Coverage Corner – Renewal Applications

Each year, your organization is sent a set of renewal applications that details the coverages offered for your entity and provides information on limits, deductibles, schedules and endorsements. Making the right choices during renewal can feel like a challenging task, but securing the right coverage for your operations is a critical piece of your risk management program. Because of this, it’s important to take time to thoroughly review and understand this material – and to keep in mind that your local agent of record is available to help guide you as you evaluate your exposures. Your underwriter or member services representative can also assist you as you review the elements of Public Entity Partners’ coverage and understand how the services we provide set us apart from others.

Here are a few of the common things that members can easily overlook at renewal time:

·       Coverage:

-    Several coverages, such as Privacy & Network Liability and Employment Practices Liability, require a supplemental application to be completed. Be sure to answer all questions – it’s important!

·       Endorsements:

-    We have shared before how essential it is to review the endorsements supplied with your renewal applications and/or attached to your policy. This is because endorsements change the coverage that you receive under your policy document.

-    Examples of endorsements include the Additional Named Insured Endorsement, Sewer Backup/Water Main Break Endorsement, Class Action Liability Endorsement, or Voluntary Medical or Accident Coverage for Elected Officials.

-    Your declaration page for each line of coverage will have a listing of endorsements. Most endorsements are attached to your renewal application.

·       Schedules:

-   Schedules that are attached to your policy document list out areas with specific coverage. Reviewing your property schedule, mobile equipment schedule, and fire and utility stated value schedules is important when completing your renewal applications.

-    We frequently see members forget to add traffic signals or street lighting to property schedules, or forget to review personal property at each location.

-    As you review your coverage, look to determine if you have purchased anything new or have left off important items.

-    Also consider any storage buildings you may have and what items are kept there.

·       Deductibles:

-    When you select a deductible, you are choosing the amount of a loss you are willing to take on.

-    Sometimes for high-exposure areas, a deductible might be required. Typically, if you take on a higher deductible, your premium will be lower.

-    As you evaluate your renewal, make sure you are looking at your deductibles and choosing the amount that is right for your organization.  Your underwriter can help you as you evaluate deductibles by providing premium quotes.

It is critical to sign and submit your completed renewal applications on time so that you continue to receive the proper coverages. Our underwriting department must receive your applications 45 days prior to your renewal in order to fully evaluate the exposures you have reported to us. This also ensures that we can get your policy documents to you by the renewal date.

During the underwriting process, your underwriter may reach out to you with additional questions that need to be addressed. Feel free to contact them, or your local agent, if you have any questions about your policies or renewal application.