Additional Insured — Executors, etc.

FL 04 32 06 90

This optional form allows executors, administrators, trustees or beneficiaries of the named insured's estate to be made additional insureds under FL 00 20.

Additional Insured — Farm Liability

FL 04 50 10 06

This endorsement extends farm liability coverage to the following: 1. person or organization from whom the named insured leases land; 2. person or organization who is lessor or real estate manager of premises leased to the insured; 3. independently contracting operator-manager of a farm owned by or leased to the insured; 4. person or organization leasing equipment to the named insured; 5. vendor who sells or distributes the insured's products; 6. nonresident co-owner of a residence away from the farm premises; or 7. persons or organizations who exercise financial control over the insured; 8. additional insureds who are relatives who co-owns and helps operate the farm but resides off premises. These entities are made additional insureds under the conditions as noted on the endorsement.

Additional Residence Rented to Others

FL 04 06 01 98

This endorsement provides bodily injury, property damage, and medical payments coverages for the insured's liability arising out of the ownership of residences that are regularly rented to others. Such residences must be scheduled on the endorsement to be included as insured locations. This endorsement also deletes exclusion 2.l.(2) of coverage H of FL 00 20 — rental of premises — as it pertains to the residences scheduled on the endorsement. FL 04 06 is similar to FL 04 29 except that the latter endorsement deals with farm premises; FL 04 06 pertains to residences.

Amendatory Endorsement

FL 01 63 09 03

Under the rules of the 1990 farm program, amendatory endorsement FL 01 63 was required to be added to farm liability coverage form FL 00 20 (unless limited farm pollution liability coverage endorsement FL 04 30 — discussed below — is used). The endorsement adds a basic level of coverage for farm pollution liability. Form FL 00 20 already provides pollution coverage for pollution damage from a hostile fire; form FL 01 63 adds to that coverage (via exceptions to the exclusion), pollution damage from fires used in the burning of crop stubble or vegetation.

Additionally, endorsement FL 01 63 adds chemical drift liability coverage as coverage M. Chemical drift liability coverage is for sums that the insured becomes legally obligated to pay as damages for physical injury to crops or animals, due to the dispersal or escape into the air (release or escape from airplanes is not covered) from the insured location chemicals or liquids or gases that the insured uses in normal and usual agricultural operations. For example, farmer Brown has barrels of fertilizer on his property. On a particularly windy day the tops blow off the barrels and large amounts of fertilizer blows onto farmer Green's crops, causing fertilizer burn. The incident is covered. The coverage under FL 01 63 is not for indirect or consequential damage such as loss of market for crops or animals, and is not to be used for pollution clean up expenses. FL 01 63 offers chemical drift liability coverage in the annual aggregate amount of $25,000.

The 2003 form has made some minor changes to the exclusions. Drift coverage is now excluded not only for the request, demand, or order to the insured to test for, clean up, or remove pollutants, but statutory or regulatory requirements that the insured do so are also included in the exclusion. An exception is added that the exclusion for claims or “suit” by or on behalf of a governmental authority does not apply to liability that the insured would have in the absence of such governmental statute, regulation or request. If the insured would have been liable for the loss regardless of any claim by the government to clean up, contain, respond, or assess pollutants regardless of said claim, then the exclusion does not apply.

Animal Rides for Profit or Charity

FL 04 41 01 98

This endorsement provides BI and PD coverage and med pay coverage when livestock or other animals are used to provide rides to any person for a fee or for a charitable event.

Animals in Contests or Stunting Activities

FL 04 40 01 98

This endorsement does the same thing as FL 04 41 when the livestock or other animals are used in practice or preparation for a prearranged racing, speed or strength contest or prearranged stunting activity.

Basic Farm Premises Liability

FL 04 11 10 06

Certain types of farm operations are ineligible for coverage with farm liability coverage form FL 00 20: 1. farms where the principal purpose is to supply commodities the insured uses in manufacturing or processing items for sale to others (creameries or dairies, for instance); 2. freezing or dehydrating plants; 3. farms with farm dwellings with more than four families; and4.farms on which farm dwellings are used for business purposes other than permitted incidental occupancies. These operations obtain liability coverage by adding either basic farm premises liability endorsement FL 04 11 or broad farm premises liability endorsement FL 04 37 to the occurrence version of commercial general liability coverage form (CG 00 01).

FL 04 11 provides some BI and PD liability coverage and med pay coverage pertaining to the farm operations of the insured. FL 04 11 also provides chemical drift liability coverage, with an annual aggregate limit of $25,000.

