AXIS SURPLUS INSURANCE COMPANY

AmWINS ACCESS INSURANCE SERVICES, LLC

Original Effective May 1, 2018

Version 13 Effective December 12, 2022

AUTHORIZED LINES OF BUSINESS & MAXIMUM POLICY LIMITS

MINIMUM PREMIUMS

MAXIMUM PREMIUMS

• Property maximum premium as determined by TIV exposure thresholds contained in these guidelines
• General Liability, including liquor and all additional / optional liability coverages, maximum premium is $25,000. Refer accounts up to $35,000 subject to these underwriting guidelines to AXIS Underwriting.
• An account is one or more lines of business or products for the same customer and all locations owned by an individual insured

REFERRAL HANDLING

Risks or exposures requiring referral per these guidelines should follow internal Amwins protocol with final approval from AXIS where required.
Other than Vacant Buildings, once a referral is approved by AXIS, assuming no material changes in exposure and no new losses or significant increases on prior claims have occurred, referrals are approved for 2 subsequent renewal terms. See Vacant Buildings.
In order to provide for timely response to referral requests, the following is required for out of authority referrals:

1. Reason for referral
2. Underwriter recommendation
3. Completed Acord app and any supplemental apps required
4. Inspection report
5. Loss runs and information on any large losses or claim frequency
6. AXIS Rating worksheet from RTR
7. Indicate if account is being non-renewed by the current carrier and if so why
8. If applicable, any special forms / coverages requested, or any unusual exposures identified

COMPANY

AXIS Surplus Insurance Company – Non-admitted

AUTHORIZED STATES

US Countrywide excluding Louisiana, Alaska and Hawaii. In addition, General Liability is not available in the state of Florida

FORMS

• Current ISO Property and General Liability Forms, policyholder notices and mandatory forms
• AXIS Proprietary forms including those specifically developed jointly with Amwins
• No authority for Manuscript forms unless pre-approved by AXIS
• See list of available forms.

GENERAL ELIGIBILITY – ALL SEGMENTS

All Lines – Property & Casuality

1. Risks expiring with AXIS Insurance or AXIS Surplus through other distribution are ineligible
2. No personal lines or homeowners business is permitted
3. The condition of outdoor premises, including walkways and parking lots must be well lit and in good repair.
4. No New York risks in the 5 boroughs
5. Cannabis / Marijuana Exposures:
1. Any risk where the Named Insured or Additional Insured is in the business of any marijuana/cannabis operations is ineligible, this includes any insured with an ownership interest in any tenant’s cannabis operations
2. Any dispensary operations, growers or extractors are prohibited including Vacant Buildings, Land or ongoing operations
3. Cannabis lounges are ineligible
4. See LRO for eligible tenant exposures
6. Risks new in business:
   1. Acceptable with documentation that the insured has at least three years’ experience operating a similar business
   2. Experience must be clearly documented in the application or in correspondence in the underwriting file
7. Risks with the following Wiring/Panels/Devices are ineligible:
   1. Aluminum Branch (unless completely remediated to AlumiConn or Copalum. – See form AXIS 101 1324
   2. Pigtail Wiring
   3. Stab Lok circuit breakers (Federal Pacific FPE or Challenger Electric Panels)
   4. Knob and Tube wiring
   5. Co/ALR wiring devices
   6. Fuse boxes
   7. Zinsco Panels
   8. Split-bus Electrical Panels
8. 100% Primary coverage required. No Quota Share, Excess positions or Self Insured Retentions

Property

1. No Flood coverage
2. No Earthquake or EQSL coverage – exception for South Carolina (see Exhibit #5)
3. Buildings over 35 years:
   1. Ineligible for Replacement Cost unless plumbing, HVAC and electrical have been fully updated within the last 35 years as verified by inspection
   2. Roof exclusion required if the roof age is 35 years or older AXIS 101 2332
4. No Ordinance and Law to be provided for buildings over 35 years old without updates.
5. Buildings 75,000 square feet or greater must be referred to AXIS
6. Agreed Value or No Coinsurance options available only with current certified appraisal and apply to building coverage only. If appraisal is unavailable, refer to your Branch Underwriting Leader with reliable evaluation demonstrating valuation is at least 80% insured to value. Documentation and approval must be in the underwriting file.
7. For policies written with wind and or hail coverage, coverage for wind / hail may not be endorsed off midterm unless the Coastal Minimum Earned Premium Endorsement – AXIS 101 1363 – is on the policy requiring an increase in the minimum earned premium of 90% be charged
8. A gut rehab is intended for buildings that have been stripped down to the bare walls and all systems replaced. For these properties, a completed and signed Gut Renovation Affidavit is required, and the upgrade year may be used as the year built.
9. No hot work, welding, metal work or woodworking exposures
10. Buildings or roofs with solar panels are ineligible
11. Seasonal properties:
    • - All seasonal risks require AXIS1013060 Protective Safeguards Endorsement (Vacant or Seasonal Buildings)
    • - This form requires heat be maintained in the building or water shut off and all pipes and plumbing system drained. See form for details
12. Theft Exclusion required on any risk requesting Business Personal Property Coverage in excess of $250,000 that DOES NOT have a Central Station Burglar Alarm and/or has a prior history of theft losses and mitigating measures HAVE NOT been demonstrated
13. Buildings with EIFS cladding over frame, JM or metal construction are treated as frame and subject to frame guidelines and rates
14. Frame construction in Protection Class 9 or 10 max TIV $500,000
15. Barrier island exposures are not eligible for coverage unless wind and hail is excluded. Barrier islands are long, relatively narrow islands that run along a coast parallel to the mainland and include, but are not limited to, Miami Beach, Galveston Island, Amelia Island, Hilton Head, Padre Islands, Sea Islands and Hatteras Islands
16. Floating structures are not eligible for coverage
17. Buildings built on stilts or pilings are ineligible
18. Buildings on the Historic Register must be written with Functional Replacement Cost
19. The following are mandatory exclusions for all classes in all states (see Exhibit 5 for full listing of form requirements including state specific):
    • - Exclusion of Loss Due to Virus or Bacteria
    • - Aluminum Wiring Exclusion
    • - Pre-Existing Damage Exclusion
    • - Cyber Incident Exclusion

Casuality

1. No monoline Liquor Liability
2. Assault and Battery Limitation and Cannabis Exclusions are available for all classes based on underwriting discretion (may be mandatory based on segment guidelines below.c
3. No risks involved in the sale, distribution, or manufacturing of controlled substances (retail drugstores acceptable with Controlled Substance Exclusion. “Controlled substances” means:
   • • a drug or other substance, or immediate precursor, included in schedule I, II, III, IV, or V of part B of the Controlled Substance Act (21 U.S.C. Ch. 13.; or
   • • any drug or other substance controlled under any similar federal, state, local, or foreign act, statute, regulation, ordinance, requirement, or law.
   “Controlled substances” also means any opioid or narcotic drug, narcotic medication or narcotic substance of any type, nature, or kind, including but not limited to codeine, fentanyl, hydrocodone, oxycontin, hydromorphone, meperidine, methadone, oxycodone, or naloxone, regardless of whether it is controlled under any state, federal local or foreign statue, regulation, ordinance, requirement or law.
4. The following are mandatory exclusions for all classes in all states (see Exhibit 5 for full listing including state specific):

PRIOR LOSS GUIDELINES

3-year loss runs required, valued within 90 days and maintained in the underwriting file.

If loss detail is not available:

• Signed letter from the insured stating the risk’s prior loss history must accompany the insured’s signed application.
• Acceptable documentation includes a “no known loss” letter on the insured’s letterhead, Acord 37 or similar confirmation signed by the insured verifying no known losses during the experience period.
• All habitational risks must have hard copy loss runs unless new purchases

No more than three claims or $50,000 of total incurred losses within the past three years. Exceptions must be referred to AXIS Underwriting.

Detailed written description of any individual losses greater than $25,000 shall be obtained and documented in the file including measures taken to prevent reoccurrence.

For determining eligibility, designated over authority underwriters have authority to exclude losses up to $50,000 from the loss history for property claims due to catastrophic losses outside the insured’s control (e.g. wind, hail, and wildfire) where full repairs have been completed and documented.

Other claims for which the condition that contributed to the claim has been mitigated or remediated may also be excluded for eligibility purposes up to $50,000 with approval of the designated over authority underwriters with proper documentation of such mitigation

Specific Claim Criteria:

Water Damage Claims:

• More than 1 water damage claim in the past 3 years requires approval of branch underwriting leader with approval documented in the underwriting file.
• More than 2 water damage claims must be referred to AXIS with evidence of remediation.

Assault and Battery - Any prior assault and battery claim must be referred to AXIS

Sinkhole - Accounts with prior sinkhole claims are ineligible

Liquor Claims - Accounts with prior liquor claims must be referred to AXIS

Habitability or Failure to Maintain - Accounts with prior habitability or failure to maintain losses are ineligible.

Employee Benefits – Accounts with prior Employee Benefits claims must be referred to AXIS

LOSS CONTROL

Inspections are required to be completed and reviewed within 45 days of binding.

