RULE VIII – LIMITS OF LIABILITY

Item 3-B of the Information Page

1. Part One – Workers CompensationThere is no limit of liability in the standard policy for Part One – Workers Compensation. The policy provides all benefits required by the Pennsylvania Workers Compensation Law and Occupational Disease Act stated in Item 3-A of the Information Page.
2. Part Two – Employers Liability
   a.  The standard limits of liability under Part Two are:
   Bodily Injury by Accident: $100,000 – each accident
   Bodily Injury by Disease: $100,000 – each employee
   Bodily Injury by Disease: $500,000 – policy limit.

   b.  Increased Limits 
   The limits under Part Two may be increased, subject to the following:
   (1) The limits of liability shall be the same for all states specified in Item 3-A of the Information Page.
   (2) The additional premium for increased limits shall be determined by multiplying the total premium by the percentage in the following Table for Increased Limits. For this purpose, total premium shall be computed after application of any carrier rate but before application of experience rating modification or retrospective rating adjustment.
   TABLE FOR INCREASED LIMITS 

   Statistical Codes	Limited of Liability	Percentage
   	(000s omitted)
   9803	100 / 100 / 1,000	0.2%
   9805	100 / 100 / 5,000	1.0%
   9806	100 / 100 / 10,000	2.0%
   9807	500 / 500 /500	1.1%
   9808	500 / 500 / 1,000	1.3%
   9810	500 / 500 / 5,000	2.1%
   9811	500 / 500 / 10,000	3.1%
   9812	1,000 / 1,000 / 1,000	1.4%
   9814	1,000 / 1,000 / 5,000	2.2%
   9815	1,000 / 1,000 / 10,000	3.2%
   9816	over 1,000 / 1,000 / 10,000	(a)
   9837	All Other	Refer to Table 1
   	(a) Apply to PCRB for higher limit charges

   Table 1

   Bodily Injury by Disease: Policy Limit ($000 Omitted)

   	Loss Limit	500	1,000	2,000	3,000	4,000	5,000	6,000	7,000	8,000	9,000	10,000
   Bodily	100	0.0%	0.2%	0.4%	0.6%	0.8%	1.0%	1.2%	1.4%	1.6%	1.8%	2.0%
   Injury by	200	0.4%	0.6%	0.8%	1.0%	1.2%	1.4%	1.6%	1.8%	2.0%	2.2%	2.4%
   Accident	300	0.7%	0.9%	1.1%	1.3%	1.5%	1.7%	1.9%	2.1%	2.3%	2.5%	2.7%
   Each	400	0.9%	1.1%	1.3%	1.5%	1.7%	1.9%	2.1%	2.3%	2.5%	2.7%	2.9%
   Accident	500	1.1%	1.3%	1.5%	1.7%	1.9%	2.1%	2.3%	2.5%	2.7%	2.9%	3.1%
   Limit and	1,000		1.4%	1.6%	1.8%	2.0%	2.2%	2.4%	2.6%	2.8%	3.0%	3.2%
   Bodily	2,000			1.8%	2.0%	2.2%	2.4%	2.6%	2.8%	3.0%	3.2%	3.4%
   Injury by	3,000				2.2%	2.4%	2.6%	2.8%	3.0%	3.2%	3.4%	3.6%

   Disease	4,000					2.6%	2.8%	3.0%	3.2%	3.4%	3.6%	3.8%
   Each	5,000						3.0%	3.2%	3.4%	3.6%	3.8%	4.0%
   Employee	6,000							3.4%	3.6%	3.8%	4.0%	4.2%
   Limit	7,000								3.7%	3.9%	4.1%	4.3%
   ($000	8,000									4.0%	4.2%	4.4%
   Omitted)	9,000										4.3%	4.5%
   	10,000											4.6%

   (3) The premium for increased limits shall be subject to any experience rating modification, merit rating, deductible credit or retrospective rating. The premium for increased limits on non-ratable classifications is not subject to any experience rating modifications, merit rating and retrospective rating

   c.  Accident Limit 

   The limit of liability under Part Two for Bodily Injury by accident applies to all bodily injury arising out of any one accident.

   d. Disease Limits

   The limit of liability under Part Two for Bodily Injury by Disease – each employee – applies as a separate limit to bodily injury by disease to any one employee and the limit of liability for Bodily Injury by Disease – policy limit applies as an aggregate limit for all
   bodily injury by disease, regardless of the number of employees who sustain bodily injury by disease.

   e.  Show Limit on the Information Page

   A limit of liability under Part Two must be stated in Item 3-B of the Information Page.

1. Standard Limits
   The standard limits of liability under Part Two Employers Liability Insurance for employees subject to voluntary compensation insurance are:Bodily Injury by Accident: $100,000 – each accident Bodily Injury by Disease: $100,000 – each employee Bodily Injury by Disease: $500,000 – policy limitThe limit of liability for Bodily Injury by Accident applies to all bodily injury arising out of any one accident. The limit of liability for Bodily Injury by Disease – each employee – applies as a separate limit to bodily injury by disease to any one employee and the limit of liability for Bodily Injury by Disease – policy limit – applies as an aggregate limit for all bodily injury by disease, regardless of the number of employees who sustain bodily injury by disease.
2. Increased Limits
   a.  The standard limits under Part Two Employers Liability for employees subject to voluntary compensation insurance may be increased.b.  The premium for the increased limits shall be determined by using the Table in Rule A. 2. b.
3. Premium DeterminationPremium shall be determined on the basis of the workers compensation rules, classifications and the PCRB rating values in this Manual for the state workers compensation law designated in the schedule in the Voluntary Compensation and Employers Liability Coverage Endorsement.
   
   
4. Payroll records When voluntary compensation insurance is provided for a group of employees, separate payroll records shall be maintained by the insured for the designated group of employees.