Overall Risk Qualification: Carriers take into consideration all the risk factors that are stated above up including number of drivers, number of excluded persons, numbers of vehicles, type of vehicles, non-fault accidents, comprehensive claims, and many others for acceptability. The carriers systems/underwriting is designed to give a binding block/paper app notification if a specific or combination of risk factors make the risk undesirable.
Example 1: A risk/driver that has 2 non-fault accidents along with a comprehensive claim in the last 3 years.
Example 2: A risk/driver with multiple violations along with a high performance or high value vehicle.
Example 3: A risk with contmprehensive claims and non-fault accidents.
Note: When the carriers system gives a paper app/binding block then this means the risk is identified as a undesirable risk and encouraging us to place the risk elswhere. Loss Ratio is a primary concerns for all preferred carriers and therefore their system and underwriting rules are designed to attract risks that meet their criteria, otherwise it becomes undersirable.
* All Carriers except for Bristol West and Progressive wants us to place the business elsewhere if their system give a paper app/binding block. For Bristol & Progressive the risk will need to be sent to their underwriting department for further review. They will require additional documentation such as copy of driver license, copy of vehicle reqistration, photos of the vehicles, etc. The review process can take between 2-6 business business days for an approval.