PERSONAL AUTOMOBILE INSURANCE POLICY

PERSONAL AUTOMOBILE INSURANCE POLICY CSE SAFEGUARD INSURANCE COMPANY CORPORATE HEADQUARTERS 2121 N. California Blvd., Suite 900 Walnut Creek, CA 94596-7381 Toll-Free Number 1-800-282-6848 www.cseinsurance.com OFFICES LOCATED IN Walnut Creek, California Pasadena, California

TABLE OF CONTENTS Personal Automobile Insurance Policy DEFINITIONS USED THROUGHOUT THIS POLICY... 4 GENERAL INSURING AGREEMENT... 5 PART A - LIABILITY COVERAGE... 5 Additional Definitions Used In This Part Only... 5 Insuring Agreement... 6 Supplementary Payments... 6 Exclusions... 6 Limit of Liability... 7 Out of State Coverage... 8 Financial Responsibility Required... 9 Other Insurance... 9 PART B - MEDICAL PAYMENTS COVERAGE... 9 Additional Definitions Used In This Part Only... 9 Insuring Agreement... 9 Exclusions... 9 Limit of Liability... 10 Other Insurance... 11 PART C - UNINSURED MOTORIST COVERAGE... 11 Additional Definitions Used In This Part Only... 11 Insuring Agreements... 12 Exclusions... 12 Limit of Liability... 13 Other Insurance... 14 Arbitration... 14 PART D - DAMAGE TO YOUR AUTO COVERAGE... 15 Additional Definitions Used In This Part Only... 15 Insuring Agreement... 15 Appraisal... 16 Additional Payments... 16 Exclusions... 16 Limit of Liability... 17 No Benefit to Bailee... 18 Other Insurance... 18 PART E - RENTAL REIMBURSEMENT COVERAGE... 18 Insuring Agreement... 18 2

Limit of Liability... 17 PART F - TOWING AND LABOR COSTS COVERAGE... 18 Insuring Agreement... 18 Limit of Liability... 19 PART G - GENERAL POLICY PROVISIONS... 19 Policy Period and Territory... 19 Duties After An Occurrence Or Loss... 19 Changes... 20 Legal Action Against Us... 20 Transfer of Your Interest In This Policy... 20 Our Right to Recover Payment... 21 Termination... 21 Two or More Auto Policies... 22 Bankruptcy... 22 Loss Payable Clause... 22 Additional Insured... 23 3

DEFINITIONS USED THROUGHOUT THIS POLICY These defined words and phrases are in boldface type when used in this policy. 1. Throughout this policy, you and your refer to the named insured shown in the Declarations and the spouse if a resident of the same household. We, us and our refer to the Company named in the Declarations. 2. Bodily injury means bodily injury to or sickness, disease or death of any person. 3. Business means and includes trade, profession or occupation. 4. Covered auto means: a. Any auto described in the Declarations and any private passenger auto or utility auto you replace it with. If you wish DAMAGE TO YOUR AUTO COVERAGE to apply to the replacing auto, you must notify us within thirty (30) days of its acquisition; b. Any additional private passenger auto or utility auto of which you acquire ownership during the policy period. You must, however, notify us within thirty (30) days of its acquisition for any coverage to apply; c. Any utility trailer you own; d. Any private passenger auto, utility auto or utility trailer not owned by you or a family member while being temporarily used as a substitute for any other vehicle described in the definitions, because of its withdrawal from normal use due to breakdown, repair, servicing, loss or destruction; e. For purposes of this policy, any private passenger auto leased under a written agreement to you for a continuous period of at least six (6) months shall be deemed owned by you; f. A non-owned auto used by your family member with the owner's permission which has not been operated, rented or in the possession of you or a family member for more than 21 consecutive days. Non-owned automobile means an automobile NOT owned by, registered to, furnished to or leased in the name of: (1) You; (2) Any family member; (3) Any employer of you or a family member. 5. Family member means a person living in the same household in which you live and is related to you by blood, marriage or adoption, including a ward or foster child. 6. Occupying means in, on, getting in, out of, or off. 7. Occurrence means an accident during the policy period, including injurious exposure to conditions, which results in bodily injury or property damage. 8. Private passenger auto means a four-wheel auto of the private passenger type designed primarily for use on public roads. 9. Property damage means physical damage to or destruction of tangible property, including loss of its use. 10. State means the District of Columbia, and any state, territory, or possession of the United States, and 4

any province of Canada. 11. Utility auto means an auto, if not used in any business or occupation other than farming, with a rated load of 4,000 pounds or less of the flat bed, pick-up, panel truck, or van type. 12. Utility trailer means a vehicle designed to be towed by a private passenger auto and includes a farm wagon or farm implement while towed by a private passenger auto or utility auto. 13. Personal Vehicle Sharing Program means you or your insured vehicle participates in an arrangement or activity through which persons or property are transported for compensation, regardless of the amount or form of compensation charges or paid. 14. Transportation Network Company (TNC) is an organization, including, but not limited to, a corporation, limited liability company, partnership, sole proprietor, or any other entity, that provides prearranged transportation services for compensation using an online-enabled application or platform to connect passengers with drivers using a personal vehicle. GENERAL INSURING AGREEMENT We agree with you, in return for your premium if paid when due, to insure you subject to all the terms of this policy. We will insure you for the coverages and the Limits of Liability for which a premium is shown in the Declarations of this policy. PART A - LIABILITY COVERAGE Additional Definitions Used In This Part Only Insured person as used in this PART means: 1. You or any family member for the ownership, maintenance or use of any covered auto, utility auto or utility trailer. 2. Any person using your covered auto with your 3. For your covered auto, any person or organization, but only with respect to the legal responsibility for acts of omissions of an insured person for whom this coverage is afforded under this PART. 4. Any person or organization, but only with respect to legal responsibility for acts or omissions of you or any family member for whom coverage is provided under this PART. This provision applies only if the person or organization does not own or hire the covered auto, utility auto or utility trailer. 5. Any automobile leasing company or organization that is named in the Declarations as an additional insured. Coverage is to be ineffective upon termination of the leasing agreement between the named insured and the leasing company or organization, or upon termination of ownership of the vehicles by the leasing company. 6. In the event of cancellation of this policy, either by us or at the request of the insured, any leasing company or organization named in the Declarations as an additional insured will be given ten (10) days notice in writing before such cancellation becomes effective. 5

