The terms and conditions of the Entertainment Policy Jacket and the following terms and conditions all apply to this Coverage Section. I. WHAT IS COVERED We will pay for the extra expenses you reasonably and necessarily incur in completing an insured production due to: II. Cast A. 1. sickness of; Expedited Post Production for Television, Commercial and Music Video Productions Optional Coverages Family Bereavement Undeclared Cast 2. injury to; 3. death of; 4. kidnap of; or 5. abduction either by physical force or threat of physical force of a declared person that results in that person s inability to commence, continue or complete his/her duties with respect to the insured production. B. expediting post production when such extra expenses arise solely from a loss covered under this Coverage Section. Expedited post production extra expenses will be limited to: 1. premium overtime on payroll for budgeted editorial staff (in excess of any guarantee and average overtime worked); or 2. payroll and editorial equipment rental for added editorial staff. This coverage applies only to expedited post production for television, commercial and music video productions. If a Limit is stated in the Declarations, we will also pay for the extra expenses you reasonably and necessarily incur, for a loss covered by this Coverage Section, in completing the insured production due to the: A. unavailability of a declared person as a result of the death or lifethreatening illness or injury of an immediate family member that first manifests itself after coverage begins for the declared person. B. sickness, injury or death of an undeclared person resulting in that person s inability to commence, continue or complete his/her duties with respect to an insured production. HOW MUCH WE WILL PAY We will pay up to the applicable Limit(s) of Insurance as stated: A. in the Declarations for Cast, Undeclared Cast, and Family Bereavement; and B. below for Claim Preparation Expense and Expedited Post Production for Television, Commercial and Music Video Productions, provided you have first paid any applicable Deductible. The Deductible(s) will be applied on a per loss basis: EPR P4105 CW (8-10) Cast Coverage Section Page 1 of 7
Claim Preparation Expense We will reimburse you up to $5,000 for reasonable and necessary expenses we require you to incur and that you actually incur after a loss, to document your claim. This reimbursement: III. Expedited Post Production for Television, Commercial and Music Video Productions WHAT IS NOT COVERED A. does not apply to any expenses you incur for any: 1. insurance agent or broker; 2. public adjuster; or 3. attorney, or their employee s, representatives or consultants. B. will not erode the Limit(s) of Insurance as stated in the Declarations for this Coverage Section; C. does not apply to expenses you incur to prove that a loss or damage is covered or any expenses you incur under the Appraisal provision found under the GENERAL CONDITIONS of the Entertainment Policy Jacket. In the event that a loss triggers more than one Coverage Section that provides for claim preparation expense, the most we will pay under the Policy is $5,000. We will pay up to $50,000 for extra expense for expedited post production costs incurred as a result of a loss covered under this Coverage Section, unless otherwise stated in the Declarations. In the event that a loss triggers more than one Coverage Section that provides for extra expenses for expedited post production, the most we will pay under the Policy is $50,000. We will not make payment for any extra expense or loss arising out of or due to: Animals: A. any animal(s) used or to be used in the insured production, unless agreed by us in an endorsement to this Coverage Section; Age Restrictions B. any person under the age of 6 or over the age of 75; Flying C. any person flying, other than as a passenger on a commercial airliner or airplane chartered or hired for purposes of transporting persons to or from locations; Hazardous Stunt or Effect D. any person participating in a hazardous stunt or effect without our prior written approval; Pregnancy & Menstruation E. menstruation, pregnancy, childbirth or any other related condition; Special Limitation F. any special restriction or limitation stated in any endorsement to this Coverage Section. IV. YOUR OBLIGATIONS Due Diligence Your Obligation In The Event A. You must use due diligence to ascertain that any declared person is in sound physical and mental condition and good health immediately prior to your requesting coverage for him/her. B. You must comply with the following obligations. Should your failure to comply with any of such obligations be determined to be material to a EPR P4105 CW (8-10) Cast Coverage Section Page 2 of 7
