The insurance policy sample is attached below:

Review theSample Aircraft Insurance Policy and at the cover page, assume that you purchased the following limits:

• Coverage A: $1 million per occurrence, $100,000 per passenger
• Coverage B: $200,000

And:

The pilot endorsement includes:

• You, by name, and any other pilot holding a currently valid FAA Commercial Pilot Certificate with
• Second Class Medical Certificate and having logged at least 500 hours as pilot in command in the same category and class as the non-owned aircraft.

You are operating a rented aircraft with one passenger on board, attempting to land in a strong and gusty crosswind, when you lose control. The aircraft departs the runway, the nose wheel strikes a runway light, and the aircraft flips over.

Based on the Sample Non-Owned Aircraft policy, will the insurance company pay, (and if so, how much) for each of the following losses? Cite the policy paragraph(s) relied on for each answer.

(Treat each numbered question as a separate question, rather than a continuation of or follow-on to the previous question(s).)

The aircraft is damaged beyond economical repair (it would cost $120,000 to repair the damages, but an identical replacement aircraft can be purchased for $105,000).

Your passenger, a friend who was along for this recreational flight, is injured, and incurs $20,000 in medical expenses as a result.

You are injured, and incur $18,000 in medical expenses as a result, and:

a. this was a recreational flight.

b. this was a flight made to visit a customer as a part of your employment.

Your passenger, a co-worker who was along on this business flight for your mutual employer, was injured and incurred $20,000 in medical expenses as a result

You and your passenger each had an $1,800 laptop computer in the baggage compartment, and each was destroyed in the crash.

Elk hunting season opens Monday and the purpose of the flight was to spot herds of elk from the air to help you select your hunting area. How would this affect the insurance company's liability for:

a. damage to the aircraft?

b. passenger injuries?

Your intended destination was the border town of Douglas, Arizona, but the wind had kicked up a lot of blowing dust, causing you to mistake the close-by airport in Agua Prieta, Mexico for the Douglas Airport. You landed there, where the accident occurred. How will this affect the insurance company's liability for:

a. damage to the aircraft?

b. passenger injuries?

At the time of the accident, your FAA Medical Certificate had expired. How would this affect the insurance company's liability for:

a. damage to the aircraft?

b. passenger injuries?

