HomeMy WebLinkAbout02-2625William P. Douglas, Esq.
Supreme Court LD. #37926
Douglas, Douglas & Douglas
27 W. High St.
Carlisle, PA 17013
Telephone (717) 243-1790
Kevin Showaker and Lisa Showaker
Plaintiffs
In the Court of Common Pleas of
Cumberland County, Pennsylvania
vs
No. 02- gl 6~ a ff Civil Te.ut
Erie Insurance Exchange/Group
4901 Louise Drive
Mechanicsburg, PA 17055-0710
Defendant
Civil action law
Jury Trial Demanded
Praecipe to Issue a Writ of Summons
Dear Mr. Long:
Please issue a writ of summons against the defendant, Erie Insurance
Exchange / Group.
date: May 30, 2002
William P. Dc~ug]~s, Esq:
Attorney for Plaintiffs
C'-) O
Commonwealth of Pennsylvania
County of Cumberland
Kevin and Lisa Showaker
In the Court of Common Pleas of
Plaintiff Cumberland County, Pennsylvania
vs
Erie Insurance Exchange/Group
4901 Louise Drive
Mechanicsburg, PA 17055-0710
Defendant
No. 02 -- ~)&~25~' Civil Tei-iii
Civil action law
Jury Trial Demanded
Writ of Summons
To:
Erie Insurance Exchange/Group
4901 Louise Drive
Mechanicsburg, PA 17055-0710
You are hereby notified that Kevin and Lisa
Showaker have brought an action against you.
Deputy Pr6thO~no~ry
date: May 30,2002
Counsel for plaintiff:
William P. Douglas, Esq.
Douglas, Douglas & Douglas
27 w. High St.
POB 261
Carlisle, PA 17013-0261
717-243-1790
SHERIFF'S RETURN -
CASE NO: 2002-02625 P
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND
SHOWAKER KEVIN ET AL
VS
ERIE INSURANCE EXCHANGE
REGULAR
J. MICHAEL ICKES , Sheriff or Deputy Sheriff of
Cumberland County, Pennsylvania, who being duly sworn according to law,
says, the within WRIT OF SUMMONS was served upon
ERIE INSURANCE EXCHANGE/GROUP the
DEFENDANT , at 1525:00 HOURS, on the 3rd day of June , 2002
at 4901 LOUISE DRIVE
MECHANICSBURG, PA 17055-0710
MELVIN STRAIT, CLAIMS
by handing to
a true and attested copy of WRIT OF SUMMONS
together with
and at the same time directing His attention to the contents thereof.
Sheriff,s Costs:
Docketing 18.00
Service 7.59
Affidavit .00
Surcharge 10.00
.00
35.59
Sworn and Subscribed to before
me this .. /~ ~ day of
~ ~2~ A.D.
/P~othonot ary
So Answers:
R. Thomas Kline
06/04/2002
DOUGLAS DOUGLAS DOUGLAS
Deput~ Sheriff
KEVIN and LISA SHOWAKER,
Plaintiffs
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
PRAECIPE FOR ENTRY OF APPEARANCE
TO THE PROTHONOTARY OF CUMBERLAND COUNTY:
Please enter the appearance of Buzgon Davis Law Offices whose address is 525
South Eighth Street, P.O. Box 49, Lebanon, Pennsylvania 17042-0049, as attorneys for Defendant~
in the above-captioned case.
DATE: June 26, 2002
BY:
BUZGON DAVIS LAW OFFICES
SCOTT/GRENOBLE, ESQUIRE
Attorney I.D. #72808
525 South Eighth Street
P.O. Box 49
Lebanon, PA 17042-0049
(717) 274-1421
KEVIN and LISA SHOWAKER,
Plaintiffs
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
AFFIDAVIT OF SERVICE
COMMONWEALTH OF PENNSYLVANIA )
) SS:
COUNTY OF LEBANON )
I, JANELLE K. COX, an employee of Buzgon Davis Law Offices, 525 South Eighth Street,
Lebanon, Lebanon County, Pennsylvania, Attorneys for Defendant, being duly sworn according to
law, depose and say that I filed on July 1, 2002 in the Office of the Prothonotary of Cumberland
County, Pennsylvania, the original ENTRY OF APPEARANCE and that I mailed a true and
correct copy by First Class Mail to William P. Douglas, Esquire. Douglas, Douglas & Douglas, 27
W. High Street, P.O. Box 261, Carlisle, Pennsylvania 17013-0261, Attorney for Plaintiff
before me
Sworn to and subscribed
My ~.,ommidon Exptrm Feb. 11, ~
KEVIN and LISA SHOWAKER, :
Plaintiffs :
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
PRAECIPE FOR RULE TO FILE COMPLAINT
TO THE PROTHONOTARY OF CUMBERLAND COUNTY, PENNSYLVANIA:
AND NOW, September 30, 2002, issue a Rule upon the Plaintiffs, Kevin
and Lisa Showaker, to file their Complaint in the above matter within twenty (20) days of
service of said Rule upon them or suffer a judgment of non pros.
BY:
BUZGON DAVIS LAW OFFICES
SCOTT L. GRENOBLE, ESQUIRE
Attorney I.D. #72808
525 South Eighth Street, P.O. Box 49
Lebanon, PA 17042-0049
(717) 274-1421
Attorney for Defendant
RULE
AND NOW, this ~. day of Ot~,-L~ ,2002, a Rule is
issued in accordance with the above Praecipe. ~ ./"}
KEVIN and LISA SHOWAKER,
Plaimiffs
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
AFFIDAVIT OF SERVICE
COMMONWEALTH OF PENNSYLVANIA )
) SS:
COUNTY OF LEBANON )
I, Janelle K. Worcester, an employee of Buzgon Davis Law Offices, 525 South Eighth
Street, Lebanon, Lebanon County, Pennsylvania, Attorneys for Defendant, being duly sworn
according to law, depose and say that I filed on September 30, 2002 in the Office of the
Prothonotary of Cumberland County, Pennsylvania, the original PRAECIPE FOR RULE TO
FILE COMPLAINT and that I mailed a tree and correct copy by First Class Mail to William P,
Douglas, Esquire, Douglas, Douglas & Douglas, 27 W. High Street, P.O. Box 261, Carlisle,
Pennsylvania 17013-0261, Attorney for Plaintiff.
Sworn to and subscribed
before me this 30th day
of September, A.D., 2002.
u
J~.~.~.WORC~STER
KEVIN and LISA SHOWAKER,
Plaintiffs
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY, .
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
AFFIDAVIT OF SERVICE
COMMONWEALTH OF PENNSYLVANIA )
) SS:
COUNTY OF LEBANON )
I, Janelle K. Worcester, an employee of Buzgon Davis Law Offices, 525 South Eighth
Street, Lebanon, Lebanon County, Pennsylvania, Attorneys for Defendant, being duly sworn
according to law, depose and say that I mailed on October 8, 2002 a true and correct executed copy
of the PRAECIPE FOR RULE TO FILE COMPLAINT by First Class Mail to William P.
Douglas, Esquire, Douglas, Douglas & Douglas, 27 W. High Street, P.O. Box 261, Carlisle,
Pennsylvania 17013-0261, Attorney for Plaintiff.
Sworn to and subscribed
before me this 8th day
of October, A.D., 2002.
JAb~LL~VqORCESTER
KEVIN and LISA SHOWAKER, :
Plaintiffs :
VS.
ERIE INSURANCE EXCHANGE./
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
IMPORTANT NOTICE
YOU ARE IN DEFAULT BECAUSE YOU HAVE FAILED TO ENTER A
WRITTEN APPEARANCE PERSONALLY OR BY ATTORNEY AND FILE IN WRITING
WITH THE COURT YOUR DEFENSES OR OBJECTIONS TO THE CLAIMS SET FORTH
AGAINST YOU. UNLESS YOU ACT WITHIN TEN DAYS FROM THE DATE OF THIS
NOTICE, A JUDGMENT MAY BE ENTERED AGAINST YOU WITHOUT A HEARING AND
YOU MAY LOSE YOUR PROPERTY OR OTHER IMPORTANT RIGHTS. YOU SHOULD
TAKE THIS NOTICE TO A LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR
CANNOT AFFORD ONE, GO TO OR TELEPHONE THE FOLLOWING OFFICE TO FIND
OUT WHERE YOU CAN GET LEGAL HELP:
Lawyer Referral Service
Cumberland County Bar Association
2 Liberty Avenue
Carlisle, Pennsylvania 17013
BUZGON DAVIS LAW OFFICES
BY:
Attorney I.D. #72808
525 South Eighth Street
Post Office Box 49
Lebanon, PA 17042-0049
(717) 274-1421
Attorneys for Defendant
-2-
KEVIN and LISA SHOWAKER, :
Plaintiffs :
VS.
ERIE INSURANCE EXCHANGE/
GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. 02-2625
CIVIL ACTION LAW
AFFIDAVIT OF SERVICE
COMMONWEALTH OF PENNSYLVANIA )
) SSi
COUNTY OF LEBANON )
I, Janelle K. Worcester, an employee of Buzgon Davis Law Offices, 525 South Eighth
Street, Lebanon, Lebanon County, Pennsylvania, Attorneys for Defendant, being duly sworn
according to law, depose and say that I filed on October 22, 2002 in the Office of the Prothonotary
of Cumberland County, Pennsylvania, the original IMPORTANT NOTICE and that I mailed a
tree and correct copy by First Class Mail to William P. Douglas, Esquire, Douglas, Douglas &
Douglas, 27 W. High Street, P.O. Box 261, Carlisle, Pennsylvania 17013-0261, Attorney for
Plaintiff.
Sworn to and subscribed
before me this 22''a day
of October, A.D., 2002.
JA]~ELLEq~.WORCESTER
DOUGLAS, DOUGLAS & DOUGLAS
27 W. HIGH ST.
POB 261
CARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM P. DOUGLAS, ESQ.
Supreme Court I.D.# 37926
Kevin Showaker and Lisa Showaker
Plaintiffs
Vs
Erie Insurance Group
Defendants
In the Court of Cormnon Pleas of
Cumberland County Pennsylvania
No. 2002 - 2625 Civil Tern;
Civil Action Law
Jury Trial Demanded
NOTICE
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 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 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.
Cumberland County Bar Assodation
2 Liberty Square
Carlisle PA 17013 717-249-3166
DATE: October 29, 2002
Complaint
1. The plaintiff, Kevin Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
2. The plaintiff, Lisa Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
3. The defendant, Erie Insurance Group, is a business entity licensed to do
business in the Commonwealth of Pennsylvania, with offices located at 4901
Louise Drive, Rossmoyne Business Center, Mechanicsburg, Cumberland County,
Pennsylvania.
4. The plaintiffs are husband and wife and reside together in the same
household.
5. The property located at 411 Walnut Street, Boiling Springs, Cumberland
County, Pennsylvania., is a single family dwelling that was owned by the
plaintiffs.
6. The plaintiffs were sold a contract of insurance on the above described
property by the defendant.
7. The insurance contract policy is an Erie Insurance Exchange
Homeprotector ExtraCover bearing number Q59 1303968 H..
8. Prior to May 30th, 2001, the plaintiffs' home was in good repair.
9. On or about May 30th, 2001, an acddental fire occurred in the attic of the
aforesaid residence causing extensive damage to both the dwelling structure and
personal property of the plaintiffs.
10. All damages suffered by the plaintiffs were covered by their policy of
insurance.
11. The plaintiffs contacted the defendants and told them of their loss in a
timely manner.
12. The defendant sent out an adjuster to the property following the fire
however said individual stayed a short period of time and did nothing with
respect to the preparing an inventory.
13. The plaintiffs are covered by a policy of insurance issued by the
defendants that provides for replacement cost coverage for damages suffered by
the insured.
14. The defendants knowingly and willingly refused to timely settle the claim
for the damage suffered by the plaintiffs.
15. The defendants failed to acknowledge and act promptly upon written or
oral communication with respect to claims arising under the aforementioned
contract of insurance.
16. The defendants failed to promptly investigate all claims arising under the
aforementioned contract of insurance.
17. The defendant had no basis to refuse to pay the daim of the plaintiff in a
timely manner.
18. The defendant refused to pay the claims without conducting a prompt
and reasonable investigation based upon all available information.
19. The defendants did not act in good faith to effectuate prompt, fair and
equitable settlement of this claim, knowing that liability is clear and coverage
applies and as a result the plaintiffs have been forced to incur expenses they
would not otherwise have incurred.
20. The defendants have compelled the insured to institute litigation to
recover amounts due under the insurance policy by offering substantially less
than amounts due and owing the insured.
21. The defendants failed to promptly provide a factually sound explanation
of the basis in the insurance policy in relation to the facts or applicable law for
denial of the claim or for the offer of a compromise settlement.
22. The defendants have willfully and maliciously withheld benefits from the
plaintiffs, due to their failure to investigate the claim timely and thoroughly,
which constitutes a breach of an implied covenant of good faith and fair dealing.
23. The defendants, in bad faith, denied payments to its insured without
thoroughly investigating the foundation for its denial and in not fully inquiring
into the possible basis that might support the insured's claim.
Count One
Breach of Contract/Warranty
24. Paragraphs 1 through 23 are incorporated herein by reference thereto.
25. The defendants impliedly and/or expressly warranted that they would, in
good faith, provide insurance coverage to the plaintiffs in accordance with the
contract and abide by the tei~ms of said contract.
26. As a result of the aforesaid, the defendants breached their contract and/or
warranty, which breach resulted in past and future physical injury and monetary
loss to the plaintiffs.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiring compulsory
referral to arbitration. A jury trial is hereby demanded.
Count Two
Bad faith pursuant to 42 Pa.C.S.A. §8371
27. Paragraphs 1 through 26 are incorporated herein by reference thereto.
28. Plaintiffs' injury, damage and loss were directly and proximately caused
by the reckless, wanton and willful misconduct of the defendants without regard
to the tights and safety of the plaintiffs.
29. The actions of the defendants were recklessly, wantonly and willfully
done for the purpose of causing harm to the plaintiffs.
30. Having full knowledge of the unreasonably dangerous conditions the
plaintiffs were forced to endure, the defendants did recklessly, wantonly and
willfully fail to take reasonable and necessary steps to settle this claim.
31. The defendants did recklessly, wantonly and willfully, refuse to resolve
the claims of the insured and handled said claims with reckless indifference to
the rights of the plaintiffs.
32. The conduct of the defendants was outrageous, oppressive and recklessly
indifferent to the rights of the plaintiffs.
33. As a direct and proximate result of the defendant's reckless, wanton and
willful disregard for the rights of the plaintiffs the aforesaid injury did occur.
34. The plaintiffs hereby request all remedial relief as provided in 42 Pa.C.S.A.
§8371.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiting compulsory
referral to arbitration. A jury trial is hereby demanded.
Date: October 29, 2002
Respectfully submitted,
William P. Douglas, Es~
Attorney for the plaintiff~
Affidavit
I hereby swear or affirm that the foregoing is true and correct to the best of my
knowledge and/or infoi-amtion and belief.
This is made subject to the penalties of 18 Pa.C.S.§ 4904 relating to unswom
falsification to authorities.
October 29, 2002
ERIE "
INSURANCE ERIE INSU~CE EXCH~GE
GROUP HOMEPROTECTOR POLICY
~.~.~. ~NDED DEC~TIONS 04 * * EXT~CO~R
~'~.~ EFFECTIVE 05/~6/0~ ATTACH THIS TO YOUR POLICY..
REASON FOR ~ND~NT - INCREA~ ~ OF INS - PRIMARY
AA7888 DEIBLER INS. ASSOC. INC
~ND ~DRE~
KEVIN R SHOWAKER &
LISA D SHOWAKER
411 WALNUT STREET
BOILING SPRINGS PA
17007-9502
' q~5'~t~O\ AS LISTED BELOW
OR ON REVERSE SIDE
AGENT - DEIBLER INS. ASSOC. INC 26 WESTMINSTER DRIVE
AGENT PHONE - (717) 241-2775 CARLISLE PA 17013 4368
COVERAGE BEGINS AND ENDS AT 12.01 AM STANDARD TIME AT THE LOCATION OF THE
INSURED PROPERTY. UNTIL TERMINATED, THIS POLICY WILL CONTINUE IN FORCE.
LOCATION OF RESIDENCE PREMISES IF OTHER THAN STATED IN ITEM i OR IF SPECIFIC
DESIGNATION IS NEEDED. ZIP CODE - 17007 S MIDD TWP, CUMBE CO
PROPERTY INFORMATION - PRIMARY RESIDENCE YEAR OF CONSTRUCTION 1955, FRAME,
PROTECTION CLASS B. '
PROPERTY IS WITHIN 500 FEET OF A FIRE HYDRANT AND WITHIN & MILES OF
A RESPONDING FIRE DEPARTMENT.
COVERAGE IS PROVIDED ONLY IF A ~ECIFIC AMOUNT. OF INSURANCE IS SHOWN.
SECTION I - PROPERTY
DWELLING
OTHER STRUCTURES
PERSONAL PROPERTY
LOSS OF USE
SECTION II - HOME
PERSONAL LIABILITY
MEDICAL PAYMENTS
O~';~INSURANCE
000
5OO
NOT TO
IECUTIVE MONTHS
SECTION I DEDUCTII
AUTOMATIC NO-] SETTLENENT'"'ApP~:~E]
APPLICABLE FORMS - 2003 01/97, HP-PA 01/97, HP-EF 03/95, UF8705 06/96,
UF6523 08/98, HP-EN 08/97, UF9013 12/97, HP-EP 07/98, HP-EQ 10/98
UF9990 05/00, UF3022 06/00, HP-AAN 01/97, HP-BD 01/97. '
PRIMARY RESIDENCE-MORTGAGEE
CARL SHENK
580 ZION RD
CARLISLE PA
17013-7111
$ 43.00
STRUCTURES.
PRIMARY RESIDENCE-2ND MORTGAGEE
CITI FINANCIAL
P O BOX 1232
CARLISLE PA 17013-6232
003860 SEE REVERSE SIDE AGTWLD n~/l?/n~
WHERE TO LOOK IN YOUR POLICY
AGREEMENT ...................... 4
ERIE INSURANCE EXCHANGE ....... 4
ERIE INSURANCE PROPERTY &
CASUALTY COMPANY ............ 4
DEFINITIONS ...................... 4
ADDITIONAL ERIE INSURANCE
EXCHANGE DEFINITIONS .......... 5
ADDITIONAL ERIE INSURANCE
PROPERTY & CASUALTY COMPANY
DEFINITIONS .................. 5
WHEN AND WHERE THIS POLICY APPLIES 6
PROPERTY PROTECTION -- SECTION I .... 6
DWELLING COVERAGE ........... 6
OUR PROMISE ................ 6
OTHER STRUCTURES COVERAGE .... 6
OUR PROMISE ................ 6
PERSONAL PROPERTY COVERAGE . . . 6
OUR PROMISE ................ 6
SPECIAL LIMITS - PERSONAL
PROPERTY .................... 7
LOSS OF USE COVERAGE .......... 8
OUR PROMISE ................ 8
PERILS WE INSURE AGAINST ....... 8
DWELLING AND OTHER
STRUCTURES COVERAGES ....... 8
PERSONAL PROPERTY COVERAGE . . 9
WHAT WE DO NOT COVER --
EXCLUSIONS .................. 10
WHAT WE ALSO PAY ............ 11
(1) AUTOMATIC GARAGE DOOR
OPENER ................... 11
(2) COLLAPSE ................ 11
(3) CREDIT CARD, CHARGE PLATE,
CHECK FORGERY AND
COUNTERFEIT MONEY
PROTECTION ' 11
(4) DEBRIS REMOVAL AFTER LOSS . 11
(5) EMERGENCY REMOVAL OF
PROPERTY ................. 12
(6) FIRE DEPARTMENT SERVICE
CHARGES .................. 12
(7) FIRE EXTINGUISHER RECHARGE 12
(8) LOCK REPLACEMENT AFTER
LOSS ...................... 12
(9) LOSS ASSESSMENT .......... 12
(10) MECHANICAL SERVANT AND
ROBOT PROTECTION .......... 12
(11) NON-OWNED RESIDENCES .... 12
(12) ORDINANCE OR LAW
COVERAGE ................. 12
(13) REFRIGERATED PRODUCTS . . 13
(14) TEMPERATURE CHANGE ..... 13
(15) TEMPORARY REPAIRS AFTER
LOSS ...................... 13
(16) TREES, SHRUBS, PLANTS AND
LAWNS .................... 13
DEDUCTIBLE ................. 13
RIGHTS AND DUTIES -- CONDITIONS --
SECTION I ....................... 14
(1) ABANDONMENT OF PROPERTY . . 14
(2) APPRAISAL ................ 14
(3) AUTOMATIC ADJUSTMENT OF
COVERAGE AMOUNTS ........... 14
(4) ERIE OPTION ............... 14
(5) GLASS REPLACEMENT ........ 14
(6) INCREASE OF HAZARD ........ 14
(7) LOSS PAYMENT ............. 14
(8) LOSS SETTLEMENT ........... 14
(9) LOSS TO A PAIR OR SET ....... 15
(10) MORTGAGE CLAUSE ......... 15
(11) NO BENEFITTO BAILEE ....... 16
(12) OTHER INSURANCE ......... 16
(13) PERMISSION GRANTED TO YOU 16
(14) RECOVERED PROPERTY ...... 16
(15) SUIT AGAINST US ........... 16
(16) WHAT TO DO WHEN A LOSS
HAPPENS ................. -... 16
HOME AND FAMILY LIABILITY
PROTECTION -- SECTION II ........... 17
BODILY INJURY LIABILITY COVERAGE 17
PROPERTY DAMAGE LIABILITY
COVERAGE ................... 17
OUR PROMISE ............... 17
PERSONAL INJURY LIABILITY
COVERAGE ................... 17
OUR PROMISE ............... 17
MEDICAL PAYMENTS TO OTHERS
COVERAGE ................... 17
OUR PROMISE ................ 17
WHAT WE DO NOT COVER --
EXCLUSIONS .................. 17
WHAT WE ALSO PAY ............ 19
(1) CLAIM EXPENSES . .......... 19
(2) DAMAGE TO PROPERTY OF
OTHERS ................... 20
(3) FIRST AID EXPENSES ........ 20
(4) LOSS AssESSMENT ,- PERSONAL
LIABILITY COVERAGE ..... . . . . 20
RIGHTS AND DUTIES -- CONDmONS ---
SECTION H ................. ...... 21
(1) DUTIES OF AN INJURED PERSON --
MEDICAL PAYMENTS TO OTHERS
COVERAGE ................... 21
(2) LIMITS OF PROTECTION ....... 21
(3) OTHER INSURANCE ,- PERSONAL
LIABILITY COVERAGE ........... 21
(4) SUIT AGAINST US ............
(5) WHAT TO DO WHEN AN
OCCURRENCE, OFFENSE, CLAIM OR
SUIT HAPPENS ......... .......
21
RIGHTS AND DUTIES -- GENERAL POLICY
CONDmONS -- SECTIONS I & II ........ 22
(1) ACCOUNTING 22
(2) ASSIGNMENT ............... 22
~3R) BANKRUPTCY OF ANYONE WE
OTECT .................... 22
(4) CANCELLATION ............. 22
(5) CONCEALMENT, FRAUD OR
MISREPRESENTATION ............ 22
(6) CONTINUOUS POLICY ......... 23
(7) COOPERATION '.. ~ ..: .... ,..: . 23
(8) HOW yOuR POLIcY MAY BE
CHANGED · · ~.. .... .......... 23
(9) OUR RIGHT TO RECOVER FROM
OTHERS .,, ............ ....... 23
(10) PRIORI~ ......... , , . ..... 23
(11) SURVIVORS' CO~RAGE .: ..... 23
(12) TIME OF INCEPTioN ......... 23
.
ERIE INSURANCE GROUP is proud to present this Extracover HomeProtector Policy. This important contract
between YOU and The ERIE consists of this policy with coverage agreements, limitations, exclusions and conditions, a
Dedaratious, plus any endorsements. It is written in plain, simple t~i£rls so it can be easily understooc[ We urge YOU
to read this policy.
This policy contains many XTRA PROTECTION FEATURES developed by The ERIE. Wherever an ~X' appears in
the margin of this policy, YOU receive XTRA PROTECTION, either as additional coverage or as a coverage not
found in most homeowners policies.
The protection given by this policy is in keeping with the single purpose of our Founders: *To provide YOU with as
near PERFECT PROTECTION, as near PERFECT SERVICE, as is humanly possible, and to do so at the
LOWEST POSSIB! ~F. COST.*
ERIE INSURANCE EXCHANGE
In return for your timely premium payment~ your com-
Pliance with all of the pro~'isi°ns of Us policy, and your
sigxfing of a S~bs~her's Agreemmt .with Erie, Incternnity
Company and other S~bsoib~s, we agree to provide the
coverages you have purchased, your cOverages and
amounts of insurance are shown on :the "D~tious,
which are part of this.policy
yom' signing thc Sub. fibers Agreemmt, which includes
a limited power-of-attorney, 'permits Erie Indemnity
Company, as Attorney-in-Fact, to make reCiPrOcal insur-
ance contracts between~ you and other Subscribers and
othenvise xnanage the bu~SS 6f'the Erie Insurance
Exchange. This power-of-attorney applies only to your
insuran6e business at the EXC~ and is limiied to the
purposes described in the S~bscriber's Agreem~t. ·
Your responsibility as a Sul~'iber is determined by this
policy and the S~bscrihe~s Agreemmt. This policy is
not assessable. You are not liable for the losses of other
AGREEMENT
This agreement is made in reliance on the information
you have given us, and'is' subject to all thc, ~erms of this
policy.
This policy, all endorsements to it, and the Subseriber's
Agreement constitute the entire agreement between you
and us.
ERIE INSURANCE PROPERTY & CASUALTY
COMPANY
In return for your timely premium payment and your
compliance with all of the provisions of this policy, we
~o~ to provide the coverages you have purchased.
coverages and amounts of insurance are shown on
the Dedsratious, which are part of this policy.
This agreement is made in reliance on the information
you have given us, and is subject to all the terms of this
policy.
This policy and all endorsements to it constitute the
entire agreement between you and us.
DEFINITIONS
Throughout your policy and its endorsements the fol-
lowing words have a special meaning when they appear
in bold type:
· #alrcraf~ means any machine or device capable of
atmospheric flight except model airplanes.
· ':myoae we proteef' means you and the following
re~ideats of yom- household:
1. relatives and wards;
2. other persons in the care of anyoue we p~otect.
Under Home and Family Liability Protection, sayoue
we pro~ect also means:
3. any person or organization legally responsible for
animals or watercraft which are owned by you,
or any person included in 1. or 2., and covered
by this policy. Any person or organization using
or having custody of these animals or watercraft
~ in the course of any business, or without
sion of the owner ~s not anyone we protect;
4. any person with respect to any vehicle covered
by this policy. Any person using or having
custody of this vehicle in thc course of any Imsi-
ness use, or without permission of the owner is
not ~nyoue we p~otect.
· *bodily htjary~ means physical harm, sickness or
disease, including mental anguish or resulting death,
but does not incb~a_e:
1. any communicable disease or condition trans-
mitted by sayoue we ~'olect to any other person
thro .u~h a parasite, virus, bacteria or any other
orgamsm.
2. the exposure to or transmission of any disease,
parasite, virus, bacteria or other organism by
anyome we [~-oteet to any other person.
· "b~siuess" means any full-time, part-time or occa-
sional activity engaged in as a trade, profession or
occupation, inclua;-g farming.
· "Declsr~tious" means the form which shows your
coverages, amounts of insurance, premium charges
and other information. This form is part of your
policy. Decimations include forms titled Amended
Declarations, Renewal Declarations, Revised Decla-
rations, Reinstatement of Coverage, Duplicate Dec-
larations, New Declarations or Continuation Notice.
X
X
X
X
· #imured location# means:
1. the residence premises;
2. the part of any other p~mxises, other structures,
and grounds acquired by you during the .p?iicy
period which you intend to use as a residence
3. any premises used by snyoue we protect in con-
nection with Premises included in 1. or 2.;
4. any part of a non-owned premises:
a. where anyone we protect is temporarily
residing; or
b. occasionally rented to anyone we vrotect for
non-lmsiness purposes;
5. vacant land, other than farmland, owned by or
rented to a~yone we proleet;
6. land owned by or rented to anyone we I~Otect
on which a one or two family residence is being
built for occupancy by anyoue we protect;
7. cemetery plots or burial vaults of anyoue we
protect.
· 'medical exomse' means reasonable charges for nec-
essary medical, surgical, x-ray and dental services,
including prosthetic devices, eyeglasses, contacts,
hearing aids and p .har.m...aceutieals; and. also includes
amb~flance, hospital, licensed nursing and funeral
sell/IceS.
· #neenrrenee# means an accident, including~ c0ntin-
uous or v~eated exposme to the same general
harmfifl conditions.
· 'persomzl i~jury* means injury arJfing out of.' 1. libel, slander or defamation of character;
2. false arrest, wrongfixl detention or imprisonment,
malicious prosecution, racial or religious discrim-
ination, wrongful entry or. eviction, invasion of
privacy, or humiliation caused by any of these.
· #property damag~ means:
1. physical injury to or destruction of tangible
property, including loss of its use. All such loss
of use shall be deemed to occur at the time of
the physical injury that caused it;
2. loss of use of tangible properly which is not
physically injiired or destroyed. All such loss of
use shall be deemed to occur at the time of the
· #residmee emlloyed' means an employee Of anyone
we protect who performs duties in connection with
the maintenance or use of the residence preffiises,
including similar duties elsewhere~ not in connection
with the Imsiness of anyone we protect.
"residence Premise~' means the dwellln~ where you
resid% ind~ the structures and grot~nds, or that
part of any other building where you reside and
~vhich is shown as residenec I=~mises on the Dedao
ratious.
#re.lent# means a person who physically lives with
you in your household. Your unmarried,
unemancipated children under age 24 attending
school full-time and living away from home will be
considered residmts of your household.
ADDITIONAL ERIE INSURANCE EXCHANGE
DEFINITIONS
The following words have spedal meaning in policies
issued by Erie Insurance Exchange when they appear in
bold type:
· 'S~l~=ib~r' mea~s the Person(S) who ,4~l~led the
~bscriber's Agreement.
· ,Suhsefibeffs ~ent' means an agreement,
'inCluding a limited power-Of-attorney, among the
Salmcribers and the Erie Indemnity Company, as
Attomey-in-Fact.
· '~v'e', 'us' or 'our' means the Sahseribers at Erie
Insurance Exchange as represented by their common
Attorney-in-Fact, Erie Indemnity Company.
· ~gou#, 'your~ or "Named l.s.red" means the S~b-
scriber and others named on the Declaratimm under
Named Imm~l. Except in the GENERAL
POLICY CONDITIONS Section, these words
include the spouse of the Subscriber if a resident of
the same household.
ADDITIONAL ERIE INSURANCE pROpERTY &
CASUALTY COMPANY DEFINITIONS
The following words have ~pecial meaning in policies
issued by Erie Insurance Property & Ca~4ty Company
when they appear in bold type:
· 'We', 'm' or 'our' means the Erie Insurance Prop-
erty & Casualty Company ' .
· "You*, 'your' or ~Named Immred~ means the
person(s) named on the DedmMious under Nmned
~sured. Except in the GENERAL POLICY CON-
DITIONS Section, these words include your spouse
if a resider of the same household.
WHEN AND WHERE THIS POLICY APPLIES
This policy applies to losses that occur during the policy
period. The policy period is shown on the Ikd~wafions.
Unless otherwise specified on the Dedarafi0~s, the
policy period 'begins and ends at 12:01 A.M., Standard
Thne at 'the stated address ofrthe Named I~smed.
