Bulletin: HI000002

Dear Associates:

Recent developments require the addition of new special exceptions to owner's policies issued on land in Hawaii. These special exceptions are in addition to standard exceptions and regional exceptions, if any.

Special Exception 1:

Taxes (including rollback taxes) assessments or obligations levied or created for any public purpose or improvement, unless the tax, assessment or obligation is payable and recorded as an existing lien in the public records.

Underwriting Guidelines

Include this exception in all owner's policies.

Special Exception 2:

Facts which an accurate archaeological study would disclose, including without limitation historic property and burial sites.

Underwriting Guidelines

This exception should be shown on unimproved or partially improved land unless you have been provided an archaeological study completed by a recognized authority, such as a preeminent university in the field of archaeology, demonstrating that the land is not (a) an historic site; (b) a situs for burial; or (c) you receive other satisfactory evidence indicating the lack of existence of grave sites.

Special Exception 3

Rights or claims of persons or entities other than the insured involving or arising out of: Mineral or metallic mines; geothermal resources; water; fishing; navigation; wetlands; creation or loss of the land or any portion thereof by accretion, avulsion or artificial means; persons residing on or otherwise in possession of the land or any portion thereof; trails, roadways or other rights of way, including without limitation any rights or claims under Chapter 264, Hawaii Revised Statutes; claims arising out of customary or traditional Hawaiian rights including but not limited to those for access or gathering purposes protected by the Constitution of the State of Hawaii or the laws of Hawaii.

Underwriting Guidelines

This exception may not be deleted. It must be shown on partially improved or unimproved real property. It need not be shown on improved residential real property or improved commercial real property. Deletion of this special exception from a policy covering property that is partially improved, requires Senior Underwriter approval.