COUNTRYWIDE
Auto Service Risk Multistate Market Segment Line Of Business Program
The first of the new series of market-specific advisory programs consisting of products designed to meet the coverage needs of specific market segments has received more approvals. The Auto Service Risks Program is the first to be developed for the new Division 12 --Market Segments.
MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance has been revised to delete the words "other than you" from the coverage grant for non-owned auto liability. In effect, this coverage change gives proprietors coverage for the use of non-owned autos while in the course of their businesses.
Listed below under the individual states are those that have approved the above revision. The text will not be repeated but will refer back to the respective Countrywide section.
For more information on the Auto Services Risks Program refer to the September issue of Rough Notes magazine, "ISO's Market Segments Program Tailored To Individual Risks," by Diana Kowatch, CPCU, AU, AAM, CPIW.
Businessowners Special Policy BP 00 02 12 99
Minor revisions to reflect inadvertent errors have been filed and approved in most jurisdictions. These are technical corrections only. Listed below under the individual states are those that have approved the above revisions. The text will not be repeated but will refer back to the respective Countrywide section.
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
ALASKA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
ARIZONA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
Special Provisions--Arizona HO 01 02 12 99 revised for policies written on or after December 1, 1999. The basic change is to require that in the appraisal process, both the appraiser and the umpire must be both competent and impartial.
ARKANSAS
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
CALIFORNIA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after August 24, 1999.
Businessowners Special Policy
BP 00 02 12 99 technical corrections are available for use as of July 28, 1999.
CORRECTION: In our October 1999 issue of Rough Notes magazine, we reported that recently approved endorsements HO 01 04--Special Provisions--California and Limited Coverage For Earthquake--California--HO 05 32 and HO 05 33 were revised in response to the Cheeks v. California FAIR Plan Association decision. This was an error.
ISO removed all references to a newly added description of actual cash value from these forms. This change was due to ISO's understanding of section 10102 of the California Insurance Code. This section requires a California Residential Property Insurance Disclosure notice to accompany all homeowners policies, and the notice includes its own explanation of actual cash value.
COLORADO
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies. ISO does not establish effective dates for Colorado forms, but forms will be available for distribution to insurers in March 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections approved. ISO does not establish effective dates for Colorado forms, but forms will be available for distribution to insurers in February 2000.
CONNECTICUT
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after May 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after April 1, 2000.
DELAWARE
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
DISTRICT OF COLUMBIA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
FLORIDA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after May 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after April 1, 2000.
GEORGIA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
IDAHO
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
ILLINOIS
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
INDIANA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
IOWA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
KANSAS
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
KENTUCKY
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
MARYLAND
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after May 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after April 1, 2000.
MASSACHUSETTS
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
MICHIGAN
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
MINNESOTA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Minnesota Personal Injury Protection Endorsement CA 22 25 02 00 for commercial auto is available for policies effective February 1, 2000. Adds reasonable expense for sign language interpreting and language translation services by other than a family member. Minnesota Statute 65B.44 required word changes, and minor cosmetic changes also were made.
Minnesota Personal Injury Protection Endorsement PP 05 67 12 99 for personal auto is available for policies effective December 1, 1999. Adds reasonable expense for sign language interpreting and language translation services by other than a family member.
MISSISSIPPI
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
MISSOURI
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
MONTANA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
NEBRASKA
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
Nebraska Abuse or Molestation Exclusion Endorsement CG 21 46 07 98 approved and applicable to policies written on or after March 1, 2000. The endorsement eliminates coverage for liability arising out of abuse or molestation of a person while in the care, custody or control of the insured. This is not a mandatory endorsement because it applies only to businesses in classifications such as hotels, jails, hospitals, etc., whose business it is to have persons in their care, custody or control.
Nebraska Uninsured and Underinsured Motorists Coverage CA 21 70 02 00 has been revised and is applicable to policies written on or after February 1, 2000. In a recent Nebraska Supreme Court case, Allied Mutual Insurance Company v. Action Electric Company and Connie W. Emry, 593 N.W.2d 275 (Nebraska 1999), the court found that underinsured motorists policy language could not limit coverages to persons occupying a vehicle when the policy gives coverage for persons using a vehicle in the liability section of the policy. Who Is An Insured under both uninsured and uninsured coverage now provides coverage for persons using or occupying a covered auto or temporary substitute.
NEVADA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
NEW HAMPSHIRE
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
NEW JERSEY
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
Revised workers compensation endorsements for residence employees announced for dwelling and homeowners policies to be applicable to policies written on or after December 1, 1999. Changes reflect rating bureau rules that require the insurer to offer optional Part II limits of $500,000/$500,000/$500,000. The new endorsements are:
HO 24 92 08 99 New Jersey Workers Compensation and Employers Liability Coverage For Residence Employees Endorsement--provides Part II liability coverages in the amount of $100,000 per accident, $500,000 per disease and $500,000 in the aggregate for such injury.
HO 24 94 08 99 New Jersey Workers Compensation and Employers Liability Coverage For Residence Employees Endorsement--provides Part II liability coverages in the amount of $500,000 per accident, $500,000 per disease and $500,000 in the aggregate for such injury.
DL 24 31 08 99 New Jersey Workers Compensation and Employers Liability Coverage For Residence Employees Endorsement--provides Part II liability coverages in the amount of $100,000 per accident, $500,000 per disease and $500,000 in the aggregate for such injury.
DL 24 40 08 99 New Jersey Workers Compensation and Employers Liability Coverage For Residence Employees Endorsement--provides Part II liability coverages in the amount of $500,000 per accident, $500,000 per disease and $500,000 in the aggregate for such injury.
