e-Insight - June 2022 by Big I Illinois

JUNE 2022

INSIGHT

Influencers in the

Wild

Plus

Industry Trends The Transformation of Personal Lines

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June 2022

Advertising - Tami Hubbell

CONTENTS 10

Independent Agents Face Steeper Competition as Carriers Release Captive Agents

Game-Changing Trends in 2022 for the Future of Insurance

18 22 25 32

By Joel Zwicker

By Denise Garth

Influencers in the Wild - Part 1 The Internet of Things Could Transform Personal Lines By Nationwide

Helping Your Clients Navigate Home and Auto Trends By Jeff Rommel

Save the Date for CONVO 2022

In This Issue

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Trends What trends are the most prevalent in the near future? When asked to write this article, I thought of tight rolled jeans, double-layered polo tops, swatches, acid-washed jeans, leg warmers, Walkman, parachute pants, arcades, etc… I went full nostalgia in my trip down memory lane. If you remember half of these things, you have to wonder how we made it this far. You look around and quickly realize that most of these things have come back around. But I would categorize these as fads and not trends. Fads last a short time and may circle back around, such as tight-rolled jeans. Trends change behavior or the way we do things and have a much longer life span. An example of a trend would be cell phones which have moved us away from landlines for the most part, but watches are trending on the horizon, which could replace cell phones (too early to call). Trends drive investments in some ways. Everyone is trying to guess the next trend and capitalize early. Recent trends include online shopping (Amazon), electric cars (Tesla), internet search engines (Google), streaming (Netflix), and handheld technology (Apple), to name a few. Those that guessed wrong are Beta Max, Laser Disc and video tapes, CDs, and Blu-Ray. While some had a long run before they failed, they were all swallowed up by the swift development of newer technology. This points out that trends can be shorter-lived but still play a significant role in the make up of businesses. Those who don’t evolve and/or adapt will fail, and those who do will thrive. Many brickand-mortar stores have developed online ordering and pick-up. What are the trends we are seeing in insurance? Don’t say higher premiums (even though it is true). Artificial Intelligence or intuitive programming that boosts effectiveness and efficiency in claims and underwriting processes is most likely here to stay and evolve considerably. Big Data has been on the scene for a while, but companies are just now realizing its true potential, and this is an area that may expand the most in the near future. This involves sensors in autos which just about every major P&C insurer utilizes, and more and more, we are starting to see it in sensors in the home. Embedding insurance into products will happen more and more due to convenience and pricing factors. Lastly, the Cloud will integrate all of the above trends in one place. Insurance solutions will be at the leading edge of trends. How do we get coverage to people where and when they need it? We are already seeing on-demand drone coverage, which could translate to other products. Speed to market will be critical for insurers, and the most nimble insurers will be the most profitable. How do we cover scooters provided to citizens for use by municipalities, solar power exposures, in-home businesses (better coverage), and soonto-be self-driving automobiles, to name a few? As agents, we need to stay ahead of these trends by partnering with industry-leading companies and staying educated on the upcoming trends to serve our clients better. We can no longer ignore the technology wave as it

Brett’s 2Sense is the leading factor in upcoming trends. We have to step out of our comfort zones and become a part of the solution and not the problem by partnering with the companies to identify trends. No one is better suited to identify trends than the local agent as we are uniquely positioned on the front lines and directly see how and what our clients need/ want. We can no longer sit idly by and just do business as usual, or we will get left behind. We have to find some way to add value and integrate ourselves into the new emerging trends to provide our clients with a level of service that meets their expectations. Do not give a client a reason to replace you in the value chain rather than becoming an integral part of the value chain. So as I sit here in my tight-rolled jeans with my double polo shirts contemplating the agent’s future role, we need to be a trend and not a fad. A mentor once told me to play the long game and not the short game. With every pivot you make, analyze what it will look like in a year, three years, five years, ten years, etc… If it will still be relevant in 10 years, you will have a better chance of survival. Don’t be afraid to take chances, as some of the companies that made Beta Max, VCR tapes, and CDs transitioned to streaming. They were nimble and pivoted quickly as we don’t need people to move from Beta Max to Super Beta Max. Recognize the new emerging trend and pivot early, and do not go down with the ship as captains are taught to do as the ship is your agency. Change your ship or reconfigure it so it is not doomed to sink. Ensure that your ship is the one everyone wants to ride on. The way you do this is to identify trends and not fads. Those who do this the best will be here a long time with a ship to pass onto someone else to captain. So I got on Tik-Tok, and no one tagged me. I will give everyone a second chance to let us see those creative TikToks. The first five people to produce a creative Tik-Tok and tag me @brettgerger will receive a Starbucks gift card. Should you have any questions regarding this issue, do not hesitate to reach out to me directly. As always, this is just Brett’s 2 Sense and I hope it was helpful. If you need any clarification or have any suggestions for future articles please email me at bgerger@iiaofil.org.

