xxxx xxxx YEAR MAKE MODEL CERT. NO. CREW/PASS Please refer to attached Schedule of Aircraft.

Transcription

1 ''II' ITEM 1. AIRCRAFT INSURANCE POLICY DECLARATIONS POLICY NUMBER: NAl RENEWAL OF: NEW ISSUED BY W. BROWN & ASSOCIATES INSURANCE SERVICES ITEM 2. POLICY PERIOD: FROM Februarv TO February :01 AM Standard Time at the address in ITEM 1. CATLIN CATLIN INSURANCE COMPANY, INC Post Oak Boulevard, Suite 4050 Houston, TX Proud to Have You As a Customer Since 2016 NAMED INSURED Iowa State University, Board of Regents, State of Iowa, Iowa State University Foundation, Iowa State University Research Park, Iowa State University ADDRESS Office of Risk Management 1700 Administrative Services Building Ames, IA ITEM 3. The insurance afforded is only with respect to such of the following coverages as are indicated by specific premium charge or charges. The limit of the Company's liability against each such coverage shall be as stated herein, subject to all of the terms of this Policy having reference thereto. This Policy is completed by Aircraft Hull and Liability Form NAC-02. ITEM 4. LIABILITY COVERAGES A. Bodily Injury Excluding Passengers B. Property Damage C. Passenger Liability D. Single Limit Bodily Injury & Property Damage Including Passenger Liability Passenger Liability Limited To E. Medical Expense Including Crew LIMIT OF LIABILITY EACH PERSON EACH OCCURRENCE xxxx xxxx Aircraft Liability & Medlcal Expense: Non-Owned Aircraft Liability: Extended Coverage (War Liability): LIABILITY PREMIUM $18, $8, $ TOTAL LIABILITY PREMIUM: $27, ITEM 5. Description of Aircraft and Physical Damage Coverage Hereunder F.A.A. SEATS YEAR MAKE MODEL CERT. NO. CREW/PASS Please refer to attached Schedule of Aircraft. DEDUCTIBLES DEDUCTIBLES NOT IN MOTION IN MOTION PHYSICAL DAMAGE INSURED VALUE PHYSICAL DAMAGE PREMIUM $23, War (Hull) - Iowa: $ TOTAL PHYSICAL DAMAGE PREMIUM: TOTAL PREMIUM: $24, $51, ITEM 6. PILOTS: When in flight the aircraft will be piloted only by the following pilots, provided each has a valid pilot's certificate including a current and valid medical certificate appropriate for the flight and aircraft insured: As Endorsed ITEM 7. The aircraft will be used for: Industrial Aid ITEM 8. LOSS PAYABLE Endorsement in favor of: Not Applicable ITEM 9. The Named Insured is and shall remain the sole and unconditional owner of any aircraft declared hereunder and the aircraft is not subject to any encumbrance other than as indicated in Item 8. PRODUCER: Nason Associates, Inc Shawnee Mission Parkway, #312 Shawnee Mission, KS Endorsements forming a part of this policy on effective date in Item 2 are shown on the attached schedule incorporated as a part hereof. DATE ISSUED: APPROVED BY: February 17, 2~ & W. Brown & Associates NAC

2 POLICY NUMBER: NAl SCHEDULE OF FORMS AND ENDORSEMENTS NAMED INSURED EFFECTIVE DATE Iowa Slate University, Board of Regents. State of Iowa, Iowa State University Foundation, Iowa State University Research Park, Iowa State University February 15, :01 am Standard Time Endorsement 1 NAC NAC-03-IA-0412 NAC NAC NAC ABAP NAC AV71-IA NAC IA AAA NAX NAC Page 2 of 3

3 POLICY NO.: NAl ATTACHED TO DECLARATION PAGE (NAC ) SCHEDULE OF AIRCRAFT DESCRIPTION OF AIRCRAFT Seats No. FAA Cert# Serial# Year/Make/Model (Crew/Pass) Insured Value 1 N41SU FL Beechcraft King Air 350 1/10 $3,200,000 2 N176CF Cirrus SR22 1/3 $498,000 PHYSICAL DAMAGE COVERAGE Deductibles No. Not In Motion In Motion Physical Damage Coverage Premium 1 n/a n/a F. All Risk Basis $18, n/a n/a F. All Risk Basis $4, TOTAL PHYSICAL DAMAGE PREMIUM $23, AIRCRAFT LIABILITY COVERAGES Single Limit Bodily Injury Passenger Passenger Liability Limited To No. & Property Damage Liability Each Person Each Occurrence Premium 1 $15,000,000 Included xxxx xxxx $15, $3,000,000 Included xxxx xxxx $3, TOTAL AIRCRAFT LIABILITY PREMIUM $18, MEDICAL EXPENSES No. lncludinq Crew Each Person Each Occurrence Premium 1 Yes 10, ,000 Included 2 Yes 5,000 20,000 Included TOTAL MEDICAL LIABILITY PREMIUM $0.00 NAC Page 3 of 3

4 Page 1 of 1 COMPLETION ENDORSEMENT Policy Number: NAl Endorsement #: Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. It is hereby understood and agreed that Item 1 completed to read as follows: (Named Insured & Address) on the Policy Declarations is Named Insured: Address: Iowa State University Board of Regents, State of Iowa State of Iowa Iowa State University Foundation Iowa State University Research Foundation Iowa State University Research Park Iowa State University Alumni Association Ag Foundation Iowa State University Committee for Agricultural Development (CAD) Iowa 4-H Foundation Iowa State University Global Programs Office of Risk Management 1700 Administrative Services Building Ames, IA All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - Endorsement #.L - Page 1 of 1

5 NAC COMPLETION ENDORSEMENT Page 1 of 1 Policy Number: NAl Endorsement #: 2 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. It is hereby understood and agreed that Pilots as shown in Item 6 of the Policy Declaration is completed to read as follows: ITEM6. All flight hours and training used to satisfy the Pilot Warranties below must have occurred in the same aircraft category and class as the aircraft shown in the Declarations. For the purpose of this section, the terms "category" and "class" are as defined in the Code of Federal Regulations, Title 14, Chapter I, Part 1, Section 1.1 (14CFR1.1): As respects Beech King Air 350 Aircraft: David Hurst, Joel Stewart, Joseph Crandall, Ryan Campbell and Sean Davis, who must each successfully complete recurrent ground and flight training in the make and model at an Aviation Manager approved school within 12 months preceding the intended flight. Otherwise any Airline Transport Pilot with type rating in the make and model having 4,000 hours total time, 3,000 hours multi-engine land, 1,500 hours multi-engine turbo prop, 150 hours in the make and model and who must successfully complete recurrent ground and flight training in the make and model at an Aviation Manager approved school within 12 months preceding the intended flight. As respects Cirrus SR22 Aircraft: David Hurst, Joel Stewart, Joseph Crandall, Ryan Campbell, Sean Davis and Stephen Leath, who must successfully complete Cirrus School or an Instrument Proficiency check ride in the make and model within 12 months preceding the intended flight. Otherwise any commercial pilot with an instrument rating having 1,000 hours total time, 50 hours in the make and model and who must successfully complete Cirrus School or an Instrument Proficiency check ride in the make and model within 12 months preceding the intended flight. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement NAC Endorsement #.1._ - Page 1 of 1

6 NAC-03-IA-0412 INDUSTRIAL AID EXPANSION ENDORSEMENT Page 1of8 Policy Number: NAl Endorsement#: 3 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. It is hereby agreed that the coverage provided by this policy is amended as shown below: WITH RESPECT TO SECTION I OF THE INSURING AGREEMENTS, LIABILITY COVERAGES, COVERAGE EXTENSION NUMBERS 1 THROUGH 14 ARE DELETED IN THEIR ENTIRETY AND REPLACED WITH THE FOLLOWING: 1. Airport Premises Liability - With respect to Coverages A, B, C and D we will also pay those sums that you become legally obligated to pay as damages because of Bodily Injury or Property Damage to which this insurance applies arising from the use of Airport Premises including hangars and Mobile Equipment which you use in connection with an Aircraft insured hereunder. This extension of coverage is subject to the limit of $15,000,000 each occurrence. 2. Liability For Property Damage To Hangars And Their Contents - With respect to Coverages A, B, C and D we will also pay those sums that you become legally obligated to pay as damages because of Property Damage to any hangar not owned, rented or leased by you. This extension of coverage also applies to the contents of such hangars other than Aircraft. Our Limit of Liability for this extension of coverage is $1,000,000 per Occurrence and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 3. Personal Injury - with respect to such coverage as is provided by Coverages A, C and D in Section I of this policy, we will also pay those sums that you become legally obligated to pay as damages because of Personal Injury to which this insurance applies provided that such Personal Injury results from the use of an Aircraft covered by this policy. We may settle any claim or suit to which this extension applies subject to the limit of liability shown in Item 4 of the Policy Declarations or $25,000,000 per Occurrence and aggregate whichever is less. Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 4. Fire Legal Liability - With respect to Coverages Band Din Section I of the policy, it is agreed that Exclusion 7 does not apply to Property Damage to Premises you lease or which you temporarily occupy with the permission of the owner provided such Property Damage is caused by a fire for which you are legally liable. The Company's Limit of Liability for this extension of coverage is $ each Occurrence. Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 5. Non-Owned Aircraft Liability - It is agreed that, with respect to Coverages A, B and D in Section I of the policy, coverage will apply to any aircraft you use but which is not declared in Item 5 of the Declarations always provided that you have no interest in the aircraft as owner in whole or in part and exercise no part in the servicing or maintenance of the aircraft. Our liability for losses under this coverage with respect to non-owned aircraft is subject to a limit of $15,000,000 each occurrence. No coverage hereunder applies: NAC-03-IA-0412 Endorsement#_]. - Page 1 of 8

7 NAC-03-IA-0412 Endorsement # i - Page 2 of 8 1) To liability arising out of any product you manufacture, sell, handle or distribute. 2) To any Aircraft having a seating capacity exceeding 40 seats. 3) To liability for loss of or damage to the Aircraft or any consequential loss arising therefrom. 4) To any rotorwing aircraft or amphibious aircraft. Non-Owned Aircraft Liability coverage hereunder will be excess over any other valid and collectible Insurance available to you. 6. Limited Aircraft Products Liability Coverage - It is agreed that we will pay those sums that you become legally obligated to pay as damages because of Bodily Injury or Property Damage to which this insurance applies arising from the sale of an Aircraft covered hereunder. We also agree to pay such claims for damages arising from the sale of Aircraft equipment or Aircraft parts intended for use with that Aircraft. Coverage under this extension applies only to claims arising from an Occurrence that takes place during the Policy Period. The Limits of Liability under this extension are included within the Limits of Liability applicable to Coverage A, B and D and are not in addition thereto. This coverage extension does not apply to any Insured who is in the business of selling aircraft, aircraft parts or aircraft equipment. 7. Passengers' Personal Effects and Baggage - Notwithstanding anything to the contrary in Exclusion 8(b), we agree to pay damages for which you are legally liable arising from the loss of or damage to the personal effects or Baggage of any Passenger on any Aircraft shown in Item 5 of the Declarations subject to a limit of liability not to exceed $ each Passenger. 8. Mechanics Tools - We agree to pay for Physical Damage to or loss of tools and other apparatus used to repair or maintain the Aircraft covered hereunder and for which you are legally liable. Our liability for losses covered by this paragraph will in no event exceed $10,000 in respect to any one Occurrence. 9. Host Liquor Liability - It is agreed that such insurance as is provided by Coverage A, B and D will be extended to include Bodily Injury and Property Damage for which you are legally liable by reason of serving alcoholic beverages on board an Aircraft shown in Item 5 of the Declarations. This coverage extension does not apply if you are in the business of manufacturing, selling, distributing, serving or furnishing alcoholic beverages. The coverage extension afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 10. Date Change Recognition - We agree to pay for damages from an Aircraft accident, an Occurrence, or other event or circumstance caused by the failure of any equipment to function safely or correctly following any real or simulated change of year, date or time, except: a) loss not otherwise covered under this Policy, or b) loss which arises out of coverage on a first party basis for grounding, loss-of-use, business interruption, consequential loss or the like. It is a condition of this coverage that the Insured has followed appropriate best practice for the purpose of avoiding and minimizing loss, damage or liability arising out of any such failure, but any loss or losses that arise directly or indirectly out of any advice, consultation, design, evaluation, inspections, installation, maintenance, repair, replacement, or supervision provided or done by the Insured or for the Insured to determine, rectify or test for any potential or actual problems that may cause such failure are not covered. Any loss or losses covered under this section which arise from more than one Occurrence or from the aforesaid failure(s) which is or are common to more than one item of equipment will not be one Occurrence under this Policy, except: a) to the extent of covered Physical Damage to tangible property or Bodily Injury losses at any one location arising out of one Occurrence, or b) an Aircraft accident caused by such failure of any one item of equipment. NAC-03-IA-0412 Endorsement#i - Page 2 of 8