NON-OWNED AIRCRAFT INSURANCE POLICY COVERAGE SUMMARY PAGE This page, the policy provisions, and the endorsements attached, completes this policy at its inception. Policy Number: Issued by: Item 1. Your Name and Address: Item 2. Policy Period: From to Beginning and ending at 12:01 a.m. standard time at the address shown in Item 1. above. Item 3. Coverage only applies as indicated by a specific limit and premium. Limits of Liability Premiums A. Non-Owned Aircraft Liability Single Limit for Bodily each occurrence $ Injury and Property Damage cluding Passengers, but Passenger Bodily Injury Limited within the Single Limit to each passenger B. Physical Damage to Your Non-Owned Aircraft each non-owned $ aircraft Endorsements: EA State and Local Premium Taxes. EA Total Premium $ Item 4. The non-owned aircraft will be used only for non-commercial use. Item 5. While the non-owned aircraft is in motion it will be piloted only by the person(s) meeting the provisions of the "Pilots Endorsement". Producer Countersigned At By Approved By (Authorized Representative) (Authorized Representative) NOLAD03 (1/00) Page OneNATIONAL UNION A CAPTI AL ST OCK COMPANY EXECUTIVE OFFICES New York NY. 10005 FIRE INSURANCE COMPANY AMERICAN and WILL HOME OF PITTSBURGH, PA. THE INSURANCE COMPANY OF ASSURANCE COMPANY A CAMTAL STOCK COMPANY THE STATE OF PENNSYLVANIA 20 PINE STREET, NEW YORK, N.X. 10096 NEW YORK. NEW YORK A CAPITAL STOCK COMPANY FOUNDED 1812. AMERICAN HOME NATIONAL UNION FIRE THE INSURANCE COMPANY ASSURANCE COMPANY INSURANCE COMPANY OF OF THE STATE OF NEW YORK, NEW YORK PITTSBURGH, PA. PENNSYLVANIA, PA. A Stock Insurance Company, (A Stock Insurance Company, (A Stock Insurance Company, Herein called the Company) Herein called the Company) Herein called the Company) 70 PINE STREET 70 PINE STREET 70 PINE STREET NEW YORK, NY 10270-0150 NEW YORK, NY 10270-0150 NEW YORK, NY 10270-0150 NON-OWNED AIRCRAFT POLICY TABLE OF CONTENTS PLEASE READ YOUR POLICY Page Coverage Summary ONE Insuring Agreements Liability Insurance Coverage A Liability Insurance Coverage B Defense and Settlements AAAAA Supplementary Payments Policy Period & Policy Territory Exclusions 4 - 6 Limits of Liability 6 Conditions Notice of Claim, Occurrence, Suit or Loss and Your Duties 6 - 7 Our Rights of Recovery Payment of Claims and Suit Against Us Transfer of This Policy to Others Cancellation Policy Conforms to Law Fraud or Misrepresentation Changing the Policy NOLADO 11 (10/00) Page 2Definition Words Aviation Managers Bodily Injury Disappearance FAA Flight Loss Non-Commercial Use Non-Owned Aircraft Not-In-Flight Not-In-Motion Occurrence Passenger Personal Effects Physical Damage Policy Territory Property Damage Related Claims We, Us, Our, and the Company You and Your MEXICO WARNING STATEMENT If you have an occurrence in Mexico and you have not purchased aircraft liability insurance for that aircraft from a Mexican insurance company, you and your passengers may be jailed and that aircraft taken from you by the Mexican authorities. We are not a Mexican insurance company. Contact your Producer for information on this coverage. NOLADO 11 (10/00) Page 3NON-OWNED AIRCRAFT INSURANCE POLICY PROVISIONS PART ONE INSURING AGREEMENTS Subject to the policy Limits of Liability, Exclusions, Conditions, Definitions and approved Endorsements, we agree to provide you the following insurance in return for your premium payment. Our agreement to provide coverage and the premium amount are based on the statements in your application being true. This policy is the only agreement between you and us relating to the subject of this insurance 1. LIABILITY INSURANCE FOR YOUR NON-OWNED AIRCRAFT COVERAGE A - Bodily Injury and Property Damage Liability Insurance We will pay for bodily injury and property damage for which you are legally liable, caused by an occurrence arising from your use of non-owned aircraft but excluding physical damage to the non-owned aircraft used by you. 2. LIABILITY INSURANCE FOR PHYSICAL DAMAGE TO YOUR NON-OWNED AIRCRAFT COVERAGE B - Non-Owned Aircraft Physical Damage We will pay for physical damage to your non-owned aircraft for which you are legally liable, caused by an occurrence arising from your use of a non-owned aircraft. 3. DEFENSE, INVESTIGATION AND SETTLEMENT OF CLAIMS AND SUITS We have the right and duty to defend, investigate and settle any claim or suit against you covered by this insurance as we judge proper. But, when the applicable Limit of Liability has been exhausted by payment of judgments or settlements, we then are not obligated to pay any claim or judgment, or to provide any defense or pay any expenses. We have no obligation to defend, pay any expense, investigate or settle any claim or suit not covered in this policy. 