United Property & Casualty Insurance Company Louisiana 1.0 Homeowners Manual LOUISIANA 1.0

Transcription

1 LOUISIANA 1.0 Homeowners Manual Effective 12/19/14 Ed. 08/14

2 Table of Contents Rule Number Rule Description Rule - Page 1 Coverage Overview 1-1 General Rules 2 Binding Authority Cancellation or Reduction in Limits of Liability Construction Definitions Minimum Premium Multiple Company Insurance Policy Term Rate Order of Calculation Rate Order of Calculation (continued) Previous Cancellations or Non-Renewal Protection Class Renewal Townhouse and Rowhouse Transfer or Assignment Waiver of Premium 14-1 Deductibles 15 Deductibles 15-1 Discounts/Surcharges 16 Maximum Discounts and Surcharges Age of Home Age of Insured and Marital Status Building Code Hip Roof Certified IBHS Companion Policy Payment Type Payment Options Fire Protection Secured Community and Theft Protection Wind and Opening Protection Hurricane Exclusion Months Occupied Number of Stories and Elevation Claim with UPC Construction Permit Age Roof Age 33-1 Tier 34 Tier HO3, HO Tier HO3, HO5 (continued) Tier Definition HO3, HO Tier HO4, HO Tier HO4, HO6 (continued) Tier Definition HO4, HO Coverage Options 38 Coverage B Other Structures Coverage B Other Structures Increased Limits Coverage C Personal Property Limits Coverage D Loss of Use Coverage E and F, Liability and Medical Payment 42-1 Ed. 08/14 1-1

3 Table of Contents (continued) Additional Coverage Options 43 Additional Amounts of Coverage A Animal Liability Equipment Breakdown Reserved for future use Golf Cart Physical Loss Home Computer Identity Theft Expense and Resolution Services Inflation Guard Limited Fungi, Wet or Dry Rot or Bacteria Limited Water Backup and Sump Pump Limited Water Damage Ordinance or Law Other Structures Rented to Others on Residence Premises Outboard Motors and Watercraft Outboard Motors and Watercraft (continued) Personal Injury Personal Property Increased Special Limits of Liability Personal Property Replacement Cost Loss Settlement Personal Property Scheduled Premier Condominium Package Premier Package Premier Plus Package Refrigerated Personal Property Residence Held in Trust Supplemental Loss Assessment Non-Structural Hail Loss Limitation Renter Occupied Special Coverage A Actual Cash Value Loss Settlement to Roof from Wind/Hail 70-1 Fees 71 Fees 71-1 Base Rate and Territory 72 Base Rate AOP Territory AOP Territory (continued) AOP Territory (continued) Hurricane Territory Hurricane Territory (continued) Hurricane Territory (continued) Hurricane Territory (continued) Hurricane Territory (continued) Hurricane Territory (continued) Tornado/Hail Territory Tornado/Hail Territory (continued) Tornado/Hail Territory (continued) 75-3 Premium Computation 76 Form Coverage A HO3, HO Coverage A HO3, HO5 (continued) Coverage C HO Coverage A and C HO Coverage A and C HO6 (continued) Coverage A and C HO6 (continued) Protection Class and Construction Type 80-1 Ed. 08/14 1-1

4 Rule 1. Coverage Overview Coverage Limits United Property & Casualty Insurance Company Coverage Form Limits $150,000 minimum HO3 and HO5 A Dwelling >=$750,000 refer to UW HO6 $50,000 -$500,000 B Other Structures HO3, HO5 2% - 75% of Coverage A C Contents HO3, HO5 0% - 75% of Coverage A HO4 $10,000 - $100,000 D Loss of Use All Forms 10%, 20%, 30% of Coverage A E Personal Liability All Forms $100,000, $300,000, $500,000 F Medical Payments All Forms $1,000, $2,500, $5,000 Coverage A is mandatory for HO3, HO5, and HO6 Coverage C is mandatory for HO4 Ed. 08/14 1-1

5 Rule 2. Binding Authority United Property & Casualty Insurance Company General Rules A risk is bound when a policy is issued in our rating system. UPC does not permit ACORD binders. For your convenience, our system provides an immediate insured application and binder upon issuance of the policy. In the event of a hurricane, tropical storm, or other catastrophic weather conditions, agents must refer to our bulletins for binding authority restrictions. These restrictions do not apply to new home closings. A copy of the closing statement will be required with the application in the event the closing occurs while the area is restricted from binding new business due to a weather event. Ed. 08/14 2-1

