While the leased equipment is operating under Crown's authority, Crown shall maintain the public liability/financial responsibility coverage required of Crown as an authorized motor carrier and cargo coverage applicable to Crown's operations, subject to the terms, limits, exclusions, and conditions of the applicable policies. Crown's federal responsibility to the public is not transferred to Lessor by this Agreement.
Lessor is responsible for maintaining physical damage coverage on Lessor's equipment, non-trucking/bobtail liability when required or appropriate, occupational accident/workers' compensation coverage as applicable, and any other coverage specifically required in writing.
INSURANCE DEDUCTIBLE: The applicable deductible that may be charged to Lessor for a covered loss for which Lessor is contractually responsible is $5,000.00. Before deducting any deductible or insurance-related charge from settlement, Crown shall provide a written explanation/itemization and documentation sufficient to identify the loss and basis of the charge, consistent with 49 CFR § 376.12(j). Liability for a deductible is not automatic solely because an accident or claim occurred; responsibility must arise under this Agreement, the facts of the loss, and applicable law/policy terms.