Businessowners Garage Coverage

American Family’s Businessowners Garage Coverage

American Family Insurance. All your protection under one roof.®

*Underwritten by American Family Life Insurance Company.

With more than thirty years of commercial lines policy experience and $15 billion in assets*, American Family offers businesses the stability, financial strength and products they need. Our 7,000 employees and nearly 4,000 agents are committed to industry-leading service, including fast and fair claims handling—the service businessowners need when they need it most.

We’re also committed to helping you control and avoid loss. When risks are identified and controlled, your insurance protection works harder at the lowest possible cost. American Family’s outstanding Loss Control and Safety Services give you access to safety specialists and customized loss prevention and reduction programs.

People have trusted American Family since 1927. American Family Mutual Insurance Company is one of the top mutual property/casualty insurance companies in the United States. We offer competitively priced protection for your business, home, auto, life and health, backed by a solid asset base and prudent investments. We build long-term relationships by keeping our promises, and by offering personal attention and coverage that’s easy and convenient.

* Source: American Family Annual Report, 2007

BuildingsCovers your described building, outdoor fixtures (e.g. light poles and flag poles), building glass, permanently installed equipment and machinery and personal property you own and use for maintenance or service of the building. Choose either Replacement Cost or Actual Cash Value coverage for your building, auxiliary buildings and structures.

Auxiliary Buildings and Structures Provides coverage for additional buildings (including storage buildings) and structures (including tanks, pumps, underground storage tanks and detached canopies) described in the declarations and located at the described premises location.

Business Personal Property Provides Replacement Cost coverage for personal property (including computers) used in your business, and leased business personal property you have a contractual responsibility to insure. If you are a tenant, coverage is also provided for building glass for which you are responsible and improvements and betterments. Covers property of others in your care, custody or control (including employees’ tools, if they are in your care, custody or control and used in your business operations at the time of loss) on an Actual Cash Value basis.

BUILDING AND/OR BUSINESS PERSONAL PROPERTY COVERAGES

“ I want to know that I have the r ight coverage for my business.”

Auxiliary Buildings Business Personal PropertyProvides Replacement Cost coverage for business personal property located in auxiliary buildings and structures. This would include the gasoline stored in underground storage tanks.

Note: Businessowners Policy requires all property be insured to 100% of the value of the property. Loss payment penalties apply if the Limit of Insurance for property insured on a Replacement Cost or Actual Cash Value basis is less than 80% of the full value of the property at the time of loss.

Covered Causes of LossYou choose the coverage that is best for your insurance needs.

Risks of Direct Physical Loss. Insures against all Covered Causes of Loss except those specifically excluded.

Named Perils. Insures against the named Covered Causes of Loss: fire; lightning; explosion; windstorm or hail; smoke; aircraft or vehicles; riot or civil commotion; vandalism; sprinkler leakage; sinkhole collapse; volcanic action and transportation loss or damage to covered property in transit.

Additional Coverages. You also receive these additional coverages that broaden your protection and increase your insurance limits.

Business Income and Extra Expense Coverage. Business Income covers the actual loss of business income you sustain while the damage is being repaired when your operations must cease because of a covered loss. Coverage applies for 12 months from the date of loss. Coverage begins 72 hours after the time that a covered direct physical loss occurs to your property at your premises. The 72 hour waiting period can be removed with an increase in premium.

Coverage also includes up to 60 days of coverage for ordinary payroll expenses and up to 30 days of Extended Business Income coverage starting from the date operations resume. The number of days that coverage is provided can be increased for each of these coverages with an increase in premium.

Extra Expense coverage pays for extra expenses you incur during the time repairs are being made that you would not have incurred had you not had a loss. This includes expenses incurred to avoid or minimize the time your business is suspended and/or to continue your operations.


Business Income from Dependent Properties. Provides up to $5,000 coverage for loss of Business Income due to a covered direct physical loss at a dependent property. The $5,000 limit can be increased with an increase in premium. Coverage begins 72 hours after the covered loss occurs. The 72 hour waiting period can be removed with an increase in premium. Dependent properties include property owned by others on whom you depend to deliver materials or services to you; accept your products or services; or attract customers to your business.

Inflation Protection. Your Building coverage automatically increases based on the Commercial Construction Cost Index. Your Business Personal Property coverage automatically increases based on the annual percentage selected.

Business Personal Property Limit – Seasonal Increase. The Limit of Insurance for Business Personal Property automatically increases by 25% to provide for seasonal variations if the Limit of Insurance is at least 100% of your average monthly values during the 12 months immediately preceding the date of covered loss.

