against any person or organization,:but after such knomlcdge the insured shall not waive or otherwise prcjudicc any such right of recovery.

OTHER INSURANCE If the insurance afforded by this policy for loss or expense is concurrent ivith insurance afforded for such loss or expense by a Nuclear Energy Liability Policy (Supplier's and Transporter's Form) issued to the named insured by Nuclear Energy Liabihty Insurance Association, hereinafter called "concurrent insur-ance," thc companies shall not be liable under this policy for a greater proportion of such loss or expense than the limitof liability stated in the declarations of this policy bears to the sum of such

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limit and the limit of liability stated in the declarations of such concurrent policy; provided, if the liability of the companies under this policy or the liability of Nuclear Energy Liability insurance Association under such concurrent policy is reduced pursuant to Condition 4 of this policy or of such concurrent policy, the com-panies shall not be liable under this policy f'r a greater proportion of such loss or expense than thc amount for svhich the companies ivould have been liable under this policy, had such concurrent policy not been

issued, bears to the sum of such ainount and the amount for which Nuclear Energy Liability insurance Association mould have been liable under such concurrent policy, had this policy not been issued.

If the insured has other valid and collectible insurance (other than such concurrent insurance) applicable to loss or expense covered by this policy, the insurance afforded by this policy shall be excess insurance over the applicable limit of liability of such other in-surance.

CHANGES Notice to any agent or knowledge possessed by any agent or by any other person shall not effect a ivaivcr or a change in any part of this policy or estop thc companies from asserting any right under the terms of this policy; nor shall the terms of this policy be waived or changed, except by endorseincnt issued to form a part of this policy executed by Mutual Atomic Energy Liability Underwriters on behalf of the companies.

ASSIGNMENT Assignmcnt of interest by the named insured shall not bind the companies until their consent is endorsed hereon; if, hoivever, the named insured shall die or be declared bankrupt or insolvent, this policy shall cover such insured's legal representative, receiver or trustee as an insured under this policy', but only with respect to his liability as such, and then only provided written notice of his appointment as legal representative, reccivcr or trustee is given to the companies ivithin 'tcn days after such appointment.

CANCELATION This policy may be canceled by the named insured by mailing to the companies svritten notice stating when, not less than thirty days thereafter, such cancelation shall be effective.

This policy may be canceled by the companies by mailing to the named insured at the address shown in this policy svritten notice stating when> not less than ninety days thereafter, such cancelation shall be effective; provided in the event of non-payment of premium, this policy may be canceled by the companies by mailing to the named msured at the address shown in this policy written notice stating whent not less than thirty days thereafter, such cancelation shall be effective.

The mailing of notice as aforesaid shall be suiEcient proof of notice.

The effective date and hour of cancelation stated in the notice shall become the end of the policy period.

Delivery of such written notice either by the named insured or by the companies shall be equivalent to mailing.

Upon terinination or cancelation of this policy, other than as of thc cnd of December 31 in any year, the earned premium for thc period this policy has been in force since the preccdmg December 31 shall be computed in accordance with thc following provisions:

(a) if this policy is terminated, pursuant to Condition 3, b)'eason of the exhaustion of the limit of the companies'iability, all premium theretofore paid or payablc shall be fully earned; (b) if the named insured

cancels, the earned premium for such period shall be computed in accordance ivith the customary annual short rate table and procedure, povided if the named insured cancels after knoivledge of bodily injury or property damage caused by the nuclear energy

hazard, all premiums theretofore paid or payable shall be fully earned; (c) if the companies

cancel, the earned premium for such period shall be computed pro rata.

Premium adjustment, if any, may be made either at the time can-celation is effected or as soon as practicable after cancelation becomes effective, but payment or tender of unearned premium is not a

condition of cancelation.

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COMPANY REPRESEHTATIOH (a) Any notice, sworn statement or proof of loss vrhich may be re-quired by the provisions of this policy may be given to any one of the companies, and such

nonce, statement or proof of loss so given shall be valid and binding as to all companies.

(b) In any action or suit against the companies, service of process may be made on any one of them, and such service shall be deemed valid and binding service on all companies.

(c) Mutual Atomic Energy Liability Underwriters is thc agent of the companies with respect to all matters pertaining to this insurance.

All notices or other communications required by this policy to be given to the companies may be given to such agent, at its oifice at 919 North hiicbigan Avenue, Chicago 11, Illinois with the same force and effect as if given directly to the com-panies.

Any requests, demands or agreements made by such agent shall be deemed to have been made directly by the companies.

CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR PRO-

~de PORTIONATE LIABILITY By acceptance of this policy the named insured agrees that the members of Mutual Atomic Energy Liability Underwriters liable under this policy; and the proportionate liability of each such member, may change from year to year.

Any such change shall be stated in an endorsement entitled "Changes in Sub-scribing Companies and in Their Proportionate Liability"'ssued to form a part of this policy, duly executed on behalf of the companies subscribing such endorsemeat and mailed or delivered to the named t

iasurcd, and the named insured further agrees that regardless of such changes:

(1) each company subscribing this policy upon its issuance shall be liable only for its stated proportion of any obligation assumed or expense incurred under this policy because of bodily injury or property damage caused, during the period from the efFective date of this policy to the <<Ifective date of the first such endorse-ment, by thc nuclear energy hazard; (2) this policy shall reinain continuously in effect froin the eifective date stated in the declarations until terminated in accordance with Condition 3 or Coridition 12; (3) neither thc liability of any company nor the limit of liability stated in the declarations shall be cumulative from year to year.

DECLARATIONS By acceptance of this policy thc named insured agrees that the statements in the declarations are the agreeinents and +~

representations of the named insured, that this policy is issued in reliance upon the truth of such representations and that this policy embodies all agreements between the named insured and the com-panies or any of their agents relating to this insurance.

MUTUALPOLICY CONDITION This policy is nonassessable.

The named insured is a member of <<ach of the companies and shall participate, to the extent and upon the condiYions fixed and deter JL' mined by its board of directors in accordance with the provisions of law, in the distribution of dividends so fixed and determine*

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NUCLEAR ENERSY LIABILITYPOLICY No. MS-MUTUALATOMIC ENERGY 11ADILlTY UNDERVfRITERS AMERIcAN MUTUAL LIABILITYINBURANcz C0MPANY Wake6eld, Massachusetts EMPLoYERs MUTUALLIABILITYINSURANcz CGMPANY OP WISCONSIN

%ausau, Wisconsin

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LIBERTY MUTUALINsURANcz CoMPANY Boston, Massachusetts LUMBERMENs MUTUALCAsUALTY CGMPANY Chicago, Illinois HARDwARE MUTUAL CAEUALTY CGMPANY Stevens pointt Wisconsin MICHIGAN MUTUALLIABILITYCOMPANY Detroit, Michigan The named insured is hereby notified that by virtue of this policy hc is a member of each of thc companies and is entitled to vote either in person or by proxy at any and all meetings of each of the companies.

The annual meetings of exch of the companies are held at thc time and place stated herein.

This policy is nonassessable.

NOTICE OF ANNUALMEETINGS The annual meetings of AMERICAN MUTUALLIABILITY INsvRANcz CoMPA'NY arc held at its home office in Wakefield, Massachusetts, on the third Wednesday of March in each year, at eleven o'clock in the morning.

The annual meetings of LIBERTY MUTUAL INSURANCE CoMPANY arc held at its home offi in Boston, Massa-"

chusetts, on the second Wcdncsday of April in each year, at eleven o'clock in the morning.

Thc annual meetings of EMPI.ovzRs MUTUAI.LIABILITY INsURANcE CoNp&IY oF WIscoNsIN are held at. its home office in Wausau, Wisconsin, on the third Friday of February in each year, at ten o'lock in the morning.

The annual meetings of LUMBERMEws MvTUAI. CAS-UALTY CCNPAiIY are held at its home offic in Chicago, Illinois, on thc third Tuesday of iVIay in each year, at eleven o'lock in the morning.

Thc annual meetings of HARDwARE MUTUALCASUALTY CoMPANY are held at its home office in Stevens

Point, Wisconsin, on the third Wednesday of April in each year, at nine o'clock in the morning.

The annual meetings of MICHIout iivIUTUALLIABILITY CohIPANY are held at its home office in Detroit, Michigan, on the last Thursday of March in each year at 10:30 o'lock in the morning.

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IN WITNEss IVIIERFCFy each of the subscribing companies has caused this policy to bc executed by it, attested on its behalf by an OScer,of Mutl'al Atomic Energy Liability Underwriters and duly countersigned on thc declarations page by an authorized representative.

SUBSCRIBING CohIPANIES PRCPCRTIQN oF 100 o

(1)

AhlERICAN MUTUALLIABILITYINSURANCE CohlPANY 15 Presldxllt (2)

EhtPLOYERS MVTVALLIABILITYINSVRANCE CohIPANY OF IVISCONSIN 15 SECRETARY PAxsloxllT (3)

HARD'iVARE MUTUALCASUALTY CohIPANY SxcnxTAAY

'PnxsloxllT

........5....,....'j/o (4)

LIBERTYMUTUALINSVRANCE CohlPANY P~R SECRETARY Pnxslo~llT S........%%uo (5)

LVMBERMENS MUTUALCASUALTY COMPANY 15 SECRETARY PAxsloxAr (6)

MICTIICANMUTUALLIABILITYCohlPANY SECRETARY Pnxsloxnx ATTEST.. P lI 1

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VTVAL ATOAIIC 1'nllCY,,-n

~f 1 IA IllLITY UNnERiVRITERS 100

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MUTUAL ATOMIC ENERSY LIABILITYUNMRWRITERS 9I9 Norfh Michigan Avenue, Chicago I l, Illinois Nuclear Energy Liability Policy No. MS59 (Supplier's and Transporter's Form)

DECLARATIONS tern 1.

