AAIS is initiating a filing in most states of new
terrorism loss costs in its Commercial Properties Program. These loss
costs will replace rating factors currently used to price coverage for
losses arising from both "certified" and "non-certified" acts of
terrorism. The new loss costs are based on modeled data and vary by ZIP
Code in a number of states where terrorism territories are introduced.
May 1, 2007 is the proposed effective date in most
states for the new terrorism rules and rating information to be provided
in state-specific supplements to the Commercial Properties manual.
Certified terrorism losses are those that are
covered under the federal Terrorism Risk Insurance Program [TRIP];
non-certified losses are those caused by acts of terrorism not covered
under the program. The new Commercial Properties loss costs also address
terrorism losses that occur after TRIP terminates.
AAIS is dividing its Personal Inland Marine (PIM)
Program for filed classes into two separate, updated programs. In
addition to revised PIM forms and rating information, a new Farm Inland
Marine (FIM) Program is being introduced for use with AAIS or
independent insurance programs for farm and agricultural accounts.
The new farm program will include updated farm machinery and
livestock forms and rating information previously provided under the
personal program, but also introduces forms and rating information
for a newly developed farm irrigation equipment class.
While the language in the FIM forms address
both family farms and commercial farming ventures, the farm program's policy terms and
conditions are patterned primarily after those used in commercial lines.
Along with the new farm program, a revised Personal
Inland Marine Program has been filed with updated forms, new optional
endorsements, and revised schedules. The revised PIM forms include built-in optional coverages previously available as separate
endorsements.
Each program provides a revised countrywide manual, and both are being filed with a proposed effective date in most states
of June 1, 2007. Also, companies currently using the AAIS Personal
Inland Marine Program can continue using the updated PIM and new FIM for
the cost of one affiliation.
This latest enhancement to AAIS's inland marine
offerings completes the process of updating all AAIS inland marine
programs, filed and nonfiled, to utilize common policy structures and
provisions that meet the latest regulatory requirements and market
expectations.
For information on affiliating with AAIS for use of
its inland marine programs, contact Rick Maka, director of marketing, at
rickm@AAISonline.com, or by
calling 800-564-AAIS.
AAIS has begun a countrywide filing of a revised
Homeowners Program manual developed to support revised forms and
endorsements due to take effect in a number of states around the middle
of this year.
Among other things, the revised Homeowners manual
provides rating factors for optional coverages in its countrywide
section, with state exceptions to the factors provided in separate state
manual pages. Those state pages also provide exceptions to rules,
additional rules, territorial definitions, and loss cost rating
information specific to each state.
In other important enhancements, the revised
Homeowners manual will display rating information for optional
liability coverages in factor rating formats, and will provide rules
and rating information for new optional coverages for association
deductibles, residents of assisted living facilities, and students
living away from described premises.
AAIS Homeowners affiliates should watch for
subsequent bulletins for filings and proposed effective dates in each
state.
A recent
regulation from the Delaware Department of Insurance requires most
licensed homeowners carriers in the state to fill out a rate survey by
April 15, using a form to be posted on the department's
website
by March 1.
A recent
bulletin from Alabama Insurance
Commissioner Walter Bell establishes new notice requirements for
insurers that non-renew a category or group of insureds in order to
reduce their catastrophe exposure.
In such cases, the bulletin requires insurers to provide
Bell's department with written notice of a non-renewal of coverage at least 90 days
before the non-renewal takes effect The bulletin also requires carriers
to inform insureds of their intent to non-renew at least 60 days before
a policy is due to expire.
Individuals can now
register
online for the AAIS "Main Event," the successor to the former AAIS annual conference, April 22-24
in Charleston, S.C. The registration form is linked to the conference
home page, which directs you to information on the program and social
events.
Three speakers have been confirmed so far for the
event:
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Robert Blaunstein, director of loss
control for American Safety Ins. Co., and
an author of numerous reports and articles on nanotechnology. He
will address the insurance implications of the development of
new materials at the atomic level.
-
David Herman, senior counsel and senior
director of claims for the Food Products Association. He will
address trends in food and beverage liability claims as they affect
the full range of food production operations, from farmers to
retailers.
-
Charles Kingdollar, vice president in the
emerging issues unit of Gen Re, and a writer/researcher for several
Gen Re publications. He will address insurers' growing exposure to
personal injury claims arising from use of the Internet and
electronic communications media.
The conference program will focus on product-related
issues of strategic importance to company CEOs and heads of operational
units. In addition to the speakers listed and others invited, the
program will also feature roundtable discussions and a CEO panel.
Charleston's historic Mills House
Hotel will serve as the principal location for the Main Event. In
addition, a golf outing is planned for the
Rivertowne Country Club,
a guest/spouse tour for the historic
Middleton Place estate, and
a closing dinner at The Old
Exchange & Provost Dungeon.
For more information, contact Joseph Harrington,
director of corporate communications at
joeh@AAISonline.com or by
calling 800-564-AAIS.
AAIS now offers audio commentary to users of the
AAISdirect Internet service
with its weekly series of "podcasts."
In 2-3
minutes, these commentaries provide AAISdirect users with an
overview of product-related developments for the week, and indicate
which bulletins need immediate attention.
The podcasts are provided as mp3 files which
run on most computers with Internet access. To run them, users of
AAISdirect can simply click on an icon on the AAISdirect home
page.
