Partners Mutual Insurance. Private Passenger Auto Manual - Wisconsin

Transcription

1 Partners Mutual Insurance Private Passenger Auto Manual - Wisconsin

2 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 1 INDEX Table Page General Rules PPA 2 - PPA - 15 Scorecard PPA 16 PPA - 19 Supreme Plan PPA 20 PPA - 23 Self-Equalizing Auto Lines (S.E.A.L.) Plan PPA 24 PPA 27 Flexo Rating Plan PPA 28 PPA - 31 Optional Coverages PPA 32 PPA - 38 Auto Territories PPA 39 PPA - 41 Auto Symbols PPA 42 PPA - 43

3 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 2 GENERAL RULES I. INTRODUCTION Effective March 15, 2013, Partners Mutual introduced the Scorecard program for all new business. Prior to March 15, 2013, business was written into the Supreme, S.E.A.L., and Flexo Personal Auto plans for private passenger and utility cars. Under the former Personal Auto plans, a single policy could cover all vehicles in one plan or combination of plans. The Scorecard program applies to all vehicles insured under a single policy. II. UNDERWRITING POLICY The underwriting parameters set forth for each plan list the major underwriting elements taken into account in risk selection. However, a risk not technically qualified within a plan's acceptance guidelines does not entirely preempt acceptance if the risk is, as a whole, considered good in the judgment of the underwriter. Moreover, a risk falling within the requirements may be rejected if, in the underwriter s judgment, the overall situation does not fit the desirability requirements contemplated by the rate structure for risks that meet the plans requirements. In all situations the following underwriting principles of Partners Mutual apply: A. Neither race, creed nor color shall be the basis for unwillingness to insure. B. The fact that an applicant was previously rejected or terminated by another insurer shall not be the basis for unwillingness to insure. C. Individual consideration shall be given to an applicant for insurance regardless of occupation so long as it is a lawful occupation. D. Individual consideration shall be given to each application for insurance and acceptance will be based on fair and reasonable standards objectively applied. E. Once having issued a policy of insurance, the company will endeavor to provide continued coverage as long as considerations of sound operation and fairness to its other policyholders permit. III. IV. APPLICATIONS Each risk must be submitted on a fully, correctly and truthfully completed ACORD application signed personally by the applicant and producer. Signed applications are necessary to provide authorization to obtain consumer reports such as MVR, CLUE and insurance score reports. BINDING AUTHORITY A. Coverage may be bound on risks that meet the eligibility requirements of the plan in which coverage is applied for up to the limits for which a premium is shown. B. Titling/Named Insureds Vehicles not titled to the Named Insured or spouse must be written on a separate policy for the titled owner(s) of the vehicle. However, vehicles co-titled to the Named Insured or spouse along with a household minor can be written on the same policy. * C. Special Persons List - Coverage may not be bound on the following insureds and/or drivers: 1. Principal residence in a state other than the policy state. 2. Requiring a financial responsibility filing. 3. Operators with an unverifiable driving record including drivers with an international license or licensed outside of the United States. 4. Operators whose license is currently suspended 5. Named Insured with a lapse in insurance coverage of 30 days or more Exception Military personnel returning from deploying overseas who had no need for liability insurance coverage while deployed will be defined to have no lapse at new business if: a. They had liability insurance prior to deployment, and b. This coverage was either in-force or expired within 30 days of the date of deployment, and c. They have applied for insurance within 30 days of the date of their return to the United States.

4 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 3 IV. * BINDING AUTHORITY - continued D. Special Vehicle List - Coverage may not be bound on the following vehicles: 1. Type a. Not shown in the auto symbol section of this manual. b. Motorcycles, motor scooters, motorbikes, go-karts, snowmobiles or similar vehicles. c. Vehicles with ignition interlock devices. d. Fifteen years of age or older, unless they are in good physical and mechanical condition and have no unrepaired damage. e. Vehicles that are primarily garaged out of policy insured state. f. Any vehicle of custom manufacture, limited production, or with a value in excess of $95,000. g. Any vehicle with existing damage. h. Any vehicle that is jointly owned by a trust and the named insured. * E. Ineligible Vehicle List 1. The following vehicles are ineligible for coverage under any auto plan. AM General Alfa Romeo Aston Martin Bricklin De Lorean Dodge Challenger Hellcat Dodge Charger Hellcat Dodge Viper Ferrari Jensen Lamborghini Lancia Lotus Maserati Pantera Porsche all models except 912, cylinder, 924 w/o turbo, Cayenne and Cayenne S Rolls Royce Tesla Triumph Grey Market, kit cars, limited production vehicles, rare or exotic vehicles, or rebuilt vehicles. 2. Vehicles with a Salvage title. * 3. Use a. Used or designed for racing. b. Which are used as a public or livery conveyance including delivery of food, newspapers, mail, or magazine, as emergency vehicles, or as part of a Transportation Network Company. c. Used in a car pool or a share-the-ride arrangement over 30 miles one way. d. Rented or leased to others. e. Not licensed or regularly used in a state in which the company operates. f. So defective as to endanger public safety. g. Altered to change performance including suspension raising or lowering. * F. Comprehensive Only Coverage 1. Up to two vehicles may be insured with Comprehensive only coverage when there is at least one other vehicle insured on the policy which carries Bodily Injury and Property Damage coverages. No more than two Comprehensive only vehicles are permitted per named insured/household account. 2. Effective 2/1/17, Motorhomes may no longer be insured with Comprehensive only coverage.

