ML18283B816

Forwarding Endorsement No. 33, 34, 35 & 36 to NF-198

ML18283B816
Person / Time
Site:	Browns Ferry
Issue date:	01/20/1977
From:	Duck J Nuclear Insurance Consultants
To:	Saltzman J Office of Nuclear Reactor Regulation
References
Download: ML18283B816 (10)

Text

1221 Avenue of the Americas New York, New Y~020 Telephone 212 99~1 January 20, 1977.

Mr. Jerome Saltzman- Deputy Chief Office of Antitrust 8. Indemnity

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Nuclear Reactor Regulation Nuclear Regulatory Commission Washington, D. C. 20555 Isi,oiaiory Docket File.

$0 MSGR/~s Tennessee Valley Authority Brown's Ferry Nuclear Plant NELIA Policy NF-198 Endorsements No.33 34, 35 and"36

Dear Jerry:

Enclosed are eight certified copies each of Endorsements Ho. 33, 34, 35 and 36 to NF-198.

Very truly yours, ohn R. Duck, Jr.

JRD mah Encs.

CC: E. J. Brooks E. Kvaven A technical service of Marsh & McLennan, Incorporated

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p uclear Energy Liability Insurance NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION AMENDMENT OF CONDITION 2 "INSPECTION'USPENSION" Facility Form It is agreed that Condition 2 "INSPECTION; SUSPENSION" is replaced by.the following:

2 INSPECTION; SUSPENSION The companies shall at any time be permitted but not obligated to inspect the facility and all operations relating thereto and to examine the insured's books and records as far as they relate to the subject matter of this insurance. Neither'he right to make inspections and examina-tions nor the making thereof nor any advice or report resulting therefrom shall constitute an undertaking, on behalf of or for the benefit of the in-sured or others, to determine or warrant that such facility or operations are safe or healthful, or are in compliance with any law, rule or regulation.

If a representative of the companies discovers a condition which he believes to be undu'ly dangerous with respect to the nuclear energy hazard, a repre-sentative of the companies may request that such condition be corrected with-out delay. ,In the event of non-compliance with such request, a representative of the companies may, by notice to the named insured, to any other person or organization considered by the companies to be responsible for the continuance of such dangerous condition, .and to the United States Nuclear Regulatory Com-

'mission, suspend the insurance with respect to the named insured and such other person or organization effective 12:00 midnight of the next business day, of such Commission following the date that such Commission receives such notice. The period of such suspension shall terminate as of the time stated in a written notice from the companies to the named insured and to each such person or organization that such condition has beell,corI;ected, ,-.... ...

igna1;eel i.e oon. Ilo lnsuran'e is air"o=r e6 hereunder.

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---*-~A4 ' ':~r" Effective Date of January 1, 1977 this Endorsement To form a part of Policy No NF-12:01 A.M. Standard Time Tennessee Valley Authority December 15, 1976 For the su cribing co panies Date of Issue By General Manager Endorsement No 33 Countersigned by NE-46 (1/1/77)

N uclear Energy Liability Insurance NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION WAIVER OF DEFENSES ENOORSEIIENT

( Extraordinary Nucl ear Occurrence)

The named insUred, acting for himself and every other insured under the po'licy, and the members of Nuclear Energy Liability Insurance Association agree as follows:

1. With respect to any extraordinary nuclear occurrence to which the policy applies as proof of financial protection and which (a) arises out of or results from or occurs in the course of the con-struction, possession, or operation of the facility, or (b) arises out of or results from or occurs in the course of the transportation of nuclear material to or from the facility,,

the insureds and the companies agree to waive (1) any issue or defense as to the conduct of the claimant or the fault of the insureds, including but not limited to:

(i) negligence; (ii) contributory negligence, (iii assumption of risk, and (iv unforeseeable intervening causes, whether involved the conduct of a third person, or an act of God, (2) any issue or defense as to charitable or governmental immunity, and (3) any issue or defense based on any statute of limitations if suit is instituted within three years from the date on which the claimant first knew, or reasoriably could have known, of his bodily injury or property damage and the cause thereof, but in no event more than twenty years after the date of the nuclear incident.

The waiver of any such issue or defense shall be effective regardless of whether such issue or defense may otherwise be deemed jurisdictional or relating to an

.element in the cause of action.

2. The waivers set for th in paragraph l. above do not apply to (a) bodily injury or proper ty damage which is intentionally sustained by the claimant or which results from a nuclear incident intentionally and wrongfully caused by the claimant; (b) bodily injury sustained by any claimant who is employed at the site of and in connection with the activity where the extraordinary nuclear occurrence takes place if benefi ts therefor are either payable or re-quired to be provided under any workmen's compensation or occupational disease law;

-(c) any claim for punitive or exemplary damages, provided, with respect to any claim for wrongful death under any State law which provides for damages only punitive in nature, this exclusion does not apply to the extent that the claimant has sustained actual damages, measured by the pecuniary injuries resulting from such death but not to exceed the maximum amount otherwise recoverable under such law.

