Page 35 - Personal Underwriting Mandates & Guidelines - Binder - Version 3

○ Any extras that are not factory-fitted, i.e. stated separately on the purchase invoice must be captured separately as extras. These accessories and aftermarket accessories will not be depreciated by the system and therefore the sum insured for these items must be discussed with the client, at renewal.
○ Premium must be calculated on the total sum insured which is set at retail value plus accessories/extras.
Additional information regarding the SAIA Code of Conduct is dealt with in more detail under the heading “Fundamentals”.
Vehicle details
Always try and get a copy of the registration document from which the following can be verified:
○ the registered owner of the vehicle: This highlights possible insurable interest concerns as well as potential commercial risks, which are not insurable under a personal lines policy.
○ make and model of the vehicle: This is an important rating factor and accuracy of this information is critical when calculating a premium as well as adjusting the value of vehicles as per the SAIA requirements.
○ date of first registration of the vehicle: The actual age of the vehicle is an important factor for rating purposes as well as underwriting acceptance criteria.
– engine number of the vehicle
– chassis/vehicle identification number (VIN)
– registration number of the vehicle
○ colour of vehicle: This question is not compulsory yet. You are, however, encouraged to obtain the information which will enhance the accuracy of rating. The intention is, to use it in alignment with most of our competitors.
Regular driver information
It is important to highlight to the policyholder that the regular driver is the person who drives the insured vehicle most often in any given monthly period.
The following information should be obtained and considered when underwriting Motor risks:
○ age of the regular driver: Loadings are applied for drivers younger than 25 years old. Similarly, older drivers could be more prone to accidents. We require a medical certificate of competency to drive or an individual driver assessment for drivers who are 80 years or older, for new business only. Any concerns raised in these reports or certificates must be referred to Hollard including the driver’s claims history. Should adverse claims occur, the underwriter may request an updated certificate. Please click here or refer to Addendum E for a list of service providers that provide defensive driving courses and/or driver assessments for mature drivers.
○ occupation of the regular driver: This will help you to identify if the motor vehicle is insured for the correct use.
○ the original issue date of the driver’s licence of the regular driver: The fact that a driver is over 40 years of age does not necessarily mean that they are an experienced driver, for example, they might only be in a position to purchase their first vehicle at this age or obtain a licence. Consider loading the rate to accommodate the risk, ask for a defensive driving certificate or decline the business. In this example the risk should be treated the same as that of an under 25-year-old driver’s application.
○ the loss/claims history and appropriate NCB/CFG allocation for the regular driver (as opposed to that of the policyholder).
Motor
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Personal Underwriting Mandates & Guidelines – Binder – Version 3