6 Rule 3. Cancellation and Premium Change The insured may cancel the policy at any time for any reason. Policy changes resulting in a premium change will be computed pro-rata. The premium will not change after a policy has been in effect for more than 60 days when there has been no material change in the circumstances of the insured from those stated by the insured in the application for the policy. The premium will only increase during a policy term when notice of the premium change is received by the insured within 60 days of the effective date. The notice to the insured will allow 30 days for the additional premium to be paid. A policy will not be canceled, non-renewed, or experience a rate increase based solely upon a loss caused by an "Act of God". Non-renewal notices will be mailed or delivered to the named at the address shown in the policy insured at least 30 days prior to the non-renewal effective date. This does not apply if the policy is offered a renewal through another UPC company or when the non-renewal is for nonpayment, written notification of change of insurer by insured, and for fraud. The reason for cancelling a policy will be provided to the insured and other interests shown on the policy in writing when a written request is received. A policy that has been in effect for more than 3 years will not be cancelled, non-renewed, or have the deductible increased unless there is a nonpayment of premium, fraud of the insured, a material change in the risk being insured, two or more claims within a period of three years. This will not apply when a deductible option is removed for all policyholders in the state. A claim will be counted when there is a demand for payment by the insured or the insured's representative under the terms of the policy and the cause loss is not an "Act of God". Payment of an initial, renewal, or installment insurance premium by the insured which is returned to the payee by the institution upon which it is drawn will result in the cancellation of the policy as of the premium due date. Ed. 08/14 3-1

7 Rule 4. Construction Definitions Frame or Stucco on Frame exterior walls are wood or other combustible construction, including wood-iron clad, stucco on wood or plaster on combustible supports, and aluminum or plastic siding over frame. Masonry Veneer or HardiPlank exterior walls are constructed of masonry materials brick or stone over frame. Masonry or Stucco on Masonry exterior walls are constructed of masonry materials such as adobe, brick, concrete, gypsum block, hollow concrete block, stone, tile, or similar materials, and floors and roof of combustible construction. Superior Construction - exterior walls, floors, and roof constructed of masonry or other noncombustible materials. Note: A combination of both brick or block and frame construction shall be classified as Frame when the exterior walls of frame construction (including gables) exceed 30% of total exterior wall area. Ed. 08/14 4-1

8 Rule 5. Minimum Premium The following shows the minimum premium we will accept for each form. Form Minimum Premium HO3, HO5 $500 HO6 $250 HO4 $125 Ed. 08/14 5-1

9 Rule 6. Multiple Company Insurance We will not provide coverage when overlapping coverage is provided by a separate policy. Ed. 08/14 6-1

10 Rule 7. Policy Term The standard policy term is one year and may be extended for successive policy periods by renewal. Ed. 08/14 7-1

11 Rule 8. Rate Order of Calculation Description HO3, HO5 HO6 HO4 All Other Perils Hurri All Other Perils Hurri All Other Perils cane cane Non- Tor/Hail Tornado/ Hail Non-Tor/ Hail Tornado/ Hail Non-Tor/ Hail Tornado/ Hail Base Rate = = = = = = = = = All Other Peril Territory x 1 1 x 1 1 x 1 1 Hurricane Territory 1 1 x 1 1 x x Tornado/Hail Territory 1 x 1 1 x 1 x Hurricane Exclusion 1 1 x 1 1 x Coverage A or C Limit x x x x x x x x x Protection Class, Construction Type x x x x x x Months Occupied x x x x x x Deductibles x x x x x x x x x Tier x x x x x x x x x Age of Home x x x x x x Insured Age and Marital Status x x 1 x x 1 x x Building Code 1 1 x 1 1 x Hip Roof 1 1 x 1 1 x Opening Protection 1 1 x 1 1 x IBHS x x Companion Policy x x x x x x x x x Fire Protection x x 1 x x 1 x x Roof Age x x x x x Construction Permit Age x x Secured Community, Theft Protection x x 1 x x 1 x x Maximum Discounts & Surcharges x x x x x x x x x Payment Type x x x x x x x x x Number of Stories, Elevation x x x Claim with UPC x x x x x x Coverage B - Other Structures x x x Coverage C - Personal Property Limit x x x x x x Coverage D - Loss of Use x x x x x x Additional Amounts of Coverage A x x x Inflation Guard x x x Limited Water Damage x x 1 x x 1 Ordinance or Law x x x x x x Personal Property Replacement Cost x x x x x x Non-Structural Hail Loss Limitation x x x x Renter Occupied x x Premier, Premier Plus, Premier Condo x x x x x x Subtotal Hurri cane Ed. 08/14 8-1

12 Rule 8. Rate Order of Calculation (continued) Subtotal + applicable coverages below HO3 HO6 HO4 Other Structures Increased Limits + ##### Equipment Breakdown + + Golf Cart Physical Loss Coverage + + Home Computer Identity Theft Expense and Resolution Services Limited Water Backup and Sump Pump + + Personal Property Scheduled Personal Property Unscheduled Refrigerated Personal Property Residence Held in Trust + + Supplemental Loss Assessment + + Animal Liability Other Structures Rented to Others on Residence Premises + Outboard Motors and Watercraft + + Personal Injury Coverage + + Personal Liability Medical Payment Higher of Total or Minimum Premium Allowed = Subtotal B Subtotal B x Louisiana FAIR Plan 3.54% Inspection Fee + + EFT credit Total Premium = = = Ed. 08/14 8-2

