Admitted vs. Non-Admitted - Concorde Writes Both Excess & Surplus and Standard Commercial Insurance
Because we write such a wide variety of accounts, we feel it’s important to help our agents understand the different types of programs available. If you have any questions on how to navigate these options, please call us at 1.800.726.1611, option 4.
Admitted or Standard Lines Business:
An admitted carrier is bound by rate and form regulations, and is strictly regulated to protect policy holders. These rates and forms are filed with each state insurance department and compliance is audited by the department. These carriers write Admitted or Standard Lines business.
Accounts are rejected by the admitted carriers when their rates and/or forms filed are inadequate to properly and/or profitably write the account. Examples include: accounts with unfavorable loss history that need more rate than filed, accounts with unusual attributes that require specialized forms and or pricing that have not been filed, or accounts with severe loss potential. Traditionally, over 85% of all business written is with an admitted carrier. Customers enjoy favorable pricing and broad coverage offerings!
Non-Admitted or Excess & Surplus Lines (E&S) Business:
Excess and surplus lines carriers, or Non-Admitted carriers, serve a segment of the insurance market covering those customers who are unable to secure coverage from the standard (admitted) carriers. Common reasons why include: new business ventures, coverage not available (ie. Liquor Liability and Cyber Liability), poor loss history, building age or lack of updating, building location, no prior coverage, poor payment history, or high potential for catastrophic loss to name a few.
E&S companies have the ability to tailor coverage and pricing based on the unique attributes of the account. They have “freedom of rate and form” and can adapt quickly to changing market conditions. E&S companies are not bound by most of the rate and form regulations imposed on standard market companies. Generally, business written in the E&S marketplace is written with less coverage and more premium than the admitted carrier.
Let Concorde help you “Mind the Gap”!
The chasm depicted in our world of all insurance options is the gap. Whether your account should reside in an E&S program, The Gap, or Standard Lines, we can help your customers “in transition” from Standard to E&S and also find a “permanent home” for the account! We can do this because we offer both E&S and Admitted Programs!