ML18228A275

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

ML18228A275
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
Download: ML18228A275 (54)

Text

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~ 0 BOX 0131 00I MIAMI'LORIDA33'101 rC c

L FLORIDA POWER & LIGHT COMPANY February 4,

1976 L-76-44

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pttice of Nuclear React or'Regu at'iou eo

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<gf 'p Acing:

Nz.

Roger Boyd, Director Division of Pxoject Management

~g'6 4 3-Zggg U.

S. Nuclear Regulatory Commission Washington, D.

C.

20555

Dear Mr. Boyd:

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"-'e:

NELIA Policy No.

NS-308 and

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MAELU Polic No.

MS-59 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, r

Robert E. Uhrig Vice President REU:nch Enclosure cc:

Jack R.

Newman, Esq.

(w/copy)

Mr. J.

D. Saltzman (cert copy)

P CLPIN G BUILD P'R IOA P

MUTUAl. ATOMIC ENERSY LIABILlTYUNDKRWRlTERS AMERICAN MUTUALLIABILITYLNSURANCE COMPANY'ake6eld, Massachusetts EMPLOYERS MUTUAL LIABILITYINSURANCE COMPANY OP WISCONSIN, Wausau, Wisconsin HARDWARE MUTUAL CASUALTY COMPANY, Stevens Point, Wisconsin LIBERTY MUTUAL INSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY COMPANY, Chicago, Illinois MICHIGAN MUTUAL LIABILITYCOMPANY, Detroit, Michigan NUCILEAR EHEIRGV ILIIABIIILII7YPOLIICV (SUPPLIER'S AND TRANSPORTER'S FORM)

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HUCLEAR ENERGY LIABILITYPOLICY (SUPPLlER'S AHD TRAHSPORTER'S FORM) s MUTUALAT4MIC ENERSY LIABILlTYUNDERWRITERS AMERICAN MUTUAL LIABILITYINSURANCE COMPANY, Wake6eld, Massachusetts EMPLOYERS MUTUALLIABILITYINSURANCE 'COMPANY OF WISCONSIN, Wausau, Wisconsin HARDWARE MUTUALCASUALTY COMPANY> Stevens Point, Wisconsin LIBERTY iVCUTUAL LNSURANCE COMPANY, Boston, Massachusetts LUMBERMENS MUTUAL CASUALTY COMPANY, Chicago, Illinois MICHIGANMUTUALLIABILITYCOMPANY, Detroit, Michigan

's Thc undersigned members of Mutual Atomic Energy Liability Underwriters, 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 made a part hereof, in consideration of the premium and in reliance upon the statements in the declarations and subject to thc limit of liability, exclusions, conditions and other terms of this policy:

tNSVRINS AC REEMENTS 1

BODILY INJURY AND PROPERTY DAMAGE LIABIUTY To pay on 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 propeny damage and seeking damages svhich arc payable under the terms of this policy; but the companies may make such investigation, negotiation and settfemeat of any claim or suit as they deem expedient; 3., 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

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

rT DEFINITION OF INSURED The unqualified word "insured" in-cludes the named insured and also includes any employe~,

officery director or stockholder thereof while acting within the scope of his duties as sucho If the named insured is a pattnership, the unquah-fied svord "insured" also includes any partner therein, but only svith respect to his liability as such.

This insuranc>>

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 9 and the other provisions of this policy, the insurance applies separately to each insured against whom claim is made or suit Is brought.

r T DEFINITIONS Aherever used in this policy:

"isodliy iniurysu nseans isodhly injury, ~lol:ness or disease, iuoiudinu death resulting therefrom, sustained by any person; "property dulnngo" means physical injury to or destruction or radioactive contamination of property, and loss of use of property so injured, destroyed or contaminated, and loss of use of property while evacuated or withdrawn from use because possibly so contaminated or because of Imminent danger of such contamination; "nuclear tnaferJcl" means source material, special nuclear material or byproduct material; "sourco maferlal," "special nuclear maferlaI," and "byproducf material" have the meanings given them in the Atoraic Energy Act of 1954, or in any lasv ainendatory thereof; "spen> foci" means any fuel element or fuel component, solid or liquid, svhich has been used or exposed to radiation in any nuclear re ac'tor u "wasfo" 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 definition of nuclear facility under paragraph (1) or (2) thereof; "radioactive lsofopooo means any byproduct material except such material (1) contained in spent fuel or waste, or (2) discharged or dispersed from any nuclear facility; "nucledst" fdscillfy" means "the facility" as defined in any Nuclear Energy Liability Policy (Facihty Form) issued by the companies or by Nuclear Energy Liability Insurance Association.

Thc tenn "nuclear facility" aho means (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, or (c)

handling, processing, ot pac!'aging wasted (9) any equipmcnt or device used for the processing, fabricating or alloying of special nucleat 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 more than 25 grams of plutonium or uranium 299 or any combination 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 on which any of the foregoing is located, all operations conducted on such site and all premises used for such operations; "nuclear roacfor" means any apparatus designed or used to sustaia nuclear fission in a self-supporting chain reaction or to contain a

critical mass of fissionable material; "nuclear energy hazard" means the radioactive, toxic, ezplosivc or other hazardous properties of nuclear material; "confracf as defiaed heroin" means (1) if in writing, a lease of

premises, casement agreement, agreement required by municipal ordinance, sidetrack agreement, or elevator or escalator maintenance agreement or (2) any svritten contract designated in Item 6 of thc declarationso APPLICATION OF POLICY This policy applies only to bodily injury or property damage (1) svhich is caused during the policy period by the nuclear energy hazard and (2) svhich is discovered and for svhich written claim is made against the insured, not later than two years after the end of the policy period.

Nuclear Energy Liability Pdyliey (supplier's aad Transporter's Fdyryyy) 5/t/91 yusuru0 NPS 200

~aoh PASE 3

EXCLUSIONS This FoBcy does not apply:

(a) to any obligation for which the insured or any carrier as his insurer may be held liable under any morhnen's compensation, unemploymeut compehsation or disability benefits Iaw, or under any similar law; (b) except with respect to liability of another assumed by the in-sured under a contract as defineii herein, to bodily injury to any employee oE the insured arising out of and in the course of his employment by the insured; (c) to liability assuined by the insured under any contract or agree-mcnt, other than (1) an assumption in a contract as defined herein of the liability of any person or organization which mould be imposed by law on such person or organization in thc absence of an express assumption of liabilityor (2) a mar-ranty oE materials, parts or equipment; (d) to bodily injury or property damage due to the manufacturing, handling, transportation, distribution or use by or on behalf of the named insured, in time oE peace or mar, oE any nuclear meapon or other instrument of mar utilizing special nuclear material or byproduct mat'erial; but this exclusion does not apply to vratercraft until delivered to and accepted by the purchaser or owner thereof; (e) to bodily injury or property damage due to mar, mhether or not declared, civil war, insurrection, rebellion or revolufiion, or to any act or condition incident to any of the foregoing; (E) to property damage to any nuclear Eahility or any property thereat arising out of the possession,

handling, use, storage or disposal of nuclear material at such nudear facility, but this exclusion does not apply to aircraft, watercraft or vehicles licensed for hlghivay use, provided such aircraft, ivatercraft or

'ehicles are not used in connection with the operation of such nuclear facility; (g) to property dainage to nuclear material in the course of trans-portation by or on behalf of the named

insured, including handling or storage incidental thereto; (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 the United States of 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 the companies or by Nuclear Energy LiabilityInsurance Asso-ciation; (3) the possession, handling, use, storage oi disposal of nuclear material at any nuclear facility owned or operated by the named insured; I

(4) nuclear material in the course of transportation, including handling or temporary storage incidental thereto, (a) to a nuclear facility owned or operated by thc named insured from any other location, provided such transportation of such material from such other location is not by predetermination to be interrupted by thc 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 nuckar facility oivned or operated by the named insured to any other location, provided such trans-

. portation of such material shall be deemed to end when such material is removed from a transporting conveyance

~ for any purpose other than continuation of such transpor-tation; (5) the disposal of vvaste; (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 protection pursuant to the Atomic Energy Act of 1954; or any law amendatory thereof, or (2) the insured is, or had this policy not been issued svould be, entitled to indemnity from the United States of America, or any agency thereof, under any agreement entered into by the United States of America, or any agency thereof, with any person or organization.

