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DRAFT 3/18/98
<br />
<br />ARTICLE V
<br />
<br />INSURANCE AND CONDEMNATION
<br />
<br />Section 5.1. Insllrance During Construction.
<br />
<br /> (a) The Developer will provide and maintain, at its expense, at all times during the process of
<br />construction of the Minimum Improvements, an All Risk Broad Form Basis Insurance Policy and, from time to
<br />time, at the City's request, furnish the City with proof of payment of premiurns on policies covering the following:
<br />
<br />(i)
<br />
<br />Builders risk insurance, written on the so-called "Builder's Risk - Completed Value Basis," in an
<br />amount equal to one hun&ed percent (100%) of the insurable value of the Minimum Improvements at
<br />the date of completion, and with coverage available in non-reporting form on the so-called "all risk"
<br />form of policy. The interest of the City shall be protected in accordance with a clause in form and
<br />content satisfactory to the City.
<br />
<br />(ii)
<br />
<br />Comprehensive general liability insurance (including operations, contingent liability, operations of
<br />subcontractors, completed operations and contractual liability insurance) together with an
<br />Owner's/Contractor's Policy with limits against bodily injury and property damage of not less than
<br />$1,000,000 for each occurrence. (To accomplish the above-required limits, an umbrella excess
<br />liability policy may be used).
<br />
<br />(iii) Workers' compensation insurance, with statutory coverage.
<br />
<br />Section 5.2. Insurance After Completion.
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<br /> (a) Upon completion of the construction of the Minimum Improvements and prior to the Maturity
<br />Date, the Developer shall maintain, or cause to be maintained, at its cost and expense, and from time to time, at the
<br />request of the City, shall furnish proof of the payment of premiums on insurance as follows:
<br />
<br />(i)
<br />
<br />Insurance against loss and/or damage to the Minimum Improvements under a policy or policies
<br />covering fire and such other risks as are ordinarily insured against by similar businesses under policies
<br />of casualty insurance.
<br />
<br />(ii)
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<br />Comprehensive general public liability insurance, including personal injury liability (with employee
<br />exclusion deleted), against liability for injuries to persons, property, or both, in, on or about the
<br />Development Property in the minimum amount for each occurrence and for each year, of $1,000,000,
<br />and shall be endorsed to show the City as additional insured.
<br />
<br />(iii)
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<br />Such other insurance, including workers' compensation insurance representing all employees of the
<br />Developer, in such amount as is customarily carried by like organizations engaged in like activities of
<br />comparable size and liability exposure, provided that the Developers may be self-insured with respect
<br />to all or any part of its liability for workers' compensation.
<br />
<br /> (b) All insurance required in this Agreement shall be taken out and maintained at insurance
<br />companies, selected by the Developer, which are authorized by the State to assume the risks covered thereby. Upon
<br />request, the Developer will deposit annually, with the City, policies, or certificate(s), or binders of the respective
<br />insurers, stating that such insurance is in force and effect. Unless otherwise provided in this Agreement, each policy
<br />shall contain a provision that the insurer shall not cancel, nor modify, it in such a way as to reduce the coverage
<br />provided below the amounts required herein without giving written notice to the Developer and the City at least
<br />thirty (30) days before the cancellation or modification. In lieu of separate policies, the Developer may maintain a
<br />single blanket or umbrella policy, or a combination thereof, having the coverage required herein, in which event the
<br />Developer shall deposit with the City certificate(s) of the insurers as to the amount of coverage in force.
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