8 NAC-03-IA-0412 No Aggregation - A collision between two or more Aircraft shall be deemed one Aircraft accident and losses arising from more than one Aircraft accident cannot be aggregated under this coverage section. 11. Guest Voluntary Settlement (GVS) - Coverage C and Coverage D, as shown in Section I of the policy, are agreed to include a Guest Voluntary Settlement provision by which, regardless of legal liability, we will offer to pay at your request the benefits hereinafter set forth with respect to Bodily Injury or death suffered by a Guest, resulting directly and independently of all other causes from an Occurrence while the said Guest is in or boarding the Aircraft for the purpose of riding therein, or alighting therefrom following a flight or attempted flight therein; provided that at the time of any Occurrence causing such bodily injuries or death, insurance is effective under Coverage C - Passenger Bodily Injury Liability of the policy, or Coverage D - Single Limit Bodily Injury and Property Damage Liability, if Passengers are included under Coverage D. GVS Benefits Payable - If, within 90 days from the date of accident, such Bodily Injury suffered by the Guest results in loss of: a) Life; or any two extremities (hands or feet) by severance at or above the wrist or ankle; or the entire sight of both eyes if irrecoverably lost; or the entire sight of one eye if irrecoverably lost and one extremity (hand or foot) by severance at or above the wrist or ankle; we will offer the amount you request but not exceeding $250,000 for the loss suffered. b) Any one extremity (hand or foot) by severance at or above the wrist or ankle; or the entire sight of one eye if irrecoverably lost, we will offer the amount you request, but not exceeding one-half the amount specified in paragraph (a) hereof. c) In no event will we be obligated to offer an amount hereunder in excess of the amount specified in paragraph (a). d) The amounts which we will offer for such Bodily Injury or Death suffered by Guests as a result of any one accident or series of accidents arising from one and the same cause, will not exceed the aggregate sum of $250,000 per seat. If this sum is less than the total of the amounts to be offered each Guest in accordance with the foregoing provisions, then the amounts payable will be reduced in the proportion that the aggregate sum bears to the total of said amounts. e) Notwithstanding the definition of Guest provided herein, it is agreed that the coverage provided hereunder will also apply to pilot(s) and/or crew unless this policy is endorsed otherwise. Conditions - With respect to the foregoing Guest Voluntary Settlement extension, the following provisions apply: Endorsement # i - Page 3 of 8 Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations a) It is a condition of the payment of these benefits that, upon acceptance of such payment, the Guest and any person having a loss of service claim and any person having a claim by way of subrogation to the rights of such Guest or other person, and any person having the right to recover from the Insured expenses incurred because of such injury or death and, in the event of the death of the Guest, the person or persons having a cause of action for the death, will execute a full legal release of all claims against the Insured (except that no person giving such release will be required to release the employer of the Guest from any claim for Workmen's Compensation Benefits or any claim for injury or death arising out of and in the course of such Guest's employment by such employer, but this exception will not relieve such person of the necessity of giving a full legal release of all claims against all Insureds other than such employer) and if the injured Guest or any person claiming by, through or under such Guest refuses to accept the benefits offered by these provisions within 30 days following such offer and to execute the necessary release, the Company will no longer be bound to pay such benefits. b) The commencement of any claim, suit or demand upon you for damages on account of such Bodily Injury or Death will constitute a refusal to accept the benefits offered hereunder and our obligations as expressed in the policy, exclusive of any of the GVS provisions, will thereupon be available to you. c) Benefits by the terms of this extension are a part of, and not in addition to, the Limit of Liability specified for Coverage C - Passenger Bodily Injury Liability or specified for Coverage D - Single NAC-03-IA-0412 Endorsement# i - Page 3 of 8

9 NAC-03-IA-0412 Endorsement # i - Page 4 of 8 Limit Bodily Injury and Property Damage Liability, if Passengers are included under Coverage D. d) The Guest, or someone on his behalf, will at the request of the Company furnish reasonably obtainable information pertaining to the injuries and execute authorization to enable us to obtain medical reports and copies of records. The Guest will submit to physical examination by physicians selected by us when and as often as we may reasonably require. e) Guest Voluntary Settlement benefits apply only to Aircraft covered hereunder and which are described in Item 5 of the Declarations. f) The insurance afforded under this provision does not apply to Bodily Injury or Death caused directly or indirectly, in whole or in part, by war, whether declared or not, any act of war or warlike operation. 12. Cargo Liability We agree to pay on your behalf those sums which you will become legally liable to pay (but limited to your legal liability under the applicable tariff document, airway bill of lading or shipping receipt, if any) for direct Physical Damage or loss from external cause to cargo, caused by an Occurrence, and while on-board or being loaded onto or unloaded from Aircraft shown in Item 5 of the Declarations. Our Limit of Liability for this coverage extension is $500,000 each Occurrence. A deductible of $1,000 applies to each loss. The Limits of Liability applicable to Cargo Liability are included within the Policy's Limits of Liability applicable to Property Damage Liability and are not in addition thereto. Coverage afforded hereunder will be secondary to and excess over any other valid and collectible insurance available to you. In addition to the exclusions appearing elsewhere in the policy applicable to all Liability coverages, our obligations under this section do not apply to any liability for: a) loss of use, loss of market, delay, inherent vice, extremes of temperature or pressure, or deterioration. b) loss, damage or expense caused by or resulting from infidelity or dishonesty of any person in the employment or service of the Insured. c) loss in excess of the actual cost of reproducing or replacing destroyed or damaged manuscripts, notes, securities, accounts, bills, deeds, or any other valuable papers. d) property you own e) Passenger Baggage. f) loss of or damage to cargo which is considered dangerous or harmful and for which a special permit or waiver from a federal, state, county, or municipal authority is required. g) loss of cargo that disappears mysteriously. 13. Contractual Liability - with respect to such coverage as is provided by Coverages A, 8, C and Din Section I of this policy, we will also pay those sums that you become obligated to pay as damages because you have assumed those obligations in a written contract or agreement. It is a condition of this coverage extension that you send a copy of any contract or agreement, other than an airport contract, to the Aviation Manager within 30 days of your receipt of that contract. However, your unintentional failure to send copies of contracts or agreements will not operate to void this coverage provided you submit contracts as soon as possible after determining one exists. Our liability for losses under this coverage with respect to personal injury is subject to the Limits of Liability shown in Item 4 of the Declarations and does not increase the maximum amount we will pay. The subrogation section as shown in Condition 17 will not apply to any written contract or agreement except any contract or agreement with a person or organization which had been entered into after a loss. 14. On-Premises Automobile Liability- with respect to such coverage as is provided by Coverages A, B, C and D in Section I of this policy, we will also pay those sums that you become obligated to pay as damages for Bodily Injury or Property Damage arising out of the ownership, maintenance, operation, use, loading or unloading of any automobile you own, operate, rent or borrow or any other NAC-03-IA-0412 Endorsement# _l_ - Page 4 of 8

10 NAC-03-IA-0412 Endorsement # i - Page 5 of 8 automobile operated by any person in the course of his employment by you but only while such automobile is operated on an airport used in connection with the aircraft covered by this policy. For the purposes of this coverage, "automobile" means a land motor vehicle, trailer or semitrailer designed for travel on public roads, including any attached machinery or equipment but "automobile" does not include Mobile Equipment. The coverage provided hereunder is included within, and not in addition to the Limits of Liability shown in Item 4 of the Declarations. This coverage shall be excess insurance over any other valid and collectible insurance available to you. WITH RESPECT TO SECTION Ill OF THE INSURING AGREEMENTS, LIABILITY COVERAGES, COVERAGE EXTENSION NUMBERS 1THROUGH10 ARE DELETED IN THEIR ENTIRETY AND REPLACED WITH THE FOLLOWING: 1. Spare Parts - Coverage for damage to or loss of spare parts, including engines, you own or for which you are legally liable, and which are intended for use in the Aircraft insured by this policy. Our liability for losses covered by this paragraph will in no event exceed 50% of the Aircraft's insured value or $1,000,000 in respect to any one Occurrence whichever is Less and subject to a deductible of $2,500 per loss. 2. Parts Temporarily Detached - Coverage for physical damage to or loss of parts temporarily detached from Aircraft covered hereunder, including engines, you own or for which you are legally liable. Our liability for losses covered by this paragraph will in no event exceed $500,000 in respect to any one Occurrence subject to a deductible of $2,500 per loss. 3. Fire and Crash Emergency Expenses - The cost of fire and crash emergency expenses including runway foaming or Aircraft foaming for the purpose of minimizing Physical Damage loss or a Bodily Injury loss under this policy. Our limit of liability will not exceed $500,000 any one Occurrence. 4. Emergency Off-Airport Landing Expenses - In the event the pilot in command is forced to make an emergency off airport landing and no Physical Damage to the Aircraft occurs, Coverage F is hereby amended so that we will pay the expenses of transporting the Aircraft to the nearest suitable airport provided that such expenditures must be agreed to in advance by us and our Limit of Liability will be $500,000 each Occurrence. 5. Search and Rescue - We will pay the actual incurred expenses for Search and Rescue operations performed by you or at your request provided such expenses arise in connection with an Occurrence otherwise covered by this Policy. Coverage afforded by this paragraph will not apply until such time as all governmental authorities and military Search and Rescue operations have been abandoned. Our limit of liability for Search and Rescue operations will not exceed $ any one Occurrence. 6. Temporary Use Of Substitute Aircraft - While an Aircraft described in Item 5 of the declarations is withdrawn from normal use because of its breakdown, repair, servicing, loss or destruction, such insurance as is afforded under Coverages A, B, C, D and Eis extended to apply to the use by you or on your behalf, of any other aircraft bearing a "Standard" airworthiness certificate which you do not own in whole or in part while temporarily used as a substitute for the Aircraft appearing in the Declarations. In the event that the aircraft has a passenger capacity greater than that of any aircraft listed in the Declarations, then our liability under Coverage D for passenger claims will be determined in accordance with the provisions of the "Limit of Company's Liability" section of this policy, as if the aircraft involved had the same seating capacity as that aircraft listed in the Declarations which has the greatest seating capacity. 7. Automatic Insurance For Newly Acquired Aircraft - If you acquire ownership of an aircraft having a Standard Airworthiness Certificate in addition to the aircraft described in Item 5 of the Declarations and within thirty days thereafter report such acquisition to the Aviation Manager, then the insurance afforded by Coverages A, B, C, D and E will apply to such additional aircraft as of the time of such acquisition, provided that we insure all other aircraft you own in whole or in part on such acquisition NAC-03-IA-0412 Endorsement # i - Page 5 of 8

11 NAC-03-IA-0412 Coverage under this extension shall end when the number of days shown above has elapsed or when repairs to the damaged Aircraft are complete or, in the event of a total loss, when the damaged Aircraft is permanently replaced whichever occurs first. If Item 5 of the Declarations shows that a deductible applies to the Physical Damage Coverage provided by this policy, then the same deductible also applies to Extra Expense reimbursement. It is agreed, however, that only one deductible shall apply to each Physical Damage loss. "Replacement Aircraft" as used herein means an aircraft of similar or smaller size and weight used as a temporary replacement for an Aircraft covered by this policy. Replacement Aircraft shall be suited to uses similar to those of the damaged Aircraft. The Company will reimburse expenses, including the direct cost of installation, removal and transportation, incurred by the Named Insured for renting or leasing aircraft parts as temporary replacements for aircraft parts; (a) damaged and being repaired, or (b) destroyed and being permanently replaced, caused by Physical Damage covered by this policy to an aircraft shown in the Declarations. Endorsement # i - Page 6 of 8 date. Unless you and we agree otherwise, the coverages and limits of liability pertaining to said additional aircraft will be the same as is provided for that Aircraft described in Item 5 of the Declarations having the greatest passenger carrying capacity. You agree to pay any additional premium required because of the application of this insurance to such other aircraft. All coverages provided by this Agreement will cease to apply upon expiration of the policy to which it is attached. 8. Replacement Aircraft I Extra Expense - If an Aircraft shown in Item 5 of the Declarations sustains Physical Damage to which this Policy applies, the Company agrees to reimburse you for Extra Expense associated with obtaining a Replacement Aircraft for use while the damaged Aircraft is being repaired. The Company's limit of liability under this extension shall not exceed $10,000 per day for up to 10 days. The Limit of the Company's Liability with respect to this coverage shall not exceed $50,000 each loss, regardless of the number of such replacement parts or aircraft. The coverage provided herein shall be in addition to the Limit of Liability shown In the Declarations but does not apply: a) if the time to permanently replace, or to repair and return such part is less than calendar days; b) if the Aircraft to which this coverage applies is a total, constructive total or arranged total loss; c) to the lnsured's own spare parts; d) to parts under an existing rental, lease or exchange agreement; e) to charges for wear, tear or depreciation, damage, loss, loss of use, maintenance, repairs or operating costs; f) to charges incurred after such damaged or destroyed part has been permanently repaired or replaced; g) to charges incurred while such Aircraft or temporary replacement part is unusable on account of an Airworthiness Directive, factory Service Bulletin, airworthiness inspection, breakdown, malfunction or is otherwise deemed unsuitable; h) to charges incurred during the period prior to installation of such temporary part on the aircraft if uninstalled for~ days or more. 9. Trip Interruption Expenses - If an Aircraft shown in Item 5 of the Declarations sustains Physical Damage to which this Policy applies, the Company agrees to reimburse you up to $10,000 for each passenger and crew member for reasonable food, lodging and travel expenses incurred traveling from the location of the damaged Aircraft either to the destination originally intended or to the point of the flight's origin if the trip is discontinued. NAC-03-IA-0412 Endorsement # i - Page 6 of 8

