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Requirements

• The applicant or applicant's representative must fully complete the application form.
• No coverage shall apply and no policy will be issued under the Plan until the full premium quoted by the Program or the installment equivalent is received at the office of the Program.
• A minimum of eighty percent (80%) coinsurance is required on all properties except dwellings.  (Refer exceptions to the Underwriting Committee)
• No replacement cost insurance will be provided.
• Standard (buy-back) deductibles will not be waived.
• In situations where there is a history of claims frequency, higher deductibles may be applied upon approval by the Underwriting Committee.
• If hazardous conditions are reflected by the initial inspection and the property owner is notified of these hazardous conditions, then these hazardous conditions must be corrected prior to the issuance of a policy.
• No property shall be insured for more than its actual cash value.
• Insurance in existence and insurance written in the Plan must be concurrent.  (Form, coinsurance and perils.)  (Refer exceptions to the Underwriting Committee)

Amount Of Insurance Limitations

The maximum limit of liability per fire division which may be insured under the Plan shall be:

If the risk is equipped with an approved automatic sprinkler system above limits may be adjusted by the Underwriting Committee.

Definition of Location

1. (a) Mercantile risks, (b) warehouse risks, (c) risks occupied by federal, state, county, or municipal governments or divisions thereof, and (d) education or religious institutions and hospitals, the area within the premises bounded by thoroughfares or open waterways.
2. Lumberyards, the area within the premises of any one yard site including the area outside of the site within one hundred (100) feet thereof.
3. (a) Manufacturing, (b) processing and (c) finishing plants; except distilleries, the area within one plant site and the area in the open outside of the plant within one hundred (100) feet thereof.
4. Distilleries, all eligible property on the premises whether in the distillery, warehouses, blending or bottling plants, or elsewhere on the premises.
5. Grain storage risks, the area within one storage site and the area in the open outside of the site when within one hundred (100) feet thereof.
6. Yards or property in the open not on a manufacturing plant site premises, the area within the premises of any one yard site and outside the yard site in the open, when within one hundred (100) feet thereof.