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~ ~ ~~ SHOLLENBERGER & JANUZZI, LLP 2225 Millennium Way Enola, PA 17025 Telephone Number: (717) 728-3200 Fax Number: (717) 728-3400 Attorneys for Plaintiff MELISSA L. HAVENS, Individually, and as Personal Representative of the Estate of SKYLER WENGER, Deceased, Plaintiff v. Progressive, Defendant ~ P~f 1 ~ 15 ~~1~~~~R~~ n I'~.,~;,~~~,L ~~~~YrY IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA c~~~ CIVIL ACTION -LAW JURY TRIAL DEMANDED '111O'~`I YOU HAVE BEEN SUED IN COURT. If you wish to defend against the claims set forth in the following pages, you must take action within twenty (20) days after this Complaint and Notice are served, by entering a written appearance personally or by attorney and filing in writing with the Court your defenses or objections to the claims set forth against you. You are warned that, if you fail to do so, the case may proceed without you and a judgment may be entered against you by the Court without further notice for any money entered against you by the Court without further notice for any money claimed in the Complaint or for any other claim or relief requested by the Plaintiff. You may lose money or property or other rights important to you. YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCE FEE OR NO FEE. ~ r CUMBERLAND COUNTY BAR ASSOCIATION Q,IU.~ ~ IO3. /~P`~ 2 LIBERTY AVENUE C~1~j CARLISLE, PA. 17013 ~/~ ~~ ~~{~ (717) 249-3166 ~/=Li ~~~. /_~ ~ C) _ ~~ SHOLLENBERGER & JANUZZI, LLP 2225 Millennium Way Enola, PA 17025 Telephone Number: (717) 728-3200 Fax Number: (717) 728-3400 Attomevs for Plaintiff MELISSA L. HAVENS, Individually, and as Personal Representative of the Estate of SKYLER WENGER, Deceased, Plaintiff v. Progressive, Defendant IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA C~v%~ CIVIL ACTION -LAW JURY TRIAL DEMANDED ~ldTA LE HAN DEMANDADO A USTED EN LA CORTE. Si usted quiere defenderse de estas demandas expuestas en las paginas siguientes, usted tiene veinte (20) dias de plazo al partir de la fecha de la demanda y la notificacion. Usted debe presentar una apariencia escrita o en persona o por abogado y archivar en la corte en forma escrita sus defensas o sus objeciones a las demandas en contra de su persona. Sea avisado que si usted no se defiende, la corte tomaro medidas y puede entrar una Orden contra usted sin previo aviso o notoficacaion y por cualquier queja o alivio que es pedido en la peticion do demanda. usted puede perder dinero o sus propiededas o otros derechos importantes para usted. LLEVE ESTA DEMANDA A UN ABOGADO IMMEDIATAMENTE. SI NO TIENE ABOGADO O SI NO TIENE EL DINERO SUFICIENTE DE PAGAR TAL SERVICIO, VAYA EN PERSONA O LLAME POR TELEFONO A LA OFICINA CUYA DIRECCION SE ENCUENTRA ESCRITA ABAJO PARR AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. SI USTED NO PUEDE PAGAR POR LOS SERVICIOS DE UN ABOGADO, ES POSIBLE QUE ESTA OFICINA LE PUEDA PROVEER INFORMACIbN SOBRE LAS AGENCIAS QUE OFREZCAN SERVICIOS LEGALES SIN CORGO O BAJO COSTO A PERSONAS QUE CUALIFICAN. Lawyer Referral and Information Service CUMBERLAND COUNTY BAR ASSOCIATION 2 LIBERTY AVENUE CARLISLE, PA. 17013 (717) 249-3166 ,~ SHOLLENBERGER & JANUZZI, LLP 2225 Millennium Way Enola, PA 17025 Telephone Number: (717) 728-3200 Fax Number: (717) 728-3400 Attorneys for Plaintiff MELISSA L. HAVENS, Individually, and as Personal Representative of the Estate of SKYLER WENGER, Deceased, Plaintiff v. PROGRESSIVE PREFERRED INSURANCE COMPANY, IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PENNSYLVANIA NO. CIVIL ACTION -LAW JURY TRIAL DEMANDED Defendant AND NOW comes the Plaintiff, MELISSA L. HAVENS, Individually, and as Personal Representative of the Estate of SKYLER WENGER, Deceased, by and through her attorneys SHOLLENBERGER & JANUZZI, LLP, and does respectfully set forth the following: FACTS APPLICABLE TO ALL COUNTS 1. Plaintiff, MELISSA L. HAVENS, the natural mother of a deceased minor child, SKYLER WENGER, is an adult individual who resides at 1609 Wyndham Road, Camp Hill, Cumberland County, Pennsylvania. 2. Plaintiff, MELISSA L. HAVENS, is the Personal Representative of the Estate of SKYLER WENGER, by virtue of Letters of Administration granted by the Register of Wills, Cumberland County, Pennsylvania on November 15, 2011. A copy of these letters is attached hereto and incorporated by reference herein as Exhibit A. )1 3. Defendant, Progressive Preferred Insurance Company [hereinafter referred to as "Progressive", is an insurance company licensed and authorized to issue and underwrite policies to Pennsylvania motorists in accordance with the provisions of the Pennsylvania Motor Vehicle Financial Responsibility Law, 75 Pa. C.S. §1701, et. seq. Progressive does business in Cumberland County, Pennsylvania and has a listed corporate address at 6300 Wilson Mills Road, Mayfield Village, Ohio 44143. 4. On or about January 30, 2011, Defendant Progressive issued to the Plaintiff a motor vehicle insurance policy bearing policy number 22021097-1. A copy of the applicable policy is attached hereto and incorporated by reference herein as Exhibit B. 5. On October 27, 2011, Plaintiff's minor child, Skyler Wenger was struck by a private passenger motor vehicle being operated by Richard Hughes. 6. The Plaintiff asserted an underinsured motorist claim under the policy of insurance issued to the by Defendant Progressive. 7. The Progressive policy issued to the Plaintiff covers only one vehicle. 8. The Progressive policy issued to the Plaintiff has bodily injury liability limits of $100,000 per person. 9. The Progressive policy issued to the Plaintiff has a Declaration of Coverage page which purports to limit the Plaintiffs underinsured motorist coverage to $15,000. 11. Plaintiffs contend that Progressive should have to pay $100,000 in underinsured benefits to the Plaintiff because: a. Defendant Progressive has not produced proof that the Plaintiff requested in writing the issuance of underinsured motorist coverage in amounts equal to or less than the limits of the applicable limits of liability for bodily injury as required by 75 Pa. C.S. §1734. WHEREFORE, the Plaintiff, MELISSA L. HAVENS, Individually, and as Personal Representative of the Estate of SKYLER WENGER, Deceased, respectfully requests this Honorable Court to issue an Order in the nature of Declaratory Relief that requires Progressive to extend $100,000 in underinsured benefits to the Plaintiff. Respectfully submitted, SHOLLENBERGER & JANUZZI, LLP Attorneys for Plaintiff By: Timoth A. I erger, Esq. Attorn y I.D. #34343 2225 Millennium Way Enola, PA 17025 (717) 728-3200 (717) 728-3400 (fax) Dated: .F~b ~ ~~ 2 ~ ~3 CERTIFICATE OF GRANT OF LETTERS ADMINISTRATION No . 2011- 01228 PA No. 21- 11- 1228 Estate Of : SKYLER JAMES WENGER /First. M;aldAe, test/ Late Of : LOWER ALLEN TOWNSHIP CUMBERLAND COUNTY Deceased Social Securi ty No: 20$-76-2056 WHEREAS, SKYLER JAMES tNENGER (First, AlidWe, test) Late of LOWER ALLEN TOWNSHIP CUMBERLAND COUNTY died on the 28th day of October 20.11 and, WHEREAS, the grant of Letters of Administration is required for the administration of the estate. THEREFORE, I, GLENDA EARNER STRASBAUGH , Register of Wi 11 s in and for CUMBERLAND County, in the Commonwealth of Pennsylvania, have this day granted Letters of Administration to: MEL/SSA L HAVENS who has du.Iy qualified as ADMINISTRATOR (RIX) of the estate of the above named decedent and has agreed to administer the estate according to law, all of which fu11y appears of record in my office at CUMBERLAND COUNTY COURT HOUSE, CARLISLE, PENNSYLVANIA. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the seal of my office on the 15th day of November 2017. (FIRST, .MIDDLE, LAST) r i t ,~ HOSTETLER AGENTS BR 30Q 5 PROGRESS AVI HARRISBURG, PA 17109 MELISSA t HAVENS 1609 WYNDHAM DR CAMP HILL, f'A 17011 Auto insurance Coverage Summary This is your Renewal Declarafi'rons Page Pri~~iYT~J~~ OR/Y£'lnsurance Policy Number: 22021097-t Underwritten by: Progressive Preferred Insurance Co June 22, 2011 Policy Period: Jul 30, 2011 -Jan 30, 2012 Page 1 of 3 ~-7n-~s7-s~a~ HOSTETLER AGENTS BR Contact your agent for personalized service. prggressiveagentcom Online Service Make payments, check billing activity, update policy information or check status of a claim. 1-800-274-~d99 To repbR a claim. The coverages, limits and policy period shown apply only if you pay for this policy to renew. Your coverage begins on luly30, 2011 at 12:01 a.m. This policy expires on January 30, 2012 at 12:01 a.m. Your insurance policy and any policy endorsements contain a full explanation of your coverage. The policy contract is form 9610A PA (05/06). The contract is modified by formsZ445 PA (03/07}, 2538 (1.0/08}, 2763 PA (05/09} and 4884 (10/08} COLLISION t©VERAGE FOR RENTAL VEHICLES IF THIS POLICI( PROVfDES COLLISION COVERAGE, lT WILL APPLY TO VEHICLES YOU :RENT, BUT NOT TO VEHICLES RENTED FOR b MONT1tS OR MORE. FRAUD NOTICE Any person wtto knowingly and wish intent to defraud any insurance company or otherperson files an application for insurance ocstatement of claim containing any materially false information. or conceals for the purpose of misleading, information concerning any fact material thereto commits a fraudulent insurance ad, which is a crime and subjects such person to ~iminaf and civil penalties. Underwriting Company Progressive Preferred Insurance Co P:O. Box 6807 Cleveland , OH 44101 1-800-876-5581 Drivers and household residents Additional information .....................................................................................:................... MELISSA L HAVENS First Named insured Fprm 6489 FA (t ~/': o? Poiicy Number: 22D21091-t MELISSA t HAVENS Paget of 3 Outline of Coverage 2006 Nissan Xterra VIN 5N1AN08W56C514282 Primary use of the vehicle: Commute '~imits Dedu[tible Premium liability To Others $366 Bodily Injury Liability $104,000 each person/$300,OOO eachaccidern Property Damage. Liability $100,000 each accident First Party Benefits 130 Medics! Expenses $25,000 each person Income loss $2,500 each monthl$SO,D00 maximum 26 Funeral Benefit .....................:............................................... $2,500 each person ................................................................... 1 ............................:........ Accidental Death $5,000 2 Uninsured Motorist -Nonstacked $15,000 each persoN$30,OOO each accident 6 Underinsured Motorist -Nonstacked • $1.5,000 each person/$30,DOO~each accident 12 ..................................................................... Comprehensive .... Actual dash Value : : : $100 32 .....:..................................:..::.:...................... Collision : ... .... ........................................................ .. Actual Cash Value .................................:... $500 266 .............. .............:........................................ Rental Reimbursement ...P....................y......................Y........,:..:.... u to'$30 each da /maximum 30 da s .~................................... 20 Total 6 inotrth policy premium 5861.00 Discount if paid infull -134.OD Total ~6 month policy premium ff paid in full ~ ~ ~ ~ ~ ~ ~ ~ • ~ ~ • ~ $727.00 ~relitliint diSCOUntS Pdicy 22021097-1 Continuous Insurance: Platinum, Advance Quote, Papedess and Home Owner Vehicle 200b Nissan Anti-Theft Device and Airbag Xterra lienholder ii~rfonnation We send certain notices such as coverage summaries and cancellation notices to the following: Vehicle Lienholder .............................................:................................................................................................................... 2006 Nissan Xterra MEMBERS tST,fCt1 SNtAN08W56C514282 MECHAN1tSBURG, PA 17055 Tort Option This policy provides limited tort insurance. Information Regarding Your Premium A surcharge of $269.00 due to violations or accidents is included in the total policy premium. roan 6489 PA (12/1 C) COniinued Policy Number X2021097-1 MELISSA L HAVENS Page3 of 3 Notice of Available Premium Discounts You may be eligible for discounts mandated by Ad 6 of 1990: • on first party benefitstoverage if your car is equipped with a passive restraint system • on comprehensive coverage 'rf your car is equipped with a passive anti-theft device • if all named insureds are 55 or older and have successfully completed a motor vehicle driver improvement course ' approved by PennDOT. If you have any questions about your eligibility, please contact your agent. Company officers President Secretary Form 64$9 DA (12/101 ~w~~u~~~M~~~w PENNSYLVANIA AU70 POLICY ~~90GHEJI!(/E' Fam 9610A PA X05106) version 2.0 e INSURING AGREEMENT ............................................... 1 GENERAL DEFiNMt)NS . . ............................................. 1 PART I - t1ABILITY TO OTHERS Insuring Agreement... ....... ................ .......... .....2 Additional Definition . .... ... .. ............... ......... 