CO N D IT I 0 N S PREMIUM Thc named insured shall pay the companies th>> advance premium stated in the declarations, for the period from the effective date oE this policy through December 31 folloiving. Thereafter, at the beginning of each calendar. year svhile this policy is in force, the named insured shall pay theladvance premium for such year to the companies.

The 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 year.

Such advance premiums are estimated premiums only.

As soon as practicable after <<ach December 31 and after the termination of this policy, the earned premium for the preceding premium period shall be computed in accordance vvith the compames'ules,

rates, rating plans, premiums and minimum premiums applicable to this insurance.

If the earned premiuin thus computed for any premium period exceeds the advance premium previously paid for such period, the named insured shall pay the excess to the companies; if less, the companies shall return to the nained insured the unearned portion paid by such insurerL The named insured shall maintain records of the information" necessary 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 oE tbe policy period and at such other times during the policy period as the companies may direct.

INSPECTION; SUSPENSION The companies shall be permitted to

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inspect the insured's premises and operations and to examine and audit the insured's books and records at'any time, as far as they rehte to the subject matter of this. insurance.

If a reprcsentafive of the companies discovers a condition mhich he believes to be unduly dangerous mith 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 vvithout delay.

In the event of non.compliance with such request; a

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

insured, immediately suspend the insurance svith respect to such condition.

The period of such suspension shall terminate as of the time stated in a vvriiten notice from the companies to the named insured that such condition has been correcteiL LIMIT OF LIAIIILITYITERMINATION OF POLICY UPON EX-HAUSTION OF LIMIT Regardless of the number of persons and organizations who arc insureds under this policy, and regardless of the number of claims made and suits brought against any or all insureds because of one or morc occurrences resulting in bodily injury or property damage caused during the policy period by the nudear energy hazard, the limit of the companies'iability stated in thc 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 settlement of claims and in satisfaction of judg-ments against the insureds for damages because of bodily injury or property damage and payments made under parts II, C and D of Insuring Agreement I; (b) payments for expenses incurred in the investigation, negotiation, settlement and deEense 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 testiinony, inspection and appraisal of property, examination, X-ray or autopsy or medical expenses of any kind; (c) payments for expenses incurred by the companies in investigat-ing an occurrence resulting in bodily injury or property damage or in minimizing its elfects.

Each payment made by the companies in discharge of their obliga-tions under this policy or for expenses incurred in connection vvith such obligations shall reduce by the amount of such payment the limit of the companies'iability under this policy.

If, during the policy period or subsequent

thereto, the total oE such pa)vnents inadc by the companies shall <<xhaust the limit of the companies'iability under this policy, all liability and obliga-tions of the companies under this policy shall thereupon terminate and 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 bc cumulative froin veai to year.

'PA'SE 4

, LIMITATIONOF LIABILITY;MULTIPLE POLICIES AVith respect to any occurrence or series of occurrences for mhich insurance is aforded 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 aforded under any other such policy but for its terinination upon exhaustion of its limit of liability (1) the total aggregate liabilityof the companies under all Nudear Energy Liability Policies (Supplier's and Transporter's Farm)r including this policy, afording insurance for such occurrence or series of occurrences shall bc the sum 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 event shall such total aggregate liability of the companies bc greater than thc amount by which $13,300,000 exceeds the smn of the limits of liabilitystated in the declarations of all Nuclear Energy Liability Policies (Facility Form) issued by the companies and afording insurance for such occurrence or series of occurrences, rovided each such Nuclear Energy Liability Policy (Facility orm) issued by the coinpanies shall, solely for the purpose of computing the total aggregate liability of the companies, be deemed to be in efect notwithstanding it has terminated upon exhaustion oE its liinit of liability; and (2) if in thc performance of the companies'bligations mith 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 the companies under any Nuclear Energy LiabilityPolicy or Policies (Supplier's and Transporter's Farm) shall exhaust such total aggregate liability of the com-panies, all liability and obligations of the companies under this policy ivith respect to such occurrence or series oE 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.

NOTICE OF OCCURRENCE, CLAIM OR SUIT In thc event of bodily injury ar property damage to svhich this policy applies or of an occurrence mhich may give risc to claims therefor, written notice containing particulars sufEcient to identify the insured and also reasonably obtainable information with respect to the time, place and circumstances thereof, and thc names and addresses of the fn-jured and of available ivitnesses, shall be given by or for the insured to Mutual Atomic Energy Liability Underwriters or thc companies as soon as practicable.

If daim is inade or suit is.,

brought against the insured, he shall immediately forward to Mutual Atomic Energy Liability Underivriters or the companies every de-

, mand,

notice, suinmons or other process received by him or his representative.

ASSISTANCE AND COOPERATION OF THE INSURED The in-sured shall cooperate with the companies and, upon thc 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 vrith the subject matter of this insurance.

The insured shalt not, except at his oivn cost, make any payment, assume any obligation or incur any expense.

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 alicy, nor until the amount of the insured's obligation to pay shall ave been finally determined either by judgment against the insured after actual trial or by ivritten agreement of the insured, thc dafman!

and the companies.

Any person or organiration ar the legal representative thereof svho has secured such judgment or written agreement shall thereafter be entitkd to recover under this policy to the extent of the insurance aforded 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 ar insolvency of the insured or of the insured's estate shall not relieve the com-panies of any of their obligations hereunder.

SUEROGATION In the event of any payment under this policy, thc 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 mhatevcr cise is necessary to secure such rights.

Prior to knowledge of bodily injury or property damage caused by the nuclear energy'azard the insured may waive in writing any right of recovery against any person or organization,.but after such Lnomledge the insured shall not waive or otherwbe prejudice any such right of recovery.

OTHER INSURANCE If the insurance aforded 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 Transjrotter's Form) issued to the nained insured by Nuclear Energy Liabihty Insurance.Association, hereinafter called "concurrent insur-ance,"

the 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 limit and the limit oE 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 for a greater proportion of such loss or expense than the amount Eor svhich the companies would have been liable under this policy, had such concurrent policy not been

issued, bears to the sum of such amount and the amount Eor which Nudear Energy LiabBity Insurance Association mould have been liable under such concurrent policy, had this policy not been issued.

If the insured has other valid and callectiblc 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 knoivledge possessed by any agent or by any other person shall not efFect a ivaiver or a change in any'art of this poHcy or estop the companies from asserting any right under the terms of this policy; nor shall the terms of this policy be svaived or changed, except by endorsement issued to Eorm a part of this policy executed by Mutual Atomic Energy Liability Underwriters on behalf of the companies.

ASSIGNMENT Assignment oE interest by the named insured shall not bind thc companies until their consent js endorsed hereon; if, hoivevcr, the named insured shall dic 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 liabilityas such, and then only provided written notice of his appointment as legal representative, receiver or trustee is given to the companies svithin ten days after su<<h appointment.

CANCELATION This policy may be canceled by the named insured by mailing to thc companies svritten noficc stating when, not less than thirty days thereafter, such cancelation shall be cfcctive, This policy may be canceled by th>> companies by mailing to the named insured at the address shaivn in this policy written notice stating ivhent not less than ninety days thereafter, such cancelation shall be efcctive; provided in the event of non-payment of premium, this policy may be canceled by the companies by mailing ta the named insured at the address shown in this policy mritten notice stating when> not less than thirty days thereafter, such cancelation shall be efFective.

The mailing oE notice as aforesaid shall be sufhcient prooE oE notice.

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

Delivery of such ivritten notice either by the named insured or by the companies 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 thc following provisions:

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

cancds, the earned premiuin for such period shall be computed in accordance with the customary annual short rate table and procedure, provided 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-cdation is efected or a>> soon as practicable after cancehtion becomes effective, but payment or tender of unearned premium is not a

condition of cancelation.

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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

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

(b) In any action or suit against the compaaies, 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 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 companies may be given to such agent, at its oifice at 919 North iiiichigan Avenue, Chicago 11, Illinois with the same force and eifect as if given directly to thc 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.

PORTIONATE LIABILITY Qy acceptance of this policy the named insured agrees that the members of Mutual Atomic Energy Liability Underivriters 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 endorsernent entitled "Changes in Sub-scribing Companies and in Their Proportionate Liability"issued to form a part of this policy, duly executed on behalf oE the companies subscribing such endorsement and mailed or delivered to the named

insured, 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 eifective date of this policy to the elective date of the first such endorse-ment, by the nuclear energy hazard; (2) this policy shall remain continuously in eiiect Erom the eifective date stated ia the declarations until terminated in accordance with Condition 3 or Condition 12; (3) neither the liability of any company nor the limit of lhbllity stated in the declarations shall bc cumulative from year to year.

