Surplus lines or lloyds policy alert !
04-17-2018, 02:07 PM
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Surplus lines or lloyds policy alert !
1-These policies are not covered by your state insurance department guaranty fund if the syndicate goes bankrupt
2-Insurance company or agent must have a special license in each state to sell this type of policy.
3-The policy must be filed with your state insurance department.
4-A filing fee and a tax payment must be forwarded to your state insurance department.
5-Your premium invoice will show this tax and fee.
6-Check with your state insurance department to see if the policy was filed and if not why and who has this money.
7-Be wary if your agent told you not to show your policy declarations page to anyone.
8-It is an ethical violation of insurance protocol to switch a policy from a U.S. licensed and admitted company to a surplus lines non admitted carrier.
company which reduces protection as per my example in item 1.This switch is usually done only because the premium might be
cheaper and without regard for the welfare of the policy holder.
2-Insurance company or agent must have a special license in each state to sell this type of policy.
3-The policy must be filed with your state insurance department.
4-A filing fee and a tax payment must be forwarded to your state insurance department.
5-Your premium invoice will show this tax and fee.
6-Check with your state insurance department to see if the policy was filed and if not why and who has this money.
7-Be wary if your agent told you not to show your policy declarations page to anyone.
8-It is an ethical violation of insurance protocol to switch a policy from a U.S. licensed and admitted company to a surplus lines non admitted carrier.
company which reduces protection as per my example in item 1.This switch is usually done only because the premium might be
cheaper and without regard for the welfare of the policy holder.
Last edited by sy goldberg; 04-19-2018 at 12:12 PM. Reason: spelling mistake
04-18-2018, 11:44 AM
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So Lloyds has about the highest financial rating of any insurance company anywhere. What is the real risk?
Or are you saying there are fake policies out there?
Or are you saying there are fake policies out there?
Last edited by Wobble; 04-18-2018 at 11:58 AM.
04-18-2018, 03:11 PM
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LLOYDS is an insurance marketplace.The individual groups are called syndicates and on occasion these syndicates do go bankrupt due to catastrophic claims or poor loss history.I stated before that your state insurance department will not help you and everything I stated previously about filing,special licenses,and tax payment is correct.The claim process will not be easy and could be a long drawn out affair. There is also a problem with some agents not filing these policies with the state and keeping the tax money as an easy profit source.I would also like to point out that some boat loan sources will not accept a surplus lines policy. I stated before,check with your state if you have a surplus lines policy.
Last edited by sy goldberg; 04-18-2018 at 03:33 PM. Reason: wrong spelling
04-18-2018, 07:35 PM
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Surplus Lines
Still looking for my policy. My State Insurance Dept. said they would investigate. They need my policy number which was never provided. I have no idea where my policy is or what has happened to my tax money is since it has not been reported. Any advise at this point?
Jimmy Mac
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05-17-2018, 03:45 PM
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I have been contacted by 12 people so far about their SURPLUS LINES/LLOYDS policies after they found out that the state had no record of their policies as required by insurance law.I'm sure there are more people with the same problem.I can only advise that the policy holder keep checking with their agent or company to see why the policy has not been filed and try to find out who has the tax money that has to be sent to the state with these type of policies.I only wrote a few of these policies and my agency had a SURPLUS LICENSE for the state or we hired a service to do the filing and forward the tax money.
07-08-2018, 09:22 PM
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08-04-2018, 03:42 PM
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After checking with MY State insurance Dept, there is no record of any policy in my name. The policy has not been filed or any of the tax money paid has been applied. I have a feeling the tax money has disappeared.
I am going to report my agent and insurance company to my State Insurance Dept.
I would suggest any other boater in the same situation to look for better coverage . My new hi performance boat will be insured by Sy where I can get a policy from a legitimate company and a Licensed US Insurance Carrier.
Lastly, on July 31. 2018, I read that Lloyd's has just lost 2.6 Billion Dollars, their CEO has retired and most of their claims for destroyed homes in Hawaii have been denied. They were covered for lava flows. The lave rolled next to these homed burning them to the ground. Lloyd's agreed the losses were total but denied claims because the damage was done by fire not lava which set the houses on fire. Naturally they are in litigation. Lloyd's is reviewing all aspects of all their policies to help cover these losses. This is not the way I want to deal with an insurance company. I want a licensed US Insurance Carriers protection on my new boat.
I am going to report my agent and insurance company to my State Insurance Dept.
I would suggest any other boater in the same situation to look for better coverage . My new hi performance boat will be insured by Sy where I can get a policy from a legitimate company and a Licensed US Insurance Carrier.
Lastly, on July 31. 2018, I read that Lloyd's has just lost 2.6 Billion Dollars, their CEO has retired and most of their claims for destroyed homes in Hawaii have been denied. They were covered for lava flows. The lave rolled next to these homed burning them to the ground. Lloyd's agreed the losses were total but denied claims because the damage was done by fire not lava which set the houses on fire. Naturally they are in litigation. Lloyd's is reviewing all aspects of all their policies to help cover these losses. This is not the way I want to deal with an insurance company. I want a licensed US Insurance Carriers protection on my new boat.