13 Rule 9. Previous Cancellations or Non-Renewals Risks previously canceled or non-renewed by another insurer must be referred to Underwriting prior to binding. Ed. 08/14 9-1

14 Rule 10. Protection Class Information The Protection Class listings in the Public Protection Classification Manual apply. Homes must have paved road access to qualify. In a classified area where two or more classifications are shown (e.g. 6/9), the classification is determined as follows: to Fire Station Feet to Hydrant Class Less than 7 Less than 1,000 First PC Less than 7 More than 1,000 9 More than 7 10 Protected Subdivision Rule: A dwelling located in a qualifying restricted subdivision will receive the rating of the responding fire department if: The year built is three years or less. The subdivision is under development with recorded plat and paved roads where dwellings are built by licensed contractors subject to building restrictions as to type and square footage. The subdivision contains at least 10 houses. The subdivision is within 7 miles travel distance of a responding fire department. The home is located within 1,000 feet of fire hydrant, or responding fire department is equipped to transport water or pump water from swimming pools or other sources within 1,000 feet of the home. Homes with this rating will be subject to audit. If the Protection Class is not updated by Insurance Services Office (ISO) within three policy terms, the proper ISO rating will be applied. Ed. 08/

15 Rule 11. Renewal If the Company elects to offer a renewal policy, the policyholder may accept the renewal offer by paying the renewal premium prior to the expiration of the current policy. A renewal policy will be issued based on the premiums, forms and endorsements in effect at time of renewal. A declaration page as well as any revised policy forms will be sent to the insured. Copies of notices and the declaration page will be sent to the mortgagee(s). Ed. 08/

16 Rule 12. Townhouse and Rowhouse Buildings that are separated by space shall be considered separate buildings. Buildings or sections of buildings, which are separated by a 6-inch reinforced concrete or 8-inch masonry party wall that pierces or rises to the underside of the roof and pierces or extends to the inner side of the exterior wall, shall be considered a separate building. Accessibility between buildings with independent walls or through masonry party walls described above shall be protected by at least a Class A Fire Door installed in a masonry wall section. Ed. 08/

17 Rule 13. Transfer or Assignment No transfers or assignments are permitted. Each insured and/or property will require submission of a new application. Ed. 08/

18 Rule 14. Waiver of Premium When a policy is issued or endorsed after the inception date, additional or return premium of $5 or less is waived. However, we will return any unearned premium upon request. Ed. 08/

19 Rule 15. Deductibles United Property & Casualty Insurance Company Deductibles The default deductible is $1,000 for all other perils and 2% for Hurricane. The Hurricane deductible cannot be less than the all other perils deductible. Changes in deductibles may only be made at the time of the renewal. HO3, HO5, HO6 Coverage A Peril Deductible $1,000 $2,500 $5,000 $7,500 1% 2% 3% 5% $51,000 - AOP $100,000 Hurricane $101,000 - AOP $150,000 Hurricane $151,000 - AOP $200,000 Hurricane $201,000 - AOP $250,000 Hurricane $251,000 - AOP $300,000 Hurricane $301,000 - AOP $500,000 Hurricane $501,000 - AOP $999,000 Hurricane $1,000,000 - AOP above Hurricane HO4 Deductible AOP Hurricane $ $1, $2, Endorsement UPC Ed. 08/

20 Rule 16. Maximum Discount and Surcharge Discounts & Surcharges The maximum discount or surcharge from the following variables will be capped at 60%. Age of Home Age and Marital Status of Insured Building Code Hip Roof Certified IBHS Companion Policy Protective Device Secured Community and Theft Protection Window and Opening Protection Roof Age Construction Permit Age Tier Ed. 08/

21 Rule 17. Age of Home Age is determined by subtracting the year in which construction of the residence was completed from the year in which the policy is effective. Home Age HO3, HO5 HO6 AOP Hurricane AOP Hurricane Ed. 08/

22 Rule 18. Age and Marital Status of Insured All Forms A state or national government that recognizes the insured as married can be categorized as married only when both spouses reside in the household. All others must be categorized as single. Age of Insured Marital Status AOP Married Married Married Married Married Married Married Married Married Single Single Single Single Single Single Single Single Single Supporting documentation must be retained in agent s file (copy of driver s license or other state or federal issued ID, passport, Auto declarations page). Ed. 08/