12 NAC-03-IA-0412 Endorsement # i - Page 7 of Non-Owned Aircraft - Physical Damage Legal Liability - It is agreed that such insurance as is afforded by Coverages F and G described in Section Ill of the policy is extended to apply to liability imposed by law upon the Insured for damage to or destruction of any aircraft (including resultant loss of use) which is the property of others and which at the time of the loss is in your custody for use by you or for your interests. As respects Non-Owned Aircraft only, this policy does not apply to: a) Loss of or damage to robes. wearing apparel, personal effects or merchandise of any description, whether the aircraft in which they are contained is stolen or damaged. b) Loss of or damage to any aircraft owned by, or leased under a long term lease to you or your family or if you are a co-partnership, by any member thereof or their family or if you are a corporation, by any officer or their family. c) Loss of or damage to any material you furnish or any work you perform out of which the accident arises. d) Liability you assume under any contract or agreement not identified specifically or by definition under this policy. e) To any aircraft having seating capacity exceeding that of the Aircraft covered hereunder with the largest number of seats. f) Any aircraft used for carrying of passengers or freight for hire or reward. Our Limit of Liability for this extension will not exceed $3.200,000. each loss. A deductible of $2.500 will apply to The coverage extensions described in Items 1 through 10 are subject to the limits and deductibles shown for each item and do not further increase the Limits of Liability shown in Item 4 of the Declarations. IV. DEFENSE, SETTLEMENT AND SUPPLEMENTARY PAYMENTS Coverages A, B, C and D - We will have the right and duty to defend any suit against you seeking damages on account of such bodily injury or property damage which occurred during the policy period, even if any of the allegations of the suit are groundless, false or fraudulent. We may make such investigation and settlements of any claim or suit as it deems expedient, but we will not be obligated to pay any claim or judgment or to defend any suit after the applicable limit of our liability has been exhausted by settlements, tendered in a Court of Law, or payment of judgments. During such times as we are obligated to defend a claim or claims under the provisions of the preceding paragraph, we will pay with respect to such claims, in addition to the applicable limits of liability: 1) all expenses we incur, all costs taxed against you in any suit we defend and all interest accruing after judgment upon that portion of the judgment falling within the Policy limits before we have paid or tendered or deposited in court that part of the judgment which does not exceed the limit of the Company's liability thereon; 2) premiums on appeal bonds required in any such suit, premiums on bonds to release attachments in any such suit for an amount not in excess of the applicable limit of liability of this policy and the cost of bail bonds required of the Insured because of an Occurrence or violation of civil aviation law or regulation arising out of the use of the Aircraft, not to exceed $5.000 per bail bond, but we will have no obligation to apply for or furnish any such bonds; 3) expenses you incur for first aid to others at the time of an accident, for Bodily Injury to which this policy applies; 4) all reasonable expenses you incur at our request, other than for loss of earnings or for the wages or salaries of your employees. NAC-03-IA-0412 V. UNITED STATES NAVY AND AIR FORCE INSURANCE REQUIREMENTS Endorsement # i - Page 7 of 8

13 NAC-03-IA-0412 Endorsement # i - Page 8 of 8 Coverages A, B, C and D - If the Aviation Manager issues a Certificate of Insurance as required by United States Navy OPNAV Form 3770 or United States Air Force Regulation or any replacement of either, then the insurance policy provisions required by such regulation will be deemed to be incorporated herein and substituted for any policy provision inconsistent therewith. WITH RESPECT TO SECTION VI OF THE INSURING AGREEMENTS, POLICY PERIOD, TERRITORY IS DELETED IN ITS ENTIRETY AND REPLACED WITH THE FOLLOWING: POLICY PERIOD, TERRITORY All Coverages - This policy applies only to bodily injury or property damage which occurs, and to physical damage to the aircraft which is sustained during the policy period and within the coverage territory. Unless amended otherwise by endorsement, the coverage territory is agreed to be anywhere in the world or while en route between parts thereof. WITH RESPECT TO THE CONDITIONS SECTION OF THE POLICY: In order to provide for the pro-rata return of unearned physical damage premiums in the event of a Total Loss covered hereunder, it is agreed that Condition Number 20 is deleted in its entirety. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAC-03-IA-0412 NAC-03-IA-0412 Endorsement # i - Page 8 of 8

14 NAC Page 1 of 1 NON-OWNED AIRCRAFT LIABILITY ENDORSEMENT Policy Number: NAl Endorsement #: 4 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. In consideration of an additional premium of $ Included, it is understood and agreed that in addition to the Aircraft declared hereunder, coverage granted under this policy applies to Aircraft used by the Named Insured but not so declared, ALWAYS PROVIDED the Named Insured: 1. has no interest in the aircraft as owner in whole or in part. 2. exercises no part in the servicing or maintenance of the Aircraft. 3. does not lease the aircraft for a term of more than one (1) year. THIS ENDORSEMENT does not apply: a) to liability arising out of any product manufactured, sold, handled or distributed by the Named Insured. b) to any Aircraft having a seating capacity, including crew in excess of 30. c) to liability for loss of or damage to the Aircraft or any consequential loss arising therefrom. d) when the Aircraft is used by the Named Insured for hire and reward. e) to any rotorwing aircraft. This Coverage shall be excess Insurance over any other valid and collectible Insurance available to the Insured. LIMIT OF LIABILITY: $15,000,000 Each Occurrence All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAC NAC Endorsement#_!_ - Page 1 of 1

15 NAC EXCESS NON-OWNED LIABILITY Page 1of1 Policy Number: NAl Endorsement#: 5 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. IT IS HEREBY UNDERSTOOD AND AGREED THAT: Coverage provided under NAC , Non-owned Aircraft Liability Endorsement, is secondary to and excess over any other valid and collectible insurance to the insured, except insurance purchased as excess of the coverage provided by the endorsement. If such other insurance is written through the Aviation Managers, the total limit of the Company's liability under all such policies shall not exceed the greatest Limit of Liability applicable under any one such policy. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement- NAC NAC Endorsement # _ _ - Page 1 of 1

16 NAC Page 1 of 1 LIMITED HANGARKEEPERS LEGAL LIABILITY Policy Number: NAl Endorsement #: 6 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. In consideration of the premium charged, it is hereby understood and agreed that: Insuring Agreements, Section I., Liability Coverages is amended to include the following: LIMITED HANGARKEEPERS LIABILITY We will pay those sums that the Insured becomes legally obligated to pay resulting from damage to aircraft occurring while such aircraft has been left by others in the care, custody or control of the insured for safekeeping or storage. Our Limit of Liability for this extension of coverage is $1,000,000 per Occurrence and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAC NAC Endorsement #.&._ - Page 1 of 1

17 ABAP AMENDING DESCRIPTION OF AIRWORTHINESS CERTIFICATES Page 1 of 1 Policy Number: NAl Endorsement #: 7 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. In consideration of the additional premium of $ Included, it is hereby understood and agreed that the policy provisions are amended as follows: ltem(s) changes: 0 Insured Name D Insured Mailing Address 0 Policy Number 0 Insured Legal Status/Business of Insured 0 Effective/Expiration Date 0 Premium Determination 0 Payment Plan 0 Self-Insured Retention or Deductible 0 Additional Interested Parties 0 Classification/Class Codes 0 Limits/Exposure 0 Underlying Insurance 0 Covered Property/Location Description Add/Deleted Endorsements or Exclusions 0 Rates/Scheduled Rating It is agreed that any and all policy references to the term "Standard" with respect to Airworthiness Certificates are hereby deleted and replaced by the term "Current" when describing Airworthiness Certificates. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - ABAP ABAP Endorsement# L: - Page 1 of 1

18 NAC Page 1 of 1 WAR, HIJACKING AND OTHER PERILS EXCLUSION ENDORSEMENT Policy Number: NAl Endorsement #: 8 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. It is understood and agreed that, notwithstanding any other policy provision, this policy does not cover claims caused by: (a) War, invasion, acts of foreign enemies, hostilities, (whether war be declared or not), civil war, rebellion, revolution, insurrection, martial law, military or usurped power or attempts at usurpation of power. (b) Any hostile detonation of any weapon of war employing atomic or nuclear fission and/or fusion or other like reaction or radioactive force or matter. (c) Strikes, riots, civil commotions or labor disturbances. (d) Any act of one or more persons, whether or not agents of a sovereign power, for political or terrorist purposes and whether the loss or damage resulting therefrom is accidental or intentional. (e) Any malicious act or act of sabotage. (f) Confiscation, nationalization, seizure, restraint, detention, appropriation, requisition for title or use by or under the order of any government (whether civil military or de facto) or public or local authority. (g) Hijacking or any unlawful seizure or wrongful exercise of control of the aircraft or crew in flight (including any attempt at such seizure or control) made by any person or persons on board the aircraft acting without the consent of the Insured. This endorsement does not change the policy except as stated above and is not valid unless approved by our aviation insurance managers. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAC NAC Endorsement # ~ - Page 1 of 1

19 AV71-IA Page 1of3 WAR, HIJACKING, EXTORTION AND OTHER PERILS EXTENDED COVERAGE ENDORSEMENT Policy Number: NAl Endorsement#: 9 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. In consideration of an additional premium of $ Included and not withstanding anything in the policy to the contrary, this endorsement provides the coverages shown below: SECTION ONE - LOSS OF OR DAMAGE TO AIRCRAFT Subject to the terms, conditions and limitations set out below, this endorsement covers physical loss of or damage to the aircraft specified in Item 5 of the Declarations page caused by: a) War, invasion, acts of foreign enemies, hostilities, (whether war be declared or not), civil war, rebellion, revolution, insurrection, martial law, military or usurped power or attempts at usurpation of power; b) Strikes, riots, civil commotion or labor disturbances; c) Any act of one or more persons, whether or not agents of a sovereign power, for political or terrorist purposes and whether the loss or damage resulting therefrom is accidental or intentional; d) Any malicious act or act of sabotage; e) Confiscation, nationalization, seizure, restraint, detention, appropriation, requisition for title or use by or under the order of any Government, (whether civil, military or de facto) or public or local authority; f) Hi-jacking or any unlawful seizure or wrongful exercise of control of the aircraft or crew in flight (including any attempt at such seizure or control) made by any person or persons on board the aircraft acting without the consent of the Insured. Furthermore, this endorsement covers claims whilst the aircraft is outside the control of the Insured by reason of any of the above perils (a) through (f). The aircraft shall be deemed to have been restored to the control of the Insured on the safe return of the aircraft to the Insured at an airfield not excluded by the geographical limits of this endorsement and entirely suitable for the operation of the aircraft (such safe return shall require that the aircraft be parked with engines shut down and under no duress). SECTION TWO - EXTORTION COVERAGE The Company agrees to indemnify the Insured subject to the provisions below for any payment properly made in respect of threats against the aircraft, its passengers, or crew, made during the currency of this endorsement. SECTION THREE - HI-JACKING EXPENSE COVERAGE The Company agrees to indemnify the Insured subject to the provisions below, for any payment properly made in respect of extra expenses necessarily incurred following confiscation, etc. (as per Section One Clause (e)) or hi-jacking, etc. (as per Section One Clause (f)) of the aircraft. AV71-IA-OO-O 109 Endorsement#~ - Page 1 of 3

20 AV71-IA SECTION FOUR - GENERAL EXCLUSIONS Endorsement #_ft_ - Page 2 of 3 This endorsement excludes loss, damage or expense caused by any of the following: a) War (whether there be a declaration of war or not) between any of the following countries or states: United Kingdom, United States of American, France, the Russian Federation, the People's Republic of China; nevertheless, if the aircraft is in the air when an outbreak of such war occurs, this exclusion shall not apply in respect of such aircraft until the said aircraft has completed its first landing thereafter; b) Any detonation of any weapon of war employing atomic or nuclear fission and/or fusion, or other like reaction or radioactive force or matter, whether hostile or otherwise; c) Confiscation, nationalization, seizure, restraint, detention, appropriation, requisition for title or use by or under the authority of the Government(s) named in Part 2 of the Section 7 - Schedule, or any public or local authority under its jurisdiction; d) Any debt, failure to provide bond or security or any other financial cause under court order or otherwise; e) The repossession or attempted repossession of the aircraft either by any title holder or arising out of any contractual agreement to which any insured protected under this endorsement may be party; f) Delay, loss of use, or except as specifically provided in Section Two, any other consequential loss whether following upon loss of or damage to the aircraft or otherwise; SECTION FIVE - GENERAL CONDITIONS 1. With respect to the Coverages in Section Two and Three: a) The Insured is at all times responsible for ensuring that no arrangements of any kind are made which are not permitted by the proper authorities; b) The Limits of the Company's liability shall not exceed an amount equal to 90% of 100% of the Agreed Value of the aircraft (but not more than $1,000,000.) for both Section Two and Section Three coverages combined; c) The Insured warrants the remaining 10% of such payments is not insured. 2. The Insured shall use all reasonable efforts to ensure that they comply with the laws (local and otherwise) of any country within whose jurisdiction the aircraft may be and to obtain all permits necessary for the lawful operation of the aircraft. SECTION SIX- SUSPENSION, AUTOMATIC SUSPENSION AND AMENDMENT OF TERMS Amendment of Terms: 1. The Company may give notice effective on the expiry of seven (7) days from midnight GMT on the day on which notice is issued, to review the rate of premium and/or geographical limits. 2. Automatic Suspension: Whether or not such notice of suspension has been given, this insurance shall SUSPEND AUTOMA Tl CALLY upon the outbreak of war (whether there be a declaration of war or not) between any one of the following countries or states, namely, the United Kingdom, United States of America, France, the Russian Federation, or the People's Republic of China. 3. Suspension by Notice: a) This insurance may be suspended by the Company or the Insured giving notice not less than seven days prior to the end or each period of three months from inception. PROVIDED THAT if the aircraft is in the air when such outbreak of war occurs then this insurance, subject to its terms and conditions and provided not otherwise cancelled, terminated or suspended, will be continued in respect of such aircraft until the said aircraft has completed its first landing thereafter. b) Upon the hostile detonation of any weapon of war employing atomic or nuclear fission and/or fusion or other like reaction or radioactive force of matter wheresoever or whensoever such detonation may occur and whether or not the insured aircraft may be involved. AV71-IA Endorsement #_ft_ - Page 2 of 3

