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For questions regarding the E&O Program, please contact us.

For more information please see a copy of the E&O policy


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Carrier Ratings and Admitted Status

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Carriers A. M.Best's Rating Admitted / Non-Admitted
Everest National Insurance Company A+ XV Admitted

If the above indicates coverage is placed with a non-admitted carrier, the carrier is doing business in the state as a surplus lines or non-admitted carrier. As such, this carrier is not subject to the same regulations which apply to an admitted carrier nor do they participate in any insurance guarantee fund applicable in that state.

The above A.M. Best Rating was verified on the date the disclosure document was created.

Guide to Best Ratings

Rating Levels and Categories

Level
Category
Level
Category
Level
Category

A++, A+
Superior
B, B-
Fair
D
Poor
A, A-
Excellent Supervision
C++, C+
Marginal
E
Under Regulatory
B++, B+
Very Good
C, C-
Weak
F
S

In Liquidation
Rating Suspended


Financial Size Categories

(In $000 of Reported Policyholders Surplus Plus Conditional Reserve Funds)

 

FSC I


Up to 1,000
FSC IX
250,000
to 500,000
FSC II
1,000
to 2,000
FSC X
500,000
to 750,000
FSC III
2,000
to 5,000
FSC XI
750,000
to 1,000,000
FSC IV
5,000
to 10,000
FSC XII
1,000,000
to 1,250,000
FSC V
10,000
to 25,000
FSC XII
1,250,000
to 1,500,000
FSC VI
25,000
to 50,000
FSC XIV
1,500,000
to 2,000,000
FSC VII
50,000
to 100,000
FSC XV
2,000,000
or more
FSC VIII
100,000
to 250,000






 Best’s Insurance Reports, published annually by A.M. Best Company, Inc., presents comprehensive reports on the financial position, history, and transactions of insurance companies operating in the United States and Canada.  Companies licensed to do business in the United States are assigned a Best’s Rating which attempts to measure the comparative position of the company or association against industry averages.

 A Best’s Financial Strength Rating opinion addresses the relative ability of an insurer to meet its ongoing insurance obligations.  It is not a warranty of a company’s financial strength and ability to meet its obligations to policyholders.  View the A.M. Best Important Notice:  Best’s Credit Ratings for a disclaimer notice and complete details at http://www.ambest.com/ratings/notice.

 Best’s Credit Ratings are under continuous review and subject to change and/or affirmation.  For the latest Best’s Credit Ratings and Best Credit Reports (which include Best Ratings), visit the A.M. Best website at http://www.ambest.com.  See Guide to Best’s Credit Ratings for explanation of use and charges.  Copies of the Best’s Insurance Reports for carriers listed above are also available upon request of your Gallagher representative.

Best’s Credit Ratings reproduced herein appear under license from A.M. Best and do not constitute, either expressly or impliedly, an endorsement of (Licensee’s publication or service) or its recommendations, formulas, criteria or comparisons to any other ratings, rating scales or rating organizations which are published or referenced herein.  A.M. Best is not responsible for transcription errors made in presenting Best’s Credit Ratings.  Best’s Credit Ratings are proprietary and may not be reproduced or distributed without the express written permission of A.M. Best Company.

Gallagher companies use A.M. Best Company’s rating services to evaluate the financial condition of insurers whose policies we propose to deliver.  Gallagher companies make no representations and warranties concerning the solvency of any carrier, nor does it make any representation or warranty concerning the rating of the carrier which may change.


GUIDE TO BEST’S FINANCIAL STRENGTH RATINGS



Disclosures

The following disclosures are hereby made a part of this policy.  Please review these disclosures prior to signing the Client Authorization to Bind in your application.

 

Disclaimer

IMPORTANT: These disclosures are an outline of certain terms and conditions of the insurance proposed by the insurers, based on the information provided by your company. It does not include all the terms, coverages, exclusions, limitations and/or conditions of the actual policy contract language. The insurance policies themselves must be read for those details. Policy forms for your reference will be made available upon request.

 We will not be operating in a fiduciary capacity, but only as your broker/agent, obtaining a variety of coverage terms and conditions to protect the risks of your enterprise. We will seek to bind those coverages based upon your authorization; however, we can make no warranties in respect to policy limits or coverage considerations of the carrier. Actual coverage is determined by policy language, so read all policies carefully. Contact us with questions on these or any other issues of concern.

