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HomeMy WebLinkAbout1987-0521775L AN ORDINANCE ACCEPTING THE PROPOSAL OF WILLIAM RIGG AND EXTENDED INSURANCE COVERAGE FOR THE CITY'S AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR, AND EFFECTIVE DATE THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SECTION I CO FOR FIRE POWER PLANT, DECLARING AN The proposal of William Rigg Co for fire and extended insurance coverage, a copy of which is attached hereto and incorporated by reference herein, is hereby accepted, and the expenditure of funds therefore, in the amount of Sixty-eight Thousand Seven Hundred Dollars ($68,700), is hereby authorized SECTION II That this ordinance shall become effective immediately upon its passage and approval /��G�/ PASSED AND APPROVED this the g4 day of 1987 WK-✓ RAY S PHEN , MAYOR CITY F DENTON, TEXAS ATTEST JEN L ERS ACT N CIK SECRETARY CIT F DENTON, TEXAS APPROVED AS TO LEGAL FORM DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY CITY OF DENTON, TEXAS 11 WNW- 1 25 - -1 1# YggGWiACFeX March 9, 1987 Mr Harlan Jefferson - Risk Manager City of Denton 901-B Texas St Denton, TX 76201 Dear Harlan We have been authorized by The Aetna Insurance Co to provide a premium quotation as follows Subject property - City of Denton Power Plant 1701 Spencer Rd , Denton, TX Carrier - Aetna Casualty & Surety (Best A-XV) Limits - $54,000,000 Blanket - Building & Contents Perils - Fire Lightning Windstorm Hail Explosion Riot Civil Commotion Smoke Aircraft Land Vehicles Vandalism Malicious Mischief Cancellation Provision - 60 days Joint Loss Agreement - Can be attached Term - 1 year Retention - $100,000 �� Policy Form - On file in your offices.— 7zv, / , Q For WM RIGG CO HN LEFrREYNOLDS ASST VICE-PRESIDENT JCR/pt FORT WORTH DALLAS HOUSTON 410 WEST SEVENTH STREET / SUITE 1800 / FORT WORTH TEXAS 76102 (817) 335 4444 / (817) 429 0040 METRO / WATS (800) 772 8564 / TELEX 758636 Page 2 PREMIUM SUMMARY A Premium - $61,200 00 B Risk Consultation & Service Fee - 7,500 00 C Total - 68,700 00 If acceptable, financing figures are available For WM RIGG CO N CHARL� YNOCDS— ASST VICE-PRESIDENT JCR/pt BID NUMBER 9725 BID PROPOSALS Page 2 of 43 THIS IS A PROPERTY INSURANCE PROPOSAL FOR THE UTILITY POWER PLANT'S BUILDINGS AND CONTENTS NOTE PLEASE INCLUDE THIS BID PROPOSAL, PROPERLY SIGNED BELOW WITH YOUR BID ALL BID PROPOSALS MUST BE SUBMITTED IN DUPLICATE AND IN SEPARATE PACKAGES SPECIFICALLY MARKED AS (1) ORIGINAL AND (2) DUPLICATE FOR MORE INFORMATION ON THIS BID PROPOSAL, CONTACT Harlan L Jefferson, Risk Manager City of Denton Finance Administration (817) 566-8320 or METRO 434-2520 We quote the above f o b Denton Texas Shipment can be made In --days from receipt of order Terms net unless otherwise Indicated In submitting the above bid the vendor agrees that acceptance of any or atl bid Items by the City of Denton Texas within a reasonable period of time constitutes a contract vi V'Z�' 2, Melling Addre6e CITY State Zip 33S-444 IEdar Sighiture Telephone Title BID NUt BER 9725 BID PROPOSALS {,; Page 2 "' 't' of 2 .DESCRIPTION ` `" OUAN `` '`+PRICE 'AMOUNr A D D E N D U M41 WISTO THIS ADDENDUM CHAN �zhl r � 4 DATE TO MARCH 12, 1987 — t fi r rpTM ACKNOWLEDGEMENT OF RECEIPT OF e WAI IN / _ .. _ _ _ • ,. a tic n J ' —II t " , a, p l I A ate j� V uM�l yy y we, Y company + YUr i S r < �, � ��YjN,�� r�'"� "a^w �S y �l Oil ly VA h 0l 7 lw t +� rt 0e TOTALS 7-07A it 711 'f+ 1, , ` < X quote the above f o b Denton, Texas Shipment an be mods in. Sdays from receipt of order Terms net an otherwise radiated � f y ,{ ' , LF 1 , ' ' � Y� l submitting the above bid, the vendor agrees that acceptance of any or all bid items by the City of Denton Texas within s sonable perloa of time constitues a contract tA° A) i a , O n 1 4 Rio w 7-r�72 t t" tontine Address Ft- wor<�ta -r,< 7Gi0 City State ZIP sn ,� 51G atU iv is vadr r`,� p rn SST tCc'c /CS Telephone Title MEMORANDUM QX THE MTNA CASUALTY AND SURETY COMPANY ° TEXAS Hartford Connecticut Pa156 A Stock Insurance Company FIRE POLICY THE STANDARL IRE INSURANCE COMPANY E&CASUALTY Hartford Connecticut 06156 A Stock Insurance Company This memorandum of the policy as numbered below is for information only t is not a contract of insurance but attests to the terms of the policy as of the date of it S d I b h s rssuance of per icy is su lect to c onge by endorsement and MED If City of Dentm PvAr P3ant D RED 1701 Spar4 r Emil DRESS Dent o smet (Show Number and Street or RFD City County State and Zip Code) —••� ��••�o••�• �•. ,� ,,price ,in is terms Z Policy Term Pahcy Number (onke code Symhw send No Suffix) Years ,a FP 1170840 wA OVERAGE R PERILS 3 CAAPPLICABLE E INSURANCE S RATE 6 PREMIUM F FIRE and Lightning $ �S�0ar0� • 1 Norval s Fit % a• qy 31374 E EXTENDED COVERAGE —Windstorm Hurricane Had Explosion Riot Civil CommotionActual Smoke Aircraft and Land Vehicles a0580 31 X EXPLOSION $ Y&}M F 00100 Sol R Renta RENTS or l Value (Not to exceed $ a Month) $ TOTAL PREMIUM $ ITEM AMOUNT Of DESCRIPTIO9-0 F PROPERTY RATE No INSURANCE See definition of Buildings Household Goods Stock Fu mt a Fi t rar and or Machinery a d Contorts ANALYSIS 1 $5400000 E1arftt Blending & Cmtents at the City �S! UNPUBLISHED the of Doubm Electric Department Per, building Borh Roof NO STORIES —TYPE ROOF —CONSTRUCTION �OF a,,.