23 Rule 19. Building Code HO3, HO5, HO6 A 15% discount applies to the Hurricane premium when all of the 2006 International Building Codes are met in the construction of the home. Homes built in 2007 or after will receive this discount automatically. Homes older than 2007 must have a Louisiana Hurricane Loss Mitigation Survey Form completed by a qualified professional that certifies all of the following: The home was built to all 2006 SUCC requirements Secondary water resistance on all roof areas Roof-deck attachment with 8d nails spaced every 12 minimum on intermediate panel supports and 6 minimum on panel edges Roof-wall connected with single-wraps Floor-to-foundation connections designed and installed in accordance to the SUCC. Supporting documentation must be submitted to Underwriting prior to applying the discount on homes built in 2006 or earlier. Ed. 08/

24 Rule 20. Hip Roof HO3, HO5, HO6 A hip roof is one that slopes down to meet all walls (like a pyramid). This design has superior ability to withstand high winds and will result in a premium credit. However, other factors can negate the value of this design. The discount is not applicable if the roof has skylights or overhangs that exceed 18. Full Hip: A 15% discount applies to the Hurricane premium if the home is constructed with a hip roof covering at least 90% of the entire structure. Partial Hip: A 5% discount applies to the Hurricane premium if the home is constructed with a hip roof covering at least 75% of the entire structure. A hip roof has sloping ends and sloping sides down to the roof eaves line. Roof Type Description Figure GABLE ROOF A roof sloping downward in two parts from a central ridge, so as to form a gable at each end. HIP ROOF A roof having sloping ends and sides meeting at an inclined projecting angle. Ed. 08/

25 Rule 21. Certified International Institute for Business and Home Safety HO3, HO5, HO6 The following discounts apply to the Hurricane premium when the home is certified by the International Institute for Business and Home Safety (IBHS) as meeting the standard for one of the following Hurricane Resistance Designations. Bronze = 5% o focuses on roof cover, roof deck and attic ventilation systems including soffits Silver = 10% o focuses on gable construction, anchorage of roof overhangs and opening protection systems Gold = 15% o focuses on developing a continuous load path system from the roof to the foundation Each level incorporates the upgrades of the preceding level(s). Supporting documentation must be retained by the agent. Ed. 08/

26 Rule 22. Companion Policy All Forms The rates in the table above apply when: United Property & Casualty Insurance Company Auto Flood Umbrella AOP Hurricane No No No No No Yes No Yes No No Yes Yes Yes No No Yes No Yes Yes Yes No Yes Yes Yes The garaging address for the auto policy matches the covered property address. The auto and umbrella policy must list a named insured that matches a named insured on the Homeowner policy. The same agency must have written the companion policy as the Homeowner policy. The flood policy must be written with UPC or be a grandfathered policy written by the same agent that holds the UPC home policy for the discount to apply. A copy of a current declarations or application page for the applicable companion policy must be retained by the agent. The agent must notify UPC when the insured no longer holds an active companion policy with the agency. Ed. 08/

27 Rule 23. Payment Type All Forms Applies to new and renewal business. Payment Type All Perils Checking/Savings Installment Checking/Savings Paid in Full Credit Card Installment Credit Card Paid in Full Mortgage Billed A $10 credit is applied to the total policy premium when the E-Policy (paperless) option is selected. Ed. 08/

28 Rule 24. Payment Options All Forms [Filed separately] Ed. 08/

29 Rule 25. Fire Protection All Forms Fire Alarm Central - A centrally controlled fire detector has an alarm and auto-response call function that calls 911 and/or the fire department. Local - A locally controlled fire detector has an audible alarm that alerts the homeowners and neighbors but does not have any auto-response. A call to the 911 or the fire department would be completed manually. Sprinkler Full - Automatic Sprinklers in all Areas including Attics, Bathrooms, Closets, Attached Structures. Partial - Automatic Sprinklers in all Areas excluding Attics, Bathrooms, Closets, Attached Structures. Fire Alarm Sprinkler AOP Central Full Central Partial Central None Local Full Local Partial Local None No Full No Partial No None Supporting documentation must be retained by the agent. Endorsement HO Ed. 08/

30 Rule 26. Secured Community and Theft Protection All Forms Secured Community - a community that you must manually enter a code or swipe a card to enter the premises or subdivision. Central - A centrally controlled burglar detector has an alarm and auto-response call function that calls 911 and/or the police department. Local - A locally controlled burglar detector has an audible alarm that alerts the homeowners and neighbors but does not have any auto-response. A call to the 911 or the police department would be completed manually. Secured Community Theft Alarm AOP No Central 0.99 No Local 1.00 No None 1.00 Yes Central 0.97 Yes Local 0.99 Yes None 1.00 Supporting documentation must be retained by the agent. Ed. 08/

31 Rule 27. Window and Opening Protection HO3, HO5, HO6 A 15% discount applies to the Hurricane premium if a residence is equipped with opening protection that meets the following requirements: A licensed contractor with proper permits has installed or a qualified professional has certified that all exterior openings including windows, doors, skylights, and vents are protected (roof ridge vents and soffit vents do not need to be protected) and meet the minimum requirements of the International Residential Building code. Supporting documentation must be retained by the agent. Ed. 08/