Insuring Agreement We will pay damages for bodily injury or property damage for which any insured person becomes legally responsible because of an occurrence involving your covered auto. We will settle or defend, as we consider appropriate, any claim or suit asking for these damages. We will defend, through attorneys selected by us, any suit claiming damages for bodily injury or property damage if covered by your policy, even if the allegations of the lawsuit are groundless, false or fraudulent. We will pay all defense costs we incur. OUR DUTY TO SETTLE OR DEFEND ENDS WHEN OUR LIMIT OF LIABILITY FOR THIS COVERAGE HAS BEEN EXHAUSTED. WE HAVE NO DUTY TO DEFEND ANY SUIT OR SETTLE ANY CLAIM FOR BODILY INJURY OR PROPERTY DAMAGE NOT COVERED UNDER THIS POLICY. Supplementary Payments In addition to our limit of liability, we will pay on behalf of an insured: 1. Up to $250 for the cost of bail bonds required because of an occurrence, including related traffic law violations. The occurrence must result in bodily injury or property damage coverage under this policy. 2. Premiums on appeal bonds and attachment bonds required in any suit we defend; however, it is not our obligation to apply for or furnish any such bonds. We will not pay for that portion of attachment bonds that is in excess of our limit of liability. 3. Interest on damages covered under this PART on that portion of a judgment which is not more than our limit of liability, except: (1) in the event we offer to pay our limit of liability prior to judgment, no interest will be payable by us thereafter; (2) in the event a judgment is rendered, no interest will be payable by us after we have paid or deposited in court our limit of liability. 4. Up to $100 a day for loss of earnings, but not other income, because of your attendance at hearings or trials at our request. 5. Any other reasonable expenses incurred at our request, Exclusions We do not provide Liability Coverage, nor will we defend any suit alleging liability: 1. For any person who intentionally causes bodily injury or property damage; 2. For any person for damage to property owned or being transported by that person; 3. For any person for damage to property: (a) rented to, (b) used by, or (c) in the care of that person. This exclusion does not apply to damage to a residence or private garage you rent; 4. For any person for bodily injury to an employee of that person during the course and scope of employment of that employee. This exclusion does not apply to bodily injury to a domestic employee of that person unless workers' compensation benefits are required or available for that domestic employee; 5. For any person's liability arising out of the ownership or operation of a vehicle while it is being used to 6

carry persons or property for a fee. This exclusion does not apply to a share-the-expense car pool; 6. For any person while employed or otherwise engaged in the business or occupation of: (a) selling, (b) repairing, (c) servicing, (d) storing, or, (e) parking of vehicles. This exclusion does not apply to the ownership, maintenance or use of your covered auto by: (a) you, (b) any family member, (c) any partner, agent or employee of you or any family member; 7. For any person maintaining or using any covered auto while that person is employed or otherwise engaged in any business or occupation (other than farming or ranching) not described in Exclusion 6. above. This exclusion does not apply to the maintenance or use of a: (a) private passenger auto, (b) utility auto that you own, or (c) a utility trailer used with a vehicle described in the immediate aforementioned (a) or (b); 8. For any person using a vehicle without a reasonable belief the person is entitled to do so; 9. For bodily injury or property damage to you or any family member or any other insured, subject to the law of the place of the occurrence, or for bodily injury to you or a family member, or any other insured whenever the ultimate benefits of indemnification accrue directly or indirectly to you or a family member, or any other insured; 10. For the ownership, maintenance or use of any vehicle, other than your covered auto, which is owned by or furnished or available for the regular use of you or any family member; 11. Assumed under any contract or agreement, except liability of others you name in a written contract relating to the use of an auto you do not own; 12. For any motorized vehicle having less than four wheels, or any vehicle not licensed for use on public roads; 13. For you or any family member or any insured person engaged in a pre-arranged speed contest, whether organized or not organized; 14. For punitive or exemplary damages; however, if the underlying claim is covered under this PART, we will defend any suit alleging liability for such damages through attorneys selected by us. OUR DUTY TO DEFEND SUCH SUIT ENDS WHEN ALL CLAIMS FOR COVERED NON-PUNITIVE DAMAGES HAVE BEEN RESOLVED BY JUDGMENTS OR SETTLEMENTS; 15. For any person for bodily injury or property damage for which that person is an insured under a nuclear energy liability policy or would be an insured but for its termination upon exhaustion of its limits of liability. A nuclear energy liability policy is a policy issued by Nuclear Energy Liability Insurance Association, Mutual Atomic Energy Liability Underwriters, Nuclear Insurance Association of Canada or any of their successors; 16. For any person while your insured automobile is being used by any person, including you, as part of a Personal Vehicle Sharing Program arranged through a Transportation Network Company (TNC) or in a Personal Vehicle Sharing Program called by any other name. Examples: Uber, Lyft, etc. Limit of Liability The limits of liability shown in the Declarations apply subject to the following: 1. The bodily injury liability limit for each person as stated in the Declarations is the maximum we will pay 7