21 AV71-IA SECTION SEVEN - SCHEDULE Endorsement # J!_ - Page 3 of 3 Part 1 Schedule of Aircraft: 2002 Beechcraft King Air 350 (N41 SU), 2011 Cirrus SR22 (N176CF) Part 2 Schedule of Excluded countries, territories, and/or jurisdictions: None All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement-AV71-IA AV71-IA Endorsement# Jl - Page 3 of 3

22 NAC IA Page 1of1 EXTENDED COVERAGE ENDORSEMENT Policy Number: NAl Endorsement#: 10 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. 1. In consideration of an additional premium of $ Included, subject to Annual review, it is hereby understood and agreed that Exclusion 3 of Section I, Liability Coverages, of the Policy Provisions and paragraphs a, c, d, e, f and g of the WAR, HIJACKING, AND OTHER PERILS EXCLUSION ENDORSEMENT attached to this Policy are deleted. 2. Nevertheless, the coverage provided by this Endorsement shall terminate automatically: (a) upon the outbreak of war (whether there be a declaration of war or not) between any of the following states, namely, the United Kingdom, United States of America, France, the Russian Federation, the People's Republic of China. (b) upon the hostile detonation of any weapon of war employing atomic or nuclear fission and/or fusion or other like reaction or radioactive force or matter wherever or whenever such detonation may occur. 3. Notwithstanding, in the event any of the insured Aviation Operations are requisitioned for either title or use, coverage provided by this Endorsement will terminate in respect of such Aviation Operations. 4. The coverage provided by this Endorsement may be cancelled: (a) by the Underwriters following a hostile detonation as specified in 2 (b) above, or of one or more parts of the cover provided by paragraph 1 of this Endorsement by reference to Exclusion 3 of Section I of the Policy Provisions and paragraphs (a) through (g) of the WAR, HIJACKING, AND OTHER PERILS EXCLUSION ENDORSEMENT such notice to become effective on the expiry of forty-eight hours from Midnight G.M.T. on the day on which notice is issued. (b) by either the Underwriters or the insured giving notice effective on the expiry of seven days from Midnight G.M.T. on the day on which notice is issued. 5. Notwithstanding anything to the contrary contained in Paragraph 1 of this endorsement, the coverage provided hereunder by the deletion of Exclusion 3 of the Policy Provisions and paragraphs a, c. d, e, f and g of the WAR, HIJACKING, AND OTHER PERILS EXCLUSION ENDORSEMENT does not apply to property damage other than property damage within the United States of America or Canada. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAC IA NAC IA Endorsement # _..1Q_ - Page 1 of 1

23 AAA Page 1 of 1 CAP ON LOSSES FROM CERTIFIED ACTS OF TERRORISM Policy Number: NAl Endorsement#: 11 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. In consideration of an additional premium of Included, the following definition and coverage extension are added to the policy: A. If aggregate insured losses attributable to terrorist acts certified under the federal Terrorism Risk Insurance Act exceed $100 billion in a calendar year and we have met our insurer deductible under the Terrorism Risk Insurance Act, we shall not be liable for the payment of any portion of the amount of such losses that exceeds $100 billion, and in such case insured losses up to that amount are subject to pro rata allocation in accordance with procedures established by the Secretary of the Treasury. B. "Certified act of terrorism" means an act that is certified by the Secretary of the Treasury, in accordance with the provisions of the federal Terrorism Risk Insurance Act, to be an act of terrorism pursuant to such Act. The criteria contained in the Terrorism Risk Insurance Act for a "certified act of terrorism" include the following: 1. The act resulted in insured losses in excess of $5 million in the aggregate, attributable to all types of insurance subject to the Terrorism Risk Insurance Act; and 2. The act is a violent act or an act that is dangerous to human life, property or infrastructure and is committed by an individual or individuals as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the United States Government by coercion. C. The terms and limitations of any terrorism exclusion, or the inapplicability or omission of a terrorism exclusion, do not serve to create coverage for injury or damage that is otherwise excluded under this Coverage Part. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - AAA AAA Endorsement # _..11_ - Page 1 of 1

24 NAX Page 1of2 ASBESTOS EXCLUSION (WITH EXCEPTION FOR CRASH, FIRE, EXPLOSION, COLLISION OR RECORDED IN-FLIGHT EMERGENCY) Policy Number: NAl Endorsement #: 12 Named Insured: Iowa State University Company: Catlin Insurance Company, Inc. Effective Date: 02/15/2016 Aviation Managers: ~ Date Issued: 02/17/2016 This endorsement is part of your policy and takes effect on the effective date of your policy unless another effective date is shown above. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY AVIATION COVERAGE PART AIRCRAFT HULL AND LIABILITY COVERAGE PART AIRPORT LIABILITY PRODUCTS- COMPLETED OPERATIONS HAZARD COVERAGE PART AVIATION PRODUCTS LIABILITY COVERAGE PART NON-OWNED AIRCRAFT LIABILITY COVERAGE PART I. Asbestos Exclusion A. This insurance does not apply to: 1. Any "injury, damage, loss or expense" based upon or arising out of the actual or alleged existence. presence, inhalation, absorption or ingestion of, or contact with, exposure to or use of "asbestos", including but not limited to the following: a. The installation, storage or handling of "asbestos"; b. The manufacture, distribution, sale, application, mining, consumption, or disposal of "asbestos" or goods, products or materials containing "asbestos"; c. The removal, abatement, containment, treatment, transportation or disposal of "asbestos": d. The presence or alleged presence of "asbestos" in any structures, manufacturing processes, products or materials, or in any media including the air, soil or groundwater: or e. Any directions, supervision, instructions, recommendations, warnings or advice given or which should have been given with respect to "asbestos". 2. Any loss, cost or expense arising out of any: a. Request, demand, order or statutory or regulatory requirement that any insured or others test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or assess the effects of "asbestos"; or b. Claim or "suit" by or on behalf of a governmental entity or others for damages because of testing for, monitoring, cleaning up removing, containing, treating, detoxifying or neutralizing, or in any way responding to or assessing the effects of "asbestos". B. This exclusion applies regardless of whether the insured or others manufactured, distributed, sold, installed, or in any way handled, used, stored or controlled the "asbestos" and regardless of whether the alleged or actual presence of "asbestos" contributed concurrently or in any sequence to any "injury, damage, loss or expense". C. This exclusion replaces any other asbestos exclusion set forth in the Policy Coverage Form. II. Exception for Crash, Fire, Explosion, Collision or Recorded In-flight Emergency NAX Endorsement # R - Page 1 of 2

25 NAX Ill. Definitions The following definitions apply to this Endorsement: Endorsement # -1 - Page 2 of 2 This exclusion does not apply to any "injury, damage, loss or expense" otherwise covered by this Policy caused by exposure to "asbestos" resulting from a crash, fire, explosion or collision, or a recorded in-flight emergency causing abnormal aircraft operations. 1. "Asbestos" means any form of the mineral known as asbestos or any form of impure magnesium silicate, including but not limited to any material, waste, equipment, device or product containing asbestos, or any dust or particles containing asbestos, whether or not the asbestos is friable and whether or not the asbestos is in or on any structure or in the air, soil, or groundwater or in any other media. 2. "Injury, damage, loss or expense" means any injury, damage, loss or expense covered under any Coverage Form or Policy to which this endorsement applies, and includes but is not limited to "bodily injury", "property damage", "personal and advertising injury", medical expenses or any other coverages as may be defined under this Policy or any applicable endorsement. All other terms and conditions of the policy remain unchanged. THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY. End of Endorsement - NAX NAX Endorsement # -1 - Page 2 of 2

26 INDUSTRIAL AID AIRCRAFT INSURANCE POLICY Wherever used in this policy, the words "you" and "your" refer to the person or organization appearing as Named Insured in the Declarations. "We", "our", "Company" and "us" refer to Catlin Insurance Company, Inc. "Aviation Managers" refers to W. Brown & Associates Insurance Services. The Company, in consideration of payment of the premium and in reliance upon the statements in the Declarations and subject to the Limits of Liability, Exclusions, Conditions and all other terms of the Policy, agrees with the Named Insured identified in the Declarations Page herein as follows: I. LIABILITY COVERAGES INSURING AGREEMENTS Coverage A - Bodily Injury Excluding Passengers - To pay on your behalf all sums which you become legally obligated to pay as damages because of Bodily Injury sustained by any person excluding any Passenger caused by an Occurrence during the Policy Period and arising out of the ownership, maintenance or use of an Aircraft; Coverage B - Property Damage Liability - To pay on your behalf all sums which you become legally obligated to pay as damages because of Property Damage caused by an Occurrence during the Policy Period and arising out of the ownership, maintenance or use of an Aircraft; Coverage C - Passenger Bodily Injury Liability - To pay on your behalf all sums which you become legally obligated to pay as damages because of Bodily Injury sustained by any Passenger caused by an Occurrence during the Policy Period and arising out of the ownership, maintenance or use of an Aircraft; Coverage D - Single Limit Bodily Injury and Property Damage Liability - To pay on your behalf all sums which you become legally obligated to pay as damages because of Bodily Injury sustained by any person (excluding any Passenger unless the words "Including Passengers" appear in Item 4 of the Declarations) and Property Damage caused by an Occurrence during the Policy Period and arising out of the ownership, maintenance or use of an Aircraft.; 1. Airport Premises Liability - With respect to Coverages A, B, C and D we will also pay those sums that you become legally obligated to pay as damages because of Bodily Injury or Property Damage to which this insurance applies arising from the use of Airport Premises including hangars and Mobile Equipment which you use in connection with an Aircraft insured hereunder. The coverage extension afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 2. Liability For Property Damage To Hangars And Their Contents - With respect to Coverages A, B, C and D we will also pay those sums that you become legally obligated to pay as damages because of Property Damage to any hangar not owned, rented or leased by you. This extension of coverage also applies to the contents of such hangars other than Aircraft. Our Limit of Liability for this extension of coverage is $500,000 per Occurrence and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 3. Personal Injury - with respect to such coverage as is provided by Coverages A. C and D in Section I of this policy, we will also pay those sums that you become legally obligated to pay as damages because of Personal Injury to which this insurance applies provided that such Personal Injury results from the use of an Aircraft covered by this policy. We may settle any claim or suit to which this extension applies subject to the limit of liability shown in Item 4 of the Policy Declarations or $25,000,000 per Occurrence and aggregate whichever is less. Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 4. Fire Legal Liability - With respect to Coverages B and D in Section I of the policy, it is agreed that Exclusion 7 does not apply to Property Damage to Premises you lease or which you temporarily occupy NAC-02-IA-0412 Page 1 of 17

27 with the permission of the owner provided such Property Damage is caused by a fire for which you are legally liable. The Company's Limit of Liability for this extension of coverage is $100,000 each Occurrence. Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. 5. Non-Owned Aircraft Liability It is agreed that, with respect to Coverages A, B and D in Section I of the policy, coverage will apply to any aircraft you use but which is not declared in Item 5 of the Declarations always provided that you have no interest in the aircraft as owner in whole or in part and exercise no part in the servicing or maintenance of the aircraft. Our liability for losses under this coverage with respect to non-owned aircraft is subject to the Limits of Liability shown in Item 4 of the Declarations and does not increase the maximum amount we will pay. No coverage hereunder applies: 1 )To liability arising out of any product you manufacture, sell, handle or distribute. 2)To any Aircraft having seating capacity exceeding that of the aircraft covered hereunder with the largest number of seats. 3)To liability for loss of or damage to the Aircraft or any consequential loss arising therefrom. 4)To any rotorwing or amphibious aircraft. Solely as respects Non-Owned Aircraft, it is agreed that Item 6, Pilots, of the Declarations shall not apply provided you do nothing to prejudice our subrogation rights. Non-Owned Aircraft Liability coverage hereunder will be excess over any other valid and collectible insurance available to you. 6. Limited Aircraft Products Liability Coverage It is agreed that we will pay those sums that you become legally obligated to pay as damages because of Bodily Injury or Property Damage to which this insurance applies arising from the sale of an Aircraft covered hereunder. We also agree to pay such claims for damages arising from the sale of Aircraft equipment or Aircraft parts intended for use with that Aircraft. Coverage under this extension applies only to claims arising from an Occurrence that takes place during the Policy Period. The Limits of Liability under this extension are included within the Limits of Liability applicable to Coverage A, B and D and are not in addition thereto. Coverage hereunder will be excess over any other valid and collectible insurance available to you. This coverage extension does not apply to any Insured who is in the business of selling Aircraft, Aircraft parts or Aircraft equipment. 7. Passengers' Personal Effects and Baggage Notwithstanding anything to the contrary in Exclusion 8, we agree to pay damages for which you are legally liable arising from the loss of or damage to the personal effects or Baggage of any passenger on any Aircraft shown in Item 5 of the Declarations subject to a limit of liability not to exceed $10,000 each passenger. 8. Mechanics Tools We agree to pay for physical damage to or loss of tools and other apparatus used to repair or maintain the Aircraft covered hereunder and for which you are legally liable. Our liability for losses covered by this paragraph will in no event exceed $500 in respect to any one Occurrence. 9. Host Liquor Liability It is agreed that such insurance as is provided by Coverage A, B and D will be extended to include Bodily Injury and Property Damage for which you are legally liable by reason of serving alcoholic beverages on board an Aircraft shown in Item 5 of the Declarations. This coverage extension does not apply if you are in the business of manufacturing, selling, distributing, serving or furnishing alcoholic beverages. The coverage extension afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. NAC-02-IA-0412 Page 2of17