� chednbe an file dated 2.6.86• Location Flue Texas STREET —ADDITION —TOWN Tenant All [.rated E side Woodrow Staff, Denton, Ile = LOT BLK MAP FILE OCCUPANCY E.pomrc Key Rate Total E.pw % Annual PUBLISHED Gross Expor % Total 33e60e70w134PMsh133s131J% — Special Coins % Unless otherwlre Provided lissurance on penanal shofroth, shall corer only while in the docrlbed building Annual Is not a lolled no other Ste ineoanee Is panned anlete she Intel amount Including this fertility an cash Ilan Is [needed In the blanks which follow. No 1 $ i2S . an building Items shall be payobfe to r3S i1S ,SS I'm as Modgewe a Trustee m [hob Interest appear at time of lost issued to Mortgage Clause (without contribufion) printed elsewhere In this policy Oct to Article 613 of the Texa' Insurance Code-1951 liability hounder shall not exceed the actual cash value of the ereoedy at the time of loss aoertadnod with paper deduction far doors• on) not shall It excited the amount It would cod to reoalr an roolace the preoerty with material of like hind and quality within a hh sanobls time otter the late without allowance lot any Increased of repair of r,construction by mason of any ordinance er law regulating construction or repair and without compression, for loss rerelllag from Interruption of business a manufacloer nonholl it red the Interest of the Insured et the mpnleo amounts she" undo Amount of Insurance mtersignature Date Agencyat Dallas, t CONSIDERATION OF THE STIPULATIONS AND CONDITIONS HEREIN OR ADDED HERETO ich are made a part of this policy and of the premiums provided the Stock Insurance Company indicated above by 0 herein called this Company does ire the insured named above and legal representatives for the term of years specified above from inception date shown above at noon (Standard Time) to iration date shown above at noon (Standard Time) at the location of property against direct loss resulting from any of the Perils (listed above) which have remfum Inserted opposite thereto (column 6) and only on the property described and located as provided hereon signment of this ISoli"holl not be valid except with the written consent of this Company 320 3) 1 72 T..gs slo/ -toJr EXCESS OF LOSS AGF{ E= OF I2ME:111ITY In consideration of the stipulations and conditions herein and those not inconsistent herewith in the policy to which this is attached, and of the payment of the premium provided, this Company agrees to indemnify the insured the circumstances defined herein Article I — Retention A The company shall be liable in respect of each and every loss occurence irrespective of the number and kinds of risks involved, for 100% of the excess over and above the initial net loss to the Insured of $100,000 , in each and every loss occurrence, subject to the limits set forth in Article V B It is warranted by the Insured that in respect of each and every loss occurrence, its initial net loss retention of $100,000, shall be retained at its own risk and not insured in any way Article II — Definitions A The term "initial net loss" as used herein means the ultimate net loss by perils insured against after deducting any salvage and recoveries from any source other than this Agreement B The term "Loss occurrence" as used herein, means the total loss by perils insured against arising out of a single event Article III — Perils A Except as otherwise provided, this Agreement applies to fire, extended coverage and vandalism and mischief Article IV — Property covered A This agreement applies to buildings and contents as per schedule on file with the Company and insured Article V — Limits of Recovery In consideration of a reduction in premium, the total limit of recovery hereunder shall not exceed 100'9 of an amount $100,000, less than the least of the following 1 $54,000,000 2 The actual cash value of the property at the time of loss, 3 The amount which it would cost to repair or replace the property with material of like kind and quality within a reasonable time after such lose, without allowance for any increased cost of repair or construction by reason of any ordinance or law regulating construction or repair, and without compensation for loss resulting from interruption of business or manufacture h The interest of the Insured Article VI — Salvage and Recoverie4 When, in connection with any loss hereunder, any salvage or recovery is received subsequent to the payment of such loss, the loss shall be figured on the basis on which it would have been settled had the amount of salvage or recovery been known at the time the loss was originally determined Any amounts thus found to be due either party from the other shall be paid promptly Article VII — Cancellation This agreement maybe cancelled by either party giving the other 60 days advance written notice The Insured hereby requests that this Agreement of Indemnity be attached to Policy No 18 FP 1170840SCA of the Aetna Casualty and Sufety Company of Hartxord, Connecticut and agrees to all terms and conditions herein ATTEST fill' $y," Titlef/,/",v,'S//!.%"/, �,,- �5�.✓� In witness whereof this Company has excuted and attested these presents'. Lo al Recording Agent ' of Attached to and forming part of Policy No Dated of the _ _ _ _ _ _ _ Insurance Company Issued at its _ _ _ _ _ _ _ , Texas Agency Agents FORM NO 31 MANDATORY CONSEQUENTIAL LOSS ENDORSEMENT Effective (For attachment to all Texas Standard Policies) June 1, 1999 This Company shall not be liable for loss directly or indirectly caused by or resulting from any utility failure including but not limited to power, heating or cooling failures, unless such failure results from physical damage to power heating or cooling equipment situated on the premises where the property covered is located, caused by the per (a) insured against. Nothing in the above shall change or alter in any manner other applicable provisions of Riot and Civil Contraction or Vandalism and Malicious Mischief insurance when provided under this policy FORM NO 60 DEBRIS REMOVAL CLAUSE Effective (For Other Than Reporting Form Policy) September 15, 1953 It is a condition of this policy that this insurance covers expenses incurred in the removal of all debris of the property insured hereunder which may be occasioned by loss caused by any of the perils insured against in this policy However the total liability under this policy shall not exceed the amount named herein, nor such proportion of such expense as the amount of insurance hereunder bears to the total amount of all insurance, whether such insurance includes this clause or not In no event shall this policy cover against lose occasioned by the enforcement of any state or municipal law or ordinance which necessitates the demolition of any portion of the in sured building which has not suffered damage by any of the perils insured against in this policy unless such liability is Specifically assumed elsewhere in the policy Cost of removal of debris shall not be considered in the determination of actual cash value when applying any Coinsurance, Average or Reduced Rate Contribution Clause attached to this policy FORM NO 70 MANDATORY EFFECTIVE TIME ENDORSEMENT Effective May 1, 1978 For attachment to all Texas Standard Policies Texas Standard Farm Policies, Texas Standard Homeowners Policies Texas Standard Farm and Ranch Owners Policies Texas Multi Peril Policies Commercial Property Policies and Merchant's Property Policies The time of inception and tie time of expiration of this policy and of any schedule or endorsement attached shall be 12 Ol A M standard time To the extent that coverage in this policy replaced coversga in other policies terminating noon standard time on the in caption date of this policy, coverage under this policy shall not become effective until such other coverage has terminated FORM NO 134 CANCELLATION AND/OR NON RENEWAL ENDORSEMENT -MANDATORY Effective August 1 1980 It is understood and agreed that any provision relating to written notice of cancellation or non renewal with respect to the Mort gagee applies only to the mortgagee specifically named in the policy and the compiny u not required to give written notice of cancellation or non renewal to any successor or assignee of the mortgagee specifically named in the policy This endorsement must be attached to all Texas Standard Policies Texas Standard Farm Policies Texas Standard Homeowners Policies Texas Standard Farm and Ranch Owners Policies and Texas Multi Peril Policies FORM NO 135 MANDATORY NUCLEAR ENDORSEMENT Effective (For attachment to all Texas Standard Policies) January 1, 1959 NUCLEAR CLAUSE (Applicable to the perils of fire and lightning) The word 'fire' in this policy or endorsement attached thereto is not intended to and does not embrace nuclear reaction or nuclear radiation or radio active contamination all whether con trolled or uncontrolled, and loss by nuclear reaction or nuclear radiation or radio active contamination is not intended to be and is not insured against by this policy or said endorsements, whether such loss be direct or indirect proximate or remote or be in whole or in part caused by contributed to, or aggravated by "fire" or any other peril insured against by this policy or said endorsements however, subject to the foregoing and al! provisions of this policy direct loss by fire resulting from nuclear reaction or nuclear radiation or radio active contamination is insured against by this policy NUCLEAR EXCLUSION CLAUSE (Applicable to all perils insured against under this policy except the perils of fire and light ning which are otherwise provided for in the Nuclear Clause above) Loss by nuclear reaction or nuclear radiation or radio active contamination all whether controlled or uncontrolled or due to any xi act or condi+ion incident to any of the foregoing ya not Insured contributed togoe aggi8vated by any oft the perils insuredr such iagairectnst bythispolicy mate or and nuclear reaction or or be nuclear uclele or inar radiation orart uradddio active contamination, all whether controlled or uncontrolled, is not ' explosion' or "smoke " Prescribed b0 The State Board of Insurance of FORM NO 131 NOTICE OF CANCELLATION J MORTGAGEES Effective MANDATORY ENDORSEMENT October 1,1983 (For use with the Texas Standard Policy, Texas Standard Homeowners Policy, Texas Standard Farm & Ranch Owners Policy and Texas Commercial Multi Peril Policy) Attached to and forming part of Polley No of the Insurance Company Dated issued at its Texas Agency Agents It is hereby understood and agreed that the Notice of Cancellation as contained in the Mortgage Clause of the above policies is amended as follows This policy may be cancelled as to the interest of any mortgagee named hereon by giving such mortgagee thirty days written notice All other conditions and provisions of the Mortgage Clause remain unchanged Prescribed by the State Board in Insurance Form No 131-NOTICE OF CANCELLATION TO MORTGAGEES MANDATORY ENDORSEMENT —Effective October 1, 1983 Form No 133 Effective November 15, 1985 MULTIPURPOSE MANDATORY ENDORSEMENT or Use With the Texas Standard Policy Texas Standard Farm Policy Texas Standard Homeowners Policy Texas Standard Farm and Ranch wners Policy Texas Standard Combination Farm and Ranch Owners Policy Texas Commercial Multi