4 . SUPPLEMENTARY PAYMENTS While we are obligated to defend a covered claim under Coverage A or B, we will also pay in addition to the applicable limit: a) reasonable expenses incurred at our request, but not loss of earnings; " ) interest earned on the amount of a judgment which is covered by this policy that does not exceed the applicable Limit of Liability. Interest is earned until we pay or offer to pay our part of the judgment to which this insurance applies premiums on bonds to release attachments and to appeal judgments we elect to appeal, and on bail bonds due to your violation of a law or regulation in connection with a covered occurrence, but not for more than $500 each bail bond. But, we are not obligated to apply for or to provide these bonds; d) your costs for necessary first aid to others at a covered occurrence; 5 . POLICY PERIOD AND POLICY TERRITORY This policy only covers occurrences happening within the Policy Period and Policy Territory. PART TWO EXCLUSIONS This insurance does not apply: 1 . under any coverage a) to an occurrence which you intend or expect; b ) to any liability you assume; C) when the non-owned aircraft is: NOLADO11 (10/00) Page 4i) operated with your knowledge and consent for either an unlawful purpose or for other than the Approved Use; ii) in flight when a special permit or waiver is required by the FAA; iii) piloted by anyone other than a pilot named in Item 5, d) if you know the non-owned aircraft is not certificated by the FAA under a Standard Airworthiness Certificate in full force and effect, while in flight; to claims directly or indirectly occasioned by, happening through, or in consequence of: i) noise (whether or not audible to the human ear), vibration, sonic boom or any associated phenomena; i) pollution or contamination of any kind; iii) electrical and electromagnetic interference; iv) interference with the use of property; unless caused by a crash or collision of the non-owned aircraft or a recorded in flight emergency causing abnormal operation of the non-owned aircraft; to any liability that could be or is covered under a nuclear energy liability insurance policy, even if its limits have been used up; g) to any claim directly or indirectly caused or contributed to by or arising from ionizing radiations or contaminations by radioactivity from any source whatsoever; h) if the non-owned aircraft is being used for or in connection with: 1) aerial advertising, towing, photography, or application of any substance; ii) hunting, herding or spotting of animals of any kind, including birds and fish; ii) patrol or surveillance of any kind, including powerlines, pipelines, traffic or fires; iv) flight instruction to anyone other than the pilots listed by name in Item 5 on Page One; V ) skydiving or parachuting; vi) closed course racing; vii) flights off-shore in support of an off-shore business or operation; viii) external transportation of persons or property, including wire stringing, or construction; i) if the non-owned aircraft is being operated into, on or from an area not designated, maintained and used as an airport, except a landing due to a recorded emergency; 2. to any claim you, your survivors or your estate makes for bodily injury or death to you; 3 . in flight, if piloted by a Student Pilot: i) when there is a passenger in your non-owned aircraft unless that passenger is a Certified Flight Instructor teaching the Student Pilot; or i) when the Student Pilot is not under the direct supervision of a Certified Flight Instructor for the flight involved; 4 . to bodily injury to any employee injured while at work for you, or to claims by that employee's spouse, child, parent, brother or sister in consequence thereof; 5. to any claim you or any Insurer may be held liable for by way of indemnity or otherwise under any Worker's Compensation, occupational, disease, unemployment or disability benefits law, or any similar law 6. to property damage to property transported, owned or used by you, or in your care, custody or control. But, we will pay up to $500. for loss to each passenger's personal effects, subject to an occurrence limit equal to $500. multiplied by the total number of seats for the aircraft involved; 7 . under Coverage B. to loss due to repossession, embezzlement, conversion, secretion or taking by anyone claiming a lawful right of possession, nor for any loss or damage during or resulting therefrom; b) to loss due and confined to wear, tear, deterioration, freezing, mechanical, structural, hydraulic, pneumatic, or electrical failure or malfunction. Wear, tear, deterioration, freezing, mechanical, structural hydraulic, pneumatic, or electrical failure or malfunction of any engine, component, accessory, equipment or system is considered a failure or malfunction of the entire engine, component, accessory, equipment or system; NOLAD0 11 (10/00) Page 5c) to claims arising from war, whether declared or not, invasion, rebellion, riot, revolution, insurrection or warlike operation; 1) to claims arising from capture, seizure, arrest, restraint or detention or the consequences thereof or any attempt thereat, or any taking of your aircraft or damage to or destruction thereof by any governmental authority or agent (whether secret or not) for any military, naval or usurped power, whether any of the foregoing be done by way of requisition or otherwise and whether in time of peace or war and whether lawful or unlawful; e) to loss to non-owned aircraft engines and auxiliary power units caused by heat or temperature change from the operation, attempted operation or shutdown of the aircraft engine or auxiliary power unit unless resulting directly from other loss covered by this policy. PART THREE LIMITS OF THE COMPANY'S LIABILITY Only the coverages that you have purchased and for which a premium is shown on Page One are provided by this policy. OTHER INSURANCE This insurance is excess insurance. If there is other insurance available to you, that insurance shall apply first. But if