28 10. Date Change Recognition - We agree to pay for damages from an Occurrence caused by the failure of any equipment to function safely or correctly following any real or simulated change of year, date or time, except: a) loss not otherwise covered under this Policy, or b) loss which arises out of coverage on a first party basis for grounding, loss-of-use, business interruption, consequential loss or the like. It is a condition of this coverage that the Insured have followed appropriate best practice for the purpose of avoiding and minimizing loss, damage or liability arising out of any such failure, but any loss or losses that arise directly or indirectly out of any advice, consultation, design, evaluation, inspections, installation, maintenance, repair, replacement, or supervision provided or done by the Insured or for Insured to determine, rectify or test for any potential or actual problems that may cause such failure are not covered. Any loss or losses covered under this section which arise from more than one Occurrence or from the aforesaid failure(s) which is or are common to more than one item of equipment will not be one Occurrence under this Policy, except: a) to the extent of covered Physical Damage to tangible property or Bodily Injury losses at any one location arising out of one Occurrence, or b) an Occurrence caused by such failure of any one item of equipment. Coverage such as is afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations No Aggregation A collision between two or more Aircraft shall be deemed one Occurrence and losses arising from more than one Occurrence cannot be aggregated under this coverage section. 11. Guest Voluntary Settlement (GVS) - Coverage C and Coverage D, as shown in Section I of the policy, are agreed to include a Guest Voluntary Settlement provision by which, regardless of legal liability, we will offer to pay at your request the benefits hereinafter set forth with respect to Bodily Injury or death suffered by a Guest, resulting directly and independently of all other causes from an Occurrence while the said Guest is in or boarding the Aircraft for the purpose of riding therein, or alighting therefrom following a flight or attempted flight therein; provided that at the time of any Occurrence causing such bodily injuries or death, insurance is effective under Coverage C - Passenger Bodily Injury Liability of the policy, or Coverage D - Single Limit Bodily Injury and Property Damage Liability, if Passengers are included under Coverage D. GVS Benefits Pavable If, within 90 days from the date of an Occurrence, such Bodily Injury suffered by the Guest results in loss of: (a) Life; or any two extremities (hands or feet) by severance at or above the wrist or ankle; or the entire sight of both eyes if irrecoverably lost; or the entire sight of one eye if irrecoverably lost and one extremity (hand or foot) by severance at or above the wrist or ankle; we will offer the amount you request but not exceeding $250,000 for the loss suffered. (b) Any one extremity (hand or foot) by severance at or above the wrist or ankle; or the entire sight of one eye if irrecoverably lost, we will offer the amount you request, but not exceeding one-half the amount specified in paragraph (a) hereof. (c) In no event will we be obligated to offer an amount hereunder in excess of the amount specified in paragraph (a). (d) The amounts which we will offer for such Bodily Injury or Death suffered by Guests as a result of any one accident or series of accidents arising from one and the same cause, will not exceed the aggregate sum of $250,000 per seat. If this sum is less than the total of the amounts to be offered each Guest in accordance with the foregoing provisions, then the amounts payable will be reduced in the proportion that the aggregate sum bears to the total of said amounts. NAC-02-IA-0412 Page 3of17

29 (e) Notwithstanding the definition of Guest provided herein, it is agreed that the coverage provided hereunder will not apply to pilot(s) and/or crew unless this policy is so endorsed. Conditions - With respect to the foregoing Guest Voluntary Settlement extension, the following provisions apply: a) It is a condition of the payment of these benefits that, upon acceptance of such payment, the Guest and any person having a loss of service claim and any person having a claim by way of subrogation to the rights of such Guest or other person, and any person having the right to recover from the Insured expenses incurred because of such injury or death and, in the event of the death of the Guest, the person or persons having a cause of action for the death, will execute a full legal release of all claims against the Insured (except that no person giving such release will be required to release the employer of the Guest from any claim for Workmen's Compensation Benefits or any claim for injury or death arising out of and in the course of such Guest's employment by such employer, but this exception will not relieve such person of the necessity of giving a full legal release of all claims against all Insureds other than such employer) and if the injured Guest or any person claiming by, through or under such Guest refuses to accept the benefits offered by these provisions within thirty (30) days following such offer and to execute the necessary release, the Company will no longer be bound to pay such benefits. b) The commencement of any claim, suit or demand upon you for damages on account of such Bodily Injury or Death will constitute a refusal to accept the benefits offered hereunder and our obligations as expressed in the policy, exclusive of any of the GVS provisions, will thereupon be available to you. c) Benefits by the terms of this extension are a part of, and not in addition to, the Limit of Liability specified for Coverage C - Passenger Bodily Injury Liability or specified for Coverage D - Single Limit Bodily Injury and Property Damage Liability, if Passengers are included under Coverage D. d) The Guest, or someone on his behalf, will at the request of the Company furnish reasonably obtainable information pertaining to the injuries and execute authorization to enable us to obtain medical reports and copies of records. The Guest will submit to physical examination by physicians selected by us when and as often as we may reasonably require. e) Guest Voluntary Settlement benefits apply only to aircraft covered hereunder and which are described in Item 5 of the Declarations. f) The insurance afforded under this provision does not apply to Bodily Injury or Death caused directly or indirectly, in whole or in part, by war, whether declared or not, any act of war or warlike operation. 12. Cargo Liability - We agree to pay on your behalf those sums which you will become legally liable to pay (but limited to your legal liability under the applicable tariff document, airway bill of lading or shipping receipt, if any) for direct physical damage or loss from external cause to cargo, caused by an Occurrence, and while on-board or being loaded onto or unloaded from aircraft shown in Item 5 of the Declarations. Our Limit of Liability for this coverage extension is $100,000 each Occurrence. A deductible of $1,000 applies to each loss. The Limits of Liability applicable to Cargo Liability are included within the Policy's Limits of Liability applicable to Property Damage Liability and are not in addition thereto. Coverage afforded hereunder will be secondary to and excess over any other valid and collectible insurance available to you. In addition to the exclusions appearing elsewhere in the policy applicable to all Liability coverages, our obligations under this section do not apply to any liability for: (a) loss of use, loss of market, delay, inherent vice, extremes of temperature or pressure, or deterioration, NAC-02-IA Page 4of17

30 (b) loss, damage or expense caused by or resulting from infidelity or dishonesty of any person in the employment or service of the Insured, (c) loss in excess of the actual cost of reproducing or replacing destroyed or damaged manuscripts, notes, securities, accounts, bills, deeds, or any other valuable papers, (d) property you own, (e) passenger Baggage, (f) loss of or damage to cargo which is considered dangerous or harmful and for which a special permit or waiver from a federal, state, county, or municipal authority is required, (g) loss of cargo that disappears mysteriously. 13. Contractual Liability with respect to such coverage as is provided by Coverages A, B, C and D in Section I of this policy, we will also pay those sums that you become obligated to pay as damages because you have assumed those obligations in a written contract or agreement. It is a condition of this coverage extension that you send a copy of any contract or agreement, other than an airport contract, to the Aviation Managers within 30 days of your receipt of that contract. However, your unintentional failure to send copies of contracts or agreements will not operate to void this coverage provided you submit contracts as soon as possible after determining one exists. Our liability for losses under this coverage is subject to the Limits of Liability shown in Item 4 of the Declarations and does not increase the maximum amount we will pay. The subrogation section as shown in Condition 17 will not apply to any written contract or agreement except any contract or agreement with a person or organization which had been entered into after a loss. 14. On Premises Automobile Liability - with respect to such coverage as is provided by Coverages A, B, C and D in Section I of this policy, we will also pay those sums that you become obligated to pay as damages for Bodily Injury or Property Damage arising out of the ownership, maintenance, operation, use, loading or unloading of any automobile you own, operate, rent or borrow or any other automobile operated by any person in the course of his employment by you but only while such automobile is operated on an airport used in connection with the aircraft covered by this policy. For the purposes of this coverage, "automobile" means a land motor vehicle, trailer or semitrailer designed for travel on public roads, including any attached machinery or equipment but "automobile" does not include Mobile Equipment. We may settle any claim or suit to which this policy applies subject to the limit of liability shown in Item 4 of the Policy Declarations or $25,000,000 per Occurrence and aggregate whichever is less. Coverage afforded hereunder is included in and does not increase the Limits of Liability as shown in Item 4 of the Policy Declarations. This coverage shall be excess insurance over any other valid and collectible insurance available to you. II. MEDICAL EXPENSE COVERAGE Coverage E Medical Expense - We will pay all reasonable medical expense incurred within one year from the date of injury, to or for each passenger who sustains bodily injury caused by an Occurrence during the policy period, provided the aircraft is being used by or with your express permission. Coverage is hereby also extended to pay covered losses for injuries occurring on any Premises to which this policy applies provided the injured person is on such Premises with your permission. Our Limit of Liability for this coverage extension will not exceed the Medical Expense Coverage limit shown in the Declarations. Ill. PHYSICAL DAMAGE COVERAGES Coverage F - All Risk Basis - We will pay for any physical damage to or loss of the aircraft, including Disappearance of the aircraft. NAC-02-IA-0412 Page 5of17

31 Coverage G - All Risk Basis Not In Motion - We will pay for any physical damage to or loss of the aircraft sustained while the aircraft is not in motion and which is not the result of fire or explosion following crash or collision while the aircraft was in motion. It is further agreed that the insurance provided by Coverage F and Coverage G is extended to include the following: 1) Spare Parts - Coverage for physical damage to or loss of spare parts, including engines, you own or for which you are legally liable, and which are intended for use in the Aircraft insured by this policy. Our liability for losses covered by this paragraph will in no event exceed $250,000 in respect to any one Occurrence subject to a deductible of $2,500 per loss. 2) Parts Temporarily Detached - Coverage for physical damage to or loss of parts temporarily detached from Aircraft covered hereunder, including engines, you own or for which you are legally liable. Our liability for losses covered by this paragraph will in no event exceed $100,000 in respect to any one Occurrence subject to a deductible of $2,500 per loss. 3) Fire and Crash Emergency Expenses - The cost of fire and crash emergency expenses including runway foaming or aircraft foaming for the purpose of minimizing physical damage loss or a bodily injury loss under this policy. Our limit of liability will not exceed $100,000 any one Occurrence. 4) Emergency Off-Airport Landing Expenses - In the event the pilot in command is forced to make an emergency off airport landing and no physical damage to the aircraft occurs, Coverage F is hereby amended so that we will pay the expenses of transporting the aircraft to the nearest suitable airport provided that such expenditures must be agreed to in advance by us and our Limit of Liability will be $100,000 each Occurrence. 5) Search and Rescue - We will pay the actual incurred expenses for Search and Rescue operations performed by you or at your request provided such expenses arise in connection with an Occurrence otherwise covered by this Policy. Coverage afforded by this paragraph will not apply until such time as all governmental authorities and military Search and Rescue operations have been abandoned. Our limit of liability for Search and Rescue operations will not exceed $100,000 any one Occurrence. 6) Temporary Use Of Substitute Aircraft - While an aircraft described in Item 5 of the declarations is withdrawn from normal use because of its breakdown, repair, servicing, loss or destruction, such insurance as is afforded under Coverages A, B, C, D and E is extended to apply to the use by you or on your behalf, of any other aircraft bearing a "Standard" airworthiness certificate which you do not own in whole or in part while temporarily used as a substitute for the Aircraft appearing in the Declarations. In the event that the aircraft has a passenger capacity greater than that of any aircraft listed in the Declarations, then our liability under Coverage D for passenger claims will be determined in accordance with the provisions of the "Limit of Company's Liability" section of this policy, as if the aircraft involved had the same seating capacity as that aircraft listed in the Declarations which has the greatest seating capacity. 7) Automatic Insurance For Newly Acquired Aircraft - If you acquire ownership of an aircraft having a Standard Airworthiness Certificate in addition to the aircraft described in Item 5 of the Declarations and within thirty days thereafter report such acquisition to the Aviation Managers, then the insurance afforded by Coverages A, B, C, D and E will apply to such additional aircraft as of the time of such acquisition, provided that we insure all other aircraft you own in whole or in part on such acquisition date. Unless you and we agree otherwise, the coverages and limits of liability pertaining to said additional aircraft will be the same as is provided for that aircraft described in Item 5 of the Declarations having the greatest passenger carrying capacity. You agree to pay any additional premium required because of the application of this insurance to such other aircraft. All coverages provided by this Agreement will cease to apply upon expiration of the policy to which it is attached. 8) Replacement Aircraft I Extra Expense - If an Aircraft shown in Item 5 of the Declarations sustains physical damage to which this Policy applies, the Company agrees to reimburse you for Extra Expense NAC-02-IA-0412 Page 6of17

