COMMERCIAL OUTPUT PROGRAM AVAILABLE ENDORSEMENTS AND THEIR USES

(August 2019)

INTRODUCTION

This listing identifies endorsements available to modify the AAIS Commercial Output Program. It is arranged by form number and title and it includes a brief explanation of the use of each form. This article does not include any state specific endorsements or terrorism endorsements.

The Commercial Output Program Edition 3.0 does not use any of the forms or endorsements from Edition 2.0. Those forms and endorsements have either been updated and assigned a new number or incorporated into the basic coverage form.

AAIS Commercial Output Program Endorsements Checklist

AAIS Commercial Output Program Archive provides a listing and description of the Edition 2.0 forms and endorsements

COMMON POLICY FORMS

CL 0100–Common Policy Conditions

CL 0700–Virus or Bacteria Exclusion

This mandatory endorsement must be attached to the policy. It excludes all loss due to any contamination by defined virus and bacteria.

COMMERCIAL OUTPUT PROGRAM COVERAGE PARTS

CO 1000–Commercial Output Program–Property Coverage Part

The primary coverage part which must be included with any Commercial Output policy issued.

CO 1001–Commercial Output Policy Program–Income Coverage Part

Use with the CO 1000 when time element coverages are provided.

CO 1003–Equipment Breakdown Coverage Part

Use with the CO 1000 to provide equipment breakdown coverage

CO 1004–Spoilage Coverage Part–Scheduled Coverage

Used with the CO 1000 to provide spoilage coverage on a scheduled basis.

CO 1005–Spoilage Coverage Part–Blanket Coverage

Use with the CO 1000 to provide spoilage coverage on a blanket basis.

CO 1006–Crime Coverage Part–Employee Fraud and Dishonesty–Money and Securities

Use with the CO 1000 to provide employee fraud and dishonesty coverage and loss or destruction of money and securities coverage on a loss sustained basis.

CO 1007–Crime Coverage Part–Loss Sustained

Use with the CO 1000 in place of CO 1006 in order to provide employee fraud and dishonesty, loss or destruction of money and securities plus Computers and Telecommunications Fraud, Counterfeit Money, Forged Credit Card Written Instruments, and Forged Checks coverages.

CO 1008–Crime Coverage Part–Discovery Basis

Same as CO 1007 except that coverage is provided on a discovery basis rather than a loss sustained basis.

COMMERCIAL OUTPUT PROGRAM SCHEDULES

CO 1050–Schedule of Coverages–Commercial Output Program

Use with CO 1000 to display coverages and limits.

CO 1051–Schedule of Coverages–Commercial Output Program

This is identical to CO 1050 except for the addition of Equipment Breakdown and Spoilage coverages.

CO 1052–Location Schedule

The COP does not list individual locations unless the CO 1050 or CO 1051 states that locations are scheduled. When scheduling locations, two forms must be attached. This schedule is used to list the location and CO 1227–Scheduled Locations Endorsement explains how coverage is changed by the scheduling.

CO 1053–Protective Devices Schedule–Crime Coverage

Use with CO 1115–Protective Devices or Services Endorsement to display the location address, the coverages that apply, and to describe the protective device or service to be maintained.

CO 1054–Crime Schedule–Blanket Limits

Use with CO 1006–Crime Coverage Part to display coverage limits and deductibles as well as limits for coverage extensions, supplemental coverages, coverage options and designated welfare or pension benefit plans.

CO 1055–Crime Schedule–Scheduled Limits and Locations

When crime limits vary by location, a separate CO 1055 must be attached for each such location covered under the CO 1006–Crime Coverage Part. It displays coverage limits and deductibles for the location listed and described. Limits of insurance for coverage extensions, supplemental coverages, coverage options, and named employee welfare or pension benefit plans for that location must be provided.

CO 1056–Crime Schedule–Covered Locations

When the option on CO 1054–Crime Schedule-Blanket Limits to restrict coverage to only scheduled locations is selected this schedule must be attached and the applicable locations listed. If a loss happens at a location that is not listed, there is no coverage.

