(April 2022)
ACORD forms are designed primarily for use with products associated with standard insurance industry rating and forms organizations, such as the Insurance Services Office (ISO) and American Association of Insurance Services (AAIS), for use with its manuals, rules, rating plans, and policy forms, such as the Commercial General Liability (CGL) Coverage Forms. For the most part, ACORD forms are relatively generic in nature. If the CGL Coverage Form is written in combination with a specific independent specialty or company program, company specific forms may be needed for that account instead of, or in addition to, the normal ACORD forms that apply.
Note: Only countrywide forms are listed in this section. Specific state ACORD forms are not listed.
Form 45–Additional Interests
This form is helpful to identify, list, and describe additional interests in an organized, logical, and sequential basis. The additional interest name and mailing address is coupled with identifying the specific type of interest involved and the nature of the interest, such as in a location. This form can be used as a risk management and additional interest inventory document in addition to its primary purpose of providing underwriting, policy-writing, and rating information.
Form 125–Commercial Insurance Application
All information requested in this form is relevant and important. Be sure to check the appropriate boxes, so the insurance company underwriter knows which lines of insurance are being submitted for consideration. The first named insured, and all other named insureds must be listed. The applicant information is important for both coverage issues and to provide the contact information for inspections, financial, and premium audit functions. Loss information on larger accounts should probably be submitted in the form of copies of currently valued loss runs for the past five years, as well as for the current year to date. Accurate and currently valued loss information for the latest three full and complete years is required for experience rating on larger accounts.
Form 126–Commercial General Liability Section
This form is very comprehensive and designed to provide the insurance company with as much relevant information as possible with respect to the coverages selected, classifications, and rating. It includes detailed questions that make it very useful as a risk management and underwriting tool. Most of the information requested has a direct impact on the manual rating. Inaccurate or incomplete information can lead to an incorrectly rated and priced account.
Each of these forms is very comprehensive and detailed with respect to the type and amount of information requested. However, no single application can respond to every question that may arise for every risk, especially larger and more complex risks. It is always in the best interests of both the insured and the agent or broker to provide a cover letter that includes complete details of the operations and exposures involved, especially if the risk has characteristics and features that cannot be brought to the attention of the insurance company in any other way. This additional information can be gathered using the Rough Notes Producer's Commercial Lines Risk Evaluation System Questionnaire.