Named Insure Florida Power ile LiKht ComPany MiattLt.

State)

Street (No.

Tosvn or City Addr P..O.

Box 3100 Florida 19~, and continuing through the effective date of thc cancelation or termination of this policy, standard time at the address of the named insured as stated herein.

Item 3.

Description of Premises or Operations of thc Named Insured:

Not Applicable Item 4.

The limit of the companies'iability is $

reference thereto.

subject to all the terms of this policy having Item 5.

Advance Premium Item 6.

Designation of contract t none Item 7.

These declarations and the schedules forming a part hereof give a complete description of the premises or operations of thc named insured, insofar as they relate to the nuclear energy hazard, except as noted No Exceptions

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Jate of Issue October 22,1975 Countersigned. by

/

Aut ortsed'~

epresentative Nuclear Energy LiabilityPolicy (Supplier's and Transporter's Form) Declarations 5/1/57

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Address of Mutual Atomic Ener Liabilit Underwriters Endorsement It is agreed that the address of the Mutual Atomic Energy Liability Underwriters appearing on the declarations and in the "Company Representation" condition of the policy is amended to read:

"One East Wacker Drive, Chicago, Illinois 60601" Ef~~ Date of October 15 1975 this Endorsement Florida Power and Light Company To form a part ff$ 59 f Policy No, Date of I~ 'ctol er 22. 1975 For thc Subscribing Companies MUTUALATOMIC ENERGY LIABILI~UNDERWRITERS i

i7c.2-'<

By Endorsement No, Countersigned by

<<Wvruoklxxo RapassI)lrATEYa

Amendment of Name of Member Co an Endorsement It is agreed that the name "SENTRY INSURANCE A MUTUAL COMPANY" is substituted for "HARDWARE MUTUAL CASUALTY COMPANY" wherever it appears in the policy.

Effective Date of October 15, 1975 this Endorsement To form a part MS-59 f Policy No.

Issued to Florida Power and Light Company October 22, 1975 Date of Issu For the Subscribing Companies MUTUALATOMIC ENERGY LIABILI UNDERWRITERS j [/ (v 4/g //

By

'~

c..-,.Pi. ~~~-.

I

~ +V~d~ I ii-~~i.

j Endorsement No.

Countersigned by Aurfollsao REPRESS:IThTWZ

~Illa' 0

~th

Amendment of Condition 4 Endorsement It is agreed. that with respect to bodily ingury and property damage caused after the effective date of this endorsement by the nuclear energy hazard the figure 413,500,000 stated in Condition 4 of the policy is amended to read 428,125,000.

/

Endorsernent Effective. Date of Florida Power and Light Company Issued to MS-59 f Poiicy No.

Date of Issu October 22, 1975 For the Subscribing Companies

/i MUTUA~TOMICENERGY LIABILITYUNDERWRITERS By

)

- Mv':-f~

./

Endorsement No.

Countersigned by AUTBOklaso RataesXNTAT1VZ IE%

INDUSTRY CREDIT RATING PLAN PREMIUM ENDORSEMENT It is agreed that Condition 1 of the policy is replaced by the following:

CONDITION 1.

PREMIUM (1)

Definitions:

With xeference to the premium for this policy:

"advance premium", for any calendar year, is the estimated standard premium for that calendar year; "standard premium", for any calendar year, is the premium for that calendar year computed in accordance with the companies'ules, rates, rating plans (other than the Industry Credit Rating Plan),

premiums and minimum premiums applicable to this insurance; "reserve premium" means that portion of the standard premium paid to the companies and specifically allocated under the Industry Credit Rating.Plan for incurred losses.

The amount of the "reserve premium" for this policy for any calendar year during which this policy is in force is the amount des-ignated as such in the Standard Premium Endorsement for that calendar year; "industry reserve premium", for any calendar year, is the sum of the xeserve premiums for that calendar year for all Nuclear Energy Liability Policies issued by Nuclear Energy Liability Insurance Association and Mutual Atomic Energy Liability Under-writers and subject to the Industry Credit Rating Plan; "policy refund ratio", for any calendar year, is the ratio of the named insured's reserve pxemium for that calendar year to the industry reserve premium for that calendar year; "incurred losses" means the sum of:

(1) all losses and expenses paid by Nuclear Energy Liab-ility Insurance Association and Mutual Atomic Energy Liability Underwriters, and (2) all reserves for unpaid losses and Expenses as estimated by Nuclear Energy Liability Insuxance Association and Mutual Atomic Energy Liability Underwriters'

0 Page 2

DiDUSXRY CREDIT RAT YG PLAN PR~t rl~ EKDORSE~ZST {Cont.)

because of obligations assu=ed and the. expenses incurred in connection with such obligat'ons by members oz '.nuclear Erexgy Liaoility Insuran=

Asscciation a"..d ~mutual Atomic Energy Liabil"ty U-.."ax<;=iters unde all ';nuclear Energy Liability Policies issued by nuclear

=nergy Liability Insurance Assoc a-tion and mutual Atomic Energy'Liability Underwriters and subject to the industry Czed't Rating P'an; "reserve fox zezunds", at. the end of any calendaz'ear, is. the amount by - h-'ch (lj tha sum of all industry reserve premi ms for the peri"d

="xom Jan'ry 1, 1957 through the end oz such calerdar yaa" exceeds (2) tne total for the same period oz (a) all in-urxed 1"s sy va ued as of the next zollowing July 1

and

{b) all reserve

-"emium re'unds made under the Industry Cred't Rating Plan by members or 'nuclear Energy Liability Insurance Association and:!utual Atomic Energy Liability Underwri ter s,'industry reserve prem'um r furd", zor any calendar year, is detexm'ned b- =.uitiolvinz -he reserve zo" xezunds at the cn" of the ninth calendar thareaf"ex by the rat,'" of the ind..stry reserve pxe. ium for the calandaz year zor whi=h the premum refund s

Gain-. de'axminec

=o the sum of such a ount anQ the total industr- =esezva premiums zor the next nine caiendax yeazs thercazter, provided that the irdustxy reserve premium "e"" rd for any ca enca yea" shall in no event ba gxeatez than the in"ustxy reserve premium for such "alen ar year.

Pavment of A"vance and Sta"..dard Premiums.

The named insured sha'1 nay tha c"m. nies the a"varce premium stated in tea declaxati"rs zor the period zxom the efzactive date oz t;.is policy thro'>>h December 31 following.

Thereaztex, at the beginning "z ach =-lerdax year while this policy is in force, the r<< e"'nsured shall.oay the advance prem u-. for such year to the compan'es.

The acvance premium for each calendar year shall be stated in t¹ Adv n e Premium Endorsem nt foz such calendar -.'r issued to ch named insured as soon as practica'be prior to cz after he beginning oz such yea".

As soon as pxacti"ab~~e after each December 31 and after the termination of this policy, the standard premium for the, precedin~

c"lendax year snail be finally determined and stated ir. the St nd rd Pxe=ium Endorsement for that calendar year.

Iz the s ardazd remium so determin d exceeds the

.advzrce premiu-,

previous'y paid fox such ca3.ender

year, the named insured sha3.1 paj the excess to the compan es; if less the companies shal'eturn to he named 'nsured the exec s portion pard by such irsured,

t~,

0 Page 3

IM)USTRY CREDIT RATING PICA PRENDM EHDQRBEKHT (Cont.)

The named insured shall maintain recoxds of the inzormation necessary for premium computation and shall send copies of such re ords to the companies as directed, at the end of each calendar year, at the end oz the policy period and at such other times during the policy period as the companies may direct.

(3)

Use of Reserve Premiums.

All reserve premiums paid or payable for this policy may be used by the members of Mutual Atomic Energy Liabili"yUnderwrite s to dischaxge their obligations with respect to incurred losses whether sucn losses are in-curred unde" this policy or under any other policy issued by Nucl ar Energy Liability Insuran e Assoc@ation or Hutua3.

Atomic Energy Liability Underwriters.

(4)

Reserve Premium Refunds.

A portion of the reserve premium for this policy for the zirst calendar year oi any group of ten consecutive calendar years shall be returnable to tne named insured provided there is a reserve zor refunds ac the end of the tenth calendar

year, (5)

Computation oz Reserve Premium Refunds.

The reserve premium refund due the named insured for any calendar year shall be

. determined by multiplying any industry reserve premium rezund for such calendar year by the policy xefund ratio for such calendar year.

The reserve premium refund for any calendar

= yea" shall be zinaily determined as soon as practicable after July 1 oz the tenth calendar year thereafter.

(6)

Final Premium..

The zinal premium for this policy shall be the sum oz standard premiums foz'ach calendar year, or portion thereof, during which this pol'cy remains in force les's the sum of all refund" oz reserve p"emiums due the named insured under the provisions of this Condit'on 1.