5 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 4 V. DEFINITIONS A. Collisions - All collisions are considered "at fault" regardless of the amount of damage except the following which are not at fault. 1. Car is lawfully parked. 2. Car is struck in rear by another vehicle and the driver has not been cited for a traffic violation. 3. Contact with animals, fowl or airborne objects. 4. Collisions with another vehicle where police collision reports clearly show the other driver to be over 50% at fault. This is subject to verification by the underwriter. B. Violations 1. Major Violations a. Driving under the influence of alcohol or drugs. b. Leaving the scene of a collision without stopping to report. c. Homicide or assault as a result of operating a motor vehicle. d. Driving while license is suspended or revoked. e. Felony involving but not limited to the use of a motor vehicle. f. Attempting to elude an officer. g. Operating without owners consent. h. Racing. I. Underage alcohol operator. j. Juvenile alcohol. k. Open bottle l. Reckless driving. m. Speeding 20 miles or more over the limit. * 2. Minor Violations - All others not shown above. C. Incidents The combined total of collisions and violations. D. Business Use Vehicle use over 250 miles per month required by or involved in a business, occupation or profession other than going to or from work. Business use does not include carrying persons or property for a charge including delivery of food, magazines or newspapers. See the Commercial Auto program for delivery service risks. Rate business use of miles per month as limited business use. Rate business use under 100 miles per month based on miles to work. E. Clergy Full time members of the clergy shall be rated as No Business Use ; 0-3 miles to work. F. Farm The vehicle is principally garaged on a farm, is not customarily used in going to or from work (other than farming) or school and is not used in an occupation other than farming. G. Pleasure and Work The vehicle is not used in business but may be used to drive to or from work or school. This includes use in car pools or other share-the-ride arrangements. Driving part way to a commuter station, bus terminal or railroad station is included. If the vehicle is used in driving to or from work not more than two days a week or not more than two weeks in each five week period, reduce the mileage class as follows: If the distance to work is: Use Classification: miles 0 3 miles Over miles H. Principal Driver The driver using the vehicle or for whom the vehicle is held 50% or more of the time. I. Private Passenger Car - A four wheel motor vehicle of the private passenger type owned or leased for at least six months by an individual or husband and wife who are residents of the same household and not used as a public or livery conveyance for passengers nor rented to others. J. Resident - Individuals who live in the same household as the applicant. An individual on active duty with the Armed Forces of the U.S.A. who customarily operates the vehicle, and an individual who is a temporary resident at an educational institution shall be considered a resident of the household.

6 V. DEFINITIONS continued PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 5 K. Utility Car A four to six wheel vehicle of the pick-up, van, panel truck or motor home type. Utility cars used by sole proprietor artisan contractors in their business are acceptable in the personal auto program. Eligible trucks must be titled in the name of the sole proprietor. Addition of entities other than a lienholder or lessor is not allowed. Trucks titled in the name of a partnership, limited liability company, limited liability partnership or corporation must be written in the commercial auto program. A d/b/a is not a legal entity and cannot be added as an insured. Drivers are subject to the same underwriting requirements as they would be for private passenger vehicles and will be placed in the appropriate program based on their driving record. The vehicles are rated for business use. PROGRAM ELIGIBILITY (applies to all programs) Minimum Age 1. The named insured on the policy must be at least 18 years old. Eligible Vehicles 1. In good physical and mechanical condition. 2. Private passenger cars not on the special vehicle list. 3. Maximum symbol value 24 for model years and 57 for model years 2011 and later. Insurance Coverage - Prior coverage must have been in a standard or preferred plan, not canceled or nonrenewed during the past 3 years for underwriting reasons. VI. COVERAGES A-1. Bodily Injury Liability protects against monetary loss resulting from legal liability for injuries to a person occurring in the United States or Canada. Minimum financial responsibility limits are $50,000/$100,000 A-2. Property Damage Liability protects against monetary loss resulting from legal liability for damage to property of another in the United States or Canada. Minimum financial responsibility limits are $15,000. If coverage for Bodily Injury Liability and Property Damage Liability are written in this company, the conditions of the automobile policy will automatically conform to any No-Fault insurance law in the United States or Canada to which the insured becomes subject during the policy term. B. Medical Expense pays for necessary medical or funeral expense incurred as the result of an accident. C-1. Uninsured Motorist Coverage protects the insured against monetary loss if injury is caused by an accident with a negligent uninsured motorist. The limits of liability for this coverage may not exceed the limit for Bodily Injury Liability that applies to the same item. UM coverage is mandatory if BI coverage is carried. C-2. Underinsured Motorist Coverage protects the insured against loss if any injury is caused by accident with a negligent insured driver who has Bodily Injury Liability limits lower than our insured s Underinsured Motorist limits. UIM Coverage is mandatory if BI coverage is carried. D-1. Collision Coverage protects against damage to the automobile caused by impact with another object or upset. Coverage must be written subject to a deductible. D-2. Other Than Collision/Comprehensive responds to all losses to the insured vehicle except by collision and other exclusions. Written for the actual cash value of the automobile subject to a deductible. The insured has the option of waiving the deductible for repair of damaged safety glass. D-3. Collision with an Uninsured Motorist. Pays the Collision deductible. The coverage is only available if coverage D-1 is also written. E. Towing & Labor Coverage reimburses the insured up to the limit written for road service expenses incurred as a result of failure of the automobile to operate. Written on private passenger or utility automobiles.

