Apartment complex wants to be additional interest

[etimer]

I went through this with this same apartment complex in 2008 for a tenants policy. They want to be named as Additional Interest," or "Certificate Holder" or "Additional Interested Party. I called and asked, are you asking to be additional insured, what exactly do you want? Response - "yes, It seems like every company has their own terminology" I told her that the apartment complex can't be additional insured on this personal tenant policy. What I wanted to say was.... insurance companies do not create their own terminology for things like additional insured, they are quite clear in their language but I kept quiet.

They want to be named as additional interest on the policy. Think I'll send them the part in the definition included in additional interest - "An individual, partnership or corporation, other than the named insured, who has an insurable interest." I'd like to ask their attorney about the insurable interest part.

This is what they want - "Basically what we are looking for is to be notified if someone cancels their policy and to received an updated copy of the declarations page anytime someone renews their policy. "

I think I'll just send them a COI, copy the insurance company....that will probably make them feel happy but there aren't going to be any words that point to insurance interest. I think they just want a COI in hand with their name in the certificate holder box.

At least the new Acord COI has removed the WILL ENDEAVOR TO MAIL XXXXX DAYS WRITTEN. How many times I received requests to cross out the "will endeavor" part or to place unreasonable days into the space.

I like the new language a lot better because it is cut and dry

"SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS."

Now if only there were a way to get agents to stop issuing AI status on a COI before the insurance company has added the entity as an AI.

Fighting the flu so maybe I'm not seeing straight.

[jtownagent]

ISO does not acknowledge these type of additional insured requests under the homwowner program. So if it is an ISO company you CAN NOT comply with this request. Be careful with COI's. Your statement about the number of days for cancellation in COI's demonstrates to me that you are not familiar with COI's because you are referring to an outdated COI form. COI forms are copywrited by ACORD. You may not legally use an outdated COI, as it would be a violation of copywrite laws. Just tell the appartment complex you can not abide with their request.

[etimer]

No they can't do it because there is no insurable interest and I was just complaining. Complaining that the complex was requesting it in the first place. I was also putting it out there thinking maybe someone knew more than me and maybe there was a loophole.

The COI? I thought I was clear when I said - "At least the new Acord COI has removed the WILL ENDEAVOR TO MAIL XXXXX DAYS WRITTEN. " Not sure what you mean that I don't understand COI's because the latest Acord forms do not have a place to have a time period. I was referring to the old Acord forms and the part I wrote that is in CAPS is from the new Acord forms "SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS."

When I was musing over the idea of just sending a COI it was just to provide evidence of insurance, which is all that an Acord form can ever do. But I decided against it and told them to go see State Farm. State Farm will even make the landlord an AI on the policy.

We are in agreement on this one.

ISO does not acknowledge these type of additional insured requests under the homwowner program. So if it is an ISO company you CAN NOT comply with this request. Be careful with COI's. Your statement about the number of days for cancellation in COI's demonstrates to me that you are not familiar with COI's because you are referring to an outdated COI form. COI forms are copywrited by ACORD. You may not legally use an outdated COI, as it would be a violation of copywrite laws. Just tell the appartment complex you can not abide with their request.

[jtownagent]

Sorry for not reading your complete situtation....

[Purple]

Complain no more, Travelers has what you need (and they're probably not the only company that does.) In their current program for new business, you can specify an "Additional Interest" on an HO4 policy. I haven't been able to locate the form for you, but I think it is an ISO form. This does not grant any coverage to the Additional Interest, but they get a copy of the policy and notice of cancellation which is just what the apartment complex is asking for.
I would also like to suggest that you can use an Evidence of Property Insurance form to give to the apartment office. You can put the liability coverage on there, nothing says you can't. In fact, in the TAM (agency management) system, the liability coverage pre-fills. If you take a look at this form, it clearly states that it "confers no rights upon the additional interest named below." So don't have a fit next time an apartment complex, or even a storage facility, asks you for this, you can do it for your client.

Now I want to know what you do in the situations that are my "additional interest" pet peeves:
1. Employer wants to be Additional Insured on a personal auto policy when they are giving their employee a car allowance to use his own vehicle for business, and
2. Bank wants to be Mortgagee on an HO6 Condo Unit Owners policy, and they require a certain amount of "building" coverage, even though the master policy covers everything and there have not been any betterments, improvements, additions, or alterations.

[lauren]

I've never worked in personal lines, but we add Landlords as Additional Insured to commercial policies all the time: General Liability ISO form CG2011. If a loss arises out of the tenant's use of the premises, the landlord is protected if named in a lawsuit. Why can't this be done on an HO4?

[jtownagent]

IIABA Virtual University addresses this topic in detail under title "Additional Insureds vs. Additional Interests" under the homeowners section. I would cut an paste the artcle but do not want to violate any copywrite laws. If you have access to VU check it out. Again ISO does not acknowledge most add'l insured request under personal lines as they do in commercial lines. VU is availalbe free of charge to all IIABA members check it out at http://www.iiaba.net/vu/default.htm

[Brenda H]

Purple I so agree with you on you 'Pet peeve" B. I have had long drawn out arguments with banks on HO6's who think they know better than I in regards to putting them on as additional interest. I always want to ask them when they got their insurance license to see if they have been licensed longer.

As far as providing an apartment complex evidence of insurance, most of the time liability is what they are looking for, in case the insured causes a fire or something that causes damages. If the tenant is legally liable, then the liability portion would respond. I furnish them EPI's and COI's all the time. They are just listed as a holder, and as the forms state, this does nothing more than give them information.

[itzawlgud]

"They want to be named as Additional Interest," or "Certificate Holder" or "Additional Interested Party. I called and asked, are you asking to be additional insured, what exactly do you want?"

By your own post, they were not askong to be added as an Additional Insured and yet you ask them if that is what they want. Maybe you are bringing more to the table than what is being asked for?
It is becoming more and more comon for apartment complexes to request being added as Additional Interested Party. Some companies can do it, others cannot or will not do it. The apartment management have a very real interest in whether coverage is in effect or not so I don't see this as unusual at all.





"2. Bank wants to be Mortgagee on an HO6 Condo Unit Owners policy, and they require a certain amount of "building" coverage, even though the master policy covers everything........."

Everything? Does the Condo Master policy cover-

Toilets?
Sinks?
Tubs?
CustomShowers?
Custom cabinets?
Carpet and hardwoods?
Hot water heater?
Light fixtures?
Chandeliers?
Plumbing fixtures?

Sounds like the banker may know better than some insurance agents.............

[threed]

The word is 'copyright' people, not 'copywrite'