3 Additional Payments . ................. ...... , ............... 3 Exclusions ...... ...............................................3 Limits of Liability .................................................... 4 Financial Responsibility Laws ......................................... 5 Otherlnsuranc~e ....................................................5 Out-of-State Coverage ..............................................6 PART it - FIRST PARTY BENEFITS COVERAGE Insuring Agreement -First Party Benefits Coverage ....................... 6 Insuring Agreement -Combination Fist Party Benefits Coverage............ 6 Insuring Agreement -Extraordinary Medical Benefits Coverage ............. 6 Addfional Definitions...... ...................... .. .......... 7 Exclusions ........ ............. ,................. ..........8 Limits of Liability.. .. ........ ................................ . .. 9 Otherlnsurance ....................................................9 Priority of Policies .................................. . .... .........10 y PART iH - UNINSUREDNN[}ERINSURED MOTORIST COVERAGE Insuring Agreement -Uninsured Motorist Coverage ...................... 11 Insuring Agreement -Underinsured Motorist Coverage ................... 11 Additional Definitions ............................................... 11 Exclusions .......................... ...........................13 Limits of :Liability . ..................................................13 Otherlnsurance ...................................................15 PART tV - DAMAGE TO A VEHICLE Insuring Agreement -Collision Coverage ...............................16 Insuring Agreement -Comprehensive Coverage ........................16 Insuring Agreement -Additional Custom Parts or Equipment Coverage......17 Insuring Agreement -Rental Reimbursement Coverage ..................17 Insuring Agreement - LoaNLease Payoff Coverage ......................18 Additional Definitions ................... ..........................18 Exclusions .......................................................19 Limits of Liability ................................................... 20 Payment of Loss............ ................... ..............21 No Benefit to Bailee ................ ..... .... ... ............21 Loss Payable Clause ............. ............................,...22 OtherSources of Recovery .........................................22 Appraisal......... ....... ............. ....... .............22 PART V - ROADSIDE ASSISTANCE COVERAGE Insuring Agreement ................................................23 Additional Definitions ............................................... 23 Exclusions .......................................................23 Unauthorized Service Provider ....................................... 24 Otherlnsurance ...................................................24 PART VI -DUTIES IN CASE OF AN ACCIDENT OR LOSS .................. 24 PART VII -GENERAL PROVISIONS Policy Period and Temtory ............................... ........ 25 Changes ............................................. ....,..... 25 Duty to Re~rt Changes ....... ................. . ................. 26 Settlement of Claims ............... .. .. .. ................ 26 Terms of Policy Conformed to Statutes .... .... ......... 26 Transfer...... .......... ..... .................. .......... 26 Fraud or Misrepresentation....... ................................. 27 Payment of Premium and Fees ....... ........... . ............ 27 Cancellation ...................................................... 27 Cancellation (Refund ................................... ........ 28 Nonrenewal ...................................................... 28 Automatic Termination .............................................. 29 Legal Action Against Us... .......................................... 29 Our Rights to Recover Payment ...................................... 29 Joint and individual Interests ......................................... 30 Bankruptcy ....................................................... 30 PENNSYLVANIA Al1Ta POLIGY INSURING AGREEMENT In return for your payment of the premium, we .agree to insure you .subject to all the terms, conditions, and limitations of this policy. We wiN insure you for the coverages and the limits of liability shown on this policy's declarations page. Your policy consists of the policy contract, your insurance application, the declarations page, and all en- dorsements to this policy. GENERAL DEFfN1TbNS The following definitions apply throughout the policy. Defined terms are printed in boldface type and have the same meaning whether in the singular, plural, or any other form. 1. "Additional auto" means an auto you;becorne the owner of during the policy. pe- riod that does not permanently replace an auto shown on the declarations pie if: a. we insure all other autos;you own; b the additional auto is not covered by any other insurance policy; c. you notify us within 30 days of becoming the owner of the additional auto; and d you pay any additional premium due. An additional auto will have the broadest coverage we provide for any auto shown on the declarations page, If;you ask us to insure an :additional auto more than 30 days after you become the owner, any coverage we provide will begin at the time you,request coverage. 2. "Auto" means a land motor vehicle: a. of the private passenger, .pickup body, or cargo van type; b. designed for operation principally upon .public roads; c. with at least four wheels; and d. with a gross vehicle weight rating of 12,000 pounds or less, atxording to the manufacturer's specifications. However, "auto" does not .include step-vans, parcel delivery vans, or cargo cut- away vans or other vans with cabs separate from the cargo area. 3. "Auto business" means the business of selling, leasing, repairing, parking, s#or- ing, servicing, delivering., or testing vehicles. 4. "Bodily injury" means bodily harm, sickness, or disease, including death that re- sults from bodily harm, sickness, or disease. 5. "Covered auto" means: a. any auto or trailer shown on the declarations page for the coverages appli- cable to that auto or trailer; b. any additional auto; c. any replacement auto; or d, a #railer awried ~y yo:~. 6. "Declarations page" means the document showing your coverages, limits of li- ability, covered autos, premium, and other policy-related nforrnation. The decla- rationspage may also be referred to as the Auto Insurance Coverage Summary. 7. "Occupying" means in, on, entering, or exiting. 8. "Property damage" means physical damage to, destruction of, or loss of use of, tangible property. 9. "Relative" means: a. a person residing in the same household. as you, and related to you by blood, marriage, or adoption, and includes a ward, stepchild:, or foster child; b. a minor child in the custody of: (i) you; or (ii} a person residing in your household who is related to you; and c. your unmarried dependent children who are temporarily away from home if they intend to continue to reside in your household. j 0. "Repaacemdnt auto" means an auto that permanency replaces an auto shown on the declarations page. A replacement auto will have the same coverage as the auto it replaces if the replacemerrt auto is not covered by any other insurance policy. However,rf the auto being refaced had coverage under Part 1V -Damage To A Vehicle, such coverage will apply to the replacement auto only during the #irst 30 days after you become the owner unless you notfy us within that ~0-day period that you want us to extend coverage beyond the initial 30 days. if the auto Ding replaced did not have coverage under'Part 1V -:Damage To A Vehicle, such cover- age may be add~l, but the replac~merYt auto will have no coverage under Part IV until you notify us of the replacement auto and ask us#o add the coverage. 11. "Trailer" means anon-motorized trailer, including a farm wagon or farm imple- rnent, designed to be towed on public roads by an auto and not being used: a. for commercial purposes; b. as an offices, store, or fior display purposes; or c. as a .passenger conveyance. 12. t`We", "us", and "our" mean the underwriting company providing the insurance, as shown on the declarations page. 13. "You" and "your" mean: a a person shown as a namedinsured an the declarations page;. and b the spouse of a named insured if residing in the same household at the time of the loss. PART I - LIABILITY TO OTHERS INSURING AGREEMENT If you .pay the premium for this coverage, we will pay damages for bodily injury and property damage for which an insured person becomes legally responsible be- cause of an accident. We will settle or defend, at o~ ~r apfian, ~4ny cF^:irti"t f~~~r damages cavsYad s~,~ hzs ~a~~ I. ADDITIONAL ©EFINITION When used in this Part I: "Insured person" means: 1. you or a relative with respect to an accident arising out of the ownership, mainte- nance, or use of an .auto or trailer; 2. any person with respec# to an accident arising out of that person's use of a cow tired auto with the permission of you or a relative; 3. any person or organization with. respect only to vicarious liability for the acts or omissions of a person described !n 1. or 2. above; and 4. any Additional Interest shown on the declarations page with respect only to its li- abilityforthe acts or omissions of a person described in 1. or 2. above. ADDITIONAL PAYMENTS In addition to our limit of liability, we will pay for an insured person: 1. all expenses we incur in the settlement of any claim or defense of any lawsuit; 2. the premium on any appeal band or attachment bond required in any lawsuit we de#end. We have no duty to purchase a bond in an amount exceeding our: limit of liability, and we have no duty to apply for or furnish these bonds; 3. up to $250 for abail -bond required because of an acxident resulting in bodily n- jury orproperty damage covered under. this Part I: We have no duty to apply for or furnish this bond; and 4. reasonable expenses, including loss of earnings up to $20tt per day, incurred at our request. EXCLUSIONS - .READ THE FOLLOWING EXCLUSIONS CAREFULLY. IF AN EXCLUSION APPLIES, COVERAGE 'WILL NOT BE AFFORDED UNDER THIS PART I. Coverage under this Part I, including our duty to defend, will not apply to any insured person for: 1. bodily .injury or property damage arising out of the ownership, maintenance, or use of any vehicle or trailer while being used to carry persons or property for compensation or a fee, including, but not limited to, pickup or delivery of maga- zines, newspapers, food, or any other products. This exclusion does not apply to shared-expense car pools;- 2. any liability assumed under any contract or agreement by .you or a relative; 3. bodily injury to an employee of that insured person arising out of or within the course of employment. This exclusion 'does 'not apply to .domestic .employees if benefits are neither paid nor required to be provided under workers' compensa- tion, disability benefits, or similar laws; 4. bodily injury or property damage arising out of an accident involving any ve- hicle while being maintained or used by a person while employed or engaged in any au~tio business. This exclusion does not apply to you., a relative, or an agent or employee of you or a relative, when using a covered autca; 3 5. bodily injury or property damage resulting from, or sustained during practice or preparation #or: a. any pre-arranged' or orgari¢ed racing, stunting, speed, or demolition contest or activity; or b. any driving activity conducted on a permanent or temporary racetrack or race- . course; 6. bodily injury or property damage due to a nuclear reaction or radiation; 7. bodily injury or properly damage #or which insurance; a. is afforded under a nuclear energy liability insurance contract; or b. would be afforded under a nuclear energy liability insurance contract but far .its termination upon exhaustion of its limit of liability; 8. any obligation for which the United States Government is liable .under the Federal Tort Claims Act; 9. bodily injury or property damage caused by an intentional act of that insured person, or at the direction of that insured :person, even if the actual injury or damage is different than that which was intended or expected; 10. property damage to any .property owned by, rented to, being transported by, used by, or in the charge of that insured person. This exclusion does not apply to a rented residence or a rented garage; 11. bodily injury or property damage arising out ofthe ownership, maintenance, or use of any .vehicle owned. by you or famished or available for y©ur regular use, other than a covered auto for which this coverage has been .purchased; 12, bodily injury or properly>damage arising out of the ownership, maintenance, or use of any vehicle owned by a relative or famished or available forthe regular use of a relative, other than a cmvered auto for which this coverage has been purchased. This