32 Rule 28. Hurricane Exclusion HO3, HO5, HO6 Deletes coverage for losses from a hurricane for a reduction of premium. The premium reduction equals the entire Hurricane premium. Endorsement UPC Ed. 08/

33 Rule 29. Months Occupied HO3, HO5, HO6 A home is occupied for a whole month if it is occupied for at least 16 days during that month. Dwellings occupied less than 3 months or less per year or that are rented to others are not eligible for coverage in this program - see Dwelling Fire Program. Months Occupied AOP Hurricane Ed. 08/

34 Rule 30. Number of Stories and Elevation HO3, HO5 This measures the number of stories above the property s foundation including the number of feet elevated by piles, pylons, blocks, piers, or stilts. No part of the home can be over water. The number of stories and elevation does not include the basement (including a walkout basement) level, if any, of a dwelling. Homes elevated four feet or more and built prior to 2006 must have a minimum coverage A of $200,000 if the home does not comply with the 2006 building codes. Year Built Minimum Cov A Feet Elevated Number of Stories AOP Hurricane < , < , < , < , < , < , Bi-Level < , Tri-Level < , < , < , < , < , < , Bi-Level < , Tri-Level < , < , < , < , < , < , Bi-Level < , Tri-Level Building Code 150,000 Any Building Code 150,000 Any Building Code 150,000 Any Building Code 150,000 Any Building Code 150,000 Any Building Code 150,000 Any Bi-Level Building Code 150,000 Any Tri-Level Ed. 08/

35 Rule 31. Claim with UPC All Forms A surcharge applies at renewal if a claim over $500 not caused by wind, hail, or lightning is paid by UPC. The claim count will be based on a rolling 36 month history. The following table does not apply to Hurricane. Consecutive Years with UPC Claim Count AOP <= <= <= <= <= <= <= <= <= <= <= <= <= <= <= >= >= >= >= >= A policy will not experience a rate increase based solely upon a loss caused by an "Act of God" La. R.S. 22: Ed. 08/

36 Rule 32. Construction Permit Age HO3, HO5 The rates in this table will apply when a permit is provided by the local municipality for the renovation of a home and the value of the permit is equal to or above $1,000. These rates will not apply if there is no value listed on the permit. Public data will be referenced where available. A copy of the permit can be submitted to Underwriting if municipality data is not available online. Renovations must be completed prior to the effective date of the policy term for the discount to apply. Home Age Permit Age AOP Any Ed. 08/

37 Rule 33. Roof Age HO3, HO5 A discount from the following table applies based on the age of the roof. Home Age Roof Age AOP Hurricane Any Supporting documentation must be submitted to Underwriting if the defaulted roof age is disputed. Ed. 08/

38 Rule 34. Tier HO3, HO5 The tier is determined by combining the insured s prior homeowner liability limit, insurance score, and prior five year claim count. The tier will change when the insurance score is updated after the completion of the third term. The tier applied for the fourth term will incorporate an updated insurance score along with any new claims looking back 5 years from effective date of the fourth term minus 90 days. Claims caused by an Act of God per L.R.S 22:1336 will not be counted in the tier determination. Prior Claims Prior Liability Limit Insurance Score >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300, >=$300,000 No Score $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100,000 No Score Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse No Score Ed. 08/

39 Rule 34. Tier HO3, HO5 (continued) Prior Claims Prior Liability Limit Insurance Score No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Score st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner st time owner No Score Ed. 08/

40 Rule 35. Tier Definition HO3, HO5 Tier AOP Hurricane Ed. 08/

41 Rule 36. Tier HO4, HO6 Prior Claim Prior Liability Insurance Score >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300, >$300,000 No Score $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300, $300,000 No Score $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, $100, Ed. 08/

42 Rule 36. Tier HO4, HO6 Prior Claim Prior Liability Insurance Score $100, $100, $100, $100, $100, $100,000 No Score Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse Lapse No Score No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Prior No Score Ed. 08/

43 Rule 37. Tier Definition HO4, HO6 Tier AOP Hurricane Ed. 08/

44 Rule 38. Coverage B Other Structures HO3, HO5 Coverage Options Insured may select desired coverage limit for other structures located on the residence premises. Other structures may not be rented to others, or used by non-related persons for residence purposes, unless the Other Structures Increased Limits endorsement is added to the policy. % of Coverage A All Perils 2% % 1.02 Ed. 08/

45 Rule 39. Coverage B Other Structures Increased Limits HO3, HO5 When insurance is written on a specific structure on the residence premises for increased limits, the rate per $1,000 of insurance shown below will apply separately to each structure. A Coverage B limit of 10% of Coverage A must first be selected in order to purchase the following increased limits. Rate per $1,000 (of additional limit over and above Coverage B limit of 10%): $4 The maximum aggregate limit for this coverage is 75% of coverage A Endorsement HO Ed. 08/

