RLI has announced a new version of the Personal Umbrella Application for new business effective January 1, 2011, PUP276 (01/11). The change was made because RLI is now offering UM/UIM coverage in states where it was not previously available.
RLI has added a section on page 2 of the application for the applicant to choose to purchase or reject UM/UIM coverage. However, in Florida, due to state mandated requirements, applicants must still complete the UM Acceptance form PUP 257-B (09/10) if they wish to purchase UM/UIM coverage. If there is a difference in answers between the application and the UM Acceptance form, the UM Acceptance form supersedes the response on the application.
FAIA has also been appointed to write RLI products in Georgia and Tennessee. The UM/UIM option has not been available in Georgia or Tennessee. In those state, the applicant can choose to purchase UM or reject UM on the application.
In Florida, RLI will continue to send the UM Acceptance/Rejection form with the renewal questionnaire. If the insured does not return the form to RLI with their renewal questionnaire, the policy will be issued with the same UM/UIM coverage election as their current policy.
In Georgia and Tennessee, RLI has updated the renewal questionnaire to give the insured the option to purchase or reject UM/UIM by circling the appropriate option on the renewal questionnaire.
Rates – New rate sheets are available for policies effective January 1, 2011 and later.
Florida – New rates will be effective on 1/1/11 due to an increase in the Florida Hurricane Catastrophe Fund from 1.0% to 1.3%.
Georgia – There will be no change in rates, but a new column will be added to the rate sheet showing the rates with UM/UIM.
Tennessee – There will be no change in rates, but RLI will add a $150 per driver charge for UM/UIM. UM/UIM is not available for anyone with 100/300 underlying auto limits.
The new applications and rates are available on the faiams.com website.
If you have any questions, you may contact us at 850-893-4155. For policyholders A-K contact Lynn White at ext. 322 and for policyholders L-Z, contact Candis Adams at ext. 359.
Please carefully review this information and consider how it applies to you.