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Endorsement to Dwelling Property Forms; Limited or Broad Coverage

Summary: Theft coverage for personal property may be added by endorsement to any of the three dwelling property forms. Two theft endorsements—providing either limited or broad coverage—are available. The limited form provides coverage for direct physical loss to personal property owned or used by the named insured or owned by a residence employee only while the property is at the described location or placed for safekeeping. The broad form provides coverage for property owned or used by “an insured,” a broader term defined as the named insured, resident relatives, a student away at school if under age twenty-four, and other residents under the age of 21. The broad form provides on- and off- premises coverage. The broad form also provides automatic removal coverage for personal property at and in-transit to newly acquired principal residences. Both forms contain special limits of liability, the broad form providing coverage on additional types of property not covered under the limited form.

The forms have been revised with the 2002 dwellings program; the new forms are compared with the older forms in this discussion. Note that the earliest effective date of the new program is August 2003, so be sure to check before assuming the 2002 edition is effective in your area.

Topics covered:Eligibility Insuring agreementDefinitions On premises coverageBroad form off-premises coverageAutomatic removal coverage (broad form only)Special limits of liabilityProperty not coveredConditions

Eligibility

A residence that is a dwelling, co-op, or condominium unit must be owner-occupied to be eligible to use broad theft coverage endorsement DP 04 72 12 02 . If the residence is an apartment, it must be occupied by a tenant named insured. Once this occupancy requirement is met, both on and off-premises theft coverage is available. However, off-premises coverage may be purchased only if on-premises coverage is also purchased. Further, the limit for off-premises coverage may not exceed the on-premises limit. The minimum theft limit for both on and off premises is $1,000.

For non-owner occupied dwellings, co-ops, condominiums, or for apartments occupied by other than a named insured, limited theft coverage endorsement DP 04 73 12 02 may be purchased. It provides on-premises coverage only and has the same minimum limit of liability—$1,000—as the broad form.

Insuring Agreement

For the limit of liability shown in the Schedule above for this coverage, we insure against direct physical loss to personal property owned or used by you [limited form] or an “insured” [broad form] caused by the Perils Insured Against named below.

A. Perils Insured Against

1. Theft, including attempted theft.

2. Vandalism or malicious mischief, as a result of theft or attempted theft. This peril does not include loss at the Described Location, and any ensuing loss caused by any intentional and wrongful act committed in the course of the vandalism or malicious mischief, if the dwelling has been vacant for more than 60 consecutive days immediately before the loss. A dwelling being constructed is not considered vacant.

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