Common use of Property Insurance Adjustment Clause in Contracts

Property Insurance Adjustment. M E N a) the rate of change in the Index identified in the " Important Payment and Coverage Information" section of the Policy Declarations. The limit of liability for Coverage A Dwelling Protection for the succeeding premium period will be determined by changing the existing limit in proportion to the change in the Index between the time the existing limit was established and the time the change is made. The resulting amount will be rounded to the nearest $1000; or b) the minimum amount of insurance coverage we are willing to issue for the succeeding premium period under Coverage A Dwelling Protection for your dwelling and other property we cover under Coverage A Dwelling Protection. Any adjustment in the limit of liability for Coverage A Dwelling Protection will result in an adjustment in the limit of liability for Coverage B Other Structures Protection and Coverage C Personal Property Protection in accordance with our manual of Rules and Rates. Any adjustment in premium resulting from the application of this condition will be made based on premium rates in use by us at the time a change in limits is made. We will not reduce the limit of liability shown on the Policy Declarations without your consent. You agree that it is your responsibility to ensure that each of the limits of liability shown on the Policy Declarations are appropriate for your insurance needs. If you want to increase or decrease any of the limits of liability shown on the Policy Declarations, you must contact us to request such a change.

Property Insurance Adjustment. M E NWhen the Policy Declarations indicates that the Property Insurance Adjustment Condition applies, you agree that, at each policy anniversary, we may increase the limit of liability shown on the Policy Declarations for Coverage A Dwelling Protection to reflect one of the following: a) the rate of change in the Index identified in the " Important Payment and Coverage Information" section of the Policy Declarations. The limit of liability for Coverage A Dwelling Protection for the succeeding premium period will be determined by changing the existing limit in proportion to the change in the Index between the time the existing limit was established and the time the change is made. The resulting amount will be rounded to the nearest $1000; or b) the minimum amount of insurance coverage we are willing to issue for the succeeding premium period under Coverage A Dwelling Protection for your dwelling and other property we cover under Coverage A Dwelling Protection. Any adjustment in the limit of liability for Coverage A Dwelling Protection will result in an adjustment in the limit of liability for Coverage B Other Structures Protection and Coverage C Personal Property Protection in accordance with our manual of Rules and Rates. Any adjustment in premium resulting from the application of this condition will be made based on premium rates in use by us at the time a change in limits is made. We will not reduce the limit of liability shown on the Policy Declarations without your consent. You agree that it is your responsibility to ensure that each of the limits of liability shown on the Policy Declarations are appropriate for your insurance needs. If you want to increase or decrease any of the limits of liability shown on the Policy Declarations, you must contact us to request such a change.