Brett Gerger | IIA of IL Director of Education & Agency Resources bgerger@iiaofil.org | (217) 321-3006 june 2022

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june 2022

industry | INSIGHT

Report: Insurance Professionals Provide Insights on State of the Industry, Employment Trends and Technology Latest Vertafore survey of independent agents and MGAs highlights impact of Great Resignation and desire for technology that saves time, connects agents to their clients.

By Vertafore

Vertafore®, the leader in modern insurance technology, today released its annual insurance workforce survey report, titled “The Insurance Agency Workforce: Evolving into the next normal.” Based on responses from more than 1,300 insurance professionals, the report includes insights on how independent agencies and MGAs responded to the Great Resignation, what attracts individuals to the insurance industry, factors that can keep employees in seat and how workers feel their agency is responding to technology modernization. Findings from Vertafore’s fifth annual report include: • One in five insurance professionals reported changing companies in 2021, and financial considerations such as salary and bonuses were key drivers.

Survey responses show that the insurance industry is populated with people who are committed to their clients and community. While insurance was not immune to the Great Resignation, many agencies have been proactive about making changes to keep their talent. And insurance professionals are optimistic about technology advancements, but also feel their agencies have room to improve. Download the full report here: https://www.vertafore. com/sites/default/files/documents/WhitePaper-InsuranceAgency-Workforce-2022.pdf. Vertafore is an InsurTech leader modernizing and simplifying the insurance life cycle so that customers can focus on what matters most. For more information on Vertafore, go to www.vertafore.com.

• In the face of staffing challenges, nearly 80% of agency owners and principals reported making changes to retain their employees, including increasing compensation, offering flexible schedules and adding remote work options. • As in previous years, most respondents (78%) would recommend a career in insurance. However, that number dipped by 7% compared to 2020. • Women made up more than 60% of all respondents but comprised less than 30% of those who identified as an owner or principal. • While three-quarters of survey-takers felt InsurTech has had a positive impact on their agency in the past two years, more than half also said their agency could do a better job staying up-to-date with tech advances. • Insurance professionals want more time in their day to work with clients and identified automation and client digital engagement tools as the two most significant modernization trends for agency growth.

june 2022

insight

Independent Agents Face

STEEPER COMPETITION as Carriers Release Captive Agents

By Joel Zwicker

In the summer of 2020, Nationwide, one of the country’s largest carriers, completed the 18-month transition and released its captive agents to fully independent status. Nationwide realized its customers wanted the choice that only independent agents could provide. They now partner with more than 11,000 of these insurance professionals.

The old-school methods of acquiring customers, while still relevant, must be accompanied by modern approaches. Personal meetings, word of mouth and local advertising are still tactics used by independent agents across the country, but return is lower and the cost in time and money are higher than ever.

The pressure cooker has been turned to full blast. Every newly minted independent agent that was a prior captive agent is scouring the market for customers. And today’s insurance customers—who are less likely to be brandloyal, more likely to want to conduct business on their own terms and their own time, and are constantly researching to find better deals - are ripe for the picking.

New technologies that allow independent agents to offer personal connections and build relationships that also scale without prohibitive cost are essential to building customer portfolios and revenue growth. With more competition entering the market, getting acquainted with modernized methods can give independent agents a leg up.

