3. The actual cost of repairing or replacing the dam-
aged or stolen property with other property of like
kind and quality. A part is of like kind and quality
when it is of equal or better condition than the pre-
accident part. We will use the original equipment
from the manufacturer when:
(a) The operational safety of the vehicle might
otherwise be impaired;
(b) Reasonable and diligent efforts to locate the
appropriate rebuilt, aftermarket or used part
have been unsuccessfui; or
(c} A new original equipment part of like kind
and quality is available and will result in the
lowest overall repair cost.
For each leased, hired, rented or borrowed “auto” our
Obligation to pay “losses” will be reduced by a deductible
equal to the highest deductible applicable to any owned
“auto” for that coverage. No deductible will be applied to
“losses” caused by fire or lightning.
SECTION IV, 8.5. Other Insurance Condition, Para-
graph 5.b. is deleted in its entirety and replaced by the
following:
For Hired Auto Physical Damage Coverage, the follow-
ing are deemed to be covered “autos” you own:
1. Any covered “auto” you lease, hire, rent, or borrow;
and
2. Any covered “auto” hired or rented by your “em-
ployee” under a contract or agreement in that “em-
ployee’s” name, with your permission, while perform-
ing duties related to the conduct of your business.
However, any “auto” that is leased, hired, rented or bor-
rowed with a driver is not a covered “auto”.
This coverage extension does not apply to Emergency
Services Organizations and Governmental Entities.
HIRED AUTO LOSS OF USE COVERAGE
The following is added to SECTION 1], A.4, — Cover-
age Extensions:
We will pay expenses for which you are legally responsi-
ble fo pay up to the Limit of Insurance shown on the
ElitePac Schedule per “accident” for loss of use of a
leased, hired, rented or borrowed “auto” if it results from
an “accident”.
This coverage extension does not apply to Emergency
Services Organizations, Governmental Entities, and
Schools.
AUTO LOAN/LEASE GAP COVERAGE (Not Appiica-
ble in New York)
The following is added to SECTION If], A.4. —- Cover-
age Extensions:
In the event of a total “loss” to a covered “auto” we will
pay any unpaid amouni due on the lease or loan for a
covered “auto”, less:
1. The amount paid under the Physical Damage Cover-
age Section of the policy; and
Copyright, 2017 Selective Insurance Company of America. All rights reserved.
Includes copyrighted material of Insurance Services Office, Inc., with its permission.
2. Any:
a. Overdue lease/loan payments at the time of
“loss”;
b. Financial penalties imposed under a lease for
excessive use, abnormal wear and tear, high
mileage or similar charges;
c. Security deposits not refunded by the lessor or
financial institution;
d. Costs for extended warranties, credit life, health,
accident, or disability insurance purchased with
the loan or lease; and
e. Carry-over balances from previous leases or
loans.
You are responsible for the deductible applicable to the
“loss” for the covered “auto”.
This extension only applies if the lessor or financial
institution is an additional “insured” under this Coverage
Form.
PERSONAL EFFECTS
The following is added to SECTION ill, Ad. —
Coverage Extensions:
If this policy provides Comprehensive Coverage for a
covered “auto” you own and that covered “auto” is
stolen, we will pay up to the Limit of Insurance shown on
the ElitePac Schedule, without application of a deducti-
ble, for lost personal effects that were in the covered
“auto” af the time of theft. Personal effects do not include
jewelry, tools, money, or securities. This coverage is
excess over any other collectible insurance.
AIRBAG COVERAGE
The following is added to SECTION ill, B.3.a. — Exclu-
sions:
Mechanical breakdown does net include the accidental
discharge of an airbag.
This coverage extension does not apply to Emergency
services Organizations and Governmentai Entities.
EXPANDED AUDIO, VISUAL, AND DATA ELEC-
TRONIC EQUIPMENT COVERAGE
SECTION Ill, B.4, —- Exclusions
This exciusion does not apply fo the following:
1. Global positioning systems;
2. “Telematic devices”; or
3. Electronic equipment that reproduces, receives or
transmits visual or data signals and accessories
used with such equipment, provided such equipment
is:
a. Permanently installed in or upon the covered
“auto” at the time of the “loss”;
b. Removable from a housing unit that is perma-
nenily installed in the covered “auto” at the time
of the “loss”;
c. Designed to be solely operated by use of power
from the “auto's” electrical system; or
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