Chap. 149.—-An ACT to amend and re-enact Sections 1 and 3 of an act entitled
“An Act to prescribe the form and require the use of a standard fire insurance
policy in the State of Virginia.”, approved March nineteen, nineteen hundred

twenty-eight, relating to the terms and form of standard fire insurance policies
for use in this State. [H 56]

Approved March 7, 1944

Be it enacted by the General Assembly of Virginia:

1. That sections one and three of an act entitled “An Act to pre-
scribe the form and require the use of a standard fre insurance policy
in the State of Virginia.”, approved March nineteen, nineteen hundred
twenty-eight, be amended and re-enacted, as follows:

Section 1. Subsection (1). The printed blank form of a contract
or policy of fire insurance, as set forth in subsection nine hereof, shall
be known and designated as the ‘Standard I*ire Insurance Policy of the
State of Virginia’, and after June thirty, nineteen hundred forty-four,
no policy or contract of fire insurance shall be made, issued or delivered
by any insurer, whether stock, mutual, reciprocal, or inter-insurer, or
other form of insurer, or by any agent or representative of such insurer
on any property in this State unless such policy or contract shall con-
form, as to all provisions, stipulations, agreements and conditions thereof,
with such form of policy. There shall be printed at the head of any
such policy, in the space indicated by the words “Space for insertion of
name of company or companies issuing the policy and other matter per-
mitted to be stated at the head of the policy”, the name or names of the
insurer or insurers issuing the policy, the location of the home office there-
of, and a statement showing whether such insurer or insurers are stock
or mutual companies or reciprocal or inter-insurers or other form of in-
surers; and there may be used in connection with the foregoing such
distinctive device or devices as the insurer or insurers issuing such policy
shall desire. For the word “Company” appearing in such policy there
may be substituted a more accurate descriptive term for the type of
insurer.

Subsection (2). Such policy shall be executed by the proper officers
of the insurer or insurers, whose signatures thereto may be in facsimile,
but such policy shall be countersigned in writing by a resident agent or
agency of the insurer or insurers issuing the same, in the manner re-
quired by section forty-two hundred and twenty-two of the Code of Vir-
ginia, as amended ; provided, however, that nothing in the preceding pro-
visions of this subsection shall apply to any reciprocal or inter-insurance
exchange. A policy, issued in accordance with the provisions thereof.
shall be deemed to have been countersigned at the location of the agent
as shown thereon.

Subsection (3). If the policy is issued by a stock, mutual, reciprocal,
inter-insurer or other form of insurer having special regulations with
respect to the payment by the policyholder of assessments, such regula-
tions shall be printed upon the policy, and if the policy is issued by any
such insurer having regulations appropriate to or required by its form
of organization, other than regulations with respect to the payment by
the policyholder of assessments, such regulations may be written or
printed upon, attached or appended to the policy.

Subsection (4). Binders or other contracts for temporary insur-
ance may be made for a period not exceeding thirty days, and shall be
deemed to include all the provisions, stipulations, agreements and condi-
tions of the Standard Fire Insurance Policy of the State of Virginia, and
all such applicable endorsements or agreements as may be designated in
such contract of temporary insurance and which shall not be inconsistent
with or a waiver of the provisions, stipulations, agreements and condi-
tions of such policy, except that the cancellation clause of such stand-
ard fire insurance policy and the clause thereof specifying the hour of
the day at which the insurance shall commence may be superseded by the
express terms of such contract of temporary insurance.

Subsection (5). The standard fire insurance policy provided for
herein need not be used for effecting reinsurance between insurers.

Subsection (6). Two or more insurers authorized to transact in this
State the business of fire insurance may issue a combination standard
form of fire insurance policy, using a distinctive title therefor, which title
shall appear at the head of such policy, followed by the names of the
several insurers obligated thereupon, and the said policy shall be executed
by the proper ofhcers of each of the said insurers. But before any such
insurers shall issue such policy they shall receive the express permission
of the State Corporation Commission of Virginia to issue the same, and
the title of such proposed policy and the terms thereof which shall be in
addition to the provisions of the standard policy and which shall in no
case be inconsistent therewith, shall be approved by the said Commission.
and such terms shall provide substantially under a separate title therein.
shown as “Provisions specially applicable to this combination policy’.
as follows: (a) that the insurers executing such policy shall be severally
liable for the full amount of any loss or damage according to the terms
of the policy or for specified percentages or amounts thereof aggregat-
ing the full amount of such insurance under such policy, (b) that service
of process or of any notice or proof of loss required by such policy upon
any of the insurers executing such policy shall be deemed to be service
upon all such insurers. The unearned premium liability on each policy
so issued shall be maintained by each of such insurers on the basis of the
liability of each to the insured thereunder.

