THE HOTELS, WITH EQUIVALENT COVERAGE AS THAT PROVIDED BY THE USUAL EXTENDED
COVERAGE ENDORSEMENTS, IN AN AMOUNT EQUAL TO ONE HUNDRED PERCENT (100%) OF THE
THEN FULL REPLACEMENT COST OF THE PROPERTY REQUIRING REPLACEMENT (EXCLUDING
FOUNDATIONS) FROM TIME TO TIME, INCLUDING AN INCREASED COST OF CONSTRUCTION
ENDORSEMENT;
(B)
BUSINESS INTERRUPTION AND BLANKET EARNINGS PLUS EXTRA EXPENSE
UNDER A RENTAL VALUE INSURANCE POLICY OR ENDORSEMENT COVERING RISK OF LOSS
DURING THE LESSER OF THE FIRST TWELVE (12) MONTHS OF RECONSTRUCTION OR THE
ACTUAL RECONSTRUCTION PERIOD NECESSITATED BY THE OCCURRENCE OF ANY OF THE
HAZARDS DESCRIBED IN SUBPARAGRAPH (A) ABOVE, IN SUCH AMOUNTS AS MAY BE CUSTOMARY
FOR COMPARABLE PROPERTIES MANAGED OR LEASED BY MANAGER OR ITS AFFILIATES IN THE
SURROUNDING AREA AND IN AN AMOUNT SUFFICIENT TO PREVENT OWNER OR PURCHASER FROM
BECOMING A CO-INSURER;
(C)
COMMERCIAL GENERAL LIABILITY INSURANCE, INCLUDING BODILY INJURY
AND PROPERTY DAMAGE (ON AN OCCURRENCE BASIS AND ON A 1993 ISO CGL FORM OR ON A
FORM CUSTOMARILY MAINTAINED BY SIMILARLY SITUATED HOTELS, INCLUDING, WITHOUT
LIMITATION, BROAD FORM CONTRACTUAL LIABILITY, INDEPENDENT CONTRACTOR'S HAZARD
AND COMPLETED OPERATIONS COVERAGE, AGGREGATE LIMIT AS APPLICABLE) IN AN AMOUNT
NOT LESS THAN TWO MILLION DOLLARS ($2,000,000) PER OCCURRENCE AND UMBRELLA
COVERAGE OF ALL SUCH CLAIMS IN AN AMOUNT NOT LESS THAN FIFTY MILLION DOLLARS
($50,000,000) PER OCCURRENCE;
(D)
FLOOD (IF A HOTEL IS LOCATED IN WHOLE OR IN PART WITHIN AN AREA
IDENTIFIED AS AN AREA HAVING SPECIAL FLOOD HAZARDS AND IN WHICH FLOOD INSURANCE
HAS BEEN MADE AVAILABLE UNDER THE NATIONAL FLOOD INSURANCE ACT OF 1968, AS
AMENDED, OR THE FLOOD DISASTER PROTECTION ACT OF 1973, AS AMENDED (OR ANY
SUCCESSOR ACTS THERETO)) AND INSURANCE AGAINST SUCH OTHER
65
HAZARDS AND IN SUCH AMOUNTS AS MAY BE AVAILABLE UNDER THE NATIONAL FLOOD
INSURANCE PROGRAM AND CUSTOMARY FOR COMPARABLE PROPERTIES IN THE AREA;
(E)
WORKER'S COMPENSATION INSURANCE COVERAGE FOR ALL PERSONS EMPLOYED
BY MANAGER AT THE HOTELS WITH STATUTORY LIMITS AND OTHERWISE WITH LIMITS OF AND
PROVISIONS IN ACCORDANCE WITH LEGAL REQUIREMENTS AND EMPLOYER'S LIABILITY
INSURANCE AS IS CUSTOMARILY CARRIED BY SIMILAR EMPLOYERS WHICH COVERAGE SHALL BE
WRITTEN BY AN INSURANCE COMPANY OF RECOGNIZED RESPONSIBILITY, AS A QUALIFIED
SELF-INSURER SUBJECT TO APPLICABLE STATE REQUIREMENTS AND APPROVALS, OR SPECIFIC
TO THE STATE OF TEXAS, AS A NONSUBSCRIBER;
(F)
EMPLOYMENT PRACTICES LIABILITY INSURANCE WITH LIMITS OF TWENTY
FIVE MILLION DOLLARS ($25,000,000); AND
(G)
SUCH ADDITIONAL INSURANCE AS MAY BE REQUIRED, FROM TIME TO TIME BY
(I) ANY LEGAL REQUIREMENT, (II) ANY HOLDER OF AN AUTHORIZED MORTGAGE OR (III)
WHICH IS OTHERWISE REASONABLY REQUIRED UPON ADVANCE NOTICE GIVEN TO MANAGER IN
ACCORDANCE WITH THE TERMS HEREOF.
13.2
INSURANCE POLICIES.
(A)
ALL INSURANCE PROVIDED FOR UNDER THIS ARTICLE 13 MUST BE EFFECTED
BY POLICIES ISSUED BY INSURANCE COMPANIES OF GOOD REPUTATION AND OF SOUND
FINANCIAL RESPONSIBILITY AND WILL BE SUBJECT TO OWNER'S REASONABLE APPROVAL.
(B)
ALL INSURANCE POLICIES (OTHER THAN WORKERS' COMPENSATION POLICIES)
SHALL BE ISSUED IN THE NAME OF PURCHASER WITH MANAGER AND OWNER AND ANY HOLDER
OF AN AUTHORIZED MORTGAGE BEING NAMED AS