Any risk found to be ineligible upon inspection must be cancelled within 60 days of binding or whatever other time restraints are dictated by individual state regulations or policy terms.

It is the responsibility of the underwriter to order an inspection on any account that is required to have an inspection (as defined below) or is requested by the carrier. Where required, the inspection should take place within 45 days of the bind date, and the report should be immediately saved to the account’s file within AmLINK.

Risks with more than one slip-and-fall claim require updated loss control at renewal

Inspection required every 3 years based on the following criteria:

• All new (to Amwins) accounts when the general liability premium is > $2,500
• All new (to Amwins) accounts when total TIV is > $250,000
• Any account where there has been a material change in the exposure
• All accounts with liquor liability coverage
• All habitational accounts
• All vacant buildings
• All Historic Register accounts
• Accounts under renovation require updated loss control at renewal or upon completion of renovation work

If you have questions about recommendations (does the retailers response satisfy the rec, agent looking for more specificity around the rec, etc) you should review those with your Team Lead, then Branch Lead and then involve your Underwriting Leader and/or Regional Leader. If further guidance is needed it can then be taken to AXIS for further discussion. AXIS does not have a complete underwriting file so when we bring them a recommendation and ask questions they don’t have the full picture of the risk and are often not in a position to offer comment as they don’t have enough information to do so. When we need to take a recommendation to them for discussion we should be providing as much appropriate detail as possible to help them in their review.

INELIGIBLE CLASSES OF BUSINESS AND EXPOSURES (PROPERTY & LIABILITY UNLESS OTHERWISE NOTED)

• Risks expiring with AXIS Insurance or AXIS Surplus (including risks being non-renewed) if written through other distributors
• 24-hour operations
• Aircraft or spacecraft
• Amateur or professional sports teams
• Ambulatory surgery
• Ammunition manufacturers/ammo sales
• Asbestos goods manufacturers
• Auto Repair Operations (See LRO guidelines)
• Axe or Knife Throwing Operations
• Blasting operations
• Body shops
• Bowling alleys (monoline property acceptable)
• Buildings under construction/Builder’s risk (AXIS Programs)
• Campgrounds and RV Parks
• Casinos or gambling operations
• Chemical manufacturing and/or distributing operations
• Chemical or pharmaceutical storage
• Child care (monoline property acceptable)
• Churches or places of worship (Monoline Property Acceptable if no steeples or stained glass. See LRO guidelines)
• Cold storage risks
• Contracting Risks
• Convenience Stores (See LRO guidelines)
• Dealers – wrecked, salvaged and rebuilt cars
• Debris removal contractors
• Demolition, excavation or wrecking operations
• Dismantling operations
• Distilleries or Micro distilleries
• Docks
• Dredging or pile-driving operations
• Equipment rental stores operations (AXIS Programs)
• Escape Rooms
• Explosives or blasting operations
• Farms
• Firearms manufacturers
• Fireworks exhibitions and manufacturers
• Fraternities and sororities
• Greenhouses
• Gun shops / Shooting ranges
• Hazardous material dealers
• Hotels and motels (including “for rent by owner” properties such as VRBO, Airbnb)
• House or building movers
• Hunting preserves
• Ice /roller skating rinks
• Logging, lumbering and forest products operations
• LPG work
• Manufactured housing communities / Mobile Home Parks (AXIS Programs)
• Manufactured housing dealers, RV dealers, used car dealers, scrap dealers (AXIS Programs)
• Marijuana sales and distribution
• Marinas
• Mining operations
• Nightclubs or dance clubs
• Oil or gas operations including oil field or petroleum related operations
• Open air markets / Flea markets
• Orchard or vineyard operations
• Ore milling or processing operations
• Party rental store operations (AXIS Programs)
• Pawn shop operations (AXIS Programs)
• Penal Institutions
• Pharmaceutical sales, manufacturing and distribution (retail drug stores acceptable with Controlled Substances Exclusion)
• Racetrack and racing operations (horse and dog)
• Railroad construction and operations
• Recycling operations
• Rigging operations
• Rolling mills
• Quarrying operations
• Shelters, missions, settlements or halfway house services
• Ship repair or conversion operations
• Shooting ranges
• Silos
• Sporting goods stores with ammunition sales
• Stevedoring operations
• Substance abuse counseling, methadone clinics or marijuana dispensaries
• Subway construction operations
• Tattoo parlors or body piercing (monoline property acceptable / See LRO Guidelines)
• Theaters and auditoriums (monoline property acceptable)
• Tire warehousing
• Trampoline Parks (monoline property acceptable)
• Truss manufacturing
• Tunneling operations
• Underpinning building or structures
• Waste disposal operations involved in transporting salvage and waste material for disposal or resale including:
  • Auto dismantling operations (AXIS Programs)
  • Building wrecking operations
  • Garbage collecting and hauling operations
  • Junk dealers
  • Scrap paper operations
  • Any other waste disposal or debris removal operations
• Woodworking operations or occupancies or any operations requiring dust collection

SEGMENT ELIGIBILITY

HABITATIONAL

Coverage available for one- to four-family tenant-occupied dwellings; apartment buildings or complexes with five or more units; and condominium (residential) and townhouse/homeowner associations. Maximum of 150 units (including dwelling schedules).

General Guidelines:

• File must include a current Habitational Supplemental application
• Risks with over 20 locations are a referral to AXIS
• Maximum TIV per account $5M – no exceptions. An account is defined as all locations insured by an individual insured, regardless of number of policies
• Maximum number of stories is 10
• Six-month or greater leases (no Airbnb, VRBO etc.) for apartments or dwellings
• Mobile homes are ineligible
• Referrals - The following require referral to [email protected]:
  • Any new purchase habitational risks that do not meet the new purchase criteria below
  • Risks with the named insured’s mailing address in a different state than any of the locations (no referral required if states are contiguous to the insured’s mailing address)
  • Any risks with dwelling schedules of 20 or more locations
  • Risks with more than two named entities as the named insured (including additional named insureds)
  • Any risk where the named insured has any variation of the word “management” in the name
  • Off campus student housing is a referral to AXIS (see below)
  • Subsidzed housing
• New purchase habitational without 3-year hard copy loss runs from the prior owner:
  • No monoline GL
  • No risks with more than 100 units
  • Risks with more than 4 units require a separate per unit water damage deductible with a minimum of $1,000 per unit. Form AXIS 101 1368
  • Require minimum 15% debit on both property and GL rates if approved
• Condos rented to others
  • Condo units rented to others should be rated as apartments
  • Short -term rentals eligibility (less than 6 months)
    • Crime score 5 or less
    • 35% or less short- term rentals (includes VRBO, Airbnb)
    • Debit rate by 25%
• Protective Safeguards CP 04 11 is required with “P-9” to include “Fully functional, actively engaged, UL smoke detectors in all units and hallways “
• Student Housing:
  • Off Campus Student Housing – All risks must be referred to AXIS and will be subject to the following criteria:
    • If 10 or more units, must be 50% or less student housing
    • > 1 mile or more from a college / university
    • No new purchases
    • No monoline GL
    • Hardwired smoke detectors and carbon monoxide detectors required (battery only not acceptable)
    • Mandatory $25K / $50K Assault & Battery sub limit
    • Abuse and Molestation exclusion required
    • Mandatory Total Liquor Exclusion
    • Minimum 25% surcharge on property and liability rates
  • Any fraternity / sorority housing - Prohibited
  • On Campus Student Housing - Prohibited

Property Guidelines:

• Dwellings must be a minimum $100,000 limit
• Risks written on Replacement Cost Valuation (RCV) must be a minimum of $75per sq. ft.
• Risks written on Actual Cash Value (ACV) must be a minimum $50 per sq. ft.
• No habitational risks with a crime score 8-10 (new and renewal)
• No new apartment or dwelling business for risks in Cook County Illinois
• Condo Associations risks - Form CP 00 17 is to be attached to all of these policies in lieu of CP 00 10.
• Condo units owned by an entity other than the association and rented to others: Form CP 00 18 to be attached in lieu of CP 00 10. If schedule is a mix of condo and dwellings / apartments, both CP 00 18 and CP 00 10 must be attached.
• Any risk with a prior water damage claim without evidence of remediation requires a separate per unit water damage deductible with a minimum of $1,000 per unit. Form AXIS 101 1368
• Buildings five stories and higher requires sprinkler system and protective safeguards endorsement.