CO 1057–Crime Schedule–Specific Limits

Use with CO 1007 and CO 1008–Crime Coverage Parts to display coverage limits and deductibles for the selected coverages. It is also used to display limits of insurance for coverage extensions, supplemental coverages, coverage options, and named employee welfare or pension benefit plans.

CO 1058–Crime Schedule–Single Limit

Use with CO 1007 and CO 1008–Crime Coverage Parts in place of CO 1057. Instead of providing a limit and single deductible for each coverage, it provides a single limit and a single deductible that applies separately to each coverage selected on the schedule. It is also used to display limits of insurance for coverage extensions, supplemental coverages, coverage options and named employee welfare or pension benefit plans.

CO 1059–Crime Schedule–Covered Locations

When the option on either the CO 1057–Crime Schedule–Specific Limits or the CO 1058–Crime Schedule–Single Limit to restrict coverage to only scheduled locations is selected this schedule must be attached and the applicable locations listed. If a loss happens at a location that is not listed, there is no coverage.

CO 1060–Loss Payable Schedule–Crime Coverage

Use with CO 1114–Loss Payable Options–Crime Coverage. This schedule lists the type of loss payee, the name and address of the loss payee and describes the property involved. The CO 1114 must be attached to explain how the policy responds to the particular type of loss payee.

CO 1061–Excluded Locations Schedule (10 07 addition)

The unendorsed COP provides coverage for all covered locations. This schedule excludes certain locations from that broad coverage definition. Therefore, all locations are covered except those listed on this schedule. This is a good alternative to scheduling all covered locations in order to exclude one or two.

CO 1062–Earthquake Schedule

Required when CO 1221–Earthquake Endorsement is attached to the policy.

CO 1063–Flood Schedule

Required when CO 1223-Flood Coverage is attached to the policy.

CO 1064–Vehicle Schedule

Use with the CO 1225–Vehicle Coverage Endorsement to provide a description, vehicle identification number, and limit of insurance for covered vehicles.

CO 1065–Protective Devices Schedule

Use with CO 1238–Protective Devices Endorsement to list, by location, the protective devices or services that are warranted to be active.

CO 1066–Ordinary Payroll Exclusion Schedule–Additional Exemptions

When ordinary payroll is excluded from coverage, there may be a need to continue to cover specific employees’ payroll because of their unique skills. This schedule, when used with CO 1240–Ordinary Payroll Exclusion, allows the named insured to select such employees or employee classifications. It is very important to review this endorsement at each renewal because the individual named may be replaced or the job classification name may change.

CO 1067–Ordinary Payroll Limitation Schedule

Must be attached when CO 1242–Ordinary Payroll Limitation is attached. It is used to list the number of days for which ordinary payroll coverage is provided. It also provides a schedule for listing additional job classifications and employees that are excluded from ordinary payroll and therefore are not subject to this limitation.

CO 1068–Seasonal Leases Schedule

Attach when CO 1250–Seasonal Leases is used. It lists the locations, months of operations and limit of insurance per month for covered rents.

CO 1069–Reporting Schedule (10 07 change)

Attach when CO 1231–Reporting Conditions is used. It displays the selected reporting period, adjustment period, types of values to be reported, rate and deposit and minimum premium. Wording was added to explain that calculated additional premium is due when billed.

CO 1070–Off Premises Utility Service Interruption Schedule

Use with CO 1286–Off Premises Utility Service Interruption–Coverage Limitation to restrict Off Premises Utility Service Interruption coverage to only the locations listed on this schedule and only for the coverage, limits provided, and the covered utility services scheduled.

CO 1071–Off-Site Server Schedule

Attach when CO 1289–Off Site Server Coverage and Interruption of Web Site is provided. It displays the selected coverage(s) and the applicable limits, deductible and/or waiting period.

CO 1072–Loss Payable Schedule

Use with CO 1232–Loss Payable Options to list the type of loss payee, the name and address of the loss payee and describes the property involved. The CO 1232 must be attached to explain how the policy responds to the particular type of loss payee.

