1. NAESIP – Product & Service Module 102 Presented by: David A. Quinn, CIC, ARM, CRM NAESIP, LLC One International Blvd., Suite 350 Mahwah, NJ 07495 Direct Line: 201-661-2404 Direct Fax: 201-661-7308 Email: dquinn@naesip.com National Alliance Environmental Specialist Insurance Program

2. NAESIP overview  Introduction  Nuts & Bolts of the Product  Section I. GL, Poll, Prof. and Excess  Section II. Property, Inland Marine, Crime and Business Automobile  Section III. Workers’ Compensation  Coverage Checklist – Explained  NAESIP Value Added Services  Association Affiliations  More Than Just Insurance  What is the next step? “Just put it out there and good things will return to you”

3. Introduction The mission of NAESIP is to provide insurance products and value added services to the environmental industry. Insured’s obtain additional value because we find ways to promote safety, education and loss control methods that will help individual environmental companies become safer, healthier and possibly more profitable. We will accomplish our objectives by working with a team of educated agents who promote NAESIP’s insurance products and value added services. NAESIP will make these services available on a website along with other marketing and risk management tools. This becomes a win /win situation for the insured's, the insurance companies and the agents who sell the program and services.

4. NAESIP’s Nuts and Bolts Insurance & Value Added Services: The Insurance Product can be broken down into three sections: I. General Liability, Pollution, Professional and Excess II. Property, Inland Marine, Crime, Business Automobile III. Workers’ Compensation

5. I. General Liability, Pollution, Professional and Excess Policies / Also go to www.naesip.com for more informationwww.naesip.com

6. II. Property, Inland Marine, Crime, and Business Automobile / Also go to www.naesip.com for more informationwww.naesip.com There is no stone unturned when it comes to recognizing and insuring the various types of property ex- posures. Our risk management plan has identified property exposures within the four walls of an office to equipment on a jobsite. Special consideration is needed with valuation of the equipment to ensure the proper replacement at time of loss.

7. II. Property, Inland Marine, Crime, and Business Automobile / Also go to www.naesip.com for more information (Continued)www.naesip.com Frequency of claims is by far the nemesis of a profitable program and just about inherent in every business automobile fleet exposure. NAESIP fleet safety program and MVR requirement must be adhered to in order to insure long-term profitability and growth. Environmental drill rigs, Geo-probes, trailers, mobile labs, trucks, vans and private passenger vehicles are some of the types of vehicles you will be insuring. Because of the number of vehicles; driver selection and safety awareness are important aspects of the NAESIP program and value added services. For more details regarding coverage’s please go to our website.

8. III. Workers’ Compensation / Also go to www.naesip.com for more informationwww.naesip.com There are a number of possible outlets for the workers’ compensation. From State plans to mono-line programs that should be reviewed. Premiums in excess of $20,000 NAESIP can handle even with modifications over 1.0. and aggressive payment plans are available. See the value added services for medical monitoring and hazwopper classes involving the safety of the environmental employee.

9. Coverage Checklist Breakdown of exposures by a checklist PROPERTY / INCOME PROTECTIONAB Accounts Receivable Boiler & Machinery Building Ordinance or Law Business Income (Direct or Contingent) Earthquake Extra Expenses Flood Forgery & Alteration Glass Leasehold Improvement Off Premises Power Interruption Property (Building & Personal) Rental or Fee Income Signs Valuable Papers The property / Income Protection section is designed to identify the property exposures that may exist within the four walls of an office or building. The most common items identified are property (including EDP) and Extra Expense. If Agreed Value option is desired a signed statement of valuation must be on file.

10. Coverage Checklist (Continued) MARINE/TRANSITAB Bailee’s Coverage (Personal Property of Others) Builders Risk Cargo Computer/EDP Contractor's Equipment Installation Floater Mobile Equipment Ocean Marine Transit or Transportation The Marine / Transit is designed to find property exposures that may move outside of the four walls of a business. Job site, transit and equipment exposures are most common. Computers with total values over $12,000 should be separately scheduled and covered under the inland marine form.

11. Coverage Checklist (Continued) AUTOMOBILEAB Automobile (Owned & Leased Vehicles) Drive Other Car Liability Drive Other Car Physical Damage Garage Liability Hired Car Physical Damage Hired/Non-Owned Auto Liability Rental Car Coverage Underinsured Motorists Uninsured Motorists Broadened No Fault (PIP) The business automobile exposure can range from no vehicles but with a non- owned & hired exposure to a fleet of 100 or more vehicles. By far the frequency of claims activity is in the business automobile exposure. Proper scheduling, valuation and the willingness of the insured to incorporate a risk management program for their fleet and drivers is necessary to be insured in NAESIP.