7 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 6 VI. COVERAGES - continued F. Rental Reimbursement. Pays for a substitute vehicle when an insured vehicle is disabled due to a covered loss. G. Custom Furnishings and Equipment - Covers special carpeting and insulation, furniture or bars, facilities for sleeping, cooking, dining, plumbing, refrigeration, height extending roofs, custom murals, paintings, or other decals or graphics, awning, cabanas, or equipment designed to provide additional living facilities. H. Auto Loan/Lease Pays any unpaid amount due on the loan or lease for your covered auto in the event of a covered total loss. I. Partners Plus Automobile Coverages: Package of additional coverages including Rental Reimbursement, Towing, Loan/Lease, and more. J. New Car Replacement Pays for a new vehicle of the same manufacturer, model, and equipment as your insured car conditional upon requirements listed in endorsement. K. Original Equipment Manufacturer Parts Provides new repair or replacement parts supplied by the Original Equipment Manufacturer when available. VII. SURCHARGES FOR COLLISIONS AND CONVICTIONS A. Surcharge points apply based on the records of all vehicle operators. No points are assigned for a driver who is a named insured or principal driver of a car separately insured with Partners Mutual. B. Collisions and Convictions Single Occurrence When a conviction and a collision or two or more convictions result from a single occurrence, surcharge points will apply for the incident with the highest point value. C. Surcharge Point Schedule Points 1. Collisions occurring in the 3 year period immediately preceding the application or renewal. a. Each collision resulting in payment for damage to all property in excess of $1,000 in the Scorecard, Supreme, or S.E.A.L plans or $1 in Flexo, or any loss resulting in bodily injury or death..first Each additional - 4 b. Each collision in excess of one not assigned points in a. above. - 3 c. Exceptions: No points are assigned under the following circumstances: (1) If the car is lawfully parked (if a car rolls from a parked position it shall not be considered as being lawfully parked but as under the operation of the last driver). (2) If the driver is: (a) found to be 50% or less negligent and has not been convicted of a violation in connection with the collision; (b) reimbursed for 50% or more of the damages by, or on behalf of, a person responsible for the collision or has judgment against such person; (c) driving an emergency vehicle; (d) in a collision resulting in Medical Payments only and is other than a one car collision involving collision or upset. (3) Car is struck in rear by another vehicle and our insured driver has not been convicted of a moving violation in connection with the collision. (4) Driver of the other car involved in such collision was convicted of a moving traffic violation and our insured driver was not convicted of a moving traffic violation. (5) Car is damaged due to contact with a hit-and-run driver, if our insured so reports the collision to proper authorities within 24 hours. (6) Accidental damage by contact with animals or fowl. (7) Physical damage caused by flying gravel, missiles or falling objects. d. Surcharge Premium Refund When a collision results in the assignment of a point and it is later determined that such collision comes under one of the exceptions listed above; the additional premium resulting therefrom shall be refunded by the company.

8 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 7 VII. SURCHARGES FOR COLLISIONS AND CONVICTIONS continued 2. Convictions, Including forfeiture of bail occurring in the three year period preceding the application or preparation of the renewal as indicated. (a) Driving while under the influence of drugs, alcohol or a controlled substance... 8 (b) Leaving the scene of a collision without stopping to report... 8 (c) Homicide or assault as a result of operating a motor vehicle... 8 (d) Driving while license is suspended or revoked... 8 (e) Felony involving, but not limited to, the use of a motor vehicle... 8 (f) Attempting to elude an officer... 8 (g) Operating auto without owner's consent... 8 (h) Racing... 8 (i) Underage alcohol operator... 8 (j) Juvenile alcohol... 4 (k) Open bottle 5 (l) Reckless driving... 5 (m) Speeding 20 miles or more over the limit... 4 (n) Violations not specified above: (i) All drivers other than youthful operators and those rated in the Flexo program Each moving violation in excess of one... 2 (ii) Youthful operators, Flexo rated drivers - Each moving violation The experience period for all programs (Scorecard, Supreme, Seal and Flexo), including rating and eligibility is the three year period immediately preceding the application or renewal. VIII. DISCOUNTS A. Anti-Theft Discount Car Damage Other Than Collision coverage is eligible for a discount if the vehicle has a hood lock that can only be released from the inside and: 1. A device which requires a separate manual step to engage, 5%; a. Either an alarm producing sound that can be heard at least 300 feet away for 3 minutes; or b. A vehicle disabling device which makes the full, ignition or starting systems inoperative. 2. A device which engages automatically to disable the vehicle by making the fuel, ignition or starting systems inoperative. 15%. 3. Recovery Device - A device which activates automatically to provide location information to law enforcement agencies. 10%. This credit is only available if an automatic disabling device as described in 2 above is also in the vehicle. B. Car-Home Discount 1. Eligibility A 8% discount will apply to the final policy premium if the named insured also has a Homeowners Policy with the company or an application having an effective date within 60 days and meets the following requirements. a. The named insured on the auto and home policies must be for the same individual (or husband and wife) except for the auto policy for a resident child or parent. b. At least one vehicle must carry BI, PD and Medical Payments coverages. 2. Effective Date a. New business policies will have the discount applied at once. b. Existing Automobile policies that become eligible as a result of a submitted Homeowners application will receive the discount on the effective date of the Homeowners policy. c. If the Homeowner policy is canceled or nonrenewed, the discount will be deleted from the Automobile policy at the next renewal. 3. Qualifying applications must be quoted and issued under the same account number as the existing Homeowners policy in order to receive the discount.

