SECTION 365:15-1-6. Nationwide inland marine definition

(a)   Purpose.

(1)   The purpose of this section is to describe the kinds of risks and coverages which may be classified or identified under State Insurance Laws as Marine, Inland Marine or Transportation insurance, but does not include all of the kinds of risks and coverages which may be written, classified or identified under Marine, Inland Marine or Transportation insurer powers, nor shall it be construed to mean that the kinds of risks and coverages are solely Marine, Inland Marine or Transportation insurance in all instances.

(2)   This section shall not be construed to restrict or limit in any way the exercise of any insuring powers granted under charters and license, whether used separately, in combination or otherwise.

(b)   Coverage under marine or transportation policies. Marine and/or transportation policies may provide coverage under the following conditions:

(1)   Imports.

(A)   Imports may be covered wherever the property may be and without restriction as to time, provided the coverage of the issuing companies includes hazards of transportation.

(B)   An import, as a proper subject of marine or transportation insurance, shall be deemed to maintain its character as such, so long as the property remains segregated in such a way that it can be identified and has not become incorporated and mixed with the general mass of property in the United States, and shall be deemed to have been completed when such property has been:

(i)   sold and delivered by the importer, factor or consignee; or

(ii)   removed from place of storage and placed on sale as part of importer's stock in trade at a point of sale-distribution; or

(iii)   delivered for manufacture, processing or change in form to the premises of the importer, or of another used for any such purposes.

(2)   Exports.

(A)   Exports may be covered wherever the property may be, without restriction as to time, provided the coverage of the issuing companies includes hazards of transportation.

(B)   An export, as a proper subject of marine or transportation insurance, shall be deemed to acquire its character as such when designated or while being prepared for export and it retains that character as such when designated or while being prepared for export and it retains that character unless diverted for domestic trade, and when so diverted, the provisions of this Ruling respecting domestic shipments shall apply, provided, however, that this provision shall not apply to long established methods of insuring certain commodities, e.g., cotton.

(3)   Domestic shipments.

(A)   Domestic shipments on consignment may be covered, whether for sale or distribution, exhibit, or trial, or approval or auction, while in the custody of others and while being returned, provided that in no event shall the policy cover on premises owned, leased or operated by the consignor.

(B)   Domestic shipments not on consignment may be covered, provided the coverage of the issuing companies includes hazards of transportation, beginning and ending within the United States, provided that such shipments shall not be covered at manufacturing premises nor after arrival at premises owned, leased or operated by Assured or purchaser.

(4)   Bridges, tunnels and other instrumentalities of transportation and communication. Bridges, tunnels and other instrumentalities of transportation and communication (excluding buildings, their improvements and betterments, furniture and furnishings, fixed contents and supplies held in storage) may be covered. The foregoing includes:

(A)   Bridges, tunnels other similar instrumentalities, including auxiliary facilities and equipment attendant thereto.

(B)   Piers, wharves, docks, slips, dry docks and marine railways.

(C)   Pipelines, including on-line propulsion, regulating and other equipment appurtenant to such pipelines, but excluding all property at manufacturing, producing, refining, converting, treating or conditioning plants.

(D)   Power transmission and Telephone and Telegraph lines, excluding all property at generating, converting or transforming stations, substations and exchanges.

(E)   Radio and Television Communication Equipment in use as such including towers and antennae with auxiliary equipment, and appurtenant electrical operating and control apparatus.

(F)   Outdoor cranes, loading bridges and similar equipment used to load, unload and transport.

(5)   Personal property floater risk. The following personal property floater risks may be covered:

(A)   Personal Effects Floater Policies.

(B)   The Personal Property Floaters.

(C)   Government Service Floaters.

(D)   Personal Fur Floaters.

(E)   Personal Jewelry Floaters.

(F)   Wedding Present Floaters not exceeding 90 (ninety) days after the date of the wedding.

(G)   Silverware Floaters.

(H)   Fine Arts Floaters covering paintings, etchings, pictures, tapestries, art glass windows and other bonafide works of art of rarity, historical value or artistic merit.

(I)   Stamp and Coin Floaters.

(J)   Musical Instrument Floaters. Radios, televisions, record players and combinations thereof are not deemed musical instruments.

(K)   Mobile Articles, Machinery and Equipment Floaters (excluding motor vehicles designed for highway use and auto homes, trailers and semi-trailers except when hauled by tractors not designed for highway use) covering identified property of a mobile or floating nature, pertaining to, or usual to a household. Such policies shall not cover furniture and fixtures not customarily used away from the premises where such property is usually kept.

(L)   Installment Sales and Leased Property Policies covering property pertaining to a household and sold under conditional contract of sale, partial payment contract or installment sales contract or leased, but excluding motor vehicles designed for highway use. Such policies must cover in transit but shall not extend beyond the termination of the seller's or lessor's interest.

(M)   Live Animal Floaters.

(6)   Commercial property floater risks covering property pertaining to a business, profession or occupation. The following commercial property floater risks covering property pertaining to a business, profession or occupation may be covered:

(A)   Radium Floaters.

(B)   Physician's and Surgeons' Instrument Floaters. Such policies may include coverage of such furniture, fixtures and tenant Assured's interest in such improvements and betterments of buildings as are located in that portion of the premises occupied by the assured in the practice of his profession.

