Rule 9 FAQ’s

 

Index:
[Go to: End of page]

  1. What is the additional charge for a non-fault accident?
  2. My insured has three at fault accidents. What
    surcharge applies?
  3. What is the additional charge for an accident and a ticket for “failure to yield”?
  4. My insured has two D.W.I.’s, what is the additional charge?
  5. The insurance company is charging my insured a 15%
    additional charge for an “overload” ticket, received while my insured was operating a company truck. Is this correct?
  6. My insured has a 17 year old son with a clear driving record. Dad has two tickets for “speeding” which the company has charged against the son on his car. Should this not be charged against the father’s car?
  7. My insured has a “speeding” ticket which will drop off his record in two months. Will the company adjust the premium?
  8. The company is charging for a ticket for “glasses restriction”. Is this correct?
  9. Is it correct that a company may charge for moving type violations only?
  10. The company is charging for a ticket “failure to appear”. Is this correct?
  11. My insured had a one car accident, he overturned. Does an additional charge apply?
  12. What is the additional charge for a “no driver’s license” ticket?
  13. What is the additional charge for a ticket “Expired driver’s license”?
  14. Is there an additional charge for a “no motorcycle endorsement” ticket?
  15. What is the additional charge for a “no commercial operators license”?
  16. I have an insured with an owner’s policy for which there are additional charges through the Association. He is now required to obtain a non-owner type policy for his occupation. Will these additional charges apply to his non-owner policy?
  17. I have an insured needing a policy. He had a D.W.I.
    almost three years ago. Will the company delete the additional charge at the three year anniversary?
  18. My insured had an accident with a fixed object. Do additional charges apply?
  19. My insured has two assignments, each with five vehicles. Both companies are applying additional charges under Rule 9. Is this correct?
  20. My insured has an entry on his driving record showing “drug conviction”. Is there an additional charge?
  21. My insured has an owner’s policy through the Association. He has now obtained a Named Operator-Government Employee policy which was assigned to the same company. The company is applying the additional charge on this second policy for an accident in which the insured’s child was at fault and a claim was paid. Is this correct?
  22. My applicant received a ticket in another state. Is there an additional charge?
  23. My applicant received a ticket for racing. Is this a major or minor violation?
  24. My insured has a son on her TAIPA policy with a driving record charge. The son now requires an SR-22; therefore, we are applying for a Named Non-Owner policy. Will
    the driving record charge apply to both the parents’ and the son’s policy?

Questions & Answers

  1. What is the additional charge for a non-fault accident?


    Fault or non fault does not determine the charges through the Association. All driving record surcharges are set forth under Rule 9. If there is Bodily Injury or Property Damage to others, and if none of the 5 exceptions shown in Rule 9 apply, there will be a 20% additional charge
    .