INDUSTRY'REDIT PATDoYi PLa I PRVlltZ E'lDOi".SE:.ir T (Cont.)

~escrve Pr~wiin r",eland Agree.":.ent.

Each member of ~mutual Atomic Energy Liability.Underwriters subscribing this po1icy fo any ca ender 'c.

) Or eo t on ther oz) hc c y apccs for itself) severally

"':.d not jointly, -nd in he respect v

propor"ion'

.its liab~1'ty assn-..ed under this pc~ icy fi~r ti>at cale, diaz yezr to r "urn to t.h na;..cd insured

~ that portioi; of any res'erve pre...iu"..: refund duc the named insured for that calendar year, detcmincd in accord..nce;;ith thc piovisions oi this Condition l.

)';:;:.iv. D:.:. of To forin.. part October 15 1

of Policy.;:o.

Florida Power and Light Company Ms-59 October 22, 1975 For roc 8'.loi "rizn)< Cc n].-'iics I I.~i1'ILi'15" UiXDl l~',7lii'1':;!',5

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Co ~ I ~~,": 'ii);ll~l ~ I)<',Ureioh'.I.:l>Nri.iL ".8'I'l iWE

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~ ~ ~

AHFNDATOP.Y BKO~c:"!~5K (Substances Exposed to Radiation for Preservation and Other Purposes) lt is arreed that the policy does not apply:

(a) to bodily injury or property damage arising'ut of any'ondition in any substance trhich has been exposed by any person or o ganizat-on to ion zing radiat'on for the purpose of preserving, pasteuri"ing, sterilizing, improving

, its quality or durability, changing the nature thereof, or any similar purpose, or (b) to property damage to the substance exposed 'o such radia-tion; but part (a) of'his exclusion does not apply to any substance so expcsed f'r the purposo of making it radioactive.

Effective Date of October l5 l975 this Endorsement To form a part

?'g f Poiicy iso.

Florida Power and Light Company Issued to October 23, 1975 Date of Issu For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITYUNDER'WRITERS

/

/

/

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B r

Endorsement No.

Countersigned by AUTHORIXRORIP2~&KNTh~'Z W~+o 44/

NUCL ENERGY LIABILITY RANCE MUTUAL ATOMIC ENERGY LIABILITYUNDERWRITERS GENERAL AMENDATORY ENDORSEMENT (SUPPLIER'S AND TRANSPORTER'S FORM)

It is agreed that:

I~

Insuring Agreement II, "Definition of Insured", is replaced by the following:

"The unqualified word 'insured'.ncludes:

(1) the named insured, (2) any employee, officer, director or stockholder thereof while acting within the scope of his duties as such, and if the named insured is a partnership, any. partner therein,.but only with respect to his liabili.ty as such, and.

(3) any other person or organization with respect to his legal res-ponsibility for damages because of bodily injury or property damage caused by the radioactive, toxic, explosive or other hazardous properties of source material, special nuclear material, spent fuel or waste in the course of transportation, including handling and temporary storage incidental thereto, by or on behalf of the named insured.

Subdivision (3) above does not include as an insured the United States of America or any of its agencies.

This insurance does not ap >ly to any employee; as insured, with respect to bodily injury to another employee of the same employer arising out of and in the course of his employment.

Subject to Condition 3 and the other provisions of this'policy, "the i.nsurance applies separately to each insured against whom claim'is made or suit is brought."

.IE.

Division (5) of Exclusion (h) is deleted.

~ III.

This endorsement supersedes Endorsement NE<<16 captioned GENERAL AMENDATORY ENDORSEMENT (SUPPLIER'S AND TRANSPORTER'S FORM)a this EndorscnIent October 15, '975 ER'ective Oat: of To form a part f Pohcy No, MS-

~ Issued to Florida Power and Light Company October 27, 1975 Date of Issu For the Subscribing Companies

<<1 MUTUALATOMIC,ENERGY LIABILITYUNDER%WRIT=PS

-"'"i'~

a

,I Endorsement No.

NE-16A(1/1/69) m'+s

~ aa Countersigned by Avrec"'"so Ra EsasssIrwrsra

AMENDATORY ENDORSEMENT NUCLEAR ENERGY LXABILXTYPOLXCY SUPPLXiB'S AND THANSPORTER'S FORM It is agreed that!

. Ii The first sentence of the definition of nuclear facility is amended to read)

"nuclear facility~ means "the facility" as defined in any Nuclear Energy LiabilityPolicy (Facility Form) issued by'utual Atomic Energy LiabilityUnderwriters 'or by Nuclear Energy'iability Insurance Associat5.one II+ Division (2) of Exclusion (h) is amended to reads n(2) or resulting from the radioactive, toxic, explo sive or other harardous properties of nuclear material contained in, or discharged or dispersed from~ a nuclear reactor installed in any ship or vessel with respect to which a Nuclear Energy LiabilityPolicy (Marine Form) has been issued by Mutual Atomic Energy'iability Underwriters or by Nuclear Energy Liability Xnsurance Associa-tion;"

III. Condition 4 is replaced by the following!

LIMITATIONOF LIABILITY! MULTIPLE POLXCIES 30th x'espect to any occurrence or series of occurrences for which insur-ance is afforded under this policy and for which insux'ance (a) is afforded. to any person or organization, whether or not an insured under this policy, under any other Nuolear Enex'gy LiabilityPolicy issued by Mutual Atomic Energy Lia-bility Underwriters or (b) would be afforded under any other such poliqy'ut for its termination upon exhaustion of its limit of liability (l) the total aggxegate liability of the members of Mutual Atomic Energy Liability Underwriters under all Nuclear'Energy LiabilityPolicies (Supplier's and Transporter~s Form),

Mcluding..this policy, affox'ding insurance fox:.such occurrence or series of occurrences shall be the sum of the limits of liability of all such policies, the limit-ofliability of each such policy being as determined by Condition 3 thereof~ but in no event shall such total aggregate liabilityof such members be greater than the amount by which 513,500,000 exceeds the sum 'of

~

the limits of liability stated in the declarations of all Nuclear Enexgy Liability Policies (Facility NE-lg

Form) issued by Itutual Atomic Energy Liability.Under-writers and affording insurance for such occuxrence or series of occurrences, provided each such Nuclear Energy Liability Policy (Facility Form) issued by Mutual Atomic Energy Liability Underwriters shally solely for the purpose of computing. the total aggre-gate liabilityof members, of Mutual Atomic Energy LiabilityUnderwriters, be deemed to be in effects notwithstanding it has terminated upon exhaustion of its limit of liability; and (2) if in the performance of 'the obligations of the members of Mutual Atomic Energy LiabilityUnderwriters with respect to such occurx ence or serie of occurrences and in payment for expenses incurred in connection with such obligations the total of the payments made by such members under any Nuclear Energy LiabilityPolicy or Policies (Supplier~s and Transporter's Form) shall exhaust such total aggregate liability of such members, all 3iability and obligations of the 'companies under this policy with respect to such occurrence or series of occurrences shall thexeupon terminate and shall be conclusive3y presumed to have been discharged, whether or not any of such payments have been charged against this policy.

The provisions of this condition shall not opexate to increase the limit of'he companies'iability under this policy+

Effectiv Date of this Endorscrncnt October 15, 1 75 Florida Power and Light Company Issued to To form a part f Policy. No.

Date of Issu October 27, 1975 For thc Subscribing Companies MUTUALATO IC ENERGY LIABILI'I'Y,UNDERVPRITERS r

J1y

~4 Endorsement No.

Countersigned by hvar(oa>zm Rarawsxvznva

~

~

NUCLEAR ENERGY LIABILITYINSURANCE

~ MUTUAL ATOMIC ENERGY LIABILITYUNDERWRITERS Amendment of Exclusion (d) Endorsement Nuclear Wer LiabilityPolic (Sun lierrs and Trans orterrs Form)

It is agreed that:

(1)

Exclusion (d) is amended to read as follows:

(d)

To bodily ingury or property damage arising, directly or indirectly, out of an explosion, however caused, of an atomic weapon.

(2)

The term, "atomic weapon" has the meaning given it in the Atomic Energy Act of 1954, or in any law amendatory thereof this Endorsement Effective Date of Florida, Power and Light Company Issued to To form a part of Policy No October 27 1975 Date of Issu For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITY,UNDERWRITERS By f > 6.l~,

j Pi7irrE~P t ~ t,(~,

/r Endorsement No.

NE 23 Countersigned hy A uTll olll'/Kl>i)el aV leN'rATlVe

C'MENDATORY ENDORSE 1ENT (Limitation of'overage for Source Material and Extension of A lication of Polic It is. agreed that:

l.

The insurance afforded by the policy with respect to source material applies only with respect to bodily ingury or property damage arising

-out of source material with respect to which the insured under the policy is an insured. under another nuclear energy liabilitypolicy issued by Nuclear Energy Liability Insurance Association or Mutual Atomic Energy LiabilityUnderwriters, or would be an insured. under any such policy but for its termination upon exhaustion of its limits of liability.

2.

Insuring Agreement XV of the policy captioned:

"Application of Policy" is amended to read as follows:

APPLICATION OF POLICY.

This policy applies only to bodily in$ury or property damage (1) which is caused during the policy period by the nuclear energy hazard and (2) which is discovered and for which written claim is made against the insured, not later than ten years after the end of the policy period.

