DE insurance ... again

[Brian Minkin]

This information was posted on Rennlist on 10/10/07

The broker WSIB is offering DE insurance for a 3% premium (plus fees of around $250?) and a 4% "excess" (with a $2,500 minimum), which I interpret to be British insurance speak for deductible. I just read a sample certificate of insurance from WSIB which is the shortest automotive policy I have ever seen. The terms look very straightforward and pretty good. They clearly attempted to adapt a UK form to the US market, but did not try very hard. The form came in a protected Word document that allowed changes only to the state where the insured is resident. I guess the WSIB staffer gets to fill that in, but not make any other changes.

My questions are that the web site says the underwriter is Chubb Group of Insurance Companies and they are first rate. The certificate says that the underwriter is the Lloyds Syndicates subscribing for the contract. That means that you really do not know who is standing behind the policy now, and I do not know enough of insurance law to know when the syndicate is identified to the insured, the creditworthiness of the syndicate, whether Lloyds provides any backup to the syndicate and the like. My guess is that it is pretty good, though. My other concern is whether WSIB is licensed to offer this insurance in PA, but again that is probably not the risk of the insured. Finally, in the event of a claim the insured is supposed to notify THB Clowes within 48 hours, yet there is no contact information for that company. According to their web site, THB Clowes is related to Thompson Heath & Bond Limited, described on its web site as "One of the largest and most successful Lloyd's brokers operating in the specialty market sector." They are not clearly related to WSIB. Maybe that is a holdover from the UK form and the insured is really supposed to notify WSIB? To add one more link to the chain, WSIB says it is an insurance wholesaler and the policy is actually placed through another agency, FKA Insurance Services, LLC, 950 W. Monroe St., Suite G200, Jackson, MI. I cannot find a phone listing for FKA....

WSIB seems to be the only broker in the US offering insurance that purports to be backed by a real insurance company, even if it is not actually Chubb and is a Lloyds syndicate that is unnamed. If I had to buy something today, I think this is the one. Happily, my Great Lakes policy from Chris Maume when he was at Snelling Waters runs into May 2008. Perhaps Chris or someone else will offer something better by then....
__________________
Chris
2005 GT3 Seal Grey/Black
2005 BMW 330Ci convertible
2000 Aprilia RS250
1994 Ducati 900SS


Last edited by Phokaioglaukos : 10-10-2007 at 10:17 AM.