1. Forms
2. CP
3. CP-15-50

What the Form Is

The CP 15 50 Radio or Television Antennas–Business Income or Extra Expense endorsement is designed to modify commercial property insurance policies. Its primary function is to buy back coverage for loss of business income or extra expenses that arise from direct physical loss or damage to radio or television antennas. Standard Business Income and Extra Expense coverage forms often contain an exclusion for losses stemming from damage to these specific types of property. This endorsement effectively removes that exclusion.

Classes of Business It Applies To

This endorsement is crucial for businesses whose operations and revenue generation are dependent on the functionality of radio or television antennas. Examples include:

• Broadcasting Companies: Radio stations and television stations that rely on antennas for transmitting signals. Damage to these antennas would directly interrupt their ability to broadcast and generate advertising revenue.
• Telecommunication Providers: Companies that use antenna arrays for various communication services.
• Other Businesses with Critical Antenna Installations: Any enterprise that utilizes significant radio or television antenna setups for essential operational activities where damage would lead to a business shutdown or the incurrence of extra expenses to maintain operations. For instance, a business park that provides satellite television services to its tenants might need this coverage.

Special Considerations

• Addressing a Standard Exclusion: The main reason for this endorsement's existence is to counteract a common exclusion found in Causes of Loss forms that pertains to business income or extra expense losses resulting from damage to radio or television antennas.
• Edition Changes: The 10 12 edition of this form incorporated minor editorial changes that reportedly did not alter the scope of coverage. It also removed a reference to the Earthquake Causes of Loss form, which was deemed a clarification rather than a substantive coverage change.
• Covered Causes of Loss: The damage to the radio or television antennas must be caused by a peril that is covered under the policy's selected Causes of Loss form for this endorsement to apply.

Key Information for Agents and Underwriters

• Client Identification: Agents should proactively identify clients whose business models are susceptible to income loss if their radio or television antennas are damaged. This includes not only traditional broadcasters but any business with a critical reliance on such equipment.
• Risk Assessment: Underwriters need to evaluate the specific risks associated with the insured antennas. Factors to consider include their physical location (e.g., rooftop, standalone tower), height, construction materials, age, maintenance record, and exposure to perils such as windstorms, ice, lightning, or vandalism.
• Coverage Coordination: It's important to ensure that this endorsement is attached to the appropriate underlying Business Income (e.g., CP 00 30, CP 00 32) or Extra Expense (CP 00 50) coverage form. The limits of liability for Business Income/Extra Expense should be adequate to cover potential losses if the antennas become inoperable.
• Valuation: While direct physical damage to the antennas themselves might be covered under the Building or Business Personal Property coverage, this endorsement specifically addresses the consequential time element losses (lost income and/or extra expenses) that occur due to the antenna damage.
• Underlying Exclusions: Agents and underwriters should remember that this endorsement only removes the specific exclusion related to radio and television antennas for Business Income/Extra Expense. All other policy exclusions and conditions will still apply unless otherwise modified.