other primary insurance was issued to you through any of the Aviation Managers then the Limits of this policy are reduced by the amount of the applicable Limits of that other insurance. COVERAGE A - The Limits apply separately to each occurrence and the number of claims or claimants does not increase or change the Limits shown on Page One, which applies as follows: 1 . The Limit shown for "Each Passenger" is the most we will pay for damages arising out of bodily injury or death to or of each passenger, including all related claims, no matter how many separate claims may be involved, subject to a passenger bodily injury occurrence limit equal to the "each passenger" limit multiplied by the total number of seats for the aircraft involved; 2 . The Limit for " Each Occurrence" is the most we will pay for all damages arising out of bodily injury or death including passengers and property damage combined in one occurrence, included all related claims, no matter how many separate claims are involved. All bodily injury and property damage arising out of continous or repeated exposure to the same general conditions shall be deemed to be one occurrence. COVERAGE B - The most we will pay for physical damage to your non-owned aircraft is the limit of liability shown on Page One for each non-owned aircraft. All bodily injury and property damage arising out of continuous or repeated exposure to the same general conditions shall be deemed to be one occurrence. PART FOUR CONDITIONS OF INSURANCE 1. NOTICE OF CLAIM, OCCURRENCE, SUIT OR LOSS, AND YOUR DUTIES In the event of a claim, occurrence, suit, or loss, you agree to: a) not assume any obligation or liability, offer or pay any reward except at your expense, or make any payment except for necessary first aid to others; b) promptly contact the owner of your non-owned aircraft and the nearest Aviation Managers and provide prompt written notice at the address appearing on the back of the policy cover, including the: NOLADO 11 (10/00) Page 6time, place and description of events; 1) names and locations of passengers, injured, deceased and witnesses; description and locations of property damage and loss to your non-owned aircraft; cooperate with and assist us in all matters of the claim or suit and promptly send all suits and legal papers to the nearest Aviation Managers; d) submit to a sworn statement under oath by a person designated by the Aviation Managers; do nothing after an occurrence or loss to harm our rights of recovery against any person or organization; authorize us to obtain medical and other records; not abandon your non-owned aircraft; h) take all reasonable precautions to protect your aircraft after an occurrence promptly report theft, disappearance and vandalism to us, the local police and the owner of your non-owned aircraft; allow us to inspect your non-owned aircraft's damage before any repairs or disposal; allow us to inspect your non-owned aircraft, records, repair and service invoices and sales receipts; and the pilot log books during the Policy Period, and until settlement of the claim, suit or loss. 2 . OUR RIGHTS OF RECOVERY You agree that when we pay a claim we then assume all your righ its of recovery You must do all that is needed to help us recover. 3. PAYMENT OF CLAIMS AND SUIT AGAINST US You agree to comply with all the terms of this policy before we have to pay or before you can sue us. But we do not have to pay nor can you sue us for your liability for bodily injury or property damage until the amount of your legal liability has been determined or by our written agreement with the claimant. Our obligations are not reduced if you or your estate is legally declared bankrupt or insolvent. 4 . TRANSFER OF THIS POLICY TO OTHERS Interest in this policy cannot be transferred without our prior written agreement. But if you die, or are adjudged legally bankrupt or insolvent and you or your representative notifies us within 60 days of such judgment, the Policy will cover your legal agent, as having the same rights and duties under the policy as you but only while in the course of his official duties as such. 5 . CANCELLATION You must notify the Aviation Managers in writing what date in the future to cancel. Your refund will be figured on the customary Short Rate Table in effect in your State except that we shall retain an amount equal to fifty percent (50% ) of the annual premium. We or the Aviation Managers must notify you in writing at the address in Item 1 on Page One at least 30 days before the date of cancellation. But only 10 days written notice is provided for cancellation due to non-payment of premium. Proof of mailing is proof you were notified. When we or the Aviation Managers cancel, all unearned premium will be returned. Receipt of your premium after we have mailed notice of cancellation will not automatically reinstate this policy or have the effect of overriding our cancellation. 5. POLICY CONFORMS TO LAW The terms of this policy are amended to conform to the laws of your State shown in Item 1 on Page One. 7 . FRAUD OR MISREPRESENTATION This policy will be void from its Inception Date in case of any fraud, attempted fraud, false swearing or misrepresentation of any material fact or circumstance by you as to anything about this insurance. 