New York State seal

August 20, 1986

SUBJECT: INSURANCE

WITHDRAWN

SUPPLEMENT NO. 1 to CIRCULAR LETTER NO. 3 (1986)

TO: ALL AUTHORIZED ROPERTY/CASUALTY INSURERS IN NEW YORK STATE, INSURANCE & PRODUCER ASSOCIATIONS, EXCESS LINE BROKERS, UNDERWRITING MEMBERS OF THE NEW YORK INSURANCE EXCHANGE, INC.

RE: UPDATING LIABILITY INSURANCE AVAILABILITY SURVEY

Circular Letter No. 3, issued on April 17, 1986, contained a survey signed to ascertain markets particularly for difficult-to-place liability insurance coverages. As a result of survey responses, the Department via its Hotline and other market assistance programs has been able to identify markets for many prospective insureds experiencing difficulty in securing coverage.

Critical availability problems remain. Market conditions are also changing, due to significant developments, such as the omnibus legislation recently enacted into law in New York State designed to enhance availability and affordability of vital liability insurance coverages. We stress that, pursuant to the omnibus legislation, in connection with commercial risk, professional liability and public entity insurance coverages not exempted from the flexible-rating system, insurers must refile rates to reflect the likely cost reductive effects of the tort reforms embodied in the omnibus legislation and companion laws. These refilings must be made by insurers no later than 11. Friday, September 26, 1986, ninety days after the effective date, June 28, 1986, of the omnibus legislation. A special Circular Letter, specifically. addressed to this tort reform refiling requirement, will soon be issued. Regulations concerning the flex-rating system will also be published by the Department in the near future.

The new laws empower the Superintendent of Insurance to activate the New York Property Insurance Underwriting Association for specified liability insurance markets, in the event that meaningful coverage is determined to be lacking in the voluntary markets. In order to enable the Department to continue to assist in maximizing voluntary market placements and to determine the extent of availability problems on an ongoing basis, it is essential that you update the annexed survey, and return it to the Department no later than September 5, 1986. Until further notice, please update this availability survey on a quarterly basis, returning it to the Department by ten (10) days after the end of each quarter; the next survey should be made as of December 31, 1986. Only changes from your last response need to be indicated. Where appropriate, we encourage replies from insurance carriers to be made on a consolidated basis on behalf of parent, subsidiaries and affiliates. Please direct your reply and any questions to Richard Lynde (212-602-0363), Principal Insurance Examiner, Property & Casualty Insurance Bureau. In between survey updates, please inform Mr. Lynde about any new markets of which you become aware.

JAMES P. CORCORAN

SUPERINTENDENT OF INSURANCE

Please check the appropriate box to indicate whether or not your company will write liability insurance for each particular type of risk, provided of course, that it meets your underwriting criteria. If you will write a particular type of risk, provide the name and telephone number of a contact person that the Insurance Department may provide for inquiries about placement of coverage.

Note that some types of risk have been added to this supplemental survey and some have been deleted. The risks which have been added may be identified by the CAPITAL LETTERS. If you will not consider writing any of the exposures included in this survey, or if there is no change from your company's response to the earlier survey and you do not write any of the additional risks, please check only the appropriate box on the last page and complete the identifying information. If there are changes from your earlier. response, advise us only of those changes and the additional risks, if any, which you will consider writing.

Thank you for your cooperation and assistance.

* Reinsurers - Please advise if you would write these risks on a reinsurance basis (treaty or facultative). It is not necessary to supply the name of a contact person.

** Excess Lines Brokers - Please provide a positive response only if you can place coverage with a non-admitted insurer. The contact person should be the individual in your office to whom inquiries may be directed.

*** Producer Associations - Please advise your members that the Department is conducting this survey and advise the Department if you are aware of admitted markets.

TYPE OF RISK

YES

NO

CONTACT

 

Recreation Liability-Carnivals,

       

Fairs and Amusement Parks required

       

by Article 27 of the New York

       

Labor Law to obtain liability

       

insurance.

