Simple Sections

These examples assume claims from one flood event affecting one location and causing (150k, 30k, 20k) USD loss to (Building, Contents, BI) unless stated otherwise.

Sections are an optional component of CDL contracts. Sections have cover(s) and optionally declarations that apply only to the section. Covers of the contract can be “By Section” as a shorthand for the contract to pay the sum of the sections. Otherwise, the contract can have covers that are specifically “on” sections and process them further.

Contract
 Declarations
  Currency is USD
 Covers by Section
  Sections
   Section Policy1
    Declarations
      LOB is Primary
    Covers
      100% Share of 50k
   Section Policy2
    Declarations
      LOB is Excess
    Covers
      100% Share of 100k xs 50k

This contract pays 50k for policy1 and 100k for policy2, for a total of 150k.