for bodily injury sustained by one person in any occurrence including damages for care, loss of consortium and loss of services arising from this injury. 2. The bodily injury liability limit for each occurrence is the maximum combined amount for bodily injury sustained by two or more persons in any occurrence. 3. The properly damage liability limit for each occurrence is the maximum for all damages to all property in any one occurrence. 4. If a claim is made under PART C - UNINSURED MOTORIST COVERAGE, or if your uninsured motorist limits are extended to comply with the laws of any other State, and a claim arising out of the same occurrence is also made against any insured person insured under PART A - LIABILITY COVERAGE, any amount paid under PART C - UNINSURED MOTORIST COVERAGE to any injured person shall reduce the amount payable to such person under this PART. 5. Any payment made to or on behalf of any insured person under PART B - MEDICAL PAYMENTS COVERAGE, shall constitute advance payment to such insured person and shall reduce the amount payable to such insured person under this coverage. 6. Any amounts otherwise payable for damages under this coverage to the owner/operator of an uninsured motor vehicle shall be reduced by all sums paid or payable to any insured person under PART C - UNINSURED MOTORIST COVERAGE, provided all claims subject to this provision arise out of the same occurrence. 7. THE LIMIT OF LIABILITY SHOWN IN THE DECLARATIONS FOR THIS COVERAGE IS OUR MAXIMUM LIMIT OF LIABILITY FOR EACH PERSON INJURED IN ANY ONE OCCURRENCE. THIS IS THE MOST WE WILL PAY REGARDLESS OF THE NUMBER OF INSURED PERSONS, CLAIMS MADE, VEHICLES OR PREMIUMS SHOWN IN THE DECLARATIONS OR VEHICLES INVOLVED IN THE OCCURRENCE. 8. If your policy provides bodily injury or property damage limits in excess of the Financial Responsibility Law of the State, then the liability limits provided by this policy that are in excess of the Financial Responsibility Law shall not apply to the operation of any motor vehicle by any person other than the named insured or family member (as defined in DEFINITIONS USED THROUGHOUT THIS POLICY) who is listed as a driver on the Declarations Page. This limitation shall not apply to liability incurred by the named insured or family member (as defined in DEFINITIONS USED THROUGHOUT THIS POLICY) who is listed as a driver on the Declarations Page. The limits of the Financial Responsibility Law of the State of California are as follows; a. Fifteen thousand dollars ($15,000) for bodily injury to, or death of one person as a result of any one accident; b. The amount of thirty thousand dollars ($30,000) for bodily injury to, or death of all persons as a result of any one accident; and c. The amount of five thousand dollars ($5,000) for damage to property of others as result of any one accident. Out of State Coverage 1. If an auto occurrence to which this policy applies occurs in any State or province other than the one in which your covered auto is principally garaged, we will interpret your policy for that occurrence as follows: a. If the State has a financial responsibility or similar law specifying limits of liability for bodily injury 8

or property damage higher than the limits shown in the Declarations, your policy will provide the higher specified limit. b. If the State has a compulsory insurance or similar law requiring a non-resident to maintain insurance whenever the non-resident operates a vehicle in that State, your policy will provide the required minimum amounts and types of coverage. 2. No one will be entitled to duplicate payments for the same elements of loss as a result of the application of this provision. Financial Responsibility Required If we certify this policy as proof of financial responsibility for the future under any financial responsibility law, this policy shall comply with the provisions of the law to the extent of the coverage required. Other Insurance If there is other applicable liability insurance, we will pay only our share of the loss. Our share is the proportion that our limit of liability bears to the total of all applicable limits of liability. However, any insurance we provide for a vehicle you do not own shall be excess over any other collectible insurance. PART B - MEDICAL PAYMENTS COVERAGE Additional Definitions Used In This Part Only Insured person or insured persons as used in this PART means: 1. You or any family member while occupying, or through being struck by, a motor vehicle or trailer, designed for use on public roads; 2. Any other person while occupying your covered auto, while the auto is being used by you, a family member or another person if that other person has sufficient reason to believe that the use is with permission of the named insured. Medical services as used in this PART means necessary medical, surgical, dental, x-ray, hospital, professional nursing services, and includes the cost of pharmaceuticals, orthopedic and prosthetic devices, eyeglasses and hearing aids, and ambulance expenses. Insuring Agreement We will pay reasonable expenses incurred for necessary medical and funeral services because of bodily injury caused by an occurrence and sustained by an insured person. We will pay only those expenses incurred within one year from the date of the accident. Exclusions We do not provide Medical Payments Coverage for any person for bodily injury: 9