CO 1073–Equipment Breakdown Schedule

May be used when CO 1003-Equipment Breakdown Coverage is added to the policy, but it should not be used when the CO 1051 is attached, and the equipment breakdown coverage is described on it.

CO 1074–Spoilage Schedule

May be used when the CO 1004 or CO 1005 Spoilage Coverage Part is added to the policy, but it should not be used when the CO 1051 is attached, and the spoilage coverage is described on it.

CO 1075–Scheduled Locations–Spoilage Coverage

A location schedule that is used with either CO 1074 or CO 1051 when the scheduled spoilage option is selected. This schedule provides a list of covered locations and their limits.

CO 1076–Schedule of Dependent Locations–Separate Limits

When CO 1204–Income Coverage From Dependent Locations–Separate Limits is attached this schedule is required in order to list the dependent locations.

Note: The schedule calls for Covered locations, but CO 1204 refers to Dependent locations. In addition, this schedule requires a check beside the type of dependent location but there is no requirement for that information in the CO 1204.

CO 1077–Functional Replacement Cost Schedule

When CO 1279–Functional Replacement Cost Endorsement is attached this schedule is required in order to display the covered property to which the endorsement applies and the applicable limit.

Note: The schedule shows a column for Functional Replacement Cost and a separate column for the limit. CO 1279 refers only to a limit.

CO 1078–Expanded Definition of Employee–Schedule

Use whenever CO 1101–Expanded Definition of Employee Endorsement is attached to CO 1006, CO 1007 or CO 1008. It is used to select one or more types of natural persons to include in the definition of employee. When the definition of employee is expanded, the natural persons become covered persons under certain coverages but excluded persons under others so this can be expansive or restrictive depending on the coverage.

CO 1079–Limited Fungus and Related Perils Schedule–Location Limit

Use either this schedule or CO 1080 below to complete CO 1293–Limited Fungus and Related Perils Coverage. Each covered location must be entered, and an aggregate annual must be entered. When no limit is entered, the default limit of $15,000 applies. The number of days for interruption coverage is 30 days by default but may also be increased.

CO 1080–Limited Fungus and Related Perils Schedule–Blanket Limit

Use either this schedule or CO 1079 above to complete CO 1293–Limited Fungus and Related Perils Coverage. No locations are listed. Instead, a single blanket aggregate annual applies over all locations – not per location. When no limit is entered, the default limit of $15,000 applies. The number of days for interruption coverage is 30 days by default but may also be increased.

CO 1081–Limited Fungus and Related Perils Schedule–Location Limit–Equipment Breakdown

Use either this schedule or CO 1082 below to complete CO 1294–Limited Fungus and Related Perils Equipment Breakdown. Each covered location must be entered, and an aggregate annual must be entered. When no limit is entered, the default limit of $15,000 applies. The number of days for interruption coverage is 30 days by default but may also be increased.

CO 1082–Limited Fungus and Related Perils Schedule–Blanket Limit–Equipment Breakdown

Use either this schedule or CO 1081 above to complete CO 1294–Limited Fungus and Related Perils Coverage Equipment Breakdown. No locations are listed. Instead, a single blanket aggregate annual applies over all locations – not per location. When no limit is entered, the default limit of $15,000 applies. The number of days for interruption coverage is 30 days by default but may also be increased.

CO 1083–Schedule of Dependent Domestic and Foreign Locations (10 07 addition)

Use this schedule when CO 1298–Income Coverage From Dependent Domestic and Foreign Locations is attached in order to list the dependent locations.

Note: The schedule calls for Covered locations, but CO 1298 refers to Dependent locations. In addition, this schedule requires a check beside the type of dependent location but there is no requirement for that information in the CO 1298.

CO 1084–Windstorm and Hail Schedule (10 07 addition)

Use this schedule when CO 1220–Windstorm or Hail Deductible is attached.

CO 1085–Multiple Deductible Schedule - Scheduled Perils and Locations (10 07 addition)

Use this schedule when CO 1237–Multiple Deductible Scheduled Perils and Locations is attached.