Effective Date of October 15, 1975 this Endorsement To form a part MS 59 f Policy No.

Issued to Florida Power And. Light Company Date of Issu October 27 1 7 For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITY;UNDERWRITERS

..>i'i

~

'ndorsement No.

Countersigned by AvzTroarzED Rspasst.'rThTIYE

~s Tgg iS Et>

e NUCLEAR BNBRGY LIABjL)TV)RSURANCK ADVANCE PREMIUM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Year 1975 l.

ADVANCE PREMIUM It is agreed that the Advance Premium due the companies for the calendar year designated above is

$ 95O 96 2.

STANDARD PREMIUM AND RESERVE PREMIUM In the absence of a change in the Advance Premium indicated above, it is agreed that, sub)ect to the provisions of the Industry Credit Rating Plan, the Standard Premium and Reserve Premium are:

Standard Premium'eserve Premium

$ 637 14 Effective Date of this Endorsement October 15, 1975 Florida Power and. Light Company Issued to To form a part MS 59 of Policy No Data of Issu October 27, 1975 For the Subscribing Companies MUTUALATOMIC ENERGY'LIABILITY:UNDERWRITERS, By Endorsement Ho.

10 Countersigned by AUTIIOlu%RP llsrsMaNThTIVc

0 NUCLEAR RNPRGY LlABlLliY]NSURANCE NUTVAL AiQNIC KNRRGY L)AGILITY UNDKRVlRlTFRS ADVANCE PREMIUM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Xear 1976 l.

ADVANCE PREMIUM It is agreed that the Advance Premium due the companies for the calendar year designated above is

$ 4~443 2.

STANDARD PREMIUM AND RESERVE PREMIUM In the absence of a change in the Advance Premium indicated above, it fs agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium and Reserve Premium are:

Standard Premium Reserve Premium

$ 3,087.00, Effective Date of january 1, 1976 this Endorsement To form a part of Policy No Issued to Florida Power and Li h0 Co.

December 15, 1975 Data o! Issu For the Subscribing Companies MUTUAL OhAC H By L

LI UNDERWRITERS iiAg~

Endorsement No.

Countersigned by AUTlloslsKo,ital'IIVAsNTATIVQ'

NUCL AR ENERGY LIABILITYP ICY (SUPPt.lER'S arid TRANSPORTFR'S FORM)

The undersigned members of Nudear Energy Liability Insurance hssociation, hereinafter called the "companies,"

each for itself, severally and not jointly, and in the respective proportions hereinafter set forth. agree with the insured, named in the declarations aude a part hereof, in consideration of the premium and in reliance upon the statements in the declarations and subject io the limit of liability, exclusions, conditions and other terms of this policy:

I NS U Rl NG AG REEMENTS BODILY INJURY AND PROPERTY DAMASK LIABILITY To pay on behalf of the insured:

h.

all sums which the insured shall become legally obligated to pay as damages because of bodily iajury or property damage caused by the nuclear energy hazard, and the companies shall defend any suit against the insured alleging such bodily injury or property damage and seekiag damages which are payable under the terms of this policy; but the companies may make such investigation, negotiation and settlement of any claim or suit as'they deem expedient; B.

costs taxed against the insufed in any such suit and interest oily any judgment therein; C.

premiums oa appeal bo'nds and on bonds to release attachments in "

any such suit, but without obligation to apply for or furnish such bonds; D.

reasonable

expenses, other than loss of earnings, incurred by the insured at the companies'equest.

II DEFINITION OF INSURED The unquali6ed word "insured" includes ihe named insured and also includes any employee, olficer, director or stockholder thereof while acting within the scope of his duties as such.

If the named insured is a partnership, the uaquali6ed word "insured" also includes any partner thereia, but only with respect to his liability as such.

This insurance does not apply to aay employee, as insured, with respect to bodily injury to another employee of the same employer arising out of and in the course of his employment.

Subject to Conditioa 3 and the other provisions of this policy, the insurance applies separately to <<ach insured against whom claim is made or suit is brought.

III-DEFINITIONS'herever used in this policy:

"b'odiiy injury" means bodily injury, sickness or disease, including death resulting therefrom, sustained by any person;

~ "proprrry damage" means physical injury to or destruction or radio.

active contamination of property, and loss of use of property so injured, destroyed or contaminated, and loss of use of property while evabiated or withdrawn from use because possibly so contaminated or because of imminent danger of such contamination; "nurirar material" means source material, special nuclear material or byproduct material; "rourra rnairrial," "rprnal nurlrar marrrial," and "byprodurr marrrial" have the meanings given them in the Atomic Energy hct of 1954, or in any law amendatory thereof; arpent furl" means any fuel element or fuel component, solid or liquid, which has been used or exposed to radiation in any nuclear reactor; "ivasrr" means any waste material (I) containing bypmduct material and (2) resulting from the operation by any person or organization of any nuclear facility included within the de6nition of nuclear facility uader paragraph (1) or (2) thereof; "radioarrivr iroropr" means any byproduct material except such mate-.

rial (1) contained in speat fuel or waste, or (2) discharged or dis-persed from any nuclear facility; t

"nudrar fariirIy" means "the facility"as defined in any Nuclear Energy Liability Policy (Facility Form) issued by the companies or by l~futuaI htomic Energy LiabilityUnderwriters. The term "nuclear facility"also means (1) any nuclear reactor, (2) any equipment or device designed or used for (a) separating

'he isotopes of uranium or plutonium, (b) processing or utiliz-ing spent fuel, or (c) handling, processing, or packaging waste, (3) any equipment or device used for the processing, fabricating or alloying of special nudear material if at any time the total amount of such material in the custody of the insured at tha premises where such equipmeat or device is located consists of or contains more than 25 grams of plutonium or uranium 233 or any combinatioa thereof, or more than 250 grams of uranium

235, (4) any structure, basin, excavation, premises or place prepared or used for the storage or disposal of waste, and includes the site oa which any of the foregoing is located, all operations conducted oa such site and all premises used for such operations; "nuclear rrarlor" means any apparatus designed or used to sustain nuclear fission in a self-supporting chain reaction or to contain a critical mass of fissionable material; "nurirar anrrgy hazard" means th>> radioactive, toxic, explosive or other hazardous pmperties of nuclear iaaterial; "rpnrrarr ar drfinrd hrrrin" means (1) if in writing, a lease of prem-

ises, easement agreement, agreement required by municipal ordinance, sidetrack agreement, or elevator or escalator maintenance agreement or (2) any written contract designated in Item 6 of the declarations.

APPLICATION OF POLICY'This policy applies only to bodily injury pf or property damage (1) which is caused during the policy period by the nuclear energy hazard and (2) which is discovered and Ior which written claim is made against the insured, not later than two years after the end of the policy period.

EXCLUSIONS This policy does not apply:

(a) to any obligation for which the insured or any carrier as his in.

surer may be held liable under aay workmen's compensation, unemployment compensation or disability benefits Iaw, or under any similar law; (b) except with respect to liabilityof another assumed by the insured under a contract as de6ned herein, to bodily injury to any'mployee of the insured arising out of and in the course of his employment by the insured; (c) io liability assumed by the insured under aay contract or agree.

ment, other than (1) an assumption in a contract as de6ned herein of the liability of any person or organization which would be imposed by law on such person or orgaaizaiion in the absence of an express assumption of liabilityor (2) a warranty of materials, parts or equipment; (d) to bodily injury or property damage due to the manufacturing, handlinp, transportation, distribution or use by or on behalf of the named insured, in time of peace or war, of any nuclear weapon or other instrument of war utilizing special nuclear material or by-product material; but this exclusion does noi apply io watercraft until delivered to and accepted by the purchaser or owner thereof; iNuclear Energy Liability Policy (Supplier's and Transporter's Form) 5/I/57 (e) to bodily injury or property damage due io war, whether or not declared, civil war, insurrection, rebellion or revolution, or to any.

act or condition iacident to any of the foregoing; (f) to property damage to any nuclear facility or any property thereat arising out of ihe possession, handling, use, storage or disposal of nuclear material at such n'uclear facilial, but this exclusion does not apply to aircraft, watercraft or vehicles licensed for highway use, provided such aircraft, watercraft or vehicle are not used in connection with the operation of such nuclear facility; (g) io property damage to nuclear material in the course of transpor.

tation by or on behalf of the named insured, including haadling or storage incidental thereto;

~fh) to bodily injury or property damage arisiag out of (I) the possession, transportation, handling, use. storage or dis-

posal, outside the teiritorial limits of the United States of

hmerica, its territories or possessions, Puerto Rico or the Canal Zone, of nuclear material; (2) or resulting from the radioactive, toxic; explosive or other hazardous properties of nuclear material contained in, or dis.

charged or dispersed from, a nuclear reactor installed in any ship or vessel with respect to which a Nuclear Energy Lia.

