EXCLUSIONS

Agency payments under parts 4900.1400 to 4900.1440 will not extend to the following: A. loss caused by defects in design, installation, or materials which the loan recipient or subsequent purchaser supplied, installed, or had installed under his/her direction; B. secondary loss including personal injury or property damage, other than damage to the dwelling itself, caused by the defect or omission; incidental loss such as the cost of alternate shelter during repair of the dwelling; and consequential loss such as the diminution in the value of the dwelling caused by the defect or omission; C. loss from normal wear and tear; D. loss from normal shrinkage caused by drying of the dwelling within tolerances of building standards; E. loss from dampness and condensation due to insufficient ventilation after occupancy; F. loss from negligence, improper maintenance, or alteration of the dwelling by parties other than the contractor; G. loss from changes in grading of the ground around the dwelling by parties other than the contractor; H. landscaping or insect loss; I. loss from failure to maintain the dwelling in good repair; J. loss which the loan recipient or purchaser has not taken timely action, whenever feasible, to minimize; K. accidental loss usually described as acts of God, including, but not limited to: fire, explosion, smoke, water escape, windstorm, hail or lightning, falling trees, aircraft, vehicles, flood, and earthquake, except when the loss is caused by defects in construction or rehabilitation financed by agency loans; L. loss from soil movement which is compensated by legislation or covered by insurance; or M. loss due to soil conditions where construction is done upon land which is owned by the loan recipient or subsequent purchaser and which was obtained by him/her from a source independent of the contractor.