Common use of Coverage Territory Clause in Contracts

Coverage Territory. The insurance afforded by this Policy applies worldwide. Where suits are brought or Claims are made outside of the United States of America and its territories and possessions, Puerto Rico, or Canada, the following additional provisions apply: A. The Insurer shall have the right but not the duty to investigate, defend or settle any such Claims brought against an Insured; B. If the Insurer elects not to investigate, defend or settle any such Claim, the Insured shall, under the Insurer’s supervision, arrange for such investigation and defense thereof as is reasonably necessary and subject to the Insurer’s prior authorization, shall effect such settlement thereof as the Insurer and the Insured deem expedient; C. The Insurer will reimburse the Insured for the reasonable cost of such investigation and defense and the amount of any settlement or judgment in excess of the Retention amount stated in the Declarations, all subject to and within the Limits of Liability stated in the Declarations; and D. Such reimbursement shall be made in United States currency at the rate of exchange prevailing on the date the judgment is rendered or the date that the amount of the settlement is agreed upon or the date expenditure is made.