NES2000

2 3

bilityPolicy (hfarine Form) has ued by the companies or by Iilutual Atoiaic Energy Liabuity Underwriters; (3) the possessioa,

handling, use, storage or disposal of nuclear material at any nuclear facility owned or operated by the named insured;,

(4) nuclear material in the course of transportation, including handling or temporary storage incidental thereto, (a) to a nuclear facility owned or operated by the named insured from any other location, provided such transportation of such ma-terial Eroin such other location is not by predetermination to be interrupted by the removal of such material from a transporting conveyance for any purpose other than the con-tinuation of such transportation to such nuclear facility, or (b) from a nuclear facility owned or operated by the named COND PRKMIUM The named insured shall pay the companies the advance premium stated ia the declarations, for the period from the effcctive date of this policy through December 31 following. Thereafter, at the beginning of each calendar year while this policy is ia force, the named insured shall pay the advance premium for such year to the companies.

The advance premium for each calendar year shall be stated in a writ-ten notice given by the cornpaaies to the named insured as soon as practicable prior to or after the beginning of such year.

Such advance premiums are estimated premiums only. As soon as practicable after each December 31 and after the termination of this policy, the earned preiaium for ihe precediag premium period shall be computed in accordance with the companies'ulei, rates, rating plans, premiums and minimum premiums applicable to this insurance. If the earned premium thus computed for any premiuin period exceeds the advance premium previously paid for such period, the name insured shall pay the excess to the companies; if

ess, the companies shall return to the named insured the unearned portion paid by such insured.

The named iasured shall maintain records'of the information neces-sary for premium computation and shall send copies of such records to the companies as directed, at ihe end of each calendar year, at the end of the policy period and at such other times during the poficy period as the companies may direct.

INSPKCTION; SUSPKNSION The companies shall be permitted to inspect the insured's premises and operations and to examine and audit ihe insured's books and records at any time, as Ear as they relate to the subject matter oE this insumace.

If a representative of the companies discovers a condition which he believes to be uaduly dangerous with respect to the nuclear energy hazard and which is within the control of the insured, a representative of the companies may request that such condition be corrected without delay. In the event of non compliance with such request, a representa-tive oE the companies may, by written notice to the named

insured, immediately suspend the insurance with respect to such condition. The period of such suspension shall terminate as of the time stated in a written aotice from thr companies to the named insured that such con-dition has been corrected.

LIMIT OF LIABILITY;TKRMINATION OF POLICY UPON KX-HAUSTIOH OF LIMIT Regardless of the number of persons and organizations who are insureds under this policy, and regardless of the number of claims made and suits brought against any or all insureds be.

cause of one or more occurrences resulting in bodily injury or property damage caused during the policy period by the nuclear energy hazard, the limitof the companies'iability stated in the declarations is the total liability of the companies for their obligations under this policy and the expenses incurted by the companies in connection with such obliga-tions, including (a) payments in settlement of daims and in satisfaction of judgments against the insureds for damages because of bodily iajury or prop-erty damage and payments made under parts B, C. and D of Insuring Agreement I; (b) payments for expenses incurred in the investigation, negotiation, settlement and defense of any claim or suit, including, but not limited to, the cost of such services by salaried employees oE the companies, fees and expenses of independent adlusters, attorneys'ees and disbursemeats, expenses for expert testimony, inspection and appraisal of property, examination, X.ray or autopsy or medical expenses of any kind; (c) payments Eor expenses incurred by the companies in investigating an occurrence resulting in bodily injury or property damage or in minimizing its effects.

Each payinent made by the companies in discharge of their obligations under this policy or for expenses incurred in connection with such obligations shall reduce by the amount of such payment the liiait oE the companies'iabiliry under this policy.

If, during the policy period or subsequent thereto, the total of such insured to er location, provided such transportation of such material s

II be deemed to ead whea such material is removed from a transporting conveyance for any purpose other than continuation of such transportation; (5) ~th disposal ofwaste; 8 ~4~

(6) any radioactive isotope while away from any nuclear facility; (i) to bodily injury or property damage with respect to which (1) any person or organization is required to maintain ffaanciai protection pursuant to the Atomic Energy Act of 1934, or any law amenda-tory thereof, or (2) the insured is, or had this policy not been issued would be, entitled to indemnity from'the United States of America, or any agency thereof, under any agreement entered iato by the United States of America, or aay agency thereof, with aay person or organization.

lTlON S payments made by the companies shall exhaust the limit of the com-panies'iability under this policy, all liability aad obligations oE the coinpanies under this policy shall thereupon terminate anil shall be conclusively presumed to have been discharged.

This policy, if not theretofore canceled, shall thereupon automatically terminate.

Regardless of the number of years this policy shall continue in force and the number of premiums which shall be payable or paid, the limit of the companies'iability stated in the declarations shall not be cumu-lative from year to year.

LIMITATIONOF LIABILITY;MULTIPLK POLICIKS With respect to any occurrence or series of occurrences for which insurance is afforded 4 under this policy and for which insuraace (a) is afforded to any per-son or organization, whether or not an insured under this policy, under any other Nuclear Energy Liability Policy issued by the companies, or (b) would be afforded under any other such policy but for its termina-tion upon exhaustion of its limit of liabiility (1) the total aggregate liability of the companies uader all Nuclear Energy Liability Policies (Supplier's and Transporte's Form), in-cluding this policy, affording insurance for such occurrence or series of occurrences shall be the sum of the limits of liability'f all such policies, the limit of liabilityof each such policy being as determined by Condition 3 thereof, but ia ao event shall such total aggregate liability of the compaaies be greater than the amount hy which $46,500,000 exceeds the sum oE the limits of liability stated in the declarations of all Nuclear Energy Liability Policies (Facility Form) issued by the companies and affordinS insurance for such occurrence or series oE occurrences, provided each such Nuclear Energy LiabilityPolicy (Facility Form) issued by the companies shall, solely for the purpose of computing the total aggrepte liability of the corapanies, be deemed to be in effect notwithstanding it has terminated upon exhaustion of its limitof liability; and (2) if in the performance of the companies'bligaffons with respect to such occurrence or series of occurrences aad in payment for expenses incurred in connection with such obligations the total of the payments made by the companies under any Nuclear Energy Liabffiiy Policy or Policies (Supplier's and Transporter's Form) shall exhaust such total aggregate liability of the compania, all liability and obligations of the companies nader this policy with respect to such occurrence or series of occurrences shall thereupon

'erminate and shall be conclusively presumed to have. been dis-

charged, whether or not any of such payments have been charged'gainst this policy.

The provisions of this condition shall not operate to increase the limit of the companies'iability under this policy.

NOTICE OF OCCURRKHCK, CLAIM OR SUIT In the event of bodily injury or property damage to which thispolicy applies or of an Q occurrence which may give risc to claims therefor, written notice con.

taining particulars sufficient to identify the insured and also reasonably obtainable information with respect to the time; place and circumstaaces thereof, and the names and addresses of the injured and of available witnesses, shall be given by or for the Insured to Nuclear Energy Lia-bility Insurance Association or the companies as soon as practicable.

If claim is made or suit is brought afjainst the

insured, he shall immediately forward to Nuclear Energy Liability Insurance Association or the companies every demand, notice, summons or other process re-ceived by him or his representative.

ASSISTANCK AHD COOPERATION OF THK INSURKD The in-sured shall cooperate with the companies

aad, upon the companies'equest, attend hearings and trials and assist in making settlem<<ats, securing and giving evidence, obtaining the attendance of witnesses and in the conduct of any legal proceedings in connection with th>>

subject matter of this insurance.

The insured shall not, except at his own cost, make any

payment, assume any obligatioa or incur any

expense,

ACTION AGAINST COMPANIES'o a n shall lie against the compania or any of them unless, as a condition precedent thereto, thc insured shall have fully complied with all the terms oE this 'policy, nor until the ainount of the insured's obligation to pay shall have been Snally determined, either by, judgment against the insured after actual trial or by wrirten agreement of the insured, the claimant and the compatUcs, Any person or organization or the legal repraentative thereof who has secured such judgment o'r written agreement shall thereifter be entitled to recover under this policy to the extent of the insurance afforded by this policy. No person or organization shall have any right under this policy to join the companies or any of them as parties to any action against the insured to determine the insured's liability, nor shall the companies or any of them be impleaded by the insured or his legal representative.

Bankruptcy or insolvency of the insured or of the insured's estate shall not relieve the coinpanies of any of their obliga-tions hereunder.

SUBROGATION In the event oE any payment under ibis policy, the companies shall be subrogated to all 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. rights. Prior to knowledge of bodily injury or'roperty damage caused by the nuclear energy hazard the insured may waive in writing any right of recovery against any person or organiza-tion, but after such knowledge the insured shall not waive or otherwise prejudice any such right of recoveiy.

OTHER INSURANCE IE the insurance afforded by this policy for loss or expense is concurrent with insurance afforde for such loss or ex-pense by a Nuclew Energy Liability Policy (Supplier's and Trans-potter's Form) issued to the named insured by Mutual Atomic Energy Liability Underwriters, hereinafter called "concurrent insurance,"

the companies shall not be liable under this policy Eor a greater proportion of such loss or expense than the limitof liability stated in the declara-tions of this policy bears to the sum of such limit and the limit of liability stated 'in the declarations of such concurrent policy; provided, if the liability of the companies under this policy or the liability of Mutual Atomic Energy Liability Underwriters under such concurrent policy is reduced pursuant to Condition 4 of this policy or of such concurrent policy, the companies shall not be liable under this policy for a greater proportion of such loss or expense than the amount for which the companies would have been liable under this policy, had such mncurtent policy not been

issued, bears to the sum of such amount and the amount for which Mutual Atomic Energy Liability Underwriters would have been liable under such concurrent policy, had this policy not been issued.