Property Protection -- Section 1. This ~licy applies to
property losses as designated in the specific coverage and
at the location(s) insured under this policy. In addition,
personal property is covered while located anywhere in
the world.
Home and Family Liability Protection -- Section H. Tiffs
policy applies to bodily in]-ry, property dmaage and per-
sonal in]ary losses occurring anywhere in the world.
PROPERTY PROTECTION -- SECTION I
DWELLING COVERAGE
PERSONAL PROPERTY COVERAGE
OUR PROMISE
We will pay for loss to:
l. Your dwelling at the r~mee premises shown on
the Declarations. Dwelling includes attached struc-
tures, and building equipment and fixtures se/vicing
the premises.
2. Construction material at the residence premises for
use in connection with yom dwelling.
This c~verage does not apply to land or water, including
natural water, above or below the surface of the ground.
OTHER STRUCTURES COVERAGE
OUR 'PROMISE
We will pay for loss to:
1. Other structures at the residence premises separated
from the dwelling, including garages, fences, shelters,
tool sheds or carports.
Structures connected to the dwelling by only a fence,
utility line, or similar connection are- considered to
be other structures.
2. Construction material at tke residence iwemises for
use in connection with your Other ~tru~fires:
We do not pay for loss to structures:
1. used in whole or in. part for Imsi~ss purposes
(excep~ rental or holding for rental of structures used
for private garage purposes); or
2. used to store Imsia~ss property. However, if the
Imsiaess property is solely owned by miyone we
pro~et~, we do provide coverage for the structure.
The Imsiness property may not include gaseous or
liquid fuel, unless the fuel is in a fuel tank that is
permanently installed in a vehicle or craft which is
parked or stored in the structure.
This coverage does not apply to land or water, including
natural water, above or below the surface of the ground.
OUR PROMISE
We will pay for loss to:
1. Personal property owned or used by anyone we
prolect anywhere in the world.
2. At your option, personal property owned by others
while the property is on yonr residence premises.
3. At yom' option, personal property of:
a. guests and residonec emlloye~s while the prop-
erty is in a residence occupied by anyone we
protect;
b. resid~ce employees away from the residence
premises while actually engaged in the service of
anyoue we protect.
4. At your optiou, budding additions, ralterations, fix-
tures, improvements or installations made, or
acquired at yonr expense, by you to residences occu-
pied by, but not owned by.you, for an amount not
exceeding 10% of the amount of insurance under
this coverage. Payment will not increase the appli-
cable amount of insurance under this policy.
$. Cemetery property, includilxg monuments,
headstones, gravemarkers, and urns.
6..Animals, birds and fish, but 'only while on the resi-
dence premises, for the fuliowing perils to the extent
covered under Peril; We Insure Against: Fire or
Lightning, Windstorm or Hail, Explosion, Sonic
Boom, Riot or Civil Coraraotion, Aircraft, Vehicles,
Smoke and vandaBsm or Malicious Mischief
?. Electronic apparatus and equipment:
a.. while in or upon .a motor vehicle or other
motorized land conveyance; and
b. if the electronic apparatus is eq.uip, ped to be
operated by power from the electrical system of
the vehicle or conveyance while retaining its
capability of being operated by other sources of
power.
Electronic apparatus includes cellular phones, fax
machines, radios, tape and disc players, and similar
equi. l~n. ent or devices for the recording, reproduction,
reccuvmg or transmitting of sound or pictures.. Elec-
tronic apparatus also includes accessories used in
conjunction with such apparatus, including antenrms,
tapes, wires, records, discs or other media.
X
X
When there is a loss of tapes, compact discs or
shn'flar media by theft from a motor vehicle or other
motorized land conveyance, we will pay up to $150
for the tapes, compact discs or similar media.
We do not pay for loss to:
1. Land motor vehicles and parts.
a. We do cover vehicles not subject to motor
vehicle registration which are:
1) Des'~ned to assist the handicapped; or
2) Used solely to service the residence p~aises.
2. Aircraft and parts.
3. Electronic apparatus and equipment which is solely
powered from the electrical system of motor vehicles
or any other motmized land conveyances.
4. Property rented or held for rental to others away
fi'om the resideace I~a~mises.
5. Property of roomers, boarders or tenants not related
to anyone we protect.
6. Any of the following:
a. Books of account, drawings, or other paper
records containing [~ess data; or
b. Electronic data processing la. pes, wires, records,
discs, or other software medm coniaining b~si-
ness data. This includes Ims~ess data stored in
computers and related equipment.
However, we do cover the cost of unexposed or
blank records or media.
7. Radar deteciors.
8. Property specifically insured by this or any other
insurance.
9. Except as provided under. Special Limits -- Personal
Property, property pertaining to a busiaess conducted
away from the residmce premises unless at the time
of loss such prope~y is on the resideace premises.
However, we do not cover such property on the re~
de~ce p~emises while it is stored, held as samples, or
held for sale or delivepj after sale.
10. Land or water, including natural water, above or
below the surface of the ground.
SPECIAL LIMITS - PERSONAL PROPERTY
Limitations apply to the following personal property.
These limits do not increase the amount of insurance
under Personal Property Coverage:
Total Amount Description of personal
of Insurance In Property Subject to
Any One Lo~s Limitations
$250 *Animals, birds and fish
$250 *Money travelers checks stored value
cards, bank notes, bullion, numismatic
property, gold other than goldware or
~vld-plated ware, silver other than
erware or silver-plated ware and
platinum other than platinumware
$1000 *Theft of tradin~ cards, including
sports cards
$2000 *ACcounts, bills, deeds, evidences of
debt, letters of credit, notes other than
bank notes, passports~, securities,
tickets, stamps and philatelic property
$2000 *Trailers and campers not otherwise
insured, Whether licensed or not
$2000 *Watercraft, including their trailers,
whether licensed or not, fumishingsi
equipment and outboard motors
*Manuscripts
$2000
$2500
· Property pertaining to a Im~ne~
actually conducted On the resideaee
prmis=, including property in
storage, held as san~ples, or held for
sale or delivery after sale
$500 *Business property away from the res-
idence premises, regardless of whether
the business is conducted on or away
from the residence premises
$3000 *Theft of guns and related equipment
$3000 *Theft of jewelry, watches, furs, pre-
cious and semi.precious stones
$3000 .Theft of silverwareI : stix;er,plated
ware, goldware, gold-Plated ware and
10% of Per- ~Personal proP~y usually situated at
sonal Property any residence owned or occupied bY
Coverage -- anyon~ we protect other than a resi-
(but not less amce ~ises. Personal property in a
than $2000) newly,acq~d principal residence is
not subject t° tKis limitation for the 30
days immediately after You begin to
move Property there.
LOSS OF USE COVERAGE
OUR PROMISE
If an insured property loss makes your r '.esi~., .ce .pr~m., ',~es
u~inhabitable, we will pay all reasonable additional living
expenses while you and members 'of your household
reside elsewhere.
Payment shall be for the shortest time required to repair
or replace thc premises or, if you choose, for you to per-
manenlly relocate.
These payments will not exceed a 12 month period.
We will also pay for yo~ loss of normal rents resulting
from the loss, less charges and expenses which do not
continue while the rented part of the residence premises
is u~inhabitable. We will pay this loss of normal rents
onlyuntil, the rented part is habitable.
If a loss from a peril covered under Perils We lns~e
cditia/nst occurs .at a neighboring premises, we will pay
onal living expenses and loss of normal rents fo.~ up
to two.weeks should, civil auth0ritie's prohibit you f~0m
occuplnng your premases.
These periods: of time are not limited by the expiration
of this policy.
No deductible applies to this coverage.
We will not pay for loss or expense due to the cancella-
tion of any lease or aLn~ement.
This coverage also applies to a loss at a covered sec-
ondary location.
PERILS WE INSURE AGAINST
DWELLING AND OTHER STRUCTURES COVERAGES
We pay for risks of direct ,physical loss to property
insured under the Dwelling and Other Struct~es C~er-
ages except as excluded or limited herein.
We do not pay for loss:
1. Involving collapse, other than .as provided in What
We ~lso Pay, (2) Collapse;
2. Caused by freezing by t .c~;)[x~.ture reduction 'of a
plumbing, heating, air c'ondit~oning gutters and ~
spouts, or fire protective' Sys~m or of a houseliold
appliance, or by disc~, l~akage or overflow fro. m
within the system or appliance ca.used, by free .z~g,
while the dwelling is vacant, unOccu~ed or being
constructed.
There is coverage if you have used reasonable care
to:
a. maintain heat in the building; or
b. shut off the water supply and drain the system
or appliances of water.
3. By freezing, thawing, pressure or weight of water or
ice, whether driven by wind or not, to a fence, pave-
ment, patio, deck, swim~lin~ ~pool, foundation,
retai~ing wall, bulkhead, pier, wnan or dock.
4. Caused by constant or repeated seepag~ or leakage of
water o~ steam over a period of weeks, months or
years from within a plumbing, heating, air condi-
tioning, or fire protective system, or a household
appliance.
However, there is coverage if the loss is sudden and
accidental.
$. Caused by:
a. termites, vermin, insects, rodents, birds (except
glass breakage), skunks, raccoons, spiders or
reptiles;
b. mechanical breakdown, deterioration, wear and
tear, man, lng, inherent vice, latent defect, tree
roots, rust, smog, wet or dry rot, mold, fungus
or spores;
c. the dischar~, disposal, release or escape of any
solid, liquid, gaseous or thermal irritant,
pollutants or contaminant, including smoke,
vapors, soot, fmnes, acids, alkalis, chemicals and
waste. Waste includes materials to be recycled,
reconditioned or reclaimed:
d. smoke, unless the loss is sudden and accidental.
Smoke from s~oTicultural sm,!,t~ng or industrial
opeiations is not covered even ~f the loss is
sudden and accidental.
e. bulging, cracking, expansion, settling or
shrinking in ceilings, foundations, floors, patios,
decks, pavements, roofs or walls.
If a. through e. cause water damage not otherwise
excluded from a plumbing., h~ating, ~ conditi.oning
or tlre protective system, household appliance,
watcrbed or aquarium, we cover loss caused by the
water. Coverage includes the cost of tearing out and
replacing any part of a building necessary to repair
the 'system or appliance. This aoes not i~cb_~de loss
to the defective system or appliance (other than a
watcrbed or aquarium) from which the water
escapcd.
6. Caused by weather conditions if any peril excluded
by this policy contributes to thc. loss in any way.
7. Caused by acts or decisions, including the failure to
act or decide, of any person, group, organization, or
governmental body.
8. Caused by, resulting from, contributed to or aggra-
vated by faulty or inadequate:
a.. planning, zoning, development;
b. design, development of specifications, workman-
ship, construction;
c. materials used in construction; or
d. maintenance;
of property whether on or off the resid~ce premises
by any person, group, organization, or governmental
body.
9. Caused by animals or birds kept by anyoue we
protect or kept by a resideace eml~oyee of ~youe we
protect.
10. By theft of property, from within a dwelling under
construction unless that property has become a part
X
of the building, or of materials and supplies for use
m the construction until the dwelling is completed
and occupied.
Under items 1. through 10. any ensuing loss not
excluded is covered.
See Section I - What We Do Not Cover. Exclusions for
additional losses excluded.
PERSONAL PROPERTY COVERAGE
We pay for direct physical loss to property insured under
Personal Property Coverage caused by any of the fol-
lowing perils, unless the loss is excluded elsewhere under
this policy:
I. l~ire or Lightning.
Z W~mdstorm or Hail, but not including 10ss:
a. caused by frost, cold weather, ice, snow, sleet,
sand or dust;
b. to property Contained in a building, 'unless the
building is firs~ damaged by the direct force of 14.
wind or hail; or
c. to watercraft (except rowboats and canoes at an
insured location) and their trailers, fumishi~s,
equipment and motors unless inside a fully
enclosed building.
3. Explos~n.
4. Sonic Boom.
5. Riot or Civil Comm°tion.
]5.
6. Aircraft, including missiles and spacecraft.
7. Vehicles.
8i SmoKe, if the loss is sudden and accidenttl.
This does not include loss caused by smoke from
agriculttral smudging or industrial operations..
9. Vandalism or Malicious Mischief.
from a known location when' i~ is l~ely
~ property ha~ been stolen. :~We also cover ~ loss
-of covered personal property by theft while it is
unattended in or on a motor vehicle, trailer, or
watereraft~
This docs not include:
a. thct~ committed by anyone we protect;
b. theft of property from within a dwelling under
construction unless that property has become a
o~r uOf the building; or of m~terials ami supplies
se in the construction until the dwelling is 16.
completed and occupied;
17.
X c. theft of property while at another dwelling or
adjacent structures owned by, rented to, or occu-
pied by anyone we protect unless anyone we
protect is temporarily residing there.
'X Property of a student we protect is covered while
at a residence away from home. This coverage is
not subject to the 10% of Personal Protx'rty
Coverage limit under Special Limits - Personal
Property.
Theft losses must be promptly reported to us
and to the police.
112 Falling Ol~ects, but not including:
a. loss to property contained in a buil~, unless
the falling object first dama~s the building exte-
rior; or
b. damage to the falli~ object:
12. Weight of Ice, Snow or Sleet.
This does not include loss to personal property
outside the building,
Imming or bulging of a steam or hot water heating
system, an air ~:miditioning system, or fwe protective
system, or an applinnee for heating water.
This does not :cover loss caused by or resulting from
Freezing by temperature reducti°n of a plumbing,
heating, air conditioning, or fire protective system, or
of a household ~.
This does nOt include loss on the residence premises
while., the dwelling is u~OCcupied unless yon have
Used reasonabl~ care to:
a. maintain heat in the buildin~ or
b. shut off the water supply and drain the system
or appliances of water~ ' . ·
or O* nOW of water or
from within a Plumbing, heating, air eonditim~, or
fire Pr°tectiVe system,~017d appliance, waterbed
or aquarium,
This does not include loss:
a. to ~ building caused by constant or repeated
~ seepa~. 'or leakage, 0~r a period i of Wecks,
m6htks or years; ~ ~
b. to the ='defective system or apPliance (other
a waterbed or aquarium); . · .
c. caused by or resulting from fr~zing; '
.discharge or ovedl0W whiclxi0ccurs off the resi-
deuce premises;
e. caused by overflow from gutters or drain spouts.
For this peril, a plumbing system does not include a
sump, sump pump or related equipment.
Damage due to a sudden and accidental surge of
electrical current.
Volcanic Eruption.
This does not include loss caused by earthquake,
land shock waves or tremors.
Volcanic eruptions occurfin~ within a 72 hour period
will be considered one volcanic eruption.
WHAT WE DO NOT COVER - EXCLUSIONS
(Also see specific Exclusions under Dwelling and Other
Structures Coverages -- Perils We Insure AgainsO
We do not pay for loss resulting, directly or indirectly
from any of the following, even if other events or hap-
~eo~_.mngs contributed concurrently, or in sequence, to the
1. by earth movement, due to natural or manmade
events, meaning earthquake including land shock
waves, or tremors before, during, or after a Volcanic
Eruption, n~ne subsidence, sinkhole, landslide,
mudslide, mud flow, earth sinking, rising~ or shifling.
Direct loss by Fire, Explosion, Sonic Boom, Theft or
~neakage of Glass resulting from earth movement,
subsidence, sinkhole, landslide, mudslide, mud
flow, earth sinking, rising or shifting is covered.
2. by water damage, meaning: ~
a. flood, surface water, waves, fides, tidal water or
overflow of a body of water. We do not cover
spray from any of these, whether or not driven
by wind;
b. water or sewage which backs up through sewers
or drains, or water which enters into and over-
flows from within, a sump ptlmp, sump pump
well or any other system' designed to-remove
subsurface water which iS drained from the foun-
dation area; or
c. water below the surface of the ground. This
includes water which exerts pressure on, or
flows, seeps or leaks through any part of a
buildin~ or other structure including sidewalks,
driveW;~ys, foUndations, pavements, patios,
swimming pools or decks.
We do pay for direct loss that follows, caused by
Fire, Explosion, Sonic Boom or Theft.
3. by power interruption if the interruption takes place
away from the r~sideace premises. If a loss from a
peril covered under Perils We Insure Against
happens on the resinate premises ag'a result of a
power interruption, we will cover only loss caused by
that peril.
4. by war, whether declared or undeclared, discharge of
a nuclear weapon(even if accidental), hostile or
warlike action in time of peace or war, insurrection,
rebellion, revolution, civil war, usurped power,
including action taken by govenunental authority in
defending against such an oecmrrence.
5. by nuclear action or radiation or radi6acfive contam-
ination, however caused. Nuclear action includes
nuclear reaction, discharge, radiation or radioactive
contamination, whether manmade or occurring
naturally.
Loss caused by nuclear action is not considered loss
by Fire, Explosion, Sonic Boom or Smoke.
ff loss by Fire results, we will pay for that resulting
10 SS.
6. by radon gas contamination.
7. by the enforcement of any ordinance or law regu-
lating the construction, repair or demolition of a
building or other stngture, unless specifically pro-
vided under this policy. We do cover loss caused by
actions of civil authorities to Prevent the spread of a
fire caused by a ~ covered Under Perils We Insure
Against.
8. by neglect of m~yoae we protect to use all reasonable
means to prOtect covered Property at :and .after the
time of lOss or when property is threatened by a peril
covered under Perils We Irm~e Against.
9. bY intentionS) loss, meaning any loss arising from an
ac~ Committed by or at the ~ction of :myoae we
protect with the 'intent to cause a loss.
10. by the destruction, confiscation or seizure of prop-
erty by order of any governmental or civil authoriiy.
We do cover loss caused by actions of governmental
or civil authorities to prevent the spread of a fire
caused by a peril covered under Perils We Insure
Against.
11. by the inability to corn~ly process, reco~i~.e, dis-
tinguish, interpret or accept any date or time for loss
or damage to electronic data processing equiPment,
computer networks, computer hardware (inc~g
microprocessors either as part' Of a computer system
or operating omsi&, of a system), computer pro-
grams, software, media or data.
We will not pay for:
a. any repair, restoration, replacement or modifica-
tion to correct any .deficiencies or c~any
features or functions; or '
b. loss or damage, regardless of when ~he electrOnic
data processing equipment, computer hardware,
computer programs, software, media or data
were purchaSed, obtained or installed.
10
X
WHAT WE ALSO PAY
(1) AUTOMATIC GARAGE DOOR OPENER
We will pay up to $500 for loss to personal property,
including the garage .door, at the re~de~ce I~ises
re~ltin; from the use or malfunction of an autOmatic
garage ~oor opener.
(2) COLLAPSE
We will pay for direct physical loss to insured property
involving collapse of a building or any part of a building.
Collapse means the sudden caving in or falling down of a
bulldog or part of a building. Collapse of a building, or
part of a building must result in the inability of that
property to be used for its current intended purpose.
Collapse does not include:
1. a building or part of a building that is in danger of
collapsing;
2. a building or part of a building that is standing even
if it shows evidence of cracking, bulging, ~,ging,
bending, lemfing, settllng~ shrinkage, exl~msion; or
3. part of a building still standing but is no longer
attached to another part 0fthe building.
Loss to insured property involving collapse of a building
or any part of a building must be caused only by one or
more of the following:
1. Fire or Lightning, Windstorm or Hail, Explosion,
Sonic Boom, Riot or Civil Commotion, Aircl~ft,
Vehicles, Vandalism or Malicious Mischief, Breakage
of Glass, Falling Objects, or Weight of Ice, Snow or
Sleet;
2. hidden decay, or hidden insect or vermin damage not
known to anyone we protect prior tOr the collapse;
3. weight of people~ animalsi contents or equipment;
4. weight of rain which colleCts off a roof;
5. use of defective materials or methods in con-
grtlction, rem0deling;..or renovation if the collapse
occurs during the course of the construction, remod-
eling or renovation.
We will not be liable for loss under 2., 3, 4. or 5. above
to the following property unless the loss is a direct result
of the collapse of a building or'any part of a building:
Cloth awnings, fences, pavements, patios, swimming
pools, decks, underground pipes, flues, drains,
cesspools, septic tanks, foundations, retaining walls,
bulkheads, piers, wharves or docks.
Payment does not increase the amount of insurance
applying to the loss.
(3) CREDIT CARD, CHARGE PLATE, CHECK FORGERY
AND COUHTERFEIT MONEY PROTECTION
We will pay up to $2500 for the legal obligation of
anyone we protec! to pay because of Theft, forgery or
unauthorized use of any c~lit or fund transfer card,
charge Plate, check or negotiable instrument issued to or
registered in the name of anYone We protect, We will
also pay for loss each time anyone we protect unknow-
ingly accepts counterfeit money.
No deductible applies to this coverage. We require evi-
dence of loss.
We will not pay for:
1. loss arising from any Imsim~;
2. loss arising from anyone we protect.
When loss is discovered, anyone we protect must give as
immediate notice, ff the loss involves a credit or fund
transfer card or charge plate, anyone we protect must
also give immediate notice to the issuer of the card or
plale. Failure to comply with the terms and conditions
of the card or plate voids this protection. '
ff a loss occurring during the policy period is discovered
within a year after the policy has been cancelled, we will
pay for the loss. ff a prior loss is discovered during the
policy period and no other insurance applies, we will pay
for the loss. We have the right to investigate and settle
any claim or suit before making payment. Full payment
of the amount of. insurance ends oar obligation under
each claim or suit.
Repeated losses caused by .or involving one person are to
be considered one loss.
ff a claim is made or suit is brought against anyone we
protect for liability under the Credit Card or Charge
Plate Protection, we will provide a defense. The defense
will be at o~r expense, with a lawyer we choose.
We have the option under the Check Forgery Protection
to defend at our expense anyone we protect or their bank
against a suit for the enforcement of payment.
(4) DEBRIS REMOVAL AFTER LOSS
We will pay the expense for removal of:
1. debris of covered property following loss under Per//s
We Imure Agai~t;
2. ash, dust or particles from Volcanic Eruption that has
caused direct loss to a building or property within a
building; or
3. fallen trees which cause damage to covered property,
provided coverage is not afforded elSewhere by this
policy.
ff the amount of insurance applyin~ to the loss is
exhausted, we will pay up to an additional 5% of the
amount of insurance applying to the damaged property
for removal of debris.
We will also pay up to $1000 per occurrence with a limit
of SS(g) per tree for the removal of fallen trees on the res-
kle~ce premises if loss is caused by Windstorm, Hail or
11
X
X
Weight of Ice, Snow or Sleet even when covered prop-
erty is not damaged.
EMERGENCY REMOVAL OF PROPERTY
We will pay for property ~d in any way while
removed from yOUr residmce premises because of dan~er
from an insured peril. Coverage is limited to a 30-day
period from date of rem°val. Payment will not increase
the amount of insurance applying to the loss.
(6) FIRE DEPARTMENT.SERVICE CHARGES
We will pay all reasonable fire depaxtment service
charges to save or protect insured property. Payment is
in addition to the amount Of insurance applying to the
loss.
No deductible applies to this coverage.
(7) FIRE EXTINGUISHER RECHARGE
We will pay expenses recurred to recharge portable fire
extinguishers after they are used to fight a fire.
No deductible applies to this coverage.
(8) LOCK REPLACEMENT AFTER LOSS
At your request, we will pay up to $250 to replace keys
and locks to the exterior doors of the residence premises,
as well as keys and locks to your other property (autos,
boats, etc.), if the keys are stolen during a Theft loss.
This coverage does not apply to keys and locks per-
raining to business property.
We will pay for replacement of automatic garage door
tran~mitters when a frans=hitter has b~n stol~n. Cov-
erage is also provided for the cost to reprogram the fi-e:
quency on additional transrm'tters and/or the control unit
box.
No deductible applies to this coverage.
(9) LOSS ASSESSMENT
(Applicable to Section I and Section II - Personal
Liability Coverage On~v)
We will reimburse yo~ for an assessment c~d against
you as owner or tenant of the residm~e Pr~ses by an
association or corporation of property owners, minus
any other valid and collectible insurance available to the
association or cor~ration covering the same assessment.
Under Property Protection - Section I, the assessment
~hnst result from a din~ct loss to property, owned by all
e property owners collectively, caused by a~y of the
Perils We Insure Against. Under Section 11 - Personal
Liability Coverage On~y, the assessment must result from
an ocemrenee covered under this policy.
Unless other~vise shown on the Dedm'~ttioas, OUr
amount of insurance for this protection is $5000 per
asses~lnent.
ff you are assessed for a covered water loss, we will pay
your sha~ of the cost of tearing out and replacing any
part of an inmred location necessaxy to repair the system
or appliance.
The POlicy deductible applies to each dwelling under
ProPerty Protection - Section I only.~
We will not pay if the loss is caused by earthquake or
land shock waves or tremors which occur before, during
or after a Volcanic Eruption.
We also will not pay for any loss assessments charged by
a governmental body.
(10) MECHANICAL SERVANT AND ROBOT
PROTECTION
We will pay up to $500 for loss to personal property at
the residence premises caused by malfunction of a
mechanical servant or robot.
(11) NON-OWNED RESIDENCES
We will pay up to $1000 for loss by Theft and
Vandalism or Malicious Mischief to residences occupied
by, but not owned by ~yoae we pro~ect.
(12) ORDIHANCE OR LAW COVERAGE
ff a loss by a peril W..e.. Insure dsa. inst occurs to covered
property, or the building containing the covered prop-
erty, we will pay for the increased costs incurred due to
the enfOrcement of 'any ordinance or 'law that is in force
.at the time of the loss up to 10% of the amount of
.insurance under Dwelling Coverage or $5000, 'whichever
is greater.
You may use this coverage for:
1. the construction, demolition, renovation or repair of
the POrtion of the building damaged by a Peril We
Insure Against; or
2. the demolition and reconstruction of the undamaged
POrti0.n of the building if the entire building must be
demolished because of damage by a peril Weln.rure
Against~ or
3. the removal or replacement of the undamaged
POrtion of the building because of the repair or
replacement of the POrtion of the building dama~d
by a Peril We Insure Against, or
4. the removal of debris resulting from the con-
struction, demolition, renovation, repair or replace-
ment of 1., 2. or 3.
Ordinance or Law Coverage does not include coverage
for:
1. loss in value to any covered building due to the
requirements of any ordinance or law; or
2. the cost to comply with any ordinance or law
requiring the testing, monitoring, cleaning up,
removing, containing, treat½n~, detoxifying, nentral-
izi~..g., .resl~..nding to or asse~ing the effects of any
solid, liqmd, gaseous or thermal irritant, POllutant or
contaminant in or on any covered building.
X
12
(13) REFRIGERATED PRODUCTS
We will pay for loss to the contents of refrigerator or
freezer units on the residence premises from either power
or mechanical failure.
Coverage will be void ff the contents are on the residence
premises for business purposes.
(14) TEMPERATURE CHANGE
We will pay for loss to insured personal property
resulting from change of temperature. There must first
be damage done by a peril covered under Perils We
Insure Against occurring at the residence premises.
Payment will n°t increase the amount of insurance
applying to the loss.
(15) TEMPORARY REPAIRS Ar;.-R LOSS
We will pay for reasonable and necessary expenses for
,rep=s to op -ty
age ~ 1o~ by a ~ cove~d ~d~ P~
We l~e ~ga~t.~ ~a~t ~ not ~ t~
~o~t of ~ce appl~ to the loss.
(16) TREES, SHRUBS, PLANTS AND LAWNS
We will pay up to an additional 5% of the amount of
insurance under Dwelling_ Coverage for loss to trees,
shrubs, plants and lawns at the re~dence premises.
Coverage applies only to loss caused by the' following
perils covered under Perils Fee Ins~e Against: Fire or
Lightning, Explosion, Sonic Boom, Riot or Civil
Commotion, Aircraft, Vehicles, Smoke, Vandalism or
Malicious Mischief and Theft.
We will not pay for:
1. more than $500 on any one tree, shrub or plant;
2. damage to lawns by vehicles owned or operated by a
resident, of the reaidmce premises;
3. trees, shrubs, plants or lawns grown for Imsinem pur-
poses.
DEDUCTIBLE
We will pay for' loss minus the deductible shown on the
Dedaratiom. Unless otherwise provided in an endorse-
merit, in the event of total loss to the Ihvelling from a
covered peril, the deductible will not apply.
The deductible does not apply to: 1. Loss of Use Coverage
2. Credit Cord, Chorge Plate, Check Forgery and
Counterfeit Money Protection
3. Fire Department Service Charges
4. Fire Extinguisher Recharge
5. Lock Replacement After Loss
'13
RIGHTS AND DUTIES -- CONDITIONS -- SECTION I
(1) ABANDONMENT OF PROPERTY
We are not required to accept abandoned property.
(2) APPRAISAL
If yo~ and we fail to agree on the amount of loss, on the
written demand of either, each party will choose a com-
~p~dentittent appraiser and notify the other of the appraiser's
y within 20 days a~er the demand is received. The
~ppmisers will select a competent and impaxtial umpire.
the appraisers are unable to agree upon an ~umpire
within 15 days after both appraisers have been identified,
you or we can ask a judg~ of a court of record in the
state where yo~ resideuee I~emises is located to select an
umpire.
The appraisers shall then set the. amount of loss. If the
~e raisers submit a written report of an agreement to
amount agreed upon shall be'~the 'amOunt of loss. If
they cannot agree, they will,submit~their.diiferences to
the umpire. A written award by two will determine the
amount of loss.
Each party will pay the appraiser it chooses, and equally
beax expenses for the umpire and all other expenses of
the a~p.r~.'sal. However, if the written demand for
apprmml is made by .s, we will pay for the reasonable
cost of yo~ appraiser and your share of the cost of the
We will not be held to have waived any rights by any act
relating to the appraisal.
(3) AUTOMATIC ADJUSTMENT OF
COVERAGE AMOUNTS
This policy provides yo~ with a guard against the effects
of inflation in construction costs.
We will keep track of costs and at the next policy period
we will adjust the amount of ymsr building coverage ff
necessary. Adjustments in other coverages (Other Struc-
t~es Coverage and Personal Property Coverage) will also
be made proportionately. Your premium will be
adjusted at each policy period to reflect any change in
the amount of insurance.
During the policy period, ff there is an increase in con-
struction costs and a loss occurs, we will reflect the
increase in the amount of insurance before making
payment. There will be no charge for this additional
coverage.
However, if for any reason other than inflation or con-
struction costs, the amount of insurance on your home
becomes inadequate, or if you made substantial improve-
ments to your home and failed to notify m to increase
the amount of your insurance, the amount of insurance
shown on the Dedm'afions will be thc full amount avail-
able should a loss occur.
(4) ERIE OPTION
If we give yo~ written notice withiq 30 days after we
receive your signed, sworn statement of loss, we ma
ay
repair or replace any part of the property damaged with
equivalent property.
(5) GLASS REPLACEMENT
Loss to glass caused by a peril covered under Perils We
lns~e Against will be settled on the basis of replacement
with safety glazing materials when required by law.
(6) INCREASE OF HAZARD
Unless we agree beforehand, coverage is suspended ff the
hazard is substantially inci~a~ed by any means within the
control or knowledge of any0~e we ~oteeL
(7) LOSS PAYMENT
We will settle any claim for loss with you. We will pay
you unless some other person is named in the policy or
is legally entitled to receive payment. We will p~y w~thin
30 days after we receive your proof of loss and the
amount of loss is finally determined by one of the fol-
lowing:
1. we have reached an agreement with yo~; or
2. there is.an entry of final judgment; or
3. there is a filing of an appraisal award on your behalf.
(8) LOSS SETTLEMENT
The increased cost incurred to comply with the enforce-
ment of any ordinance or law is not included under this
condition, except for coverage that is provided under
Ferhat We Also Pay, Ordinance or Law Coverage.