32 associated with obtaining a Replacement Aircraft for use while the damaged Aircraft is being repaired. The Company's limit of liability under this extension shall not exceed $2,500 per day for up to five (5) days. Coverage under this extension shall end when the number of days shown above has elapsed or when repairs to the damaged Aircraft are complete or, in the event of a total loss, when the damaged aircraft is permanently replaced whichever occurs first. No coverage under this extension exists until five (5) days has elapsed after the damage occurs. If Item 5 of the Declarations shows that a deductible applies to the Physical Damage Coverage provided by this policy, then the same deductible also applies to Extra Expense reimbursement. It is agreed, however, that only one deductible shall apply to each Physical damage Loss. "Replacement Aircraft" as used herein means an aircraft of similar or smaller size and weight used as a temporary replacement for an Aircraft covered by this policy. Replacement Aircraft shall be suited to uses similar to those of the damaged Aircraft. The Company will reimburse expenses, including the direct cost of installation, removal and transportation, incurred by the Named Insured for renting or leasing aircraft parts as temporary replacements for aircraft parts; (a) damaged and being repaired, or (b) destroyed and being permanently replaced, caused by physical damage covered by this policy to an aircraft shown in the Declarations. The Limit of the Company's Liability with respect to this coverage shall not exceed $50,000 each loss, regardless of the number of such replacement parts or aircraft. The coverage provided herein shall be in addition to the Limit of Liability shown In the Declarations but does not apply: (a) if the time to permanently replace, or to repair and return such part is less than 5 calendar days; (b) if the aircraft to which this coverage applies is a total, constructive total or arranged total loss; (c) to the lnsured's own spare parts; (d) to parts under an existing rental, lease or exchange agreement; (e) to charges for wear, tear or depreciation, damage, loss, loss of use, maintenance, repairs or operating costs; (f) to charges incurred after such damaged or destroyed part has been permanently repaired or replaced; (g) to charges incurred while such aircraft or temporary replacement part is unusable on account of an Airworthiness Directive, factory Service Bulletin, airworthiness inspection, breakdown, malfunction or is otherwise deemed unsuitable; (h) to charges incurred during the period prior to installation of such temporary part on the aircraft if uninstalled for three (3) days or more. 9) Trip Interruption Expenses - If an Aircraft shown in Item 5 of the Declarations sustains physical damage to which this Policy applies, the Company agrees to reimburse you up to $5,000 per passenger for reasonable food, lodging and travel expenses incurred traveling from the location of the damaged Aircraft either to the destination originally intended or to the point of the flight's origin if the trip is discontinued. NAC-02-IA-0412 Page 7of17

33 10) Non-Owned Aircraft - Physical Damage Legal Liability - It is agreed that such insurance as is afforded by Coverages F and G described in Section Ill of the policy is extended to apply to liability imposed by law upon the Insured for damage to or destruction of any aircraft (including resultant loss of use) which is the property of others and which at the time of the loss is in your custody for use by you.. As respects Non-Owned Aircraft only, this policy does not apply to: Loss of or damage to robes, wearing apparel, personal effects or merchandise of any description, whether the aircraft in which they are contained is stolen or damaged. Loss of or damage to any aircraft owned you in whole or in part, or leased under a long term lease to you or your family or if you are a co-partnership, by any member thereof or his family or if you are a corporation, by any officer or his family. Loss of or damage to any material you furnish or any work you perform out of which the accident arises. Liability you assume under any contract or agreement not identified specifically or by definition under this policy. To any Aircraft having seating capacity exceeding that of the aircraft covered hereunder with the largest number of seats. Any aircraft used for carrying of passengers or freight for hire or reward. Our Limit of Liability for this extension will not exceed the greatest hull value shown in Item 5 of the Declarations for aircraft covered hereunder. A deductible of $2,500 will apply to each loss. The coverage extensions described in Items 1 through 10 are subject to the limits and deductibles shown for each item and do not further increase the Limits of Liability shown in Item 4 of the Declarations. IV. DEFENSE, SETTLEMENT AND SUPPLEMENTARY PAYMENTS Coverages A, B, C and D - We will have the right and duty to defend any suit against you seeking damages on account of such bodily injury or property damage which occurred during the policy period, even if any of the allegations of the suit are groundless, false or fraudulent. We may make such investigation and settlements of any claim or suit as it deems expedient, but we will not be obligated to pay any claim or judgment or to defend any suit after the applicable limit of our liability has been exhausted by settlements, tendered in a Court of Law, or payment of judgments. During such times as we are obligated to defend a claim or claims under the provisions of the preceding paragraph, we will pay with respect to such claims, in addition to the applicable limits of liability: 1) all expenses we incur, all costs taxed against you in any suit we defend and all interest accruing after judgment upon that portion of the judgment falling within the Policy limits before we have paid or tendered or deposited in court that part of the judgment which does not exceed the limit of the Company's liability thereon; 2) premiums on appeal bonds required in any such suit, premiums on bonds to release attachments in any such suit for an amount not in excess of the applicable limit of liability of this policy and the cost of bail bonds required of the Insured because of an Occurrence or violation of civil aviation law or regulation arising out of the use of the aircraft, not to exceed $5,000 per bail bond, but we will have no obligation to apply for or furnish any such bonds; 3) expenses you incur for first aid to others at the time of an accident, for bodily injury to which this policy applies; 4) all reasonable expenses you incur at our request, other than for loss of earnings or for the wages or salaries of your employees. V. UNITED STATES NAVY AND AIR FORCE INSURANCE REQUIREMENTS Coverages A, B, C and D - If the Aviation Managers issues a Certificate of Insurance as required by NAC-02-IA-0412 Page 8of17

34 United States Navy OPNAV Form 3770 or United States Air Force Regulation or any replacement of either, then the insurance policy provisions required by such regulation will be deemed to be incorporated herein and substituted for any policy provision inconsistent therewith. VI. POLICY PERIOD, TERRITORY All Coverages - This policy applies only to bodily injury or property damage which occurs, and to physical damage to the aircraft which is sustained during the policy period and within the coverage territory. Unless amended otherwise by endorsement, the coverage territory is agreed to be anywhere in the world or while in route between parts thereof. VII. TWO OR MORE AIRCRAFT All Coverages - When two or more aircraft are insured under this policy the terms of this policy will apply separately to each. VIII. AIRCRAFT FLIGHT INCIDENT AL TO MAINTENANCE While the aircraft is in the care, custody or control of a Federal Aviation Administration approved repair station or aircraft repair facility for the purpose of maintenance or repair, Item 6, Pilots, of the Declarations will not apply provided that you will do nothing to prejudice our rights of subrogation against such repair station or repair facility. This policy does not apply: 1. To anyone insured under this policy while the aircraft is in flight with your knowledge and consent or that of any your executive officers, partners, or managing agents for any unlawful purpose, or any purpose not designated in the Declarations. 2. To anyone who is an insured under this policy while the aircraft is in flight with your knowledge and consent (a) if piloted by other than the pilot or pilots designated in the Declarations; (b) if piloted by a pilot not properly certificated, qualified and rated under the current applicable Federal Air Regulations for the operation involved, whether or not said pilot is designated in the Declarations; (c) if the Airworthiness Certificate of the aircraft is not in full force and effect; (d) if the aircraft has not been subjected to appropriate airworthiness inspection(s) as required under current applicable Federal Air Regulations for the operation involved. 3. To any loss, injury or damage arising from war, invasions, civil war, revolution, rebellion, insurrection or warlike operations, whether there be a declaration of war or not. 4. To any loss or damage due to radioactive contamination. 5. Under Coverages A, B, C, D, and E EXCLUSIONS (a) Other than an Airport contract that the Insured signs with a military or governmental authority as a prerequisite to the use of an airport, there is no coverage for liability assumed by the Insured under any contract which is with or for the benefit of passengers or their heirs; or is with or for the benefit of any manufacturers of your aircraft or any of its parts, or applies to damage which is the result of any major alteration or repairs, or to which the Insured or another party orally agrees, unless the agreement is an airport contract which is required by a governmental body in order to use the airport. (b) to anyone insured under this policy who is also an insured under a contract of nuclear energy liability insurance issued by the Nuclear Energy Liability Insurance Association or the Mutual Atomic NAC-02-IA-0412 Page 9of17

35 Energy Liability Underwriters and in effect at the time of the Occurrence resulting in such injury, sickness, disease, death or destruction; provided, such contract of nuclear energy liability insurance will be deemed to be in effect at the time of such Occurrence notwithstanding such contract has terminated upon exhaustion of its limit of liability; (c) (i) To claims directly or indirectly occasioned by, happening through or in consequence of: 1. noise (whether audible to the human ear or not), vibration, sonic boom and any phenomena associated therewith, 2. pollution and contamination of any kind whatsoever. 3. electrical and electromagnetic interference, 4. interference with the use of property, unless caused by a crash or collision of aircraft or a recorded in flight emergency causing abnormal aircraft operation. (ii) With respect to any provision in the policy concerning any duty of ours to investigate or defend claims, such provision will not apply and we will not be required to defend: 1. claims excluded by paragraph (c) (i) or 2. a claim or claims covered by the policy when combined with any claims excluded by paragraph (c) (i) referred to below as "Combined Claims". (iii) In respect of any Combined claims, we will (subject to proof of loss and the limits of the policy) reimburse the Insured for that portion of the following items which may be allocated to the claim or claims covered by the policy; 1. damages awarded against you and 2. defense fees and expenses you incur (d) To claims in respect of death, bodily injury, illness or disease of any person or persons and/or damage to or destruction of property caused by or resulting from the use by you or your agent of any forms of chemical dispersed from the aircraft. 6. Under Coverages A, C, and D (a) to any obligation for which you or any carrier as your insurer may be held liable under any worker's compensation, unemployment compensation or disability benefits law, or under any similar law; (b) to bodily injury to any of your employees arising out of and in the course of his employment by you; (c) to your bodily injury or death or that of anyone appearing in the Declarations as a Named Insured. 7. Under Coverages Band D to property damage to property you own, occupy, rent or use or which is in your care, custody or control or carried in or on any Aircraft, but this exclusion does not apply to any property for which coverage is specifically granted elsewhere in this policy. 8. Under Coverages F and G (a) to loss or damage due to conversion, embezzlement or secretion by any person in possession of the aircraft under a bailment, lease, rental agreement, conditional sale, purchase agreement, mortgage or other encumbrance, nor for any loss or damage during or resulting therefrom; (b) to wearing apparel and other personal effects; (c) to loss or damage which is due and confined to wear and tear, deterioration, freezing, mechanical, hydraulic, pneumatic, structural or electrical breakdown or failure, or to tires unless damaged by fire or stolen, unless any such loss or damage is the direct result of other physical NAC-02-IA-0412 Page 10of17

36 damage covered by this policy; (d) to loss or damage arising from capture, confiscation, seizure, arrest, restraint or detention or the consequences thereof or of any attempt, threat, or any taking of the property insured or damage to or destruction thereof by any government or governmental authority or agent (whether secret or otherwise) or by any military, naval or usurped power, whether any of the foregoing to be done by way of requisition or otherwise and whether in time of peace or war and whether lawful or unlawful; (e) damage to turbine engines caused by excessive heat which results from operations, attempted operation or shutdown of the engine. LIMIT OF OUR LIABILITY ALL COVERAGES (Other Insurance) Except with respect to insurance that you specifically purchase to apply in excess of this policy, if there is other insurance in your name or otherwise, against loss, liability or expense covered by this policy, we will not be liable under this policy for a greater proportion of such loss, liability or expense than the applicable limit of our liability bears to the total applicable limit of liability of all valid and collectible insurance against such loss, liability or expense. COVERAGES A, B, C and D (Total Liability) Regardless of the number of (1) Insureds under this policy, (2) persons or organizations who sustain bodily injury or property damage, (3) claims made or suits brought on account of bodily injury or property damage, or (4) aircraft to which this policy applies, our liability is limited as follows: Coverage A and C - Our total liability for all damages, including damages for care and loss of services, because of bodily injury sustained by any person as the result of any one Occurrence will not exceed the limit of liability stated in the Declarations as applicable to "each person". Subject to the above provision respecting "each person", our total liability for all damages for care and loss of services, because of bodily injury sustained by two or more persons as the result of any one Occurrence will not exceed the limit of liability stated in the declarations as applicable to "each Occurrence". Coverage B - Our total liability for all damages because of all property damage sustained by one or more persons or organizations as the result of any one Occurrence will not exceed the limit of liability stated in the Declarations as applicable to "each Occurrence". Coverage D - Our total liability for all damages, including damages for care and loss of services, because of bodily injury or property damages sustained by one or more persons or organizations as the result of any one Occurrence shall not exceed the limit of liability stated in the Declarations as applicable to "each Occurrence". And further provided that, if the Declarations are completed to show "Passenger Liability Limited to", our total liability for all damages, including damages for care and loss of services because of bodily injury to passengers will not exceed: (a) as respects any one passenger, the amount stated in the Declarations as applicable to "each person". (b) as respects two or more passengers, subject to the above provisions respecting any one passenger, the amount stated in the Declarations as applicable to "each person" multiplied by the number of passengers on board the aircraft or by the number of passenger seats as stated in Item 5 for the aircraft involved (whichever is less), but in no event will our liability for all bodily injury (including passenger bodily injury) and property damage exceed the limits stated in the Declarations as applicable to "each Occurrence". For the purpose of determining the limit of our liability, all bodily injury and property damage arising out of continuous or repeated exposure to substantially the same general conditions will be considered as arising out of one Occurrence. NAC-02-IA-0412 Page 11 of 17

