Eligible Classes
Classification	Class Code
Equipment Rent w/ Operator 11207 Air Conditioning 91111 Appliance Installation Commercial 91150 Appliance Installation Residential 91155 Cable or Subscription TV Installation 91315 Carpentry Residential 91340 Carpentry Interior 91341 Carpentry Commercial 91342 Carpentry Wood - Shop Work 91343 Carpentry Handyman 91344 Carpet Upholstery Cleaning 91405 Ceiling/Wall Installation Metal 91436 Cleaning, Outside Bldg. 91523 Communication Equipment Installation 91551 Concrete Construction 91560 Conduit Construction 91577 General Contractor - Comm/Res 91580 Debris Removal 91629 Door Millwork Installation Metal 91746 Drilling NOC 92101 Drilling - Water 92102 Driveway Sidewalk Pave 92215 Drywall 92338 Electrical Equip, Exterior 92451 Electrical Within Buildings 92478 Excavation 94007 Fence Erection 94276 Floor Covering - No Tile 94569 Furniture Install 95124 Grading 95410 Guniting - Shotcrete 95505 GC Remodel 95555 Heat / AC 95647 HVAC Dealers, Distributors and Installation 95648 House Furnishings Installation 96053 Insulation 96409 Insulation Mech Install 96410 Interior Decorators 96611 Janitorial Commercial 96816 Landscape Gardening 97047 Lawncare Artisan Contractor 97050 Masonry 97447 Metal Erection Decorative 97650 Metal Erection Artisan Contractor 97653 Metal Erection Structural 97655 Paint Exterior 98304 Paint Interior 98305 Paperhanging 98344 Plaster Stucco 98449 Plumbing Commercial 98482 Plumbing Residential 98483 Prefabricated Building Erection 98502 Refrigeration Equipment Installation 98636 Roofing Commercial 98677 Roofing Residential 98679 Tenant Improvement Commercial 98777 Sewer Mains Construction 98820 Sheet Metal 98884 Siding and Gutter Installation 98967 Sign Erection / Repair 98993 Sign Painting 99004 Street/road Paving / Repair 99321 Swimming Pool Maintenance 99505 Swimming Pool Installation 99507 Television Cable Installation 99613 Satellite Dish Installation 99650 Tile/Stone Installation 99746 Welding 99969 Window Cleaning 99975

Ineligible Risks

Ineligible Risks (applicable to past, present or future operations. "Past" means within the past 10 years.)

The following risks do not qualify for coverage under this program:

• New Ventures under $7,500 in premium
• Any contractor whose gross receipts include heavy commercial or industrial work .
• Any classification not on the eligible list is excluded.
• Any Contractors who sub-contract more than 80% of the work
• Architects and Engineers who currently use the license. (If they don't use it, we will exclude those operations via endorsement and can insure the client.)
• Applicants involved in heavy commercial or industrial work including , but not limited to:
  
