What it does
CM 99 01 attaches to the Commercial Inland Marine Coverage Part. When a limit is shown in a coverage form's declarations for any of four classes of property, that property is covered while at the premises shown: furniture, fixtures and office supplies; machinery, tools and fittings; patterns, dies, molds and models; and improvements and betterments the insured made to a building it does not own. Each limit is in addition to the other inland marine limits.
Who needs it
Dealers on forms such as CM 00 21 (camera and musical instrument dealers), CM 00 22 (equipment dealers) or CM 00 59 (jewelers block). Those forms cover stock in trade and exclude furniture, fixtures, tools and improvements, so a dealer without a commercial property policy needs this endorsement or separate property coverage for its own store contents.
Key provisions
- Coverage applies only at the described premises.
- Improvements and betterments pay ACV if the insured repairs or replaces them at its own expense within a reasonable time; otherwise a proportion of original cost based on the unexpired lease term.
- The coverage form's exclusions and conditions apply.
Quoting and selling notes
Confirm the insured does not already cover these items under a commercial property or BOP policy, to avoid duplicate premium. Ask for separate values for each class and lease terms for tenant improvements. The 03 10 edition is the current one in the ISO forms index.