The 2006 form modifies the form to some extent. The exclusion for expected or intended injury is expanded so that even if the injury or damage is of a different kind than expected or is sustained by a different person than intended, the act is still excluded. An intentional act is an intentional act; if an insured intends to damage a neighbor's car and mistakenly damages the wrong vehicle, the insured's intent was still to cause damage.

Under medical payments, not only is injury to persons engaged in work usual or incidental to the use of the farm premises excluded, but work usual or incidental to the maintenance of the premises is also excluded. Maintenance and use are two different things. Growing crops is using the premises, but repainting the barn is maintenance. An injury sustained by a person engaged in either activity is excluded.

Drift coverage is now excluded not only for the request, demand, or order to the insured to test for, clean up, or remove pollutants, but statutory or regulatory requirements that the insured do so are also included in the exclusion. An exception is added that the exclusion for claims or “suit” by or on behalf of a governmental authority does not apply to liability that the insured would have in the absence of such request, demand, statute, or regulation by or on behalf of a governmental authority. If the insured would have been liable for the loss regardless of any claim by the government to clean up, contain, respond, or assess pollutants regardless of said claim, then the exclusion does not apply.

The 2006 form adds the condition that if the insured fails to comply with the duties described in the policy, that the carrier does not have the duty to provide coverage for the insured. The failure to comply with listed duties must be prejudicial to the carrier. If the insured withholds information or evidence that the carrier needs to conduct an investigation, the carrier is then released from providing any coverage to the insured.

Binding Arbitration

FL 99 01 06 90

This endorsement makes arbitration binding on the insured and the insurer. If either party does not agree whether coverage is provided under FL 00 20, then either party may make a written demand for arbitration. A decision agreed to by two of the arbitrators will be binding.

Broad Farm Premises Liability

FL 04 37 10 06

This endorsement is added to the CGL form and makes the insurance under the CGL form apply with respect to liability arising out of the ownership, use or maintenance of farm premises for farming purposes. FL 04 37 makes a point out of giving the insured some limited pollution liability coverage.

While hostile fire and pollutants had been defined in the 1998 form, they are now defined terms in the CGL policy and are no longer defined here.

Drift coverage is now excluded not only for the request, demand, or order to the insured to test for, clean up, or remove pollutants, but statutory or regulatory requirements that the insured do so are also included in the exclusion. An exception is added that the exclusion for claims or “suit” by or on behalf of a governmental authority does not apply to liability that the insured would have in the absence of such request, demand, statute, or regulation by or on behalf of a governmental authority. If the insured would have been liable for the loss regardless of any claim by the government to clean up, contain, respond, or assess pollutants regardless of said claim, then the exclusion does not apply.

The exclusion for expected or intended injury is expanded so that even if the injury or damage is of a different kind than expected or is sustained by a different person than intended, the act is still excluded. An intentional act is an intentional act; if an insured intends to damage a neighbor's car and mistakenly damages the wrong vehicle, the insured's intent was still to cause damage.

An exception has been added to the exclusions for medical payments. If a person who is assisting the insured in a neighborly exchange of assistance for which the insured is not obligated to pay any money, coverage exists for an injury to the neighbor. It's not unusual for farmers to help each other out on one another's farm; this allows that to happen and maintain goodwill between neighbors. For example farmer Brown helps farmer Green bring in his hay, and farmer Green helps farmer Brown bring in his potatoes, there is coverage as long as no funds exchange hands.

The conditions section of the form now states that the carrier has no duty to provide coverage if the failure to comply with the duties described in the conditions is prejudicial to the carrier. For example, if the insured withholds information or delays in providing documentation that is material to the claim, the carrier can deny coverage because their investigation was compromised.

Business Activities

FL 04 43 01 98

This endorsement allows for rental of part of the “insured location” to others. The endorsement deletes the exception for residence employees, so that there is no coverage for injury to them or consequential injury to their family members. It also adds an exclusion of corporal punishment administered by or at the direction of the named insured. The final addition is a host liquor liability exclusion, with the option to buy-back the coverage with an indication in the schedule at the front of the form.

Custom Farming Liability Coverage

FL 04 69 09 03

Custom farming operations refer to those operations an insured performs for others for a fee under a contract or agreement. The farm liability coverage form (FL 00 20) insures such operations if they do not generate over $5,000 in receipts. Insureds who require coverage for a greater volume of custom farming operations may use this endorsement.

When the 2003 endorsement is used, the exclusion for damage to property owned, rented, sold, loaned, or in the care of the insured does not apply to the coverage provided in this endorsement. Also, the form now specifies that the due date for audit premiums is the date shown as the due date on the bill.

