AECM-90-0163, Forwards Endorsement 61 to Nelia Policy NF-257,Endorsement 40 to Maelu Policy MF-106,Endorsement 62 to Nelia Policy NF-257,Endorsement 41 to Maelu Policy MF-106 & Endorsement 63 to Nelia Policy NF-257

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Forwards Endorsement 61 to Nelia Policy NF-257,Endorsement 40 to Maelu Policy MF-106,Endorsement 62 to Nelia Policy NF-257,Endorsement 41 to Maelu Policy MF-106 & Endorsement 63 to Nelia Policy NF-257
ML20059H102
Person / Time
Site: Grand Gulf Entergy icon.png
Issue date: 09/06/1990
From: Cottle W
ENTERGY OPERATIONS, INC.
To:
NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
References
AECM-90-0163, AECM-90-163, NUDOCS 9009140239
Download: ML20059H102 (45)


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v LAttention:L Document Control Desk ,

Ug LGentlemen:--

SUBJECT:

Grand Gulf-Nuclear Station Unit-1 > ,

!1 Docket No. 50-416 1 1

License No. NPF-29 Nuclear Insurance Endorsements.

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,--In accordance;with 10CFR140 5(e) Entergy Operations, Inc., is submittingx . j f'. '

certif:ied. copies (of: ,

j il):,LANIDPolicy-No. NF-257, Endorsement No. 61 and'MAELU Policy- *

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'4 No MF-106, Endorsement No. 40 " WAIVER OF DEFENSES ENDORSEMENT L ,

4(Extraordinary Nuclear Occurrence)",

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2)l 'ANI' Policy No. NF-257, Endorsement No. 62 and MAELU Policy W No MF-106, Endorsement-No.~41--'" SUPPLEMENTARY ENDORSEMENT WAIVER OF u ,

11 ' DEFENSES REACTOR CONSTRUCTION AT THE: FACILITY",

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1 H 1 33.) PANI (PolicyNo.NF-257,EndorsementNo.63andMAELUPolicy

>1:No. MF-106,= Endorsement No.-42 " Restriction of Companies- . .

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w (Obligation to: Defend, Investigate, Negotiate'or, Settle any Claim or-  !

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, 1 E4)LJANIPolicyNo.NF-257,EndorsementNo.64andMAELUPolicy 4 7 LNo, MF-106, Endorsement No.-43 " WAIVER OF DEFENSES ENDORSEMENT.  :

  • l(Extraordinary Nuclear Occurrence)",

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$)L YANI Policy No. NF-257, Endorsement No. 65. and MAELU -Policy .

9i No. MF-106, Endorsement No. 44 " SUPPLEMENTARY ENDORSEMENT WAIVER

,OFfDEFENSES REACTOR' CONSTRUCTION AT-THE FACILITY",

a a, W 6)L ANI' i Policy'No. NF-257, Endorsement No. 66.and MAELU Polic

, 7n Y 'nNo..MF-106, Endorsement No. 45 " AMENDATORY ~ ENDORSEMENT"y ,

' 1 f7). JANI Certificate No. N-79, Endorsement No.16 and MAELU Certificate lNo. -M-79, Endorsement No.16 concerning Secondary Financial )

Protection, and j M9140239900906 y

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-i f.* 8)! ' ANI- Certificate,.No.. N-79,( Endorsement No. -'17 and MAELU Certificate: -

No. M-79,. Endorsement.No'.'.17-jalso concerning. Secondary Financial:

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Yours truly, j

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c Attachment' lcc: Mr. D. C. Hintz (w/6)'

Mr. T. H. Cloninger w o)

- Mr. R. B.; McGehee (

Mr. N. S. Reynolds; )

' Mr. H. L. Thomas'(w o) 1

, Mr. H. O. Christensen (w/a) >

' Mr. Stewart D. Ebneter~ (w/a) ,

Regional Administrator.

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U.S., Nuclear: Regulatory Commission-Region'II. .

l1 k 101'Marietta St., N.W., Suite 2900; I l( . Atlanta, Georgia 30323' $

! Mr. : L. ' L.. Kintner, Project -Manager- (w/a):- e i

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' NUCLEAR ENERGY;UA8luTY INSURANCE ASSOCIATIONT g, w i M VER OF DEFENSES ENDORSEMENT-

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'.'Effactive August 20, 1988, the named 1 insured, acting for;himself J f i,i "

ande every other n insured -under the- policy, and tho' members Tot ~i n;, Nuclear Energy Liability Insurance Association agree as.follows:

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gl% 3: 1.? With respect to any extraordinary j nuclear f occurrence: to which the policy applies as proof of financial protection:

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lof the construction, possession, or- operationi of the 1 i

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'of the - transportation of. nuclear materior tomor- from:

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y, W 7 the insureds and the companies' agree to waive, R

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D (1); any issue or defense as to the conduct of~the claimantL M' '

or the fault of tho' insureds, including but not limited  ?

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py (i) negligence, .

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(lii). assumption of risk, andu ..

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' (iv)L unforeseeable intervening 'causes, ,hether w involving the conduct of ' a > third person, or . an 4 act of God,  !!

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c. -(2) . any issue :or defense as: to charitable or governmental immunity, and-1-- ,

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(3) any . issue or' defense based _ on any_ statute- of:

limitations if- suit is instituted' within - three ' years lA

'* from: the date on which the claimant first! knew, or'  :

reasonably!- could have known, of his bodily ' injury or prcperty damage and the cause thereof.

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' " 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 forth in paragraph 1. above do not apply to 3 h

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+ * ) ,the nuclear' claimantr incident intentionally'and wrongfully-caused by ~

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'll Q." >' , f(b)- (bodily injury sustained by any claimant- whois employedi l t

P e - at L the 1 site of: 'and,'in connection with the activity: ,

4 ' -where..the; extraordinary nuclear. occurrence takes place- o 1-fabenefits therefor are either: payable or required to!

i. beJ provided under. anyl, workmen's_ compensation

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occupational disease law; ,

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(c) Eany. clain for' punitive or' exemplary damages,: provided, M

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ye State law :which provides for damages only punitive- .in g W

i nature,...this exclusion , does not apply to the ' extent i j that' the elaimant- has. sustained-' actual damages,: "

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- deatha but not' to exceed the maximum; amount ' otherwise x

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y' ef fective j only Lwith respect to bodily . injury . or- property. A

= damage to -which the policy' . applies - under :its terms other. M than-thisiendorsement; to ) bodily sinjury , or 'provided, that with respect 1 property '<however, 1y L damage. Lresulting ~ from an '

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. extraordinary nuclear. occurrence, Insuring : Agreement IV, w" * ,

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y, " Application of : Policy"g shall; not operate to bar; coverage. 1 i

tfor,E bodily injury or. property ' damage: (a) which is caused-1during the policy period by the --nuclear energy hazard 'and

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-(b)1which ;is discovered and for .which written clain .is made against Lthe insuredT not latergthan twenty :(20) . years. after '

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' prosecution or < defense of anyi elaim or; portio - o f " claim W which is'notiwithin the. protection afforded under

%a (a) the- provisions 'of the policy applicable: to the j financial protection required of the' named-insured; 1,

-(b) tho' agreement'. of M J indemnification .between the _namedL insured 'and the ' Nuclear Regulatory' Commission made.

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s pursuant = to section l170 of the Atomic Energy Act of j 1954,cas amended; and p

(c). the limit of liability provisions of subsection 170a. 3

'I k of the Atomic Energy Act of 1954, as amended.

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.damages.

failure of the claimant to take reasonable steps to mitigate ,

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h endorsement and in the Atomic Energy Act of 1954,, as  ;

p l, amended, ' the waivers set forth in paragraph 1. above shall  ;

be judicially enforceable in accordance with their terms l

p. -against-any insured in an action to recover damages because

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extraordinary nuclear 1 occurrence : as ; defined -'in the J Atomice  ;!

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Energy Act.of 1954, as amended. .

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" nuclear .ihcident"i have -the meanings! given: them ine the: Atomic? Energy; Act of 1954,: ' as: '

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1, . persons. - or . organizations' entitled '. to , bring an . action for-damages lon account of such--injury or damage.

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I 0', this Endorsement . August 20,>1988 To form a part of Policy No. NF-257 d 12:01 x.M. Standard time U >

Mississippi: Power & Light' Company and System Energy Resources, Inc. and

, . . -, . South -Mississippi Electric Power Association

{,, Issued;to ' '

Da'te- of issue -- February 16,'1990 For the cribing panies e

.By J

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! Endorsement No. 61 Countersigned by

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. MUTUAL' ATOMIC ENERGY UABluTY UNDERWRITERS:

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%' WAIVER OF DEFENSES ENDORSEMENT ghk+,g m ~

(Extraordinary Nuclear Occurrence); '

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' Effective , August'. 2 0, . 1988, -the named insured,3 ~actingL for!  !

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t himsel f : - and every other insured under the ~ policy, > and the j e>

' as'followst members of' Nuclear Energy Liability Insurance Association agree-q WJ ippf- , 'd

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With : respect to any extraordinary nuclearioccurrenc.e to: ]

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$" M which and.which theipolicy applies as-proof of financial) protection: ,

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W (1) ,an'y issue or defense as to the conduct

< of- the; i L claimant orithe fault of the insureds,1 including < but l not' limited to:- 1

>(11) (i) ~ negligence, contributory negligence, (iii) assumption of risk, and-y -(iv) unforeseeable intervening.>causes, whether ..

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-act of God, '

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'(2) 'any issue as or defense to or-W i ,

tgovernmental immunity, and . .

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' .(3) any ~ issue. or defense based 1 .on any: statute o f.

1 limitati ons if suit is instituted:Ewithin three years'

' from the date on which the claimant ( first knew,' or m

reasonably.could have known, of his' bodily injury or

[fiq , Property damage and the cause,thereof.- l

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Theiwaiver of any such issue or de.fense.shall'be effective l M regardless . of whether such Issue or defense may otherwise .l p' ' be deemed; jurisdictional or relating to 'an ~ element in the -l

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  • cause of action.

w 2.- The waivers set forth in paragraph 1. above do not apply 1 'm to

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'(b) bodilyg " injury . sust!ained - by any claimant- who LisJ

.. employed z at! the - site 'of -- and in connection with ' the ,

activity. where the J extraordinary - nuclear ' occurrence 4 3

takes; place - if f benefits- therefor . are either payable '

lor required:Sto be-lprovided .under' any f '

workments?

compensationlor occupational disease law;

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provided,-;with respect to anyc claimt for wrongful' ,,

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' death under any-state law which:provides for damages s

only punitive- in nature,- this exclusion does not: '

j apply to the' extent that . thec claimant has sustained actual damages, measured bys the pecuniary injuries resulting. from such- death but not to ' exceed- the4 maximum amount otherwise recoverable under law. .

