HOMEOWNERS 4 - CONTENTS BROAD FORM

Transcription

1 HOMEOWNERS 4 - CONTENTS BROAD FORM AGREEMENT b. Any other activity engaged in for money We will provide the insurance described in this or other compensation, except the policy in return for the premium and compliance following: with all applicable provisions of this policy. (1) One or more activities, not described DEFINITIONS in (2) through (4) below, for which A. In this policy, "you" and "your" refer to the no "insured" receives more than "named insured" shown in the Declarations and $2,000 in total compensation for the the spouse if a resident of the same household. 12 months before the beginning of "We", "us" and "our" refer to the Company the policy period; providing this insurance. (2) Volunteer activities for which no B. In addition, certain words and phrases are money is received other than defined as follows: payment for expenses incurred to 1. "Aircraft Liability", "Hovercraft Liability", perform the activity; "Motor Vehicle Liability" and "Watercraft (3) Providing home day care services for Liability", subject to the provisions in b. which no compensation is received, below, mean the following: other than the mutual exchange of a. Liability for "bodily injury" or "property such services; or damage" arising out of the: (4) The rendering of home day care (1) Ownership of such vehicle or craft services to a relative of an by an "insured"; "insured". (2) Maintenance, occupancy, operation, 4. "Employee" means an employee of an use, loading or unloading of such "insured", or an employee leased to an vehicle or craft by any person; "insured" by a labor leasing firm under an (3) Entrustment of such vehicle or craft agreement between an "insured" and the by an "insured" to any person; labor leasing firm, whose duties are other (4) Failure to supervise or negligent than those performed by a "residence supervision of any person involving employee". such vehicle or craft by an 5. "Insured" means: "insured"; or a. You and residents of your household who (5) Vicarious liability, whether or not are: imposed by law, for the actions of (1) Your relatives; or a child or minor involving such (2) Other persons under the age of 21 vehicle or craft. and in your care or the care of a b. For the purpose of this definition: resident of your household who is (1) Aircraft means any contrivance used your relative; or designed for flight except model b. A student enrolled in school full-time, or hobby aircraft not used or as defined by the school, who was a designed to carry people or cargo; resident of your household before moving (2) Hovercraft means a self-propelled out to attend school, provided the motorized ground effect vehicle and student is under the age of: includes, but is not limited to, (1) 24 and your relative; or flarecraft and air cushion vehicles; (2) 21 and in your care or the care of (3) Watercraft means a craft principally a resident of your household who is designed to be propelled on or in your relative; or water by wind, engine power or c. Under Section II: electric motor; and (1) With respect to animals or (4) Motor vehicle means a "motor watercraft to which this policy vehicle" as defined in 7. below. applies, any person or organization 2. "Bodily injury" means bodily harm, sickness legally responsible for these animals or disease, including required care, loss of or watercraft which are owned by services and death that results. you or any person described in 5.a. 3. "Business" means: or b. "Insured" does not mean a a. A trade, profession or occupation person or organization using or engaged in on a full-time, part-time or having custody of these animals or occasional basis; or watercraft in the course of any "business" or without consent of the owner; or HO0004 (05/11) Page 1 of 17

2 (2) With respect to a "motor vehicle" a. An employee of an "insured", or an to which this policy applies: employee leased to an "insured" by a (a) Persons while engaged in your labor leasing firm, under an agreement employ or that of any person between an "insured" and the labor described in 5.a. or b.; or leasing firm, whose duties are related to (b) Other persons using the vehicle the maintenance or use of the on an "insured location" with "residence premises", including household your consent. or domestic services; or Under both Sections I and II, when the b. One who performs similar duties word an immediately precedes the word elsewhere not related to the "business" "insured", the words an "insured" together of an "insured". mean one or more "insureds". A "residence employee" does not include a 6. "Insured location" means: temporary employee who is furnished to an a. The "residence premises"; "insured" to substitute for a permanent b. The part of other premises, other "residence employee" on leave or to meet structures and grounds used by you as a seasonal or short-term workload conditions. residence; and 11. "Residence premises" means: (1) Which is shown in the Declarations; a. The one-family dwelling where you or reside; (2) Which is acquired by you during the b. The two-, three- or four- family policy period for your use as a dwelling where you reside in at least residence; one of the family units; or c. Any premises used by you in connection c. That part of any other building where with a premises described in a. and b. you reside; above; and which is shown as the "residence d. Any part of a premises: premises" in the Declarations. (1) Not owned by an "insured"; and "Residence premises" also includes other (2) Where an "insured" is temporarily structures and grounds at that location. residing; SECTION I - PROPERTY COVERAGES e. Vacant land, other than farm land, owned A. Coverage C - Personal Property by or rented to an "insured"; 1. Covered Property f. Land owned by or rented to an We cover personal property owned or used "insured" on which a one-, two-, by an "insured" while it is anywhere in the three- or four- family dwelling is being world. After a loss and at your request, we built as a residence for an "insured"; will cover personal property owned by: g. Individual or family cemetery plots or a. Others while the property is on the part burial vaults of an "insured"; or of the "residence premises" occupied by h. Any part of a premises occasionally an "insured"; or rented to an "insured" for other than b. A guest or a "residence employee", "business" use. while the property is in any residence 7. "Motor vehicle" means: occupied by an "insured". a. A self-propelled land or amphibious 2. Limit For Property At Other vehicle; or Locations b. Any trailer or semitrailer which is being a. Other Residences carried on, towed by or hitched for Our limit of liability for personal towing by a vehicle described in a. property usually located at an "insured's" above. residence, other than the "residence 8. "Occurrence" means an accident, including premises", is 10% of the limit of continuous or repeated exposure to liability for Coverage C, or $1,000, substantially the same general harmful whichever is greater. However, this conditions, which results, during the policy limitation does not apply to personal period, in: property: a. "Bodily injury"; or (1) Moved from the "residence b. "Property damage". premises" because it is: 9. "Property damage" means physical injury to, (a) Being repaired, renovated or destruction of, or loss of use of tangible rebuilt; and property. (b) Not fit to live in or store 10. "Residence employee" means: property in; or (2) In a newly acquired principal HO0004 (05/11) Page 2 of 17