DECLARATIONS By acceptance of this polio> the named insured agrees that the statements in the declarations are the agreements 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 thc com-panies or any of their agents relating to this insurance.

MUTUALPOLICY CONDITION This policy is nonassessable.

The named insured is a member of each of the companies and shall participate, to the <<xtent and upon the conditions fixed and deter-mined by its board of directors in accordance with the provisions of law, in the distribution of dividends so fixed and determined.

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NUCLEAR ENERGY LIABILlTY POLtCY'a.

MS-~~

MUTUALATOMIC ENERSY LIABILITYUNDERWRITERS AMERICAN MUTUAL LIABILITYINSURANCE COMPANY Wake6eld, Massachusetts EMPLOYERS MUTUALLIABILITYINSURANCB CohXPANY OF WISCONSIN Wausau, Wisconsin HARDWARE MUTUAL CASUALTY COMPANY Stevens Point, Wisconsin LIBERTY MUTUAL INSURANCE COMPANY Boston, Massachusetts LUMBERMENS MUTUALCASUALTY COMPANY

~ Chicago, Illinois MIGHIGAN MUTUALLIABILITYCoMPANY Detroit, Michigan The named insured is hereby notificd that by virtue of this policy he is a member of each of the 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 each of thc companies are held at the time and place stated herein.

This policy is nonassessable.

NOTICE OF ANNUALMEETINGS The annual meetings of AhtzRIOAN MUTUALLIABILITY INsURANcB CohiPAvv arc held at its home ofBce in Wakefield, Massachusetts, on the third Wednesday of March in each year, at eleven o'lock in the morning.

The annual meetings of LIzzRTY MUTUAI. INSURANcz COMPANY arc held at its home ofBce in Boston, Massa-chusetts, on the second Wednesday of April in each year, at elcvcn o'clock in the morning.

The annual meetings of EhIPLOYERs MUTUALLIABILITY INsURANcE COSIPAvv oF WIscoNSIN arc held at its home ofBce in Wausau, Wisconsin, on the third Friday of February in each'year, at ten o'lock in the morning.

Thc annual meetings of LUhIBERhtzvs MUTUAL CAs-UALTY CohfPAivv are held at its home office in Chicago, Illinois, on the third Tuesday of May in each year, at eleven o'lock in the morning.

Thc annual meetings of HARDwARE MUTUAI.CAsUALTY COSIPANY are held at its home offic in Stcvcns Point, Wisconsin, on the third Wednesday of April in each year, at nine o'clock in the morning.

The annual meetings of MIOHIGAivMUTUAI.LIABILITY COSIPANY are held at its home ofBcc in Detroit, Michigan, on the last Thursday of March in each year at 10:30 o'clock in the morning.

1 IN KVITNESS AVIIEREOF, each of the subscribing companies has caused this policy to bc executed by it, attested on its behalf by an oflicer,of Mutual Atomic Energy Liability Underwriters and duly countersigned on the declarations page by an authorized representative.

S VBSC RIB I NG Coa'I PANIES PROPORTION OF 100 o

(1)

AaIERICAN MUTUALLIABILITYINSURANCE CoaIPANY 5

/g Sccahrp Przsfdsn t (2)

Easer. ovERs MUTUALLIABILITYINSURANCE CoMPANv oF KVISCONSIN 15 SscasrAav PRSSInzm (3)

HARDwARE MUTUALCASUALTY CoaIPANY SscasTARY PItESIDKNt (4)

LIBERTYMUTUALINSURANCE COMPANY 45 4 P~sr (5)

LVaiBER'aIENS MUTUALCASUALTY COMP ANY SEcssTARv PSSSIOSm (6)

MICPIIGAN MUTUALLIABILITYCOMPANY h

SCCRKTARY PnssIosIIr ATTEST.

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,'l l.IABILPTv UNBERwRITERS 100 M<a

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0 MUTUAL ATOMIC ENERSY LIABILITYUNDERVfRITERS 9I9 Norlh Michigan Avenue, Chicago I I, illinois Nuclear Energy Liability Policy No. MS59 (Supplier's and Transporter's Form) 9ECIARAYIONS Item I.

Named Insur Florida Power L Light Company Addr P..O.

Box 3100 (No.

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

Item 3.

Description of Premises or Operations of the Named Insured:

Not Applicable Item 4.

The limit of the companies'iability is $ 28s125,000 reference: thereto.

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

Advance Premium 950.96 Item 6.

Designation of contract:

none Item 7.

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 Exceptions

(

Date of Issue'

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October 22,1975 Countersigned. by Aut orrscd'presentative Nuclear Energy LiabilityPolicy (Supplier's and Transporter's Form) Declarations 5/1/57 ea "re le Lab

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 Packer Drive, Chicago, Illinois 60601" Effective Date of October 35~ 1975 this Endorsement Florida Power and Light Company To form a Part M$ 59 f Policy No.

October 22, l975 For the Subscribing Companies MUTUALATOMIC ENERGY LIABILI~UNDERWRITERS (7e By

'-mj~

v Endor~ent No.

Countersigned by AvrnoNzxo Rxraasa)ITATEY1

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 To form a part hS-59 this Endorsement f Policy No.

Issued to F1orida Power and Light Company October 22, 1975 Date of Issu For the Subscribing Companies MUTUAL TO IC ENERGY LTABILIT5UNDERWRITERS u

y.<~

/g By Endorsement No.

Countersigned by Aumoxlzro REpaessÃTATTYE

Amendment of Condition 4 Endorsement It is agreed, that with respect to bodily in3ury 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.

ndoa~ent October 15, 1975 Effective, Date of Florida Power and Light Company Issued to To form a part

+$ 59 f Policy No.

October 22, 1975 Date of Issu For the Subscribing Companies MUTUA~TOMICENERGY LIABILITYUNDERWRITERS

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Endorsement No.

Countersigned by AQiBOR1XED REFRESENTAT1Vs

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 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 fox 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 reserve 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 premium for that calendar year to the industry reserve premium for that calendar year; I

"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 Insurance Association and Mutual Atomic Energy Liability Underwriters"

Pa,ge 2

IN)USTRY CREDIT FdiTIYG PLAN PRE".fIl!8 EYOORSBK;lT (Cont.)

because of ooligations assumed and the expenses ncurred in connecczon with su"n obgat'ons by membex's oz.'luc3.ear Energy Lia'oility Insurance Assc"iation a..d ~~futual Ato>>ic Energy Liability Un"exwriters under all nuclear Enex'gy Liability Policies issued by hue!ear Energy Liability Insurance Associa-tion and ~~!utual Ato ic ine"gy Liabi3.ity Undexwx'te s and subject to the industry Cred't Rat'ng P'an; "reserve fox refunds", at. the end oz any calendar year, is.the amount by which {3.) tha sum of all industry reserve pram ums for the period =ro= Jan axy 1, 1957 thxough the end oz such ca ender yaa" a:cceeds (2) zha total fox'he same period oz

{a) all in'cuxred losses, valued as of the next zollowing July 1~

and

{b) ail reserve

""em ua xe unds made under the I..dustry Cxed"'t Rating Plan by members oz ':ucleax Energy L-'ability Insurance Association and:!utual Atomic Energy Liability Underwriters; "industry reserve premium refund", zor any cele..dar year, is determined b- =.ulxiolvinz zhe reserve zo" refunds at the cn of the ninth calendar thereaf rex by the ratio of the ind..stxy reserve premium for the a andax year zor which the premium rezund -s bein-detaxminec

=o the sum of such a.ount and the total industry =esexva premiums for the next n ne ca~encar yeax's <<hercaztex, provide that:he industry reserve premium re.'nd =or any calendar ye=" shall in no event ba greater than the in"ustxy reserve premium for such ca3.en"ax year, Payment o

Advan e and Standard Premiums.

The named insured sha'1 oay tha co;:.p"n'es tha a=vance premium stared in tea

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declarati"..s, zor tha period from the ezzactive date oz

".". s nolicy thxou~h December 31 fol'owing.

