Section 1. As used in this chapter, unless the context otherwise requires or a different meaning is specifically prescribed, the following words shall have the following meanings:—

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”Commissioner”, the commissioner of insurance;

”Association”, the joint underwriting association described in section four.

”Basic property insurance”, insurance against direct loss to property as defined and limited in the standard fire policy and extended coverage endorsement thereon, filed with and accepted by the commissioner, and insurance against direct loss to such property from the perils of vandalism and malicious mischief and dwelling coverages, including liability coverage for non-owner occupied residential dwellings of 1 to 4 units either by endorsement or as a stand-alone policy; provided, that a completed and signed application for such non-owner occupied dwelling liability coverage submitted to the association shall constitute a certification by the applicant, or a duly authorized agent or producer submitting the application on the applicant’s behalf, that the applicant has attempted to obtain non-owner occupied dwelling liability coverage in the voluntary market and has been denied non-owner occupied dwelling liability coverage by at least 2 insurers who provide such coverage in the voluntary market and homeowners coverages, including the scheduled personal property endorsement and such other coverages as the commissioner after public hearing shall determine or the Secretary of the United States Department of Housing and Urban Development shall designate by rule made in accordance with the provisions of the Urban Property Protection and Reinsurance Act of 1968 (Public Law 90–448) but shall not include insurance on automobile or manufacturing risks except such classes of manufacturing risks as may, after proper hearing, be designated by the commissioner.

”Large share territory”, any territory in which at least 7 per cent of the homeowners premium averaged over the most recent 3 calendar years was written by the association, with the specific percentage to be determined annually, such that the total homeowners premium written by the association in the preceding 3 years in large share territories as a percentage of the total homeowners premium written by the association does not exceed the percentage of the total homeowners premium written by the association in territories in which market share of the association equaled or exceeded 4 per cent in the 3 years immediately preceding 1996, pursuant to section 5; and such that in no event shall there be more than 13 large share territories designated in any given year. A territory cannot be a large share territory if the market share of the association in the territory is less than the market share of the association in another territory that is not a large share territory.

”Territory”, one of the standard statistical territories approved by the commissioner.

”Credit eligible territory”, any territory of the commonwealth in which at least twenty percent of the homeowners premium averaged over the most recent three calendar years was written by the association.

”Urban area”, any city or town, or streets or sections thereof, in the commonwealth so designated by the commissioner after appropriate hearing;

”Eligible applicant”, any person having an insurable interest in property eligible for basic property insurance;

”Reasonable insurable value”, a reasonable limit on liability for complete loss of the property insured;

”Premiums written”, gross direct premiums charged with respect to property in this state on all policies of basic property insurance and the basic property insurance components of all multiperil policies less all premiums and dividends credited or returned to policyholders or the unused or unabsorbed portions of premium deposits.