exclusion-does not apply to your maintenance or use of such vehicle; 13. bodily injury or property damage arising out of your or a relative's use of a ve- hicle, other than a covered auto, without the permission of the owner of the ve- hicle orthe person in lawful possession of the vehicle; 14. bodiily injury or property. damage arising cut of the use of a covered auto while leased or rented to others or given in exchange for any compensation. This exclu- sion .does not apply to the operation of a covered auto by you ar a relative; 15. punitive or exemplary damages; or 16. bodily injury or properly damage caused by, or reasonably expected to result from, a criminal ac4 or omission of that insured .person. This exclusion ap~ies regardless of whether that insur+ecl person is actually charged with, or convicted of, a aline. For purposes of this exclusion, criminal acts or omissions do not include traffic violations. LIMITS OF LIABILITY The limit of liability shown on the declarations page for liability coverage is the most we will pay regardless of the number of: 1. claims made; 2. covered autos; 3. insured p~*rsons; 4. l:~wsuits t~~~ought; __ 5. vehicles involved in the accident; or 6. premiums paid. If your declarations page shows a split Jim'rt: 1. the amount shown for "each .person" is the most we will pay for all damages due to bodily injury to one person resulting from any one accidettt; 2. subject to the "each person" limit, the amount shown for "each accident" is the most we will. pay #or all damages due to bodily injury sustained by-two or more persons in any one accident; and 3. the amount shown for "property damage" is the most we will pay for the total of all property damage resulting from any one accident. The "each person" limit of liability applies to the total of all claims made for bodily injury to a person and all claims of others derived from such bodily injury, in- cluding, but not limited to, emotional injury or mental anguish resulting from the bodily injury of another or from witnessing the bodily injury to another, loss of society, loss of companionship, loss of services, loss of consortium, and wrong- ful death. if the declarations pageshows that "combined single limit" or "CSL" applies, the amount shown is the'most we wiN pay for the total of all damages resumng from any one accident. However, withou# changing this limit of liability, we will comply with any law that requires us to provide any separate limits. No one is entitled to duplicate payments for the same elements of damages. Any payment to a person under this Part I will be reduced by any payment to that per- son under Part lil - Uninsured/Underinsured Motorist Coverage. If multiple auto policies issued by us are in effect for you, we will pay no more than the highest limit of liability for this coverage available .under any one policy. An auto and attached trailer are considered one auto. Therefore, the limits of liability will not be increased for an accident involving an auto that has an attached trailer. FIAIANCIAL RESPC}NSIBtLtTY LAWS When we certify this policy as proof of financial responsibility, this policy will com- ply wi#h the law to the extent required. The Insured person must reimburse us if we make a payment that we would not have made if this policy was not certified as proof of financial responsibility. OTHER INSURANCE If there is any other applicable liability insurance or bond, we will pay only cur share c;f the damages. t3ur share is the proportion that ®ur limit of liability bears to the total of all appli- 5 cable limits.: However, any insurance we provide for a vehicle ar trailer, otherthan a cov- eredauto, will be excess over any other collectible insurance, self-insurance, or bond. OUT-(3F-STATE COVERAGE If an accident to which this Part I applies occurs in any :state, territory, or possession of the United States of America or any province or temtory of Canada, other than the one in which a covered auto is principally garaged, and the state, province, territory, or possession has:. 1. a financial responsibility or similar law requiring limits of liability fiorbodily injury or property damage higher than the limits shown on the declarations page, this .policy will provide the higher limits; or 2. a compulsory insurance or similar law.requiring anon-resident to maintain nsur- ante whenever the non-resident uses an auto in that state, proving, territory, or possession, this .policy will provide the greater of: a. the required minimum amounts and types of coverage; or b. the limits of liability under this policy. PART 11=FIRST PARTY. BENEFRS COVERAGE INSURING AGREEMENT -FIRST PARTY BENEFITS COVERAGE If you pay the premium for this coverage, we will pay the following First Party Benefits, subject to the limit of liability shown on your declarations page, for loss or expense sustained by an insured. person because of bodily injury caused by an accident and arising out of the maintenance or use of a motor vehicle: 1. medical expenses; 2. income loss; 3. funeral. benefit; and 4. accidental death benefit INSURING AGREEMENT -COMBINATION FIRST PARTY BENEFITS COVERAGE If you pay the premium for this coverage, we will pay r~daal expenses, income loss, .funeral benefit, and .accidental death benefit, subject to the combined single limit of liability shown on your declarations page, for each insured person who sustains bodily injury caused by an accident and arising out of the maintenance or use of a motor vehicle. Subject to the combined single limit of liability, the most we will pay as the funeral benefit for an insured person is $2,500, and the most ave will pay as the accidental death benefit for an insured person is $25,000. We will only pay for expenses or loss incurred within three years from the date of the accident. INSURING AGREEMENT -EXTRAORDINARY MEDICAL BENEFITS COVERAGE f : -~__ i :~.y the ~rerE3ium for this coverage, subject to the limit of liability shown an yatar __ u.: ~ ~; , ~~_;~. ~, ~~=e will pay ~~~e~ical expenses incurred by an insured .person in 6 excess of the aggregate of $100.,000 that result from bodily injury caused by an accdent and arising out of the maintenance or use of a motor vehicle, subject to the following: 1. The limit of liability shown on the declarations page for Extraordinary Medical Benefits Coverage is the most we will pay for medical expenses incurred by an insured person as the result of an accident to which this Extraordinary M~ical Benefits Coverage applies, and is subject to the following additional limits: a. an annual limit of $50,000 for medical expenses incurred by an insured person; and b. a lifetime aggregate limit of $1,000,000 for medical expenses incurred by an insured .person. However, the $50,000 annual limit shall not apply to mediical expenses covered by Extraordinary Medical Benefits Coverage that are incurred during the first 18 months of eligibility. 2. Any arnaunts .payable by us as Extraordinary Medical Benefits will be excess to any amounts available to an insured .person for icat expense under any First ,Party Benefits Coverage .provided in accordance with the Pennsylvania Motor Vehicle .Financial Responsibility Law. 3. If an insured person is eligible #or Extraordinary Medical Benefits Coverage and is also eligible forbenefits under the Pennsylvania Catastrophic Loss Trust Fund, the combined total recovery under Extraordinary Medico{ Benefits Coverage and the Pennsylvania. Catastrophic Loss Trust Fund for medical expenses incurred by an insured person as the result of an accident shall not exceed $1,000,000. ADDITI~NAl. DEFINITIONS When used in this Part II: 1. "Accidental death benefiit" means a death benefit paid to the personal represen- tative of the insured person, should injury caused by a motor vehicle accdent result'in death within 24 months from the date of the accident. 2. "Funeral benefit" means the reasonable and necessary expenses directly relat- ed to-the funeral., burial, cremation, or other form of disposition of the remains of a deceased insured person, incurred due to the death of the insured person if death: a. results from a motor vehicle accident; and b. occurs within 24 months #rom the date of the .accident. 3. `Income loss" means 80% of actual loss of gross income of an insured person. It also includes reasonable expenses actually incurred for: a. hiring a substitute to perform services the insured person would have per- formed in connection with self-employment, in order to mitigate or reduce loss of gross income; or b. hiring special help to enable the insured person to work and mitigate loss of gross income. We will not pay for °income loss" for: a. foss of income during any period #ollowing the death of an insured person; b. expenses incurred for services periorm~d following the death of an ism: €are; person; or c. any loss of income during the first five days the insured person did not work after the accident due to the bodily injury caused by the accident. 4. "insured person" means: a. with respect to medical expenses, income loss, and funeral benefit: (i) you or any relative; and (ii) any other person: (a) while occupying your covered auto with the express or implied permission of you or a relative; or (b) while not occupying a motor vehicle if injured as a result of an ac- cident which occurs in Pennsylvania involving your covered auto. This does not apply if your covered auto is parked and unoccupied at the ..lime of the accident unless it was parked in a manner as to create an unreasonable risk of .injury; and b. with respect to an accidental death benefit, you or any relative. 5. "Medical expense" means the reasonable charge for necessary medical treat- . merit and rehabilitative services, including, but not limited to: a. hospital, dental., surgical, psychiatric, psychological,. osteopathic, ambulance, chiropractic, and nursing services; b. licensed physicaltherapy, vocational rehabilitation, occupationaltherapy, speech pathology and audiology therapy, and optometric services; and c. medications, medical supplies, and prosthetic devices; all without limitation as to time, provided that, within 18 months from the date of the accident causing bodily injury, it is ascertainable, with reasonable medical probabilit~r, that further medical expense may be incurred as a result of the bodi- ly injury. "Medical. expense" may include any non-medical. remedial care and treatment rendered in accordance with a recognized religious method of healing. 6. "Motor vehicle" means aself-propelled vehicle, operated or designed for use up- on public roads. However, motor vehicle does not include a vehicle operated: a. by muscular power; or b. on rails or tracks. 7. "Your covered auto" means a motor: vehicle for which you have purchased: a. Part I -Liability To Others Goverage if the motor vehicle is: (i) owned by you; or (ii) shown on the declarations page; and b. First Party Benefits Coverage as'requred under the Pennsylvania Motor Ve- hicle Financial Responsibility Law. EXCLUSIONS -READ THE FOLLOWING EXCLUSIONS CAREFULLY. IF AN EXCLUSION APPLIES, COVERAGE WILL NOT BE AFFORDED UNDER THIS PART Il. We do not provide any First Party Benefits under this Part LI for bodily injury: 1. sustained by any person while intentionally causing or attempting to cause bodily injury to: a. himseir` or herself; or b. any other person; 8 ~~ 2. sustained by any person while committing a felony; 3. sustained by any person while seeking to elude lawful apprehension or arrest by a law enforcement official; 4. sustained by any person white maintaining or using a motor vehicle knowingly converted by that person. However, this exclusion does not apply to you; 5. sustained by any person who, at the #ime of the accident: a. is the owner of one or more registered motor vehicles that do not have in effect the security required by the Pennsylvania Motor Vehicle Financial Re- sponsibility Law; or b. is occupying a motor vehicle owned by that person for which the financial responsibility required by the Pennsylvania Motor Vehicle Financial Respon- sibility Law is not in effect; 6. sustained by any person maintaining or using a motor vehicle while located for use as a residence or premises; 7. sustained by any person while occupying: a. a recreational vehicle designed for use off public roads; or b. a motorcycle, moped, or similar type vehicle; 8. caused by or as a consequence of: a. any discharge of a :nuclear weapon; b. war.(whetherdeclared or undeclared; c. civil war; d. insurrection; or e. rebellioh ar revolution; or 9. from or as a consequence of the following whether controlled or un~rrtrolled or however caused: a. nuclear reaction; b. radiation; or c. radioactive .contamination. LIMITS OF LIABILITY The limit of liability shown on the. declarations pie #or each First Party Benefit under this Part II is the most we sha11 pay. for that benefit to or for each insured person as the result of any one accident, regardless of the number of: 1. claims made; 2. covered autos; 3. lawsuits brought; 4. vehicles involved in the accident; 5. premiums paid; or 6. insurers providing first party benefits. OTHER INSURANCE i~o one will be entitled to recover duplicate payments for the same elements of loss u~:~erthis or ~~.ny ot'r~or similar automobile insurance, including self-.insurance. 