United Insurance Company

Transcription

1 United Insurance Company Utah AUTO POLICY P.O. Box Orem, UT

2 Table of Contents POLICY AGREEMENT... 4 YOUR DUTIES IN CASE OF ACCIDENT OR LOSS... 4 DEFINITIONS USED THROUGHOUT THIS POLICY... 5 PART A - LIABILITY COVERAGE... 7 INSURING AGREEMENT... 7 ADDITIONAL DEFINITIONS USED IN PART A ONLY... 7 ADDITIONAL BENEFITS - PART A ONLY... 8 EXCLUSIONS PART A ONLY... 9 LIMITS OF LIABILITY - PART A ONLY... 9 FEDERAL TORT CLAIMS ACT EXCLUSION CONFORMITY WITH STATE FINANCIAL RESPONSIBILITY LAWSd OUT OF STATE INSURANCE OTHER INSURANCE PART A ONLY Part B - PERSONAL INJURY PROTECTION COVERAGE (PIP) ADDITIONAL DEFINITIONS USED IN PIP INSURING AGREEMENT USED IN PIP EXCLUSIONS - PIP LIMITS OF LIABILITY PIP OTHER INSURANCE PIP PART C UNINSURED / UNDERINSURED MOTORISTS COVERAGE - BODILY INJURY INSURING AGREEMENT UNINSURED MOTORISTS COVERAGAGE INSURING AGREEMENT UNDERINSURED MOTORISTS COVERAGE ADDITIONAL DEFINITIONS USED IN PART C ONLY EXCLUSIONS - PART C ONLY LIMITS OF LIABILITY - PART C ONLY OTHER INSURANCE - PART C ONLY ARBITRATION - PART C ONLY UNINSURED MOTORISTS COVERAGE - PROPERTY DAMAGE 19 EXCLUSIONS 20 2

3 PART D COVERAGE FOR DAMAGE TO THE INSURED AUTO INSURING AGREEMENT ADDITIONAL DEFINITIONS USED IN PART D ONLY EXCLUSIONS - PART D ONLY LIMITS OF LIABILITY - PART D ONLY APPRAISAL - PART D ONLY PAYMENT OF LOSS - PART D ONLY PROOF OF LOSS OTHER INSURANCE - PART D ONLY NO BENEFIT TO BAILEE CAR STORAGE COVERAGE TOWING AND LABOR COVERAGE CUSTOM OR SPECIAL EQUIPMENT COVERAGE PART E GENERAL PROVISIONS POLICY PERIOD & TERRITORY PREMIUM CHANGES COVERAGE CHANGES PREMIUM PAYMENT TERMINATION 29 LIMITATIONS ON AGENT AUTHORITY ARBITRATION TWO OR MORE AUTO POLICIES TRANSFER OF YOUR INTEREST IN THIS POLICY BANKRUPTCY OUR RECOVERY RIGHTS LOSS PAYABLE CLAUSE PUNITIVE OR EXEMPLARY DAMAGES TERMS OF POLICY CONFORMED TO STATUTES FRAUD AND MISREPRESENTATION POLLUTION EXCLUSION

4 POLICY AGREEMENT This Personal Auto Policy is a binding contract between You and us. The contract includes the Declarations Page, endorsements, the Application, the Personal Auto Policy, and all attachments. We will insure You subject to the terms of this policy once You pay Your Premium payment. The Declarations Page shows a premium for each type of coverage purchased. The selected coverages in this policy apply only to an occurrence while the policy is in force. This policy contains all of the agreements between You and us and any of our agents. The terms of this policy cannot be modified by any oral agreement. Any waiver or change of any provision of this policy must be in writing by us to be valid. YOUR DUTIES IN CASE OF ACCIDENT OR LOSS In case of an Auto accident or loss, You or any person claiming coverage under his policy must: 1. Notify us promptly. You or someone for You must notify us within thirty (30) days. The notice must be given and include the time, place, and circumstance of the accident or loss. Such notice must also give the license plate numbers of the Vehicles involved, and the names and addresses of injured persons and witnesses. YOUR FAILURE TO PROMPTLY REPORT A LOSS OR ACCIDENT TO US MAY JEOPARDIZE YOUR COVERAGE UNDER THIS POLICY. 2. Cooperate with us in any matter concerning a claim or suit. 3. Provide us access, as We may reasonably require, to the recorded data contained within The insured Auto's event data recorder (EDR), global positioning system (GPS) or similar device, concerning an accident, claim or suit. 4. Submit to physical examination at our expense, by doctors We select, as often as We may require, and authorize us to obtain medical and other records. 5. Provide any written proof of loss under oath that We require. 6. Not admit any fault, assume any obligation, or agree to incur any expense concerning any claim or accident. 7. Attend hearings, depositions, and trials as We may require. 8. Send us promptly any legal papers received to any claim or suit. 9. Submit to statements or examinations under oath and subscribe to the same as We may require. 10. Allow us to take signed or recorded statements when and as often as We may require. We may examine any insured person under oath, while not in the presence of any other insured person. This examination may be about any matter relating to this insurance or the claim, including an insured person's books and records. In case of the examination, the insured person must sign their answers. A person claiming coverage for Property damage must take reasonable steps after the accident to protect the property from further loss. A person claiming coverage for loss or damage to The insured Auto must do the same. We will pay reasonable expenses for that protection. In case of any theft or vandalism of The insured Auto, You must promptly file a written report with the appropriate law enforcement agency. You must also allow us to inspect and appraise the damaged property before its alteration, repair or disposal. YOUR FAILURE TO COMPLY WITH ANY OR ALL OF THE LISTED CONDITIONS ABOVE MAY RESULT IN OUR REFUSAL TO EXTEND TO YOU ANY PROTECTION UNDER THIS POLICY FOR AN ACCIDENT OR LOSS. 4

5 DEFINITIONS USED THROUGHOUT THIS POLICY Unless defined differently elsewhere in this policy, the words and phrases listed below shall have the following meanings and shall appear in bold print. 1. "Accident" means a sudden, unexpected, and unintended event causing Bodily injury or Property damage, arising out of the Ownership, maintenance or use of an Auto. Coverage under this policy shall not apply if the insured intended the accident, or its consequences were either intended by the insured, or could have been expected from the viewpoint of a reasonable and prudent person. All Bodily injury and Property damage arising out of continuous or repeated exposure to substantially the same general conditions shall be considered as arising out of one accident. 2. "Actual cash value means Market value at the time of the loss based upon Vehicle make, model, mileage, age, condition, original and optional equipment, and comparable Vehicles available for sale within a reasonable geographic radius as documented in an electronic database of publications and dealerships, less Depreciation and/or Betterment. 3. Additional Auto" means an Auto that You become the Owner of and that You acquire or purchase during the policy period, and under this policy We insure all Autos You own or lease for a term of at least six months. To qualify as an Additional Auto under this policy, any newly acquired Auto must be an acceptable risk to us under our underwriting guidelines. 4. Application" means the form entitled Application for Insurance that contains statements, coverage options, and agreements that form part of this policy. 5. Auto means a licensed and registered motorized four wheel land Vehicle of the private passenger type intended for use on public roads. An Auto includes a pickup, van, or sport utility Vehicle, with a load capacity of lbs. or less. An Auto does not include motorcycles, midget cars, golf carts, tractors, farm machinery, ATV s, UTV s or any Vehicle operated on rails or crawler treads, moving truck or van, or any Vehicle used as a residence or premises. 6. Auto Business" means the Business of selling, leasing, repairing, servicing, delivering, testing, road testing, towing, storing, disposing of, or parking Vehicles or Trailers. 7. "Betterment" means a deduction for making an item better or adding value thereto. 8. Bodily injury" means injury to the body, including sickness or disease, resulting in impairment of physical condition, including death resulting from it, which is caused solely by an accident covered under this policy and occurring while the policy is in force. 9. "Business" means trade, profession, occupation, course of employment, job, or commercial use of any kind. Business shall not include the use of The insured Auto to carry tools and supplies between Your home and job site. 10. Crime" means any felony and includes any attempt to elude law enforcement personnel. 11. "Declarations Page" means the document You receive from us listing the types of coverage You have selected, the limit for each coverage, the cost for the coverage, the specified Autos covered by this policy, the types of coverage for each such Auto, and other information applicable to this policy. 12. "Depreciation" means the loss of value caused by physical, technological, social, and/or location deterioration. 13. "Included but are not limited to, "including but not limited to, or "includes but is not limited to means that a list of specific items that is not exhaustive and could contain other specific items not listed, but is contained within an enumerated broad general category or definition. 14. "Market value means the amount that a seller may expect to obtain for merchandise, services, or securities in the open market. 15. "Minimum Statutory Limits" means the minimum policy limits for Vehicle liability coverage required by State of Utah law. 16. "Non-owned Auto" means any Auto used by You with the express or implied permission of the Owner and not owned by, furnished, or available for the regular use of You, a Relative, or a Resident. To qualify as a Non-owned Auto under 5

6 this policy, the Auto must be an acceptable risk to us, under our underwriting guidelines. Non-owned Auto does not include a Substitute Auto. 17. Occupying" means in, upon, entering into, or exiting from. 18. "Owner" means any person who, with respect to a Vehicle, has legal title to the Vehicle, has legal possession of the Vehicle that is subject to a conditional sale agreement or mortgage, or has legal possession of the Vehicle that is leased to that person. 19. "Premium payment" means the actual receipt of cash funds by us. 20. "Property damage" means physical damage to tangible property, including destruction or loss of its use, which is caused solely by an accident covered under this policy and occurring while the policy is in force. 21. Racing means participating in any race, speed, demolition, stunt, timed contest or activity, whether organized or not. Racing includes preparation for the contest or activity. 22. "Relative" means any person related to You by blood, marriage, or adoption, including a ward or foster child, who lives in Your household, even if temporarily living elsewhere. Relative includes a minor under Your guardianship who lives in Your household. 23. Rental Vehicle means an Auto You rent or hire for a term of fourteen (14) days or less in one 30-day period while such Auto is in Your custody or is being operated by You or a Relative. An Auto You rent or hire for more than fourteen (14) days in one 30-day period is a Vehicle regularly available to You. Rental Vehicles may be rented or hired only from an entity licensed to conduct such Business under applicable State laws 24. Replacement Auto" means an Auto that You become the Owner of and that You acquire or purchase during the policy period to replace an Auto described on the Declarations Page because of: a. Termination of Your Ownership interest in an Auto described on the Declarations Page ; or b. Mechanical breakdown, theft, deterioration or Total loss of an Auto described on the Declarations Page, rendering it permanently inoperable. 25. Resident" means a person living in Your household, other than You or a Relative. 26. "State" means the District of Columbia and any State of the United States of America. 27. "Substitute Auto" means an Auto You use temporarily while an Auto described on the Declarations Page is not available for use. Use of the Substitute Auto must result directly from servicing, repair, theft, destruction, or malfunction of the Auto described on the Declarations Page. Substitute Auto does not include any Vehicle owned by You, a Resident or a Relative, or that is regularly available to You, a Resident or a Relative. 28. "The insured Auto" means: a. Any Auto described on the Declarations Page. b. Any Trailer You own while it is attached to The insured Auto. For coverage to be provided under Part D - Coverage for Damage to The insured Auto of this policy, the Trailer must be listed on the Declarations Page and a premium paid. c. A Replacement Auto. You must notify us within thirty (30) days of Your acquisition of the Replacement Auto for it to be considered The insured Auto. The Replacement Auto will have the broadest coverage, except for Part D Coverage for Damage to The insured Auto We now provide for the Auto being replaced only if You notify us within the thirty (30) day period following the acquisition of the Replacement Auto. If the Auto being replaced has coverage under Part D - Coverage for Damage to The insured Auto You must notify us within fourteen (14) days of the date You either become Owner of the Replacement Auto or You take physical possession of the Replacement Auto, whichever comes first, to continue this coverage for the Replacement Auto. If the Auto being replaced does not have coverage under Part D, We will add this coverage for the Replacement Auto effective after You ask us to do so. All insurance for the Auto being replaced ends when You take delivery of the Replacement Auto. 6

7 d. An Additional Auto. You must notify us within seven (7) days of Your acquisition of the Additional Auto for it to be considered The insured Auto. These provisions apply only if on the date You acquire the Additional Auto We insure all Vehicles You own and You ask us to insure the Additional Auto within seven (7) days of the date You acquire it. The Additional Auto will have the broadest coverage, except for Part D - Coverage for Damage to The insured Auto, We now provide on Your policy only if You notify us within the seven (7) day period following the acquisition of the Additional Auto. If any Auto listed on the Declarations Page has coverage under Part D Coverage for Damage to The insured Auto You must notify us within seven (7) days of the date You either become Owner of the Additional Auto or You take physical possession of the Additional Auto, whichever comes first, to continue coverage under Part D for the Additional Auto. If no Auto listed on the Declaration Page has coverage under Part D, We will add coverage for the Additional Auto effective after You ask us to do so. e. A Substitute Auto. A Substitute Auto is provided the same coverage as the Auto, which it temporarily replaces. For purposes of the policy any Auto leased by You under a written agreement for a continuous period of at least six (6) months is owned by You. To qualify as a Substitute Auto under this policy, the Auto must be an acceptable risk to us under our underwriting guidelines. 29. Total loss" means: a. Theft of the Vehicle if the Vehicle is not recovered within thirty (30) days; or b. Any other loss to the Vehicle that is payable under Part D Coverage for Damage to the Insured Auto if the cost to repair the damage, when added to the salvage value, exceeds the Actual cash value of the Vehicle at the time of the loss. 30. Trailer" means a device or Vehicle that is not self-propelled and is designed to be towed by an Auto, and while being towed by an insured Auto. A mobile home, travel Trailer, or any Vehicle that can be lived in or is self propelled, is not a Trailer. 31. Vehicle" means a surface transportation device used for conveying goods, passenger or equipment. 32. We," "Us," and Our" mean the company on the Declarations Page. 33. You" and "Your" mean the named insured shown on the Declarations Page and includes Your spouse, if living in the same household. PART A - LIABILITY COVERAGE INSURING AGREEMENT If the Declarations Page shows a premium charged for this coverage, We will pay damages for Bodily injury and Property damage for which an insured person is legally liable because of an accident. This shall be up to the policy limits stated on the Declarations Page. We will not cover punitive or exemplary damages. We will settle or defend, as We consider appropriate, any claim or action that the policy covers. Our duty to settle or defend ends when our limit of liability for this coverage is exhausted by payment of judgment(s) or settlement(s). We have no duty to settle or defend any claim or action that this policy does not cover. ADDITIONAL DEFINITIONS USED IN PART A ONLY As used in this part, "insured person" means: 1. You; or 7

