General Rules Rule 1. General Information This manual contains the rules, rates and premiums for insuring the following classes of property under Personal Inland Marine Floater policies, including coverage in the form of an endorsement or supplemental contract for attachment to another form of policy: Cameras Fine Arts Golfer s Equipment Guns Musical Instruments Personal Articles Personal Furs Personal Jewelry Silverware Stamp and Coin Collections The General rules apply to all of the classes listed above. The Class Rules of the manual contain specific rules applying to the individual classes, including any supplements and exceptions to the General Rules. Rule 2. Policy Forms and Endorsements The conditions of the Inland Marine Floater Policy Personal Lines are required to be used with all forms of the above classes, either as the complete policy or the basic policy completed by the attachment of the appropriate form. Rule 3. Policy Eligibility Requirements A. Policies may be issued only to cover property of an individual, spouses, or registered domestic partners under California law, who reside together, members of the insured s family of the same household, except as provided below or in the specific Class rules. B. Policies may be issued in the name of unrelated persons who reside together, provided they are bona fide co-owners of the property. C. Policies may be issued to an executor or administrator of a decedent s estate to cover estate property only which is otherwise eligible for coverage hereunder. Attach endorsement IPL0115 - Estates Endorsement. Rule 4. Mortgagee or Pledgee A loss payable clause may be attached to the policy when a bona fide mortgagee or pledgee exists. Revised--February, 2005 California Inland Marine Page 1 Includes Copyrighted material of Insurance Services Office, 1977, 1982 & 1993, 2005 with permission.
Rule 5. Policy Term, Premium Determination and Installment Rules Except as otherwise provided in the specific Class rules: A. Policies are issued for an annual term in accordance with the rates shown in pages 13 and 14. B. Premium for short term policies of less than one year shall be 1.10 of the pro rata premium for the policy term. C. Payment options are the same as those available under Unigard s Homeowner program. Rule 6. Renewal of Policies Policies may be renewed for successive policy periods by a Renewal Declaration based upon the premiums, forms and endorsements in effect for Unigard at that time. Forms and endorsements will be issued only in cases where they are new or have been revised. Rule 7. Minimum Premium The minimum premium for a Personal Inland Marine Policy shall be $51, irrespective of term. When such coverage is provided in conjunction with other policies by means of a supplemental policy, form or endorsement, the minimum premium shall be $17 per year. Rule 8. Policies Subject to Credits Credits may not be used to bring the total net premium below the prescribed minimum premium. Rule 9. Waiver of Additional Premiums Additional premiums for endorsements effective subsequent to the inception date of the policy may be waived provided the premium involved does not exceed the sum of $5. Rule 10. Rate Calculations All calculated rates shall be carried out to three decimal places. Rule 11. Whole Dollar Premium Rule All premiums shown on the policy and endorsements shall be rounded to the nearest whole dollar. A premium of fifty cents ($.50) or more shall be rounded to the next higher whole dollar. In the event of cancellation by Unigard, the return premium may be carried to the next higher whole dollar. Revised--August, 1996 California Inland Marine Page 2
Rule 12. Appraisal, Description and Schedule Requirements A. Appraisal Requirements 1. On items not previously specifically insured, an appraisal or copy of the original bill of sale is required. An appraisal or bill of sale completed within the last 24 months must be submitted for any item valued at $10,000 or more. For items valued at less then $10,000, appraisals or bills of sale may be waived if a complete description of each item is given and if the insured can document the value of the item. The value documentation may be requested at Unigard s discretion. 2. Appraisals may not be required on the renewal of another company s policy, if the name of the company and the policy number are shown on the application, and a complete description is available for each item to be insured. If this information is not available, follow the same requirements as on items insured for the first time. To maintain proper coverage limits, we urge you to review values every three years. B. Description Requirements A definition of complete description for each class and any additional information for individual classes are listed below. 