The following types of losses will be settled on an actual
cash value basis. This means we will deduct Tor depreci-
ation.
Losses to:
· property insured under Personal Property Coverage
· structures that are not buildings or carports
· carpeting
· household appliances
· cloth awnings
· outdoor antennas and outdoor equipment, whether
or not attached to buildings
· insured buildings and structures which do not meet
the requirements for a replacement cost settlement
described below.
X
14
X
The actual cash value will be determined at the time of
the loss. Payment will not exceed the amount necessary
to repair or replace the damaged property.
Dwelling and Other Structures Coverage
Loss under Dwelling Coverage or Other Structt~es Cov-
erage will be settled by one of the following methods:
1. REPLACEMENT COST SETFLEMENT
(meaning we will not deduct for depreciation):
a. provided the Declarations shows the Automatic
No-Depreciation Settlement applies; or
b. ff at the time of the loss, the amount of insur-
ance applying to the insured building is 80% or
more of the t~ull rep]acc~ncnt cost of the building
immediately prior to the loss; or
c, if the cost to rep or replace the damage to an
insured building is both:
1) less than $2500; and
2) less than 5% of the amount of insurance on
the building.
In making a replacement cost settlement, we will pay
~ou the cost of repair or replacement, without
eduction for depreciation. Payment will not exceed
the smallest of the following amounts:
a. the amount of insurance applying to the
building; or
b. the replacement cost of that part of the building
damaged for equivalent construction and use on
the same premises; or
c. the actual amount spent to repa. ir or replace the
damaged building.
In determining 80% of the full replacement cost of
the building, the value of the following will not be
considered:
a. excavations,
b. foundations below thc basement floor,
c. ]~)iers and other supports below the basement
Iloor,
d. if there is no basement, thc value of all items
below thc surface of the ground inside the foun-
dation walls.
2. LESS THAN FULL RBPLACEMENT COST
SBTTLEMBNT
If full replacement cost settlement does not apply, w~
will p.a), the larger of thc followin4; amounts, but not
exceeding thc amount of insurance under this policy
applying to the building:
a. the actual cash value of that paxt of thc building
damaged; or
b. that proportion of the full cost to repair or
replace the damage which thc total amount of
insurance in this policy on the damaged building
bears to 80% of the replacement cost of the
building.
We will pay no more than the actual cash value of the
damage until the actual repair or replacement is com-
pleted. However, when the loss is both less than $2500
and less than. 5% of the amount of insurar~e on the
building, we will pay thc full replacement cost before
actual repair or replacement is completed.
You may disregard the replacement cost provision and
make claim for loss or damage to buildings on an actual
cash value basis.
Yoa have the right to make claim~ within 180 days after
thc loss, for any additional amounts we will be required
to pay under this Loss Settlement provision.
(9) LOSS TO A PAIR OR sET
If there is a loss to a pair or set we may:
I. repair or replace any part of the pair or set to restore
it to its value before the loss; or
2. pay thc difference between actual cash value of the
property before and after the loss.
(10) MORTGAGE CLAUSE
Loss under Dwelling Coverage or Other Struct~es Cov.
erage shall be payable to mortgagees named on thc Dec-
laratious, to the extent of their interest and in the order
of precedence. .
Our Du~eS
We will:
1. protect the mortgagce's interests in an insured
building. This protection will not be invalidated by
any act or neglect of ;myone we Iwo~ect, any breach
of warranty, increase in hazard, Change of ownership,
or foreclosure if the mortgagee has no knowledge of
these conditions;
2. give mortgagee 30 days prior notice if we cancel or
refuse t° continue this policy;
3. give mort~e notice if yo~ cancel this policy.
Mortgagee's Duties
The mortgagee will:
1. furnish proof of .loss within 60 ,'daYs after receivin~
notice from as if YOu fail to do so;
2. pay upon demand any premium due if you fail to do
so;
3. notify us of any change of ownership or occupancy
or any increase in hazard of which the mortgagee has
knowledge;
4. give us the right of recovery against any party liable
for loss. This shall not impair the mort~agcc's right
to recover thc full amount of the mortgage debt;
5. after a loss, permit us to satisfy the mortga~ require-
ments and receive full transfer of the mortgage and
all securities held as collateral to the mortgage debt;
6. at our request, submit to examinations under oath.
Policy conditions relating to Appraisal, Loss Payment
and Suit Against Us apply to the mortgagee.
This condition shall also apply to any trustee named on
the Dedarations.
15
(11) NO BENEFIT TO BAILEE
No bailee shall benefit, directly or indirectly, from this
insurance.
(12) OTHER INSURANCE
If both this insurance and other insurance apply to a
loss, we will pay oar share. O~ share will be the
proportionate amount this insurance boars to the total
amount of all applicable insurance, except insurance in
the name of an association or corpomtaon of property
owners.
If there is other insurance in the name of an association
or corporation of property owners covering the same
property covered by this pOlicy, the other insurance
applies first.
(13) PERMISSION GRANTED TO YOU
Coverage applies even when yom- described dwelling is
vacant Or unoccupied, except where limited under Per//s
l/ge Insure Against,
You may make alterations, additions and repairs to your
building, and complete slructures under construction.
You may waive your rights to recovery against another
involving the insured property. This must be done in
writing prior to a loss.
!
(14) RECOVERED PROPERTY
If we have made payment on property which has later
been recovered by you or us, you or we will' notify the
other of the recovery. You have a right to the recovered
property. If you elect to have the property, you will
repay us the amount of our payment to you,
(15) SUIT AGAINST US
We may not he sued unless there is full compliance with
all the terms of this pOlicy. Suit must be brought within
one year (Maryland - three years) after the loss or
damage OCCRTS.
(16) WHAT TO DO WHEN A LOSS HAPPENS
In case of a loss, anyoue we protect must:
I. give us or our Agent immediate notice of the loss. If
the loss is due to criminal activity or theft, you must
also notify the pOlice;
2. do whatever pOssible to recover and protect the
property from further damage. If it is necessary to
protect the prolSerty, you must make reasonable
repairs, and kbsp a record of all repair costS;
3. furnish a complete inVeatOry of damaged property~
including q~m~tity, actual cash value and amount ox
loss claimed;
4. produce for examination, with permission to copy,
all books of a~counts,~ bills, invoices, receipts, other
vouchers and other financial information as we may
reasOnably require;
5. show as or oar representative the damaged property,
as often as may he reasonably required;
6. at our request, separately submit to examinations
and statements under oath and Sign a transcript of
the same;.
7. cooperate with'as in our investigation ora loss and
any suits; '
8. send us, within 60 days after our request, your signed
and swom proof of loss statement which includes an
explanation of the following: '
a. time and cause of loss;
b. your interest in the property and the interest of
all others involved;
c. any encumbrances on the pmpe~
d. other pOlicies which may cover the loss;
e~ any changes in title, use, occupancy or pos-
session of the property which occurred during
the pOlicy term;
f. when required by us, any plans, s~cifications
and estimates for the repair of the dama~d
building;
g. the inventory of damaged property as prepared
in 3. of this cOndition;
h. receipts for any additional living costs as a result
of the loss, and records of pertinent rental loss;
i. in case of Claim under Credit Cord, Chorge
P/ate, Check Forgery and Counterfeit Money
protection, an affidavit statin :-amount, time and
cause of loss,
16
HOME AND FAMILY LIABILITY PROTECTION -- SECTION Ii
Personal Liability Coverage includes Bodily Injury Liability Coverage, Property Damage Liability Coverage and Per-
BODILY INJURY LIABILITY COVERAGE
PROPERTY DAMAGE LIABILITY COVERAGE
OUR PROMISE
We will pay ail sums up to thc amount shown on the
Dedm-atio~ which auyoue we pro~ect becomes legally
obligated to p~y: as damages because of bodily i~jm, y or
~ damage caused by an ne°m'e~ce during the
~ollcy peri°d. Wc will pay for only bodily i~|~ry or
properly d;u~ge covered by this policy.
Wemay investigate or settle any claim or suit for
damages against ;myo~e we proiect~ at oar eXpense~ If
m~youe wc protect is sued for damages because of bodily
injury or IW°l~ty dmmtge covered by this policy, we will
provide a defense with, a lawyer wechoOse, even ii' the
allegations arc not true. We arc not obligated to pay any
chlm or judgment or defend any suit if we have already
used up thc amount of insurance by paying a judgment
or settlement i
PERSONAL INJURY LIABILITY COVERAGE
OUR PROMISE
We ~ payall sums up to thc amqunt shown,On the
Dedm'atio~s which m~youe we protect becomes .~leg~al!y
obligated to pay as damages because of persoual injury
caused by an offense Committed during the policy ~o~.
We wi]] pay for Only pers~l injury covered by this
We may inVestigate or settle any claim ~r' suit for
damages against anyone we proteci, at our expense. If
~my°~e we pro~ect is sued for damages because of per-
~?in~rY covered by-this ~policy~ we will provide a
defens~ Witha lawyer we choose, even if the'allegations
arc'nOt tree, We are not obligated topay any claim or
judgment or &fiend any suit if we have already ~ up
the amount of insurancc by paying, a judgm~ ent or settle-
ment.
MEDICAL pAyMENTS TO OTHERS-
COVERAGE ~
OUR PROMISE
We will pay thc necessary medical expe~es incurred or
medically. ,determined within three years from the date of
an accident causing bodily injury or pe~mml i~my. This
threc-ycar limitation docs not apply to funeral expenses.
This coverage docs not apply to .you or regular residmts
ofy°ur household; other4han residence employees.
To others, we will pay only in the following situations:
I. To a person on an im~red Io~tiou with the permis-
saon of :myoue we I~o~e~; or
2. To a person off an im~red lo~tiou" ff the bodily
in~ry or I~W~m~l in'l~y:
a. arises oul of a condition on an insm-ed Io~tio~
or adjolnlug ways;
b. is caused by the activities of ~myoue we Im~ecl;
c. is caused by a reide~e employee in the course
of employment by m~yo~e we Iwo~e~;
d. is caused by an animal m~youe we pro,ecl owns
or is ca~ng for.
Payment under this coverage is not an admission of
liability by m or m~youe we ~'o~ec~.
WHAT WE DO NOT COVER - EXCLUSION8
Bodily lajury Li~lity Coverage
Prol~~ Damage Liability Coverage
Persoual Injury Liability Coverage
Medi~l Payments To Others Coverage
We do not cover under Bodily Injury Liability Coverage,
Property Damage Liability Co~era~e, Pers°nal Injury
Liability Coverage and Medical Payments to Others Cov-
erage:
expected or intended by :myoue we protect even fi:
a. the degree, kind or. quality of the inj.ury, or
d~ is diffC~mt than what waS expected or
intended; Or
b. a different .person~ entity, re~,l or personal prop-
erty :sustained the. injury or damage than was
expected or inlended.
We do cover reasonable acts committed to prolect
persons and prol~ty.
2. Bo4Hy init, property' danmge or pemo~l inim~ff
arising out of Imsi~ss pursuits of ~myoue we
We do cover:
a. activities normally considered non:b~sin~s;
b. Imsiness pursuits of Salespersons, collectors, mes~
sengers and clerical office workers employed by
others. We .do not cover inslallation, demon-
stration and sersucing operations;
c. bminess pursuits of educators while employed by
others as educators, including corporal punish-
ment of pupils;
d. occasional Imsi~ss aclivities of :myo~e we
I~o~ec~. These include, but are not limRed to,
17
baby-sitting, caddying, lawn care, newspaper
delivery and other similar activities.
We do not cover regular Int~iaess activities or
I~ess activities for which a person is required
to be licensed by the state;
e. the ownership of newly-acquired one or two
family dwellings, but only for a period of 30
consecutive days after acquisition unless
described on the ~aratio~s.
3. Bodily iaj.~, ~ 4~mage or persomal injury
arising out of the rental or holdir~ for rental of the
resi4enee premises by anyone we protect.
We do COver ffthe re"ideaee
a. occasionally rented or held for rental to others as
a residence;
b. rented or held for rental in part as a residence,
unless for the accommodation of more than
three roomers or boarders;
c. rented or held for rental in ,part as an office,
school, studio or private gaxggc.
4. Bmlily iajary, ix~l~y d~aage or perso~i
arising out of the rendering or failing to render pro-
fcssional services. Professional services include, but
arc not limited to:
a. any.architectural, engineering or industrial design
b. any medical, surgical, dental or other services
contributing to the health of persons or animals;
c. any beauty or barber services;
d. any legal, accounting or insurance services;
e. the servicing~ installation, or maintenance of
computer hardware or software;
f. the selling, designing, licensing, consultation,
franctfifing, furnishing or creation of computer
hardw .a~ or so~arc, including electronic data
processing programs, designs, SPecifications,
inanuals Or inst~0~s.
arising out of any premises Owned bY Or ,rented to
· ayoae we protect which is not an ins. red Ioeafio..
This exclusion does not apply to' bodily iajary or
lnn.,~ i.~ to a r~ e,al~yee ~ out of
and in the course of employment by anyone we
6. Bodily iai.fy, propaty 4~mage or Inrso.~l iai.fy
arising om of the ownership, maintenance or use of.'
b. any land motor vehicle owued or operated by or
rented or loaned to anyone we proteot.
We do cover motor vehicles fi:
1) they are used solely'at an' ir, sured
and not subject to motor vehicle 'registration;
2) they are kept in dead storage at an insured
3) they arc a recreational land motor whicle
not designed for use on public roads while at
4) they are a golf cart, wherever used or
located;
5) they are a lawn or farm' type vehicle or
mowblower, wherever used or located, ff not
subject to motor vehicle registration;
6) they are designed to assist the handicapped.
c. Watercraft:
1) owned by or frequently rented to anyone we
protect if it has inboard or inboard-outdrive
motor power of more than 75 horsepower;
2) owned by or frequently rented to anyone we
p~'oteet if it is a ~iling vessel 26 feet or more
m length; or
3) powered by one or more outboard motors
with more than 75 tOtal horsepower owned
: by anyone we protect at the beginning of the
policy period.
However, if anyone we protect acquires watercraft,
re ..g.a. zdless of horsepower, coverage applies dafi~ the
policy period. If the watercraft is acq~d within 60
~da'ys of ~ end :of the polio/period, we will provide
coverage, xor a maximum of 60 days. We have the
right to charge yon an additional premium.
Exclusion 6. c.~ does not apply while the watercraft is
stored on shore'.
Exclusion 6. d°e~ not apply to ~ injury or personal
injury to any residence eml~oyee arising out of and in the
course of employment by mayoae we protect.
We do not cover liability arising out of the negligent
entmstment of an aircraft, motor vehicle or watercraft
excluded in 6.
We also do not cover statutorily imposed vicarious par-
ental liability for the actions of a child or minor using an
aireraft, motor vehicle or watercraR excluded in 6.'
7. Bodily injury, ~ damage or ~ iajary
arising out of v.;ar ~deciared or undeclared), civil war,
insurrection, rebellion or reVOlution.
Discharge of a nuclear weapon is considered a
warlike act, even ff accidental.
8. Bodily injury or personal i~jary which arises out Of
or re ~s~ultS from a ~Ommunichble disease or condition
transmitted by anyone we protect to any other
person through a parasite, ~irus, bacteria or any
other organism.
9. Except as provided in paragraph 2.c. under *What
We Do Not Cover-- Bodily Injury Liability coverage,
Property Damage Liability Coverage. Personal Injury
Liability Coverage and Medical Payments To Others
Coverageff ~ injury, prol~ty {lam e or per-
somal injury which arises om of tat~ sexual
molestation, corporal punishment or physical or
mental abuse by anyone we protect.
10. Bodily injury, la~erty damage or personal iajary
which., arises out of the use, sale, manufacture,
delivery, transfer or possession by any person of a
Controlled Substance(s)as defined by the Federal
Food and Drug Law at 21 U:S;C.A. sections 811
and 812. Controlled Substances include but are not
limited to cocaine, LSD, marijuana and all narcotic
drugs. However, this exclusion does not apply to
X
X
18
the legitimate use of prescription dru~s by a person
following the orders ora licensed phyacian.
l 1. Bodily injury, properly damage or peyotl injury
which arises out of the discharge, disposal, release or
escape of any solid, liquid, gaseous or thermal
irritant, pollutant or contaminant, including smoke,
vapors, soot, fumes, acids, a~kalis, chemicals, and
waste. Waste includes materials to be recycled,
reconditioned or reclaimed.
12. Punitive or exemplar~ damages and related defense
costs.
X
We do not cover under Bodily Injury Liability Coverage,
Property Damage Liability Coverage or Personal Injury
Liability Coverage:
1. Liability assumed under any oral contract or agree-
ment, or by contract or agreement in connection
with any I~sine~ of anyone we protect.
2. Liability for your share of any loss assessment
charged against all members of an association or cor-
poration of property owners. This exclusion does
not apply to What We Also Pay, (9) Loss ~lssess-
ment, Section 1 of this policy.
3. Pn~'ty d~n~ge to property owned by anyoue we
4. Pretty dm~ge to property rented to, occupied or
used by, or in the care of.anyone we protect. This
exclusion does not apply to inopmy d~mge caused
by Fire, Explosion, Sonic Boom or Smoke, or by
accidental discharge of water from a waterbed or
aquarium.
5. Bodily in~ or Im'~l inj~y to any person eligible
to receive any benefits required to be provided or
voluntarily provided by anyoue we I~oteet under any
workers compensation, non-occupational disability
law or occupational disease law.
6. Bodily injury, propmy d~m~ge or ~! injury for
which nyoue we protect is covered under any
nuclear energy liability policy, or would be cowred ff
its amounts of insurance had not been exhausted.
7. Bodily injury or pe~n~! injury ari~ng out of I~
ne~s pursuits of anyoue we I~oteet, other than Imsi-
ne~s pursuits covered by the policy.
8. Bodily ini~T or perso~l injury to employees of
~myoue we I~O~eet arising out of employment.
This exclusion does not apply to bodily injury to a
reside~e employee arising out of and in the course
of employment by anyoue we InoCeet.
9. Persoual injury arising out of willful violation of a
law or ordinance by anyoue we protect.
10. Persoud injury arising out of eivic or public activities
performed for pay by anyoue we ~'o~e~.
11. Suits for libel, slander or defamation of character
made aga~st ~youe we protect ff the publication or
statement:
a. took place before the effective date of this insur-
ance, or
b. was knowingly untrue.
12. Bodily i~nry or pe~soud injury to you and ff resi-
dems of yo~ household, your relatives, and persons
under the age of 21 in your care or in the care of
your resident relatives.
Under Medical Payments To Others Coverage we do not
cover bodily injury or perso~ml injury:
1. to a re~louee employee if it occurs off an inmmi
Iootiou and does not arise out of or in the course of
employment by nyoue we I~O~eet.
2. to any person eligible to receive any benefits required
to be provided or voluntarily provided under any
workers compensation, non-occupational disability
law or occupational disease law.
3. from any nuclear reaction, radiation or radioactive
contamination, or any consequence of any of these.
4. to anyone we protect or other person(s) who .resides
on the insured Ioe~tiou,. except a resMmee employee.
WHAT WE ALSO PAY
Payment for the followhat is in addition to the amounts
of insurance shown on the Deelaratious.
(1) CLAIM EXPENSES
We pay:
1. court costs, to defend or settle as we believe proper,
any claim or suit against ~youe we la'oteel, for
damages covered under this policy. O~r. payment of
the limit of protection for a settlement, lud~nent, or
deposit in court ends our duty to pay under this
item.
2. expenses incurred, to investigate and defend or settle
as we believe proper, any claim or suit against
aayoue we Inoieet for damages covered under this
policy. Oar payment of the limit of protection for a
settlement, judgment, or deposit in court ends our
duty to pay under this item.
3. post-judgment interest, but only that portion of the
post-judgment interest which accrues on that part of
any judgment that does not exceed the limit of pro-
tection on a suit we defend. Our payment, offer in
writing, or deposit in court of that part of the judg-
ment which does not exceed the limit of protection
ends oar duty to pay any post-judgment interest
which accrues aher the date of our payment, written
offer or deposit.
4. prejudgment interest or delay damages awarded on
that part of any judgment that does not exceed the
limit of protection. If we offer in writing to pay the
applicable limit of protection, we will not pay any
prej~dr~uent interest or delay damages for the period
of time after the offer.
5. reasonable expenses anyoue we protect may incur at
our request to help us investigate or defend a claim
or suit. This includes up to $300 a day for actual
loss of earnings (but not loss of other income) and
vacation time or other benefit loss.
6. premiums on thc following types of bonds, but not
for bond amounts greater than thc limit of pro-
tection:
a. appeal bond in a suit we defend;
19
b. bail bond (with prermum of $500 or less)
required due to an accident or related traffic vio-
lation involving a vehicle we insure;
c. attachment bond to release property, of anyone
we l~rotect due to an accident or related traffic
violation involving a vehicle covered by this
We have no duty to apply for or furnish such bonds.
7. reasonable lawyers' fees up to $50 which anyone we
protect incurs because of arrest, resulfng from an
accident involving a vehicle covered by this policy.
(2) DAMAGE TO PROPERTY OF OTHERS
We pay, on a replacemenl cost basis, up to $1000 per
~ for ~opmy damage to property of others
caused by any~e we protect. This coverage also applies
to property of others in the possession of as~yo~e we
We will not pay for ~ damage:
1. to the extent:of any amount recoverable under
Section I of this policy;
2. caused intentionally by anyone we protect who has
attained the age of 13;
3. to property owned by any~e we protect;
4. to property owned by or rented to a tenant of
anyone we protect or a resident of your household;
5, arising out of:
a. an ~ or omission in connection with a premises
(other than an i~s~red location) owned, rented or
controlled by anyone we protect;
b. Imsiness pursuits; or
c. ownership, malqtenartce or use of a motor
vehicle, aircraft or watercraft. We will pay for
~opmy, damage to a land motor vehicle
ae, s.~.eo for recreational use off public roads
wauc m the possession of or caused by anyone
we protect fi:
1) not subject to motor vehicle registration, and
2) not owned by anyone we protect.
(3) FIRST AID EXPENSES
We pay reasonable expenses for first aid tO other persons
and mfimals at the time of an accident involving anyoae
we protect.
¢47 OSS SSESS E -- PERsO t U mUW
COVERAGE
See Wh"t We dbo P~', (P) LOSs ds=e==ment -Section [.
20
RIGHTS AND DUTIES -- CONDITIONS -- SECTION II
(1) DUTIES OF AN INJURED PERSON -
MEDICAL PAYMENTS TO OTHERS
COVERAGE
The injured ~rson or someone acting on behalf of that
person Will.
1. give ~ written proof of claim, as soon as possible,
under oath if require;
z papas ,t uest tow oht
medical reports and copies of records.
The injured per~r.n will submit to mental and physical
examination.by d~tors selected by us as oflgn as reason-
ably required; .We~may pay thc injured Person or the
provider of thc serv~C%.
(2) LIMITS OF PROTECTION
~s insurance applies separately ~o anyoue we profit.
Regardless of the number of people we protect, c~s
made or persons injured, om' tOtal liability under per,
sonal Liability Coverage for dama~s resulting from one
o~c~g~ce, offend, claim or suit will not exc(~l the
amount shown on the .Ded~mtious for person~d;Li~ility
iajery re!Ulting froTM one accident or from ccmt~-
UoUS or x~cated exposure to thc same 8cneral conditions
is considered thc result of one °cc~rrmce, Offense, Claim
or suit.
O~r total liability under Medical Payments To Others
Coverage for all medicsi expense payable for bodily i~.jury
and pe~nml i~jury to any one perSOn win not exceed th~
~Each Person~ amount shown on the Ded~ratio~s.
(3) OTHER INSURANCE,-. PERSONAL,
LIABILITY COVERAGE ~
This insurance is excess over any other valid and collect-
ible insuranCe. ~-HOwev~iff the other insurance is specif-
ically written as excess ~ Ce Over this policyI thc
limits of this policy apPiyfirst~ ~
fiat the:'t~oe ofl6Ss thei~ i~ 6th~r'insurance in'the name
of an association or corporation of property owners cov-
erln~ the same property covered by this policy, the insur-
ance~ afforded by this policy shall be, eX~eSs over4he
amount recoverable under such other insurance.
(4) SUIT AGAINST US
We may not be sued unless there is full compliance with
all the terms of this pohcy.
No one has the right to make us a party to a suit to
determine thc liability of a~yone we protect.
The legal liability of ~myo~ we I~otec~ must be deter-
mi~ed before suit under Personal Liability Coverage may
be brought .against us. This determination may be by a
court of law or by written agreement of all pames,
including us.
(5) WHAT TO DO WHEN AN OCCURRENCE,
OFFENSE, CLAIM OR SUIT HAPPENS
When there is an uc~n'e~ee, offense, claim or suit
anyone we protect will:
1. notify us or our Agent in writing as soon as possible,
stating:
a. your nmne and policy number;
b. the time, place, and circumstances of the occur
re~ee,.oEense, Claim or suit;
c. names and addresses of injured persons and wit-
nes,~s~
2. give us:
a. promptly., any papers that relate to the oeour-
rouee, onense, claim or suit;
b. a mgned statement containing all the facts about
the oeem~e, offense, claim or suit.
3. at our request:
a. assist in making settlement;
b. help us e~force any right of recovery against any
party liable to ~myou~ we.pr~eet~
c. coop6rat~' with us in our ~vestigafiOn Of a lo~
and any suits;
d. attend heatings and trials;
oblaining the attenda~uce of witnesses;
f. separately submit .to examinations and stale-
'meats under oath and sign, transeripls of: ~s~s~s~s~s~s~s~s~s~me;
g. authorize ns lo Obtain recoids and Other~info~-
marion;
h. answer all reasonable questions about the occur-
rence, offense, claims or suit;
i. allow us to inspect and ~ppraise the damaged
propei-ty befor~'~ repai? of ~sP°&al ./' i(~
4. under the coverage Damage To Property Of Others,
send us, within 60 days of our request, sworn proof
of loss.
5. not make payments, assume obligations or incur
expenses, except at one's own cost, other than for
first aid to other persons and animals at the lime of
the bodily i.jury.
21
X
RIGHTS AND DUTIES -- GENERAL POLICY CONDITIONS -- SECTIONS I & II
We, you and~ anyone else protected by this policy must
do certain things in order for the terms of this policy to
apply.
(1) ACCOUNTING
If the premium payment plan chosen for this policy
includes a service charge, the service charge is paid to thc
Erie Indemnity Company.
The.following applies on,'to policies i~$ued by Erie
ance Exchange:
Erie Indemnity company may keep up to 25°/0 of thc
p~mium' written or a~mmed by Erie Inm rance
Exchange as comPensation fbr (A)bedo~ alld acting
as A~tomey. in-Fact, (B) managing the bmin~ss and
affairs of Erie Insurallce Exchange and .(C} paying
~gneral administrative expenses, including sa]es commis-
ons, ~laries and employee benelits, taxes, l~nt, depreci-
ation, supplies and data processing
The .re~t of thc premium will be placed on the books of
the Erie Inmrancc ExChange, We will d~sit or invest
this amount as permitted by law. This amollnt will be
used to pay losses, loss adjustment expenses, investment
expends, damages, legal expenses, court costs, taxes,
assessments, licenses, fees, any other govemmental fines
and char~s, establishment of re~s and surplus, and
reinsurance, and. may be Used for dividends and other
purposes F. rie~ Indemnity Company decides arc to the
advantage of thc Sebsctibers.
(2) ASSIGNMENT
Interest in this policy may be transferred only with our
written co~L We,. may require ~vidence t~t ali
Nmed Iusureds approve thc a~qignment.
(3) BANKRUPTCY OF ANYONE WE PROTECT
BanlmiPtcy or insolVenCy of ;myoue we ~ec~ or
ssyoue we protecFs estate will not relieve -s of our obli-
(4) 'CANCELLATION
Your Right to Cancel
Yo~ may cancel this policy by mailing or delivering to
oar Agent or us written notice slating at what future date
you want the cancellation to take effect. We may waive
these requirements by confirming the date of cancellation
to you in writing.
Our Right to Cancel or Refuse to Continue
We may cancel or refuse to continue this policy or any
coverage by ~ you written notice stating the effec-
tive date o four action. Our action will comply with the
laws of the state where yo~ resid~ce ps-raises is located.
Our cancellation or refusal to continue this policy will
not take effect until at least 30 days (Maryland- 45
days), except for non-payment of premium alter we send
it. The effective date for cancellation for non-payment
of p~mium will be in compliance with the laws of the
state in which yo~ reside: '
We reserve the right to cancel for your non-cOmpliance
with' our premium payment plans, we' do not waive Oar
right to cancel, even if we have accepted prior late pay-
ments. ~
Method of Giving Notice
v~l.a~ notice to the address shown on the Declaratious
be sufficient proof of notice. The' policy Period will
end on the date and time Stated in thc notice.
Return of Premium
ff your policy is cancelled by you or us, we will return
the pm rata unused share of your premium. Cancella-
tion :will he effective even if we have not given or offered
the returned premium.
(5) CONCEALMENT, FRAUD OR
MISREPRESENTATION
This entire policy is void as to yoe and ;myoue we
protect if, whether before or after a loss:
1. you or aayoue we protect have intentionally con-
cealed or misre, p. resented any material fact or circum-
stance COllCelTIlng this insllrance; or
2. there has been fraud or false swearing by you Or
;myoue we protect as to any 'matte~ lhat relates to
this inmran& Or subj=t thereof; or
3. you or ~youe we protect engage m fraudulent
conduct as to any matter thatrelates to this insur-
ance or subject the~of.
In the event of 1., 2. or 3. above, we will not pay for any
loss.
(6) CONTINUOUS POLICY
Your policy is a continuous policy. It will continue in
force until cancelled by you or terminated by us as
explained in the Cancelht]on Condition. Each year we
will send you a Declaratim~s which shows the premium
due for the next po]icy period.
In return for this service, you must mail as written notice
prior to the new policy period if you want to cancel. If
we do not receive this notice, your policy remains in
force and you must pay as thc earned premium due for
this time.
(7) COOPERATION
You agree to cooperate with us by:
1. truthfulb~ completing and promptb~ returning ques-
tionnaires and audit forms about this insurance;
2. permitting and helping with inspections and audits;
and
3. complying with specific recommendations to
impxovc your risk.
(8) HOW YOUR POLICY MAY BE CHANGED
This policy conforms to thc laws of the state in which
your re~dem:e premises is located. If the laws of thc
state change, this policy will comply with those changes.
Your policy may be changed by asking as. Your request
must contain enough information to identify you.
Asking our Agent is thc same as a~ing us. ff we agree
with your request, we will then issue a Deehratious.
We will give you the benefit of any change in coverage
made by as, if it does not require additional premium.
This change will be effective as of the date we implement
the change for you in your state.
ff the information we use to determine the premium for
yom- coverage(s) changes during the policy period, we
may adjust your premium. Premium adjustments will be
made using rules and rates in effect for our usc.
(9) OUR RIGHT TO RECOVER FROM OTHERS
After we make a payment under this pohcy, we will have
the right to recover from anyone else held responsible for
the loss. This right will not apply under Section Iff you
have waived it in writing prior to the loss.
Anyone to whom we have paid will sign papers and do
whatever is requix~ to transfer this right to us, and do
nothing to harm this fight.
Anyone receiving payment from as and someone else for
the same loss will reimburse us up to our payment less a
proportionate share of the costs (including attorney fees)
of tach recovery.
We will pay all reasonable expenses anyone may incur at
our request to help us recover damages from anyone else
held responsible. This includes up to $300 a day for
actual loss of eamlngs.
This condition docs not apply under Section ll to
Medical Payments To Others Coverage or Damage To
Property Of Others.