Texas Habitational Property: Water Damage:

• Applies to all Habitational risks in Texas where the property is greater than 30 years old (an exception may be made for risks with confirmation that the risk has been gutted to the studs AND a complete plumbing update has been made within the last 30 years) or when prior water damage claims have been reported (regardless of age)
• Water damage options:
  • Option 1: A water damage sublimit may be placed on the risk of not more than $50,000 (depending on TIV) per occurrence. The sublimit applies per building. AXIS 101 1971
  • Option 2: A separate water damage deductible may be applied to the policy of a least a $2,500 minimum. This deductible can never be below the AOP deductible and applies per building. AXIS 101 1971

Liability Guidelines:

• Max 150 units per account (regardless of the number of buildings or locations). AXIS renewals and Assurant rollover accounts over 150 units requires referral to Amwins at [email protected]
• Snow and ice removal should be contracted out to a third party with a written contract in place that includes AI, Indemnification and Hold Harmless wording in favor of our insured
• Firearms Exclusion and Assault & Battery exclusion / limitation required per the table below:

• Buildings with four or more stories require a second means of egress
• Animal exclusions:
  • All habitational risks require a Animal Exclusion – With Exception for Service / Emotional Support Animals (AXIS 101 3056 must be attached).
  • However, any risks with any prior animal related claims require a full animal exclusion and AXIS 101 1332 must be attached.
• Any risks with balconies must be to code as confirmed by inspection
• Swimming pools must be entirely fenced with self-locking gates; hours of operations and rules should be visibly posted and clear depth demarcations noted.
• No diving boards or slides
• Above ground pools are ineligible
• Playground equipment must conform to the highest safety standards as verified by inspection; playgrounds may not have any equipment which moves or exceeds 6 feet in height. It must be well secured and have a soft surface underneath such as sand, mats etc.
• The applicant must not have been found legally liable regarding any complaint alleging wrongful eviction, discriminatory rental practices, invasion of privacy or other legal violations, regarding their management or ownership of any rental property
• If Security is provided at the premises:
  • If an employee of the insured, they must be unarmed and a maximum of $100K/300K Assault & Battery sublimit may be offered. If armed, risk is ineligible.
  • If contracted by an outside party, confirm they are unarmed and carry GL coverage at $1M/$2M including Assault and Battery and name the insured as Additional Insured with Waiver of Subrogation. Apply maximum of $100K/$300K Assault & Battery sublimit but no more than what is carried on the security firm’s policy.
  • If the security firm does not carry Assault & Battery coverage, the Assault & Battery Exclusion is required. If they do not have GL coverage, risk is ineligible.

Ineligible – Property & Liability:

• Short term rentals including vacation rentals, Airbnb, VRBO
• Apartment hotels or timeshares
• Assisted living, independent/senior living, rehabilitation or inpatient/outpatient facilities
• Hotel /motel including bed & breakfast
• Boarding houses
• Group homes or Halfway houses and Sober Living
• Hostels
• On-campus dedicated student housing
• Condo Conversion – Any apartment that is being converted or purchased with the intent to convert to condos is prohibited.

In addition to the Mandatory General Liability Forms Add:

• CG 2144 Limitation of Coverage to Designated Premises, Project or Operation
• AXIS 101 3056 Animal Exclusion – With Exception for Service / Emotional Support Animals. (unless prior animal claims, use full animal exclusion AXIS 1011332)
• AXIS 1011325 Diving Board and Swimming Pool Slide Exclusion
• AXIS1012531 Trampoline or Jumping Devices Exclusion (Dwelling Risks)
• Required on all California Risks:
  • SI 0255 Habitational Exclusion
• Required on all New York Risks:
  • CG2153 Exclusion Designated Ongoing Operations (Any and all construction operations)
  • SI 233 Injury to Temporary Workers, Volunteer Workers or Independent Contractors Exclusion

LESSORS RISK

General Guidelines:

• Current Lessors Risk Supplemental application required
• Buildings leased or rented to others for commercial operations. This includes office buildings, shopping centers, strip malls, standalone retail, service and wholesale occupancies and warehouses
• Buildings no more than 10 stories in height
• Tenant list or other reliable documentation must be reviewed to confirm eligible occupancies annualy
• If less than 31% occupied, see vacant guidelines
• No tenant operations open past 2 am
• Any manufacturing or contracting tenants (other than office operations) must be referred to AXIS
• No tire warehousing tenants
• Marijuana / Cannabis tenants - For Lessors Risk Only where a tenant operation is a retail or dispensary of legal cannabis:

a) Tenant growers or extractors are prohibited

b) Cannabis Lounges are ineligible as tenants:

c) Dispensary Tenant Operations:

• Named Insured analysis documented in the underwriting file to confirm the building owner has no ownership or interest in the tenant’s cannabis operations
• Building must be at least 70% occupied
• No crime scores 8-10 (property or liability)
• Underwriting file contains a copy of the cannabis related tenants’ certificate of insurance at inception and updated each renewal to include:
• Certificate shows our insured as an Additional Insured on the tenant policy
• Tenant liability limits equal to or greater than our insured and with a carrier with a financial stability rating of “A-” or better by AM Best
• Property - No coverage for contents or equipment, whether owned by the landlord or not
• Triple Net Lease (Tenant is responsible for paying the building’s property taxes, insurance and maintenance costs or repairs) is acceptable for sole occupant tenants only. Multiple tenant exposures are ineligible if on a Triple Net Lease.
• Common Underwriting Issues:
• Common ownership – if the insured owns the building under one legal entity name but operates a business as a tenant under a different legal entity name (e.g. John Doe Inc. owns the building and Doe-Nuts LLC is a tenant), each entity must carry their own insurance policy.

Property Guidelines:

• If there are multiple occupancies within the LRO building, use the highested rated classification. If the highest rated classification represents a small portion of the total area, an appropriate rate for the overall exposure should be used.
• Confirm any Restaurant occupancies or any risks with commercial cooking to meet NFPA 96 standards and have a semi-annual cleaning contract in place.

Liability Guidelines:

• Written leases with “hold harmless” language in favor of the applicant and provide AI status on underlying
• Snow and ice removal should be contracted out to a third party with a written contract in place that includes AI, Indemnification and Hold Harmless wording in favor of our insured
• Minimum tenant underlying insurance requirements of $1M/$1M
• Firearms Exclusion and Assault & Battery exclusion / limitation applicable per the table below:

• For restaurant, bar and tavern occupancies in Crime Score 8-10, confirm tenant carries Assault & Battery coverage:
  • If they do not, Assault & Battery Exclusion is required – AXIS 1011748
  • If tenant confirms Assault & Battery coverage in in place, limits of $25K/$50K up to $100K/$300K available but not more than the limit carried by the tenant.
  • If unable to confirm Assault & Battery coverage limits, exclude or limit Assault & Battery to $25K/$50K
• If Security is provided at the premises (any armed security is ineligible):
  • If an employee of the insured, they must be unarmed and a maximum of $100K/300K Assault & Battery sublimit may be offered. If armed, risk is ineligible.
  • If contracted by an outside party, confirm they are unarmed and carry GL coverage at $1M/$2M including Assault and Battery and name the insured as Additional Insured with Waiver of Subrogation. Apply maximum of $100K/$300K Assault & Battery sublimit but no more than what is carried on the security firm’s policy.
  • If the security firm does not carry Assault & Battery coverage, the Assault & Battery Exclusion is required. If they do not have GL coverage, risk is ineligible.
• Parking:
  • Separately classify and rate parking area for shopping centers
  • Parking lot class codes are ancillary class codes and not to be used stand alone
• No prior claims arising from the landlord’s liability arising out of personal injury such as wrongful eviction, discriminatory leasing practices.

In addition to the Mandatory General Liability Forms Add:

• CG 2144 Limitation of Coverage to Designated Premises, Project or Operation
• Required on all New York Risks:
  • CG2153 Exclusion Designated Ongoing Operations (Any and all construction operations)
  • SI 233 Injury to Temporary Workers, Volunteer Workers or Independent Contractors Exclusion

Ineligible – Property & Liability:

Ineligible – Liability (Monoline Property Acceptable):

• Bowling Alleys
• Day care – both children and adults
• Enclosed malls
• Ice - and roller-skating rinks
• Hospital, Ambulatory, Surgical or other Medical Centers
• Movie theaters
• Schools
• Sporting goods stores with ammunition sales
• Trampoline Parks / Inflatables

Eligible Lessor’s Risk Class Codes – Property & Liability:

WAREHOUSES

General Guidelines: It is imperative for underwriters to underwrite the storage in the warehouse, what the contents are used for and review all appropriate exposures and controls required.

