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ISMIE Coverage Enhancements? |
Reduced Tail Costs
Rates to be based on net annual premium instead of mature annual premium.
Effective July 1, 2000, the tail factors will be applied to the expiring annual premium, net of any loss-free discount, part-time discount, or newly-practicing physician discount. Essentially, all discounts except the Scheduled Rating Credit will be applied to the tail premium calculation.
Therefore, tail costs which would be normally based on mature rates regardless of actual maturity level, will now be based on actual time insured. This means a significant number of ISMIE policyholders who are not yet at mature premium levels will experience a decrease in their tail costs.
ISMIE’s Retirement Tail Coverage Policy
At ISMIE, we’re always looking for ways to reward our policyholders who have shown loyalty to our company over the years and to provide the finest coverages and services possible. For example, ISMIE provides free tail coverage for physicians who retire at any age after 10 years of continuous ISMIE coverage; or at age 55 with 5 years of continuous ISMIE coverage. Our Retirement Tail Coverage Policy once again demonstrates our commitment to Physician-First Service.