(10) PRIORITY
This insurance will first protect you, your spouse residing X
in your household and then others we protect.
(11) SURVIVORS' COVERAGE
If you die, the policy will cover:
1. anyoue we protect who is a member of your house-
hold at the time of your death, but only while a resi-
dent of the resid~ premises;
2. anyone having lawful possession of insured property
until a representative is appointed, but only until the
end of the policy period during which your death
occurs;
3. your legal representative, but only while performing
duties as yo~ representative and only until the end
of the policy period during which your death occurs.
(12) TIME OF INCEPTION
ff this policy replaces coverage in other policies which
end on the inception date of this policy, but at a different
time, then this policy will take effect when the other cov-
erage ends.
23
This policy has been signed on o~r beba!f a.t Erie, Pe.rms.ylv,an~,a by o~r President and Secretary. If required by law, it
has been countersigned on the I)eelaratio~s by o~r autlaonzen Agent.
Secretary
ERIE INSURANCE GROUP
Home Office · 100 Erie Insurance Place · Ede, PA 16530 · (814) 870~2000
Visit our Web site at www.erieinsurance.com
2003 Extracover (Ed. 2/01) UF-8186
.. $7/12/2001 THU 05:~7 FAX S148704408 Customer Service ~002
~ERIE INSURANCE GROUP
ULTRAFLEX PACKAGE
ULTRAPACK BU.~INEXS
ULTRASURI~ FOR PROPERTY OWNERS
ULTRASURE FOR LANDLOKDS
FIVESTAE CONTRACTORS'
COMI~RCIAL PROPERTY
PION~R HOMEPR0 ~ ~-CTOR
DWI~L[,INO PROPERTY
iMPORTANT NOTICE - NO FLOOD COVERAGE
Yovr I~ic poli~ ~ lo~s from m~ny pe~b. However, it DOES NOT pmvid~ cov=r~ for/]ood loss.
Insur~u~e cov~rin6 flood los~ is ~ avaihbl~ th~ou6h thz N~t~n~l Flood ~,,~ Pro,mm.
in, an affozt to s=ve 3'or, infow~.~t~on about [3ood ins'~,~ and th~
vid~ by' youz BRIE
~2/2001 TItU 08:28 FAX 8148704408
ERIE INSURANCE GROUP
Sustomer Service
PiON F.,JER HOMEPROTECYOP.
HP-AAN (Fa. t/~)
OO3
PREMISES ALARM SYSTEM ENDORSEMENT
DEFINITIONS
Unte~s dm¥~ed in ~his ~ndormm~m~, each word m bo]d
· ~AppmvM~ m~s ~at the ~ Sy~ ~ ~i~ ~
~U~' L~ato~, ~. L~* la~. ~ ~
~ to wsm ~ma ~ ~ ~ o~ ~ible
~m ~ ~ iev~, ~ e~s, ~d ~ ~ways
~ ~a~ ~d h ~mm~ ~ any o~er ~gd~
Fi~ and/or Burglmy Alarm System *ba~ do~ not
directly m~d au~naflcal~y aler~ the Fire DeparUnem
or Po[ice Depanment.
OUR PROMISE
if s~ ahmn ~ym~m of a type ~ below/s insudled on
YOUR DUTIES
YO~ ~ to maintain ~ sy~ ~r~d to no~y m ~ ~y
~ ~ ~, in~la~, ~ or ~ ~-
~, ~v~on or removal ~ ~e ~m,
~L O~R PRO~SIONS OF T~ POLICY ~-
PLY.
ERIE INSURANCE GROUP
Customer Service
OO4
PIONEER HOMI=PROTECTOR
HP-BD (Ed. 1/97) UF-753
REPLACEMENT COST SETTLEMENT ON PERSONAL PROPERTY
ENDORSEMENT
DEFINITIOt~
Unless de. Shed in :his endo~menL each word in bold
tyl~ i~ osed a~ deflrmd in the policy.
· *P.e~hic~mcnt cost" m~ans the cost, ~£ 1he time otto.,
of a mw arti¢l~ identical to th~ or~ damag~ d~
stroy~rl, or stol~n, If lbo identical article ia no Iov4~'
m=nu/actumd or is ~t ava~able, we will pay the
of a new an/cle ~ma~r to tha~ damaged or demoyed
and which la of comparable quality and
PROPI:RTY PROTECTION - ~CTIOM [
OUR PROMISE
For an add;floreal premium, losa setdement under:
?erMnal l~ropi~O, Coverage - $~etlon [ is ~a'tended to in.
elude the replacement eon ar the thll cc~ of repair.
We w~ al~o c~ver oil a replae.~me~t ~t or £ull cog
* household al~Jlances
· C~O~ awnin~o~
provided t~ tht tlrn~ oflo~s:
l. yom' n~e~Jsrations show t~al.41~Io~ra~c
c~[on $c~tleme~ appUes, or
2. yo= meet ~e teplace~em cc~t p~vL~or~ trader ~o=.~
Se=ttewe~ to~ Dwd~ Cov~r~e or Od, a,
~t~$ ~o~erl2ge, or
3. ~ T~-~;co~er .vo~c~ or a Condoa~er ~otic~
ColloqUium Co~ge F-~or~'~t (ttP-EI)
plies Io T. he ilLqtlfed pWpert~ at ~[e ~'*!me (l~lOIS,
Any loss will be mrnled subject to the pmvialons ot this
era~otsemea~t.
The rq~u.'emeat cost loss setdemem provtsio~ of this
endotsemem ~ apply to a.,~ieles or rJaases of prope~t~
separately de~n_q~a__ and qpecl~ally imured m this pelk,T.
WHAT W~ DO NOT COVER - EXCLUSIONS
1. We do not covet 1o~ to p~pe~:
a. unle~ ma~taincd ~ good and wot~ble
t/on;
b. unless t~-ed or mplac~
c. which is outdatecl or obsolete and which is stored
or nc~ being used;
d. which by its natu~ cannot be replaced by a new
alTJele indLld~Ilg, bl~ no! llraite~ to, an~ques, fine
arts, aouvenirs, a.ud collectors' items;
e. which is at a residence ~e~ted or hekt for ter~tal to
other.
2. When replacement covetase does not apply bec~um
o~ an exclusion unde~ tl~ ~tlon we will pay actual
ca~h value at ~he time
3. Wh~ cov~age does nol apply because ot an exclu-
sion ia this endorsement, thc conditions ot thc pri-
mmv' policy will apply.
RIGH'r~ AND DUTIES - CONDITIONS
L~s Settkmeat
i. We will pay the s~nallest of ~he follow/rig amounts
for any one/tern of~ property:
a. repheemmt
b. repair
c. any q~ial limtmr, loas d~tbed in th~ policy.
2. When the r~ '~nt cost tbr the e~i~ loss under
~ en~ent ~ mom ~ SI,~0, we ~1 not
pay mo~ ~ ~ a~ ~ ~ for ~ loss or
~e ~ ~ ~ o~ ~m ~ ~m-
p~
3. You ~y ~ ~m for io~ on ~ ~u~ ~h ~.
~ 1o~ ~r my ~o~ ~o~ ~ ~ ~
~ ~y ~ ~is~ S~tl~
ALL OTHER PROVISIONS OF THE POLICY .~P-
PLY.
HP-BD- 1
~12/I~001 THU 08:30 FAX 8148704408
ERIE INSURANCE GROUP
~ustomer Service ~ 007
PIONI~ER HOMEPROTECTOR
H'P-EiQ (Ed, 10/9~) UF-916~/
DATE OR TIME FAILURE AND
PROFESSIONAL SERVICES EXCLUSION
This radorsemem ;unends ~he Policy as fotlow;:
SECTION I
WHAT WE DO NOT COVER - EXCLUSION9
l~e followk~ exclu~km is add~:
We will not pay for loss or _,:l~m.sge, regarclless of any otb-
Br cau~ or a~t t/mt ccctrlbutes concurremiy or in any
sequence 'co ~be loss or rt~mage, to elecu'onlc data pro-
ccssing equipm~lt, computer n~tworks, comfit-er hard-
wa~e (including microprocessors either as part of a
compum- system or op~adr~ ouiside of a system), com.
prngr progr-m~, software, media, ct dam caused by the
inabillt~ to con~-'tl~y process, ~ecogni~, clisgr~,i~h, int=r-
pret or accept ;my dat~ or time. We will nor pay for my
repair, t~_r_!o,z, repl~_~m~nt o~ modiflcat4on ~o corr~t
any defcienci~ or cb~"~E¢ any f. camrcs or funciions.
We w~i not pi), for loss or damage rggardlees of when the
electronic data prc~__~s_Lng eqlgpment, compu~r bad-
ware. compuier prosrmns, scd~ware, rnoata, or da~a were
purchased, obtained or inml]~.
SECTION II
WHAT WE O0 NOT COVER - EXCLUSIONS
PERSONAL UAIMLITY COVERAGE
MEDICAL PAYMENTS TO OTHER8 COVERAGE
U~uter ";Ve do not ~,~' under Per~nM Liabi~ty Cove~-
sion (4) "Professional Servi¢~' is deleted and replaced by
~ following ~xclusion:
4. Persona] i~jury or property damage arising out of the
renderins or failing to render prafessio~l services. Profe~-
sionnl services include, b~ are not limilat to:
1. any architectural, e~ineerin~ or inctuslriel design
seres;
2. any m~llcad, mr~i;at,
buth~g ~o the h~allh of persons or animals;
3. any beauty or barber servk'~;
4. any le~, sccounting or imuranc¢ ~rvices;
~. the servich~, install~o~ or
plner hardware or sofms, re;
fmnchlsin~ furoi~tn~ or c~a~m of COmlm~er hard-
instruc'6ons.
ALL OTHHR PROVISIONS OF THE POLICY A.P-
PLY
HP-I~O- I
.' ~2/2001 TItU 05:31 FAX 8148704408
ERIE INSURANCE GROUP
Customer Service
PIONEER HOMEPROTECTOR
HP-EP (Ed. ?/gg) UF-9104
D£FINmO~
Each word In bold rfpe b uaed ~ ~ ~ ~ ~.
~ROP~ PRO~ON - ~ON I
PERI~ ~ [~E A~N~
D~NO ~ ~ER ~U~
U~ ~ D~d~ md ~ ~= ~ve~. the
~ a. ~ e. ~ w~r rlama~ aO1 0~ ~-
EXTRACOVER AMENDATORY ENDORSEMENT
eluded from a plumbiag, heatix~ air m~nd'~on'm~ or
fire protective sys'~n, ho~m~-hnid appliance, waierbed
or atlum~um, we ~ 1o~ caused by ~h¢ wa~e,r. Cov-
par~ of the budding ~ecem~ to r~palt the ~em or
~em ot app/ian~ (odaat ~,~ a wambed or aquar-
ium) from whk:h the w~a' ~"-I~l-"
ALL OTHER PROVISIONS OF THE POLICY AP-
PLY.
HP-i~P- I
~?/12/~001 TItU 05:31 FAX 8145704408
ERIE INSURANCE GROUP
Customer Service ~ 009
IMPORTANT MESSAGE
PIONEER HOMEPROTECTOR
(C~ 8/98) UF-6S2~
D~ar Policyholder:
If you haw a Piutmer Family Aura Policy (FAP) and a Pioneer Hom~rotector Policy with the ERIE INSURANCE
GROUP yo~ may be eJ~le for a m{dfi-lmo]ky dido'mt ~r~dit The multi-policy di~ount credit is 8/v~n on both the
Faillfly A~to arid thru Hom~l~rcrc~ctor policy pr~lml-r~a.
Contact your local ERIE A~-nt for mom lnform~ao,~. If you do not have a Pioneer F~ur,~y Auto Policy with The ERIE,
why non ~k your A~mt ~o describe the coverages and services The ERIE offers it~ Policyholders?
07/12/2001 THU 08:~2 FAX 8148704408
ERIE INSURANCE GROUP
Customer Serwice
~ 010
PIONEE~ HOU aPAOTECTO{~
(Ea. 5t00) UF-999~
IMPORTANT NOTICE TO POUCYHOLDERS REGARDING
HOMEPROTECTOR POLICIES
~ Insurance Group appr~ch~;
~d ~ wa~ ~ ~ o~ Po{i~ ~ m ~ yo~ ~ ~ low ~ ~1~
b~ ~ o~.~. w~n your ~ ~y ~l. ~ ~ ~ ~p '~ ~e ~,. ~g so ~t P~oMe~
(~) --- ~t w~ ~ow ~ m k~p ~ ~w for ~ P~y~ who ha~ a favor~le cl~ ~o~. W~h
th{. ~, a ~d,~ ~ be a~
~0~ H~eP, t,~r po]ides w~ not
~ ~ ~ ~ssi~e ~ to y~ at ~e
~ ~ ~_~ ~ ~e~
UF-9990- 1
07,'12/2001 THU 08:3g FAX 8148704408
ERIE INSURANCE GROUP
~s~oner Service ~0~1
PIO2q~.~-~ HOMBPR. OTECTOR
UF-90~ ted. ~2/9~)
ADDITIONAL COVERAGES AVAILABLE TO POUCYHOLDERS
It is important ~Lhat you occ:asionaA]y mviaw ~ ~over~l and limits of your HomePm~ecXor policy ~o be c~- your
needs are be/~g mot.
The ,4moura of IArur~m~ for your Prol:~fly md Liability Coverages z.m ~ o~ ~e d~coml:mnylng Hor~Pwl~cor
Contlnu~ziofl Nodc~. Pl~a~e r~iew these,4mo~n~ of IAmmn~ to make sum 9u,y are adoquam in 'the went of loss.
The following is a PARTIAL LIST of the opfiol~ o0¥erases av~able to our HomePmm~or Policyholders. Your cur-
nmt policy may already contain one or mor~ of tb.m~ ~,~tkmal coverages, bm ~hes~ and orb. er olmianal coverages may be
available lo you f~r in addifionil prumium.
· Stayer and Drain Back up CmetaSe Endorm~ment
· Eartl~ Coverage
* Additional Theft Amo~mts for Jewelry, Watcher~ and ~ Endo~cment
· Persomd Compum Coverage Endm~4sment
· Pmonal Catntrophc [,[ability Endorsement
· EnImncemmi Eudorsemeat (Av~r~tagl~ on ULvaco~,er, Exrraom, er, and Broadeov~ PoPx'~___,) . This form h'w. hdes Sewer
and Drain Baal~ Up ~ovemse.
· ~ Endorsement
. Rephcemmt C~*- Settlement On Personal Prd)l)~ty
P]ease c(xl/ac't your Agent if yotl have ally' quesfiOne CO~'~'m/t'lg your HomeProtector
~ in auy of our optional coverages.
PL~ NO'I3~: Not II! eoverajm are a_v_aihb_le on nil llomeProtector Pol~. ~ot
ivan*Mc in afl statml. Please check your l'lomePmtector Cfln~inmdon No*ir; to see ifpu Imve already puldLised the
np6onel coverages.
UF-9013- I
27 W. HIGH ST.
POB 261
CARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM p. DOUGLAS, ESQ.]
Supreme Court I.D.# 37926
~ Showaker and ~owakeT---
Plaintiffs
Vs
Erie Insurance Group
Defendants
In the Court of Common Pleas of
Cumberland County Pennsylvania
No. 2002 - 2625 Civil Term
Civil Action Law
Jury Trial Demanded
NOTICE
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 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 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.
Cumberland County Bar Association
2 Liberty Square
Carlisle PA 17013 717-249-3166
DATE: October 29, 2002
BY
Complaint
1. The plaintiff, Kevin Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
2. The plaintiff, Lisa Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
3. The defendant, Erie Insurance Group, is a business entity licensed to do
~busi. ne~ !n thee Common_wealth of Pennsylvania, with offices located at 4901
~otuse L~nve, Kossmoyne Business Center, Mechanicsburg, Cumberland County,
Pennsylvania.
4. The plaintiffs are husband and wife and reside together in the same
household.
5. The property located at 411 Walnut Street, Boiling Springs, Cumberland
County, Pennsylvania., is a single family dwelling that was owned by the
plaintiffs.
6. The plaintiffs were sold a contract of insurance on the above described
property by the defendant.
7. The insurance contract policy is an Erie Insurance Exchange
Homeprotector ExtraCover bearing number Q59 1303968 H..
8. Prior to May 30th, 2001, the plaintiffs' home was in good repair.
9. On or about May 30th, 2001, an acddental fire occurred in the attic of the
aforesaid residence causing extensive damage to both the dwelling structure and
personal property of the plaintiffs.
10. All damages suffered by the plaintiffs were covered by their policy of
insurance.
11. The plaintiffs contacted the defendants and told them of their loss in a
timely manner.
12. The defendant sent out an adjuster to the property following the fire
however said individual stayed a short period of time and did nothing with
respect to the preparing an inventory.
13. The plaintiffs are covered by a policy of insurance issued by the
defendants that provides for replacement cost coverage for damages suffered by
the insured.
14. The defendants knowingly and willingly refused to timely settle the claim
for the damage suffered by the plaintiffs.
15. The defendants failed to acknowledge and act promptly upon written or
oral communication with respect to claims arising under the aforementioned
contract of insurance.
16. The defendants failed to promptly investigate all claims arising under the
aforementioned contract of insurance.
17. The defendant had no basis to refuse to pay the claim of the plaintiff in a
timely manner.
18. The defendant refused to pay the claims without conducting a prompt
and reasonable investigation based upon all available information.
19. The defendants did not act in good faith to effectuate prompt, fair and
equitable settlement of this claim, knowing that liability is clear and coverage
applies and as a result the plaintiffs have been forced to incur expenses they
would not otherwise have incurred.
20. The defendants have compelled the insured to institute litigation to
recover amounts due under the insurance policy by offering substantially less
than amounts due and owing the insured.
21. The defendants failed to promptly provide a factually sound explanation
of the basis in the insurance policy in relation to the facts or applicable law for
denial of the claim or for the offer of a compromise settlement.
22. The defendants have willfully and maliciously withheld benefits from the
plaintiffs, due to their failure to investigate the claim timely and thoroughly,
which constitutes a breach of an implied covenant of good faith and fair dealing.
23. The defendants, in bad faith, denied payments to its insured without
thoroughly investigating the foundation for its denial and in not fully inquiring
into the possible basis that might support the insured's daim.
Count One
Breach of Contract/Warranty
24. Paragraphs 1 through 23 are incorporated herein by reference thereto.
25. The defendants impliedly and/or expressly warranted that they would, in
good faith, provide insurance coverage to the plaintiffs in accordance with the
contract and abide by the terms of said contract.
26. As a result of the aforesaid, the defendants breached their contract and/or
warranty, which breach resulted in past and future physical injury and monetary
loss to the plaintiffs.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiting compulsory
referral to arbitration. A jury trial is hereby demanded.
Count Two
Bad faith pursuant to 42 Pa.C.S.A. §8371
27. Paragraphs I through 26 are incorporated herein by reference thereto.
28. Plaintiffs' injury, damage and loss were directly and proximately caused
by the reckless, wanton and willful misconduct of the defendants without regard
to the tights and safety of the plaintiffs.
29. The actions of the defendants were recklessly, wantonly and willfully
done for the purpose of causing harm to the plaintiffs.
30. Having full knowledge of the unreasonably dangerous conditions the
plaintiffs were forced to endure, the defendants did recklessly, wantonly and
willfully fail to take reasonable and necessary steps to settle this claim.
31. .The defendants did recklessly, wantonly and willfully, refuse to resolve
the claims of the insured and handled said claims with reckless indifference to
the fights of the plaintiffs.
32. The conduct of the defendants was outrageous, oppressive and recklessly
indifferent to the tights of the plaintiffs.
33. As a direct and proximate result of the defendant's reckless, wanton and
willful disregard for the tights of the plaintiffs the aforesaid injury did occur.
34. The plaintiffs hereby request ail remedial relief as provided in 42 Pa.C.S.A.
§8371.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiring compulsory
referral to arbitration. A jury trial is hereby demanded.
Date: October 29, 2002
Respectfully submitted,
William p. Douglas,
Attorney for the plaintiffb~
Affidavit
I hereby swear or afficm that the foregoing is true and correct to the best of my
knowledge and/or information and belief.
This is made subject to the penalties of 18 Pa.C.S.§ 4904 relating to unswom
falsification to authorities.
October 29, 2002
INSURANC~
GROUP ERIE INSURANCE EXCHANGE
10OErieln$.Pi. AMENDED DECLARATIONS 04 * * 'HOMEI~ROTECTOR POLICY
E'~'p^~°~° EFFECTIVE 05/16/0! ATTACH THIS TO YOUR POLICY. EXTRACOVER
- PRIMARY RESIDENCE
!NS ASSOC. I.C
KEVIN R SHO~AKER & ~ ~0\
LISA D SHOWAKER AS LISTED BELOW
41! WALNUT STREET OR ON REVERSE SIDE
~ BOILING SPRINGS PA 17007-9502
AGENT - DEIBLER INS. ASSOC. INC ~ 26 WESTMINSTER DRIVE
AGENT PHONE - (717) 241-2775
CARLISLE PA 17013 4368
COVERAGE BEGINS AND ENDS AT 12.01 AM STANDARD TIME AT THE LOCATION OF THE
INSURED PROPERTY. UNTIL TERMINATED, THIS POLICY WILL CONTINUE IN FORCE.
LOCATION OF RESIDENCE PREMISES IF OTHER THAN STATED IN ITEM 1 OR IF SPECIFIC
DESIGNATION IS NEEDED. ZIP CODE - 17007
S MIDD TWP, CUMBE CO
PROPERTY INFORMATION - PRIMARy RESIDENCE, YEAR OF CONSTRUCTION 1955, FRAME
PROTECTION CLASS B. ,
PROPERTY IS WITHIN 500 FEET OF A FIRE HYDRANT AND WITHIN 4 MILES OF
A RESPONDING FIRE DEPARTMENT.
COVERAGE IS PROVIDED O~LY IF A SPECIFIC AMOUNT OF INSURANCE IS SHOWN.
SECTION I - PROPERTY
DWELLING
OTHER STRUCTURES 000
PERSONAL PROPERTY
LOSS OF USE '~
NOT TO
~E MONTHS
SECTION II - HOME
PERSONAL LIABILITy
MEDICAL PAYMENTS
ADDI!
SECTION I DEDUCTI $ 43.00
AUTOMATIC NO-DEPREC~] SETT~EME-NT'
APPLICABLE FORMS - 2003 01/97, HP-PA 01/97, HP-EF 03/95, UF8705 06/96,
UF6523 08/98, HP-EN 08/97, UF9013 12/97, HP-EP 07/98, HP-EQ 10/98,STRUCTURES'
UF9990 05/00, UF3022 06/00, HP-AAN 01/97, HP-BD 01/97.
PRIMARy RESiDENCE_MORTGAGEE
CARL SHENK
580 ZION RD
CARLISLE PA
17013-7111
PRIMARy RESIDENCE-2ND MORTGAGEE
ClTI FINANCIAL
P O BOX 1232
CARLISLE PA 17013-6232
003860
,~,,.,,-..-.,., ................. SEE REVERSE SIDE AGTWLD
WHERE TO LOOK IN YOUR POLICY
AGREEMENT
...................... 4
ERIE INSURANCE EXCHANGE ....... 4
ERIE INSURANCE PROPERTY &
CASUALTY COMPANY ............ 4
DEFINITIONS
......................
ADDITIONAL ERIE INSURANCE
EXCHANGE DEFINITIONS .......... 5
ADDITIONAL ERIE INSURANCE
PROPERTY & CASUALTY COMPANY
DEFINITIONS .................. 5
WHEN AND WHERE THIS POLICY APPLIES o 6
PROPERTY PROTECTION -- SECTION I .... 6
DWELLING COVERAGE ........... 6
OUR PROMISE ................ 6
OTHER STRUCTURES COVERAGE .... 6
OUR PROMISE ................ 6
PERSONAL PROPERTY COVERAGE . . . 6
OUR PROMISE ................ 6
SPECIAL LIMITS - PERSONAL
PROPERTY
LOSS OF USE COVERAGE .......... 8
OUR PROMISE ................ 8
PERILS WE INSURE AGAINST ....... 8
DWELLING AND OTHER
STRUCTURES COVERAGES ....... 8
PERSONAL PROPERTY COVERAGE . . 9
WHAT WE DO NOT COVER --
EXCLUSIONS .................. 10
WHAT WE ALSO PAY ............ 11
(1) AUTOMATIC GARAGE DOOR
OPENER ................... 11
(2) COLLAPSE ................ 11
(3) CREDIT CARD, CHARGE PLATE,
CHECK FORGERY AND
COUNTERFEIT MONEY
PROTECTION ............ - .... 11
(4) DEBRIS REMOVAL AFTER LOSS 11
(5) EMERGENCY REMOVAL OF
PROPERTY ................. 12
(6) FIRE DEPARTMENT SERVICE
CHARGES
.................. 12
(7) FIRE EXTINGUISHER RECHARGE 12
(8) LOCK REPLACEMENT AFTER
LOSS
(9) LOSS ASSESSMENT .......... 12
(10) MECHANICAL SERVANT AND
ROBOT PROTECTION .......... 12
(11) NON-OWNED RESIDENCES .... 12
(12) ORDINANCE OR LAW
COVERAGE
................. 12
(13) REFRIGERATED PRODUCTS · . 13
(14) TEMPERATURE CHANGE ..... 13
(15) TEMPORARy REPAIRS AFTER
LOSS
...................... 13
(16) TREES, SHRUBS, PLANTS AND
LAWNS
.................... 13
DEDUCTIBLE ................. 13
RIGHTS AND DUTIES -- CONDITIONS --
SECTION I
(1) ABANDONMENT OF PROPERTY .. 14
(2) APPRAISAL ................ 14
(3) AUTOMATIC ADJUSTMENT OF
COVERAGE AMOUNTS ........... 14
(4) ERIE OPTION ............... 14
(5) GLASS REPLACEMENT ........ 14
(6) INCREASE OF HAZARD ........ 14
(7) LOSS PAYMENT ............. 14
(8) LOSS SETTLEMENT ........... 14
(9) LOSS TO A PAIR OR SET ....... 15
(10) MORTGAGE CLAUSE ......... 15
(11) NO BENEFIT TO BAILEE ....... 16
(12) OTHER INSURANCE ......... 16
(13) PERMISSION GRANTED TO YOU 16
(14) RECOVERED PROPERTY ...... 16
(15) SUIT AGAINST US ........... 16
(16) WHAT TO DO WHEN A LOSS
HAPPENS
HOME AND FAMILY LIABILITY
PROTECTION -- SECTION II ........... 17
BODILY INJURY LIABILITY COVERAGE 17
PROPERTY DAMAGE LIABILITY
COVERAGE
................... 17
OUR PROMISE ............... 17
PERSONAL INJURY LIABILITY
COVERAGE ................... 17
OUR PROMISE
............... 17
MEDICAL PAYMENTS TO OTHERS
COVERAGE
................... 17
OUR PROMISE
.... , ........... 17
WHAT WE DO NOT COVER --
EXCLUSIONS
.................. 17
WHAT WE ALSO PAY . ........... 19
(1) CLAIM EXPENSES . .......... 19
(2) DAMAGE TO PROPERTY OF
OTHERS
(3) FIRST AID EXPENSES ........ 20
(4) LOSS AssESSMENT ~_ PERSONAL
LIABILITY COVERAGE
......... 20
RIGHTS AND DUTIES -- CONDITIONS -_~
SECTION 1I
........................ 21
(1) DUTIES OF AN INJURED PERSON --
MEDICAL PAYMENTS TO OTHERS
COVERAGE
................... 21
(2) LIMITS OF PROTECTION ....... 21
(3) OTHER INSURANCE -- PERSONAL
LIABILITY COVERAGE ........... 21
(4) suit AGAINST US .......... ·. 2i
(5) WHAT TO DO WHEN AN
OCCURRENCE, OFFENSE, CLAIM OR
SUIT HAPPENS
................ 21
RIGHTS AND DUTIES -- GENERAL POLICY
CONDITIONS -- SECTIONS I & II ........ 22
(1) ACCOUNTING
.......... ..... 22
(2) ASSIGNMENT ............... 22
~3R) BANKRUPTCY OF ANYONE WE
OTECT
.................... 22
(4) CANCELLATION ............. 22
(5) CONCEALMENT, FRAUD OR
MISREPRESENTATION ........... 22
· (6) CONTINUOUS POLICY ......... 23
(7) COOPERATION ..... ~ .... ...: . 23
(8) HOW yOUR POLICY MAy BE
CHANGED
(9) OUR RIGHT TO RECOVER FROM
OTHERS
'" 23
(1o) pRIORITY
(11) SURVIVORS' COVERAGE ....... 23
(12) TIME OF INCEPTioN ......... 23
.RIE INSURANCE GROUP. is proud to present this Extracover H eProtector Policy This important contract
between YOU and The ERIE consists of this policy with coverage agre~°~e~ts limitat' ' ·
Declaration, plus any endorsements It is written in pi-:- -'---, ..... ' , ~o .n~, excl. us~ons and conditions, a
to read this policy, r ,~s, ~smpsc ~csms so n can ~e easuy unaerstood~ We urge YOU
This policy contains many XTRA PROTECTION FEATURES developed by The ERIE. Wherever an "X* appears in
the margin of this policy, YOU receive XTRA PROTECTION, either as additional coverage or as a coverage not
found in most homeowners policies.
The protection given by this policy is in keeping with the single purpose of our Founders: "To provide YOU with as
near PERFECT PROTECT?N, as near PERFECT SERVICE, as is humanly possible, and to do so at the
LOWEST POSSIBLE COST.
AGREEMENT
ERIE INSURANCE EXCHANGE
In return for your timely premium payment~ your com-
pliance with all of the provisions of this policy, and your
~omgn~m of a ,Su .~b~ber~s A~-..eement .with Erie Indemnity
pany ana omer S~lasetil~es, we agree to provide the
coverages you have purchased. Yo~_ COverages and
amounts of insurance are shown on the 'Ded~tious,
which are part of this policy.
aY ,o~r.._~g the Su~bs~'..iber's Agree?out, which includes
mpany, as ~ttome¥-m-l~act, to mal(e reciprocal
ance contacts between you and other ~ubsc~ibers and
~txche. nvise manage the business df the Erie ' Insurance
hange. This power~of-attomey applies only to your
insurance business at the Exchange a~ iS limited to the
purposes described in the Subseribegs Agreem~t.
Your responsibility as a Sebseriber is determined by this
policy and the Sebseribegs Agreement. This policy is
not assessable. You are not liable for the losses of other
This agreement is made in reliance on the information
you have given us, andis SUbject to all ~the Ie~s of this
policy.
This policy, all endorsements to it, and the S~hseribe~'s
Agreement constitute the entire agreement between you
and us.
ERIE INSURANCE PROPERTY & CASUALTY
COMPANY
In ret.urn for your timely premium tmvment and
corn ' ' ·. ' ~'--~* ---
phance with all of the pmvmons of this policy, we
agree to provide the coverages you have purchased.
Your coverages and amounts of insurance are shown on
the Deelaratious, which are part of this policy.
This agreement is made in reliance on the information
you have given us, and is subject to all the terms of this
policy.
This policy and all endorsements to it constitute the
entire agreement between you and us.
DEFINITIONS
Throughout your policy and its endorsements the fol-
.lmO~ld 7y~d:s have a special meaning when they appear
* #airc~ft" means any machine or device capable of
atmospheric flight except model airplanes.