46 Rule 40. Personal Property Limits HO3, HO5 Insured may select desired coverage limit for personal property. Coverage C is available in increments of 5% if not excluded (of Coverage A) up to a maximum personal property limit of 75% of Coverage A. *Endorsement UPC 621 for Contents Excluded % of Coverage A AOP Hurricane 0%* % % % % % % % % % % % % % % % Ed. 08/

47 Rule 41. Coverage D Loss of Use HO3, HO5, HO6 The following limits are available: % of Coverage A AOP Hurricane 10% % % Ed. 08/

48 Rule 42. Coverage E and F, Liability and Medical Payment All Forms The policy provides coverage for Personal Liability and Medical Payments to Others. Liability Limit Premium $100,000 $15 $300,000 $25 $500,000 $35 Med Pay Limit Premium $500 included $1,000 $5 $2,500 $8 $5,000 $10 Ed. 08/

49 Additional Coverage Options Rule 43. Additional Amounts of Coverage A HO3, HO5 This endorsement is intended to cover additional costs of construction that are incurred due to increases in the cost of construction that occur during the policy period. Increased construction cost is normally the result of increased demand relative to supply of labor and materials that can occur subsequent to a catastrophic loss that impacts a substantial number of properties in a region. Additional coverage options provided by this endorsement are 25% of Coverage A and 50% of Coverage A. Coverage must be written for 100% of replacement cost. This endorsement does not cover increased construction costs attributable to laws or ordinances governing construction. Endorsement HO Additional Amount Options AOP Hurricane 25% % Ed. 08/

50 Rule 44. Animal Liability Buyback All Forms This endorsement may be added at the option of the insured for the limits and premiums below. Endorsement provides that Coverage E (Personal Liability) and Coverage F (Medical Payments) applies to bodily injury or property damage caused by animals owned by the insured, provided the animal is not prohibited by our guidelines. The $500,000 limit option can only be selected when one of the following apply: applicant s prior homeowners liability limit was $500,000 applicant has an active umbrella policy This endorsement also provides Medical Payments coverage at the same limit as chosen for regular liability coverage. The animal liability limit cannot be greater than the policy liability limit. A copy of a current umbrella declarations page must be retained in agent s file. Endorsement UPC 615 Limit Premium $50,000 $25 $100,000 $35 $300,000 $45 $500,000 $55 Ed. 08/

51 Rule 45. Equipment Breakdown HO3, HO5, HO6 The Equipment Breakdown Coverage Endorsement provides equipment breakdown insurance to cover equipment attached to and made part of the dwelling or other structure when perils for such equipment would have been excluded under the Homeowners policy. This coverage will be written as a separate endorsement as part of a Homeowners Policy at $49. Endorsement UPC 613 Ed. 08/

52 Rule 46. Reserved for future use Ed. 08/

53 Rule 47. Golf Cart Physical Damage and Liability HO3, HO5, HO6 Extends Section I and II coverages to losses arising from the ownership and operation of a golf cart. Coverage does not apply when golf cart is: used to carry persons for a charge, used for business purposes, rented to others, being used outside the boundaries of a retirement community or limited access community unless being used for golfing purposes or traveling to or from a golf course. Option 1: For an additional premium of $75, Endorsement UPC 616 includes special limits of liability as follows: Coverage C Personal Property: $ 5,000 Coverage E Personal Liability: $ 50,000 Coverage F Medical Payment to Others: $ 5,000 Endorsement UPC 616 Option 2: For an additional premium of $100, Endorsement UPC 617 includes special limits of liability as follows: Coverage C Personal Property: $ 5,000 Coverage E Personal Liability: $100,000 Coverage F Medical Payment to Others: $ 5,000 The limits of liability shown above replace the limits of liability shown on the declarations page for any and all covered losses resulting from the operation of your golf cart. Endorsement UPC Golf Cart 2 Golf Carts Option 1 $75 $120 Option 2 $100 $160 Ed. 08/

54 Rule 48. Home Computer HO3, HO5, HO6 Provides coverage for computers and related equipment against additional risks of physical loss subject to certain exclusions. This coverage is available to a maximum limit of $20,000. Additional premium: $6 for each $1,000 Endorsement HO Ed. 08/

