Gainsco

Non-standard auto. SEE “WHO MUST BE LISTED ON A POLICY” below…these guidelines are weird.

NOTE: These are the OHIO underwriting guidelines…other states may differ

COVERAGES & LIMITS #

Bodily Injury Liability $25,000/person $50,000/accident
Property Damage Liability $25,000/accident
Uninsured/Underinsured Motorist Bodily Injury $12,500/person & $25,000/accident; or $25,000/person & $50,000/accident
Uninsured Motorist Property Damage $7,500 or $10,000
Deductible: $250
Medical Payments $500, $1,000, or $5,000/person
Comprehensive & Collision Deductible options: $250, $500, $750, $1000 or $2000
Towing & Labor $50, $75, or $100/disablement
Rental Reimbursement $20/day $600 maximum total benefit or $30/day $900 maximum total benefit or $40/day $1,200 maximum total benefit.
Custom or Additional Equipment Up to $5,000

• Physical damage coverage cannot be selected without liability coverage.
• Physical damage coverage cannot be selected on any vehicle over 30 years old.
• Uninsured/Underinsured Motorist coverage election or rejection form approved by the Ohio

Department of Insurance must accompany every application. This form allows the insured to accept or reject Uninsured/Underinsured Motorist Bodily Injury (“UM/UIM BI”) coverages. This form must be completed in its entirety. If UM/UIM BI is elected, Uninsured Motorist Property Damage (“UM PD”) coverage must be offered to conform to Ohio state law, unless Collision
coverage is selected.

• Uninsured Motorist Property Damage (“UM PD”) coverage cannot be added to any vehicle with Collision coverage.
• Comprehensive and Collision must be written together. Deductible amounts on comprehensive and collision coverage are not required to be the same.
• Custom or Additional Equipment:
  • Coverage on vehicles will only be covered if the custom or additional equipment is listed on the application and additional premium is paid on the cost new of the equipment.
  • Coverage will only be available on vehicles where comprehensive and collision coverage is written.
  • Includes coverage for: custom paint, custom wheels, phone equipment, stereo/sound equipment, video equipment, and navigation/GPS. Photos and receipts are required for Custom or Additional Equipment coverage and should be maintained with the application.

UNACCEPTABLE RISKS #

The Company reserves the right to make final underwriting decisions on all applications. The following is a general list of risks not written; however, a combination of factors may cause some applications to be unacceptable even if not specifically mentioned in the following information. An Unacceptable Risk surcharge may apply to the policy if after inception an endorsement is processed that makes the risk unacceptable, and the policy may be non-renewed in accordance to state law.

VEHICLES #

• All vehicles must be registered/titled to the named insured and/or his/her spouse, if living in the same household. Otherwise, the holder of the registration/title must be listed as a rated or excluded driver on the policy.
• All vehicles must be garaged at the address(es) listed on the application and within the state of Ohio.

UNACCEPTABLE VEHICLES #

• ASTON MARTIN
• AVANTI
• BENTLEY
• BERTONE
• BLUE BIRD
• BRICKLIN
• BUGATTI
• CODA
• DAEWOO
• DAIHATSU
• DELOREAN
• DINAN
• FERRARI
• FISKER
• GEM
• JENSEN
• LADA
• LAFORZA
• LAMBORGHINI
• LOTUS
• MASERATI
• MAYBACH
• MCLAREN
• MORGAN
• PANTERA
• PINANFARINA
• PORSCHE
• RENAULT
• ROLLS-ROYCE
• RUF
• SALEEN
• SHELBY
• SMART
• STERLING
• TESLA
• THINK
• TRIUMPH
• TVR
• VPG
• WHEEGO
• YUGO
• Commercial Type (LIMO, MILITARY, FUNERAL, INCOMPLETE, CARGO VAN)
• Gross Weight Above 10,000 LB
• Horsepower Above 400 HP
• Model Age* Above 30 years

