Document Sample
Lessor+providing+physical+damage+coverage Powered By Docstoc
					            Lessor providing physical damage coverage; lessee providing liability coverage.


 Customer Provides Liability Insurance Coverage Lessor Provides Physical Damage Insurance Coverage

   This Schedule "I" is attached to and made a part of the Truck Lease and Service Agreement between
    _________ a division of _________("Lessor") and _________ ("Customer") dated _________(the

    A. Liability Coverage: Customer agrees, at its own expense, to provide and maintain, at all times during
the term of the Agreement, bodily injury and property damage insurance covering the vehicle(s).

   Customer will obtain the insurance coverage with an insurance carrier and in a form satisfactory to
Lessor, naming Lessor and any other party designated by Lessor as an additional insured. Customer will
provide Lessor with a certificate of such insurance, specifying that such insurance coverage cannot be
cancelled, terminated or materially changed without thirty (30) days prior written notice to Lessor. In the
event that Customer fails to provide and maintain the required insurance coverage or fails to furnish Lessor
with required evidence of such insurance, Lessor is authorized but not required to obtain such insurance on
behalf of Customer and Customer agrees to pay Lessor for the cost of the insurance provided.

   Such insurance will have minimum limits of:

   $............................................... per person per
                                                    occurrence for bodily
   $...............................................for all persons per     OR $_____   for all bodily injury to
                                                    occurrence for bodily              all persons and for all
   $............................................... for damage to property             damage to property per
                                                    per occurrence                     occurrence (combined
                                                                                       single limit)

Customer will indemnify and hold Lessor harmless from any and all claims, demands and liabilities due to
the ownership, maintenance, condition, use or operation of said vehicles not covered by such insurance
and/or in excess of the limits above.

   B. Physical Damage Coverage: Lessor relieves Customer from all liability for loss, damage or
destruction of the vehicle(s) by collision, fire, theft and causes customarily covered by comprehensive
physical damage insurance, in excess of the first $_____ per vehicle, which deductible Customer will pay
Lessor promptly upon any such loss.

   Notwithstanding the above, Customer will be responsible for all physical damage to, or loss of, the
vehicles from the following causes: (1) operation of the vehicles during periods of strike, riot, or civil
commotion, regardless of the employment of person or persons causing damage; (2) collision with
overhead objects; (3) loading or unloading of the vehicles; (4) causes other than collision, fire, theft and
causes customarily covered by comprehensive physical damage insurance.

    Customer will notify Lessor immediately of the theft of, loss or damage to, any vehicle, and in the case
of physical damage, Lessor will determine if the vehicle is road worthy and safe to continue in operation.
    In the event of theft or total loss of any vehicle and provided Customer has paid all amounts due under
this Agreement, Lessor, at its option, will within 30 days: (1) terminate this Agreement as to such vehicle
or; (2) provide a replacement vehicle for the remainder of the lease term subject to all terms and conditions
of this Agreement.

    C. Requirements: The insurance provided by Lessor is not valid when vehicles are in Mexico. Customer
will indemnify and hold Lessor harmless from any and all claims, demands and liabilities arising out of the
use or operation of the vehicles in Mexico and will be responsible for all physical damage to, or loss of, the
vehicles while located in Mexico.

   Lessor will have the right at any time to terminate any insurance coverages upon giving Customer 30
days prior written notice, whereupon Customer will be required to provide insurance coverages in amounts,
with companies and with evidence satisfactory to Lessor. In the event of the termination of insurance
coverage provided by Lessor, Customer's Fixed Weekly Charges will be reduced in an amount equal to the
cost of such insurance as indicated in the applicable Schedule "A."

    D. Vehicle Contents: Loading or Unloading: Lessor will not be liable for loss of, or damage to, any
goods, cargo or property ("property") left in or upon any vehicle at any time or place, including a garage or
location operated by Lessor (whether or not said loss or damage was caused by or related to the negligence
of Lessor, its agents, servants or employees) and Customer agrees to indemnify Lessor and Lessor's insurer
from all liability for any loss of, or damage to, Customer's property or any property in Customer's care or
custody while said property is in or upon such vehicle or while such property is being loaded onto or
unloaded from any vehicle. Customer will indemnify and hold Lessor harmless from any claims, demands
and liabilities resulting from injury to any person or loss of, or damage to, any property which arises from
the loading or unloading of any vehicle.

    E. Defense and Prosecution of Claims: Customer and its agents and employees will cooperate with
Lessor and any insurer in the reporting, investigation, prosecution or defense, and in any other manner
reasonably requested by Lessor, respecting all accidents, claims or suits arising from the operation of the
vehicles and will promptly deliver to Lessor all papers or notices served upon or delivered to Customer, its
agents or employees. Without limiting the foregoing, Customer will notify Lessor immediately upon the
happening of any accident involving a vehicle and will cause the driver involved to complete the accident
report form supplied by Lessor and to otherwise cooperate within the meaning of this paragraph.

Dated: _________
Customer: _________                                                                     Lessor: _________
By: _________                                                                              By: _________
Name & Title: _________                                                            Name & Title: _________

Shared By: