HOMEOWNERS HO-3 POLICY

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1 Claims we can expect from storms include trees and limbs down on structures and personal property, lightning damage, wind damage, hail damage, and interruption of electrical service (often resulting in sump water/sewer back up). Please contact our Claims Reporting Center at (800) if the policyholder s residence/business is uninhabitable, there is water damage, or the structure is in need of immediate temporary repairs. The Claims Reporting Center will escalate these type of claims for the most prompt response. As always, claims can be reported 24 hours a day through the Claim Center at IndianaFarmers.com. The Agency Check program is an excellent method of resolving the smaller losses and accelerates the settlement for the policyholder. Please contact Cindy Yates at cyates@indianafarmers.com if you are interested in learning more. HOMEOWNERS HO-3 POLICY The policy form covers trees, limited to $ for the following perils: Vehicles not owned or operated by insureds. Vandalism, malicious mischief Theft Coverage for losses related to wind damage to trees is found on Endorsement HO-1SP (02/08), where coverage for reasonable expenses incurred in the removal of debris of covered trees, shrubs and plants on the residence premises is provided for the following perils: Windstorm Hail Weight of ice, snow or sleet **This coverage is limited to $ per occurrence. The deductible applies to the loss. CLAIM EXAMPLE: Policyholder has $ cleanup bill for damaged trees. Policyholder has $500 policy deductible. Policyholder s net loss is $800-$500=$ However, coverage is limited to $ Policyholder is paid $ for this loss. SECOND CLAIM EXAMPLE: Policyholder has $ cleanup bill for damaged trees. Policyholder has $500 deductible. $ $500.00=<$50.00>. This claim is below the deductible and is not subject to payment.

2 NOTE: If your customer has the Homeowners Enhancement Endorsement, form , then the deductible is waived for debris removal. In the example above, the first $ of the loss would be compensable, and the remaining would not be paid due to the limitation of coverage. Normally these claims come in the form of loss of refrigerated or freezer products held by our policyholder. The Homeowners form does not provide coverage for these losses. Coverage for these losses must be endorsed via the Homeowners Enhancement Endorsement, form , which provides $ of coverage for interruption of electrical service to the freezer or refrigerated unit caused by damage to the generating or transmission equipment mechanical or electrical breakdown of the freezer or refrigerated unit. **No deductible applies to this coverage** Please submit these as quickly as possible for inspection and evaluation of coverage. FARMOWNERS PROGRAM The policy form covers trees, limited to $ for the following perils: Vehicles not owned or operated by insureds. Vandalism Theft Coverage for losses related to wind damage to plant debris is found on Endorsement , the FARM ALL STAR ENDORSEMENT. Coverage for damage to trees, shrubs, and plants debris located within 250 feet of the insured dwelling is provided for the following perils: Windstorm Hail Weight of ice, snow or sleet **This coverage is limited to $ per occurrence. The deductible applies to the loss. See the above example for how the deductible would apply.

3 Normally these claims come in the form of loss of refrigerated or freezer products held by our policyholder. The Farmowners form provides coverage for these losses. Coverage exists for $ of loss to refrigerated food products due to interruption of electrical service to the freezer or refrigerated unit caused by damage to the generating or transmission equipment or mechanical or electrical breakdown of the refrigeration equipment. **No deductible applies to this coverage** Please submit these as quickly as possible for inspection and evaluation of coverage. BOP (BUSINESS OWNERS) COVERAGE FORM The policy form covers trees, limited to $ maximum, but no more than $ for any one tree, shrub or plant for the following perils: The BUSINESSMASTER ENHANCEMENT ENDORSEMENT increases this limit to $10, maximum, but no more than $ for any one tree, shrub or plant. Normally these claims come in the form of loss of refrigerated or perishable stock owned by our policyholder. The BOP does not provide coverage for these losses, unless the policy is endorsed with the BP SPOILAGE COVERAGE Endorsement. The limit of insurance for this coverage is listed in the declarations. The BUSINESSMASTER ENHANCEMENT ENDORSEMENT provides coverage for direct loss to perishable stock owned by the insured, on the condition that the insured has Business Personal Property Coverage, for the perils of: Breakdown or contamination due to change in temperature or humidity resulting from mechanical breakdown or mechanical failure or refrigerating, cooling or humidity control apparatus or equipment; or Contamination by a refrigerant. o NOTE that mechanical breakdown does not mean power interruption, regardless of how or where the interruption is caused and whether or not the interruption is partial or complete. Power outage, meaning a change in temperature or humidity resulting from complete or partial interruption of electrical power, either on or off the insured premises, due to conditions beyond our customer s control.