  • Airport work involving Hangars, runways, jet-ways or baggage or security systems
  • Chemical, industrial, steam or natural gas plants
  • Computer clean rooms
  • Dams and reservoirs
  • Flood control projects
  • Food or beverage processors or distributors - refrigeration systems
  • Heavy machinery or equipment installation / repair
  • High voltage transmission lines
  • Laboratories/cryogenics - refrigeration systems
  • Pumps or turbines- over 10 HP
  • Railroads
  • Ship repair / piers / wharves /jetties
  • Water or sewage treatment plants
  • Wineries - refrigeration systems; installation of vats, tanks or other processing equipment
• Applicants who perform any structural demolition or blasting operations (structural demolition in connection with remodeling acceptable).
  • The General Contractor cannot be associated with sub-contractors performing blasting.
• Applicants whose operations involve bulk storage, handling or distribution of fuel oil, gas or petrochemicals.
• Applicants whose operations involve any hazardous material, substances or waste, including storage tanks and containers.
• Applicants whose work involves exposure to pollutants such as asbestos, lead, and chemicals.
• Applicants with more than
  • Two (2) losses in the past three years or,
  • A three year loss ratio (incurred losses/premium) exceeding 40%. An exception can be made considered for renewals, including risks previously non-renewed by us, with a single property damage loss up to $15,000 and the loss did not arise out of an excluded class or was caused by a failure to comply with safety recommendations.
• Computer Installation, Repair or Service
• Elevator installation or repair
• Exterior Insulation Finishing Systems (EIFS)
• Fire sprinkler/suppression systems installation
• Free standing wood or pellet stove installation
• Gas Stations - work related to gas pumps, gaslines, canopies, repaving, aprons
• Hospitals/Surgical Centers
• Hydronic or radiant heating
• Installation of sunrooms
• Janitorial work on new tract homes or models; floor waxing; exterior window cleaning above ground floor; cleaning supermarkets (home and interior apartment cleaning is permitted)
• Mold remediation
• Playground, grandstand, or bleacher work
• Pressure boilers and/or machinery or equipment
• Pressure washing of autos or machinery
• Retaining Walls over six (6) feet in heigth
• Sandblasting Work
• Septic Tank work including cleaning
• Solar Heating
• Street Sweepers (Parking Lot Sweepers acceptable)
• Tree Removal or trimming (above ground level)
• Water or gas main work.
• ADA work related to installation or repair of handicap chair lifts only
• Applicants or insureds who have performed incidental ineligible operations in the past but are no longer performing, or intend to perform such work in the future, can be considered with the understanding that any losses that arise out of such work will be excluded.
  • Such work will be either excluded by one of the established program exclusions or by a "Designated Work" exclusion using form CG 21 34 1 87.

General Information

The Contractors Program is designed for contractors engaged in building construction, maintenance, or repair; contractors with a special trade; and service contractors who provide a service but do not build or construct. Contractors may sub-contract up to 80% of their gross annual receipts. The program is NOT intended for "paper" general contractors.

Contractors License

A valid contractor's license is required for those trades where licensure exists. We will accept unlicensed Handyman Repair provided individual contract jobs do not exceed $500.00 in cost.

• A handyman is defined as a one-person operation with no employees, no sub-contracting, 100% repairs, and not specializing in any trade.

Contractors who also hold a license for a trade that is ineligible for the program cannot be considered due to the exposure of past, present or future work performed under that license. We can reconsider if:

• A. The insured can provide a statement that they have performed no work under that license for the past 10 years,
• And de-activate it with the Contractors License Board.

Eligibility

Applicants who meet the following eligibility requirements may be submitted:

• Contractors involved in residential home building.
• Applicants who own other non-contracting or ineligible contracting businesses, including risks not covered under this Policy, subject to:
  • Operating under the same legal entity name, will be acceptable with an exclusion for such operations:
    • ISO Exclusion CG 21 00 07 98 applies to non-contracting operations and,
    • CG 21 53 01 96 applies to other contracting operations.
• Applicants involved with OCIP/Wrap up projects will have such operations excluded under our policy.
• Applicants must have a minimum of:
  • Two (2) years experience in the trade(s) to be covered;
  • Information outlining the insureds qualifications, and
  • Explanation will be required where the length of trade experience is unclear.
• Applicants who sub-contract no more than 80% of their gross receipts.
• We will consider General Contractors who build no more than seventy-five (75) custom single-family homes per year as long as they do not subcontract more than 80% of their gross receipts.
  • "Custom homes" are those constructed for a specific owner.
  • " Speculative homes ", or " owner-builder " residences, occupied or intended for occupancy by the applicant less than one year are NOT eligible.

Sub-Contractors

• Any contractor using sub-contracted work must meet the following criteria:
  • The sub-contractor must hold a valid contractors license for the trades to be performed
  • The sub-contractor must provide evidence of General Liability coverage for limits equal to or greater than the insured (minimum $1,000,000 CSL Occurrence and Aggregate for roofing sub-contracting)
  •   The sub-contractor must provide evidence of Workers' Compensation covering its employees, if applicable

  The sub-contractor must name our insured as an Additional Insured for General Liability coverage, including primary wording.

GENERAL PROGRAM INFORMATION

Coverage:

The following coverages and limits of liability are available.