8 2. A Relative, or a Resident 3. Any other person using The insured Auto with Your express or implied permission that has not been excluded from coverage. As used in this Part "insured person" means with respect to a Non-owned Auto or a Rental Vehicle, You, a Relative, or a Resident as described above. ADDITIONAL BENEFITS - PART A ONLY When We defend an insured person under this Part, We will provide the following benefits: 1. We will pay costs We incur to investigate the accident. 2. We will pay costs We incur to arrange for the settlement of any claim or action. 3. As We deem appropriate, We will defend the Insured person, hire and pay a lawyer, and pay all defense costs. We have no duty to defend any claim or action not covered under this policy. 4. As We deem appropriate, We will pay costs We incur to investigate and settle any claim or action. 5. We will pay the interest that accrues after judgment is entered against an insured person and before We have offered to pay or have deposited with the court sums that are not more than our limit of liability, on damages awarded in a suit We defend. 6. Will pay premiums on appeal and attachment bonds if required in an action We defend. We will neither apply for nor obtain bonds, nor pay the premium on any bond that exceeds our limit of liability. 7. We will pay up to $250 for the cost of all bail bonds for insured person resulting from any one accident. We will not apply for nor obtain any bail bond. 8. We will reimburse an insured person for their incurred lost wages, up to $150 a day, but not other income, if or when We ask that insured person to help us investigate or defend any claim or action. 9. We will reimburse any other reasonable costs an insured person incurs by our request. 10. To receive Additional Benefits under this section, You must submit a claim and provide proof entitlement thereto. EXCLUSIONS PART A ONLY READ THE FOLLOWING EXCLUSIONS CAREFULLY. COVERAGE WILL NOT BE AFFORDED UNDER THIS PART FOR ANY OF THE EXCLUSIONS LISTED BELOW. We do not cover: 1. Bodily injury or Property damage that results from nuclear reactions, radiation, or fallout. This exclusion applies to amounts of coverage above the Minimum Statutory Limits. 2. Bodily injury or Property damage covered by a nuclear energy liability policy, even if the limits of that policy are exhausted. 3. Bodily injury or Property damage caused intentionally by or at the direction of an insured person. Coverage under this Part shall not apply if the insured either intended the accident or its consequences were either intended by the insured, or could have expected them from the viewpoint of a reasonable and prudent person. 4. Bodily injury or Property damage that results from the maintenance or use of an Auto without a reasonable belief that that insured is entitled to do so. This exclusion (A.4.) does not apply to a family member using your covered auto which is owned by you unless they are an excluded driver. 5. Liability for any Bodily injury or Property damage assumed by or imposed on an insured person under any agreement, contract or bailment. 8

9 6. Bodily injury to an insured person's employee that arises during employment; Unless coverage is required under workers' compensation, disability benefits, or similar laws, We will provide coverage for an insured person s domestic employee injured in an accident in the course of employment. 7. Bodily injury occurring during the course of employment if benefits are payable or available under a workers compensation law or similar law. 8. Bodily injury or Property damage that results from the ownership, maintenance, or use of a Vehicle while used in any business, or for any business purpose, unless business use has been declared and the policy declarations shows business use. Acceptable business use does not include transporting persons or property for a fee. This exclusion does not apply to shared-expense car pools or to use by an insured person of a motor Vehicle in the course of an insured person s volunteer work for a tax-exempt organization. 9. Bodily injury to You, a Relative, or an insured person while driving The insured Auto. This exclusion applies to amounts of coverage above the Minimum Statutory Limits. 10. Bodily injury to You, a Resident or a Relative arising out of the ownership, maintenance, or use of The insured Auto. This exclusion applies to amounts of coverage above the Minimum Statutory Limits. 11. Property damage to property owned or being transported by an insured person. 12. Bodily injury or Property damage arising out of the operation of equipment or machinery not listed on the Declarations Page. 13. Property damage to property an insured person rents, uses, or has charge of, except a residence or private garage, including loss of its use. 14. Bodily injury or Property damage resulting from the ownership, maintenance, or use of any Vehicle other than The insured Auto, which is owned by, furnished or available for the regular use of You, Relative, or a Resident. 15. Bodily injury or Property damage arising out of an insured person s ownership, maintenance, or use of a Vehicle designed mainly for use off of public roads. 16. Bodily injury or Property damage from any Vehicle located inside a facility designed for Racing, for the purpose of competing in; or practicing or preparing for; any prearranged or organized Racing or speed contest. 17. Bodily injury or Property damage that is incurred while The insured Auto is leased, rented or sold to others. 18. Bodily injury or Property damage sustained by an insured person while Occupying any Vehicle used as a residence or premises. 19. Bodily injury or Property damage resulting from an Auto Business. However, this exclusion does not apply to You. This is provided that the Bodily injury or Property damage arises out of Auto Business operations conducted by someone other than You, a Relative or Resident. 20. Bodily injury or Property damage incurred while any Vehicle is used for towing a Trailer not designed for use with that Vehicle, and which is owned or rented by an insured person, and not listed on the Declarations Page. This exclusion applies to amounts of coverage above the Minimum Statutory Limits. 21. Bodily injury or Property damage resulting from the use of any Vehicle by a person or persons specifically excluded by endorsement. 22. Bodily injury or Property damage benefits payable under the "No Fault Laws" of the following States; Arkansas, Delaware, Washington DC, Florida, Hawaii, Kansas, Kentucky, Maryland, Massachusetts, Michigan, Minnesota, New York, North Dakota, Oregon, Texas, and Washington. LIMITS OF LIABILITY - PART A ONLY As to any insured person, the limits of liability shown on the Declarations Page shall apply. We will pay these limits of liability as follows: 1. The Bodily injury limit for each person" is the most We will pay for all damages, including damages for derivative claims, resulting from Bodily injury sustained by one person in one accident. 9

