COUNTRYWIDE
Commercial Property Coverage Part Changes
ISO filed a multistate revision of forms and endorsements applicable to the Commercial Property Coverage Part in January 2001. The revisions are to the Coverage Forms, Causes of Loss Forms and endorsements. (For more details on this change, please refer to the PF&M Companion in the November 2000, issue of Rough Notes magazine at http://www.roughnotes.com.)
Homeowners Form Changes
ISO has introduced the HO 2000 edition of their Homeowners Program which will eventually replace the HO 91 program; it includes both revised and new forms. ISO has filed the program countrywide with the earliest proposed effective dates beginning in December 2000. The new program includes formatting changes to improve an insured's ability to read and understand the forms. (For more details on this change, please refer to the PF&M Companion in the July 2000, issue of Rough Notes magazine at http://www.roughnotes.com.)
Commercial Liability Program Introduced
ISO has made a multistate change to its Commercial Liability Program. Commercial umbrella liability coverage is now available for its participating companies to file independently. The program rules and forms are available effective November 1, 2000.
Personal Auto Form Introduced
In December 1999, ISO introduced a multistate change to its Personal Auto Program (PAP). ISO now offers form PP 13 01, Coverage for Damage To Your Auto Exclusion Endorsement. This form is intended to clarify the intent of Part D - Coverage For Damage To Your Auto, of the PAP. The intent of the change is to make certain that it is understood that loss payments do not include consideration for any tangible or intangible loss of value to a covered vehicle that has been repaired after accidental damage.
What follows is a list of individual states and which of the above changes each has approved. The text will not be repeated but will refer back to this Countrywide section.
Commercial Auto--CA 21 59 04 01, Alabama Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after May 1, 2001. The form is used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms. The endorsement's arbitration provision now requires the consent of the insurer and the insured. The form's wording also clarifies the difference between named and non-named insureds.
ALASKA
Commercial Property--The program changes referred to in the Countrywide section and state-specific form CP 01 55 10 00, Alaska Changes have been approved for participating insurers for all policies written on or after May 1, 2001. The state form contains an amended "Other Insurance" provision.
ARIZONA
Commercial Auto--CA 21 39 04 01, Arizona Uninsured Motorists Coverage and CA 21 40 04 01, Arizona Underinsured Motorists Coverage have been approved for use by all participating insurers for all policies written on or after April 1, 2001. The forms were revised with several editorial changes, but the primary action was to amend the endorsements' arbitration provision, which now requires the consent of the insurer and the insured.
DELAWARE
Commercial Auto--CA 21 10 04 01, Delaware Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The form was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered. Further, the endorsement's arbitration provision was amended to require the consent of the insurer and the insured.
FLORIDA
Commercial Auto--CA 21 47 04 01, Florida Uninsured Motorists Coverage - Stacked, CA 21 72 04 01, Florida Uninsured Motorists - Non-Stacked and CA 21 73 04 01, Florida Split Uninsured Motorists Coverage - Stacked endorsements have been approved for use by all participating insurers for all policies written on or after June 1, 2001. The forms were revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered. Further, the arbitration provisions of CA 21 47 04 01 and CA 21 72 04 01 were amended to require the consent of the insurer and the insured.
IOWA
Commercial Auto--CA 21 12 04 01, Iowa Uninsured and Underinsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The form was revised with several editorial changes. Further, the form was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
KANSAS
Commercial Auto--CA 21 37 04 01, Kansas Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was amended with several editorial changes. Further, the form was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
KENTUCKY
Homeowners--The program changes referred to in the Countrywide section and state-specific forms HO 01 16 01 01, Special Provisions - Kentucky, and HO 12 46 01 01 - Change Endorsement - Kentucky have been approved for participating insurers for all policies written on or after June 1, 2001. HO 01 16 01 01 was revised to change its wording on intentional losses. HO 12 46 01 01 had several blank areas replaced with blocks since the state does not allow blank forms.
MICHIGAN
Commercial Auto--CA 21 31 04 01, Michigan Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was amended with several editorial changes. The form was also revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered. Finally, the arbitration provision was amended to require the consent of the insurer and the insured.
MISSISSIPPI
Commercial Auto--CA 21 28 04 01, Mississippi Uninsured Motorists Coverage and Property Damage and CA 21 29 04 01, Mississippi Uninsured Motorists Coverage Bodily Injury endorsements have been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsements, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, were amended with several editorial changes. The forms were also revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the forms that refer to "you" have been changed to clarify the parties intended to be covered.
MISSOURI
Commercial Auto--CA 21 04 04 01, Missouri Uninsured Motorists Coverage, CA 31 04 04 01, Missouri Underinsured Motorists Coverage and CA 21 56 04 01, Missouri Split Uninsured Motorists Coverage Limits endorsements have been implemented and are available for use for policies effective on or after April 1, 2001. The endorsements, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, were amended with several editorial changes. The forms were also revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the forms that refer to "you" have been changed to clarify the parties intended to be covered.
Homeowners--The program changes referred to in the Countrywide section and the following Missouri Forms:
HO 01 24 09 01, Special Provisions - Missouri
HO 07 02 09 01, Home Business Insurance Coverage - Missouri
HO 23 93 09 01, Missouri Property and Casualty Insurance Guaranty Association Notification of Coverage Limitations
HO 24 76 09 01, Farmers Personal Liability - Missouri
have been submitted for use for policies effective on or after September 1, 2001. The changes to the countrywide filings were made to conform with current Missouri law and wording requirements.
NEBRASKA
Commercial Auto--CA 21 70 04 01, Nebraska Uninsured and Underinsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was amended with several editorial changes. The form was also revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered. Finally, the arbitration provision was amended to require the consent of the insurer and the insured.