3. ' The. . waiver' s L set! forth :in1 paragraph 1~.

abovec shal'1 be iy,

?effectivefonly. with respect to bodily injury ,or; property, , '

i damage f to :which : the policy ~ applies- under sits" terms - other

'than; this' endorsement; 'provided,

'I however, thati'with  ; ,

xrespect}to bodily?L injury or property damsge resulting.fron-

' . an ' J extraordinary nuclear occurrence,1 Insuring Agreement '

TIV,1 " Application of Policy", shall not operate to . bar R coveragelfor bodily? injury or property damageL(a) which:is 1 caused during . . the policy- : period by . the nuclear .- energy - '

e hazardiand (b): which is discovered and : for which written:

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  • ' . clain : isu made againstL the ? insured- not ~ later; than L twenty

'(20)i -years af ter . the date ' of the =. extraordinary nuclear

occurrence.> -

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3 M Such waivers- shall not. apply--to, . or. prejudice 'the e . prosecution . or: defense- of anyJclaim~ or portion ~ of f claim which is-not within1the. protection afforded under -

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-(a) the. provisions. of the policy applicable' to, the a

x> financial ~ protection required'of the named insured;. R

-(b) ' the agreement of indemnification . between the ; named  !

l a insured and the Nuclear Regulatory 1 Commission: made L: , i

, .. , y pursuant 195,4, as amended; and to Section 170 of.the Atomic Energy Act1of . 1l

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'(c) _the 1imit of liability provisions.of subsection 170e.

of thc' Atomic Energy Act of 1954, as amended. ]'

Suen waivers shall not preclude a defense based upon the 1

failure; of the claimant to take reasonable )

steps to b mitigate; damages.

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against N M any." insured" -ini an action, tot recover 1 damages;

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@ N 44 because ; of bodilyL injury L or ' property; damage' to whicL the - ~

pol'i'cy applies as proof of. financial protection.-

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VJ # lthe Nuclear. Regulatory. Commission.hasc dotermined'to be,an

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amended. occurrence:as:definedLin'thecAtomic

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< Effective.Date of ia this Endorsement August -20, 1988 To form .a part of Policy No. 'MF-106 m 13:01 A.M. standero time K

.j h Mississippi' Power & Light Company and System Energy Resources Inc. and

' South Mississippi Electric Power Association - .,

W ' Issued?to. )

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[ Data of issue February 16, 1990 y

For the Subscribing Companies MIFFDAL ATOMIC ENERGT LIABILITY INDER By s u- ~~

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,ement'No.- 40' Countersigned by I Nhed T O'N

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SUPPLEMENTARY ENDORSEMENT *

.; WAIVER OFcDEFENSES- >

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REACTOR: CONSTRUCTION ~AT THE FACILITY

.EffactivalAugustL20, 1988, it:is" agreed;that in construing,the~

T' i-Lapplicationl offparagraph i2(b) of the -WAIVERJ OF DEFENSES.. '

. l ENDORSEMENT y NE-3 3b with . respect toa an? = extraordinary -.nuclearf occurrenceL occurring att the facility; ac claimant who: isi V- '

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~ employed at the facility'in connectioniwith the constructioniof ,

a; nuclear reactor L with:, respect.. to which no operatingilicense W

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-.hasbeen issued,by the. Nucleal. Regulatory: Commission shall not _

S be~ considered:as-employed-in.. connection.with the' activity'where '

the! extraordinary. nuclear occurrence takes place..if:

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'(,1); the Qclaimant. is employed exclusively in connection:

~~' 1 with. the7 construction of. a. nuclear ' reactor, including? W' relatedi =.equipmenti . and

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facility, andJ installations at. the-o L V

-(2)] no operatingilicense has .been 11ssued by - the Nuclear.  %,'

Regulatory NCommissiontwith respect to = thi fnuclear g

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' '( 3)' ;the claimant is not employed 11n~ connection with the-

- possession, storage, ,use- or transfer .of- nuclear; materialLat'the' facility.

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[ 'S* 1 ig:Wd i mm. & Imuerce is afforded ,creunder. i Yir is" p' ,

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Ammican Nudear Insurers b .

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JEffactive Date of-Lthis Endorsement ' August 20,:1988 I l

To fors a part of Policy No. NF-257 12:01 A. A standard time

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1- Mississippi Power & Light Company and System Energy Resources Inc! and

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Y Date of Issue f February 16', 1990- For the s ribing panies, '

L L ay ah (

l \ Fresident g-L.

Endorsement No. -62 Countersigned by 4 - \ mo+ T h4 H

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SUPPLEMENTARYxENDORSEMENT!

WAIVER.OF DEFENSES

' REACTOR CONSTRUCTION AT THE' FACILITY

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S- ' *t . 'Effective application August 20, 1988,11t-is: agreed thatkin-construing the.

.of. paragraph.'2(b). of  !

the -WAIVER OF - DEFENSES i

,~ S ' ENDORSEMENT E ME-33b . with respect to an extraordinary ' nuclear

< occurrence . occurring .at =the facility, a claimant:'who is' employed at=the facility-in co.nnectio'n with the construction 1of 4

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a nuclear reactor with respect to . which - no 'operatin license 1

. has~ been; issued by the Nuclear Regulatoryicommission.gshall' not.

g be considered =as employed in-connection'with the activity,'where

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s the extraordinary. nuclear ~ occurrence takes place if:

t y (1)-

~ the claimant'. is employed ' exclusively' in wanection i f'

c with the construction of a, nuclear reactor, including all- related equipment. and. installations ",

facility, and at.lthe F

'(2) no. operating , license has been issued by the Nuclear

  1. ' I' Regulatory Commission with respect to ti.s. nuclear

. reactor, and (3) .the claimant- is not employed in connection Lwith the possession, storage, .use or transfer. of nuclear

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material at the facility. ,

1 i I i

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'Ihis k to certify that this k a true copy of the original U End<menvmt hwire the nridorsememt number 1md being made part ' y

, of tkhksd Energy Lbb4 Ptucy gnty Form) as des-  ;

innata b vaoh. No he mc"s 4 nHornJ hereunder. da

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John L + eccck Vrc 'rcsaknbunde . u.

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Arrxv. ican hu: War Laurers - l i

< .:ah Effective Date-of

' 'C . ~this Endorsement August 20, 1988 12:01 A.M. $tandard time To fors apart of Policy No, MF-106 (. . ,

Mississippi Power & Light Company and System Energy Resources, Inc. and

/I$ sued'to3 South Mississippf Electric ' Power Association i

S 1 Date-of!1ssue February 16, 1990

. For the Subscribing Cospanies t ,

y 4 NIFfUAL ATOKIC ElmitGY LIA3ILITY INEDER

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By w_-

' Endorsement No. 41 Countersigned by w y -

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yw~3 Nuclear Energy _ uability Mourance

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NUCLEAR ENERGY UABluTY INSURANCE ASSOCIATION i

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  1. \ "' Restriction' of Comoanies Oblication ^o Defend.

Investiaate. Neoptiate or Settle Anv Claim or Suit-(Section 170 0. of the Atomic Energy M'{

sy,.[R ( ,

Act of 1954, as. amended)

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' Effactive August 20, 1988, it is agreed that whenever, pursuant-1 to subscotion 170 0. of the Atomic Energy Act of 1954, as amended, an appropriate U.S. District . Court determines that.

m liability. from a single nuclear incident may exceed the limit of 4 m11 ability. under the applicable limit of >1iability .under-subsection 170 e. (1) - (A) , (B) and (C)_ of the Atomic Energy Act of .

,o  ? -

1954,. as amended, the companies' obligations under InsuringL

< < f' , Agreement I, to defend, investigate, nyctiate or settle any

= claim or-suit under the policy do not 3%1ude any obligation that

o. *sould necessitate or result in the companies incurring legal

' costs, includir.g ' costs of initiating, prosecuting, 9 investigating, settling,.or defending claims or suhts, which are inot authorized for payment by a court pursuant to'such subsection

< 170 0.

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This is to artJy tr.M & is ac cow of the criainal E d wnwet tus:j the ende ummt mumber bein, ,.sde part w s is z l u. gj ikw y Mcp Q4. arm) a des-gute hman. tu Inc ance is a!Im//J hereunder.

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' Effective Date of 2 this, Endorsement August 20, 1988 To form a part of Policy No. NF-257 1hCI A.A StarrA.,11 ties Mississippi Nwer & Light Company and System Energy Resources Inc. and

, LIss6d to _ South Mississippi Electric Power Association Date'of:issur February 16, 1990 For the su iting Co antes

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By _

C =N  ;

! Endorsement No. 63 Countersigned by

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.m M NE 70%-

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Nuclear- Energy Uability insurance-MUTUAL ATOMIC ENERGY UABluTY UNDERWRITERS g

Beatriction of Companies oblication to Defend.

Investiaata. Neactiate or Settle Any Claim or Suit

-(section 170 0. of the Atomic Energy-Act of 1954, as amended)-

Effective August 20,- 1988,- it is agreed that whenever, pursuant to subsection 170. O. - of the Atomic Energy Act of 1954 . as amended, an appropriate U.S. District Court determines ,that liability.from a sLngle nuclear incident may exceed the. limit of liability under the applicable limit of liability under subsection 170 e. (1) (A), (B) and (C) of the Atomic Energy Act of

'1954, as amended, the companies obligations under Insuring Agreement I, to defend, investigate, negotiate or settle any claim or' suit under the policy do.not include any obligation that would necessitate or result in the companies incurring legal costs,- i n c lu d irig costs of- initiating, : prosecuting, investigating, settling, or defending claiar or su:.ts, which are not authorized for payment by a court pursuant to such subsection 170 0.

ThW is to ceriify that this b a true conv of the originni litidow mem h .,re M .wn-n:e nter and being made part of the iedar Enes.- 1 WWu ! oucy ic;:ity Form) as des-igr.ated ecg tr meteunder.

.tahn L Enmcoe, via rinani.unsewnting

/uutman Nur war Insuren

. Effective Date of this Endorsesent August 20. 1988 To fors a part of Policy No. MF-106 12:01 A.M. Standard tlas Mississippi Power & Light Company and System Energy Resources. Inc. and IIssuedto South Mississippi Electric Power Association Date of issue February 16, 1990 For the Subscribing Cospanies MirrO&L ATCHIC EBEBGT LIABILITY sy .T . M- MJ m

Endorsesent No. 42 Countersigned by bAm ^ T NN HE 70J

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Nuclear Energy Webility insurance i 4- a

,, NUCLEAR ENERGY UA8luTY INSURANCE ASSOCIATION 1 I

i WAIVER OF DEFENSES ENDOxSEMENT '!