CO 1087–Green Coverage Schedule (11 09 addition)

Use this schedule w CO 1201–Green Coverage Endorsement is attached because it details the type of green coverage selected. CO 1088–Schedule of Green Buildings – Green Buildings and/or CO 1089-Schedule of Green Buildings – Non-Green Building Coverages are required to complete the schedule.

Related Article: CO 1201–Green Coverage Endorsement

CO 1088–Schedule of Green Buildings - Green Building Coverages (11 09 addition)

This schedule is for only the green buildings. Locations must be listed, coverage selected, and limits provided. It is used only when CO 1201–Green Coverage and CO 1087–Green Coverage Schedule are attached. Limits must be entered because there are no defaults.

Related Article: CO 1201–Green Coverage Endorsement

CO 1089–Schedule of Green Buildings - Non-Green Building Coverages (11 09 addition)

This schedule is for only the non-green buildings. Locations must be listed, coverage selected, and limits provided. It is used only when CO 1201–Green Coverage and CO 1087–Green Coverage Schedule are attached. Limits must be entered because there are no defaults.

Related Article: CO 1201–Green Coverage Endorsement

COMMERCIAL OUTPUT PROGRAM OPTIONAL ENDORSEMENTS

CO 1101–Expanded Definition of Employee

The definition of employee in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is expanded to include one or more of eight categories of natural persons that qualify as employees. The category selection must be made on CO 1078–Expanded Definition of Employee Schedule. When the definition of employee is expanded, the natural persons become covered persons under certain coverages but excluded persons under others so this can be expansive or restrictive depending on the coverage.

CO 1103–Excluded Employees or Classes of Employees

The definition of employee in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is changed to specifically exclude individual employees or classes of employees scheduled on this endorsement. When the definition of employee is restricted, the actions of the excluded employee(s) or classes of employees are not covered under certain coverages but those actions would then be covered under others so this can be restrictive or expansive depending on the coverage.

CO 1104–Designated Agents as Employees

The definition of employee in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is expanded to include agents under contract with the insured to manage or administer employee welfare or pension benefit plans. The agent must be scheduled on the endorsement.

CO 1105–Trading Coverage–Employee Fraud and Dishonesty

Employee Fraud and Dishonesty coverage provided in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is expanded to include losses from trading.

CO 1106–Territorial Limits Amended

The territory in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is expanded to worldwide.

CO 1107–Designated Property Exclusion

Computer or Telecommunications Fraud and/or Money and Securities coverages provided in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 are restricted by the exclusion of described items or types of property at scheduled locations.

CO 1108–Designated Location Exclusion

Crime Coverage Parts CO 1006, CO 1007 and CO 1008 are restricted by excluding coverage at scheduled locations.

CO 1109–Designated Armored Vehicle Company Exclusion

Crime Coverage Parts CO 1006, CO 1007 and CO 1008 are restricted by excluding coverage for money and securities while in the care, custody or control of a scheduled armored vehicle company.

CO 1110–Retroactive Date Applicable to Named Insured–Discovery Basis

This modifies the unlimited discovery period found in CO 1008–Crime Coverage Part–Discovery Basis. It also adds a retroactive date.

CO 1111–Retroactive Date Applies to Designated Multiple Named Insured–Discovery Basis

This endorsement is the same as CO 1110, but a retroactive date can be set differently for each named insured.

CO 1112–Retroactive Date Applies to Acquired Entity–Discovery Basis

This endorsement is the same as CO 1110 except that it applies only to scheduled new mergers or acquisitions.

CO 1113–Peak Season or Single Exposure Increase–Crime Coverage

Money and Securities coverage provided in Crime Coverage Parts CO 1006, CO 1007 and CO 1008 is expanded to increase the limits of insurance for a listed and described location during the scheduled time period.

CO 1114–Loss Payable Options–Crime Coverage

Use this endorsement when CO 1060–Loss Payable Schedule–Crime Coverage is attached. This endorsement explains each type of Loss payee and the responsibility of the insurance company toward that loss payee.