*UNACCEPTABLE FOR PHYSICAL DAMAGE #

• More than six vehicles insured under one policy
• More than two excess vehicles over the number of rated drivers on the policy
• Conversion vans/pickups for physical damage. Conversion vehicles may be issued for liability only, unless the vehicles have plumbing, cooking or refrigerator packages.
• Dune buggies, Baja bugs and/or any other type of ATV or off-road vehicle or any vehicle not licensed for road use
• Motorcycles
• Hearses and limousines
• Gray market, rare, antique, classic, vintage, custom, electric, kit, low production, limited edition, race replica, or show vehicles
• Motor Homes, RVs, Campers, Travel Trailers, or any vehicles with plumbing, cooking, or refrigerator packages
• Vehicles built/designed for, or used in, speed contests
• Flatbed vehicles
• Vehicles designed to carry more than eight people, including the driver
• Open air vehicles, including those with detachable roofs (except convertibles) not otherwise listed.
• For physical damage, salvaged, restored or reconstructed vehicles
• For Physical Damage, any vehicle with a depreciated base price greater than $40,000
• For Physical Damage, any vehicle identified as having a severe problem on the vehicle history report.
• o Severe problem is a flag created using the findings of vehicle history report. Severe problem indicator is Yes if the vehicle history report flags the vehicle for any of these
• prior events:
• Stolen vehicle
• Salvaged
• Reported as stolen
• Recycled
• Recovered from theft
• Rebuilt
• Police logged as involved in severe accident
• Lemon
• Junk
• Insured total loss
• Hail
• Frame damage
• Flood
• Fire damage
• Dismantled
• Damage disclosed
• Crash test vehicle
• Airbag deployment
• Vehicles over 30 years old are not acceptable for Physical Damage coverages
• Any vehicle which has been substantially modified in appearance or performance, or mechanically altered; i.e. high suspension or lift kits
• Any pickup, van or utility vehicle that does not have bumpers
• Vehicles with existing damage that do not have Vehicle Inspections where physical damage coverage has been requested.
• Vehicles not garaged at the address for which the vehicles are rated
• Vehicles garaged in Ohio less than 10 months per year
• Vehicles used for business or artisan use. A description of each Vehicle Use option is included in the Appendix.
• Vehicles used to carry tools or supplies to or from a work site as a job or service
• Vehicles used for messenger service, livery service, delivery service, wholesale or retail delivery, hauling merchandise for others, newspaper or retail food delivery, including but not limited to pizza delivery.
• Livery service includes any form of transporting people for compensation, including but not limited to carpool service for a fee. This does not apply to “share the expense” carpools.
• Vehicles used in connection with a transportation network company, such as Uber or Lyft
• Vehicles used in connection with a delivery network company, such as UberEATS, UberRUSH, or Postmates
• Vehicles titled to a legal entity, DBA, or LLC
• Vehicles operated by a driver who would be considered an Unacceptable Driver
• Vehicles which, at the time of application, was involved in an accident on the same day the policy is to become effective. A future effective date must be used.

**DRIVERS – who must be listed on the policy #

The following drivers must be listed on the application. If there are changes during the policy term, an endorsement must be processed reflecting these changes within 14 days of the change.

• List all persons 14 years or older residing with the applicant(s), whether or not they are licensed and/or drive/operate the listed vehicle(s)
• List all regular or occasional operators, and all registered owners/co-owners, of the listed vehicle(s)
• List all children or dependents age 14-20 of the applicant or applicant’s spouse, regardless of whether they reside with the applicant(s)
• Each person must be listed as a rated or excluded driver
• If a person has ever held an Ohio driver’s license, that license must be entered as the driver’s license information. A learner’s permit is treated as a license, and such drivers must be listed.
• If the applicant(s) is legally Married or legally Separated, such legal status must be listed as their Marital Status, and their spouse must be listed.

FAILURE TO LIST ALL SUCH PERSONS WITH COMPLETE INFORMATION MAY CONSTITUTE A MATERIAL MISREPRESENTATION, WHICH MAY RESULT IN ALL INSURANCE COVERAGES BEING VOID. Should drivers be discovered that have not been disclosed on the policy, we may add them as drivers on the policy and adjust the rate accordingly, including any surcharges or discounts for which they qualify.

EXCLUDED DRIVERS #

Any drivers who are excluded on the Ohio Named Driver Exclusion Endorsement must be acknowledged by the signature of the named insured. A signature from the named insured’s spouse is also required if their spouse is listed as an excluded driver. However, drivers may be added as rated or excluded drivers on the policy if they become residents of the named insured’s household during the policy term. A driver may not be excluded if they drive/operate the listed vehicle(s).

UNACCEPTABLE DRIVERS #

The following drivers are considered unacceptable:

