Newfront
Presented by: 2024-2025
Stephen Leveroni
Executive Vice President/ Founding Principal (415) 385-0178 Excess Workers' [email protected]_ @ u
Compensation
Gay Chung
SVP - Team Leader Commercial Lines (650) 412-7013 Renewal Proposal [email protected] Prepared for
City of San Mateo
10/23/2023
Table of Contents
Table of Contents
Common Policy Exclusions
Insurance Market Conditions
Recommendations
Executive Summary
Marketing Results
Coverage Comparison
Named Insured and Location Schedule
Additional Items
Subjectivities
Proposal Acceptance
When to Contact Us
Account Services Team Directory
As you Renew: Consider Future M&A Impact on your Insurance Portfolio Understanding AM Best Ratings
Errors & Omissions Polling Questionnaire
Disclosure Pursuant to Terrorism Risk Insurance Act
Disclaimer
Company Highlights
Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written Nonsent of Neare Hisurance Holdings, nic
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 2 Common Policy Exclusions
This is not meant to encompass all exclusions. The below list is intended to provide an overview of common exclusions. Please refer to your policy for all exclusions, terms and conditions. Some exclusions can be removed, modified or obtained through an additional policy. Please contact our office if you are interested in discussing your options.
Property Exclusions: General Liability Exclusions:
Earth movement Aircraft
Electrical Disturbance Employee Bodily Injury
Explosion of Steam Boilers Employment Related Practices Flood, Surface Water, Tidal Waves Electronic Privacy Violations / Cyber Liability Mechanical Breakdown Intentional or Illegal Acts
Mold, Pollution and/or Asbestos Mold, Pollution and/or Asbestos Mysterious Disappearance Nuclear Hazard, War
Nuclear Hazard Professional Services
Vacancy Watercraft over 26' in length
War, Military or Government Action Workers Compensation Exclusions:
Wear & Tear Aircraft Flight Crews
Virus, bacteria or other microorganisms Domestic Servants Automobile Exclusions: USL&H
Depleted Value Crime Exclusions:
Employee Bodily Injury Fraudulent Acts by Insured and/or Partner Loss of Use Loss discovered by inventory
Mold, Pollution and/or Asbestos Voluntary Surrender of Property Nuclear Hazard, War Boiler Exclusions:
Umbrella/Excess Exclusions: Earth Movement
ERISA Flood, Surface Water, Tidal Waves
Employment Related Practices Mold, Pollution and/or Asbestos Mold, Pollution and/or Asbestos Nuclear Hazard, War
Nuclear Hazard, War Product Liability Exclusions
Property in your Care, Custody and Control Asbestos/Pollution Uninsured motorists Damage to Your Property
Inland Marine Exclusions: Data Breach
Earth Movement Nuclear Hazard, War
Flood, Surface Water, Tidal Waves Professional Medical Services Mysterious Disappearance Recall Of Products
Mold, Pollution and/or Asbestos Cyber Liability Exclusions Nuclear Hazard, War Nuclear Hazard, War
Property Damage
Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written consent of Neare Hinsurance Holdings, nic
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| Insurance Market Conditions
Respondents emphasized that challenging market conditions persisted, such as carrier wariness to deploy capacity and increased underwriter scrutiny—in summary, not much change from Q1 2022.
AVERAGE COMMERCIAL PRICING INCREASES
By Account Size SMALL MEDIUM LARGE AVERAGE
Second Quarter 6.4% 7.3% 7.5% 7.1%
First Quarter 2022 6.4% 7.3% 6.2% 6.6%
Fourth Quarter 2021 6.3% 10.6% 9.2% 8.7%
Third Quarter 2021 6.2% 10.1% 10.4% 8.9%
Second Quarter 2021 6.2% 9.4% 9.3% 8.3%
High 20.8% 31.7% 33.0% 28.5%
High Date 4Q01 4Q01 4Q01
Low -10.0% -15.0% -15.9% -13.6%
Low Date 1Q08 3Q07 3Q07
BY LINE SECOND QUARTER 2022 RATE CHANGES RANGED FROM -1.2% TO +11.3%
COMM'L WORKERS' COMM'L GEN'L UMBRELLA AVERAGE
AUTO COMP PROPERTY LIABILITY
Second Quarter 2022 7.2% - 1.2% 8.3% 4.7% 11.3% 6.1%
First Quarter 2022 5.9% -0.5% 8.6% 3.9% 10.5% 5.7%
Fourth Quarter 2021 8.0% 0.3% 10.5% 6.4% 15.0% 8.1%
Third Quarter 2021 7.4% -0.3% 10.3% 6.3% 16.9% 8.1%
Second Quarter 2021 6.8% 0.3% 9.9% 6.0% 17.4% 8.1%
High 28.6% 24.9% 45.4% 26.0% 51.9% 35.3%
Low -11.6% -12.3% -15.0% -13.6% -13.5% -13.2%
Source: The Council of Insurance Agents & Brokers
Jewfront Insurance Holdings, Inc. Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the writter consent of Newfront Insurance Holdinas. Ind
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon requesti ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 4 Recommendations
Below is a list of all recommended coverages. You may not have all coverages recommended, please review and notify your Account Service Rep prior to binding to obtain information or a quote for any coverage.