55 Rule 49. Identity Theft Expense and Resolution Services All Forms Identity Theft Expense and Resolution Services Coverage is available to provide first party coverage for expenses incurred by an insured as a direct result of any identity theft occurrence first discovered or learned of during the policy period. This endorsement provides up to $25,000 coverage for: Costs for notarizing affidavits or similar documents attesting to fraud; Costs for certified mail to law enforcement agencies, credit agencies, financial institutions, etc.; Lost income, up to a maximum of $1,000 per week/$5,000 total, resulting from time taken off work to complete fraud affidavits, meet with law enforcement agencies, credit agencies, and/or legal counsel; Loan application fees for re-applying for loans when the original application is rejected because the lender received incorrect credit information; Attorney fees incurred to defend lawsuits brought against the insured by merchants, financial institutions or their collection agencies; remove any criminal or civil judgments wrongly entered against an insured; and challenge the accuracy or completeness of any information in a consumer credit report; Charges incurred for long distance telephone calls to merchants, law enforcement agencies, financial institutions or similar credit grantors, or credit agencies to report or discuss an actual identity fraud. Premium per policy: $20 Endorsement UPC 614 Ed. 08/

56 Rule 50. Inflation Guard HO3, HO5 The policy may be endorsed to provide annual increases of the Section I Limits of Liability. Endorsement HO Amount of Annual Increase AOP Hurricane 2% % % % Ed. 08/

57 Rule 51. Limited, Fungi, Wet or Dry Rot or Bacteria HO3, HO5, HO6 This is a mandatory endorsement that limits Section I coverage for fungi, wet or dry rot or bacteria coverage to $5,000. Higher limits are NOT available. UPC 618 HO3 and HO5 UPC 624 HO6 Ed. 08/

58 Rule 52. Limited Water Backup and Sump Discharge or Overflow HO3, HO5, HO6 This policy may be endorsed to provide coverage for loss resulting from water which backs up through sewers or drains or which overflows from the pump. A $1,000 deductible applies to this coverage. The endorsement may be added for the following limits: Endorsement UPC Basement Limit Premium None $5,000 $20 None $10,000 $30 None $25,000 $40 Unfinished $5,000 $30 Unfinished $10,000 $45 Unfinished $25,000 $60 Partially Finished $5,000 $40 Partially Finished $10,000 $60 Partially Finished $25,000 $80 Finished $5,000 $50 Finished $10,000 $75 Finished $25,000 $100 Ed. 08/

59 Rule 53. Limited Water Damage HO3, HO5, HO6 Limited coverage for sudden and accidental discharge or overflow of water or steam from within a plumbing, heating, A/C, or automatic sprinkler system or from within a household appliance is available for a reduction in premium and may be used at the underwriter s discretion. The limit of liability for all covered property under this option is $10,000. The factor for this endorsement is 0.92 and it applies to the all other perils premium. Endorsement UPC 620 Ed. 08/

60 Rule 54. Ordinance or Law HO3, HO5, HO6 Provides coverage for increases in cost of reconstruction, repair, or demolition of property that results from local laws or ordinances. Base rates include 10% of Coverage A. Coverage may be increased to 25% or 50%. Basic Limit The policy automatically provides up to 10% of the Coverage A limit of liability to pay for the increased costs necessary to comply with the enforcement of an ordinance or law. Increased Amount Of Coverage The policy may be endorsed to increase the basic Ordinance or Law Coverage amount to accommodate the increased costs known or estimated by the insured for materials and labor to repair or replace the damaged property and to demolish the undamaged portion of damaged property and clear the site of resulting debris according to the ordinance or law. Endorsement HO % of Coverage A Total Amount All Perils 15% 25% % 50% 1.17 Ed. 08/

61 Rule 55. Other Structures Rented to Others on Residence Premises HO3, HO5 The policy may be endorsed to provide coverage when a structure on the residence premises is rented to others. When insurance is written on a specific structure on the residence premises rented to others, the rate per $1,000 of insurance shown below will apply separately to each structure. A Coverage B limit of 10% of Coverage A must first be selected in order to purchase the following increased limits. Rate per $1,000 is $6. The maximum aggregate limit for this coverage is 25% of coverage A. Coverage E and F coverages limits will match the policy limits and the premium in the following table will be added. Endorsement HO Coverage E $100,000 Coverage F $1,000 $2,500 $5,000 Premium $30 $35 $42 Coverage E $300,000 Coverage F $1,000 $2,500 $5,000 Premium $48 $52 $60 Coverage E $500,000 Coverage F $1,000 $2,500 $5,000 Premium $58 $63 $70 Ed. 08/