9 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 8 VIII. DISCOUNTS - continued C. Good Student Discount 1. Good Student Discount (GSD) - Persons less than 25 years of age meeting the following qualifications will receive a discount as indicated to the vehicle on which the student is rated. Policies shall not be endorsed midterm to reflect a change in the scholastic standing of the student. a. The driver, owner or operator is 16 years old or over and full time high school or college student or college graduate; b. Prior to the renewal or inception date of the policy, furnish the company a statement certified by a responsible school official, which indicates that at least one of the following requirements has been met for the last complete term: (1) Ranked scholastically in the upper 20% of the class, or (2) Had a grade average of B or better, or (3) Had at least a 3.0 grade point average on a 4.0 basis, or (4) Was included in the Dean's List the Honor Roll or similar list. c. After the Good Student Discount is added for a driver it will be automatically retained for their renewal policy based on the following schedule: (1) A student qualifying for GSD in high school will retain the discount until the first renewal after their 19 th birthday as long as they do not drop out of high school prior to graduation. (2) A student qualifying for GSD in college will retain the discount until the first renewal after their 22 nd birthday as long as they do not drop out of college prior to graduation. (3) A student graduating from college with a final grade point average of 3.0 or higher on a 4.0 scale, and employed full time will retain the discount until the first renewal after their 25 th birthday. 2. Students Away At School Over 100 Miles From Home - Youthful operators meeting the following criteria are eligible for a special secondary modifier. See Section VI. SECONDARY CLASSIFICATIONS under each rating plan for the secondary modification applicable to these drivers. a. rated as the principal operator for a vehicle, b. reside during the school year at a location over 100 miles from their home and, c. does not have that vehicle with them at school. D. Multi-Car Discount The applicable multi-car rating factor in the Secondary Classification Section applies if two or more private passenger automobiles are written on one policy or on separate policies for related residents, at least one is insured for BI, PD and UM coverages and where the only drivers are full time residents of the insured's household. A single car insured for BI, PD and UM coverage will receive the multicar discount if a resident of the household is furnished a company car for regular use and there are no other vehicles in the household and Extended Non-Owned Coverage is carried with PMIC on the company car. E. Safety Equipment Discounts 1. Anti-lock brakes, Electronic Stability Control - Bodily Injury, Property Damage and Collision Coverages a. Electronic Stability Control - Model years 2006 and newer only -7.5%. b. Anti-lock brakes - Model years only -5%. 2. Air Bag - Applies to Medical Expense Coverage a. Driver s side -20%. b. Driver s and passenger side -25%. c. Driver s side, passenger side, and side impact -30%. F. Renewal Reward Plan Not applicable to vehicles rated in the Flexo program or for drivers less than 21 years of age. Renewal policies with a minimum of three consecutive years of coverage without interruption at date of renewal will not be charged for the first chargeable collision if the loss does not involve bodily injury and the total payment is less than $10,000. The waiver shall be deleted upon the occurrence of another chargeable collision for any driver and the surcharge will then apply to all chargeable collisions that occurred during the rating period.

10 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 9 VIII. DISCOUNTS continued G. Insurance Score Modifier Applies to policies written prior to March 15, The insurance score premium modifier is based on the named insured s insurance score. If there are multiple named insureds, the highest score will apply. 2. The insurance score must be determined from the ATTRACT PROPERTY scoring system. 3. An insured may request to have an insurance score updated. The update will apply at the policy renewal date. 4. The insurance score premium modifier applies to Bodily Injury and Property Damage Liability; Medical Payment and Collision premiums. TIER MODIFICATION TIER MODIFICATION 1-28% discount 6 +5% surcharge 2-22% discount 7 +17% surcharge 3-17% discount 8 +40% surcharge 4-10% discount 9 +50% surcharge 5-7% discount % surcharge H. Paid-In-Full Discount A Paid-in-Full Discount of 5% will be afforded on any policy where the insureds elect to pay by Prepaid No Installments. This discount applies to all coverages except Loan/Lease Gap, New Car Replacement, OEM Parts or $0 Deductible Glass Replacement. This discount applies to six month and annual policy terms only. The discount applies to all vehicle types except Named Non-Owned. I. Advance Quote Discount The Advance Quote Discount is available to newly issued policies with an original effective date on or after May 1, The applicable rates will be reduced by the appropriate factor if the following criteria are satisfied: 1. The initial quote for the new policy is completed seven or more days before the policy effective date at New Business. The order date of the new policy s third party Insurance Bureau Score report will be considered as the date for the initial quote. 2. The policyholder has prior insurance with no lapse in coverage at New Business. A policyholder will be considered to have a lapse at New Business if there is a lapse of one day or more between the expiration date of the prior policy and the New Business effective date of the new business policy. Exception - Military personnel returning from deploying overseas who had no need for liability insurance coverage while deployed will be defined to have no lapse at new business if: a. They had liability insurance prior to deployment, and b. This coverage was either in-force or expired within 30 days of the date of deployment, and c. They have applied for insurance within 30 days of the date of their return to the United States. 3. The policyholder s prior insurance carrier is not Partners Mutual Insurance. This is a new business discount only; rewritten and spinoff policies are not eligible for the discount. The discount applies to all vehicle types and the Bodily Injury and Property Damage Liability, Collision, Medical Payments, Comprehensive, Uninsured Motorists, Underinsured Motorists, and all Miscellaneous coverages except Auto Loan/Lease, Replacement Cost Auto, and Partners Plus Auto coverage. The discount applies only during the first four (4) years of the policy using the following factors. Days Quoted in Advance Tenure Rate Factor 0 to 6 All 7 or more Year Year Year Year Year 5