Subsection (7). There may be printed upon the back of the said
policy the name of the insurer or insurers issuing the policy; the location
and place of business thereof; statement of the amount of capital and/or
surplus thereof; such device or devices as the insurer or insurers issuing
said policy shall desire, and, if the policy be a combination policy, such
distinctive title therefor as may be authorized for use as herein pro-
vided. There may also be printed, stamped or otherwise endorsed upon
the back of said policy the amount of insurance on each peril covered,
the total premium and the name of the agent or agency issuing or coun-
tersigning the same and the place of business of such agent or agency.
To the words at the top of the back of said policy, “Standard Fire In-
surance Policy of the States of”, may be added, after or before the
word “Virginia”, the names of any states in which the said policy form
may be standard when the policy is used.

Subsection (8). There may be printed upon said policy form, else-
where than upon the first and second pages or the back thereof, the
names of the officers and directors of the insurer or insurers issuing
the said policy, and a form providing for assignment of interest or re-
moval and a blank form of receipt.

Subsection (9). The form of the Standard Fire Insurance Policy of
the State of Virginia shall be as follows:
[Space for insertion of name of company or companies issuing the policy and other matter permitted to be stated at the h
of the policy.}

[Space for listing amounts of insurance, rates and premiums for the basic coverages insured under the standard forn
policy and for additional coverages or perils insured under endorsements attached.

In Consideration of the Provisions and Stipulations herein or added hereto

this Company, for the term | from the..........-..085 day of................. , 19... {e noon, Standard Time,
0) tothe...............0.. day of..............4.. . 19... (location of property invol
to an amount not exceeding... 0.0.0.0 nnn ne rece eee n eet e beeen ees Doll
Pore Te 11); a

and legal representatives, to the extent of the actual cash value of the property at the time of loss, but not exceeding
amount which it would cost to repair or replace the property with material of like kind and quality within a reason:
time after such loss, without allowance for any increased cost of repair or reconstruction by reason of any ordinance or
regulating construction or repair, and without compensation for loss resulting from interruption of business or manu
ture, nor in any event for more than the interest of the insured, against all DIRECT LOSS BY FIRE, LIGHTNI
AND BY REMOVAL FROM PREMISES ENDANGERED BY THE PERILS INSURED AGAINST IN TI
POLICY, EXCEPT AS HEREINAFTER PROVIDED, to the property described hereinafter while located or «
tained as described in this policy, or pro rata for five days at each proper place to which any of the property shall ne
sarily be removed for preservation from the perils insured against in this policy, but not elsewhere.

Assignment of this policy shall not be valid except with the written consent of this Company.

This policy is made and accepted subject to the foregoing provisions and stipulations and those hereinafter sta
which are hereby made a part of this policy, together with such other provisions, stipulations and agreements as may
added hereto, as provided in this policy.
au Witness WMhereof, this Company has executed and attested these presents; but this policy shall not be v

unless countersigned by the duly authorized Agent of this Company at............0.0 00000000 eee eee eee

SS Sc a a

Countersigned this.......... day of.............0.. a
SECOND PAGE OF STANDARD FIRE POLICY

Geceshment. This entire policy shall be void if, whether
teed. before or ter a loss, the insured has wil-
. _ fully concealed or misrepresented any ma-
terial faet or circumstance concerning this insurance or the
mbject thereof, or the interest of the insured therein, or in case
of any fraud or false swearing by the insured relating thereto.
Uningerabie This policy shall not cover accounts, bills,
nual eurrency, deeds, evidences of debt, money or
excepted property. securities; nor, unless specifically named
hereon in writing, bullion or manuscripts.