Thereazt x, at the 1

beg"nnin" oi ach calendar yea'hile this pol'cy is in zorce, the named insured shall pay xha advance pxemiu-. for such year to the co. pan'es.

Tha advance pr =.i' zor each calendar year shall be stated in t¹ Advance ?xemium Endorsam nt for such calendar yea" issued to the named insured as soon as practica'be prior to or after the beginning oz such yea".

As soon as pxacti"ab~e after each December 31 and after the texminat"on of this policy, the standard premium ""or the preceding calendar year shall be finally determined and stated in the St nd rd P"e=ium Endorsan nt for that calendar year.

!i the s andaxd pre..ium so determin d e..ceeds the

.advance pxe..ium previ us'y pai';ox such calendar

year, the named insured sha3.1 paj he excess

=o the compan es; if less the c mpanies sh. 1" xet"xn to the named insured the excess port'on pard by such insured,

Para 3

INDUS'ZRY CREDIT RATING Pl-4N PRH<IUN EHDORBBKNT {Cont.)

The named insured shall maintain records of rhe inzormation necessary for premium computation and shall send copies of such records to the companies as directed, at tha end of each calendar year, at the end oz the policy pax'iod 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 Liability Underwrite s ro discharge iheir obligations vith respect o incurred losses whether such losses are in-curred unde" this policy or under any other policy issued by Nucl ar Energy Liabiliry Insurance Assocxaticn or mutual Atomic Energy Liability Under~ziters.

(4)

Reserve Premium Refunds.

A portion of the reserve premium for this policy for the, zizst calenda" year of 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 of Reserve Premium Refunds.

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

. determined by"multiplying any indusrry reserve premium rezund for such calendar year by the policy razund ratio for such calendar year, The reserve premium refund for any calendar

~ yea" shall be xinally determined as soon as practicable after July 1 of tha tenth calenda year ihereafter.

{6)

Final Premium-.

The zinal premium for this policy shall be the sum of standard premiums for each calendar year, or portion thereof, during srhich this policy remains in force les's the sum of all refund" of 'reserve p"amiums due'he named insured.

under the provisions of this Condir.'on 1.

INDUSTRY CREDIT P4TIi Ci PLAN PRENI1~i ENDORSE:."F:.iT (Conc. )

Reserve Pr~wi!n Refund A@roe-..!ent.

Each ri.ember of Mutual Atomic Energy Liaoility Unior.writers subscri~ing this policy fo. any cil ender:ci or i o t on t 'lezeoi thereby i g'es Koi. ii.si 1f se!icral lv

.nd not jointli >

i nd,,

the respective pro"-ortion o.its lie~11.'ty assn..ed under this po'icy f~r ti!"c ca! endar

) ear ) to retu!, ! to ti!e nv;.,cd insured cha t port io!; o" any reserve pr="..!iu;.! refund duc the named i!:surcd for that calendar year detemincd in accordance

.:itic the piovisions oi this Condition l ~

)f.~v" ZJ' pf Qf p..,<October 151 TO fpi!11 a". p.'ii'C pi Pplicj. ',

NS-59 Florida Power and Light Company October 22, 1975 1 pr col( Guv'""fltlii+Cc np. us(8

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AHFiVi)ATOPY FHOOoc:-!~5K (Substances Exposed to Had ation for Preservation and Other Purposes)

Et is a@reed that the policy does not app'v:

(a) to bodily injury or property d"wage arisinj out of any condition in any substance srhich has been exposed by any person or or:"anizati n to ionizing radiation for the purpose of'reservirg, pasteur'zing, storilizing,. improvinr its quality or durability, changing the nature thereof~

or any similar purpose, or (b) to property'amage to the substance exposed o such radia-tion; but part (a) of this exc'usion does not apply to any subs ance so expcsed for the purposo of making it radioactive.

Effective Date of October $5 f975 this Endorsement To form a part

~g 59 f Policy No.

Florida Power and Light Company Issued to October 23, 1975 Date of Issu For the Subscribing Companies MUTUAL.ATOMIC ENERGY L.ABILITYUiNDERVvRITERS r

B 5

Endorsement No.

t.lc'l Countersigned by iUTHOaraso Rem'a~&LHTArns Oal

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

It is agreed that:

I'nsuring Agreement II, "Definition of Insured", is xeplaced 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 pexson or organization with respect to his legal res-ponsibility for damages because of bodily injury or px'operty 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 insurance applies separately to each insured against whom claim'is made or suit is brought."

0

II.

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

III.

This endorsement supersedes Endorsement NE-16 captioned GENERAL AMENDATORY ENDORSEHENT (SUPPLIER'S AND TRANSPORTER'S FORM) ~

October 15, 1975 Eheetivc Date of To form a part f Policy No.

hsued to Date of hsu Florida Pover and Light, Company'ctober 27, 1975 For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITYUNDER>VRIT-PS

,I Endorsement No.

NE-16A(a/1/69)

W'4

~ Os Csuntersigned by Aurse '"so RarsaasssraTIYE

LBAR NilRRGY LIABILITYIRS ANCE NVTQAL AVQPRtC QRXRSY LIABILITYUNMRV/RIVERS ANBiDATORY ENDORSEMENT MJCLEAR ENERGY LIABILITYPOLXCY SUPPLXM~S AND TRANSPORTER~8 FORM It is agreed that!

. I, The first sentence of the definition of nucleax'acility

's amended to read>

"nuclear facility~ means "the facility" as defined in any Nuclear Energy LiabilityPolicy (Facility Form) issued by Mutual Atomic Energy LiabilityUnderwriters 'or by Nucleax Energy'iability Insurance AssociationJ IIi Division (2) of Exclusion (h) is amended to reads or resulting from the radioactive, toxic, explo-sive 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 which

• Nuclear Energy LiabilityPolicy (Marine Form) has been issued by Mutual Atomic Energy LiabilityUnderwriters or by Nuclear Energy Liability Xnsurance Associa-tion;"

XIII'ondition4 is replaced by the following:

LLGTATION OF LIABILITY! MJLTIPLE POLICIES Nith xespect 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 organisation, whether or not an insured under this policy, under any other Nuolear-Enex'gy Liability Policy issued by Mutual Atomic Energy Lia-bility Underwriters or (b) would be afforded under any other such poliqy but for its termination upon exhaustion of its limit of liability (1) the total aggregate liability of the members of Mutual Atomic Energy LiabilityUnderwriters under all Nucleax"Energy LiabilityPolicies (Supplier's and Transporter's Form),

....including. this.policy, affording insurance for..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 Sl3,500,000 exceeds the sum of the limits of liability stated in the declarations of all Nucleax'nergy Liability Policies (Faoility NE>>15'

Form) issued by Mutual Atomic Energy Liability.Under-writers and affording insurance for such occurrence or series of occuxrences, provided each such Nuclear Energy Liability Policy {FacilityForm) 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 liabi1ity; and (2) if in the performance of the obligations of the membexs of Mutual Atomic Energy LiabilityUnderwriters with respect to such occurrence 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 memberss all liability and obligations of the companies under this policy with x espect to such occurrence or series of occurrences shall thereupon terminate and shall be conclusively presumed to have been dischaxged, 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 companiest liabilityunder this policyo Effective Date of this Endorsement October 15 1 7 Florida Power and Light Company Issued to To form a part f Policy. No.

M~-

Date of Issu October 27, 1975 I'or the Subscribing Companies MUTUALATO IC ENERGY. LIABILITYUNDERWRITERS tI

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<<r ssy Endor.cment No.

Countcrsigncd by Avaioa>zoo Ear asszNrznva nc 1$

NUCLEAR ENERGY LJAS)Ln'Y lNSURANCH

~ MVTVALAYOM/C ENERGY L!ABlLllYUNDHRWRlTERS Amendment of Exclusion (d) Endorsement Nuclear &er Li.ability Poli.cy (Sup lierrs and Trans orter's Form)

It is agr'eed that:

(1)

Exclusion (d) is amended to read as follows:

'I (d)

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

(2)

The term "atomi.c weapon" has the meaning given it in the Atomic Energy-Act of 1954, or in any law amendatory thereof Effective Date of October 15, 1975 this Endorsement Florida Power and Light Company Issued to October 27, 1975 Date of Issu To form a part of Policy No For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITY.UNDERWRITERS Endorsement No, NE 23 Countersigned by AllTIIOalÃ'Kll Ital'aV~RNTATIVa

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AMENDATORY ENDORSE LENT (Limitation of Coverage for Source Material and Extension of' 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 f'r its termination upon exhaustion of its limits of liability.