10 Derivative claims include, but are not limited to claims for care, loss of services, and loss of consortium. Damages for derivative claims will be payable only under the same "each person" limit of liability as the Bodily injury from which they derive. 2. The Bodily injury limit for "each accident" is the most We will pay for all damages resulting from Bodily injury sustained by more than one person in one accident. It includes all damages for care, medical expenses, loss of services, loss of society, comfort, companionship, loss of consortium, In addition, it includes any other damages in any way arising out of, or deriving from such Bodily injury. 3. The Property damage limit for "each accident" is the most We will pay for all damages to property, including loss of its use, and/or value in one accident. We will not pay Bodily injury or Property damage for any amount in excess of the Minimum Statutory Limits of the State where the accident occurs and arising out of the use of The insured Auto or any other Vehicle while the insured person is in the commission of a Crime. This includes intoxication from alcohol or drugs. Regardless of the limits of liability shown on the Declaration Page or elsewhere in this policy, the limits for Bodily injury and Property damage liability afforded by this policy to an insured person other than: 1. You; or 2. A Relative or a Resident of Your household, shall not exceed those amounts necessary to satisfy the Minimum Statutory Limits of the financial responsibility law of the State of Utah. This is the maximum We will pay regardless of the number of premiums or Autos listed on the Declarations Page, insured persons, claims, claimants, policies, or Vehicles involved in the accident. Any amount paid or payable under this coverage to or for an insured person will be reduced by any payment made to the person under Part B Personal Injury Protection Coverage or Part C - Uninsured/Underinsured Motorists Coverage of this policy when the insured person receives full compensation for the Bodily injury. An Auto and attached Trailer are considered one Auto. Therefore, our limits of liability will not be increased for any accident involving an Auto that has an attached Trailer. FEDERAL TORT CLAIMS ACT EXCLUSION The following are not insured persons under Part A of the policy; 1. The United States of America or a federal agency. 2. Any person for Bodily injury or Property damage resulting from a person acting in the scope of employment for the United States of America or a federal agency when the provisions of the Federal Tort Claims Act apply as used herein, "federal agency" means federal agency as defined in the Federal Tort Claims Act. CONFORMITY WITH STATE FINANCIAL RESPONSIBILITY LAWS When We certify this policy as proof under a State Financial Responsibility law, it will comply with that law to the extent of the coverage and limits of liability required by that law. You agree to reimburse us for any such payment that We make under the provisions of this section of the policy. 10

11 OUT OF STATE INSURANCE We will increase the policy limits to the required minimum limits of that State that requires a minimum Financial Responsibility limit for nonresidents. This shall occur if an insured person is operating an Auto in that State. No person shall be entitled to duplicate payments for the same element of loss. OTHER INSURANCE PART A ONLY Coverage for a Vehicle not listed on the Declarations Page shall be excess insurance over any other valid and collectible insurance. We will pay our proportionate share of damages and reasonable and necessary attorney fees and costs as our limit of liability bears to the total of all applicable liability limits. This is if a primary duty to defend exists under this policy and other applicable liability insurance exists. Coverage for newly acquired Autos does not apply where there is other valid and collectible insurance. However, any insurance We provide for an Auto You do not own will be primary insurance if the Auto is insured under a policy affording coverage to a named insured engaged in the Business of selling, repairing, servicing, delivering, testing, road testing, parking, towing or storing motor Vehicles. This applies only if You are operating the Vehicle and are neither the person engaged in such Business nor that person s employee or agent. Any insurance We provide for an Auto You own shall be excess to that of a person engaged in the Business of selling, repairing, servicing, delivering, testing, road testing, parking, towing or storing motor Vehicles, if the accident occurs while the Vehicle is being operated by that person s employee or agent, If You, a Relative or a Resident has other insurance against an accident covered by this Part, the following applies: We will not pay a greater proportion of the damages than the applicable limit of liability stated on the Declarations Page bears to the total applicable limits of liability of all valid and collectible insurance against any such accident. PART B PERSONAL INJURY PROTECTION COVERAGE PERSONAL INJURY PROTECTION COVERAGE Basic Personal Injury Protection Benefits Limit Of Liability Per Person Medical Expenses $3,000 Work Loss 85% of gross income up to a maximum of $250 per week, Essential Services $20 per day for essential services Funeral Expenses $1,500 Survivors' Loss $3,000 REJECTION OF LOSS OF INCOME - If Limited is indicated in the declarations, the loss of income coverage included in the work loss benefit does not apply to the "named insured" and spouse. 11

12 I.Definitions The Definitions Section is amended as follows: A. The following definitions are replaced: 1. "Family member" means: A spouse or any other person related to the "named insured" by blood, marriage or adoption, including a ward or foster child who: a. Is a resident of the "named insured's" household; or b. Usually makes his home in the same household but temporarily lives elsewhere. 2. "Occupying" means: a. Being in or upon a "motor vehicle" as a passenger or operator; or b. Engaged in the immediate act of entering, boarding or alighting from a "motor vehicle". 3. "Your covered auto" means a "motor vehicle": a. To which the bodily injury liability coverage of this policy applies and for which a specific premium is charged; and b. For which the "named insured" is required by the Utah Motor Vehicle Act to maintain security. The following definitions are added: 1. "Motor vehicle" means any: a. Self-propelled vehicle which is designed for use upon a highway, including trailers and semitrailers designed for use with such vehicles; and b. Vehicle which is propelled by electric power obtained from overhead wires but which is not operated on rails. However, "motor vehicle" does not include: a. Traction engines; b. Road rollers; c. Farm tractors or machinery; d. Tractor cranes; e. Power shovels; f. Well drillers; g. UTV s, ATV s or golf carts; h. midget cars, or i. motorcycles or motorized tricycles. 2. "Pedestrian" means any person not "occupying" or riding upon a "motor vehicle". As used in this coverage section: 1. "Insured" means: a. The "named insured" or any "family member" who sustains "bodily injury" caused by an accident involving any "motor vehicle". b. Any other person who sustains "bodily injury" caused by an accident while: (1) "Occupying" "your covered auto" with the consent of the "named insured"; (2) "Occupying" any other "motor vehicle" operated by the "named insured" or any "family member"; or (3) A "pedestrian" if the accident involves "your covered auto" and occurs in Utah. However, "insured" does not include: a. The "named insured" who sustains "bodily injury" resulting from the use or operation of any "motor vehicle", other than "your covered auto", which is owned by the "named insured". b. Any "family member" who sustains "bodily injury" resulting from the use or operation of any "motor vehicle", other than "your covered auto", which is owned by that "family member". 12