NE-33a (over)

>>y yP Torth~ paragraph l. above shall be ef 4

3 ~ The waivers ysei ive only with respect

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ii to bodily injury or property damage to which the policy applies under its terms other than this endorsement; provided, however, that with respect to bodily in-I jury or property damage resulting from an extraordinary nuclear occurrence, In-suring Agreement IV, "Application of Policy", shall not operate to bar coverage for bodily injury or property damage (a) which is caused during the policy period by the nuclear energy hazard and (b) which is discovered and for which written claim is made against the insured not later than twenty years after the date of the extraordinary nuclear occurrence.

Such waivers shall not apply to, or prejudice the prosecution or defense of any claim or portion of claim which is not within the protection afforded under (a) the provisions of the policy applicable to the financial pro-tection required of the named insured; (b) the agreement of indemnification between the named 'insured and the the Nuclear Regulatory Commission made pursuant to Section 170 of the Atomic Energy Act of 1954, as amended; and (c) the limit of liability provisions of Subsection 170e.. of the Atomic Energy Act of 1954, as amended.

Such waivers shall not preclude a defense based upon the failure of the claim-ant to take reasonable steps to mitigate damages.

Subject to all of the limitations stated in this endorsement and in the Atomic Energy Act of 1954, as amended, the waivers set forth in paragraph 1. above shall be judicially enforceable in accordance with their terms against any

,insured in an action to recover damages because of bodily injury or property damage to which the policy applies as proof of financial protection.

5. As used herein:

"extraordinary nuclear occurrence" means an event which 'the Nuclear has determined to be an extraordinary nuclear occurrence defined Regulatory'ommission as in the Atomic Energy Act of 1954, as amended.

"financial protection" and "nuclear incident" have the meanings given them in the Atomic Energy Act of 1954, as amended.

"claimant" means the person'r organization actually sustaining the bodily injury or property damage~,fqnIi aklyoi,ncludes. his assignees,: legal. represent-nal atiVeS and Other perSOnk'jr.,O'rgan1.ZatiOnS entitled tO bring,.an, aCtia.n:fOr--go p on account of sgjh,jtft ju'rj or,. damage.,;,:.;,-- '.-- '.;,g '.c'. "..y 1'o.-z) as des-1 rg'amages i r a'tel hereon. lyo "nsi"=.;.ce s a. o "ae~ 'hp "e~;.re".

4 h' Endorsement To form a part of policy No NF- 198 this d r ement 12:01 A.M. Standard Time ~: t p V&4IPQ Issued to Tennessee Valle Authorit ol~ y V Sy i>> av6>>aaoy

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December 15 1976 For. the su cribing co panies Date of Issue By General Manager Endorsement No 34 Countersigned by NE-33a (1/1/77)

~ >> 4 clear Energy Liability Insurance NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION AMENDMENT OF DEFINITION OF "NUCLEAR ENERGY HAZARD" Indemnified Nuclear Facilit It is agreed that:

1. Solely with respect to an "insured shipment" to which the policy applies as proof of financial protection required by the Nuclear Regulatory Commission, subdivision (2) of the definition of "nuclear energy hazard" is amended to read:

(2) the nuclear material is in an insured shipment which is away from any other nuclear 'facility and is in the course of transportation, including handling and temporary storage incidental thereto, within (a) the territorial limits of the United States of Ittmeri ca, its territories or possessions, Puerto Rico or the Canal Zone; or (b) international waters or airspace, provided that the nuclear material is in the course of trans-portation between two points located within the territorial limits described in (a) above and there are no deviations in the course of the transportation for the purpose of going to any other country,'state or nation, except a devia-tion in the course of said transportation for the purpose of going to or returning from a port or place of refuge as the result of an emergency.

2. As used here, "financial protection" has the meaning given it in the, Atomic Energy ACt of 1954, as amended.

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~J I 4 Effective Date of NF- 198 this Endorsement JiUlttIU."~.~7 To form a part of Policy No 12:01 A.M. Standard Time Tennessee Valle Author'it

~~b97 Issued to For the su cribing co panies By General Manager Endorsement No Countersigned by NE-44 (1/1/77)

'I g ee ~ g uclear Energy I.iability lnsuranc NUCLEAR ENERGY LIABILITYINSURANCE ASSOCIATION

1) ADVANCE PRENIUH ANO STANDARD PREHIUf1 EHDORSEflEHT

2) CHANGES IN SUBSCRIBIHG COf'lPAHIES AND IN THEIR PROPORTIONATE LIABILITY ENDORSEMENT Calendar Year 1 g77 la. ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated above is: $ 324,221.25

b. STANDARD PREMIUM AND RESERVE PREMIUM: In the absence of a change in the

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Advance Premium indicated above, it is agreed that, subject to the pro-visions of the Industry Credit Rating Plan, the Standard Premium is said Advance Premium and the Reserve Premium is: 5 244,083. 15

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 subscribing companies listed on the reverse side of this endorsement.

b. The policy shall be binding on such companies only.

c. Each such company shall be liable only for its proportion of any obligation assumed or expense incurred under the policy because of such bodily injury or property damage as designat!ed on the reverse side of this endorsement.

