U S LLOYDS CONTACTS

HOME OFFICE 620 W. Pipeline Road

Hurst, Texas 76053-4926

WEB ADDRESS www.uslloyds.com

PRIMARY CONTACT DAVID ROBINSON

web address [email protected]

SECONDARY CONTACT JORDAN YOUNG

web address [email protected]

CHAD YOUNG

(800) 929-2424 toll free

(817) 285-1800 local

(817)285-1818 fax

(817)285-1825 fax

U S Lloyds Insurance Company

Age of Dwelling Age of roof

10 years or less ok for HO-B (also must be loss free last 5 years)

12 years or less ok for A-100

25 years or less ok for A0107 and roof less than 15 years

HO-A roof must not be over 15 years old

Dwelling amount

Platinum not less than $ 100,000

Gold not less than $ 75,000

Silver not less than $ 50,000 ($ 40,000 F & EC)

Acceptable endorsements

HO-101 Replacement cost

HO-105 Residential glass

HO-110 Increased limits on jewelry, watches & furs (limited to $2500

additional)

HO-160 Scheduled personal property (limited to $2500 per item or

schedule)

HO-210 Farmers CPL (not available for risks that have livestock)

HO-225 Additional Premises (no more than 2)

HO-301 Additional Insured

A-100 Replacement coverage-dwelling HO-A

A-101 Replacement cost on contents HO-A

A-107 Additional Perils (including water)

A-109 Replacement coverage on dwelling ACV on roof HO-A

Fire & Extended Coverage TDP-1 w/o VMM

Deductible Minimum of 1%

Maximum Liability Limits Personal Injury $300,000 (call for

higher) Med Pay $5000

Discounts Capped at 10% apply to Homeowners only

Policy Fee $75 fully earned

Minimum Premium $400 including policy fee

HO-BT not available

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U S Lloyds

Insurance

Company

Texas Property Underwriting Guidelines

General

A fully completed Acord application is required on all new business. If bound, the

application must be in our office within 3 working days of proposed inception date.

Additionally, a signed optional mold form and a completed rate sheet must accompany

the application.

Unless the application is mortgage billed, a check must accompany the application.

A minimum of 25% of the total premium must be submitted with all applications. An

exception will be made on mortgage billed premiums but the application must be

received in our office no later than 30 days prior to the inception.

No binders are acceptable for longer than 30 days. Binders are not to be extended or

renewed without prior approval.

Flat cancellation will not be accepted unless cancellation evidence is received by the

Home Office within 60 days of inception. This is based on receipt stamp by the Home

Office.

Legal evidence of cancellation can be by: (1) the return of the original policy; (2) lost

policy release signed by the insured and mortgagee (if any); or (3) certified notice of

mail.

Submissions

We realize that there are many situations and circumstances that cannot be covered in

this underwriting guide, and we ask that you please submit to us the full facts if you

would like us to make and exception, or where we have not covered a situation within

our guidelines. When submitting risks, photos and a diagram are required:

• Do not bind coverage exceeding $300,000 without prior approval.

• Effective 11/01/02, a full earned $75.00 policy fee will be charged for

each policy.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TX 76053 Revised: 01/11/2005

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Texas Property Underwriting Guide

Ineligible Dwelling Risks (DO NOT BIND)

1. Mobile homes, modular dwellings, shell homes, log-type homes or homes not

constructed in a conventional manner.

2. Beach property.

3. Vacant or unoccupied dwellings.

4. Risks which have lost their market value due to unusual design, standard of

construction, general appearance, size, or poor maintenance.

5. Model homes, when used as a builder’s display.

6. Risks with aluminum or substandard wiring.

7. Applicants with criminal records or applicants who represent moral hazards.

8. Applicants with a history of bankruptcy, repossessions, outstanding liens and

judgments or poor credit history. Consult your underwriter if circumstances merit

consideration.

9. Applicants owning dogs of a vicious nature, or other animals of a type which may

cause a significant increase in liability exposure. (All animals should be noted on the

application).

10. Dwellings with a trampoline or ATV exposure.

11. Risks with swimming pools must be adequately fenced and without slides.

12. Corporal Punishment Endorsement will not be acceptable for teachers (HO-220).

13. Brokered business.

14. Rigid asbestos, slate, clay and concrete tile, flat, and wood shingle roofs or

composition shingles overlaying wood shingles. If there are multiple layers of

composition shingles we require a 2% deductible on clause 1.

• RISKS DECLINED, CANCELLED OR NON-RENEWED BY ANY

COMPANY MUST BE SUBMITTED WITH FULL DETAILS.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TX 76053 Revised: 01/11/2005

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Texas Property Underwriting Guide

General Provisions

I. Occupancy:

a. Seasonal or secondary dwellings are acceptable in the Silver plan TDP if they

meet all requirements and are supported by the insured’s primary residence.

b. Tenant dwelling must be fully inspected. VMM is NOT available.

c. Submit dwellings over forty years old with updates (photos help).