8. CHANGING THE POLICY The terms of this insurance cannot be changed or waived except by our written endorsement to this policy signed by the Aviation Managers. NOLADO 11 (10/00) Page 7PART FIVE DEFINITION WORDS These words have the following meanings when they appear in bold type. Aviation Managers" means AIG Aviation, Inc., American International Aviation Agency, Inc., or any of their subsidiary or affiliated companies, branch offices or authorized representatives. "Bodily Injury" means physical injury, sickness, disease, and if arising out of the foregoing, mental anguish, or death of a person including damages for care and loss of services, caused by an occurrence "Disappearance" means your non-owned aircraft is missing in flight and has not been found within 60 days after such flight began within the policy period and policy territory. "FAA" means the Federal Aviation Administration, which has jurisdiction over civil aviation in the United States of America; or, its foreign equivalent. "Flight" means with respect to fixed wing aircraft from the start of the takeoff run until the end of the landing run, out excluding taxiing and with respect to an aircraft that is a rotorcraft from the time the rotors start to rotate under power for the purpose of flight until they subsequently cease to rotate. Loss" means physical damage. "Non-Commercial" use means private pleasure and business use, excluding any use for hire, money or any form of reward or compensation. Being reimbursed for or sharing the direct expenses of a flight if the sum of these expenses does not result in a profit to you or anyone is not excluded. "Non-Owned Aircraft" means: 1. a fixed wing, non-pressurized, land aircraft having a non-turbine single engine of 450 horsepower or less (including non-powered sailplanes) and capacity for no more than seven (7 ) total passengers and/or seats; 2. an aircraft that you use with the owner's permission, but excluding any aircraft owned in whole or in part by, or furnished for more that thirty (30) consecutive days to, or under a lease and/or purchase agreement to you or your spouse, parent, child, sibling, corporation, partnership, or other organization in which any of these entities own more than twenty percent (20%). Furthermore, a non-owned aircraft does not include parts temporarily detached, tools and repair equipment, or any form of portable equipment. "Not-in-Flight" means while the aircraft is on the ground, but excluding from the start of its take-off run until the end of its landing run- "Not-in-Motion" means while the aircraft is not-in-flight, nor moving under its own power or momentum therefrom. With respect to an aircraft that is a rotorcraft, not-in-motion shall also mean whenever the rotors are not rotating. "Occurrence" means a sudden event, unintended and unexpected by an insured, including continued or repeated exposure to the same conditions. "Passenger" means a person while in, on, entering or getting out of the non-owned aircraft. "Personal Effects" means handbags, suitcases, briefcases and similar items. Personal Effects does not include cameras, currency, documents, electronic devices, jewelry, passports or tickets. "Physical Damage" means direct and accidental physical loss of or damage to property (also called loss). NOLAD011 (10/00) Page 8"Policy Territory" means within the political boundaries of the United States of America, Mexico, Central America, Canada, the Islands of the West Indies (excluding Cuba), and while enroute between places therein. "Property Damage" means: 1. physical injury or destruction to tangible property of others, including resultant loss of use thereof; or 2 . loss of use of tangible property of others that is not physically injured; if caused by an occurrence. "Related Claims" means all claims for care and loss of service, loss of society and consortium, mental anguish, emotional distress, loss of support, medical and funeral expenses, and any and all other damages from or related o bodily injury to any person or passenger. Notwithstanding anything to the contrary in the definition of bodily injury, the Company's liability and coverage for damages for both bodily injury and related claims are included and combined within the each person, each occurrence limits of liability specified in the Coverage Summary Page, as applicable, and there are no separate or additional Limits of Liability for related claims. "We", "Us", "Our" and the " Company" means the company indicated on Page One. "You" and "Your" means the person or organization named in Item 1 on Page One. The President and the Secretary of the Company indicated on Page One have signed this policy. For it to be effective, it must also be signed by the Aviation Managers and our authorized representative. Elizabed M Dice Secretary AMERICAN HOME ASSURANCE COMPANY Secretary NATIONAL UNION FIRE INSURANCE COMPANY OF PITTSBURGH, PA. Elizabed M suce INSURANCE COMPANY OF THE STATE OF PENNSYLVANIA NOLADO 11 (10/00) Page 9AIRWORTHINESS CERTIFICATE ENDORSEMENT This policy is amended as follows: The term "Standard Airworthiness Certificate" appearing within the policy is amended to read " Experimental, Restricted or Light Sport Aircraft Certificate". All other provisions of this policy remain the same. This endorsement becomes effective to be attached to and hereby made a part of Policy No issued to By Endorsement No. Date of Issue By Authorized Representative) NOLAD18 (11/04)PILOTS ENDORSEMENT FOR