1. Sustained while occupying any motorized vehicle having less than four (4) wheels; 2. Sustained while occupying your covered auto when it is being used to carry persons or property for a fee. This exclusion does not apply to a share-the-expense car pool; 3. Sustained while occupying any vehicle used as a residence or premises; 4. Occurring during the course and scope of employment if workers' compensation or other such similar benefits are required or available for the injury; 5. Sustained while occupying or, when struck by, any vehicle (other than your covered auto) which is owned by you or furnished or available for regular use; 6. Sustained while occupying or, when struck by, any vehicle (other than your covered auto) which is owned by or furnished or available tor regular use of any family member. However, this exclusion does not apply to you; 7. Sustained while occupying a vehicle without a reasonable belief that the person is entitled to do so; 8. Sustained while occupying a vehicle when it is being used in the business or occupation of an insured person. This exclusion does not apply to bodily injury sustained while occupying a private passenger auto. It also does not apply to bodily injury sustained while occupying a utility auto you own; 9. Caused by discharge of a nuclear weapon (even if accidental), war (declared or undeclared), civil war, insurrection, rebellion or revolution or any consequence of any of these; 10. From any nuclear reaction, radiation or radioactive contamination, all whether controlled or uncontrolled or however caused, or any consequence of any of these; 11. Sustained while your insured automobile is being used by any person, including you, as part of a Personal Vehicle Sharing Program arranged through a Transportation Network Company (TNC) or in a Personal Vehicle Sharing Program called by any other name. Examples: Uber, Lyft, etc. Limit of Liability 1. The limit of liability as shown in the Declarations includes up to $2,500 for funeral expenses. 2. Any amounts otherwise payable for expenses under this coverage shall be reduced by any amounts paid or payable for the same expenses under PART A - LIABILITY COVERAGE or PART C - UNINSURED MOTORIST COVERAGE provided by this policy. 3. No payment will be made under this coverage unless the injured person or his legal representative agrees in writing that any payment shall be applied toward any settlement or judgment that person receives under PART A - LIABILITY COVERAGE or PART C - UNINSURED MOTORIST COVERAGE provided by this policy. 4. THE LIMIT OF LIABILITY SHOWN IN THE DECLARATIONS FOR THIS COVERAGE IS OUR MAXIMUM LIMIT OF LIABILITY FOR EACH PERSON INJURED IN ANY ONE OCCURRENCE. THIS LIABILITY IS THE MOST WE WILL PAY REGARDLESS OF THE NUMBER OF INSURED PERSONS, CLAIMS MADE, VEHICLES OR PREMIUMS SHOWN IN THE DECLARATIONS, OR VEHICLES INVOLVED IN THE OCCURRENCE. 10

Other Insurance 1. If there is other applicable auto medical payments, we will pay only our share. Our share is the proportion that our limit of liability bears to the total of all applicable limits. However, any insurance we provide with respect to a vehicle you do not own shall be excess over any other collectible auto insurance providing payments for medical services or funeral services. 2. If any applicable insurance other than this policy is issued to you by us or any other member company of CSE Insurance Group, the total amount payable among all such policies shall not exceed the limits provided by the single policy with the highest limits of liability. PART C - UNINSURED MOTORIST COVERAGE Additional Definitions Used In This Part Only Covered person as used in this PART means: 1. You or any family member; 2. Any other person occupying your covered auto with your permission; 3. Any other person who is legally entitled to recover because of bodily injury to you, a family member or an occupant of your covered auto with your Property damage as used in this PART means injury to or destruction of your covered auto. However, property damage does not include: 1. Loss of use of your covered auto; or 2. Damage to personal property contained in your covered auto. Uninsured motor vehicle means a land motor vehicle or trailer of any type: 1. To which no liability bond or policy applies at the time of the occurrence; 2. With respect to damages for bodily injury only, is a hit-and-run vehicle whose owner or operator cannot be identified and which makes physical contact with: a. You or any family member; b. A vehicle which you or any family member are occupying; c. your covered auto. 3. A liability bond or policy applies at the time of the occurrence but the bonding or insuring company: a. Denies coverage; b. Refuses to admit coverage except conditionally or with reservation; c. Is or becomes insolvent. With respect to coverage for property damage, the occurrence must involve direct physical contact between your covered auto and the uninsured motor vehicle, and: 1. The owner or operator of the uninsured motor vehicle must be identified; 2. The uninsured motor vehicle must be identified by its license number. 11

However, the uninsured motor vehicle does not include any vehicle or equipment: 1. Owned by or furnished or available for the regular use of you or any family member; 2. Owned or operated by a self-insurer under applicable motor vehicle law; 3. Owned by any government unit or agency; 4. Designed or modified for use primarily off public roads while not on public roads; 5. Used as a residence or premises. With respect to damages for bodily injury only, an underinsured motor vehicle means a land motor vehicle to which a liability bond or policy applies at the time of the occurrence, but its bodily Injury liability limit is less than the limit of liability for uninsured/underinsured motorist coverage shown in the Declarations. Insuring Agreements Uninsured Motorist Bodily Injury We will pay damages which a covered person is legally entitled to recover from the owner or operator of an uninsured motor vehicle because of bodily injury sustained by a covered person and caused by an occurrence. Uninsured Motorist Property Damage We will pay damages which a covered person is legally entitled to recover from the owner or operator of an uninsured motor vehicle because of property damage caused by an occurrence. Only items 1. and 3. under the definition of uninsured motor vehicle apply to property damage. Underinsured Motorist Bodily Injury With respect to coverage under item 2. of the definition of uninsured motor vehicle, we will pay damages which a covered person is legally entitled to recover from the owner or operator of an uninsured motor vehicle after the limits of liability under any applicable liability policies or bonds have been exhausted by payment of judgments or settlements. Any amounts otherwise payable for damages under this coverage shall be reduced by all sums paid or payable because of the bodily injury under any of the following or similar law: 1. Workers' compensation law; or 2. Disability benefits law. Any payment under this coverage will reduce any amount that person is entitled to recover under PART A of this policy. Any judgments tor damages arising out of a suit brought without our written consent is not binding on us. Exclusions 1. We do not provide Uninsured Motorist Coverage for bodily injury or property damage sustained by any person: a. While occupying or when struck by any motor vehicle owned by you or a family member which is not insured for this coverage under this policy; b. If that person or the legal representative settles the bodily injury or property damage claim 12