* #a~youe we protecf' means you and the following
residouts of your household:
1. relatives and wards;
2. other persons in the care of anyoue we proteeC
Under Home and Family Liability Protection, anyoue
we protect also means:
3. any person or organization legally responsible for
animals or watercraft which are owned by you,
or any person included in 1. or 2., and covered
by this policy. Any person or organization using
.or having custody of these animals or watercraft
~ m the course of any Imsi~es~, or without pe,uis-
sion of the owner is not aayoue we protect;
4. any person with respect to any vehicle covered
by this policy. Any person using or having
custody of this vehicle in the course of any Imsi-
ness use, or without permission of the owner is
not :myoue we protect.
* q~iily ~j~y# means physical harm, sickness or
disease, including mental anguish or resulting death,
but does not include:
1. any communicable disease or condition trans-
mitted by anyoue we prolect to any other person
thro .u~h a parasite, virus, bacteria or any other
orgamsm.
2. the exposure to or transmission of any disease,
parasite, virus, bacteria or other organism by
a~youe we protect to any other person.
~ "lmsi~ess" means any full-time, part-time or occa-
sional activity engaged in as a trade, profession or
occupation, including farming.
· "Deelm'atious" means the form which shows your
coverages, amounts of in~sux..ance, premium charges
and other information. 'lb_is form is part of your
policy. Deel=r~tio~ include forms titled Amended
Declarations, Renewal Declarations, Revised Dech-
~ar~fi.o.ns, R.e~msta~,tem?nt .of Coverage, Duplicate Dec-
arat]ons, ~ew L~ecmxat~ons or Continuation Notice.
X
· #insured location" means:
1. the residence premises;
2. the part of any other premises, other structures,
and grounds acquired by you during the policy
perio.d which you intend to use as a residence
3. any premises used by anyoue we protect in con-
necUon with Premises included in 1. or 2.;
4. any part of a non-owned premises:
a. where anyone we I~oteet is temporarily
residing; or
b. occasionally rented to anyone we protect for
non-bminess purposes;
5. vacant land, other than farmland, owned by or
rented to anyoue we pro~eet;
6. land owned by or rented to anyone we I~'oteet
on which a one or two family residence is being
built for occupancy by anyoue we protect;
7. cemetery plots or burial vaults of anyoue we
protect.
· ~med~ai expense" means reamnab]e ch~ges for ncc-
es~.ry me~cal, sur~cal, x-Fay and dental se~ces,
including prosthetic devices, eyeglasses, contacts,
he .arin. g aids .and pharmaceuticals; and also includes
am~.mance, ttosp~tal, licensed nursing and funeral
· "oeenrrence" means an accident, including contin-
uous or repeated exposure to the same general
harmful conditions.
· perso~l ml~ means injury arising out of:
1. libel, slander or defamation of character;
2..a st, wro%., deten. on or imvrisom ent,
m nc~ous prosecuuon, vaoal or religious discrim-
ination, wronghfi entry or eViction, invasion of
privacy, or humiliation caused by any of these.
· property damage means:
1. physical injury to or destruction of tangible
property, including loss of its use. All such loss
of use shall be deemed to' occur at the thne of
the physical injury that caused it;
2. loss of use of tangible property Which is not
physically injured or destroyed. All such loss of
use shall be deemed to occur at the time of the
o~lrFellee.
· "residence employee" means an employee Of anyoue
we I~oteet who performs duties in connection with
the maintenance or use of the residence premise~
including similar duties elsewhere~ not in connectio~
with the Imsiness of anyoue we ~oteet.
1 means the dwelling where yot
~ tmmg structures and grounds, or thai
part ot any other building where you reside and
which is shown as residence premises on the Deda-
nttions.
· re. dent means a person who physically lives with
u~.mm.an~cLpat, ea cml~en uncler a~e 24 attendino
scnoo~ lull-tune and iivin~ away fr~m
considered re, dents of your ho~sel~l'~.
ADDITIONAL ERIE INSURANCE EXCHANGE
DEFINITIONS
The following .words havre s/pedal meaning in policies
issued by Erie insurance t~xchange when they appear in
bold type:
· ~suhseriber~ means the person(s) who signed the
Subscriber's Agreement.
· 5S~..l.l.l.l.l.l.l.l.l.~?'ber's Agreement* means an agreement,
m¢luam~, a limited power-of-attoruey, among the
Subscril~rs and the Erie Indemnity Company, as
Attorney-in-Fact,
· ~We~, ~us~ or 'our~ means the Subscribers at Erie
Alnttsurance. Ex~hange as represented by their common
omey-m-Pact, Erie Indemnity Company.
· ~'irou~, 'your~ or ~Named Insured~ means the Sub-
scriber and others named on the Dechratious under
Named lnmred. Except in the GENERAL
POLICY CONDITIONS Section, these words
~heClUde the spouse of the Subscriber if a resident of
same household.
ADDITIONAL ERIE INSURANCE PROPERTY &
CASUALTY COMPANY DEFINITIONS
.The following words have special meanin~ in policies
~Uened.,by Erie In .s3u~. c.e' Property & Casual~y Company
aen ~ney appear m voicl type:
· '~ge~, "us' or "our" means the Erie Insurance Prop-
erty & Casualty Company
· ~gou', 'your' or "Named Insured* means the
person(s) named on the Declarations under Named
~D~SUred. Excep. t in the GENERAL POLICY CON-
~ ~z~l~ Ol u'le &~'lle nO~A~..IIOIQ.
WHEN AND WHERE THIS POLICY 'APPLIES
This policy applies to losses that occur during the policy
period. The policy r~od is sho
~, , ' r---. wn on the Declar~tious
umess omerw~se specified on the Declaratious, the
~0hnlicy period begins and ends at 12:01 A.M., Shmdard
e at the stated address oflhe Named Insured. :
Property Protection .- Section I. This po_licy applies to
property losses as designated in the specific coverage and
at the l.ocation(s) '.insured under this policy. In addition,
personal property ~s covered while located anywhere in
the world.
Home and Family Liability Protection .- Section H. This
poliCY applies to bodily injury, property damage and per-
soual injury losses occurring anywhere in thc world.
DWELLING COVERAGE
PROPERTY PROTECTION-- SECTION I
OUR PROMISE
We will pay for loss to:
1. Your dwelling at the residouce premises shown on
the Dedaratiom. Dwellin~ includes attached ~t.,,,.
utes, and building eqmpment and fixtures sCi:vicing
the prermses.
2. Construction material at the residmee Inemises for
use m connection with your dwelling.
This coverage does not apply to land or water, including
natural water, above or below the surface of the ground.
OTHER STRUCTURES COVERAGE
OUR PROMISE
We will pay for loss to:
1. Other structures at the residence premises separated
from the dwelling, including garages, fences, shelters,
tool sheds or casports.
Structures connected to the dwelling by only a fence,
utility line, or similar connection are considered to
be other structures.
2. Construction material at the residmee premises for
use m connection with your other struetures.
We do not pay for loss to structures:
1. ,used in whol~ or in .part for business proposes
[except rental or holding for rental of struct~wes used
for private garage purposes); or
2. used to store business property. HoWever, ff the
business property is solely owned by ~myoue we
~hOtect, we do provide coverage for the structure.
e business property may not include gaseous or
liquid fuel, unless the fuel is in a fuel tank that is
permanently installed in a vehicle or craft which is
parked or stored in the structure.
This coverage does not apply to land or water, including
natural water, above or below the surface of the ground.
PERSONAL PROPERTY COVERAGE
OUR PROMISE
We will pay for loss to:
1. Personal property Owned or usCd by ~nyoue we
protect anywhere in the world.
2. At your option, personal property owned by others
while the property ~s on your residence l~emises.
3. At your option, personal property off
a. guests and residouee employees while the prop-
erty is in a residence occupied by anyoue we
protect;
b. residouce employees away from the residmee
I~emises while actually engaged in the service of
anyone we protect.
4. At your option, building additions, alterations, fix-
tums: ~mproyements or installations made, or
acqmrea at your expense, by you to residences occu-
pied by, but not owned by you, for an amount not
exceeding 10% of the amount of insurance under
this coverage. Payment will not increase the appli-
cable amount of insurance under this policy.
5. Cemetery property, including monuments,
headstones, gravemarkers, and urns.
6. Animals, birds and. fish, but only while on the resi-
dence premises, for the following perils to the extent
covered under Perils We Ins~e Against: Fire or
Lightning, Windstorm or Hail, Explosion, Sonic
Boom, Riot or Civil Commotion, Aircraft, Vehicle&
Smoke and Vandalism or Malicious MLrchief.
7. Electronic apparatus and eqmpment:
a: while in or upon a motor vehicle or other
motorized land conveyance; and
b. ff the electronic apparatus is equipped to be
~perate, d. ,by power from the electrical system of
rue ,v~cie..or conveyance while retaining its
capaomty o! being operated by other sources of
power.
Electronic apparatus includes cellular phones, fax
machines, radios, tape and disc players, and similar
equipment or devices for the recording, reproduction,
receiving or transmitting of sound or pictures. Elec-
tronic apparatus also includes accessories used in
conjunchon with such apparatus, including antennas,
tapes, wires, records, discs or other media.
X
When ahere is a loss of tapes, compact discs or
similar media by theft from a motor vehicle or other
motorized land conveyance, we will pay up to $150
for the tapes, compact diSCs or similar media.
We do not pay for loss to:
1. Land motor vehicles and parts.
a. We do cover vehicles not subject to motor
vehicle registration which are:
1) Designed to assist the handicapped; or
2) Used solely to service the resi4enee premises.
2. Aircraft and parts.
3. Electronic apparatus and equipment which is solely
powered from the electrical system of motor vehicles
or any other motorized land conveyances.
4. Property rented or held for rental to others away
from. the residence premises.
5. Property of roomers, boarders or tenants not related
to anyone we protect, r
6. Any of the following:
a. Books of account, drawings, or other paper
records containing Imsinem data; or
b. E,.lectronic d. ata pr.ocessing tapes, wires; records,
roses, or other soltware media containing Imsi-
ness data. This includes lmsiness data stored in
computers and rented equipment.
However, we do cover the cost of unexposed or
blank records or media.
7. Radar detectors.
8..Property specificallY insured by this or any other
msuraflce.
9. Except as provided under Special Limits -- Personal
Property, property pertaining to a Imsiness conducted
away from the resiilmee premises unless at the ti.me
of loss such property is on the residence premises.
However, we do not cover such property on the resi-
[lS,_,,,~ ~?i~ w.~e it iLsto,~., held ~ ~mples, or
10. Land or water, including natural water, above or
below the surface of the ground.
Total Amount
of I~surallce II~
Any One Loss
$250
$250
$1000
$2000
$2OO0
$2O00
$20O0
$2500
$500
$3000
$3000
$3000
10% of Per-
sonal Property
Coverage --
(but n~t less
than $2000)
SPECIAL LIMITS - PERSONAL PROPERTY
Limitations apply to the following personal property.
These limits do not increase the amount of insurance
under Personal Property Coverage:
Description of personal
_Property ~ubiect to
Limitations .
· Animals, birds and fish
· Money, travelers checks, stored value
cards, bank notes, bullioni numismatic
property, gold other than goldware or
gold-plated ware, silver other than
silverware or silver-plated ware and
platinum other than pNtinumware
· Theft of trading cards, including
sports cards
· Accounts, bills, deeds, evidences of
debt, letters of credit, notes other than
bank notes, Passports, securities,
tickets, stamps and philatelic property
· Trailers and campers not othenvise
insured, whether licensed or not
· Watercraft, including their trailers,
whether licensed or not, fumishingsi
equipment and outboard motors
'Manuscripts
'Pro.Retry pertaining to a Imsiuess
actually conducted on the residence
premises, including property in
storage, held as samples, or held for
sale or delivery after sale
· Business property away from the res-
idmee premises, regardless of whether
the business is conducted on or away
from the residence premises
· Theft of guns and related equipment
· Theft of jewelry, watches, furs, pre-
cious and semi-precious stones
'Theft of silverware, Silver,plated
ware, goldware, gOld,plated ware and
· Perso.ml. property usually situated at
any res,aence owned or occupied by
anyone we pr0teet other than a resi-
ded.ce premises. Personal property in a
newly:a?quired principal residenCE is
not subject t° this limitation for the 30
days immediately after yo~ begin to
move Property there.
X
X
X
LOSS OF USE COVERAGE
OUR PROMISE
umnnaonaom, we w~ pay a~ reasonable additional living
expenses while yo~ and members of your household
reside elsewhere.
Payment shall he for the shortest time required to repaxr
or replace the premises or, ff you choose, for you to per-
manently relocate.
These payments will not exceed a 12 month period.
We will also pay for your loss of normal rents resulting
from the loss, less charges and expenses which do not
continue while the rente~l part of the residence Imemises
is uninhabitable. We will pay this loss of normal rents
only until the rented part is habitable.
ff a loss fro. m a peril covered under Perils We Insure
iff~t o.c..cur, s at a neighboring premises, we will pay
omuonm nwng expenses and loss of normal rents for up
Io two.weeks should civil authorities prohibit you from
occupymg your premises.
These periods of time are not limited by the expiration
of this policy.
No deductible applies to this coverage.
We will not pay for loss or expense due to the cancella-
tion of any lease or agreement.
This coverage also applies to a loss at a covered sec-
ondary location.
PERILS WE INSURE AGAINST
DWELLING AND OTHER STRUCTURES COVERAGES
.We pay fo.r risks of dim:t physical loss to property
insured under the Dwelling and Other Structures Cover-
ages except as excluded or limited herein.
We do not pay for loss:
1. ~wVeOlVing collapse, other than-as provided in What
e Also Pay. (2) Collapse;
2. Caused by freezing by temperature reduction 'of a
pmmbing, heating, air cofiditioning, gutters and drain
spouts, or fire protective' SYstem or of a house~i01d
appliance, or by discharge, leakage or overflow from
within the system or a~pliance caused by freezing,
while the dwelling is vacant, unoccupied or being
constructed.
There is coverage ff you have used reasonable care
to:
a. maintain heat in the building; or
b. shut off the water supply and drain the system
or appliances of water.
3..By fr?zing, thawing, pressure or weight of water or
~ce, whether driven by wind or not, to a fence, pave-
ment, patio, deck, swimming pool, foundation,
retaining wall, bulkhead, pier, wharf or dock.
4. Caused by constant or repeated seepag~ or leakage of
water o~ steam over a period of weeks, months or
years from within a plumbing, heating, air condi-
tioning, or fire protective system, or a household
appliance.
However, there is coverage if the loss is sudden and
accidental.
5. Caused by:
a. termites, vermin, insects, rodents, birds (except
glass breakage), skunks, raccoOns, spiders or
reptiles;
b. mechanical breakdown, deterioration, wear and
tear, maning, inherent vice, latent defeCt, tree
roots, rust, Smog, wet or dry rot, mold, fungus
or spores;
c. the discharge, disposal, release or escape of any
solid, liquid, gaseous or thermal irritant,
pollutants or contaminant, including smoke,
vapors, soot, fumes, acids, alkalis, chemicals and
waste. Waste includes materials to be recycled,
reconditioned or reclaimed;
d. Smoke, unless the loss is sudden and accidental.
Smoke from agricultural smudging or industrial
opeqatione is not covered even ff the loss is
sudden and accidental.
e.b. ul.giF.g, .crac..k~ng, expansion, settling or
slmnking m ceilings, foundations, floors, patios,
decks, pavements, roofs or walls.
ff a. through e. cause water damage not otherwise
excluded from a plumbing, berating, air conditioning
or Im~ protective System, househOld appliane~,
waterhed or aquarium, we cover loss caused by the
water. Coverage includes the cost of tearing out and
replacing any para_of a building necessary to repair
the system or appliance. This does nOt i~clude loss
to ~th.e defective system or appliance (other than a
wa~ert~l or aquarium) from which the water
escaped.
6. Caused by weather conditi0ns ff any peril excluded
by this policy contributes to the loss in any way.
7. Caused by acts or decisions, including the failure to
act or decide, of any person, group, organi?ation, or
governmental body.
8. Caused by, resulting from, contributed to or aggra-
vated by faulty or inadequate:
a.. plasanir~g, zoning, development;
b. design, development of specifications, workma~x-
ship, construction;
c. materials used in construction; or
d. maintenance;
of property whether on or off the residence premis~
by any person, group, organi?ation, or governmental
body.
9. Caused by animals or birds kept by anyoue we
protect or kept by a residence employee of anyone we
protect.
10. By theft of property from within a dwelling under
construction unless that property has become a part
of the, building, or of materials and supplies for use
in the construction until the dwelling is completed
and occupied.
Under items 1. through 10. any ensuing loss not
excluded is covered.
See Section I - What We Do Not Cover - Exclusions for
additional losses excluded.
PERSONAL PROPERTY COVERAGE
We pay for direct physical loss to property insured under
Personal Property Coverage caused by any of the fol-
lowing perils, unless the loss is excluded elsewhere under
this pohey:
1. Fire or Lightning.
2. Windstorm or Hail, but not including loss:
a. caused by frost, cold weather, ice, snow, fleet,
sand or dust;
b. to property Contained in a building, ru~lless the
building is first damaged by the'direct force of
wind or hail; or
c. to watercraft (except rowboats and canoes at an
ins~.red location) and their trailers, fumishin;s,
eqmpment and motors unless inside a fu~j
enclosed building.
3. Exl~ion.
4. Sonic Boomo
5. Riot or Civil Commotion.
6. Aircraft, including missiles and spacecraft.
7. Vehicles.
82 Smoke, if the loss is sudden and accidental.
This does not include loss caused by smoke from
agricultural smudging or industrial operations.
9. Vandalism or Malicious Mischief.
10. Theft, including attempted theft and loss of property
from a known location when it is likely ihai the
, .property has been stolen :We also cover direct loss
of covered personal property by theft while it is
unattended in or on a motor vehicle, trailer, or
watercraft.
This does not include:
a. theft committed by anyone we p~)tect;
b. theft of property from within a dwelling under
constm_ct~on unless that property has become a
Dart o~- t.he .building, or of materials and s.u. pphes
xor use m the construction until the dwelling is
completed and occupied;
c. theft of property while at another dwelling or
adjacent structures owned by, rented to, or occu-
pied by anyone we protect unless anyone we
protect is temporarily residing there.
Property of a student we protect is covered while
at a residence away from l~ome. This coverage is
not subject to the 10% of Personal Property
Coverage limit under Special Limits - Personal
Property.
Theft losses must be promptly reported to us
and to the police.
11. Falling Objects, but not including:
a. loss to property contained in a bull .~d~., unless
t.he falling object first damages the building exte-
rior; or
b. damage to thc falling object.
12. Weight of lee, Saow or Sleet.
This does not include loss to personal property
outside the building~
13..Sa .d~ and aeeideatal tearing apart, craeki-,-,
tmrmng or bulging of a steam or hot water
system, an air conditioning system, or fire prot~-.'e~i-~
system, or an apldianee for heating water.
This does not cover loss caused by or resulting from
freezing:
~n a not~ltoffi appliance.
This does not include loss on the residence premises
while the ;dWelling is unoccupied unless yon have
usedreas°nabl~ care to:
a. maintain heat in the building, or
b. shut Off the water supply and drain the system
or appliances of water.
from ~itbln a Plnmbing, heatiag, air conditioning, or
fire protective system, Imuseh01d apPlianCe, waterbed X
or aquarinm.
This does~ nOt include loss:
a. to a building caused by constant or repeated
seeP~~ 'or leakage. OvEr a period of weeks,
mdht~s or years;
b. to the~defective system or aPPliance (orh~ than
a waterbed or aquarium);
c. caused by or resulting from freezing;
d. o,~ ,the resideneeJ~remiSes caused by accidental
mscnarge or Overflow which:occurs off the resi-
e. caused by overflow from gutters or drain spouts.
For this peril, a plumbing system does not include a
sump, sump pump or related equipment.
16. Damage due to a suddea and aeeideatai surge of
deetrieal eurreat.
17. Volcanic Eruption.
This does not include loss caused by earthquake,
land shock waves or tremors.
V.o. lc_anic eru. p. tions occurring within a 72 hour period
will be consadered one volcanic eruption.
WHAT WE D'O NO~ COVER - EXCLUSIONS
(Also see specific Exclusions under Dwelling and Other
Structures Coverages- Perils We Insure Agains0
We do not pay foO,r, lo.ss resultin$~ ~. ctly or indirectly
from any of the oaowmg, even ~ other events or hap-
~eo~s'..mngs contributed concurrently, or in sequence, to the
1. by earth movement, due to natural or manmade
events, meaning earthquake including land shock
waves, or tremors before, during, or after a Volcanic
Eruption, mine subsidence, sinkhole, landslide,
mudalide, mud flow, earth sinking, rising~ or shifting.
Direct loss by Fire, Explosion, Sonic Boom, Theft or
Breakage of Glass resulting from earth movement,
mine subsidence, sinkhole, landslide, mudslide, mud
flows earth sinking, rising or. shifting is covered.
2. by water damage, meaning:
a. flood, surface water, waves, tides~ tidal water or
overflow of a bod~, of water. We do not cover
spray from any otthese, whether or not driven
by wind;
b. water or sewage which backs up through sewers
or drains, or water which e'mers into and over-
flo,w,s from wit,Mn a sump pump, sump pump
_w.e~_ o~r any omer .syst. en~. designed to ~ov-e
auosunace water which ts drained from the foun-
dation area; or
c. water below the surface of the ground. This
includes water which exerts pressure on, or
/lows, seeps or leaks through any part of a
building or other structure, i~ciuding sidewalks,
driveways foUndations, pavements, patios,
sw~mmg pools or decks.
We do pay for direct loss that follows, caused by
Fire, Explosion, Sonic Boom or Theft.
3. by power interruption ff the interruption takes place
TrUlY from the res/~, ee premises. If a loss from a
covered under Perils We Insure Against
happens on the resideace premises as a result of a
power interruption, we will cover only loss caused by
that peril.
4. abY w~, whether decl.ared o.r Undeclared, discharge of
nuclear weapon (even ff accidental), hostile or
warlike action in time of peace or war, insurrection,
rebellion, revolution, civil war, usurped power,
including action taken .by governmental authority in
defending against such an occurrence.
5..by nuclear action or radiation or radi6active contain-
:nation, however caused. Nuclear action includes
nuclear, reaction, disclmrge, radiation or radioactive
contarmnation, whether manmade or occurring
naturally.
Loss caused by nuclear action is not considered loss
by Fire, Explosion, Sonic Boom or Smoke.
ff loss by Fire results, we will pay for that resulting
loss.
6. by radon gas contamination.
7. by the enforcement of any ordinance or law
~t_'_.m,~. the co .n. struction, repair or regu-
demolition of a
ounmng or other structure, unless specifically pro-
vided under this policy. We do Cover loss caused by
actions of civil authorities to prevent the spread of a
fire caused by a peril covered under Perils We Insure
Against.
8. by neglect of anyone we proteet to use all reasonable
m. eans t:o protect covered property at :'and .after the
time of. loss. or wh.e.n property is threatened by a peril
coverea Unaer Pertls We Insure Against.
9. by intentional lOSs, meaning any loss arising from an
act Committed. bY Or at'the direction of a~yone we
protect with the intent to cause a loss.
10. by the dest, ruct~on, confiscation or seizure of prop-
erty by oraer o~ any governmental or civil authority.
We do cover loss caused by actions of governmental
or civil authorities to prevent the spread of a fire
caused by a peril covered under Perils We Insure
Against.
11. by the inability to correctly process, recognize, dis-
tinguish, interpret or accept any date or time for loss
or damage t° electronic data proCessing equipment,
co. mputer networks, computer hardware (including
m~croprocessors either as part of a computer sYstem
or operating outside of a system), computer pro-
grams,, software, media or data. '
We will not paY for:
a. any repair, restOration, replacement or modifica-
tion to correct any deficiencies Or c~any
features or functions; or .
b. loss or damage, regardless of when the electronic
data processing equipment, computer hardWare,
computer programs, software, media or data
wen/purchased, obt,4ined Or installed.
10
WHAT WE ALSO PAY
(1) AUTOMATIC GARAGE DOOR OPENER
We will pay up to $500 for loss to personal property,
including the garage door, at the residence premises
resulting from the use or malfunction of an autOmatic
garage door opener.
(2) COLLAPSE
We will pay for direct physical loss to insured property
involving collapse of a building or any part of a building.
,_.C.o.:,ll~apse means, t~ sudden caving in or falling down of a
utmmng or part ot' a building. Collapse of a building, or
part of a building must result in the inability of that
property to be used for its current intended purpose.
Collapse does not include:
1. a building or part of a building that is in danger of
collapsing;
2. a building or part of a building that is standing even
ff it shows evidence of crocking, bulging, sagging,
bending, leaning, settling, shrinkage, expansion; or
3. part of a building still standin~ but is no longer
attached to another part Of the b~ilding.
Loss to insured property involving collapse of a building
or any part of a building must be caused only by one or
more of the following:
1. Fire or Lightning, Windstorm or Hail, Explosion,
Sonic Boo'n, Riot or Civil Commotion, /~ireraft,
Vehicles, Vandalism or Malicious Mischief, Breakage
of' Glaxs, Falling Objects, or Weight of Ice, Snow or
Sleet;
2. hidden decay, or hidden insect or vermin damage not
known to anyone we protect prior tothe collapse;
3. weight of people, animals, contents or equipment;
4. weight of rain which collect~ or/a roof;
5. use of defective materials or methods in. con-
struction, remodellng, or renovation ff the collapse
occurs during the course of the construction, remod-
eling or renovation.
We will not be liable for loss under 2., 3., 4. or 5. above
to. the following property unless the loss is a direct result
of the collapse of a Building or any part of a building:
Cl~]sh aw, hi,g, s, fenc. es, pavements, patios, swimming
po is, necks, unaerground pipes, flues, drains,
~c_e_s,,sl~OOl?, septic t.anks, foundations, retaining walls,
uuncneans, taers, wharves or docks.
Payment does not increase the amount of insurance
applying to the loss.
(3) CREDIT CARD, CHARGE PLATE, CHECK FORGERY
AND COUNTERFEIT MONEY PROTECTION
We will pay up to $2500 for the legal obligation of
anyone we protect to pay because of Theft, forgery or
unauthorized use of any credit or fund transfer card,
charge Plate, c.heck or negotiable instrument issued to or
registered in the name of anyone We protect. We will
also pay for loss each time anyone we protect unknow-
ingly accePts counterfeit money.
No deductible applies to this coverage. We require evi-
dence of loss.
We will not pay for:
1. loss arising from any I~siness;
2. loss arising from anyone we protect.
When loss is discovered, anyone weprotect must give ns
immediate notice, ff the loss involves a credit or fund
transfer card or charge plate, anyone we protec~ must
~ give .',nnmediate notice .t.o t.he issuer of the card or
p~ e. ~anure to comply w~th the reims and conditions
o! the card or plate voids this pmtection,
If a loss occurring during the policy period is discovered
p y tne 1o88. 1I a prior loss is discovered during the
policy period and no other insurance applies, we will pay
for the loss. We have the right to investigate and settle
any claim or suit before making payment Full navment
Repeated losses caused byor involving one person are to
be considered One loss.
If a claim is made or suit is brought against anyone we
pro~ect for liability under the Credit Cord or Charge
Plate. Protection, we will provide a defense. The defense
will be at our expense, with a lawyer we choose.
We have the option under the Check Forgery Protection
to d. efend at o~_r expense anyone we protect or their bank
against a suit lot the enforcemenl of payment.
(4) DEBRIS REMOVAL AFTER LOSS
We wi]] pay the expense for removal of**
l. debris of covered property following loss under Perils
We Insure Against;
2. ash, dust or particles from Volcanic Eruption that has
caused direct loss to a building or property within a
budding; or
3. fallen trees which cause damage to covered property,
provided coverage is not afforded elsewhere by this
policy.
If the amount of insurance applying to the loss is
exhausted, we will pay up to an additional 5% of the
amount of insurance applying to the damaged property
for removal of debris.
We will also pay up to $1000 per occurrence with a limit
of $500 per tree for the removal of fallen trees on the res-
idmee premism ff loss is caused by Windstorm, Hail or
11
X
Weight of Ice, Snow or Sleet even when covered prop-
erty is not damaged.
(5) EMERGENCY REMOVAL OF PROPERTY
reWox[__w_ill, ipay for prol~..rty damaged in any way while
oyes ~om your residence premises because ot~ danoer
.m an insured peril. C°Veraee is limited t,~
period from date of remOval l~a, e z- .v
· ym nt will not increase
the mount of insurance applying to the loss·
(6) FIRE DEPARTMENT.SERVICE CHARGES
We will pay all reasonable fire department service
.char,ge.?..to save .or protect insured ploperty. Payment is
m anmnon to the amount of insurance applying to the
loss.
No deductible applies to this coverage.
(7) FIRE EXTINGUISHER RECHARGE
We will pay exPenses incurred tO recharge portable fire
extinguishers al~er they are Used to fight a fire.
No deductible applies to this coverage.
(8) LOCK REPLACEMENT AFTER LOSS
X At your request, we will pay up to $250 to replace keys
and locks to the exterior doors of the residouce I~mises,
as well as keys and locks to your other property (autos,
boats, etc.), ff the keys are stolen during a Theft loss.
This coverage does not apply to keys and locks per-
taining to Imsiuess property.
X We will pay for replacement of automatic garage door
transn?i.'tters when a transmitter has been stolen. Cov-
erage as also provided for the cost to reprogram the fre:
~>oUx~. cy on additional transmitters and/or the control unit
No deductible applies to this coverage.
(9) LOSS ASSESSMENT
(Applicable to Section I and Section H - Personal
Liability Coverage Only)
vWoue ~ reimbur~ you for.a~, assessment Charged against
y u as owner or ;enant o! the re. de-ce premises bY an
a~n~°~.?~°n_ ~5 corpo~.tion...of, property owners, minus
j, u. us~ va~a ariel COllect~Ole insurance available to the
assocaation or corporation covering the same assessment.
Under Property Protection . Section I, the assessment
.,must result from a direct loss to property, owned by all
me property owners collectively, caused by a~y of the
Peril~ We Insure Against. Under Section 11 - personal
Liability Coverage Only, the assessment must result from
an occurrence covered under this policy.
Unless otherwise shown on the DeClarations, our
amount of insurance for this protection is $5000 per
asses~rlent.
ff you are assessed for a covered water loss, we will pay
your share of the cost of tearing out and replacing any
part of an ius~red Ineatio~ necessary to repair the system
or appliance.
The POlicy deductible applies to each dwelling under
Property Protection - Section I only.
We will not pay ff the loss is caused by earthquake or
land shock waves or tremors which occur before, during
or after a Volcanic Eruption.
We also will not pay for any loss assessments charged by
a governmental body.
(10) MECHANICAL SERVANT AND ROBOT
PROTECTION
We will pay up to $500 for loss t.o personal property at
the residence premises caused by malfunction of a
mechanical servant or robot.
(11)NON-OWNED RESIDENCES
We will Pay up to $1000 for loss by Theft and
Vandalism or Mdiciou~ Mischief to residences occupied
by~ but not owned by :mYo~e we pro~eet.
(12) ORDINANCE OR LAW COVERAGE
p p~ny, or ~ne Vunamg containing the covered pmp-
~cy, wy will pay ~r the insreased costs incurred due to
.emoreemem OI any ordinance or law'lhat is in
at the time of the loss un t° 10% o
.insurance under Dwelling Coverage or $5000, 'whichever
is greater.
Yon may use this coverage for:
~m pomon o! m~ bui]~ da~as~l bv a
~nsure Against; or -°--
2: the demoh_'tion and reconstruction of the undamaged
portion ol the building ff the entire building taus/be
demolished because of d~ bYa Peril We Insure
Against; or
3. t~he~.remo.vall or. r.e.p, lace~.n, ent of the undamu~d
pomon o! the ~uildmg because of the repair or
replacement of the POrtion of the building damaged
by a Peril We Insure Against;, or
4. the removal of debris resulting from the con-
struction, demolition, renovation, repair or replace-
ment of 1., 2. or 3.