Debris Removal. Up to 25% of the amount paid for direct damage can be applied to pay for debris removal expense following a covered loss to property at the described premises. We will pay up to an additional $10,000 plus the amount paid for the loss if the debris removal expense exceeds the Limit of Insurance or the 25% limit.

Pollutant Clean Up and Removal. Provides up to $10,000 coverage for your expense to extract pollutants from land or water at the described premises caused by a covered loss.

Increased Cost of Construction. Provides up to $10,000 coverage for the increased costs incurred to comply with enforcement of an ordinance or law in the course of repair, rebuilding, or replacement of damaged parts of a covered building following a covered loss when the building is insured for Replacement Cost. Ordinance or Law Coverage is available if more coverage is needed for a building insured for Replacement Cost.

Electronic Data. Coverage is provided for the cost of replacing or restoring electronic data which has been destroyed or corrupted by a covered cause of loss. This additional coverage is subject to a $10,000 annual aggregate limit.

Interruption of Computer Operations. Coverage is provided for Business Income and/or Extra Expense arising from a business interruption caused by destruction or corruption of electronic data by a covered cause of loss. This additional coverage is subject to a $10,000 annual aggregate limit.


The following coverage extensions are also included. They broaden your coverage and increase your insurance limits. Accounts Receivable and Valuable Papers/Records. Accounts receivable covers amounts due from customers that cannot be collected because accounts receivable records have been damaged. Valuable papers and records coverage pays for the cost of reconstructing valuable records that have been damaged or destroyed by a covered loss. The limit for on-premises loss is $10,000 while the off-premises limit is $5,000.

Personal Property Off Premises. Extends up to $10,000 for Covered Property in transit or temporarily at a premises you do not own, lease or operate. Personal Effects. Business Personal Property coverage is extended up to $2,500 for covered personal effects damaged by a covered loss, owned by you, your officers, your partners or members, your managers or your employees. This does not include employees’ tools.

Newly Acquired or Constructed Property. Extends up to $250,000 Building coverage for 30 days on similar buildings you acquire at another premises or on which you begin construction at the described premises. Extends up to $100,000 Business Personal Property coverage for 30 days on property that you newly acquire.


Coverage features and limits vary by state. Some products are not available in every state. Please check with your agent for the exact terms and conditions of your policy.

LET ME HELP YOU DETERMINE THE SPECIFIC COVERAGES AND RATES FOR YOUR BUSINESS

(Insurance Limits of 100% of Value Required) (Required Coverage)

Covered Causes of Lossq Risks of Direct Physical Loss q Named Perils

Deductible Options Policy Property Deductible applies to all property coverages exceptthose marked with an asterisk [*]. (A specific deductible applies for these coverages.) q $1,000 q $2,500 q $5,000 q $10,000 q Other $__________Note: A $5,000 deductible applies to any vandalism damages to your covered property that occur within a residential tenant’s rental unit when you are the landlord.

Building Covers the described building. q Replacement Cost or q Actual Cash Value Year Built __________ Type of Construction __________ $ $

Auxiliary Buildings and StructuresIncludes any other buildings or structures at the described premises. $ $

Business Personal Property Include Inflation Percentage __________ $ $

Auxiliary Buildings Business Personal Property Includes any other buildings or structures at the described premises. $ $

Business Income* (Included) – Increased Coverages Available:q Remove 72 hour waiting period

q Extended Number of Days for Ordinary Payroll Expenses (60 Days Included) q 90 q 120 q 150 q 180 q 270 q 360 $

q Extended Business Income – Extended Number of Days (30 Days Included) q 60 q 90 q 120 q 150 q 180 q 270 q 360 $

q Business Income From Dependent Properties ($5,000 Included) $ $

Optional Coverages/Endorsementsq Exterior Signs* $__________; Antennas $__________; Fences $__________ $

q Employee Dishonesty* ($10,000 Minimum) $ $

q Money and Securities Coverage* – Risks of Direct Physical Loss Only Inside the Premises $__________; Outside the Premises $__________ $

q Burglary and Robbery* – Named Perils Only $__________ $ $

q Utility Services – Direct Damage Water $____; Communication $____; Power Supply $____ $ $

q Utility Services – Time Element Water $____; Communication $____; Power Supply $____ $ $

q Earthquake* Deductible Percentage __________ $

q Increased On-Premises Limits for Accounts Receivable and/or Valuable Papers ($10,000 Included)