1. Cameras and Camera Equipment include make, model and serial number for all cameras, lenses and major system components. Accessory items such as filters, lens hoods and cable releases may be scheduled on a blanket basis. Camera items over $50 per item must be individually scheduled. 2. Fine Arts for paintings and prints include the title of the painting, the medium, the artist and the print number. The descriptions for antiques should include the period, the material, the item and the condition of the item. Appraisals by artists of their own works are not acceptable. Appraisals by the insured for their own property are not acceptable. 3. Furs include the garment type, the material, the condition of the furs, purchase price and date of purchase. 4. Golfers Equipment include the serial number, year, make and model of the equipment. 5. Guns include the manufacturer, model, the caliber or gauge and the serial number of the gun. 6. Jewelry for precious stones include carat, cut, color and clarity. A description of the mounting should include the material and type of item (e.g. wedding ring). We do not cover unmounted stones. 7. Musical Instruments include the name of the instrument, year made, the manufacturer or maker and the condition of the instrument. 8. Silverware include the pattern, number of place settings, manufacturer and the material. A brief description of servers, trays and other miscellaneous utensils will meet the requirements. 9. Stamps and Coins include face value, material, country, condition and year of issue. Items in this class may be covered by blanket coverage. Blanket coverage for stamps and coins limits coverage to a maximum of $250 per item and is subject to a 100% coinsurance clause. C. All articles to be insured shall be scheduled, with the amount of insurance or agreed valuation shown for each item, except as otherwise provided in the specific Class rules. D. For large schedules, attachments of the schedule to the policy may be waived. In place thereof attach endorsement IPA0611 or IPA0612, Large Schedule Endorsement A and B. Revised--January, 2007 California Inland Marine Page 3
Rule 13. Risks Shared by Two or More Companies Two or more companies may participate on a risk if each policy stipulates the percentage undertaken in the schedule described identically in each policy. The dividing of the risk between two or more companies to cover different articles for the full amount is permitted only if the prescribed rate applying to the amount of each policy is charged. Rule 14. Joint Policies When joint policies are issued by two or more companies covering a single risk, the form may be amended to indicate such joint interest. If liability in such cases is several but not joint, an appropriate provision to that effect may be incorporated in the policy. Rule 15. Variations From Rules, Rates and Forms A. Special Rates and Conditions At Request of Unigard When warranted by extenuating or unusual circumstances, loss record, dispersion of risk or other factors, Unigard may promulgate special rates and conditions on specifically submitted risks based on these factors. Such promulgation shall apply only for the term of the policy for which application is made. B. Restriction of Coverage or Charging Increased Rates with Consent of Insured Polices may be issued with the written agreement by the insured: 1. subject to special restrictions in coverage without reduction in premium. 2. at an increased premium. Attach endorsement IPL0111 - Restrictions of Individual Polices Attach endorsement IPL0112 - Charging of Increased Rates if because of circumstances or exposures the policy would otherwise not be issued. C. Amendment of Territorial Limits Polices may be endorsed to exclude coverage outside of the limits of the United States and Canada. D. Additionally Acquired Property The limitation of liability on additionally acquired property in policies containing a provision granting coverage on such property may be reduced by endorsement. Revised--August, 1996 California Inland Marine Page 4
Rule 16. Special Safeguards Unigard may negotiate with a policyholder for any form of protection device or measure for the safeguard of the property insured which, in its judgment, is essential; and may issue an endorsement to this effect without a rate credit unless otherwise provided for in the rules or rates of a specific class. Rule 17. Coverage in Conjunction With Other Policies Inland Marine coverages may be provided in conjunction with other policies, subject to the following rules: A. Coverage shall be made by means of a supplemental policy, form or endorsement which, in effect, constitutes a separate contract containing all of the terms and conditions required by the applicable Inland Marine filings made by or on behalf of Unigard. B. The supplemental contract shall be subject to all of the rules, including