Ordinance or Law Coverage does not include coverage
for:
1. loss in value to any covered building due to the
requirements of any ordinance or law; or
2. the cost to comply with any ordinance or law
requiring the testing, monitoring, cleaning up,
.re.moving, eo.n. taining, treating, detoxifying, neutral-
~ang, responding to or assessi:n. 1~ the effects of any
solid, liquid, gaseous or thermal irritant, pollulanl or
contaminant in or on any covered building.
X
X
12
X
X
(13) REFRIGERATED PRODUCTS
We will pay for loss to the contents of refrigerator or
freezer units on the residence premises from either power
or mechanical failure.
Coverage will be void ff the contents are on the residence
premises for business purposes.
(14) TEMPERATURE CHANGE
We will pay for loss to insured personal pmpex~y
resulting from change of temperature. There must first
be damage done by a peril covered under Perils We
Insure Against occurring at the residence .premises.
Payment will not increase the amount of insurance
applying to the lOss.
(15) TEMPORARY REPAIRS AFJ~-R LOSS
We will pay for reasonable and necessary expenses for
temporary repairs to protect covered property from
further damage after loss by a peril Covered under Perils
We Insure Against. Payment will not increase thc
amount of insurance applying to the loss.
(16) TREES, SHRUBS, PI.AH'rs AND LAWNS
.We will pay up to an additional 5% of the amount of
insurance under Dwelling Coverage for loss to trees,
shrubs, plants and lawns at the residence premises.
Coverage applies only to loss caused by the follOwing
perils covered under Perils We Insure dgainxt: Fire or
Lightning, Explosion, Sonic Boom, Riot or Civil
Commotion, Aircraft, Vehicles, Smoke, Vandalism or
Malicious Mischief ~nd Theft.
We will not pay for:
1. more than $500 on any one tree, shrub or plant;
2. damage to lawns by vehicles owned or operated by a
resident of the residence premises;
3. trees, shrubs, plants or lawns grown for b~iness pur-
poses.
DEDUCTIBLE
We will pay for loss minus the deductible shOwn on the
Dedarafioas~ Unless otherwise provided in an endorse-
ment, in the event of total loss to the Dwelling from a
covered peril, the deductible will not apply.
The deductible does not apply to: 1. Loss of Use Coverage
2. Credit Card, Charge Plate, Check Forgery and
Counterfeit Money Protection
3. Fire Dep~tment ServiCe Charges
4. Fire Extinguisher Recharge
5. Lock Replacement dfter Loss
¸13
RIGHTS AND DUTIES -- CONDITIONS -- SECTION I
(1) ABANDONMENT OF PROPERTY
We are not required to accept abandoned property.
(2) APPRAISAL
If you and we fail to agree on the amount of loss, on the
w~.'tte? dema:n, d of e.ither, each party will choose a com-
..leto ap~,~, ser and notify the other of the appraiser's
~ennt. y wlth~.'. 2~ days after the demand is received. The
apprmsers Will select a competent and impartial umpire.
If the appraisers are unable to agree UpOn an ur~pixe
within 15 days after both appraisers have been identified,
you or we can ask a judge of a court of record in the
state where your residence in,raises is located to select an
The appraisers shall then set the amount of loss. If the
appraisers submit a written report of an agreement to us,
the amount agreed upon shali bethe amount of loss. If
they cannot agree, they will submit their differences to
the umpire. A written award by two will determine the
amount of loss.
Ebea~h party will. pay the appraiser it chooses, and equally
expenses tot the umpire and all other expenses of
tahoe a. pp?i.'sa]. H. owever, ff the written demand for
pprmsm ~s made by us, we will pay for the reasonable
cost of your appraiser and your share of the cost of the
We will not be held to have waived any rights by any act
relating to the appraisal.
(3) AUTOMATIC ADJUSTMENT OF
COVERAGE AMOUNT8
This policy provides you with a guard against the effects
of inflation in construction costs.
We ~ keep track of costs and at the next policy period
we will adjust the amount of your building coverage ff
~57, ~ss~.~. Adjust,m?.nts in or_her coverages (Other Struc-
utes coverage ana ~'ersonal rroperty Coverage) will also
b~, made proportionately. Your premium will be
adjusted at each policy period to retIect any change in
the amount of insurance.
During the policy period, ff there is an increase in con-
struction costs and a loss occurs, we will reflect the
increase in the amount of insurance before making
payment. There will be no charge for this additional
coverage.
However, ff for any reason other than inflation or con-
struction costs, the amount of insurance on your home
becomes inadequate, or ff you made substantial improve-
ments to your home and failed to notify as to increase
the amount of your insurance, the amount of insurance
shown on the Ded;~mtious will be the full amount avail-
able should a loss occur.
(4) ERIE OPTION
ff we give you written notice within 30 days after we
receive your signed, sworn statement of loss, we may
repair or replace any part of the property damaged with
equivalent property.
(S) GLASS REPLACEMENT
/~ss to. glass ca~ by a peril covered under Perils We
me Against will be settled on the basis of replacement
with safety glazing materials when required by law.
(6) INCREASE OF HAZARD
Unless we agree beforehand, coverage is suspended ff the
hazard is substantially increased by any means within the
control or knowledge of anyone we ~oteet.
(7) LOSS PAYMENT
We will settle any claim for loss with you. We will pay
you unless some other person is named in thc policy or
is legally entitled to receive payment. We will pay within
30 days after we receive your proOf of loss and the
loa~O, nU~:t of loss is finally determined by one of the foi-
l. we have reached an agreement with you; or
2. there is an entry of final judgment; or
3. there is a filiqg of an appraisal award on your behalf.
(8) LOSS SETTLEMENT
The increased cost incurred to comply with the enforce-
ment of any ordinance or law is not included under this
condition, except for coverage that is provided under
What We Also Pay, Ordinance or Law Coverage.
The fo~ow~ng.type~s .of losses will ~.. settled on an actual
ca. sn vame oasas. I ms means we will deduct 'for depreei-
at,on.
Losses to.'
· property insured under Personal Property Coverage
· structures that axe not buildings or carports
· carpeting
· household appliances
· cloth awnings
· outdoor antennas and outdoor equipment, whether
or not attached to buildings
· insured buildings and structures which do not meet
the requirements for a replacement cost settlement
described below.
14
The actual casl~ value will be determined at the time of
the loss. Payment will not exceed the amount necessary
to repair or replace the dama~d property.
Dwelling and Other Structures Coverage
Loss under Dwelling Coverage or Other Structures Cov-
erage will be settled by one of the following methods:
!. REPLACEMENT COST SETTLEMENT
(meaning we will not deduct for depreciation):
a. provided the Deelaratious shows the Automatic
No-Depreciation Settlement applies; or
b. ff at the time of the loss, the amount of insur-
ance applying t° the insured building is 80% or
.more of the full replacement cost of the building
mamediately prior to the loss; or
X c. if the cost to repair or replace the damage to an
insured building is both:
1) less than $2500; and
2) less than 5% of the amount of insurance on
the building.
In making a replacement cost settlement, we will pay
you the cost of repair or replacement, without
deduction for depreciation. Payment will not exceed
the smallest of the following amounts:
a. the amount of insurance applying to the
building; or
b. the replacement cost of that pa~ of the building
damaged for equivalent construction and use on
the same premises; or
c. the actual amounl spent to repair or replace the
damaged building.
In dete_ _m3ining 80% of the full replacement cost of
the building, the value of the following will not be
considered:
a. excavations,
b. foundations below the basement floor,
c. ]~iers and other supports below the basement
HOOt,
d. if there is no basement, the value of all items
below the surface of the ground inside the foun-
dation walls.
2. LESS THAN FULL REPLACEMENT COST
SETTLEMENT
If full replacement cost settlement does not apply, we
will pay the larger of the following amounts, but not
exceeding the amount of insurance under this policy
applying to the building:
a. the actual cash value of that part of the building
damaged; or
b. that proportion of the full cost to repair or
replace the damage which the total amount of
insurance in this policy on the damaged buildin~
bears to 80% oi~ the replacement cost of th~
building.
We will pay no more than the actual cash value of the
dama~ until the actual repair or replacement is com-
pleted. However, when the loss is both less than $2500
and less than-5% of the amount of insurance on the
build.lng, we will PgY the full replacement cost before
actual repair br replacement is completed.
You may disregard the replacement cost provision and
make claim for loss or damage to buildings on an actual
cash value basis.
ttY~j,_l~__ve~the right.t,o...mak, e claim, within 180 days after
7vSS, ~r, ,a~g~ ar~m.~oon_~' amo.unts w.e. will be required
a un~- ~,~o ~oaa oe.tement provmon.
(9) LOSS TO A PAIR OR SET
If there is a loss to a pair or set we may:
1..repair or replace any part of the pair or set to restore
~t to its value before the loss; or
2. pay the difference between actual cash value of the
property before and after the loss.
(10) MORTGAGE CLAUSE
Loss under Dwelling Coverage or Other Structures Coy.
erage shall be payable to mortgagees named on the Dee,
Io~p~%~e~t~et. he extent of their interest and in the order
Our Duties
We will:
1. ~_r_o?,e.ct thee .mort.gag~e. 's interests in an insured
mmamg. I ms protechon will not be invalidated by
any act or neglect of anyone we protect, any breach
of ~warr ,~ty, in.?ase in hazard, change of ownershi-,
o.r zoreciosure ff the morteauee has no
these conditions; ........
2. give mortgagee 30 days prior notice ff we cancel or
refuse to ~ontinue this policy;
3. give mottle notice ff you cancel this policy.
Mortgagee's Duties
The mortgagee will:
1. furnish proof :of toss within 60 daYs after receiving
notice from ~s if You fail to do so;
2. pay upon demand any premium due if you fail to dO
so;
3. notify .~s of any. change of ownership or occupancy
or any increase m hazard of which the mortgagee has
knowledge;
4. give m the right of recovery against any party liable
for loss. This shall not impair the mortgagee's right
to recover the full amount of the mortgage debt;
5. after a loss, permit ~s to satisfy the mortgage require-
ments and receive full transfer of the mortgage and
all securities held as collateral to the mortgage debt;
6. at our request, submit to examinations under oath.
Policy conditions relating to Appraisal, Loss Payment
and Suit Against Us apply to the mortgagee.
This condition shall also apply to any trustee named on
the Deelaratious.
15
(11) NO BENEFIT TO BAILEE
No bailee shall benefit, directly or indirectly, from this
insurance.
(12) OTHER INSURANCE
If both this insurance and other insurance apply to a
loss, we will pay oar share. Our share will be the
proportionate amount this insurance bears to the total
.,_a~m__ount of ~ applicab, le. insurance, except insurance in
~nx~nenrsa[n. e ox an assocuat,on or corporation of property
If there is other insurance in the name of an association
or corporation of property oWners, covering the same
prol).e, rty~ covered by {his policy, the Othe~ insurance
applies nrst. r
(13) PERMISSION GRANTED TO YOU
Coverage applies even when your described dwelling is
vacant or unoccupied, except where limited under Perils
We' Insure Against.
Yoa may make alterations, additions and repairs to yonr
building, and complete structures under construction.
Yon may waive your rights to recovery against another
involving the insured property. This must be done in
writing prior to a loss.
(14) RECOVERED PROPERTY
If we have made payment on property which has later
been recovered by yon or us vo~ or we will' notify the
other of the recovery, yon h~tv~ a right to the recovered
property. If yon elect to have the property, yoa will
repay us the amount of onr payment to yon.
(15) SUIT AGAINST U8
We may not be sued unless there is full compliance with
all the ierms of this policy. Suit must be brought within
one year (Maryland- three years) after the loss or
C~I]~'tgc OCCurS.
(16) WHAT TO DO WHEN A LOSS HAPPENS
In case of a loss, anyone we protect must:
1. give us or our Agent immediate notice of the loss. If
the loss is due to criminal activity or theft, yon must
also notify the police;
2. do whatever possible to recover and protect the
property from further damage. If it is necessary to
protect the property, yon must make reasonable
repairs, and k~ep a record of all repair costs;
3..fu~. 's..h a complete inventory of damaged property
~osC~cl(~eqdt~nttty, actual cash value and amount of
4. ?.to.duce. for~ examination, with permission to copy,
au oooKs o! accounts, bills, invoices, receipts, other
vouchers and other £mancial information as we may
reasonably require;
show us or oar ~mpresentat. iv.e the .dan}aged property,
as often as may oe reasona0~y requirea;
at our request, separately submit to examinations
and statements under oath and sign a transcripl of
the same;
cooperate with us in our investigation of a loss and
any suits;
send us, within 60 days after onr request, yonr signed
and sworn proof of loss stat~nent which includes an
explanation of the following:
a. time and cause of loss;
b. your interest in the property and the interest of
all others involved;
c. any encumbrances on the property;
d. other policies which may cover the loss;
e. any. changes in title, use, occupancy or pos-
session of the property which occurred during
the policy term;
f. when requn'ed by us, any plans, specifications
and estimates for the repair of the dama~d
g. the inventory of damaged property as prepared
in 3. of this condition;
h. receipts for any additional living costs as a result
of the loss, and records of pertinent rental loss;
i. m case of claim under Credit Card, Charge
~lraottee'e.:C?_e_cl~_ F~ar~ge.r.~ .a~..d CoUnterfeit Money
· =~..on, an amoav'.t Stating 'amount, time and
cause of loss,
16
HOME AND FAMILY LIABILITY PROTECTION -- SECTION Ii
Personal Liability Coverage includes Bodily Injury Liability Coverage, Property Damage Liability Coverage and Per-
sonal Injury Liability Coverage.
BODILY INJURY LIABILITY COVERAGE
PROPERTY DAMAGE LIABILITY COVERAGE
OUR PROMISE
We will pay all sums up to the amount shown on the
Deehu'afiens which :myene we prote~t becomes legally
obligated to pay as damages because of bodily Jnj~y or
poncy period. We will pay for only I~dily injury or
pr~ damage covered by this policy.
We may: investigate or settle any claim or suit for
damages against ~myene we protect, at o~r expense: If
we protect js sued for damages becaus of
lury or property ~am~ge covered by this policy, we will
provide a defense with, a lawyer We choose, even ff the
a~l~ e. gation.s ~ not true. We are not obligated to pay any
or ?ag ent or fend any suit e .we ave
PERSONAL INJURY LIABILITY COVERAGE
OUR PROMISE
DWellS.Pay al~ .s,ums up to the amount shown on the
~,e~. ar~. 9o~s wmcn ~y~e we protect ~comcs
o~,~ea to pay ~ ~s ~cau~ of ~ inju~
~.~y ~ %ffe~ ~ommitted d~g the ~hey ~.
we ~ pay Ior o~ ~ inju~ coved by t~s
~cy.
We may hveai~te or ~ttle ~y c~ 0r ~t for
d~s ~a anyone we
~y~e we ~ot~ is ~ed for d~s becau~ of~-
defe~e ~th a h~= we choose, even ff th6 ~e~tions
not tree. We ~ not ob~ted to pay ~y d~ or
J~ent or d~end ~y ~t ff we ~ve ~ady
MEDICAL PAYMENTS T° OTHER8
COVERAGE . .
OUR PROMISE ~
pay. ~t~he .nec?s .sa~.. m.edical expenses incurred or
Ulcauy aet~.ssmea w~t/nn t~ee yc~s from ~e ~te of
~ciden~ ca~ ~ly hj~ or ~ init. ~s
e-ye~ ~tafion ~es not apply to ~e~ ex~s.
~s cov~ does not a~ly to y~ or ~ r~d~ts
of your household, otherth~ r=id~ ~oy~;
To others, we will pay only in the following situations:
1. T.o a ~person on an insulted Iocatien with the peimis-
S~on o! :myooe we ia~eet; or '
2. To a person off an imm location ff the bodily
iujury or personal inj~y:
a. arises out of a condition on an insured
or adjoining ways;
b. is caused by the activities of :myo~e we protect;
c. is caused by a residence e~ldoyee in the course
of employment by :myo~e we Iwotect;
d. is caused by an ani~lal m~yo~e we proteel owns
or is caring for.
Payment under this cove~e is not an admission of
liability by us or ~yo~e we protecL
WHAT WE DO NOT COVER - EXCLUSION8
Bodily Injury Liability Coverage
Property Damage Liability Coverage
Personal Injury Liability Coverage
Medical Payments To Othe~ Coverage
We do not cover under Bodily Injury Liability Coverage,
Property Damage Liability Coverage, Personal Injury
Liabilit~ Coverage and Medical Payments to Others Cov-
erage:
~,~ ~u or mmnoen ~y anyone we protect even fi:
a. Se or. qu ity of the inj y or
.aamage ~s aifferent than what was ex, ted or
intended; or
b. a different person, entity, real ?r personal prOp.
erty sustained the. injury or aamage than was
.expected or intended.
We do cover reasonable acts committed to protect
persons and property.
2. Bodily i~jury, Im~pmy d~m~ge or perso~i i~ry
arising out of business pursuits of :myene we prot~.'et.
We do cover:
a. activities normally considered non4msi~ess;
b. Imsi~ss pursuits of Salespersons, collectors, mes~
sengers and clerical office workers employed by
others. We .do not cover installation~ c~emon-
stration and servicing operations;
c, business pursuits of educators while employed by
others as educators, including
merit of Pupils; corporal punish-
d. occasional imsi~em activities of m~yo~e we
pro~ect. These include, but are not limited to,
X
17
bab~-sittingl caddying, lawn care, newspaper
delivery and other similar activities.
We do not cover regular Imsinem activities or
b~sinem activities for which a person is required
to be licensed by the state;
e. the ownership of uewly-acquired one or two
family dwellings, but only for a period of 30
consecutive days after acquisition unless
described on the Declarations.
3..l~.'ly injury, .property damage or personal injury
arising out of the rental Or holding for rental of the
residence premises by anyone we protect.
We do cover if the residence premises'is:
a. occasionally rented or held for rental to others as
a residence;
b. rented or held for rental in part as a residence,
unless for the accommodation of more than
three roomers or hoarders;
c. rented or held for rental in .part as an office,
school, audio or private garage.
4..B~i.'ly injury, pro~-rt~ damage or Inesanal injury
arising out of the/'end[ering or failing to render pro-
fessional services. Professional services include, but
are not limited to:
a. any.architectural, engineering or industrial design
services;
b. any medical, surgical, dental or other services
contributing to the health of persons or animals;
c. any beauty or barber services;
d. any legal, accounting or insurance services;
e. the servicing, installation, or maintenance of
computer hardware or software;
f. the selling, designing, licensing, consultation,
~ara~hising, furnishing or creation of computer
dw .a~e or software, including electronic data
processing programs, designs, specifications,
manuals or instr~ctiox/s.
5. Bodily injury, ~pert~ damage or personal injury
arising out of premises owned .by or rented to
anyone we protect which is not an ms,red location.
nlury to a residence employee arising out of
and in the course of employment by anyone we
protecL
6..B~li.'ly injury, prolnrty damage or personal injury
arising out oftbe ownership, maintenance or use of:
a. aircraft;
b. any land motor vehicle owned or operated by or
rented or loaned to anyone we protect.
We do cover motor vehicles fi:
1) they are used solelyat an insured location
and not subject to motor vehicle registration;
2) they are kept in dead storage at an insured
location;
3) they are a recreational land motor vehicle
not designed for use on public roads while at
an ins~ed location;
4) they' are a' golf cart, wherever used or
located;
5) they are a lawn or farm' type vehicle or
snowblower, wherever used or located, ff not
subject to motor vehicle registration;
6) they are designed to assist the handicapped.
c. watercraft:
1) owned by or frequently rented to anyone we
protect ff it has inboard or inboard-outdrive
motor power of more than 75 horsepower;
2) owned by or liequently rented to anyone we
protect ff it is a sailing vessel 26 feet or more
m length; or
3) powered by one or more outboard motors
with more than 75 total horsepower owned
by anyone we protect at the beginning of the
policy period.
However, ff anyone we protect acquires watercraft,
regardless of horsepower, coverage applies during the
P~licy period. If the waiererafl is aCqifired withi~ 60
days of the end of the policy period, we will provide
coverage~ for a maximum of 60 days. We have the
right to charge yon an additional premium.
Exclusion 6. c. does not apply while the watercraft is
stored on shore;
Excluxion 6. does not apply to bodily injury or pers~al
rap,fy to any residence employee arising out of a~d in the
course of employment by anyone we protect.
We do not cover liability arising out of the negligent
entmstment of an aircraft, motor vehicle or watercraft
excluded in 6.
~W_~e_,a~.so, ~ n~ot c.,over ~atutorily '.m~..po. sed vicarious par-
~ix~e.~ta, °mmottYolrO~,etlnn.~leaCot~ons of a child or minor using an
r watercraft excluded in 6.
7..B~li.'ly injury, property damage or personal injury
.arising out of war (declared or undeclared), civil war,
resurrection, rebellion or revolution.
Discharge of a nuclear weapon is considered a
warlike act, even if accidental.
8. Bodily .inju~ry or personal injury which arises out of
or results Irom a communicable disease or condition
transmitted by anyone we .protecl to any other
person through a parasite, virus, bacteria or any
otber organism.
9. Except as provided in p_aragraph 2.c. under *What
We Do Not Cover-- Bodily Injury Liability Coverage,
Property Damage Liability Coverage, Personal Injury
Liability C,,~erage and Medical Payments To Others
Coverage, bodily injury, property damage or per-
sonal injury which arises out of tT~e sexual
molestation, corporal punishmem or physical or
mental abuse by anyone we protect.
10. Bodily injury, proper~_y damage or, personal injury
which arises out of thc usc, s,'ue, manufacture,
delivery, transfer or possession by any person of a
Controlled Substance(s) as de£med by the Federal
Food and Drug Law at 21 U:S.C.A. Sections 811
and 812. Controlled Substances include but arc not
limited to cocaine, LSD, marijuana and all narcotic
drugs. However, this exclusion does not apply to
18
the legitimate use of prescription druss by a person
following the orders ora licensed physician.
11. Bodi.ly injury, property d~mage or personal injury
which arises out of the discharge, disposal, release or
.e~ape of any solid, liquid, gaseous or thermal
mt,mt, pollutant or contaminant including smoke,
vapors, soot, fumes, acids, alkalis, chemicals, and
waste. Waste includes materials to be recycled,
reconditioned or reclaimed.
12. Punitive or exemplary damages and related defense
costs.
We do not cover under Bodily lnjt, ry Liability Coverage,
Property Damage Liability Coverage or Personal Injury
Liability Coverage:
1. Liability assumed under any oral contract or agree-
ment, or by contract or agreement in connection
with any business of anyone we protect.
2. Liability for your share of any loss assessment
charged against all members of an association or cor-
poration of property owners. This exclusion does
not apply to I4~hat We Also Pay, (9) Loss Assess-
ment, Section 1 of this policy.
3. Properly damage to property owned by anyone we
4. uPser~y, a~_,nage to property rented to, occupied or
Or in the care of.anyone we proleet. This
exclusion does not apply to property damage caused
by Fire, Explosion, Sonic Boom or Smoke, or by
accidental discharge of water from a waterbed or
aquarium.
5. Bodily injury or personal injury to any person eligible
to receive any benefits required to be provided or
voluntarily provided by anyone we ~oteet under any
workers compensation, non-occupational disability
law or occupational disease law.
6. Bodi.iy injury, property damage or personal injury for
whica anyone we ~'oteet is covered under any
~tudear energy liability policy, or would be covered if
s amounts of insurance hadnot been exhausted.
7. Bodily injury or personal injury arising out of busi-
ness pursuits of anyone we protect, other than Imsi-
hem pursuits covered by the policy.
8. Bodily injury or personal injury to employees of
anyone we protect arising out of employment.
This exclusion does not apply to bodily injury to a
re~denee employee arising out of and in the course
of employment by anyone we protect.
9. personal injury arising out of willful violation of a
law or ordinance by anyone we protect.
10. Personal injury arising out of civic or public activities
performed for pay by anyone we I~oteet.
11. Suits for libel, slander or defamation of character
made against anyone we protect if the publication or
statement:
a. took place before the effective date of this insur-
ance, or
b. was knowingly untrue.
12. Bodily injury or personal iniury to yon and if resi-
dents of your household, your relatives, and persons
under the age of 21 in your care or m the care of
your residt, nt relatives.
Under Medical Payments To Others Coverage we do not
cover bodily injury or personal injury:
1. to a residence employee if it occurs off an insured
location and does not arise out of or in the course of
employment by anyone we protect.
2. to any person eligible to receive any benefits required
to be provided or voluntarily provided under any
,workers coml.~.nsation, non-occupational disabih'ty
mw or occupational disease law.
3. from any nuclear reaction, radiation or radioactive
contamination, or any consequence of any of these.
4. to anyone we protect or other person(s) who resides
on the insured location,, except a residence employee.
WHAT WE ALSO PAY
Payment for the following is in addition to the amounts
of insurance shown on the Declarations.
(1) CLAIM EXPENSES
We pay:
l. court costs, tO defend Or settle as we believe proper,
any claim or suit against anyone we proteet, for
damages co~vered under_this policy. Our payment of
the limit ol protection I6r a settlement, judgment, or
deposit in court ends our duty to pay under this
item.
2. expenses incurred, to investigate and defend or settle
as we believe proper, .any claim or suit against
anyone we protect for aamages covered under this
pokey. Our payment of the limit of protection for a
settlement, judgment, or deposit in court ends our
duty to pay under this item.
3. post-judgment interest, but only that portion of the
post-judgment interest which accrues on that part of
any judgment that does not exceed thc limit of pro-
tection on a suit we defend. Our payment, offer in
writing, or deposit in court of that part of thc judg-
m?t which. ~does not exceed the limit of protection
enos our omy to pay any post-judgment interest
which accrues after the date of our payment, written
offer or deposit.
4. prejudgment interest or delay damages awarded on
that part of any judgment that does not exceed the
limit of protection, ff we offer in writing to pay the
applicable limit of protection, we will not pay any
P~judgment interest or delay damages for the neriorl
o! time after the offer. ~ ~-- -
5. reasonable expenses anyone we protect may incur at
our request to help us investigate or defend a claim
or suit. This includes up to $300 a day for actual
loss of earnings (but not loss of other income) and
vacation time or other benefit loss.
6. premiums on the following types of bonds, but not
for bond amounts greater than the limit of pro~
tection:
a. appeal bond in a suit we defend;
19
X
b. bail. bond (with premium of $500 or less)
required due to an accident or related traffic vio-
lation involving a vehicle we insure;
c. attachment bond to release property of anyone
we protect due to an accident or related traffic
violation involving a vehicle covered by this
We have no duty to apply for or furnish such bonds.
7. reasonable lawyers' fees uo to $50 which anvone we
pr?.t ..mcur, s bocau o.f res ting an
accmem mvmving a vehicle covered by this policy.
(2) DAMAGE TO PROPERTY OF OTHERS
We pay, on a replacement cost basis, up to $1000 per
oee~ronee for liol~y damage to l~operty of others
caused by anyone we ~oteel. This coverage also applies
to property of others in the possession of anyoae we
We will not pay for inxl~rty damage:
1. to the extent of any amount recoverable under
Section I of this policy;
2. caused intentionally by anyone we protect who has
attained the age of 13;
3. to property owned by anyone we protect;
4. to property 6wned by or rented to a tenant of
anyone we protect or a resideat of yonr household;
5. arising out off
a. an act or omission in connection with a premises
(other than an imred location) owned, rented or
controlled by anyone we protect;
b. business pursuits; or
c. ownership, maintenance or use of a motor
vehicle, aircraft or watercraft. We will pay for
property damage to a land motor vehicle
de, s.i:gn.ed for recreational use off public roads
while in the possession of or caused by anyone
we protect if:
1) not subject to motor vehicle registration, and
2) not owned by anyone we protect.
(3) FIRST AID EXPENSES
We pay reasonable expenses for first aid to other persons
and animals at the time of an accident involving sayone
we protect.
(4) LOSS ASSESSMENT -. PERSONAL LIABILITY
COVERAGE
See What We Also Pay, (9) Loss Assessment - Section I.
X
20
RIGHTS AND DUTIES -- CONDITIoNs
(1) DUTIES OF AN INJURED PERSON -
MEDICAL PAYMENTS TO OTHERS
COVERAGE
The injured person or someone acting on behalf of that
person will:
1. give-us written proof of claim, as soon as possible,
under oath if required;
2. sign papers at our request to allow ns to obtain
niedical reports and copies of records.
The injured person will submit to mental and physical
examination,by ,51~Ct, ors selected by us as often as reason-
ably required. We. may pay the injured person or the
provider of the services.
(2) LIMITS OF PROTECTION
~Thi's insurance .applies separately to anyone we protect.
Regardless of th~ 9.umb~? of people we protect, claims
mane or persons mlurea, our total liability under Per-
sonal Liability Coverage for damages resulting from one
ocourrence, offense, claim or suit will not exceed the
amount shown on the Declarations for Personal Liability
'ly,iinju , .=age
~a~ m~ury res..ulttng ~rom one acclOent or from contin-
uous or ~eated exposure to thc same general conditions
is considered the result of one occurrence, Offense, claim
or suit.
Our total liability under Medical Payments To Others
C~erage fo.r ~ medical expense payable for bodily injury
ann persmml mnlury to any one person will not ex~ed the
"Each Person* amount shown on the Declarations.
(3) OTHER INSURANCE-- PERSONAL
LIABILITY COVERAGE
This insurance is excess over any other valid and collect-
ible insurance. However~,ff the other insurance is specif-
ically written as excess insurance over this policy, the
limits of this policy apply ftrst.
If at the time of 10ss there is other insurance in'the name
of an association or corporation of property owners cov-
ering the same perry
ance- afforded ~o this covered by this policy, the msur-
policy shall be. excess over~ the
amounl recoverable under such other insurance.
(4) SUIT AGAINST US
We may not be sued unless there is full compliance with
all the terms of this policy.
No one has the right to make us a party to a suit to
determine the liability of anyone we protect.
The legal liability of anyone we protect must be deter-
-- SECTION II
mined before suit under Personal Liability Coverage may
be b.rough,t against,us..This dete, mination may be by a
.co,un, o] Jaw or oy written agreement of all ~arties
IInCIUQ~ liS. ~r ~
(5) WHAT TO DO WHEN AN OCCURRENCE,
OFFENSE, CLAIM OR SUIT HAPPENS
When there is an oemrrence, offense, claim or suit
anyone we protect will:
1. notify us or our Agent in writing as soon as possible,
stating:
a. your name and policy number;
b. the time, place, and circumstances of the occ~r-
rence,.offense, claim or suit;
c. names and addresses of injured persons and wit-
ne~es;
2. give us:
a. promptlz, any papers that relate to the oemr-
rence, onense, claim or suit;
b. a signed, statement containing all the facts about
the occurrence, offense, .claim or suit.
3. at our request:
a. assist in malting settlement;
b.' help ns enforce any right of recovery against any
party liable to anyone we pro~ect;
c. COOl, rate 'with us m our investigation of a loss
and any suits;
d. attend hearings and trials;
obtaining the attendance of witnesses;
f. separately submit to examinations and state-
ments under oath and sign. transcripts of same;
g. authorize ns to obtain records and' otberAnfor-
marion;
h. answer all reasonable questions about the oecur-
rence, offense, claims or suit;
i. allow ns to inspect and appraise the damaged
property beforehs repair or~ dispoml. ' '
4. under the coverage Damage To Property Of Others,
send us, within 60 days of our request, sworn proof
of loss.
5. not make payments, assume obligations or incur
expenses, except at one's own cost, other than for
first aid to other persons and animals at the time of
the bodily injury.