II. Prior Losses:

All losses for the past 5 years must be shown on the application. Please indicate

on the application if repairs have been made. (Sometimes extra pictures are

helpful).

III. Deductibles:

a. A nil or flat deductible is not acceptable.

b. Deductible cannot be bought back. A 1% deductible is mandatory.

c. Large deductibles are acceptable.

d. Split deductibles are acceptable.

IV. Construction:

a. Property must be built using good construction standards. Dwellings must have

modernized plumbing and electrical systems. The property must not have any

visible maintenance or construction issues.

b. We will accept vinyl siding if installed since 1990. Please submit with

manufacturer’s warranty. Dwellings with aluminum siding are unacceptable.

c. The roof must be in good condition and less than ten years old to qualify for an

HOB or A-100 endorsement. Roof must be less than 15 years old for HOA and

TDP-1. We will not accept the following types of roof: clay or concrete tile, slate,

wood shingle, composition shingle overlaying wood shingles, roofs requiring

additional labor to replace due to excessive pitch, rigid asbestos, or flat.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TX 76053 Revised: 01/11/2005

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Texas Property Underwriting Guide

d. Dwellings with wood burning stoves should be submitted with photos and a

completed supplemental Acord application.

e. Contents only, or the contents of tenant dwellings are not acceptable.

f. All dwellings written in the Gold plan must be of superior, modern construction

methods, materials and maintenance. They must have a modern heating system

with forced air through duct work. Wood burning stoves are not acceptable.

Construction materials must be currently manufactured, used, and readily

available.

V. Insurance to Value:

Coverage must be written to comply with the provisions of the contract regarding

insurance to value and coinsurance. We do not use a valuation service; therefore,

we must rely on our agents knowledge of cost and value within their trade area.

A Fire and EC policy or HO-A will not be accepted for an amount exceeding the

ACV of the property.

Risks which have lost their market value due to unusual design, general

appearance, size, general maintenance, physical construction, or which otherwise

do not meet accepted construction or condition standards are not acceptable.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TX 76053 Revised: 01/11/2005

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Texas Property Underwriting Guide

Dwelling Fire & EC

I. Protected Dwellings:

These coverages may be written in our Platinum, Gold or Silver plans; subject to

underwriting.

Dwelling Amounts:

The minimum amount of coverage is $40,000 for TDP-1, and the maximum

coverage on dwellings is $300,000 . However, the maximum can be increased

through the use of facultative reinsurance. Please consult your underwriter for

dwellings outside of these values.

II. Tenant Dwellings:

Tenant dwellings may be written in the Gold or Silver plans, and only on TDP-1.

VMM is not acceptable.

III. Unprotected Dwellings Other Than Farm & Ranch:

a. All property over 5 miles outside the city limits must be submitted.

b. Lake property is acceptable if it is owner occupied as a primary residence, or if it

is a secondary residence with supporting business.

c. Seasonal or secondary residences are acceptable if written in conjunction with an

owner dwelling, and they meet all standards, and are written on a separate Fire

& EC policy in the Silver plan.

d. We are not a market for isolated risks or risks which are inaccessible.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TEXAS 76053 Revised: 01/11/2005

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Texas Property Underwriting Guide

Homeowners

These coverages may be written in our Platinum, Gold or Silver plans, subject to

underwriting.

I. Dwelling Amounts:

The minimum coverage is $50,000 for an HO-A, $75,000 for an HO-A+, and $100,000

for an HO-B. The maximum coverage on dwellings is $300,000. However, the

maximum can be increased through the use of facultative reinsurance. Please

consult your underwriter for dwellings outside of these ranges.

II. Property must be claim free for the last 5 years and less than 10 years old to qualify

for an HO-B.

III. HO-A+: use current HO-A forms and rates and apply one or more of the following

endorsements, subject to eligibility.

• A-100 replacement cost on dwelling. Dwelling must be 12 years old or less. Cost

is 10% of base premium.

• A-101 replacement cost coverage on contents, increase coverage B to 60% of

coverage A. Cost is 5% of base premium.

• A-107 additional perils coverage (includes sudden and accidental water above

slab). Dwelling must not be more than 25 years old with above average

housekeeping and maintenance. Cost is $.75 per $1000 of coverage A (example:

$100,000 dwelling would be $75.00).

• A-109 replacement cost coverage on dwelling ACV on roof. Dwelling must not

be more than 25 years old. Cost is 10% of base premium.

Dwelling must be less than 25 years old with above average housekeeping and

maintenance for A-107 and A-109 eligibility. Replacement cost coverage (A-100) on

dwelling is available if the dwelling is less than 12 years old and the roof is less than

12 years old.

