RULE 30.2D - SPECIAL LOSS SETTLEMENT (CO 04 56)
Applies
to: Premier - YES*, Premier Plus - NO, Premier Select - NO,
Premier Condo - NO, Premier Renters - NO
The policy may be endorsed to modify the 95% Coverage A Loss Settlement Replacement Value. The percentage may be modified to 50%, 60% or 70% without affecting loss settlement provisions.
The premium is developed by following the steps below:
1) Divide desired Coverage
A by Replacement Cost. Round down to the nearest available percentage.
This is the modified percentage for loss settlement replacement.
2) Multiply the Coverage A by the modified percentage factor (calculated
in step 1 above) listed below and round to the nearest $1,000.
|
%
of Replacement Value
|
Factor
|
|
50%
|
1.60
|
|
60%
|
1.33
|
|
70%
|
1.14
|
3) Develop the base
premium from the amount of insurance computed in step 2.
4) Multiply the base
premium by the appropriate factor below.
|
%
of Replacement
|
Factor
|
|
50%
|
.96
|
|
60%
|
.97
|
|
70%
|
.98
|
Endorsement CO 04 56 Special Loss Settlement will be attached to the policy.
* This endorsement may not be added to a Premier Policy that has an CO 04 77 Ordinance Or Law Coverage Endorsement attached.
