North Carolina Personal Automobile Policy

1 5630 university parkway po box 3199 winston -Salem NC 27102-3199. Please refer to your declarations page for the name of the company issuing this Policy .. This Policy is a legal contract between you and us. The Personal Auto Policy has been: designed for easy reference;. simplified to make it more understandable; and arranged to better display the available coverage. This Policy is a legal contract between you and us. These Policy provisions along with the Declarations Page, application and endorsements, if any, issued to form a part thereof, complete this Policy . READ YOUR Policy CAREFULLY. To Report A Claim 1-800-468-3466. YOUR Personal AUTO Policy . QUICK REFERENCE. DECLARATIONS PAGE. Your Name and Address Your Auto or Trailer Policy Period Coverages and Amounts of insurance Table of Contents PART D COVERAGE FOR. AGREEMENT ..1. DAMAGE TO YOUR AUTO .. 11. DEFINITIONS ..1. INSURING AGREEMENT .. 11. PART A LIABILITY COVERAGE .. 1. TRANSPORTATION EXPENSES .. 12. INSURING AGREEMENT.

2 1. SALVAGE CHARGES .. 12. SUPPLEMENTARY PAYMENTS .. 2. EXCLUSIONS .. 12. EXCLUSIONS .. 2. LIMIT OF 13. LIMIT OF LIABILITY .. 3. PAYMENT OF LOSS .. 13. OUT OF STATE COVERAGE .. 3. NO BENEFIT TO BAILEE .. 13. FINANCIAL RESPONSIBILITY REQUIRED .. 3. OTHER insurance .. 13. OTHER insurance .. 4. APPRAISAL .. 13. PART B MEDICAL PAYMENTS COVERAGE .. 4. LOSS 14. INSURING AGREEMENT .. 4. PART E DUTIES AFTER AN ACCIDENT. EXCLUSIONS .. 4 OR LOSS - FILING A CLAIM .. 14. LIMIT OF LIABILITY .. 5 GENERAL DUTIES .. 14. NON-DUPLICATION .. 5 ADDITIONAL DUTIES FOR UNINSURED AND. COMBINED UNINSURED/UNDERINSURED. OTHER insurance .. 5 MOTORISTS COVERAGE .. 14. ARBITRATION .. 5 ADDITIONAL DUTIES FOR COVERAGE FOR. PART C1 UNINSURED MOTORISTS COVERAGE .. 5 DAMAGE TO YOUR AUTO .. 14. INSURING AGREEMENT .. 5 PART F GENERAL 14. EXCLUSIONS .. 6 14. LIMIT OF LIABILITY .. 7 CHANGES .. 14. OTHER insurance .. 7 FRAUD OR MATERIAL. MISREPRESENTATION .. 15. OUR RIGHT TO RECOVER PAYMENT .. 7. LEGAL ACTION AGAINST US.

3 15. ARBITRATION .. 7. OUR RIGHT TO RECOVER 15. PART C2 COMBINED. UNINSURED/UNDERINSURED Policy PERIOD AND 15. MOTORISTS COVERAGE .. 8 TERMINATION - CANCELLATION, NONRENEWAL, INSURING AGREEMENT .. 8 AUTOMATIC TERMINATION, OTHER. TERMINATION PROVISIONS .. 16. EXCLUSIONS .. 9. TRANSFER OF YOUR INTEREST IN THIS. LIMIT OF LIABILITY .. 10 Policy .. 17. OUR RIGHT TO RECOVER PAYMENT .. 10 AUTO REPAIRS .. 17. OTHER insurance .. 10 CHOICE OF LAW .. 17. ARBITRATION .. 10. NC 00 01 (ED. 06-05). Personal AUTO Policy This provision (4.) does not apply to Part D- Coverage for Damage to Your Auto. AGREEMENT Newly acquired auto means any of the following types of vehicles you become the owner of during the Policy In return for payment of the premium and subject to all period: the terms of this Policy , we agree with you as follows: 1. a private passenger auto or station wagon type; or DEFINITIONS 2. a pickup truck or van that: a. has a Gross Vehicle Weight as specified by the Throughout this Policy , you and your refer to: manufacturer of less than 10,000 pounds; and 1.

4 The named insured shown in the Declarations; and b. is not used for the delivery or transportation of 2. The spouse if a resident of the same household. goods and materials unless such use is: We, us and our refer to the company providing (1) incidental to your business of installing, this insurance . maintaining or repairing furnishings or equipment; or For purposes of this Policy , a private passenger type auto, pickup or van shall be deemed to be owned by (2) for farming or ranching. a person if leased: Any coverage for a newly acquired auto is subject to 1. Under a written agreement to that person; and the following: 2. For a continuous period of at least 6 months. 1. If the newly acquired auto replaces a vehicle shown in the Declarations, it will have the same Other words and phrases are defined. They are coverage as the vehicle it replaced except that boldfaced or in quotation marks when used. coverage, if any, under Part D- Coverage for Bodily injury means bodily harm, sickness or disease, Damage To Your Auto applies only if you ask us to including death that results.