NON-OWNED AIRCRAFT Item 5 on Page One is completed as follows: While your non-owned aircraft is in motion it will be piloted only by the person(s) specified below provided that the pilot-in-command has: 1. a current and valid FAA Pilots Certificate with ratings and endorsements applicable to your non-owned aircraft, or is under the direct supervision of a Certified Flight Instructor; 2. if required, a current and valid FAA Medical Certificate; 3 . if required, a current and valid Biennial Flight Review; PILOT(S) All other provisions of this policy remain the same. This endorsement becomes effective to be attached to and hereby made a part of Policy No. issued to By Endorsement No. Date of Issue By (Authorized Representative) NOLAD180 (1/01)AIG AVIATION CERTIFICATE OF INSURANCE THIS IS TO CERTIFY TO: THAT THE FOLLOWING POLICY/IE8 OF INSURANCE HAVE BEEN ISSUED TO: POLICY NO. POLICY PERIOD: From INSURANCE COMPANY Coverage only applies as indicated by a specific limit. ' , I \\ fruits of Liabilit A. Non-Owned Aircraft Liability Single Limit for Bodily E : ' each occurrence Injury and Property Damage cluding Passengers, but Passenger Bodily Injury Limited within the Single Limit to E g each passenger Physical Damage to Your Non-Owned Air i ) each non-owned ' aircraft THIS CERTIFICATE HOLDER IS AN ADDITIONAL INSU' _' HWRESPECT TO THEIR VICARIOUS RESPONSIBILITY FOR THE OPERATION OF NON-OWN I K NAMED INSURED The Aviation Managers have made provision to give the certificate holder prompt notice of cancellation of any policy above. But, the Aviation Managers assume no responsibility for failure to provide such notice. This certificate does not chance in an wa the actual coveraoes orovided b the olic lies soecified above. Certificate No. w: ,e: (Authorized Representative) Date of Issue By NOLAD30 (1/01) DUAL FLIGHT INSTRUCTION USE ENDORSEMENT (NON-OWNED AIRCRAFT) In consideration of an additional premium of $ , Item 4 on Page One is amended to include Dual Flight Instruction, flight reviews and check rides to others for hire or reward, subject to the following: a) Exclusion 1. h) iv) is deleted, but only while you are in the non-owned aircraft for the purpose of providing dual flight instruction, a flight review, or a check ride. D ) You must have a current and valid Certified Flight Instructor certificate with the necessary ratings as required by the FAA for the non-owned aircraft and flight instruction involved. C) Coverage is extended to a loss or occurrence arising from your professional malpractice as respect dual flight instruction, flight reviews, or a check ride conducted by you in a non-owned aircraft THIS ENDORSEMENT IS USED TO PERMIT THE NAMED INSURED TO CONDUCT DUAL FLIGHT INSTRUCTION IN NON-OWNED AIRCRAFT. ADDITIONALLY, THIS ENDORSEMENT PROVIDES COVERAGE FOR PROFESSIONAL LIABILITY (NEGLIGENT INSTRUCTION) . THIS ENDORSEMENT IS OPTIONAL AND SUBJECT TO AN ADDITIONAL PREMIUM. All other provisions of this policy remain the same. This endorsement becomes effective to be attached to and hereby made a part of Policy No. issued to By Endorsement No. Date of Issue By Authorized Representative) LAD39 (2/02)CIVIL AIR PATROL ENDORSEMENT In consideration of an additional premium of $ , the coverage provided by this policy is amended to include Civil Air Patrol missions defined as flights in conjunction with or on behalf of the Civil Air Patrol. Civil Air Patrol uses include, but are not limited to, search and rescue missions, aerial photography, courier flights, and aerial surveillance flights ordered by a corporate officer of the Civil Air Patrol or his/her designee Coverage provided by this endorsement shall not apply to: 1) indirect or consequential loss or occurrence arising from Civil Air Patrol flights 2) loss or occurrence as a result of failure to perform a mission or flight. THIS ENDORSEMENT IS USED TO PERMIT FLIGHTS WITH OR ON BEHALF OF THE CIVIL AIR PATROL. THIS ENDORSEMENT IS OPTIONAL AND SUBJECT TO AN ADDITIONAL PREMIUM. All other provisions of this policy remain the same. This endorsement becomes effective to be attached to and hereby made a part of Policy No. Issued to By Endorsement No. Date of Issue By Authorized Representative) LAD847 (4/03)ADDITIONAL INSURED ENDORSEMENT (NON-OWNED AIRCRAFT) In consideration of an additional premium of $ , your employer, for which you are a regular employee and acting within the scope of your employment, is included as additional insured as follows but only with respect to their vicarious responsibility for the operation of the non-owned aircraft by you. The coverage provided by this endorsement shall not apply: 1. if the Additional Insured is the owner or lessor of the non-owned aircraft; 2. to any loss or occurrence arising out of the additional insured's: a) activities involving the manufacture, sale, repair or service of aircraft or aircraft parts, s, components or accessories, or b) operations of any airport, hangar facility, flying service or pilot activity. Additional Insured: THIS ENDORSEMENT IS USED TO INCLUDE THE NAMED INSURED'S EMPLOYER AS AN ADDITINOAL INSURED. THIS ENDORSEMENT IS OPTIONAL AND SUBJECT TO AN ADDITIONAL PREMIUM. All other provisions of this policy remain the same. This endorsement becomes effective to be attached to and hereby made a part of Policy No issued to By Endorsement No. Date of Issue By (Authorized Representative) LAD260 (1/01)