11 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 10 * J. Affinity Group Discount Program An Affinity Group Discount of 3% shall be applied for individual members of a company approved risk group. A company approved risk group for the purpose of this rule must meet the following requirements: 1. The group must consist of 1,250 or more individuals who are employees or members of an organization such as, but not limited to, a credit union, association or government department, unit or agency; or 100 or more individuals who are employees of a corporation or partnership. a. This discount will also be available to current Partners Mutual Insurance Employees and to our licensed agents and agency staff members. 2. The group must have been in existence for at least 3 years and not formed primarily for the purpose of obtaining insurance. The group must complete the Affinity Marketing application, and Partners Mutual Insurance will notify the applicant in writing of the decision. We reserve the right to review each application for the Affinity Group Discount and make any inspections necessary to validate the status of any group or member applying for the Affinity Group Discount. An individual must meet the eligibility requirements of the Partners Mutual Voluntary Private Passenger Auto Program. Individual members include employees, members, or customers of an approved risk group. A group member will also include a resident relative of an employee, member, or customer of an approved risk group. The discount will only be added and removed upon renewal. There will be no mid-term adjustments to the policy. This discount applies to all coverages except Loan/Lease Gap, New Car Replacement, OEM Parts or $0 Deductible Glass Replacement. This discount applies to six month and annual policy terms only. The discount applies to all vehicle types except Named Non-Owned. For eligible coverages, a factor of 0.97 shall be applied to the Base Premium. IX. CANCELATION A. The named insured may cancel a policy by sending the latest declarations or a written notice to the Company Home Office stating when thereafter the cancelation is to be effective. A pro rata premium charge is made from inception date to the date of cancellation. The unearned premium is refunded directly to the insured. B. The named insured may cancel a policy flat on renewal by returning the policy within 15 days of the inception date. C. The company may cancel by sending a written notice as prescribed in the policy. A pro rata premium charge is made from inception date to the date of cancelation. The unearned premium is refunded directly to the insured. X. POLICY CHANGES All changes should be made through Partners Agency Link or requested on Form 2319, "Request for Change of Car and/or Change of Coverage." Premium calculations are made on a pro rata basis. XI. XII. POLICY ISSUE A. Minimum Premium - A minimum annual premium of $ applies to all new and renewal policies. B. Policy Terms Available - 6 and 12 month terms. VEHICLE OWNERSHIP BY A MINOR - Vehicles owned by a minor may be insured under their parent or guardian s policy with the minor shown as the loss payee on the vehicle. Minors may not be insured on a policy under their own name.

12 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 11 XIII. PREMIUM DETERMINATION A. Determine territory in which the automobile will be principally garaged. See Territory Section. B. Determine appropriate symbol for the automobile. See Symbol Section. C. Determine primary and secondary classifications. 1. Assign each driver to one vehicle. A vehicle may have more than one driver assigned. a. If there are no youthful drivers, the classification that applies for the highest rated principal driver of each vehicle should be used. b. Rating of Youthful Drivers (1) Rate on the vehicle most frequently operated. (2) If the youthful operator operates more than one vehicle insured under the policy apply the youthful class to the vehicle with the highest base premium. c. If there are more vehicles than drivers, extra vehicles will be rated based on the lower of: (1) The lowest rated driver age class excluding use or (2) The pleasure use class for the best program under which at least one driver is rated. EXAMPLES: (1) If all drivers are rated in Flexo, rate excess vehicles on the lower of: (a) the lowest rated driver age class excluding use or (b) Flexo class (2) If at least one driver is rated in SEAL but, no drivers are rated in Supreme, rate excess vehicles on the lower of: (a) the lowest rated SEAL driver age class excluding use or (b) SEAL class (3) If at least one driver is rated in Supreme, rate excess vehicles on the lower of: (a) the lowest rated Supreme driver age class excluding use or (b) Supreme class d. If the number of drivers equal the total number of private passenger and utility rated vehicles, each driver must be assigned to a separate vehicle. e. If the number of drivers exceeds the total number of private passenger and utility rated vehicles, assign drivers as follows: (1) Each youthful operator must be assigned to a separate vehicle unless there are more youthful operators than there are private passenger and utility rated vehicles in which case an excess youthful operator can be added to another youthful operated vehicle. In no case can the number of youthful operators on any one vehicle exceed the number of youthful operators on any other vehicle by more than one. (2) Adult drivers must be assigned to a separate vehicle unless there are more adult operators than there are private passenger and utility rated vehicles in which case an adult operator can be added to another adult operated vehicle. In no case can the total number of operators on any one vehicle exceed the total number of operators on any other vehicle by more than one. (3) The oldest driver assigned to a vehicle is always assigned as the primary operator and the youngest as occasional. 2. Determine the number of rating points applicable to each driver and add together the points for each driver per car to which they are assigned. D. Rating (for policies written prior to ) 1. Determine the base premiums for the territory and symbol. 2. Add the appropriate primary and secondary classification factors together. 3. Multiply the base premium for Car Damage Collision and Other Than Collision, Bodily Injury, Property Damage and Medical Expense by the sum of the primary and secondary classification factors. 4. Add the premium for Uninsured Motorist, Underinsured Motorist and optional coverages. 5. Apply Anti-Theft, Car/Home, and Safety Equipment discounts if applicable.

