In response to a request by the Florida Department of Insurance (DOI), two personal auto endorsements have been revised to detail the procedures to use in determining which party assumes the attorney's fees and costs under Fla. Stat 627.736(5). The revised endorsements are: PP 05 54--Personal Injury Protection Coverage--Florida and PP 05 66--Extended Personal Injury Protection Coverage--Florida. These changes apply to all policies effective on or after June 1, 1999.
The equivalent commercial auto revisions to the above apply to: CA 22 10--Florida Personal Injury Protection and CA 22 50--Florida Extended Personal Injury Protection. These changes also apply to all policies effective on or after June 1, 1999.
ILLINOIS
Personal Auto Endorsement PP 04 47--Underinsured Motorists Coverage--Illinois, and Commercial Auto Endorsement CA 21 38--Illinois Underinsured Motorists Coverage have been revised as a result of the decision in Roberts v. Northland Insurance Co., Ill. 2d., N.E.2d, (IL 1998) where the amount of Social Security disability benefits would not reduce the amount of uninsured motorists coverage. These changes apply to all policies written on or after June 1, 1999.
The recent approval and implementation of the 6-98 Multistate Personal Auto Policy (PAP) Revisions in Illinois included a transition endorsement between the old and new programs. The endorsement, PP 00 07--Transition Endorsement, has been disapproved and withdrawn.
Two personal lines endorsements have been revised in response to 1998 Illinois Laws (former S.B. 2860) where it was decided that if an insurer denies payments for a loss because the loss was an intentional act, payments may not be withheld from other innocent insureds who were not a part of the intentional act and the intentional act involved a pattern of domestic violence. Payment may be limited to the innocent insured's insurable interest or the interest of other secured parties. The amended endorsements are: HO 01 12--Special Provisions--Illinois and DP 01 12--Special Provisions--Illinois. These changes apply to all policies written on or after May 1, 1999.
INDIANA
A new professional liability endorsement has been developed to respond to Indiana Code 27-1-13-7, Section 7(b), which allows an insurer to settle a professional liability claim without the insured's consent when it is the unanimous opinion of the applicable medical review board that the insured failed to comply with an appropriate standard of care. The new endorsement is PR 01 49--Indiana Changes--Consent To Settle. This change applies to all policies written on or after July 1, 1999.
LOUISIANA
Personal Auto Endorsement PP 01 95--Amendment of Policy Provisions--Louisiana has been revised in response to 1998 La. Acts (former H.B. 687) and 1998 La. Acts (former H.B. 688). A new provision had been added that explains how recovery will work with a nonowned, rental private passenger vehicle. Further, it is clarified that the personal auto policy is primary for a nonowned auto provided as a loaner for the entity whose business it is to sell, service or repair the insured's vehicle. These changes apply to all policies effective on or after April 1, 1999.
MARYLAND
A personal umbrella liability endorsement, DL 98 59--Personal Umbrella Liability Policy Amendment of Policy Provisions--Maryland, has been revised in response to the decisions reached in two cases: Sheets vs. Brethren Mutual Ins. Co., 679 A.2d 540 (MD 1996) and Aetna Ins. Co. vs. Aaron, 112 MD App. 472, 685 A.2d 858 (1996). The revision excludes coverage for liability incurred by an insured because of third-party damages that occur as a result of the negotiated sale of an insured's home or property. The revision does not carry an effective date, but it does carry an edition date of June 1999.
Personal Auto Endorsement PP 03 80--Rating Information (Physical Damage)--Maryland has been withdrawn as it was associated with the discontinued Personal Vehicle Physical Damage Manual in Maryland. This change applies to all policies effective on or after June 1, 1999.
Personal Auto Endorsement PP 01 68--Amendment of Policy Provisions--Maryland has been revised in response to the Maryland Court of Appeals decision in Van Horn vs. Atlantic Mutual Ins. Co., 334 MD 669, 641 A.2d 195 (1994). It now includes an exception to the Fraud provision to provide coverage for innocent claimants who have not participated in the fraudulent acts of an insured. This change applies to all policies effective on or after June 1, 1999.
MASSACHUSETTS
The 1998 Multistate Simplified Professional Liability and its revisions have been approved with state-specific endorsement PR 02 09--Massachusetts Changes--Cancellation and Nonrenewal. Also available are the new optional multistate Year 2000 endorsements for the Simplified Professional Liability Program. These changes apply to all policies written on or after April 1, 1999.
MICHIGAN
Commercial Auto Endorsement CA 22 20--Michigan Personal Injury Protection has been revised in response to Michigan Bureau of Insurance Bulletin 98-03 to increase the Limit of Insurance for Work Loss and Survivor's Loss Benefits to $3,688 per month. In addition, several provisions have been removed or amended in order to comply with Mich. Comp. Laws 500.3101 and 500.3107. These changes apply to all policies written on or after July 1, 1999.
NEBRASKA
In response to 1997 Neb. Stat. (former L.B. 1035), two commercial endorsements have been revised and a new one developed to introduce an Intentional Loss exclusion that contains an exception for domestic abuse as well as revisions to the Transfer Of Rights Of Recovery Against Others To Us Condition. The revised endorsements are: BP 01 12--Nebraska Changes (for businessowners policies) and CP 01 24--Nebraska Changes (for commercial fire policies). The new endorsement is CM 01 25--Nebraska Changes (for commercial inland marine policies). These changes apply to all policies written on or after May 1, 1999.
NEW HAMPSHIRE
The new, optional Year 2000 simplified Professional Liability Program endorsements have been approved. These changes apply to all policies written on or after April 1, 1999.
NEW YORK
The 1997 Multistate Commercial Automobile Program has been approved in New York. This approval incorporates the 1993 changes and includes New York-specific revisions and endorsements to comply with various state-specific laws and regulations. These changes apply to all policies written on or after June 1, 1999.
PUERTO RICO
One personal auto endorsement has been revised and a new one developed at the request of the Puerto Rico Office of the Commission of Insurance to reflect the requirements of mandatory insurance/endorsements. The revised endorsement is PP 01 70--Amendment of Policy Provisions--Puerto Rico. The new endorsement is PP 03 79--Puerto Rico Office of the Commissioner of Insurance Mandatory Endorsement. These changes apply to all policies effective on or after June 1, 1999.
OKLAHOMA
Revisions have been made to three homeowners endorsements, and three previous endorsements have been re-introduced in response to the recent decision by the Oklahoma Supreme Court in Bratcher v. State Farm Fire & Casualty Insurance Co., 961 P.2d 828 (OK 1998). In previous state case decisions, the property valuation provision in the homeowners policy that withholds replacement cost payment unless or until the property has been replaced was determined to be unconscionable. In Bratcher v. State Farm, the previous decision was overruled and the replacement cost provision has been determined to be clear and unambiguous. The following three endorsements have been re-introduced:
HO 04 56-Special Loss Settlement
HO 04 90-Personal Property Replacement Cost
HO 05 31-Modified Functional Replacement Cost Loss Settlement
The three revised endorsements include:
HO 01 35-Special Provisions--Oklahoma
HO 05 09-Specified Additional Amount Of Insurance For Coverage A Dwelling--Oklahoma
HO 05 10--Additional Limits Of Liability For Coverages A, B, C And D-Oklahoma
These changes apply to all policies written on or after June 1, 1999.
SOUTH DAKOTA
The 1998 Multistate Commercial Auto Policy Program Changes have been approved. These revisions apply to all policies written on or after May 1, 1999.*
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