[ (Extraordinary-Nuclear' Occurrence) j J

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- The under  : named L:dured, acting for himself and every other l'nsured

. the policy, i Insurance Association agree as follows:and the members - of Nuclear Energy Liability j A 1,

1. With respect to any extraordinary nuclear occurrence to :l f.a which the policy' applies as. proof of financial protection .I i$

j and which

' ' J' (a) y c

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arises construction.'

of-the out.cf or results from or occurs possession. or in the course operation of the j i

facility.-or 1

(b) i a '

arises out of_the of or resultsoffrom transportation or occurs nuclear in the material to course or-from i

the facility. *A the insureds and'the companies agree to waive t-(1) .;

any- issue' or defense as to the conduct of the claimant not. limitedortot the fault of the insureds, including but 4

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(1, negligence.- .i b

_(11) contributory negligence,  :

(iii) assumption'of risk, and o (iv) unforeseeable intervening causes. whether j

-j involving--the conduct of a third person, or an act of God.

(O any issue or defense as to governmental immunity, and charitable or' o (3) any issue or- defense based on any statute of

'> limitations if suit is instituted within three. years ,

froa- the date on which the claimant first knew.'or c reasonably could have known, of his bodily injury or ,

g. property damage and.the cause thr.reof. l The waiver of any such issue or defense shall be effective S ' regardless of.whether such issue or defense may otherwise ,

>i be deemed jurisdictional'or rcAating to an element in the cause of action. c

2. The waivers set forth in paragraph 1. above do not apply y to g (a) bodily injury. property damage or environmental 4

u

' damage which is intentionally sustained

. by the claimant or which results from a nuclear incident LA intentionally and wrongfully caused by the claimants m

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(b) l 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 or place if'to required ~ benefits be therefor are . either payable  !

provided under any. Workman's compensation or occupational disease law:- "

.(c) any claim for punitive or

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provided. exemplary damages.. .

with respect to any claim for . wrongful: .l 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 l from such death but not to exceed the q

-1 maximum amount otherwise recoverable under law.

1

3. The waivers set forth in paragt M h 1. above shall be .a effective L damage or. only with respect - to yodily injury. property under environmental 6amage to which the policy applies l its . terma! other than this endorsement:

however. 'that with respect to bodily injury, provided.

damage d

or . environmental damage resulting- from prope rty -

'an j

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extraordinary = nuclear occurrence, the provisions of 2 COVERACES:

bodily injury, A and C of the policy ~ providing coverage for e

!. property damage- or environmental damage l caused .during the policy period by the nuclear energy  ;

hazard and which is discovered and for which written claim i is made against the insured not later than ten (10) . years after bar the-and coverage of the policy period shall not operate to i

l for , bodily injury, property damage or environmental damage (a) which is caused during the policy 1 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 20 ' yea date of the extrao,;dinary nuclear occ(urr)ence. rs af ter the 7, Such waivers shall not apply t o .- or prejudice the prosecution or defense of any claim or portion of claim ,

which is not within the protection afforded under  !

(a) th'a provisions of the policy applicable .to -the financial protection required of the named insured j

(b) the ' agreement of indemnification between the . named l i

insured and the Nuclear Regulatory Commission made pursuant 1954, as amended: to Section and170 of the Atomic Energy Act of ,

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(c) the limit of lisbility provisions of Subsection 170s.  !

of the Atomic Energy Act of 1954, as amended. -

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Such failure waivers shall not preclude a defense based upon the mitigate damages.

of the claimant to take reasonable steps to i NE-33c(1/1/90) Page'2 of 3 '

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w; 4 -subject. to all A of. the limitations stated in this N endorsement amended, and in the Atomic Energy ~Act of 1954 as i

the waivers set forth in paragraph 1. above shall l

[': ; p( against any enforceable in accordance with their terms be judicially i insured in an action to recover  !

l because of bodily injury, property damage or environmentaldamages' damage f protection. to .which .the policy applies as proof of financial a' n . r<

5. As used herein:

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'" extraordinary nuclear ' occurrence" means - an event which n '

the Nuclear.' Regulatory Commission has determined to be an extraordinary nuclear Energy Act'of.1954, as' amended. occurrence as defined in the Atomic [

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[A " Financial protection" and " nuclear incident" have the

? meanings given-them'in the Atomic Energy Act of 1954, amended. as i h

" claimant" means the . person or organization a

sustaining environmental the: bodily ; injury. property . damage actually or 1

e" damage and also includes his assignees.- i legal representatives and other persons or organizations  ;

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entitled injury or to bring an action for damages on account of such damage. 'l i

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l cf thu '!oter Eanw Uxiuy Po5cy  ; cilityform) as d'es: -I hnata hereat NiIns ar ~ "v hemunder.

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Amrixan hice In$ieto Effective Date of- ,

O this' Endorsement January 1. N0 l- to form a part of Policy No. NF-257 12:01 A. M. Standard ttsee

[  !

Mississippi Power & Light Company and System Energy Resources. Inc. and Issued-to South Mississippi Electric Power Association I . Date of Issue February 16, 1990 i h

For the S ribing panies, i

By 1

-.e - .

y emarr , ~

' Endorsement No. 64 Countersigned by MTD@

NE-33c:(1/1/90). Page 3 of 3

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MUTUAL ATOMIC

- ENERGY UAtluTY UNDELWRITERS WATVER OF DEFENSES ENDORREMENT  !

1

[ (Extraordinary Nuclear occurrence) j

64,s .

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'The named. insured, acting for himself and every other insured' under the policy.

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  • Insurance Association agree as follows:and the members of Nuclear Energy. Liabil;

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e: 1. With respect to p"# y any extraordinary nuclear occurrence to t u.

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which and which the policy applies as proof of financial protection  !

o T 3 (a)  !

cmW u arises out of.or results from or occurs in the course ~

of the construction, possession, or operation of ' the }

Qt1:' ,

-facility or

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(b)  :;

@ .;- arises of:the out of or resultsoffrom transportation or occurs nuclear in.the-course material to or.from  !

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the facility. j the insureds and the companies agree-to waive  !

r (1) any issue. or defense as to the conduct of the: .

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claimant or the fault of the-insureds. including but' not limited tot.

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it (i) negligence.

(ii) contributory negligence..  ;

(iii) assumption of risk. and (iv) unforeseeable intervening causes, whether 1

involving. the conduct of a third person. or an )'

act of God, e

(2)- any issue or defense as governmental immunity, and to- charitable or  :

i- .

% (3) any issue or defense based on any statute of limitations if suit is instituted within three years Lr from the date on which the claimant first knew, or '

reasonably could have known. of his bodily injury or  ;

, property damage and the cause thereof.

The waiver of any such issue or defense shall be effective i 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 forth in paragraph 1. above do not apply to ,

x (a) bodily injury, property damage or environmental damage which is intentionally sustained by the S

a, >

claimant intentionally or and which results caused wrongfully from a nuclear incident by the claimant t

e ME-33cL(1/1/90) n Page 1 of 3

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4 (b) bodily injury. sustained by any clainant who is employed at the site of and in connection with the

' activity where the extraordinary nuclear occurrence takes place 'if benefits therefor are either - payable or required; to be provided under any workmen's- -

compensation orJoccupational disease law:

(c). any ' claim for punitive m provided.

or exemplary damages.

with respect to any' claim for wrongful 1 death under only punitive any State law which provides for damages in 4, nature.- this exclusion does not apply. to. the extent . that the claimant has sustained

. actual damages.- measured by the pecuniary injuries:

,j resulting from . such .' death but not to exceed the o'

maximum amount otherwise recoverable under law. i

3. The waivers. set forth in- paragraph .

.i

1. above shall be effective only with respect to bodily. injury. property 1 1

,damage under~ or' its environmental damage this to endorsementt which the policy applies 1

terms other than j however, that with respect to bodily injury. provided.

damage or environmental damage resulting property.

extraordinary : nuclear from an- '3 occurrence, COVERACES the provisiens . of A and C of the policy providing coverage fw j L, bodily injury, q property damage or environmental damage  !

caused during the policy period by the nuclear energy 1

,i hazard and which-is discovered and for which written claim is made against the~ insured not 'later than ten (10) years )

barter-af the end - of the policy period shall-, not operate to j

. coverage f or bodily injury. -property ,i environmental damage damage or. i

-(a) which is caused during. the h policy: period by the nuclear energy hazard and (b) which E

is discovered and for which written claim js made against the insured not. later than twenty years after the date of the extraordinary nuclear occu(20) rrence.

q 1

p, such waivers- shall not apply to, or prejudice the prosecution or defense of any claim or portion of claim l

. which is not within the protection afforded under )

1 p (a) the provisions of the policy applicable to

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!: financial protection required of the named insured:

the )

3 (b) the agreement of indemnification between the named 1

insured and the Nuclear Regulatory Commission- made {

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pursuant 1954, as amended:to Section and170 of the Atomic Energy Act of ,

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(c) the limit;of liability provisions of subsection 170s. I L of the Atomic Energy Act of 1954, as amended.  !

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such waivers failure shall not preclude a defense based upon of the claimant to take the i reasonable steps ]

y- mitigate damages. to l

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3, T 4 subject _. to all ~ of the limitations stated in this e

endorsement and in the Atomic Energy Act of 1954, as amended the waivers set forth in paragraph 1. above shall 4

e be judicially enforceable in accordance _ with their terms against any insured in an action to recover damages because of bodily injury, property damage or environmental damage to which the - policy applies as proof of financial 4

protection.

5. As used herein

- " extraordinary nuclear occurrence", means an event which 1

j '

the Nuclear Regulatory Commission has determined to be an K

extraordinary Energy Act of 1954 nuclear occurrence as defined in the Atomic as amended.

" Financial protection" and " nuclear incident" have the meanings amended.

given them in the Atomic Energy Act of 1954, as c ,

" claimant" -means the person or organization ^ actually y sustaining the bodily injury, property damage or-environmental damage and also includes, his assignees.

legal representatives _ and other persons or organizations

'" entitled injury or to bring an action for damages on account of such damage. ,

.g Tha D.t, k t:> mov %.t tw t a tne em , of the originM t -

u qfv.1 1: ut.u and bem9 mcdc part of m '

- t Po'i.v Atp Form) as des-bua c: h creunder, hhn t.. t muN, Vite Produf U:deiwritiro Amakan N&r lasurcrs E .

