American Association of Insurance Services

NEVADA
Status report on compliance with the
Terrorism Risk Insurance Act of 2002
and related state regulatory policies

Regarding "certified" commercial losses
For an act of terrorism to be certified by the U.S. Secretary of the Treasury (and thus trigger coverage under the federal Terrorism Reinsurance Program), it must cause more than $5 million in losses and be inspired, directed, and/or carried out on behalf of a foreign person or interest.

IN FORCE BUSINESS - Use the endorsements and rating information shown below only when the insured accepts the offer of coverage for certified terrorism loss.

NEW AND RENEWAL BUSINESS

Posting date: 12/18/02
AAIS commercial lines programs filed on behalf of companies	AAIS endorsement used when coverage is provided under the federal Terrorism Insurance Program	Rating factor to accompany coverage endorsement	AAIS endorsement used when insured declines terrorism coverage (New and Renewal Policies Only)	Fire following rating factor for SFP states
Agricultural Output	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Artisans	AP 0700 12 02	.0100	AP 0710 12 02	N/A
Businessowners	BP 0750 12 02	.0125	BP 0760 12 02	N/A
Commercial Inland Marine (filed classes)	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Commercial Liability	GL 0250 12 02	.0100	GL 0260 12 02	N/A
Commercial Output	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Commercial Output XL	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Commercial Properties	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Contractors & Developers Output	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Crime	CL 0600 12 02	.0125	CL 0610 12 02	N/A
Glass	CL 0600 12 02	.0125	CL 0610 12 02	N/A
AAIS Effective Date: 12/17/02
AAIS Filing Number(s): AAIS-2002-82
Company action: *Endorsements* Companies that have granted AAIS filing authority for forms and endorsements can adopt the endorsements without notifying the insurance department. *Rating Information* For the Commercial Lines included in this filing, rates are not subject to filing requirements in Nevada. No company action is required with the insurance department, however companies should keep documentation as to the effective date and rates they use. Expedited Filing Transmittal An Expedited Filing Transmittal Document For Terrorism Risk Insurance Forms and Pricing must be included in order to receive expedited handling of any filing required under these instructions.
Comments: *Disclosure Notices* Affiliated companies can use the AAIS policyholder notices as filed with slight modifications for individual policies or develop independent notices that contain the information required by the Terrorism Risk Insurance Act. Companies that develop their own notices are required to place them on file for informational purposes.

Separate Line Item Disclosure Endorsement (CL 0605 02 03)

AAIS Filing No.: AAIS-2003-3

Effective Date: 2/11/03

Company Action: Affiliated companies can adopt the endorsement, as filed, without taking any filing action.

AAIS commercial lines advisory filings	AAIS endorsement used when coverage is provided under the federal Terrorism Insurance Program	Rating factor to accompany coverage endorsement	AAIS endorsement used when insured declines terrorism coverage	Fire following rating factor for SFP states
Commercial Umbrella	UM 0755 12 02	Refer to company	UM 0765 12 02	N/A
AAIS Advisory Effective Date: 12/17/02
AAIS Filing Number(s): AAIS-2002-84

Company action:

Endorsements
Each company that wishes to adopt these endorsements must do so by establishing an effective date and notifying the Insurance Department in writing.

Rating Information
Companies need not submit related rating information, however, companies should keep documentation as to the effective date and rates they use.

Expedited Filing Transmittal
An Expedited Filing Transmittal Document For Terrorism Risk Insurance Forms and Pricing must be included in order to receive expedited handling of any filing required under these instructions.

Comments:

Disclosure Notices
Affiliated companies can use the AAIS policyholder notices as filed with slight modifications for individual policies or develop independent notices that contain the information required by the Terrorism Risk Insurance Act. Companies that develop their own notices are required to place them on file for informational purposes.

Separate Line Item Disclosure Endorsement (CL 0605 02 03)

AAIS Filing No.: AAIS-2003-4

Effective Date: 2/11/03

Company Action: Affiliated companies can adopt the endorsement by establishing an effective date and notifying the insurance department in writing. Refer to the applicable Filing Number(s) when corresponding with the Department.

Regarding "non-certified" commercial losses
Non-certified terrorism losses are all commercial losses from acts of terrorism that are not certified as such by the Secretary of the Treasury, and thus not covered by the federal reinsurance program. These include, but are not necessarily limited to, acts inspired, directed, and/or carried out by domestic U.S. groups or individuals.

NEW AND RENEWAL BUSINESS
Posting date: 1/30/03, 2/26/03 (addl. info)
Filings Submitted for Proposed Effective Date of: 4/1/03
AAIS commercial lines programs filed on behalf of companies		AAIS endorsement used to exclude coverage for non-certified terrorism losses	AAIS endorsement used to exclude coverage for nuclear, biological, or chemical terrorism losses
Agricultural Output		CL 0630 12 02	CL 0650 12 02
Artisans		AP 0730 12 02	AP 0750 12 02
Businessowners		BP 0780 12 02	BP 0800 12 02
Commercial Inland Marine (filed classes)		CL 0630 12 02	CL 0650 12 02
Commercial Liability		GL 0270 12 02	GL 0280 12 02
Commercial Output		CL 0630 12 02	CL 0650 12 02
Commercial Output XL		CL 0630 12 02	CL 0650 12 02
Commercial Properties		CL 0630 12 02	CL 0650 12 02
Contractors & Developers Output		CL 0630 12 02	CL 0650 12 02
Crime		CL 0630 12 02	CL 0650 12 02
Farm Properties		FL 0630 12 02	FL 0650 12 02
Farmowners		FO 0630 12 02	FO 0650 12 02
Glass		CL 0630 12 02	CL 0650 12 02
Personal & Premises Liability (Farm Only)		GL 0330 12 02	GL 0340 12 02
AAIS Effective Date: 4/1/03
AAIS Filing Number(s): AAIS-2002-83
Company action: Companies that have granted AAIS filing authority for forms and endorsements can adopt the endorsements without notifying the insurance department.
Comments: Manual rules that address the use of the various terrorism endorsements were filed in conjunction with the endorsements that exclude loss caused by non-certified acts of terrorism. (See the Sample Non-SFP Terrorism Rules Supplement attachment to Bulletin 02-0550 at this Web site).

AAIS commercial lines advisory filings	AAIS endorsement used to exclude coverage for non-certified terrorism losses		AAIS endorsement used to exclude coverage for nuclear, biological, or chemical terrorism losses
Commercial Umbrella	UM 0775 12 02		UM 0785 12 02
Farm Umbrella	UM 0350 12 02		UM 0360 12 02
AAIS Advisory Effective Date: 4/1/03
AAIS Filing Number(s): AAIS-2002-85
Company action: Each company that wishes to adopt these endorsements must do so by establishing an effective date and notifying the Insurance Department in writing.

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