without our consent; c. If your covered auto is being used to carry persons or property for a fee. This exclusion does not apply to a share-the-expense car pool; d. While using your covered auto without a reasonable belief that the person is entitled to do so. 2. This coverage shall not apply: a. To bodily Injury sustained by any person while occupying or when struck by a trailer of any type used with a motor vehicle owned by you or any family member which is not insured for this coverage under this policy; b. To property damage to: (1) A trailer of any type; (2) Any motor vehicle owned by you or any family member to which collision coverage applies under this or any other policy. c. Directly or indirectly to benefit: (1) Any insurer or self-insurer under any of the following or similar law: (a) Workers' compensation law; (b) Disability benefits law; (2) Any insurer of property. d. Directly to the benefit of the United States or any State or political subdivision thereof. 3. Any and all coverages afforded under this policy is excluded in its entirety while your insured automobile is being used by any person, including you, as part of a Personal Vehicle Sharing Program arranged through a Transportation Network Company (TNC) or in a Personal Vehicle Sharing Program called by any other name. Examples: Uber, Lyft, etc. Limit of Liability The limit of bodily Injury liability (UNINSURED MOTORIST BI) shown in the Declarations for each person for this coverage is our maximum limit of liability for all damages for bodily injury sustained by any one person in any one occurrence. Subject to this limit for each person, the limit of bodily injury liability (UNINSURED MOTORIST BI) shown in the Declarations for each occurrence for this coverage is our maximum limit of liability for all damages for bodily injury resulting from any one auto occurrence. Our maximum limit of liability for all property damage resulting from any one occurrence will be the lesser of: 1. The limit of property damage liability (UNINSURED MOTORIST PD) shown in the Declarations; or 2. The actual cash value of your covered auto or the amount necessary to repair your covered auto. An adjustment for depreciation and physical condition will be made in determining the actual cash value at the time of the loss. THE LIMIT OF BODILY INJURY LIABILITY (UNINSURED MOTORIST BI) OR PROPERTY DAMAGE LIABILITY (UNINSURED MOTORIST PD) SHOWN IN THE DECLARATIONS IS THE MOST WE WILL PAY REGARDLESS OF THE NUMBER OF COVERED PERSONS, CLAIMS MADE, VEHICLES OR PREMIUMS SHOWN IN THE 13

DECLARATIONS, OR VEHICLES INVOLVED IN THE OCCURRENCE. Except with respect to coverage under the definition of underinsured motor vehicle, amounts otherwise payable for damages under this coverage shall be reduced by all sums: 1. Paid because of the bodily injury or property damage by or on behalf of persons or organizations who may be legally responsible. This includes all sums paid under PART A; and 2. Paid and the present value of all sums payable because of the bodily injury under workers' compensation law exclusive of non-occupational disability benefits. Other Insurance If there is other applicable similar insurance available under more than one policy or provision of coverage: 1. Any recovery for damages for property damage or bodily injury sustained by a covered person may equal but not exceed the higher of the applicable limit for any one vehicle under this insurance or any other insurance. 2. We will pay only our share of the loss. Our share is the proportion that our limit of liability bears to the total of all applicable limits. However, we will not provide any insurance with respect to a vehicle you do not own if the owner of that vehicle has similar insurance. Arbitration If we and a covered person do not agree: 1. Whether that person is legally entitled to recover damages under this PART from the owner or operator of an uninsured motor vehicle; or 2. As to the amount of damages. Either party may make a written demand for arbitration. In this event the matter or matters upon which either party do not agree shall be settled by a single neutral arbitrator. With respect to damages for property damage, arbitration proceedings must be formally instituted by the covered person within one (1) year from the date of the accident. The decision made by the arbitrator may be entered in any court having jurisdiction. Each party will: 1. Pay the expenses it incurs; and 2. Bear the expenses of the arbitrator equally. Any decision of the arbitrator will be binding as to: 1. Whether the covered person is legally entitled to recover damages, and 2. The amount of damages. This applies only if the amount does not exceed the minimum limit for liability specified by the financial responsibility law of the State. If the amount exceeds that limit, either party may demand the right to a trial. This demand must be made within sixty (60) days of the arbitrator's decision. If this demand is not made, the amount of damages agreed to by the arbitrator will be binding. 14

