Opinion ID: 1181020
Heading Depth: 2
Heading Rank: 2

Heading: airport leases and insurance policy provisions

Text: At the time of the accident, JAL had leased from the state eight areas at Anchorage International Airport for its ticket counter, gate, baggage, and office operations. Each of the leases were substantially identical with regard to applicable covenants and conditions. The leases contained a clause requiring JAL to indemnify, defend, and save harmless the state from claims arising in connection with JAL's use of the leased premises. [4] In addition, the leases contained a paragraph requiring JAL to maintain insurance protecting the state against comprehensive public liability, products liability and property damage. [5] In compliance with the insuring clause of the leases, JAL furnished the state with a Certificate of Insurance on a state-supplied form. The certificate described the insurer as Appleton & Cox/Lloyds, London, [6] noted that the limits of liability were at least $50,000 per accident for property damage, and described the State of Alaska as an additional insured. The policy to which the certificate refers was issued to JAL by the Underwriters. It applies to JAL and additional insureds from numerous places in the United States and Canada. The insuring agreement states in part: The Insurers hereby agree with the Insured, named in the declarations, ... INSURING AGREEMENTS COVERAGE B  PROPERTY DAMAGE LIABILITY. To pay on behalf of the Insured all sums which the Insured shall become legally obligated to pay as damages because of injury to or destruction of property, including the loss of use thereof, caused by an occurrence and arising out of the hazards hereinafter defined. The section entitled Definition of Hazards reads in part: Division 1  Premises  Operations. The ownership, maintenance or use of all buildings and/or premises utilized by Japan Air Lines personnel in the scope of their employment by Japan Air Lines and/or for which Japan Air Lines are responsible, and all airport and airline operations necessary or incidental thereto. The policy expressly excludes hazards related to certain aircraft: THIS POLICY DOES NOT APPLY: (a) Under Division 1 of the Definition of Hazards, to (1) any aircraft owned by, hired by or for, or loaned to the Insured or to any aircraft in flight by or in the interest of the Insured... . The limit of liability for property damage under the premises operations division of the policy is $1 million for each occurrence. The policy also contains a cross-liability clause which states: The inclusion of more than one corporation, person, organization, firm or entity as insured under this Policy shall not in any way affect the rights of any such corporation, person, organization, firm or entity as respects any claim, demand, suit or judgment made, brought or recovered by or in favour of any other Insured, or by or in favour of any employee of such other Insured, this Policy shall protect each corporation, person, organization, firm or entity in the same manner, as though a separate Policy had been issued to each: but nothing herein shall operate to increase the Insurers' liability as set forth elsewhere in this Policy beyond the amount or amounts for which the Insurers could have been liable if only one person or interest had been named as Insured. Finally, the policy includes a severability of interests clause which states that: [t]he term `the Insured' is used severally and not collectively.