What it does
CP 10 33 modifies the Causes of Loss – Special Form for the premises and buildings listed in its Schedule. It adds an exclusion for loss or damage caused by or resulting from theft. Three things are still covered:
- Loss from looting at the time and place of a riot or civil commotion.
- Building damage caused by burglars breaking in or out.
- If theft results in a Covered Cause of Loss (for example, a fire set by a thief), the loss caused by that resulting cause.
Who sees it
Underwriters use it when theft exposure at a location is unacceptable. Examples are poor protection, high-crime areas, vacant buildings, or stock types prone to theft. The result is Special-form coverage for everything except theft, close to the Basic or Broad form scope on that point.
Quoting and selling notes
- Check renewal quotes for this exclusion, especially when the location list changes. Clients often assume a "special form" policy covers burglary.
- Alternatives include requiring an alarm through Burglary and Robbery Protective Safeguards (CP 12 11), a higher theft deductible, or a separate crime policy.
- Theft of building materials during construction is handled by CP 10 44 or the builders risk theft form CP 11 21.