Property: Liability:
Tenant Improvements Employee Benefits Liability
Blanket Coverage • Umbrella/Excess Liability
• Agreed Amount Per Location or Per Project Aggregate
Building Ordinance or Law • Liquor Legal Liability
• Back Up Sewers or Drain • Pollution Legal Liability
• Accounts Receivable • Special Events)
Valuable Papers • Foreign Liability & Auto Liability
• Property of Others • Product Recall Liability
Pollution Cleanup • Construction Liability
• Equipment Breakdown • Non-owned Watercraft up to XX
• Product / Completed Operations Liability
Business Auto:
Personal Advertising Liability
Owned Auto Liability
• Medical Payments
Hired Non-Owned Liability
• Active Shooter / Workplace Violence
Hired Auto Physical Damage
• Intellectual Property Liability
• Uninsured/Underinsured Motorist
• Student Accident
Drive Other Car Coverage
• Volunteer Accident
Rental Reimbursement
• Aircraft
Towing
• Aviation Liability
Garage Liability
Garage Keepers Legal Liability Inland/Ocean Marine:
• Owned Equipment
Crime:
• Rented/Leased Equipment
Employee Dishonesty
• Employee Tool Floater
Money & Securities
Installation Floater
Forgery or Alteration
• Builders Risk/Course of Construction
Computer Fraud Coverage
Property In Transit
ERISA
Motor Truck Cargo
Social Engineering Fraud
Computer Hardware/Software
Indirect Loss: Fine Arts Floater
• Business Interruption Exhibition Floater
Credit Insurance Signs
Loss of Rental Income & Extra Expense Ocean Cargo
Contingent Business Income
Off Premises Power/Utility Interruption Professional / Management Liability:
Extended Period of Indemnity Professional Liability/Errors & Omissions Directors & Officers Liability
Surety Bonds: Employment Practices Liability
Performance Bonds
Wage and Hour Defense Only
Vewfront Insurance Holdings, Ind , Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written onsent of Newfront Insurance Holdinas. Ind
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 5 • Maintenance Bonds • Fiduciary Liability
• License & Permit Bonds • Kidnap & Ransom/ Extortion
• Court Bonds Employed Lawyers Liability
• Notary Bonds Cyber Liability/Network Security/Data Breach • Utility Bonds
Catastrophe:
• Flood
Workers' Compensation:
Occupational Accident Program • Building
Foreign Workers' Comp including Endemic Disease Business Income & Repatriation Expense • Contents
• Voluntary Workers' Comp • Tenant Improvements
Stop Gap • Wind
Defense Base Act
Earthquake
Earthquake Sprinkler Leakage
• Terrorism
Foreign Local Placements:
• Compulsory or compliance policies
consent of Near Hinsurade Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 Executive Summary
Exposure Analysis
Expiring Renewal % Change
Headcount 922 925 0.33%
Payroll $62,880,6256 $66,325,063 5.48%
Rate Analysis
Expiring Renewal % Change
Workers Compensation (Rate per $100 in Payroll) 0.360 0.371 3.00% Premium Analysis
Coverage Expiring Renewal % Change
Workers' Compensation $226,244 $245,802 8.64%
Grand Total:
consent of Neare Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 7 Marketing Results
A thorough marketing effort of your policies has been conducted; results can be found below:
Line of Coverage Carrier AM Best Rating Result
Excess Workers' Compensation Safety National A++, XV Incumbent quoted Arch At, XV could not beat SN rate
consent of Neare Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 8 Coverage Comparison Client Name: City of San Mateo
Policy Year: 2024-2025
NEWFRONT
Expiring PROPOSED PROGRAM
Safety National Casualty Corporation Safety National Casualty Corporation 1/1/2023 - 1/1/2024 1/1/2024 - 1/1/2025
Expiring Renewal
EXCESS WORKERS COMPENSATION Exposure Rate Premium Exposure Rate Premium Maximum Limit, Per Occurrence $25,000,000 (L) $226,244 $25,000,000 (L) $245,802 Employers's Liability Limit $2,000,000 $2,000,000
Corridor Deductible ("Presumption"): Annual Aggregate $500,000 _(D) $500,000 D) Blanket Waiver of Subrogation Included Included
Experience Modification Factor 1.000 1.000
Self-Insured Retention, Per Occurrence $1,000,000 (D) $1,000,000 (D) STATES: CA
TOTAL EXCESS WORKERS COMPENSATION: $62,880,626 0.3598 $226,244 $66,325,063 (P) 0.3706 $245,802 Expiring Proposed Program
$226,244 $245,802
Named Insured and Location Schedule
The first named insured will be the prime contact for all transactions to your policy. If you need to specify another First Named Insured, please alert a member of your Newfront team.