3 residence for 30 days from the time premises", used primarily for "business" you begin to move the property purposes. there. i. $1,500 on property, away from the b. Self-storage Facilities "residence premises", used primarily for Our limit of liability for personal "business" purposes. However, this limit property owned or used by an "insured" does not apply to antennas, tapes, and located in a self-storage facility is wires, records, disks or other media that 10% of the limit of liability for are: Coverage C, or $1,000, whichever is (1) Used with electronic equipment that greater. However, this limitation does reproduces, receives or transmits not apply to personal property: audio, visual or data signals; and (1) Moved from the "residence (2) In or upon a "motor vehicle". premises" because it is: j. $1,500 on portable electronic equipment (a) Being repaired, renovated or that: rebuilt; and (1) Reproduces, receives or transmits (b) Not fit to live in or store audio, visual or data signals; property in; or (2) Is designed to be operated by more (2) Usually located in an "insured's" than one power source, one of residence, other than the "residence which is a "motor vehicle's" premises". electrical system; and 3. Special Limits Of Liability (3) Is in or upon a "motor vehicle". The special limit for each category shown k. $250 for antennas, tapes, wires, records, below is the total limit for each loss for disks or other media that are: all property in that category. These special (1) Used with electronic equipment that limits do not increase the Coverage C limit reproduces, receives or transmits of liability. audio, visual or data signals; and a. $200 on money, bank notes, bullion, gold (2) In or upon a "motor vehicle". other than goldware, silver other than 4. Property Not Covered silverware, platinum other than We do not cover: platinumware, coins, medals, scrip, a. Articles separately described and stored value cards and smart cards. specifically insured, regardless of the b. $1,500 on securities, accounts, deeds, limit for which they are insured, in this evidences of debt, letters of credit, or other insurance; notes other than bank notes, manuscripts, b. Animals, birds or fish; personal records, passports, tickets and c. "Motor vehicles": stamps. This dollar limit applies to This includes a "motor vehicle's" these categories regardless of the equipment and parts. medium (such as paper or computer However, this Paragraph 4.c. does not software) on which the material exists. apply to: This limit includes the cost to research, (1) Portable electronic equipment that: replace or restore the information from (a) Reproduces, receives or the lost or damaged material. transmits audio, visual or data c. $1,500 on watercraft of all types, signals; and including their trailers, furnishings, (b) Is designed so that it may be equipment and outboard engines or operated from a power source motors. other than a "motor vehicle's" d. $1,500 on trailers or semitrailers not electrical system. used with watercraft of all types. (2) "Motor vehicles" not required to be e. $1,500 for loss by theft of jewelry, registered for use on public roads or watches, furs, precious and semiprecious property which are: stones. (a) Used solely to service a f. $2,500 for loss by theft of firearms and residence; or related equipment. (b) Designed to assist the g. $2,500 for loss by theft of silverware, handicapped; silver-plated ware, goldware, gold-plated d. Aircraft, meaning any contrivance used ware, platinumware, platinum-plated or designed for flight, including any ware and pewterware. This includes parts whether or not attached to the flatware, hollowware, tea sets, trays and aircraft. trophies made of or including silver, We do cover model or hobby aircraft gold or pewter. not used or designed to carry people or h. $2,500 on property, on the "residence cargo; HO0004 (05/11) Page 3 of 17

4 e. Hovercraft and parts. Hovercraft means a direct damage to neighboring premises by a self-propelled motorized ground effect Peril Insured Against, we cover the loss as vehicle and includes, but is not limited provided in 1. Additional Living Expense and to, flarecraft and air cushion vehicles; 2. Fair Rental Value above for no more than f. Property of roomers, boarders and other two weeks. tenants, except property of roomers and 4. Loss Or Expense Not Covered boarders related to an "insured"; We do not cover loss or expense due to g. Property in an apartment regularly rented cancellation of a lease or agreement. or held for rental to others by an The periods of time under 1. Additional Living "insured"; Expense, 2. Fair Rental Value and 3. Civil h. Property rented or held for rental to Authority Prohibits Use above are not limited by others off the "residence premises"; expiration of this policy. i. "Business" data, including such data C. Additional Coverages stored in: 1. Debris Removal (1) Books of account, drawings or other a. We will pay your reasonable expense for paper records; or the removal of: (2) Computers and related equipment. (1) Debris of covered property if a Peril We do cover the cost of blank recording Insured Against that applies to the or storage media and of prerecorded damaged property causes the loss; computer programs available on the or retail market; (2) Ash, dust or particles from a j. Credit cards, electronic fund transfer volcanic eruption that has caused cards or access devices used solely for direct loss to a building or property deposit, withdrawal or transfer of funds contained in a building. except as provided in C.6. Credit Card, This expense is included in the limit of Electronic Fund Transfer Card Or Access liability that applies to the damaged Device, Forgery And Counterfeit Money property. If the amount to be paid for under Section I - Property Coverages; or the actual damage to the property plus k. Water or steam. the debris removal expense is more than B. Coverage D - Loss Of Use the limit of liability for the damaged The limit of liability for Coverage D is the property, an additional 5% of that limit total limit for the coverages in 1. Additional is available for such expense. Living Expense, 2. Fair Rental Value and 3. Civil b. We will also pay your reasonable Authority Prohibits Use below. expense, up to $1,000, for the removal 1. Additional Living Expense from the "residence premises" of: If a loss by a Peril Insured Against under (1) Your trees felled by the peril of this policy to covered property or the Windstorm or Hail or Weight of Ice, building containing the property makes the Snow or Sleet; or "residence premises" not fit to live in, we (2) A neighbor's trees felled by a Peril cover any necessary increase in living Insured Against under Coverage C; expenses incurred by you so that your provided the trees: household can maintain its normal standard (3) Damage a covered structure; or of living. (4) Do not damage a covered structure, Payment will be for the shortest time but: required to repair or replace the damage or, (a) Block a driveway on the if you permanently relocate, the shortest "residence premises" which time required for your household to settle prevents a "motor vehicle", that elsewhere. is registered for use on public 2. Fair Rental Value roads or property, from entering If a loss covered under Section I makes or leaving the "residence that part of the "residence premises" rented premises"; or to others or held for rental by you not fit (b) Block a ramp or other fixture to live in, we cover the fair rental value of designed to assist a handicapped such premises less any expenses that do person to enter or leave the not continue while it is not fit to live in. dwelling building. Payment will be for the shortest time The $1,000 limit is the most we will required to repair or replace such premises. pay in any one loss, regardless of the 3. Civil Authority Prohibits Use number of fallen trees. No more than If a civil authority prohibits you from use of $500 of this limit will be paid for the the "residence premises" as a result of removal of any one tree. This coverage is additional insurance. HO0004 (05/11) Page 4 of 17

5 2. Reasonable Repairs 6. Credit Card, Electronic Fund Transfer a. We will pay the reasonable cost Card Or Access Device, Forgery And incurred by you for the necessary Counterfeit Money measures taken solely to protect covered a. We will pay up to $500 for: property that is damaged by a Peril (1) The legal obligation of an "insured" Insured Against from further damage. to pay because of the theft or b. If the measures taken involve repair to unauthorized use of credit cards other damaged property, we will only issued to or registered in an pay if that property is covered under "insured's" name; this policy and the damage is caused by (2) Loss resulting from theft or a Peril Insured Against. This coverage unauthorized use of an electronic does not: fund transfer card or access device (1) Increase the limit of liability that used for deposit, withdrawal or applies to the covered property; or transfer of funds, issued to or (2) Relieve you of your duties, in case registered in an "insured's" name; of a loss to covered property, (3) Loss to an "insured" caused by described in C.4. under Section I - forgery or alteration of any check or Conditions. negotiable instrument; and 3. Trees, Shrubs And Other Plants (4) Loss to an "insured" through We cover trees, shrubs, plants or lawns, on acceptance in good faith of the "residence premises", for loss caused by counterfeit United States or Canadian the following Perils Insured Against: paper currency. a. Fire or Lightning; All loss resulting from a series of acts b. Explosion; committed by any one person or in c. Riot or Civil Commotion; which any one person is concerned or d. Aircraft; implicated is considered to be one loss. e. Vehicles not owned or operated by a This coverage is additional insurance. No resident of the "residence premises"; deductible applies to this coverage. f. Vandalism or Malicious Mischief; or b. We do not cover: g. Theft. (1) Use of a credit card, electronic fund We will pay up to 10% of the limit of transfer card or access device: liability that applies to Coverage C for all (a) By a resident of your household; trees, shrubs, plants or lawns. No more than (b) By a person who has been $500 of this limit will be paid for any one entrusted with either type of tree, shrub or plant. We do not cover card or access device; or property grown for "business" purposes. (c) If an "insured" has not This coverage is additional insurance. complied with all terms and 4. Fire Department Service Charge conditions under which the cards We will pay up to $500 for your liability are issued or the devices assumed by contract or agreement for fire accessed; or department charges incurred when the fire (2) Loss arising out of "business" use department is called to save or protect or dishonesty of an "insured". covered property from a Peril Insured c. If the coverage in a. above applies, the Against. We do not cover fire department following defense provisions also apply: service charges if the property is located (1) We may investigate and settle any within the limits of the city, municipality or claim or suit that we decide is protection district furnishing the fire appropriate. Our duty to defend a department response. claim or suit ends when the amount This coverage is additional insurance. No we pay for the loss equals our deductible applies to this coverage. limit of liability. 5. Property Removed (2) If a suit is brought against an We insure covered property against direct "insured" for liability under a.(1) or loss from any cause while being removed (2) above, we will provide a from a premises endangered by a Peril defense at our expense by counsel Insured Against and for no more than 30 of our choice. days while removed. (3) We have the option to defend at our This coverage does not change the limit of expense an "insured" or an liability that applies to the property being "insured's" bank against any suit for removed. the enforcement of payment under a.(3) above. HO0004 (05/11) Page 5 of 17