13 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 12 *XIII. PREMIUM DETERMINATION - continued E. Rating (for policies written effective and after) STEPS IN ORDER OF CALCULATION Bodily Injury Property Damage Combined Single Limit Medical Payments Uninsured Motorist Coverage Underinsured Motorist Coverage Other than Collision Collision BASE PREMIUM $ $ $ $ $ $ $ $ TERRITORY FACTOR X X X X X X X X TIER FACTOR X X X X X X X X VEHICLE FACTOR X X X X X X X X SYMBOL FACTOR X X MODEL YEAR FACTOR X X DEDUCTIBLE FACTOR X X INCREASED LIMIT FACTOR X X X X X X SAFETY EQUIPMENT FACTOR X X X X X X DRIVER CLASS FACTOR X X X X X X SCORE CARD FACTOR X X X X X X X X CAR/HOME DISCOUNT FACTOR X X X X X X X X AFFINITY GROUP DISCOUNT FACTOR X X X X X X X X ADVANCE QUOTE DISCOUNT FACTOR X X X X X X X X PAID-IN-FULL DISCOUNT FACTOR X X X X X X X X = = = = = = = = COVERAGE PREMIUM $ $ $ $ $ $ $ $

14 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 13 *XIII. PREMIUM DETERMINATION continued STEPS IN ORDER OF CALCULATION Uninsured Motorist Collision Towing and Labor Rental CUST. FURN. & EQUIP. PARTNERS PLUS MOTOR HOME CONTENTS BASE PREMIUM $ $ $ $ $ $ TERRITORY FACTOR X X X X X X TIER FACTOR X X X X X X VEHICLE FACTOR X X X X X X SYMBOL FACTOR MODEL YEAR FACTOR DEDUCTIBLE FACTOR X X INCREASED LIMIT FACTOR X X X SAFETY EQUIPMENT FACTOR DRIVER CLASS FACTOR SCORE CARD FACTOR X X X X X X CAR/HOME DISCOUNT FACTOR X X X X X X AFFINITY GROUP DISCOUNT FACTOR X X X X X X ADVANCE QUOTE DISCOUNT FACTOR X X X X X X PAID-IN-FULL DISCOUNT FACTOR X X X X X X = = = = = = COVERAGE PREMIUM $ $ $ $ $ $ LOAN LEASE = OTC $ + COLL $ X LL BASE NEW CAR REPLACEMENT OEM PARTS COVERAGE = OTC $ + COLL $ X NEW CAR BASE = OTC $ + COLL $ X AGE OF CAR FACTOR $0 GLASS DEDUCTIBLE = OTC $ X $0 DEDUCTIBLE GLASS FACTOR *NO SCORECARD FACTOR IS APPLIED TO THESE COVERAGES Factor applies to PPA, PU, Antique/Classic, Motorcycle and Electronic vehicle type. F. Classification Changes Midterm changes in classifications are permitted to reflect the addition or deletion of a driver. Midterm changes however are not permitted for: 1. Change in rating symbol based on review of loss experience. 2. Attained age of an operator. 3. Change in Driving Record surcharges.

15 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 14 XIV. COMPANY RENEWAL GUIDELINES The experience period for all programs (Scorecard, Supreme, Seal and Flexo), including rating and eligibility is the three year period immediately preceding the application or renewal. Partners Mutual Insurance Renewal Business Guidelines Company Plan Supreme S.E.A.L. Scorecard & Flexo License status All operators must have a valid license All operators must have a valid license All operators must have a valid license Minimum limits 50/100/25 or 100,000 CSL 25/50/10 or 50,000 CSL 25/50/10 or 50,000 CSL At-fault collision(per driver) No more than 1 > No more than 2 > $1,000 No more than three regardless $1,000 No more than 2 >= $1,000 of amount paid. No more than 2 >= $1,000 Not at-fault collisions (per No more than 1 > No more than 2 > $1,000 No more than 2 > $1,000 driver) $1,000 Combined AF & NAF No more than 2 No more than 3 No more than 3 collisions Other than Collision losses (per policy) No more than 1 per vehicle / 3 per policy No more than 2 per vehicle / 3 per policy No more than 3 per vehicle / 4 per policy Towing & Labor (per No more than 3 No more than 3 No more than 3 vehicle) Minor violations (per No more than 2 No more than 3 No more than 4 driver) Major violations ( per None None 1 driver) Total incidents (viols./ No more than 3 No more than 4 No more than 4 collisions) Lapse in coverage or nonpayment (prior term) No lapse in coverage Eligible for lapse if the lapse in coverage is less than 30 days. Eligible for lapse if the lapse in coverage is less than 30 days.