If the insured has other valid'and collectible insurance (other than such concurrent insurance) applicable to loss or expense covered by this policy, the insurance afforded by this policy shall be excess insur-ance over the applicable limit of liability of such other insurance.

CHANGES Notice to any agent or knowledge possessed by any agent or by any other person shall not effect a waiver or a change in any part of this policy or estop the companies from asserting any right under the terms of this policy; nor shall the terins of this policy be waived or changed, except by endorsement issued to form a part of this policy executed by Nuclear Energy Liability Insurance Association on behalf of the companies.

ASSIGHMEHT Assignment of interest by the named insured shall not bind the companies until their consent is endorsed hereon; if, however, the named insured shall die or be declared bankrupt or insolvent, this policy shall cover such insured's legal representative, receiver or trustee as an insured under this policy, but only with rapect to his liability as such, and then only provided written notice of his appointment as legal representative, receiver or trustee is given to the companies within ten days after such appointment.

CANCELATIONThis policy may be canceled by the named insured by mailing to the companies written notice stating when, noi less than thirty days thereafter, such cancelation shall be effective. This policy may be canceled by the compania by mailing to the named insured at the address shown in this policy written notice stating when, not less than ninety days thereafter, such cancelation shall be effective; pro-vided in the <<vent oE nonpayment of premium, this policy may be IN WITNEss WHEREoF, each of the subscribing companies has caused th of Nuclear Energy.Liability Insurance Association anIduly countersigned canceled by the comps~

by mailing to the named insured at the address shown in ihis'policy written notice stating when, not less than thirty days thereafter, such cancelation shall be effective. The mailing of notice as aforesaid shall be sufficient proof of notice. The effective date and hour of cancehtion stated in the notice shall become the cnd of the policy period. Delivery of such written notice either by thc

'named insured or by the compania shall be equivalent to mailing.

Upon termination or cancelation of this policy, other than as of the end of December 31 in any year, the earned premium for the period this policy has been in force since the preceding December 31 shall be computed in accordance with the following provisions:

(a) if ihis policy is terminated, pursuant to Condition 3, by reason of the exhaustion of the limitof the companies'iability, all premium theretofore paid or payable shall be fully earned; (b) if the named insurcI cancels, the earned premium for such period shall be computed in accordance with the customary annual short rate table and procedure, provided if the named insured cancels after knowledge of bodily injury or property damage caused by the nuclear energy hazard, all premiums thereiofore paid or payable shall be fullyearned; (c) if the companies cancel, the earned premium Eor such period shall be coinputed pro rata.

Premium adjustment, ifany, may be made eiTher at the tiine cancelation is effected or as soon as practicable after cancelation becomes effective, but payment or tender of unearned premium is not a condition of cancelation.

COMPANY REPRESENTATION (a) Any notice, sworn statement or proof of loss which may be re-quired by the provisions of this policy may be given to any one of the companies, and such notice, stateinent or proof of loss so given shall be valid and binding as to all companies.

(b) In any action or suit against the companies, service oE process may be made on any one of them, and such service shall be deemed valid and binding service on all companies.

(c) Nuclear Energy Liability Insurance Association is the agent of the companies with respect to all matters pertaining to this insurance.

All notices or other communications required by this policy to be given to the coinpanies may be given to such agent, at its offfce at 60 John Street, New York 38, New York with the same force and effect as if given directly to the companies. Any requests, demands or agreements made by such agent shall be deemed to have been made directly by the companies.

CHANGES IN SUBSCRIBING 'COMPANIES AND IN THEIR PROPORTIONATE LIABILlTYBy acceptance of this policy the named insured agrees that the members of Nuclear Energy Liability Insurance Association liable under this policy, and the proportionate liability of each such member, may change from year to year, and further agrees that regardless of such changa:

(1) each company subscribing this policy upon iis issuance shall be liable only for its stated proportion of any obligation assumed or expense incurred under this policy because of bodily inluty or property damage caused, during the period from the effectiv date of this policy io the close of December 31 next following, by the nuclear energy hazard; for each subsequent calendar year, begin-ning January 1 next following the effectivc date of this policy, the subscribmg mmpanies and the proportionate liability of each such company shall be stated in an endorsement issued to form a part of this policy, duly executed and attested by the General Manager of Nuclear Energy Liability Insurance Association on behalf of each such company, and mailed or delivered io thc named insured; (2) this policy shall remain continuously in effect from the effective date stated in the declarations until terminated in accordance with Condition 3 or Condition 12; (3) neither. the liabilityof any company nor the limitof liabilitystated in the declarations shall be cumulative from year to year.

DECLARATIONS By acceptance of this policy the named insured agrees that the statements in the declarations are the agreeinents and represen-tations of ihe named insured, that this policy is issued in reliance upon the truth of such representations and that this policy embodies all agree-ments between the named insured and the companies or any of their agents relating to this insurance.

is policy to be executed and attested on its behalf by the General Manager on the declarations page by an authorized representative.

For the subscribing companies By General Manager

NUCLEAMNERGY LIABILITY INSURANCE AS IATION 127 John Street, New York, New York 10038 308 Nuclear Energy LiabilityPolicy No. N5 (Supplier's and Transporter's Form)

DECl.ARATIOHS Item t. Named insured Florida Power

& Li ht Com a hddress P. 0.

Box 310 (No.

Street Town or City State) the effective date of the cancelation or termination of this policy, standard time at the address of thc named insured as stated herein.

Item 5.

Description of Premises or Operations of the Named Insured:

Not ~PP>icab>e

. )

Item 4. The limitof the companies'iability is 4 subject to all the terms of this policy having reference thereto.

Item S. hdvance Premium S

Item 6. Designation of contract: None Itcmy. These declarations and the schedules forming a part hereof give a complete description of the premises or operations of the named insured, insofar as they relate to the nuclear energy hazard, except as noted No exce tione Date of Issue October 15

~ t9~, Countersign y

u rized Representative Nuckar Energy LiabilityPolicy (Supplier's and Transporter's Form) Declarations 5/t/57

NUCLEAR ENERGY LlABlllTYlNSURANCE ASSOClATlON AMENDATORYENDORSEMENT (Supplier's and Transporter's Form)

It is agreed that:

L The first sentence of the definition of nuclear facility is amended to read:.

"nuclear facility" means "the facilitv" as defined in any Nuclear Energy Liability Policy (Facility Form) issued by Nuclear Energy LiabilityInsurance Association or by Mutual Atomic Energy Liability Underivriters.

IL Division (2) of Exclusion (h) is amended to read:

"(2) or resultLng from the radioactive, toxic, explosive or other hazardous properties of nuclear material contained in, or discharged or dispersed from, a nuclear reactor installed in any ship or vessel" v"ith respect to which a Nuclear Energy Liability Policy (Marine Form) h!s been issued by Nuclear Energy Liability Insurance Association or by iAIutuaI Atomic Energy LiabilityUnderwriters;"

III. Condition 4 is replaced by the following:

LIMITATIONOF LIABILITY;MULTIPLE POLICIES With respect to any 'occurrence or series of occurrences for ivhich insurance is affordcd under this policy and for ivhich insurance (a) is afforded to any person or organization, ivhether or not an insured under this policy, under any other Nuclear Energy Liability Policy issued by Nuclear Energy Liability Insurance Association or (b) ivould be

'afforded under any other such policy but for its termination upon exhaustion of its limitof liability (1) the total aggregate liability of the members of Nuclear Energy LiabilityInsurance Association under all Nuclear Energy Liability Policies (Supplier's and Transporter's F"rmm), includi!ig this policy, affording irsurance for such occurrence or series oi occur-rerces shall be the sum of f,he liriits of liability of all such policies, the limit of liability of each such policy being as deter-mined by Condition 3 thereof, but in no event shall such total aggregate liability of such members be greater than the amount by which $46,500,000 exceeds the sum of the limits of liability

~

stated in the declarations of all Nuclear Energy LiabilityPolicies (Facility Form) issued by Nuclear Energy Li:ibilityInsurance Association and affording insurance for such oc<<urrence or series of occurrences, p:ovided each such nuclear Energy Liability Policy (Facility Form) issued by Nuclear Energy LiabilityInsur-ance Association shall, solely for the purpose of computing the total aggregate liabilityof members of Nucleai Energy Liability Insurance Association, be deemed to be in effect, notwithstanding it has terminated upon exhaustion of its limit of liability; and ere r5 r Acc I

1 r

(2) if i e performance of the obligations o

e members of Nuclear Energy Liability Insurance Association with respect to such occurrence or series of occurrences and in payment for expenses incurred in connection with such obligations the total of the payments made by such members under any Nuclear Energy Liability Policy or Policies (Supplier's and Transporter's Form) shall exhaust such total aggregate liability of such mem-bers, all liability and obligations of the companies under this policy with respect to such occurrence or series of occurrences shall thereupon terminate and shall be conclusively presumed to have been discharged, whether or not any of such payments have been charged against this policy.

The provisions of this condition shall not operate to increase the limit of the companies'iability under this policy.

