1. Forms
2. CU
3. CU-22-35

What the form is

CU 22 35, titled "Motor Carriers–Insurance for Non-trucking Use," is an endorsement to the ISO Commercial Liability Umbrella Coverage Form (CU 00 01). Its primary purpose is to extend umbrella liability coverage to a motor carrier for activities not related to hauling goods for a trucking company under whose authority they are operating. This typically covers situations like "bobtailing" (driving a tractor without a trailer) or "deadheading" (driving a tractor with an empty trailer) when not under dispatch. The endorsement achieves this by modifying the "Who Is an Insured" section and adding specific exclusions to restrict coverage solely to these non-trucking exposures for vehicles listed on the endorsement schedule.

Classes of business it applies to

This endorsement is specifically designed for:

• Independent owner-operators who lease their services and trucks to motor carriers.
• Motor carriers that have vehicles used for non-trucking purposes.

Real-world example: An independent truck driver, after delivering a load for "ABC Trucking" and being released from their dispatch, drives their tractor home. During this personal trip, if an accident occurs, the CU 22 35 endorsement on their umbrella policy (along with a similar endorsement on their primary auto policy) would provide coverage, as they are not operating under ABC Trucking's authority at that moment.

Special considerations

• Underlying Coverage: It is crucial that a similar "non-trucking use" endorsement, such as CA 23 09 (Motor Carriers–Insurance for Non-Trucking Use), is present on the underlying primary commercial auto liability policy. The umbrella endorsement is designed to follow the non-trucking nature of the primary coverage.
• Coverage Gap Prevention: This endorsement helps fill a potentially significant coverage gap for truckers, as the motor carrier they are leased to typically only provides insurance while the trucker is operating under their dispatch and authority.
• Edition Changes: The 09 18 edition of this form included changes to its title (from "Truckers" to "Motor Carriers") and formatting. The core function remained similar.
• State Applicability: This is a standard ISO form, but its adoption can vary by state. For instance, an older version titled "Truckers--Insurance For Non-Trucking Use" was noted as not applying in Michigan. It's important to verify state-specific applicability or any state-specific endorsements that might supersede or modify it.

Key information for agents and underwriters

• Risk Assessment: Underwriters should confirm the nature of the insured's operations, specifically the extent of non-trucking use, to ensure this endorsement is appropriate.
• Coordination of Coverage: Agents must ensure seamless coverage between the primary auto liability policy and the umbrella policy. Both should have corresponding non-trucking use endorsements to prevent gaps.
• Clear Definitions: Clearly explain to the insured what constitutes "non-trucking use" versus "trucking operations" to avoid misunderstandings at the time of a claim. Trucking activities (i.e., operating under dispatch for a motor carrier) are excluded by this endorsement.
• Scheduled Vehicles: The endorsement applies to vehicles scheduled on the endorsement, and these should align with the vehicles covered for non-trucking use on the underlying policy.
• Pricing: The premium for this endorsement should reflect the reduced exposure compared to full trucking operations, as it only covers the incidental non-business use.