NEW MEXICO
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
NEW YORK
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
New York General Liability Endorsements reflecting known-loss changes are approved.
For more information about the Countrywide known-loss changes to the CGL see the August 1999 Rough Notes magazine and the article entitled "ISO's CGL Excludes Known Injury Or Loss In Progress," by Diana Kowatch, CPCU, AU, AAM, CPIW.
In July 1995, the case Montrose Chemical Corporation of California vs. Admiral Insurance Company was decided. While it may not have been the intent of the original drafters of the CGL verbiage in use to provide coverage for known loss resulting from the occurrence of progressive or continuous exposure, coverage has been found in the modern CGL as a result of this decision.
Accordingly, new mandatory endorsements applying to each of the Commercial Liability coverage parts have been developed to revise the Insuring Agreements so that commercial liability policies will not respond to any injury or damage known by the insured (or an employee of the insured who was authorized to give or receive notice of injury, damage or claim) before the policy inception.
The New York changes are incorporated into existing New York mandatory endorsements rather than through the use of a separate endorsement as was the case in other states. Changes are applicable to all policies written on or after February 1, 2000 and apply to the following endorsements:
CG 01 63 09 99 New York Changes Commercial Liability Coverage Form
CG 26 03 09 99 New York Changes Liquor Liability Coverage Form
CG 26 04 09 99 New York Changes Owners and Contractors Protective Liability Coverage Form
CG 26 11 09 99 New York Changes--Products/Completed Operations Liability Coverage Form
CG 26 15 09 99 New York Changes Railroad Protective Liability Coverage Form
CG 29 69 09 99 New York Changes--Special Protective and Highway Liability Policy
NORTH CAROLINA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after May 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after April 1, 2000.
NORTH DAKOTA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
OHIO
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
OKLAHOMA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
OREGON
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
Oregon Changes Endorsement
CA 01 49 02 00 has been revised to reflect Changes in Oregon law (former House Bill 2740) that apply to:
Business Auto Coverage Form
Business Auto Physical Damage Coverage Form
Garage Coverage Form
Motor Carrier Coverage Form
Truckers Coverage Form
The bill says basically that if I (as a person engaged in the selling or leasing of autos) lend or sell you (the recipient) a car and I have a contract with you that says you are responsible for injury, death or damage for using the automobile, then I as the seller or lender am not liable for injuries, death or damage that you (the recipient) cause. However, I am responsible if I negligently maintained the vehicle I sold or lent to you. The bill says as well that any insurance I (the dealer) have on the vehicle I lend or sell to you is secondary or excess unless a written agreement makes the coverage primary. Your coverage (the recipient's policy) will be primary, unless otherwise spelled out in a written agreement. Buying or selling can include lending, renting, donating and repairing situations.
The endorsement was changed to provide excess coverage to the person in the business of selling, renting, leasing or repairing autos as long as there is a contract that holds the recipient liable for injury, death or damage. Insurance available to the recipient is primary. Changes are applicable for all policies written on or after February 1, 2000.
Oregon Personal Injury Protection Endorsement CA 22 36 02 00 revised and applicable to all policies written on or after February 1, 2000. House Bill 2608 permits the exclusion of PIP benefits for the use of motor vehicles, motorcycles and mopeds that are owned or furnished or available for the regular use of the named insured or family members. The changes expand exclusions C.5 and C.6 to include a vehicle that is furnished or available for family members' regular use that is not a covered auto. Previously the exclusion applied only to "available and not insured for" Oregon Personal Injury Protection benefits. The definition of "covered auto" is expanded to include any private passenger auto to which the bodily injury liability coverage applies. In addition, B.1 Who Is An Insured has been revised to clarify that individual insureds and their family members are eligible for PIP.
PENNSYLVANIA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
RHODE ISLAND
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
SOUTH CAROLINA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
SOUTH DAKOTA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
TENNESSEE
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
UTAH
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
VERMONT
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
U.S. VIRGIN ISLANDS
Businessowners Special Policy
BP 00 02 12 99 technical corrections available.
ISO does not establish effective dates for U.S. Virgin Island forms, but forms will be available for distribution to insurers in February 2000.
VIRGINIA
The following declarations pages have been approved for use by companies with policies effective on or after September 1, 1999:
Virginia Declarations--Business Auto Policy CC 00 36 06 99
Virginia Declarations--Garage Policy CC 00 37 06 99
Virginia Garage Policy--Auto Dealers' Supplementary Schedule
CC 00 38 08 99
Virginia Garage Policy--Non-Dealers' and Trailer Dealer's Supple-mentary Schedule CC 00 39 06 99
Virginia Declarations--Business Auto Physical Damage Policy--
CC 00 40 06 99
Virginia Declarations--Truckers Policy--CC 00 41 06 99
The following two endorsements were also approved for use:
Mobile Equipment (Virginia)--
CC 20 43 08 99
Vehicles scheduled in the endorsement will be considered covered autos and not mobile equipment, but liability coverage will not apply to the operation of any machinery on or attached to the vehicle.
Truckers Endorsement (Virginia) CC 23 23 08 99
Provides truckers coverage.
WEST VIRGINIA
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
WISCONSIN
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000.
WYOMING
The revision to MS AS 06--Auto Service Risks--Hired Auto and Non-Owned Auto Liability Insurance referred to in the Countrywide section has been approved for policies written on or after March 1, 2000.
Businessowners Special Policy
BP 00 02 12 99 technical corrections applicable to all policies written on or after February 1, 2000. *
©COPYRIGHT: The Rough Notes Magazine, 1999