5 Insure it within 30 days after you become the owner. Business means trade, profession or occupation. 2. If a newly acquired auto is in addition to any shown in the Declarations, it will have the broadest Family member means a person related to you by coverage we now provide for any vehicle shown in blood, marriage or adoption who is a resident of your the Declarations if you ask us to insure it within 30. household. This includes a ward or foster child. days after you become the owner. Occupying means in; upon; getting in, on, out or off. 3. Coverage under this Policy terminates for any newly Property damage means physical damage to, acquired auto on the effective date and time of a destruction of, or loss of use of tangible property. Policy (other than this Policy ) issued by us or any other company that describes such vehicle on its Trailer means a vehicle designed to be pulled by a: declarations page. 1. Private passenger auto or station wagon type; or 4. If you ask us to insure a newly acquired auto within 2.

6 Pickup truck or van. the applicable specified time period described in 1. or 2. above, any coverage we provide for the newly It also means a farm wagon or farm implement while acquired auto begins on the date you become the pulled by a vehicle listed in 1. or 2. above. owner. If you ask us to insure a newly acquired Your covered auto means: auto after the applicable specified time period described above has elapsed, any coverage we 1. Any vehicle shown in the Declarations. provide for the newly acquired auto will begin at 2. A newly acquired auto. the time you request the coverage. You must pay us any added amount due for any coverage we provide 3. Any trailer you own. for a newly acquired auto. 4. Any auto or trailer not owned by you while used as a temporary substitute for any other vehicle PART A LIABILITY COVERAGE. described in this definition which is out of normal use because of its: INSURING AGREEMENT. a. breakdown; We will pay damages for bodily injury or property damage for which any insured becomes legally b.

7 Repair;. responsible because of an auto accident. Damages c. servicing; include prejudgment interest awarded against the insured. We will settle or defend, as we consider d. loss; or appropriate, any claim or suit asking for these damages. e. destruction. In addition to our limit of liability, we will pay all defense Page 1. costs we incur. Our duty to settle or defend ends when The amount of any costs, wages, salary, or other our limit of liability for this coverage has been exhausted. expenses listed above that are incurred by an insured We have no duty to defend any suit or settle any claim must be reported to us by such insured before we will for bodily injury or property damage not covered make payment. under this Policy . EXCLUSIONS. Insured as used in this Part means: A. We do not provide Liability Coverage for any 1. You or any family member for the ownership, insured: maintenance or use of any auto or trailer. 1. Who intentionally causes bodily injury or 2.

8 Any person using your covered auto. property damage. This exclusion applies only to the extent that the limit of liability of this Policy 3. For your covered auto, any person or organization exceeds the minimum limit required by the but only with respect to legal responsibility for acts or financial responsibility law of North Carolina . omissions of a person for whom coverage is afforded under this Part. 2. For property damage to property owned or being transported by that insured. 4. For any auto or trailer, other than your covered auto, any person or organization but only with 3. For property damage to property: respect to legal responsibility for acts or omissions of a. rented to;. you or any family member for whom coverage is afforded under this Part. This provision applies only b. used by; or if the person or organization does not own or hire the auto or trailer. c. in the care of;. that insured. This exclusion does not apply to a SUPPLEMENTARY PAYMENTS. residence or private garage.

9 In addition to our limit of liability: 4. For bodily injury to an employee of that 1. We will pay the following on behalf of an insured: insured during the course of employment. This exclusion does not apply to a domestic a. Premiums on appeal bonds and bonds to employee unless workers' compensation release attachments in any suit we defend. We benefits are required or available for that have no duty to purchase bonds in an amount domestic employee. exceeding our Limit of Liability, and we have no duty to apply for or furnish these bonds; and 5. For that insured's liability arising out of the ownership or operation of a vehicle while it is b. All costs taxed against the insured and interest being used as a public or livery conveyance. accruing after a judgment is entered in any suit This exclusion does not apply to a share-the- we defend. Costs do not include prejudgment expense car pool. interest. Our duty to pay post-judgment interest ends when we offer to pay that part of the 6.

10 While employed or otherwise engaged in the judgment which does not exceed our limit of business of: liability for this coverage. a. selling;. 2. We will pay the following to an insured: b. repairing;. a. Up to $250 for the cost of bail bonds required because of traffic law violations resulting from an c. servicing;. accident. The accident must result in bodily d. storing; or injury or property damage covered under this Policy . e. parking b. Up to $200 a day for loss of wages or salary, but vehicles designed for use mainly on public not other income, because of attendance at highways. This includes road testing and hearings or trials at our request; delivery. This exclusion does not apply to the ownership, maintenance or use of your covered c. Up to $200 for expenses incurred by an insured auto by: for Emergency first aid to others performed at the scene of an accident that involves any auto a. you;. covered by this Policy ; and b. any family member; or d. Other reasonable expenses incurred at our c.