Peril Policy Texas Commercial Property olicy Texas Townhouse Policy and Electronic Equipment Protection Policy) ttached to and forming a part of Policy No of Company issued at its Texas Agency 'ate Agents NOTICE OF CANCELLATION —MORTGAGE CLAUSE, is hereby understood and agreed that the Notice of Cancellation as contained in the Mortgage Clause of the above policies is amended as illows This policy may be cancelled as to the interest of any mortgagee named hereon by giving such mortgagee thirty days written notice NOTICE OF CANCELLATION —CANCELLATION PROVISION, t is hereby understood and agreed that the Notice of Cancellation as contained in the Cancellation Provision of the above policies is amended provide the insured fourti,en (14) days notice of cancellation ACTUAL CASH VALUE: (Applicable to those policies listed below) TEXAS STANDARD POLICY —It is hereby understood and agreed that the words property with material of like kind and quality appearing on page 1 of the policy provisions and stipulations is deleted and the following wording is substituted therefor the property with material of like kind and quality with proper deduction for depreciation TEXAS COMMERCIAL MULTI PERIL POLICY —It is understood and agreed that the words actual cash value of the property at the time of loss and the property with material of like kind and quality appearing on Declarations page 1 of the pulici provisions and stipulations is deleted and the following wording is substituted therefor actual cash value of the property at the time of loss ascertained with proper deduction for depreciation and the property with material of like kind and quality with proper deduction for depreciation rXAS COMMERCIAL PROPERTY OLICY It is understnod and agreed that pnragraph F All Other Property —under the policy provisions ,age 3 Vlli Valuations, is deleted and the following paragraph is substituted therefor All Other Property —The actual cash value of the Property at the time any loss or damage occurs and the loss or damage shall be ascer twined or estimated according to such actual cash value with proper deduction for depreciation however caused and shall in no event exceed what it would cost to repair or replace the same with material of like kind and quality with proper deduction for depreciation EXAS TOWNHOUSE POLICY It is understood and agreed that the wards the property with material of like kind and quality appearing n Declarations page 1 in the policy provisions and stipulations is deleted and the following wording is substituted therefor the property with material of like kind and quality with proper deduction for depreciation 01 other terms and conditions of the policy to which this endorsement is attached remain unchanged 'rescribed by the State Board of Insurance am No 133—Multi Purpose Mandatory Endorsement —Effective November 15, 1985 FORM NO 79 C VANDALISM AND MALICIOUS MISCHIEF ENDORSEMENT Effective15, November 1985 (For use only with Extended Coverage or Explosion Riot and Civil Commotion) Attached to and forming part of Policy No of the Insurance Company of Dated Name of Insured issued at its Rate for Van and Mal Mis End Expiration of Policy This endorsement applies to Item(s) No (a) Texas Agency Agents Fill in the following four spaces only when this Endorsement is not attached to policy at the time the Policy is written Location of insured property Street Texas File No I ercentage Co Insurance applicable to the Peril of Fire with Extended Coverage or the Peril of Explosion including Riot and Civil Commotion as the case may be 1 In consideration of $__ premium and subject to the provisions of this policy and this endorsement the liability of this Company hereunder for loss at damage iesulling from thi peal of Itiol and Civil Commotion is hereby extended to include loss caused by damage to or destruction of the property described by Vandalism and Malicious Mischief including direct structural damage to the building(s) covered heieunder resulting fiom burglary pro%ided however such damage iesulting from burglary or at tempted burglary shall not include nor shall this company be liable fm the % due or replacement of any property real or personal Including integral structural parts permanent fixtures and/or contents of the msoied building(s) %%hich are wrongfully and unlaw fully removed from the piemrses 2 The tern Vandalism and Malicious Mischief as used herein is restricted to and includes only willful or malicious physical injury to or destruction of the described property 3 When this endorsement is attached to a policy co%enng duect loss to the described property this Company shall not be liable under this endorsement for any loss (a) to glass (other than glass building blocks) constituting a part of the budding (b) by explosion rupture or bursting of steam boilers steam pipes ste-im tuibnnes steam engines of flywheels owned operated or contiolled by the Insured or located In the building(s) described in this policy (c) from depreciation delay deterioration or loss of market nor unless specifically endorsed hereon In %%rit rig for anv loss resulting from change in temperature or humidity nor from any other consequential of mdueet loss of any kind 4 When this endorsement is attached to a pohfy covering Business Interruption Fxtia Fxpene Additiomil Ln mgg Fxpense Rents I easehold Interest Profits and Commissions or Consequential Loss this Company shall not be liable under this endoi sement for am loss due to damage to the described property when such