Ancient Egyptians worshipped cats. Broadway performers sing about them (in “Cats”). In grunge rock circles, people still speak in awe of Bill the Cat (and the Boingers).

So just what is it with homeowners insurance and dogs? Lately it seems claims for either damage to or damage caused by canines appear at every turn. Pit bull attacks appear regularly in the news. Dog questions arrive at IIABA's Virtual University and are raised in E&O classes. An outbreak of dog claims led to new restrictive ordinances and endorsements in many states.

Clearly dogs have attained front-burner status with homeowners underwriters. So it seems appropriate to review just what coverage, if any, exists for such claims in the typical ISO homeowners policy. Dog owners, listen up! (Note to cat owners: Don't get cocky. As a co-resident with two cats owned by my wife and son-I'm a dog guy, myself-I can assure you that intimidation is the only reason cat claims are reported less frequently than dog claims.) Clear your desks, get out your 2000 edition of the ISO HO form and let's have at it!

First, let's see what coverage is provided for direct damage to the dog. None. Well, that was easy. Section I, paragraph 4 of the homeowners form, “Property Not Covered” has a single, unambiguous sentence: “We do not cover: b. Animals, birds or fish.” So, regardless of the cause of loss, there is no Section I coverage for direct damage.

Is this a problem? Considering deductibles, is there truly enough at stake here to care? How do you assign value to a dog? While some pets are mutts who wander into your yard and lack the energy or ambition to leave, the heritage of others has been carefully documented. Some dogs are simply house pets, and others are highly trained specialists in protection, hunting or guidance (for deaf or blind humans). Clearly we shouldn't assume that a dog's value is minimal.

And the value issue doesn't pertain solely to dogs. Many homeowners have spent large sums on pure-bred or exotic pets for companionship (dogs, cats), novelty (pythons and tarantulas) or decoration (large fish aquariums). Any of these pets may be a significant part of a homeowner's loss in house fires, hurricanes or earthquakes, yet there is zero coverage. Perhaps now would be a good time to ascertain how many of your current clients possess such valuable specimens and consider what type of coverage may be necessary to protect their investments-before they discover after a loss that their homeowners policies do not provide all the coverage they (or you) had assumed.

Got that under control? OK, then onward to Section II!

Good news! (For you, not the carrier.) Section II does not contain an “animals, fish or birds” exclusion similar to the one found in Section I. Dog-bite claims are subject to the normal prohibitions against collecting for damage caused to your own property or injury to an insured. But as long as the dog has the good sense to attack someone other than an insured or damage property other than an insured's, the homeowners policy will respond just as it would to any other covered liability claim.

To see if anything unique to dog claims will be affected by the specific form wording, let's walk through the Section II exclusions and limitations and see if or how they apply to dog liability.

Exclusion A (motor vehicle liability): Unless the dog gets behind the wheel (don't laugh; they do it in the news all the time), this one doesn't apply. (And I'm going to ignore the obvious comments about permissive use, golf and pizza delivery.)

Exclusion B (watercraft liability): Same as A, except here I'm going to ignore the water skiing jokes.

Exclusion C (aircraft liability): Ditto, although Snoopy and the Red Baron are my heroes.

Exclusion D (hovercraft liability): Ditto again.

Exclusion E.1 (exclusions for bodily injury or property damage expected or intended by an insured): There is some question about dogs and intelligence, but since the animal is clearly not an “insured,” this doesn't apply.

Exclusion E.2 (businesses): The dog isn't in business, but this exclusion should give pause to those home-based business folks who deduct their dog as a “security system.”

Exclusion E.3 (professional services): Only of concern if the insured is a dog breeder or trainer, and the animal is a client.

Exclusion E.4 (an insured's premises that is not an “insured location”): This one may give you some trouble. Keep in mind, however, that in a dog-bite scenario, the injury or damage arises out of the dog, not out of a premises. While one might argue that the bite would not have occurred if the bitten person had not come onto the insured's property, whether the dog was on an “insured location” at the time of an incident is immaterial to the nature of the claim-the bite. For the same reason, if you hit someone with a golf ball at the driving range or cause injury with a spear gun while scuba diving, the liability claim will be covered. In contrast, if the claim arises from a location (slip and fall), it must occur at an “insured location” for coverage to apply. But an “action” claim, like a dog bite, can arise anywhere in the policy territory, which is worldwide.

Exclusion E.5 (war): Despite the term “dogs of war,” this exclusion is not applicable during peacetime or when civilians are involved.

Exclusion E.6 (communicable disease transmitted by an insured): Tempting, but a dog is not an “insured.”

Exclusion E.7. (sexual, physical or mental abuse): I believe the “physical or mental abuse” tag is intended specifically for cats.

Exclusion E.8 (controlled sub-stance): Not applicable, although the possibilities boggle the mind.

Exclusion F.1 (liability for loss assessments in connection with property owners associations, corporations or communities): I suppose a loss assessment or contractual claim could arise from a dog (and then this exclusion would have to be reviewed), but the assessment still would be covered elsewhere, and the contract likely meets the exception in the exclusion.

Exclusions F.2 and F.3 (damage to property owned, occupied or used by an insured; rented to an insured; or in an insured's care): Discussed earlier in article; this type of damage is excluded regardless of the cause (unless, in regard to property not owned by the insured, the dog starts the fire).

Exclusions F.4 and F.5 (workers compensation and nuclear): What have these to do with dogs?

Exclusion F.6 (injury to you or an insured): Dog bites an “insured,” no coverage; dog bites anyone else, no exclusion.

Exclusion G.1 (medical payments coverage for residence employees): Dog bites residence employee? It could happen, and coverage exists if the claim meets specified exceptions. If the dog bites the employee on the premises, you can kiss that claim goodbye.

Exclusions G.2 and G.3 (medical payments coverage for those covered by workers compensation and similar laws or in connection with a nuclear incident): See F.4 and F.5 above.

Exclusion G.4 (medical payments for anyone other than a residence employee): Dog bites tenant, forget about coverage.

We're out of exclusions, so we've evidently covered the subject. To review, homeowners and dogs: direct-damage coverage, no; liability coverage for damage or injury to others, most likely yes; medical payments, sometimes yes, sometimes no.

It's all quite simple, like a dog's love for its master or a fire hydrant. To those who think otherwise, may all your pets be cats.

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