COINSURANCE CLAUSE Clause Samples
COINSURANCE CLAUSE. This clause generally provides that in consider- ation of a reduced rate, the borrower agrees to maintain insurance on his buildings up to a specified percentage (usually 80 percent) of their value and that the company will not be liable for a greater proportion of any partial loss than the amount of insurance bears to the specified percentage of either the undepreciated replacement value or the depreciated replacement value or the depreciated replacement value (ac- tual cash value) of the buildings at the time of the loss. When the buildings are insured for the specified percentage of their value, the company, in the event of a partial loss, will be liable for the full amount of the loss not to ex- ceed the amount of insurance. A coin- surance clause can be accepted only where the amount of insurance is at least equal to the specified percentage of either the undepreciated replace- ment value or the depreciated replace- ment value (actual cash value). For ex- ample, an 80 percent coinsurance clause can be accepted only where the amount of insurance on each insured building is at least equal to 80 percent of the appropriate replacement value of the insured building.
COINSURANCE CLAUSE. This clause applies separately to each item for which a coinsurance percentage is specified on the Declarations page. The Insured shall maintain insurance concurrent with this form on the property insured to the extent of at least the amount produced by multiplying the actual cash value of the property by the coinsurance percentage specified on the Declarations page, and, failing so to do, shall only be entitled to recover the portion of any loss that the amount of insurance in force at the time of loss bears to the amount of insurance required to be maintained by this clause. This clause applies only where the total loss exceeds the lesser of 2% of the applicable amount of insurance or $5,000.
COINSURANCE CLAUSE. If at the time the loss occurs there are in or on the premises at the location where the loss occurs a greater number of customers’ automobiles than the “Maximum Number of Customers’ Automobiles” stated for such location in Section E of Item 5 of the Policy or in the Certificate of Automobile Insurance, the Insurer shall not be liable for a greater proportion of the amount for which it otherwise would be liable than the “Maximum Number of Customers’ Automobiles” stated for such location bears to the total number of customers’ automobiles in or on the premises at the location at the time the loss occurs.
COINSURANCE CLAUSE. This clause applies separately to each item f or which a coinsurance percentage is specif ied on the Declarations page. The Insured shall maintain insurance concurrent with this f orm on the property insured to the extent of at least the amount p roduced by multiply ing the actual cash v alue of the property by the coinsurance percentage specif ied on the Declarations page, and, f ailing so to do, shall only be entitled to recov er the portion of any loss that the amount of insurance in f orce at the time of loss bears to the amount of insur ance required to be maintained by this clause. This clause applies only where the total loss exceeds the lesser of 2% of the applicable amount of insurance or $5,000.
COINSURANCE CLAUSE. If, at the time of any loss or damage to the Goods, there is any other current insurance, whether effected by You or any other person or persons, covering the same Goods, We will not be liable (where legally entitled) for more than the ratable proportion of the loss, damage or expense.