CO 1115–Protective Devices or Services Endorsement–Crime Coverage

If an agreement is made to keep protective devices or services in place in order to secure coverage, this endorsement is attached as a warranty. If the equipment is not kept in working order or the service contract terminates, there is no coverage for certain crime coverages. In order for this endorsement to be in effect, CO 1053– Protective Devices Schedule–Crime Coverage must be attached.

CO 1201–Green Coverage Endorsement (11 09 addition)

This endorsement extends coverage to pay for a named insured rebuilding in a greener manner.

Related Article: CO 1201–Green Coverage Endorsement

CO 1202–Expanded Restoration Period–Extra Expense

This restrictive endorsement limits extra expense payment to no more than a fixed percentage of the total available limit within a particular 30 day time frame instead of the standard 100% available under the income coverage part.

CO 1204–Income Coverage From Dependent Locations–Separate Limits

This restriction removes dependent locations from the supplemental income coverage on the income coverage part. It then adds the coverage back but only when direct physical damage occurs at a scheduled dependent location for which a limit is entered. A limit can be entered for unscheduled dependent locations. CO 1076–Schedule of Dependent Locations–Separate Limits must be attached.

CO 1220–Windstorm or Hail Deductible (10 07 addition)

The property coverage part deductible is replaced with this endorsement but only if the direct damage is caused by or contributed to by the windstorm and hail perils.

CO 1221–Earthquake Endorsement

This endorsement provides coverage for earthquake. CO 1062–Earthquake Schedule must be attached.

CO 1223–Flood Endorsement

This endorsement provides coverage for flood. CO 1063–Flood Schedule must be attached.

CO 1225–Vehicle Coverage Endorsement

The Property Coverage Part excludes coverage for motor vehicles. This endorsement provides coverage for scheduled vehicles. CO 1064–Vehicle Schedule must be attached to provide the covered vehicles description.

Note: It is important to understand the limitations of this endorsement's coverage before excluding physical damage coverage from the Business Auto Policy.

CO 1227–Scheduled Locations Endorsement

This restrictive endorsement changes the property and income coverage parts from insuring covered property regardless of location to insuring covered property at only the locations listed on CO 1052–Location Schedule. Because of this restriction coverage is introduced for newly built or acquired buildings, personal property at acquired locations, blanket coverage at unscheduled locations, and income coverage at newly built or acquired locations. Limits for these items and coinsurance must be displayed on CO 1051–Schedule of Coverages – Commercial Output Program.

CO 1228–Property Excluded

The Property Not Covered section of the property coverage part becomes longer because of the addition of the property listed on this endorsement. The listing should be very specific in order to avoid confusion at the time of loss.

CO 1229–Named Storm Exclusion (10 07 addition)

All direct and indirect damage (not just windstorm or hail) that is caused by a named tropical storm or hurricane is excluded at the locations scheduled on this endorsement.

CO 1231–Reporting Conditions

The COP is a non-reporting coverage form. If the reporting option is selected, this endorsement must be attached to explain the applicable premium calculation and insurance company reporting requirements. The form also explains the penalties for non-compliance. CO 10 69–Reporting Schedule must be attached because it provides information needed to calculate premium and apply penalties.

CO 1232–Loss Payable Options

Use this endorsement when CO 1072–Loss Payable Schedule is attached. This endorsement explains each type of Loss payee and the responsibility of the insurance company toward that loss payee.

CO 1233–Premium Payments

This two-sentence endorsement is used on multiple year or continuous policies. It states that a new premium is developed each year using current rates.

CO 1234–Multiple Deductible–Scheduled Perils

The property coverage part deductible is replaced with this endorsement.

CO 1235–Multiple Deductible–Schedule Locations and Property

The property coverage part deductible is replaced with this endorsement.

CO 1236–Power, Heat, and Refrigeration Exclusion

This endorsement applies to only the income coverage part. It allows the insured to carry a lower limit of insurance because the costs of non-continuing power, heat, and refrigeration are removed from the calculation of earnings. This is particularly important when coinsurance applies.

CO 1237–Multiple Deductible – Scheduled Perils and Locations (10 07 addition)

The property coverage part deductible is replaced with this endorsement.