    Back to index

  2. My insured has three at fault accidents. What surcharge
    applies?
    If there is a surcharge for each accident, the total additional charge will be 60%.  The maximum charge
    is 100%, whether for accidents, convictions or a combination thereof.
    Back to index
  3. What is the additional charge for an accident and a ticket for “failure to yield”?If the accident is chargeable under Rule 9, there will be a 35% charge, 15% for the ticket and 20% for the accident.Back to index
  4. My insured has two D.W.I.’s, what do I charge?Each D.W.I. has a 60% additional charge; however, the maximum additional charge under Rule 9 is 100%. If an SR-22 is required, there would be an additional $20 premium charge on the policy under Rule 10.Back to index
  5. The insurance company is charging my insured a 15% additional charge for an “overload” ticket, received while my insured was operating a company truck. Is this correct?Yes, any violations of the traffic code listed on the
    MVR will be chargeable, unless listed as an “Exception” to the convictions listed
    in Rule 9.  The vehicle being driven
    has no bearing on whether or not the charge applies.
    Back to index
  6. My insured has a 17 year old son with a clear driving record. Dad has 2 tickets for “speeding” which the company has charged against the son on his car. Should this not be charged against the father’s car?
    Under Rule 9, all driving records are combined, for all drivers, up to a 100% maximum additional charge. This charge is then applied to
    the highest rated vehicle, with the remaining vehicles being without charge.
    Back to index
  7. My insured has a “speeding” ticket which will drop off his record in 2 months. Will the company adjust the premium?The company will continue to surcharge for the ticket
    until the policy renews or terminates.
    Back to index
  8. The company is charging for a ticket for “glasses restriction”. Is this correct?Yes, all violations are charged, unless excluded in Rule 9.Back to index
  9. Is it correct that a company may charge for moving type violations only?
    No. Rule 9 states traffic convictions, it does not state only “moving” violations.
    Back to index
  10. The company is charging for a ticket “failure to appear”. Is this correct? No. It is excluded under Rule 9.Back to index
  11. My insured had a one car accident, he overturned. Does an additional charge apply?Only if there was any Bodily Injury or Property Damage
    to others. List the accident on the application; however, if there was no Bodily
    Injury or Property Damage to anyone other than the insured there will be no charge.
    Back to index
  12. What is the additional charge for a “no driver’s license” ticket?Usually the additional charge under Rule 9 is 60%. If the producer states that the insured had a valid license at the time, but did not have it on his person, then the charge must be amended to 15%. If so, this should be explained on the application.Back to index
  13. What is the additional charge for a ticket “Expired driver’s license”?The additional charge is 60%, as it is for driving without a valid license.Back to index
  14. Is there an additional charge for a “no motorcycle endorsement” ticket? No, provided there is an otherwise valid license in force. If there was not a valid license in force, a ticket would probably be given for “no drivers license” and a 60% additional charge applied.Back to index
  15. What is the additional charge for a “no commercial operators license”?The additional charge is 60%, as this is operating a commercial
    vehicle without a valid commercial license.
    Back to index
  16. I have an insured with an owner’s policy for which there are additional charges through the Association. He is now required to obtain a non-owner type policy for his occupation. Will these additional charges apply to his non-owner policy?Additional charges will apply to both policies.Back to index
  17. I have an insured needing a policy. He had a
    D.W.I. almost three years ago. Will the company delete the additional charge at the 3 year anniversary?

    If the policy is a Personal Automobile Policy, the additional
    charge will be deleted 36 months immediately following the date of conviction, whether mid-term or at expiration. Notify the company on this anniversary date. If on a Business Auto policy, the additional charge is applied until next renewal date
    .Back to index
  18. My insured had an accident with a fixed object. Do additional charges apply?A surcharge applies only if there was Bodily Injury or
    Property Damage to others. 
    Back to index
  19. My insured has two assignments, each with five vehicles. Both companies are applying additional charges under Rule 9. Is this correct?
    Since each company has exposure for these drivers, each company is entitled to the additional charge, on the highest rated vehicle per policy
    .Back to index
  20. My insured has an entry on his driving record showing “drug conviction”. Is there an additional charge?
    No. This indicates that the insured was convicted of a drug offense. These offenses are required to be listed on the Motor Vehicle Record.
    .Back to index
  21. My insured has an owner’s policy through the Association. He has now obtained a Named Operator-Government Employee policy which was assigned to the same company. The company is applying the additional charge on this second policy for an accident in which the insured’s child was at fault and a claim was paid. Is this correct?Yes, a 20% surcharge applies for accidents if the insured
    was involved as either owner or operator of the vehicle
    .Back to index
  22. My applicant received a ticket in another state. Is there an additional charge?Yes, if not excluded by Rule 9.Back to index
  23. My applicant received a ticket for racing. Is this a major or minor violation?This is not considered a “major” offense; therefore only
    a 15% additional charge will apply
    .Back to index
  24. My insured has a son on her TAIPA policy with a driving record charge. The son now requires an SR-22; therefore, we are applying for a Named Non-Owner policy. Will
    the driving record charge apply to both the parents’ and the son’s policy?
    No, there is an exception under Rule 9 which states that additional charges applied in the rating of the TAIPA owners policy shall not be applied in the rating of the TAIPA Named Non-Owner policy which insures a relative of the owner, who is resident of the same household.Back to index