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Property & Casualty Insurance/CA 2027Registration Plates Not Issued For A Specific Auto


Jay, Back on July 2nd you responded back to my question in regards to Registration Plates. Another question has been asked of us, that we need your expert opinion.
If we are primary for a non-owned auto because the insured (the permissive user) is in the auto repair business. Then why do they need CA 2027 Registration Plates Not Issued for A Specific Auto? There are some states that require transporter plates (IL).
Appreciate your input on this.

Hi Shirley,

Your question is a very good one and one I would have asked as well.

The CA 00 01 Other Insurance condition makes the non-owned coverage excess over any other collectable insurance.  While ultimately the coverage may become primary, there is investigative time that could delay the payment of a claim.  The CA 20 27 eliminates that condition by making the BAC primary for any auto with a transporter plate on it.  

There is one other reason that we just can't argue with.  That's the rule in the CLM that says there is a charge for transporter plates. Because the transporter plate is registered to the insured, they have to show proof of coverage.  As a result, the CLM has a rule that imposes a premium charge for those plates.  

It's probably not the best answer in the world, but it is what it is.  I always hated it when my parents used the "because I said so" words when I asked why.  This is one of those times!


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Jay K. Williams, AAI, AIP, CIC, CRM


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.


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.

I am a member of the Florida Associaion of Insurance Agents, the state affiliate of the Independent Insurance Agents and Brokers of America.

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)

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