• More than 8 rated drivers per policy
• Any driver who, at the time of application, was involved in an accident or violation on the same day the policy is to become effective. A future effective date must be used.
• Any student residing and/or attending school in a state other than Ohio
• Any operator who is not a resident of the state of Ohio, and/or does not live in Ohio for 10 months per year
  • This rule does not apply to operators other than the Named Insured who are in the military and stationed out-of-state
• Any operator under the age of 14
• Any named insured under the age of 18
• Any operator with a revoked or cancelled license, unless the driver requires an SR-22 filing
• Consistent with Ohio statute 4509.46, any operator requiring an SR-22 filing on a 6-month policy. We do offer 12-month policies for operators requiring SR-22 filings.
• Risks with a mailing address outside of Ohio
• Any operator who is a permanent resident of Ohio and who does not have a valid Ohio license or permit, unless obtained within 30 days of policy inception.
• All entertainers, athletes, and celebrities, or any professional individual who is nationally or locally well known to a large segment of the population relative to where the individual resides. This does not apply to public officials.
• Operators with more than two at fault accidents in the 36 months immediately preceding the original effective date of the policy with the Company.
• Operators with more than one alcohol or drug related charge in the 36 months immediately preceding the original effective date of the policy with the Company.
• Operators with more than one major violation in the 36 months immediately preceding the original effective date of the policy with the Company.
• Operators with more than two intermediate violations in the 36 months immediately preceding the original effective date of the policy with the Company.
• Total number of at fault accidents for all operators listed on a policy cannot exceed two in the 36 months immediately preceding the original effective date of the policy with the Company.
• Total number of major violations for all operators listed on a policy cannot exceed two in the 36 months immediately preceding the original effective date of the policy with the Company.
• Total number of intermediate violations for all operators listed on the policy cannot exceed three in the 36 months immediately preceding the original effective date of the policy with the Company.

DISCOUNTS #

DISCOUNTS REQUIRING DOCUMENTATION #

If the proof of eligibility for a discount is received after the policy is issued, the discount may be applied on a pro-rata basis.

• Prior Coverage – A Prior Coverage Discount will apply to the policy when the named insured can provide proof of prior insurance coverage for the six months immediately preceding the effective date of the policy and has not had a lapse in coverage of more than 30 days.
• Proof of the prior private passenger auto insurance coverage is required with the application and the binding of coverage unless automatically verified at point of sale.
• Acceptable proof of prior insurance includes a letter of experience on prior carrier letterhead, Company issued Declaration page, applicable renewal offer or ID card.
• The Prior Coverage discount may be applied for applicants who did not require automobile insurance during military deployment and would have qualified for this discount prior to deployment. Agent must submit proof of the applicant’s policy prior to deployment along with proof of their deployment during the time of lapse.
• The Company accepts proof of prior financial responsibility bond coverage as proof of prior coverage, subject to the underwriting guidelines listed above.
• Agency Internal Transfer – This classification of Prior Coverage Discount may apply to the policy when the named insured is eligible for the prior coverage discount as defined above and the prior coverage was written by the same agency submitting the application to GAINSCO.
• Proof of the prior insurance coverage and proof that the prior coverage was written by the agency are required with the application and the binding of coverage. The prior policy must have expired on the policy expiration date; midterm cancellations are not acceptable for this discount.
• Acceptable proof includes those forms of proof available for the prior coverage discount when the agency’s name is shown on the document, and will need to be supplemented with additional documentation when the agency’s name is not shown.
• Prior GAINSCO policies do not qualify for the Agency Internal Transfer Discount.
• Military Discount – A discount may apply to the policy when the named insured submits proof of military service for a rated driver on the policy for the agent to retain on file.
• Active In-State – for Active Duty drivers stationed in Ohio
• Active Out-of-State – for Active Duty drivers stationed outside of Ohio
• The Named Insured cannot have this discount as they must reside in Ohio
• Prior Service – for drivers who previously served in the military
• Homeowner Discount – A discount may apply to the policy when the named insured submits acceptable proof of homeownership for a home, townhome, condominium, or mobile home for the agent to retain on file. The individual identified as the named insured on the auto application must also appear as the owner on the homeowner’s proof. Acceptable forms of proof include a homeowner’s insurance policy declaration page, mortgage statement, property tax records or property deed.
• Senior Defensive Driver Discount – A discount may apply to the policy for drivers age 60 or older who have completed an appropriate Motor Vehicle Accident Prevention course approved by the Ohio Department of Public Safety. Drivers must provide course certificate dated within the most recent three-year period. This discount does not apply if the insured subsequently is involved in an accident, in the three-year period after having earned the discount, for which the insured is at fault, or if the insured is convicted, pleads guilty, or nolo contendere to 2 or more moving traffic violations, in the three-year period after having earned the discount.

