Commercial Casualty II – CISR Questions And Answers GRADED A!!!

Commercial Casualty II – CISR Questions And Answers GRADED A!!! In BAP what does liability section provide protection from claims for? Bodily Injury and Property Damage for which insured is legally responsible for. In BAP physical damage section what type of protection? provides coverage for damage to or loss of an insured's covered auto. What other BAP coverages can be added by endorsement? Medical payments personal injury protection uninsured/underinsured motorist bodily injury and/or property damage losses List all BAP Coverage Exposures? Liability physical damage comprehensive collision Owned auto non-owned auto hired or borrowed auto specified cause of loss towing for private passenger What are BAP liability auto exposures that can arise out of insured maintenance or use of several types autos? Autos name insured owns Autos Name insured does not own, but uses in business Autos name insured hires or borrows List some common claims that arises out of physical damage? Collision windshield breakage theft fire vandalism Define "Accident" in BAP Does not have to be sudden. A Continuous or repeated exposure to the same conditions that result in BI or PD Define "Auto" in BAP a land motor vehicle, trailer or semi trailer designed to travel on public roads subject to financial responsibility law or other MV law where it is licensed or principally garaged Recap CGL "insured contracts" Lease of premises Sidetrack agreement easement or license agreement obligation as required by ordinance assumed tort liability *BAP elevator maintenance is not applicable! BAP uses LEAS plus what other "insured contract?" Rental Lease agreement - made by name insured or any of it's employees. does not cover property damage to auto rented or leased by name insured or one of the employees Recap descriptive phrases for GL mobile equipment? "designed for use off public roads" "used primarily to service premises you own or rent" "moves on crawler treads" "self propelled or not self propelled" "provides mobility to permanently mounted specific equipment" "not otherwise described ... maintained for purposes other than transport of persons or cargo" What 6 types mobile equipment for BAP? 1. Bulldozers, farm machinery, forklifts and other vehicles designed for use principally off public roads. 2. Vehicles maintained for use solely on or next to premises you own or rent. (The key words are "maintained for use solely on premises you own or rent".) 3. Vehicles that travel on crawler treads. 4. Vehicles, whether self - propelled or not, maintained to provide mobility to permanently mounted specific equipment. (This wording includes trailers.) 5. Other vehicles that are not self - propelled and are maintained primarily to provide mobility to specific pe rmanently attached equipment. 6. Vehicles not otherwise described maintained primarily for purposes other than the transportation of persons or cargo. Describe what coverage triggers for Symbol 1 liability for any auto -provides the broadest coverage possible -can be used when no owned autos, and umbrella -calls for underlying auto coverage Describe what coverage triggers for Symbols 2, 3 & 4? Liability, Physical Damage, Medical Payments, Personal Injury Protection, Uninsured Motorists -for owned autos (of same type) acquired during the policy period. 2 - owned auto 3 - owned private passenger, *Symbol three includes Towing & Labor 4 - owned auto other than private passsenger Describe what coverage triggers for Symbols 5 & 6? Personal Injury Protection for autos required to have No-fault benefits in the state where they are licensed or principally garaged. - for owned autos 5- owned auto subject to no fault law 6- owned auto subject to UM, includes newly acquired autos Describe what coverage triggers for Symbol 7? Autos Only Liability, Physical Damage, medical Payments, Personal Injury Protection, Uninsured Motorists - for specifically described autos only *triggers coverage for autos scheduled in decs *liability for trailers the name insured does not own while attached to schedule auto Describe what coverage triggers for Symbol 8? Liability, Physical Damage - for hired autos *Excludes autos those from employees, partners of LLP, members of LLC or members of their household Describe what coverage triggers for Symbol 9? liability for non-owned autos *for autos the name insured DOES NOT own, lease, hire, rent or borrow and used in business *owned by insured employees, partners, members, and member of household used in business or personal affairs Describe what coverage triggers for Symbol 19? liability coverage for autos that would qualify as mobile equipment *Mobile Equipment Subject To Compulsory Or Financial Responsibility Or Other Motor Vehicle Insurance Law Only What endorsement would be used to customize coverage on those vehicles fairly new? Symbol 10 What symbols are used for automatic coverage? Symbols 1, 2-6 or 19 *Autos you acquire after the policy begins What symbols are used for schedule coverage? Symbol 7 *Specifically scheduled in item 3 of BAP dec, must tell insurance company within 30 days after acquired List reason insured can use certain trailers, mobile equipment and temporary substitute autos if because of breakdown repair servicing loss or destruction List example of an automatic symbol coverage Name insured has symbol 2, used to trigger liability, comp and collision. If name insured acquires an additional auto that has liability, comp and collision under the policy for the remainder of policy period, insured doesn't need to report newly acquired auto. premium will be picked up at audit List example that doesn't qualify automatic symbol coverage name insured has symbol 3. if name insured acquires a panel truck there is no automatic coverage because the panel truck is not a passenger auto What 2 conditions must be met for Symbol 7 to apply? 1. All "autos" the named insured owns must be insured by the insurance company for that coverage; or it replaces an "auto" the named insured previously owne d that has coverage and 2. This named insured must tell the insurance company within 30 days after acquiring the "auto" that the named insured wants that coverage. *If both are met the newly acquired auto is additional unit, will automatically have the coverage that all owned autos have. List an example of symbol 7 limited coverage for new auto Name insured owns 9 autos with symbol 7. All 9 have liability, 8 have comp, one has specified cause of loss. 6 have collision. if the name insured acquires 10th auto, will only have automatic liability coverage, because all 9 have at least liability. *will only extend automatically for 30 days List an example of symbol 7 limited coverage for replacement auto name insured has 2 autos, both have symbol 7. 1st vehicle has only liability. 2nd vehicle has liab. and collision. if name insured acquires a replacement or 1st vehicle, new auto only has liability for max. of 30 days *Must inform insurer within 30 days after purchase *Physical damage does not apply until notified that physical damage is wanted What happens for Symbol 7 if late reported to insurance company for new auto? so if acquired on Mar 1st, and doesn't tell insurance company until Aug 15? No coverage is in place for the newly acquired auto. Coverage requested will now begin on Aug 15. What 3 types of insureds are afforded coverage in auto form? 1. "You" 2. Permissive Users of Covered "Autos" 3. Others Who Have Vicarious Liability Describe what a permissive user is? individual who are using a covered auto with name insured permission Explain Drive Other Car Coverage - Broadened Coverage for Named Individuals (CA 99 10) endorsement Typically used to provide non-owned coverage similar but not identical to that provided by a Personal Auto Policy for an individual. This individual is typically a corporate officer or key employee who is provided a company car but does not own a personal auto and does not have a Personal Auto Policy. -There is a premium charge for each named individual. -All BAC Form's exclusions apply; none are removed. Explain Individual Named Insured (CA 99 17) endorsement This endorsement is added to a Business Auto Policy when the named insured is an individual; and at least one of the covered autos is a private passenger type auto. Explain Employees as Insureds (CA 99 33) endorsement This endorsement addresses the exclusionary language that states an employee is not an insured while driving a covered "auto" owned by that employee or a member of that employee's household. -Liability coverage is provided on an excess basis. Explain Employee as Lessor (CA 99 47) endorsement This endorsement is used to treat an "auto" hired, borrowed or leased by the named insured as an owned "auto". Explain Designated Insured (CA 20 48) endoresment This endorsement was developed to give insurers a way to respond to requests to specifically show a person or organization as an additional insured. -allows insurance co. to list Explain Lessor -Additional Insured and Loss Payee (CA 20 01) endorsement This endorsement is used to treat an auto leased by the named insured as an owned "auto".