As you begin a career in insurance, it will be critical that you develop a familiarity with forms and applications used in the Agency Management System (AMS). Continue reading for more details on the forms and applications you will be using every day to manage client information.
What Are Acord Forms?
ACORD forms are universally recognized documents that contain information which most, if not all, insurance carriers require be completed in order to provide a quote back to the agency. There are several Acord forms and each serves a purpose specific to the type of coverage that it represents. Of all of the forms, however, one you may often see is the Acord 27.
What is an Acord 27 form?
The Acord 27 form is more commonly knowns as the Evidence of Property Insurance. It is a single-page form used to provide proof of property coverage to another party who has interest in a residential property, commercial property and/or the contents of the property. This will most commonly be requested by mortgagees or loss payees providing a mortgage or loan.
You may wonder if it is important to know how to fill out Acord 27? The short answer is, yes! This form is used in many situations where a client needs to provide proof of property coverage and it is important that you understand the different parts of the form and how to complete the Acord 27.
Let’s take a moment to go over the various sections of the Acord 27 – Evidence of Property Insurance.
At the beginning of Page 1 of the Evidence of Property for, you will be required to provide Agency and Insured Information along with details about the carrier and policy. For the Producer you will need to enter the Agency name and complete address along with the contact phone number, fax number and email address. For the Insured, you will want to be sure to provide the full named insured along with a complete mailing address for the insured. On the right-hand side of this first section, you will need to provide the carrier name along with the address, policy number and the effective and expiration dates of the policy. If you know the loan number for the property for which the evidence is providing proof, you may enter that information in the appropriate box on the form.
If the Evidence of Property form is being issued on a continuous basis, you will check the “continued until terminated” box. If this particular Acord 27 is replacing another, you will need to enter the date when the prior evidence was issued.
Once you’ve completed all of the Agency, Insured and Carrier information, you will move onto the section for the Property Information. In this box, you will need to provide the complete address for the location along with a description of the building. Description should include brief details about the occupancy and use of the building. If the Acord 27 is being used to provide proof for property other than a building, you will want to make sure you describe the contents. For example, if the proof of coverage is needed for a piece of equipment, you will want to provide specifics like year, make, model and serial number.
In the next section of the form, you will need to enter Coverage Information details. You will need to include a description of the coverage provided and causes of loss (ie. Special, Broad, Basic) as well as the corresponding form number. In the two columns on the right-hand section of the form, you will enter the amount of insurance and deductible.
This information should be entered for each building or other property item that is represented on the Acord 27.
Upon completing the Property Information section, you can move down the page to the Remarks area of the form. The Remarks section can be used to list any special conditions that may be part of the policy or for additional comments that may need to be presented to the Acord 27 recipient.
In the last section of the form, you will identify the Additional Interest. This section should be completed with the full name and address of the mortgagee or loss payee requesting proof. You will also need to specify their interest as either a mortgagee, loss payee or additional insured. The loan number should be included if available. The final box on the form is designated for the signature from the agency representative.
An Acord 27 fillable form (as well as other Acord forms like the Acord 125) should be available in your Agency Management System. You can complete the form and then send an Acord 27 PDF to the client to review and distribute to the Evidence holder.
Many (if not all) of the details reviewed will automatically populate in your AMS. This will save you time when completing the Acord 27 form.