| No Underwriting for
the Defined Group Affords Higher Limits of Coverage
- drivers with licenses from another country
- parents of children who are recently licensed
- households with prior claims history
- households in which a driver has prior accidents
or driving convictions
The limit of liability that an individual can secure
independently is contingent upon many factors, including
but not limited to the above scenarios. Under the
Group policy, none of these factors will affect the eligibility, rate, or limit
of coverage. There is no individual underwriting that will result in a discriminatory
limit of coverage from person to person and the benefit is applied uniformly.
One of the primary benefits to the Group policy is
that it eliminates the underwriting process. This is
particularly important for the executives who come
to the United States from other countries. They typically
carry International Driver’s
Licenses. Despite many years of driving experience, insurance carriers in the
Unites States, as a rule, will charge higher auto insurance premiums. They
will also restrict liability coverage to $1,000,000
until a United States driving record has been established
over a three-year period. Securing higher limits of
coverage in this situation can cost approximately $1,000
per $1,000,000 coverage, and coverage must be written
through Excess and Surplus insurance carriers. These
carriers usually are not admitted in New York State and do not possess the
strong financial ratings of a carrier like The Chubb
Group of Insurance Companies. Most individuals usually
elect to forego the coverage due to the prohibitive
cost, and this is an especially common response in
people from countries that are unaccustomed to the
highly litigious nature of the United States.
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