Instructions ACORD 131 - Underlying Coverage Part 2

Underlying Coverage Page 2 of ACORD 131

AGENCY CUSTOMER ID

ACORD 131 Customer ID

As with every ACORD form of more than one page the top right hand corner asks you to put in the agency customer number if there is one. The purpose is to help re-assemble a file if the pages get separated. If you are using forms software such as Simply Easier ACORD Forms, the software will push this data from page to page so you do not have to mess with it.


UNDERLYING INSURANCE (Continued)

Instructions ACORD 131 Umbrella and Excess Application

UNDERLYING GENERAL LIABILITY INFORMATION (Explain all "yes" responses)

There are 6 questions under this section. Obviously if you answer yes you need to explain. Of course not all questions are yes/no questions.

QUESTION 1 - ARE DEFENSE COSTS...

WITHIN AGGREGATE LIMITS?
A SEPARATE LIMIT?
UNLIMITED?

Check the one box which applies. Your underlying insurance policy will only be one of these. If for some reason you do not know the answer ask your underwriter.

QUESTION 2 - INDICATE THE EDITION DATE OF THE ISO FORM OR SIMILAR FILING FOR THE UNDERLYING COVERAGE:

You should be able to look at the forms in the actual policy. The form edition date will be right next to the form number.

QUESTION 3 - HAS ANY PRODUCT, WORK, ACCIDENT OR LOCATION BEEN EXCLUDED, UNINSURED OR SELF-INSURED FROM ANY PREVIOUS COVERAGE? (Y/N)

Put a Y or in in the check box. If the answer is "y" then use the blank space below the question to explain. If you need more space use the Remarks section on page 4 of this form.

QUESTION 4 - FOR CLAIMS MADE, INDICATE RETROACTIVE DATE OF CURRENT UNDERLYING POLICY:

This will be on the actual underlying policy. If you do not know ask the producing agent or the underwriter.

QUESTION 5 - FOR CLAIMS MADE, INDICATE ENTRY DATE INTO UNINTERRUPTED CLAIMS MADE COVERAGE:

This will be the earliest date claims made coverage existed without there being any gap in coverage.

QUESTION 6 - FOR CLAIMS MADE, WAS "TAIL" COVERAGE PURCHASED FOR ANY PREVIOUS PRIMARY OR EXCESS POLICY? (Y/N)  

EFF. DATE:

Here is an excellent definition of Tail Coverage...

http://www.irmi.com/online/insurance-glossary/terms/t/tail-coverage.aspx

If the answer is yes list the policy #, carrier name and dates.


COVERAGE / EXPOSURE

The next section is in two different formats.

The very first format is a simple set of three check boxes. Check the coverage formats which apply.

ANY AUTO (SYMBOL 1)
CGL - CLAIMS MADE
CGL - OCCURRENCE

You can not not have claims made and occurrence on the same policy.

The rest of this section asks you to check the box to the left of the Coverage column coverage description if that coverage is provided by any underlying insurance policy.

For example if there is an AIRCRAFT LIABILITY policy for this customer, check the check box to the left of that text.

IN ADDITION - if there is an exposure - regardless of whether there is a primary insurance policy covering that exposure or not - check the box in the EXPOSURE column.

For example if there is an aircraft liability exposure but there is no primary aircraft liability policy you should still check the box in the exposure column to the right of the text "AIRCRAFT LIABILITY".

At the end of this section are several blank lines for you to enter any coverage or exposures not listed.


UNDERLYING INSURANCE COVERAGE INFORMATION

(INCLUDE ALL RESTRICTIONS; e.g. LASER ENDORSEMENTS, DISCRIMINATION, SUBROGATION WAIVERS, OR EXTENSIONS OF COVERAGE)

This section is used for free form text entry . If you do not have enough room use the ACORD 101 Additional Remarks form.


PREVIOUS EXPERIENCE

GIVE DETAILS OF ALL LIABILITY CLAIMS EXCEEDING $10,000 OR OCCURRENCE THAT MAY GIVE RISE TO CLAIMS, DURING THE PAST FIVE(5) YEARS. WHETHER INSURED OR NOT. SPECIFY DATE, COVERAGE, DESCRIPTION, AMOUNT PAID, AMOUNT OUTSTANDING.

In the bottom left hand corner is a check box to check if there have been NO SUCH CLAIMS.

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