Perlis mot This Co y shall not be liable for loss by
uchedied. fire or other perils insured against in this

policy caused, directly or indirectly, by: (a)
y attack by Toned forces, including action taken by mili-
, paval or air forces in resisting an actual or an immediately
ding enemy attack; (b) invasion; (c) insurrection; (d)
lion; (e) revolution; (f) civil war; () usurped power; (h)
of any civil authority except acts of destruction at the time
and for the purpose of preventing the spread of fire, provided
t such fire did not originate from any of the perils excluded
this policy; (i) neglest of the insured to use all reasonable
to save and preserve the property at and after a loss, or
the Property is endangered by fire in neighboring prem-
) por eball thie Company be liable for loss by theft.
aserance. Other insurance may be prohibited or the

amount of insurance may limited by en-
dorsement attached hercto.
Cosditions suspending er restricting insurance. Unless ether-
' @ wise provided in writing added herete this Company shall not
Cor lees occurring
3] (a) while the hazard is increased by any means within the con-
2 trol or knowledge of the insured; or
3 (b) while a described building, whether intended for occupancy
M by owner or tenant, is vacant or unoccupied beyond a period of
3 nxty consecutive days; or
% (ce) as a result of explosion or riot, unless fire ensue, and in
Zi that event for loss by fire only.

53

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VNXUTBEOSSKIEEEURSSenusrawue
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Flif

3 Other 8 Any other peril to be insured inst or sub-
3 er ject of insurance to be covered in this policy
© shal] he by endorsement in writing hereon or
41 added hereto.

€ Added previsions. The extent of the application of . insurance
a under this policy and of the contribution to

“4 be made by this Company in case of loss, and any other pro-
S vinoo or agreement not inconsistent with the provisions of this
® policy, may be provided for in writing added hereto, but no pro-
® vimon may be waived except such as by the terms of this policy
# is subject to change.

® Waiver No permission affecting thie insurance shall
30 provisions. exist, or waiver of any provision be valid,
31 unless granted herein or expressed in writing

$2 added hereto. No provision, stipulation or forfeiture shall be
53 held to be waived by any requirement or proceeding on the part
4 of this Company relating to appraisal or to any examination
A‘ provided for hercin.

6 Cancellation This policy shal) be cancelled at any time
57 of policy. at the request of the insured, in which case
sh this Company shall, upon demand and sur-
59 render of thie policy, refund the excess of paid premium above
@ the customary short rates for the cxpired time. This pol-
6] icy may be cancelled at any time by this Company by giving
82 to the insured a five days’ written notice of cancellation with
63 or without tender of the excess of paid premium above the pro
64 rata premium for the expired time. which excess, if not ten-

100 insured, stating the knowledge and ;
101 the following: the time and origin of the loss, the interest of the
102 insured and of all others in the property, the actual cash value of
103 each item thereof and the amount o x
104 brances thereon, all other contracts of insurance, whether valid
105 or not, covering any of said property, any changes in the title,
106 use, occupation, location,
107 erty since the issuing of t
108 purpose any building herein
109 thereof were occupie

110 then stood on leased ground, and shall furnish a copy of all the
111 descriptions and schedules in all policies and, if required, verified
112 plans and specifications of any building, fixtures or machinery
113 destroyed or damaged. The insured, as often as may be reason-
114 ably required, sh

115 Company a) that remains of any
116 submit to examinations under oat
117 Company, and subscribe the same; and, as often as may be
118 reasonably required, shall
119 account, i
120 thereof if originals be lost, at such reasonable time and place as
121 may be designated by this Company or its representative, and
122 shall permit extracts and copies thereof to be made.

84 relating to the interests and obligations of such mortgagee may
85 be added hereto by agreement in writing. ;

86 Pre rata lability. This Company shall not be liable for » greater
87 oper ios of any loes than the smount
88 hereby insured shall bear to the whole insurance covering the
89 rty against the peril involved, whether collectible or not.
90 ulrements in The insured shall give immediate written
01 case lees occurs. notice to this Company of any loss, protect
92 the property from further damage, forthwith
93 separate the damaged and undamaged personal property, put
94 it in the best posaible order, furnish a complete inventory of
95 the destroyed, damaged and undamaged property, showing in
96 detail quantities, costs, actual cash value and amount of loss
97 claimed; and within sixty days after the loss, unless such time
98 is extended in writing by this Company, the insured shall reader
99 to this Company a preof of less, si and sworn to by the
lief of the insured as to

loas thereto, all encum-

asion or exposures of said prop-
his licy, by whom and for what
escribed and the several parts
at the time of loss and whether or not it

| exhibit to any person designated by this
roperty herein described, and
R by any person named by this

produce for examination all books of
ills, invoices and other vouchers, or certified copies