13 c. Any person, other than the "named insured" or any "family member" who sustains "bodily injury" while "occupying" any "motor vehicle" when it is being used as a public or livery conveyance. 2. "Named insured" means the person in the Declarations. II. Personal Injury Protection Coverage Insuring agreement A. Basic Personal Injury Protection Benefits - INSURING AGREEMENT 1. We will pay basic personal injury protection benefits to or for an "insured" who sustains "bodily injury". The "bodily injury" must be caused by an accident involving the use of a "motor vehicle" as a motor vehicle. 2. Subject to the limits shown in the Schedule or Declarations, basic personal injury protection benefits consist of the following: a. Medical Expenses - Reasonable expenses incurred for any necessary medical, surgical, x-ray, dental and rehabilitation services, prosthetic devices, ambulance, hospital and nursing services. This includes any non-medical remedial care and treatment rendered in accordance with a recognized religious method of healing. However, medical expenses do not include expenses in excess of those for a semiprivate room, unless more intensive care is medically required. b. Work Loss - Loss of income and earning capacity by an "insured" during his lifetime because of the inability to work during a period beginning 3 days after the date of loss of income and earning capacity resulting from the "bodily injury" and continuing for a maximum of 52 consecutive weeks. The 3 day waiting period shall not apply if the "insured's" inability to work continues for more than a total of 2 consecutive weeks after the date of loss of income and earning capacity resulting from the "bodily injury". c. Essential Services - An allowance for services actually rendered or expenses reasonably incurred for services an "insured" would have performed during his lifetime for his household had he not sustained "bodily injury". This allowance begins 3 days after the date of "bodily injury" and continues for a maximum of 365 consecutive days. The 3 day waiting period shall not apply if the "insured's" inability to perform such services continues for more than 2 consecutive weeks after the date of "bodily injury". d. Funeral Expenses - Funeral, burial or cremation expenses incurred. e. Survivors' Loss - Compensation because of an "insured's" death. We will pay survivors' loss only to natural persons who are the "insured's" heirs. B. Added Personal Injury Protection Benefits 1. If the Schedule or Declarations indicates that Added Personal Injury Protection Benefits apply, we will pay added personal injury protection benefits instead of basic personal injury protection benefits to or for the "named insured" or any "family member" who sustains "bodily injury". The "bodily injury" must be caused by an accident involving the use of a "motor vehicle" as a motor vehicle. 2. Subject to the limits shown in the Schedule or Declarations, added personal injury protection benefits consists of the following: a. Medical expenses. b. Work loss. c. Essential services. d. Funeral expenses. e. Survivors' loss. EXCLUSIONS A. We do not provide Personal Injury Protection Coverage for "bodily injury" sustained by any "insured": 1. While "occupying" a "motor vehicle", other than "your covered auto", which is: a. Owned by; or b. Furnished for the regular use of; the "named insured" or any "family member". 2. While: a. Operating "your covered auto" without the express or implied consent of an "insured"; or b. Not in lawful possession of "your covered auto". 13

14 3. If such "insured's" conduct contributed to that "insured's" injury under either of the following circumstances: a. Intentionally causing injury to that "insured"; or b. While committing a felony. 4. Arising out of the use of any "motor vehicle" while located for use as a residence or premises. B. We do not provide Personal Injury Protection Coverage for "bodily injury": 1. Due to: a. War (declared or undeclared); b. Civil war; c. Insurrection; d. Rebellion or revolution; or any act or condition incident to any of the above. 2. Resulting from the: a. Radioactive; b. Toxic; c. Explosive; or d. Other hazardous; properties of nuclear material. C. Under Basic or Added Personal Injury Protection Coverage, we do not provide for the loss of income coverage included in the work loss benefit for the "named insured" and spouse if REJECTION OF LOSS OF INCOME is indicated in the Schedule or Declarations. LIMIT OF LIABILITY A. The limits of liability shown in the Schedule or Declarations for the personal injury protection benefits that apply are the most we will pay for "bodily injury" sustained by any one "insured" injured in any one "motor vehicle" accident, regardless of the number of: 1. "Insureds"; 2. Policies or bonds applicable; 3. Claims made; or 4. "Your covered autos". B. Any amount otherwise payable under this endorsement shall be reduced by any amount paid, payable or required to be provided: 1. Under any workers' compensation law or similar law; or 2. By the United States or any of its agencies because an "insured" is on active duty in the military services. OTHER INSURANCE No one shall be entitled to receive duplicate payments for the same elements of loss under this or any other insurance. A. A. Any coverage we provide shall be primary only for "bodily injury" sustained by an "insured" in an accident arising out of the use or operation of "your covered auto". B. If the vehicle is a rental private passenger motor vehicle, the following priorities of recovery apply: FIRST PRIORITY Any source of recovery purchased by you or any "family member" from the owner of the rental private passenger motor vehicle. SECOND PRIORITY Any policy affording Personal Injury Protection Coverage to the "insured" as a named insured or "family member". C. If an "insured" is entitled to similar benefits under more than one policy, the maximum amount payable under all of the policies shall not exceed the amount payable under the policy with the highest limit of liability. We will pay only our share. Our share is the proportion that our limit of liability bears to the total of all applicable limits of policies providing coverage on the same basis. D. Any personal injury protection benefits paid or payable under this or any other auto insurance policy shall be primary over any coverage provided under Part B of this policy. 14

