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operations or businesses, ar in any way associated with this Agreement, whether or not
<br /> caused, in whole or in part,by the negligence of FIRST TRANSIT or its agents, servants or
<br /> employees,provided,however,that the CITY shall have no obligation to indemnify FIRST
<br /> TRANSIT for criminal penalties or fraud committed by any of FIRST TRANSIT's resident
<br /> management personnel.
<br /> 17. INSURANCE
<br /> A. In furtherance of its obligations under Section 16 above and not in limitation thereof,
<br /> the CITY shall furnish and maintain,at its sole cost and expense,at all times during
<br /> the term of this Agreement and any renewal or extension thereof,(i)a standard policy
<br /> of automobile liability insurance having a combined single limit of not less than
<br /> $5,000,000 per occurrence insuring FIRST TRANSIT,as it is defined above, for the
<br /> ownership, maintenance, use or operation of the buses and other vehicles used in
<br /> connection with the management and operation of the Transit System,or in any way
<br /> associated with this Agreement, (ii) a standard policy of general liability insurance
<br /> having a combined single limit of not less than $5,000,000 per occurrence insuring
<br /> FIRST TRANSIT,its agents,servants and employees for their acts and omissions in
<br /> connection with the management and operation of the Transit System pursuant to this
<br /> Agreement,and(iii)a standard policy of workers'compensation insurance covering
<br /> all employees utilized in the operation of the Transit System in accardance with
<br /> applicable law,together with employer's liability coverage of not less than$500,000
<br /> per employee per accident and$500,000 per employee for disease. Each such policy
<br /> (a) shall be written by an insurer reasonably acceptable to FIRST TRANSIT, (b)
<br /> shall, with the exception of the workers'compensation policy,be endorsed to name
<br /> FIRST TRANSIT,as defined above,as additional insureds,(c)shall provide that the
<br /> coverage afforded thereby is primary as to FIRST TRANSIT, and(d) shall provide
<br /> that it cannot be cancelled or materially altered without thirty(30)days prior written
<br /> notice to FIRST TRANSIT. Upon request the CITY shall provide FIRST TRANSIT
<br /> with certificate(s) evidencing compliance with the provisions of this section 17.A.
<br /> B. The CITY shall indemnify, defend and hold harmless FIRST TRANSIT, its agents,
<br /> servants and employees from and against any and all loss,liability, claims, damage,
<br /> and expenses (including, without limitation, reasonable attorneys' fees and court
<br /> costs),resulting from or arising out of the CITY's failure to furnish and maintain the
<br /> insurance policies required by Subsection 17.A.above in accordance with the terms
<br /> thereof. In the event of any such failure, FIRST TRANSIT may, at its sole option,
<br /> furnish such policy or policies without prejudice to any other remedy FIRST
<br /> TRANSIT may have. The cost and expense of furnishing and maintaining such
<br /> policy or policies shall be deemed an operating expense of the Transit System
<br /> payable in accordance with the provisions of Section 9. The foregoing shall not,
<br /> however, apply to criminal penalties or fraud committed by any of FIRST
<br /> TRANSIT's resident management personnel.
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