62 Rule 56. Outboard Motors and Watercraft HO3, HO5, HO6 Coverage is included in the policy form, at no additional charge, for certain watercraft powered by an outboard engine or motor or combination of outboard engines or motors of up to 25 horsepower, and sailboats less than 26 feet in overall length with or without auxiliary power. Coverage is also included for watercraft powered by inboard or inboard-outdrive engines or motors, including those that power a water jet pump, of 50 horse power or less when not owned by an insured or more than 50 horse power when not owned by or rented to an insured. The policy may be endorsed to provide coverage for the following types of craft: Watercraft, up to 26 feet in length powered by outboard engines or motors exceeding 25 horsepower; or powered by inboard or inboard-outdrive engines or motors, including those that power a water jet pump. Accumulate total horsepower if two or more engines or motors are regularly used together with any single watercraft owned by insured. Sailboats 26 feet or more in overall length, with or without auxiliary power. Coverage must be written to expiration of the policy. The watercraft must be located in the same state of the insured residence. The insured cannot have a DUI recorded or expunged during the prior three years of the effective date of the policy term. Outboard, Inboard, or Inboard-Outdrive Engines or Motors: Length Horsepower Up to 15 Feet 16 to 26 Feet $100,000 $300,000 $500,00 $100,000 $300,000 $500,00 Up to 50* $36 $48 $52 $56 $74 $81 51 to 100 $61 $81 $88 $81 $107 $ to 150 $86 $114 $125 $106 $140 $ to 200 Not Available $131 $173 $190 Over 200 Not Available Not Available *Outboard engines or motors of up to 25 horsepower or sailboats less than 26 feet in overall length with or without auxiliary power are covered in the policy form. Sailboats With or Without Auxiliary Power: Overall Length/Feet $100,000 $300,000 $500, to 40 feet* $36 $48 $52 Over 40 feet Not Available *Outboard engines or motors of up to 25 horsepower or sailboats less than 26 feet in overall length with or without auxiliary power are covered in the policy form. Ed. 08/

63 Rule 56. Outboard Motors and Watercraft HO3, HO5, HO6 (continued) Coverage F Medical Payments Outboard, Inboard or Inboard Outboard engines $1,000 $2,500 $5,000 Up to 15 feet, Up to 50 hp. $3 $6 $11 Up to 15 feet, 51 to 100 hp. $6 $12 $21 Up to 15 feet, 101 to 150 hp. $8 $16 $28 Up to 15 feet, 151 to 200 hp. Not Available Up to 15 feet, Over 200 hp. Not Available 16 to 26, Up to 50 hp. $4 $8 $14 16 to 26, 51 to 100 hp. $6 $12 $21 16 to 26, 101 to 150 hp. $8 $16 $28 16 to 26, 151 to 200 hp. $12 $24 $42 16to 26, Over 200 hp. Not Available Sailboats with or without auxiliary power 26 to 40 feet $3 $6 $11 Over 40 feet Not Available Endorsement HO Ed. 08/

64 Rule 57. Personal Injury All Forms Provides liability coverage for personal injury to others for offenses such as false arrest, detention or imprisonment, libel, slander, defamation of character, invasion of privacy, and wrongful eviction or wrongful entry. Amount of Personal Injury limit cannot be more than the Coverage E Liability limit. Use Endorsement HO Personal Injury Premium $100,000 $15 $300,000 $20 $500,000 $22 Ed. 08/

65 Rule 58. Personal Property Increased Special Limits All Forms The Special Limits of Liability in the policy form for the categories of property noted in the following table may be increased to the maximum limits shown: Personal Property Included Limit Maximum Limit Limit Per Item Rate Theft of Jewelry, Watches and Furs $1,500 $20,500 $1,500 $16 per $1000 Theft Silverware, Goldware & Pewterware $2,500 $10,500 $1,000 $3 per $500 A central station burglar alarm must be active on a property that includes an aggregate limit over $10,000 for this endorsement. Endorsement HO Ed. 08/

66 Rule 59. Personal Property Replacement Cost Loss Settlement All Forms Endorsement HO Form All Perils HO3, HO5 & HO HO Ed. 08/

67 Rule 60. Personal Property Scheduled All Forms Endorsement HO provides for standard loss settlement for all classes of property except Fine Arts; and agreed value loss settlement for Fine Arts. Use Scheduled Personal Property Endorsement HO for standard loss settlement or agreed value loss settlement for fine arts. Coverage for schedules of personal property items may be provided up to a maximum limit of $150,000 [or 50% of Cov. C] but not exceeding $50,000 for any one article of men s or ladies jewelry, $25,000 for any single fur item, or $10,000 for any collections. Firearms may be scheduled up to a limit of $10,000 per item with a class limit of $20,000. However, personal property items used in a trade or business are not eligible for scheduled personal property coverage. An appraisal or bill of sale no older than 5 years must accompany application or endorsement for each single item worth $10,000 or more. A reappraisal must be done every five years and maintained in the insured s file. Total schedules over $10,000 must have evidence of a central station burglar alarm. Apply the applicable rates from the table below: Property Description Rate per $100 Antiques $0.90 Bicycles $9.35 Cameras & Projection Equipment (non-professional) $1.52 Coins $1.80 Fine Arts: Breakage No Breakage $1.00 $0.50 Furs $0.40 Golfers Equipment $1.40 Guns: Collectible Fired (Not Collectible) $1.50 $3.00 $1.50 $0.80 Jewelry In vaults or safety deposit boxes Miscellaneous Personal Property $1.00 Musical Instruments (non-professional) $0.60 Other Sports Equipment $2.00 Silverware $0.45 Stamps $0.80 Ed. 08/