PART D - DAMAGE TO YOUR AUTO COVERAGE Additional Definitions Used In This Part Only 1. Collision loss as used in this PART means collision of your covered auto with another object, or upset of your covered auto. 2. Comprehensive loss as used in this PART means an occurrence caused by missiles, falling objects, fire, theft or larceny, explosion, earthquake, windstorm, hail, water, flood, malicious mischief or vandalism, riot or civil commotion, colliding with a bird or animal, or breakage of glass. If breakage of glass results from a collision, you may elect to have it treated as a loss caused by collision. 3. Loss as used in this PART means direct and accidental loss of or damage to your covered auto, and its equipment, including loss or damage caused by theft. 4. Your covered auto as used in this PART shall also include any other private passenger auto or utility trailer not owned by or furnished or available for the regular use of you or a family member. Insuring Agreement 1. We will pay for direct and accidental loss to your covered auto: a. Caused by collision (collision coverage); or b. Not caused by collision (comprehensive coverage) Less any applicable deductible. 2. The deductible shall not apply to loss caused by a collision of: a. A covered auto owned by you and insured by us with another auto insured by us; b. A covered auto owned by you and insured by us with an insured auto when you are legally entitled to recover the amount of the repairs from the owner or operator of such auto and the amount of repairs to the covered auto owned by you and insured by us exceed the amount of the deductible; c. A covered auto if the loss is caused by an uninsured motor vehicle, as the term is defined in PART C - UNINSURED MOTORIST COVERAGE and a specific premium charge on the Declarations Page indicates that the Waiver of Collision Deductible provision applies to that auto. 3. We may pay the loss in money or repair or replace the damaged or stolen property. We may, at any time before the loss is paid or the property is replaced, return, at our expense, any stolen property either to you or to the address shown in the Declarations, with payment for the remaining damage. We may keep all or part of the property at the agreed or appraised value. 4. See Endorsement F.31885B (8/06). 5. Disappearing Collision Deductible The 6 month term policy will receive a $50 credit toward the collision deductible every policy term that the policy remains collision claim-free, up to $500 maximum. Once a collision claim occurs on any covered auto, the policy credit accumulation starts from zero again. 6. Civil Servant Educators Program A civil servant educator is a (a) civil servant credentialed as a teacher or educational administrator 15

by the State of California Commission on Teacher Credentialing and employed by a public school or school board or (b) a college or university teacher or professor employed by a public university or college or (c) a retiree from groups (a) or (b). If Vandalism or Collision Loss occurs at a school event while the insured s, an educator, vehicle is parked, CSE will waive the insured s deductible, up to a $500 maximum. Appraisal In the event you or we disagree on the amount of loss, either you or we may demand appraisal of the loss. Each will appoint and pay a competent and disinterested appraiser and will equally share other appraisal expenses. The appraisers, or a judge of a court having jurisdiction, will select an additional appraiser to decide any differences. Each appraiser will state separately the actual cash value and the amount of loss. A decision in writing by any two of the appointed appraisers will determine the amount payable. Additional Payments If there is a total theft of your covered auto, we will pay up to $20 per day, but no more than $300, for the cost of transportation incurred by an insured person. This coverage begins 48 hours after the theft and ends when your covered auto is returned to use or when we offer to pay the loss. If your covered auto has a comprehensive loss under this coverage, we will pay for the resulting loss of clothing and luggage belonging to you or a family member. Maximum payment of $250 is the total payment for each occurrence. A reward of $250 will be paid for information leading to the arrest and conviction of anyone stealing or vandalizing your covered auto. Exclusions We will not pay for: 1. Loss to your covered auto which occurs while it is used to carry person or property for a fee. This exclusion does not apply to share-the-expense car pool; 2. Damage due and confined to wear and tear, freezing, mechanical or electrical breakdown or failure, or road damage to tires. This exclusion does not apply if the damage results from the total theft of your covered auto; 3. Loss due to radioactive contamination; 4. Loss due to discharge of any nuclear weapon (even if accidental), war (declared or undeclared), civil war, insurrection, rebellion or revolution or any consequence of any of these; 5. Loss to equipment designed for the reproduction of sound, unless the equipment is permanently installed in your covered auto but limited to $1,000. This exclusion does not apply if the coverage is separately endorsed to the policy; 6. Loss of tapes, records, compact disks or other devices for use with the equipment designed for reproduction of sound; 16

7. Loss to a camper body not previously reported to us or a utility trailer not shown in the Declarations. This exclusion does not apply to a camper body or utility trailer which you acquire ownership of during the policy period if you ask us to insure it within thirty (30) days after you become the owner; 8. Loss to TV antennas, awnings, cabanas or equipment designed to create additional living facilities; 9. Loss to any sound receiving or sound receiving and transmitting equipment designed for use as a citizens band radio, two-way mobile radio, telephone or scanning monitor receiver, or their accessories or antennas. This exclusion does not apply if the equipment is permanently installed in the covered auto normally used by the vehicle manufacturer for the installation of such equipment but limited to $400 per auto per policy period. This exclusion does not apply to any equipment which was added for coverage by endorsement; 10. To non-factory installed special equipment and customizing equipment including equipment used to either mechanically or structurally modify the insured auto for the increase in performance or a change in appearance. Examples of such equipment include but are not limited to: special or nonstandard paint, murals, painting, decals, graphics, deluxe roof equipment, chromed equipment, offroad lamps and roll bars. This does not apply to any equipment which was added for coverage by endorsement; 11. To loss in excess of $100 per wheel that is not of the type installed by the manufacturer. This exclusion does not apply to any equipment which was added for coverage by endorsement; 12. To any diminution in the value of the covered auto after any damage covered under this PART has been repaired; 13. To any parts for any covered auto which are not obtainable from purchasable stock in the United States, our limit of liability shall not exceed the list price if such parts were available in the United States. Neither the unavailability nor the inability to obtain parts shall constitute or be the basis for determination of a total loss of the covered auto; 14. Loss due to taking or confiscation by any civil or government authority; 15. Loss due to the theft of a covered auto by the named insured, insured, person named in the named driver exclusion, and while your covered auto is in the care, custody, and control of anyone for the purpose of selling your covered auto; 16. When damage occurs from the leakage of water or other liquid from any plumbing source; 17. When your car is used in any illegal trade or profession; 18. To loss resulting from a lack of lubricant or coolant; 19. See Endorsement F.31885B (8/06); 20. See Endorsement F.32185A (4/03); 21. Any loss while your insured automobile is being used by any person, including you, as part of a Personal Vehicle Sharing Program arranged through a Transportation Network Company (TNC) or in a Personal Vehicle Sharing Program called by any other name. Examples: Uber, Lyft, etc. Limit of Liability Our limit of liability for a loss shall not exceed: 17

