ACORD 126 Coverage Section

How to Complete the ACORD 126 Coverage Section

Coverages

The Coverages Section is made up of three parts. In this lesson we will discuss the Coverages and Other Coverages. Tomorrow we will discuss Limits.

The first area for coverages is a group of check boxes Two coverages are listed...

Commercial General Liability
Owner's & Contractors Protective

There is a check box next to a blank text entry field for you to enter other coverages.

Check each of these which apply.

There are two check boxes under the words "Commercial General Liability". One is for Claims Made, the other is for Occurrence.

You can only have one of these. This refers to whether the coverage is provided on a Claims Made or Occurrence format.

DEDUCTIBLES

The Deductibles section gives you three check boxes for coverages to which the deductibles apply. Check each that will have a deductible.

Clearly, each coverage can have its own deductible. Bodily Injury can have one deductible, or no deductible.

When I was still an underwriter, when we were still handwriting polices on stone tablets, adding a small property damage deductible to general liability coverage was a way to get a meaningful premium savings. Plus your competition hardly ever knew this was possible.

Check the Appropriate box to indicate whether the deductibles apply "Per Claim" or "Per Occurrence".


OTHER COVERAGES, Restrictions, and/or ENDORSEMENTS

Other Coverages, Restrictions and / or Endorsements is a free form text entry space.

If you run out of room, use the Remarks section.

NOTE: for hired and / or non-owned automobile liability coverage use the appropriate ACORD 137 state specific form.

WISCONSIN

Yes, Wisconsin just had to be different. Why they decided to include anything about commercial auto insurance is a commercial general liability form is beyond me. I cannot even begin to image the special interest and backroom  politics which led to this. Where is the money?

Anyway, more seriously, if your are insuring a risk in Wisconsin and if non owned only auto coverage is to be provided under this policy, check all appropriate boxes.


I hope this helps you learn how to complete the ACORD 126 Coverages Section.