Named Operator Program NOPII

Transcription

1 CALIFORNIA AUTOMOBILE PHYSICAL DAMAGE PROGRAM Named Operator Program NOPII Offered By: Insurance Services, Inc. P. O. Box 5081 San Ramon, CA Toll Free: Phone: Fax: Telebind: Underwritten By: Empire Fire and Marine Insurance Company (Rated "A" by A. M. Best & Company) Effective: January 15, 2005 CA Lic. #

2 EMPIRE FIRE AND MARINE INSURANCE COMPANY CALIFORNIA AUTOMOBILE PHYSICAL DAMAGE PROGRAM Underwriting Rules 1. MINIMUM INSURANCE VALUE - $3,000 MAXIMUM INSURANCE VALUE - $50,000 (OVER $50,000 - SUBMIT - DO NOT BIND) Coverage for insurable values below $3,000 or above $50,000 is available if the applicant and all listed additional operators qualify for the good driver discount. All risks of this type shall be submitted to the Empire Fire and Marine Insurance Company for approval prior to binding. 2. PREMIUMS BASED ON % OF CURRENT RETAIL VALUE OR BLUE BOOK, WHICHEVER IS GREATER. 3. MVR EXPERIENCE PERIOD - 36 MONTHS. 4. SPECIAL EQUIPMENT is excluded unless fully described and additional premium paid. 5. Coverage applies only to OPERATORS DESCRIBED on application. 6. Applicant must have valid California Driver's license. 7. Proper premium payment and copy of rating service quote sheet, if applicable, required with application. Policy Terms and Policy Fees 1. New policies may be written for 6 or 12-month terms. 2. Policy Fees and Rate Factors are as follows: Policy Term Rate Factor Policy Fee Semi-Annual w/ Installment 50% of Printed Rate New Business Down Option Payment Required - 24% of the Calculated $15.00 Six Month Premium before applicable fees. Semi-Annual 50% of Printed Rate $50.00 Annual Printed Rate $ Policy Fees are fully earned immediately upon issuance of the policy. Premium Payment Requirements 1. Semi-Annual and Annual Policies must be submitted with net premium or premium finance company draft, plus fully earned policy fees. 2. The commission for new and renewal business is 15% of the total premium, less any applicable fees. 3. The producer is responsible for the collection and submission of premium to CenCal Insurance Services. Installment Payment Option Procedures 1. New business policies requesting an installment payment option will be issued for a six month term. 2. Down Payment Required 24% of calculated six month premium. 3. The insured will be billed for the balance of premium in five successive monthly installments. 4. The insured will be billed for monthly premium installments at least 15 days prior to expiration. A service fee of $9.00 will be included in the installment billing. 5. To endorse coverage to an existing policy, send the appropriate information on a policy change form. We will bill the insured, when additional premium is required, on the following month renewal bill. The next billing will net out the appropriate debits and credits. Producer's Binding Responsibility 1. CenCal Insurance Services, Inc., may bind risks which are in compliance with the underwriting guidelines and in which the application is fully completed and electronically/telephonically submitted with the appropriate premium payment. 2. All applications must contain the date and time of completion, plus Zap App or binder number, and be signed by both the APPLICANT AND THE PRODUCER. Producers utilizing electronic submission via Zap App Technology must send the signed original Zap application along with all corresponding documents and premium within 72 hours of the date the application was transmitted to our office. Coverage will become effective on the date and time printed on the Zapp application. The Company reserves the right to alter the effective date if the application and all required supporting documentation are not postmarked within 72 hours of the date of the application. 3. Coverage is bound effective at the time and date indicated on the binder phone, "Telebind:" Application must be U.S.P.S. postmarked within 72 hours after Telebound. If you exceed the 72 hour Postmark binding, coverage will be effective the date and time the application is received in our office. If the binder phone is not used, the policy will be issued effective 12:01 A.M. on the date and time the application is received in our office. Telebind Number: No coverage is effective prior to the completion of the application, payment of premium and the effective date shown on the declaration page. 5. Do not submit coverage in excess of the limits shown in this rate guide. 6. Coverage may only be bound in accordance with the guidelines stated herein. 7. If coverage is to be effective at a later date, please indicate the date clearly and attach proper payment plus fully earned policy fee. 8. Prior to requesting coverage, the producer must inspect all vehicles, regardless of coverage, and attest to having done so on the application. This is to verify: a. vehicle(s) being insured via confirmation of the correct VIN number; b. vehicles are not modified or altered or otherwise prohibited; c. presence of any existing damage; d. vehicle is road worthy, that all lights are intact and glass is not cracked, causing impairment of visibility; NOPII Rev. 1/15/ CenCal Insurance Services, Inc.

