What it does
CM 00 20 is a floater for two kinds of business equipment: cameras, projection machines, films and related equipment and accessories; and musical instruments with related equipment and accessories. It also covers similar property of others in the insured's care, custody or control. Coverage is open perils (direct physical loss except as excluded), and the coverage territory is wherever the property is located.
Who needs it
Users of such equipment, not dealers: commercial and portrait photographers, video production companies, performing groups, schools and churches with sound and music equipment, studios. Dealers that hold this property as stock for sale use CM 00 21.
Key provisions
- Exclusions include delay and loss of market, dishonest acts of the insured or employees, voluntary parting by trick, theft by persons entrusted with the property (other than carriers for hire), weather combined with excluded causes, faulty workmanship or maintenance, collapse (except the additional coverage), wear and tear, inherent vice, gradual deterioration and insects or vermin.
- Additional acquired property: newly acquired property of the same type is covered for 30 days, up to the lesser of 25% of the limit for that type of property or $10,000, if reported with additional premium.
- Coinsurance applies if a percentage is shown in the declarations.
Quoting and selling notes
Get a schedule with serial numbers and values; ask about travel outside the United States (the form covers anywhere), rentals of equipment to others, and how equipment is secured in vehicles. Because property is valued under CM 00 01 (actual cash value or cost to restore or replace), insureds wanting new-for-old settlement need carrier enhancements. IH 00 79 (miscellaneous articles) is the ISO alternative for other scheduled business articles.
