What it does
CA 99 44 is ISO's loss payable clause for commercial auto physical damage. It names a lender or other party with a financial interest in scheduled covered autos to receive physical damage loss payments along with the named insured. Lenders financing vehicles require it as a condition of the loan. The current edition is 10 13.
Who needs it
Businesses that finance vehicles through banks, credit unions, captive finance companies or equipment lenders.
Key points
- A loss payee is not an additional insured. If a lessor also needs liability protection, use CA 20 01 Lessor – Additional Insured And Loss Payee instead.
- For added audio, visual and data electronic equipment limits, the separate loss payable clause is CA 99 61.
Quoting notes
Schedule the exact lender name and address from the loan documents and the vehicle identification numbers. Check the loan agreement's insurance requirements (coverages, maximum deductibles) before sending evidence of insurance.
