Nyce HO

• Asset Exposed to Loss
• Cause of Loss
• Financial Consequences of Loss

• Real Property: Tangible property consisting of land, all structures permanently attached to the land, and whaterver is growing on the land
• Personal Property: Tangible (can be physically touched such as furniture, clothing, money, jewelry) or intangible (not physical in nature, intellectual property such as copyright or patent) property that is not real property

• Dwelling contents
• High-value personal property
• Rare or unusual property
• Business personal property
• Motor vehicles, trailers, watercraft, and aircraft

• Reduction in value or property such as wrecking car
• Increased expenses such as renting a vehicle after wreck
• Lost income such as hurricane damages a rental property

• General Damages: Monetary award to compensate a victim for losses that do not involve specific measurable expenses, such as pain and suffering
• Special Damages: Form of compensatory damages that awards money for specific, identifiable expenses associated with the injured person's loss, such as medical or wages
• Punitive, or Examplary Damages: Payment awarded by a court to punish defendant for a reckless, malicious, or deceitful act or to deter similar conduct; need not bear any relationship to actual damages

• Criminal Law: Defines certain activities deemed by society to be harmful to public welfare (crimes) such as murder, rape, and fraud
• Civil Law: Body of law that deals with the rights and duties of citizens regarding one another; provides means to settle disputes between parties

A wrongful act or omission, other than a crime or breach of contract, commited by one party against another, for which the remedy is usually monetary damages

• Negligence
• Intentional Torts
• Absolute Liability

• A duty to act
• Breach of that duty
• An injury or damage occurs
• The breach of duty is the proximate cause of the injury or damage

• Costs of investigation and defense
• Money damages awarded if the defense is not successful or settled out of court

• Identifying Loss Exposures
• Analyzing Loss Exposures
• Examining the Feasability of Risk Management Techniques
• Selecting the Appropriate Risk Management Techniques
• Implementing the Selected Risk Management Techiniques
• Monitoring Results and Revising the Risk Management Program

• Avoidance
• Loss Prevention
• Loss Reduction
• Separation
• Duplication
• Diversification

• Retention: Losses are retained by generating funds within the organization to pay for the losses
• Transfer: Financial responsibility for losses and variability in cash flows is shifted to another party (eg. Insurance); Hold-harmless agreement

• Dwelling location
• Public protection class
• Construction factors

• Endorsements
• Unusual construction type
• Deductible change

• Claim history
• Insurance score
• Package policy credits

• Declarations
• Agreement and Definitions
• Section I - Property Coverage
• Section II - Liability Coverage
• Endorsements

• Coverage A: Dwelling and structure attached to dwelling such as garage or deck
• Coverage B: Other Structures not attached to dwelling such as shed, detached garages, pools
• Coverage C: Personal Property applies to contents of insured property and insured's personal property anywhere in the world such as luggage or borrowed skis that are stolen
• Coverage D: Loss of Use applies to financial loss when premises unfit for residence
• Additional Coverages subject to limitations such as debris removal, reasonable repairs

• Applies to the dwelling on the "residence premises"
• Applies to structures attached to the dwelling - such as garage or deck
• Applies to materials and supplies that are located on or next to the covered dwelling that are used to construct or repair the dwelling
• Limit should be based on the cost to replace the dwelling

• Other structures on the residence premises that are not attached to the dwelling and are separated from the dwelling by "clear space".
• Fence or utility line does not make it an attached building

• Rented to anyone who is not a resident of the dwelling (unless rented as private garage)
• From which any business is conducted
• Used to store business property

• 10% of the limit for Coverage C, or $1,000 (whichever is greater)
• Limit doesn't apply to property in a self-storage warehouse because it's not a residence
• Does not apply to personal property that is moved from the residence premises because the house is being repaired, renovated, or rebuilt and is not fit to store the property

• $200 on money and precious metals
• $1,500 on securities, documents, records, and stamps
• $1,500 on watercraft, including their trailer
• $1,500 on trailers, other than those used in watercraft
• $1,500 for theft of jewelry and furs
• $2,500 for theft of firearms and related items
• $2,500 for property on the residence premises used primarily for any business purpose
• $500 for property away from the residence premises used for
• business purposes
• $1,500 for electronic apparatus equipped to be operated by power from a motor vehicle, while in or upon a motor vehicle
• $1,500 for electronic apparatus equipped to be operated by power from a motor vehicle, used primarily for business while away from the residence premises but not in or upon a motor vehicle