3 e. presence of any special equipment. 9. Copy of registration (or bill of sale if new purchase), two clear color photographs showing all four sides of the vehicle, photo of the "VIN" plate, and a copy of the vehicle inspection form required with application. No photos or vehicle inspection form required on brand new and unused vehicle if purchased within 24 hours of requested effective date. Telebind Number The Telebind number is: Prohibited Vehicles / Risks 1. Vehicles not registered in California. 2. All Customized/Modified Units/van conversions. 3. All "salvaged" vehicles. 4. Vehicles purchased at auction. 5. Vehicles with no lienholder unless purchased from dealer within past 30 days (purchase order MUST accompany application), or unless copy of prior physical damage declarations showing expiration within 30 days of proposed effective date accompanies application. 6. Any vehicle with pre-existing damage. 7. All commercial vehicles, limousines, motorhomes, or trucks over 3/4 ton. 8. Applicants involved in the business of sale, repair, parts, or salvage of autos. 9. Any vehicle not owned by the applicant, except leased - sub-leases unacceptable. 10. Gray Market vehicle. 11. Vehicles indicating a lienholder which is not a financial institution or leasing company. 12. Applicants or any other operator listed on application having more than the following: a. 3 accidents or more, regardless of fault; more than one Major Convictions; b. more than 5 Minor Convictions; c. More than 2 Failures to Appear (FTA); d. Any Penal Code or Felony Conviction. NOTE: Coverage for PROHIBITED VEHICLES /RISKS (excluding those listed in 7 & 9) is available if the applicant and all listed additional operators qualify for the Good Driver Discount. All risks of this type shall be submitted to the Empire Fire and Marine Insurance Company for approval prior to binding coverage. Special / Optional Equipment Coverages not available for telephones, radio telephones, or CB units. Coverage for factory installed radio/stereo/tape units is limited to $1,000. No coverage for any other type of Special/Optional equipment is provided unless it was installed at the time of manufacture or if installed after that time, the applicant has declared such equipment on this application and the appropriate premium paid for those acceptable items. Point Assignment For Accidents and Convictions Use driving record for the past 36 months. Points are charged for each Minor Moving Conviction, Intermediate Conviction, Major Conviction and Chargeable Accident appearing on the motor vehicle record or developed on the application (use conviction dates). For multiple charges arising from one occurrence, use the single highest charge involved. Highest rated driver must be rated on the highest rated vehicle. SURCHARGE TABLE First Offense Each Additional MAJOR CONVICTIONS Drunk Driving Reckless Driving Narcotics or Drugs Speed Contests 4 Unacceptable Hit and Run Refusal of Alcohol Test Speed over 100 MPH INTERMEDIATE CONVICTIONS Open Container Possession of Alcohol 2 4 Careless Driving (Out of State) Driving on Suspended / Revoked License (including Unlicensed 1 4 Driver)* CHARGEABLE ACCIDENTS Resulting in Property Damage Only 1 4** Resulting in Bodily Injury 2 4** MINOR AND MISCELLANEOUS CONVICTIONS Each Minor Conviction (including seat belt or child restraint convictions) 1 1 * Licensed operators from out of state, if licensed more than one year, are acceptable with no driver's license point surcharge if driving record is obtainable. ** Three of more accidents are unacceptable Chargeable Accidents All accidents noted on the motor vehicle report(s), application or other documents are chargeable subject to the following: 1. A driver may be considered to be principally at fault in an accident, if the driver's actions or omissions were at least 51 percent of the proximate cause of the accident, the total loss or damage caused by the accident exceeded $ and none of the following conditions existed: a. The vehicle was lawfully parked at the time of the accident. A vehicle rolling from a parked position shall not be considered to be lawfully parked, but shall be considered as in the operation of the last operator; b. The vehicle was struck in the rear by another vehicle, and the driver has not been convicted MAXIMUM COVERAGE : $2,000 PREMIUM: 10% OF DECLARED VALUE NO DISCOUNT APPLIES TO SPECIAL/OPTIONALEQUIPMENT NOPII Rev. 1/15/ CenCal Insurance Services, Inc.

