If the Company fails to obtain or maintain any insurance policy or endorsement required by this Agreement, the LGU shall have the right but not the obligation to procure such insurance policy or endorsement at the Company's expense. If the Company fails to reimburse the LGU within seven (7) Days after being notified of the LGU's payment of any insurance premium to obtain the needed insurance cover, the LGU can enforce reimbursement from the Performance or Operating Security in effect at that time. If the Performance or Operating Security is insufficient, the LGU shall deduct the cost of insurance from any amount due and payable by the LGU to the Company under this Agreement.