3. It is agreed that the effective period of this endorsement is from the beginning of, the effective date of this endorsement stated helow to the close of December 3ls't of the Calendar Year designated in the caption above, or to the time of the termination or cancellation of the policy, if sooner.

T1tit (Over)

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Effective Date of this Endorsement To form a part of Policy No 12:01 A.M. Standard Time Issued to Tennessee Valle Autho i For the su cribing co panies Date of Issue 19!!

By General Manager Fndorsement No Countersigned by HE-35 (1/1/77)

~ ~ e SUBSCRIBIt!G COHPAIIIES PROPORTION OF 101".

A'.tna Casualty and Surety Co., The, 151 Farmfngton Ave., Hartford, CT 06156 II.Rlq0002 Aetna Insurance Company, 55 Elm St., Hartford, CT 16115 2.3238160 Allstate insurance Co., 8324 Skokfe Blvd., Skokie, IL 60076 4 6476320 American ltome Assurance Co., 102 Hafden La., ttew York, t!Y 10005 .6584145 American ttotorfsts Insurance Co., Long Grove, IL 60045 .TR73127 Centennial Insurance Co., 45 Hall St., llew York, IIY 10005 .3R73027 Corrw.rcfal Union Insurance Company, One Beacon St., Boston, HA OZIIYI 3.7181056 Continental Casualty Co., Ct!A Plaza, Chicaan, IL 60RRS 4.6476320 Continental Insurance Company, The., 80 Itaiden La., Hew York, IIY 10038 6.19684Z7 Federal Insurance Co.. Sl John F. Kennedy Pkwy... %hart Hills, tIJ 07070 1.2343685 Fireman's Fund insurance Co., 3333 California St., San Francisco, Ch 54119 4. 26132o4 General Accident Fire and Life Assurance Corp., Ltd., 414 Walnut .St., Philadelphia, PA 19105 1.3168251 Great i4'zrfcan Insurance Co., 500 Walnut St., Cincinnati, ON 45201 l.3013370 Gulf Insurance Co., 3015 Cedar Springs, Dallas, TX 75221 .1549211 Hanover Insurance Co., The, 440 Lincoln St., Worcester, IIA 01605 .4647632 Hartford Accident and Indemnity Co.. Hartford Hartford, CT 06115

'artford Steam Boiler Inspection and Insurance Plaza, Co., The, 55 Prospect St., Hartford, CT 06112

7. 7451534

.426032o Home Indemnity Co., The, 59 Ifaiden La., ttew York, tIY 10030 2.7111187 Insurance Company of North.America, 1605 Arch St., Philadelphia, PA 19101 6. 9714481 Itsryland Casualty Co., P.O. BOX 1228, Baltimore, tS 212'13 1.5452107 IhnarCh InSuranCe CO. Of OhfO, The, 19 ReCtOr St., ttew YOrk, !IY 10104 .27IIIIq Northwestern .'Iatfonal Insurance Co., 731 ttorth Jackson St.. tiflwaukee, HI 532n2 .5422237

'Pacific Indemnity Co., 3ZOO Itilshfre Boulevard, Los Angeles, CA 90154 . 1')58a 21 Peerless Insurance Co., 62 Itaple Ave., Keene, ttew Hampshire 03431 :0968257 Assurance Company of Itew York, 80 ttafden La, 'tew York, IIY 10138

'hoenix

4647632 Providence Washington Insurance Co., 20 Itashfngton Place, Providence, Ri n?o03 Go68257 Puritan Insurance Company, 1515 Sumer St., Stamford CT nRgn5

~ .232><16 Reliance Insurance Company, 4 Penn Center Plaza, Philadelphia, PA lq103 1.239ZSRS Royal Globe Insurance Co., 150 Hflliam St., ttew York, IIY 10038 3. R7 31? 67 St. Paul Fire and tfarfnelnsurance Co., 385 Washington St., St. Paul, IL'I 5510?. 3.04R2351 Seaboard. Surety Co., 95 William St., Itew York, tlY 10030 .3098421 secure fty Insurance corv?any of Hartford, 1050 Asylum Ave., Hartford. GT OGlnl 1.0457172 State Farm Fire'and Casualty Company, 112 East Ifashington St., Bloomington, IL 61701 '.774rn53 Transamerica Insurance Co., 1150 So. Olive St., Los Angeles, CA 50115 .61n6843 Travelers indemnity Company, The, One Tower Square, Hartford, CT 06115 10.9903950 United States Fidelity and Guaranty Co., P.O. BOX 1130, Baltimore, HO 21203 R.R355010 United States Fire Insurance Co., tladfson Ave. at Canfield Rd., tforristown, thl 07o60 2,0435103 Zurich Insurance Co., ill West Jackson Blvd., Chicano, IL 60604 .7746553 IIE-77