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'. Effective Date of this gndorsement January 1.1990 -

To fora a part of Policy No. MF-106 12:01 A.M. Standard time Mississippi Power & Light Company and System Energy Resources. Inc. and-Issued to South Mississippi Electric Power Association Date of issue February 16. 1990 For the subscribing companies Erfu&L ATONIC Et3RCT 1.IABILITY IDWERURITERS By N. Ub Endorsement No. 43 Countersigned by su v wy "'

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Mb33c(1/1/90) Page 3 of 3

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' . Nuclear Energy WeblHty insurance I

l " NUCLEAR ENERGY UABluTY INSURANCs! ASSOCIATION SUPPLEMENTARY ENDORSEMENT WAIVER OF DEFEN8ES

, REACTOR CONS 71tUCTION AT THE FACILITY It is. agreed that in construing the application of paragraph-2(b) of to3 an.- the - WAIVER OF DEFENSES ENDORSEMENT NE-33c with respect extraordinary facility.. a ; claimant who- is nuclear occurrence occurring at the employed at the facility in-connection 1 with the construction of a nuclear reactor with respect: ..tRegulatory Nuclear o -. w h i c h - n o operating license has been issued by the-Commission shall not be considered as employed nuclear occurrence in-connection takeswith placetheiftactivity where the extraordinary (1)- the claimant is employed exclusively in connection with all the construction of a nuclear reactor including.

related. equipment and installations at. the facility, and (2) no operating license has been issued by the Nuclear Regulatory Commission with respect to the nuclear reactor..and

.(3) the claimant is not employed in ~ connection with the possession, storage, use or - transfer of nuclear material at the facility.

Tb b ta rmrtN ibe th9 6 a true copy of the original .

D. h m m bs: 4 1en&mmnu number and being made part of h %.'em Enmy UMuy Paky ( dhty Form) as des.

ignaird wwt Na hm :,nm is #ar ^ hereunder,

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John L s tmed , h hesi&ut Underwn Anunun Nudaar bisurers Effective Date of this Endorsement January 1, 1990 To fore a part of Policy No. NF-P57 12:01 A. M. Standard time Mississippi Power & Light Company and System Energy Resources. Inc. and

= Issued to South Mississippi Electric Power Association Date'of. Issue February 16. 1990 For the Sub ibing Co antes, By v'

_/

'gndorsement No. 65 countersigned by #

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Nuclear Energy Uability Insurance s

m MUTUAL ATOMIC ENERGY UABILITY UNDERWRITERS SUPPLEMENTARY ENDORSENENT

' WAIVER OF DEFENSES-REACTOR CONSTRUCTION AT THE FACILITY ll It is agreed that in . construing the - application of paragraph.

2(b) of to antheextraordinary WAIVER OF: DEFENSES . nuclear ENDORSEMENT . NE-33c with respect -

facility, a claimant who is employed occurrence occurring at the at the facility in ,

connection with tho' construction of respect toRegulatory which no' operating license -has been issued by a' nuclear reactor' with thek Nuclear Commission shall not be considered

n. as -

employed nuclear in connection occurrence takeswith place theiftactivity where.the extraordinary (1) the claimant is employed exclusively with the construction of a in connection-4 m ' all related equipment andnuclear reactor. including facility. and installations at .the 3 ,

' (2) no operating .. license has been issued by the Nuclear-Regulatory.

reactor, and Commission with respect to the nuclear (3) the claimant is not employed in connection with the-possession, storage, ust .or material at the facility.

transfer of nuclear.

. 1 TW is la < crti!! tbM thi is a true copy of the Orl[pnal Endori.emen! ha,,70 the endanannni n nbar and being mAde part of the %tica i;nergy Liint19 Po! icy 2cihty Form) as des-iratea wre o 12 acrcundet.

Jolin L q. ooah,, We PierMent Undenvitirig Arnencan Ntkar insurers

' Effective Date of

.this Endorsement January 1, 1990

' To fors a part of Policy No. MF-106-12:01 A.M. standard time Mississippi Power & Light Company and System Energy Resources. Inc. and South Mississippi Electric Power Association Date al issue' _ February 16, 1990 For the Subscribing Companies MttrG&L ATONIC ENERGY LIABILITY By c> m- --

m Endorsement No. 44 Countersigned by W^

.ME-39c (1/1/90)

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c Nuclear Energy Liability insurance l

NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION-i AMENDATORY ENDORSENENT It,is agreed that:-

(Facility Form) l 1

1.  ?

INSURING AGREEMENT I is' replaced by the following: j I COVERAGE A.- LIABILITY To pay on behalf of the insured all suas which the insured" i shall become c logally obligated to pay as covered damages - i because of, bodily injury or. property damage, or as covered .)

environmental cleanup. costs because of environmental'  !

damage. . This coverage applies only to bodily injury. l property damage or environmental damage caused during the -

policy period by .the nuclear energy hazard, and which is. i' discovered and for which written claim is made against the insured. not later than ten (10) years after the end ' of the policy period. 4

. i, The companies shall have the right and. duty to defend any.

claim or. suit against the' insured alleging such injury or, damage, and seekina.: damages or costs - which are payable under the-terms of.this: policy: but the companies may make.

-s- such investigation. . negotiation - and settlement of the ,

claim or suit as they does expedient. j i

-The companies' duty to defend shall be limited, as 'I described in -INSURING AGREEMENT IV, if the claim or suit ~

also seeks any of the following, which in no event shall 'I be construed as. covered by this policy:

(1) ~.. damages for on-site property damage .'

(2) recovery of .on-site cleanup . costs or any other.  !

cleanup costs except covered environmental cleanup costs:  ;}

(3) performance of an insured's : environmental protection obligations or on-site cleanup obligations: or any other relief

( 4 )'

or recovery except payment of

j covered damages or covered environmental cleanup costs. ,

The companies.' duty to defend claims or suits ends - when  ;

the limit of their liability has baan exhausted pursuant to CONDITION 3. 1 1

Subject to INSURING AGREEMENT IV. the companies shall pay.

with respect to any claim or suit they defend, the costs incurred in the defense, including (1) costs taxed against the insured in any such suit and interest on any judgment therein:

(2) premiums on appeal bonds and bonds to release attachments in'any such suit, but withvut obligation to apply for or furnish such bonds:

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N a. 3,  :)

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(3) I reasonable' . expenses, ~other than loss of earnings,  !

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incurred by the insured at the companies' request. 'l CovstACE-THE FACILITY n - DAMAoE TO ' PROPERTY OF AN INSURED ANAY FRON j' With respect to property ' damage caused during the policy i

. period by the nuclear energy hazard to the property of an' {

o insured which .is' away . from the facility. to pay to- such .j 1

aTsured those sums: which such insured would have been a legally obligated to pay as covered.da2 ages therstor, had .l such property belonged to another.

,j  ;

COVERACE.C

'SUBR00ATION - 0FFSITE EMPLAYEES I With respect to bodily injury caused during the policy [j!

period by the nuclear energy ha2ard to any employee of,an insured, and which is discovered and for which written - d clain is' made against, the insured, not later than ten (10) "i years atter , the end of the policy period, to pay to the workmen's compensation carrier of such insured as follows:-

. 4, i -

All suas andwhich such ' carrier would have been entitled to

[

recover from another person or' a organisation,, retain had such .as damages person or organization alone been j legally responsible' for such bodily injury, by reason of l the benefits rights acquired fby subrogation by the payment of the l required of such , carrier .under the applicable 'H workmen's : compensation or occupational disease law. An employer- who is - a 1 duly qualifled self-insurer under such "j

. law shall be deemed:to be a workmen's compensation carr.or within the meaning of..this coverage.

q This coverage' does~ not apply to . bodily injury to any l person facility who is employed at and in connection with the j nor shall it constitute workmen's compens#4 tion ';

insurance as' required under the laws of any state.

i- 2. I INSURING AGREEMENT II is replaced by the following:

J II DEFINITION OF INSURED  :

The unqualifled word " insured" includes (a) .

the named insured and (b) . any other person or organization with-respect to'his legal responsibility for covered damages or covered . environmental cleanup costs because of bodily 1 injury, the property nuclear energy damagehazard. or environmental damage caused by Subdivision United States(b) of above

. America does or not anyinclude as an insured the ]

the Tennessee Valley Authority. of its agencies, except ')

l.

i Subject the policy, to CONDITION 3 and the other provisions of this 1 insurance applies separately to each insured j against whom clain.is made or suit is brought.

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INSURING AGREEMENT III is replaced by the followingt -l j

III DEFINITIONS Wherever used in this policy: )

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" bodily injury" means bodily injury, sickness or disease.

' 6. g' including person.

death resulting therefrom, sustained by any l gi " covered damages" means damages because of- bodily injury g or property' damage to which this policy applies but h covered or on-site damages cleanupdo not include environmental cleanup, costs costs.

L 2.: " covered environmental cleanup costs" means only . those W' environmental for monitoring cleanup costs which are incurred directly E containing environmental damage testing for, cleaning up. neutralizing or L extraordinary nuclear occurrence as the result of an or a transportation N~

incidents but covered environmental cleanup costs do not include on-site cleanup costs.

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o " disposal site" means any structure, basin, excavation, e premises or place prepared as . a . dump or site for the disposal of waste materials of a general nature, but.which may, also be used for the disposal of Waste materials conteining small amounts of nuclear material.

" environment" includes land, the atmosphere, watercourses, bodies and all-whether on of water and natural resources, m above or below the surface of the ground.

" environmental cleanup . costs" include all: loss, cost or expense arising. out of any: governmental decree, order or directive action at (other than' an award of covered damages in an law) requiring or a person or organization to undertake or pay l requesting ,for monitoring. testing-for, cleaning up. neutralizing or containing contamination of the environment. Whether the contamination is.on, above-or below the surface of the ground.

" environmental damage" means contamination of the stnviron-J, n ment by nuclear material. I

" environmental protection obligations" include obligations of any person or organization a12 t (1) relating to the protective of the environment from ir 4 contamination or imminent, danger of contamination, and P ,

(2) imposed by any governmental laws, regulations or y ordinances.

" extraordinary the nuclear occurrence" means an event which determined to be anNuclear United; States Regulatory Commission has extraordinary nuclear occurrence as 3

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A y'? , f 4 D defined = in the Atomic . Energy Act of 1954, 4

famendatory thereof.

j

,y or in any law s

i " governmental" refers to i

, y governments and authorities, federal, state .and local  !

and political subdivistons thereof. including courts, agencies o " indemnified m

nuclear facility" means ,

g (1)-

"the facility" Liability Policy as-(Facility defined Form) in any Nuclear Energy _

issued j Energy Liability Insurance Association by ' Nuclear .;

l '

(2): any Atomic Energy Liability Underwriters, or or Mutual j h

t-other nuclear facility. l if financial  !

protection Atomic 4 Energy Act of 1954 is required pursuant to ' the ,

J with . respect to any activitiesor any law amendatory thereof. i thereat. or operations conducted .!

I L .

I

! " insured shipment" means ,

special nuclear material, a.spent shipment of source > material.

\

fuel, wasta

, or: vastes produced by the extraction or con ;or tailings  !

L uranium centration 1 offor t its sourceor- thoriumcont from any . ore processed primarily t material ent, herein called'* material.#i.