Total Limit: Accounts Receivable $__________; Valuable Papers $__________ $

q Other ______________________________________________________________ $ $

PROPERTY COVERAGE


AMOUNT OF COVERAGE

ANNUALPREMIUM





















q Other ______________________________________________________________ $ $


(Required Coverage)

Bodily injury, property damage and personal and advertising injury includingproducts/completed operations coverage is provided on a combined single limit basis.$300,000 per occurrence/$600,000 annual aggregate is included. Higher limits are available. $

q $2,000,000 per occurrence/$4,000,000 annual aggregate $


q $500,000 per occurrence/$1,000,000 annual aggregate $

Uninsured Motorists and Underinsured Motorists Coverage (Illinois Only)Select coverage limit at Garage Liability Limits or $40,000. $ $

Garagekeepers Coverageq Comprehensive Coverage. Deductible each covered Auto $ __________ Maximum Deductible any one event (Theft/Vandalism) $ __________ $

q Collision Coverage. Deductible each covered Auto $__________ $

q Legal Liability or q Direct Primary $

Optional Coverages q Other ______________________________________________________________ $ $

Total Advance Annual Premium $

Your Premium Using Commercial Lines Billing $





















q Other ______________________________________________________________ $ $

GARAGE LIABILITYINCLUDING BUSINESS LIABILITY

This is not an application for, or offer of, insurance coverage. An application to American Family Mutual Insurance Company / American Family Insurance Company will be required. Coverage features and limits vary by state. Some products are not available in every state. Please check with your agent for the exact terms and conditions of your policy.


(Required Coverage)

Bodily injury, property damage and personal and advertising injury includingproducts/completed operations coverage is provided on a combined single limit basis.$300,000 per occurrence/$600,000 annual aggregate is included. Higher limits are available. $



q $500,000 per occurrence/$1,000,000 annual aggregate $

Uninsured Motorists and Underinsured Motorists Coverage (Illinois Only)Select coverage limit at Garage Liability Limits or $40,000. $ $

Garagekeepers Coverageq Comprehensive Coverage. Deductible each covered Auto $ __________ Maximum Deductible any one event (Theft/Vandalism) $ __________ $

q Collision Coverage. Deductible each covered Auto $__________ $

q Legal Liability or q Direct Primary $

Optional Coverages q Other ______________________________________________________________ $ $

Total Advance Annual Premium $

Your Premium Using Commercial Lines Billing $

AMOUNT OF COVERAGE

ANNUALPREMIUM

This is not an application for, or offer of, insurance coverage. An application to American Family Mutual Insurance Company / American Family Insurance Company will be required. Coverage features and limits vary by state. Some products are not available in every state. Please check with your agent for the exact terms and conditions of your policy.

Optional Coverage/Endorsements(For an additional premium charge)

Outdoor Signs, Antennas and/or Fences. Provides on-premises coverage for permanent installations of exterior signs, antennas (including satellite dishes), and/or fences for covered losses.

Employee Dishonesty. Protects your Business Personal Property and Money and Securities against loss resulting from dishonest acts committed by your employees. The $10,000 limit provided can be increased with an increase in premium.

Money and Securities Coverage. Provides inside-the-premises and outside-the-premises coverage for loss caused by theft, disappearance or destruction when Risks of Direct Physical Loss property coverage is provided with limit options starting at $1,000.

Utility Services – Direct Damage. Provides coverage for direct loss or damage to covered property (Building and/or Business Personal Property) caused by the interruption of water, communication or power supply services. Coverage applies when a loss covered by the policy occurs outside of the described premises.

Utility Services – Time Element. Provides coverage for Business Income or Extra Expense caused by the interruption of water, communication or power supply services. Coverage applies when a loss covered by the policy occurs outside of the described premises.

Earthquake. Mortgage holders or other lien holders may require earthquake coverage.

Water/Sewer Backup and Sump Overflow. Provides coverage up to limit selected to cover direct physical loss or damage caused by water which backs up or overflows from a sewer or drain or water that overflows from a sump.

Garage LiabilityProvides liability coverage for accidents arising from your garage operations if you are legally obligated to pay damages because of covered bodily injury, property damage or personal and advertising injury. Liability coverage is provided for your garage operations, non-owned autos used in your garage operations including customers’ vehicles, and other related business operations. Personal or advertising injury includes coverage for false arrest, detention or imprisonment; malicious prosecution; libel and slander. Defense costs incurred by American Family on your behalf are provided in addition to the Business Liability limit selected.

Medical ExpensesProvides up to $5,000 per person coverage for first aid and necessary medical, ambulance, hospital, professional nursing and funeral service expenses due to bodily injury caused by a covered accident. This coverage can be excluded.