1. The lesser of (a) the actual cash value of the stolen or damaged property or (b) the amount necessary to repair or replace the property; 2. $500 for a utility trailer not owned by you or a family member; 3. Any value for any one covered auto which exceeds $80,000. In no event shall our liability for the cost of repainting a part or the whole of the finished surface of your covered auto extend to custom or extraordinary painted finishes or to painted scenes or graphics on or a part of such finish. However, our liability will be admitted to and shall not exceed the cost of the automobile manufacturer's standard factory painted finish. No Benefit to Bailee This insurance shall not directly or indirectly benefit any carrier or other bailee. Other Insurance If there is other applicable similar insurance on a loss covered by this PART, we will pay only that portion of the loss that our limit of liability bears to the total limits of all applicable similar insurance. Any insurance afforded under this PART for a vehicle you do not own or for a temporary substitute vehicle is excess over any other applicable similar insurance. PART E - RENTAL REIMBURSEMENT COVERAGE Insuring Agreement In the event of a loss to your covered auto for which we shall be obligated to make payment under PART D - DAMAGE TO YOUR AUTO COVERAGE, we agree to reimburse you for the actual expenses incurred by you in renting a temporary substitute automobile. Reimbursement will not be subject to a deductible. In the event of a loss under this coverage, it is required that you notify us of the loss as soon as possible and furnish us with proof of the amount of expense actually incurred. Limit of Liability We agree to reimburse you up to $20 per day for actual incurred expenses, not to exceed a maximum of $300 and only for the period of time which is reasonably required to repair or replace your covered auto. PART F - TOWING AND LABOR COSTS COVERAGE Insuring Agreement We will pay for towing and labor costs incurred each time your covered auto is disabled. The labor must be performed at the place of disablement. 18

Limit of Liability This coverage is subject to a maximum limit of $75 per occurrence, maximum occurrences allowed 3 per 6 month term. PART G - GENERAL POLICY PROVISIONS Policy Period and Territory This policy applies only to occurrence(s) and loss(es) which occur during the policy period as shown in the Declarations, and within the policy territory. The policy territory is the United States of America, its territories or possessions, or Canada. This policy also applies to loss(es) to, or occurrence(s) involving, your covered auto(s) while being transported between their ports. Except as provided otherwise, this policy applies while your covered auto is being used for occasional trips into that part of Mexico lying not more than 75 land miles from the boundary line of the United States of America for a period not exceeding ten (10) days at any one time. Any claims payable under PART D - DAMAGE TO YOUR AUTO COVERAGE of this policy arising or resulting from any loss or damage occurring in such part of Mexico shall be payable in the United States of America. Our liability for repairs or replacement in such part of Mexico shall not exceed the cost of such repairs or replacement at the nearest point in the United States of America where such repairs or replacement can be made. We shall not be liable for the cost of towing or transportation of, or salvage operations to, your covered auto while within the Republic of Mexico. WARNING: UNLESS YOU HAVE AUTOMOBILE INSURANCE WRITTEN BY A MEXICAN INSURANCE COMPANY, YOU MAY SPEND MANY HOURS OR DAYS IN JAIL, IF YOU HAVE AN ACCIDENT IN MEXICO. INSURANCE COVERAGE SHOULD BE SECURED FROM A COMPANY LICENSED UNDER THE LAWS OF MEXICO TO WRITE SUCH INSURANCE IN ORDER TO AVOID COMPLICATIONS AND SOME OTHER PENALTIES POSSIBLE UNDER THE LAWS OF MEXICO INCLUDING THE POSSIBLE IMPOUNDMENT OF YOUR COVERED AUTOMOBILE. Duties After An Occurrence Or Loss 1. We must be notified promptly of how, when and where the occurrence or loss happened. Notice should also include the names and addresses of any injured persons and of any witnesses. 2. A person seeking any coverage must: a. Cooperate, and when asked, assist us in the investigation, settlement or defense of any claim or suit; b. Promptly send us copies of any notices or legal papers received in connection with the occurrence or loss; c. Submit, at our expense and as often as we reasonably require, to physical examinations by physicians we select; 19