(1) to the facility from. any indemnitled. nuclear facility.location. except7 an i

but only j

! if .the transportation mination to be of the - material is not - by predeter- ,

material from a interrupted transporting by removal 'of the .!

purpose tation. orother than the continuation of its-transpor-conveyance i (2) from the facility to any othar location, but only until the material conveyance for is anyremoved purpose from a transporting continuation of its transportation, other than the v.

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-" nuclear explosive energy otherhazard" or oniy means the radioactive. -toxic. ..

1 material, but ifhazardous properties of nuclear i I

(1) dischstged or dispersedthe nuclear material is at the facility H

person or organization, therefrom without orrelinquish intent' toor custody possession

.(2) _

I i

-is course away from any other nuclear facility and i of transportation.  !

including '

1 temporary storage incidental thereto, withinhandling and (a)- America, the territorial its limits of the or United States of (b)

Puerto Ricos orterritories possessions. or i international the nuclear waters material is in the or airspace, provided that (

course of transportation between two points located within

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,j tho' territoriall limits , described in (a) above and there is no deviation in the course of the transportation.for the purpose of going to any other country.

going to or state or nation, returning fromexcept a for the purpose of I as the result of an emergency. port or place of refuge 1

I

" nuclear facility"-means "the facility" as-detined in any 1 Nuclear Energy Liability Policy (Facility Form) issued by j L Muclear Energy Liability Insurance Association or Mutual Atomic Energy Liability Underwriters. The tera " nuclear facility" also means (1) any nuclear reactor.-

(2) any equipment,or device. designed or used-~for-L (a) separating-the isotopes of-uranium or plutonium.

l (b) processing or utillaing spent. fuel._or (c) handling, processing.or packaging waste.

(3) any . equipment ' or device used for the processing - -)

fabricating or alloying of special nuclear material i if at.any time the total amount of such material in the such custody equi of the insured at the premises where contains pment or device - is located consists of _ ori j 233 or more than 25 grams of plutonium or uranium  !

grams any-of uranium 235 combination thereof. . or more than 250 (4) any structure, basin, excavation. premises or place prepared or used for the storage or disposal wastes of  !

1 i

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 material" means source material, special nuclear material or byproduct material.

" nuclear reactor"'means-any apparatus designed or used to sustain nuclear fission or a self-sustaining ' chain reaction or to contain a critical mass of fissionable material.

i "on-site cleanup costs" include all loss, cost or expense arising out of on-site _ cleanup obligations.

"on-site any - cleanupe person obligations" include all obligations of or organization.

L< imposed by common- law or j otherwise, for cleaning up to undertake or pay for monitoring. testing .

neutralizing or containing contamination by nuclear material at the facility, whether the material >

is on, above or below the surface of the ground. j "on-site property damage" includes all property damage to i I any property at the facility, whether the property is on.

i above or below the surface of the ground, other than  ;

1: aircraft, watercraft or vehicles licensed for highway use.

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.idh ; ' provided such aircraft, watercraft or vehicles are not used in connection with the operation of-the facility.

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" property damage" means physical injury to or destruction l Rg  ;

or radioactive contamination of property, and loss of use- j h(,'

?" of property so -injured, destroyed or contaminated. and use of lose use of property while evacuated or withdrawn fron-I 34 4 because possibly so contaminated or because of -i imminent danger of contamination. l

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pgk " source' material. " "special nuclear material." and )

" byproduct material" have~the meanings given them in.the l p;{f

/ Atomic Energy' Act of. 1954, or in any law amendatory )

U thereof. i biq&r > " spent fuel" means any fuel element or fuel' component.

solid -or liquid, M@l??

s radiation in any nuclear which has been used or exposed to reactor.

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K;L ,$; "the facility" means the facility described 1 in the y "1l declarations 3

and includes the location designated in Item of -

the such location. declarations and all property and operations at pU m -.

" transportation = incident"

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of nuclear material- from anmeans ,a discharge or dispersal' ir.sured shipment saused by y b' collision or upset of the transporting conveyance, or an pp~

accident that breaks open, punctures _ or ruptures the

  • shipping containers or containment thereont but only if  ;

both the discharge or dispersal and the - collision, upset 1 Q, or accident take place away from any nuclear facility and W 0 away from any disposal site, and both occur in the course- ,

j of the transportation, storage incidental thereto. including handling and temporary  :

'$' , * " waste" means any waste material (1) containing. byproduct material and n (2) resulting from the  ;

W operation organization of any nuclear facility included within by any person or  !

flhyllf .

the (1) or definition

- (2) thereof. of nuclear facility under paragraph m >

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4.

IWSURING AGREEMENT IV is. replaced by the following and 1 i

iit (pg INSURING' AGREEMENT IV-A added by the " Amendment of '

2.~ 9 coverage Endorsewnt continues to apply: for Workers claims (Facility Form)"

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o IV LIMITED DEFENSE OF PARTIALLY COVERED CLAINS OR SUI?9 h

y The following provisions apply with respect to any i

% partially covered claim or suit for which the companies' duty to defend has been limited by INSURING AGREEMENT I:

(1) The companies will defend the claim or suit unless i

V the companies and the first named insured mutually agree on a different defense arrangement. By making ,

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Gf such a defense. the companies.shall not be considered

-i 4 as having deny waived their rights under this pa Went or reimbursement of the policy to - .

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covered. items not l

, 4 (2) As soon as practicable,

^

T. the first named insured.

acting on . behalf of all insureds . and the companies  !

shall endeavor to reach an equitable arrangement for  !

handling the defense and sharing the costs thereof.. '

(3) The companies' exceed the portion share.of of thedefense total defense costscosts shallthat not c

represents the costs which would be reasonably and necessarily incurred in the defense of the clain or ,

suit in the absence of any. clain or demand for the '  :

items not covered. 1 1

(4) The companies shall have a right to contribution from the first named insured for all defense costs as g i -companies' they are . incurred ;in excess - of the amount of the ,

g% share. including reimbursement by the -,'

(' firstcompanies.

the named insured of all such excess costs paid by ,

'" (5) If the companies and the first named insured cannot  !

1 agree on the companies' share of ' defense costs. the si

,F dispute shall be submitted. as a condition precedent.

to any.right of recovery on this policy to arbitra- 9 tion for a final and binding resolution, as provided-in Condition 19.

5.

In EXCLUSIONS relating (d) and (a) . and in all endorsements to this policy thereto. ;i the words " bodily . injury or t; property damage"' are replaced' damage or environmental damage."

by " bodily injury, property '

i 6.

4 EXCLUSION (f) is replaced by the following exclusions ,, 3 (This policy does not apply:)

(f) to on-site property damage:

o

7. In - CONDITION 3 1 and in all endorsements to this policy '

modifying the dollar amount' of the limit of liability 1 stated in Item 4 of the declarations. the words " bodily injury or property damage" are replaced b

property damage or environmental damage."y " bodily injury. '!s
8. . In CONDITION 4 and in all endorsements to this policy modifyjng -the dollar amount of the total aggregate l I liability of the companies with respect to a common l occurrence '

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(a) 'the words " bodily injury or property damage" are replaced by " bodily injury, property damage or environmental damage": and l (b) the words " bodily injury and property damage" are replaced by " bodily injury, property damage and environmental damage." -

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s Nft W this policy relating thereto. the wordso " bod property damage" are replaced b or-  :

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damage or environmental . damage."y abodily injury, property  !

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-'10. j p CONDITION 19. DgCLARATIONS .is renumbered CONDITION

11. .

I

' The f011owing CONDis103 is_added to'the policy:  ;

19 ARSITRATION 0F DISPUTES RELATING OF INStRING. AGREEMENT IV.. TO THE APPLICATION (

.All such disputes subject to ' paragraph (5)- of INSURING AGREEMENT (the " Board")

dispute. for a IV.shall

. final and be submitted binding resolution toofaa Board on o1 '

o, ' ' the -

u ' ,

There insured, named shall' be two parties to the arbitrations duly the first I 9 authorized . representativeacting . on behalf of all insureds a

'.c Liability ' Insurance Association. a. and Nuclear Energy ,

.r companies as their duly authorized representative.cting on behalf of ;

" Except to the  ;

extent parties otherwise. the following principles the will applytmutually agree -

e (a)

The arbitration will take place in New York. New York, of Newand York.will be governed by the laws of the State o - ' (b) .i I-giving notice to the . other party in its writing o i intention- to do so andJ the name (c)' 'that it has appointed. .._ of the arbitrator 3

The - other and arbitrator party shall then: appoint in writing an the 1 writing an, umpire before,they bearbitrators shall appoint in ,

(d) The umpire shall act as chairman' gin the ' arbitration.

of the Board.  !

3 . If a party thirty (30)fails .to.of' days name uits arbitrator within the.,other

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request - that it do ' so. ' the party's; written (e) If appoint requesting the an arbitrator for'the party in default.

party may two arbitrators. fail to agree - on the. ,

selection of an umpire within ' thirty (30) days after they have both been appointed, i name two, each of them -i choice shall be made by drawing lots.of whom Thethe other !s (f) -The arbitrators officers and . umpire shall '

or former executive officers be executive y

companies of insurance States or of licensed to do ' business in the United m

m organizations designated -

issued. as the first named'by insured Nuclearunder 4-Nuclear-Energy Energy Liability Liability Policy g;; Association or Mutual Atomic Energy Liability Insurance  :

Underwriters:

the following providedshall not thatbe the current employees of without the consent of both partiesteligible for service 8

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3 (1) any party claim or suitt or likely party to the underlying I

" (2) American Nuclear Insurers. MAERP Reinsurance - ]

-Association or their members: or  !

Y (3) any other insurer or reinsurer which has casualty insurance or reinsurance in force on any of the affected by foregoing the Board'swhich may be materially decision.

(g)~

Within thirty (30) days after the appointment of the umpire, to the Board. each party shall submit its case in writing (h) The Board shall determine its rules of procedure..and the nature and extent of any discovery. testimony, i

examination oral argumentorpermitted. cross-examination of witnesses -and

,1- The decision of ,any two.

members all na t es.

ref the Board shall be final and bindingi on i 1

All discovery, submissions of evidence.  ;

hear.  % of witnesses and argument shall be completed within sixty (60) days of the appointment of. the  !

umpira, thirty (30) provided days. the Board may grant one extension of, 3 (1) The atbitrators and the umpire are not to be bound by J any 1egal . procedents.

strict rules of legal procedure. evidence' or ,g They shall. however, be goverhed

{

by the terms of this policy, and shall hava no power. i to add to or change its provisions. subject-to this admonition, they shall interpret  ;

provisions of this policy as an honorable the -business.

relevant i agreement. and shall  !

accordance with such provisions be entitled to decide.

together with , the in i 1

other materials submitted to them, what they think is the fair and right thing to be done between the 4 parties from a business point of view.' without g <

(j) favoring the interest of either party.