Why are carriers changing after years of working with company-committed agents? We have all watched as historically low interest rates have laid waste to the industry’s ability to grow its accrued revenues over the past few years. Then, COVID-19’s devastating blow has forced carriers to reexamine their traditional business models. Further, captive agents, while well versed in the carrier’s offerings, have a high overhead cost. The captive agents’ market share has been steadily decreasing over time, for personal but especially commercial policies, according to the 2020 Market Share Report from the Big “I.” Nationwide was one of the first large carriers to release its captive base, but it won’t be the last as other carriers look for ways to go leaner. While 99% of the former Nationwide agents plan to continue to partner with the company, these new independent agents are also free to sell other carriers’ products. Already a highly competitive field, all independent agents can expect the competition to only continue to grow down the road. 10

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The positive side of all this increased jostling for customers is that, for one, geography no longer matters - business can be done from anywhere. Who you attract is more important than where they are physically located. The right digital marketing tools can help independent agents differentiate themselves from the competition and secure customers who are poised to buy insurance. Yesterday’s insurance consumers tended to stick with one provider throughout their life journeys. The local neighborhood agent who served them often provided insurance to their parents and even grandparents. Heavy advertising campaigns and competing on price points kept people from shopping around, but the landscape today is very different. Competing on price point alone is a risky maneuver - one might sell a few more policies but will ultimately trend to lower profit margins over the long term. What can independent agents do to meet the increased challenges and stand out in a crowded field? The first step is to assess your client acquisition methodology and define your unique expertise and value. In today’s noisy marketplace, agents who cut through the static and establish a strong personal brand will have a powerful edge. A concerted effort to build one’s thought leadership credentials, showcasing expertise and offering june 2022

personalized information to customers and new prospects, creates the kind of relationships that inspire loyalty, crossselling and insurance-bundling. Another advantage for independent agents is that when a carrier has a steep increase in premium costs, they can find alternatives for their customers, cementing that relationship. Carriers with foresight that want to sell more policies will cultivate relationships with independent agents who produce for their brand. Carriers need to support independent agents with marketing technology that gives them deep familiarity with the products and incentives to shape policies to customer needs. Although the longtime behemoths who’ve built a century of brand and agent armies will likely be around a while, the era of the captive agent is very likely in the rearview mirror. In today’s market, multi-distribution channels are required for all large carriers, including a technologysupported independent agency channel.

june 2022

Customers want more choices in how they pick and choose insurance, and they want to do their transactions in their own time and across their preferred medium. They expect a polished digital communications strategy with all their vendors, including insurance. Independent agents who are bold in building their own brand and use smart marketing tools that allow scale are well-positioned to meet the challenge of finding and securing the right prospects, especially as the market becomes flooded when carriers release their agents. Joel Zwicker is insurance evangelist at Agency Revolution and formerly an insurance agent at one of Canada’s largest independent insurance agencies. He now works to provide independent insurance agents the best marketing tools for their unique needs.

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Game-Chang

Trends

Future o

Change and disruption are constants in today’s world, but they continue to gain intensity and breadth across the industry. Insurers will continue to face bottom line challenges due to rising inflation, low interest rates, increased regulation, plus increased risks from the pandemic, cyber and climate shifts that are already making an impact. These myriad issues joined with the tectonic forces of customers, technology and shifting market boundaries that we have discussed are driving foundational change to the insurance industry. The year 2022 is already feeding us game-changing scenarios that will accelerate change and create significant opportunities for those prepared to meet the demands of a new generation of dominant buyers, changing risks and rapid adoption of technology by customers. The viability of the insurance industry is vitally connected to these customers. If we lose touch with them, both current and future, we lose business. Here are key trends you must be prepared to respond to in 2022 to meet the demands of a fast-changing customer and marketplace.

Implication: This creates new demand for employee benefits to be flexible and portable and the need for insurers to develop relationships with employees directly to keep them as customers as their lifestyle changes. Trend: The younger generation is keenly interested (80%) in pricing based on driving behavior and miles driven. They are also interested in services that provide real-time information on driving safety and performance, keeping their vehicle safe and maintained, maintaining license and registration renewals, and knowing the market value of their vehicle. Implication: The demand for UBI auto insurance, as well as new value-added services will redefine the competition, customer loyalty and market leaders. Trend: Use of digital payment apps grew with Millennials & Gen Z using Apple Pay/Samsung Pay at 53%, company apps (Amazon, Starbucks) at 73%, digital wallets like Zelle and Venmo at 68% and Bitcoin at 25%.