6 7. Loss Assessment of a building or any part of a building a. We will pay up to $1,000 for your share if such collapse was caused by one or of loss assessment charged during the more of the following: policy period against you, as owner or (1) The Perils Insured Against; tenant of the "residence premises", by a (2) Decay, of a building or any part of corporation or association of property a building, that is hidden from view, owners. The assessment must be made unless the presence of such decay as a result of direct loss to property, is known to an "insured" prior to owned by all members collectively, of collapse; the type that would be covered by this (3) Insect or vermin damage, to a policy if owned by you, caused by a building or any part of a building, Peril Insured Against under Coverage C, that is hidden from view, unless the other than: presence of such damage is known (1) Earthquake; or to an "insured" prior to collapse; (2) Land shock waves or tremors before, (4) Weight of contents, equipment, during or after a volcanic eruption. animals or people; The limit of $1,000 is the most we (5) Weight of rain which collects on a will pay with respect to any one loss, roof; or regardless of the number of (6) Use of defective material or assessments. We will only apply one methods in construction, remodeling deductible, per unit, to the total amount or renovation if the collapse occurs of any one loss to the property during the course of the described above, regardless of the construction, remodeling or number of assessments. renovation. b. We do not cover assessments charged e. Loss to an awning, fence, patio, deck, against you or a corporation or pavement, swimming pool, underground association of property owners by any pipe, flue, drain, cesspool, septic tank, governmental body. foundation, retaining wall, bulkhead, pier, c. Paragraph P. Policy Period under Section wharf or dock is not included under I - Conditions does not apply to this d.(2) through (6) above, unless the loss coverage. is a direct result of the collapse of a This coverage is additional insurance. building or any part of a building. 8. Collapse f. This coverage does not increase the a. The coverage provided under this limit of liability that applies to the Additional Coverage - Collapse applies damaged covered property. only to an abrupt collapse. 9. Glass Or Safety Glazing Material b. For the purpose of this Additional a. We cover: Coverage - Collapse, abrupt collapse (1) The breakage of glass or safety means an abrupt falling down or caving glazing material which is part of a in of a building or any part of a building, storm door or storm building with the result that the building window and covered as Building or part of the building cannot be Additions And Alterations; occupied for its intended purpose. (2) The breakage of glass or safety c. This Additional Coverage - Collapse glazing material which is part of a does not apply to: building, storm door or storm (1) A building or any part of a building window and covered as Building that is in danger of falling down or Additions And Alterations when caving in; caused directly by earth movement; (2) A part of a building that is and standing, even if it has separated (3) The direct physical loss to covered from another part of the building; or property caused solely by the (3) A building or any part of a building pieces, fragments or splinters of that is standing, even if it shows broken glass or safety glazing evidence of cracking, bulging, material which is part of a building, sagging, bending, leaning, settling, storm door or storm window. shrinkage or expansion. b. This coverage does not include loss: d. We insure for direct physical loss to (1) To covered property which results covered property involving abrupt collapse because the glass or safety glazing HO0004 (05/11) Page 6 of 17

7 material has been broken, except as requirements of any ordinance or provided in a.(3) above; or law; or (2) On the "residence premises" if the (2) The costs to comply with any dwelling has been vacant for more ordinance or law which requires any than 60 consecutive days "insured" or others to test for, immediately before the loss, except monitor, clean up, remove, contain, when the breakage results directly treat, detoxify or neutralize, or in from earth movement as provided in any way respond to, or assess the a.(2) above. A dwelling being effects of, pollutants in or on any constructed is not considered vacant. covered building or other structure. c. This coverage does not increase the Pollutants means any solid, liquid, limit of liability that applies to the gaseous or thermal irritant or damaged property. contaminant, including smoke, vapor, 10. Building Additions And Alterations soot, fumes, acids, alkalis, We cover under Coverage C the building chemicals and waste. Waste includes improvements or installations, made or materials to be recycled, acquired at your expense, to that part of the reconditioned or reclaimed. "residence premises" used exclusively by This coverage is additional insurance. you. The limit of liability for this coverage 12. Grave Markers will not be more than 10% of the limit of We will pay up to $5,000 for grave markers, liability that applies to Coverage C. including mausoleums, on or away from the This coverage is additional insurance. "residence premises" for loss caused by a 11. Ordinance Or Law Peril Insured Against. a. You may use up to 10% of the limit of This coverage does not increase the limits liability that applies to Building of liability that apply to the damaged Additions And Alterations for the covered property. increased costs you incur due to the SECTION I - PERILS INSURED AGAINST enforcement of any ordinance or law We insure for direct physical loss to the property which requires or regulates: described in Coverage C caused by any of the (1) The construction, demolition, following perils unless the loss is excluded in remodeling, renovation or repair of Section I - Exclusions. that part of a covered building or 1. Fire Or Lightning other structure damaged by a Peril 2. Windstorm Or Hail Insured Against; This peril includes loss to watercraft of all (2) The demolition and reconstruction of types and their trailers, furnishings, equipment, the undamaged part of a covered and outboard engines or motors, only while building or other structure, when that inside a fully enclosed building. building or other structure must be This peril does not include loss to the property totally demolished because of contained in a building caused by rain, snow, damage by a Peril Insured Against sleet, sand or dust unless the direct force of to another part of that covered wind or hail damages the building causing an building or other structure; or opening in a roof or wall and the rain, snow, (3) The remodeling, removal or sleet, sand or dust enters through this opening. replacement of the portion of the 3. Explosion undamaged part of a covered building 4. Riot Or Civil Commotion or other structure necessary to 5. Aircraft complete the remodeling, repair or This peril includes self-propelled missiles and replacement of that part of the spacecraft. covered building or other structure 6. Vehicles damaged by a Peril Insured Against. 