JOHNSON & JOHNSON SPECIALTY HOMEOWNERS UNDERWRITING GUIDELINES

Transcription

1 JOHNSON & JOHNSON SPECIALTY HOMEOWNERS UNDERWRITING GUIDELINES Quting Authrity: Risks utside f binding authrity/territry can be referred t underwriting fr cnsideratin. HO3 prgram is fr hmes in excellent cnditin and shwing excellent pride in wnership. Hmes that d nt meet this requirement must be written n a dwelling fire frm r apprved by underwriting. Territry: AL, DE, FL, GA, MD, MS, NJ, NC, PA, SC TN, VA, DC N Beach frnt with wind in AL, SC, GA & FL WIND REQUIREMENTS: All Castal cunties must have a Named Strm Deductible, except NJ which requires a Wind/Hail Deductible. WIND EXCLUSION REQUIREMENTS: All X-Wind plicies must prvide evidence f wind cverage and/r a signed wind exclusin frm Plicy Types: HO3, 1-4 Family Quting Authrity: Risks utside f binding authrity/territry can be referred t underwriting fr cnsideratin. Cverage A Dwelling RCV & ACV available Primary, Secndary, Occupied Renvatins & Builders Risk Dwelling Minimum: $150,000 Vacant, Vacant Renvatin, Tenant & 3-4 Family Dwelling Minimum: $250,000 Cverage B Other Structures Minimum: Nne Maximum: 50% f Cverage Standard percentages nt required w/ Llyds & Max Specialty. A-la-carte available Cverage C Persnal Prperty RCV & ACV available Minimum: Nne Maximum: 70% f Cverage A Standard percentages nt required w/ Llyds & Max Specialty. A-la-carte available Cverage D Lss f Use (Lss f Fair Rental Value fr Tenant Occupied) Minimum: Nne Except fr Alabama - $10,000 minimum required fr Owner Occupied Maximum: 40% f Cverage A Standard percentages nt required w/ Llyds & Max Specialty. A-la-carte available Cverage E Liability Minimum: Nne Maximum: $1,000,000 With underwriter apprval nly. Nt available in all states. Must have $500,000+ TIV (Ttal Insured Value f Cverage A, B, C, D) Hmes with elevatrs and/r swimming pls are nt eligible Liability can be extended frm a Primary dwelling t 1 lcatin, up t a 4-Family dwelling Cverage F Medical Payments T Others Minimum: Nne Maximum: $15,000 Optinal: Mld nt available if risk has previus water damage histry. Minimum: $5,000 Maximum: $15,000 Optinal: Water Sewer Back Up Minimum: $5,000 Maximum: $15,000 Optinal: Persnal Article/Scheduled Items:

2 Named Insured: HO3 Occupancy: Items valued between $1,000 - $15,000 require a bill f sale Items valued $15,000+, require an appraisal less than 3 years ld If the ttal value exceeds $50,000, a Central Statin Alarm is required with receipt f an alarm certificate Optinal: Persnal Injury Persnal Injury Cverage available fr Primary Hmes nly Nt available in NJ. Estate Names are acceptable. Details f Estate will be required (reasn fr name, if any cmmercial hldings in that name, number f prperties wned, etc) Insured in the name f a bank is nt eligible. Cnstructin cmpanies as named insured ineligible; cmmercial cverage available thrugh Special Risk Cmmercial department LLC s, HOA s, COA s: Must be fr Individual use nly, tax purpses, family prtectin, r as a persnal investment. If in the name f an LLC, HOA, r COA is used fr cmmerce, r the individual s sle incme, the risk will be ineligible. Subject t fully cmpleted LLC Questinnaire with apprval frm underwriting. The bi-laws maybe be requested fr a descriptin f what is cvered. A Separate HO6 plicy shuld be in place by the unit wner t cver cntents Mrtgage cmpanies fr individual unit wners cannt be included Primary: Must be ccupied by the wner full time Secndary/Seasnal: Occupied by the wner with 0-16 weeks rental expsure Tenant: Occupied by a full-time tenant OR Seasnal tenant fr mre than 16 weeks. Tenant can nt be srrity, fraternity, cllege students, half-way huse residents, r specialized grup living. Minimum dwelling limit is $250,000 and hme must be inspected by insured, authrized representative, r prperty management grup every 2 weeks t cnfirm n lsses. Minimum AOP deductible is $1000 Vacant HO3 requires a 12 mnth plicy term. Minimum dwelling limit is $250,000 and hme must be inspected by insured, authrized representative, r prperty management grup every 2 weeks t cnfirm n lsses. Minimum deductible $1000 Maximum number f years vacant is 3; hmes vacant mre than 3 years must prvide details t underwriting fr pssible alternate placement Renvatin Hme must be ccupied. HO3 requires a 12 mnth plicy term. If Vacant and under renvatin, hme must be quted as vacant. Renvatins ther than csmetic must be perfrmed by a licensed cntractr insured fr a minimum f $1,000,000 in liability. Builder s Risk HO3 requires a 12 mnth plicy term. Hme r significantly renvated prperty must be cmpleted by a General Cntractr with a minimum f $1MM f liability cverage validated by their GL Plicy. (if pssible) The insured must subcntract 100% f the wrk t a licensed cntractr. The insured is nt permitted t cmplete the renvatin r cnstructin. 3-4 Family Dwelling Hmewner Assciatins r Cnd Owners Assciatins may be written n the HO3 if in excellent cnditin Minimum Dwelling Value is $250,000 Minimum deductible $1000 Alternate cverage is available thrugh the cmmercial department; cnsult a special risk cmmercial underwriter t review best cverage and placement

