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<br />Section 7.3. Insurance Requirements.
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<br />(a) Insurance Policies. All insurance policies required by this Article shall be taken
<br />out and maintained with insurance companies acceptable to Lessor and shall contain a
<br />provision that thirty (30) days prior to any change in the coverage the insurer must provide
<br />written notice to the insured parties. No insurance shall be subject to any co-insurance clause.
<br />Each insurance policy shall name Lessor and/or its assigns as an additional insured party and
<br />loss payee regardless of any breach of warranty or other act or omission of Lessee and shall
<br />include a lender's loss payable endorsement for the benefit of Lessor and/or is assigns. Prior to
<br />the delivery of Equipment, Lessee shall deposit with Lessor evidence satisfactory to Lessor of
<br />such insurance and, prior to the expiration thereof, shall provide Lessor evidence of all renewals
<br />or replacements thereof.
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<br />(b) Self Insurance. With Lessor's prior consent, Lessee may self-insure the
<br />Equipment by means of an adequate insurance fund set aside and maintained for that purpose
<br />which must be fully described in a letter delivered to Lessor in form acceptable to Lessor.
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<br />(c) Evidence of Insurance. Lessee shall deliver to Lessor upon acceptance of any
<br />Equipment evidence of insurance which complies with this Article VII with respect to such
<br />Equipment to the satisfaction of Lessor.
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<br />Section 7.4. Risk of Loss. To the extent permitted by applicable laws of the State, as
<br />between Lessor and Lessee, Lessee assumes all risks and liabilities from any cause whatsoever,
<br />whether or not covered by insurance, for loss or damage to any Equipment and for injury to or
<br />death of any person or damage to any property. Whether or not covered by insurance, Lessee
<br />hereby assumes responsibility for and agrees to indemnify Lessor from all liabilities,
<br />obligations, losses, damages, penalties, claims, actions, costs and expenses, including reasonable
<br />attorneys' fees, imposed on, incurred by or asserted against Lessor that relate to or arise out of
<br />this Agreement, including but not limited to, (a) the selection, manufacture, purchase,
<br />acceptance or rejection of Equipment or the ownership of the Equipment, (b) the delivery, lease,
<br />possession, maintenance, use, condition, return or operation of the Equipment, (c) the condition
<br />of the Equipment sold or otherwise disposed of after possession by Lessee, (d) the conduct of
<br />Lessee, its officers, employees and agents, (e) a breach of Lessee of any of its covenants or
<br />obligations hereunder, (0 any claim, loss, cost or expense involving alleged damage to the
<br />environment relating to the Equipment, including, but not limited to investigation, removal,
<br />cleanup and remedial costs, and (g) any strict liability under the laws or judicial decisions of
<br />any state or the United States. This provision shall survive the termination of this Agreement.
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<br />Section 7.5. Destruction of Equipment. Lessee shall provide a complete written report to
<br />Lessor immediately upon any loss, theft, damage or destruction of any Equipment and of any
<br />accident involving any Equipment. Lessor may inspect the Equipment at any time and from
<br />time to time during regular business hours. If all or any part of the Equipment is stolen, lost,
<br />destroyed or damaged beyond repair ("Damaged Equipment"), Lessee shall within thirty (30)
<br />days after such event either: (a) replace the same at Lessee's sole expense with equipment
<br />having substantially similar Specifications and of equal or greater value to the Damaged
<br />Equipment immediately prior to the time of the loss occurrence, such replacement equipment to
<br />be subject to Lessor's approval, whereupon such replacement equipment shall be substituted in
<br />the applicable Lease and the other related documents by appropriate endorsement or
<br />amendment; or (b) pay the applicable Prepayment Price of the Damaged Equipment
<br />determined as set forth in the related Equipment Schedule. Lessee shall notify Lessor of which
<br />course of action it will take within fifteen (15) days after the loss occurrence. If, within forty-five
<br />(45) days of the loss occurrence, (a) Lessee fails to notify Lessor; (b) Lessee and Lessor fail to
<br />execute an amendment to the applicable Equipment Schedule to delete the Damaged
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