(C)   Pattern and Die Floaters.

(D)   Theatrical Floaters, excluding buildings and their improvements and betterments, and furniture and fixtures that do not travel about with the theatrical troupes.

(E)   Film Floaters, including builders' risk during the production and coverage on completed negatives and positives and sound records.

(F)   Salemen's Samples Floaters.

(G)   Exhibition Policies on property while on exhibition and in transit to or from such exhibitions.

(H)   Live Animal Floaters.

(I)   Builders Risks and/or Installation Risks covering interest of owner, seller or contractor, against loss or damage to machinery, equipment, building materials or supplies, being used with and during the course of installation, testing, building, renovating or repairing. Such policies may cover at points or places where work is being performed, while in transit and during temporary storage or deposit, of property designated for and awaiting specific installation, building, renovating or repairing. Such coverage shall be limited to Builders Risks or Installation Risks where Perils in addition to fire and Extended Coverage are to be insured. If written for account of owner, the coverage shall cease upon completion and acceptance thereof; or if written for account of a seller or contractor, the coverage shall terminate when the interest of the seller or contract ceases.

(J)   Mobile Articles, Machinery and Equipment Floaters (excluding motor vehicles designed for highway use and auto homes, trailers and semi-trailers except when hauled by tractors not designed for highway use and snow plows constructed exclusively for highway use), covering identified property of a mobile of floating nature, not on sale or consignment, or in course of manufacture, which has come into custody or control of parties who intend to use such property for which it was manufactured or created. Such policies shall not cover furniture and fixtures not customarily used away from premises where such property is usually kept.

(K)   Property in transit to or from and in the custody of bailees (not owned, controlled or operated by the bailor). Such policies shall not cover bailee's property at his premises.

(L)   Installment Sales and Leased Property. Policies covering property sold under conditional contract of sale, partial payment contract, installment sales contract, or leased but excluding motor vehicles designed for highway use. Such policies must cover in transit but shall not extend beyond the termination of the seller's or lessor's interest. This section is not intended to include machinery and equipment under certain "leaseback" contracts.

(M)   Garment Contractors Floaters.

(N)   Furriers or Fur Storer's Customers's Policies (i.e., policies under which certificates or receipts are insured by furriers or fur stores) covering specified articles the property of customers.

(O)   Accounts Receivable Policies, Valuable Papers and Records Policies.

(P)   Floor Plan Policies, covering property for sale while in possession of dealers under a Floor Plan or any similar plan under which the dealer borrows money from a bank or lending institution with which to pay the manufacturer, provided:

(i)   Such merchandise is specifically identifiable as encumbered to the bank or lending institution.

(ii)   The dealer's right to sell or otherwise dispose of such merchandise is conditioned upon its being released from encumbrance by the bank or lending institution.

(iii)   That such policies cover in transit and do not extend beyond the termination of the dealer's interest.

(Q)   Sign and Street Clock Policies, including neon signs, automatic or mechanical signs, street clocks, while in use as such.

(R)   Fine Arts Policies covering paintings, etchings, pictures, tapestries, art glass windows, and other bonafide works of art of rarity, historical value or artistic merit, for account of museums, galleries, universities, businesses, municipalities and other similar interests.

(S)   Policies covering personal property which, when sold to the ultimate purchaser, may be covered specifically, by the owner, under Inland Marine Policies including those listed in (i) through (vii) of this subparagraph. Such policies may include coverage of money in locked safes or vaults on the Assured's premises. Such policies also may include coverage of furniture, fixtures, tools, machinery, patterns molds, dies and tenant insureds interest in improvements of buildings.

(i)   Musical Instrument Dealers Policies, covering property consisting principally of musical instruments and their accessories. Radios, televisions, record players and combinations thereof are not deemed musical instruments.

(ii)   Camera Dealers Policies, covering property consisting principally of cameras and their accessories.

(iii)   Furrier's Dealers Policies, covering property consisting of furs and fur garments.

(iv)   Equipment Dealers Policies, covering mobile equipment consisting of binders, reapers, tractors, harvesters, harrows, tedders and other similar agricultural equipment and accessories therefore; construction equipment consisting of bulldozers, road scrapers, tractors, compressors, pneumatic tools and similar equipment and accessories therefore; but excluding motor vehicles designed for highway use.

(v)   Stamp and Coin Dealers Policies covering property of philatelic and numismatic nature.

(vi)   Jewelers' Block Policies.

(vii)   Fine Arts Dealers Policies.

(T)   Wool Growers Floaters.

(U)   Domestic Bulk Liquids Policies, covering tanks and domestic bulk liquids stored therein.

(V)   Difference in Conditions Coverage excluding fire and extended coverage perils.

(W)   Electronic Data Processing Policies.

(c)   Exceptions. Unless otherwise permitted, nothing in this section shall be construed to permit MARINE OR TRANSPORTATION POLICIES TO COVER:

(1)   Storage of Assured's merchandise, except as provided in this section.

(2)   Merchandise in course of manufacture, the property of and on the premises of the manufacturer

(3)   Furniture and fixtures and improvements and betterments to buildings.

(4)   Monies and/or securities in safes, vaults, safety deposit vaults, bank or Assured's premises, except while in the course of transportation.