damage results from any of the causes bated in subdivisions (b) or (c) of paragiaph No 3 above 5 This company shall not be liable for loss or damage resulting from the peril of Vandalism and Malicious Mischief occurring while the described building is vacant beyond a period of thirty days whether or not such period commenced piror to the inception date of this endorsement If this policy be divided into two or more items the provisions of this endorsement shall apply to each item separately Prescribed by the State Board of Insurance Form No 79 C Vandalism and Malicious Mischief Endorsement, Effective November 15 1985 TEXAS FIRE POLICY r11-� r•.1 PAR f II CASUALTY DEFINITIONS SECTION I LDING—Insurance on a budding shall include everything which is y a part of the budding except machinery which is not used solely e service of the building It shall also include if not otherwise insured rials in and adjacent to the budding for making alterations extensions repairs thereto (not to exceed 10O10 of the insurance hereunder on the ling) and the following property belonging to the insured as building lord but not as tenant or occupant maintenance equipment and lies floor coverings window shades and furnishings of corridors and s and refrigerators and stoves Ilin$ Extension —At the option of the insured insurance on a dwelling be extended as excess insurance to the fences drives walks yard Tres private garages servants houses and if used solely in connection the occupancy, thereof other out buildings on the premises of the Iling to the extent of their respective actual values but the aggregate ich extension shall not exceed IOyo of the amount of insurance on such [ling In the application of this Dwelling Extension boarding twining ernity and sorority houses and apartment buildings (containing not e than eight se arate apartments) may be considered as dwellings USEHOLD GOODS —Insurance on household goods shall include all onal property usual to a residence of ppthe insured and his family i he insurancehold GoodsExtension—At ri en specifically e o cal yon Goodstion of the d uto in aP n residence y be applied as excess insurance as follows (a) onhouseholdgoods of insured rlocation in the Unite on the ed States of remises Americwhen a Canadaorartlyremoved and Mexico I (b) while on the premises on household goods of servants and on Isehold goods of others in the custody of the insured EXCESS INSURANCE —Excess insurance Provided herein shall not apply until all other insurance which would attach in the absence of this insurance is exhausted ll stocks of merc0ise (finished STOCK —Insurance shall include a process unfinished) or unfished)including packaging materials ha ateyalsa and provided the insured is legally liable therefor property sold but not de livered held in trust or on consignment or for storage or for repairs Unless specifically provided hereon this policy does not cover customers goods in laundries cleaning or pressing establishments FURNITURE FIXTURES AND OR MACHINERY —Insurance on furniture fixtures and or machinery shall include all contents not included as Building or Stock and shall also include provided the insured is not the owner of the budding the insureds interest n improvements and betterments made to the building if not specifically insured under this or any other policy CONTENTS —Insurance on Contents shall include all property included above in Stook Furniture Fixtures and or Machinery Household Goods and if not otherwise insured personal property of the employees officers or partners any loss to such personal property shall at the option of this Company be adjusted with and payable to the insured PLATFORM CLAUSE —Insurance on stock furniture fixtures or ma chmery shall cover while such property is contained in additions and extensions adjoining and communicating with the budding and while on platforms sidewalks alleys and yards immediately adjacent including while in railroad cars or other vehicles within 100 feet of the described budding SPECIAL CONDITIONS SECTION II moved Clause—Wnhm the specified limits this policy shall cover >ense and damage occasioned by removal from the premises endangered the Perils insured against of this policy and pro rata for five days at h place to which any of the property shall necessarily be removed for servation teamed Premium Clause —If a loss is paid under this policy this urance shall indemnify the insured for loss of the pro rate unearned emium on the amount of such loss payment This Company however iy elect by written notice within sixty days after date of loss to reinstate is policy in the amount of such loss and in consideration of such re tatement make no payment to the insured as provided by this clause o Rate Distribution Clause —(Not applicable to those Items to which e 90co or 100`o Coinsurance Clause is applied nor to the Dwelling xtension or Household Goods Lxtension ) If any Item of insurance vets on a building or structure and contents or on more than one building ructure or place or the contents thereof the amount of insurance under shallach such Item attach cbuilding ontents the eof inthatproportionwh chthe structure value of each said build ng structure or place or the contents thereof shall bear to the value of all of the property covered by such Item Coinsurance Clause —When it Ia indicated that coinsurance applies to the l on Item described he inured shallnmai maintain contributing cont ibutingnder any riand collectibles sir ante undererein[each ssuch Peril upon the respective