• Articles insured elsewhere, e.g., scheduled piece of jewelry
• Animals, birds, or fish
• Motor vehicles (Exception - lawn mover, motorized wheelchair)
• Aircraft
• Hovercraft
• Property of roomers or boarders unrelated to an insured
• Property in an apartment rented to others (added later as additional coverage)
• Property rented or held for rental to others off the residence premises
• Business data
• Credit card or electronic fund transfer card (added later as additional coverage)
• Water/steam (e.g., replacing water in a damaged swimming pool)

• Additional living expense
• Fair rental value
• Loss of use due to civil authority

• Debris removal (additional 5% of the limit)
• Reasonable repairs
• Trees, shrubs, and other plants (no more than $500 per object)
• Fire department service charge
• Property removed
• Credit card, electronic fund transfer card or access device, forgery, and couterfeit money
• Loss assessment
• Collapse
• Glass or safety glazing material
• Landlord's furnishings - including carpeting and appliances
• Ordinance or law (comply to current: additional 10%)
• Grave markers

• Perils Listed in the Section I Exclusions
• Collapse - however some coverage in Additional Coverage section
• Freezing of a Plumbing, Heating, Air Conditioning or Sprinkler System, or Household Appliance
• Freezing, Thawing, Pressure or Weight or Water or Ice
• Theft of Construction Materials
• Vandalism and Malicious Mischief to Vacant Dwelling
• Mold, Fungus, or Wet Rot
• Natural Deterioration
• Smoke from Agricultural Smudging or Industrial Operations
• Pollutants
• Settling of the Dwelling
• Animals

• Fire or lightning
• Windstorm of hail
• Explosion
• Riot or civil commotion
• Aircraft
• Vehicles - damages to personal property in vehicle
• Smoke - limited to sudden and accidental damage
• Vandalism and Malicious Mischief
• Theft
• Falling objects
• Weight of Ice, Snow, or Sleet
• Accidental Discharge or Overflow of Water or Steam
• Sudden and Accidental Tearing Apart
• Freezing
• Sudden and Accidental Damage from Artificially Generated Electrical Current
• Volcanic eruption

• Ordinance or Law - Exclude loss due to the enforcement of any ordinance or law regulating construction, repair, or demolition of buildings
• Earth Movement
• Water Damage
• Power Failure
• Neglect
• War
• Nuclear Hazard
• Intentional Loss - excludes loss arising out of an act commited by or at the direction
• Governmental Action

• Limits the max payment for any single loss to the applicable limits, regardless of the number of insureds who might have an insurable interest
• Limits loss payment to any insured to the extent of that insured's insurable interest in the property at the time of the loss

• Give prompt notice
• Notify the police
• Notify the credit card, electronic fund transfer card company, or access device company
• Protect the property from further damage
• Cooperate with the insurer
• Prepare an inventory - quantity, description, value, and amount of the loss
• Verify the loss - must show the adjuster the damaged property, allow the
• insurer to make copies of records and documents, and submit to examination under oath
• Sign a sworn proof of loss - within 60 days of insurer's request

• Insurer can settle loss as:
• Difference between ACV of the pair or set before and after the loss, or
• Cost to repair or replace any part of the pair or set to restore the pair or set to its value before the loss

• Policyholder (named insured) and spouse if a resident of the same household ("you")
• Residents of the household who are relatives of the named insured or spouse
• Residents of the household who are under the age of 21 and in the care of the named insured or resident relatives
• Full-time student who resided in the household before moving out to attend school
• Any person or organization legally responsible for animals or watercraft that are covered by the policy and owned by a person defined in the first three bulleted items above
• Anyone employed by a person defined in the first three bulleted items, with respect to any motor vehicle covered by the policy
• Other persons using any vehicle covered by the policy on the insured location, with the consent of the named insured or spouse

Covers the necessary medical expenses incurred by others (not insured) within three years of an injury

• PAP: Protects the insured, family members, and other passengers of the insured automobile
• HO: Medical payments to others coverage is a 3rd pary coverage that applies to others, but provides no protection for injuries to the named insured and residents of the named insureds household

• Claim Expenses - in addition to any judgment or settlment
• First Aid Expenses
• Damage to Property of Others
• Loss Assessment

• Motor Vehicles
• Watercraft
• Aircraft
• Hovercraft
• Expected or Intended Injury or Damage
• Business
• Professional Services
• Locations that are not Insured Locations
• War
• Communicable Disease
• Sexual Molestation and Physical or Mental Abuse
• Controlled Substances