123 Appraisal. In esse the insured and this Company shall
124 fail to agree as to the actual cash vslue or
125 the amount of loss, then, on the written demand of either, each
126 shall select a competent and disinterested appraiser and notify
the other of the appraiser selected within twenty days of auch
demand. The appraisers shall first select a competent and dis-
interested umpire; and failing for fifteen days to agree upon
such umpire, then, on request of the insured or this Company,
such umpire shall be selected by a judge of a court of record in
the state in which the property covered is located. The ap-
praisers shall then appraise the loss, stating separately actual
cash value and loss to each item; and, failing to agree, shall
submit their differences, only, to the umpire. An award to wnt-
ing, 80 itemized, of any two when filed with this Company shall
determine the amount of actual cash value and loss.

138 appraiser shall be paid by the party selecting him and the ex-
139 penses of appraisal and umpire shall be paid by the parties
140 equally.

141 Company ’s It shall be optional with this Company to
142 options. take all, or any part, of the property at the
143 agrecd or appraised value, and also to re-

144 pair, rebuild or replace the property destroyed or damaged with
145 other of like kind and quality within a reasonable time, on giv-
146 ing notice of its intention so to do within thirty days after the
147 receipt of the proof of loss herein required.

There can be no abandonment to this Com-

65 dered, shall be refunded on demand. Notice of cancellation shall }148 Abandonment.

6 state that said excess premium (if not tendered) will be re-| 149 any of any property.

67 funded on demand. . 150 When less he amount of loss lor which this Company
6} Mertgagee If loss hereunder is made pavable, in whole] 151 payable. may be liable shall be payable sixty days
6 interests and or in part, to a designated mortgagee not} 152 after proof of loss, as herein provided, is
70 ebligntices. named herein as the insured, auch interest in] 153 received by this Company and ascertainment of the loss is made
71 thie policy may be cancelled by giving to such | 154 either by agreement between the insured and this Company ex-
72 mortgagee a ten days’ written notice of can-] 155 pressed in writing or by the filing with this Company of an
33 cellation 156 award as herein provided.

74: 1f the insured fails to render proof of loas such mortgagee, upon
75 notiee, shall render proof of loss in the form here:n specified
% within sixty (60) days thereafter and shall be subject to the pro-
77 visions hereof relating to appraisal and time of payment and of
8 bringing suit. If this Company shall claim that no liability ex-
79 3 as to the mortgagor or owner, it shall, to the extent of pay-
ment loas to the mort , be subrogated to all the mort-

8 rights of recovery, but without impairing mortgagee's
oS: v0 gue ; or it may pey off the mortgage debt and require
Other provisions

assignment thereof and of the mortgage.

157 Suit. No suit or action on this policy for the recov-
158 ery of anv claim shall be sustainable in any
159 court of law or equity unless all the requirements of this policy
160 shall have been complied with, and unless commenced within
161 twelve months next after inception of the loas.

162 Subrogation. This Company may require from the insured

163 an assignment of all right of recovery against
164 any party for loss to the extent that payment therefor is made
165 by this Company.

THIRD PAGE OF STANDARD FIRE POLICY
ATTACH FORM BELOW THIS LINE
BACK OF STANDARD FIRE POLICY
(OPTIONAL)

Standard Fire Insurance Policy of the States of

Expires

Property
Assured

(COMPANY)

It is important that the written portions of all
policies covering the same property read exactly

alike. If they do not, they should be made uni-
form at once.

Section 3. Appropriate forms of supplemental contract or contracts
or extended coverage endorsements whereby the interests in the prop-
erty described in such policy shall be insured against one or more of the
perils which the insurer is empowered to assume, in addition to the perils
covered by said standard fire insurance policy, may be approved by the
State Corporation Commission and their use in connection with a stand-
ard fire insurance policy may be authorized by the Commission. The
first page of the policy may, in form approved by the State Corporation
Commission, be rearranged to provide space for the listing of amounts
of insurance, rates and premiums for the basic coverages insured under
the standard form of policy and for additional coverages or perils insured
under endorsements attached, and such other data as may be convenient-
ly included for duplication on daily reports for office records.

2. This act is to become effective July one, nineteen hundred forty-
four.