• This segment is applicable to private warehouses or mini warehouses
• Risks with manufacturing, processing, or other ancillary operations onsite by the building owner or any tenant are ineligible
• Private warehouses must be buildings or premises which the insured uses exclusively for storage
• No storage of flammable or explosive materials (e.g. chemicals, alcohol, flammable oils, paint, fireworks, rubber, plastics)
• No tire warehousing
• Warehouses applicable to lessor’s risk - Refer to the Lessor’s Risk guideline section

Property Guidelines

• All metal roofs require Cosmetic Damage Exclusion (CP 1036 10 12) Limitations on Coverage for Roof Surfacing
• Any risk with over $1M of contents requires referral to AXIS
• Minimum ITV $60 / sq ft RCV and $40 / sq ft ACV for mini warehouses that do not have heat, electrical, plumbing or utilities

Liability Guidelines

• Condition of outdoor premises, including walkways and parking lots, must be well lit and in good repair
• Snow and ice removal should be contracted out to a third party with a written contract in place that includes AI, Indemnification and Hold Harmless wording in favor of our insured
• Private warehouses both for profit and not for profit
  • Class codes for 68706 and 68707 are most often secondary class codes to the governing class code
  • If either class code 68706 or 68707 is used as the governing class code (or as the only class code) the following mandatory exclusions are also required:
    • CG 21 04 – Exclusion – Products – Completed Operations Hazard
    • CG 21 38 – Exclusion – Personal and Advertising Injury
    • CG 21 39 – Contractual Liability Limitation
    • CG 21 44 – Limitation of Coverage of Designated Premises, Project or Operation (location address to be listed on form)
    • CG 21 49 – Total Pollution Exclusion (CG 21 55 and CG 21 65 also available options)
• Mini warehouses – Applies to warehouse operators that lease storage units within the building
  • Cosmetic Damage Exclusion (CP 10 36 10 12 Limitations on Coverage for Roof Surfacing) required on any metal roofs
  • Class code 18991 is the applicable code and following forms are applicable:
    • CG 21 39 – Contractual Liability Limitation (do not attach CG 24 26)
    • CG 21 49 – Total Pollution Exclusion (CG 21 55 and CG 21 65 also available options)
    • CG 22 29 – Exclusion – Property Entrusted
    • CG 21 44 – Limitation of Coverage to Designated Premises, Project or Operation (with location address)

Ineligible – Property & Liability:

• Warehouses – NOC 99938 unless referred and approved by AXIS
• Coverage of stock/inventory of others, personal property of others and business income associated with stock/inventory

RESTAURANTS, BARS & TAVERNS

Common Underwriting Issues:

• For new ventures, it is important to underwrite and document the owners experience managing a similar business. See General Eligibility for requirements
• YELP or other social media sites typically provides good information on the quality and operations of restaurant, bar and tavern risks and should be reviewed for all new business. Include documentation of any unusual exposures and relevant controls in the file.

General Guidelines:

• Eligibility includes family style, full service, fine dining, neighborhood bars and taverns, fast food, quick service, delis, bagel shops, coffee shops, juice bars, ice cream shops.
• File must include a current RBT supplemental application and liquor liability supplemental application if liquor provided
• Receipts up to $5M. Refer to AXIS if above $5M
• If receipts are greater than $2.5M and liquor is > 50% of exposure, refer to AXIS
• No operations open after 2:00 am
• For brewery or brew pub operations, if the insured’s products are delivered or distributed outside the insured’s operation the risk is ineligible. Risks processing their own grain onsite are ineligible

Property Guidelines:

• Effective fire extinguishing and ventilation systems in place and maintained, NFPA 96 standards met
• Applicants that are vacant or closed seasonally for over 90 (180 for FL) days are ineligible.
• Applicants that are vacant or closed seasonally between 30 and 90 (180 for FL) days eligible for basic form only

Liability Guidelines:

• No health citations in the past three years
• Validate total sales and liquor exposure by obtaining POS (Point of Sale) receipt detail or other financial records ( required for new and renewal business)
• Any risk with more than 2 pool tables requires an A&B sublimit up to $100/300K
• No entertainment: dancing (with or without dance floor), DJ, music venue, lounges, (exception: piano player, small group background music etc.)
• No hosted or sponsored events such as pub crawls
• No cover charge, minimum charge per person/table, or bottle service
• No risks requiring a bouncer or any security staff. Staff used exclusively for ID checking is acceptable.
• No establishments that have activities requiring signed waiver or release forms
• No playgrounds or playground equipment
• No mechanically operated amusement devices (e.g. mechanical bulls)
• No firearms allowed on premises (includes owners, employees and patrons)
• No hired and non-owned coverage for caterers or any risk with delivery including rapid delivery (e.g. Foodsby, Grub hub, UberEATS etc.)
• BYOB Guidelines
  • Beer and Wine only, Corkage fees with server pours are acceptable
  • No operations after 12:00 am
  • Management should require a recognized alcohol awareness program (e.g., TIPS/TAM) or have a formal internal procedure for servers monitoring tables for service of alcohol to minors by patrons, and ability to identify those who may be visibly under the influence
• Snow and ice removal should be contracted out to a third party with a written contract in place that includes AI, Indemnification and Hold Harmless wording in favor of our insured

Liquor Liability Guidelines:

• Liquor Liability is ineligible for any risks with locations in SC, PA, AK, AL, DC, HI, and VT. Any RBT exposures in these states require the Total Liquor Exclusion AXIS 101 1737
• Minimum liquor receipts for Bars - $125,000
• Liquor license must never have been revoked or suspended
• Liquor liability coverage must not have been denied, cancelled, or non-renewed in the past three years
• All employees who serve alcohol must be currently certified by a responsible alcohol serving program such as TIPS.
• Insured must have written liquor serving procedures
• No establishments with drive through liquor service such as Daiquiri Bars
• Risk with liquor exposure must provide evidence of coverage equal or greater to GL limits if not offered by AXIS. Exceptions: KY and WI. Total Liquor Exclusion must be attached. AXIS 101 1737.

Assault & Battery Guide:

• Sublimit Options: $25K/$50K, $50K/$100K, $100K/$300K, $300K/$300K – or Exclude via AXIS 101 1748
• Sublimit requirements (refer to AXIS any exceptions):

In addition to Mandatory Property forms, the following forms are required to be attached:

• CP0411 Protective Safeguards Endorsement with the following:
  • “P-5” for Automatic Commercial Cooking Exhaust and Extinguishing System
  • All other applicable Protective Safeguards Symbols must be selected

In addition to Mandatory GL forms, the following forms are required to be attached:

• AXIS 101 3095 Firearms or Weapons Exclusion
• CG2144 Designated Premises or Project (not required for caterers)
• CG2101 Exclusion – Athletic or Sports Participants
• CG2407 Products Hazard Redefined for risks selling prepared food
• AXIS 1011737 – Total Liquor Liability Exclusion for class codes 16900, 16901, 16902 (Restaurants with no sale of alcoholic beverages)
• AXIS 101319 1217 Valet Parking Operations Exclusion

Add the following when adding Liquor Coverage

• CG DS 03 07 98 Liquor Liability Declaration Page
• CG 0033 04 13 Liquor Liability Coverage Form
• CG2806 Limitation of Coverage to Insured Premises (liquor liability)

Ineligibility – Property & Liability:

• No Self Cooking Restaurants
• No nightclubs, dance clubs, college bars, gentlemen clubs
• No Hookah, Oxygen or Cigar Bars
• No strip clubs or topless type risks
• No pyrotechnics
• No national type franchises (e.g., Burger King, Wendy’s, or Subway)
• No child or family entertainment (e.g., Chuck E. Cheese, Dave & Buster’s, etc.)
• No alcohol without liquid (AWOL)

See Exhibit 5 for State Liquor Liability Grades

Eligible Office & Services Class Codes – Property & Liability:

RETAIL / WHOLESALE / DISTRIBUTOR

General Guidelines:

• Maximum of $5M in sales
• Targeted business includes traditional retail establishments
• Risks with installation exposure are ineligible
• Sales of imported merchandise are acceptable if the manufacturer also has U.S.-based operations.
• Applicants vacant or closed seasonally for over 90 (180 for FL) days are ineligible, those vacant or closed seasonally between 30 and 90 (180 for FL) days eligible for basic form only
• Retail Drug Store Classes 12374 and 12375 require the Controlled Substances Exclusion Endorsement AXIS 101 1960
• Common Underwriting Issues:
  • Theft is a common exposure for retail business. AXIS provides options for the following where applicable:
    • CP1033 Theft Exclusion
    • AXIS 1011796 Theft Sublimit – Theft of Business Personal Property Sublimit Endorsement
    • CP 03 20 Multiple Deductible Form - Increased Theft Deductible (6)

Firearms Exclusion:

Ineligible – Property & Liability:

• 24-hour operations
• Adult book and novelty stores are ineligible
• Auto, Recreational Vehicle sales (new or used)
• Cell Phone Stores
• Check cashing stores
• Children’s clothing sold under the insured’s own brand or label
• Convenience stores
• Delivery operations are ineligible, unless the applicant owns vehicles that account for all deliveries and hired and non-owned auto coverage is not provided
• Equipment Rental Stores
• Firearms, guns or ammunition sales (including sporting goods stores)
• Gas stations
• Greenhouses / Nurseries
• Inflatables, bounce houses sales
• Marijuana / cannabis stores
• No operations involving fabricating, processing, manufacturing or recycling
• Open air markets / Flea markets
• Party Rental Stores
• Pawn Shops
• Pharmaceutical sales, wholesalers or distributors
• Repackaging and/or relabeling of products
• Spray-painting and welding operations
• Tobacco stores including E-cigarette/Vape Stores/Cigar Stores
• Any Manufacturing, Distribution, or Retail exposures of electronic cigarettes (e-cigarette), related vaping liquids and cartridges and any other vaping related devices

Eligible Retail Class Codes – Property & Liability:

OFFICES & SERVICES

General Guidelines:

