RMI 4224 Quiz 2 Terms Chapter 6 Endorsements 1 Increased Cost of Loss and Related Expenses for Green Upgrades Amends replacement cost coverage to include green energy efficient upgrades in the event of a covered loss to covered property Coverage is excluded for loss or damage due to contamination by pollutants or fungus or remedial action This endorsement is not subject to the coinsurance clause contained in the policy Coverage applies only to buildings and the named insured has the option to accept settlement of a covered loss without the green upgrade use or application 2 Ordinance or Law Coverage Designed to address the ordinance or law exclusion found in the causes of loss forms Contains 3 coverages each of which is treated separately of the other 3 Pollutant Clean Up and Removal Additional Aggregate Limit of Insurance Allows for higher limits than the 10000 limit provided in the additional coverages of the commercial property coverage form 4 Debris Removal Additional Insurance Allows the limit of insurance for debris removal to be increased over the 10 000 additional limit provided in the additional coverages of the commercial property coverage form 5 Functional Building Valuation Provides a way for the named insured to insure a building based on use instead of construction The limit of insurance usually reflects the value to rebuild a less costly structure than the existing building Coinsurance requirements do not apply The ordinance of Law exclusion does not apply 6 Spoilage Coverage Provides coverage for loss of covered property perishable stock that spoils as a result of a breakdown or contamination as well as a power outage at the premises owned by the named insured or in the named insured s care custody or control 7 Vacancy Permit When attached to the policy the Vacancy Loss Condition is removed permitting coverage to remain in force as written for a building that has been vacant for more than 60 consecutive days 8 Vacancy Changes Amends the 31 minimum occupancy usage to a new percentage DOES NOT change any other terms or conditions contained in the vacancy condition stated in the policy 9 Earthquake and Volcanic Eruption Serves to add earthquake and volcanic eruption to the basic broad and special causes of loss forms It DOES NOT remove the earth movement exclusion found in the causes of loss forms This endorsement provides coverage for only earthquake and volcanic eruption as defined in the endorsement 10 Flood Coverage Endorsement Provides for flood coverage and may apply for either covered buildings or covered business personal property as stated by schedule The endorsement may be used as primary insurance or as excess insurance over that provided by the National Flood Insurance Program Coverage is delayed for a period of 72 hours after the effective date of the endorsement 11 Loss Payable Provisions This endorsement allows others to be named and included in payments issued by the insurance company for loss or damage to covered property by amending the loss payment loss condition 12 Additional Insured Building Owner When a tenant is required to secure the insurance on the building the tenant leases this endorsement provides a way to add the building owner as a named insured for direct physical loss of or damage to the building 13 Peak Season Limit of Insurance This endorsement is a method for the named insured to increase limits on personal property inventories for specified time periods to address seasonal increases The endorsement states the additional limit for the time periods shown as being peak season periods and an additional premium is charged for each period 14 Limitation On Settlement Blanket Insurance Margin Clause When coverage is written on a blanket basis this endorsement may be used to place a limitation of the loss payment on an individual property This is accomplished by applying the margin clause percentage selected to the value of the covered property shown on the statement of values The result is the most the insurance company is required to pay in the event of a covered loss 15 Joint or Disputed Loss Agreement This endorsement should be included when the named insured has purchased equipment breakdown coverage from a different insurance company than the insurance company that is providing property insurance In situations where coverage may apply under both policies it is designed to pay the named insured without delay caused by the insurance companies processes to determine which policy should respond 16 Value Reporting Form This endorsement is for businesses that have fluctuating personal property values and or locations that are subject to change It provides a way to identify changing values during a period of time maintain adequate coverage and charge accurate premiums that reflect these changes Eligible property can include stock only or personal property of the named insured or others 17 Additional Covered Property This endorsement provides coverage for certain property that is excluded under Property Not Covered as described in an unendorsed property form Property such as fences foundations patios retaining walls and underground pipes are common examples 18 Additional Building Property This endorsement is designed to denote identifiable Your Business Personal Property as being considered Building and therefore subject to the insuring terms that apply to Building as well as the premium calculation for building 19 Additional Property Not Covered When the named insured desires not to insure specific property that is otherwise covered under the policy this endorsement is used to identify that property and delete coverage 20 Outdoor Trees Shrubs and Plants This endorsement permits the limits of insurance for such property to be modified and increases as well as amending the causes of loss A limit of insurance can apply to each item 21 Outdoor Signs Subject to the Causes of Loss Form the amount of insurance can be increased from the 2500 limit contained in the policy to a higher limit stated in this endorsement 22 Radio or Television Antennas This endorsement allows for additional limits and coverages as well as expanding the property definition of radio or television antennas including satellite dishes to include lead ins masts and towers 23 Leased Property This endorsement is designed to provide coverage for personal property leased to the named insured as Your Business Personal Property and not as Personal Property of Others It also allows