       

   Large Amusement Parks

[]

[]

   
         

   Small Amusement Parks

[]

[]

   
         

   .Traveling Amusement Shows

[]

[]

   
         

   Small Local Fairs

[]

[]

   
         

   Carnivals

[]

[]

   
         

   State or County Fairs

[]

[]

   
         

Other Recreational Liability

       

   Ice Skating Rinks/and or Clubs

[]

[]

   
         

   Ski Tour Operators

[]

[]

   

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

   Horseback Riding Establishments

[]

[]

   
         

Minter Recreation Facilities

[]

[]

   
         

   Go Kart Facilities

[]

[]

   
         

   Snowmobile Rentals

[]

[]

   
         

   Indoor Pool Swim Clubs

[]

[]

   
         

   Private Recreational Clubs

[]

[]

   
         

   Summer Camp & Recreational

[]

[]

   
         

   Facilities

       

   Roller Skating Facilities

[]

[]

   
         

   Special Events

[]

[]

   
         

   Health Clubs

[]

[]

   
         

   Racquet Ball Facilities

[]

[]

   
         

   INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

   Private Beaches

[]

[]

   
         

   Baseball & Softball Clubs

[]

[]

   
         

   Fireworks Display

[]

[]

   
         

   Contact Sports Club

[]

[]

   
         

   Gymnasium Schools

[]

[]

   
         

   Youth Centers

[]

[]

   
         

   Private Airplanes

[]

[]

   
         

   Boat Rentals

[]

[]

   
         

   Boat Launch Facilities

[]

[]

   
         

   Boat Marina Facilties

[]

[]

   
         

   Tennis Instructor

[]

[]

   
         

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

   Road Race Club

[]

[]

   
         

   Judo & Karate Instruction

[]

[]

   
         

   Recreational Guide Service

[]

[]

   
         

   Singles Club

[]

[]

   
         

   Beach Club

[]

[]

   
         

   Police Athletic League

[]

[]

   
         

   Special Exhibit Floater

[]

[]

   
         

   Vacation Resorts

[]

[]

   
         

   BUNGALOW COLONIES

[]

[]

   
         

LIQUOR LAW LIABILITY -taverns and

       

restaurants for which liquor

       

accounts for more than 50% of total

       

sales. CGL coverage is not

       

requested.

[]

[]

   
         

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

PRODUCT LIABILITY

       

   Medical Products - Sales

[]

[]

   
         

   Cosmestic Manufacturers

[]

[]

   
         

   New Products (Cosmetics)

[]

[]

   
         

   TOY MANUFACTURERS

[]

[]

   
         

   Food Processing (New Business)

[]

[]

   
         

   PEST CONTROL

[]

[]

   
         

   TREE SPRAYING

[]

[]

   
         

   USED CAR DEALERS

[]

[]

   
         

   MOTORCYCLES DEALERS

[]

[]

   

COMPLETED OPERATIONS

       

   Boat Hauling

[]

[]

   
         

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

   BROILER & MACHINERY REAPIR

[]

[]

 
       

   City Contractual Work

[]

[]

 
       

   CITY CONTRACTUAL WORK

[]

[]

 

   ($ 4 MILLION EXCESS OF $ 1 MILLION)

     
       

   Asbestos Removal

[]

[]

 
       

   Removal of other Pollutants

     

   (i.e., Dioxin, PCBs)

[]

[]

 
       

   PEST CONTROL

[]

[]

 
       

   Tree Spraying

[]

[]

 
       

   Bridge Painting

[]

[]

 
       

   ROOFING CONTRACTORS

[]

[]

 
       

   Dock Repair

[]

[]

 
       

   Scaffolding Sales

[]

[]

 
       

INSURER NAME

     

TYPE OF RISK,

YES

NO

CONTACT

 

   Tanning Salons

[]

[]

   
         

   UNDERGROUND TANK INSPECTION

[]

[]

   
         

   WASTE DISPOSAL (HAZARDOUS)

[]

[]

   
         

   WASTE DISPOSAL (NON-HAZARDOUS)

[]

[]

   
         

MISC. PRODUCT LIABILITY

       
         

   Detergent Manufacturer

[]

[]

   
         

   Chemical Packaging Firm

[]

[]

   
         

   Fire Gauge Manufacturer

[]

[]

   
         

   Fire Equipment Manufacturer

[]

[]

   
         

   Close Out Sales Vendor

[]

[]

   
         

   Riding Equipment Sales

[]

[]

   
         

   CHILDRENS' CLOTHING DISTRIBUTOR

[]

[]

   

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

   AUTO PARTS MANUFACTURERS

[]

[]

   
         

   FUEL OIL DISTRIBUTOR

[]

[]

   

   (POLLUTION EXPOSURE)

       
         

   FUEL TANK INSTALLATION AND

[]