15 III. Part E Duties After An Accident or Loss A. A person seeking Personal Injury Protection Coverage must, in the event of an accident, give us or our authorized agent, prompt written notice of the accident. The notice should identify the "insured" and contain reasonably obtainable information with respect to how, when and where the accident happened. B. An "insured": 1. Must submit, as often as we reasonably require, to physical and mental exams by physicians we select. We will pay for these exams. 2. Or someone on his behalf must promptly give us written proof of claim, under oath if required. Such proof of claim shall include: a. Full details of the nature and extent of the "bodily injury"; b. Treatment and rehabilitation received and contemplated; and c. Any other information which may assist us in determining the amount due and payable. C. The following duty is added: If: 1. An "insured"; or 2. That "insured's" legal representative or survivors; take legal action to recover damages for "bodily injury" against another party, that person must promptly forward to us a copy of the summons and complaint or other process served in connection with such action. IV. Part F General Provisions A. The policy territory is: 1. The United States of America, its territories or possessions; or 2. Canada. B. OUR RIGHT TO RECOVER PAYMENT: If we make a payment under this coverage and the person to or for whom payment was made has a right to recover damages from another we shall be subrogated to that right. We shall be entitled to a recovery only after the person has been fully compensated for damages. That person shall: 1. Execute and deliver instruments and papers to us and do whatever else is necessary to secure these rights; and 2. Do nothing after loss to prejudice them. If we make a payment under this coverage and the person to or for whom payment is made recovers damages from another we shall: a.. Be entitled to the proceeds of the recovery; and b. Have a lien against such recovery; to the extent of our payment. Notice of the lien may be given to: 1. The party from which damages are recovered; 2. That party's agent or insurer; or 3. A court having jurisdiction. We shall be entitled to a recovery only after the person has been fully compensated for damages. That person shall: 1. Hold in trust for us all rights of recovery which that person has against another party; 2. Do whatever is necessary to secure these rights; 3. Do nothing after loss to prejudice them; and 4. Execute and deliver to us instruments and papers necessary to secure that person's and our rights and obligations. C. PREMIUM RECOMPUTATION The premium for this policy has been established in reliance upon the limitations on the right to recover damages contained in the Utah Insurance Code. If a court of competent jurisdiction: 1. Declares; or 15

16 2. Enters a judgment, the effect of which is to render; the provisions of the Insurance Code invalid or unenforceable, in whole or in part, we shall have the right to: a.. Recompute the policy premium; and b. At our option, void or amend the provisions of this coverage. PART C UNINSURED / UNDERINSURED MOTORISTS COVERAGE - BODILY INJURY INSURING AGREEMENT UNINSURED MOTORISTS COVERAGAGE If the Declarations Page shows a premium charged for Uninsured Motorist BI coverage, We will pay damages, other than punitive exemplary damages, not exceeding the limits shown the Declarations Page, which an insured person is legally entitled to recover from the Owner or operator of an uninsured motor Vehicle because of Bodily injury caused by an accident and sustained by such insured person. The Bodily injury must be caused by an accident and must arise out of the Ownership, maintenance or use of the uninsured motor Vehicle. If suit is brought to determine legal liability or damages without our written consent, We are not bound by any resulting judgment. INSURING AGREEMENT UNDERINSURED MOTORISTS COVERAGE If the Declarations Page shows a premium charged for Underinsured Motorist BI coverage, We will pay damages, other than punitive or exemplary damages, not exceeding the limits shown on the Declarations Page, which an insured person is legally entitled to recover from the Owner or operator of an underinsured motor Vehicle because of Bodily injury caused by an accident and sustained by such insured person. The Bodily injury must be caused by an accident and must arise out of the ownership, maintenance or use of the underinsured motor Vehicle. We will pay under this coverage only after the limits of liability under all applicable Bodily injury Liability bonds or policies have been exhausted by payment of judgments or settlements. No judgment for damages arising out of a suit brought against the Owner or operator of an underinsured motor Vehicle is binding on us unless We received reasonable notice of the filing of the suit resulting in the judgment; and had a reasonable opportunity to protect our interests in the suit. ADDITIONAL DEFINITIONS USED IN PART C ONLY As used in this Part: 1. "Insured person" means You, a Relative, a Resident or any other person Occupying Your insured Auto with Your express or implied permission. 2. "Uninsured motor Vehicle" means a land motor Vehicle or Trailer of any type which is: a. Not insured by a liability bond or policy at the time of the accident. b. Insured by a Bodily injury liability bond or policy at the time of the accident, but the Bodily injury liability limit is less than the minimum limit for liability required by the Financial Responsibility Law of Utah. c. A hit-and-run or phantom Vehicle whose operator or Owner cannot be identified and which hits 16