Named Insured Schedule
City of San Mateo
Mailing Address
Address City State Zip Code
330 W 20th Avenue San Mateo CA 94403
Location Schedule
Loc # Address City State Zip Code
City Hall 330 W. 20th Avenue San Mateo CA 94403
Police Station 200 Franklin Parkway San Mateo CA 94403
PW Corp Yard 1949 Pacific Blvd San Mateo CA 94403
Park Corp Yard 2001 Pacific Blvd San Mateo CA 94403
Central Park Center 50 E 5th Avenue San Mateo CA 94401
Beresford Park Center 2720 Alameda de Las Pulgas San Mateo CA 94403 MLK Park Center 725 Mt. Diablo San Mateo CA 94401
Shoreview Park Center 950 Ocean View San Mateo CA 94401 Lakeshore Park Center 1550 Marina Court San Mateo CA 94403 Joinville Pool center 2111 Kehoe Street San Mateo CA 94403 Senior Center 4645 Alameda de Las Pulgas San Mateo CA 94403 Muni Golf Course 1700 Coyote Point San Mateo CA 94401
Main Library 55 W. Third Avenue San Mateo CA 94401
Hillsdale Branch Library 205 West Hillsdale Blvd San Mateo CA 94403 Marina Branch Library 1530 Susan Court San Mateo CA 94403 Water Quality Treatment Plant 2050 Detroot Drive San Mateo CA 94404 PW Engineering (renting 1900 O'Farrell Street San Mateo CA 94403 space)
Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written consent of Neare Hinsurance Holdings, nic
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 10 Only the locations shown above are included in this proposal. consent of Near Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 11 Additional Items
Coverage: Option/Higher Self-Insured Retention Limits
See Executive Summary and Workers' Compensation Summary Pages You have a unique risk profile. We look at your risk
management needs along with industry benchmarks,
so that you have a smart program that aligns with
your goals and reflects your company culture.
consent of Neare Hinsurase Coldings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 12 Subjectivities
Coverage
Proposal Acceptance Page
At Newfront, we see things differently than other
consulting companies do. We look at protection as a
tool to progress, not simply as a barrier to risk. We
offer the freedom to create a healthy business and
support your brand for a brighter tomorrow.
consent of Neare Hinsurade Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 13 Proposal Acceptance
This proposal contains proprietary confidential information. Reproduction or disclosure of this material to any third party is prohibited without the written consent of Newfront Insurance Holdings, Inc The intent of this proposal is to provide an overview of our suggested insurance program. Policy terms and conditions and/or exclusions outlined in this summary do not represent the full extent of such terms and conditions and/or exclusions. Refer to your policy for all such terms and conditions, limitations, exclusions, sub-limits and definitions. In the event this summary and the policy language differ, the policy language will prevail. Higher policy limits may be available upon request.
This proposal was created based on our understanding of the information provided by you. The information provided should be carefully reviewed for accuracy. If any of the information you provided is no longer accurate, the policy terms and conditions may be subject to change. Changes in your business may also affect your insurance program; please advise Newfront as soon as possible if your business operations have now changed or change at any point during the policy term.
I have read and understand the terms and conditions of this proposal.
