This article continues our discussion on the Section II Liability portion of the HO Homeowners – Special Form HO 00 03 03 22. ISO updated the Homeowners Policy Program and Mobile Homeowners Supplement, effective March 2022. Section II is shorter than Section I, and there are not as many changes in the revision. We will walk through the form and highlight any changes that have been made from the 2011 edition. As with the earlier discussions of HO 00 03, changes will be noted in bold text. We have broken this section into separate discussions as follows:

Liability Coverages and Exclusions A-D Exclusion E Coverages E, F and G Section II Additional Coverages and Conditions The earlier discussions on the Section I portion of the form can be found beginning here. This discussion covers Additional Coverages and Conditions Section II and Conditions Section I and II.

SECTION II – ADDITIONAL COVERAGES We cover the following in addition to the limits of liability:

A. Claim Expenses We pay:

1. Expenses we incur and costs taxed against an "insured" in any suit we defend; 2. Premiums on bonds required in a suit we defend, but not for bond amounts more than the Coverage E limit of liability. We need not apply for or furnish any bond; 3. Reasonable expenses incurred by an "insured" at our request, including actual loss of earnings (but not loss of other income) up to $250 per day, for assisting us in the investigation or defense of a claim or suit; and 4. Interest on the entire judgment which accrues after entry of the judgment and before we pay or tender, or deposit in court that part of the judgment which does not exceed the limit of liability that applies.

B. First Aid Expenses We will pay expenses for first aid to others incurred by an "insured" for "bodily injury" covered under this Policy. We will not pay for first aid to an "insured". C. Damage To Property Of Others

1. We will pay, at replacement cost, up to $5,000 per "occurrence" for "property damage" to property of others caused by an "insured". 2. We will not pay for "property damage":

a. To the extent of any amount recoverable under Section I; b. Caused intentionally by an "insured" who is 13 years of age or older; c. To property owned by an "insured"; d. To property owned by or rented to a tenant of an "insured" or a resident in your household; or e. Arising out of:

(1) A "business" engaged in by an "insured"; (2) Any act or omission in connection with a premises owned, rented or controlled by an "insured", other than the "insured location"; or (3) The ownership, maintenance, occupancy, operation, use, loading or unloading of aircraft, hovercraft, watercraft or "motor vehicles". This Exclusion e.(3) does not apply to a "motor vehicle" that:

(a) Is designed for recreational use off public roads; (b) Is not owned by an "insured"; and (c) At the time of the "occurrence", is not required by law, or regulation issued by a government agency, to have been registered for it to be used on public roads or property.

D. Loss Assessment

1. We will pay up to $2,000 for your share of loss assessment charged against you, as owner or tenant of the "residence premises", during the policy period by a corporation or association of property owners, when the assessment is made as a result of:

a. "Bodily injury" or "property damage" not excluded from coverage under Section II – Exclusions; or b. Liability for an act of a director, officer or trustee in the capacity as a director, officer or trustee, provided such person:

(1) Is elected by the members of a corporation or association of property owners; and (2) Serves without deriving any income from the exercise of duties which are solely on behalf of a corporation or association of property owners.

2. Paragraph I. Policy Period under Section II – Conditions does not apply to this Loss Assessment Coverage. 3. Regardless of the number of assessments, the limit of $2,000 is the most we will pay for loss arising out of:

a. One accident, including continuous or repeated exposure to substantially the same general harmful condition; or b. A covered act of a director, officer or trustee. An act involving more than one director, officer or trustee is considered to be a single act.

4. We do not cover assessments charged against you or a corporation or association of property owners by any governmental body.