9 Any amount payable under this Part II shall be excess over any amounts paid, pay- able ar required to be .provided to an insured person under any workers' compen- sation law or similar law. Consistent with the duty of an insured person to cooperate with us in any matter concemrtg a claim, an insured person presenting a claim un- derthis Part 11 shall, when eligible for workers' compensation benefits, make applica- #ion for same with bath the insured person's employer and workers' compensation insurer. PRIORITY OF POLICIES If there is other First Party Benefits Coverage, we will pay .benefits under this Part II in acxordance with the order of priorities set #orth by the Pennsylvania Motor Vehicle Financial Responsibility Law, as amended. We wilt not pay benefits if there is another insurer at a higher level of prior trtyy. The order of priority is: First The insurer providing benefits to the insured person as a named insured. Second The insurer providingbenefits'#o the insured person as a relative who is not a named insured under another policy providing coverage under the Penn- sylvania Motor Vehicle Financial Responsibility Law. Third The insurer of the motor vehicle which the insured person is ocxupying at the time of the accident. Fourth The insurer providing benefits on any motor vehicle involved in the accident if the insured person is: a. not occupying a motor vehicle; and b. not entitled to payment of first party benefits under any other motor ve- hicle policy. An unoccupied parked motor vehicle is not a motor vehicle involved in an accident within this Fourth priority unless. it was parked in a manner as to cre- ate an unreasonable risk of injury. If two or more policies have equal priority within the highest applicable priority level: 1. The insurer against whom the claim is first made shall process and pay the claim as if wholly responsible. The insurer is thereafter entitled to recover contribution on a pro rata basis from any other insurer for the benefits paid and the costs of processing the claim. If contribution is sought among insurers responsible under the Fourth priority, proration shall be based on the number of involved motor ve- hicles. 2. if we are the insurer against whom the claim is first made, our payment to or for an insured person will not exceed the applicable limit of liability for coverage un- der this Part II shown on the declarations page, or if you. have purchased Ex- traordinary Medical Benefits Coverage, the applicable limit of liability. 3. The maximum recovery under a)I policies may not exceed the amount payable under the policy vrith the highest dollar limits of benefits. 10 ~'' , PART 111 - UNINSURED/UNDERINSURED MOTORIST COVERAGE INSURING AGREEMENT -UNINSURED MOTORIST COVERAGE If you pay the premium for. this coverage, we will pay for damages that an insured person is legally entitled to recover from the owner or operator of an uninsured ma for vehicle because of bodily injury: 1. sustained by an :insured person; ~. caused by an accident; and 3. arising out of the ownership, maintenance, or use of an uninsured motor vehicle. INSURING AGREEMENT -UNDERINSURED MOTORIST COVERAGE If you pay the premium for this coverage, we wi11 pay for damages that an insured person is legally entitled to recover from the owner or operator of an underinsun~;d motor vehicle because of bodily injury: 1. sustained by an insured person; 2. caused by an accident; -and 3. arising out of the ownership, maintenance, or use of an underinsured motor ve- hicle. An insured persa-n must not'rfy us in writing at least 30 days before entering into any settlement with the owner or operator of an uninsured motor vehicle ar underin- cured motor vehicle, or any liability insurer. In order to preserve our right of subroga- ' tion, we 'may elect to pay any sum offered in settlement by, or on behalf of, the owner or operator of an uninsured motor vehicle or underinsured motor vehicle. If we do this, the insured person shall assign to us all r'~ghts that insured person has against the owner or operator of the. uninsured motor vehicle or underinsuned motor ve- hicle, to the extent of our payment. No judgment or settlement for damages arising out of a lawsuit brought against an owner or operator of an uninsured mo#or vehicle or underinsured rr~tor vehicle shall be binding on us unless we have: 1. received reasonable notice of the filing of the lawsuit resulting in the judgment; and 2. had a reasonable opportunity to protect our interests in the lawsuit. ADDITIONAL. DEFINITIONS When used in this Part III: 1. "Insured person" means: a. you or a relative; b any person while operating acovered -auto with the permission of you or a relative; c. any person occupying, but not operating, a covered. auto; and d. any person whois entitled #o recover damages covered by this Part III be- cause of bodily injury sustained by a person described in a, b, or c above. 2. "z i. . ~ : comic lost" means ~r.~ir~ and suffering and other non-monetary detriment. 11 3. "Serious injury" means'bodily :injury resulting in death, serious impairment of a bodily #uncton, or permanent serious disfigurement. 4. "Underinsun~d motor vehicle" means a land motor vehicle or trailer of any type to which a bodily injury liability bond or policy applies at the #ime of the acadent, but the sum of all applicable limits of liability for bodily injury is less than the dam- ages that an insured person is entitled to recover from the owner or operator of the motor vehicle because of bodily injury. An "underinsured motor vehicle" does no# indude any vehicle or equipment: a. owned by you or a relative or furnished or available for the regular use of you or a relative; b. operated on rails or crawler treads; c. designed mainly for use off public roads, while nat on public roads; d. while used as a residence or premises and not as a vehicle; e. that is a covered auto; or f. that is an uninsured motor vehicle. 5. "Uninsured motor vehicle" means a land motor vehicle or trailer of any type: a. to which no bodily injury liability bond or policy applies at the time of the accdent; b. to which a bodily injury liability bond or policy applies at the time of the acci- dent, but the bonding or insuring company: {i) denies coverage; or {ii) is insolvent, or becomes insolvent within six years after the aoc~clent oaxars; c. to which a bodily injury liability bond or policy applies at the time of the acci- dent, but its .limit of liability for bodily injury is less than the minimum limit of li- ability for bodily injury specified by the financial responsibility law of the state in which the covered auto is principally garaged; or d. whose owner or operator cannot be identified and that causes an accident resulting in bodily injury to an insured person, provided that the insured person, or someone on his or her behalf: {i) reports the accident to fhe;police or civil authority within 24 hours or as soon as practicable after the accident; and {ii) notifies us within 30 days, or as soon as practicable thereafter, that the insured person has a .cause of action arising out of such acadent for damages against a person or persons whose identity is unascertainable, and sets forth the facts in support thereof. An "uninsured motor~vehicle"does not include any vehicle or equipment: a. owned by you or a relative or furnished or available for the regular use of you or a relative; b. owned or operated by aself-:insurer under any applicable motor vehicle law, except aself-insurer that is or becomes insolvent; c. operated on rails or crawler treads; d. designed mainly for use off public roads, while not on public roads; e. while located for use as a residence or premises and not as a vehicle; f. that is a covered auto; or g. that is an underinsured motor vehicle. i2 EXCLUSIONS -READ THE FOLLOWING EXCLUSIONS CAREFULLY. IF AN EXCLUSION APPLIES, COVERAGE WILL NOT'BE AFFORDED UNDER THIS PART 111. Coverage under this Part !II will .not apply: 1. to bodily injury sustained by any person while using or occupying: a. a covered auto while being used to carry persons or property for compen- sation or a fee, including, but not limited to, pickup or delivery of magazines, newspapers, food, or any other products. This exclusion does not apply to shared-expense car pools; or b. a motor vehicle that is owned by or available for the regularuse of you or a relative. This exclusion does not apply. to a covered auto that is insured un- derthis Part lll; 2. to noneconomic loss sustained by any person to whom a limited tort option applies unless the bodily injury sustained by the insured person is a serious.Injury; 3. to bodily injury sustained by you or a relative while using any vehicle, other titan a covered auto, without the permission of the owner of the vehicle or the person in lawful possession of the vehicle; 4. directly or indirectly to benefit any insurer orself-insurer under any of the following or similarlaws: a. workers' compensation law; or b. disability benefits law; 5. to any punitive or exemplary damages; or 6. to bodily injury sustained by any person if that person or the legal representative of that person settles without our written conserrt LIMITS OF LIABILITY The limit of liability shown on the declarations page for uninsured/Underinsured Mo- torist Coverage is themost we will pay regardless ofi the number ofi: 1. claims made; 2. covered autos, unless you have selected stacked coverage; 3. insured persons; 4. lawsuits brought; 5. vehicles involved in the accident; or 6. premiums paid. Nonstacked'Limits of Liability If you have selected nonstacked coverage under this Part 111, the following shall also apply: if the declarations page shows a split limit: 1. the amount shown for "each person" is the most we will pay for all damages due to bodily injury to one person; and ~3 . __ ,. 2. subject to the "each person" limit, the amount shown for "each accident" is the most we will pay for all damages due to bodily injury sustained by two or more persons in any one accident. The "each person" limit of liability includes the total of all claims made for bodily.injury to an insured person and all claims of others derived from such bodily injury, includ- ing, but not limited to, emotional .injury or mental anguish resumng from the bodily in- jury of another or from witnessing the bodiiiy injury to another, loss of society, loss of companionship, loss of services, loss of consortium, and wrongful death. If the deciaradons page shows that "combined single IimiY' or "C5L" applies, the amount shown is the most we will pay for the total of all damages resulting from any one accident. However, without changing this total limit of liability, we will comply with any law that requires unto provide any separate limits. Stacked Limits of Liability If you have selected stacked coverage under this Part I II, the following shall also apply to bodily injury sustained by you or a relatiive: 1. If you or a rein#ive sustain bodily injury while occupying a covered auto, the limit of liability shall be the .limit available under Nonstacked limits of t_iatxlit)r de- scribed above and the limit shown on the declarations page multiplied by the number of covered autos that are not involved in the accident. 