After careful review, we accept your proposal dated 10/23/2023
2. 3.
4. Named Insured: Title:
Signature: Date:
Nonsent of Neare tonsurance Holdings, nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written 'his is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 14 When to Contact Us
Should any material changes in operations present themselves, please notify Newfront immediately. A "material circumstance" is one that might influence the carrier in their evaluation of the risk. Insurance carriers evaluate and accept risks based on the information provided. Any misrepresentation of these details may lead to complications in claims situations. If you have any questions or concerns about what might be material, please contact Newfront for guidance.
Such changes may include, but are not limited to:
• Personnel changes affecting responsibility for insurance decisions • Employees traveling overseas
• Employees working on military bases
• Mergers & Acquisitions
• Legal change in corporate structure
• Purchase, construction or occupancy of a new premises • Altering, vacating or temporary unoccupancy of an existing premises • Material increase or decrease in property values
• Addition of owned, leased or borrowed automobiles
• Material change in business operations
• Alteration, addition or disconnection of any alarm system • Usage of non-owned watercraft or aircraft
• Employment of personnel in states where you were not previously doing business • Appointment of a new officer (CEO, CFO, COO)
• Change in ownership either with the board of directors or stock ownership • Fluctuation of ERISA plan assets
• Addition/Deletion of new drivers
consent of Near Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 15 Account Services Team Directory
Stephen Leveroni
Executive Vice President/ Founding (415) 385-0178
Principal
[email protected]
Gay Chung
SVP - Team Leader Commercial Lines (650) 412-7013
[email protected]
Chastity Wilson
Account Manager (650) 215-5348
[email protected]
Certificate Team [email protected]
Claims Team [email protected]
Office Address 777 Mariners Island Boulevard, Suite 250 San Mateo, CA 94404
Main phone: (650) 488-8565
Main fax: (650) 523-4609
consent of Neare Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 16 As you Renew: Consider Future M&A Impact on
your Insurance Portfolio
Best Practices for M&A
• Reach out if you are acquiring (or selling/spinning off) an entity. Let us review the coverage at both the target
company and your current coverage.
• Don't assume that your current coverage is adequate to also cover the newly acquired target. • Don't assume that your current coverage will automatically incorporate the newly acquired target.
• Consider Rep and Warranty Insurance.
• Remember that your policies might respond differently in an asset deal vs a stock deal. • Remember that some coverages in place at the target company you are acquiring will terminate upon a change of control. Talk
to us about how to continue that coverage through a tail policy. • Understand your purchase agreement insurance requirements both pre-closing and post closing.
• Remember we have an M&A team comprised of former M&A lawyers - particular expertise in Rep and Warranty coverage
Interplay with Rep and Warranty Insurance
• Rep and Warranty Insurance is used by corporations engaged in M&A. It is mostly used by the Buyer.
• Rep and Warranty Insurance replaces Escrow Accounts to cover M&A risk. • Instead of a Buyer making a claim against an Escrow Account, Buyer makes a claim against the Rep and Warranty Insurance Policy.
• Rep and Warranty underwriters want to understand insurance coverage in place at the newly acquired company pre-transaction and the plan for coverage after the deal closes. Newfront can help you with this.
• Our Rep and Warranty lead was an M&A lawyer and Rep and Warranty Underwriter who will assist you through the underwriting process and work with your legal team towards closing. • Newfront will perform diligence on the insurance portfolio of the M&A target you are acquiring.
Jewfront Insurance Holdings, Inc. Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written consent of Jewfront Insurance Holdings, Ind
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 17 Understanding AM Best Ratings
Secure Best's Ratings Vulnerable Best's Ratings
Att, At SUPERIOR в, В- FAIR
A, A- EXCELLENT C++, C+ MARGINAL
B++, B+ VERY GOOD С, С- WEAK
D POOR
E UNDER REGULATORY SUPERVISION
F IN LIQUIDATION
S RATING SUSPENDED
Financial Size Category
Based on capital, surplus and conditional review
Funds in Millions of Dollars
XV - GREATER THAN 2,000 X-500 - 750
XIV - 1,500 - 2,000 IX - 250 - 500
XIII - 1,250 - 1,500 VIII - 100 - 250
XII - 1,000 - 1,250 VII - 50 - 100
XI - 750 - 1,000
Rating Modifiers
u- UNDER REVIEW
S- SYNDICATE
pd- PUBLIC DATA
consent of Neare Hinsurase Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 18 Errors & Omissions Polling Questionnaire
Date:
Dear All,
Our Errors & Omissions policy is issued on a claims-made and reported form, which requires us to report all claims and circumstances that could lead to a claim to the insurance company prior to the policy expiration. Our E&O policy expires on 11/1/2022. Please advise me immediately if you are aware of any claims or circumstances that could fall under the general descriptions below.