Effective Date of October 15 '975 C2tol h.M. Saodard Titac Florida Po~er 6 Light Company lcrued c

Yo form a pere of Policy No NS-308 October 15, 1975 Dca: of lccue Eor the cubccribinS compagnies Endorcetaeac No Supplier's and Transporter's Form 1-1-61 He.l ~ PAOC 4 Couatercisaed b

~Uciear Energy Liability tnsuran NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION GENERAL.AMENDATORYENDORSEMENT (SUPPLIER'S AND TRANSPORTER'S FORM)

It is agreed that L Insuring Agreement II,"Definitionof Insured," is replaced by the following:

"The unqualified word 'insured'ncludes:

(l) the named insured, (2) any employee, officer, director or stockholder thereof while acting within the scope of his duties as such, and if the named insured is a partnership, any partner therein, but only with'respect to his liability as such, and (3) any other person or organization with respect to his legal responsibility for damages because of bodily injury or prop-erty damage caused by the radioactive, toxic, explosive or other hazardous properties of nuclear material in the course of transportation, including handling and temporary storage incidental thereto, by or on behalf of the named insured.

Subdivision (3) above does not include as an insured the United States of America or any of its agencies.

This insurance does not apply to any employee, as insured, with respect to bodily injury to another employee of the same employer arising out of and in the course of his employment.

Subject to Condition 3 and the other provisions of this policy, the insurance applies separately to each insured against whom claim is made or suit is brought."

II. Division (5) of Exclusion (h) is deleted.

EEeerive Date of Csis Zndorsemenr Issued to October 15 1975 12:01 hfdf. Standard Time Florida Power

& Li ht Comoan To Eorm a parr of Policy iso.

NS-308 Date of Issu Oc tober 15 1975 For the subscribing eotnpanies By

)Gen Fndorsemenr No.

Countersign y

aaiear Energy Liability taauran HUCI.EAR ENERGY LIABILITYINSURANCE ASSOCIATION INDUSTRY CREDIT RATING PLAN PREPAIUPA ENGORSEPAKNY It is agreed that Condition 1 of the policy is replaced by the following:

CONDITION 1. PREMIUM Definitions: IVith reference to the premium for this policy:

"advance premium", for any calendar

year, is the estimated standard premium for that calendar year; "standard premium", for any calendar year, is the premium for that calendar year computed in accordance with the companies'ules,

rates, rating plans (other than the Industry Credit Rating Plan), premiums and minimum premiums applicable to this insurance; "reserve premium" means that portion of the standard premium paid to the companies and specifically allocated under the Industry Credit Rating Phn for incurred losses. The amount of the "reserve premium" for this policy for any calendar year during which this policy is in force is the amount designated as such in the Standard Premium Endorse.ment for that calendar year; industry reserve premittrn", for any calendar year, is the sum of the reserve prcmitims for that calendar year for all Nuclear Energy Liability Policies issued by Nuclear Energy Liability Insurance Association and Mutual Atomic Energy Liability Underwriters and subject to the Industry Credit Rating Plan; "policy refund ratio", for any calendar year, is the ratio of thc named insured's reserve pre-miunt for that calendar year to the industry reserve premium for that calendar year; "incurred losses" means the sum of:

(1) all losses and expenses paid by Nuclear Energy Liability Insurance Association and Mu-tual Atomic Energy Liability Underwriters, and (2) all reserves for unpaid losses and expenses as estimated by Nuclear Energy LiabilityIn-surance Association and Mutual Atomic Energy Liability Underwriters because of obligations assumed and the cxpcnscs incurred in connection with such obligations bv members of Nucl:ar Energy Liability Insurance Association and Mutual Atomic Energy Liability Underwriters under all Nuclear Energy Liability Policies issued by Nuclear Energy Liability Insurance Association and Mutual Atomic Energy Liability Underwriters and sub-ject to the Industry Credit Rating Plan; "reserve for refunds", at the end of any calendar year, is the amount by which (1) the sum of allindustry reserve premiums for the period from January 1, 1957 through the end of such calendar year exceeds (2) the total for thc same period of (a) all incurred losses, valued as of the next following July 1, and (b) all reserve premium refunds made under thc Industry Credit Rating Plan by members of Nuclear Energy Liability Insurance Association and ivfutual Atomic Energy Liability Underwriters; "industry reserve premium refund", for any calendar year, is determined by multiplying the reserve for refunds at the cnd of the ninth calendar year thereafter by the ratio of the indus-try ns'crve preniium for the c"!cndar year for which the premium refund is being determined to thc sum of such amount and the total industry reserve premiums for thc next nine calendar years thereafter, provided that the industry reserve premium refund for any calendar year shall in no event be greater than the industry reserve premium for such calendar year.

(2 Payment of'Advance and Standard Premiums The named insured shall pay thc companies thc advarcc premium stated in the declarations, for the period from thc effective date of this policy through December 31 following. Thereafter, at the. beginning of each calendar year while this policy's in force, the named~sured shall pay the advance premittm for such year to the companies.

The advance premium for each calendar year shall be stated in the Advance Pre-mium Endorscmiint for such calendar year issued to the n'amed insured as soon as practicable prior to or after the beginning of such year.

bine<ear Energy Liability inaurance NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION As soon as practicable after each December 31 and after thc termination of tMs policy, the standard premium for the preceding calendar year shall bc finally determined and stated in the Standard Premium Endorsement for that calendar year. If thc standard premium so determined exceeds the advance premium previously paid for such calendar year, the named insured shall pay the excess to the companies; if less, the companies shall return to the named insured the excess portion paid by such insured.

The named insured shall maintain records of the information necessary for premium computa-tion and shaH sendcopies of such records to the companies as directed, at the end of each cal-endar year, at the end of the policy period and at such other times during the policy period as the company may direct.

(3)

Use of Reserve Premiums All reserve premiums paid or payable for this policy may be used by the members of Nuclear Energy Liability Insurance Association to discharge their obligations with respect to incurred losses wh".J<cr such losses arc incurred under this policy or under any other policy issued by Nuclear Energy Liability Insurance Association or Mutual Atomic Energy Liability Underwriters.

(4)

Reserve Premium Refunds A portion of the reserve premium for this policy for the first cal-endar year of any group of tcn consecutive calendar years shall be rc',arnable to the named in-sured provided there is a reserve for refunds at thc cnd of the tenth calendar year.

(5)

Computation of Reserve'Premium Refunds Thc reserve premi<<m refund due thc name insured for any calendar year shall bc determined by multiplying any intlust<y reserve premium refund for such calendar year by the policy refund ratio for such calendar year. The reserve pre-mium refund for any calendar year shaH be finally dctcrmined as soon as practicable after July 1 of the tenth calendar year thereafter.

(6)

Final Premium The final premium for this policy shall be the sum of thc standard premiums for each calendar year, or portion thereof, during which this policy remains in force less the sum of all refunds of reserve premiums duc the named insured under the provisions of this Condition 1.

(7)

Reserve Premium Refund Agree<nent Each mcmbcr of Nuclear Energy Liability Insurance Association subscribing this policy for any calendar year, or portion thereof, thereby agrees for itseif, severally and not jointly, and in thc respective proportion of its liability(assumed under this policy for that calendar year, to return to thc named insured that portion of any reserve premium refund due thc named insured for that calendar year, detcrmincd in accord-ance with the provisions of this Conditio<t l.

Efkctive Date of this Endorsement October 15 1975 l2:Ol A.M. Standard Time Issued to Florida Power t'7 Light: Company NS-3C8 To form a part of Policy Nn.

gate of Issue October 15 1975 For thc subscribing companies Ge "M

e e ndorserncnt No.

Countersi"wed b ren l7 mon a

1 I Nuclear Energy LiabilityIncuranc NUCLEAR ENERGY LIABILITYINSURANCE'SSOCIATION AMEND?CENT OF EXCLUSION (d)

ENDORSEMENT NUCLEAR ENERGY LIABILITYPOLICY SUPPLIER'S AND TRANSPORTER'S FORM It is'greed that:

(1)

Exclusion (d) is amended to read as follows:

(d) to bodily injury or property damage'rising, directly or indirectly, out of an explosion, however caused, of an atomic weapon.

(2)

The term "atomic weapon" has the meaning given it in the Atomic Energy Act of 1954, or in any law amendatory thereof.

Mecum Date of this Enciorserueu issued October 15, 1975 12i01 A.M. Stauciard Time F1orida Power 6 Light Company October 15, 1975 To form a part of Policy No For the Subsaibbg Comsartics NS-308 By pador~t No NE-23 Couotersigaeci

1 Nuclear Energy Liabilitytncuranc~

NUCI.EAR ENERGY LIASILITY INSURANCE ASSOCiATION c

AMENDATORY ENDORSEMENT (Substances Exposed to Radiation for Preservation and Other Purposes)

It is agreed that the policy does not apply:

(a) to bodily in)ury or property damage, arising out of any condition in any substance which has been exposed by any person or organization to ionizing radiation for the purpose of preserving, pasteurizing, sterilizing, improving its quality or durability, changing the nature thereof, or any similar purpose, or (b) to property damage to the substance exposed to sucn radiation; but part (a) of this exclusion does not apply to any substance so exposed for the purpose of making it radioactive E8rctrye Dato oE Zodo October 15 1975 X2:ot AA.~ Time Pl r d Power

& Li ht Com an October 15 1975 To form a part oE PoUcy N Por dto Subaib tnt Compankgt Eodargeneat No NE"31 Couorenigo en e

~r

gudear Energy Uabglty Insuranca Ruche Wzmv Ne)un'NSURAma ~ssoCexov Address of Nuclear Ener Liabilit Insurance Association Endorsement Xt is agreed that the address of the Nuclear Energy Liability Xnsurance Association appearing in the "Company Representation" condition of the policy is aaended to read:

~ r The Exchange Farmington Avenue Farmington, Connecticut 06032 I ~

3n I

~

I lUJetbe~ ot this October 15, 1975 October 15, 1975 12:OX AILStgndad Tine Florida Power

& Light Company For he Subaibhg Coegaaks NS-308 NE 378 (4/1/74)

By era anat~er ~~..