Item of not less than the specified percentage of the actal so to (11 ,sureruto the hextent of such deficit and value thereof and bear such[shall e insured proportionate part of loss on each such Item In the application of this Coinsurance Clause the value of foundations of of the lowest basement floor or ,here there %shno basement are below the which rebelow the surface of the ground shall be disregarded If the aggregate claim for loss is both less than E10000 and less than 5`c of the total amount of insurance upon the property described hereon no special inventory or appraisement of the undamaged property shall be required This provision however shall not waive any of the requirements of the coinsurance clause SPECIFIC COVSERA E CONDITIONS onditions Applicable Only to Extended Coverage Insurance pro ided under this Coverage shall not be cumulative of but shall extend the overage under Coverage F (Fire) to include direct loss by windstorm urricane hail explosion riot civil commotion smoke aircraft and and vehicles This Company shall not be liable for it greater proportion of any loss ram any Peril included in this Coverage than the amount of insurance coder Coverage F (Fire) of this policy bears to the whole amount of fire nsurance covering the property The follounng conditions apply whether the Perris are insured separately or trader Extended Coverage Glass Clause As to glass insured hereunder this insurance shall apply is excess insurance Conditions Applicable Only to Windstorm Hurricane and Hail Unless specifically named hereon this Company shall not be liable for Ion to metal smokestacks (except when securely fastened to walls of a masonry building) radio or television towers and antennas windmills caused windchargers blizzard outside schan a intern nsor rature nore (be by snownor y storm m tidal wave) high water or overflow change whether driven by wind or not nor for any less caused by rain whether driven by wind or not unless the wind or hail shall first make an operimg of the wails or roof of the described budding and shall then be Its ble only for lose to the interior of the building or the insured proper'y therein caused immediately by ram entering the building through such openings Unless specifically provided hereon the Dwelling Extension shall not apply o structures extending wholly or partially over water Conditions Applicable Only to Explosion "lilies Company shall not be liable for loss by explosion rupture or bursting of steam boilers steam pipes steam turbines steam engins or flywheels when such objects are owned operated or controlled by the insured This Company shall not be liable under this Coverage for damage caused by ensuing fire Conditions Applicable Only to Riot and Civil Commotion Loss by riot or civil commotion shall include direct Iona from pillage and looting ace ofhanriot orpillage and civil Commotion and shall alsoccurs o includedirectdire ct loss ar [damage by acts of striking employees of the owner or tenant of the described build Ing while occupied by said eorsllThis Company shall not be liable under this Coveage forloss resulting fromensuing fire orfrom change in temperature Conditions Applicable Only to Smoke Loss by smoke shall be limited to lose caused by a sudden unusual and faulty operation of any heating disposal or cooking unit only when such unit is connected to a chimney by a smoke pipe and while in or on the premises described herein excluding however smoke from fireplaces or industrial apparatus Conditions Applicable Only to Damage by Aircraft and [And Ve hicles Loss by aircraft shall include direct Ides by falling aircraft or objcts falling therefrom but this Company shall not be liable for loss caused by any vehicle or aircraft (except falling aircraft) owned or operated by einsured or by any tenant of the ember of the household describedpremisesor by any agent employ or m CAT 465593 Page 2 PRINTED IN U 5 A (55319) 1 72 TEXAS Conditions Applicable Only to Rents or Rental Value Insurance provided by this Coverage shall indemnify the insured for direct loss of rents and or rental value of the budding described herein provided such loss results from the Perils insured against herein Total liability hereunder shall not exceed the amount specified under Total Insurance (Column 4) nor shall the liability each month exceed the amount specified on Page 1 of this policy or a proportionate part for less than a month The term Rents and or Rental Value shall mean the rental value less such charges and expenses as do not necessarily continue It is hereby provided that if said premises or any part thereof shall be rendered untenantable by any of the Perils insured against this Company shall thereupon become liable for the rental value of such untenantable portions Loss shall be computed from the date of loss until such time as the budding could with reasonable diligence and dispatch be rendered again tenantable although the period may extend beyond the expiration of this policy except if only a portion of the building is rendered untenant able the number of months for which this Company is liable shall not exceed the number of months for which this Company would have been liable in the event the entire building had been rendered untenantable If the insured occupies any portion of the building a fair rental value of the portion so occupied shall be considered as apart of the rental value insured If this insurance covers on rents or rental value of more than one build ing the monthly liability and the