POLICY TERM: Annual Only

APPLICATION: Only TOPA applications, fully completed, signed and dated by both the producer and the applicant are acceptable.

II. ELIGIBLE DWELLINGS

1. Single family and Owner occupied
2. Frame or frame/Stucco construction (NO block or brick construction) and NO  wood shake shingle roof.
3. Less than 60 years old on the effective date of the application.
4. Located in National Board Protection Class 1-8 (9-10 may be acceptable, submit for approval.)
5. Swimming pools, Jacuzzi, hot tubs, etc., must be completely fenced.
6. Replacement cost not less than $75,000 or greater than $800,000.

III. INELIGIBLE RISKS:

A. DWELLINGS WHICH:

1. are over 60 years old
2. are located in designated brush areas
3. are occupied by more than one family
4. are seasonal, secondary, Mobil or modular homes or farm risk.
5. are rented to others or held for rental
6. are vacant
7. are in foreclosure
8. are in commercial, industrial or deteriorating locations
9. have a main source of heat that is not thermostatically controlled (no wood burning stoves)
10. are undergoing extensive remodeling or construction
11. have a wood shake shingle, metal, or foam roof
12. are financed by private parties or a trustee
13. are of unusual or irreplaceable construction or cantilevered construction
14. have no smoke alarms
15. have a replacement cost that exceeds market value
16. are located less then 1000 feet from the Pacific Ocean
17. are owned by well known personalities
18. were not designed and built as a single family dwelling (duplex, townhouse, shared wall, etc.)

B. RISKS WHICH:

1. have ferocius or dangerous dogs, including but not limited to: Rotweilers, German Shepherds, Pitbulls, Doberman Pincers, Great Danes, etc.
2. there is a previous history of dog bites regardless of breed
3. have any farm animals, exotic or unusual pets, including but not limited to: horses, cows, chickens, sheep, goats, etc.
4. the applicant is in bankruptcy
5. there is any kind of business on the premises
6. have had more than (1) major loss (excess of $10,000) in the past 36 months or (2) minor losses ( aggregate not exceeding $10,000)
7. have more than two unrelated individuals on the deed or trust. (refer to company)
8. have any unfenced pool or pool with slide or diving board
9. have abandoned, non-operational, not regularly used vehicles or where company vehicles are stored
10. employee full-time in servants or out servants

C. PERSONAL PROPERTY ONLY POLICIES

IV. COVERAGE'S - MINIMUM LIMITS:

V. COVERAGE'S - ADDITIONAL AND OPTIONAL

VI. DEDUCTIBLE CREDITS

1. $500.00 Standard deductible on all losses to property under A,B,or C
2. Optional Deductibles:

VII. PREMIUM CREDITS

A. Burglary Protection

B. CLAIM FREE DISCOUNT -

New Business: The 1 year claim free discount will be applied to new business if the applicant supplies proof from the prior carrier that there were no losses.

THE EARTHQUAKE AND REPLACEMENT COST DISCLOSURES MUST BE SIGNED BY THE APPLICANT AND ACCOMPANY THE APPLICATION OR THE APPLICATION WILL BE REJECTED.

DWELLING FIRE PROGRAM

I. GENERAL

Application: Only McNabb/Topa applications, fully completed, signed and dated by both the producer and the applicant are acceptable.

THE EARTHQUAKE AND REPLACEMENT COST DISCLOSURES MUST BE SIGNED BY THE APPLICANT AND ACCOMPANY THE APPLICATION OR THE APPLICATION WILL BE REJECTED.

II. ELIGIBLE DWELLINGS

1. Maximum (4) family units, occupied as a residence.
2. Remote/Isolated secondary dwellings must be submitted for approval.
3. Dwellings for residential purposes only, no bed & breakfast or rooming houses.
4. Homes over (30) years old must be re-roofed.
5. Homes built prior to 1945 must be completely updated (roof, electrical, plumbing and heating).
6. Dwellings must have circuit breakers. Fuses are not eligible.
7. Dwellings located within (5) miles of a responding paid fire department and within (1000) feet of a fire hydrant.
8. Dwelling must be on a paved road and visible from other dwellings. Fire department must have alternate escape route, no dead end streets.
9. Structures and Landscaping must be well maintained.
10. Frame or Frame Stucco construction.
11. Dwellings with replacement cost in excess of $300,000. must have a central reporting fire alarm system.

III. INELIGIBLE RISKS

1. Dwellings located on a steep incline (over 30 degrees) and/or built on stilts or pylons.
2. Dwellings with wood burning stoves if the wood burning stove is the primary source of heat.
3. Dwellings built on a landfill.
4. Course of Construction or Builders risk (i.e. dwellings built for resale)
5. Vacant dwellings.
6. Storage of a significant amount of business property at the residence premises.
7. Where excessive amounts of materials of a hazardous nature (i.e. flammable chemicals, paints, cleaning supplies) are stored.
8. Risk with a loss history which includes multiple losses, a prior negligent loss or liability related (if liability coverage is provided) claim.
9. "Antique" or "one of a kind" dwellings where replacement cost value would be difficult to determine.
10. Risk terminated for underwriting reasons within the last three years for reasons other than (1) loss or withdrawal from the market by the carrier.
11. Risks located in a designated brush area.
12. Dwellings with unrepaired damage, structural deterioration, appliances, vehicles or furniture stored in the yard and/or poor yard upkeep.
13. Converted dwellings, self-constructed dwellings (unless the insured is a licensed contractor), kit homes, mobil homes or unique constructions such as log homes.
14. Dwellings that are in foreclosure.
15. Dwellings with wood shake shingle or foam roof.
16. dwellings less than (1000) feet from the Pacific Ocean.
17. Dwellings over (60) years old at the time of application. (policies will not be non-renewed due to age of dwelling).
18. Dwellings not designed and built as family dwellings 1-4 units
19. Dwellings in commercial, industrial or deteriorating locations.

LIABILITY COVERAGE

1. Risks with unfenced pools, diving boards, slides, trampolines, exceptional steep stairs, or stairs without railings.
2. Ownership, training or boarding of ferocious or dangerous animals, including but not limited to Rotweilers, German Shepherds, Pitbulls, Doberman Pincers, Great Danes, etc..
3. There is a previous history of dog bites regardless of breed.
4. Have any farm animals, exotic or unusual pets, including but not limited to horses, cows, sheep, goats, etc..

IV. DEDUCTIBLES & CREDITS

All policies are subject to a deductible. The Base rate includes a $500. deductible.

BINDING PROCEDURES

ESCROW CLOSINGS HOMEOWNER & DWELLING FIRE

1. An agent needing proof of coverage for an escrow closing on a personal residence, single family dwelling only, should fax us a request for a policy number. The request needs to include the name & mailing address of the insured, the address of the property to be insured and the requested effective date of the homeowner coverage. The name and address of the lender along with the loan number should be included if known.

2. McNabb will
a) send a policy number by return fax or
b) decline to provide a number if the risk is in a protection class in which Topa does not write, in a designated brush area or in a location where Topa has a moratorium.

3. The agent needs then to fax McNabb a copy of the proof of insurance that has been provided to the insured/escrow company

4. McNabb will diary these records for 15 days only. If the original completed and signed application with the required trust check has not arrived within the 15 days, McNabb will terminate the binder and make a non-refundable binder charge of $100.00 which will be billed to the agent. If the completed and signed application has arrived with the required trust check within the 15 days, McNabb will:
a) issue the policy or
b) issue the policy & cancel if it is developed that the risk is either ineligible or unacceptable.