16 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 15 SCORECARD I. PERSONAL AUTOMOBILE UNDERWRITING SCORECARD PROGRAM An insured s Underwriting Card result will be used in rating new business policies effective on or after March 15, 2013, and subsequent renewals. Policies effective prior to this date will be rated without consideration of an insured's Underwriting Scorecard result. Partners Mutual Insurance Company uses mutually exclusive underwriting card characteristics; no one characteristic alone determines tier eligibility and no new policy may be eligible for more than one tier. Risks can be re-tiered at the Underwriter s discretion. Tier and underwriting placement will not be used in a duplicative manner with the SDIP Driving Record Surcharges, Classifications or any other rating characteristics. Partners Mutual Insurance Company uses mutually exclusive underwriting characteristics to assign the tier and tier factor. Number of Years Driving Experience Prior Liability Limits Number of Drivers vs. Number of Vehicles Total Number of Incidents Insurance Score Chargeable and Non chargeable Accidents** Not at fault Accidents** Comprehensive Losses** Minor and Major Violations** Speeding Violations* DUI / DWI/ OWI** Homeownership ** The experience period for Scorecard rating and eligibility is the three year period immediately preceding the application or renewal. The underwriting scorecard evaluates each applicant based upon its combination of these characteristics to determine eligibility among one of 34 underwriting tiers (P1-E1). These characteristics are mutually exclusive, no one characteristic alone determines tier eligibility, and no new policy may be eligible for more than one tier. This methodology is designed to improve new business underwriting accuracy as well as expand our product offering to more potential applicants. Tier Rel Tier Rel P J O J O I O I N I N H N H M H M G M G L7 45 G L F L F K F K E K E J E

17 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 16 I. PERSONAL AUTOMOBILE UNDERWRITING SCORECARD PROGRAM continued This factor applies to the base rate for the following coverages: Bodily Injury Property Damage Combined Bodily Injury and Property Damage Uninsured Motorists Underinsured Motorists Uninsured Motorists Collision Medical Payments Other than Collision Collision Towing & Labor Rental Reimbursement Customer Furnishings & Equipment Partners Plus auto endorsements Motor Home Contents These underwriting guidelines apply to New Business policies with an effective date on or after 05/01/13. Any policy effective prior to this date will continue to fall under the prior underwriting guidelines and tier levels. II. PROGRAM ELIGIBILITY Minimum Age 1. The named insured on the policy must be at least 18 years old. Eligible Vehicles 1. In good physical and mechanical condition. 2. Private passenger cars not on the special vehicle list. 3. Maximum symbol value 24 for model years and 57 for model years 2011 and later. Insurance Coverage - Prior coverage must have been in a standard or preferred plan, not canceled or nonrenewed during the past 3 years for underwriting reasons. Driving History 1. No license suspensions or revocations in the past three years. COVERAGE REQUIREMENTS Bodily Injury and Property Damage Liability Minimum financial responsibility limits are $25,000/$50,000/$10,000 Medical Expense $10,000. Can be rejected. Uninsured Motorist $100,000/$300,000 minimum. Required with liability coverages. Limits cannot exceed the bodily injury liability limits. Underinsured Motorist $100,000/$300,000 minimum. Required with liability coverages. Limits cannot exceed the bodily injury liability limits. Physical Damage Collision Required on at least one vehicle. Written only in conjunction with Physical Damage Other Than Collision/Comprehensive. Physical Damage Other than Collision/Comprehensive Optional. Written only with liability coverages except when the vehicle is temporarily withdrawn from service. Physical Damage Collision with Uninsured Motorist - Optional. Waives the Collision deductible when an uninsured motorist is liable for the accident. Written only with Physical Damage - Collision.

18 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 17 II. PROGRAM ELIGIBILITY continued Towing and Labor Costs Optional. Requires Liability and Physical Damage Other Than Collision/Comprehensive. Rental Reimbursement Optional. Requires Physical Damage coverages. Covers automobile rental charges for a substitute vehicle as a result of a loss to which Physical Damage coverages apply. Custom Furnishings and Equipment Optional. Requires Physical Damage Coverages. Special carpeting and insulation, furniture or bars, facilities for sleeping, cooking, dining, plumbing, refrigeration, height extending roofs, custom murals, paintings, or other decals or graphics, awning, cabanas, or equipment designed to provide additional living facilities. Auto Loan/Lease Optional. Requires Physical Damage Coverages. * Partners Plus Automobile Optional. Requires Physical Damage Coverages. Available on vehicles less than 15 years old. New Car Replacement Optional Original Equipment Manufacturer Parts Optional. Requires Physical Damage Coverages.

19 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 18 III. PRIMARY CLASSIFICATIONS A. SEX, MARITAL, PRINCIPAL/OCCASIONAL, AGE FACTORS OTHER THAN YOUTHFUL DRIVERS Sex Marital Status Principal/Occasional Age Code Primary Factor Male or Female Married or Unmarried P or O 75 & over Male or Female Married or Unmarried P or O Male or Female Married or Unmarried P or O Male or Female Married or Unmarried P or O Male or Female Married or Unmarried P or O Male or Female Married or Unmarried P or O Male or Female Married or Unmarried P or O All Others 6111 YOUTHFUL DRIVERS Male Married P or O Male Unmarried Occasional Male Unmarried Principal Female Unmarried Occasional Female Unmarried Principal B. USE FACTORS - Modifies the Primary Factor Use Use/Mileage Code Factor Pleasure Use 6XX Drive to Work to 3.0 miles 6XX1 Drive to Work 3.1 to 15.0 miles 6XX Drive to Work - Over 15.0 miles 6XX Good Student - Drive to Work miles 6XX Use Use/Mileage Code Factor Good Student - Drive to work over 3.0 miles 6XX Limited Business Use 6XX Business Use 6XX Farm Use 6XX9 0.84

