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single limit for bodily injury and property damage or $ 3,000,000 per accident. Coverage
<br />shall be at least as broad as Insurance Services Office (ISO) form CA 00 01. Further,
<br />franchisee shall maintain Pollution Liability insurance (or Franchisee shall self-insure the
<br />same) covering losses caused by pollution conditions that arise in connection with this
<br />Franchise. Franchisee's Pollution Liability insurance shall be written in an amount of
<br />$1,000,000 per loss, with an annual aggregate of $1,000,000. Pollution Liability
<br />insurance shall cover bodily injury, property damage, cleanup costs, and defense,
<br />including costs and expenses incurred in the investigation, defense, or settlement of
<br />claims. Insurance is to be placed with insurers with a current A.M. Best rating of not less
<br />than A minus: VII. Notwithstanding the foregoing, Licensee may, in its sole discretion,
<br />self insure any of the required insurance under the same terms as required by this
<br />Agreement as long as Franchisee or its affiliated parent maintains a net worth of at least
<br />Two Hundred Million Dollars and no/100 ($200,000,000) as evidenced in its annual
<br />certified financials. In the event Franchisee elects to self-insure its obligation under this
<br />Agreement to include the City as an additional insured, the following conditions apply: (i)
<br />the City shall promptly and no later than thirty (30) days after notice thereof provide
<br />Franchisee with written notice of any claim, demand, lawsuit, or the like for which it seeks
<br />coverage pursuant to this Section and provide Franchisee with copies of any demands,
<br />notices, summonses, or legal papers received in connection with such claim, demand,
<br />lawsuit, or the like; (ii) the City shall not settle any such claim, demand, lawsuit, or the like
<br />without the prior written consent of Franchisee; and (iii) the City shall fully cooperate with
<br />Franchisee in the defense of the claim, demand, lawsuit, or the like.
<br />C. Franchisee's contractors and subcontractors performing Work in the Public
<br />Rights-of-Way shall comply with such bond, indemnity, and insurance requirements as
<br />may be required by City code or regulations, or other applicable Law. Any contractors or
<br />subcontractors performing Work within the Public Rights-of-Way on behalf of the
<br />Franchisee shall be deemed servants and agents of the Franchisee for the purposes of
<br />this Franchise and are subject to the same restrictions, limitations, and conditions as if
<br />the Work were performed by Franchisee. Franchisee shall be responsible for all Work
<br />performed by its contractors and subcontractors and others performing Work on its behalf
<br />as if the Work were performed by it, and shall ensure that all such Work is performed in
<br />compliance with this Franchise and other applicable laws, and shall be jointly and
<br />severally liable for all damages and correcting all damage caused by them. It is
<br />Franchisee's responsibility to ensure that contractors, subcontractors, or other Persons
<br />performing Work on Franchisee's behalf are familiar with the requirements of this
<br />Franchise and other applicable Laws governing the Work performed by them.
<br />Notwithstanding the foregoing, neither Franchisee nor any of its contractors,
<br />subcontractors, or other Persons performing work on Franchisee's behalf shall be
<br />required to apply any new laws to existing Facilities unless required by law.
<br />D. The Franchisee shall provide the City with written notice of any required policy
<br />cancellation at least thirty (30) days prior to the effective date of such cancellation if such
<br />coverage is not replaced. Failure on the part of the Franchisee to maintain the insurance
<br />as required shall constitute a material breach of the Franchise, upon which the City may,
<br />after giving five business days' notice to the Franchisee to correct the breach, immediately
<br />terminate the Franchise or, at its discretion, procure or renew such insurance and pay
<br />30
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