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Tower Group- includes a Vacancy Clause CP0017 (4/02) and also incorporates the Massachusetts Changes Endorsement CP0109 (10/00) on all their Master Policies. The vacancy clause removes coverage for vandalism, sprinkler leakage, glass, water damage and theft after 60 days. The Massachusetts Changes Endorsement removes fire and lightning after 60 days for 3 or less units and only 30 days for all other premises. The definition of vacancy for a building owner would be 31% of its total square footage. |
CP0017 (10/00)
7.
Vacancy
a. Description
Of Terms
(1) As
used in this Vacancy Condition, the term building and the term vacant have the
meanings set forth in (1)(a)
and (1)(b) below:
(a) When
this policy is issued to a tenant, and with respect to that tenant's interest in
Covered Property, building means the unit or suite rented or
leased to the tenant. Such building is vacant when it does not contain enough
business personal property to conduct customary operations.
(b) When this
policy is issued to the owner or general lessee of a building, building means
the entire building. Such building is vacant unless at least
31% of its total square footage is:
(i) Rented to a lessee or sub-lessee and used by the lessee or
sub-lessee to conduct its customary operations; and/or
(ii) Used by the building owner to conduct customary operations.
(2) Buildings
under construction or renovation are not considered vacant.
b. Vacancy
Provisions
If the building
where loss or damage occurs has been vacant for more than 60 consecutive days
before that loss or damage occurs:
(1) We
will not pay for any loss or damage caused by any of the following even if they
are Covered Causes of Loss:
(a) Vandalism;
(b) Sprinkler
leakage, unless you have protected the system against freezing;
(c) Building
glass breakage;
(d) Water
damage;
(e) Theft;
or
(f) Attempted theft.
(2) With
respect to Covered Causes of Loss other than those listed in b.(1)(a) through b.(1)(f)
above, we will reduce the amount we would otherwise pay for the loss or damage
by 15%.
A.
If “loss” is caused by fire or lightning, the Vacancy
Loss Condition is replaced by the following:
Vacancy or Unoccupancy
If the building where “loss” occurs,
whether intended for occupancy by owner or tenant, has been vacant or unoccupied
for more than:
1.
60 consecutive days for residential premises of 3 units or
less; or
2.
30 consecutive days for all other premises;
Immediately before that loss or damage, we
will not pay for the “loss”.
Buildings” are vacant when they do not contain enough business personal
property to conduct customary operations.