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SURCHARGES PROVISION <br /> SAFECO will reimburse surcharges required by state statute and/or regulations . In order for surcharges to <br /> be considered Covered Expenses under the Excess Loss Policy, the provider bills must be for Covered <br /> Expenses according to the terms of the Employee Benefit Plan . <br /> EXCLUSIONS AND LIMITATIONS <br /> SAFECO will not reimburse any expenses that are : <br /> a . surcharges made on a per Covered Unit or Covered Family Unit basis ; or <br /> b , penalties or fines assessed by a state against the Participating Employer. <br /> LGC 8816 11 /01 <br />