CO 1238–Protective Devices Endorsement

This restrictive endorsement requires that the items described in the CO 1065–Protective Devices Schedule be maintained at all times. If not, fire and theft losses at those locations are excluded except under limited circumstances.

CO 1240–Ordinary Payroll Exclusion

This restrictive endorsement is used to exclude ordinary payroll as described from coverage under the Income Coverage Part. It does not apply to executive payroll, payroll of department managers or payroll of employees under contract. When CO 1066–Ordinary Payroll Exclusion Schedule–Additional Exemptions is attached, the listed employees or employee classifications are also exempted from the Ordinary Payroll exclusion and therefore continue to be covered.

CO 1242–Ordinary Payroll Limitation

This is less restrictive than CP 1240–Ordinary Payroll Exclusion but does limit coverage for ordinary payroll to 90, 120, 150 or 180 days. CO 1067–Ordinary Payroll Limitation Schedule must be attached in order to state the number of days and to list any employees or employee classifications that are not considered as ordinary payroll and therefore continue to be covered.

CO 1247–Theft Exclusion

This restrictive endorsement excludes the peril of theft.

CO 1248–Tuition Coverage

Coverage for earnings under the Income Coverage Part is expanded to include tuition, fees and other educational services and related activities. The period of restoration is also expanded to include the full term following the loss if the repairs are not completed at least 30 days before the term begins.

CO 1250–Seasonal Leases

The Income Coverage Part is changed by expanding the definition of earnings to include seasonal rental income. CO 1068–Seasonal Leases Schedule must be attached because it lists the covered locations and applicable limits of insurance.

CO 1254–Stated Value Endorsement

The limits for the covered property found at the scheduled locations replace the valuation condition in the commercial property part.

Note: The How Much We Pay Section continues to apply.

CO 1264–Transit Backhaul

Transit coverage under the Property Coverage Part is expanded to cover the named insured's liability for property of others based on a common or contract bill of lading.

Note: The intent is to cover the occasional situation where the named insured transports its own goods and chooses to transport property belonging to others on the return trip.

CO 1270–Resident Agent Countersignature

No longer needed because of the elimination of countersignature requirements.

CO 1271–Monthly Limitation–Income Coverage

This restriction of coverage is used to limit the income coverage available in a 30-day time period to no more than the monthly limitation percentage on the schedule of coverage times the Income Coverage Part limit of insurance.

CO 1277–Vacancy or Unoccupancy Coverage

The vacancy - unoccupancy condition is amended to provide full coverage for the time period described at the scheduled location. Coverages for vandalism and/or sprinkler leakage can continue to be excluded if they are selected in the endorsement schedule.

CO 1278–Earthquake Sprinkler Leakage

This is an additional Supplemental Coverage. Direct physical loss or damage to covered property caused by sprinkler leakage is expanded to include coverage when the sprinkler leakage is a result of an earthquake. A limit and deductible must be entered on the endorsement schedule.

Note: There are no definitions and no “168 hours equals one event” statement in this endorsement. The result is that coverage applies separately to damage from each earthquake shock and aftershock; but so does a deductible.

CO 1279–Functional Replacement Cost Endorsement

Functional replacement cost basis permits the insured to replace items on a functionally equivalent basis rather than a like kind and quality basis, thereby reducing the required limit of insurance. CO 1077–Functional Replacement Cost Schedule must be attached to describe the property and provide the limit of insurance.

CO 1280–Property and Income Coverage Deductible

A variety of deductibles are provided that can apply to either property or income coverage.

CO 1281–Waiting Period–Income Coverage

A 72-hour earning waiting period is added to the period of restoration.

Note: The waiting period applies only to income coverage. Extra expense has no waiting period.

CO 1282–Overseas Transit and Location

This supplemental marine coverage provides direct physical damage from covered perils to personal property while temporarily at a foreign location including while it is in transit. A limit and deductible must be scheduled on the endorsement along with a description of the personal property that is covered.