total liability shall apply to each budding in the same proportion that the rent or rental value of each building bears to the total rent or rental value of all buildings BASIC CONDITIONS SECTION IV t Concealment This entire policy shall be void if whether 2 fraud before or after a loss the insured has wd 3 fully concealed or misrepresented any ma 4 terial fact or circumstance concerning this insurance or the 5 subject thereof or the interest of the insured therein or in 6 case of any fraud or false swearing by the insured relating 7 thereto 8 Excepted This policy shall not cover accounts money 9 property currency securities deeds or evidences of 10 debt nor unless specifically named hereon 11 cloth awnings records and books of records (except for their 12 physical value in blank) manuscripts bullion animals motor 13 vehicles or aircraft 14 Hazards not This Company shall not be liable for loss 15 Included by fire or other Perils insured against in 16 this policy caused directly or indirectly 17 by (a) enemy attack by armed forces including action taken 18 by military naval or au forces in resisting an actual or an 19 immediately unpendmg enemy attack (b) invasion (c) in 20 surrection (d) rebellion (e) revolution (f) civil war 21 usurped power (h) order of any civil authority except acts 22 of destruction at the time of and for the purpose of pre 23 venting the spread of fire provided that such fire did not 24 originate from any of the hazards excluded by this policy 25 (i) neglect of the insured to use all reasonable means to save 26 and preserve the property at and after a loss or when the 27 property is endangered by fire in neighboring premises 28 nor shall this Company be liable for loss by theft (k) nor for 29 any electrical injury or disturbances to electrical appliances 30 devaes or wiring resulting from artificial causes 31 Conditions Unless otherwise provided in writing added 32 suspending or hereto this Company shall not be liable 33 restricting for loss occurringg (a b and c applicable 34 Insurance only to Coverage F—Fire) 35 (a) while the hazard is increased by any 36 means within the knowledge and control of the insured pro 37 vided such increase in hazard is not usual and incidental to the 38 occupancy as hereon described or 39 (b) while a described budding whether intended for occupancy 40 by owner or tenant is vacant beyond a period of thirty con 41 secutive days or 42 (c) as a result of explosion or riot unless fire ensue and in 43 that event for loss by fire only or 44 (d) following a change in ownership of the insured prop 45 erty or 46 (e) while any other stipulation or condition of this policy is 47 being violated 48 Changes or Changes in this policy may be made and 49 additions Perils added hereon only by written en 50 domement properly executed by an author 51 ized agent of this Company and attached hereto but no pro 52 vision may be waived except such as by the terms of this 53 policy is subject to change 54 Cancellation The insured may cancel this policy by no 55 of policy tics to this Company upon surrender of 56 the policy this Company shall refund the 57 short rate unearned paid premium This Company may cancel 58 this policy by giving the insured five days written notice such 59 notice shall state that the pro rata unearned paid premium if 60 not tendered will be refunded on demand 61 Pro rats This Company shall not be liable for a 62 11abllity greater proportion of any loss than the 63 amount hereby insured shall bear to the 64 whole insurance covering the property against the Peril in 65 volved whether collectible or not except if any article or 66 piece of personal property covered hereunder by a general 67 Item (i a one covering several articles) is insured specifi 68 cally (without an excess provision) under this or any other 69 policy then such general Item shall apply as excess over the 70 specific insurance and pay only for any actual loss sustained 71 over the amount of specific insurance 72 Requirements in The insured shall give immediate notice to 73 case loss occurs this Company of any loss protect the prop 74 erty from further damage separate the dam 75 agged and undamaged personal propertyand furnish a com 76 plete inventory of all property insured by this policy showing 77 in detail all costs The insured as often as may be reasonably 78 required shall exhibit to any person designated by this Com 79 pany all that remains of any property herem described and 80 submit to examinations under oath by any person named by 81 this Company and subscribe the same and as often as may 82 be reasonably required shall produce for examination all books 83 of account bills invoices and other vouchers or certified 84 copies thereof if originals be lost at such reasonable time and 85 place as may be designated by this Company or its represents 86 live and shall permit extracts and copies thereof to be made 87 Within nmety one days after the loss unless such time is 88 extended in writing the insured shall render to this Company 89 a proof of lobs signed and sworn to by the insured Such proof 90 of loss shall reveal to the best knowledge and belief of the 91 insured the following the time and cause of the loss the in 92 terest of the insured and all others in the property including 93 any encumbrances thereon all contracts of insurance whether 94 valid or not covering such property the actual cash value of 95 each item of property and the amount of loss thereto and by 96 whom and for what purposes the budding was