How The Hartford is Notifying Customers and Agents
On November 26, President Bush signed the Terrorism Risk Insurance Act of 2002. The act provides a federal government insurance backstop in the event of an act of international terrorism.
This law imposes important responsibilities on insurers and on agents with respect to providing commercial lines policyholders with a new written notice regarding the availability of terrorism coverage. Agents play a role in The Hartford’s new procedures for meeting these responsibilities. Following these procedures is essential in order for an insurer to qualify for federal reimbursement under the new law and for agents and brokers to help manage any Errors and Omissions exposures.
The Hartford is providing notice to policyholders. However, the mechanics of the quoting and binding processes are such that our agents and brokers will be required to provide the written notice to commercial lines customers when they are authorized to quote and when they are authorized to bind coverage.
For a more detailed explanation of the customer notification requirements and the steps
The Hartford is taking to comply with the new law, please refer to:
The Hartford has provided a forms table that describes the forms to be used for making the required notifications to customers. It provides explanations as to how those forms are to be used. Forms and information in bold on this table are those forms that agents would use in situations where are authorized to quote or bind coverage:
A majority of our commercial lines policies have been issued without a terrorism exclusion. These customers will receive a notice stating that they will not be required to pay any additional premium for terrorism coverage at this time:
The following are the actual policy notifications letters that will be sent out to all commercial customers:
For an explanation of these forms, refer to the Policyholder Notification Table:
