is not subject to discount pricing.
Additional Credit Available:
Optional Insurance CE
Optional CPA CPE
Understanding Construction Insurance Rates and Premiums provides an introduction to commercial property and casualty rating techniques and concepts, with an overview of the rating process in general. It also offers a look at important insurance advisory organizations and the statistical information they use to develop rates in many of the standard property and casualty lines.
Significant attention is given to the rating of commercial auto, commercial general liability, workers compensation (including experience rating and retrospective rating), and commercial property insurance, including a consideration of the rating rules that most insurers follow when rating these coverage lines. Attention is given to several methods of rating umbrella insurance and also to contractors equipment and builders risk insurance, lines of coverage where rating is less structured than it is for commercial auto and workers compensation.
For each of the above topics of discussion, helpful tips are offered for an insured’s consideration to control or reduce insurance premium expense without sacrificing important coverages.
This is an intermediate-level course. Students who successfully complete this course will be able to
- explain how insurers develop premiums for the types of property and casualty insurance that contractors buy;
- avoid the most common mistakes made in determining the premiums for each major line of insurance contractors buy;
- describe the difference between “loss costs” and “rates” and how they are determined;
- identify some common ways in which umbrella policies are priced and how they differ;
- outline how information provided to underwriters affects the ultimate premiums paid and the importance of getting it right;
- describe how a contractor’s record keeping practices can increase or reduce the premiums payable on workers compensation and general liability insurance;
- explain how experience modifiers are calculated, why it is important to check the calculations, and generally how it is done;
- list the advantages and disadvantages of retrospective rating and deductible programs; and
- explain coinsurance clauses in property, builders risk, and contractors equipment policies and how they penalize the insured when inaccurate values are reported to the insurer.
There is no required prerequisite or advance preparation for this course.
CPE Field of Study
WebCE® is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.
International Risk Management Institute, Inc. (IRMI) is the premier provider of risk and insurance continuing education and reference services. IRMI publications are considered the ultimate authority by leading insurance practitioners and even federal appellate courts when interpreting insurance coverage. Use the knowledge you gain from IRMI CE courses with confidence, knowing they are written by seasoned insurance professionals who employ diligent quality assurance standards to provide the most up-to-date, practical, and reliable information possible.