Common use of GREEN UPDATES COVERAGE Clause in Contracts

GREEN UPDATES COVERAGE. When a covered cause of loss causes damage to covered property we will pay for the increased cost of the loss to provide for green updates as follows. In the event a loss for which it is determined that it is necessary to replace a building component (such as a roof) or a building system (such as a heating system), such replacement: A. Is limited to replacement of the damaged building component or system with a green building component or system which serves the same primary function as the damaged property; and B. Does not extend to modification or replacement of any other building component or system, except the repair or replacement of property that is necessarily damaged or destroyed in the course of replacing the damaged building component or system. Green Updates Coverage will not be paid until the property is actually repaired or replaced at the same or another premises and unless the repair or replacement commences within 2 years of the date of the covered cause of loss. ADDITIONAL COVERAGES We will indemnify you for the additional costs outlined below, in addition to the value of the covered property listed on the Schedule of Values on file with us, subject to the Limit of Insurance for Property Coverage shown in the Declarations: 1. FIRE DEPARTMENT SERVICE CHARGE When the fire department is called to save or protect covered property from a covered cause of loss. This Additional Coverage applies to your liability for fire department service charges: A. Assumed by contract or agreement prior to the loss; or B. Required by local ordinance. 2. EXTENSION OF RECOVERY PERIOD If the necessary suspension of your operations produces a business income loss payable under this policy, we will pay for the actual loss of business income you sustain for up to 90 days following the end of the period of restoration. However, the Extension of Recovery Period does not apply to loss of business income incurred as a result of unfavorable business conditions caused by the impact of the covered cause of loss in the area where the described premises are located. Loss of business income must be caused by direct physical loss or damage at the described premises caused by or resulting from any covered cause of loss.