21
X
RIGHTS AND DUTIES -- GENERAL POLICY CONDITIONS -- SECTIONS I & II
We, you and anyone else protected by this policy must
do certain things in order for the terms of this policy to
apply.
(1) ACCOUNTING
If the premium payment plan chosen for this policy
includes a service charge, the service charge is paid to the
Erie Indemnity Company.
The following applies only to polkies ixsued by Erie lnsar-
ante Exchange:
Erie Indemnity Company may keep up to 25% of the
]~r~fium written or assumed by Erie Insurance
t~xcnange as compensation for (A) beCOming and actina
as Attorngy-in-Fact, (B) ~g the business and
affairs of Erie Insurance Excha~ and .(C) paying
~..ons, sa q,e.s ana employee benefits, taxes, rent, depreci-
auon, supphes and data processing.
The .re? of the premium will be placed on the books of
.,t~.e Erie In.surance E.xchange. ltre will deposit or invest
~s~s, .amoum,as per~m, tted by law. This amount will be
sea to pay losses, loss adjustment expenses, investment
expenses, damages, legal expenses, court costs, taxes,
assessments, licenses, fees, any other governmental lines
and charges, establishment of reserves and surplus, and
reinsurance, and may be used for dividends and other
purposes Erie Indemnity Company decides are to the
advkntage of the SUbserilT~rs.
(2) ASSIGNMENT
Interest in this policy may be transferred only with our
written,conse.nt. We re. ay require evidence that all
Named a~t, alr~s approve the assignment.
(3) BANKRUPTCY OF ANYONE WE PROTECT
Bankruptcy or in.solvency of anyone we protect or
anyone we Protect's estate will not relieve es of mir obli-
gations.
(4) CANCELLATION
Your Right to Cancel
You may cancel this policy by mailim, or delivering to
our Agent or ~s written notice stating a~ what future date
you want the cancellation to take effect. We may waive
these requirements by confn-mmg the date of cancellation
to you in writing.
Our Right to Caned or Refuse to Continue
We may cancel or refuse to continue this policy or any
coverage blt mailing you written notice stating the effec-
tive date of our action. Our action will comply with the
laws of the state where your residence premises is located.
?.ance ti?n to continue tUs policy win
not [a~e enec~ unto at least 30 days (Maryland - 45
days), except for non-payment of prefiaium after we send
it. The effective date for cancell~ti°n for non-payment
of premium will be in compliance with the laws of the
state in which you reside.
mW.~hreserve the right to cancel for your non-compliance
our premium payment plans, we. do nOt waive our
right to cancel, even if we have accepted prior late pay-
ments.
Method of Giving Notice
Mailing notice to the address shown on the Declarations
ended be .,s~fli.ci.ent pr. oo.f of notic, e...The, policy Period will
no on me aate and ttme stated m the notice.
Return of Premium
ff your policy is cancelled by you or us, we will return
the pm rata unused share, of your premmm. Cancella-
tion will be effective even if we have not given or offered
the returned premium.
(5) CONCEALMENT, FRAUD OR
MISREPRESENTATION
This entire policy is void as to you and anyone we
protect if, whether before or after a loss:
1. yon or anyone we protect have intentionally con-
cealed or misre, p. resented any material fact or circum-
stance concerning this insurance; or
2. there has been fraud or false swearing by you or
.anyone we pro~ec~ as to any matter that relates to
this insurance or subjeCt thereof; or
3. you or anyone we protect engage in fraudulent
conduct as .to any matter that relates to this insur-
ance or subject thereof.
In the event of 1., 2. or 3. above, we will not pay for any
loss.
22
(6) CONTINUOUS POLICY
Your policy is a continuous policy. It will continue in
force until cancelled by you or terminated by us as
explained in the Cancellation Condition. Each year we
will send you a Declarations which shows the premium
due for the next policy period.
In return for this service, you must mail us written notice
prior to the new policy period if yon want to cancel. If
we do not receive this notice, your policy remains in
force and you must pay us the earned premium due for
this time.
(7) COOPERATION
You agree to cooperate with us by:
1. truthfully completing and promptly returning ques-
tionnaires and audit forms about this insurance;
2. permitting and helping with inspections and audits;
and
3..complying with specific recommendations to
nnpmve your risk.
(8) HOW YOUR POLICY MAY BE CHANGED
This policy conforms to the laws of the state in which
your r.~de~ce premises is located, ff the laws of the
state change, this policy will comply with those changes.
Yom' policy may be changed by asking ~s. Your request
must contain enough information to identify you.
Asking our Agent is the same as asking us. If we agree
with your request, we will then issue a Declaratious.
We will give you the benefit of any change in coverage
made by us, ff it docs not require additional premium.
This change will be effective as of the date we implement
thc change for you in your state.
ff the information we use to determine the premium for
your coverage(s) changes during the policy period, we
n~ea~uJ.Ust yo~,r pre.mi. 'urn.. Premium adjustments will be
using rmes uno rotes m effect for our use.
(9) OUR RIGHT TO RECOVER FROM OTHERS
thMteer.~.e .make a pay~ment under this policy, we will have
ac ngm zo recover xrom anyone else held responsible for
the loss...T~i.'s .fight .will not apply under Section Iff you
have waavea ~t m writing prior to the loss.
Anyone to whom we have paid will sign papers and do
wh.at.ever is required to transfer this right to us, and do
nommg to harm this right.
thAn/samOne r,eceivir~.., pament from us and someone else for
e lOSS will rcunourse us up to our paymenl less a
proportionate share of the costs (including attorney fees)
of such recovery.
We will pay all reasonable expenses anyone may incur at
our request to help us recover damages from anyone else
held responsible. This includes up to $300 a day for
actual loss of earnings.
This condition does not apply under Section II to
Medical Payments To Others Coverage or Damage To
Property Of Others.
(10) PRIORITY
This insurance will first protect you, your spouse residing
in your household and then others we protect.
(11) SURVIVORS' COVERAGE
If you die, thc policy will cover:
1. ;myoue we protect who is a member of your house-
hold at the time of your death, but only while a resi-
dent of the residence la'cruises;
2. anyone having lawful possession of insured property
until a representative is appointed, but only until the
end of the policy perioc~ during which your death
occurs;
3. your legal representative, but only while performing
duties as yom- representative and only until the end
of the policy period during which your death occurs.
(12) TIME OF INCEPTION
If this policy replaces coverage in other policies which
end on the inception date of this policy, but at a different
time, then this policy will take effect when the other cov-
erage ends.
23
This policy Ires be~n signed on our behalf at Erie, Pennsylvania by our President arid Secretary. If required by law, it
has been countersigned on the Declarations by our authorized Agent. '
Secretary
ERIE
ERIE INSURANCE GROUP
Home Office · 100 Erie Insurance Place · Erie, PA 16530 · (814) 870-2000
Visit our Web site at www.erieinsurance.com
2003 Extracover (Ed. 2/01) UF-8186
24
~7/12/2001 TlitT 05:2?
L~sto~eF Ser¥ic~
0O2
ERIE iNSURANCE GROUP
Yovr b~ic policy covers losses from many perils. However. it DOES NOT provid~ covm-a~ for flood loss_
~ll~mr.e~ ~1~ flood IOSs is ~ &~il!bl~ tl~O~h the N~t~ol~ l~'lood ~ Pro~,lll,
In an cEort to serve ~/ou, infor,~,gon about flood insuz~nc= and th~ Naiional l~lood ~, Pro~rara c~n
2/2001 TIIU 08:28 FA]: 8148704405
~ ERI INSURANCE GROUP
DEFINITIONS
Service
~ o08
PIONEER HOMEPROTECTOR
HP-AAN (Ed. 1/97) UF-50~
PREMISES ALARM SYSTEM ENDORSEMENT
Unless defined in this endorsement, e~ch word m bold
' ~Appmv~~ m~s ~at ~e ~ sy~ ~t ~ ~
*U~ers' L~to~, ~. ~ ~. ~ ~
~ ~ a B~s~ ala~ sy~m, ~ must ha~ b~n ~-
~ ~ warn ~a~ ~ ~ ~ o~ ~ible
~d ~a~ ~d ~ ~mmon ~ ~y o~et resid~
OUR PROMISE
~ desc~ pnm~s, we ~ ~ y~ p~ by
~ ~tov~ ~d pro~ly ~ al~ sy~em
Fire and/or Burglary Alarm System that does not
directly and automaticaLly alert the Fire Department
or Police Department.
YOUR DUTIES
You agree to maintain *&e sy~n ~nd to notify us ~fany
challge ~n t~. in~la~, m~ or ~
~ts, ~.v~on or removal ~e ~m.
~L OT~R PRO~SIONS OF T~ POLICY
PLY.
~/2001 TNU 08:28 FAX 8148704408
ERIE INSURANCE GROUP
Cusgoaer Service
004
PIOICEER HOM~PROTECTOR
HP-BD (Ed. 1/97) UF-753
REPLACEMENT COST SETTLEMENT ON PERSONAL PROPERTY
ENDORSEMENT
DEFIMTION$
The r~pla~emeat cost loss ~lflem~t pm~ of ~
~dor~ ~ ~p]y W ~es Or d~s ~ p~
Unles~ dehned Lq this eadotsernent~ each word in bold
t.vpe is used as defined ~ the polh:y,
· *R~Jaeel~ent cOst" rhea/is th~- cos't, at abe title oflo~,
of a new article identical to b% ore damaged,
~Uoyed, or stolen, If the identical article L~ no longer
manu/~ctored or h not available, ~e will pay ihe cost
of a new article simila~ ~o that damaged or destroyed
and which Is ce'comparable quality and u.~ess.
PROPEWI'Y PROTECTION _ SECTION I
OUR PROMIS£
For an add~ premium, loss selflement ullder:
Per~olzal P~ope~r~ Covelrage. Sec~'otl [ is exteladed to in-
elude the ~'Plac'ement cost ar the ~ cc~ of tel~k.
We w~] also Cover on a ~eplacememt eo~t or £u/! cost of
· carpet~
* household appliances
· cloth awmnfl~
· otratoor anlea~s and o~tdoor equipment
provided al the time
I. your Declarations show thatAmo~cztic No.De~recl.
2. yoa meet ~he tepiacemeut cost provLsi/x:s unde~
Settlement for Dwelling Cm,~ag~ or Other Srrue.
cures Coverage, or
3. a Tenctnteover Pollcy or a Condocover PoEcy
Cot~damlnium Coverage Endorsen~t (H~-BI) ap-
plies to tile insured property at the t~me o~ loss.
lo~s w/l/ be aelfled subject to the provisions or'
WHAT WE DO NOT COVER - EXCLUSIONS
1. We do not cover loas to property:
a. unles~ raa/mained h~ good and workable canal/-
l/on;
b. ual~ ~cpaired or raplac~;
e. which/s outcL.~ed or obsolete and wb/ch is stored
or not being used;
d. which by it~ nature cannot be replaced by a new
arts, souvenirs, and collectors' i~nns;
e. which is a~ a te~/dence reared or held for r~ritd to
2. When replacement covera8e does not apply because
OF an exclusio~ m~der L~ mct~on we win pay actual
cash value at the t/me
.3. When cevetage does no! apply because of an exdu.
~ in this endorsement, :he cc~d/t/ons oiV the pti.
mm-y policy will apply.
RIGHT~ AND DUTIES - CONDITIONS
Lm~ Settlement
1. We will pay the smallest of the followhag
for any cme item of~umd property: amounts
a, replacement
b. ~p~r
c. any specja!//mkadoas closer/bed/n the pol/cy.
2. Whe~ ~he ~p 'laeement ~ost Cbt ~he em/re 1o~ under
~ endorsement is moze than $~000~ we w~! not
pa~ mote than the a~ cash YaJue for the loss or
damage um~
pletecL
3. You ma~ make c~a/m for loss oa aa aetmd rash vaJ-
ue ba~/s and ~ make cla/m wilhin one year after
the loss ~r any ~ldjt/ona[ amoum~ ~e are required
to pay under this Lo~s S~tl#ment provisiar~
ALL OTHER PROVISIONS OF THE POLICY .~.
PLY.
HP-BD- 1
12/~001 Tltl.' 05:~0 F,a.X 8148704408
ERIE INSURANCE GFIOUP
OO7
PIONEER HOMEPROT£CTOR
DATE OR TIME FAILURE AND
PROFESSIONAL SERVICES EXCLUSION
Tt~ emlo~ment ~me, rJ.d.q/~he Policy as follows:
SECTION I
WHAT WE DO NOT COVER - EXCLUSION9
The followir~ excl,,elon
We vail not pay for loss or damage, regardless of any oth-
Br c~ur~ or ~vent that ~trlbuli~ col-~cl~rr~rlfly or in
sequ~ric~ to the loss ct damage, to electronic data pro-
ce..tslng equipment, computer net~vorks, com.-er hard-
ware (including microprocessors either as part of a
compui~r system or operating a~atde of a sy~em), com.
puter progrnms~ sofi~val~, media, ct dam caumd by the
inabilliy to ~orrec~ly procesa, ~ecognlze, distinguish, into,.
pret or ac~lM al~y clat~ or time. We will not pay for any
r~p~Lr, reamrminn, replacement or modification ~o corn~
any defici~ or ctm~c any feav.~s or ~m_~ions,
We w~! not pay for loss or gamage reg0.rdi~s ofwl~n the
~l~ctronic data proct~i~ tqutpmenl, compu~r lard.
ware, compumr progrmns, software, wo~ia, or data w~re
purchased, obtained or installS.
SECTION II
WHAT WE DO NOT COVER - EXCLUSIONS
PERSOI~U_ LIABlU'TY COVERAGE
MEDICAL PAYMENTS TO OTHERS COVERAGE
Under 'W~e do not coyer under Persontd Liability Cover-
age and Media:d Payments To Or. rs Co~ge ~, exch~-
sion (4) "Prc~fesslonal Servlc~" is del~ed and replaced by
th~ following ~xclusion:
4. Pe~aa~l injury or properly 4~mage arising OUt Oi' the
rendering or tailing ~o reader prote~or~l services. Profez-
~ services include, bu~ are not limited to:
1. emy architectural, w. ginee~ing or indus~ial dee~gn
2. ~y mcdical, surgical, deraa] or
butin§ to ~e health of persons or
3. ant bea~y or batbc~
4. an~ legal, accounting or imurence ~vices:
5. the mrvicing, inst~la~on~ or
purer hardware ar ioftw~e;
6~ thc ~ctling, dcei~nin~ licemin~ conaultaQc~,.
ftanchJs~ £umi~ng or creation of computer hat&
w~re or sofmnne, inch~g electronic dam process.
ALL OTHER PROVISIONS OF THE POLICY AP-
PLY
HP-I-;O. I
12/100! TBU 08:31 FA/ 8148704408
ERIE INSURANCE GROUP
Customer SeP~ice
~ 000
PIONEER HOMEPROTECTOR
HP-E~ (~. ?/9~)
DEFINmONS
EXTRACOVER AMENDATORY ENDORSEMENT
eluded fi'ora a plumbing, healit3~, air condilloning, or
Each word In bold tTpe ts med. as &~ned in r. he polk~.
PROPERTY PROTECTION - SECTION I
PERILS W'E INSURE AGAINST
DWELLINO AND OTHER ~TRUCTURE$ COVERAGES
Under ~ D~ed/].~ and Ot/~er S~ctu~= Coverage, the
paragraph un~er er, ch~on $, hss been delemt and re-
piac~ by the f~lowir~:
iff a. through ~ cause watcr d~,,~ge nol otherwise ex-
fire promctlve syslem, household appliance, walrdoed
or aquarium, we cover losa cal.~ed by thc waler. Cov-
erag~ includ~ the cost ofte.~iug out and r0placing any
part of the building o~"e~,a~'y tO repair the System or
spplianc~ This do~s not include loss to the d~l,i~
system or ap.nllan~ (o~ rh=n a walerbed or aquar-
ium) from which the wat~ --~_pect*
ALL OTHER PROVISIONS OF THE POLICY AP-
PLY,
lIp-Bp- I
2/1001 TRU 08:81 FAX 8148704408
ERIE INSURANCE GROUP
Service
[~009
P[O~=~ HO]~-~OT~CTO~
IMPORTANT MESSAGE
Dear Policyholder:
If you have a Piorieer F~mly Arno Policy (FAP) and
GROUP you may be elit~ble for a Pioneer Home. Protector Palicy with the .ERIE INSURANCE
a m~fi-poliey diseotlat ~e~it The multl-poliey discoullt credit is ~ven on both ltle
Fall2ily Atlto alid the IZlomeProtector policy prei~ittals,
Contact your local ERIE ^g~nt for more [m'ormaticm. Ityc~ do
why n°t ask Y°Ur Agmt m dr-scribe the coverag~ and sm_vices n°l have a Pioneer Fam~y Auto Policy with The ERIE,
The .ERIE ofkrs irs Policyholders?
NsU ^NC
P~oN~m~ HO~'~OT~CTO~
(~. ~/00)
IMPORTANT NOTICE TO POUCYHOLDERS REGARDING
HOMEPROTECTOR POLICIES
~-~ [nSur~ce Oroup appr~c/ate; that you bays c, ho~en us
and l~i=r ways ~o ser~e our Policyholde~ to/~ure your horse, That is why we continually look for new
and ~o l~ep your costs as low a~ pom'ole.
Tradi~crially, insura~c~ co~npanles, including The ERI'E0 spread fl~e cos~ of claims
Therefore, whether or noi you%~ had a cl~m the P~mlum y~u over a ~ group of POlicyholders.
bet ar eldms wt~hln your designated ' '
policy pool. Our actuarial pay for the Home. Protector Pohcy is based on fl~e num.
wi/h fewer claims pay lower rates. One studi~ help u~ reins ihs pooling so thai Policyholders
wilh/n m fr~--year period, mcem study found ~ very few ER. IE Policyholcl~rs/ncur ~'o ar mom claims
Considering ~h¢ fac~,
mlr~I tt~o~ wi~ two or more seems appropri~.s~arati~ g~ose Policyholders with on~ or no chims from ~he 0ool con.
Th~rdore, b~/n~/ng S~p/~l~r 1, 2/~0, The ERIE wil in~oduce a ~w protp~an --- the CI~ Exi~ri~e¢ Ratiag PI~
(CERP) ... thai will allow ~ ~o k~p premiums low/'or those Policyholder~ who have a ~vorable claims hi~'mry. W/th
~ phn, a sun:ha~e will be applk, d m indlvi&~al policies when ~wo or more paid claims occur ~ a five-year period.
The~ surcharges will allow us to kt~p.ihe overall ~ lower ~ they otherw/~ w~ld be. All claims ~ occur o~ or
~l'{~ S~l~'~ber 1, 20~, r~gar~ess of lype or zmrn~m, w~'l! h~ c. rm~'/d~r~ Ch. rr experience indicates that st Iesst 9~ perc~
oi'our HomeProtector poliaes w~l not be surc~ '
Your bu~ne~ iz ;ral~rtant to us, Programs such az the Cia/ms E~l~.r/e~ Rafii~ Plan ~llow 'CJ~ ERIE to co~nue to
prov/d~ tl~ b~st possible ~ to you at the lower poss?ole cost /f you ha,~ any specl/ic ~uest/o~s re~ard/~ ~he
Clairas Expeldettce Radr~ Plan, pl~,n esl! yr~lr . .
edg~ and .qcc~ptance ute~hese cl'~m~,~s. RRIE A~ent. Yo'ur reriewal premim~ payment will eonfh'm your knowl-
UF-9990- 1
07/12/2001 TIIU 08:33 FAX 8148704408
ERIE INSURANCE GROUP
Customer Ser¥1ce .~011
P[ONEF_,~ HOMI~PKOTECTOR
UB9013 (Bd, 12197)
ADDITIONAL COVERAGES AVAILABLE TO POLICYHOLDERS
It is important that you occasionally ~ lhe cover~ and limj~ of your Home. Protector policy to be eertain your
nee~ ate being met.
The ,4mo~n~ of l~'~ne~ fo~ your Pmper~j and Liability Coversges a~e lisl~.d on the accompanyln~ HomeProtector
Contln~m No,ce. Please review these Armmnts of lnmran~ to make sure they are a&qua~ m ~ event of los~
The followt~g ia a PARTIAL LIST of the oplion~ coverages available ~o our HomeProtector Policyholders. Yotu cur-
re~t policy may already c~mtain one or mo~ ot rinse optional coverage, bur these and ouher Ol~anal coverages may be
available to you for an additional premium.
· Sewer ami Drain Back up Coverage Eudm~emmt
· E~rtl~lm~ke Cov~age
· A~o~ ~ ~o~ ~ J~ry, Wa~ ~ ~ E~t
· P~nd ~ ~e E~t
· E~t E~t (A~le on ~, Ex~v~ ~ ~v~ Pol~s) . T~ f~ ~ ~
~ Dr~ B~ Up C~,
PI~ c~M yo~ ~ if you have ~y ~ ~ yo~ HomeP~r ~ ofI~ ~ ff y~ ~
UF-9013- I
FORRY, ULLMAN, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Group
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVA_NIA
CIVIL ACTION - LAW
No. 20021-2625 Civil Term
TO THE PROTHONOTARY OF CUMBERLAND COUNTY:
PRA~.CIP~. FOR WITKDRAWAL OF APPEARANCE
Kindly withdraw my appearance on behalf of Defendant, Erie
Insurance Group, in the above-captioned matter.
BUZGON DAV~/~, ~
Dated: ~ll~/~~/ By: SCOTT L. G~fEI~E, ESQUIRE
PRAECIPE FOR ENTRY OF APPEARANCE
Kindly enter our appearance on behalf of Defendant, Erie
Insurance Group, in the above-captioned matter, and designate 540
Court Street, P. O. Box 542, Reading, Pennsylvania 19603, as the
place where papers, process and notices may be served.
P.C.
Dated: ~/~..~
By:
L~ E. ULLM~N, ~SQUIRE
CURTIS C. JOHNSTON, ESQUIRE
FORRY, ULLMAN, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Exchange
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002-2625 Civil Term
DEFENDANT'S PRELIMINARY OBJECTIONS TO PLA¥~IFF'S COMPLAIN~'
Defendant, Erie Insurance Exchange, incorrectly identified
as Erie Insurance Group, (hereinafter "Erie"), by and through
its attorneys, FORRY, ULLMAN, ULLMAN & FORRY, PC. hereby files
these Preliminary Objections to Plaintiffs, Complaint and, in
support thereof, states as follows:
1. On October 29, 2002, Plaintiffs, Kevin Showaker and
Lisa Showaker, filed a Complaint in the above-captioned matter,
a true and correct copy of which is attached hereto as Exhibit
2. Plaintiffs, Complaint arises out of a fire on May 30,
2001 at their residence located at 411 Walnut Street, Boiling
Springs, Cumberland County, Pennsylvania, which caused property
damage to Plaintiffs, dwelling and contents.
to Erie under their Dwelling,
coverages, respectively.
4. As a result
As a result of the fire, Plaintiffs submitted claims
Loss of Use, and Contents
of said claims, Erie believes and,
therefore, avers that it has paid all sums due and owing to date
to Plaintiffs under said Dwelling, Loss of Use, and Contents
coverages.
5. Plaintiffs, Complaint contains Count I for Breach of
Contract/Warranty and Count II for Bad Faith pursuant to 42 Pa.
C.S.A. §8371.
Count I should be dismissed for lack of specificity
Plaintiff,s Complaint pursuant to Pa. R.C.P 1028(a)(3).
o
D~M~3RRER - COUNT I - BREACH OF CO~RACT/WARRAI~TX
Plaintiff's cause of action for Breach of Contract in
in
DEMIYRRER - COUNT II - BAD FAITH
Plaintiff,s cause of action for Bad Faith in Count III
pursuant to 42 Pa. C.S.A. §8371 should be dismissed because the
Complaint fails to state a valid cause of action for Bad Faith
under Pennsylvania Law.
WHEREFORE, Defendant, Erie Insurance Exchange, respectfully
requests that these Preliminary Objections be granted and this
Honorable Court dismiss Count II - Bad Faith with prejudice and
further direct Plaintiffs to file an Amended Complaint with
respect to Count I - Breach of Contract which sets forth with
sufficient factual
Plaintiffs, claims.
specificity the basis and amount
of
Respectfully submitted,
FORRY,ULLMAN, ULLMAN & FORRY,P.C.
BY:
LEE E. ULLMAN, ESQUIRE
CURTIS C. JC'HNSTON, ESQUIRE
00T-91-2002 THU 04:45 PM BUZGON b,qVl$ L,,ql4
OFFIOE$
NO, 717 274 1752
03
DOUGLAS, DOUGLAS & DOUGLAS ......
27 W. HIGH ST.
POB 261
GARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM p. DOUGLAS, ESQ.
Supreme Court I,D.# 37926
Kevin Showak6r ~nd Lisa Showaker
Plaintiffs
V$
Erie Insurance Group
Defendants
In the Court-'0f'~0mmon Pleas of
Cumberland County Pennsylvania
No. 2002 - 2625 Civil Term
Civil Action Law
lury Trial Demanded
DATE:' October 29, 2002 BY ~l.~ ~.
Cumberland County Bar Assodation
2 Liberty Square
CarLisle PA 17013 717-249-3166
TRUE COPY FRoM
Temltm~y whereol, I here u~to sett my harm
.... -' (. l .... ....
/ / i~'0thOnO~-' - NOTICE
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 DAYS AFTER THIS COMPLAINT AND
NOTICE ARE SERVED, BY ENTER'lNG A WRITTEN APPEARANCE
PERSONALLY OR BY ATTORNEY AND FILING IN ¥~RITING 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 CLAIMED IN THE COMPLAINT OR FOR ANY OTHER
CLAIM OR RELIEF REQUESTED BY THE PLAINTI}tF. 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.
0~T-31-2002 THU 04:45 PM BUZOON DRVIS LRW OFFIOE$
F~× NO, 717.274 1752
04
Complaint
1. The plaintiff, Kev'in Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
2. The plaintiff, Lisa Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
3. The defendant, Erie Insurance Group, is a business entity licensed to do
business in the Commonwealth of Pennsylvania, .with offices located at 4901
Louise Drive, Rossmoyne Business Center, Mechanicsburg, Cumberland County,
Pennsylvania.
4. The plaintiffs are husband and wife and reside, together in the same
household.
5. The property located at 411 Walnut Street, Boiling Springs, Cumberland
County, Pennsylvania., is a single family dwelling that was owned by the
plaintiffs.
6. The 15hintiffs were sold a contract of insurance on the above described
property by the defendant.
7. The insurance contract policy is an Erie Insurance Exchange
Homeprote_ctor ExtraCover bearing number Q59 1303968 H..
8. Prior to May 30th, 2001, the plaintiffs' home was in good repair.
9. On or about May 30th, 2001, an accidental fire occurred in the attic of the
aforesaid residence causing extensive damage to both the clwelling structure and
personal property of the plaintiffs.
10. All damages suffered by the plaintiffs were covered by their policy of
insurance.
11. The plaintiffs contacted the defendants and told fftem of their loss in a
timely manner.
12. The defendant sent out an adjuster to the property following the fire
however said individual stayed a short period of time and did nothing with.
respect to the preparing an inventory.
13. The plaintiffs are covered by a policy of insurance issued by the
defendants that provides for replacement cost coverage for .damages suffered by
the insured.
, 007-31-2002 THU 04:46
PH BUZGON D~VIS L~N OFFICES FR× NO, 717 274 1752
05
14. The defendants knowingly and willingly refused to timely settle the claim
for the damage suffered by the plaintiffs.
15. The defendants failed to acknowledge and act promptly upon written or
oral communication with respect to claims arising under the aforementioned
con~ract of insurance.
16. The defendants failed to promptly investigate all claims arising under the
aforementioned contract of insurance.
17. The defendant had no basis to refuse to pay the claim of the plaintiff in a
timely manner.
18. The defendant refused to pay the claims without: conducting a prompt
and reasonable investigation based upon all available information.
19. The defendants did not act in good faith to effectuate prompt, fair and
equitable settlement of this claim, knowing that liability is clear and coverage
applies and as a result the plaintiffs have been forced to incur expenses they
would not otherwise have incurred.
20. The defendants have compelled the insured to institute litigation to
recover amounts due under the insurance policy by offering substantially less
than amounts due and owing the insurec~:
21. The defendants failed to promptly provide a factually sound explarmtion
of the basis in the insurance policy in relation to the fact,'; or applicable law for
denial of the dalm or for the offer of a compromise settlement.
22. The defendants have willfully and malidously withheld benefits from the
plaintiffs, due to their failure to investigate the claim timely and thoroughly,
which constitutes a breach of an implied covenant of good faith and fair dealing.
23. The defendants, in bad faith, de~ied payments to its insured without
thoroughly investigating the foundation for its denial and in not fully inquiring
into the possible basis that might support the insured's claim.
Count One
Breach of ContractjWarranty
24. Paragraphs 1 through 23 are incorporated herein by reference thereto.
25. The defendants impliedly and/or expressly warranted that they would, in
good faith, provide insurance coverage to the plaintiffs ix. accordance with the
contract and abide by the terms of said contract.
26. As a result of the aforesaid, the defendants breached their contract and/or
~ Q0731-2002 THU 04:47 PH BUZGON D~VI$ L~N OFFICES MO, 717 274
warranty, which breach resulted in past and future pkysi,ml injury and monetary
loss to the plaintiffs.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiring compulsory
referral to arbitration. A jury trial is' hereby demanded.
Count Two
Bad faith pursuant to 42 Pa.C,S.A.
27. Paragraphs 1 through 26 are incorporated herein by reference thereto.
28. Plaintiffs~ injury, damage and loss were directly and proximately caused
by the reckless, wanton and willf'al misconduct of the defendants without regard
to the rights and safety of the plaintiffs,
29. The actions of the defendants were recklessly, wantonly and willfully
done for the purpose of causing harm to the plaintiffs.
30. Having full knowledge of the Unreasonably dangerous conditions the
plaintiffs were forced to endure, the defendants did recklessly, wantonly and
willfully fail to take reasonable and necessary steps to settle this claim,
31. The defendants did recklessly, wantonly and willfully, refuse to resolve
the claims of the insured and handled said claims with, reckless indifference to
the rights of the plaintiffs.
32. The conduct of the defendants was outrageous, oppressive and recklessly
indifferent to the rights of the plaintiffs. ..
33. As a direct and proximate result of the defendan. Fs reckless, wanton and
willful disregard for the fights of the plaintiffs the aforesaid injury did occur.
34. The plaintiffs hereby request all remedial rebel as provided in 42 Pa.C.S.A.
§s37 ,
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiting compulsory
referral to arbitration. A jury trial is hereby demanded.
Date: October 29, 2002
Respectfully submitted,
William P. Douglas, Esi~
Attorney for the plaintiffb~
~ , . ~0T-31-2002 THU 04:47 PM BUZGON DAVIS LAW OFFICES
F~× NO, i17 2?4 1152
Affidavit
I hereby swear or affirm that the foregoing is true and correct to the be~t of my'
knowledge and/or information and belief.
This is made subject to the penalties of 18 Pa.C.S.§ 4904 relating to unswort~
falsification to authorities.
October 29~ 2002
PRAECIPE FOR LISTING CASE FOR ARGUMENT
(Must be ~itten and submitted in duplicate)
TO THE PROTHONOTARY OF-CUMBERLAND COUNTY:
Please li~tthewithinmatterforthe next~tCouz-t.