12. Coverage Checklist (Continued) THIRD- PARTY GENERAL LIABILITYAB Directors' and Officers' Liability General Liability (BI & PD) Liquor Liability Personal Injury Rail Road Protective Many times we will insure the general liability, pollution and professional exposures under one policy. Overlooked may be a D&O exposure where the insured has their own D&O or they sit on outside boards. In addition, some care should be taken when an insured works within 50 feet of a railroad as the normal CGL policy is restrictive to providing this coverage. NAESIP is working on a RRP program for it’s member insured’s to cover this gap in exposure.

13. Coverage Checklist (Continued) ENVIRONMENTAL LIABILITYAB E & O &/or Professional On-Site Pollution Job site Pollution Transit Pollution Tank Pollution For the purposes of this program we are using Professional Liability and E & O interchangeably. This policy form is almost always written on a claims made basis and some attention must be given to the retro-active date and the history of coverage to the inception of this date. Much of what fits in NAESIP is always going to be a job site exposure. No products should be considered under NAESIP. An exposure that can be overlooked is the transit pollution as well as an on-site pollution exposure perhaps back at an owned or rented facility. Both exposures need to be scheduled and insured with a specialized endorsement to the pollution policy. Some insured’s have mobile tanks that go to a job site as well as fixed tanks back at their facility. The tanks need to be underwritten separately and scheduled on a tank policy.

14. Coverage Checklist (Continued) EXCESS LIABILITYAB Umbrella &/or Excess Limits Job Specific Excess Needs You will have many discussion regarding the need to have excess limits to meet contractual requirements. This can range from 1 to 10 million. Because excess limits are more affordable we encourage the insured’s to purchase excess over their GL, Poll and Prof as well as automobile and workers’ compensation. In some rare situations, it can be cost effective to purchase up say pollution only and for one specific job. (Depends on contract requirements) This is advantageous to the insured since the cost may be bourn by the insured and allow them more profitability in the job.

15. Coverage Checklist (Continued) EMPLOYERS LIABILITY & BENEFITSAB Employee Benefits Liability Employers Liability Employment Related Practices ERISA Bond Fidelity/Employee Dishonesty Fiduciary Liability Other States Broadening Endorsement Stop Gap Liability USL&H and/or Jones Act Workers Compensation The health and wealth of the environmental business is very important to NAESIP. Understanding the HR needs; that is key people who have the knowledge and are responsible for certain portions of the operations and therefore revenue of the organization is very important. Also one should review medical monitoring of the employees and their physical condition to handle their job responsibilities also falls under HR issues. Some consideration must be give to employees who live and work in other states. Worker’s compensation policies written in State funds will be restrictive to other states. Employees who work in and around navigatable waters will have a USL&U exposure which must be specifically endorsed. Disgruntled employees, wrongful promotion, hiring and firing practices are definite exposures that should be give some consideration and review. NAESIP is actively involved with outside sources and organizations to help manage the above areas through our value added services.

16. Coverage Checklist (Continued) SPECIAL EXPOSURES/COVERAGESAB Aviation Contractor's Performance Bond Group Accident, Health & Disability Group Life Insurance International/Foreign Exposures Internet Liability & Cyber Risk Protection Mold, Fungi and/or EFIS Rigger’s Liability Terrorism Certified (TRIA) Travel Accident Warehouse Legal Liability Some other area’s to consider are; Travel (USA & Abroad) Bonding Health Benefits Life (Perpetuation of the business) Terrorism Mold Issues for the contractor and consultant that work with this exposure. A specialized endorsement is needed to find coverage.

17. Coverage Checklist (Continued) RISK MANAGEMENT REVIEWY/N Fleet Safety Program w/MVR Criteria Proper Valuation Technique for Equipment Medical Monitoring of Employees NAESIP has developed a risk management process and a technique unique only to NAESIP which is designed to identify property and liability exposures, risk map the exposures comparative to an organizations financial needs and prioritize them so that we can incorporate a risk management plan to control those exposures. The techniques we are using are very similar to the “Commercial Risk Management” (CRM) program widely used by risk managers and insurance agents across the country. NAESIP would like to work with the agent and your insured to continually update our data and to bring you the latest in asset protection which ultimately will benefit the environmental industry – insured and insurance company.