Garagekeepers Coverage Provides physical damage coverage up to the limit selected for your customers’ autos while in your care, custody or control.

These coverages include:

a. Collision. Covers damage due to collision between a covered auto and another object or if the auto overturns.

b. Comprehensive. Covers damage to an auto from any cause of loss except collision or if the auto overturns.

Choose either of the following options:

q Legal Liability. Pays for all damages you must legally pay due to loss to a covered vehicle left in your care while you are attending, servicing, repairing, parking or storing the vehicle in your garage operations.

q Direct Primary. Pays for damages to a covered vehicle left in your care while you are attending, servicing, repairing, parking or storing the vehicle in your garage operations whether or not you are legally liable.

LIABILITY AND MEDICAL EXPENSES

Employees as Additional InsuredsYour employees and volunteer workers are additional insureds for covered Business Liability exposures while engaged in the insured’s business activities that are within the scope of their employment.

Damage to Premises Rented to YouProvides up to $50,000 in liability protection for property damage arising out of fire to a premises while rented to you or temporarily occupied by you. This coverage can be broadened by adding the optional endorsement, Broadened Coverage for Damage to Premises Rented to You for an additional premium. The limits available begin at $100,000 and extend to $1,000,000.

AMERICAN FAMILY’S BUSINESSOWNERS GARAGE ENHANCEMENT ENDORSEMENT

COVERAGE FEATURE ENDORSEMENT LIMIT

Accounts Receivable Increased to $100,000 on Premises Increased to $50,000 off Premises Arson Reward $5,000Attached Outdoor Signs Increased to $5,000 per signBusiness Income from Dependent Properties Increased to $25,000Debris Removal Increased to $20,000Described Premises Increased to 1,000 feet limitationDetached Outdoor Signs $10,000Electronic Data Increased to $25,000Fine Arts $10,000 additional coverageFire Department Service Charge Increased to $25,000Fire Protection Devices Recharge Increased to $10,000Forgery or Alteration Increased to $10,000Interruption of Computer Operations Increased to $25,000Inventory and Appraisal $10,000Lock and Key Replacement $1,000 with a limit of $100 per key Money Orders and Counterfeit Paper Increased to $5,000Newly Acquired or Constructed Buildings Increased to $500,000Off Premises Utility Failure $10,000Ordinance or Law $50,000 – combined limit for coverages Outdoor Fences and Walls $15,000Outdoor Property Increased to $10,000 – no more than $500 per tree, shrub or plantPersonal Effects – Including Tools and Equipment Increased to $15,000Personal Property at Newly Acquired Premises Increased to $250,000Personal Property Off Premises Increased to $100,000 – up to 90 daysPersonal Property in Transit Increased to $15,000Property at Fairs or on Exhibition Increased to $25,000Preservation of Property Increased to 90 day limitSurge Protection Added perilTenant – Permanently Installed Machinery $10,000 and EquipmentSeasonal Increase (Peak Season) Increased to 50%Water/Sewer Back Up, Sump Pump Varies by stateValuable Papers and Records Increased to $100,000 on Premises Increased to $25,000 off PremisesBusiness Liability Coverage – Tenant Liability Increased to $200,000Damage to Property of Others $2,500

Coverage features and limits vary by state. Some products are not available in every state. Please check with your agent for the exact terms and conditions of your policy.

American Family Mutual Insurance Company and its SubsidiariesAmerican Family Insurance Company Home Office – Madison, WI 53783

ADB-23047—Rev.1/09

© 2009

Consider Amer ican Fami ly for your bus iness insurance needs.n Businessowners and Business Key Policies Afford a full range of coverages for business property and liabilityn Umbrella Provides additional liability protection with high limitsn Business Auto Includes liability, medical payments and physical damage coveragesn Workers Compensation Includes coverages for occupational disabilities, injuries and death (Not available in all states)n Employee Benefits Liability

L i fe Insurance

Life insurance from American Family Life Insurance Company can help protect your business from financial loss caused by the death of a businessowner, partner or key employee.

n Help pay off business debtn Funding for a buy-sell agreement

Life insurance and annuity plans can help provide financial protection to your employees and their families.

n Life insurance policies for employees (e.g., Executive Bonus)

n Traditional IRA, SEP IRA, SIMPLE IRA – tax deductible retirement plans funded with annuities

n Roth IRA – funded with an annuity

This brochure represents only a brief description of coverages. Please read the policy for exact details on coverages and exclusions.

http://www.amfam.com

Businessowners Garage Coverage

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Transcript of Businessowners Garage Coverage