minimum premium rules, as shown in this manual applicable to the class involved. C. The supplemental contract may be made subject to the installment payment of premium plan, attachment provision, and cancellation provision as are applicable to the policy to which it is attached. Rule 18. Cancellation If a policy, coverage or exposure is cancelled or an amount of Insurance is reduced, compute the return premium pro rata. Rule 19. Personal Articles A. Classes of Property to Which this Section Applies The Personal Articles Floater provides a basic form under which specified classes of property may be combined. It may be used with the following classes: Cameras Fine Arts Golfer s Equipment Guns Musical Instruments Personal Articles Personal Furs Personal Jewelry Silverware Stamp and Coin Collections Additional classes may be added to the policy, subject to the rates and forms applicable thereto. B. Rules and Conditions Rules and conditions shall be as provided for in the rules applicable to the respective classes of property which may be insured under the Personal Articles Floater. Revised--August, 1996 California Inland Marine Page 5
Rule 20. Class Rules A. Cameras 1. Property to which rules apply. These rules apply to: a. Cameras, projection machines and articles of equipment pertaining thereto. b. Movable sound equipment pertaining to the recording, projection, reproduction and operation of motion pictures. c. Home Video Cameras, Playback Recorders and articles of equipment pertaining thereto. d. Miscellaneous property such as films, binoculars, telescopes, microscopes and the like which may be used in conjunction with cameras or photographic equipment when insured with such equipment. 2. Property exempt from these rules. These rules do not apply to: Attach endorsement ICF0701 - Camera Floater Form a. Television cameras and equipment. b. Coin or token operated devices. c. Cameras or other camera property for account of dealers or manufacturers thereof. d. Aerial cameras or radar cameras. 3. Blanket Items One or more specifically described blanket items aggregating not more than 10% of the total amount insured on scheduled items may be included. This limit, if impractical by nature of the items involved, may be increased at the discretion of Unigard. Attach endorsement IPA0613 - Cameras, Fine Arts, Musical Instruments Blanket Items Revised--August, 1996 California Inland Marine Page 6
Rule 20. Class Rules (Cont d) B. Fine Arts 1. Separate Policy A separate Fine Arts policy may be issued provided that it contains all of the provisions of the Personal Articles Floater relating to Fine Arts, together with the conditions of the Personal Inland Marine Floater Policy. 2. Property to which rules apply. These rules apply to private collections of paintings, etchings, pictures, tapestries, art glass windows and other bona fide works of art (such as valuable rugs, statuary, marbles, bronzes, antique furniture, rare books, antique silver, manuscripts, porcelains, rare glass and bric-a-brac) of rarity, historical value or artistic merit. 3. Definition of Private Collections. Attach endorsement IFA0801 - Fine Arts Floater Form (a) (b) Private collections shall be deemed property owned by any individuals, that are not dealers, auction rooms, museums, art galleries or art institutions ordinarily open to the public. The term private collection shall not be deemed to include property in the custody of dealers, auction rooms, museums, art galleries or art institutions ordinarily open to the public when insured in the name of such dealers, auction rooms, museums, art galleries or art institutions. 4. Exempted Risks These rules do not apply to: (a) (b) (c) Dealers, commercial risks, museums, art galleries or art institutions; Property owned by and insured for account of Federal, State, County or Municipal Authorities; Temporary exhibits of property not owned by the Insured. 5. Valuation Clause When values are not substantiated to the satisfaction of Unigard, the valuation clause in the policy may be amended by the attachment of the Actual Cash Value Clause Endorsement. Attach endorsement IFA0811 - Fine Arts Valuation Form Revised--August, 1996 California Inland Marine Page 7