of a Loss: loss covered under this Coverage Section, we will not make any payment for such loss: Certificates of Health and Medical Exams V. SPECIAL CONDITIONS 1. you must notify us immediately upon becoming aware of any sickness, injury or event that may give rise to a loss under this Coverage Section; 2. the declared person or undeclared person must be examined as soon as practicable by a qualified physician, and you must forward to us a written certification detailing the examination, diagnosis and prognosis. We reserve the right to have such declared person or undeclared person additionally examined by a physician authorized by us; 3. you must reserve our continuing right to have our physician examine a declared person; 4. you must, at our request, secure a signed authorization for the release of such declared or undeclared person s medical records and you must assist us in obtaining such records; 5. you must ensure that any covered animal is immediately examined by a qualified veterinarian, and you must forward to us a written certification outlining the details of the examination, diagnosis, prognosis or autopsy results, if applicable. You must submit certificates of health, provided by us, for declared persons not more than 60 days prior to their start date. We reserve the right, at our expense, to require that any person submit to a medical examination by a physician of our choice, prior to acceptance of full cast coverage. Before such certificates of health and medical examinations will be considered for approval by us, they must be: A. fully completed; B. signed and dated by the artists (and physician, in the case of a required medical examination); and C. received by us. Notification of approval, restriction or exception will be given by us within three business days after compliance with the above. We do not require a certificate of health or medical exam for guest artists. Where an artist is required by contract to be named as an essential element with respect to an insured production, and is agreed by us in an endorsement to this Coverage Section, an essential element medical exam will be required at your expense. Abandonment You may abandon the insured production in the event of a loss covered under this Coverage Section and make claim for your valueless costs, provided we have first agreed that the insured production cannot reasonably or economically be completed. Prior to any payment by us for an abandonment: A. you must notify us in writing of your wish to abandon; B. we automatically become sole owners of, and you assign to us, any EPR P4105 CW (8-10) Cast Coverage Section Page 3 of 7
and all rights, title and interest in: 1. the insured production and all intellectual property rights associated with it; 2. all underlying work; Contract Terms and Stop Date Loss 3. the original and all copies of media, media storage devices, tapes, film, other materials and elements and documents, in whatever form, related to the insured production; 4. at our option, all cast, crew, vendor and other agreements associated with the insured production; 5. at our option, any and all existing distribution agreements for the insured production; 6. the right to receive any tax credits that are earned if we decide to complete the insured production. However, with respect to any sequel or prequel of the insured production, we accept that we will not be granted any rights for such sequel or prequel. You will do all that we deem necessary or appropriate to assign the above rights to us at your expense. We will not pay for any extra expenses you incur unless the contract terms for: A. performance services (including a stop date); or B. use of facilities, property, equipment and supplies applicable to an insured production are sufficiently longer than your original scheduled time for completion of such insured production as to allow a reasonable margin of time to account for possible unexpected delays in completing such insured production. If you incur extra expenses as a result of a delay in completing an insured production and provided there is a sufficient margin of time in your contract terms to accommodate such delay, the extent of our payment of such extra expenses will be governed by the following factors: A. If the extra expenses solely result from a loss covered under this Coverage Section, we will pay the extra expenses in full, up to the applicable Limit of Insurance; B. If the extra expenses partly result from a loss covered under this Coverage Section and partly result from an uninsured event then we will pay a share of the extra expenses based on the ratio of the covered loss to the total loss, up to the applicable Limit of Insurance; C. If the extra expenses do not result from a loss covered under this Coverage Section, we will not make any payment for such expenses. Coverage Territory Coverage applies anywhere in the world, except where we are legally prohibited from providing insurance. Exchange Rate The rate of exchange applied to all losses covered under this Coverage Section will be the rate as stated in the Wall Street Journal as of the date of the loss, unless otherwise agreed and endorsed to the Policy in writing by EPR P4105 CW (8-10) Cast Coverage Section Page 4 of 7