7. Smoke b. You may use all or part of this This peril means sudden and accidental damage ordinance or law coverage to pay for from smoke, including the emission or puffback the increased costs you incur to remove of smoke, soot, fumes or vapors from a boiler, debris resulting from the construction, furnace or related equipment. demolition, remodeling, renovation, repair This peril does not include loss caused by or replacement of property as stated in smoke from agricultural smudging or industrial a. above. operations. c. We do not cover: 8. Vandalism Or Malicious Mischief (1) The loss in value to any covered This peril does not include loss to property on building or other structure due to the the "residence premises", and any ensuing loss HO0004 (05/11) Page 7 of 17

8 caused by any intentional and wrongful act (3) On the "residence premises" caused by committed in the course of the vandalism or accidental discharge or overflow which malicious mischief, if the dwelling has been occurs away from the building where the vacant for more than 60 consecutive days "residence premises" is located; or immediately before the loss. A dwelling being (4) Caused by mold, fungus or wet rot constructed is not considered vacant. unless hidden within the walls or 9. Theft ceilings or beneath the floors or above a. This peril includes attempted theft and loss the ceilings of a structure. of property from a known place when it is c. In this peril, a plumbing system or likely that the property has been stolen. household appliance does not include a b. This peril does not include loss caused by sump, sump pump or related equipment or a theft: roof drain, gutter, downspout or similar (1) Committed by an "insured"; fixtures or equipment. (2) In or to a dwelling under construction, d. Section I - Exclusion 3. Water, Paragraphs or of materials and supplies for use in a. and c. that apply to surface water and the construction until the dwelling is water below the surface of the ground do finished and occupied; not apply to loss by water covered under (3) From that part of a "residence this peril. premises" rented by an "insured" to 13. Sudden And Accidental Tearing Apart, someone other than another "insured"; or Cracking, Burning Or Bulging (4) That occurs off the "residence This peril means sudden and accidental tearing premises" of: apart, cracking, burning or bulging of a steam or (a) Trailers, semitrailers and campers; hot water heating system, an air conditioning or (b) Watercraft of all types, and their automatic fire protective sprinkler system, or an furnishings, equipment and outboard appliance for heating water. engines or motors; or This peril does not include loss caused by or (c) Property while at any other resulting from freezing except as provided in residence owned by, rented to, or Peril Insured Against 14. Freezing below. occupied by an "insured", except 14. Freezing while an "insured" is temporarily a. This peril means freezing of a plumbing, living there. Property of an "insured" heating, air conditioning or automatic fire who is a student is covered while protective sprinkler system or of a household at the residence the student appliance, but only if you have used occupies to attend school as long as reasonable care to: the student has been there at any (1) Maintain heat in the building; or time during the 90 days immediately (2) Shut off the water supply and drain all before the loss. systems and appliances of water. 10. Falling Objects However, if the building is protected by an This peril does not include loss to the property automatic fire protective sprinkler system, contained in the building unless the roof or an you must use reasonable care to continue outside wall of the building is first damaged by the water supply and maintain heat in the a falling object. Damage to the falling object building for coverage to apply. itself is not included. b. In this peril, a plumbing system or 11. Weight Of Ice, Snow Or Sleet household appliance does not include a This peril means weight of ice, snow or sleet sump, sump pump or related equipment or a which causes damage to the property contained roof drain, gutter, downspout or similar in the building. fixtures or equipment. 12. Accidental Discharge Or Overflow Of 15. Sudden And Accidental Damage From Water Or Steam Artificially Generated Electrical Current a. This peril means accidental discharge or This peril does not include loss to tubes, overflow of water or steam from within a transistors, electronic components or circuitry plumbing, heating, air conditioning or that is a part of appliances, fixtures, computers, automatic fire protective sprinkler system or home entertainment units or other types of from within a household appliance. electronic apparatus. b. This peril does not include loss: 16. Volcanic Eruption (1) To the system or appliance from which This peril does not include loss caused by the water or steam escaped; earthquake, land shock waves or tremors. (2) Caused by or resulting from freezing SECTION I - EXCLUSIONS except as provided in Peril Insured We do not insure for loss caused directly or Against 14. Freezing; indirectly by any of the following. Such loss is HO0004 (05/11) Page 8 of 17

9 excluded regardless of any other cause or event d. Waterborne material carried or otherwise contributing concurrently or in any sequence to the moved by any of the water referred to in loss. These exclusions apply whether or not the loss 3.a. through 3.c. of this exclusion. event results in widespread damage or affects a This Exclusion 3. applies regardless of whether substantial area. any of the above, in 3.a. through 3.d., is 1. Ordinance Or Law caused by an act of nature or is otherwise Ordinance Or Law means any ordinance or law: caused. a. Requiring or regulating the construction, This Exclusion 3. applies to, but is not limited demolition, remodeling, renovation or repair to, escape, overflow or discharge, for any of property, including removal of any reason, of water or waterborne material from a resulting debris. This Exclusion 1.a. does not dam, levee, seawall or any other boundary or apply to the amount of coverage that may containment system. be provided for in C.11. Ordinance Or Law However, direct loss by fire, explosion or theft under Section I - Property Coverages; resulting from any of the above, in 3.a. through b. The requirements of which result in a loss 3.d., is covered. in value to property; or 4. Power Failure c. Requiring any "insured" or others to test for, Power Failure means the failure of power or monitor, clean up, remove, contain, treat, other utility service if the failure takes place detoxify or neutralize, or in any way respond off the "residence premises". But if the failure to, or assess the effects of, pollutants. results in a loss, from a Peril Insured Against Pollutants means any solid, liquid, gaseous on the "residence premises", we will pay for or thermal irritant or contaminant, including the loss caused by that peril. smoke, vapor, soot, fumes, acids, alkalis, 5. Neglect chemicals and waste. Waste includes Neglect means neglect of an "insured" to use materials to be recycled, reconditioned or all reasonable means to save and preserve reclaimed. property at and after the time of a loss. This Exclusion 1. applies whether or not the 6. War property has been physically damaged. War includes the following and any consequence 2. Earth Movement of any of the following: Earth Movement means: a. Undeclared war, civil war, insurrection, a. Earthquake, including land shock waves or rebellion or revolution; tremors before, during or after a volcanic b. Warlike act by a military force or military eruption; personnel; or b. Landslide, mudslide or mudflow; c. Destruction, seizure or use for a military c. Subsidence or sinkhole; or purpose. d. Any other earth movement including earth Discharge of a nuclear weapon will be deemed sinking, rising or shifting. a warlike act even if accidental. This Exclusion 2. applies regardless of whether 7. Nuclear Hazard any of the above, in 2.a. through 2.d., is This Exclusion 7. pertains to Nuclear Hazard to caused by an act of nature or is otherwise the extent set forth in M. Nuclear Hazard Clause caused. under Section I - Conditions. However, direct loss by fire, explosion or theft 8. Intentional Loss resulting from any of the above, in 2.a. through Intentional Loss means any loss arising out of 2.d., is covered. any act an "insured" commits or conspires to 3. Water commit with the intent to cause a loss. This means: In the event of such loss, no "insured" is a. Flood, surface water, waves, including tidal entitled to coverage, even "insureds" who did wave and tsunami, tides, tidal water, not commit or conspire to commit the act overflow of any body of water, or spray causing the loss. from any of these, all whether or not driven 9. Governmental Action by wind, including storm surge; Governmental Action means the destruction, b. Water which: confiscation or seizure of property described in (1) Backs up through sewers or drains; or Coverage C by order of any governmental or (2) Overflows or is otherwise discharged public authority. from a sump, sump pump or related This exclusion does not apply to such acts equipment; ordered by any governmental or public authority c. Water below the surface of the ground, that are taken at the time of a fire to prevent including water which exerts pressure on, or its spread, if the loss caused by fire would be seeps, leaks or flows through a building, covered under this policy. sidewalk, driveway, patio, foundation, SECTION I - CONDITIONS swimming pool or other structure; or A. Insurable Interest And Limit Of Liability HO0004 (05/11) Page 9 of 17

10 Even if more than one person has an insurable a. The time and cause of loss; interest in the property covered, we will not be b. The interests of all "insureds" and all liable in any one loss: others in the property involved and all 1. To an "insured" for more than the amount liens on the property; of such "insured's" interest at the time of c. Other insurance which may cover the loss; or loss; 2. For more than the applicable limit of d. Changes in title or occupancy of the liability. property during the term of the policy; B. Deductible e. Specifications of damaged buildings and Unless otherwise noted in this policy, the detailed repair estimates; following deductible provision applies: f. The inventory of damaged personal With respect to any one loss: property described in 6. above; 1. Subject to the applicable limit of liability, g. Receipts for additional living expenses we will pay only that part of the total of incurred and records that support the fair all loss payable that exceeds the deductible rental value loss; and amount shown in the Declarations. h. Evidence or affidavit that supports a 2. If two or more deductibles under this policy claim under C.6. Credit Card, Electronic apply to the loss, only the highest Fund Transfer Card Or Access Device, deductible amount will apply. Forgery And Counterfeit Money under C. Duties After Loss Section I-Property Coverages, stating the In case of a loss to covered property, we have amount and cause of loss. no duty to provide coverage under this policy if D. Loss Settlement the failure to comply with the following duties Covered property losses are settled at actual is prejudicial to us. These duties must be cash value at the time of loss but not more performed either by you, an "insured" seeking than the amount required to repair or replace. coverage, or a representative of either: E. Loss To A Pair Or Set 1. Give prompt notice to us or our agent; In case of loss to a pair or set we may elect 2. Notify the police in case of loss by theft; to: 3. Notify the credit card or electronic fund 1. Repair or replace any part to restore the transfer card or access device company in pair or set to its value before the loss; or case of loss as provided for in C.6. Credit 2. Pay the difference between actual cash value Card, Electronic Fund Transfer Card Or of the property before and after the loss. Access Device, Forgery And Counterfeit F. Appraisal Money under Section I - Property Coverages; If you and we fail to agree on the amount of 4. Protect the property from further damage. If loss, either may demand an appraisal of the repairs to the property are required, you loss. In this event, each party will choose a must: competent and impartial appraiser within 20 days a. Make reasonable and necessary repairs after receiving a written request from the other. to protect the property; and The two appraisers will choose an umpire. If b. Keep an accurate record of repair they cannot agree upon an umpire within 15 expenses; days, you or we may request that the choice be 5. Cooperate with us in the investigation of a made by a judge of a court of record in the claim; state where the "residence premises" is located. 