Rule 20. Class Rules (Cont d) 6. Blanket Items One or more specifically described blanket items aggregating not more than 10% of the total amount insured on scheduled items may be included. This limit, if impractical by the nature of the items involved, may be increased at the discretion of Unigard. 7. Definitions Attach endorsement IPA0613 - Cameras, Fine Arts, Musical Instruments Blanket Items (a) (b) (c) Primary Location The permanent premises for the Fine Arts private collections to which, whenever it is removed, it will be returned. Additional or Secondary Locations The temporary premises for the Fine Arts private collections which was removed form the primary location. Other Locations A separate premises for Fine Arts private collections not falling under Primary and Additional or Secondary Locations definitions. 8. Breakage Coverage The policy provides breakage coverage on: a named perils basis for fragile articles and, an all risk basis for other articles of fine art. The policy may be extended to cover breakage of fragile articles for all other risks of physical loss, subject to additional premium as set forth in page 14. C. Golfers Equipment 1. Property to which rules apply. Attach endorsement IFA0814 - Fine Arts Breakage Coverage when written with IFA0801 - Fine Arts Floater Form These rules apply to individually owned golf clubs, golf clothing, golf equipment, golf carts and, subject to limitations in the form, golf balls and other clothing of the named insured. 2. Blanket Coverage Attach endorsement IGE0901 - Golf Equipment Floater Form Any or all of the property eligible for coverage under this class may be insured on a blanket basis. For Blanket Coverage, use IGE0901 and under Schedule show Blanket Coverage and amount of insurance. Revised--August, 1996 California Inland Marine Page 8
Rule 20. Class Rules (Cont d) D. Guns 1. Property to which rules apply. These rules apply to individually owned guns and gun accessories of all types intended either for sport or in a collection. 2. Blanket Coverage Blanket coverage is not permitted for this class. E. Personal Jewelry and Furs 1. Property to which rules apply. (a) (b) Individually owned personal jewelry, defined as articles of personal adornment composed in whole or in part of silver, gold, platinum or other precious metals and alloys, whether or not containing pearls, jewels, precious or semi-precious stones. Furs including imitation furs and fur rugs, and garments trimmed with fur or consisting principally of fur. 2. Other Articles Attach endorsement IJF1001 - Personal Jewelry and Personal Fur Floater Form (a) (b) Silver, silverware, platedware, pewterware, bullion, gold and other precious metals and unmounted gems are not subject to these Personal Jewelry rules or rates. All other items such as pens, pencils, flasks, smoking equipment, cigarette cases, trophies and the like, if insured under the Personal Articles Floater, shall be subject to the Personal Jewelry rules and rates. 3. Schedule Option Furs An ensemble, such as a coat, muff and hat, may be scheduled as a single item. With the exception of property of this nature, no miscellaneous items shall be blanketed. 4. Risks involving two or more insureds. With respect only to engagement rings, wedding rings, and guard rings, policies may be issued in the name of the two interested individuals, as interest may appear, irrespective of domicile. 5. Broad Pair and Set Policies may be extended to provide a broader coverage for articles of jewelry constituting a pair or set by attachment of the appropriate endorsement and subject to an additional premium at the rate shown in page 13. Attach endorsement IJF1011 - Personal Jewelry Broad Pair and Set Revised--August, 1996 California Inland Marine Page 9
Rule 20. Class Rules (Cont d) 6. Jewelry in vaults Specific items of jewelry may be insured at the reduced rate shown in page 13 while contained in a vault situated in a: (a) (b) bank, or non-bank security facility specializing in in-vault storage service and having security arrangements acceptable to the insuring company. Refer to Unigard for eligibility of the nonbank facility. Attach endorsement IJF1012 - Jewelry in Vaults F. Musical Instruments 1. Property to which rules apply. These rules apply to musical instruments, sheet music and equipment pertaining to musical instruments when written in connection with musical instruments. 2. Blanket Items Attach endorsement IMI1102 - Musical Instruments Floater Limited Form One or more specifically described blanket items aggregating not more than 10% of the total amount insured on scheduled items may be included. This limit, if impractical because of the nature of the item or items, may be increased at the discretion of Unigard. 3. Definitions Attach endorsement IPA0613 - Cameras, Fine Arts, Musical Instruments Blanket Form A professional under the rules and rates for this coverage is construed to be a person who teaches or receives any remuneration for playing a musical instrument insured during the term of the policy. 4. Deletion of Professional Clause. The policy clause relating to professional use of the instruments insured shall be deleted from policies covering: (a) (b) Individuals, when written at the professional rates; Bands, orchestras, chamber music ensembles and similar groups and boards of education or municipalities. 5. Organs not of a mobile nature. Broad Form only. Attach endorsement IMI1101 - Musical Instrument Floater Broad Form Revised--August, 1996 California Inland Marine Page 10
