On appeal from Superior Court of New Jersey, Law Division, Essex County.
Approved for Publication May 12, 1997.
Before Judges Landau and Wallace and Kimmelman. The opinion of the court was delivered by Landau, J.A.D.
The opinion of the court was delivered by: Landau
The opinion of the court was delivered by
Plaintiff America's Dream Homes, Inc. (ADH), is a developer of affordable housing in Newark. Defendants The Insurance Company of America, and Home Builders Insurance Services, Inc. (collectively "the Insurers") provided builder's risk insurance to ADH for direct physical loss or damage (including theft) to houses and contents as constructed, prior to their conveyance or lease to prospective occupants. Commencing in June, 1993, this coverage was provided under a "reporting form" policy.
The policy provides in part:
a. By the last day of each month you will report to us the total estimated completed values of all buildings you started during the previous month. This report is to be made on the form we provide *fn1 for this purpose and must include the total estimated completed value including labor, overhead and materials and, if coverage is desired, profit.
The starting date for the purpose of the report is the date when you first put the building materials on the construction site.
c. If at the time of loss you have not made the report as required in this provision, we cover only those starts previously reported.
d. You must pay premiums based on the total estimated completed value of each building using the rate we furnish. Premium payment must accompany the report in order for the reported buildings to be covered.
e. The premium charged is fully earned and no refund is due you when coverage ends.
f. You will keep accurate construction records regarding property we cover under this policy. This includes the total estimated completed value of the property and a record of ...