18. NAESIP Value Added Services NAESIP is actively involved with outside vendors to help promote (at reduced costs) services which will directly impact the health and wealth of the environmental industry. These services can be found at www.naesip.com. www.naesip.com If you are a member insured in NAESIP, a member of the Alliance of Environmental Specialists (AES) association or a member of one of our other affiliated associations where NAESIP is the “trusted insurance advisor” for the association members you will have access to these services. Medical Monitoring 8 Hour hazwopper training – available on-line Fleet Safety Program MVR Facility on-line ordering Local seminars on contractual and employment practices Safety First Decal Program Rail Road Protective Training A vehicle accident kit (NAESIP Insured’s only)

19. NAESIP Association Affiliations: As a NAESIP agent you will be recognized as someone who has specialized training in the environmental insurance and as such awarded the benefit of being a “trusted insurance advisor” to a number of environmental associations. We strongly encourage you to participate in your local regions, get involved and help develop our program in your area. Also you can help NAESIP by communicating the issues in your region and allow us to find possible solutions to help the environmental industry through our insurance products and value added services. Affiliations Alliance of Environmental Specialists

20. NAESIP – Product and Service More than just insurance… By now hopefully you will begin to understand the value of NAESIP’s mission which is to provide insurance products and value added services to the environmental industry. We have a certain methodology (The NAESIP Risk Management Process) for identifying exposures and services. NAESIP is a clearing house for sharing information, products and services to our agent network around the country. We encourage you to get involved and participate in our program.

21. Request for Additional Information Contact Info: David A. Quinn NAESIP, LLC One International Blvd., Suite 350 Mahwah, NJ 07495 Direct Line: 201-661-2404 Cell Phone: 908-256-6576 Educational Module's NAESIP - Getting Started Module 101 NAESIP – Product & Service Module 102 NAESIP – The Risk Management Process 103 NAESIP – Marketing Plan Module 104

22. Appendix 1. NAESIP Coverage Checklist

23. NAESIP Coverage Checklist NAESIP COVERAGE CHECKLIST CLIENT NAME: STATE: DATE: PROPERTY / INCOME PROTECTIONABTHIRD- PARTY GENERAL LIABILITYAB Accounts Receivable Directors' and Officers' Liability Boiler & Machinery General Liability (BI & PD) Building Ordinance or Law Liquor Liability Business Income (Direct or Contingent) Personal Injury Earthquake Rail Road Protective Extra Expenses Flood ENVIRONMENTAL LIABILITYAB Forgery & Alteration E & O &/or Professional Glass On-Site Pollution Leasehold Improvement Job site Pollution Off Premises Power Interruption Transit Pollution Property (Building & Personal) Tank Pollution Rental or Fee Income Retro-Active Dates Reviewed Signs Valuable Papers & Records EXCESS LIABILITYAB Umbrella &/or Excess Limits MARINE/TRANSITAB Job Specific Excess Needs Bailee’s Coverage (Personal Property of Others) Builders Risk EMPLOYERS LIABILITY & BENEFITSAB Cargo Employee Benefits Liability Computer/EDP Employers Liability Contractor's Equipment Employment Related Practices Installation Floater ERISA Bond Mobile Equipment Fidelity/Employee Dishonesty Ocean Marine Fiduciary Liability Transit or Transportation Other States Broadening Endorsement Stop Gap Liability AUTOMOBILEAB USL&H and/or Jones Act Automobile (Owned & Leased Vehicles) Workers Compensation Drive Other Car Liability Drive Other Car Physical Damage SPECIAL EXPOSURES/COVERAGESAB Garage Liability Aviation Hired Car Physical Damage Contractor's Performance Bond Hired/Non-Owned Auto Liability Group Accident, Health & Disability Rental Car Coverage Group Life Insurance Underinsured Motorists International/Foreign Exposures Uninsured Motorists Internet Liability & Cyber Risk Protection Broadened No Fault (PIP) Mold, Fungi and/or EFIS Rigger’s Liability RISK MANAGEMENT REVIEWY/N Terrorism Certified (TRIA) Fleet Safety Program w/MVR Criteria Travel Accident Proper Valuation Technique for Equipment Warehouse Legal Liability Medical Monitoring of Employees COLUMN A: Do We Have This Exposure? Y- YES N-NO COLUMN B: How Do We Address This Exposure? 1-5 1. Has This Insurance Coverage4. Would Like Higher Limits of Insurance for This Exposure 2. Does Not Want Insurance for This Exposure5. Covered Elsewhere, Does Not Want Quote 3. No Insurance Now, But Would Like Quote