,. The Board shall make its award in writing within j L

thirty- (30) including any days after the close of the.-period.

extension L

' paragraph (h) above.

granted, described in (k) . prescribed If the Boardby fails to make (j) paragraph anabove.

award within thestime then unless an ,

V extension 'is agreed to by the parties, J

arbitration shall be commenced and completed in a- new  ;

accordance (a) through (j) with the procedure set- out in paragraphs above.

(1) The award of the Board signed by any two members!  ;

shallparties, all be final,including not subjectall to appeal and binding on policy and all-insureds thereunder. insurers subscribing the The award shall be treated as a matter involving interstate commerce.

and = mayjurisdiction, competent be filed or confirmed in any court of  !

or federal, and state judgment thereon entered and enforced. in accordance with the law and practice of the forum.  :

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Unless'the Board decides'otherwise. each party shall pay l for. the it expenses' and one of the arbitratorL appointed by or

~

half of the .!'

arbitration.

other costs 'of (n) '

If an arbitrator..or umpire.is unable or unwilling to act.

shallabe new-arbitrator or umpire. as the case may be.

appointed to.act in his or her place. - in .,

(o)-

accordance with:the provisions set forth above. i All . materials submitted to ' the relevant Board to in the arbitration triplicate and the shall be  :

filing party shall opposing send simultaneously a copy thereof to the party..  :

12. '

e

'This endorsement-applies to;all claims for damages. costs, 6 expenses or other relief-or recovery for which coverage is '

sought under thisu policy, and which are first made in writing against'any insured on or after the effective date  :

j of.this endorsement stated below.

i 1

. =!

TM h; to cerrih; Out thb is a true ccry of the original En:

R1enu tu hA%g the ent,rsement nutnber and being made part ,

of tho %Rr imerp !.iabNy Pcacy i duy Forrn) as des-imati bereon. No hn l

,Q , uvj y"~71 9% hereunder.  !

&.L moabi, We huant Un&rwru o  ;

/mcan !vuciva 1:u urus i 10

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Effective Date of .,

this Endorsement January 1.1990 To fore a part of Policy No NF-257 12:01 A.M. Standard Time J Mississippi Power & Light Company and System Energy Resources. Inc. 'and-Issued to South Mississippi Electric Egwer Association t 1

'Date of Issue g uary 16. 1990 For the su ribing c panies- I ny T '

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PRESIDENT Endorsement No 66 Countersigned by. AupA T hb@ ..

i iE-71 (1/1/90)

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( Nuclear Energy Liability insurance MUTUAL ATOMIC ENERGY LIABILITY UNDERWRITERS

<p, AMENDATORY ENDORSENENT

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"y ' (Facility Form)

, , It is agreed that:

1. INSURING AGREEMENT I is replaced by the following:

I^ I COVERAGE A - LIABILITY To pay on_ behalf of the insured allssums which the insured shall become legally obligated to, pay as covered: damages f

because of bodily injury or property damage, or_as: covered environmental cleanup costs because of- environmental damage.

E This - Coverage applies only to bodily injury, 4

property damage or environmental' damage caused during the H policy period by the nuclear -energy hazard, and which is discovered and for which written claim is made against the -

insured, not later than ten (10). years after the end of

-the policy _ period.

I The companies shall'have the rightLand duty-.to defend any claim or suit against the insured alleging-such injury or

.* damage, and seeking: damages or costs which are payable 4 under the terms of this policy: but the companies may make such investigation, negotiation and settlement of the f

o claim or suit as they does expedient. ..

The companies' duty to defend shall be limited, as

. described in INSURING AGREEMENT IV, if the claim or suit o also seeks any of the following, which in no event shall-be construed as covered by this policy:

(1) damages for on-site property damages (2)~ recovery of on-site cleanup costs or any other cleanup- costa except covered environmental cleanup costs:

(3) performance of an insured's environmental protection oblisctions or on-site cleanup obligations or (4) any other relief or recovery except payment .of covered damages or covered- environmental cleanup costt.

The companies' duty to defend claims or suits ends- when the limit of their liability has .been exhausted pursuant to CONDITION 3.

' Subject to INSURING AGREEMENT IV, the companies shall pay, with respect ~ to any claim or suit they defend, the costs incurred in the defense, including (1) costs taxed tgainst the insured in any such buit and interest on any-Judgment thereini j (2) premiums on appeal bonds attachments in any such suit, and bonds t.c release

.to apply for or furnish such bondstbut without obligation

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.- at ,

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(3) reasonable expenses, l}

other than loss of earnings.

E

-incurred'by the insured at the companies' request.

6 .

Jd COVERAGE titt FACILITY5 - DAMAGE TO PROPERTY OF AN INSURED ANAY FRON 1 l

With respect to property damage cauced during the policy l

j period by.the nuclear energy-hazard to the property of an  ;

insured which is away from the facility. to pay to such insured j those suas which such insured would have been legally obligated to pay as. covered damages therefor. had such property belonged to another.- 1 q'

J

- COVERAGE C - SUBROGaTION - 0FFSITE EMPLOYEES ,1 i

With - respect to bodily injury caused during the policy 'I

' period by the nuclear energy hazard to any employee of an #

insured. and which is discovered and for which written f' claim is made against the insured, not later than ten (10) years . after the end of the policy period, to pay to the j, j

workmen's compensation carrier of.such insured as follows:- y l '!

All suas which such carrier would have been entitled to yj recover and retain as damages from another person or- '1 l organization.. had such- person, or organization alone been -

L L

legally responsible for such bodily injury, by reason of

' the rights acquired by subrogation by the payment of. the benefits required of such carrier under the applicable .)

R i- workm*='s compensation or occupational, disease law. An employer who is a duly qualified self-insurer under such S' ' j law shall be deemeci to be a workmen's compensation carrier within the meaning of this Coverage.

o y ThisL Coverage does not apply to bodily injury to any E!

person who is employed at and in connection with the facilitya nor shall j it constitute workmen's compensation insurance as required under the laws of any state. M U.

2. I INSURING AGREENENT II is replaced by the following:

II DEFINITION OF INSURED '

The unqualified word " insured" includes (a) the named t insured and (b) any other person or organization with respect to his legal responsibility for covered damages or covered ~ environmental cleanup costs because of bodily 4 injury, the property nuclear energydamage or environmental damage caused by hazard. J a"

subdivision (b) above does not include as an insured the ,

United the Tennessee States of America Valley or any of its agencies, except Authority.

Subject to CONDITION 3 and the other provisions of this  !

l policy. the insurance applies separately to each insured -

agairsat whom claim is made or suit is brought.

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1. .,

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  • INSURING AGREENgNT III is replaced by the fallowingt-III DEFINITIONS-Wherever used in this policy:

" bodily injury" means bodily -injury.. sickness or disease including person. death resulting therefrom, sustained by any ,

" covered or property 'damage damages" means damages, because of bodily inju to . which this policy appliesa >but or on-site cleanup costs. covered. damages do not ' include environ

, " covered environmental cleanup costs" '}

for monitoring cleanup environmental costs which are means . only those testing for, cleaning incurred directly.

containing ' env,ironmental damage . as.up, extraordinary the neutralizing or nuclear. occurrence or a transportation result of an i include on-site cleanup costs.; incidents but covered : enviro

" disposal site" means ' any structure, basin, excavation.

premises or place prepared as a dump or site for the ,

disposal of waste materials of a general nature, but which  !

may also be used for the ' disposal of waste materials-containing small amounts of nuclear material.

" environment" includes land, I

I watercourses bodies the atmosphere, and all J whether on. a,bove orofbelow waterthe and natural surface resources.

of the ground.

" environmental cleanup costs.". ' include all loss. cost or expense arising out of , any - governmental decree. order directive F action at . law)(other than an award of- covered damages inoran j 1 requiring. or requesting a . person or ,

organization to undertake. or pay for ' monitoring, testing for, cleaning up, neutralizing or containing contamination of the environment, or below the surface of whether' the ground. the contamination is on, above' -,

ment by nuclear material." environmental damage" means conta -

t

. " environmental y*otection obligations" obligations'of any p eson or organization include all

[ (1) i relating -to the protection of l

contamination and or imminent danger theof environment from '

(2) contamination, imposed by any governmental laws. i ordinances. regulations or )

'\

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" extraordinary the United states nuclear occurrence" means an event which determined Nuclear Regulatory Commission has to be an extraordinary nuclear occurrence as 3 \

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defined? in the Atomic Energy Act of 1954 i

hl

[ L, amendatory thereof. or.in any: law

. 1> " governmental" refers to fadoral, 3

' ' state and local'

. l", i W governments and authorities..

and political subdivisions including c c*.t r t s , agencies thereof.

4 m.

"indemnitled nuclear facility" means 4

A i (1) "the facility" as detined in any Nuclear Energy

.e Liability Policy (Facility - Form) issued :by ! Nuclear q Energy Liability Insurance Association or Mutual f' i e>, < Atomic Energy Liability Underwriters, or;

~

(2) any'.other nuclear facility.

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'if_ financial protection 'is 9W required pursuant - to, the f;b7 7 '

Atomic Energy Act of 1954, or any law amendatory thereof.

with respect ' to . any activities or operations: conducted thereat.

i

" insured shipment" means a shipment of source asterial.

or wastes produced by the ' extraction or con,c;entration of i uranium or thorium from any ore processed primarily ' for 7, o ..

its source' material content, herein called " material."

4 (1) toi the facility from any f4 i '. indemnified nuclear. facility,location ~ except- an but only .if the transportation mination to . be of the material is not by' predeter-interrupted by removal of the material from a y'

trensporting conveyance for any purposeorother tation. than the continuation of its transpor -

(2) from-the facility. to any other location. . but only i

$,W 1 until the material conveyance is removed. from a' transporting for any purpose continuation of its transportation other thhn the x ~o

-Q " nuclear energy hazard" means the radioactive. toxic.

explosive or other hazardous properties . of nuclear

%y.?-g material. but only if N' y"

+ ' (1) the nuclear material is at the facility or has been y discharged or dispersed therefrom without. intent to ys relinquish possession or. custody thereof to any other person'or organization. or

p. (2) the nuclear material is in an insured shipment which 4"

is away from any other nuclear facility and is in the gy q; @f , course of transportation, including handling and  !

temporary storage incidental thereto, within

, (a)

g\ the territorial America, limits of the its territories United States of ,

or possessions, or Puerto Ricos or (b) international waters or airspace. provided that u

' the nuclear material is in the course of H

transportation between two points located within ,

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ths iterrN.orial' limits described in ;(a) above and

there' .is
no deviation = in the course of the transportation for the purpose of going to any other

, country ' stateL or nation, except for the purpose of going to or returning from a port or place of refuge as the result of an emergency.

