In our e-mail dated December 19, 2002, we outlined the elements of the recently enacted federal terrorism insurance bill along with the possible effects on your AEGIS policies. The legislation, as you will recall, applies to AEGIS Excess Liability, D&O, Fiduciary, Excess Workers' Compensation and Property policies.
We recently analyzed the government protection, the AEGIS coverages, and our reinsurance program, and based on that analysis, we identified the amount of additional premium we must charge in order to provide terrorism coverage. The premium adjustments, and the details of the available terrorism coverage, are described in letters that we're issuing to each policyholder this week.
For policies in force as of November 26, 2002—and for policies incepting between November 26, 2002 and January 9, 2003—the current AEGIS terrorism exclusions are now void. As a result, these policies provide terrorism coverage as defined by the new law. Your letter will describe the coverage and the corresponding premium charge. You'll have 30 days from the date on your letter to accept or reject the premium charge and the coverage, and we'll amend the policy to reflect your choice.
Renewing or new policies, which include all policies bound with an effective date of January 10, 2003 or later, will be quoted with the option of terrorism coverage. As with existing policies, your letter will provide coverage and premium details, and you'll have the option of accepting or rejecting the coverage.
We believe you'll be pleased with the scope of the coverage and agree that the premium increases are relatively modest. If you have any questions about the terrorism coverage letters, please contact your AEGIS underwriter or Gil Gould at 201.521.4824.
Please mark your calendars now for the 2003 AEGIS Policyholders' Conference , which is scheduled for Tuesday, July 29 through Thursday, July 31 at The Westin Bayshore in Vancouver, B.C.
Our annual conference is an important opportunity to share your needs, concerns and suggestions with us. The issues presented during last year's conference program and our subsequent discussions shaped many of the products and services we provided for you during recent months. We have the same goal for this year's conference. More information will be posted to www.aegislink.com as it becomes available and complete conference registration materials will be sent in early May.
Conference registration is complimentary and attendees are invited to bring guests. As with past Conferences, AEGIS will reimburse one representative from each Member company for the cost of three nights lodging at the Westin in Vancouver. Brokers must be attached to a current AEGIS Member policy in order to attend.
The Loss Control Division has developed electric transmission, distribution and substation inspection forms that may be used to evaluate a utility's existing inspection forms or to develop new inspection forms. These forms, in spreadsheet format, allow users to personally edit their format and content to meet their organization's specific needs. The forms may be accessed, viewed and downloaded from the “ Programs and Publications ” section in the password-protected loss control area of the AEGIS website. Risk Managers are encouraged to forward this information to appropriate operating personnel in their organization for their review and use.
Also, please remember to register for the Risk Management Seminar sponsored by AEGIS Loss Control, March 12-14, 2003, in Sacramento, CA. Details and registration forms are posted on the web site. The registration deadline is February 19.