Farm Employers Liability

FL 04 65 10 06

This endorsement offers farm employers liability coverage and farm employees med pay insurance. It can be attached to FL 00 20 or to the CGL form. FL 04 65 offers to pay those sums that the insured becomes legally obligated to pay as damages because of BI sustained by a farm employee arising out of and in the course of employment by the insured. And, the endorsement offers to pay to or for each farm employee who sustains BI caused by an accident, all reasonable medical expenses to which the insurance applies. FL 04 65 basically combines the employers liability coverage from a workers comp policy with med pay coverage.

The 2006 revision of the form adds an exception for the costs, expenses, and interest amounts explicitly provided for in the Farm Liability Coverage Form under paragraph a. of the Additional Coverages, and in the Commercial General Liability form under paragraph 1. of Supplementary Payments.

A new coverage is provided as well, the Optional Extension of Coverage for occurrences involving motor vehicles, autos, and watercraft. Coverage is provided for medical expenses to any farm employee injured in an “occurrence” involving the maintenance, use, operation, or loading/unloading of a motor vehicle, auto, or watercraft as long as the employee was acting within his normal farm duties.

If this endorsement is attached to a CGL coverage form, the definition of “volunteer worker” as shown in that form under section V does not apply to the coverage provided under this endorsement. Also, the form now specifies that the due date for audit premiums is the date shown as the due date on the bill.

Liability Exclusion

FL 10 10 09 03

This endorsement is for employees of designated insureds and may be used to schedule residence employees for whom liability and medical payments coverage is to be excluded, though bodily injury sustained by these residence employees is covered if it results from assisting the insured in “personal sport activities.” The 2003 form also excludes medical payments incurred or ascertained in connection with the excluded bodily injuries of a residence employee.

Limited Crop Dusting Coverage

FL 04 44 09 03

For an additional premium, this form pays for physical injury to crops and animals caused by or resulting from crop dusting operations conducted for the named insured by an independent contractor by aircraft; the operations have to be consistent with normal and usual agricultural practice.

However, the following operations are not covered: 1. Those performed by an unlicensed or improperly licensed contractor; 2. Those performed at a time or place prohibited by federal, state, or local authority; and 3. Those involving the use of a prohibited substance. Also excluded are: occurrences where the aircraft is owned, operated, or rented by the insured or employees; injuries to crops or animals arising out of the crash of the aircraft or the leakage of fuel following a crash; damages assumed in a contract or agreement; and injury to the insured's crops or animals.

The current endorsement provides some expanded coverage in the area of “insured contracts, ” specifically those dealing with operations within fifty feet of railroad property. The form now excludes only hold-harmless agreements made with a railroad. Thus, the insured now has coverage for such agreements made with an organization or person other than a railroad, within fifty feet of railroad property.

The available limit of liability is $25,000, which represents the per occurrence and aggregate limits. The premium, if the insured chooses, is auditable.

Drift coverage is now excluded not only for the request, demand, or order to the insured to test for, clean up, or remove pollutants, but statutory or regulatory requirements that the insured do so are also included in the exclusion. An exception is added that the exclusion for claims or “suit” by or on behalf of a governmental authority does not apply to liability the insured would have in the absence of such request, demand, statute or regulation by or on behalf of a governmental authority. If the insured would have been liable for the loss regardless of any claim by the government to clean up, contain, respond, or assess pollutants regardless of said claim, then the exclusion does not apply.

The 2003 form states that words in quotation marks have the meanings assigned in the Definitions section of the Farm Liability Coverage Form unless otherwise defined in the endorsement. Also, the form specifies that the due date for audit premiums is the date shown as the due date on the bill.

Limited Farm Pollution Extension

FL 04 30 09 03

Farm liability coverage form FL 00 20 excludes coverage for on-premises pollution exposures and certain discharges which occur off-premises. Form FL 04 30 was introduced to provide some limited on-premises coverage.

Instead of excluding liability for all pollution damage on-premises, this form only excludes pollution damage at or from a storage tank, other container, duct, or piping all of which are below or partially below the surface of the ground or water. Also excluded is such damage if the tank, etc. was once beneath the surface of the ground or water and has subsequently become exposed by erosion, excavation, or other means. It should be noted that no distinction is made between “sudden” and “gradual” release of pollutants.

The form also establishes a special aggregate limit to which all pollution liability coverage is subject; and retains the exclusionary language for waste and clean-up costs ordered by a governmental authority.