" nuclear; facility" asans "the facility" as defined-in any.

Nuclear Energy Liability Policy -(Facility Form) issued by Nuclear L Energy . Liability Insurance ' Association or Mutual .

. Atomic Energy 1.iability Underwriters. The ' tera . " nuclear ~

facility" also means (1)~ any. nuclear' reactor.

(2). any equipment or device designed or used for 'o (a) ' separating the isotopes of uranium or plutonium.

(b) : processing or utilizing spent fuel, or (c) = handling.. processing or packaging waste.

(3) any equipment or device used for the ' processing.

f abricating ' or alloying of special nuclear material it 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 consists of ' or' \

- contains more than 25 grams of plutonium or uranium 233 ' or any combination thereof. or more than 250 grams of, uranium 235 (4) any f structure, basin, excavation, premises or place preparedL or used for the storage or disposal of was' a .-

and ' includesothe site on which any of the foregoing is located. all operations conducted on such site and all premises used'for'such operations.

" nuclear material".means source material, special nuclear material or byproduct material. ,

" nuclear reactor"=neans any apparatus designed or used to -

sustain nuclear fission or a self-sustaining chain w reaction material. or to contain a critical mass of fissionable "on-site cleanup ~ costs" include all loss cost or expense arising out of on-site cleanup obligations.

"on-site cleanup obligations" include all obligations of any person' or organization. imposed by common law or otherwise. . to : undertake or pay _ for ' monitoring, testing for, cleaning up, neutralizing or containing contamination by' nuclear material.at the facility, whether the material is on, above'or below the surface of-the ground.

"on-site property. damage" includes all property damage to any property at'the facility, whether the property is on, above or' below the surface of the ground. other than aircraft, watercraft or vehicles licensed for highway use.

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or vehicles are not used in connection with the operation of.the facility .

" property damage" means physical injury to or destructi on or radioactive of property ' so contamination injured. destroyed of property.s or and loss of use I loss because use ofsuse.of-property contaminated.-

while evacuated or withdrawn from and '

possibly -

-imminent danger of contamination. so - contaminated or because of  ;

" source - material . " "special . nuclear  !

' Atomic' Energy" byproduct material" material.a.

have the and meanings giv  :

thereof. Act of 1954 .or in any law  ;

e  ;

amendatory

  • " spent fuel" .

solid or liquid means any-fuel which reactor.

element or fuel component.

has . bean used : or ^ exposed > , to '

radiation in any n,uclear '

t l "th's facility" means '

the facility described in the l

3 of-location.

such the - declarations and all property '

em and o at.

!- " transportation. incident

  • of 4

nuc? st.- material from anmeans a discharge or dispersal' '

collision' or upset of the insuredconveyance transporting shipment caused by accident that breaks open, punctures .~or an shipping containers or containment thereon or ruptures the .

both the discharge or dispe but .only if i

- or accident take place away(rsal and the ~ collision. upset away from any disposal site .

! of . the - transportation, and both occur in the coursefrom '

l- storage incidental thereto. including handling and temporary '

u

"(1) waste" means any waste material (2) containing byproduct material and resulting . from the organization: of any nuclear operation. facilit by any person or- .

i the definition of f included within .

(1) or (2) thereof. nuclear facili*,y under paragraph 4 ,

INSURING INSURING AGREEMENT AGREENENT- IV-A added IV isbyreplaced by the following an  :

Coverage Endorsement the

" Amendment ' of continues to apply: for Workers Claims- (Facility Form)" -

e IV LIMITED The DEFENSE OF PARTIALLY COVERE following provisions partially covered claim or suitapply with respect to any duty to defend has been limited by INSURING AGREEMEfor. NT It wh (1) 1 The companies will defend the claim or suit unless the companies agree on a differentand defense the arrangement.

first named insured mutually By making 1 6

. , .- . .. ---- ---- ~ . - - . _ -

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such a defense. the companies shall not be considered '

I denyhaving as. payment waived their rights under this . policy to or- reimbursement of the items i covered. not l (2)

?? s~m as T.ticable, the first named insured, .!

j acting on beh,.lf of all insureds. and the . companies shall endeavor:to reach an equitable arrangement for i (3) handling The companies' the defense and sharing the costs thereof..

exceed' tho' portion share of of.-defense the total defense costscosts shall that' not represents the costs which would .be reasonably and necessarily incurred in the defense of the . claim or suit in the ' absence of any claim or demand for the items not covered.-

(4) The companies shall- have a right to contribution

-from the.first named insured for all defense costs as i they are incurred - in excess of the amount. of the1 companies' share. includingi reimbursement. by the_  !

l firstcompanies.

the named. insured of all such excess costs paid by. )

'(5) g If ' the companies and the first named insured cannot agree on the companies' share of defense costs'. the i'

dispute shall be submitted.~as a condition. precedent to-any-right of' recovery on this policy. to arbitra- a tion for a final and' binding resolution.. as provided

-in Condition 19.

5.

In EXCLUSION policy relating 8. (d) and (e). and in all endorsements to this .g thereto, the words " bodily ' injury or g property damage" are replaced by " bodily injury, property damage or environmental damage."

i 1

6.

EXCLUSION'(f) is' replaced by the following exclusions (This policy does not apply:)

(f) to on-site property damages i l

L

7. In CONDITION '3. and .

in all endorsements to this policy ,

!  : modifying: the dollar amount of the limit of liability stated in' Item 4 of the declarations, the words " bodily injury or property! damage" are replaced b t

property damage;or environmental damage."y " bodily injury.  ;

8. In CONDITION 4 and in all endorsements to this policy s

1 modifying the dollar amount of the total aggregate l liability occurrences of the companies with respect- to a common l (a) the words " bodily injury or are replaced .by " bodily injury. property damage" environmental damage": and property damage or (b) the words " bodily injury and property damage" are replaced by " bodily injury, environmental damage." property damage and 7 2 i

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9.

In-CONDITIONS 5. 11. 15 and 18. and in all endorsements to this policy relating thereto, the words " bodily injury.or property damage" are replaced by " bodily injury, property damage or environmental damage." '

10. CONDITION 19 DECLARATIONS, and CONDITION 20, NUTUAL L POLICY CONDITION, are renumbered CONDITIONS 20 and 21.

11.

The following CONDITION is 'added to the policy: i 19 ARBITRATION OF INSURING AGREEMENT IV OF DISPUTES RELATING TO THE APPLICATION

.)

All such ' disputes subject to paragraph (5) of INSURING L -l q AGREEMENT (the " Board") IVfor shall a be submitted final .and binding to a' Boardresolution of Arbitration of. the '1 dispute.  !

There shall be two parties to~the arbitrations the first namedauthorized duly insured. acting on behalf of all insureds as their ,

t representative, and Liability Insurance Association. acting on behalf ofNuclear Energy -l the companies as their duly-authorized representative. q t

Except to the extent the parties mutually agree )

otherwise. the following principles will apply 1

)

(a) The arbitration will take place in New York. New York, and will be governed by the laws of the 'itate .!

of New York.

(b) Either' party may begin the process of arbitration by

.i giving notice ' to .the othery party in wricing of - ita intention that.it has to do so and . the name of the arbitrator appointed. l (c)  :-

The other party shall then appoint in writing an arbitrator, and the arbitrators shall appoint in

writing an umpire before they' begin the arbitration.

The umpire shall act as chairman of the Board.

(d) If a party thirty fails to name its arbitrator within (30) days of the j

i other party's written request that it do so, the requesting appoint an arbitrator for the party in default. party may .;

(e) If the two arbitrators fail to agree 1

on the selection they have of - an umpire within thirty (30) days after both been appointed, each of them shall name two, of whom the other shall decline one. The l choice shall be made by drawing lots. i (f) The arbitrators and umpire shall be 1

executive' 1 officers or former executive officers of iasurance companies )

states or oflicensed organizations to do business designated in theas the United first ')

1 named issued insured by Nuclear under m' Nuclear Energy Liability Policy )

Energy Liability Insurance Association or Nutual Atomic Energy Liability Underwriters:

the fellowing provided that the current employees of shall not be eligible for service p

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without the consent of both parties:

M (1) any party. or likely ' party to the underlying claim or suit

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' American . Nuclear Insurers, . MAERp Reinsurance d Association or their members: ore q '

(3) any other insurer or , reinsurer which has yiM [m J casualty insurance or reinsurance in force von f:, WWT $[A

  • any of the foregoing. which aay be- materially affected by the Board's decision.;

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_ (g) _ Within: thirty . (30) days afterLthe appointment of the

~ a umpire, each party shall submit itsl cess in writing.

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-to the Board.

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'_(h) The Board shall determine its rules of procedure, Land-

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% the nature . and extent cf any L discovery, testimony, examination or cross-examinationi t of witnesses and

% %.A oral' argument permitted. The' decision of - any two

%7k'o" members of' the Board shall be  : final and binding _ on al1~part) w All. discovery, rtbaissions of-evidence,'

M" hearing W % tnesses and argument shall' be completed within rt e (60) days of _ the _ appointment ofthe W%pj't umpire, pav/ided the Board may; grant one extension of-

'9 ' . thirty - (30) days.

@%4' (1)

W

1' The arbitrators and the umpire are not to be bound by,

% any. _ strict ~ rules of legal- procedure, evidence or

@%jk B m legal' precedents. They-'shall, however, be governed by the terms of this policy, andishall' have no power MM to add to or change its provisions. _ Subject to:this QV admonition. . they shall . interpret the relevant,

- provisions of 'this policy; as2 an honorable business dy% X %; , '

agreement ~, and: shall4 be entitled- to - decide, in 4@w > > accordance 'with 'lsuch = provisions together with' .the

$[ ? M other s.aterials submitted to them. what they think isi the - - fair - and right thing to ' =be : done between the partie's. from a ' busines_s point: Jof view.- without-si4lN Mo y 4M, favoring the: interest of either party.

(j). The = Board

@!i j{Y e shall make' its ~ award in ' writing within qg' >>

thirty (30 including )any days , after the close of the period, extension granted. . described: in-gg$

y@[.@.a m '

(K)'~

paragraph (h) above, If the . hoard; fails to make an . award within the time E

g .g prescribed by paragraph (j) tabove. then unless an M - extension is agreed to -by the parties, arbitration; shall be commenced and completed a new

$4 in

- (a)'through accordance (j) Lwith the procedure ' set out in paragraphs yX above.

'(1) The award of the Board signed by any two awabers g(%f g' (. shall:be final. not subject'to appeal and binding.on all parties, including all insurers . subscribing the Mi~ -

policy andDall insureds thereunder. The award shall g% be treated as a matter involving interstate commerce.

p and. may be filed or confirned in any court of competent jurisdiction. state or federal, and p judgment thereon entered and enforced. in accordance

  • with the law and practice of the forum.