17 i. You, a Relative or any Resident; ii. An Auto which You, a Relative or any Resident are Occupying; or iii. The insured Auto. If there is no physical contact with the hit-and-run or phantom Vehicle, the existence of such unknown motorist must be established by corroborating evidence given by an independent and disinterested eyewitness who is not making a claim under this or any similar coverage. d. Insured by a Bodily injury liability bond or policy at the time of the accident, but the insurer denies coverage or is or becomes insolvent Uninsured motor Vehicle does not include any Vehicle or equipment; a. Owned by or furnished or available for the regular use of You, a Resident or a Relative unless there is no liability coverage for any one accident available under Part A - Liability Coverage of this policy to respond for damages sustained by an insured person; b. Operated on rails or crawler treads; c. Designed mainly for use off public roads while not on public roads; d. While located for use or being used as a Resident or premises; or e. Owned or operated by a self-insurer under any applicable motor Vehicle law, except a self-insurer that has become insolvent. f. Including but not limited to motorcycles, golf carts, tractors, farm machinery, ATV s, UTV s, motorized tricycles, or midget cars. 3. "Underinsured motor Vehicle" means a land motor Vehicle or Trailer of any type to which a Bodily injury liability bond or policy applies at the time of the accident, but its limit for Bodily injury liability is less than the applicable damages the insured person is legally entitled to recover. Underinsured motor Vehicle does not include any Vehicle or equipment: a. Insured by a Bodily injury liability bond or policy at the time of the accident but the Bodily injury liability limit is less than the minimum limit for liability required by the Financial Responsibility Law of Utah; b. Operated on rails or crawler treads; c. Designed mainly use off public roads while not on public roads; d. While located for use being used as a residence or premises; or e. To which a Bodily injury liability bond or policy applies at the time of the accident but the bonding or insuring company denies coverage or is or becomes insolvent. f. Including but not limited to motorcycles, golf carts, tractors, farm machinery, ATV s UTV s, or midget cars 4. "Use" of an uninsured motor Vehicle or underinsured motor Vehicle means that such Vehicle must be the main cause of the Bodily injury. The Bodily injury must not merely occur while the uninsured motor Vehicle or underinsured motor Vehicle is being used or operated. There must be an actual and causal connection between the use or operation of the uninsured motor Vehicle or underinsured motor Vehicle and the Bodily injury. EXCLUSIONS - PART C ONLY READ THE FOLLOWING EXCLUSIONS CAREFULLY. COVERAGE WILL NOT BE AFFORDED UNDER THIS PART FOR ANY OF THE EXCLUSIONS LISTED BELOW. We do not provide Uninsured Motorists Coverage or Underinsured Motorists Coverage for Bodily injury sustained by any person: 1. If that person or his legal representative settles the Bodily injury claim without our consent. 17

18 2. While Occupying The insured Auto when it is being used for any business purpose unless business use has been declared and the policy declarations shows business use, including: to carry persons or property for a charge or consideration, including magazines, newspapers, food or any other product. The exclusion described in this paragraph does not apply to shared-expense car pools or to use by an insured person of a motor Vehicle in the course of the insured person's volunteer work for a tax exempt organization. 3. While using a Vehicle without the Owner's express or implied permission or outside the scope of the Owner's express or implied permission. 4. So as to apply directly or indirectly to the benefit of any insurer or self-insurer under any worker's compensation law, disability law, or any similar law. 5. For punitive or exemplary damages awarded as a punishment or deterrent. 6. For any loss sustained while a Vehicle is used to transport nursery or school children, migrant workers, or hotel/motel guests. This exclusion does not apply to Your children or children engaged in a car pool arrangement with You or to use by an insured person of a motor Vehicle in the course of the insured person s volunteer work for a tax exempt organization. LIMITS OF LIABILITY - PART C ONLY The limits of liability shown on the Declarations Page apply subject to the following: 1. Regardless of the number of Vehicles insured, only one of the limits of liability for this coverage shown on the Declarations Page shall be the total limit of our liability to each person. 2. The limit of liability for this coverage shown on the Declarations Page for "each person" is the maximum We will pay as damages for Bodily injury, including damages for derivative claims, to any one person in any one accident. 3. Subject to the limit for each person, the limit of liability of this coverage shown on the Declarations Page for "each accident" is the maximum We will pay as damages for Bodily injury, including damages for derivative claims, to two or more persons in any one accident. Notwithstanding a provision in this policy to the contrary, if We have issued more than one policy to You or if We cover more than one Auto under this policy, the total limit of our liability under all policies or coverages issued to You shall not exceed the highest limit of liability under any one policy, selected by You, to apply to any one accident or claim. We will pay no more than the maximum amounts regardless of the number of; 1. Vehicles or premiums shown in the Declarations Page; 2. insured persons; 3. Claims; 4. Claimants; 5. Policies; or 6. Vehicles involved in the accident. No one will be entitled to receive duplicate payments for the same elements of loss under this coverage. Any amounts otherwise payable for damages under this Part shall be reduced by all sums: 1. Paid because of the Bodily injury by or on behalf of persons who or organizations which may be legally responsible. This includes all sums paid under Part A - Liability Coverage of this policy when the insured person, receives full compensation for the Bodily injury. 18