[]

   

   REPAIR

       
         

   TANKS OTHER THAN FUEL-

[]

[]

   

   INSTALLATION AND REPAIR

       
         

SMALL CONTRACTORS AND OTHER

       

SMALL BUSINESSES (1-5 EMPLOYEES)

       
         

   CLEANING SERVICES (POLLUTION

[]

[]

   

   EXPOSURE)

       
         

   CLEANING SERVICES (FLOOR WAXING

[]

[]

   

   EXPOSURE

       
         

Elevator and Boiler Repair

[]

[]

   
         

   GENERAL CONTRACTORS - "PAPER

[]

[]

   

   CONTRACTS"

       
         

   Home Inspection Companies

[]

[]

   
         

PROFESSIONAL LIABILITY - DIRECTORS

       

AND OFFICERS

       
         

   Directors and Officers Liability

       

   (Profit)

[]

[]

   

   (Non-Profit)

[]

[]

   

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

 

   Lawyers Professional Liability

[]

[]

   
         

   Law Enforcement Professional

[]

[]

   

   Liability

       
         

   Social Worker Professional

[]

[]

   

   Liability

       
         

   Architects and Engineers

       

   Professional Liability

[]

[]

   
         

   PUBLISHERS PROFESSIONAL

[]

[]

   

   LIABILITY

       
         

   ACCOUNTANTS AND AUDITORS

[]

[]

   

   ERRORS AND OMISSIONS

       
         

   Insurance Producers Errors an

       

   Omissions

[]

[]

   
         

   Public Official Errors and

[]

[]

   

   Omissions

       
         

   Real Estate Errors and

[]

[]

   

   Omissions

       
         

      Nursing Homes Medical

[]

[]

   

   Malpractice

       
         

INSURER NAME

       

TYPE OF RISK

YES

NO

CONTACT

   Private Nursing Service

[]

[]

 

   Medical Malpractice

     
       

   Medical Students

[]

[]

 

   Medical Malpractice

     
       

MISCELLANEOUS LIABILITY RISKS

     
       

   Municipal Liability Excess

[]

[]

 

   Coverage ($ 4 million in excess

     

   of $1 million)

     
       

   Other Excess Liability

[]

[]

 

   ($ 4 million in excess of

     

   $ 1 million)

     
       

   OTHER EXCESS LIABILITY

[]

[]

 

   (EXCESS OF $5 MILLION)

     
       

   Security Firms (i.e. Pinkerton

[]

[]

 

   Guard)

     
       

   SMALL STORAGE WAREHOUSES CONTAINING

[]

[]

 

   CHEMICALS AND/OR POLLUTANTS

     
       

   CAR RENTAL AGENCIES

[]

[]

 
       

   Golf Cart Leasing

[]

[]

 
       

   Platform Lift Rentals

[]

[]

 
       

INSURER NAME

     

TYPE OF RISK

YES

NO

CONTACT

 

   Toilet Renting Company

[]

[]

   
         

   OWNERS' PROTECTIVE LIABILITY

[]

[]

   
         

   PREMISES LIABILITY - OUTPATIENT

[]

[]

   

   ELECTIVE SURGERY OFFICE

       
         

   Vacant Commercial Buildings

[]

[]

   
         

   Vacant Dwellings

[]

[]

   
         

   Block Associations

[]

[]

   
         

   CONDOMINIUM ASSOCIATIONS

[]

[]

   
         

   Community Centers

[]

[]

   
         

   Senior Citizen Centers

[]

[]

   
         

   PRIVATE SCHOOLS (INCLUDING

[]

[]

   

   ATHLETIC PARTICIPATION)

       
         

   Child Care

       

   (Profit)

[]

[]

   

   (Non-Profit)

[]

[]

   
         

INSURER NAME

       

Will your company write any of the risks for which you responded affirmatively if it involves a new business?

YES [] NO [] SOME [] Please list.

[]Our Company will not write any of the exposures included in this survey.

[]There is no change from our Companies response to your previous survey and we will not write any of the additional exposures included in this survey.

COMPLETED BY:

INSURER

NAME

TITLE

TELEPHONE

RETURN TO:

RICHARD LYNDE, PRINCIPAL EXAMINER

PROPERTY AND CASUALTY BUREAU

NEW YORK STATE INSURANCE DEPARTMENT

160 WEST BROADWAY

NEW YORK, NEW YORK 10013