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'Un1'ess.:the: Board decides otherwise,'each partyishall' q[:

' (m) payJ:the7 expenses 6 off thel arbitrator- appointed by - or .

A 'f or. ite and+ one half of' the . 'other costs; of'  ;

arbitration. y I (n)' ;If .,anL arbitrator or umpire is unable. or. unwilling to act.Talnew arbitrator or, umpire, as the case may.be,

.w d' i shallibe > appointed to act in his - or : her place,. in l

-accordance withlthe provisions.' set forth above.

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(o)- All"- materials L relevant = to the ' arbitration 1 shall be-submitted . tor the? Board in triplicate and the' filing -

par _ty'shall" send' simultaneously a copy thereof to the-opposing party,

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12. This endorsement applies to.-all claims'for damages, costs, expenses or'other-relief ~or recovery for which coverage is sought under.Fthis.L policy, and which are first-- made - in writingJagainstJany' insured on or after the effective date p 'of-this endorsement 3 stated below.

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1 This is to certify that this is a trug copy of the oriuinal

- Endorsement hwm3 the endorcement number and treing made part ~

of the Nudeat Enmw Labi@p Poky (F :ility Form) as des.

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iyoted wreon. No in3u re k_ alford + . hereunder.

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Effective Date of this: Endorsement _ . January 1, .1990 To form a part of Policy No. MF-106 =

Mi ssiss- Power & Light Company and System Energy Resources, Inc.'and-fiss'uedpto South M<pp- ss'ssippi Electric Power Association

' f Dste otIssuey ruary 16, 1990 For the Subscribing companies MUTUAL ATONIC ENERCY LIABILITY UND WRITERS

'By *

'Ehdorsement No. 45 countersigned by_

  • Authorized Representative

'.ME-71 (1/1/90)

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8 6' ENDORSEMENT TO CERTIFICATE NO.- N49 ,

g Forming,Part;of MasteriPolicy No. 1- w d k, Nuclear Energy Liability Insuranca-  !

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-(Secondary Financial' Protection) _ j

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  • It-is_ agreed that effective August 200 1988:

-I.) Subparagraph'(c) on-Page;1 of the~ certificate is amendedito- I

. read as follows:- ,

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.(c) -to bodily iniury or procerty damaae .];

'(1) with' respect to which the. orimarv financial' orotection described in' Item 4'of the Declarations-would_-apply butifor (1) Lexhaustion. of its limit of liability. as =!

described in Condition 6L of the . Master.

Policy,~orl i

-(ii) the: application of Insuring : Agreement _ IV,

'? Application :of t Policy" of. the. orimarv. i financial orotection,~as amended by' paragraph 3 of the. . Waiver > of Defenses ' Endorsement  ;

, attached,thereto,cand=

.(2) which :is causedLduring the . certificate period stated -

in Item 6 ~ of the. Declarations by a nuclear incident 1 arising-- out -of, ort in . connection with the nuclear i reactor described in Item-3'of the Declarations,=and: (

-(3)- which is discovered and for which written claim is-made against the ' insured :not - later. than ten _ (10) years after/the~end of.the girtificate period: stated in Ttem. 6 of .the Declarations. However', this-K subparagraph . m(3) ~ shall not operate to bar coverage-for bodily iniurv or Droparty - damaae caused .by an s extraordinary nuclear'occurrengg.

II.) -Item - 4. (b) of the certificate-is de'.eted.  !

-III.) Item 7. of the certificata is amended to read as follows:-  ;

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Itemt7[ Maximum" retrospective! premium - (exclusiveof allowance for premium taxes) payable-pursuant '

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, to Condition ' of the Master - Policy. with; Y l

  • F/ , respect.to each nuclear incident: $51,266.250.
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INSURANCE COVERAGE LIABillTh INSURAfK tGNATEDUNDER HEREON, FOR THE ' M \

INSURANCE

  • IS 6}E(RDED ' T 'c (SECONDARY ASTER POLICY FINAN

$L PROTECTION);NO ' NUCLEAR ENE 4 t

  • JOHN Lk sTTR CAI AMERICAN NUCLEAR INSURERSVIC3 '

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J Effective Date-of l Auoust 20. 1988 To form a part of Certificate.No. N-79 Q Lthis' Endorsement- _ _ _

m 12:01 4. M. standard time a F^ ,.

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6 Mississippi Power & Light Company and System Energy Resources Inc. l

(* JIssued;to 'and South Mississippi Electric Power Association .

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For the Subsc)ribing C banies,

?Date of-Issue- March 23, 1990 h 1 By ')M o.

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1 Endorsement'No.

16 Countersigned by g,w T &%Q b

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m MUTUAL ATOMIC ENERGY UABluTY UNDERWRITERS

n. ENDORSEMENT:TO CERTIFICATE.NO. M '

Forming.Part of Master' Policy'No. 1-a' Nuclear Energy Liability Insurance

-(Secondary 1 Financial Protection)

It-is= agreed'that' effective August 20, 19888. ,

I.) Subparagraph :(c)f on Page 1 of the certificate is amended to read as follows:-

(c) to bodily iniury or property damaae

+ (1). with respect ^ to which the crimarv financial 1

orotection ' described in Item 4 of the ~ Declarations would apply;but for (1 - exhaustion of its. limit of liability as

-described' in Condition 6 of -the Master' Policy; or (ii); the! application ' of Insuring Agreement IV, n

" Application of Policy" of the crimary' N financia16crotection,'as-amended by. paragraph 3..of the  : Waiver of Defenses - Endorsement-attached-thereto, and-(2) . which'is; caused during the certificate period stated in' ' Item n6J 'of the ' Declarations. by- a nuclear incident arising out of, or in ' connection with the nuclear-reactor' described in Item-3'of the Declarations, and (3) which is : discovered and for which written claim-is.

made against the insured not later than ' ten (10) years after the end of the certificate period stated-in. Item' 6: of 'the Declarations. However, this)

. subparagraph- (3) shall.not operate to bar . coverage -

for bodily ' iningy,, or oronerty damaae- caused by an extraordinarv nuclear occurrence.

II.) Item 4.(b) of tis nortificate is deleted.

III.), Item 7. of the certificate is amended to read as follows:

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,-t if W , Item 7. Maximum retrospective' premium! ~ (exclusive (; of c R"g ' allowance:for premium; taxes). payable:pursuantt ,

' * " 'to Condition 2 of the ' MasterT Policy? Withi respect.to each nuclear incident: $14,883,750.

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THIS IS TO CERTIFY THAT THIS IS A'TRUE COPY OF THE ORIGINAL CERTIFICATE, BEARING THE NUMBER DESIGNATED HER ON, FORL INSURANCE COVERAGE UNDER THE MASTEM POLICY NUCLEAR ENERGY.

INSURANCE (SECONDARY FINAT/AL PROTECTION).' NO :

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. LIABil.1 INSURAN EIS C6 ', ,

m, J0"tLL s NTTROCCHI VCS PRdst ENT-UNDERWRITING

' AMERICAN NUCt. EAR (NSURERS' V ,

, . Effective Date of To form a part of' Certificate No. M-79 f :this' Endorsement Auaust 20, 1988 i 12:01 A.M. . Standard time Mississippy Power & Light Company and System Energy Resources Inc.

and South Mississippi Electric Power. Association.

" Issued to.

J Date o'f' issue March 23, 1990 For the Subscribing Companies MUTUAL ATOKIC ENERGY IIIABILITT URITERS By . .9 NTb;t-d$l Countersi ed by W#

' l' Endor'sement No. 16 D ME- SA14 l Page 2.of 2 Y

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ENDORSEMENT TO CERTIFICATE No. N H FORMING PART OF MASTER POLICY No. 1 4

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NUCLEAR'ENERCY LIABILITY' INSURANCE

-  ?

'(Secondary Financial Protection)~

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~1. 'In paragraph ic);on Pages 1'and'2fof'the eartificate.' add:inI )

H I g' all' ..er.Gr% tents r to . the certificate ' relating thereto. 'the : '1 '

'words " bodily: injury or property. damage"'are amended.to read.'

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,c" bodily ' i n iury, erenertv damane or environmental damace"L..

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y :Thisiendorsement' applies to.all claims o f or damages , ' costs ..- ,

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' expenses : or other relief - or recovery / for which coverage-- is , j; sought;.under:the-policy, and which are:first'made in writing Q against anyfinsured-on orLatter the effective date of this:

endorsement stated below.

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Cf.RTIFICATE. DEARING THE NUMBER DESIGNATED HEREON, FOR o .

'thSURANCE COVERAGE UNDER THE MASTER POLICY NUCLEARU EN

_ 'N W US!UTY 'iSURANCE (SECONDARY FINANCI . PROTECTION). NO fi 1110RANO.13 AFFORDEO B THIS COPY. ,

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.N m  ; AU,ERICAN NUCLEAR INSURERS ' 9 fy 4

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D Effective Date of ki F ador, men t e January 1, 1990 W(:;

this To form a part of Certificate No,- N-79 t ,

12:01 A. M. stenaard time- I k-y .

Mississippi Power & Light Company and System Energy Resources, Inc.

Issued to- and South Mississippi Electric Power Association- 4 n

J, Date of' Issue March 23. 1990 For the Subs ribing Ceii'panies, ,

By I k  %~

17 upA T Oh

! ;. , LEndorsement,No. Countersi6ned by 2

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  1. Nucl0ar Energy Uability insurance MUTUAL ATOMIC ENERGY UABluTY UNDERWRITERS ENDORSDtENT TO CERTIFICATE No. M-79 FORMING PART OF NASTER POLICY NO. 1 NUCLEAR ENERGY LIABILITY INSURANCE (Secondary Financial Protection)
1. In paragraph (c) all endorsements on Pages 1 and 2 of the certificate. and in to the certificata relating thereto, the words

" bodily" bodily in iurvinjury

. nronerty or property damage" are amended to read 2.

damana or environmental damace".

This endorsement applies to all claims for damages, costs, expenses or other relief or recovery for which coverage is against any insured on or after the effective date of th endorsement stated below.

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, ,N MASTER D IINAN I POLICY-NUCLEAR ENERGY PROTECTION). NO JO-W L h j g DCE MES t.NT-Un9Eawaiy;39 ,k, AMERICAN NUCLEAR INSURER $

Effective Date of this Endorsement January 1.1990 12:01 A.M. Starderd tia.a To form a part of Certificate No. M-79 Issued to Mississippi Power & Light Company and System Energy Resources, Inc.

and South Mississippi Electric Power Association Date of issue March 23, 1990 For the Subscribing Companies MUTGAL ATONIC ENERGY m a m TY

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Endorsement No. 17 Countersigned by 1 tWW^

ME-5-18 (1/1/90)

. . . . . . ' '