2. If you or a relative sustain bodiily injury while not occupying a covered auto, the limit of liability shall be the limit shown on the declarations page multiplied by the number of covered autos. Stacked Limits of Liability shall not increase the limit of liabi ity :applicable to any in- ured person other than you or a relative. The nonstacked limits of liability will apply to any insured person other than you or a relative. As with nonstacked limits, the "each person" stacked {unit of liability includes the total of all claims. made for bodi~r injury to an insured person and all claims of others de- rived from such bodily'injury, including, but not limited to, emotional fnjury or mental anguish resulting from the bodily injury of another or from witnessing the bodily in- jury toanother, loss of society, loss of companionship, loss of services, loss of consor- tium, and wrongful death. Limits of Liability Applicable to Stacked and Nonstacked Coverage In determining the amount payable under this Part Ill, the amount of damages that an insured person is entitled to recover for bodily injury will be reduced by all sums: 1. paid because of bodily injury by or on behalf of any persons or organizations that may be legally responsible; and 2 .paid or payable because ofbodily injury under any of the following o~ ~ ~~ €i:~.r laws: a. workers'<compensation lavi ; ~:rr b. disability benefits law. 14 e, However, if an insured :person enters into a settlement agreement for an amount less than the sum of the limits of liability under all applicable bodily injury liability bonds and policies, our limit of liability for Underinsured Motorist Coverage shall not exceed the difference between the damages sustained. by the insured person and the sum of the applicable bodily injury liability limbs. The limits of liability under this Part Itl shall be reduced by all sums paid under Part I - Liability To Others. No one will be entitled o duplicate payments for the same elements of damages. If rnumple auto policies issued by us are in effect for you, we wiN pay no more than the highest limit of liability for this coverage available under any one policy. OTHER INSURANCE if there is other applicable similar insurance available under more than one policy or provision of coverage, the following .priorities of recovery apply: First The uninsured or underinsured motorist coverage applicable to the motor ve- hiclethe insured person was occupying at the time of the accident. Second Any other policy affording uninsured or underinsured motorist coverage to the insured person. if two or more :policies have equal priority, the insurer against whom the claim is first made shall process and pay the claim as if wholly responsible. The insurer isthere- after entitled to recover contribution on a pro rata basis from any other insurer for the benefits .paid and the costs of processing the claim.' If nonstacked coverage is shown on the declarations page, the following additional provisions apply: 1. When there is insurance available under the First priority: a. the limit of liability applicable to the motor vehicle the insured person was occupying, under the policy in the First priority, shall first be exhausted; and b, the maximum recovery under all policies in the Second priority shall not ex- ceed the amount by which the highest limit for any one motor vehicle .under any one policy in the .Second priority exceeds the limit applicable under the policy in the First priority.; and 2. When there is no applicable insurance available under the First priority, the maxi- mum recovery under all policies in the Second priority shall not exceed the high- est applicable limit for any one motor vehicle under any one policy. 15 PART IV - DAMAGE TO A VEHICLE INSURING AGREEMENT -COLLISION COVERAGE If you pay the premium for this coverage, we will pay for sudden, direct, and acciden- tal loss to a: 1. covered auto, including an attached trailer; or 2. non-owned auto; and its custom parts or equipment, resulting from collision. In addition, we-will pay the reasonable cost to .replace any child safety seat damaged in an accident to which this coverage applies. INSURING AGREEMENT - COMRREHENSIVE COVERAGE If you pay the premium for this coverage, we will pay for sudden, direct, and acciden- tal loss to a: 1. covered auto, including an attached trailer; or 2. non~wned auto; and its custom parts or equipment, that is not caused by collision. A loss not caused by coliision includes: 1. contact with an animal (including a bird}; 2. explosion or earthquake; 3. fire; 4. malici©us mischief or vandalism; 5. missiles or falling objects; 6. riot or civil commotion; 7. theft or arceny; 8. windstorm, hail, water, or flood; or 9. breakage of glass riot caused by collision. In addition, we will pay for: 1. reasonable transportation expenses incurred'by you if a covered auto is stolen; and 2. loss of use damages thatyou are legally liable to pay if a non-owned auto is sto- Een. A combined .maximum of $900, .not exceeding $30 per day, wiN apply to these addi- #ional bene#its. The additional benefit for transportation expenses will not apply if you purchased Rental Reimbursement Coverage for the stolen covered auto. Coverage. far transportation expenses and loss of use damages begins 48 hours after you report the theft to us and ends the earliest of: 1. when the auto has been recovered and returned to you or its owner; ?_. when the E~:~tc~ has been recovered and repaired; 3. when the auto has been replaced; or 1G 4. 72 hours after we make an offer to settle the loss if the auto is deemed by us to be a total loss. We must receive written proof of transportation expenses and loss of use damages. INSURING AGREEMENT - ADDITIQNAL CUSTOM PARTS (}R EQUIPMENT COVERAGE We will pay for sudden, direct, and accidental loss to custom parts or equipment on a covered auto for which this coverage has been purchased: This coverage applies only if you have purchased both Comprehensive Coverage and Collision Coverage for that covered auto and the loss is veered under one of those. coverages. This cov- erageapplies in addition to any coverage automatically provided for custom parts or equipment under Comprehensive Coverage or Collision Coverage. INSURING AGREEMENT -RENTAL REIMBURSEMENT COVERAGE We will reimburse rental charges incurred when you rent an auto from a rental agency or auto repair shop due to a loss to a covered auto for which Rental Reimbursement Coverage has been purchased. This coverage applies only if you have .purchased both Comprehensive Coverage and Collision Coverage for #hat covered auto and the loss is covered .under one of those coverages. Additional fees or charges for insurance, damage waivers, optional equipment, fuel, or accessories are not covered. This coverage is limited to the each day limit shown on the declarations .page for a maximum of 30 days. If Rental Reimbursement Coverage applies, no other coverage under this policy for rental expenses will apply. Rental charges will be reimbursed beginning:.. 1. when the covered auto cannot be driven due to a ioss; or 2. if the covered auto can be driven, when you deliver the covered auto to an auto repair shop or one of our Claims Service Centers for repairs due to the loss; and ending the earliest of: 1. when the covered auto has been returned to you; 2. when the covered auto has been repaired; 3. when the covered auto has beers replaced; 4. 72 hours after we make an offer to settle the loss if the covered auto is deemed by us to be a total loss; or 5. when you incur 30 days worth of rental charges. You must provide us written proof of your rental charges to be reimbursed 17 ~. INSURING AGREEMENT -LOAN/!.EASE PAYOFF COVERAGE If you pay the premium for this coverage, and the covered auto for which thiscover- agewas purchased is deemed by us to be a Total loss, we will pay, in addition to any amounts otherwise payable under this Part IV, the difference between: 1. the actual cash value of the covered auto at the time of the total loss; and 2. any greater amount the owner of the covered auto is legally obligated to pay un- der awritten .loan or lease agreement to which the covered auto is subject at the time of the total loss, reduced by: a. unpaid finance charges ar refunds due to the owner for such charges; b. excess mileage charges or charges for wear and tear; c. charges for extended warranties or refunds due to the owner for extended warranties; d. charges for credit insurance or refunds due to the owner for credit insurance; e. past due payments and charges for past due payments; and f. collection or repossession expenses. However, our payment under this coverage shall not exceed the limit of liability shown on the declarations page. The limit of .liability is a percentage of the actual cash value of the covered auto at the time of the loss. This coverage applies only if you have purchased both Comprehensive Coverage and Collision Coverage'for that covered auto and the loss is covered under one of those coverages. ADDITIONAL DEFtNIT10NS When used in this Part IV: 1. "Collision" means the upset of a vehicle or its impact with another vehicle or object. 2 "Custom parts or equipment' means equipment, devices, aa:essories, enhance- ments, and changes, other than those that are offered by the manufacturer specifi- cally for that auto model, or that are installed by the auto dealership as part of the original sale of a new auto, that: a. are permanently installed or attached; and b. alter the appearance or performance of the auto. 3. "Mechanical parts" means operational parts on a vehicle that wear out over time or have a finite useful life or duration typically shorter than the life of the vehicle as a whole. Mechanical parts do not include external crash parts, wheels, paint, or windshields and other glass. 4. "Non-owned auto" means an auto that is .not owned by or furnished or available for the regular use of you or a relative while' in the custody of or being operated by you or a relative with the pu'rmisson of the owner of the auto or the person in lawful possession of the a~pfi~. 1S EX~L4l~IONS -READ THE FpLEfJWING EXCLUSIONS CAREFULLY. IF AN EXCLUSIC3N APPLfES, C01~ERAGE WILL NOT BE AFFORDED UNDER THIS PART N. Coverage under this Part IV will not apply for loss: 1. to any vehicle while being used to carry persons or property for compensation or a fee, including, but not limited to, pickup or delivery of magazines, newspapers, food, or any other products. This exclusion does not apply toshared-expense car pools; 2. to a non-owned auto while being maintained or used by a person while em- ployed or engaged in any .auto business.; 3. to any vehicle resulting from, or sustained during practice or preparation for. a. any pre-arranged or organized racing, stunting, speed, or dernalition contest or activity; or b. any driving activity conducted on a permanent or temporary racetrack or race- course; 4. to any vehicle for which insurance: a. is afforded urxier a nuclear energy liability insurance contract; ar b. would be afforded under a nuclear energy liability insurance contract but for its termination upon exhaustion of its limit of liability; 5. to any vehicle caused by an intentional act committed by or at the direction of you, a relative, or the owner of a non-awned auto, even if the actual damage is differ- entthan that which. was intended or expected; 6. to a covered auto while it is leased or rented to others or given in exchange for compensation. This exclusion does not apply to the operation of a cttivered -auto by you or a relative; 7. due to destruction or confiscation by governmental or civil authorities of any ve- hicle because you or any relative engaged in illegal acWities; 8. to any vehicle that is due and confined to: a. wear and tear; b. freezing; c. mechanical, electrical, or electronic breakdown or failure; or d. road damage to tires. This exclusion does not apply if the damage results from the theft of a vehicle; 9. to portable equipment, devices, accessories, and any offer personal effects that are not permanently installed. This includes, but is not limited to: a. tapes, compact discs, cassettes, DVDs, and other recording or recorded media; b. any case or other .container designed for use in storing or carrying tapes, compact discs, cassettes, DVDs, or other recording or recorded media; c. any device used for the de#ection or [ocatian of radar, laser, or other speed measuring equipment or its transmissions; and d. CB radios, telephones, two-way mobile radios, DV© players, personal com- puters, personal digital assistants, or televisions; 10. to any vehicle for diminution of value; 11. to any vehicle caused directly or indirectly by: a. war (declared or undeclared) or civi war; ~9 ,~ b. warlike action by any mil~ary force of any government, sovereign or other au- thority using military personnel or agerjts. This includes any action taken to hinder or.defend against an actual or expected attack; or ~ c. insurrection, rebellion, revolution, usurped power, or any action taken by a governmental authority to hinder or defend against any of these acts; 12. to any vehicle caused directly or indirectly by: a. any accidental or intentional discharge, dispersal ar release of radioactive, nuclear, pathogenic or poisonous biological material; or b. any intentional discharge,: dispersal or release of chemical or hazardous ma- terial for any purpose other #han its safe and useful .purpose; or 13. to any vehicle caused by, or reasonably expected to result from, a criminal act ar omission of you, a relative, or the owner of a non-owned auto. This exclusion i applies regardless of whether you, the relative, or the owner of the non-owned f auto is actually charged with, or convicted of, a crime. For purposes of this exclu- sion, criminal acts or omissions do not indude traffic violations. LIAAITS OF LIABILITY 1. The limit of liability for loss to a covered auto, non-owned auto, or custom parts ' or equipment is the lowest of: a. the actual cash value of the stolen or damaged property at the time of the loss reduced by the applicable deductible; b. the amount necessary to replace the stolen or damaged property reduced by the applicable deductible; c. the amount necessary to repair the damaged property to its pre-foss condi- tion redut~d by-.the applicable deductible; or d. the Stated Amount shown on the d~larations page for that covered auto. However, the most we will pay for loss to: a. custom parts or equipment is $1,000 unless you purchased Additional Custom Parts or Equipment Coverage ("ACPE"). 