NEVADA
Commercial Auto--CA 21 27 05 01, Nevada Uninsured Motorists Coverage endorsement has been approved for use and is available to insurers with a distribution date of May 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
NEW JERSEY
Homeowners--HO 01 29 08 01, Special Provisions - New Jersey, has been approved for use by all participating insurers for all policies written on or after August 1, 2001. The endorsement was amended in response to the decision reached in Fantis Food vs. North River Insurance Co. 332 NJ Super. 250, 753 A.2d 176. In Fantis, the court held that the policy should reimburse an insured who repaired a building that, in the insured's opinion, was in danger of collapsing. The form was revised to clarify that coverage was due only to insured property that had actually collapsed.
NEW MEXICO
Homeowners--The program changes referred to in the Countrywide section and the following New Mexico Forms:
HO 01 30 08 01, Special Provisions--New Mexico
HO 04 82 08 01, Loss Settlement
HO 05 03 08 01, Specified Additional Amount Of Insurance For Coverage A--Dwelling--New Mexico
HO 05 04 08 01, Additional Limits Of Liability For Coverages A, B, C, And D- New Mexico
have been approved for use by all participating insurers for all policies written on or after August 1, 2001. The changes to the countrywide filings were made to conform with current New Mexico requirements.
NORTH CAROLINA
Commercial Auto--CA 21 27 05 01, North Carolina Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after June 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
Dwelling Liability--DL 98 39 05 01, Personal Umbrella Liability Policy Amendment of Policy Provisions--North Carolina has been approved and is available for use with an edition date of May 2000. Individual insurers choosing to use this program will have to adopt it with its own effective date. This form was revised in order to comply with the provisions of N.C. GEN. STAT. 58-41-15 and 58-41-20 which concern policy cancellations and nonrenewals.
OKLAHOMA
Homeowners--The program changes referred to in the Countrywide section and several state-specific program exceptions have been approved for use by all participating insurers for all policies written on or after August 1, 2001.
OREGON
Personal Auto--PP 01 94 03 01, Amendment of Policy Provisions--Oregon endorsement has been approved for use by all participating insurers for all policies written on or after March 1, 2001. The endorsement was changed to reflect the Oregon Insurance Division's preference on handling refunds that accompany policy cancellation requests made by insurers and insureds.
RHODE ISLAND
Commercial Auto--CA 21 43 04 01, Rhode Island Uninsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
SOUTH DAKOTA
Commercial Auto--CA 21 41 04 01, South Dakota Uninsured and Underinsured Motorists Coverage endorsement has been approved for use by all participating insurers for all policies written on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the form that refer to "you" have been changed to clarify the parties intended to be covered.
TENNESSEE
Commercial Auto--CA 21 20 05 01, Tennessee Uninsured Motorists Coverage endorsement has been implemented and is available for use for policies effective on or after May 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the forms that refer to "you" have been changed to clarify the parties intended to be covered.
VIRGINIA
Commercial Automobile--CC 01 16 (ED 01 01), Changes In Policy--Virginia has been approved for participating insurers for all policies written on or after March 1, 2001. This form was changed by adding several definitions of workers in order to comply with the Virginia Bureau of Insurance request regarding the handling of leased workers.
WASHINGTON
Commercial Automobile--CA 99 89 05 01, Washington Loss Payable Form Reg-335 has been approved for participating insurers for all policies written on or after May 1, 2001. This form was introduced to make the loss payable language required by Washington Insurance Commissioner's Regulation No. 335 available to insurers.
WEST VIRGINIA
Commercial Auto--CA 21 22 04 01, West Virginia Uninsured Motorists Coverage endorsement has been approved for participating insurers for all policies effective on or after April 1, 2001. The endorsement, used with the Business Auto, Garage, Motor Carrier and Truckers Coverage Forms, was revised in response to recent court interpretations of the term "you" which have, in ISO's opinion, led to unintended coverage. Several sections of the forms that refer to "you" have been changed to clarify the parties intended to be covered. The form was further revised by removing the "owned but not insured exclusion." The wording was deleted in response to the decision reached in Mitchell v. Broadnax, __S.E. 2d ___ (W.Va. 2000). In that case, the state's Supreme Court of Appeals did not allow the enforcement of the exclusion.
Personal Auto--PP 04 53 04 01, Uninsured/Underinsured Motorists Coverage--West Virginia endorsement has been approved for participating insurers for all policies effective on or after April 1, 2001. The form was revised by removing the "owned but not insured exclusion." The wording was deleted in response to the decision reached in Mitchell v. Broadnax, __S.E. 2d ___ (W.Va. 2000). In that case, the state's Supreme Court of Appeals did not allow the enforcement of the exclusion.
WISCONSIN
Businessowners, Commercial Property, Commercial Inland Marine, Farm--The following forms:
BP 01 27 01 01, Wisconsin Changes
CP 01 13 01 01, Wisconsin Changes
CP 01 94 01 01, Wisconsin Changes
FP 01 48 01 01, Wisconsin Changes
have been approved for participating insurers for all policies effective on or after March 1, 2001. The forms were revised in response to two events.
1. The decision reached in Seider vs. Commissioner of Insurance, concerning the applicability of the state's Valued Policy Law. In this case, the state's Supreme Court held that the policy's stated limits are to be paid when a total loss occurs to insured property, even when the property has a combined use (i.e., used as a residence as well as a commercial enterprise).
2. 2000 Wis. Laws___ (former A.B. 392) concerning domestic abuse. This law does not allow coverage to be denied to an innocent co-insured for losses arising out of domestic
violence. *