• Maximum of $5,000,000 in sales/Maximum payroll of $1,500,000
• Appetite includes a number of different professional services, civic, social, or service clubs, and trade associations
• Eligible exposures must be listed in the eligibility table below
• Any risk with employees who serve alcohol must be currently certified by a responsible alcohol serving program such as TIPS and risk must have written liquor serving procedures
• Liquor license must never have been revoked or suspended (civic, social, or service clubs)
• Liquor liability coverage must not have been denied, cancelled, or non-renewed in the past three years (civic, social, or service clubs)
• No health citations in the past three years (civic, social, or service clubs)
• When writing a premises only policy (61224) the following forms are required to be attached:
  • CG2104 – Exclusion – Products and Completed Operations Hazard
  • CG2138 – Exclusion – Personal and Advertising Injury
  • CG2139 – Limitation – Contractual Liability
  • CG2144 – Designated Premises or Project
  • CG2116 – Professional Services Exclusion
  • AXIS 101 – Aircraft, Auto or Watercraft Exclusion

Ineligible – Property & Liability:

• 24-hour operations
• Ambulatory surgery involving general anesthesia (medical and dental offices, medi spas)
• Family planning clinics or services
• Hosted or sponsored events such as pub crawls, BOYB events or alcohol drinking games (civic, social, or service clubs)
• Non-Profit Organizations that are solely accountable to donors, fundraisers, volunteers or program recipients are not eligible for general liability
• Special event coverage is not available

Eligible Office & Services Class Codes – Property & Liability:

VACANT BUILDINGS

Brief Description:

Vacant buildings, particularly when vacant for an extended period, can present unique hazards and exposure to loss that require underwriting attention to exposures and controls. Coverage for many of these exposures may be excluded under the unendorsed property policy. Adherence to these guidelines supports proper underwriting and pricing.

When the policy is issued to a tenant, a building is vacant when it does not contain enough business personal property to conduct customary operations

When the policy is issued to the owner or general lessee of a building, the building is vacant unless at least 31% of its total square footage is rented and used by the lessee to conduct customary operations.

A building that has been vacant for more than 60 days will be subject to coverage limitations as defined in the policy.

General Guidelines for Property and Liability

• Vacant supplement required at time of quoting to determine eligibility and at each renewal thereafter.
• Inspection must be ordered at time of binding and at each renewal thereafter for property and every two years for liability.
• Buildings must be properly secured to prevent unauthorized entry. All windows and doors must be locked, intact or boarded up to prevent unauthorized entry.
• Building can be vacant no more than 24 months prior to policy inception.
• Only one renewal permitted unless approved by AXIS - Axis will remain on a vacant risk 24 months in total.
• 3 month policy terms are 100% fully earned; 6 month terms are 50% earned and annual policies are 25% earned.

Property Guidelines:

• TIV is $3,000,000 for Vacant
• Vacant buildings in PC 9 & 10 are limited to $500,000
• Personal Property Coverage limited to $25,000
• Use Class Code 1180 for vacant buildings
• Minimum policy deductible is $2,500 for values up to $1M and $5,000 for values over $1M
• No structural renovations. Cosmetic renovations are acceptable up to 50% of the total building limit
  • Structural – adding square footage to a building or installing/repairing/replacing/modifying any load bearing support systems (beams, foundations walls, joists, trusses, floors, stairs, elevators).
  • Cosmetic - renovations or upgrades that do not change the size/shape of a building or repair/replace/modify any load bearing support systems (beams, foundations walls, joists, trusses). Examples of cosmetic renovations include painting, replacing plumbing fixtures, replacing lighting fixtures, replacing windows and doors, replacing drywall, installing new floor coverings
• Protective Safeguards Endorsement (Vacant or Seasonal Buildings) AXIS 101 3060 to apply to all vacant buildings. This form requires heat be maintained in the building or water shut off and all pipes and plumbing system drained. See form for details.
• All other applicable protective safeguard symbols must also be selected via CP0411 and / or CP1211
• When classed and rated as a vacant building, the Vacancy Permit form CP0450 will be automatically applied to add back coverage for:
  • Building glass breakage.
  • Water damage: consider a separate water deductible or sublimit
  • Theft or attempted theft
  • Vandalism and/or Sprinkler Leakage. To exclude coverage for these you must put a checkmark under the appropriate “Excepted Cause of Loss”. If left blank, coverage for these causes of loss will be provided during the permit period
  • If “Vandalism” is excluded, the CP1055 Vandalism Exclusion needs to be applied
  • If “Sprinkler Leakage” is excluded the CP1056 Sprinkler Leakage Exclusion needs to be applied
  • If these exposures are not adequately controlled or cannot be verified, then the Vacancy Permit should be removed and the CP1033 Theft Exclusion must be applied

Liability Guidelines

• Vacant buildings less than 50,000 square feet are eligible
  • Assault & battery
    • A&B Exclusion or limitation mandatory with sub-limit options of $25k/$50k/$100k/$300k.
    • Maximum A&B sublimit for crime score 8, 9 or 10 is $25K.
    • Firearms Exclusion required for crime score 8, 9 or 10
  • Vacant Buildings undergoing renovations or remodeling:
    • General Contractors or hired artisan contractors must carry minimum General Liability limits of $1M/$1M/$1M and name the insured as an Additional Insured
    • Rating basis (Total Cost) – must not exceed 50% of the total building limit.
    • In addition to one of the applicable primary Vacant Building class codes, use one of the following appropriate sub-contractor class codes:
      • 91582 – Contractors - subcontracted work - in connection with building construction, reconstruction, repair or erection - apartment or office buildings over four stories
      • 91583 – Contractors - subcontracted work - in connection with building construction, reconstruction, repair or erection - one or two family dwellings
      • 91585 – Contractors - subcontracted work - in connection with construction, reconstruction, repair or erection of buildings - Not Otherwise Classified
  • Snow and ice removal should be contracted out to a third party with a written contract in place that includes AI, Indemnification and Hold Harmless wording in favor of our insured

  Ineligible - Property and Liability

  • No named insured in bankruptcy, foreclosure or bank-owned properties
  • No house “flippers”
  • Any Building that is not locked and secured or in reasonably good condition
  • No school district or municipal district properties
  • Buildings vacant longer than 24 months at policy inception
  • Risks that are condemned or scheduled for demolition are prohibited
  • Buildings with prior fire or structural damage are prohibited
  • Structural Renovations
    • Structural Renovations mean adding square footage to a building or installing/repairing/replacing/modifying any load bearing support systems (beams, foundations walls, joists, trusses, floors, stairs, elevators).
  • Cosmetic Renovations that exceed more than 50% of the building limit
  • Any condo/townhouse conversion projects
  • Properties in the name of the General Contractor and/or Developer or where General Contractor and/or Developer remain on the board
  • Any risk that requires Builders Risk Forms including any ground up construction - ineligible
  • Theft coverage (Apply Theft Exclusion CP 1033)

  Eligible GL Class Codes – Property & Liability:

  	GL Class Code
  Vacant buildings – Factories	68604
  Vacant buildings – not factories – other than not-for-profit	68606
  Vacant buildings – not factories – not-for-profit only	68607
  See Liability Guidelines above for applicable Sub-Contractor codes

  
  

  Mandatory Forms: In addition to the Mandatory General Liability Forms Add for all Vacant Buildings:

  • CG 2144 Limitation of Coverage to Designated Premises, Project or Operation
  • CG2104 Exclusion – Products and Completed Operations Hazard
  • SI 181 Assault Battery and Abuse Amendatory Endorsement or AXIS 101 1748 Assault, Battery, Abuse and Molestation Exclusion Endorsement
  • CG2139 Exclusion – Contractual Liability Limitation
  • Required on all New York Risks:
    • CG2153 Exclusion Designated Ongoing Operations (Any and all construction operations)
    • SI 233 Injury to Temporary Workers, Volunteer Workers or Independent Contractors Exclusion
  • CP 1033 Theft Exclusion
  • CP0450 Vacancy Permit

VACANT LAND

General Guidelines:

• This classification applies to land not being used for any purposes and not under development
• Vacant land is defined as land with no ongoing development, no existing occupied buildings, no events held on the property and no operations conducted or completed on the land during the policy period
• This classification is often used for land that is purchased with the intent of future development. However, this classification is solely for the period prior to any construction operations
• Land must be owned by, not leased to, the insured
• A Construction Operation Exclusion is mandatory

Eligible Liability Risks:

• Overall acreage up 500 acres; lakes or reservoirs up to 25 acres
• Rural and raw vacant land
• Vacant lots

Eligible Class Codes:

Ineligible:

• Land under development
• Land used for or involved in:
  • Hydraulic fracturing or hydro fracking operations
  • Hunting, ATV’s, snowmobiles or other recreational vehicles
  • Farming operations, including growing any marijuana or cannabinoid products
• Land currently or formerly used as a landfill
• Premises showing signs of potential contamination or premises for which a pollution or contamination assessment or clean-up is anticipated, scheduled or underway. Subsequent notice of contamination or the fact there is a perceived or potential pollution exposure requiring further investigation will be considered an increase in hazard
• Properties referred to as "Brownfield" sites, which are abandoned, idle or underused industrial and commercial facilities where expansion or redevelopment is complicated by real or perceived environmental contamination
• Logging and lumbering operations on owned or leased land
• Land with a below-ground mine, water well or gas well that has not been sealed; caves, dams, bridges, quarries or strip mines

In addition to the Mandatory General Liability Forms Add:

• CG2104           Exclusion – Products and Completed Operations Hazard (not required if account also has a products class)
• CG2139           Exclusion – Contracts Liability Limitation
• CG2144           Designate Premises or Project Limitation
• AXIS 101 1621 Real Estate Development Activities Exclusion
• AXIS 101 0412 Fracturing Exclusion
• AXIS 101 1622 Marijuana/Cannabis Exclusion

TRUCKERS GENERAL LIABILITY

Brief Description: A motor carrier is a party who has the authority to transport goods on public roadways, with the two primary differentiators being for-hire (transporting the goods of others) and not-for-hire (transporting their own goods). This program is designed for truckers for hire who only transport the goods of others.

