Product Development and Support Updates
The Product Development and Support presentation at the WRC 2021 All Manager Meeting reported on updates and new offerings developed in the last year. First, an update was provided about the cyber/communicable disease project in all states. Information was shared regarding the language for those two exclusions. Additionally, an outline of the other types of clean-up items addressed include clarifying that virtual currency is treated the same as money on each program – whether excluded or limited, adding or updating controlled substances provisions, amending the definition of bodily injury to current language, or excluding online bullying. State-specific information relayed during the presentation (with a few updates) is:
- Essentially, Wisconsin clients can move forward with sending out policyholder notifications as all endorsements have been approved in that state. Please note that any notifications required by statute (i.e. Wisconsin Statute 631.36 (5)) will have to be added as the notices published on the WRC website are generic for all states.
- We were able to identify a method by which these endorsements could be filed through SERFF for all Missouri clients — a third-party filer (TPF). The TPF is AAIS and all materials have been sent to them to prepare the filing. We await notification from them. We do not expect there to be any issues with any of the endorsements because Kirk Miller of Missouri Heritage filed them individually for his company and all endorsements have been approved as of this date. (Thank you, Kirk!)
- In Illinois, we have been working with 1st Auto to develop language that we think the department will find acceptable with regard to communicable disease. We have the coverage opinion back and have developed a plan. We will be making a few tweaks to the endorsements and 1st Auto will file an endorsement that uses the “template” language that we will use for all other programs. That way, as in Missouri, we can address any regulatory challenges that may occur prior to all companies making a filing or using the endorsements.
- The Iowa, South Dakota and Arkansas client companies have been provided endorsements compatible with the forms they are using. Each will need to file based on their state requirements.
All approved, current materials (including the endorsement/policyholder notice chart) are published on the WRC website except the Homeowners, Dwelling/Farm Fire, and Farmowners endorsements and flowcharts for Wisconsin. Those can be found on the WAMIC website. Blast emails will continue to keep Missouri and Illinois clients apprised of our progress.
An update on other items that have been created or revised in the last year was also provided:
- New endorsements have been developed to cover the liability risks associated with homeowners and farmowners who have installed solar panels or wind turbines and are selling back excess energy to their local energy company or co-op. There are limitations as to who the coverage can be provided for. For example, the dwelling concerned must be owner-occupied, cash overage payments must not total more than $5,000 and installation, repair and maintenance must be completed by an experienced (preferably certified) professional – not the insured. There are also companion additional insured endorsements that can be used (but are not required) in conjunction with the net metering endorsement. Advisory rates have been provided.
- Endorsements were developed that allow for increasing the built-in limits for the incidental liability coverage for damage to property of others in current HO and FO programs. Advisory rates have been provided.
- An endorsement has been developed that will limit payment for the costs to detach and reset solar panels when there is damage to the underlying roof, but not the actual panels. The endorsement also changes the valuation provision to ACV on solar panels even if they are mounted to the roof of a dwelling that is insured on a replacement cost basis. (Thanks to Tricia Mickley for the initial development of this endorsement and the willingness to share with her WRC peers!)
- PDT8 and PDT9 have been updated for the most recent terrorism act renewal.
- Coverage endorsements for service line were developed. There are options for $10,000 and $15,000 in coverage for all current AAIS programs. Advisory rates have been provided.
- A supplemental application and underwriting guidelines were developed for custom feeding operations. Instructions as to how to properly construct the policy are also available.
- The state amendatories for current AAIS programs in Wisconsin were updated to reflect the change in altered terms notification for personal lines from 60 days to 45 days.
For all states except Wisconsin, all of the above-mentioned endorsements can be found by logging in to the WRC website. In Wisconsin, all filed endorsements are on the WAMIC website. All supplemental information and advisory rates, as well as endorsements that have not been filed, can be found the on the WRC website. All rate and form filings should be made per state requirements.