4 Exclusions apply to this coverage as well. They include: Earth Movement, Government Action, Nuclear Hazard, War & Military Action, Water Disconnection of refrigerating, cooling or humidity control system. Deactivation of electrical power by switch or other device used to control current flow. Inability of electrical utility to provide power due to lack of fuel or government order. Inability of a power source at the described premises to provide sufficient power. Breakage of glass that is a permanent part of the refrigerating or cooling control unit. The limit for this coverage is $5,000.00, subject to a $ deductible. Please submit these as quickly as possible for inspection and evaluation of coverage. Generally, this coverage is available through the BUSINESSMASTER ENHANCEMENT ENDORSEMENT, which provides coverage for direct loss due to water back-up and sump overflow subject to a limit of $10, COMMERICAL PACKAGE POLICY (CPP) COVERAGE FORMS The policy form covers trees, limited to $1, maximum, but no more than $ for any one tree, shrub or plant (other than stock ) for the following perils: If the customer purchased the PROPERTY ENHANCEMENT ENDORSEMENT, the limit of coverage is increased to $10, and the limit per item is increased to $ If our policyholder purchased the CP OUTDOOR TREES, SHRUBS AND PLANTS endorsement, additional coverage will likely be available to the customer. Normally these claims come in the form of loss of refrigerated or perishable stock owned by our policyholder. The CPP does not provide coverage for these losses, unless the policy is endorsed with the CP SPOILAGE COVERAGE Endorsement. The limit of insurance for this coverage is listed in the declarations. If the customer purchased the PROPERTY ENHANCEMENT ENDORSEMENT, there is an extension of coverage for loss to Refrigerated Products (including perishable stock ) of $10, subject to the policy deductible, presuming that: The fluctuation or interruption of electrical power, on or off premises, is due to conditions beyond our policyholder s control; or, Mechanical failure of the refrigeration or cooling apparatus occurred on the described premises.

5 This coverage does require that the policyholder take reasonable steps to protect the property from further loss when the problem is discovered. This coverage does not apply to: o The disconnection of any refrigeration equipment, o Deactivation of the equipment by unplugging or turning off the switch apparatus, o The inability of an electrical utility to provide power due to lack of fuel or government order o The inability of a power source at the described premises to provide sufficient power due to a lack of generating capacity o Breakage of glass that is a permanent part of any refrigerating equipment. Please submit these as quickly as possible for inspection and evaluation of coverage. Generally, this coverage is available through the PROPERTY ENHANCEMENT ENDORSEMENT, limited to $25, coverage subject to the policy deductible. Property Emergency Repair Program Also, remember our Property Emergency Repair contractors, who are available to assist our customers as well. For a list of those contractors, go to: Agents Only > Claims Info > Property Emergency Repair Program Thank you for your assistance! Indiana Farmers Claims Department Please be advised that the above referenced Property Emergency Repair Program is a list of contractors in your area who offer 24-hour emergency repair services. These contractors have confirmed that they are licensed, bonded and insured. Indiana Farmers is providing this list for our policyholders convenience. We are not endorsing these contractors or guaranteeing their workmanship. Further, Indiana Farmers Mutual Insurance expressly denies any sort of warranty or guarantee with respect to the work performed by these contractors. Disclaimer: Policy coverages still drive coverage and control coverage decisions. The above is simply a summation of coverage for your use, and does not replace the actual language in the actual policies. To the extent that this document and the coverage forms conflict, the coverage forms control the coverage issues.