37 COVERAGES A, B, C AND D (Severability of Interests) The insurance afforded applies separately to each Insured against whom claim is made or suit is brought, except with respect to the limits of our liability. COVERAGE E (Total Liability) COVERAGES F AND G (Total Liability) With respect to total loss, we will pay the insured value of the aircraft, as stated in the Declarations, subject to any applicable deductible. With respect to partial loss, we will pay, subject to any applicable deductible: 1. If you do not make your own repairs, then the reasonable cost to repair the damaged property with material of like kind and quality (excluding any charges for overtime), plus the cost of the least expensive, reasonable method of transporting new and/or damaged parts and/or the damaged aircraft to the place of repair and the return of the repaired aircraft to the place where the loss occurred or the place where the aircraft is regularly based, whichever is nearer; 2. if you make your own repairs, the total of the following: I The limit of liability stated in the Declarations as applicable to "each person" is the limit of our liability for all medical expenses incurred by or on behalf of each person who sustains bodily injury, sickness, or disease, including death resulting therefrom, in any one Occurrence; the limit of liability stated in the Declarations for Coverage E as applicable to "each Occurrence" is, subject to the above provision respecting each person, the total limit of our liability for all expenses incurred by or on behalf of two or more persons who sustain bodily injury, sickness or disease, including death resulting therefrom in any one such Occurrence. a) actual cost to the Insured of material of like kind and quality; b) 200% of actual wages paid for labor, excluding any overtime, overhead, supervisory services and all other related services; c) cost of the least expensive reasonable method of transporting new and/or damaged parts and/or the damaged aircraft to the place of repair and the return of the repaired aircraft to the place where the loss occurred or the place where the aircraft is regularly based, whichever is nearer. The amount due under this policy with respect to partial loss will not exceed the amount due were the loss payable as a total loss. In the event that we declare an aircraft covered hereunder a total loss, we agree to provide the Named Insured shown in Item 1 of the Declarations the opportunity to purchase whatever salvaged property might be available before that salvage is made available for sale to independent parties. The Named Insured shall have no obligation to make such purchase and the price and timing of any such transaction will be mutually agreed between you and us or our claims administrator. If the Named Insured does not purchase the available salvage, any value remaining will inure to our benefit. Equipment installed in the aircraft subsequent to the effective date of coverage will be considered a part of the aircraft, and its salvage value will inure to our benefit. There will, however, be no abandonment of any damaged property without our prior consent. If the loss is due to theft, we will have the right to return the stolen property at any time prior to actual payment of the claim hereunder, with payment for any physical damage sustained thereto. Whenever used in this policy, DEFINITIONS AIRCRAFT means the aircraft described in the Declarations and includes propulsion systems, operating, navigation and radio equipment usually attached thereto, and parts and repair equipment which are NAC-02-IA-0412 Page 12of17

38 standard for the make and type of aircraft. Parts temporarily detached from the aircraft which have not been replaced by other similar parts will be deemed part of the aircraft. AVIATION MANAGERS means W. Brown & Associates Insurance Services. BAGGAGE means handbags, suitcases, valises, briefcases and other forms of baggage usually carried by travelers and the contents thereof. BODILY INJURY means bodily injury, sickness, disease or mental anguish sustained by any person which occurs during the policy period, including death at any time resulting therefrom. DISAPPEARANCE means missing and not reported by sixty days after commencing the last known flight. FEDERAL AVIATION ADMINISTRATION means the duly constituted authority of the United States of America having jurisdiction over civil aviation, or its duly constituted equivalent in any other country. GUEST means any person, including an employee of the Insured whether or not in the course of his employment, who has received an express or implied invitation from the Named Insured to enter the aircraft for the purpose of riding or flying therein. It is specifically understood and agreed that, under no circumstances, will the coverage provided hereunder apply to any liability imposed upon or assumed by the insured under any Workmen's Compensation Act, Plan or Law. IN FLIGHT means the time commencing with the actual takeoff run of the aircraft and continuing thereafter until it has completed its landing roll. If the aircraft is a rotorcraft, from the time the rotors start to revolve under power for the purpose of flight until they subsequently cease to revolve. IN MOTION means anytime the aircraft is moving under its own power or the momentum generated by its own power or while it is In Flight. If the aircraft is a rotorcraft, any time that the rotors are rotating. INSURED The unqualified word "insured", wherever used in this Policy with respect to Coverage A, B, C and D, includes not only the Named Insured but also any person while using or riding in the aircraft and any person or organization legally responsible for its use, provided the actual use is with the express permission of the Named Insured. Except with respect to the Named Insured the provisions of this paragraph do not apply: (a) to any employee with respect to bodily injury, sickness, disease or death of another employee of the same employer injured in the course of such employment; (b) To any person or organization or to any agent or employee thereof (other than any employee of the Named Insured while acting in the scope and course of his employment by the Named Insured) engaged in the manufacture or sale of aircraft, aircraft engines or aircraft accessories or in the operation of an aircraft repair shop, airport hangar, aircraft sales agency, aircraft rental service, commercial flying service or flying school with respect to any Occurrence arising out of such manufacture, sale or operations; (c) to any person engaged in providing flight instruction for hire or reward; (d) to any person operating the aircraft who has paid or agreed to pay the Named Insured for the use of said aircraft. MEDICAL EXPENSE means expenses for necessary medical, surgical, x-ray or dental services, including prosthetic devices, and necessary ambulance, hospital, professional nursing and funeral services, but excluding monuments, head stones or burial plots. MOBILE EQUIPMENT means any of the following types of land vehicles, including any attached machinery or equipment: 1) bulldozers, farm machinery, forklifts and other vehicles designed for use principally off public roads; 2) vehicles maintained for use solely on or next to airport Premises; 3) vehicles that travel on crawler treads; 4) vehicles, whether self-propelled or not, maintained primarily to provide mobility to permanently mounted power cranes, shovels, loaders, diggers or drillers; NAC-02-IA-0412 Page 13of17

39 5) or road construction or resurfacing equipment such as graders, scrapers or rollers; 6) vehicles not described above that are not self-propelled and are maintained primarily to provide mobility to permanently attached equipment of the following types; air compressors, pumps and generators, including spraying, welding, building cleaning, geophysical exploration, lighting and well service equipment; 7) cherry pickers and similar devices used to raise or lower workers; 8) vehicles not described above maintained primarily for purposes other than the transportation of persons or cargo. NAMED INSURED means the person or organization named in Item 1 of the Declarations. OCCURRENCE means an accident, including continuous or repeated exposure to conditions, which results in bodily injury or property damage during the policy period, neither expected nor intended from the standpoint of the Insured. PARTIAL LOSS means any physical damage loss which is not a total loss. PASSENGER means any person in, on or boarding the aircraft for the purpose of riding or flying in it, or exiting from it after a ride, flight or attempted flight including pilot(s) or crew member(s). PERSONAL INJURY means injury, other than bodily injury, arising out of one or more of the following offenses: 1) false arrest, detention or imprisonment; 2) malicious prosecution; 3) oral or written publication of material that slanders or libels a person or organization or 4) disparages a person's or organization's goods, products or services; 5) oral or written publication of material that violates a person's right of privacy; or 6) misdirection of a person to an Aircraft or other conveyance. PHYSICAL DAMAGE means direct and accidental physical loss of or damage to the aircraft, hereinafter called loss, but does not include loss of use or any residual depreciation in value, if any, after repairs have been made. PLEASURE AND BUSINESS means used in the business of the Insured, including personal and pleasure uses, but excluding any operation for hire or reward. Cost reimbursement will be included within the definition of Pleasure and Business provided that such cost reimbursement is limited to: 1) Fuel, oil, lubricants, and other additives 2) Expenses of the crew, including food, lodging, and ground transportation, but excluding salary or wages 3) Hangar and tie-down costs away from the aircraft's base of operation 4) Insurance obtained for the specific flight 5) Landing fees and similar assessments 6) Customs, foreign permit, and similar fees directly related to the flight 7) In flight food and beverages 8) An additional charge equal to 100% of the expenses listed in subparagraph (1) above PREMISES means such portions of airports as are designated and used for the parking or storage of aircraft, including Premises you own or lease for more than thirty days. PROPERTY DAMAGE means (a) physical injury to or destruction of tangible property which occurs during the policy period, including loss of use thereof at any time resulting therefrom, or (b) loss of use of NAC-02-IA-0412 Page 14of17

40 tangible property which has not been physically injured or destroyed, provided such loss of use is caused by a covered Occurrence. TOTAL LOSS means any physical damage loss for which the cost to repair when added to the salvage value (the value of the aircraft after physical damage and prior to repairs) equals or exceeds the Insured Value of the aircraft as set forth in Item 5 of the Declarations. Disappearance or theft of the entire aircraft will be considered a total loss. CONDITIONS APPLICABLE TO COVERAGES A, B, C AND D (BODILY INJURY AND PROPERTY DAMAGE) 1. NOTICE OF OCCURRENCE. When an Occurrence takes place, written notice will be given by you or on your behalf to the Aviation Managers at their nearest office as soon as practicable. Such notice will contain details sufficient to identify the insured and also reasonably obtainable information respecting the time, place and circumstances of the Occurrence, the names and addresses of the injured parties and of available witnesses. 2. NOTICE OF CLAIM OR SUIT. If claim is made or suit is brought against you, you will immediately forward to the Aviation Managers every demand, notice, summons or other process received by you or your representative. 3. SEVERABILITY OF INTEREST. The terms "Insured", "you" and "yours" is used severally and not collectively, but the inclusion herein of more than one Insured will not operate to increase the limits of the Company's liability. 4. ACTION AGAINST US. No action will lie against us in respect of Coverages A, B, C and D unless, as a condition precedent thereto, you have fully complied with all the terms of this policy, nor until the amount of your obligation to pay will have been finally determined either by judgment against you after actual trial or by your written agreement, the claimant and us. Any person or organization or the legal representative thereof who has secured such judgment or written agreement will thereafter be entitled to recover under this policy to the extent of the insurance afforded by this policy. Nothing contained in this policy gives any person or organization any right to join us as a co-defendant in any action against you to determine the lnsured's liability. 5. BANKRUPTCY AND INSOLVENCY. Bankruptcy or insolvency of you or of your estate will not relieve us of any of our obligations hereunder. 6. FINANCIAL RESPONSIBILITY LAWS. Such insurance as is afforded by this policy will comply with the provisions of any financial responsibility law of any State or Province applicable to aircraft with respect to liability arising out of the ownership, maintenance or use of the aircraft during the policy period, to the extent of the coverage and limits of liability required by such law, but in no event in excess of the limits of liability stated in this policy. You agree to reimburse us for any payment we make which we would not have been obligated to make under the terms of this policy except for such law or the agreement contained in this paragraph. APPLICABLE TO COVERAGE E (MEDICAL PAYMENTS) 7. MEDICAL REPORTS: PROOF AND PAYMENT OF CLAIM. As soon as practicable, the injured person or someone on his behalf will give us written proof of claim, under oath if required, and will, after each request by us, execute authorization to enable us to obtain medical reports and copies of records. The injured person will submit to physical examination by a physician we select when and as often as we may reasonably require. We may pay the injured person or any person or organization rendering the services, and such payment will reduce the amount payable hereunder for such injury. Payment hereunder will not constitute admission of your liability, or except hereunder, of ours. 8. ACTION AGAINST COMPANY. No action will lie against us in respect of Coverage E unless, as a condition precedent thereto, there will have been full compliance with all the terms of this policy, nor until thirty (30) days after the required proofs of claim have been filed with us. NAC-02-IA-0412 Page 15of17