us. When Coverage Applies A. Coverage for declared persons begins: VI. SPECIAL DEFINITIONS FOR THIS SECTION Declared Person 1. for accident only coverage, the date a declared person is declared in writing to us; 2. for full cast coverage, subject to restrictions or exceptions confirmed in writing by us, the earliest of the following: a. the date we approve the medical examination of a declared person; or b. the date a medical examination is completed if, due to circumstances beyond your control, we have not received a report of the medical examination within a reasonable time after the medical examination is completed; however, in this event, coverage will be subject to any restrictions, conditions and limitations that we would have imposed had the report been timely submitted to us. B. Coverage for undeclared persons begins on the first day of principal photography. C. Coverage for guest artists begins five (5) days before the date of principal photography of the individual episode in which the guest artist first appears. D. Family Bereavement Coverage for any declared person begins on the same date as the effective date for Cast Coverage for such person. E. All coverages end when the first of the following occurs: 1. the date on which a protection copy of the insured production has been completed and stored in an area physically separate from the original production media; 2. the last day of the policy period; or 3. if the Policy is cancelled, the effective date of such cancellation. Essential Element Medical Exam Means any individual listed on the Cast Schedule. Means the completion of our medical form by a physician approved by us, including but not limited to the following: A. complete blood count and blood chemistry; B. urinalysis; C. drug testing; D. chest X-ray; E. treadmill / stress test; F. EKG; Extra Expenses Means: A. the additional reasonable and necessary costs (taking into account budgeted gross production cost and insurable production cost) you EPR P4105 CW (8-10) Cast Coverage Section Page 5 of 7
would otherwise not have incurred, but for the happening of a loss covered under this Coverage Section, in order to complete an insured production in substantially the same manner as originally planned and declared. These costs will not include insurance premiums or loss of earnings or profit; or Gross Production Cost Guest Artist Immediate Family Member Insurable Production Cost B. valueless costs associated with the insured production in the event of abandonment. Means all costs directly chargeable to an insured production, including overhead charges included in the budget for the insured production. Means any person contracted for no greater than 30% of an episodic television series, subject to a minimum of three (3) and maximum of six (6) consecutive episodes. Means any person who is under 75 and is defined as one of the following: A. parent (including step-parent); B. father or mother in-law; C. sibling (including stepsibling); D. child (including stepchild); E. grandparent; F. spouse or domestic partner; G. legal guardian. Means all costs directly chargeable to an insured production, but not including the costs of: A. overhead; B. story, scenario and underlying rights and materials; C. music rights; D. sound rights; E. royalties and residuals; F. contingency; G. insurance premiums; H. fees, interest and charges on production financing; I. personal and real property tax; or J. completion bond fees. However, you may, if you so elect at the time of Declaration, specifically declare and thereby include any of these costs and the cost of such items will then be included in the insurable production cost. In the event of a loss paid under this Coverage Section, the amount of that loss will be included in the determination of the insurable production cost for the purposes of premium audit. Insurance Premiums Means premiums charged for the following Coverage Sections: A. Cast; B. Media; EPR P4105 CW (8-10) Cast Coverage Section Page 6 of 7
C. Extra Expense; D. Production Equipment; E. Props, Sets & Wardrobe; F. Production Office Property; G. Money; H. Third Party Property Damage; I. Auto Physical Damage. Insured Production Means the Insured Production stated in the Declarations. Hazardous Stunt or Effect Stop Date Undeclared person Valueless Costs Means any scripted or non-scripted activity of a performer with respect to which the Screen Actors Guild Agreement requires an individual qualified by training and/or experience in the planning, setting up and/or performance of the type of stunt involved, to be engaged and present on the set or requires a qualified special effects person to rig or attach rigging to the performer. Means any contractual date by which you have agreed that a declared person s duties with respect to principal photography are concluded. Means a person contracted by you to appear in or work on the insured production, but not a declared person. Means costs: A. you have necessarily incurred for the insured production up to the date of abandonment; B. you have a written, fully signed contractual commitment to pay in connection with the insured production after the date of abandonment; C. you incur in connection with suspension of the insured production until we agree you can abandon; and D. you incur to shut down the insured production, less the amount of any non-refundable advances to which you are entitled as of the date of the abandonment. For the purposes of this definition, valueless costs do not include: A. property for which you retain value; B. story, screenplay and similar rights, music rights, royalties, residuals, or insurance premiums. EPR P4105 CW (8-10) Cast Coverage Section Page 7 of 7