ADDITIONAL DISCOUNTS #

• Auto-Pay Discount – A discount may apply when an Auto-Pay Payment Plan is selected.
• Paid in Full Discount – A discount may apply to all policies where the insured pays the premium in full at the inception of the policy period.
• Renewal Discount – A discount may apply, based on the length of time the policy has renewed with GAINSCO.
• Advance Purchase Discount – A discount may apply to policies with a new business effective date that is 3 or more days in the future from the date the policy is bound and POP. For the purposes of applying the Advance Purchase Discount, “POP Y” is defined as a policy having Proof of Prior A, Proof of Prior G, or Proof of Prior Y.
• Safe Driver Discount – A discount may apply based on: 1) the number of years for which we have a driving record for a driver without a chargeable violation or at fault accident (e.g. 1, 2, 3, or none); and 2) the driver’s license state/status. If a driver has experienced a chargeable violation or at fault accident within the last year, he/she is classified with a Safe Driver class of N. Otherwise, a discount is applied based on the number of years the driver has gone without a chargeable violation or at fault accident (e.g. 1, 2, or 3). This discount only applies to drivers for whom the insurer has obtained a driving record of three or more years

SURCHARGES #

Driver points are based on all occurrences and/or violations with a conviction date in the thirty-six months immediately preceding the policy effective date. The Driver Point Assignment table in the Appendix describes how the number of points for drivers is assigned. Any accidents listed on a motor vehicle report, application, or other underwriting report will be considered at fault unless a police report or written explanation is provided establishing facts demonstrating lack of fault which are not rebutted by information in the insurer’s file from which the insurer in good faith determines that the insured was substantially at fault.

• After the new business policy effective date, one vehicle accidents are considered at-fault unless both of the following apply:
  • The insured’s action is not a proximate cause of any loss, damage, injury, or death arising out of the accident; and
  • The insured has not been convicted of, pleaded guilty to, or pleaded no contest to, a violation of law as a result of the accident.
• After the new business policy effective date, accidents with uninsured or underinsured motorists are not considered at fault if both of the following apply:
  • The insured’s action is not a proximate cause of any loss, damage, injury, or death arising out of the accident; and
  • The insured has not been convicted of, pleaded guilty to, or pleaded no contest to, a violation of law as a result of the accident.
• The Company will not surcharge a policy because of the policyholder’s involvement in an accident while in his official duties as a law enforcement officer, fire fighter, emergency vehicle operator.
• If multiple incidents occurred on the same day, the highest incident will be charged. If one or more serious violations occurred on the same day as an at-fault accident, such violations may be charged in addition to the at-fault accident.
• A newly discovered accident noted in the driving record when obtained at renewal may be added only if the accident occurred prior to the driver being specified as having coverage under the policy and the driver was at-fault.

POLICY ACTIVITY #

The following surcharge may apply to a renewal or replacement policy based on activity during the prior policy’s term(s). If the activity is solely to correct an error, no surcharge will apply.

• Prior Cancellation for Non-Payment of Premium: A surcharge may apply based on the number of times the policy has been cancelled and reinstated for non-payment of premium within 36 months prior to the renewal or replacement policy.

ADDITIONAL SURCHARGES #

• A surcharge may apply to any driver with a license status of Expired, Suspended, or if the license is unverifiable.
• A surcharge may apply to any driver for whom there is no Motor Vehicle Record available.
• Any driver added to the policy that is defined as being unacceptable in the underwriting rules/guidelines may be surcharged in addition to any other surcharges that may apply.
• If the garaging address or primary area of operation of any listed vehicle on the policy is moved outside of Ohio (after the 90th day following the effective date of coverage) or if the insured moves their residence outside of Ohio a surcharge may apply.
• Any vehicle or coverage added that is defined as being unacceptable in the underwriting rules/guidelines may be surcharged in addition to any other surcharges that may apply.
• An unacceptable surcharge may apply to the policy if an endorsement is processed that makes the risk unacceptable.
• A surcharge may apply to policies that do not have proof of prior insurance.
• A surcharge may apply to drivers with a certificate insurance (SR-22) filing.
• A surcharge may apply to vehicles with a title indicating a Severe Problem.

Note: Within the first 89 days following the effective date of coverage, the addition of any driver, vehicle, or coverage, or a change that otherwise results in a risk that is unacceptable under our underwriting guidelines, may result in cancellation of the policy in lieu of the application of an additional Unacceptable Surcharge.

NONOWNERS #

Nonowners policies are available to provide liability coverage for the named insured only or the named insured and spouse. Coverage is offered only while the named insured, or spouse if not excluded, is using a vehicle with permission, that is not available for their regular or frequent use, and is not owned by the named insured or spouse or a relative or resident of the named insured’s household. A nonowners rating discount factor will apply.

CERTIFIED FINANCIAL RESPONSIBILITY FILINGS (SR22S) #

For a risk on which a certificate of insurance (SR-22) is filed to comply with the requirements of an automobile financial responsibility law, a flat charge of $15 shall be made for each filing. The charge shall not be subject to modifications under the provisions of any other rule in this manual. SR-22 will be filed only for the state of Ohio. For policies with operators requiring an SR-22, we only write 12-month policies.