Errors & Omissions and Professional Services: damages arising from any negligent act, error, or omission of our products or professional services.
Media Liability: damages arising from defamation, libel, slander, or other tort related to disparagement to the reputation of any person or organization; infringement of copyright, trademark or service mark; negligence regarding the content of media communication.
Network Security: damages arising from our computer systems security that results in the failure to prevent transmission of malicious code to third party systems; failure to prevent unauthorized access that results in the destruction or corruption of data, theft of data, or denial of service attacks; failure to allow access to an authorized user.
Privacy Liability: damages for violation of a privacy law; disclosure or theft of non-public personal identifiable information that is in our care, custody or control; privacy notification costs including costs to hire a computer security expert, legal fees to comply with breach notice laws, credit monitoring; regulatory defense and penalties.
I appreciate your immediate reply as this is a time-sensitive exercise.
Thank you,
consent of Neare Hinsurade Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 19 Disclosure Pursuant to Terrorism Risk
Insurance Act
Terrorism Coverage and Premium
In accordance with the federal Terrorism Risk Insurance Act (as amended "TRIA"), we are required to make coverage available under your policy for "certified acts of terrorism." The actual coverage provided by your policy(ies) will be limited by the terms, conditions, exclusions, limits, and other provisions of your policy(ies), as well as any applicable rules of law.
The portion of your premium attributable to this terrorism coverage is shown in the premium section(s) of this quote proposal or binder.
Definition of Certified Act of Terrorism
A "certified act of terrorism" means an act that is certified by the Secretary of the Treasury, in accordance with the provisions of TRIA, to be an act of terrorism under TRIA. The criteria contained in TRIA for a "certified act of terrorism" include the following:
1. The act results in insured losses in excess of $5 million in the aggregate, attributable to all types of insurance subject to TRIA; and
2. The act results in damage within the United States, or outside the United States in the case of certain air carriers or vessels or the premises of an United States mission; and
3. The act is a violent act or an act that is dangerous to human life, property or infrastructure and is committed by an individual or individuals acting as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the United States Government by coercion Disclosure of Federal Share of Terrorism Losses under TRIA The United States Department of the Treasury will reimburse insurers for 85% of insured losses that exceed the applicable insurer deductible. Effective January 1, 2016, this percentage will be reduced to 84%, effective January 1, 2017 to 83%, effective January 1, 2018 to 82%, effective January 1, 2019 to 81%, and effective January 1, 2020 to 80%.
However, if aggregate industry insured losses under TRIA exceed $100 Billion in a calendar year, the Treasury shall not make any payment for any portion of the amount of such losses that exceeds $100 billion. The United States government has not charged any premium for their participation in covering terrorism losses.
Cap on Insurer Liability for Terrorism Losses
If aggregate industry insured losses attributable to "certified acts of terrorism" under TRIA exceed $100 Billion in a calendar year, and we have met, or will meet, our insurer deductible under TRIA, we shall not be liable for the payment of any portion of the amount of such losses that exceed $100 billion. In such case, your coverage for terrorism losses may be reduced on a pro-rata basis in accordance with procedures established by the Treasury, based on its estimates of aggregate industry losses and our estimate that we will exceed our insurer deductible.
In accordance with the Treasury's procedures, amounts paid for losses may be subject to further adjustments based on differences between actual losses and estimates.
Jewfront Insurance Holdings, Inc. Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the writter onsent of Newfront Insurance Holdinas, Ind
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 Disclaimer
This proposal serves only as an outline. It does not include every term, coverage, exclusion, limitation and condition reflected in the actual insurance contract. Please refer to the policy for these details.
This proposal does not amend or alter any insurance contract. Detailed questions regarding policy information should be directed to your Newfront Insurance Holdings, Inc service team.
This proposal contains confidential information regarding Newfront Insurance Holdings, Inc as well as our clients. Circulation, reproduction or disclosure of this material is prohibited without the express permission and written consent of Newfront Insurance Holdings, Inc
Certificates
Often times, we are asked to provide certificates of insurance to lenders, landlords, vendors, contractors, etc. Many of these requests modify coverage or coverage provisions. The Department of Insurance may not have approved the insurance company to make these modifications.