20 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 19 IV. SECONDARY CLASSIFICATIONS A. Add (or subtract as indicated) the secondary rating factor to the primary rating factor to develop the final rating factor. Apply the final rating factor to the base premiums. Vehicle Rating Points Rating Code Non-Renewal Reward Single Car Multi-Car Renewal Reward Single Car Multi-Car Student away at school over 100 miles without vehicle. Applies to principal operated vehicles only. Multi-Car *Add 2.00 for each additional rating point. B. Secondary Classifications shall not be changed during the policy term except: 1. To correct an inaccuracy 2. To reflect the addition or deletion of a driver. C. Secondary Classification Codes 1. The fifth digit of the classification code designates: a. Single or multi car. b. Whether a chargeable accident has been waived under the Renewal Reward rule. 2. The sixth digit indicates the rating points and surcharge.

21 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 20 SUPREME PLAN These guidelines apply to new business written prior to 3/15/2013. For renewal standards in this plan, refer to the table on page PPA 13. The experience period for renewal business in this plan is the three year period immediately preceding the renewal. I. SUPREME PROGRAM ELIGIBILITY This plan is designed for drivers with clear MVR and collision records. An applicant is eligible for binding if none of the drivers appear on the Special Persons List, and all covered vehicle drivers meet the following requirements: A. Experience 1. Must possess a valid driver s license, and, 2. As a principal driver, a minimum of 5 years experience. B. Collisions - Each Driver 1. No at-fault collisions in the past 3 years nor more than one in the past 5 years. 2. Not more than one not-at-fault collision in the past 3 years. 3. No one car collisions in the past 5 years. C. Violations - Each Driver 1. No major violations, license suspensions or revocations in the past 5 years or more than one in a lifetime. 2. No minor moving violations in the past 3 years nor more than one in the past 5 years. 3. Not more than one non-moving violation in the past 3 years. 4. Not required to file a certificate of financial responsibility. D. Collisions and Violations Combined 1. No incidents for unmarried principal drivers under Not more than one incident for each driver nor more than three for all drivers in the past 5 years. E. Eligible Vehicles 1. In good physical and mechanical condition. 2. Private passenger cars not on the special vehicle list. 3. Maximum symbol value 24 for model years and 57 for model years 2011 and later. F. Insurance Coverage - Must have had continuous coverage in a standard or preferred plan during the past 12 months and not canceled or non-renewed during the past 3 years for underwriting reasons. G. Favorable Financial History - No bankruptcy in the past 5 years; and gainfully employed, retired or a full time homemaker; and a minimum insurance tier of 5 if any driver has had any violations or collision claims in the past five years. II. III. INELIGIBILITY FOR CONTINUANCE IN SUPREME An insured becomes ineligible for Supreme rating at the first renewal that would result in the application of four or more rating points. The insured will be automatically transferred to the S.E.A.L. Rating Plan unless the insured is subject to the Flexo Plan. The decision to enact the transfer will be communicated to the agent as soon as it is determined by the underwriter. If the insured reapplies to the Supreme program, he/she must meet all eligibility rules. COVERAGE REQUIREMENTS Bodily Injury and Property Damage Liability Minimum financial responsibility limits are $50,000/$100,000/$25,000 Medical Expense $10,000. Can be rejected. Uninsured Motorist $100,000/$300,000 minimum. Required with liability coverages. Limits cannot exceed the bodily injury liability limits. Underinsured Motorist $100,000/$300,000 minimum. Required with liability coverages. Limits cannot exceed the bodily injury liability limits.

22 PRIVATE PASSENGER AUTO MANUAL WISCONSIN PPA - 21 III. COVERAGE REQUIREMENTS - continued Physical Damage Collision Required on at least one vehicle. Written only in conjunction with Physical Damage Other Than Collision/Comprehensive. Physical Damage Other than Collision/Comprehensive Optional. Written only with liability coverages except when the vehicle is temporarily withdrawn from service. Physical Damage Collision with Uninsured Motorist - Optional. Waives the Collision deductible when an uninsured motorist is liable for the accident. Written only with Physical Damage - Collision. Towing and Labor Costs Optional. Requires Liability and Physical Damage Other Than Collision/Comprehensive. Rental Reimbursement Optional. Requires Physical Damage coverages. Covers automobile rental charges for a substitute vehicle as a result of a loss to which Physical Damage coverages apply. Custom Furnishings and Equipment Optional. Requires Physical Damage Coverages. Special carpeting and insulation, furniture or bars, facilities for sleeping, cooking, dining, plumbing, refrigeration, height extending roofs, custom murals, paintings, or other decals or graphics, awning, cabanas, or equipment designed to provide additional living facilities. Auto Loan/Lease Optional. Requires Physical Damage Coverages. * Partners Plus Automobile Optional. Requires Physical Damage Coverages. Available on vehicles less than 15 years old. New Car Replacement Optional Original Equipment Manufacturer Parts Optional. Requires Physical Damage Coverages.