Limit of Liability & Retentions

1. The Insurer shall pay one hundred percent (100%) of covered Loss in excess of the applicable Retention up to the Limit of Liability. The Limit of Liability is the Insurer’s maximum aggregate liability for all Loss arising out of all Claims first made during the Policy Period (and Extended Reporting Period, if applicable) regardless of the time of payment by the Insurer.
2. Two or more Claims based upon or arising out of the same Wrongful Act(s) or any Interrelated Wrongful Acts, shall be considered a single Claim and only one Retention shall apply. Such single Claim shall be considered first made during the Policy Period (or Extended Reporting Period, if applicable) in which the earliest Claim arising out of such Wrongful Act(s) was first made and all Loss for such Claims shall be subject to the one Limit of Liability that applies to such earliest Claim.
3. The Retention amounts listed in Item 5 of the Declarations shall apply to the covered portion of each and every single Claim. Amounts incurred by Insureds other than covered Loss shall not be applied against any applicable Retention.
4. Defense Costs shall be part of and not in addition to the Limit of Liability, and such Defense Costs shall reduce the Limit of Liability and shall be applied against the applicable Retention.