FREQUENTLY ASKED QUESTIONS
FAQs
REVENUE-BASED ERRORS & OMISSIONS PROGRAM FOR SIAA AGENTS
RESPONSES TO FREQUENTLY ASKED QUESTIONS
- Rockwood Programs has been providing Insurance Agent E&O coverage to SIAA members since 2007. Over the course of our fourteen year business relationship, we have paid nearly $5 million in losses in order to maintain the livelihood of the Alliance’s agencies.
- Our long-term partnership puts us in the position of offering E&O insurance based on the unique risk characteristics of SIAA. This expertise allowed us to launch an exclusive revenues-based rating program for agents within the network. The premiums offered under this arrangement are among the most competitive in the industry.
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- Are there any underwriting criteria attached to the SIAA Revenues-Based E&O program?
- We have attempted to make the eligibility criteria for the new revenue-based initiative as broad as possible. With that said, some characteristics may cause a risk to fall outside of the program’s acceptability parameters. These include:
- • Annual agency revenues in excess of $500,000
- • $25,000 or more in losses over the last three years.
- • A liability limit requirement in excess of $1,000,000/$2,000,000
- • Any agency placing performance-based bonds.
- • Any agency placing crop insurance
- What is a performance-based bond?
A performance bond is a written guaranty from a third party guarantor (usually an insurance company) submitted to a principal (client or customer) by a contractor on winning a bid to do work. This instrument ensures payment of a sum of money in case the contractor fails to meet all of the specifications of the contract.
- Is there a cost involved in using the Risk Management Website?
No. The Risk Mitigation site – located on SIAA’s Training & Learning Center (TLC) platform – is available to all member agencies at no charge. This unique toolkit includes a library of pre-recorded webinars, self-audit modules, and other useful loss control aids. Rockwood policyholders who complete all of the self-audit modules will be eligible for a premium credit on renewal.
- Who is responsible for the administration of claims under the program?
The most important barometer for any professional liability policy is how vigorously it defends the insured in the event of a claim. Rockwood’s Claims Administrator – Wilson Elser – is perhaps the most significant feature of the Insurance Agent’s E&O product designed for the SIAA network. This firm:
- • Has nearly 800 attorneys in 31 strategically located offices throughout the United States.
- • Possesses over 30 years’ experience in professional liability litigation.
- • Is recognized as one of the nation’s most influential law firms, as evidenced by its ranking in the Am Law 200 and in the top 50 of the National Law Journal 500.
As a Rockwood policyholder, you will know who your defense counsel will be before a loss occurs. Wilson Elser has a reputation of providing an advocacy defense for their clients. They will keep our policyholders up to date regarding any developments and appropriately consult with them on the issues of defense, settlement, and claim resolution.
- Will policy premiums be debited as a result of the geographic location of the risk?
No. State modification factors are not being utilized in the SAA revenue-based program.
- Will policy premiums be debited as a result of the geographic location of the risk?
- Are there any underwriting criteria attached to the SIAA Revenues-Based E&O program?