HO 24 72–INCIDENTAL FARMING PERSONAL LIABILITY

(July 2020)

PURPOSE

This Insurance Services Organization’s (ISO) form modifies a base HO policy’s Section II – Liability to apply to low-exposure farming operations that are performed either on- or off-premises. If the farming exposure is an off-premises operation, the exact location must be shown either on the endorsement declarations section or elsewhere in the policy.

The simplicity and brevity of this endorsement make it obvious that this form is meant strictly for minor farming exposures such as hobby farmers. Such persons typically have a very small farming operation such as:

· A handful of acres that is tended by a small tractor

· A small amount of livestock that’s used for personal consumption

· Every other weekend canning exposure for fruits and vegetables

MODIFICATION

The expanded coverage for an on- or off-premise farming operation is accomplished by eliminating the applicability of item E.2. found under the exclusions for Coverage E–Personal Liability and Coverage F–Medical Payments To Others to the operation that is specified either on the endorsement declarations section or elsewhere in the policy.

Note: The coverage is provided only as scheduled; therefore, any change in either the location or the type of operation must be reflected in the modified policy.

Example: Paul and Hanna Blandsum's home is insured under a special form HO policy that is modified by a HO 24 72–Incidental Farming Personal Liability endorsement. The current policy period runs from 05/14 to 05/14. In August, Paul submits a claim. A neighbor has sued Paul. On July 17^th, a friend was visiting the Blandsums. The friend was severely burned when a pressure-cooker exploded and the errant lid struck her face. Hanna was cooking and canning tomato sauce for several neighbors with healthy tomato harvests. The neighbors paid Hanna for the canning. The Blandsums' insurer investigates the loss and, a couple of weeks later, denies the claim. The description on the HO 24 72 was the following: A two-acre lot, 652 S. County Rd (lot located next to the Blandsums' home) containing a vegetable garden, owned and farmed by Paul and Hanna. The garden exposure includes a riding mower with a small array of farm implements. The Blandsums sell any excess vegetables, mostly peppers and potatoes. The insurer turned down the loss since it was a separate, on-premises activity (canning) that, because it involved tomatoes belonging to other persons, was unrelated to the scheduled farm activity.

The endorsement also eliminates exclusion E.4.b. for operations conducted away from premises but only for farming operations.