General Guidelines:

• This classification applies to risks engaged in hauling goods for others under contract and not goods owned by the insured.
• This classification contemplates:
  • General Liability (Premises portion of a trucking operation which includes miscellaneous employees such as terminal employees, garage employees and repairers).
  • Excluded are the driver and use of auto, loading and unloading of vehicles.
  • The Auto policy covers the operations of the drivers and their helpers.

Liability Guidelines

• For premium computation purposes, include the payroll of terminal employees and garage or repair persons.
• Exclude payroll of drivers, their helpers, and employees engaged in collection and delivery of merchandise on foot.
• Utilize Safer Check Fleet or CAB to verify no brokerage. Documentation must be maintained in the underwriting file upon each renewal.
• Maximum Limits Available - $1MM/$2MM/Included (Products/Completed Operations are included in the General Aggregate)

Ineligible:

• Freight Forwarders – brokerage authority from FMCSA
• Ambulance or Para-Transit Companies (Emergency or Non-Emergency)
• Bicycle, scooter or motorcycle messenger/delivery services
• Crane Service
• Drone Delivery service
• Fast Food Delivery service
• House Movers/Mobile Home Movers
• Moving and Storage
• Hired and Non-Owned auto liability
• Ice cream Trucks
• Livery operations
• Logging and lumbering operations
• Police/Detective Patrol operations
• Repossession Operations
• Tow trucks
• Trailer Interchange
• Vehicle Escort Services
• Transportation of any of the following also prohibited:
  • Autos (Auto Transporters)
  • Chemicals
  • Explosives
  • Fireworks
  • Frack sand/water
  • Garbage/Ash/Refuse
  • Gasoline, Diesel or Fuel Oil
  • Hazards waste, including asbestos
  • Livestock
  • Medical waste
  • Military Weapons, ammunition, equipment and stores
  • Pharmaceutical drugs or drug paraphernalia

Eligible GL Class Code – Liability: (premium basis per ISO Rules - payroll)

Mandatory Forms
In addition to the Mandatory General Liability Forms Add:

• CG2149 Total Pollution Exclusion (do not use CG2155 or CG2165)
• CG2153 Exclusion – Designated Operations Exclusion (Any and all installation, service or repair, snow and ice removal operations)
• AXIS1011955 Aircraft, Auto or Watercraft Exclusion Endorsement
• AXIS103056 Animal Exclusion
• AXIS1011622 Marijuana/Cannabis Exclusion
• AXIS1011980 Classification Limitation Endorsement
• SI233 Injury to Temporary Workers, Volunteer Workers or Independent Contractors Exclusion

Optional

• CG2011           Additional Insured Managers or Lessors of Premises
• CG2018           Additional Insured – Mortgage, Assignee or Receiver

The following optional endorsements are subject to the following pricing:
• CG2404 Waiver of Transfer of Rights of Recovery Against Others to Us (Required by Written Contract): “Any person or organization with whom the insured has agreed to waive rights of recovery, provided such agreement is made in writing and prior to the loss.” - $100
• CG2043 Additional Insured - Automatic Status When Required in Contract or Agreement - $250

Minimum Premium: $500

OPTIONAL COVERAGES AND LIMITATIONS - LIABILITY:

ASSAULT, BATTERY AND ABUSE AMENDATORY ENDORSEMENT: FORM # SI 181

* Premium charge may be waived is crime score 1-5

EMPLOYEE BENEFITS LIABILITY – FORM CG 0435

Provides coverage for liability arising out of errors or omissions in the administration of an employee benefits plan.

Eligibility: Any risk with a prior Employee Benefits Liability claims must be referred to AXIS

Retroactive Date: Use policy effective date or retroactive date on the expiring policy for this coverage if no gap in coverage.

Limits and Pricing:

HIRED AND NON-OWNED AUTO – FORM # AXIS 101 1337

Available via endorsement for all industry groups except contractors

Eligibility – Liability:

• Non-contractor risks that rent, lease for a short term or borrow autos, whether operated by the vehicle owner or others
• Restaurant risks that do not have delivery services and rent, lease for a short term or borrow autos, whether operated by the vehicle owner or others
• Restaurants with delivery and catering exposures are ineligible
• Any risk with delivery exposure is ineligible including rapid delivery (e.g. Foodsby, Grub Hub etc.)
• Any risk with an individual named insured is ineligible
• Insured may not rent or lease a vehicle for a period of 30 days or more
• Annual cost of hire is no greater than $10,000
• For autos borrowed from employees, insured must confirm proof of primary insurance

Limits available and rates are as follows:

STOP GAP – SEE FORM #’S BELOW

Available States: North Dakota, Ohio, Washington, and Wyoming

Brief Description: Fills “gap” between CGL and Workers Comp policies in monopolistic states. Monopolistic states administer their own WC programs that do not include employers’ liability insurance offered by most standard workers' compensation policies.

Eligibility:

• Any risk with a prior Employers’ Liability Claim must be referred to AXIS
• Stop Gap limits cannot exceed Occurrence/General Aggregate limits
• Coverage is not available in any state not listed above

Limits and Pricing:

Mandatory Forms:

• CG0440 Stop Gap - Employers Liability Coverage Endorsement - North Dakota
• CG0441 Stop Gap - Employers Liability Coverage Endorsement - Ohio
• CG0442 Stop Gap - Employers Liability Coverage Endorsement - Washington
• CG0444 Stop Gap - Employers Liability Coverage Endorsement - Wyoming

OPTIONAL COVERAGES AND LIMITATIONS - PROPERTY:

ADDITIONAL COVERED PROPERTY – CP 14 10

Maximum limit of $25,000 per location. Use the building rate.
Intended to include property not covered under the BUILDING AND PERSONAL PROPERTY COVERAGE FORM, CONDOMINIUM ASSOCIATION COVERAGE FORM, and CONDOMINIUM COMMERCIAL UNIT-OWNERS COVERAGE FORM. Examples include roadways, walks, patios or other paved surfaces, light poles, retaining walls, underground pipes, flues or drains

BUILDING GLASS – TENANTS POLICY CP 1470

Intended for an insured who is a tenant in a building and the terms of the insured's lease require the tenant to cover glass that is part of the building structure.

• Available up to $25,000
• $150 Minimum Premium
• Minimum Deductible is the same as the property deductible

COASTAL MINIMUM EARNED PREMIUM – AXIS 101 1363

This optional form is available to charge an increased Minimum Earned Premium of 90% for risks incepting during wind season June 1 to November 30. Consider use for new business without evidence of prior coverage or risks with prior cancelation activity.

DEBRIS REMOVAL ADDITIONAL INSURANCE CP 04 15

• Maximum limit of $25,000 per location
• More than 3 locations require referral to AXIS

DISCHARGE FROM SEWER, DRAIN OR SUMP PUMP AXIS 101 1774

Damage caused by discharge of water from a sewer, drain or sump pump located on the described premises provided discharge is not induced by flood or flood- related conditions. There is no coverage if the discharge results from an insured’s failure to perform routine maintenance or repair necessary to keep a sewer, drain, sump or related equipment free from obstruction and in proper working conditions.

See form for full coverage details.

Eligibility:

• Coverage is offered on a per location basis for risks with 5 or less locations
• The limit provided is the annual aggregate limitation per location
• Can only be used when Special Causes of Loss form is applicable
• Plumbing must have been updated in past 25 years
• Ineligible for vacant properties
• Refer to AXIS if prior flood or water back-up losses

Limits and Pricing:

EQUIPMENT BREAKDOWN COVERAGE – FORM # AXIS 101 2014 AND AXIS 101 2013

Equipment Breakdown is subject to the Limits of Insurance shown in the Declarations except as specifically shown below. These coverages apply to all locations covered on the policy

FLORIDA SINKHOLE IL 04 01

Eligibility:

• Available only for risks where sinkhole has been specifically requested or is required to match expiring coverage

Prohibit:

• Single family dwelling risks
• Any location in Hernando, Hillsborough or Pasco county
• Any risk with prior sinkhole claim

Limits and Pricing:

• Max TIV of $3M per location subject to all other TIV limits and authorities
• Surcharge is recommended when Sinkhole is provided

NAMED STORM DEDUCTIBLE

If named storm (AXIS 101 1336) is used, wind hail (AXIS 101 1328) and multiple deductible form (CP 03 20) are mandatory

Neither the named storm nor the wind hail can be below the minimums in these guidelines

OUTDOOR SIGNS – CP 14 40

• A limit of $25,000 for Outdoor Signs is included in the Property Enhancement Endorsement AXIS 101 1333.
• When the Property Enhancement is not used, Outdoor Signs CP 14 40 can be used up to $35,000.
• Minimum premium is $250 for limits up to $35,000
• Total limits for Outdoor Signs (Property Enhancement plus any additional limit via CP 14 40) over $35,000 require referral to AXIS.
  • Limits over $25K, use the CP 14 40 for the full sign limit (up to $35K).
  • Sign coverage under the Property Enhancement will not apply

PROPERTY ENHANCEMENT ENDORSEMENT - SEE AXIS 101 1333 FOR FULL TERMS and conditions

Eligibility:

• Special Form Only
• Premium is $150

THEFT OF BUSINESS PERSONAL PROPERTY SUBLIMIT AXIS 101 1796

This form is intended for eligible risks with high theft target items. It is not intended for risks with a history of theft losses. Note an increased Theft Deductible and Theft Exclusions are also available.

