**D. With respect to the Equipment Breakdown Coverage Part, Paragraph 5. of the Cancellation Common Policy Condition is replaced by the following:**

* **5. Premium Refund**
    * If this policy is cancelled, we will return any premium refund due, subject to Paragraphs D.5.a., D.5.b., D.5.c., D.5.d., and D.5.e. The cancellation will be effective even if we have not made or offered a refund.
        * a. If we cancel, the refund will be pro rata.
        * b. If the first Named Insured cancels, the refund will not be less than 75% of the pro rata unearned premium, rounded to the next higher whole dollar. The refund will be returned within 30 days after the effective date of cancellation.
        * c. We will send the refund to the first Named Insured unless Paragraph D.5.d. applies.
        * d. If we cancel based on Paragraph B.2. of this endorsement, we will return the premium due, if any, within 10 days after the expiration of the 10-day period referred to in B.2.c. If the policy was financed by a premium finance company, or if payment was advanced by the insurance agent, we will send the return premium directly to such payor.
        * e. When return premium payment is sent to the premium finance company or the agent of the insured, we will provide notice to you, at the time of cancellation, that a return of unearned premium may be generated by the cancellation.
    * E. The Premiums Common Policy Condition is replaced by the following:
        * **Premiums**
            1. The first Named Insured shown in the Declarations is responsible for the payment of all premiums.
            2. We will pay return premiums, if any, to the first Named Insured, unless another person or entity is entitled to be the payee in accordance with Paragraph C. or D. of this endorsement.

**F. Paragraph f. of the Mortgageholders Condition in the Commercial Property Coverage Part, Standard Property Policy and the Capital Assets Program (Output Policy) Coverage Part, and Paragraph 4.f. of the Mortgageholders Condition in the Farm Coverage Part are replaced by the following:**

    * If we cancel a policy that has been in effect for fewer than 60 days and is not a renewal of a policy we issued, we will give written notice to the mortgageholder, pledgee or other known person shown in the policy to have an insurable interest in any loss, at least:
        * (1) 10 days before the effective date of cancellation, if we cancel for nonpayment of premium; or
        * (2) 60 days before the effective date of cancellation, if we cancel for any other reason.
    * If we cancel a policy that has been in effect for 60 days or more, or is a renewal of a policy we issued, we will give written notice to the mortgageholder, pledgee or other known person shown in the policy to have an insurable interest in any loss, at least:
        * (1) 10 days before the effective date of cancellation, if we cancel for nonpayment of premium; or
        * (2) 30 days before the effective date of cancellation, if we cancel for any other reason.
    * G. The following is added and supersedes any other provision to the contrary:

**Nonrenewal**

    * 1. If we decide not to renew this policy, we will mail or deliver written notice of nonrenewal to the first Named Insured, mortgageholder, pledgee or other known person shown in the policy to have an insurable interest in any loss, at least 60 days before its expiration date, or its anniversary date if it is a policy written for a term of more than one year or with no fixed expiration date.