Insuring Grave Markers

Answer:

Theft or vandalism damage to headstones, grave markers and related items (included bronze vases) is covered under the ISO homeowners policy, and the Section I deductible does apply.Here is how the ISO homeowners policy (HO-2000 edition and new HO-2011 edition) addresses the issue:

SECTION I – PROPERTY COVERAGES

E. Additional Coverages

12. Grave Markers

We will pay up to $5,000 for grave markers, including mausoleums, on or away from the “residence premises” for loss caused by a Peril Insured Against under Coverage C.

This coverage does not increase the limits of liability that apply to the damaged covered property.

SECTION I – CONDITIONS

C. Loss Settlement

Covered property losses are settled as follows:

1. Property of the following types:

d. Grave markers, including mausoleums;

at actual cash value at the time of loss but not more than the amount required to repair or replace.

DEDUCTIBLE

Unless otherwise noted in this policy, the following deductible provision applies:

Subject to the policy limits that apply, we will pay only that part of the total of all loss payable under Section I that exceeds the deductible amount shown in the Declarations.

If the only loss under a specific policy is to a single bronze vase, the value might be less than the Section I deductible.However, since the coverage for “grave markers” applies to a broad range of property, including various types of markers (many are made of bronze), headstones and even mausoleums, there are certainly some losses which not only exceed the deductible, some could exceed the $5,000 limit.In these situations, where elaborate and expensive markers and mausoleums are in place, additional limits or a specialty coverage form is needed.

For example, thieves recently stole 80 13-pound bronze flower vases from two cemeteries in South Carolina.While each vase originally cost between $150 – $400, they were over 50 years old, and no longer being made.In some cases, it cost the family over $1,500 to replace the entire grave marker.In other cases, where there are multiple bronze grave markers and vases in a family plot, the loss could easily exceed the $5,000 limit.

Some industry experts contend that the appropriate coverage for grave markers and related property should be under either Coverage B or Coverage C, instead of as an Additional Coverage item, which is the approach ISO has taken.For items affixed to the ground, attachment of HO 04 92 – Specific Structures Away From the Residence Premises (10 00 edition or 05 11 edition) would provide broader perils if attached to an HO 00 03 or HO 00 05 coverage form, since the Additional Coverage for Grave Markers only provides coverage for Coverage C (named) perils.

In addition, the endorsement provides for a specified limit of liability, instead of the $5,000 limit in the Additional Coverage.For items at a grave site that are not attached (some bronze vases are detachable), these experts feel this property rightly belongs under Coverage C.It would be a good idea to check with your homeowners markets, to see which approach each of them takes regarding how they cover grave markers.

The driving force behind all the thefts of bronze items from cemeteries is of course recycling.Bronze is generally composed of about 90% copper, with varying amounts of other metals, such as tin and zinc.Brass is very similar, being composed of about 70% copper and 30% zinc.Copper is 100% recyclable, and is one of the most recycled metals in modern use. The recycling industry estimates that about 80% of the copper ever mined is still in use today.According to a 2008 report by the Institute of Scrap Recycling Industries (ISRI), there were 1,800,000 metric tons of copper recycled that year, with about half being exported.

Recycling copper (including both copper and copper alloys such as bronze and brass) is nothing new.Historians say that the Colossus of Rhodes (one of the Seven Wonders of the Ancient World), the famous statue of the Greek god Helios, was built from recycled bronze.In 304 B.C, weaponry left behind by the Demetrius, who was defeated in his attempts to capture the port city of Rhodes (in present day Greece), was reforged and used by the citizens of Rhodes to build the 110 ft. tall bronze statue.(The Statue of Liberty is about 120 ft. tall.)In 226 B.C., an earthquake brought down the statue.In an ironic twist of fate, the broken pieces were later sold to merchants, who reportedly used over 900 camels to haul off the bronze to be recycled yet again.

In more modern times, both the Liberty Bell in Philadelphia and Big Ben in London were built from recast bronze by Whitechapel Bell Foundry in Britain.(The foundry was established in 1570, and is still in existence today.)The Liberty Bell was also recast twice after arriving in America in 1752, once because the original bell cracked, and again when the recast bell had an unappealing tone.It is the second recast bell (which also famously cracked later) that is today’s Liberty Bell. In 1777, during the American Revolution, the Liberty Bell was hidden from the British, for fear they would recast it into cannons. On a much smaller scale, the first Victoria Cross (VC), Britain’s highest award for bravery in military action, was recast from bronze cannons captured at Sevastopol during the Crimean War.Queen Victoria made the first presentations of the Victoria Cross in 1857.

Given the monetary value and the very large scale of the recycling of scrap copper from bronze, brass and other sources, it is little wonder that theft would be an everyday player in the recycling process.The scrap metal industry has taken strong measures to help honest scrap dealers prevent the recycling of stolen materials.TheInstitute of Scrap Recycling Industries (ISRI) created a voluntary theft alert system, called ScrapTheftAlert.com, which ISRI describe as a “The Scrap Industry’s Neighborhood Watch Program.”According to ISRI:

“ScrapTheftAlert.com is a free theft notification web site that allows police to send detailed descriptions of stolen items to recycling operations and other law enforcement within a 100-plus mile radius of a theft. The system also allows scrap processors to alert law enforcement when they are offered suspicious materials at the scrap yard. The system currently has over 7,000 subscribers. Nearly 2,500 law enforcement professionals in the U.S. and Canada are registered to use the system.”

In January of this year, the ScrapTheftAlert.com system was credited with the recovery of five bronze sculptures stolen from a museum in Maryland.Back in December, a 300 lb. bronze horse statue was stolen from a nightclub in Florida.The thief sold the horse the next morning to a local scrap dealer, who paid the man $900.Later, after the scrap dealer had cut up the statue for recycling, he saw the news report and called police.

Large scale theft of recyclable metals is an ongoing problem.Copper wire and copper tubing are perennial targets, but in Ohio recently, thieves tried to sell 400 ft. of aluminum bleachers to a recycling dealer.

In addition to efforts by groups like the ISRI, local and state governments across the country are implementing tighter regulations on scrap dealers, requiring photo ID of scrap sellers, as well as other documentation.Industry groups such as utility companies, construction companies, and others have developed risk management strategies and various working groups with law enforcement.For the insurance agent, it is important to understand the standard coverage issues and coverage options available to insureds, both for personal and commercial accounts, where there is a significant exposure.

For example, a commercial building with a bronze statue or bronze artwork merits special attention and discussion with the insured, to determine the best coverage options.Excerpt from the Business and Personal Property Coverage Form: