(1) Marine, transportation policies or both
may cover under the following conditions:
(A)
Imports may be covered wherever the property exists and without restriction as
to time, provided the coverage of the issuing companies includes hazards of
transportation. An import as a proper subject of marine or transportation
insurance shall be deemed to maintain its character as such, so long as the
property remains segregated in a way that it can be identified and has not
become incorporated and mixed with the general mass of property in the United
States and shall be deemed to have been completed when that property has been-
1. Sold and delivered by the importer, factor
or consignee;
2. Removed from place
of storage and placed on sale as part of importer's stock in trade at a point
of sale-distribution; or
3.
Delivered for manufacture, processing or change in form to premises of the
importer or of another used for any of these purposes;
(B) Exports may be covered wherever the
property exists without restriction as to time, provided the coverage of the
issuing companies includes hazards of transportation. An export, as a proper
subject of marine or transportation insurance, shall be deemed to acquire its
character as an export when designated or while being prepared for export and
retain that character unless diverted for domestic trade and when so diverted
the provisions of this ruling respecting domestic shipments shall apply,
provided, however, that this provision shall not apply to long established
methods of insuring certain commodities, for example, cotton;
(C) Domestic Shipments.
1. Domestic shipments on consignment,
(provided the coverage of the issuing companies includes hazards of
transportation) for sale or distribution, exhibit or trial or approval or
auction, while in transit, while in the custody of others and while being
returned, provided that in no event shall the policy cover on premises owned,
leased or operated by the consignor.
2. Domestic shipments not on consignment,
provided the coverage of the issuing companies includes hazards of
transportation, beginning and ending within the United States, provided that
these shipments shall not be covered at manufacturing premises nor after
arrival at premises owned, leased or operated by assured or
purchaser;
(D) Bridges,
tunnels and other instrumentalities of transportation and communication
(excluding buildings, their improvements and betterments, furniture and
furnishings, fixed contents and supplies held in storage). The previously
mentioned include:
1. Bridges, tunnels, other
similar instrumentalities, including auxiliary facilities and equipment
attendants;
2. Piers, wharves,
docks, slips, dry docks and marine railways;
3. Pipelines, including on-line propulsion,
regulating and other equipment appurtenant to those pipelines, but excluding
all property at manufacturing, producing, refining, converting, treating or
conditioning plants;
4. Power
transmission and telephone and telegraph lines, excluding all property at
generating, converting or transforming stations, substations and
exchanges;
5. Radio and television
communication equipment in commercial use as such including towers and an
antennae with auxiliary equipment and appurtenant electrical operating and
control apparatus;
6. Outdoor
cranes, loading bridges and similar equipment used to load, unload and
transport; and
7. Outdoor theatre
equipment, except buildings;
(E) Personal property floater risks covering
individuals generally-
1. Personal effects
floater policies;
2. The personal
property floater;
3. Government
service floaters;
4. Personal fur
floaters;
5. Personal jewelry
floaters;
6. Wedding present
floaters for not exceeding ninety (90) days after the day of the
wedding;
7. Silverware
floaters;
8. Fine arts floaters
covering paintings, etchings, pictures, tapestries, art glass windows and other
bona fide works of art of rarity, historical value or artistic merit;
9. Stamp and coin floaters;
10. Musical instrument floaters. Radios,
televisions, record players and combinations are not deemed musical
instruments. These policies shall not be written on pianos and organs not
customarily moved from the assured's premises;
11. Mobile articles, machinery and equipment
floaters (excluding motor vehicles designed for highway use and auto homes,
trailers and semi-trailers except when hauled by tractors not designed for
highway use) covering identified property of a mobile or floating nature
pertaining to or usual to a household. These policies shall not cover furniture
and fixtures not customarily used away from premises where that property is
usually kept;
12. Installment sales
and leased property policies covering property pertaining to a household and
sold under conditional contract of sale, partial payment contract or
installment sales contract or leased, but excluding motor vehicles designed for
highway use. These policies must cover in transit but shall not extend beyond
the termination of the seller's or lessor's interest; and
13. Live animal floaters; and
(F) Commercial property floater
risks covering property pertaining to a business, profession or occupation.
1. Radium floaters.
2. Physicians' and surgeons' instrument
floaters. These policies may include coverage of furniture, fixtures and tenant
assured's interest in the improvements and betterments of buildings as are
located in that portion of the premises occupied by the assured in the practice
of his/her profession.
3. Pattern
and die floaters.
4. Theatrical
floaters, excluding buildings and their improvements and betterments and
furniture and fixtures that do not travel about with theatrical
troupes.
5. Film floaters,
including builders' risk during the production and coverage on completed
negatives and positives and sound records.
6. Salesmen's samples floaters.
7. Exhibition policies on property while on
exhibitions and in transit to or from the exhibitions.
8. Live animal floaters.
9. Builders' risks, installation risks, or
both, covering interest of owner, seller or contractor, against loss or damage
to machinery, equipment, building material or supplies, being used with and
during the course of installation, testing, building, renovating or repairing.