HO-A may be written on well maintained dwellings less than 40 years old, with the

roof not over 15 years old. Note: for dwellings over 40 years old, submit to

underwriting with update history (extra pictures help).

IV. Dwellings with steel roofs are acceptable. The roof must be secured with screws

and not nailed, be not less than 26 gauge, be structural steel (old style corrugated

not acceptable), and installed over a solid deck. A signed HO-145 must be

submitted with the application. A 5% discount will be allowed.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TEXAS 76053 Revised: 01/11/2005

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V. Scheduled Personal Property - Prior approval required (DO NOT BIND) Submit to

Underwriting.

Maximum per policy: $2,500

All scheduled personal property must be accompanied by an appraisal and a photo.

All loss history must be furnished.

Antiques will not be accepted as scheduled property.

VI. Liability Limits:

Personal Liability: up to $300,000

Medical Payments: up to $5,000

VII. Homeowner policies will not be written on condos, duplexes or townhomes.

VIII. Seasonal or Secondary Residences:

Acceptable if written in conjunction with an owner dwelling, and they meet all

standards. Written on TDP-1 only.

IX. Unprotected Dwellings Other Than Farm & Ranch:

a. All property over 5 miles outside city limits must be submitted.

b. Lake property is acceptable if it is owner occupied as a primary residence.

c. We are not a market for isolated risks or risks which are inaccessible.

d. We are not a market for risks located on more than 10 acres.

X. Appearance damage must be excluded on additional metal structures (i.e.

outbuildings, patio covers, carports, etc...)

XI. Unacceptable Endorsements:

HO-110 Increased limits on jewelry, watches and furs (maximum acceptable =

$2,500)

HO-113 Bullion and Valuable Papers

HO-120 Television and Radio Antenna

HO-121 Windstorm coverages for greenhouses

HO-122 Windstorm coverage for cloth awnings

HO-126 Personal Computer

HO-160 Scheduled personal property (maximum acceptable = $2,500)

HO-170 Additional Extended Coverage

HO-201 Personal Injury Coverage

HO-215 Watercraft Liability

HO-220 Corporal Punishment

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TEXAS 76053 Revised: 01/11/2005

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Tenant Homeowners

We do not currently provide a market for these risks.

U S LLOYDS INSURANCE COMPANY 620 W. PIPELINE ROAD HURST, TX 76053 Revused: 01/11/2005

U S LLOYDS DIRECT BILL

1. All applications, unless mortgage billed, must be accompanied with

the required down payment.

2. Minimum down payment is 25% of the annual premium with the

balance to be paid in eight monthly installments.

a. A service fee is included in each installment. Refer to

premium chart for service fee amount.

b. A payment coupon booklet will be mailed with the policy to the

insured.

c. The policy may be paid in full to avoid further policy charges.

d. Any endorsement premium will be added to the remaining

payments, if applicable. An amended payment booklet will be

issued.

MONTHLY PAYMENT SERVICE FEE SCHEDULE

Annual Premium Service Fee

$0 to $360 $ 3.00

$361 to $520 $ 3.50

$521 to $680 $ 4.00

$681 to $840 $ 4.50

$841 to $1000 $ 5.00

$1001 to $1200 $ 5.50

$1201 to $1400 $ 6.00

$1401 to $1640 $ 6.60

$1641 to $1800 $ 7.00

$1801 to $2000 $ 7.50

$2001 to $2400 $ 8.00

$2401 to $2800 $ 8.50

$2801 to $3200 $ 9.00

$3201 to $4000 $ 10.00

U S LLOYDS CLAIM PROCEDURE

U S LLOYDS INSURANCE COMPANY

1. Take loss from insured using ACORD loss notice.

2. Report loss immediately to U S Lloyds Home Office at:

(817)285-1800 or (800)929-2424.

3. A local adjuster will be assigned to the loss by the Home Office

as quickly as possible.

Property Rate Filings 04/01/02

U S LLOYDS INSURANCE COMPANY

Homeowners

TERRITORY PLATINUM GOLD SILVER

2 22 32 49

3 24 34 52

4 23 33 51

5 -8 5 36

6 -3 9 41

7 7 21 52

12 14 30 52

13 -4 15 50

14 6 19 42

15C 1 17 36

15N 1 15 38

16C 20 30 41

16N 4 21 32

16S 28 36 52

17 21 31 42

18 0 14 25

19C 14 23 40

19N 6 21 32

20 10 28 40

Homeowners Discounts Underwriting Minimums

-5% if loss free for the last 3 years Platinum $ 100,000

-5% new home discount (1 - 10 years old) Gold $ 75,000

-5% if insured is over 55 years of age Silver $ 50,000

Total of discounts capped at 10%

Dwelling Fire & Extended Coverage Policy Fee = $75.00

Platinum Gold Silver

+ 20 +30 +45 Minimum Policy Premium = $400.00

Windstorm exclusion required in territories 8-9-10