Inventory Insurance - PSSC Policy

Property deposited with PSSC must be enrolled in an all risk insurance plan provided by PSSC under which properties are insured to the extent of the coverage, subject to a $1000 deductible prorated among the participating depositors in the warehouse in the event of any actual loss or damage. Alternatively .the depositor should provide PSSC with a subrogation waiver from its own insurance carrier against fire, casualty or other such risks. If a depositor has insurance but their insurer does not provide or refuses to provide a waiver of subrogation the property shall be enrolled in PSSC’s plan until the waiver is supplied. Proof of insurance must be supplied yearly by the depositors that have their own insurance otherwise the property will be added to the PSSC plan.

1.

Publishers who are themselves insuring such inventories as they might maintain at PSSC should forward to PSSC a current certificate of insurance bearing the following endorsement:

 
  • It is hereby agreed that the Right of Subrogation is waived as respects property located on the premises of Publishers Storage and Shipping Corp.

2.

 Publishers who wish PSSC to insure their inventory deposited with PSSC should know that:

 
    • Hanover Insurance Co. has issued a policy naming PSSC and its clients as insured. Actually, each publisher client is added as an insured by a specific endorsement on the date the coverage is requested.
    • PSSC reports to Hanover Insurance Co. each month the value of the inventory of each participating publisher. The value is calculated as follows: the number of book units in inventory times the average unit value (as specified by each publisher).The annual premium charged by Hanover Insurance Co. is .65 per each $100 of valuation. Hence the monthly rate is $.054 per C.
    • The monthly premiums will be paid by PSSC and added to its monthly invoice for services. The premium will be determined by multiplying the inventory value by the monthly rate.
      • e.g. Hype Publishing Co. 1000 books x unit value of $2.00 divided by $100 x $.054 = premium of $1.08
    • The policy has a $1000 deductible provision. This provision is not against each participant but is prorated among all.
    • The coverage is for Fire, Extended Coverage, Vandalism, Sprinkler Leakage and standard All Risk Perils. Copies of the insurance contract with endorsements as appropriate will be provided to all participants.