4 of a moving traffic violation in connection with the accident; c. The driver was not convicted of a moving traffic violation and the operator of another vehicle involved in the accident was convicted of a moving traffic violation; d. The driver's vehicle was damaged as a result of contact with a vehicle operated by a hit and run operator of another vehicle and the accident was reported to legal authorities within a reasonable time after the accident; e. The accident resulted from contact with animals, birds, or falling objects; f. The driver was responding to a call of duty as a paid or volunteer member of any police or fire department, first aid squad, or of any law enforcement agency, while performing any other governmental function in a public emergency. g. The accident was a solo vehicle accident that was principally caused by a hazardous condition of which a driver, in the exercise of reasonable care, would not have noticed (for example, black ice. ) 2. One car accidents are chargeable except as noted above. 3. Acceptable proof of non-fault or no bodily injury may consist of a police report, a written statement from the other party s insurance carrier or the applicant s previous insurance carrier, or a similar document. In the absence of any of the above, the applicant s declaration, under penalty of perjury, attesting to his or her at-fault accident history will be accepted. Please fully complete CenCal Insurance Services Affidavit of Applicant or Insured, form number CCIS-B for submission with the application. 4. If two incidents occur at the same time charge only for the incident (accident or violation) with the highest point value. 5. Convictions received while driving for compensation during work hours will not be counted if a statement from the employer or a statement signed by the applicant under penalty of perjury accompanies the application. VEHICLE SURCHARGE FACTORS For all hazard vehicles below use the highest appropriate surcharge. Vehicle Surcharge Dodge Intrepid Plymouth Breeze Dodge Stratus Plymouth Neon Dodge Neon Pontiac Firebird (except V-8) Ford Focus all except SVT Saab Ford Mustang (except V-8) Suzuki (all) Ford Taurus SHO Toyota Prius Geo Metro Volkswagen (except Geo Storm Cabrio/Cabriolet,Corrado) Honda Civic (all except Si) Volvo Honda CRX (all) Vehicle Surcharge "All wheel" steering vehicles. 2. All 4 wheel drive vehicles. 3. All vehicles listed below. 4. All sport utility vehicles (unless higher make surcharge would apply) Acura (except NSX) Audi Dodge Daytona Dodge Stealth Eagle Talon Ford Focus SVT Ford Probe Ford Thunderbird 2-seater (model years 2002 & above) Honda S2000 Honda Civic Si Infiniti Mazda MX3, MX6 Mazda RX-Series Mitsubishi 3000 GT Mitsubishi Eclipse Nissan Z, ZX, SX Plymouth Laser Subaru SVX Toyota Celica Toyota MR-2 Toyota Supra VW Cabriolet/Cabrio VW Corrado Lexus Vehicle Surcharge All Plastic, fiberglass, and aluminum body autos. 2. Vehicles over 10 years old. 3. All vehicles listed below. Acura NSX Alfa Aston Martin Avanti Bentley BMW Cadillac Allante Chevrolet Camaro V8 Chevrolet Camaro Z28/SS Chevrolet Corvette Chrysler Conquest Dodge Viper Ferrari Ford Mustang V8 Ford Mustang GT Honda Del Sol Honda Insight Jaguar Maserati Mercedes Mercury Capri Mercury Merkur Mini Cooper (all series variants) Mitsubishi Starion Mitsubishi Lancer (Evolution Model Only) Panoz Pontiac GTO Pontiac Fiero Pontiac Firebird V8 Pontiac Firebird Trans AM Porsche Saleen Subaru Impreza WRX/STI VW GTI VW R32 1. All pickups and vans (other than mini-vans). Lamborghini Yugo 2. All turbo or super-charged vehicles. Lotus 3. All convertible and T-tops. 4. All vehicles designed for 2 passengers. (If not listed Rating Factors below). Good Driver Discount Factor Any Hybrid Powered Vehicle not otherwise listed. The applicant is qualified to purchase a Good Driver policy Cadillac Honda Prelude if he or she meets all of the following criteria: Chevrolet Camaro (except V-8) Hyundai 1. The applicant and all other operators listed on the Chevrolet Metro Kia (all) application have been licensed to drive a motor Chrysler Concorde, LHS, 300M Lincoln vehicle for the previous three (3) years; and Chrysler PT Cruiser Nissan Altima 2. Has not accrued more than one violation point (as Daewoo (all) Nissan NX/Maxima determined by California Vehicle Code) and has not NOPII Rev. 1/15/ CenCal Insurance Services, Inc.