1f you purchased ACPE, the most we wiMl pay is $1,000 plus the amount of ACPE you purchased; b a trailer is the limit of liability shown on the declarations page for that trailer. If the trainer is not shown on the declarations page, the limit of liability is $500. 2. Payments for =loss to a covered.-auto, non~wned auto, or custom parts or equipment are subject to the following provisions: a. if coverage applies to a non-owned auto, we will provide the broadest cov- e. erage applicable to any covered auto shown on the declarations page. b. If you have elected a Stated. Amount far a covered auto, the S#ated Amount is the most we will pay for all loss to that covered auto, including its custom parts or equipment c. Coverage for custom parts or equipment will not cause our limit of liability for loss #o an auto under this Part 1V to be increased to an amount in .excess of the actual cash value of the auto, including its custom parts or equipment. d. In determining the amount necessary to repair damaged property to its pre- loss condition, the amount to b? paid by ras: ~ will not exceed the prevailing campetifiive labor rates charged in the area ~~ ~. , where the property is to be repaired and the cost of repair or replacement parts and equipment, as reasonably detem~ined by us; and {ii) wi8 be based on the cost of repair or replacement parts and equipment which may be new, reconditioned, remanufactured, or used, including, but not limited to: (a) original manufacturer parts or equipment; and {b) nonorginal manufacturer parts or equipment. e. To determine the amount necessary to repair or replace the damaged proper- ty as referred to in subsection 1, the total cost of necessary. repair or replace- mentmay be reduced by unrepaired prior damage. Unrepared prier damage includes broken, cracked, or missing parts; rust; dents; scrapes; gouges; and peeling paint. The reduction for unrepaired prior damage is the cost of labor, parts, and materials necessary to repair or replace damage, deterioration, de- fects, or wear and tear on exterior body parts, windshields and other glass, wheels, and .paint, that existed prior to the accident and that is eliminated as a result of the repair or replacement of property damaged in the loss. f. To determine the amount necessary to repair or replace the damaged proper- ty as referred to in subsection ~, an adjustment may be made for betterment or depreciation and physical condition on: (i} batteries; {ii) tires; {iii} engines and transmissions, 'rf the engine has,greater than 8(?,0~ miles; and {iv) any other tt~chanical parts that are nonfunctioning or inoperative. We will not make an adjustment for the'labor.costs associated with the re- placement orrepair of'these parts. g. The actual cash value is determined by the market value, age, and ~ndtion of the vehicle alt the time the loss occurs. 3. No deductible will apply to a loss to window glass when the glass is repaired n- stead of replaced. 4. Duplicate recovery for the same elements of damages is riot permitted. PAYMENT OF LOSS We may, at our option: 1. pay for the .loss in money; or 2. repair or replace the damaged or stolen property. At our expense, we may return any recovered stolen .property to you or to the address shown on the declarations page, with payment for any damage resulting from the theft. We may keep a!I or part of the property at the agreed or appraised value. Inie may settle any loss with yora or the owner or lienholder of the property. NO BENEFf i T'O BAILEE Coverage under this Part IV will not dir~;cly or indirectEy benefit any carrior or o~~her bailee for hire. 21 ., LOSS PAYABLE CLAUSE Payment under this Part IV for a loss to a covered auto will be made according to your interest and the interest of any lienholder shown on the declarations page or designated by you. At our option, payment maybe made to both jointly, or to either separately. Either way, we will .protect the interest of Exjth. However, if the covered au- to is not a total loss, we may make payment to you and the repairer of the auto. Protection of the lienhokler's financial interest will not be affected by any act or omis- sion by any person entitled to coverage under this policy. However, protection. under this clause does not apply: 1. in any case of conversion, embezzlement, secretion, or willful damaging or de- struction, of the covered auto by or at the direction of you, a relative, or the own- er of the covered auto; or 2. to any loss caused by, or reasonably expected to result from, a criminal act or omission of you, a relative, or the .owner of the covered auto. This applies re- gardless of whether you, the relative, or the owner of the covered auto is actu- ally charged with, or convicted of, a crime. If this policy is cancelled, nonrenewed, or voided, the interest of any lienholder under this agreement will also terminate. When v~ make :payment to a lienholder for loss under his pa{icy, we will be subro- gated to the rights of the party.. we pay, to the extent of our payment. When we pay a lienho{der for a loss for which you are not covered, we are enticed to the lienholder's right of recovery against you to the extent of our payment. Our right to subrogation will not impair the liehholder's right to recover the full amount of its daim. OTHER SOURCES OF RECOVERY If other sources of recovery :also cover the loss, we will pay only our share of the loss. Our share is the proportion that our limit of liability bears'to the total of all appli- cable limits. However, any insurance we provide for anon-owned auto, or trailer not shown on the declarations .page, will be excess over any other collectible source of recovery including, but not limited to: 1. any coverage provided by the owner of the non~wned auto or trailer; 2. any other applicable physical damage insurance; and 3. any other source of recovery applicable to the loss. APPRAISAL If we cannot agree with you on the amount of a loss, then we or you may demand an appraisal of the loss. Within 30 days of any demand for an appraisal, each,party shall appoint a competent and impartial appraiser and shat! notify the other ..party of that ap- prais^i~', ~ identity. The appraisers will determine the amount of loss. If they fail to agree, the dis ;:~ ~ernont will be submitted to a qualified and impartial umpire chosen by the 22 •. appraisers. If the two appraisers are unable to agree upon an umpire within 15 days, we or you may request that a judge of a court of record, in the county where you re- side, select an umpire. The appraisers and umpire will determine the amount of loss. The amount of loss agreed to by both appraisers, or by one appraiser and the umpire, will be binding. You will pay your appraiser's fees and expenses. We will pay our ap- praiser's fees and expenses. All other expenses of the appraisal, including payment of the umpire if one is selected, will be shared equally between us and you. Neither we nor you waive ar}y rights under this policy by agreeing to wn appraisal. PART Y -.ROADSIDE ASSISTANCE COVERAGE INSURING AGREEMENT !f you pay the premium for this coverage, we will pay for our authorized service represen- tative to provide the following services when necessary due to a covered emergency: 1. towing of a covered disabled auto to the nearest qualified repair facility; and 2. labor on a covered disabled auto at the place of disablement. if a covered disabled auto is towed to any place other than the nearest. qualified re- pair facility, you will be responsible for any additional charges incurred. ADtNT10NAL DEFINITIONS When used in this .Part V: 1. "Covered disabled auto" means a covered auto for which this coverage has been.. purchased that sustains a covered emergency. 2. "Covered emergency" means. a disablement that is a result o#: a. mechanical ar electrical breakdown; b. battery failure; c. insufficient supply of fuel, oil, water, or other fluid; d. flat tire; e. lock-out; or f. entrapment in snow, mud, water, or sand, within 100 feet of a road or highway. E!(tl_t~I~QN,,,~ -READ THE F4LLQIMNG EXCLI~SiONS CAREFULLY. IF AN EX- CLUSlONAPPLIES, COVERAGE WILL NOT BE AFFQRt)E~ UNi?ER THIS PART V. Coverage under this Part V will not apply to: 1. the cost of purchasing parks, fluid, lubricants, fuel, or replacement keys, or the la- bor to make replacement keys; 2. installation of products or material not related to the disablement; 3. labor not related to the disablement; 4. labor on a covered disabled auto for any time period in excess of 60 minutes per disablement; 5. towing or storage related to impoundment, abandonment, illegal parking, cr c'n~r violations of law; 23 ., 6. assistance with jacks.., levelers, airbags, or awnings; 7. towing from a service station, garage, or repair shop; 8. labor or repair work performed at a service sta#ion, garage, or repair shop; 9. auto storage charges; 10. a second service call or taw for a single disablement; 11. disablement that occurs on roads not regularly maintained, sand beaches, open fields, or areas designated as Wert p~~ssable due to construction, weather, or earth movement; 12. mounting or removing of snow #ires or chains; 13. tire repair; 14. repeated service calls for a covered disabled auto in need of routine mainte- nance or repair; . 15. dsablement that results #rom an intentional or willful act or action by you, a rela- tive, or the operator of a covered disabled auto; or 16. a trailer. UNAUTHOR~ED SERVICE PROVIDER When service is rendered by a provider in the business of providing roadside assis- tance and.#owing services, other than one of our authorized service representatives, we will pay only reasonable charges, as determined by us, #or: 1. towing of a covered disabled auto to the nearest qualified repair facility; and 2. labor on a covered disabled auto at the place of disablement; which is necessary due to a covered emergency. OTHER INSURANCE Any coverage provided underthis Part V for service rendered by an unauthorized ser- vice. provider will k3e excess over any other collectible insurance or towing protection coverage. PART V1-.:DUTIES IN CASE OF AN ACC~DENT'OR LOSS For coverage to apply under this policy, you or the person .seeking coverage must promptly report each .accident or loss even. if you or the person seeking coverage is not at fault. You or the person seeking coverage must provide us with all accident~oss information including time, place, and how the accident or loss happened. You or the person seeking coverage must also obtain and provide us the names and addresses of all persons involved in the accident or loss, the names and addresses of any wit- nesses, and the license plate numbers of the vehicles involved. If you or the person seeking coverage cannot identify the owner. or operator of a ve- hicle .involved in the accident, or if theft or vandalism has occurred, you or the pers©n seeking coverage must notify the police within 24 hours ar as soon as practicable. Aperson sar~:ing coversge must: 1. coo~~f ~~~ with us in any. maker concerning a claim or lawsuit; 24 ti 2. provide any written .proof of loss we may reasonably require; 3. allow us to take signed and recorded statements, including sworn. statements and examinations under oath, which we may conduct outsidethe presence of you or any other person claiming coverage, and answer-all reasonable .questions we may ask as often as we may reasonably require; 4. promptly call to notify us about any claim or lawsuit and send us any and all legal papers relating to the claim or suit; 5. attend hearings and trials as we require; 6. take reasonable steps after a loss to protect the covered auto, or any other ve- hicle for which coverage is sought, from further loss. Vile will pay reasonable ex- pensesincurred inprovding that protection. Ifi #ailure to provide such .protection re- sults in further loss, any additional damages will not be covered under this :policy; 7. allow us to have the damaged covered auto, or any other damaged vehicle far which coverage is sought, inspected and appraised before its repair or disposal; 8. submit to medical examinations at our expense by doctors we select as often as we may reasonably require; 9. submit to vocational rehabilitation examinations at our expense by rehabilitation specialists we select as often as we may reasonably require; and 10. authorize us to obtain medical and other records. PART VII -GENERAL. PROVLSIONS POLICY PERIOD AND TERRfTORY This policy applies only to accidents and losses occurring during ~e policy period shown on the declarations page and that occur within a state, temtory, or possession of the United States ofAmerica, or a province or territory of Canada, or while a covered auto or ttaler shown on the declarations page is being transported between their ports. CHANGES This policy contract, your insurance application (which is made a part of this policy as if attached hereto), the declarations page, and all endorsements to this policy issued by us, contain all the agreements between you and us. Subject to the following, the terms of this policy may not be changed or waived except by an .endorsement issued by us. The premium for this policy is based on information we received from you and other sources. You,agree to cooperate with us in determining if this information is correct and complete, and t© notify us if it changes during the policy period. If this information is incorrect, incomplete, or changes during the policy period, you agree that we may adjust your premium accordingly. Changes that may result in a premium adjustment are contained in our rates and rules. These include, but are not limited to, you or a relative obtaining a driver's license or operator's I_ rmit, or changes in: 1. the number, type, or;use classification of r~,- - ' - ~ - ~ ,:r- 2. operators using coverc.