41 APPLICABLE TO COVERAGES F AND G (PHYSICAL DAMAGE) 9. YOUR DUTIES WHEN LOSS OCCURS. When loss occurs, you agree to: (a) protect the aircraft, provided you are able to do so, whether or not the loss is covered by this policy, and any further loss due to the lnsured's failure to protect will not be recoverable under this policy; reasonable expense incurred in affording such protection will be deemed incurred at our request; (b) give notice thereof as soon as practicable to the Aviation Manager, and, also, in the event of theft, to the police, but will not, except at his own cost, offer to pay any reward for recovery of the aircraft; (c) file proof of loss with the Aviation Managers, or us, within sixty (60) days after the Occurrence of loss, unless we or the Aviation Managers extend such time in writing, in the form of your sworn statement setting forth your interest and that of all others in the property affected, any encumbrances thereon, the actual cash value thereof at time of loss, the amount, place, time and cause of such loss, and the description and amounts of all other insurance covering such property. Upon our request, you will show the damaged property to us, and produce for our examination all pertinent records and sales invoices, or certified copies if originals are lost, permitting copies thereof to be made, all at such reasonable times and places as we designate. 10. APPRAISAL. If you and we fail to agree as to the amount of loss, each will, on the written demand of either. made within sixty (60) days after our receipt of your proof of loss, select a competent and disinterested appraiser and the appraisal will be made at a reasonable time and place. The appraisers will first select a competent and disinterested umpire, and failing for fifteen (15) days to agree upon such umpire, then, on our request or yours, such umpire will be selected by a judge of a court of record in the county and state in which such appraisal is pending. The appraisers will then appraise the loss, stating separately the amount of loss, and failing to agree will submit their differences to the umpire. An award in writing of any two will determine the amount of loss. You and we will each pay his or its chosen appraiser and will bear equally the other expenses of the appraisal and the umpire. We will not be held to have waived any of its rights by any act relating to appraisal. 11. PAYMENT FOR LOSS. ACTION AGAINST US. Payment for loss may not be required nor will action lie against us in respect of Coverages F and G unless, as a condition precedent thereto, you will have complied with all the terms of this policy nor until sixty (60) days after proof of loss is filed and the amount of loss is determined as provided in this policy, nor will any action lie against us unless commenced within twelve (12) months after the loss takes place. 12. NO BENEFIT TO BAILEE. The insurance afforded by this policy will not inure directly or indirectly to the benefit of any carrier or bailee liable for loss to the aircraft. 13. AUTOMATIC REINSTATEMENT. In the event of loss, whether or not covered by this policy, the amount of insurance in respect to any AIRCRAFT will be reduced as of the time and date of loss by the amount of such loss and such reduced value will continue until repairs are commenced when the amount of insurance will be automatically increased by the value of the completed repairs until the amount of insurance is fully reinstated or the policy has expired. APPLICABLE TO ALL COVERAGES 14. ASSISTANCE AND COOPERATION OF THE INSURED. You will cooperate with us and, upon our request, will attend hearings and trials and will assist in effecting settlements, securing and giving evidence, obtaining the attendance of witnesses and in the conduct of suits. Further, upon our request, you will submit to examinations under oath by anyone we designate. You will not, except at your own cost, voluntarily make any payment, assume any obligation or incur any expense other than for such immediate medical and surgical relief to others as will be imperative at the time of an Occurrence. 15. INSPECTION AND AUDIT. We or the Aviation Managers or parties we designate will be permitted to inspect the aircraft and any records pertaining thereto during the policy period or within one year thereafter. 16. SUBROGATION. Except in respect to Coverage E, in the event of any payment under this policy, we NAC-02-IA-0412 Page 16of17

42 will be subrogated to all of your rights of recovery therefore against any person or organization and you will execute and deliver instruments and papers and do whatever else is necessary to secure such rights. You will do nothing after the loss to prejudice such rights. 17. CHANGES. Notice to any agent or knowledge possessed by any agent or by any other person does not waive or change any part of this policy or prohibit us from asserting any right under the terms of this policy; nor are the terms of this policy waived or changed, except by endorsement issued to form a part of this policy signed by the Aviation Managers. 18. ASSIGNMENT. Assignment of interest under this policy will not bind us until its consent is endorsed hereon by the Aviation Managers; if, however, you die or be adjudged bankrupt or insolvent within the policy period, this policy, unless cancelled, will if written notice be given to us within sixty (60) days after the date of such death or adjudication, cover (1) your legal representative as the Named Insured, and (2) subject otherwise to the provisions of the definition of Insured, any person having proper temporary custody of the aircraft, as an Insured, until the appointment and qualification of such legal representative but in no event for a period of more than sixty (60) days after the date of such death or adjudication. 19. CANCELLATION. You may cancel this policy by mailing to the Aviation Managers, written notice stating the date on which such cancellation will be effective. We, or the Aviation Managers, may cancel this policy, by mailing written notice to you at the address shown in the policy stating when not less than thirty (30) days (10 days for non-payment) thereafter such cancellation will be effective. The mailing of such notice will be sufficient proof of notice and the policy period will end at the effective date and hour of cancellation stated in the notice. Delivery of such written notice either by you, us or the Aviation Managers will be equivalent to mailing. If you cancel, we will compute earned premium in accordance with the customary short rate table and procedure. If we or the Aviation Managers cancel, earned premium will be computed on a pro rata basis. Premium adjustment may be made either at the time cancellation is effected or as soon as practicable after cancellation becomes effective, but payment or tender of unearned premium is not a condition of cancellation. 20. TOTAL LOSS. Irrespective of anything to the contrary in this policy, we will not be obligated to return any physical damage premium relative to an aircraft on which a total loss has been paid. 21. FRAUD OR MISREPRESENTATION. This policy will be void if you have concealed or misrepresented any material fact or circumstance concerning this insurance or if you have sworn falsely touching any matter relating to this insurance or the subject thereof, whether before or after a loss. 22. TERMS OF POLICY CONFORMED TO STATE LAWS. Terms of this policy which are in conflict with the laws of the State wherein this policy is issued are hereby amended to conform to such laws. 23. DECLARATION. By acceptance of this policy you agree that the statements in the Declarations are your agreements and representations, that this policy is issued in reliance upon the truth of such representations and that this policy embodies all agreements existing between you, the Aviation Managers and us or any of their agents relating to this insurance. NAC-02-IA-0412 Page 17of17

43 IN WITNESS ENDORSEMENT CATLIN INSURANCE COMPANY, INC. ADMINISTRATIVE OFFICE: STATUTORY HOME OFFICE: 3340 Peachtree Road N.E. Tower Place 100 Suite 2950 Atlanta, GA Post Oak Boulevard Suite 4050 Houston, TX It is hereby agreed and understood that the following In Witness Clause supercedes any and all other In Witness clauses in this policy. All other provisions remain unchanged. IN WITNESS WHEREOF, the Company has caused this policy to be executed and attested, and, if required by state law, this policy shall not be valid unless countersigned by a duly authorized representative of the Company. Joseph Tocco President Toni Ann Perkins Secretary ABAP

44 WARNING If you have an accident or occurrence within the country of Mexico, you may be jailed and your aircraft may be impounded unless you have aircraft liability coverage that complies with all local regulations. This may include purchasing coverage from an insurer which is licensed in Mexico. Please be aware that neither W. Brown & Associates nor the Company are licensed in Mexico. We strongly advise that you confirm with Mexican authorities whether this policy will be sufficient to meet your insurance obligations. If not, you should obtain additional coverage as required prior to departing the United States.

45 OFAC administers and enforces economic and trade sanctions based on US foreign policy and national security goals based on Presidential declarations of "national emergency." OFAC has identified and listed numerous: Foreign agents Front organizations Terrorists Terrorist organizations Narcotics traffickers NOTICE TO POLICYHOLDERS U.S TREASURY DEPARTMENT'S OFFICE OF FOREIGN ASSETS CONTROL ("OFAC") No coverage is provided by this Policyholder Notice nor can it be construed to replace any provisions of your policy. You should read your policy and review your Declarations page for complete information on the coverages you are provided. This Policyholder Notice provides information concerning possible impact on your insurance coverage due to directives issued by OFAC. Please read this Policyholder Notice carefully. as "Specially Designated Nationals and Blocked Persons". Treasury's web site - http// This list can be found on the United States In accordance with OFAC regulations, if it is determined that you or any other insured, or any person or entity claiming the benefits of this insurance has violated US sanctions law or is a Specially Designated National and Blocked Person, as identified by OFAC, this insurance will be considered a blocked or frozen contract and all provisions of this insurance will be immediately subject to OFAC. When an insurance policy is considered to be such a blocked or frozen contract, neither payments nor premium refunds may be made without authorization from OFAC. Other limitations on the premiums and payments may also apply. PNAP

46 Catlin insurance group [the "Companies"], believes personal information that we collect about our customers, potential customers, and proposed insureds [referred to collectively in this Privacy Policy as "customers"] must be treated with a high degree of confidentiality. For this reason and in compliance with the Title V of the Gramm-Leach-Bliley Act ("GLBA"], we have developed a Privacy Policy that applies to all of our U.S. based companies. For purposes of our Privacy Policy, the term "personal information" includes all nonpublic information we obtain about a customer and maintain in a personally identifiable way. In order to assure the confidentiality of the personal information we collect and in order to comply with applicable laws, all individuals with access to personal information about our customers are required to follow this policy. Our Privacy Statement Your privacy and the confidentiality of your business records are important to us. Information and the analysis of information is essential to the business of insurance and critical to our ability to provide to you excellent, cost-effective service and products. We understand that gaining and keeping your trust depends upon the security and integrity of our records concerning you. Accordingly, our practice is to: 1. Follow appropriate standards of security and confidentiality to protect any information you share with us or information that we receive about you; 2. Verify and exchange information regarding your credit and financial status only for the purposes of underwriting, policy administration, risk management, or claims handling and only with reputable references and clearinghouse services; 3. Collect and use information about you and your business to advise you about and deliver to you excellent service and products and to administer our business; 4. Train our employees to handle personal information about you or your business in a secure and confidential manner and maintain reasonable access controls. Not disclose personal information about you or your business to any organization outside the Catlin insurance group of Companies or to third party service providers unless we disclose to you our intent to do so or we are permitted to do so by law; 5. Not disclose medical information about you, your employees, or any claimants under any policy of insurance, unless you provide us with written authorization to do so, or unless the disclosure is for any specific business exception provided in the law; 6. Attempt, with your help, to keep our records regarding you and your business complete and accurate, and will advise you how and where to access your account information [unless prohibited by law], and will advise you how to correct errors or make changes to that information; and 7. Audit and assess our operations, personnel and third party service providers to assure that your privacy is respected. Collection and Sources of Information NOTICE TO POLICYHOLIDERS PRIVACY POLICY We collect from a customer or potential customer only the personal information that is necessary for [a] determining eligibility for the product or service sought by the customer, [b] administering the product or service obtained, and [c] advising the customer about our products and services. The information we collect generally comes from the following sources: Submission - During the submission process, you provide us with information about you and your business, such as your name, address, phone number, address, and other types of personal identification information; PNAP Page 1of3

47 Quotes - We collect information to enable us to determine your eligibility for the particular insurance product and to determine the cost of such insurance to you. The information we collect will vary with the type of insurance you seek. We collect most of our information directly from you through our agents or broker. Depending on the nature of your insurance transaction we may need additional information from outside sources such as motor vehicle records, loss information reports, court records or other public records. In some instances, we may send someone to inspect your property and verify information about its value and condition, and a photo of the property may be taken; Transactions - We will maintain records of all transactions with us, our affiliates, and our third party service providers, including your insurance coverage selections, premiums, billing and payment information, claims history, and other information related to your account; Claims - If you obtain insurance from us, we will maintain records related to any claims that may be made under your policies. The investigation of a claim necessarily involves collection of a broad range of information about many issues, some of which does not directly involve you. We will share with you any facts that we collect about your claim unless we are prohibited by law from doing so. The process of claim investigation, evaluation, and settlement also involves, however, the collection of advice, opinions, and comments from many people, including attorneys and experts, to aid the claim specialist in determining how best to handle your claim. In order to protect the legal and transactional confidentiality and privileges associated with such opinions, comments and advice, we will not disclose this information to you; and Credit and Financial Reports - We may receive information about you and your business regarding your credit. We use this information to verify information you provide during the submission and quote processes and to help underwrite and provide to you the most accurate and cost-effective insurance quote we can provide. If coverage is declined or the charge for coverage is increased because of information contained in a consumer report, we will tell you as required by law. We will also give you the name and address of the consumer reporting agency making the report. Retention and Correction of Personal Information We retain personal information only as long as required by our business practices and applicable law. If we become aware that an item of personal information may be materially inaccurate, we will make reasonable effort to re-verify its accuracy and correct any error as appropriate. Storage of Personal Information We have in place safeguards to protect electronic data and paper files containing personal information. Sharing/Disclosing of Personal Information We maintain procedures to assure that we do not share personal information with an unaffiliated third party for marketing purposes unless such sharing is permitted by law. Personal information may be disclosed to an unaffiliated third party for necessary servicing of the product or service or for other normal business transactions as permitted by law. We do not disclose personal information to an unaffiliated third party for servicing purposes or joint marketing purposes unless a contract containing a confidentiality/non-disclosure provision has been signed by us and the third party. Unless a consumer consents, we do not disclose "consumer credit report" type information obtained from an application or a credit report regarding a customer who applies for a financial product to any unaffiliated third party for the purpose of serving as a factor in establishing a consumer's eligibility for credit, insurance or employment. "Consumer credit report type information" means such things as net worth, credit worthiness, lifestyle information [piloting, skydiving, etc.] solvency, PNAP Page 2 of 3