PF&M COMPANION
Approved by individual states, through September 2002
By Bruce Hicks, CLU, CPCU
Editor's note: The Countrywide changes in bureau forms and endorsements will continue to appear in the magazine as they have in the past. However, the list of individual states and which changes each has approved will now appear exclusively at the "PF&M Companion" link at the Rough Notes Web site: www.roughnotes.com.
COUNTRYWIDE
Businessowners
ISO has introduced a multi-state revision consisting of the introduction of the following forms:
BP 04 46 07 02 Ordinance or Law Coverage Endorsement
BP 05 76 11 02 Limited Fungi Or Bacteria Coverage
BP 05 77 11 02 Fungi Or Bacteria Exclusion (Liability)
BP 05 78 11 02 Limited Fungi Or Bacteria Coverage (Liability)
These forms modify the coverage provided by the
BP 00 03, Businessowners Coverage Form. BP 04 46 was revised to include a definition of "fungi," and to exclude law or ordinance loss triggered by or related to damage caused by fungi, mold or rot. BP 05 76 excludes property losses related to fungi or mold, except for the limited premises and business income loss protection indicated in the form's schedule as well as such damage that results from fire or lightning damage. BP 05 77 adds an exclusion against liability related to fungi or mold damage, except for limited circumstances such as accidental food poisoning. BP 05 78 adds an aggregate amount of coverage related to liability for mold damage under the BP 00 03's liability and medical coverages. These forms include a definition of "fungi." It also clarifies that, except for the limited coverage provided, no other coverage exists for losses related to fungi or mold, even costs associated with testing, monitoring, remediation, etc.
Commercial Automobile
ISO has introduced a multi-state revision consisting of the introduction of Form CA 20 78 09 02, Physical Damage Coverage - Autos Held For Sale by Non-Dealers and revisions to Forms:
CA 99 10 10 01 Drive Other Car Coverage - Broadened Coverage For Named Individuals
CA 99 48 10 01 Pollution Liability - Broadened Coverage For Covered Autos - Business Auto, Motor Carrier, And Truckers Coverage Forms
CA 99 55 10 01 Pollution Liability - Broadened Coverage For Covered Autos
Garage Coverage Form
The DOC form was created to provide physical damage protection for cars held and sold by businesses that are covered by a CGL, but whichdon't have a constant auto exposure that justifies a business auto policy. The other forms contain editorial changes that, per ISO, clarify their coverage intent. *
What follows is a list of individual states and which of the above changes each has approved involving ISO forms and programs. The text will not be repeated but will refer back to the Countrywide section.
ALABAMA
Businessowners--The program changes referred to in the Countrywide section have been approved. The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
CONNECTICUT
Commercial Liability Umbrella, General Liability--ISO's multi-state introduction of optional fungi or bacteria endorsements and the commercial liability umbrella program has been approved for use. The forms are available for use by all participating insurers for all policies written on or after January 1, 2003.
Commercial Property--ISO's multi-state filing introducing revisions related to the handling of electronic data, commerce transacted in cyberspace, mold and other items has been approved. The forms are available for use by all participating insurers for all policies written on or after February 1, 2003.
FLORIDA
Commercial Auto--The program changes referred to in the Countrywide section have been approved. The forms are available for use by all participating insurers for all policies written on or after January 2003.
KANSAS
Commercial Property--ISO's multi-state filing introducing revisions related to the handling of electronic data, commerce transacted in cyberspace, mold and other items has been approved. The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
KENTUCKY
Personal Auto--Form PP 01 53 12 02, Amendment Of Policy Provisions - Kentucky has been approved. The form was changed to better reflect state law regarding coverage for loaned vehicles that suffer a collision. If such a vehicle has been borrowed because a covered vehicle is unavailable (because of servicing or repair), the borrower's auto policy is to provide primary collision coverage. The form is available for use by all participating insurers for all policies written on or after December 1, 2002.
MASSACHUSETTS
Homeowners--Form HO 05 08 11 02, Specified Additional Amount Of Insurance For Coverage A - Dwelling - Massachusetts has been approved. This new, state-specific form allows an insured to select a percentage that increases the Coverage A insurance limit for Forms HO 00 02, 03 and 05. The form is available for use by all participating insurers for all policies written on or after November 1, 2002.
MINNESOTA
General Liability--ISO's multistate program revision introducing the CG 04 37 Electronic Data Liability Endorsement and editorial clarifications to several forms has been approved. The form is available for use by all participating insurers for all policies written on or after December 1, 2002.
MONTANA
Commercial Auto--ISO's multi-state filing introducing the following forms has been approved:
* CA 23 37 01 02 - War, Military Action And Terrorism Exclusion
* CA 23 38 01 02 - War, Military Action And Terrorism Exclusion - Garage Coverage Form
* CA 26 14 01 02 - Amendment Of Single Interest Policy Provisions - War, Military Action And Terrorism Exclusion
These forms replace the policy's previous war exclusion language to create, essentially, an absolute exclusion against damage that is caused by military or terrorist actions. There is also a newly defined term, "terrorism." The forms are available for use by all participating insurers for all policies written on or after August 29, 2002.