CAPTION OF CASE
(entire captionmustbestatedin~311)
KEVIN SHOWAKER and
LISA SHOWAKER,
ERIE INSURNCE GROUP,
( Plaintiff )
( Defemda_ nt )
No. 2625 Civil ~ 2002
State matter to be argued (i.e., plaintiff's motion for new triml, defendant's
demumzer to complaint, etc.):
Defendant, ErieInsurance Exchange~ Preliminary Objections to Plaintiff's
Complaint
2. Identify counsel who w5 ] ] argue case:
e
(a) for plaintiff: William P. Douglas, Esquire
~ress: Douglas, Douglas & Douglas
27 West High Street, PO Box 261
Carlisle, PA 17013
(b) for defendant: Lee E. Ullman, Esquire
Address: Forry, Ullman, Ullman & Forry, P.C.
540 Court Street~ PO Box 542
Reading, PA 19603
I w~ll notify All parties in writingwithin t~ days that this case has
been li~ted for~t.
4. ~t Court Date:
Dated: December 24, 2002 Attorney for Defendant
FORRY, ULLMAN, ULLF~%N & FORRY, P.C-
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Group
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002-2625 Civil Term
CERTIFICATE OF SERVICE
I, LEE E. ULLMAN, ESQUIRE, the undersigned, hereby certify
that a true and correct copy of a Praecipe for Listing Case for
Argument on February 12, 2003, a copy of which is attached hereto,
in connection with the filing of Erie Insurance Exchange's
Preliminary Objections to Plaintiffs' Complaint, was served upon
the Plaintiffs by mailing the same to Plaintiffs' counsel of
record by first class mail, postage prepaid, on January 7, 2003,
addressed as follows:
William P. Douglas, Esquire
Douglas, Douglas & Douglas
27 West High Street
P. O. Box 261
Carlisle, Pennsylvania 17013
the penalties of 18 Pa.
falsification to authorities.
I understand that the statements herein are made subject to
C.S.A. §4904 relating to unsworn
Dated: 01/14/03 By:
LEE E. ULLMAN, ESQUIRE
Attorney for Defendant
m.c.
PRAECIPE FOR LISTING CASE f'OR 'ARGUMENT
(Must be typewritten and su~tted in duplicate)
TO THE PROTHONOTARY OF-CUMBERLAND 'COUNTY:
Please ] ~t the within matter for the next Ar~t Court.
i57
CAPTION OF CASE
(entire caption must be stated in D,I] )
KEVIN SHOWAKER and
LISA SHOWAKER,
~mSI
ERIE INSURNCE GROUP,
( PI a~ntiff)
(Defemd_~nt)
No. 2625 Civil ~ 2002
State matter to be ar~3ued (i.e., plaintiff's motion for new trial, defendant's
d~m~T~_r to cc~p]m~nt, etc.):
Defendant, ErieInsurance Exchange~ Preliminary Objections to Plaintiff's
Complaint
'2. Identify counsel who w~l] arcjue case:
(a) for plaintiff: William P. Douglas, Esquire
Ad~s: Douglas, Douglas & Douglas
27 West High Street, PO Box 261
Carlisle, PA 12013
{b) for defendant: Lee E. Ullman, Esquire
Address: Forry, Ullman, Ullman & Forry, P.C.
- 540 Court Street~ PO Box 542
Reading, PA 19603
I w~ 1 ] notify mi 1 parties in writing within 'tw~ days that this case has
been listed for ar~otm~nt.
4. Ar~t Court Date:.
December 24, 2002
Wednesday, February 12, 2003 ' ·
Attorney :for Defendant
DOUGLAS, DOUGLAS & DOUGLAS
27 W. HIGH ST.
POB 261
CARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM P. DOUGLAS, ESQ.
Supreme Court I.D.# 37926
........................................................................................................................................................... r ..................... ~'~"~e Coun of Common Pleas of
Kevin Showaker and Lisa Showaker
Cumberland County Pennsylvania
Plaintiffs
VS
Erie Insurance Group
No. 2002 - 2625 Civil Term
Defendants! Civil Action Law
J~ Trial Demanded
Plaintiff's Answer and Brief in Opposition to the
Defendants' Preliminary Objections
1. Admitted.
2. Admitted.
3. Admitted.
Denied. Erie has not paid all sums due and owing the plaintiffs under
said dwelling policy. Erie arbitrarily and capriciously depreciated
items and failed to pay for items in a timely manner in breach of the
policy and their good faith duty.
5. Admitted.
The defendants, Erie, Insurance Exchange, Erie Insurance Company and Erie
Insurance Group, filed preliminary objections to the plaintiffs' complaint.
A preliminary objection, on the ground of legal insufficiency, is an allegation that
the plaintiff has failed to state facts constituting a ,cause of action against the
defendant in that the facts so alleged do not show an3' causal connection between
the alleged acts or omissions of the defendant and the injury and damages
suffered by the plaintiff.
A preliminary objection, on the ground of legal insufficiency in the nature of a
demurrer should be sustained only when it appears with certainty that the law
permits no recovery under the allegations pleaded., and any doubts in the
determination should be resolved by overruling the objection.~ The court should
review all pleadings filed, including those of the party filing the preliminary
objection.2 However, the court should not deal with q~aestions of law unless and
until the resolution of the law is essential to a proper disposition of the matters
being litigated.3
A preliminary objection, on the ground of legal insufficiency, in the nature of a
demurrer, should not be sustained, unless the law is clear that no recovery is
possible.4 If any theory of law will support the pleading challenged by the
preliminary objection, the preliminary objection should be overruled.5 The issue
raised by a preliminary objection in the nature of a demurrer is not whether the
applicable law is clear and free from doubt, or whether the statement of the
pleader's claim is sufficiently specific in substance and form, as to entitle the
pleader to proceed to trial without amending it. The only issue to be resolved by
a preliminary objection on the grounds of legal insufficiency in the nature of a
demurrer is whether the facts in the pleadings are sufficient to entitle the
plaintiffs to relief.6 Therefore, if a party files a preliminary objection in the nature
of a demurrer, and the complaint provides a cause of action under any theory of
law, as for example under alternative theories, the preliminary objection should
be overruled.7
A cause of action for Warranty is proper because warranty is the agreement to be
responsible for all damages that arise from falsity of statements or assurances of
fact.8
Wherefore, it is prayed that the defendants' preliminary objections be overruled.
Respectfully submitted,
February 5, 2003
William P. Doughs, Esq.
Attorney for the plaintiffs
1 Gekas v Sharp, 469 Pa 1, 364 A2d 691 (1976).
2 Smith v McDougall, 365 Super Ct 157, 529 A2d 20 (1'987).
3 Broido v Kinneman, 375 Pa 568, 101 A2d 647 (1954).
4 Cianfrani v Commonwealth State Employees Retirement Bd., 505 Pa 294, 479
A2d 468 (1984).
5 Cianfrani, supra.
6 International Union of Operating Engineers v Linesville Construction Co., 457
Pa 220, 322 A2d 353 (1974).
7 Packler v State Employees Retirement Board, 470 Pa 368, 368 A2d 158,
on remand, 33 Cmwlth Ct 452, 382 A2d 158, affd 487 Pa 51, 408 A2d 1091 (1977).
8 White Realty and Insurance Agency Co. v Moreland[, 215 Pa Super 423, 259 A2d
461 (1969).
,EVIN SHOWAKER and
LISA SHOWAKER,
PLAINTIFFS
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
ERIE INSURANCE GROUP, 02-2625 CIVIL TERM
DEFENDANT
iN RE: PRELIMINARY OBJECTIONS_OF DEFENDANT_
TO PLAINTIFFS' COMP_LAIN~T
BEFORE BAYLEY, J. AND HES__~_~S J.
ORDER OF COUR_T-
AND NOW, this
(1) Defendant's demurrer or in the alternative ;a motion for a more specific
pleading to Count II of plaintiffs' complaint in Bad Faith, IS DISMISSED.
(2) Defendant's demurrer to Count I of plaintiffs' complaint for Breach of
day of February, 2003, IT IS ORDERED:
Contract/Warranty, IS DISMISSED.
(3) Defendant's alternate preliminary objection for a more specific pleading to
Count I of plaintiffs' complaint for Breach of Contract/Warranty, IS GRANTED. Plaintiff
shall file an amended complaint within twenty (20) days setting forth the speCific
damages sought under the respective insurance coverage's for the alleged Breach of
Contract/Warranty.
///William P. Douglas, Esquire
For Plaintiffs
//~ee E. UIIman, Esquire
For Defendant
:sal
DOUGLAS, DOUGLAS & DOUGLAS
27 W. HIGH ST.
POB 261
CARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM P. DOUGLAS, ESQ.
Supreme Court I.D.# 37926
Kevin Showaker and Lisa Showaker
Plaintiffs
vs
Erie Insurance Group
Defendants
In the Court of Common Pleas of
Cumberland County Pennsylvania
No. 2002 - 2625 Civil Term
Civil Action Law
Jury Trial Demanded
Amended Complaint
NOTICE
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 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 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.
Cumberland County Bar Association
32 S. Bedford Street
Carlisle PA 17013 717-249-3166
DATE: March 11, 2003
Amended Complaint
1. The plaintiff, Kevin Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
2. The plaintiff, Lisa Showaker, is an adult indi.vidual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
3. The defendant, Erie Insurance Group, is a business entity licensed to do
business in the Commonwealth of Pennsylvania, with offices located at 4901
Louise Drive, Rossmoyne Business Center, Mechanicsburg, Cumberland County,
Pennsylvania.
4. The plaintiffs are husband and wife and reside together in the same
household.
5. The property located at 411 Walnut Street, Boiling Springs, Cumberland
County, Pennsylvania., is a single family dwelling that was owned by the
plaintiffs.
6. The plaintiffs were sold a contract of insurance on the above described
property by the defendant.
7. The insurance contract policy is an Erie Insurance Exchange
Homeprotector ExtraCover bearing number Q59 1303968 H.
8. Prior to May 30th, 2001, the plaintiffs' home was in good repair.
9. On or about May 30th, 2001, an accidental fire occurred in the attic of the
aforesaid residence causing extensive damage to both the dwelling structure and
personal property of the plaintiffs.
10. All damages suffered by the plaintiffs were covered by their policy of
insurance.
11. The plaintiffs contacted the defendants and told them of their loss in a
timely manner.
12. The defendant sent out an adjuster to the property following the fire
however said individual stayed a short period of time and did nothing with
respect to the preparing an inventory.
13. The plaintiffs are covered by a policy of i:r~surance issued by the
defendants that provides for replacement cost coverage for damages suffered by
the insured.
14. The defendants knowingly and willingly refused to timely settle the claim
for the damage suffered by the plaintiffs.
15. The defendants failed to acknowledge and act promptly upon written or
oral communication with respect to claims arising under the aforementioned
contract of insurance.
16. The defendants failed to promptly investigate all claims arising under the
aforementioned contract of insurance.
17. The defendant had no basis to refuse to pay the claim of the plaintiff in a
timely manner.
18. The defendant refused to pay the claims without conducting a prompt
and reasonable investigation based upon all available information.
19. The defendants did not act in good faith to effectuate prompt, fair and
equitable settlement of this claim, knowing that liability is clear and coverage
applies and as a result the plaintiffs have been forced to incur expenses they
would not otherwise have incurred.
20. The defendants have compelled the insurecl to institute litigation to
recover amounts due under the insurance policy by offering substantially less
than amounts due and owing the insured.
21. The defendants failed to promptly provide a factually sound explanation
of the basis in the insurance policy in relation to the facts or applicable law for
denial of the claim or for the offer of a compromise settlement.
22. The defendants have willfully and maliciously 'withheld benefits from the
plaintiffs, due to their failure to investigate the claim timely and thoroughly,
which constitutes a breach of an implied covenant of good faith and fair dealing.
23. The defendants, in bad faith, denied payments to its insured without
thoroughly investigating the foundation for its denial and in not fully inquiring
into the possible basis that might support the insured's claim.
Count One
Breach of Contract/Warran~
24. Paragraphs 1 through 23 are incorporated herein by reference thereto.
25. The defendants impliedly and/or expressly wan'anted that they would, in
good faith, provide insurance coverage to the plaintiffs in accordance with the
contract and abide by the terms of said contract.
26. As a result of the aforesaid, the defendants breached their contract and/or
warranty, which breach resulted in past and future physical injury and monetary
loss to the plaintiffs.
27. The defendants failed to comply in good faith with the terms of the policy
and endorsment HP-BD (Ed. 1/97) UF-753 as well as loss of use coverage. In
addition, the defendant failed to authorize all reasonable and necessary repairs
to return the house to the condition it was in before the fire.
Wherefore it is prayed that judgment be entered in. favor or the plaintiffs and
against the defendants in an amount in excess of that requiring compulsory
referral to arbitration. A jury trial is hereby demanded.
Count Two
Bad faith pursuant to 42 Pa.C.S.A. §8371
28. Paragraphs 1 through 27 are incorporated herein by reference thereto.
29. Plaintiffs' injury, damage and loss were directly and proximately caused
by the reckless, wanton and willful misconduct of the defendants without regard
to the rights and safety of the plaintiffs.
30. The actions of the defendants were recklessly, wantonly and willfully
done for the purpose of causing harm to the plaintiffs.'
31. Having full knowledge of the unreasonably dangerous conditions the
plaintiffs were forced to endure, the defendants did recklessly, wantonly and
willfully fail to take reasonable and necessary steps to ~ettle this claim.
32. The defendants did recklessly, wantonly and willfully, refuse to resolve
the claims of the insured and handled said claims with reckless indifference to
the rights of the plaintiffs.
33. The conduct of the defendants was outrageous, oppressive and recklessly
indifferent to the rights of the plaintiffs.
34. As a direct and proximate result of the defendant's reckless, wanton and
willful disregard for the rights of the plaintiffs the aforesaid injury did occur.
35. The plaintiffs hereby request all remedial relief as provided in 42 Pa.C.S.A.
§8371.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiring compulsory
referral to arbitration. A jury trial is hereby demanded.
Date: March 11, 2003
William ,P. D_ou~I~s,~sq.
Attorney for the plai~f6
Affidavit
I hereby swear or affirm that the foregoing is true and correct to the best of my
knowledge and/or information and belief.
This is made subject to the penalties of 18 Pa.C.S.§ 4904 relating to unswom
falsification to authorities.
March 11, 2003
FORRY, ULLNAN, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Exchange
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002-2625 Civil Term
DEFENDANT'S PRELIMINARY OBJECTIONS
TO PLAINTIFF'S AMENDED COMPLAINT
Defendant, Erie Insurance Exchange, incorrectly identified
as Erie Insurance Group, (hereinafter "Erie"), by and through
its attorneys, FORRY, ULLMAN, ULLMAN & FORRY, P.C. hereby files
these Preliminary Objections to Plaintiffs' Amended Complaint
and, in support thereof, states as follows:
1. On October 29, 2002, Plaintiffs, Kevin Showaker and
Lisa Showaker, filed a Complaint in the above-captioned matter,
a true and correct copy of which is attached hereto as Exhibit
2. Plaintiffs' Complaint arises out of a fire on May 30,
2001 at their residence located at 411 Walnut street, Boiling
Springs, Cumberland County, Pennsylvania, which caused property
damage to Plaintiffs' dwelling and contents.
to Erie under their: 1) Dwelling; 2)
Contents coverages, respectively.
4. As a result of said claims, Erie believes and,
therefore, avers that it has paid all sums due and owing to date
to Plaintiffs under said Dwelling, Loss of Use, and Contents
coverages.
5. Plaintiffs, Complaint contains Count I for Breach of
Contract/Warranty and Count II for Bad Faith pursuant to 42 Pa.
C.S.A. §8371.
6. On December 18, 2002, Erie filed Preliminary
Objections to both Counts in Plaintiff's Complaint which the
Court granted in part by Order dated February 19, 2002 which
directed Plaintiffs to file a more specific pleading with
respect to Count I - Breach of Contract. (Exhibit "A" hereto).
In particular, the Order directed Plaintiffs "to file an amended
complaint within 20 days setting forth the specific damages
sought under the respective insurance coverage's for the alleged
Breach of Contract/Warranty.- (emphasis added).
7. On March 11, 2003, Plaintiffs filed an unverified
Amended Complaint. (Exhibit "B" hereto). However, Plaintiffs'
Amended Complaint is identical in all respects to the first
Complaint, with the exception of the addition of just one
paragraph No. 27 which states:
As a result of the fire, Plaintiffs submitted claims
Loss of Use; and 3)
2
The defendants failed to comply in good faith with the
terms of the policy and endorsement HP-BD (Ed. 1/97)
UF-753 as well as loss of use coverage. In addition,
the defendant failed to authorize all reasonable and
necessary repairs to return the house to the condition
it was in before the fire.
COUNT I - BREACH OF CONTRACT/WARRANTY
8. Plaintiffs' Amended Complaint fails to cure the
deficiency in the original Complaint and fails to comply with
the Court's Order since it does nothing to set forth "the
specific damages sought under the respective insurance
coverage's for the alleged Breach of Contract/Warranty.,,
9. Plaintiff's cause of action for Breach of Contract in
Count I should be dismissed for lack of specificity in
Plaintiffs' Amended Complaint pursuant to Pa. R.C.P 1028(a) (3).
10. Pursuant to Pa. R.C.P Rules 1028(a) (2) and 1024, Erie
files a preliminary objection to Plaintiffs' Amended Complaint
for failure to conform to Court rule since it is unverified by
Plaintiffs and there is no cause shown for the lack of
Plaintiffs' verification under Rule 1024(c).
WHEREFORE, Defendant, Erie Insurance Exchange, respectfully
requests that these Preliminary Objections be granted and this
Honorable Court dismiss Plaintiffs' Amended Complaint with
prejudice or, in the alternative, direct Plaintiffs to file a
Second Amended Complaint with respect to Count I - Breach of
Contract which sets forth the specific damages sought under each
of the three respective insurance coverage's for the alleged
Breach of Contract/Warranty.
Dated: 03/26/03
BY:
Respectfully. submitted,
FORR~MAN, ULLMAN & FORRY, P. C.
LEE E. ULLMAN, ESQUIRE
CURTIS C. JOHNSTON, ESQUIRE
KEVIN SHOWAKER and
LISA SHOWAKER,
PLAINTIFFS
Vo
IN THE COURT OF COMMON PLEAs OF
CUMBERLAND COUNTY, PENNSYLVANIA
ERIE INSURANCE GROUP,
DEFENDANT 02-2625 CIVIL TERM
IN RE: PRELIMINARY OBJECTIO_NS OF DEFENDANT
TO PLAINTIFFS, COMPLAINT
BEFORE BAYLEY j. AND ~
ORDER OF COURT_
AND NOW, this "' l[C~'t~' _day of February, 2003, IT IS ORDERED:
(1) Defendant's demurrer or in the alternative a motion for a more specific
pleading to Count II of Plaintiffs' Complaint in Bad Faith,. IS DISMISSED.
{2) Defendant's demurrer to Count ! of Plaintiffs' complaint for Breach of
Contract/Warranty, IS DISMISSED.
('3) Defendant's alternate Preliminary objection for a more specific pleading to
Count I of Plaintiffs' complaint for Breach of Contract/Warranty, IS GRANTED. Plaintiff
shall file an amended Complaint within twenty (20) days setting fOrth the specific
damages Sought under the respective insurance Coverage's for the alleged Breach of
Contract/Warranty.
DOUGLAS, DOUGLAS & DOUGLAS
27 W. HIGH ST.
POB 261
CARLISLE PA 17013
TELEPHONE 717-243-1790
WILLIAM P. DOUGLAS, ESQ.
Supreme Court I.D. # 37926
Kev'in Showaker and Lisa Showaker
Plaintiffs
vs
Erie Insurance Group
Defendants
In the Court of Common Pleas of
Cumberland County Pennsylvania
No. 2002 - 2625 Civil Term
Civil Action Law
J'ury Trial Demanded
Amended Complaint'
NOTICE
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 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 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.
Cur~berland County Bar Association
32 S. Bedford Street
Carlisle PA 17013 717-249-3166
DATE: March 11, 2003
BY
Amended Complaint
1. The plaintiff, Kevin Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania. ~
2. The plaintiff, Lisa Showaker, is an adult individual who resided at 411
Walnut Street, Boiling Springs, Cumberland County, Pennsylvania.
3. The defendant, Erie Insurance Group, is a business entity licensed to do
business in the Commonwealth of Pennsylvania, with offices located at 4901
Louise Drive, Rossmoyne Business Center, Mechanicsburg, Cumberland County,
Pennsylvania.
4. The plaintiffs are husband and wife and reside together in the same
household.
5. The property located at 411 Walnut Street, Boiling Springs, Cumberland
County, Pennsylvania., is a single family dwelling that was owned by the
plaintiffs.
6. The plaintiffs were sold a contract of insurance on the above described
property by the defendant.
7. The insurance contract policy is an Erie Insurance Exchange
Homeprotector ExtraCover bearing number Q59 1303968 H.
8. Prior to May 30th, 2001, the plaintiffs' home was in good repair.
9. On or about May 30th, 2001, an acddental fire occurred in the attic of the
aforesaid residence causing extensive damage to both the dwelling structure and
personal property of the plaintiffs.
10. All damages suffered by the plaintiffs were covered by their policy of
insurance.
11. The plaintiffs contacted the defendants and told them of their loss in a
timely manner.
12. The defendant sent out an adjuster to the property following the fire
howi~ver said individual stayed a short period of time and did nothing with
respect to the preparing an inventory.
13. The plaintiffs are covered by a policy of insurance issued by the
defendants that provides for replacement cost coverage for damages suffered by
the insured.
14. The defendants knowingly and willingly refused to timely settle the claim
for the damage suffered by the plaintiffs.
15. The defendants failed to acknowledge and act promptly upon written or
oral communication with respect to claims arising under the aforementioned
contract of insurance.
16. The defendants failed to promptly investigate all claims arising under the
aforementioned contract of insurance.
17. The defendant had no basis to refuse to pay the claim of the plaintiff in a
timely manner.
18. The defendant refused to pay the claims without conducting a prompt
and reasonable investigation based upon all available information.
19. The defendants did not act in good faith to effectuate prompt, fair and
equitable settlement of this claim, knowing that liability is clear and coverage
applies and as a result the plaintiffs have been forced to incur expenses they
would not otherwise have incurred.
20. The defendants have compelled the insured to institute litigation to
recover amounts due under the insurance policy by offering substantially less
than amounts due and owing the insured.
21. The defendants failed to promptly provide a factually sound explanation
of the basis in the insurance policy in relation to the facts or applicable law for
denial of the claim or for the offer of a compromise settlement.
22. The defendants have willfully and malidously withheld benefits from the
plaintiffs, due to their failure to investigate the claim timely and thoroughly,
which constitutes a breach of an implied covenant of good faith and fair dealing.
23. The defendants, in bad faith, denied payments to its insured without
thoroughly investigating the foundation for its denial and in not fully inquiring
into the possible basis that might support the insured's claim.
Count One
Breach of ContractJWarranty
24. Paragraphs 1 through 23 are incorporated herein by reference thereto.
25. The defendants impliedly and/or expressly warranted that they would, in
good faith, provide insurance coverage to the plaintiffs in accordance with the
contract and abide by the terms of said contract.
26. As a result of the aforesaid, the defendants breached their contract and/or
warranty, which breach resulted in past and f'ature physical injury and monetary
loss to the plaintiffs.
27. The defendants failed to comply in good faith with the terms of the policy
and endorsment HP-BD (Ed. 1/97) UF-753 as well as loss of use coverage. In
addition, the defendant failed to authorize all reasonable and necessary repairs
to return the house to the condition it was in before the fire.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiting compulsory
referral to arbitration. A jury trial is hereby demanded.
28.
Count Two
Bad faith pursuant to 42 Pa.C.S.A. §8371
Paragraphs 1 through 27 are incorporated herein by reference thereto.
29. Plaintiffs' injury, damage and loss were directly and proximately caused
by the reckless, wanton and willful misconduct of the defendants without regard
to the tights and safety of the plaintiffs.
30. The actions of the defendants were recklessly, wantonly and willfully
done for the purpose of causing harm to the plaintiffs.
31. Having full knowledge of the unreasonably dangerous conditions the
plaintiffs were forced to endure, the defendants did recklessly, wantonly and
willfully fail to take reasonable and necessary steps to settle this claim.
32. The defendants did recklessly, wantonly and willfully, refuse to resolve
the claims of the insured and handled said claims with reckless indifference to
the fights of the plaintiffs.
33. The conduct of the defendants was outrageous, oppressive and recklessly
indifferent to the rights of the plaintiffs.
34. As a direct and proximate result of the defendant's reckless, wanton and
willful disregard for the rights of the plaintiffs the aforesaid injury did occur.
35. The plaintiffs hereby request all remedial relief as provided in 42 Pa.C.S.A.
§8371.
Wherefore it is prayed that judgment be entered in favor or the plaintiffs and
against the defendants in an amount in excess of that requiting compulsory
refefital to arbitration. A jury trial is hereby demanded.
Date: March 11, 2003
William P. Douglas,~Esq.
Attorney for the plairlltiffs
Affidavit
I hereby swear or affirm that the foregoing is true and correct to the best of my
knowledge and/or information and belief.
This is made subject to the penalties of 18 Pa.C.S.§ 4904 relating to unsworn
falsification to authorities.
March 11, 2003
FORRY, ULLMAN, ULLF~%N & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Group
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
VS.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002-2625 Civil Term
CERTIFICATE OF SERVICE
I, LEE E. ULLMAN, ESQUIRE, the undersigned, hereby certify
that true and correct copies of Erie Insurance Exchange's
Preliminary Objections to Plaintiffs' Amended Complaint and Brief
in Support thereof, along with a Praecipe for Listing Case for
Argument on May 21, 2003, in connection with the filing of Erie
Insurance Exchange's Preliminary Objections to Plaintiffs' Amended
Complaint, were served upon the Plaintiffs by mailing the same to
Plaintiffs' counsel of record by first class mail, postage
prepaid, on March 26, 2003, addressed as follows:
William P. Douglas, Esquire
Douglas, Douglas & Douglas
27 West High Street.
P. O. Box 261
Carlisle, Pennsylvania 17013
the penalties of 18 Pa.
falsification to authorities.
I understand that the statements herein are made subject to
C.S.A. §4904 relating to unsworn
Dated: 03/26/03 By:
FOR~__~M~, .ULL~4~N & FORRY,
LEE E. ULLMAN, ESQUIRE
Attorney for Defendant
P.C.
PRAECIPE FOR LISTING CASE FOR ARGUMENT
(Must be typewritten and suk~itted in duplicate)
TO THE PROTHONOTARY OF-CUMBERLAND COUNTY:
Please li~tthewithinmatterforthe next~tCourt.
CAPTION OF CASE
(entire caption must be stated in b,ll)
KEVIN SHOWAKER and
LISA SHOWAKER,
ERIE INSURANCE GROUP i
(P]alntiff)
( Defendant )
No. 2625 Civil ~1~ 2002
State matter to be argued (i.e., plaintiff's motion for new tr4a], defendant's
dem~trrer to complaint, etc.): Defendant's Preliminary Objections to
Plaintiffs' Amended Complaint
2. Identify counsel who w~ 11 argue case:
g
(a) for pi m~ntiff:
ADd_ _ tess:
(b) for defendant:
Address:
William P. Douglas, Esquire
27 West High Street
P.O. Box 261
Carlisle, PA 17013
Lee E. Ullman, Esquire
540 Court Street
P.O. Box_542.
Reading, PA 19603
I w~ll notify mil parties in writingwithin t~days that this case has
been li~ted for ar~jtm~_nt.
4. ~t Court Date:
March 26, 2003
Wednesday, May 21, 2003
Attorney for Erie Insurance Group
FORRY, ULLMA~, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Group
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSUR3%NCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002--2625 Civil Term
STIPULATION/AGREEMENT
AND NOW, this ~
Lisa Showaker ("Plaintiffs")
affiliated companies, successors and
through their respective authorized
day of May 2003, Kevin Showaker and
and Erie Insurance Group and all its
assigns ("Erie"), hereto and
legal representatives, agree
to remove Plaintiff's bad faith cause of action with prejudice as
set forth in paragraphs 28 through 35 of their Complaint under the
above Court term.
DOUGLAS, DOUGLAS & DOUGLAS
William P. Douglas~{Esq.
27 West High Street~
P.O. Box 261
Carlisle, PA 17103-0261
Attorney for:
Plaintiff
FOR~LMAN, ULLMAN & FORRY,
Lee E. Ullman, Esq.
540 Court Street
P.O. Box 542
Reading, PA 19603
Attorney for:
Erie Insurance Group
PoC.
Dated: ~.~7_ ~ Dated:
FORRY, ULL~.%N, ULLM~tN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Exchange
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSUPJuNCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 200:2-2625 Civil Term
CERTIFICATE OF SERVICE
I, LEE E. ULLMAN, ESQUIRE, being duly sworn according to law,
deposes and says that I served a true and correct copy of the foregoing
Stipulation/Agreement by mailing the same via U.S. first class mail,
postage prepaid, addressed to the following:
William P. Douglas, Esquire
27 W. High Street
P.O. Box 261
Carlisle, PA 17103-0261
Date: June 3, 2003
By:
FORRY, ~4AN, ULLMAN~ ~7 )~ORRY, P.C.
LEE tE.%'-ULLMAN, ESQUIRE
2
JUN Z003
FORRY, ULLM~N, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. Nos. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Exchange
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002-2625 Civil Term
AAIDNOW,
consideration of the
it is hereby ORDERED
APPROVED and Plaintiff's
in paragraphs 28 through
removed with prejudice.
ORDER
this ~__ day of ~O~%~-- , 2003, upon
attached Stipulation/Agreement of counsel,
that the attached Stipulation/Agreement is
bad faith cause ,Df action as set forth
35 of Plaintiff's Complaint is hereby
FORRY, ULLMAN, ULLMAN & FORRY, P.C.
By: Lee E. Ullman, Esquire
Curtis C. Johnston, Esquire
Attorney I.D. NOS. 42428/64059
540 Court Street
P. O. Box 542
Reading, PA 19603
610 777-5700
Attorneys for Defendant,
Erie Insurance Group
KEVIN SHOWAKER and
LISA SHOWAKER,
Plaintiffs
vs.
ERIE INSURANCE GROUP,
Defendant
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
PENNSYLVANIA
CIVIL ACTION - LAW
No. 2002--2625 Civil Term
STIPULATION/AGREEMENT
this ~ day of May 2003, Kevin Showaker and
and all its
hereto and
AND NOW,
Lisa Showaker ("Plaintiffs") and Erie Insurance Group
affiliated companies, successors and assigns ("Erie"),
through their respective authorized legal ]representatives, agree
to remove Plaintiff's bad faith cause of action with prejudice as
set forth in paragraphs 28 through 35 of their Complaint under the
above Court term.
DOUGLAS, DOUGLAS & DOUGLAS
P.O. Box 261
Carlisle, PA 17103-0261
Attorney for:
Plaintiff
Lee E. Ullman, Esq.
540 Court Street
P.O. Box 542
Reading, PA 19603
Attorney for:
Erie Insurance Group
Dated: E-~7- O~ Dated:
WILLIAM P. DOUGLAS, ESQUIRE
ATTORNEY I.D. # 37926
DOUGLAS, DOUGLAS & DOUGLAS
27 West High St.
P.O. Box 261
Carlisle, Pa. 17013
Telephone: 717-243-1790
Attorney for Plaintiff
: IN THE COURT OF COMMON PLEAS
KEVIN SHOWAKER and
LISA SHOWAKER,
V.
ERIE INSURANCE GROUP
: OF CUMBERLAND COUNTY, PENNA.
: CML ACTION LAW
: NO. 2002-2625 Civil Term
Praecipe
Please mark this case settled and discontinued. ~ ~
William P.'~ - -' Douglas, Esquire
Attorney for Plaintiffs
June 30, 2003