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2018 Impending Changes to the ISO Personal Auto Policy

Written by Denise Metz, Vice President Personal Risk Management, Partner

In California, insurance companies use some version of an Insurance Service Office (ISO) form. Most companies alter them in some fashion but because they are the base form used, it is important to know when there are changes. Keep in mind, some companies will adapt these changes while others may not. Below is a summary of the personal auto changes coming in 2018. To view all changes please visit the ISO website or contact our office.

1) Newly acquired auto:

a. ISO Current Form: Newly acquired vehicles are covered until the end of policy term if it is a replacement vehicle.
b. 2018 New ISO form: Must report within 14 days of purchase.

2) Endorsements:

a. Ride Sharing, Livery, etc.
i. ISO Current Form: Ride sharing, Livery, etc. is attached to ISO form by endorsement.
ii. 2018 New ISO form: This will now be part of the policy and not by endorsement.

b. Transportation Expense:
i. ISO Current Form: Provides $15 a day.
ii. 2018 New ISO form: Higher limit will be available.

c. Named Non-Owner:
i. ISO Current Form: Only liability is available.
ii. 2018 New ISO form: Will be able to obtain Comprehensive and Collision coverage.

3) Exclusions:

a. Custom Equipment:
i. ISO Current Form: Custom equipment and furnishing are excluded for pickups/trucks.
ii. 2018 New ISO form: Custom equipment will be excluded for all vehicles not just pickups/trucks.

b. Racing:
i. ISO Current Form: Excluded only in a racing facility.
ii. 2018 New ISO form: Broadens exclusion to include driver skill training/events.

c. Flying Car:
i. ISO Current Form: No current exclusion.
ii. 2018 New ISO form: Exclusion included.

4) New Endorsements offered by ISO in 2018 (most companies already provide these):

a. Full Glass
b. Key replacement
c. Child Restraint
d. Vehicle Replacement Cost
e. Pet Injury
f. Significant other/Domestic Partners can be covered as insured
g. Other members of your household (live in friend, nanny, etc.) can be covered as insured

Have questions on how your policy could be affected? Contact us for assistance: 916-380-5300

Filed under: Auto,Personal Insurance — Jillian Bender-Cormier @ 12:59 am December 28, 2017