occupied at the 97 time of loss No provision stipulation or forfeiture of this 98 policy shall be waived by any requirement act or proceeding 99 of this Company relating to investigation appraisal or ad 100 justment of any loss 101 Appraisal In case the insured and this Company shall 102 fail to agree as to the actual cash value or 103 the amount of loss then on the written demand of either 104 each shall select a competent and disinterested appraiser and 105 notify the other of the appraiser selected within twenty clays 106 of such demand The appraisers shall first select s competent 107 and disinterested umpire and fading for fifteen days to agree 108 upon such umpire then on request of the insured or this 109 Company such umpire shall be selected by a judge of a this 110 trict court of a judicial district where the Lose occurred The III appraisers shall then appraise the kiss stating separatekv 112 actual cash value and loss to each item and tating to agree 113 shall submit their differences only to the umpire An award to 114 writing so itemized of any two when filed with this Company 115 shall determine the amount of actual cash value and loss Each 116 appraiser shall be paid by the partv selecting him and the 117 expenses of appraisal and umpire shall be paid by the parties 118 equally 119 Company a It shall be optional with this Company to 120 options take all or any part of the property at the 121 agreed or appraised value and also to re 122 pair rebuild or replace the property destroyed or damaged 123 with other of like kind and quality within a reasonable time 124 on giving notice of its intention so to do within thirty days 125 after the receipt of the proof of joss herein required 126 Abandonment There can be no abandonment to this Com 127 pany of any property 128 When lose The amount of loss for which this Com 129 payable pany may be liable shall be payable sixty 130 days after proof of loss as herein provided 131 is reccived by this Company and ascertamment of the loss is 32 made either by agreement between the insured and this Com 33 pany expressed in writing or by the filing with this Company 34 of an award as herein provided 35 Suit No suit or action on this policy for the 36 recovery of any claim shall be sustainable 37 in any court of law or equity unless all the requirements of 38 this policy shall have been complied with and unless com 139 menced within two years and one day next after cause of 140 action accrues 141 Subrogation This Company may require from the in 142 sured an assignment of all right of recov 143 ery against any party for loss to the extent that payment 144 therefor is made by this Company The insured may not ex 145 ceps it be in writing executed prior to the loss waive his right 146 of recovery from any part} If insurance under this Policy be made by a mutual or any other company having special regulations lawfully applicable to its organization mem bership by laws policyholders or policies or contracts of insurance which would in any manner exempt such company from any condition($) of this policy or which would affect or change any condition(s) of this policy whether such exemption(s) or change(s) relate to premium payment assess ments or any other performance hereunder such special regulations which are lawfully applicable are printed hereon or attached hereto as endorsements Article 6 13 Policy a Liquidated Demand A fire insurance policy in case of a total loss by fire of property insured shall be held and considered a liquidated demand against the company for the full amount of such policy The provisions of this Article shall not apply to personal property In Witness Whereof this Company has executed and attested these presents but this policy shall not be valid unless countersigned by an authorized Agent of this Company Prettdent Secretary MORTGAGE CLAUSE (Without Contribution) Thte policy as to the interest of the mortgagee only therein shall not Failure upon the part of the mortgagee to comply with any of the be nvandated by any act or neglect of the mortgagor or owner of the foregoing obligations shall render the insurance under this policy null and within described property nor by any foreclosure or other proceedingqs or void as to the interest of the mortgagee notice of sale relating to the property nor by any change in the title or This Policy may be cancelled as to the interest of any mortgagee named ownership of the property nor by the occupation of the Premises for hereon gy giving such mortgagee ten days written notice purposes more hazardous than are permitted by this policy PROVIDED If this Company shall claim that no liability existed as to the mortgagor that the mortgagee shall notify this Company of any change of ownership or owner it shall to the extent of payment of loss to the mortgagee be or increase of hazard which shall come to the knowledge of said mortgagee subrogated to all the mortgagee a right of recovery but without impairing and unless permitted by this policy it shall be noted hereon and PRO mortgagee s right to sue or it may pay off the mortgage debt and require VIDED further that upon failure of the insured to render proof of loss an assignment thereof and of the mortgage such mortgagee upon notice shall render proof of loss to the form herein The word mortgagee shall be construed to mean mortgagee or trustee specified within ninety one days thereafter and shall be subject to the provisions hereof relating to appraisal and time of payment and of bringing suit page 4