Scheduled items

Sometimes, an account holder wants a policy to cover a specific item that has unusual value. There is a generic coverage on the policy that could apply to the item. But because of the item's unusual value, it ought to be covered by its own coverage. The insurer may require additional information, such as the item's value and how this value was determined. The item's coverage may also require a deductible or limit that is outside the range of what is allowed by the more generic coverage. These types of "unusual value" items appear on the policy in a list that is called a schedule. Thus, the items themselves are called scheduled items.

For example, suppose that a homeowners line of business has a Personal Property coverage. This coverage covers personal property in the home and has a limit of up to $10,000. It is intended for generic and easily replaceable items, such as clothing, furniture, or appliances. Ray Newton has a homeowners policy with Personal Property coverage. But he recently acquired a painting of a Dutch sailboat whose appraised value is $40,000. He wants this item covered by the policy for its appraised value. Therefore, the painting is added to the policy as a scheduled item. Information about the painting, its value, its appraisal method, and the limit of its coverage are included in the policy.

From a data perspective, a scheduled item is a child object of a coverage. But it is unlike other coverage children in that it contains information normally associated with coverables (such as item type or item description) as well as information normally associated with coverage terms (such as an item-specific deductible or limit).

The nature of scheduled items varies across LOBs. Similar scheduled items from different LOBs may have significantly different definitions in their products. Some LOBs may not have any scheduled items. And in some cases, an LOB from one source (such as an SBT-based LOB) may have them when that same LOB from a different source (such as an APD-native version of that LOB) may not.