d. Authorize us to obtain medical reports and other pertinent records; e. Submit a Proof of Loss when required by us. 3. A person seeking Uninsured Motorist Coverage must also: a. Promptly notify the police if a hit-and-run driver is involved: b. Promptly send us copies of any and all legal papers if a suit is brought. 4. A person seeking Uninsured Motorist Coverage for property damage must also notify us or our agent within ten (10) business days of the occurrence. 5. A person making a claim under PART D - DAMAGE TO YOUR AUTO COVERAGE must also: a. Take reasonable steps after a loss, at our expense, to protect your covered auto and its equipment from further loss; b. Promptly notify the police if your covered auto is stolen; c. Permit us to inspect and appraise the damaged property before its repair or disposal; d. Answer all questions under oath by anyone we name as often as we reasonably ask, and sign copies of the answers. Changes This policy contains all the agreements between you and us. Its provisions may not be changed or waived except by an endorsement issued by us. If a change requires a premium adjustment, we will adjust the premium as of the effective date of change. If we revise this policy form to provide more coverage without an additional premium charge, your policy will automatically provide the additional coverage as of the day the revision is effective in your State. Legal Action Against Us No legal action may be brought against us: 1. Until there has been full compliance with all provisions of this policy; or 2. Under PART C - UNINSURED MOTORIST COVERAGE, for bodily injury, unless within one (1} year from the date of the occurrence: e. Suit for bodily injury has been filed against the uninsured motorist in a court of competent jurisdiction and notice of such suit has been given us; f. Agreement as to the amount due under this coverage has been concluded; or g. The insured person or his/her legal representative has formally instituted arbitration proceedings. Transfer of Your Interest In This Policy Your rights and duties under this policy may not be assigned without our written consent. However, if a named insured shown in the Declarations dies, coverage will be provided until the end of the policy period for: 1. The surviving spouse if resident in the same household at the time of death, as a named insured shown in the Declarations; 20

2. The legal representative of the deceased person as if a named insured shown in the Declarations. This applies only with respect to the representative's legal responsibility for the maintenance or use of your covered auto. Our Right to Recover Payment 1. If we make a payment under any coverage provided by this policy, and the person to or for whom the payment was made has a right to recover damages from another, we shall be subrogated to that right. That person shall do whatever is necessary to enable us to exercise our rights and shall do nothing after a loss to prejudice them. 2. If we make payment under this policy and the person to or for whom payment is made recovers damages from another, that person shall hold in trust for us the proceeds of the recovery and shall reimburse us to the extent of our payment. Paragraph 1. of this provision does not apply to PART B - MEDICAL PAYMENTS COVERAGE. Paragraph 1. of the provision does not apply to PART C - UNINSURED MOTORIST COVERAGE, item 2. of the definition of Uninsured Motor Vehicle. Paragraph 2. of the provision does not apply to PART C - UNINSURED MOTORIST COVERAGE, item 1. or 3. of the definition of Uninsured Motor Vehicle. Termination 1. Cancellation. This policy may be cancelled during the policy period as follows: a. You may cancel this policy by returning it to us, or by advising us in writing of a future date the cancellation is to take effect. Your written notice should include your policy number and signature. b. We may cancel by mailing notice of cancellation to you at the address shown in the Declarations or by delivering notice: (1) At least ten (10) days prior to the effective date of cancellation: (a) If cancellation is for nonpayment of premium: or (b) If the policy has been in effect for less than sixty (60) days from the original effective date and is not a renewal policy; (2) At least twenty (20) days notice in all other situations. c. After the original policy is in effect for sixty (60) continuous days or more, we will cancel only for: (1) Nonpayment of premium; or (2) The suspension or revocation of your driver's license or the motor vehicle registration of any car you own or for the suspension or revocation of the driver's license of any other operator who either lives in your household or customarily uses your covered auto providing any suspension or revocation occurs during the policy period or 180 days immediately preceding its effective date; (3) Any other reason permitted by the laws of California. 2. Nonrenewal. If we decide not to renew or continue this policy we will mail notice to the named 21

insured shown in the Declarations at the address shown in this policy. Notice will be mailed at least thirty (30) days before the end of the policy period. Subject to this notice requirement, if the policy period is: a. Less than 6 months, we will have the right not to renew or continue this policy every 6 months after its original effective date. b. 6 months or longer, but less than one year, we will have the right not to renew or continue this policy at the end of the policy period. c. 1 year or longer, we will have the right not to renew or continue this policy at each anniversary of its original effective date. 3. Automatic Termination. If we offer to renew or continue and you do not accept, this policy will automatically terminate at the end of the current policy period. Failure to pay the required renewal or continuation premium when due shall mean that you have not accepted our offer. Other Termination Provisions. a. If the law in effect in your State at the time this policy is issued, renewed or continued requires any longer notice period or any special form of or procedure for giving notice, or modifies any of the stated termination reasons, we will comply with those requirements. b. We may deliver any notice instead of mailing it. Proof of mailing any notice shall be sufficient proof of notice. c. If this policy is cancelled, you may be entitled to a premium refund. If so, we will send you the refund. We will refund to you the pro-rata unearned premium. However, making or offering to make the refund is not a condition of cancellation. d. The effective date of cancellation stated in the notice shall become the end of the policy period. Two or More Auto Policies If this policy, and any other auto insurance policy issued to you by us, apply to the same occurrence, the maximum limit of our liability under all the policies shall not exceed the highest applicable limit of liability under any one policy. Bankruptcy Bankruptcy or insolvency of the named insured shall not relieve us of any obligations under this policy. Loss Payable Clause We will pay loss or damage due under this policy according to your interest and that of the lienholder. We may make separate payments according to those interests. We will pay the lienholder for a loss under this policy even though you have violated the terms of the policy by something you have done or failed to do. However, we will not pay for any loss caused by conversion, embezzlement or secretion by you or anyone acting on your behalf. We will not notify the lienholder each time you renew this policy according to its terms. We will protect the lienholder's interest for 10 days after we notify him that the policy has terminated for any reason. If we pay the lienholder for any loss or damage suffered during that 10-day period, we have the right to recover 22