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HARBORWORKER’S COMPENSATION

See Longshoremen’s and Harborworker’s Compensation.

HARDWARE

A computer term referring to the electric, electronic or mechanical components (or any combination of these) which are part of a computer system, such as (see) Central Processing Unit (CPU), tapes and disks, optical or magnetic character readers, card readers and punchers, interpreters and sorters, and any other part of the system which could be called "tangible." (See Software.)

HAZARD

See Exposure.

HAZARD, MORAL

See Moral Hazard.

HAZARD, PHYSICAL

See Physical Hazard.

HIRED CAR COVERAGE

This insurance is designed to protect an insured against losses resulting from the operation of rented or hired automobiles. The individual who has a regular automobile policy is covered under the "Drive other Cars" coverage for hired cars only when they are not regularly or frequently used. In addition, there is no coverage under this provision when a hired car is used in the insured’s business, unless it is of the private passenger type, and driven by the insured, spouse, a chauffer or a servant. A Business which hires automobiles is covered as an additional insured under the automobile liability policy in the name of the owner of the hired car. The exposure here is that there may be no insurance or sufficient insurance on the hired car. In both the above cases, hired car coverage may be added by endorsement to the -regular automobile policy. But remember: Hired car coverage is excess over any other valid and collectible insurance under which the insured is entitled to collect, and does not cover automobiles owned by or registered in the name of the named insured, or an executive officer or partner of the insured. In addition, there is no coverage for the operation of any automobile owned by or registered in the name of an employer or agent of the insured who is given any allowance of any kind for the use of such automobile. (See Employer’s Non-ownership.)

HOLD-HARMLESS AGREEMENT

A contract in which one party agrees to assume the legal liability (to "hold him harmless") of another party for damages sustained by still another (third) party. Certain agreements (municipal ordinance requirements, except when involving work done for the municipality; elevator or escalator maintenance; easement agreements and lease of premises, etc.) are covered by Manufacturers; and Contractors’ and Owners’ Landlords’ and Tenants’ Liability policies. Any other type of “Hold-Harmless” agreement should be covered by a Contractual Liability policy. This is practically always required by a General Contractor in a sub-contract with a Sub-Contractor.

HOLDUP

See Robbery.

HOLE-IN-ONE INSURANCE

Reimburses the golfer who hits the once-in-a-lifetime hole-in-one, and then gets hit himself to pick up the tab for a round of booze for everyone who happens to be at the club at the time. This vital insurance protection enables the lucky one to enjoy himself on his day of glory.

HOMEOWNERS POLICY

Although there are other "Package" Homeowners policies on the market, the Homeowners Policy Program developed and filed by the Insurance Service Office (ISO) is much more generally in use than the others. Since most other plans are very similar, the information that follows, based on the ISO Program, is a good general guide to the scope of coverages under this form.

The Homeowners Policy is a property insurance contract which incorporates (see) Comprehensive Personal Liability coverage. With respect to direct physical damage to dwelling buildings and contents, there are five forms: HO-1 (Basic Form), HO-2 (Broad Form), HO-3 (Special Form), HO-5 (Comprehensive Form) and HO-8 (Modified Coverage Form). There are two additional forms: HO-4 (Contents Broad Form, commonly known as "Tenants Form") and HO-6 (Condominium Unit-Owners Form), which are designed to cover contents only (plus Liability). These forms offer a measure of building coverage (limited to a certain amount) applicable only to those building additions and alterations made at the insured’s expense.

All seven Homeowners forms cover property losses on either a "named" (smoke, theft, falling objects, etc.) or on an "all-risk" basis, or a combination of the two. The following is a brief guide to the coverages afforded under the Homeowners forms. The number in parentheses is the number of "named" perils covered in the form.

Form Building(s) Contents
HO-1 Named Perils (10) Named Perils (10)
HO-2 Named Perils (17) Named Perils (17)
HO-3 All-Risks Named Perils (17)
HO-4 ----* Named Perils (17)
HO-5 All Risks All Risks
HO-6 ----* Named Perils (17)
HO-8** Named Perils (10) Named Perils (10)

*Building coverage limited to insured’s interest.

**Building losses settled on an "actual cash value" basis.

All building losses are settled on a "replacement cost" basis (except HO8) provided the coinsurance requirement is met (no coinsurance requirement for HO-8). Contents losses in all forms are settled on the basis of "actual cash value," although a number of states have approved optional "Replacement Cost" endorsements for contents. (See Replacement Cost Endorsement.)

Many endorsements are available to fit the needs of the individual insured (e.g. scheduled personal articles such as furs, jewelry, etc.)

HOSTILE FIRE

See Fire.

HOUSEHOLD CONTENTS

Simplest definition: all property which an occupant of a premises would take with him if he moved. The term includes "Fixtures" (items attached to the building which are the property of the tenant) which can be removed without damage to the building. The wallpaper you put on yourself? Forget it!

HOUSEKEEPING

The degree of care, maintenance and cleanliness of a premises or operation. An important consideration in underwriting a risk.

HULL POLICY

A marine or aviation form covering damage to the body of the ship or plane.

HURRICANE

See Windstorm.

HYGIENE, INDUSTRIAL

See Industrial Hygiene.