2.

Insuring Agreement IV of the policy captionedr "Application of Policy" is amended to read as follows:

APPLICATION OF POLICY.

This policy applies only to bodily ingury 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 M$ 59 f Policy No, Florida Power And Light Company Issued to Date of Issu October 27 1 7 For the Subscribing Companies MUTUALATOMIC ENERGY LIABILITY,UNDERWRITERS

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'ndorsement No.

Countersigned by 3 UTHORIZZD REPRESE.'IThTIVE tO RE>

ADVANCE PREMIUM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Year 3975 l.

ADVANCE PREMIPif 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 Reserve Premium

$ 637.1 f Effective Date of this Endorsement To form a part of Policy No Issued to Florida Power and Light Company Date of Iasu October 27, 1975 For the Subscribing Compames MUTUALATOMIC ENERGY. LIABILITY:UNDERWRITERS By Endorsement No.

10 Countorsif;nod by AUTllolll/hl>lfhlsMt NTA'rlYL

5

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NUCLEAR RMPRGY LIABILITYINSURANCE NUTCOAL ATQNIC ENERGY LIABILITYUNMRVSRITKRS ADVANCE PREMIUM ENDORSEMENT and STANDARD PREMIUM ENDORSEMENT Calendar Year 1976 l.

ADVANCE PREMIUM k

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

$ "~""3 75 2.

STANDARD PREMIUM AND RESERVE PREMIUM In the absence of a change in the Advance Premium indicated above, it Xs 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 zanuary 1, 1976 this Endorsement To form a part of Policy No Florida Power and Light Co.

December 15, 1975 Date of Issu For the Subscribing Companies MUTUAL 0

C E By p

L LI UNDERWRITERS 7)A+~

Endorsement No.

Countersigned by AUTnolu'/all,ital's'VAVNThrlVB'

NUCL R ENERGY LIABILITYP ICY (SUPPLIFR'S anti TRANSPORTER'S FORM)

The undersigned members of Nuclear Energy Liability Insurance Association, 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 made a part hereof, in consideration of the premium and in reliance upon the statements in the declarations and subject to the limit oE liability, exclusions, conditions and other terms of this policy:

INSURING AGREEMENTS I BODILY INJURY AND PROPERTY DAMAGE UABILITY To pay on 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 defead any suit against the insured alleging such bodily injury or property damage and seeking damages which are payable under the terms of thts policy; but the companies may make such investigation, negotiation and settlemeat of any claim or suit as "they deem expedient; IL costs taxed agziast the insufed in any such suit and interest on+i any judgment therein; I

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'han loss of earnings, incurred by the insured at the companies'equesh IT~ DEFINITION OF INSURED The unquali6ed word "insured" includes I the named insured and also includes any employee, officer, director or stockholder thereof ~bile acting within the scope of his duties as such.

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

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 employmcat.

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.

I 1-DEFINITIONSherever used in this policy:

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

~ "property 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 evabLzted or withdrawn from use because possibly so contaminated or because of imminent danger of such contamination; "nurkar material" means source material, special nuclear material or byproduct material; "rourra malarial," "rprnal nurlrar malarial," and "byproduct majrrial" have the meanings given them in the Atomic Energy Act of 1954, or in any law amendatory thereof; "spent furl"means any fuel element or fuel component, solid or liquid, which has been used or exposed to radiation in any nuclear reactor; "toanr" means any waste material (1) containing byproduct material and (2) resulting from the operation by any person or organization of any nuclear facility included within the de6nition oE nucl<<ar facility under paragraph (1) or (2) thereof; "radioarriue iso(opa" means any byproduct material except such mate-rial (1) contairied ia spent fuel or waste, or (2) discharged or dis-persed fmm aay nudear facility; r

"nurkar fariliiy/'eans "the facility"as ddined ia any Nuclear Energy Liability Policy (Facility Form) issued by the companies or by Mutual Atomic Energy LiabilityUnderwriters. The term "nuclear facility-also means (1) any nudear reactor, (2) aay cquipmeat or device designed or used for (a) separating

'he isotopes of'uranium or plutonium, (b) processing or utiliz-ing speat Euel, or (c) handling, processmg, or packaging waste, (3) any cquipmeat or device used for the processing, fabricaung or alloying of special nuclear material if at any time the total amouat of such material in the custody of the insured at the premises where such equipment or device is located consists of or contains more than 25 grams of plutonium or uranium 233 or any 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 oE waste, and indudes the site on which any of the foregoing is located, all operations conducted on such site and all premises used for such operations;

"<<urkar raarsor" means any apparatus designed or used to sustain nuclear 6ssion in a self.supporting chain reaction or to contain a critical mass of 6ssionable material; "nurkar cnrrgy baird" means the radioactive, toxic; explosive or other hazardous properties of nuclear material; aconrrarr ar drjfnrd 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 D7 or property damage (1) which is caused during the policy period by the nuclear energy hazard aad (2) which is discovered and for which written claim is made against the insured, not later than two years after the end of the policy period.

EXCLU S IONS This policy does aot apply:

(a) to any obligation Eor 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 Iaw; (b) except with respect to liabilityof another assumed by the insured under a contract as defined herein, to bodily injury to any employee of the insured arising out of and in the course of his employment.

by the insured; (c) to liability assumed by the insured uader aay contract or agree-ment, other than (1) an assumption in a contract as defined herein of the liability of any person or organization which would be imposed by law on such person or organizaclon in the absence of an express assumption of ILzbilityor (2) a warranty of materials, parts or equipment; (d) to bodily injury or property damage due to the manufacturing, handling, transportatton, 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 by-product material; but this exclusion does not apply to ivatercraft until delivered to and accepted by the purchaser or owner thereof; Nuclear Energy LiabilityPolicy (Supplier's and Transporter's Form) 5/I/57 (e) to bodily injury or property damage due to war, whether or not declared, civil war, insurrection, rebellioa or revolution, or to any act or condition incident to any of the foregoing; (f) to property damage to any nuclear facility or any property thereat arising out of the possession, handling, use, storage or disposal of nuclear material at such nuclear facility, but this exclusion does not apply to aircraft, watercraft or vehicles licensed for highway use, provided such aircraft, watercraft or vehide are not used in connection with the operation of such nudcar facility; (g) to 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;

+h) to bodily injury or property damage arising out of (1) the possession, transportation, handling, usc; storage or dis-

posal, outside the teiritorial limits of the United States of

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 ia, or dis-charged or dispersed from, a nuclear reactor installed in any ship or vessel with respect to which a Nuclear Energy Liz-NES 2000

bitityPolicy {htarine Form) has b ued by the companies or by hfutuat Atomic Energy Liabi ity Underwriters; (3) the possession, handling, use, storage or disposal of nuclear material at any nuckar 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 iasured from any other location, provided such transportation of such ina-terial !rom such other location is aot by predetermiaation to be interrupted by the removal oE 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 I

PREMIUhl The named insured shall pay the companies the advance premium stated in the declarations, for the period froitx the ettcctive date of this policy thmugh December 31 following. Thereafter, at the beginning of exch calendar year while this policy is ia force, the named insured shall pay the advance premium for such year to thc companies.

The advance premium Eor each calendar year shall be stated in a writ.

ten notice given by the companies to the named insured as soon as practicable prior to or after the begianing of such year.

Such advance premiums are estimated premiums only. As soon as practicable after each December 31 and after the reimmation oE this policy, the earned premium for the preceding premium period shall be computed in accordance with the companies'ules, rates, rating plans, premiums and iainimum 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 name insured shall pay the excess to the companies; if less, the companies shall return to the named insured the unearned portion paid by such insured.

'he axiaed insured shall maintain records'of the information neces-sary for premium computation and shall send copies of such records to the companies as directed, at the end of each caleniiar year, at the end of the policy period and at such other times during the policy period as, the companies may direct.

Z..

INSPECTION; SUSPENSION The companies shall be permitted to inspect the insured's premises and operations and to examine aad audit the insured's books and records at any tiine, as far as they relate to the subject matter of this insuraace.