./

.wlZ~~F

udear &aqy UablRy Inwrones Nuc~ &H@Y UmeTY NSURANCE AssoemzoM ADVANCE PREHIUM AND STANDARD PREMIUM ENDORSEMENT Calendar Year 1975 It is agreed.that Item 5 of the Declarations "Advance Premium: is amended to read:

ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period design ted above is:

3 275.54 STANDARD PREMIUM AND RESERVE PREMIUM: In the absence of a change in the Advance Premium indicated above, it is agreed that, subject to the provisions of the Industry Credit Rating Pla

, the Standard Premium is said Advance Premium and the Reserve Premium is:

2,194.61 Bgectb>> &de of Ehzs October 15, 1975 XZ:Or hah Smdasd Thw Plorida Power 8-Light Company October 15, 1975 o fcea a put of R4e Pce che Sabaibhg Ccapsda NS-308 acecec NE-41 Countersign

. ~

0

~

Hudear Energy UabHtty Insurance NUCL$4t EB&6Y UmtUTY tBSURANCc A5SOaAT)ON AMENDATORY ENDORSEMENT (Limitation of Coverage for Source Material and Extension of A lication of Polic It is agreed that:

1. The insurance afforded by the policy with respect to source aaterial applies only with respect to bodily injury or property damage arising out of source material. with respect to which the insured under the policy is an insured under another nuclear energy liability policy issued by Nuclear Energy Liability Insurance Association or Mutual Atomic Energy Liability Underwriters, or would. be an insured under any such policy but for its termination upon exhaustion of its limits of liability.

2. Insuring Agreement IV of the policy captioned, "Application of Policy" is amended to read as follows:

APPLICATION OP POLICY This policy applies only to bodily injury or property damage (1) which is caused during the policy period by the nuclear energy hazard and (2) which is discovered and for which written claim is made against the insured, not later

.than ten years after the end of the policy period.

October 15 1975 11:01 h3L. Shodacd Tioae wer 6 Li ht Comoan October 15, 1975 NS-308 To focccc a pact o! PoHcy No Pot dao Subcecihhg Ccayaucs Zodocaeaxot No NE-42 Hy Couacecai baaed b

Ge ag

'udeer Energy Unbigty Inrnrnnee NUCLSQt &HGY UAS)UYY IHSURANCE Assog!ATION

~ ~

AMENDMENT OF CONDITION 4 ENDORSEMENT It is agreed that with respect to bodily injury or property damage caused after the effective date of this endorsement by the nuclear energy hazard the figure $46,500,000 stated in Condition 4 of the policy,is amended to read

$96,875,000.

October 15, 1975 12:01~

~e Plorida Power 6 Light Co'mpany'ctober 15, 1975 Xhae of csee NS-308 TO faaa a part Crf POOD NO peg she subaiHag coeyaaks By g~~ggag NE 43C (1/1/75)

-E<

~

a <~v a

~

0

~

~

~

'lear Energy Liabilitylnsuran NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION 1)'DVANCE PREMIUM AND STANDARD PREMIUM ENDORSEMENT 2)

CHANGES IN SUBSCRIBING COMPANIES AND IH THEIR PROPORTIONATE LIABILITY ENDORSEMENT Ca1eedar Year 1976 la.

ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated aboye is:

15,306.25 b.

2.

3.

STANDARD PREMIUM AND RESERVE PREMIUM:

In the absence of a change in the Advance Premium indicated above, it is agreed that, subject to the pro-visions of the Industry Credit Rating Plan, the Standard Premium is said Advance Premium and the Reserve Premium is:

10 633.00 It is agreed that with respect to bodily injury or property damage

caused, during the effective period of this endorsement, by the nuclear energy hazard:

a. The word "companies".

wherever used in the policy means the sub-

-scribing companies listed on the reverse side of this endorsement.

b. The policy shall be binding on such.compa'nies only.

c. Each such company shall be liable only for its proportion of any.

obligation assumed or expense incurred under. the policy because

. of such bodily injury or property damage as designated on the

.reverse side of this endorsement.

It is agreed that 'the effective period of this endorsement is to the close of December 31st of the Calendar 'Year designated in the caption above, or to.the time of the termination or cancelation of the policy, if sooner.

(over)

Effective'ate of this Endorsemen issued to January 1,

1976 12:01 A.M. Standard Time 19 To form a part of Policy No

ÃS-308 For the su cribing co panies By Endorsement No HE-35 (1/1/76}

Countersigned'

Cr

~

v SUBSCRIBING CfpfPANIES Aetna Casualty and Surety Company. The, 151 Faivsfngton Ave., Hartford. CT 06156 Aetna Insurance

Company, 55 Elm Street. Hartford.

CT 06115 Allstate Insurance

Company, 8324 Skokfe Boulevard, Skokfe, Illinois 60076

)aerican Hotorfsts Insurance Company.

Long Grove. Illinois 60049 Centennial Insurance Company.

45 Mall Street, Hew'ork. New York 10005 Coauercfal Union Insurance Co~ny, One Beacon Street,

Boston, HA 02108 Continental Casualty

Company, 310 South Hfchfgan Avenue. Chicago, Illinois 60604 Continental Insurance Company. The. 80 Maiden Lane.

New York, New York 10038 Federal Insurance

Company, 51 John F. Kennedy Parkway, Short Hills,New Jersey 07078 Ffrcman's Fund Insurance Co"-pany. 3333 Calffornfa Street, San Francisco.

CA 94119 General Accident Fire and Lffe Assurance Corporation, Ltd.. 414 Walnut St.. Philadelphia, PA 19105 Great American Insurance

Company, 580 Walnut Street, Cincinnati. Ohfo 45201 Gulf Insurance

Company, 3015 Cedir Springs, Dallas, Texas 75221 Hanover Insurance

Company, The, 440 Lincoln Street. Worcester, HA 01605 Hartford Accident and Indemnity Company, Hartford Plaza, Hartford, CT 06115 Hartfqrd Steam Boiler Inspection and Insurance Company.

The.

56 Prospect St.. Hartford, CT 06102 Home Indemnity Company,

The, 59 Hafden Lane, New York. Hew York 10038 Insurance Company of North America. 1600 Arch Street, Phfladelphfa, PA 19101 Hanhattan Fire and Harfne Insurance Company.

The, 260 Long Ridge Road, Stamford, CT 06902 Maryland Casualty Company, Post Office Box 1228 Baltfmore, NO 21203 Honarch Insurance Company of Ohio, The.

19 Rector Street, New York, Ncw York 10006 Ncw Hampshire Insurance Company.

1750 Elm Street, Hanchester, Hew Hampshire 03104 Northwestern Hatfonal'Insurance

Company, 731 North Jackson St., Hflwaukee. Wisconsin 53202 Pacfffc Indemnity Company, 3200 Mflshfre Boulevard, Los Angeles, CA 90054 Peerless Insurance

Company, 62 Haple Avenue,

Keene, Hew Hampshire 03431 Phoenix Assurance Company of New York, 80 Hafden Lane, New York, Hcw York 10038 Providence Washington Insurance Co"pany, 20 Washfngton Place, Provfdence, Rhode Island 02903 Relfarce Insurance

Company, 4 Penn Center Plaza, Philadelphia.

PA 19103 Royal Globe Insurance

Company, 150 Mfllfam Street, Hew York, tlew York 10038 St. Paul Fire and Harfne Insurance Company.

385 Washington Street. St, Paul, Hfnnesota 55102 Seaboard Surety Co~ny. 90 Mfllfam St.,

New York, New York 10038 Security Insurance Company of Hartford. 1000 Asyiea Avenue. Hartford, CT 06101 State Farm Fire and Casualty Company.

112 East Washington Street, Bloomington, Illinois 61701 Stuyvesant Insurance Company.

1105 Hamilton Street, Allentcwn. PA 18101 Transamerfca Insurance

Company, 1150 South Olive Street, Los Angeles.

CA 90015 Travelers Indemnity Company,

The, One Tower Square, Hartforde CT 06115 United States Fidelity and Guaranty Company, Post Offfce Box 1138, Baltfmore, Haryland 21203 United States Fire Insurance

Company, Hadfson Avenue at Canffeid Road, Horrfstown, Ncw Jersey 07960 Zurich Insurance Company, ill 'West Jackson Boulevard, Chicago, Illinois 60604 NE-76 PROPORTION OF 1M%

10.7668013 2.2559012 3.6914748

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~.2050819

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.1025410 1.0254097 4.1529091 3.9191157

.4101639 1.3843030

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.4101639 11.4845881 6.7677037 2.6865733 1.0254097