Contracts
In the course of business, you may sign leases, contracts, agreements, etc. that may transfer serious financial obligations to you. We recommend you have an attorney and/or CPA review the contracts and advise you if any changes are necessary to properly protect you from these exposures.
Compensation
Contingent, supplemental, or bonus commissions
As is customary in the insurance industry, some of the insurers that we represent may pay us additional incentive commission, sometimes referred to as contingent, supplemental or bonus commissions, which may be based on the total volume of business we sell for them, and/or the growth rate of that business, retention rate, claims loss ratio, or other factors considering our entire book of business with a given insurer for a designated period of time. This additional commission is generally not client specific and does not impair our objectivity nor impact our commitment to you. Such additional commissions would be in addition to any other compensation we may receive.
Miscellaneous sources of compensation
In addition to the foregoing, we may also receive income from the following sources:
• Interest earned on premiums received from you and forwarded to your insurers through our bank account. • Payments from insurers to defray the cost of services provided for them, including advertising, training, certain employee compensation, and other expenses.
At your request, we will provide you with a detailed statement regarding our compensation on your account and how the compensation is calculated.
Exposures
This overview is based upon exposures currently made known to us by you and believed to be an accurate representation of your operations. Values used were those presented to us and should be carefully reviewed. All changes to exposures must be reported by you so coverage may be modified as appropriate. Additional coverages may be available.
Executive Liability
Liability arising out of executive decisions are generally excluded from a standard liability policy. If you are interested in obtaining this coverage please contact our office.
Higher Limits
Higher limits may be available through the existing policy or umbrella coverage. Should you wish to purchase higher limits please contact our office.
Named Insureds
Certain responsibilities/duties fall upon the first Named Insured:
Pay all premiums, including audit premiums. Receive all return or refunded premiums Cancel the policy and/or receive notices pertaining to cancellation or non-renewal from the Insurer Request changes in the terms of the policy
Record keeping of information for premium computation
Request information regarding claims or occurrences from the Insurer Note: Partnerships and joint ventures are not automatically included unless listed. , Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written consent of Neare Hinsurane Holdings nic
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 21 Minimum Earned Premium
A minimum earned premium is the least you will have to pay once a policy goes into effect.
Professional Liability
Liability arising out of professional services are generally excluded from a standard liability policy. If you are interested in obtaining this coverage please contact our office.
consent of Near Hinsurane Holdings nial and Proprietary: Reproduction or disclosure of this material is prohibited without the written This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event thev differ, the policy will prevail. Higher limits mav be available upon request, ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918| 22 Company Highlights
Newfront is a full-service brokerage and consulting firm, crafting innovative solutions to help address risk for clients of varying growth, sizes, stages, and industries across the globe.
16 $2.4B 700+ 77
Number of Premium Employees Net
Specialized Volume Promoter
Industries Score
Practices Global Reach
Local knowledge and experience WBN
Worldwide Broker Network
Employee Benefits
in 500 offices
Executive Risk Solutions
HR Services
in over 100 countries
M&A Advisory
Private Client Services Property & on 6 continents
Casualty
Retirement Services Founding Member of BrokerTech
Ventures, the convener of broker-centric
BrokerTech innovation.
Wholesale Benefits
Ventures
Accolades
Insurance is a trillion-dollar market that is
fundamental to society, yet to be
Newfront Insurance Holdings, Inc. Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the written consent of Newfront Insurance Holdings, Inc
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Higher limits may be available upon request. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 23 modernized...until now.
TOP
WORK
PLACES We're building the modern insurance
2021
BEST PEACES T0 WORK
experience
THE FINTECH 50
HEALTHIEST
EMPLOYERS
100 BEST HONOREE
Vewfront Insurance Holdings, Inc. Confidential and Proprietary: Reproduction or disclosure of this material is prohibited without the writter onsent of Newfront Insurance Holdings, Ind
This is an overview of your insurance program. Policy conditions, exclusions and/or terms in this summary may be limited. Refer to your policy for all conditions, exclusions and/or terms. In the event they differ, the policy will prevail. Hiaher limits mav be available upon reauest. ©2020 Newfront Insurance Holdings, Inc. All Rights Reserved | License #OH55918 24