Wheaton, Ill., March 29, 2012--Property/casualty insurers will soon have access to newly revised policy forms, endorsements, and a multistate manual for insuring small business accounts.
These resources have been filed with insurance regulators in nearly all states as a comprehensive revision of the Businessowners Program (BOP) developed and maintained by the American Association of Insurance Services (AAIS).
AAIS is a national advisory organization that develops forms and rating information used by more than 700 P/C insurers throughout the U.S. More than half of jurisdictions have already approved the BOP filings, with effective dates starting on June 1, 2012; additional approvals are imminent.
The AAIS Businessowners Program retains the traditional format of providing separate stand-alone base forms for providing open perils or named perils property coverage.
Among several new features of the program's property coverage are enhanced provisions addressing losses to data records and programs, and a revised and restructured equipment breakdown coverage endorsement.
The revised program also introduces a flexible approach to built-in sublimits for coverage extensions and additional coverages. Under the revised base forms, insurers have the option of implementing higher sublimits by simply indicating them on the declarations.
On the liability side, among other changes, a provision is added for reimbursement of defense costs, an exclusion is added for liability for loss to data records, and the definitions of "auto" and "mobile equipment" are expanded to maintain standard exclusions in light of a growing variety of motorized vehicles.
The revised AAIS Businessowners Program introduces an updated multistate manual with multistate rules, classifications, and rating information, along with state-specific exception pages.
For information on affiliating with AAIS for use of its Businessowners Program, contact Rick Maka, director of
marketing and strategic alliances, by our contact form or by calling 800-564-AAIS, ext. 222.