Household Insurance

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					                                   Household Insurance
                                   Conditions for fire and natural
                                   disaster insurance




Etablissement d’assurance contre l’incendie et les éléments naturels du Canton de Vaud
Avenue du Général-Guisan 56 - 1009 Pully - Tél. 058 721 21 21 - Fax 058 721 21 22 - www.eca-vaud.ch   Edition 13.10.02 / updating 01.2009
Table of conTenTs                                                       Page
1.    Effects and benefits insured                                         3
      Household furnishings                                                3
      Costs                                                                3
2.    Optional cover can be provided for:                                  3
3.    From when are you insured?                                           3
4.    Place of insurance                                                   3
      Outside the home                                                     3
      When moving home                                                     4
5.    The risks covered are:                                               4
      Fire                                                                 4
      Natural elements                                                     4
6.    Specific cover is necessary to cover damage caused                   4
7.    Damage not covered                                                   5
      Damage caused by                                                     5
8.    Scope of benefits                                                    5
      Limitation of benefits at home                                       5
      Automatic adaptation of the insured sum                              5
      Clearing costs                                                       5
      Removal costs                                                        6
      Additional costs                                                     6
      Excess                                                               6
9.    In case of disaster, the policy holder or the beneficiary under
      the insurance requesting compensation of damage must:                6
10.   How is the damage and compensation assessed?                         6
11.   Calculating compensation                                             7
12.   When is the compensation reduced?                                    7
      If the policy holder has been negligent or imprudent                 7
      By under-insurance                                                   7
13.   When can the compensation be reduced or refused?                     7
14.   When is compensation due?                                            8
15.   Legal bases                                                          8




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1.   Effects and benefits insured
     Household furnishings
     Household furnishings means all personal chattels belonging to the insured party,
     the members of his family and any other persons expressly mentioned in the policy
     and who live under the same roof as the insured party. Hired or rented items,
     guests’ chattels and items entrusted are also deemed to form part of the household
     effects. The same applies to specific articles.
     Costs
     The term costs refers to expenses incurred by an insured damage provided that a
     sum has been provided for that purpose. These shall include:
     • The cost of removing the damaged chattels;
     • The cost of moving home;
     • Any expenses that have to be met by the holder of an effects policy because he
       cannot use the damaged premises.

2.   Optional cover can be provided for:
     • Cash and securities;
     • Collections and all items of sentimental value to the owner;
     • Medals, jewellery, precious stones, pictures and objets d’art worth more than
       CHF 10’000.- or CHF 100’000.- in total;
     • Motor-driven vehicles;
     • Aeroplanes and boats.

3.   From when are you insured?
     Once the policy has been lodged with the ECA (by fax or sent to our offices). If it is
     sent by post, the postmark shall apply.

4.   Place of insurance
     In the home of the insured party and possibly some other place mentioned in the
     policy.
     Outside the home
     Chattels temporarily transported outside the home for the purpose of travel or holi-
     days are covered up to a value of CHF 20’000.- per policy for a maximum of 60
     days.
     Chattels carried for military service purposes are also covered for the duration of
     that service.




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     When moving home
     In the Canton of Vaud, during the time of the move from the old to the new home.
     The policy-holder must inform the ECA of this move within two months, failing
     which benefits paid in respect of any damage to the chattels moved may be redu-
     ced by up to 10%.
     In Switzerland, the policy-holder remains covered to the end of the year.
	    Effects	cease	to	be	covered	on	the	day	they	finally	leave	Switzerland.

5.   The risks covered are:
     Fire
     •   Fire simple;
     •   Lightning and atmospheric discharge;
     •   Explosion;
     •   Burning of fodder;
     •   Smoke (sudden and accidental action);
     •   Falling airships or parts thereof.
     Natural elements
     • Rock-slides and falling stones;
     • Land-slides;
     • Avalanches;
     • Excessive weight and slipping of snow;
     • High waters and floods;
     • Hurricanes: violent storms uprooting trees or lifting roofs in the vicinity of dama-
       ged chattels;
     • Hail;
     • Falling meteorites.

6.   Specific cover is necessary to cover damage caused:
     By scorching, burning, fermentation, interior deterioration or heating without actual
     combustion.
     To objects exposed to heat, fire or the normal or gradual action of smoke.
     To machinery, devices, cables, live electrical conduits and equipment due to the
     effect of the electrical energy itself (short-circuiting), voltage peaks, heating caused
     by voltage peaks and damage resulting from the normal operation of protective
     devices.




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     By natural elements to caravans, mobile homes and mobile buildings.

7.   Damage not covered
     Damage caused by war, breaches of neutrality, riots, earthquake, changes in the
     nature of the atomic nucleus.
     Damage caused by:
     Earth movements due to earthworks; the poor state of the land, the building, the
     foundations or insulation; insufficient earth foundations; building subsidence;
     Underground water, the periodic rise or overflow of underground or surface water,
     regardless of the cause thereof, water damage from artificial lakes or from other
     water-bearing facilities;
     Burst pipes, water seepage, clogging, rush-back of water in channels, regardless of
     cause;
     Works especially during civil engineering and during the construction of tunnels, the
     quarrying of stone, gravel, sand, clay, etc.
     Natural elements affecting any insured items with an inherent manufacturing or
     maintenance defect or in respect of which the precautionary measures required by
     circumstances have not been taken.

