JERSEY CITY, N.J. - ISO Insurance Programs and Analytic Services is seeking approval from state regulators for what it claims will be the first standardized motorcycle insurance program in the industry.
The program consists of forms, rules, and loss costs tailored to fit specific requirements for insuring a motorcycle. The base policy provides liability, medical payments, uninsured motorists, and physical damage coverages and a variety of endorsements.
The program also includes a Motorcycle Rating Code supplement, which contains rating codes based on motorcycle type, engine size, manufacturer's suggested retail price (MSRP), VIN, and make, model, and trim level for each model year back to 2004.
The new motorcycle manual includes classification factors that recognize various exposures, such as age of operator, number of accidents, major and minor violations, and years of riding experience. There are also discounts for motorcycle rider training, antitheft devices, and antilock braking systems.
"We developed the program in response to our customers' requests for a comprehensive program offering coverage for motorcycles and refinements to motorcycle rating," said Kevin Thompson, president of ISO. "Whether they currently write their own motorcycle program or want to enter the motorcycle market, insurers and agents will now have the opportunity to use a standardized policy form.
“ISO has included refined rating procedures in the program, so insurers don't have to spend time and money to develop their own rating procedures. Insurers with their own rating procedures can also find value using the information provided in the motorcycle program," he added.
Thompson also noted that the new program's court-tested policy language, adapted from ISO's personal auto program, should simplify the acceptance of the program by regulators across the country.
ISO is submitting the Motorcycle Program for review to state insurance regulators throughout the remainder of 2013.
The program will be available for insurer use as part of ISO's Personal Lines Specialty Programs, which also includes personal liability, umbrella, and watercraft. Insurers participating in ISO's Personal Lines Specialty Programs automatically have access to the new ISO Motorcycle Program.
ISO is a member of the Verisk Insurance Solutions group.
Posted by Holly Wagner