6. Prepare an inventory of damaged personal The appraisers will separately set the amount of property showing the quantity, description, loss. If the appraisers submit a written report of actual cash value and amount of loss. Attach an agreement to us, the amount agreed upon all bills, receipts and related documents that will be the amount of loss. If they fail to justify the figures in the inventory; agree, they will submit their differences to the 7. As often as we reasonably require: umpire. A decision agreed to by any two will a. Show the damaged property; set the amount of loss. b. Provide us with records and documents Each party will: we request and permit us to make 1. Pay its own appraiser; and copies; and 2. Bear the other expenses of the appraisal and c. Submit to examination under oath, while umpire equally. not in the presence of another "insured", G. Other Insurance And Service Agreement and sign the same; If a loss covered by this policy is also covered 8. Send to us, within 60 days after our by: request, your signed, sworn proof of loss 1. Other insurance, we will pay only the which sets forth, to the best of your proportion of the loss that the limit of knowledge and belief: liability that applies under this policy bears HO0004 (05/11) Page 10 of 17

11 to the total amount of insurance covering option, the property will be returned to or the loss; or retained by you or it will become our property. 2. A service agreement, this insurance is If the recovered property is returned to or excess over any amounts payable under any retained by you, the loss payment will be such agreement. Service agreement means a adjusted based on the amount you received for service plan, property restoration plan, home the recovered property. warranty or other similar service warranty O. Volcanic Eruption Period agreement, even if it is characterized as One or more volcanic eruptions that occur within insurance. a 72-hour period will be considered as one H. Suit Against Us volcanic eruption. No action can be brought against us unless there P. Policy Period has been full compliance with all of the terms This policy applies only to loss which occurs under Section I of this policy and the action is during the policy period. started within two years after the date of loss. Q. Concealment Or Fraud I. Our Option We provide coverage to no "insureds" under this If we give you written notice within 30 days policy if, whether before or after a loss, an after we receive your signed, sworn proof of "insured" has: loss, we may repair or replace any part of the 1. Intentionally concealed or misrepresented any damaged property with material or property of material fact or circumstance; like kind and quality. 2. Engaged in fraudulent conduct; or J. Loss Payment 3. Made false statements; We will adjust all losses with you. We will pay relating to this insurance. you unless some other person is named in the R. Loss Payable Clause policy or is legally entitled to receive payment. If the Declarations shows a loss payee for Loss will be payable 60 days after we receive certain listed insured personal property, the your proof of loss and: definition of "insured" is changed to include that 1. Reach an agreement with you; loss payee with respect to that property. 2. There is an entry of a final judgment; or If we decide to cancel or not renew this policy, 3. There is a filing of an appraisal award with that loss payee will be notified in writing. us. SECTION II - LIABILITY COVERAGES K. Abandonment Of Property A. Coverage E - Personal Liability We need not accept any property abandoned by If a claim is made or a suit is brought against an "insured". an "insured" for damages because of "bodily L. No Benefit To Bailee injury" or "property damage" caused by an We will not recognize any assignment or grant "occurrence" to which this coverage applies, we any coverage that benefits a person or will: organization holding, storing or moving property 1. Pay up to our limit of liability for the for a fee regardless of any other provision of damages for which an "insured" is legally this policy. liable. Damages include prejudgment interest M. Nuclear Hazard Clause awarded against an "insured"; and 1. "Nuclear Hazard" means any nuclear reaction, 2. Provide a defense at our expense by counsel radiation, or radioactive contamination, all of our choice, even if the suit is groundless, whether controlled or uncontrolled or false or fraudulent. We may investigate and however caused, or any consequence of any settle any claim or suit that we decide is of these. appropriate. Our duty to settle or defend 2. Loss caused by the nuclear hazard will not ends when our limit of liability for the be considered loss caused by fire, explosion, "occurrence" has been exhausted by payment or smoke, whether these perils are of a judgment or settlement. specifically named in or otherwise included B. Coverage F - Medical Payments To within the Perils Insured Against. Others 3. This policy does not apply under Section I We will pay the necessary medical expenses to loss caused directly or indirectly by that are incurred or medically ascertained within nuclear hazard, except that direct loss by three years from the date of an accident causing fire resulting from the nuclear hazard is "bodily injury". Medical expenses means covered. reasonable charges for medical, surgical, x-ray, N. Recovered Property dental, ambulance, hospital, professional nursing, If you or we recover any property for which we prosthetic devices and funeral services. This have made payment under this policy, you or we coverage does not apply to you or regular will notify the other of the recovery. At your residents of your household except "residence HO0004 (05/11) Page 11 of 17