Limits Of Liability

Coverages Option 1 Option 2   General Aggregate   1,000,000   2,000,000   Products & Completed   Operations   1,000,000   1,000,000   Each Occurrence   1,000,000   1,000,000   Personal & Advertising Injury   1,000,000   1,000,000   Fire Legal Liability   excluded   excluded   Medical Payments   5,000   5,000

Forms:

Policy Form: The 2004 ISO Commercial General Liability Form is used.
Endorsement Forms: ISO and Company endorsement forms are used.

Territory:

Arizona, California, Colorado, Nevada and Oregon

Policy Term:

Policies are issued for a maximum term of 12-months.

Applications:

New - All Fully completed and signed:

• Ullico Supplemental Application

Renewal - All Fully completed and signed:

• Supplemental Application is required for each renewal to advise any change in operations, change in coverage or change in limits during the policy term.
  
  • All applications must be signed by the applicant and producer where indicated. All yes or no questions requiring an explanation must be answered.

Quotation, Binding and Submission Requirements:

We will provide a quote for the Producer upon receipt of a fully completed submission. Quotes generated by the Producer are premium indications only and are not binding.

• All risks and premiums are subject to Underwriter approval.
• Binding authority is not extended.
• Complete application information must be submitted for written confirmation of binding of coverage to be issued.
• The Producer must fax, mail, and/or email the following information to the underwriter in order for us to consider binding coverage:
  
  • Completed and signed applications as described.
  • 3-years currently valued (within the past 60 days) loss runs are required for both Quote and Bind Requests
  • Copy of the Contractors license with explanation of any discrepancies;
    • No coverage can be bound if the license is suspended or expired.
      
  • A written request to bind coverage, stating the desired effective date.
  • Evidence of a deposit payment made by applicant for the amount of the deposit plus fees.
    
• Deposit of 25% of annual premium plus fees is required upon inception and is fully earned.

Additional Insured Endorsements:

Additional Insured Endorsements are available for the premiums shown in the charts below. We must approve additional insured endorsements prior to binding. We need a description of the project and the work being performed by our insured.

Scheduled & Multiple Project Additional Insured Endorsement Forms& Rates
UL CG 10 20 06 06	$250 Blanket Additional Insured
CG 2010 (07/04)	$250 Each Additional Insured and Project   $250 Multiple Projects* (GC)   $250 Multiple Projects* (All Other)
CG 2010 (11/85)	COMMERCIAL ONLY! $500 Each Additional Insured

*[Applicable only for maintenance, service or repair work under a master contract with the additional insured.]

Other ISO Additional Insured endorsements are available for landlords, lenders, leasing companies and governmental entities for permits.These endorsements may be issued at a flat $250 per endorsement subject to Underwriter approval.

Sub-Contracted Work:

Please refer to the Sub-Contractor Insurance requirements.
An exclusion of work performed by Sub-Contractors will apply if those conditions are not met.

Waiver of Transfer of Rights of Recovery Against Others:

Subrogation entitles an insurance company to recover the amount due an insured from a third party who caused the loss. When these rights are waived the Company gives up this opportunity. Because the right of subrogation is important, we want to protect that right, however, we recognize there are instances where contracts require the Insured's policy waiving subrogation rights as a condition of the contract award. We will waive rights of subrogation for designated persons or organizations when required, subject to the following:

• No blanket waivers.
• Each entity must be specifically listed in the waiver endorsement.
• Entity must be acceptable as an Additional Insured.
• A 15% charge of the premium (subject to a $250 minimum) will be charged per entity.

Cancellations:

 Any cancellations will result in a 25% minimum earned of the annual policy premium.

Pro Rata Cancellation
The policy is cancelled pro rata and the return premium is rounded to the next higher whole dollar when cancelled:

• At Company's request
• Cancelled and rewritten in the same Company

Short Rate Cancellation:

The policy may be cancelled short rate when cancellation is at the Insured's request and/or for non-payment of premium. The original policy or a signed cancellation release is required. The deposit premium and/or minimum premium is fully earned regardless of the cancellation method.

Flat Cancellation:

The policy may be cancelled flat when cancella­tion is due to non-recipt of premium. The return of the original policy is required. The deposit premium and/or minimum premium is fully earned.

Non Payment of Premium:

The Policy will be cancelled without notice if premium is