3 Claims: All risks with claim histry must be apprved by underwriting prir t binding. Open Claims nt eligible Claims with a $0 pay ut, still cunt as ne claim Prperty Damage claims: Past 3 years Claims arising ut f negligence: Past 5 years. Online Quting Available if 1 claim, less than $5,000 pay ut. Cnstructin Type - Interir & Exterir: Exterir: Interir: $500 AOP Deductible nt available fr risks with any claim histry $1000 AOP is minimum deductible fr vacant, tenant, and 3-4 family dwellings Please Submit: 1 Claim with a $5,000+ pay ut Mre than 1 claim f any pay ut amunt. Lg Hmes Require AOP deductible f $2,500 Hmes built n stilts - Acceptable Manufactured Hmes Nt Eligible. Mdular Hmes Please submit t underwriting fr quting Undergrund r Earth Hmes Nt Eligible. Fiberglass Hmes Please submit t underwriting fr quting Yurts Nt Eligible. Balln Cnstructin Nt Eligible. EIFS (Exterir Insulated Finish System) Nt Eligible. Hmes made f uncnventinal materials r unusual cnstructin, design and/r nt riginally intended as a dwelling Please submit t underwriting fr quting Cnverted Structures Please submit t underwriting fr quting Mbile Hmes r Cnverted Mbile Hmes: Nt Eligible. Flat Rfs - $2,500 min. Deductible. Underwriting apprval required prir t binding Slar Heat please submit t underwriting Prpane Tanks Abve grund and undergrund tanks acceptable. Please nte HO3 plicies exclude pllutin. Plybutelene Plumbing Nt acceptable Fuses Nt acceptable Primary heat surce f kersene heater, space heater, wd stve r fire place are nt eligible If primary heat surce is nt central heat/ air, unit must be thermstatically cntrlled and apprved by underwriting Operatinal Heating is required n all hmes prtable units nt acceptable. Aluminum Knb & Tube Wiring Nt acceptable Circuit Breakers must have 100 amp minimum Alternate Heat Surce Questinnaire required within 30 days f binding t cnfirm eligibility. Must be prfessinally installed, maintained t manufacturer s recmmendatins Must meet all cdes, and used as a secndary heating surce. Wd stve must have wn lined masnry chimney and be at least 2 feet frm any cmbustible wall. If manufacturer specificatins allw fr shrter clearances, supprting dcumentatin is required. Prtable Space Heaters r Kersene Heaters Nt acceptable

4 Year Built & Updates: Hmes ver 20 years ld must have a cmpleted Older Hme Questinnaire reviewed by underwriting t cnfirm eligiblilty Llyd s f Lndn & Scttsdale can write any age hme with apprpriate updates Hmes ver 40 years r earlier are nt eligible fr Extended Replacement Cst. Updates are required as fllws: Plumbing, Electrical, Heating: Hmes ver 20 years will be subject t lder hme questinnaire Hmes with ht water heaters ver 15 years ld must be inspected r replaced r separate water damage deductible will apply based n lcatin f water heater in hme. Plybutelene plumbing r fittings are ineligible Alternate heat surce must be apprved Rf: Cmplete replacement within 20 years Age requirements d nt apply t slate, tile, r tin rfs, if prperly sealed. Tar paper rlled, plywd bards and stapled rfs are unacceptable regardless f age. Flat Rfs require underwriting apprval with a minimum deductible f $2,500. May nt be available in all states. Rf must be in excellent cnditin t qualify fr HO3; if lder than 20 years the ACV rf endrsement will apply. Inspectin will be rdered t cnfirm rf cnditin. If in pr cnditin, cverage may be canceled r limited PC 9 ad PC10 Swimming Pls: Dcks: Requires apprval frm underwriting with a fully cmpleted Unprtected Questinnaire with submissin. Prperties withut a respnding fire department are nt eligible with this prgram Requires Fire Department respnse time f 15 minutes r less Vacant hmes in a PC9 r PC10 must have an active central statin fire alarm r sprinkler system If Fire Department respnse time is 15+ minutes, we will require Interir Sprinkler System Cverage is available fr all ccupancy types - maximum liability limit f $500,000 Diving bards are acceptable with a maximum liability limit f $500,000. All swimming pls must be fully fenced with a lckable gate. Please submit t underwriting if HOA r cmmunity des nt allw fences n the prperty. Swimming Pl Exclusin frm will be applied t any risk with a drained pl. Limited cverage can be included thrugh Cverage B (Other Structures) if: Dck is lcated n deeded prperty N rental expsure (unless hme is Tenant ccupied and reflected as such n plicy dec page) Cverage nly applies per the perils f the plicy; better cverage can be btained thrugh a separate dck plicy thrugh the cmmercial department Business On Premises: Nt eligible fr liability r medical payments cverage Cmmercially zned prperties must be submitted t underwriting fr apprval.