12 employees". As to others, this coverage applies (i) Designed as a toy vehicle only: for use by children under 1. To a person on the "insured location" with seven years of age; the permission of an "insured"; or (ii) Powered by one or more 2. To a person off the "insured location", if batteries; and the "bodily injury": (iii) Not built or modified after a. Arises out of a condition on the manufacture to exceed a "insured location" or the ways speed of five miles per immediately adjoining; hour on level ground; b. Is caused by the activities of an e. A motorized golf cart that is owned by "insured"; an "insured", designed to carry up to c. Is caused by a "residence employee" in four persons, not built or modified after the course of the "residence manufacture to exceed a speed of 25 employee's" employment by an insured"; miles per hour on level ground and, at or the time of an "occurrence", is within d. Is caused by an animal owned by or in the legal boundaries of: the care of an "insured". (1) A golfing facility and is parked or SECTION II-EXCLUSIONS stored there, or being used by an A. "Motor Vehicle Liability" "insured" to: 1. Coverages E and F do not apply to any (a) Play the game of golf or for "motor vehicle liability" if, at the time and other recreational or leisure place of an "occurrence", the involved activity allowed by the facility; "motor vehicle": (b) Travel to or from an area where a. Is registered for use on public roads or "motor vehicles" or golf carts property; are parked or stored; or b. Is not registered for use on public roads (c) Cross public roads at designated or property, but such registration is points to access other parts of required by a law, or regulation issued the golfing facility; or by a government agency, for it to be (2) A private residential community, used at the place of the "occurrence"; including its public roads upon which or a motorized golf cart can legally c. Is being: travel, which is subject to the (1) Operated in, or practicing for, any authority of a property owners prearranged or organized race, speed association and contains an contest or other competition; "insured's" residence. (2) Rented to others; B. "Watercraft Liability" (3) Used to carry persons or cargo for 1. Coverages E and F do not apply to any a charge; or "watercraft liability" if, at the time of an (4) Used for any "business" purpose "occurrence", the involved watercraft is except for a motorized golf cart being: while on a golfing facility. a. Operated in, or practicing for, any 2. If Exclusion A.1. does not apply, there is prearranged or organized race, speed still no coverage for "motor vehicle contest or other competition. This liability", unless the "motor vehicle" is: exclusion does not apply to a sailing a. In dead storage on an "insured location"; vessel or a predicted log cruise; b. Used solely to service a residence; b. Rented to others; c. Designed to assist the handicapped and, c. Used to carry persons or cargo for a at the time of an "occurrence", it is: charge; or (1) Being used to assist a handicapped d. Used for any "business" purpose. person; or 2. If Exclusion B.1. does not apply, there is (2) Parked on an "insured location"; still no coverage for "watercraft liability" d. Designed for recreational use off public unless, at the time of the "occurrence", the roads and: watercraft: (1) Not owned by an "insured"; or a. Is stored; (2) Owned by an "insured" provided the b. Is a sailing vessel, with or without "occurrence" takes place: auxiliary power, that is: (a) On an "insured location" as (1) Less than 26 feet in overall length; defined in Definition B.6.a., b., or d., e. or h.; or (2) 26 feet or more in overall length (b) Off an "insured location" and and not owned by or rented to an the "motor vehicle" is: "insured"; or HO0004 (05/11) Page 12 of 17

13 c. Is not a sailing vessel and is powered 2. "Business" by: a. "Bodily injury" or "property damage" (1) An inboard or inboard-outdrive arising out of or in connection with a engine or motor, including those that "business" conducted from an "insured power a water jet pump, of: location" or engaged in by an "insured", (a) 50 horsepower or less and not whether or not the "business" is owned owned by an "insured"; or or operated by an "insured" or employs (b) More than 50 horsepower and an "insured". not owned by or rented to an This Exclusion E.2. applies but is not "insured"; or limited to an act or omission, regardless (2) One or more outboard engines or of its nature or circumstance, involving motors with: a service or duty rendered, promised, (a) 25 total horsepower or less; owed, or implied to be provided because (b) More than 25 horsepower if the of the nature of the "business". outboard engine or motor is not b. This Exclusion E.2. does not apply to: owned by an "insured"; (1) The rental or holding for rental of (c) More than 25 horsepower if the an "insured location"; outboard engine or motor is (a) On an occasional basis if used owned by an "insured" who only as a residence; acquired it during the policy (b) In part for use only as a period; or residence, unless a single-family (d) More than 25 horsepower if the unit is intended for use by the outboard engine or motor is occupying family to lodge more owned by an "insured" who than two roomers or boarders; acquired it before the policy or period, but only if: (c) In part, as an office, school, (i) You declare them at policy studio or private garage; and inception; or (2) An "insured" under the age of 21 (ii) Your intent to insure them years involved in a part-time or is reported to us in writing occasional, self-employed "business" within 45 days after you with no employees; acquire them. 3. Professional Services The coverages in (c) and (d) above "Bodily injury" or "property damage" arising apply for the policy period. out of the rendering of or failure to render Horsepower means the maximum power professional services; rating assigned to the engine or motor 4. "Insured's" Premises Not An by the manufacturer. "Insured Location" C. "Aircraft Liability" "Bodily injury" or "property damage" arising This policy does not cover "aircraft liability". out of a premises: D. "Hovercraft Liability" a. Owned by an "insured"; This policy does not cover "hovercraft liability". b. Rented to an "insured"; or E. Coverage E - Personal Liability And c. Rented to others by an "insured"; Coverage F - Medical Payments To that is not an "insured location"; Others 5. War Coverages E and F do not apply to the "Bodily injury" or "property damage" caused following: directly or indirectly by war, including the 1. Expected Or Intended Injury following and any consequence of any of the "Bodily injury" or "property damage" which following: is expected or intended by an "insured", a. Undeclared war, civil war, insurrection, even if the resulting "bodily injury" or rebellion or revolution; "property damage": b. Warlike act by a military force or a. Is of a different kind, quality or degree military personnel; or than initially expected or intended; or c. Destruction, seizure or use for a military b. Is sustained by a different person, entity purpose. or property than initially expected or Discharge of a nuclear weapon will be intended. deemed a warlike act even if accidental; However, this Exclusion E.1. does not apply 6. Communicable Disease to "bodily injury" or "property damage" "Bodily injury" or "property damage" which resulting from the use of reasonable force arises out of the transmission of a by an "insured" to protect persons or communicable disease by an "insured"; property; HO0004 (05/11) Page 13 of 17