These policies may cover at points or places where work is being performed,
while in transit and during temporary storage or deposit, of property
designated for and awaiting specific installation, building, renovating or
repairing. Coverage shall be limited to builders' risks or installation risks
where perils in addition to fire and extended coverage are to be insured. If
written for account of an owner, the coverage shall cease upon completion and
acceptance by the owner; if written for account of a seller or contractor, the
coverage shall terminate when the interest of the seller or contractor
ceases.
10. Mobile articles,
machinery and equipment floaters (excluding motor vehicles designed for highway
use and auto homes, trailers and semitrailers except when hauled by tractors
not designed for highway use and snow plows constructed exclusively for highway
use), covering identified property of a mobile or floating nature, not on sale
or consignment or in course of manufacture, which has come into custody or
control of parties who intend to use that property for the purpose of which it
was manufactured or created. These policies shall not cover furniture and
fixtures not customarily used away from premises where that property is usually
kept.
11. Property in transit to or
from and in the custody of bailees (not owned, controlled or operated by the
bailor). These policies shall not cover bailee's property at his/her
premises.
12. Installment sales and
leased proper-t y. Policies covering property sold under conditional contract
of sale, partial payment contract, installment sales contract or leased but
excluding motor vehicles designed for highway use. These policies must cover in
transit but shall not extend beyond the termination of the seller's or lessor's
interest. This section is not intended to include machinery and equipment under
certain lease-back contract.
13.
Garment contractors floaters.
14.
Furrier's or fur storers' customers' policies (that is, policies under which
certificates or receipts are issued by furriers or fur storers) covering
specified articles the property of customers.
A. Certificates must contain all of the
provisions under which the coverage is accepted without reference to the
underlying policy; and show the rate and premium charges and the amount of
insurance.
B. The basic policy
contracts between the insurer and furrier, the fur storer or both, shall
specifically provide-
(I) That certificates
shall be issued only to individuals covering personal furs or garments trimmed
with furs being the property of storage customers;
(II) The rate at which the customers'
certificates shall be issued; and
(III) The furrier, the fur storer, or both,
shall not receive any money or commission or brokerage or anything of value for
services rendered in connection with the placing of or furnishing insurance for
customers and amounts of insurance under the customers' certificates shall not
be deducted from reports of storage values otherwise required of the
furrier.
15.
Accounts receivable policies, valuable papers and record's policies.
16. Floor plan policies, covering property
for sale while in possession of dealers under a floor plan or any similar plan
under which the dealer borrows money from a bank or lending institution with
which to pay the manufacturer, provided-
A.
The merchandise is specifically identifiable as encumbered to the bank or
lending institution;
B. The
dealer's right to sell or otherwise dispose of the merchandise is conditioned
upon its being released from encumbrance by the bank or lending institution;
and
C. That the policies cover in
transit and do not extend beyond the termination of the dealer's interest.
Provided that the policies shall not cover automobiles or motor vehicles,
merchandise for which the dealer's collateral is the stock or inventory as
distinguished from merchandise specifically identifiable as encumbered to the
lending institution.
17.
Sign and street clock policies, including neon signs, automatic or mechanical
signs, street clocks, while in use as such.
18. Fine art policies covering paintings,
etchings, pictures, tapestries, art glass windows and other bona fide works of
art of rarity, historical value or artistic merit, for account of museums,
galleries, universities, businesses, municipalities and other similar
interests.
19. Policies covering
personal property which, when sold to the ultimate purchaser, may be covered
specifically, by the owner, under inland marine policies including:
A. Musical instrument dealers' policies,
covering property consisting principally of musical instruments and their
accessories. Radios, televisions, record players and combinations are not
deemed musical instruments;
B.
Camera dealers' policies, covering property consisting principally of cameras
and their accessories;
C. Furrier's
dealers' policies, covering property consisting principally of furs and fur
garments;
D. Equipment dealers'
policies, covering mobile equipment consisting of binders, reapers, tractors,
harvesters; harrows, tedders and other similar agricultural equipment and
accessories; construction equipment, consisting of bulldozers, road scrapers,
tractors, compressors, pneumatic tools and similar equipment and accessories,
but excluding motor vehicles designed for highway use;
E. Stamp and coin dealers covering property
of philatelic and numismatic nature;
F. Jewelers' block policies; and
G. Fine arts dealers. These policies may
include coverage of money in locked safes or vaults on the assured's premises.
These policies also may include coverage of furniture, fixtures, tools,
machinery, patterns, molds, dies and tenant insureds' interest in improvements
of buildings.
20. Wool
growers' floaters.
21. Domestic
bulk liquids policies, covering tanks and domestic bulk liquids stored in
them.
22. Difference in conditions
coverage excluding fire and extended coverage perils, except
buildings.
23. Electronic data
processing policies, except buildings.