Rule 20. Class Rules (Cont d) G. Silverware 1. Property to which rules apply. These rules apply to individually owned silverware, silver-platedware, goldware, gold-platedware and pewterware. 2. Property exempt from these rules. Attach endorsement ISW1201 - Silverware Floater Form These rules do not apply to pens, pencils, flasks, smoking implements or accessories or articles of personal adornment. 3. Blanket Coverage Any or all of the property eligible for coverage under this class may be insured on a blanket basis. Use endorsement ISW1201 and under Schedule show Blanket Coverage and amount of insurance. H. Stamp and Coin Collections 1. Property to which rules apply. These rules apply to individually owned stamp and coin collections and do not apply to dealers or auctioneers. 2. Blanket Coverage Attach endorsement ISC1301 - Stamp and Coin Collection Floater Form Policies may be issued on a blanket basis subject to a limit of $1,000 on any unscheduled coin collection and subject to a limit of $250 on any one unscheduled stamp, coin or other individual article or any one pair, strip, block, series, sheet, cover, frame, card or the like. Blanket Coverage provisions are included in ISC1301. 3. Unattended Automobile Clause The policy exclusion of theft from unattended automobiles may be deleted subject to additional premium, charged at the rate shown in page 13 and applied to the entire amount of insurance. 4. Safe Credit A credit, as shown in page 13, may be allowed subject to the agreement by the Insured to keep no less than 75%, by value, of the property insured in a fireproof safe or vault equipped with a combination lock when such property is not in use or on exhibition. Attach endorsement ISC1311 - Stamp and Coin Collection Floater Form Revised--August, 1996 California Inland Marine Page 11
Rule 21. Personal Effects Coverage under this form is not offered by Unigard. Rule 22. Personal Property Floater Coverage under this form is not offered by Unigard. Revised--August, 1996 California Inland Marine Page 12
State Rate and Exception Page 1. Territories Territory Code Territory Code Counties of: Counties of: Alameda 55 Sacramento 39 Contra Costa 33 Santa Clara 31 Los Angeles 09 San Diego 47 Marin 33 San Francisco 07 Orange 48 San Mateo 32 Placer 39 Yolo 39 Remainder of State 45 2. Annual Rates Rates are per $100 of coverage unless otherwise indicated. Cameras... $ 1.32 Fine Arts See 4. Basic Premium Chart - Fine Arts Furs Los Angeles County... $ 1.00 San Francisco County....61 Alameda, Contra Costa, Marin and San Mateo Counties....47 Remainder of State....44 Golfers Equipment Golf Carts... $.50 All Other Equipment... $.79 Guns... $ 1.00 Jewelry Los Angeles County... $ 1.93 San Francisco County... 1.35 Alameda, Contra Costs, Marin and San Mateo Counties... 1.38 Remainder of State... 1.57 Specific items in vaults....30 Additional premium for Broad Pair and Set Coverage (to be charged on the total amount of insurance on applicable items)....50 Musical Instruments Broad Form... $.37 Limited Form Multiply Broad Form premium by.90 Silverware... $.30 Stamp and Coin Collections Stamps... $.40 Coins... $ 1.90 Unattended Auto Clause (applied to the entire amount of insurance)... $ 5.00 Safe Credit Multiply Stamp and/or Coin premium by.90 Revised--August, 1996 California Inland Marine Page 13
3. State Exceptions The Special California Provisions Valuation-Specific Items Notice may be used at the option of the Company. Attach endorsement IMF0511. California Amendatory Endorsement shall be attached to all polices. Use END IPL0132. Revised--August, 1996 California Inland Marine Page 14
4. Basic premium Chart Fine Arts A. Annual Premiums Entire State One to Four Families Five or More Families Amount Masonry & Frame Masonry & Frame of Protection Class Protection Class Insurance 1-8 9-10 1-8 9-10 $1,000 or less 2 4 4 6 2,000 3 5 6 8 3,000 4 6 7 11 4,000 5 7 9 13 5,000 6 9 10 15 6,000 7 10 12 18 7,000 8 11 13 20 8,000 9 13 15 22 9,000 10 14 16 25 10,000 10 15 18 27 11,000 11 17 19 29 12,000 12 18 21 31 13,000 13 19 22 34 14,000 14 21 24 36 15,000 15 22 26 38 16,000 16 23 27 41 17,000 17 25 29 43 18,000 18 26 30 45 19,000 18 27 32 48 20,000 19 29 33 50 21,000 20 30 35 52 22,000 21 31 36 54 23,000 22 33 38 57 24,000 23 34 39 59 25,000 24 35 41 61 30,000 28 42 49 73 35,000 33 48 56 84 40,000 37 55 64 96 45,000 42 62 71 107 50,000 46 68 79 119 75,000 68 101 117 176 100,000 91 134 155 233 Each Add l $1,000.96 1.40 1.60 2.40 B. Special Breakage Coverage Fragile Articles In addition to the basic Fine Arts rates, a rate of $1.50 per $1,000 applies to Fine Arts with breakage coverage. Revised--August, 1996 California Inland Marine Page 15
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