NEW JERSEY
Commercial Property--ISO's multi-state filing introducing revisions related to the handling of electronic data, commerce transacted in cyberspace, mold and other items has been approved. The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
OKLAHOMA
Businessowners--The program changes referred to in the Countrywide section (with the exception of the Ordinance or Law form) have been approved. The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
Dwelling--Form DL 23 45 12 02, Oklahoma Notice has been approved. This form replaces previous state-specific Form IL 01 79. As did the older form, the endorsement warns policyholders that it is a felony to knowingly commit fraud during either the insurance application or claims process. The form is available for use by all participating insurers for all policies written on or after December 1, 2002.
Homeowners--Form HO 03 45 12 02, Oklahoma Notice has been approved. This form replaces previous state-specific Form IL 01 79. As did the older form, the endorsement warns policyholders that it is a felony to knowingly commit fraud during either the insurance application or claims process. The form is available for use by all participating insurers for all policies written on or after December 1, 2002.
OREGON
Commercial Property, Commercial Inland Marine, and Farm--Form IL 01 39 12 02, Oregon Changes has been approved. The form was changed so that it now contains a complete reference to the state's mandated Mortgageholders provision. The form is available for use by all participating insurers for all policies written on or after January 1, 2003.
Homeowners--The following optional fungi or bacteria (which apply to different base coverage forms) and optional personal injury endorsements have been approved for use by all participating insurers for all policies written on or after December 1, 2002:
* HO 04 05 12 02 Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage
* HO 04 06 12 02 Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage
* HO 24 82 04 02 Personal Injury
RHODE ISLAND
Personal Auto--The following forms have been approved:
* PP 01 89 01 03 Amendment Of Policy Provisions - Rhode Island
* PP 02 56 01 03 Suspension Of Insurance - Rhode Island
* PP 04 68 01 03 Property Damage Uninsured Motorists Coverage - Rhode Island
* PP 04 90 01 03 Uninsured Motorists Coverage - Rhode Island
The forms were changed to clarify the applicable arbitration provisions, change the amount of chargeable loss that could trigger a nonrenewal and to allow coverage to be reinstated automatically for a car that is operated during the coverage suspension period. The forms are available for use by all participating insurers for all policies written on or after January 1, 2003.
VERMONT
Dwelling--Form DL 24 71 04 02, Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage has been approved. This form provides an insured with the option of purchasing limited liability coverage for damage involving fungi or bacteria. It is meant to be used with Form DL 24 01. The form is available for use by all participating insurers for all policies written on or after November 1, 2002.
Farm--Form FB 10 31 07 02, War Or Terrorism Exclusion has been approved. This form eliminates coverage for acts of war or terrorists (except for catastrophic circumstances delineated in the form) and is meant to be used with the farm premises and farm umbrella liability policies. The form is available for use by all participating insurers for all policies written on or after January 1, 2003.
Homeowners--The following optional fungi or bacteria (which apply to different base coverage forms) and optional personal injury endorsements have been approved for use by all participating insurers for all policies written on or after November 1, 2002:
* HO 04 31 04 02 Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage
* HO 04 32 12 02 Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage
* HO 04 33 05 02 Limited Fungi, Wet Or Dry Rot, Or Bacteria Coverage
VIRGINIA
Commercial Auto--The program changes referred to in the Countrywide section have been approved. The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
General Liability--ISO's multistate program revision introducing the CG 04 37 Electronic Data Liability Endorsement, editorial clarifications and the following state-specific forms have been approved:
* CG 01 79 07 02 Virginia Changes
* CG 04 38 03 02 Virginia Pollution Exclusion--Named Peril Limited Exception for a Short-Term Pollution Event
* CG 04 39 03 02 Virginia Pollution Exclusion--Limited Exception for a Short-Term Pollution Event
* CG 28 58 03 02 Virginia Changes (OCP)
* CG 28 59 03 02 Virginia Changes (Railroad Protective)
* CG 31 37 07 02 Virginia Changes (Liquor Liability)
* CG 31 38 07 02 Virginia Changes (Pollution Liability - designated sites)
* CG 31 39 07 02 Virginia Changes (Pollution Liability, limited form, Prod/Comp. Ops)
* IL 01 38 07 02 Virginia Changes (Interline form)
The forms are available for use by all participating insurers for all policies written on or after December 1, 2002.
WISCONSIN
Commercial Auto--Form CA 21 45 01 03, Wisconsin Underinsured Motorists Coverage, has been approved. The form was changed to accommodate a state Supreme Court decision reached in Ranes v. American Family. The high court ruled that an insured's lack of notification to an insurer affects qualification for coverage only if the carrier can prove that it was harmed. The form is available for use by all participating insurers for all policies written on or after January 1, 2003.
Personal Auto--Form PP 04 28 12 02, Underinsured Motorists Coverage - Wisconsin, has been approved. The form was changed to accommodate a state Supreme Court decision reached in Ranes v. American Family. The high court ruled that an insured's lack of notification to an insurer affects qualification for coverage only if the carrier can prove that it was harmed. The form is available for use by all participating insurers for all policies written on or after December 1, 2002.