If a representative of the companies discovers a condition which he believes to bc unduly 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 th>> event of non compliance with such request, a representa.

tive of the coinpanies may, by written notice to the named

insured, immediately suspend the iasuiance with respect to such condition. The period of such suspension shall terminate as of the time stated ia a

,written aoffice from the companies to the named insured that such con-dition has been corrected.

LIMIT OF LIABILITY TERMINATION OF POLICY UPON EX 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, thc limitof the companies'iability stated in the dedarations is the total liability of the companies for their obligations under this policy and the expenses incurred by the companies in connection with such obliga-tions, including (a) payments in settteiaent of claims and in satisfaction of judgments against the insureds for damages because of bodily injury 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 aot limited to, the cost of such services by salaried employees of the companies, Eees and expenses of independent adtusters, attorneys'ees and disbursements, expenses for expert testimony, inspection and appraisal of pmperty, examination, X-ray or autopsy or medical expeases of any kind; (c) payinents for expenses incurred by the companies in investigating an occurrence resulting in bodily injury or property damage or in minimizing its eff'ccts.

Each payment made by the companies in discharge of their obligations under this policy or for expenses incurred in connection wiili such obligations shall reduce by the amount of such payment the limitof the companies'iability under this policy.

If, during the poHcy period or subsequent thereto, the total of such insured to er location, provided such transportation of such material II be deemed to ead whea such material is removed from a trxnsporting conveyance Eor any purpose other than continuation of such transportation; (5) the disposat ofvrLste; &~ A~

(6) any radioactive isotope white away fmin any nudear facility; (i) to 6odily injury or property damage with respect to which (1) aay person or organization is required io maintain Gnanciat protection pursuant to the Atomic Eaergy Act of 1954, or any law amenda-tory thereof, or (2) the insured is, or had this policy not 6een issued would be, entitled to indeinnity from the United States of America, or any agency thereof, undec any agreement entered into by the United States of hmenca, or aay agency thereof, with aay person or organization.

tTlONS payments made by the companies shalt exhaust the limit of the com-panies'iability under this policy. all lia6itity aad obligations of the companies under this policy shall thereupon terminate and shall be conclusively presumed to have been discharged.

This policy, if not theretofore caaceled, shall thereupon automaticatly terminate.

Regardless of the number of years this policy shall continue in force and the aumber of premiums which shall 6e payable or paid, thc limit oE the companies'iability stated in the dcctatatioas skull not be cumu-lative from year to year.

LIMITATIONOF LIABILITY;MULTIPLE POLICIES With respecc to Q any occurrence or series of occurrences for which insurance is afforded 4 under this policy and for which insurance {a) ts 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

{6) would be afforded under any other such poliqr but for its termina-non upoa exhaustion of its limit of liability (1) the total aggregate liability of the companies under all Nuclear Energy Liability Policies (Supplier's aad Transporter's Form), in-cluding this policy, affording insurance for such occurrence or series of occurrences shall be the sum of the limits of Hability of aH such policies, the limitof liabilityof each such policy being as determined by Condition 3 thereof, but in no event shall such total aggregate liability of the companies be greater thaa the amount 1y which $46,500,000 exceeds the sum of the limits of liability stated in the declarations of all Nuclear Eaergy Liability Policies (Facility Form) issued by the companies and affording insurance for such occurrence or series of occurrences, pmvidcd each such Nuclear Energy Liability Policy (Facility Form) issued by the coiapanies shall, solely for the purpose oE computing the total aggregate liability of the companies, be deemed to be in effect notwithstanding it hxs terminated upon exhaustion of its limitof liability; and (2) if in the performance oE the companies'bligations with respect to such occurrence or series of occurrences and ia payment for expenses incurred in connection with such obligations the total of the payments made by the companies under aay Nuclear Energy Liability Policy or Policies (Supplier's and Transporter's Form) shall exhaust such total aggregate liability of the companies, all liability and obligations of the companies under this policy with respect to such occurrence or series of occurrences shall thereupon

'ermiaate and shall be conclusively presumed to have.beea dis-charged, whether or not any of such paymeats 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 OCCURRENCE, CLAIM OR SUIT In the eveat of bodily injury or property damage to which this policy applies or of an occurrence which may give rise to claims therefor, vrriiten notice con-taining particulars sufticicnt to ideatify the insured aad also reasoaably obtainable information with respect to the time, place aad circumstances thereof, and the names and addresses of the injured and of available witnesses, shall be given by or for the insured to Nuclear Energjr Lia-bility Insurance Association or the compaaies as soon as practicable.

If claim is made or suit is brought against the insured, he shall immediately forward to Nuclear Energy Liability Insurance Association or the companies every demand, aotice, summons or other process re-ceived by him or his representative.

ASSISTANCE AND COOPERATIOH OF THE INSURED The ia-sured shall cooperate with the 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 connectioa with thc'ubject matter of this insurance.

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

payment, assume aay obligxtioa or incur aay expense

7.

ACTION AGAINST COMPANIES No a shall lie against the canceled by the comps by mailing to the named insured at the companies or any of chem unless, as a condition precedent thereto, the address shown in this policy written notice stating when, not less than insured shall have fullv complied with all the terms of this 'policy, nor thirty days thereafter, such cancelation shall be effective. The mailing until the amount of the insured's obligation to pay shall have been of notice as aforesaid shall be suEicient proof of notice. The effective ffnaliy determined. either by, judgment against the insured after actual date and hour of cancelation stated in the notice shall become the end trial or by wrirten agreement of the insured, the claimant and the of the policy period. Delivery of such written notice either by the

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

Any person or organization or the legal representative thereof who Upon termination or cancelation of this policy, other than as of the has secured such judgment or written agreement shall thereafter be end of December 31 in any year, the earned premium for the period entitled to recover under this policy to the extent of the insurance this policy has been in force since the preceding December 31 shall afforded by this policy. No person or organization shall have any right be computed in accordance with the following provisions:

under this policy to join the companies or any of them as parties to (a) if this policy is terminated, pursuant to Condition 3, by reason of any action against the insured to determine the insured's liability, nor

'he exhaustion of the limitof the companies'iability, all premium shall the companies or any of them be impleaded by the insured or his theretofore paid or payable shall be tully earned; legal representative.

Bankruptcy or insolvency of the insured or of the (b) if the named insured cancels, the earned premium for such period insured's estate shall not relieve the cosnpanies of any of their obliga-shall bc computed in accordance with the customary annual short tions hereunder.

rate table and procedure, provided if the named insured cancels 8

after knowledge of bodily injury or property damage caused by the SUBROGATION In the event of anY Payment under this PolicY, the

~

nuclear energy hazard all premiums theretofore paid or payabie comPanies shall be subrogated to all the insured's rights of recovery shall be fully (c) if the compan es cancel, the ca ned prem' for su execute and deliver instruments and papers and do whatever else is necessary to secure suchrights. Prior to knowledge of bodily miury or" premium adjustment, if any, may be made eifher at the time cancelation ProPerty damag "sed Y th "" ea en rgy +m th ms ed may is elfected or as soon as practicable after cancelation becomes effective, wave m writmg any right of recovy ag mt any Per n or organm-but payment or tender of unearned premium is not a condition'f cion, but after such knowledge the insured shall not waive or otherwise

~cela@on prejudice any such right of recovery.

9 COMPANY REPRESENTATiON OTHER INSURANCE If the insurance afforded by this Policy for loss

( ) An t'

t t

f f I

h. h b

] 3.

or exPense is Concurrent with msurance afforded for such loss or ex-quired by the provisions of this policy may be given to any one pense by a Nucl r Energy Mbiliy Poliy (Suppltm's and Tmm-of the compan,ei, and such notice, statement or proof of loss so porter's Form) Issued to the named insured by hfutuaf Atomic Energy Liability Underwriters, hereinafter called "concurrent insurance,"

tne (b) In any action or suit against the companies, serviceof p~~ may companies shall not be liable under this Policy'or a greater pmportion of such loss or expense than the limitof liability stated in the declara-(c) N clear Energy Liability Insurance Assoa tion is the agent of the liability stated in the declarations of such concurrent policy; provided, companies with respect to all matters pertaining to this Insurance.

