AboutJay K. Williams, AAI, AIP, CIC, CRM Expertise I can answer questions relating to the following coverages: personal auto; homeowners; commercial auto; commercial liability; commercial property; business income and all other property and casualty coverages.
Experience I have been in the insurance industry in Florida since 1979. I am currently the president of a Florida domestic insurance company subsidiary. I've taught continuing education classes in Florida and across the country. I am quite familiar with all coverages including Florida Condominium master policies and unit owner policies. I also specialize in agent professional liability. I have been a professional educator since 2001.
Organizations I am a member of the Florida Associaion of Insurance Agents, the state affiliate of the Independent Insurance Agents and Brokers of America.
Education/Credentials I currently carry the following professional designations:
Accredited Advisor in Insurance (AAI)
Associate in Insurance Production (AIP)
Certified Insurance Counselor (CIC)
Certified Risk Manager (CRM)
Question What was the intent of this form when it was introduced? What is the rate basis for the form?
Answer Hi Gail,
Excellent question! It's always wonderful for an insurance nerd like me to get a question like this.
This endorsement is/was typically used to clarify the intent of the Auto exclusion in the CGL. While the Garage Coverage Form was mostly used, auto service and repair type risks have been eligible for coverage under a CGL for many years.
The intent of the CG 22 68 is to clarify that the CGL policy includes coverage for BI and PD caused by the insured when moving/parking customers' autos. Strict interpretation of the form in claims situations could cause a company to deny such a claim because the moving of the vehicles can be considered more than incidental (as it would be with a valet parking type situation).
Unfortunately, I do not have access to the ISO rating manual, so I can't tell you if it calls for a specific charge for this endorsement. It could be one of those endorsements that is left up to the company to decide. I can't imagine the charge, if any, being much since the GL classification/rate should take that exposure into consideration.
I hope that helps a little. Let me know if you have more questions.