CO 1283–Overseas Transit and Location–Property and Income Coverage

Coverage provided by this endorsement is identical to CO 1282–Overseas Transit and Location with protection expanded to income lost caused by the destruction or damage to the described property. Separate limits must be shown for the personal property and the income coverage along with a single deductible that applies to be coverage. Note: There is no explanation in the endorsement as to how the actual deductible is to be applied.

CO 1284–Research and Development Projects–Income Coverage

This Income Coverage Extension form extends earnings coverage to a loss involving a research and development project which results in the delay in the introduction or enhancement of an insured’s product. The loss must start with a covered direct physical loss to covered property.

CO 1286–Off Premises Utility Service Interruption–Coverage Limitation

This restriction removes off-premises utility service interruption coverage from the extensions of coverage on the property coverage part and from the supplemental income coverage on the income coverage part. It then adds the coverage back on either or both forms but only at a scheduled location, for the selected utilities and with the limit and deductible/waiting period shown on CO 1070–Off Premises Utility Service Interruption Schedule. There is no coverage for overhead transmission lines.

CO 1287–Installment Sales Coverage

This Supplemental Marine Coverage protects the named insured’s interest in the personal property sold under an installment sales plan while the property is in transit to and also after it has been delivered to the purchaser. The property is subject to a unique valuation section. A limit of insurance must be entered on the schedule.

CO 1288–Peak Season Increase (03 05 change)

The business personal property limit is increased to the entered limit during a specified time period entered at each scheduled location for which this treatment is needed or desired. Coverage is specific to described personal property at a scheduled location.

Related Article: Peak Season Coverage - provides an explanation of how this form helps a named insured to buy the right amount of coverage

CO 1289–Off-Site Server Coverage and Interruption of Web Site

Direct damage owned or leased off-site server coverage is provided along with Interruption coverage from any needed off-site server.

CO 1293–Limited Fungus and Related Perils Coverage

This endorsement is misnamed because it actually is introducing an exclusion and then returning a very limited amount of coverage. It excludes loss from fungus or related perils. This is an absolute exclusion because it is placed under exclusion 1. This means that even when fungus or related perils are the result of another covered cause of loss, the loss due to fungus or related perils remains excluded.

Coverage for loss caused by fungus or related perils that result from specified perils is provided on either a blanket or per location basis. This exclusion also applies to the income coverage so 30 aggregate days is provided for when a covered fungus or related perils loss causes an interruption.

Either CO 1080–Limited Fungus and Related Perils Schedule – Blanket Limit or CO 1079–Limited Fungus and Related Perils Schedule - Location Limit must be attached to complete the endorsement. The annual aggregate and the 30 days interruption may be increased on the schedules.

CO 1294–Limited Fungus and Related Perils Coverage–Equipment Breakdown

This endorsement is identical to CO 1293–Limited Fungus and Related Perils Coverage except that it applies to only Equipment Breakdown coverage.

The blanket aggregate can be increased by attaching CO 1082–Limited Fungus and Related Perils Schedule – Blanket Limit - Equipment Breakdown and entering a limit. The blanket aggregate can be changed to a location aggregate and increased by attaching CO 1081–Limited Fungus and Related Perils Schedule Location Limit - Equipment Breakdown. The 30 days interruption may also be increased on either schedule.

CO 1297–Joint Loss Agreement

If another insurer provides equipment breakdown coverage, this endorsement explains how the two insurers will handle coverage disputes so that the named insured will be paid expeditiously.

CO 1298–Income Coverage from Dependent Domestic and Foreign Locations (10 07 addition)

This customizing endorsement starts by removing dependent locations coverage from the supplemental income coverage on the income coverage part. It then adds back dependent property coverage at only the location and for the limits shown on the CP 1083–Schedule of Dependent Domestic and Foreign Locations. This coverage is not limited by the policy territory limitation. However, even when listed, there is no coverage if the location is in a country subject to any U.S. trade restriction or embargo. This endorsement also introduces a 72-hour waiting period for earnings losses although not for extra expense.CO 1083–Schedule of Dependent Domestic and Foreign Locations must be attached.