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 ot such loss or expense than the amount for which the companies would have been liable under this policy, had

'such concurrent policy not been

issued, bears to the sum of such amount and the amount for which Mutual Atomic Energy Liability CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR Underwriters would have been liable under such concurrent policy, had PROPORTIONATE LIABILITYBy acceptance of this policy the named this policy not been issued.

insured agrees that the members of Nuclear Energy Ltability Insurance If the insured has other valid'and collectible insurance (other than Association liable under this policy, and the proportionate liability of such concurrent insurance) applicable to loss or expense covered by each such member, may change from year to year, and further agrees this policy, the insurance aff'orded by this policy shall be excess insur-that regardless of such changes:

ance over the applicable limit of liabilityof such other insurance.

(I) each company subscribing this policy upon its issuance shall be 10 liable only for its stated proportion of any obiiption assumed or

~ or by any other person shall not effect a waiver or a c ange in any w iv a

han in an expense incurred under this policy because o

bodily injury or part of this policy or estop the companies from asserting any right under the terms of this poticy; nor shall the terms 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 such company shall be stated in an endorsement issued to form a Tl

'5 ASSIGNMENT Assignment of interest by the named insured shall not part of this policy, duly executed and attested by the General bind the companies until their consent is endorsed hereon; if, however, Manager of Nuclear Energy Liability Insurance Association on, the named insufed shall die or be declared bankrupt or'insolvent, this behalf of each such company, and mailed or delivered to the named policy shall cover such insured's legal representative, receiver or trustee insured; as an insured under this policy. but only with respect to his liability (2) this policy shall remain continuously in effect from the eff'ective as such, and then only provided written notice of his appointment as date stated in the declarations until terminated in accordance with legal representative, recetver or trustee is given to the companies within Condition 3 or Condition 12; ten days after such appointment.

(3) neither. the liabilityof any company nor the litnitof liabilitystated 12'7 CANCELATIONThis policy may be canceled by the named insured by in the declarations shall be cumulative rom year to Year.

mailing to the companies written notice stating when, not less than DECLARATIONS By acceptanceof this policy thenamed insured agrees thirty days thereafter, such cancelation shall be elfcctive. This policy that the statements in the declarations are the agreements and represen-may be canceled by the companies by mailing to the named insured at tations of the named insured, that this policy is issued in reliance upon the address shown in this policy written notice stating when, not less the truth of such representations and that this policy embodies all agree-than ninety days thereafter, such cancelation shall be effective; pro-ments between the named insured and the companies or any of their vided in the event of non.payment of premium, this policy may be agents relating to this insurance.

ltr Wtvrrzss WttzaEor, each of the subscribing companies has caused this policy to be executed and attested on its behalf by the General Manager of Nuclear Energy Liability Insurance Association and duly countersigned on the declarations page by an authorized representative.

For the subscribing companies By General Manager

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

DKCLARATIOHS Item 1. Named Insured Florida Power

& Li ht Com a hddrcss P. 0.

Box 100 (No.

Street Town or City State) the effective date of the cancdation or termination of this policy, standard time at the address of the narncd tnsured as stated herein.

Item3.

Description of Premises or Operations of the Named Insured:

Not APPlicable

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

Item 5. hdvance Premium 5

Item 6. Designation of contact: None Itemy.

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 tions Date of Issue October 15

, 19~7

~ Countersign y

u rized Representative Nuclear Energy LiabilityPolicy (Supplier's and Transporter's Form) Declarations 5/I/57

udear Energy Liability tnsura&

NUCLEAR ENERGY LlABlLlTYlNSURANCE ASSOClATlON AMENDATORY ENDORSEMENT (Supplier's and Transporter's Form)

Itis agreed that:

I. The first sentence of the definition of nuclear facility is amended I

to read:

I "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 Underwriters.

III. Divisiori (2) of Exclusion (h) is amended to read:

"(2) or resultmg 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 which a Nuclear Energy Liability Policy (Marine Form) h!s been issued by Nuclear Energy Liability Insurance Association or by iblutual Atomic Energy LiabilityUnderwriters;"

III. Condition 4 is replaced by the following:

LIMITATIONOF LIABILITY;MULTIPLE POLICIES KVith respect to any occurrence or series of occurrences for which insurance is afforded under this policy and for which insurance (a) is;!fforded to any person or organization, whether or not an insured under this policy, under any other Nuclear Energy Liability Policy issued by Nuclear Energy Liability Insurance Association or (b) would be

'fforded 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 Form),

including this policy, affording insurance for such occurrence or series of occur-rences shall be the sum of the limits 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 liabilityof 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 Energv Liability Insurance Associatior. and affording insurance for such occurrence or series of occurrences, provided each such Nuclear Energy Liability Policy (Facility Forin) issued by Nuclear L'nergy LiabilityInsur-ance Association shall, solely for the purpose of computing the total aggregate I!ability of members of Nuclear Ene..gy Liability Insurance Association, be deemed to be in effect, notwithstanding it has terminated upon exhaustion of its limit of liability; and Hc tts pAcc t

(2) i! i+e nerformence of the obligations oe members oi 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.

i. -Q E8eetige Dace of this hndorsemen October 15 1975 l2:Ol h.M. Stgodgrd Ticne Florida Power

& Light Company issued t To form a pact of Policy No NS-308 Dan: of hsue October 15, 1975 For the sebsecibinS cnmpanies Endorsement No 1

Su ppher's and Transporter's Form 1-1-61 Countersignedb'Z/

+clear Energy Liability tnsuran NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION r o GENERAL,AMENDATORXENDORSEMENT (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:

(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 liability as such, and (S) 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.

October 15 1975 12:01 h 'if.Standard Time Florida Power

& Li ht Com an Toformaparrof PolicyNo.

NS-308 DareofJsstt October 15 1975 For the subscribing companies By

)Cen 4

~

al Manager Endorsemenr No.

Cottnrersign y

tlualear Energy 'Liability Insuran NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION INDUSTRY CREDIT RATIHG PLAN PREMIUM ENGQRSDAKNT It is agreed that Condition 1 of tne policy is replaced by the following:

COND1TION 1. PREMIUM (1)

(2)

Definitions: AVith reference to the premium for this policy:

"advance pretnium", 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 m the Standard Premium Endorse,atcnt for that calendar years "industry reserve premium", for any calendar year, is the sum of the reserve premiunls 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 the 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 LiabiTityIn-surance Association,and Mutual Atomic Energy Liability Underwriters because of obligations assumed and the expcnscs 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 A:omic 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 all industry 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 tnadc under thc Industry Credit Rating Plan by members of Nuclear Energy Liability Insurance Association and Mutual Atomic Energy Liability Underwriters; "industry reserve premium refund", for any calendar year, is determined by multiplying the reserve far refunds at the cnd of the ninth calendar year thereafter by the ratio of the indus-try reserve pretnitun for the calendar year for which the premium refund is being dctcrmined to thc sum of such amount and the total industry reserve premiums for the next nine calendar years thereafter, provided that the industry reserve premitun refund for any calendar year shall in no event be greater than the industry reserve premitun for such calendar

year, Payment af Advance and Standard Premiums The named insured sltall pay the companies the advance prentittun 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-premium for such year to the companies.

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

L

~ Nudeer Energy Liability IneureIee NUCLEAR ENERGY L!ABlLITYINSURANCE ASSOClATIObl I

As soon as practicable after each December 31 and after thc termination of this policy, the standard premium for the preceding calendar year shall be finaHy dctcrmined and stated in the Standard Premium Endorsement for that calendar year. If thc standard premium so determined exceeds thc advance premium previously paid for such calendar year, the named insured shall pay the excess to the companies; if less, the companies shaH return to the named insured the excess portion paid by such insured.

Thc named insured shall maintain records of the information necessary for premium computa-tion and shall send copies 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':Itcr 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 ten consecutive calendar years shill be rc',Jrnable to the named in-sured provided there is a reserve for refunds at thc end of thc tenth calendar year.

(5)

Computation of ReservtPremium Refunds Thc reserve premium rejund due thc name insured for any calendar year shall bc determined by multiplying any intlttstry reserve premium refund for such calendar year by thc policy refund ratio for such calendar year. The reserve pre-mium refund for any calendar year shall 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 the standard premiums for each calendar year, or portion thereof, during which this policy remains in force less the sum of all refunds of reserve premittms duc the named insured under the provisions of this Condition 1.

(7)

Reserve Premiiim Refund Agreement Each member of Nuclear Energy Liability Insurance Association subscribing this policy for any calendar year, or portion thereof, thereby agrees for itself, severally and not joiiitly, and in thc respective proportion of its liability assumed under this pohcy for that calendar year, t>> 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 Coiiditioii I.