~ .. ~.:; 3. an operator's marital status; 25 4. the place of principal garaging of any covered auto; 5. coverage, deductibles, ar limits of liability; or 6. rating territory or discount eligibility. The coverage provided in your policy may be changed only by the issuance of a new policy or an endorsement by us. However, if during the ..policy period we broaden any coverage afforded under the current edition of your policy without additional premium charge, that change wltautornattcally apply to your policy as of the date the coverage change is implemented in your state. If you ask us to delete a vehicle from this policy, no coverage will apply to that vehicle as of the date and time you ask us to delete it. DUTY TO REPORT CHANGES You must promptly notify us when: 1. your mailing or residences address changes; 2. the principal garaging address for a covered auto or a trailer shown on the dec- larations .page changes; 3. there is a change with respect to the residents in your household or the persons who regularly operate a covered auto; 4. an operator's marital status changes; or 5. you or a relative obtain a driver's license or operator's permit. SETfLEMERIT OF CLAIMS We may use estimating, appraisal, or injury eualuation systems to assist us in adjusting claims under this policy and to assist us in determining the amcwnt of damages, expens- es, or loss payable under this policy. Such systems may be developed by us or a third party and may include computer software, databases, and specialized technology. TERMS OF POLICY CONFORMED TO STATUTES If any provision of this policy fails to conform to the statutes of the state listed on your application as your residence, the provision shall ~ deemed amended to conform to such statutes. All other provisions shall be given full #orce and effect. Any disputes as to the coverages provided or the provisions of this policy shall be governed by the law of the state listed on your application as your residence. TRANSFER This policy may not be transferred #o another person without our written consent. However, if a named insured shown on the declarations page dies, this policy will provide coverage until the end of the policy period for the legal representative of the reamed insured, ~7~hile acting as suci~~, and for porsons covered under this policy on the date of the named insured's death. 2e .~ FRAUD OR MlSRERRESENTATION This policy was issued in reliance upon the information provided on your insurance application. We may void this policy at any time during the first 59 days, including after the occurrence of an accident or loss, if you: 1. made incon'ect statements or representations to us with regard to .any material fact or circumstance; 2. concealed or misrepresented any material fact or circumstance; or 3. engaged(n fraudulent conduct; at the time of application. This. means that we will not be liable for any claims or dam- ages that would otherwise be covered. We may deny coverage for an accident or loss if you or a person seeking coverage has knowingly concealed or misrepresented any material fact or circumstance, or en- gaged in ftaudulent conduct, at the time of application, at any time during the policy period, or in connection with the presentation or settlement of a claim.. PAYMENT OF PREMIUM AND FEES If your initial premium payment is by check, draft, .electronic funds transfer, ar simi- larform of remittance, overage under this policy is conditioned on payment to us by the financial institution. ff the finanaal institution upon presentment does not honor the check, draft, electronic funds transfer, or similar #orm of remittance, this policy may, at our option, be deemed void from its inception. This means we will not be liable under this policy for any claims or damages that would otherwise be oovered if the check, draft, electronic funds transfer, or similar form of remittance had been honored bythe financial insgtut'ron. Any action by us to present the remittance for payment more than once shall not affect our 'right to void this policy. In addition to premium, fees may be charged on your policy... We may charge fees for installment payments, late payments, and other transactions. Payments made on your policy will be applied first to fees, then to premium due. CANCELLATION You may cancel his policy during the policy,period by ca8ing or writing us and stating the future date you wish the cancellation to be effective. We may cancel this policy during the policy period by mailing a notice of cancellation to the named insured shown on the declarations page at the last known address ap- pearing in our records. We will give at least 15 days native of caneellation if: 1. we cancel during the first 59 days of the initial policy period; or 2. the policy is cancelled fc:r nonpayment of premium. 27 We will give at least 60 days notice of cancellation in a!I other cases. We may cancel this policy for any reason if the notice is mailed within the first 59 days of the initial policy period. After this policy is in effect for more than 59 days, or if this is a renewal or continuation policy, we may cancel only for one or more of the following reasons: 1. nonpayment of premium; 2. material misrepresentation orfraud by you with respec# to any matena(fact in the procurement or renewal of this policy; 3. loss of driving privileges through suspension or revocation of an operator's license or motor vehicle registration issued #o the named insured.; 4. your place of residence or the state of registration or license of a covered auto is changed to a state or country in which we do not accept applications for the insur- ance provided by this .policy; 5. we have agreed to issue a new policy within the same ar an affiliated company; or 6. any other reason permitted by law. Proof of mailing will be sufficient proof of notice. If this policy is cancelled, coverage will not be provided as of the. effective date and time shown in the notice of cancellation. For purposes of cancellation, this policy is neither severable nor divisible. Any cancel- lation will be effective forall coverages #or all persons and all vehicles. CANCELLATION REFUND Upon cancellation, you may be entitled to a premium refund. However, our making or offering of a refund is not a condition of cancellation. (f this policy is cancelled..., any refund due. will be computed on a daily pro rata basis. However, we will. retain a cancellation fee if this policy is cancelled at your .request ar if cancellation is for nonpayment of premium. A cancellation fee will be charged only during the initial ,policy period. NONRENEWAL If neither we nor one of our affiliates offers to renew or continue this policy, we wil! mail notice of nonrenewal to the named insured shown on the declarations..page at the last known address appearing in our records. Proof of mailing w(II be sufficient proof of notice. If nonrenewal is due to nonpayment of premium or foss of driving privileges through suspension or revocation of the named insureds operator's license or motor vehicle registration, notice will be mailed at least 15 days before the end of the policy period. If nonrenewal (s due to any other reason, notice will be mailed at least 60 days before the end of the policy period. 2~ AUTOMATIC TERMINATION If we or an affiliate offers to renew or continue this policy and you or your represen- tatvedoes not accept, this policy will automatically terminate at the end of the current policy period. Failure to spay the required renewal or continuation premium when due will mean that you have not accepted our offer. If a covered auto is sold or transferred to someone other than you or a relative, any insurance provided by this policy will terminate as to that covered auto on the effec- tivedate of the sale or transfer. LEGAL ACTION AGAINST US We may not be sued unless there is full compliance with all the terms of this policy. Any action brought against us pursuant to coverage under Part III - llmnsured/Under- insured Motorist Coverage must be brought in the county in wh~h the person seeking benefits .resides, or in the United States District Court serving that county. We may not be sued for payment under Part i - Liability To Others until the obligation of an insured person under Part I to pay is finally detem~ined either by judgment after trial against that person or bywritten agreement of the insured person, the claimant, and us. No one will fiave any right to make us a party to a lawsuit to determine the li- ability of an insured person. If we retain salvage, we have no duty to preserve or otherwise retain the salvage for any purpose, including evidence for any civil or criminal proceeding. OUR RIGHTS TO RECOVER PAYMENT We are entitled to the rights of recovery that the insured person to whom payment was made has against another, to the extent of our payment. That insured person may be required to sign documents related to the recovery and must do whatever else we re- quire to help us exercise those recovery rights, and do nothing after an accident or loss to prejudice those rights. When an insured person has been paid by us and also recovers from another, the amount recovered will be held by the insured person in trust for us and reimbursed to us to the extent of our payment. However, this shall not apply to amounts paid by us under Part II -First Party Bene#its Coverage unless the payments are subject to the Workers' Compensation Act. 1f we are not reimbursed, we may pursue recovery of that amount directly against that insured person. If an insured person recovers from another without our written consent, the insured person's right to payment under any affected coverage will no longer exist. 2~ ~~ If we elect to exercise our rights of recovery against another, we will also attempt to recover any deductible incurred by an insured person under this policy :unless we are specifically instructed by that person not to pursue the deductible. We have no obliga- tion to pursue recovery against another for any Goss not covered by this policy. We reserve the right to compromise or settle the deductible and property damage claims against the responsible parties #or less than the full amount. We reserve the right to incur reasonable expenses and attorney fees in pursuit of the recovery. If the total recovery is less than the total of our payment and the deductible, we will reduce reimbursement of the deductible based on the proportion that the ac#ual re- covery bears to the total of our: payment and the deductible. Reimbursement of the deductible will .also be reduced. by a proportionate share of collection e~cpenses artd attorney fees incurred in connection with these recovery efforts. These provisions will be applied in accordance with state law. JOINT AND INDIVIDUAL INTERESTS If there is more than one named insured on this policy, any named insured may can- cel or change this policy. The action of one named insured will. be binding on all per- sons provided coverage under this policy. Any rejection of coverage available under Part ill - Uninsured/Underinsured Motorist Coverage should be made by the first named insured. BANKRUPTCY The bankruptcy or insolvency of an insured. person will not :relieve us of any obliga- tionsunder this policy. 30 • i~ PHOGHEIf/(/E' OA/KYnsunm I~~I!~A~MY~!q~~~N~l~ .