Compensation Disclosure

One of the core values highlighted in The Gallagher Way states, “We are an Open Society,” and our open society extends to the compensation Gallagher receives. In general, Gallagher may be compensated as follows:

  1. Gallagher Companies are primarily compensated from the usual and customary commissions or fees received from the brokerage and servicing of insurance policies, annuity contracts, guarantee contracts and surety bonds (collectively “insurance coverages”) handled for a client’s account, which may vary from company to company and insurance coverage to insurance coverage.  As permitted by law, Gallagher companies occasionally receive both commissions and fees.  
  2. In placing, renewing, consulting on or servicing your insurance coverages, Gallagher Companies may participate in contingent and supplemental commission arrangements with intermediaries and insurance companies.  Contingent commissions provide for additional contingent compensation if underwriting, profitability, volume or retention goals are achieved. Such goals are typically based on the total amount of certain insurance coverages placed by Gallagher with the insurance company and/or through the intermediary, not on an individual policy basis.  Some insurance markets, including Gallagher-owned intermediaries, have modified their commission schedule with Gallagher, resulting in an increase in some commission rates. These additional commissions, commonly referred to as “supplemental commissions” are known as of the effective date, but some insurance companies are paying this commission later and apart from when commission is normally paid at policy issuance.  As a result, Gallagher may be considered to have an incentive to place your insurance coverages with a particular insurance company. Note: Upon request, your Gallagher representative can provide more specific market information regarding contingent and supplemental commission related to your insurance coverage.
  3. Gallagher Companies may also receive investment income on fiduciary funds temporarily held by them, such as premiums or return premiums.
  4. Gallagher Companies may access other facilities, including wholesalers, reinsurance intermediaries, captive managers, underwriting managers and others that act as intermediaries for both Gallagher and other brokers in the insurance marketplace.  Gallagher Companies may own some of these facilities, in whole or in part.  If such a facility was utilized in the placement of a client’s account, the facility may have earned and retained customary brokerage commission or fees for its work.
  5. Gallagher assists its customers in procuring premium finance quotes and unless prohibited by law may earn compensation for this value added service.
  6. From time to time, Gallagher may participate in insurance company promotional events or training and development that insurers provide for Gallagher employees.
  7. Gallagher strives to find appropriate coverage at a competitive price for our customers.  In order to achieve these goals, we gather and analyze data about our customers and their insurance coverage.  This data and the resulting analytical tools help us better understand the current marketplace, more accurately predict future trends and offer tailored solutions to our customers.  The data may also be provided to insurers pursuant to consulting service agreements from which we earn fees.

If you have specific questions about the compensation received by Gallagher and its affiliates in relation to your insurance placements, please contact your Gallagher representative for more details.

In the event you wish to register a formal complaint regarding compensation Gallagher receives from insurers or third parties, please send an e-mail to Compensation_Complaints@ajg.com or send a letter to:

Compliance Officer
Arthur J. Gallagher & Co.
Two Pierce Place, 20th Floor
Itasca, IL  60143

Actuarial Disclaimer

The information contained in this proposal is based on the historical loss experience and exposures provided to Arthur J. Gallagher & Co. Insurance Brokers of California, Inc.. This proposal is not an actuarial study. Should you wish to have this proposal reviewed by an independent actuary, we will be pleased to provide you with a listing of actuaries for your use.

Premium Note

Premiums for the above policies are due and payable as billed, in full or as insurance company installments.  Premiums may be financed, subject to acceptance by an approved finance company.  Note:  Following acceptance, completion (and signature) of a premium finance agreement with the specified down payment is required.

Scope of Responsibility

Gallagher is responsible for the placement of the following line(s) of coverage:

  • Professional Liability Insurance

It is understood that any other type of exposure/coverage is either self-insured or placed by another brokerage firm other than Gallagher. If you need help in placing other lines of coverage or covering other types of exposures, please contact your Gallagher representative.

Confidentiality Statement

We consider as confidential any information presented by Arthur J. Gallagher & Co. in our written response to your “request for proposal,” as well as subsequent verbal and written communications between our organizations.

We ask that other brokers not have access to our material and that information presented in this proposal be shared only with those who have a need to know within your company.

We make our commitment to you that information already received from you, and additional to follow, will be treated with the same high level of respect and confidentiality.

These disclosures are intended to facilitate your understanding of the insurance program we have arranged on your behalf. It is not intended to replace or supersede your insurance policies.

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