The 2003 form has made a change in the exclusions. Drift coverage is now excluded not only for the request, demand, or order to the insured to test for, clean up, or remove pollutants, but statutory or regulatory requirements that the insured do so are also included in the exclusion. An exception is added that the exclusion for claims or “suit” by or on behalf of a governmental authority does not apply to liability that the insured would have in the absence of such request, demand, statute, or regulation by or on behalf of a governmental authority. If the insured would have been liable for the loss regardless of any claim by the government to clean up, contain, respond, or assess pollutants regardless of said claim, then the exclusion does not apply.

Limited Home Day Care Coverage

FL 04 42 09 03

This endorsement provides liability and medical payments coverage for insureds who operate day care services in the home. It adds these exclusions to those already in form FL 00 20: 1. Injuries arising out of molestation, corporal punishment, and mental or physical abuse by any person involved in the day care operation. 2. Injuries arising out of the maintenance, use, etc. of any of the following: draft or saddle animals, aircraft, motor vehicles, motorized cycling vehicles, or watercraft. The endorsement also deletes the limitation on property used in business, so that the property of the day care operation is given full coverage.

The 2003 form has modified the exclusion for draft animals, aircraft, motor vehicles, motorized cycling vehicles or watercraft. Included in the exclusion is the ownership or entrustment by the insured to any person of, or out of the failure to supervise or negligent supervision of any person involving the aforementioned items. So if the insured is giving the day care students riding lessons and a child is injured falling off a horse because the insured is talking to a neighbor, there is no coverage for any injuries to the child.

Non-Binding Arbitration

FL 99 02 06 90

This endorsement is similar to FL 99 01, except that with FL 99 02, the arbitration is not binding, and any decision agreed to by the arbitrators may be appealed to a court of competent jurisdiction.

Owned Snowmobile Coverage

FL 04 71 10 06

While away from an insured location, owned snowmobiles are subject to a liability exclusion removing coverage with respect to their ownership, maintenance, use, and loading or unloading. Endorsement FL 04 71 overcomes these exclusions and provides coverage for bodily injury and property damage as respects scheduled snowmobiles — listed as to make or model and identified by serial number. This endorsement extends coverage to BI and PD and gives med pay coverage for BI occurring off the insured location and arising out of the ownership, maintenance, use, loading or unloading of the snowmobiles described on the endorsement's schedule. The coverage does not apply to a snowmobile subject to motor vehicle registration, while used to carry persons for a charge, while used for business purposes, while rented to others, or while being operated in or in practice for any prearranged or organized race or speed contest.

Under the 2006 form the following changes are made to the Farm liability coverage form. Insurance coverage under H – bodily injury and property damage liability applies to injury or damage arising out of the entrustment of an owned snowmobile to another person, or gives rise to vicarious liability for the actions of a child or minor using the snowmobile owned by the insured.

Insurance under coverage J – medical payments now applies to injury occurring off the insured location that arises out of the ownership, maintenance, use, loading or unloading of the owned snowmobile; the entrustment of the snowmobile to any person; and vicarious liability for the actions of a minor child involving an owned snowmobile. The exclusion for damages claimed by any person or organization for care, loss of services or death resulting from bodily injury does not apply under this endorsement.

The same changes that the endorsement makes to the farm liability endorsement are made to the personal liability endorsement.

Personal Liability

FL 04 12 10 06

The rules of the ISO farm program permit insureds using the CGL and a farm premises liability endorsement (basic or broad) to also add liability coverage for their nonbusiness or personal activities through use of personal liability endorsement FL 04 12. The current edition of the form has altered the exclusions relating to motor vehicles, watercraft, and aircraft. The previous edition excluded ownership, maintenance, or use of these items by anyone. The current form excludes only ownership by any insured. It then applies the remainder of the exclusion (maintenance, use, operation, or loading or unloading) to “any other person.” The current form also deletes the exclusion of negligent entrustment of these items, as well as statutorily imposed vicarious parental liability for them. And, in an expansion of coverage, the form now provides liability coverage for watercraft with inboard or inboard-outdrive of 50 HP or less.

The exclusion for expected or intended injury is expanded so that even if the injury or damage is of a different kind than expected or is sustained by a different person than intended, the act is still excluded. An intentional act is an intentional act; if an insured intends to damage a neighbor's car and mistakenly damages the wrong vehicle, the insured's intent was still to cause damage.

The business exclusion is expanded to include acts or omissions regardless of circumstances that involve a service or duty rendered, promised, or owed because of the nature of the business. Also, the business exclusion has changes from allowing a minor to have a business to allowing someone under the age of 21 years to be involved in a part time or occasional business with no employees, such as babysitting or lawn mowing. The prior form restricted the definition of minor to someone under the age of 18 or under 21 if they were a full time student. Now the educational status of the person is not important; age is the only deciding factor.