Eligibility:

• Refer to AXIS if risk has more than two theft claims
• Policy sub limit up to $25,000

THEFT - INCREASED THEFT DEDUCTIBLE (AVAILABLE VIA MULTI DEDUCTIBLE FORM) – CP 0320

Eligibility:

• Options of $10,000, $25,000, $50,000 and $75,000 are available.
• Any deductibles over $25,000 must be approved by AXIS.

TOTAL ROOFING EXCLUSION ENDORSEMENT – AXIS 101 2332

Required for any roof 35 years or older, roofs in poor condition or roofs under repair without evidence of completion.

UTILITY SERVICES – DIRECT DAMAGE (NO TIME ELEMENT AVAILABLE) - CP04171012

Adds coverage for damage to the insured's property resulting from an interruption of any of the utility services identified in the endorsement schedule as covered.

Coverage can apply to loss from damage to any of the following types of utility service property:

• Water supply property, consisting of pumping stations and water mains.
• Communication supply property, (such as telephone, radio, microwave, or television services) including transmission lines, coaxial cables, and microwave radio relays except satellites; however, overhead transmission lines are not covered
• Power supply property, consisting of utility generating plants, switching stations, substations, transformers, and transmission lines; however, overhead transmission lines are not covered

In order for coverage to apply, the service interruption must be the result of a covered cause of loss, such as a fire or a windstorm.

WATER DAMAGE SUBLIMIT AND DEDUCTBLE ENDORSEMENT AXIS 101 1971

For property older than 30 years where plumbing has not been updated, within the past 20 years, or when prior water damage claims have been reported (regardless of age)

• Option 1: A water damage sublimit may be placed on the risk of not more than $50,000 (depending on TIV) per occurrence. The sublimit applies per building.
• Option 2: A separate water damage deductible may be applied to the policy of a least a $2,500 minimum. This deductible can never be below the AOP deductible and applies per building.
• Option 3: For residential or commercial properties with multiple units within a building, consider the Water Damage Deductible Per Unit Endorsement – AXIS 101 1368

WATER DAMAGE DEDUCTIBLE PER UNIT ENDORSEMENT - AXIS 1011368 0218

For residential or commercial properties with multiple units within a building

• Any risk with a prior water damage claim without evidence of remediation requires a separate per unit water damage deductible with a minimum of $1,000 per unit.
• See Prior Loss Guidelines for additional information.
• Deductibles over $25,000 must be referred to AXIS
• Available Per Unit Deductibles:
  1. $1,000
  2. $2,500
  3. $5,000
  4. $7,500
  5. $10,000
  6. $15,000
  7. $25,000
  8. $50,000 (refer to AXIS)
  9. $75,000 (refer to AXIS)
  10. $100,000 (refer to AXIS)

WIND DRIVEN RAIN OPTIONS – AXIS 101 1362

Eligibility: Special Form Only

The Named Storm or Windstorm and Hail deductible, whichever is greater, applies to this coverage

This coverage is not available when wind and hail is excluded

ADDITIONAL INSURED OPTIONS AND CHARGES:

Blanket Additional Insured (limited availability):

Forms available: CG2010 (with verbiage below) & CG2043

Available only for the following classes: Caterers (11039), Interior Decorators (96611), Vending Machine (49619), Truckers (99793)

Required verbiage for use of CG2010 as blanket:

SCHEDULE

Name of Additional Insured Person(s) Or Organization(s):

Any person or organization where the Named Insured has agreed in a written contract or agreement to name as an additional insured provided that the contract or agreement was executed prior to the loss or occurrence.

Location(s) Of Covered Operations:

All Locations at which the Named Insured is performing on-going operations.

Minimum Premium $250

RATING RULES AND METHODOLOGY

Accounts will be rated and priced in accordance with AXIS individual state rate and rule guidelines. The underwriter’s analysis and decision on underwriting considerations must be fully documented in the individual account underwriting file.

UNDERWRITING FILE REQUIREMENTS

1. Application – Current, completed and signed ACORD and any supplemental apps, including tenant lists for Lessors Risk or Warehouse occupancies. For renewals with no material change in operations or exposures, an updated, signed application, supplemental applications and tenant lists should be obtained every 2 years.
2. Amwins Supplemental Applications
   1. Required for all habitational, hired and non-owned auto, landowner’s (vacant land), LRO, restaurant, bar, tavern or vacant building coverage
   2. Liquor supplement required for all restaurants, bars and taverns if liquor coverage provided
   3. Other carrier supplemental applications acceptable as long as they are specific to these business segments and exposures
3. Rating Documentation – Justification for credits or other modifications
4. Loss Information
   1. Past two full years plus the current year of losses. All loss data must be currently valued (within 90 days)
   2. If loss detail is not available, then a signed letter certifying no losses is required. Acceptable documentation includes a “no known loss” letter on the insured’s letterhead, ACORD 37 or similar confirmation signed by the insured verifying no known losses during the experience period.
   3. Hard copy loss runs required on all habitational risks
5. General Correspondence – All correspondence associated with the account must be kept in the underwriting file.
6. Inspection Report – A copy of the inspection report and any other associated material. All recommendation follow-up correspondence and inspection documentation including pictures.

PRICING AUTHORITY

1. All acceptable submissions are to be rated in accordance with the company’s rating methodologies and rules and state regulations
2. Authorized credits:
   1. Property – no credits allowed
   2. General Liability – no credit on any Habitational or RBT risk. Max 10% on all other segments
   3. Liquor Liability – no credits allowed
3. Documentation of schedule rating credits in the underwriting file if applicable

PREMIUM AUDIT

All general liability policies are subject to audit.

OFFICE OF FOREIGN ASSETS CONTROL (OFAC) COMPLIANCE

Search account information against the OFAC list of Specially Designated Nationals and Blocked Persons list. This search is performed on each new business account. Positive hits which are unable to be confirmed as “false” positive hits will be referred to AXIS.

TERRORISM RISK INSURANCE ACT (TRIA)

Coverage will be offered on all accounts. AXIS uses a signature form to confirm selection or rejection of coverage

A Selection / Rejection of Terrorism Insurance Coverage form will attach to all quotes. If the signed form is not provided, file documentation must indicate whether coverage was accepted or rejected. The appropriate Terrorism Endorsement will then be attached to each policy.

The option to accept or reject TRIA is provided for new business or at renewal only. Exceptions may be permitted when a new lender is being added mid-term with a requirement to include TRIA. This requires referral to AXIS with evidence of the new lender requirement.

BACKDATING AND REINSTATEMENT OF COVERAGE

Backdating - No authority granted for backdating of coverage

Reinstatement of Coverage:

• A maximum of two Non-Payment Reinstatements are allowed during a Policy Period.
• If the request to reinstate is within 5 calendar days from effective date of cancellation, a Signed No Known Loss Letter(SNKLL) is not required to consider reinstating, as long as there are no newly reported or open claims on the file.
• If the request to reinstate is over 5 calendar days, a SNKLL on the insured’s letterhead is required to consider reinstating
• If the request is over 15 days from effective cancellation date, reinstatements must be approved by AXIS.
• If there was a claim reported during the policy period, any request for reinstatement must be referred to AXIS

CERTIFICATES OF INSURANCE

Alterations to the ACORD certificate wordings are not allowed.

CANCELLATION

All cancellations are subject to 25% minimum earned premium, except for cancellations at AXIS or Amwins request.

Flat cancellations are not allowed. Any exceptions must be approved by the Amwins Markets team prior to processing

No backdating of cancellations are allowed with following exceptions:

• LPR received within 30 days and Amwins Cancellation team approves per established protocols.
• LPR received within 31-60 days and Determined Amwins Cancellation Delegate approves per established protocols.
• LPR received over 60 days and Amwins Markets team approves per established protocols.