5 had any "principally at fault" accidents within the last three (3) years; or 3. Has had no convictions for traffic violations and has not been the "principally at fault' driver in more than one (1) accident during the last three (3) years, and if involved in only one (1), the "principally at fault" accident did not include death or injury; and; 4. Has had no more than one (1) dismissal pursuant to Section of the Vehicle Code and which has not been made confidential pursuant to Section of the Vehicle Code, in the 36 month period for violations that would have resulted in the impositions of more than one violation point count under paragraph 1. If the complaint had not been dismissed; and 5. While under eighteen (18) years of age, has not received a conviction within the last three (3) years for driving with a blood alcohol content (BAC) of.05 or greater; and 6. In the previous seven (7) years, has not been convicted of a violation of Section 23140, or of the Vehicle Code, a Felony violation of Section or of the Vehicle Code, a violation of Section or paragraph (3) of subdivision (c) of Section 192 of the Penal Code. This applies only to convictions that occurred on or after January 01, Any operator that does not meet these criteria will not be given the "Good Driver Discount". Mature Driver Discount Factor A 5% Mature Driver Discount is available to rated drivers age 55 and older who have completed a Department of Motor Vehicles approved driver safety course within the last 3 years. A copy of the completion certificate must be submitted with the application. 4 Door Vehicle Discount Factor A 5% credit will be applied to any private passenger vehicle that is equipped with 4 doors, including station wagons and mini-vans. *Does not apply to any surcharged vehicle. $1,000 Deductible Option Factor (Base rates are $500 deductible) Persistency Factor: New Business First Annual Renewal.850 Second Annual Renewal.800 Third or more Annual Renewal.700 Number of Vehicles Frequency/Severity Factor: One vehicle to be insured or More Vehicles to be insured.850 Driver Classification 1. Assign the highest rated driver to the highest rated vehicle; the second highest rated driver to the second highest rated vehicle, etc. The highest rated means the combination of vehicle, coverages and driver rating factors developing the highest total premium. 2. When there are more vehicles than drivers, use the lowest rating factors applicable to all driver related rating factors. No driver surcharge points will apply to the unassigned vehicle. 3. Risks having more vehicles than drivers and a mix of good and non-good drivers will not have the good driver discount applied to excess (unassigned) vehicles. 4. Married means legally married and residing with the spouse. 5. Unmarried includes single, widowed, separated and divorced and married but not living with spouse. Years Licensed / Gender / Marital Status Factor Years Rate Factors Licensed Male Female In U.S. Unmarried Married Unmarried Married Mileage Factor Annual Mileage Factor Annual Mileage Factor 0-3, ,001-22, ,001-6, ,501-27, ,001-15, ,001-30, ,001-18, ,001-33, ,001-21, , Provide number of miles the insured vehicle will be driven in the next 12 months per applicant s estimate. 2. Provide current odometer reading of vehicle Business Use 1. For Business Use, if the otherwise applicable "Years of Driving Experience/Years Licensed/Gender/Marital Status" factor is less than 1.49, use 1.49 instead. 2. Business use means that the vehicle is primarily involved in the duties of the person customarily operating the auto, in an occupation, profession or business. 3. Cars that would normally fall within the definition of Private Passenger Commercial Use are NOT acceptable as business use. No wholesale or retail delivery, including messenger services. Conviction and Accident Point Count Factors Points Rate Factors Points Rate Factors NOPII Rev. 1/15/ CenCal Insurance Services, Inc.

6 Points Rate Factors Points Rate Factors COMPREHENSIVE AND COLLISION Single Vehicle Frequency and Severity Annual Term Factor $500 Deductible / $250 Lienholder Deductible * Good Driver Discount Factor TOTAL PREMIUM (dollar round) = * Optional Factors (if applicable) Base Rate for Annual Term, Single Vehicle... $500 Deductible / $250 Lienholder Deductible Rating Calculation Formula (per vehicle) Vehicle Value (in hundreds) Base Rate (per hundred) x Single Veh Freq./Severity Ann. Term Factor (Territory Factor) Conviction/Accident Point Factor Annual Mileage Factor Years Lic./Gender/Marital Status Factor # of Vehicles Freq & Sev. Factor (# of insured vehicle factor) * Mature Driver Factor * $1,000 Deductible Factor * Vehicle Surcharge Factor * 4 -Door Vehicle Factor SUB TOTAL (dollar round) Special /Optional Equipment SUB TOTAL Persistency Factor Policy Term Factor Policy Fee SUB TOTAL = + = + = NOPII Rev. 1/15/ CenCal Insurance Services, Inc.