The Special Form homeowner policy considers all of the following to be insureds (with notes on any exceptions):

• you

(refer to separate definition)

• your relatives if residents of "your" household

(meaning relatives who live at the insured location with the named insured)

• persons under the age of 21 residing in "your" household and in "your" care or in the care of "your" resident relatives

Note: Such persons must BOTH be younger than 21 AND have a named insured, his or her spouse or a relative of the named insured/spouse as their care giver.

So far, the definition of insured is unchanged from ISO’s earlier program. However, the HO 2000 program’s version includes persons who are residents of the named insured’s household and who are full-time students. In order for a full-time student to qualify as an insured, he or she must either be younger than 24 years of age and be related to an insured OR be younger than 21 years of age and be in the care of someone in the named insured’s household.

While the first portion of this definition applies to the entire policy, the following applies only to section II, the liability portion of the homeowner policy:

• any party having legal responsibility for either animals or watercraft that are eligible for coverage under the homeowner policy.

Examples: Nancer Editbee’s home is insured by an ISO Special Form policy. Let’s look at whether the following are insureds under her policy:

- Nancer’s 12 year old neighbor who walks Nancer’s dog (yes, an insured)

- Frank, who rented Nancer’s RV for the weekend (no, not an insured)

- Jeri, a stranger who stole Nancer’s cat (no, not an insured)

- Paul, a friend from work who borrowed Nancer’s canoe (yes, an insured)

However, anyone in possession of an insured’s watercraft or animal is denied insured status if any business purpose is involved.

• any person working for an insured while operating a motor vehicle that qualifies for homeowner coverage, and

• any person who has the insured’s permission to use an eligible motor vehicle, but only while on the insured premises.

Examples: Tom Kinpushion’s large home (on four acres of land) is insured with a Special Form homeowner policy. Let’s look at whether the following are insureds under his policy:

- Tom’s visiting childhood friend who hits Tom’s neighbor while driving Tom’s car out of his garage (no, not an insured)

- Tom’s neighbor, Pete, while using Tom’s lawn tractor in his (Pete’s) lawn cutting service (no, not an insured)

- Tom’s other neighbor’s daughter Nikki whom Tom hired to cut Tom’s 4 acres (yes an insured)

- Tom’s son while using his electric wheelchair at the nearby grocery store (yes an insured)

For an illustration concerning what type of vehicle-related liability qualifies for homeowners coverage, please refer to PF&M section 469_C006 "Automobile Exclusion Held Not Applicable To Liability Arising From Vehicle In Dead Storage" in Court Cases.

The HO 2000 Program’s definition of insured includes a clarification. Whenever the word "insured" immediately follows the word "an," the phrase refers to one or more "insureds." In other words, an "insured" means one or more persons who have covered status under the policy.