Create policy condition

Creates a policy condition that identifies a special condition that applies to a location. A policy condition may be used to implement policy restrictions or sublimits at a particular location.

The policy condition type specifies whether the condition restricts all policy coverage to specific locations (policy restriction) or whether a portion of the coverage is limited to a subset oflocations (sublimit).

• A policy restriction condition identifies a location that is subject to a particular policy. If specified, a policy covers locations defined by the location condition, e.g., a policy that covers only California locations. Coverage for all other locations is assumed to be excluded. Only one policy restriction location condition is allowed per policy. Financial terms specified on the policy itself apply. Additional sublimits can apply to a subset of locations. Sublimit conditions have second priority after any policy restriction.
• A sublimit restriction identifies locations that are subject to reduced insurance (limit) or a different deductible than the policy. A single policy can include multiple sublimit conditions. Locations that are not covered by a sublimit are subject to the terms of the policy. For example: (1) A $100M earthquake policy with a $20M sublimit on California locations. (2) A $100M earthquake policy with a blanket deductible of $15K except for California locations, which are subject to a $30K deductible.