CoVerica

Bringing Value To The Marketplace

CoVerica of Dallas, TX has been named Independent Insurance Agents and Brokers of America (IIABA) Best Practices Award winner for seven consecutive years.

Written by Kevin Doyle Produced by Stephen Marino

Founded as a generalized insurance agency by CEO Mike Sterlacci in 1983, CoVerica of Dallas, TX has worked tirelessly to build a sterling reputation for its accountability, an unfailing commitment to service and the ability to develop longlasting relationships with its clients.

“In a nutshell, that’s what CoVerica represents,” says Executive Vice President Ron Thompson, who joined the company in 1996 and manages its Heavy Construction Unit. “We have good people here and great camaraderie. We always treat others the way we would to be treated ourselves and we’re always seeking ways to help our clients. We strive to make a difference in both peoples lives and the marketplace.”

A closer look reveals the company’s name is actually an acronym for the values it has adhered to from the start: (C)ustomer #1, (O)pportunity, (V)alue, (E)ffective, (R)espect, (I)ntegrity, (C)ommunity, (A)ccountability.

The company maintains three locations in Texas and Florida, serves businesses and families in 37 states, employs 115, partners with hundreds of carriers and amassed approximately $300 million in written premiums last year. As a “

committed community partner, CoVerica also supports an array of charitable initiatives.

CoVerica’s 97.88% customer satisfaction rating ranks among the industry’s highest and the company has been named Independent Insurance Agents and Brokers of America (IIABA) Best Practices Award winner for seven consecutive years.

Thompson earned recognition as a “Top 35 Producer” in the December 2020 edition of the Texas Construction Association newsletter for his expertise in securing higher premium discounts for construction clients. He teaches a company course “Cranenology” as it relates to coverage, risk management and claim scenarios for the crane and rigging industry.

“Ron’s approach to risk mitigation and developing custom client insurance solutions is unrivaled in the industry and the benchmark of how we go to market as an agency,” John Sutter, CoVerica’s

“Pick the industry you really want to be in and get as much training as you can in that industry . . . Clients are impressed when you know their operations and there’s a lot of disconnect if you don’t.” - Ron Thompson, Executive VP

President, said in a press release announcing the recognition.

Day To Day Operations

Thompson notes that the company’s long-standing membership in the Specialty Crane & Rigging Association (SC&RA) has been a key component of CoVerica’s success.

“The networking is awesome. We attend the annual conventions and workshops and see members from across the country along with international members. As an advocacy group they represent our interests and meet with policymakers on increasing favorable regulations. They have webinars, workshops and educational tools. Being a broker, we try to grab as much of that information as we can and give it back to our

“Pick the industry you really want to be in and get as much training as you can in that industry . . . Clients are impressed when you know their operations and there’s a lot of disconnect if you don’t.” - Ron Thompson, Executive VP

clientele,” he explains.

While Thompson’s mornings are spent studying the news of the day, catching up on emails, and conducting Zoom meetings with internal personnel, carriers and clients, his afternoons are varied.

“The afternoon is always a new day and, first and foremost, it’s always the client that dictates our priority. Every day is different in regards to situations that come up and that we have to respond to in a timely fashion,” he says. As a specialty niche agency, Thompson says the company’s laser-focus is absolute whether it is working with current clients or pursuing prospective accounts. Thompson estimates he has personally handled more than 3,000 claims during his time with the company.

“I always say ‘Whatever client you’re going after, you become one of them.’ Understand and educate your staff as much as you can about them. When I walk out to a crane and rigging account, I can pretty much tell you anything

about the insurance part, probably about the OSHA part and probably about the operator certification part. We really understand the business and what the industry does. And we know that [individual] business inside and out,” he stresses.

The same approach holds true when working with service providing vendor-partners.

“We make sure they understand our business, they understand the coverage, they understand the claims management, and they understand the risk management,” Thompson says. “We interview partners and carriers to make sure they’re on board with what we’re doing. When we partner with someone, it’s a rigorous vetting process we go through to make sure they truly understand the process.”

Primary Challenges

Increasing pressure on rates, especially in the commercial sector, caused primarily by larger jury awards – or nuclear verdicts – is a continuing area www.constructorsjournal.com

“There has been pressure for three or four years now so we’re maybe looking at reduced capacity. The other issue is that we’re seeing larger jury awards and judgments in excess of $10 million and there’s been a 10-fold increase here in Texas in the last eight or nine years. So the size of judgments has resulted in increased rates and a hardening of the marketplaces,” Thompson says.

Looking Forward

CoVerica has established itself as an industry leader throughout its history and that pursuit of excellence will continue. The company is actively seeking to purchase small- to medium-sized agencies or books of business in Texas and the surrounding states.

Additionally, Thompson notes that many of its clients have continued working through the C-19 pandemic and that the business has proven itself to be recessionproof, having emerged from the downturn of 2009-10 essentially unscathed.

His advice to those at the start of their careers?“Pick the industry

NO ONE LIKES INSURANCE, BUT THEY LIKE US

“We have developed a great partnership over the years with CoVerica. Their dedication and knowledge of our industry is very important to us as it relates to coverages and risk management.”

Craig Nash, Safety Director, Alamo Crane

INDUSTRY KNOWLEDGE RISK MANAGEMENT MARKET ACCESS

Visit us at coverica.com/cranes

“We’re seeing larger jury awards and judgments in excess “of $10 million . . . the size of judgments has resulted in increased rates and a hardening of the marketplaces.” - Ron Thompson, Executive VP

you really want to be in and get as much training as you can in that industry. If you want to be a Crane Insurance broker, get your crane insurance license, go to certification schools, attend classes, and attend webinars. Build up that resume as much as you can on the industry side and make selling the product a lot easier. Clients are impressed when you know their operations and there’s a lot of disconnect if you don’t,” he concludes.

It’s an approach that has served CoVerica well throughout its history.

COMPANY INFORMATION

Company Name: CoVerica

Country: United States

Industry: Insurance (Construction)

Est: 1983

Premier Services: Provider of

personal and commercial

insurance products and risk

management solutions.

CEO: Mike Sterlacci

President: John Sutter