~ Auto Policy Endorsement Your policy is amended as follows: t . Part I -liability To Others P~liry number. xxxxxxxx-x xxxxxx xa~ooa xxxxxx xxxxxxx Page z of x Exclusion 1 is deleted and replaced by the following: t. bodily injury or property damage arising out of the ownership, maintenance, or use of any vehicle or trailer while being used: a. to carry persons or property for compensation or a fee; or 6. for retail or wholesale delivery, including, but not limited to, the pickup, transport, or delivery of magazines, newspapers, mail, or food. This exclusion does not apply toshared-expense car pools; Part Ii -First Party Benelfrts Coverage (a) The following is added to the Additional Definitions sect..ion: 8. "Bodily injury" in Part II means accidental bodily harm to a person and that person's resulting illness, disease, or death. (b) Exclusion 5 is deleted and replaced by the following: 5. sustained by any person who, at the time of the accident: a. is the owner of one or more registered motor vehicles that do not have in effect the security required by the Pennsylvania Motor Vehicle Financial Responsibility Law; or b. is occupying a motor vehicle owned by that person for which the financial responsibility required bythe Pennsylvania Motor Vehicle Financial Responsibility Law is not in effect; This exclusion does not apply to you or a relative: a. white atcupying a covered aut©; b. while occupying a motor vehicle that is not owned by you or a relative; or c. when struck by a motor vehicle as a pedestrian. Part III - Uninsured/Undernsured Motorist Coverage Exclusion t is deleted and replaced by the following: 1. to bodily injury sustained by any person while using or occupying: a. a covered auto while being used: (i) to carry persons or property for compensatwn or a fee; or (ii) for retail or wholesale delivery, including, but not limited to, the pickup, transport, or delivery of magazines, newspapers, mail, ar food. This exclusion does not apply to shared-expense car pools; or b. a motor vehicle that is owned by or available for the regulacuse of you or a relative. This exclusion does not apply to a covered auto that is insured under this Part III; 4. Part IV -Damage To A Vehicle (a) Exclusion 1 is deleted and replaced by the following: t. to any vehicle while being used: a. to carry persons or property for compensation or a fee; or b. for retail or wholesale delivery, including, but not limited to, the pickup, transport, or delivery of magazines, newspapers, mail, or food. This exclusion does not apply to shared-expense car pools; (b) The Appraisal provision is deleted and replaced by the following: APPRAISAL If we cannot agree with you on the amount of a loss, then we or you may demand an appraisal of the loss. Within 30 days of any demand #or an appraisal, each party shall appoint a competent appraiser and shall noti#y the other party of that appraiser's identity. The a;~praisers will determine the. amount of loss. If they i~ ~ r Polity number xxxxx~ocx-x xxxxxx xx~oax xxpaa xxxz~ooc Page x of x fail to agree, the disagreement will be submitted to a qualified umpire chosen by the appraisers. If the two appraisers are unable to agree upon an umpire within 15 days, we or you may request that a judge of a court of record, in the county where you :reside, select an umpire. The appraisers and umpire will determine the amount of loss. The amount of lass agreed to by both appraisers, or by one appraiser and the umpire, will be binding. You will pay your appraisers fees and expenses. We will pay our appraiser`s fees and expenses. All other expenses of the appraisal, including payment of the umpire rf one is selected, will be shared equally between us and you. Neither we nor you waive any rights under this policy by agreeing to an appraisal. 5. Part U!! -General Provisions {a) The Duty To Report Changes provision is deleted and replaced by the following: DUTY TO REPORT CHANGES You must promptly notify us when: 1. your mailing or residence address changes; 2. the principal garaging address for a covered auto Changes; 3. there is a change with respect to the residents in your household or the persons who regularly operate a covered auto; 4. an operator's marital status changes; or 5, you or a relative obtain a driver's license or operator's permit. {b) The Transfer provision is deleted and replaced by the following: TRANSFER Of INTEREST The rights and duties under this polity may not be transferred to another person without our written consent. However, if a named insured shown on the dedarations page dies, this polity will provide coverage until the end of the .policy period for the legal representative of the named insured, while acting as such, and for persons covered under this policy on the date of the named insured's death. (c) The Cancellation provision is deleted and replaced by the following: CANCELLATION. You may cancel this pol"KY during the policy period by calling or writing us and stating the future date you wish the cancellation to be effective. We may cancel This policy during the policy period by mailing a notice of cancellation to the named insured shown an the declarations page at the last known address appearing`in our records. We will give at least 1 S days notice of Cancellation 'rf: 1. we cancel during the first 59 days of the initial policy period; or 2. the policy is cancelled for nonpayment of premium. We will give at least 60 days notice of cancellation in all other cases. We may cancel this policy for any reason ifthe notice is mailed withinthe first 59 days of the initial policy period. After this policy is in effect for more than 59 days, or if this is a renewal or continuation polity, we may cancel only for one or more of the following reasons: 1. nonpayment of premium; 2. material misrepresentation orfraud by you with respect to any material fact in the procurement or renewal of this policy; 3. loss of driving privileges through suspension. or revocation of an operator'slicense or motor vehicle registration issued to the named insured; 4. your place of residence or the state of registration or license of a covered auto is changed to a state or country in which wr do not accept applications for the insurance provided by this policy; or •~ 5. any other reason permitted by law. Policy number: x~xxxxxx-x xoazz zz~oazx zx~oisoc ~oooocxx Page x of x Proof of mailing will be sufficient proof of notice. If this policy is cancelled,. coverage will not be .provided as of the effective date and time shown in the notice of cancellation. For purposes of cancellation, .this policy is neither severable nor divisible. Any cancellation will be effective for all :coverages for aN persons and all vehicles. (d) The Our Rights T© Recover Payment provision is deleted and replaced by the fallowing: QUR RIGHTS TO RECOVER PAYMENT We are entitled to the rights of recovery that the insured person to whom payment was made has against another, to the extent of our payment. That insured;person may be required to sign documents related to the :recovery and must do whatever else we require to help us exercise those recovery rights, and do nothing after an accident or loss to prejudice those rights. When an insured person has been .paid by us and also recovers from anotheG the amount recovered will be held by the insured person in trust for us and reimbursed to us to the extent of our payment. However, this shall not apply is amounts paid by us under Part II -First Party Benefits Coverage, unless the payments are subject to the Workers' Compensation Act: If we are not reimbursed, we may pursue recovery of that amount directly against thaf insured person. If an insured person recovers from another without our written consent, the insured person's right to payment under any affected coverage will no longer exist. If we elect to exercise our rights of recovery against another, we will also attempt to recover any deductible incurred by an insured person under this policy unless we are spec'rfically instructed by that person not to pursue the deductible. We have no obligation to pursue recovery against another for any lass not covered by this policy. We reserve the right to compromise or settle the deductible and property damage claims against the responsible parties for less than the full amount, We also reserve the right to incur reasonable expenses and attorney fees in pursuit of the recovery. If the total recovery is less than the total of our payment and the deductible, we will reduce reimbursement of the deductible based on the proportion that the actual recoverybears to the total of our payment and the deductible. A proportionate share of collection expenses and attorney fees incurred in connection with these recovery efforts will also reduce reimbuisemeiit of the deductible. These provisions will be applied in accordance with state law. Ail otherterms, limits and provisions of his policy remain undhanged, Form Y445 PA (03fo7) ~~ Policy number: •~ ~~sxxxx,;;<->.> Page <:•.y of~ h:> Pet Injury Coverage Endorsement Your policy is amended as follows: • If you have purchased Collision coverage for at least one covered auto under your policy, Pet Injury coverage is added to Part IV -Damage To A Vehicle. INSURING AGREEMENT -PET INJURY COVERAGE If your pet sustains injury or death while .inside a covered auto ornon-owned auto at the time of a loss covered under Collision or Comprehensive coverage, we will provide: 1. up to $i,00p'for reasonable and. customary veterinary fees incurred by you ora relative if your pet is injured in, or as a direct resu'It of, the covered loss; or 2. a $1,000 death benefit if your pet dies'in, or as a direct result of, the covered lass, less any payment we made toward veterinary expenses for your pet. In the event of a Covered loss due to the theft of a covered auto ornon-owrted auto, we will provide the. death benefit provided your pet is inside that auto at the time of the theft and your pet is not recovered. ADDITIONAL DEFINITION The fallowing definition applies to this coverage: "Your pet" means any dog or cat owned by you or a relative. LIMITS OF LIABILITY The following additional Limits of L'~ability apply to Pet Injury coverage: 1. The most we will pay for all damages in any one loss is a total of $1,000 regardless of the number of dogs or cats involved. 2. If your pet dies in, or as a direct result af, a covered loss, we will provide a death benefit of $7,000, less any payment we made taward veterinary expenses for your pet. 3. No deductible shall apply io this coverage. All other terms, limits and provisions of this polity remain unchanged. Form 2538 {0108) ~ - ,. I iProararnrnir~g n.~,te: ?fus sert.on w?I pradnca qn the seoend page and all suh~~eauert ages i# the form Spans more than Policy number<,r ~ xzz> •: > one page. 4nsert pclrcy number in varlai;le t. Nar;ed insured name variable 3, Additional insured name va6able 3 and rxx:: x ~xr~.,xx >: pa7i= nu~ribers in variable; ~ and 5. t:iiddle initial and ~uffi:, bv;t; arodu.e in name fields if a~:aiiable. Fer F<:0(T 66ark fcrms. nrin: ;.zfxr.. ~ ~z%raa t.~.>> 'Pciis number iex': onip.) Page <.x • of <?. ~. Policy Endorsement Your policy is amended as follows: Part III - Uninsured/Underinsured Motorist Coverage The Other Insurance provision is deleted and replaced by the following: OTHER INSURANCE If there is other applicable similar insurance, the following priorities of recovery apply: First The uninsured or underinsured motorist coverage applicable to the motor vehicle the insured person was occupying afthe time of the accident. Second Any other policy affording uninsured or underinsured motorist coverage to the insured person. If two or more policies have equal priority, the insurer against whom the claim is first made shall process and pay the claim as if wholly responsible. The insurer is thereafter entitled to recover contribution on a pro rata basis from any other insurer for the benefits paid and the costs iaf processing the claim. If nonstacked coverage is shown on the declarations page and this policy iS in the First priority, the maximum recovery under all policies in the First priority shall not exceed the highest applicable limit for any one motor vehicle under any one policy in the First priority. If nonstacked coverage is shown on the declarations page and this polity is in the Second priority, the maximum recovery under all policies in the Second .priority shall not exceed the highest applicable limit for any one motor vehicle under any one policy in the Second priority. All other terms, limits and provisions of this polity remain unchanged. Form 2763 PA (OS/Q4) ~~ s Pa(icy number: =: r::;;~Rx~.ru••h> Page <.:;. of ~x:> Window Glass {overage Endorsement Your policy is amended as fo#lows: Part IV -Damage To A Vehitle The following is added to Part IV - Damage To A Vehicle: INSURING AGREEMENT - COMPREHENSIVE WINDOW GLASS COVERAGE If your declarations page shows that this coverage applies to your policy, we will pay under Comprehensive Coverage for loss, not caused by collision, to glass or plastic used in the windshield, backglass, windows, moonroofi, or sunroof of a covered auto. This coverage is subject to the deductible shown on your declarations page. All other terms, limits, and provisions of this policy remain unchanged. form A884 (70108}