PORTFOLIO EXPOSURE / AGGREGATES

• TIV from habitational risks may not exceed 30% of total TIV in any one county – all states except Texas
• Texas – TIV from habitational risks may not exceed 25% of total TIV in any one county
• AXIS will monitor aggregates monthly and provide results to Amwins for any required actions
• Habitational TIV to include Apartment, Residential Condominium, Townhomes and Dwelling Risks

POLICY ISSUANCE & CONTRACT CERTAINTY

Policies will be issued within 30 days of the effective date.

Amwins will obtain complete and final agreement of all terms and conditions between AXIS and the insured in writing by the time of policy inception/binding. Any subjectivity should be clearly identified and should have been agreed to by all parties in advance. If coverage is bound subject to receipt of additional information, the deadline for receipt of that information; the terms to apply until the subjectivity is met; and the implications for failure to meet the deadline should be clearly defined.

POLICY TERM

Policies will be issued for a 12-month term. Extensions or short-term policies may be offered to bring policy concurrent with other existing business. Under no circumstance should a policy be issued for a term greater than 18 months.

Premium for terms less than 6 months must be fully earned.

REINSURANCE

Amwins has no authority to place reinsurance on policies written on behalf of AXIS.

EXHIBIT #1 - APPROVED AMWINS ACCESS OVER AUTHORITY UNDERWRITERS

• Jackie Marler, Underwriting Leader East
• Emily Flores, Underwriting Leader West
• Kelly Carney, Casualty Practice Leader
• Nicola Golder, Property Practice Leader
• Troy Santora, E&S Leader
• Kristin Owens, Regional Leader
• Tammy Culmone, Regional Leader
• Tiffany McPartland, Regional Leader
• Daniel Hicks, Regional Leader
• Nicole O’Brien, Regional Leader
• Mick Kroll, Operations
• Staci Wilson, Product Analyst, Amwins Access

EXHIBIT#2 - WIND & HAIL ELIGIBILITY

• Distance to coast determined based on AXIS measurement to the nearest body of salt water, including bays, inlets, and intra-coastal waterways
• Accounts with any property values located within 10 miles of the coast are subject to the Maximum TIV in the tables below
• All risks in Monroe County, FL, are ineligible for wind and hail
• Barrier island exposures are not eligible for coverage unless wind and hail are excluded
• Floating structures are not eligible for coverage
• Buildings with EIFS cladding over frame, JM or metal are to be treated as frame and subject to frame guidelines and rates
• Any building with wood rafter roof is subject to Frame/JM guidelines and rating
• Buildings built on stilts or pilings are ineligible
• Deductibles apply as percent of TIV per building
• If named storm (AXIS 101 1336) is used, wind hail (AXIS 101 1328) and multiple deductible form (CP 03 20) are mandatory
• Neither the named storm nor the wind hail can be below the minimums in these guidelines
• Coastal Minimum Earned is available as an optional endorsement
• All seasonal risks must include a heat warranty via AXIS 1013060 Protective Safeguard Endorsement (Vacant or Seasonal Buildings)

STATE SPECIFIC GUIDELINES FOLLOW FOR THE FOLLOWING STATES:

• ALABAMA
• ARKANSAS
• COLORADO
• DELAWARE
• FLORIDA
• GEORGIA
• KANSAS
• LOUISIANA - INELIGIBLE
• MARYLAND
• MINNESOTA
• MISSISSIPPI
• MISSOURI
• NEBRASKA
• NEW JERSEY
• NEW YORK
• NORTH CAROLINA
• OKLAHOMA
• SOUTH CAROLINA
• TEXAS
• ALL OTHER COASTAL STATES (EXCLUDING CA, OR, WA)

STATE OF FLORIDA

• All risks in Monroe County, FL, are ineligible

FLORIDA COUNTIES OF MIAMI DADE, BROWARD, PALM BEACH

2023 moratorium on all business written with wind – new and renewal. X-Wind acceptable subject to current rates and no credits.

• NC2 is defined as light metal construction
  
  

FLORIDA COUNTIES OF HILLSBOROUGH, PINELLAS

STATES: ALABAMA

TIER 1 COUNTIES: Baldwin, Mobile - 2023 moratorium on all business written with wind – new and renewal. X-Wind acceptable subject to current rates and no credits.

TIER 2 and 3 – No schedule credits

• NC2 is defined as light metal construction
  
  

STATES: GEORGIA, NORTH CAROLINA, SOUTH CAROLINA

TIER 1 Counties - 2023 moratorium on all business written with wind – new and renewal. X-Wind acceptable subject to current rates and no credits. Includes counties of:

• Georgia: Bryan, Camden, Chatham, Glynn, Liberty
• South Carolina: Beaufort, Charleston, Georgetown, Horry, Jasper
• North Carolina: Beaufort, Brunswick, Carteret, Chowan, Craven, Currituck, Dare, Hew Hanover, Onslow, Pamlico, Pasquotank, Pender, Perquimans, Washington

TIER 2 and 3 – No schedule credits

• NC2 is defined as light metal construction
  
  

STATES: MISSISSIPPI

TIER 1 Counties - 2023 moratorium on all business written with wind – new and renewal. X-Wind acceptable subject to current rates and no credits. Includes counties of: Hancock, Harrison, Jackson

TIER 2 and 3 – No schedule credits

• NC2 is defined as light metal construction
  
  

STATE OF TEXAS - ATTACH AXIS 1011784 – LIMITATIONS ON COVERAGE FOR ROOF SURFACING TO ALL PROPERTY POLICIES IN TEXAS

TEXAS – TIER 1 & TIER 2 COUNTIES INCLUDING:

TIER 1 Counties - 2023 moratorium on all business written with wind – new and renewal. X-Wind acceptable subject to current rates and no credits. Includes counties of:

TIER 2 – No schedule credits

*NC2 is defined as light metal construction

NORTH TEXAS COUNTIES

No schedule credits

NORTH TEXAS COUNTIES – GUIDELINES:

East / Central & West Texas Counties:

No schedule credits

East / Central & West Texas County Guidelines:

STATE: LOUISIANA – All risks in Louisiana are ineligible

STATE: MARYLAND

No schedule credit

For risks < ½ mile:

• Maximum 10 locations per policy
• AOP Deductible:
  • For habitational risks, a per unit water damage deductibles for risks with more than 4 units and / or a water damage sublimit with a higher water damage deductible required
  • For any risk without 3 years prior loss runs, a water damage sublimit with a higher water damage deductible is required

STATES: DELAWARE, NEW YORK

No schedule credit

STATES: NEW JERSEY

No schedule credit

STATES: ALL OTHER COASTAL STATES (EXCLUDING CA, OR, WA)

No schedule credit

*NC2 is defined as light metal construction

STATES OF ARKANSAS, KANSAS, MINNESOTA, MISSOURI, NEBRASKA

No schedule credit

STATES OF COLORADO*, AND OKLAHOMA**

No schedule credit

*Colorado guidelines include counties of Adams, Arapahoe, Baca, Bent, Boulder, Broomfield, Cheyenne, Crowley, Douglas,Elbert, El Paso, Jefferson, Kiowa, Kit Carson, Las Animas, Larimer, Lincoln, Logan, Morgan, Otero, Phillips, Prowers, Pueblo, Sedgwick, Washington, Weld, Yuma

Attach AXIS 1011784 – Limitations on Coverage for Roof Surfacing to ALL property policies in Oklahoma

EXHIBIT #3 - SOUTH CAROLINA EARTHQUAKE GUIDELINES

• Available in South Carolina only
• Maximum $2,500,000 limit per account (limit may not exceed each individual Building, Personal Property or Business Income limit)
• Minimum deductible 2%, $2,500 minimum (see masonry veneer exception below)
• Accounts with sublimit(s) attach forms:
  • CP 1045
  • DS06
• Accounts with full limit(s) attach forms:
  • AXIS 1012505
  • AXIS 1012506
• EQSL available only with earthquake – no monoline EQSL
  • Earthquake deductible applies to EQSL
  • EQSL is included within the same sublimit and annual aggregate as earthquake coverage
• Masonry Veneer available
  • If in Dorchester, Colleton, Charleston, Jasper and Beaufort counties minimum deductible must be 5%, $2,500 minimum
  • EQ rate must be debited 20%
    
    
    

EXHIBIT #4 - WILDFIRE GUIDELINES

Amwins Wildfire Tools must be used on all property risks in AZ, CA, CO, ID, MT, NM, NV, OR, UT, WA and WY.

• If Anchor Point Score ≥40 AND MapRisk ≥80 – Non-Renew/Decline
• If Anchor Point Score ≥30, OR MapRisk ≥60 – send through to the referrals mailbox at [email protected]

Note, you will manually need to surcharge for higher exposures as these are not built into RTR

EXHIBIT #5 - LIQUOR LIABILITY GRADES BY STATE

EXHIBIT #6 - FORMS

Mandatory all - Property, GL and Package::

MANDATORY PROPERTY – ALL CLASSES:

MANDATORY GENERAL LIABILITY – ALL CLASSES

State Specific - Mandatory - Property, GL and Package:

TRIA

OPTIONAL FORMS AND EXCLUSIONS:

DEDUCTIBLE FORMS:

EARTHQUAKE – SOUTH CAROLINA ONLY:

EXHIBIT #7 - CHANGE CONTROL