8.   Scope of benefits
     Replacement value (new) of the complete inventory up to the amount mentioned in
     the policy. The value of the basic effects and that of supplementary cover shall be
     equivalent to the amount needed to acquire new replacements for all the insured
     items.
     However, the following specific items shall be covered at their current value: ca-
     ravans, mobile-homes and their contents, mobile constructions and their contents
     (e.g. garden sheds), swimming-pools, motor-bikes and mopeds (up to 124.9 cc).
     If the insured party so requests, the entire policy can be contracted at current va-
     lues.
     Limitation of benefits at home
     Guests’ chattels and items entrusted shall be limited to CHF 3000.-
     Automatic adaptation of the insured sum
     The total value of the contents of the home is indexed annually to take account of
     the rise or fall in the cost of household furniture.
     Clearing costs
     The decisive point here is the actual cost of removing the damaged items from the
     site of the accident and transporting them to the nearest appropriate place as well
     as storage and disposal costs.




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      Removal costs
      The decisive costs here are those of moving home, storing furniture and returning
      home if the repaired premises are reinhabited.
      Additional costs
      The decisive criteria here are hotel bills, difference in rent, moving costs. Amount
      spent on reducing or limiting the damage are also reimbursed.
      Excess
      Fire damage is not compensated if the value is under CHF 50.-
      A deductible of CHF 200.- per claim is applicable to each claim in respect of da-
      mage by natural elements.

9.    In case of disaster, the policy holder or the beneficiary under the
      insurance requesting compensation of damage must:
      Inform the ECA as soon as he is aware of the damage;
      Give the ECA all information requested on the cause, extent and circumstances of
      the damage, facilitating any investigation it may conduct to that effect;
      Provide all necessary documentation proving his right to compensation;
      Do everything possible, during and after the accident, to preserve and save the
      insured items and limit the damage thereto and comply with any orders issued by
      the ECA to that effect;
      Refrain from making any changes to the damaged items that might make it difficult
      or impossible to determine the cause or extent of the damage unless such a change
      be made to reduce the damage or be in the public interest.

10.   How is the damage and compensation assessed?
      The beneficiary and the ECA may call for the damage to be immediately assessed.
      The beneficiary must prove the extent of the damage. The insured sum is no proof
      of the existence or the value of the items insured at the time of the accident.
      As a rule, compensation is set by agreement between the insured party and the
      ECA.
      Either party may, however, ask that the expertise procedure be applied. Each party
      will then designate an expert and those two experts designate a foreman.
      The conclusions of the experts or, should they disagree, those of the foreman expert
      shall determine the final value of the damage.
      Each party shall bear the expense of his or its expert plus one half of that of the
      foreman expert.
      Compensation for the household inventory will be calculated on the amount




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      required for replacing items destroyed with new items at the time of the accident (=
      replacement value) less the value of what remains. Sentimental values are not
      taken into account.

11.   Calculating compensation
      The replacement value of chattels is equal to the price needed to acquire similar
      articles, new (new value).
      If the damaged items are not repaired or replaced, the replacement value cannot
      exceed the current value.
      Where items are insured at current value, the replacement value is equal to the
      price that would be needed to acquire similar things, less a deduction made in
      respect of wear and tear, obsolescence or any other cause.

12.   When is the compensation reduced?
      If the insured party has been negligent or imprudent
      The insured party is responsible for any negligence or imprudence on the part of
      persons for whom he is liable in Civil Law provided that he made that negligence or
      imprudence possible by his own negligence or imprudence.
      By under-insurance
      If the sum insured falls short of the replacement value of the entire household in-
      ventory, the damage will be compensated only in accordance with the proportion
      between the value insured and the replacement value. A similar reduction in com-
      pensation will apply in cases of partial damage also.

13.   When can the compensation be reduced or refused?
      The ECA may withhold all or part of the compensation, the one who:
      • Exaggerates knowingly the extent of the damages;
      • Indicates as destroyed items he knew nonexistent at the time of the disaster;
      • Hides all or part of the saved’ items;
      • Knowingly tries to substantiate his claim with false documents or statements;
      • Knowingly refuses to provide informations necessary for establishing the damage;
      • With intent to defraud, makes changes to the damaged objects in such a way as
         to make it more difficult or impossible to determine the cause or assessment of
         the damage;
      • Claims against a policy taken out after the start of the damage;
      The insured party will lose any right to compensation if the damage was caused or aggrava-
      ted by some intentional offence that he himself committed, instigated or participated in.




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      He can be sued for reimbursement of any compensation and costs that the ECA
      owes or has paid to a third party. The ECA shall enter into any rights accruing to
      third parties to the extent of the amount paid to the injured party.
      Anyone who has committed, instigated or been accessory to an intentional offence
      that causes or aggravates damage, even if found not guilty under Criminal Law
      of any act of irresponsibility or lack of discernment or for any other legal reason is
      pronounced not guilty will, however, depending on the circumstances, be stripped
      of all or part of his right to compensation for damage caused to his own chattels
      and will be required to reimburse all or part of the compensation and costs paid to
      third parties.

14.   When is compensation due?
      Compensation is due thirty days after it has been finally decided upon.
      The obligation to pay will be postponed for as long as a fault on the part of the
      insurance-holder or beneficiary prevents the determination or payment thereof.
      The compensation shall in particular not be due for as long as the insurance-holder
      or beneficiary is under police or criminal investigation because of the accident and
      the proceedings are still pending.

15.   Legal bases
      The Buildings and Chattels Fire and Natural Disaster Insurance Act of 17 Novem-
      ber 1952.
      The Regulations of 13 November 1981 governing the application of the above Act.
	     In	case	of	doubt,	the	French	text	only	shall	be	deemed	authentic.




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