BULLETIN
March 24, 2020
Answers to Your Frequently Asked Questions About Western National & COVID-19
We’re reaching out with some updates as it relates to COVID-19 (Novel Coronavirus), which Western National Insurance Group continues to carefully monitor. Over the past week, we’ve learned of several common questions our agents and policyholders might be wondering about on topics such as cancellations, loss control visits, expected exposure changes, lay-up credits, and moratoriums. We wanted to take a moment to answer the most frequently asked questions for all of our agency partners (and for your customers as well):
Q: How is Western National treating potential Cancellation for Non-Payment of Premiums?
Western National will continue to be flexible and handle cancellation for non-payment on a case-by-case basis. In most cases, if the policyholder requests a deferment for COVID-19-specific reasons, we will defer payments for 30 days. (The policyholder’s prior payment history and the timing of current policy period deferred payment compared to the renewal date are important considerations that may impact our ability to defer for 30 days.) Our Customer Relationship Center (800-352-2772) has been given guidelines for commercial and personal payment arrangements and granted authority to extend due dates 30 days in cases that meet those guidelines. If a scenario needs to be assessed further, you may also contact your Underwriter as soon as reasonably possible to resolve the matter.
Q: If either additional underwriting information or a physical loss control visit is a condition to bind, OR if, post binding, this info/visit cannot be made due to quarantines, physical accessibility of locations, and/or acts of civil authority, how will this be treated?
As stated in last week’s agency bulletin, we will make every accommodation to replace physical visits (or requirements that the agent visit a premise or prospective/current policyholder) so that we can write new and renewal business. New business may be “subject to” review when feasible; this will be designated on a case-by-case basis depending on the class of business and exposure. In cases where information would normally be required but is not attainable due these situations, please contact your Underwriter.
Q: For clients with expected exposure changes (increases or decreases) over the next few weeks due to changes in revenue, payroll, or other usage-based exposures, what provisions are being made and how should producers alert Underwriters?
We are willing to consider and make changes to exposures via mid-term endorsement on policies ratedon a gross receipts or payroll basis. This will be done via endorsement. You should speak with your Underwriter prior to submitting changes.
Q: Will Western National offer lay-up credits?
We do not plan to offer lay-up credits since many vehicles in a commercial fleet will continue to be on the road. If an operator truly intends to take vehicle(s) out of service, on the rare occasion where this might be acceptable, please contact your Underwriter.
Q: Has Western National put any moratoriums on new business or requests for increasing limits due to COVID-19?
We do not anticipate moratoriums on binding new business for certain lines or classes or for requests for increasing limits. Moratoriums for non-COVID-19-related items (for example, earthquakes in a region that regularly experiences them) will and would continue as our standard practice dictates.
