What it does
CM 00 67 covers direct physical loss of or damage to "valuable papers and records" the insured owns or holds for others, on an open-perils basis subject to exclusions. Property the insured specifically declares and describes in the declarations (irreplaceable items such as original manuscripts or maps) is valued at the limit shown for that item, an agreed-value approach; other records are valued under the CM 00 01 valuation condition.
Who needs it
Firms whose files would be expensive to rebuild: attorneys, accountants, architects and engineers, title abstractors, insurance agencies, medical and dental practices, libraries and historical societies. Contracts with clients sometimes make the firm responsible for client documents in its custody.
Key provisions
- Not covered: undeclared property that cannot be replaced with like kind and quality, samples or property held for delivery after sale, property stored away from the premises, contraband.
- Extensions: removal to a safe place under imminent danger (written notice within 10 days) and $5,000 (or a higher declared limit) for property temporarily away from the premises, in addition to the limit.
- Exclusions specific to records: errors or omissions in processing or copying (unless fire or explosion results), electrical or magnetic injury or erasure of electronic recordings except lightning, dishonest acts, voluntary parting by trick, plus the standard government, nuclear and war exclusions.
- The 01 13 edition includes an abrupt collapse additional coverage.
Quoting and selling notes
Ask what records exist, whether originals are needed or copies suffice, how much research time a rebuild would take, and whether electronic data is backed up offsite. Electronic data erasure is excluded, so pair this form with cyber or electronic data coverage for digital records. Libraries use CM 67 02. Receivables records are better insured under CM 00 66, which pays uncollectible balances.
