After a firm order is received from the Client it is the responsibility of the Account Executive to keep the parties informed in writing of the progress of the placement or amendment and maintain the placing file. Problems must be advised to the Client as soon as possible with no unnecessary delay. Written details of the markets seen and their reactions and/or quotes must be kept in the file and made available to the Client if requested.
It is very dangerous to attach cover at a date earlier than the day on which Insurers are actually asked to attach cover by the Client. However it is sometimes necessary to back date cover for a number of reasons. The most common reason is for the renewing policy to attach on the same day the expiring policy lapsed. In reality had there been a claim after the expiry date of the previous policy and before the renewing policy had attached cover, there is a real risk of there being no cover. When PSC is requested to back date cover it is vital to establish from the Client that there are no claims or circumstances that would fall into the period to be covered by backdating. In the event of there being claims or circumstances falling into this period then cover must not be granted without Insurers written acceptance that they are fully aware of the situation. When written confirmation is received that there are no claims or circumstances in the period of backdating it is acceptable to proceed with attaching cover at the date requested. However it must be made known to the Client that premium will be charged for the period of back dating even though no claims can arise in that period.
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