5 Mrtgage Cmpanies: Acreage: Insurance-t-Value: Arsn r Fraud: Must be apprved by underwriting. Prvide type f business, lcatin f business persnal prperty, and if there is any ft traffic n prperty prvide details Businesses yielding prduct are ineligible fr HO3 Please nte, cverage fr custmers with business n prperty may leave gaps in cverage; cnsult cmmercial department fr alternative placement N mre than tw mrtgage cmpanies are acceptable. Prir frced place cverage must be disclsed Mrtgagee must nt be an individual Mrtgagees n Cnd Assciatins r 3-4 family dwellings must be fr the Assciatin, nt fr the individual unit wner Acreage f any size is acceptable Farming Expsure nt acceptable Rental f land fr any reasn is nt acceptable 100% f the calculated Replacement Cst is required, unless ACV is requested 80% c-insurance penalty applies t all plicies An applicant with a prir arsn r fraud charge r cnvictin is unacceptable. If arsn was cmmitted by smene ther than the insured, it must be submitted t underwriting fr quting. Bankruptcy and Freclsure: Animals/Pets: Prperty Inspectins Bankruptcy must be discharged Must be submitted t underwriting fr quting. Minimum $1000 AOP will apply Hmes in freclsure r in immmenent freclsure are nt acceptable New purchase f hme which was in freclsure must be disclsed and subject t further questining regarding cnditin f the hme. May nt be eligible fr HO3 but culd be written n a dwelling frm All plicies are issued with an animal liability exclusin Animal Liability Buy Back cverage is available (n Primary, wner-ccupied hmes nly), when the fllwing expsures d nt exist. Farm Animals r Extic Pets Akita Pitt Bull Terrier Chw Chw Dberman Pinscher German Shepard Rttweiler Staffrdshire Terrier Bull Mastiff Huskie Alaskan Malamutes Great Dane St. Bernard Rhdesian Ridgeback Any Crss-breed f the abve Any wlf breed r hybrid

6 Hmes written n an HO3 shuld shw excellent maintenance and excellent pride in wnership; if inspectin shws therwise cverage may be mved t a dwelling frm r cancelled N phts required frm agent at time f binding. Satisfactry inspectin required fr all new business within 60 days f the inceptin date, which will be rdered by Jhnsn & Jhnsn. Satisfactry inspectin required every 4 th renewal term Exterir Only Inspectins: Prperties valued less than $1,000,000 Exterir & Interir Inspectins: Prperties valued $1,000,000+ Hmes ver 20 years withut plumbing/ heating/ wiring updates All inspectins require phtswith hazard identificatin. Pst-Inspectin Underwriting by Jhnsn & Jhnsn will take place t address any and all areas f cncern identified by the inspectin. These include: Replacement Cst Adjustment Hazard Mitigatin Rating Discrepancies All effrts shuld be made t physically verify all infrmatin listed belw. When unable t physically verify, the insured shuld be interviewed and asked t verify the infrmatin by phne r in persn. All inspectins shuld cntain: Name and status f persn interviewed Square ftage measurements Calculated RCV based n square ftage Prtectin Class and cnstructin verificatin Liability expsure, hazards r ther prblem cnditins nted and phtgraphed. Rf Quality Cmments n inability t withstand high winds Strm shutter and hurricane strap verificatin Age f hme Distance t water in feet and miles, and elevatin abve water Cmments n the cnditin and value f ther structures n the premises PC9 and 10 water surce infrmatin prperty accessibility, respnding fire department infrmatin (paid, vlunteer) shuld be verified Verificatin f functining alarm system. Cmmn Inspectin Recmmendatins: Inspectins are subjective and are nt limited t the fllwing. Inspectin recmmendatins must be cmpleted within 30 days, r plicy may be subject t a change in cverage r cancellatin. Handrails: Any set f steps that requires 3 steps t climb (landing included as the tp step), must have handrails t prevent a fall hazard. Underwriting will als cnsider the width f the steps t determine if an exceptin can be made. Als, If the city r cunty cdes r rdinance des nt require the handrails, the retail agent may infrm underwriting, which will be taken int cnsideratin. Railings: Any prch which is 3+ feet abve the grund requires a railing t prevent a fall hazard. If the city r cunty cde r rdinance des nt require railings arund a raised prch, the retail agent may infrm underwriting, which will be taken int cnsideratin. Pls: Must be fenced with a lckable gate, unless cmmunity des nt allw fencing. Debris: Must be remved t prevent a fall hazard Expsed Wiring: Must be secured Open Fundatin: Must be clsed Rf: Must be in gd cnditin n missing r curling shingles

7 Rf Fascia: must be in gd cnditin Business n Premises If fund, risk may nt be eligible r liability may be remved Other structures: must be in gd cnditin Abandned Vehicles: must be remved frm prperty Tramplines: If the plicy des nt have a Trampline Excl Endt, the trampline will be asked t be remved.