Effective Date of this Endorsement October 15 1975 12:Ol A.M. Standard Time Issued to Florida Power

& Light ComPany mS-308 Tb form a part of Policy No.

Date of Issue Oct'-ober 15 1975 For thc subscribing companies ndorsemcnt Nn.

3 t

Couatetsixa& b

~. r teu.ty r*oa e

~

Naciear Energy uairiiity incaranc NUCLEAR ENERGY LIABIUTY INSURANCE ASSOCIATION

~

e AMENDcCENT OF EXCLUSION (d)

ENDORSEMENT NUCLEAR ENERGY LIABILITYPOLICY SUPPLIER'S AND TRANSPORTER'S FORM It is agreed 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.

October 15, 1975 Effectisre Date of 12:01 h.M. Standard Titnc Florida Power

& Light Company October 15, 1975 To form a part of Policy No For tbe Subscrib Jog Cnrnpanfea NS-308 By G

r pndorsarmt No NE-23 Countersigned

~

Li t

Nuclear Energy Liabilitylnsuranc NUCLEAR. ENERGY LIASILITY INSURANCE ASSOCIATION AMENDATORY ENDORSEMENT (Substances Exposed to Radiation for Preservation and Other Purposes)

It is agreed that the policy does not apply:

t (a) to bodily injury or property damage. arising out of any condition in any s'ubstance 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 Effec&e Date of thia Endo October 15 1975 12:01 AJL Staodanl Tirue Fl r d Powe

& Li ht Com an October 15 1975 To Eorm a part of Poncr N For the Suhxribing Companka NS-308 5

~

NE-31

lk

~

ll

'hlndenr Energy Unbjgty insurance ~

Nua.se ma's'etuvY lNSURANea AsSOCiAmcN Address of Nuclear Ener Liabilit Insurance Association Endorsement It is agreed that the address of the Nuclear Energy Liability Insurance Association appearing in the "Company Representation" condition of the policy is anended to read:

The Exchange Farmington Avenue Farmington, Connecticut 06032 Reeve ate of thtt October 15, 1975

&saeva October 15, 1975 n;0> A5L Qandanl Taae Florida Power 6 Light Company To forat a patt of &Ncaa Poc tbe Subaibhg Cectpmeee NS-308 Sy

-em aaage~r~~

2aootoetaeat No NE 37B (4/1/74)

Couatettigned 9

Jh usher &orgy LaHiBy )nsvranes NVnSe e3u6't UABu7f iRSURANca AssOCtAZM ADVANCE PREMIUM 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 t'e period design t.ed 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 Plan, the Standard Premium is said Advance Premium and the Reserve Premium is:

2,194. 61 October 15, 1975 12:01 ABC Smdasd T1aw Florida Power 6 Light Company o fata a put A B4e NS-308 October 15, 1975 ene ggxaeoc NE-41 Couareaisa y

' tl

~

~

Nudear Energy Uabl}sty insurance NUQ,EAR ENERGY UABIUTY'KSURANCE ASSOOA7loN 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 ttaterial 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 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 which written claim is made against the insured, not later

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

October 15 1975 t2:Ol h3L Shcxbud Time wer

& Li ht Comnan October 15, 1975 NS-308 To Eotttt a pact of PoHcy No Pet the SuhtcrQda8 Cccayaaks Zodotacaxot No NE-42 Countersigned b

Gen ag

C 4.

0 ~

~

~ r ludnar Energy UubiBty Inrurunrn ~

NQCLBQ ERHSY UAB)UTY INSURANCE ASSOCIAT}OM 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 ~

~+

Tggg ideaed Florida Power

& Light Co'rnpaay October 15, 1975 Qge H Isaa'.

NS-308 To feaa a pat of Pdky No Roc d>> Subaibhg Ceegeak5

/'~cnest

-'E 43C (I/1/75)

. ~

~ I

t

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r ~ r I/

N clear Energy Liabilitytnauran NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION 1)'DVANCE PREMIUM AND STANDARD PREMIUM ENDORSEMENT 2

CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR PROPORT IOHATE LIABILITY ENDORSEMENT Calendar Year 1976 la.

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

15,306.25 b.

STANDARD PREMIUM AHD RESERVE PREMIUM:

In the absence of a change in the Advance Pr emium 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.OO 2.

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.

3.

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'Date of this Endorsemen Issued to

~ -

January 1, 1976 12:Ot A.M. Standard Time To form a part of Policy No NS-308 For the su cribing co panies Endorsement No HE-35 {1/1/76}

By r

Countersign e

y

.~~ ~ General Manager

." i~-,r=-

a etc

~L

~"

ne

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SUBSCRIBING CO"ZANIES PROPORTION OF 1M Aetna Casualty and Sureky Company. The, 151 Farmington Ave.. Hartford. CT 06156 Aetna Insurance

Company, 55 Elm Street. Hartford. CT 06115 Allstate Insurance

Company, 8324 Skokie Boulevard, Skokie, Illinois 60076 Arerfcan Yostorfsts Insurance

Company, Long Grove. Illinois 60049 Centennial Insurance Company.

45 Mall Street.

New York. Hew York

'10005 Cocmercfal Union Insurance Co~ny, One Beacon Street.

Boston.

HA 02108 Contfnental Casualty

Company, 310 South Hichfgan Avenue. Chicago, Illinois 60604 Continental Insurance Company, The, 80 widen Lane, Ncw York, New York 10038 Federal Insurance Company.

51 John F. Kennedy Parkway, Short Hills,New Jersey 07078 Fireman's Fund Insurance Co=pany, 3333 California Street.

San Francisco.

CA 94119 General Accident Fire and Life Assurance Corporation, Ltd., 414 Malnut St.. Philadelphia, PA

'reat American Insurance Company.

580 Malnut Street, Cincinnati. Ohio 45201 Gulf Insurance

Company, 3015 Cedar Springs, Oallas, Texas 75221 Hanover Insurance

Company, The, 440 Lincoln Street, Morcester.

HA 01605 Hartford Accident and Indecmity Company. Hartford Plaza, Hartford.

CT 06115 Hartford Steam Boiler Inspection and Insurance

Company, The, 56 Prospect St., Hartford, CT 06 Home Indemnity Company, The, 59 Haiden Lane, Hew York, New York 10038 Insurance Company of North Amerfca, 1600 Arch Street. Philadelphia, PA 19101 Hanhattan Fire and Harfne Insurance Co~any. The, 260 Long Ridge Road, Stamford, CT 06902 Haryland Casualty Company, Post Office Box 1228, Baltimore, HO 21203 Honarch Insurance Company of Ohio. The, 19 Rector Street, Ncw York; New York 10006 New Hampshire Insurance Company.

1750 Elm Street. rochester, Ncw Hampshfre 03101 Northwestern Natfonal Insurance

Company, 731 North Jackson St., Hilwaukee, Misconsfn 53202 Pacific Indesmfty Company, 3200 Milshire Boulevard.

Los Angeles, CA 90054 Peerless Insurance

Company, 62 Haple Avenue, Keene.

Hcw Hampshire 03431 Phoenix Assurance Company of New York, 80 Yafden Lane, New York, New York 10038 Providence Mashfngton Insurance

Company, 20 Mashington Place, Providence, Rhode Island 02903 Peliance Insurance

Company, 4 Penn Center Plaza, Philadelphia.

PA 19103 Royal Globe Insurance

Company, 150 Millfam Street, new York. New York 10038 St. Paul Fire all Harine Insurance Company.

385 Mashington Street, St, Paul, Hinnesota 55102 Seaboard Surety Coxyany.

90 Mfllfam St..

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

Company, 112 East Mashfngton Street, Bloomington, Illinois 61701 Stuyvesant Insurance Ccmpany.

1105 Hamilton Street. Allentown, 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 Corpany, Post Office Box 1138, Baltfoomre, Ymryland 21203 United States Fire Insurance

Ccmpany, Hadfson Avenue at Canfield Road, Yerrfstown. Ncw Jersey Zurich Insurance

Company, 111 Most Jackson Boulevard, Chicago, Illinois 60604 NE-76 19105 102 07960 10.7668013 2.2559012 3.6914748

.5127048

.3281311 3.8965567 5.6397531 6.6651627 1.1279506 4.1016386 1.3330325 1.1279506

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.1281762

.6152458

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