Page 9 - Personal Underwriting Mandates & Guidelines - Binder - Version 3

General
Depending on the source of this data, it is either updated quarterly or annually. Underwriting decisions can be made using this report whereas in the past we would possibly have requested a survey. Requests for physical surveys should be referred to Hollard for consideration.
Surveys
In extreme cases where the GRiP IRiS report is not sufficient and it has been agreed that a full survey is required, the insured must be informed in writing that the survey must be facilitated by him/her – as soon as possible but not later than 31 days from inception of cover or when requested by Hollard – by making the premises available for inspection. If this time limit is not met the cover will cease or special terms and conditions should be applied.
Once the survey has been done, all requirements identified by the surveyor must be communicated in writing to the insured and the time limit for implementation of the requirements must be clearly stated. The written communication to the client must emphasise that cover will be suspended, or special terms and conditions applied, if the requirements are not met. The matter must be diarised for follow-up.
It is preferable that an independent/professional specialist be contracted to conduct surveys when required.
ENDORSEMENTS/GUARANTEES
Hollard is responsible for updates of endorsements and guarantees on the preferred system providers for the “Hollard Private Portfolio” and “Hollard Prestige Portfolio” (black box-rated products). Automated and selectable endorsements are available as part of the system setup.
All applicable guarantees must be stated in the schedule and must also mimic the guarantee stated in the wording unless the intention is to alter the guarantee stated in the wording. If the intention is to alter the guarantee stated in the wording, that guarantee must be withdrawn and the new guarantee stated in the schedule. All guarantees must be agreed and signed off by Hollard.
Hollard will assist in preparing any ad-hoc endorsements or guarantees not catered for on the systems, as well as endorsements required for any other personal lines wordings used. (Making notes on a policy schedule, such as confirming that a valuation has been received and placed on file, would not require a referral to Hollard.)
POLICYHOLDER
Personal lines policies should be issued in the name of a natural person. A natural person is a living, breathing human
being and a juristic person is a company, a close corporation, a body corporate or sometimes a trust. Policies in the name of a juristic entity are subject to obtaining the following information:
○ Determine if the assets are used for personal purposes, else a commercial policy must be issued.
○ Everything insured under the policy must be owned by the juristic entity. If some items are owned by a natural
person, then the policyholder must be the natural person and the juristic entity must be the co-insured.
○ The premium must be paid by the juristic entity and the claim must be paid to the juristic entity in the event of a total loss.
○ Proof of the entity’s banking details and the incorporation certificate (companies, CCs) or trust deed (Trusts) are required.
○ If the assets are used for business purposes, for example a home that is used for a B&B, it must predominantly be used for residential purposes, else a commercial policy should be issued.
8 Personal Underwriting Mandates & Guidelines – Binder – Version 3