An exception is made to the pollution exclusion for injury if it is sustained within a building and caused by smoke, fumes, vapors produced from heating, cooling, or dehumidifying equipment, or water heating equipment for personal use by the occupants and their guests. Also excepted is injury or property damage from heat, smoke, or fumes from a hostile fire. A new exclusion exists at any premises, location, or site where any insured or subcontractors are working directly on the insured's behalf if they are performing operations to test for, monitor, clean up, remove, contain, or neutralize or in any way respond to pollutants.

Another exception is made for property damage that the insured would have in the absence of requests, demands, orders, or regulations by a government authority.

An exception to the motor vehicles exclusion is made for golf carts designed for up to 4 people, not modified to go more than 25 miles per hour, and owned by an insured. The exception applies as long as the cart is at a golfing facility and is parked, stored, or used there by the insured to play golf, travel to or from where the carts are parked, or cross public roads to get to other parts of the course. If the insured lives in a private residential community where the carts can legally travel upon public roads, an exception is made here as well.

Entrustment of a motor vehicle or motorized land conveyance by the insured to any other person is excluded. Vicarious liability for the actions of a child or minor using such transportation is also excluded. The same exclusion applies to watercraft and aircraft, and the exclusion applies even if the claims against the insured allege negligence or wrongdoing in the hiring, employment, supervision, or training or monitoring of an employee.

Costs incurred by the insured, any other person, organization or entity for repair, replacement, restoration or maintenance of property including prevention of injury to a person or property damage is excluded.

Any injury that arises from personal injury is excluded. Any damage or injury that results from any action or omission that violates the provisions of the Telephone Consumer Protection Act, the CAN-SPAM Act, and any statute or ordinance that prohibits or limits the sending of material information is excluded.

As is typical of most ISO forms, injury or damage resulting from war, warlike acts, insurrection, rebellion, revolution or other such actions and actions to defend from such attacks are excluded.

Under coverage B, personal injury liability, an exclusion for personal injury caused by or at the direction of the insured, or arising out of oral or written publication is added. While criminal acts are excluded, the revised form makes it clear that the carrier still has a duty to defend the insured until through the legal process the insured has been proven to be responsible for a criminal act. The insured is innocent until proven guilty, and the carrier has to provide a defense until it is proven otherwise. The exclusion for business has been broadened to make clear that injury that arises out of acts or omissions involving services or duties rendered, promised, owed, or implied because of the nature of the business are excluded. The same exclusions for the Telephone Consumer Protection Act, the CAN-SPAM act, or war or warlike action that is found under coverage A is also found in this section.

The limit under damage to property of others has been increased to $1,000 per occurrence.

The definition of who is an insured now includes resident relatives. The prior form only included those resident relatives under the age of 21. Full time students are designated as insureds as long as they are under 24 and a relative or a person under 21 and in care of a resident relative.

A revision is made to section III limits of insurance. The each occurrence limit is the most that will be paid for damages under coverage A and medical expenses under coverage C because of all injury or damage arising out of one occurrence. A special limit of $10,000 is added for losses the insured becomes legally obligated for due to statutorily imposed vicarious liability for actions of a minor.

Under section IV commercial general liability conditions it states that the carrier has no duty to provide coverage if the insured has failed to comply with the required duties and such failure is prejudicial to the carrier.

Waiver of Transfer of Rights of Recovery

FL 99 03 09 94

This optional endorsement permits the company to waive its rights of recovery against a person or organization (named prior to loss, in the schedule) who performs work on behalf of the insured.

Watercraft

FL 04 83 09 03

The purpose of this endorsement is to remove the farm liability coverage form exclusions pertaining to the ownership, maintenance, or use of certain watercraft. The endorsement provides liability coverage, otherwise excluded, with respect to scheduled and described watercraft powered by one or more outboard motors of more than twenty-five total horsepower; any inboard or inboard-outdrive powered watercraft; and sailing vessels, with or without auxiliary power, twenty-six feet long or longer.

Coverage under the endorsement does not apply to job-connected bodily injury to an insured's employee whose principal duties involve the maintenance or use of watercraft; nor does it apply while the watercraft is used to carry paying passengers or while it is rented to others. Neither does it apply while the boat is being used in any prearranged competition (including practice for such competition). An exception has been added to this exclusion for sailing vessels with or without auxiliary power or to predicted log cruises. Races with such craft or in this form do not present the same hazard that speed races with motor boats do.