Fractional Ownership Insurance Agreement

Insurance administration begins automatically the moment a fractional transfer is accepted. The sequence below describes every step from transfer acceptance to an active policy.

Insurance is activated automatically when a fractional transfer is accepted — not when it is initiated. The following conditions must all be met:

• A fractional transfer has been initiated by a current rights holder.
• The receiving party (buyer or new co-owner) has accepted the transfer.
• The new possessor has acknowledged the insurance terms.
• The first premium payment has been successfully processed.

The insurance premium obligation follows the possessor — the party who holds physical custody of the item or who holds the highest percentage of ownership. The possessor is determined as follows: • If one party has physical possession of the item, they are the possessor regardless of ownership percentage. • If no party has physical possession (e.g. the item is in storage or custody), the party with the highest ownership percentage is deemed the possessor and holds the premium obligation. • If two or more parties hold equal percentages and none has physical possession, Ownich will designate the possessor based on the transfer history and notify all parties. The premium obligation transfers automatically whenever ownership percentages change or physical possession changes hands. The outgoing possessor's obligation ends on the date the transfer is accepted; the incoming possessor's obligation begins on the same date.

• Premiums are calculated as a percentage of the item's current Ownich valuation.
• Billing is monthly or annual — the possessor selects the cycle at activation.
• Annual billing attracts a discount equivalent to two months' premium.
• A 7-day grace period applies to missed payments before cover is suspended.
• Cover is suspended during arrears; no new fractional transfers are permitted while cover is suspended.
• The premium obligation transfers automatically when the possessor changes.

Cover applies to the item registered under the certificate for the duration of the active policy.

• Damage caused intentionally by any rights holder.
• Loss or damage occurring while cover is suspended due to arrears.
• Items not registered under a valid, non-deleted Ownich certificate.
• Wear and tear, gradual deterioration, or inherent defects.
• Loss or damage arising from war, terrorism, or acts of God.
• Items subject to an active dispute or freeze at the time of the claim.

As the possessor, you agree to the following obligations for the duration of your premium obligation:

All fractional co-owners have the following rights regardless of whether they are the possessor:

• The right to be notified when insurance status changes (ACTIVE, SUSPENDED, LAPSED).
• The right to receive a proportional share of any insurance settlement.
• The right to raise a dispute if they believe a claim outcome is incorrect.
• The right to view the full insurance and transfer history of the certificate.

If all fractional parties decline physical possession of the item, Ownich may suggest a custody method to ensure the item is properly stored and insured. The custody process is as follows:

1. 1Ownich notifies all co-owners that no possessor has been designated.
2. 2Ownich proposes one or more custody options (e.g. third-party storage, escrow).
3. 3Co-owners vote on the preferred custody method within 14 days.
4. 4The party who accepts custody under the agreed arrangement becomes the possessor and assumes the premium obligation.
5. 5If no agreement is reached within 14 days, Ownich may suspend new transfers on the certificate until custody is resolved.

Cover ends automatically when:

• The possessor cancels the policy with 30 days' written notice.
• The premium lapses after the 7-day grace period and is not reinstated.
• The certificate is deleted or the item is fully transferred to a single owner.
• All co-owners agree in writing to terminate cover.

Cover may be reinstated after lapse by paying all outstanding premiums plus a reinstatement fee. Reinstatement is at Ownich's discretion.

This agreement is governed by the laws of England and Wales. Any disputes arising under this agreement shall be subject to the exclusive jurisdiction of the courts of England and Wales. EU residents may also use the EU Online Dispute Resolution platform at ec.europa.eu/consumers/odr.