ML19317H477

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Confirms That Effective 790501,MAELU Has Extended Application of Supplemental Policy Limit Re TMI Site in Accordance W/Provisions in Encl
ML19317H477
Person / Time
Site: Crane 
Issue date: 05/29/1980
From: Oconnell J
MUTUAL ATOMIC ENERGY LIABILITY UNDERWRITERS
To: Saltzman J
Office of Nuclear Reactor Regulation
References
NUDOCS 8006090315
Download: ML19317H477 (3)


Text

e Am one G.KeJy Theodor, ooree

'. Manager Secretary MUTUAL Atomic ENERGY I. LABILITY UNDERWRITERS One East Wacker Drive.

Chicago. Illinois 60601 Telephone (312) 467-4090 May 29,1980 Mr. Jerome Saltzman Nuclear Regulatory Commission 77350 Georgetown Road Bethesda, Maryland 20014

Dear Mr. Saltzman:

Metropolitan Edison Company MAELU Policy No. MF-73 Three Mile Island Nuclear Station This will confirm that effective May 1,1979, MAELU has extended the application of its supplemental limit of $4,500,000 as respects the Three Mile Island site in accordance with provisions described in a letter dated May 29, 1980 to Marsh & McLennan copy of which is attached hereto.

Additionally, we are confirming that effective June 1,1980, MAELU has restored the limit of liability under Policy MF-73 subject again to the provisions described in the May 29, 1980 letter addressed to Marsh & McLennan.

Very truly yours,

}Y n.nL{

J. Michael O'Connell Assistant Manager JMO:op Enclosure N'\\A\\

Governing Corrmittee:

American Mutuas Liability insurance Company EmOlcyert Mutual LiaDlHty Onlurance Company Of Wisconsin Liberty Mutual insurance Campany Stntry insurance A Mutual Company Lumberment Mutual Casualty Company Micnigan Mutual LiaDelity Company 60060903 6

May 29,1980 Mr. Charles T. Bollman Vic.c-President Marsh & McLennan, Inc.

,i 1221 Avenue of the Americas New York, New York 10020

Dear Mr. Bollman:

Metropolitan Edison Company MAELU Policy No. MF-73 Three Mile Island Nuclear Station Previously MAELU bound coverage for a supplementallimit of $4,500,000 under Policy No. MF-73 to apply to the Unit #1 nuclear reactor only, effective May 1,1979.

We now agree that the same supplementallimit of $4,500,000 described above as applicable to the Unit #1 nuclear reactor shall also apply to liability and expense incurred because of bodily injury or property damage caused by the nuclear energy hasard due to an Extraordinary Nuclear Occurrence and arising out of the ownership, maintenance, operation or use of Unit #2 nuclear reactor.

The supplemental limit on Unit #2 applies only to such bodily injury or property damage due to an Extraordinary Nuclear Occurrence which occurs on or after May 1,1979.

The policy limit of MF-73 has thus far been reduced by the amount of

$518,766.00 due to payments made by the insurers for loss and loss expense arising out of the incident at Unit #2 nuclear reactor that commenced on March 28, 1979.

MAELU agrees to restore the company's limit of liability by the sum of

$518,766.00 as respects both Unit #1 and Unit #2 nuclear reactors, but only with respect to liability and expense incurred because of bodily injury or property 1;

,t

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1 Mr. Charles T. Bollman May 29,1980
i Page Two

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.j damage caused by the nuclear energy hazard due to an Extraordinary Nuclear Occurrence which occurs on or after June 1,1980.

We are preparing endorsements to Policy No. MF-73 to implement the changes described in this letter and they will be forwarded to you shortly.

Very truly yours, 1f l !;, s..m &

J. Michael O'Connell i

Assistant M..aager JMO:op i

cc:

J. Saltzman, NRC J. Morrow, Liberty MutualInsurance Co.

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