Millennials and Gen Z as the dominant buyer (individuals & business owners) will shift insurer loyalty.

Implication: In order to align to this new generation’s use of money, insurers must support a broad array of digital payment options – both for paying premiums as well as paying out claims.

Millennials and Gen Z are now the dominant buyers for insurance. They do not follow the traditional life and purchase patterns set by older generations. They are new ground. They have different insurance needs and greater expectations. In our latest research, we found they have shifted in the types of insurance products needed, increased desire of value-added services and expectations for personalized underwriting, leveraging new data sources including IoT devices. These shifts will drive demand for new, innovative products and services. Some highlights:

Digital Transformation will focus on faster, better, and smarter customer engagement.

Trend: Millennials & Gen Z are clear-cut leaders in the use of connected/smart home devices like thermostats, smoke/ CO detectors, video doorbells and home security devices/ services, outpacing Gen X & Boomers up to 63%. Implication: Demand for IoT-based insurance that includes value-added services to help reduce or eliminate risk will intensify. Trend: Millennials & Gen Z expect to be in different jobs (45%) and working remotely (40%) over the next 3 years and 25% will start a new business, continuing the transient aspects of this generation. 12

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The rapid adoption of digital technologies for shopping, payments and banking by home-bound customers has led to an upset in the balance of power between entrenched incumbents and new challengers in InsurTech and FinTech. Like the compressed and accelerated changes in customer behaviors, the magnitude of the shifts in market power seen during the pandemic are accelerating. Customers are driving the digital shift, creating for insurers an “outside-in” view, where they must move away from a transaction focus to create holistic, compelling experiences. Insurance companies must reinvent themselves and deliver customized products and highly personalized services to meet new expectations from customers and keep in step with new digital leaders. More importantly, the desire for a holistic customer experience – where digital offerings bring together other products and services to help customers manage their lives – has intensified. Leveraging data with AI/ML to know, assess and engage customers is crucial for “smart customer june 2022

nging

s in 2022 for the

e of Insurance

engagement.” Likewise, “better engagement” that will bring together a full view for customers across their insurance products, value added services and non-insurance products is increasingly expected – but often not delivered. This leaves a gap between customer expectations and what insurers are delivering – shifting alliance and loyalty to insurers who can meet these expectations. Just consider these two interesting approaches: • Google “Plex” checking and savings accounts directly integrate into the Google Pay app; Google cloud services includes cyber insurance from Munich Re and Allianz. • Sofi, an online lender and bank, now offers access to insurance from Ladder Life, Lemonade and Gabi as well as other financial services across life, health, wealth, and wellness. Undertaking digital transformation begins with customercentricity. A true customer-focus will drive insurers to deliver the capabilities that create great customer experiences and generate brand excitement. To do so, you need to bring together next-gen core insurance systems, digital experience platforms and an ecosystem of other digital capabilities, such as chat bots, artificial intelligence and new data sources. The ability to channel these capabilities requires the adoption of a modern architecture that supports easy, rapid integration through microservices or APIs running in the cloud to drive speed to implementation, speed to market and speed to value, at scale. Next Gen leaders see the market and technological trends as a many-fold opportunity for insurance. Now they have the evidence they need to incorporate new sources of data, reach new market segments, offer innovative new products that are necessary and demanded by customers - creating faster, better, and smarter customer experiences.

Leaders distinguish themselves with a stronger focus on initiatives instrumental to creating new business models, expanding distribution channels, entering new markets, adding valueadded services and developing new products by leveraging technology as a foundation and catalyst for innovation.

june 2022

By Denise Garth Embedded Insurance becomes the next battleground to acquire and retain customers. In this digital era of insurance, nearly every insurance process is rapidly becoming digital and frictionless, including buying. The benefit of adapting to this dynamic is that we move from needing to “sell” people on purchasing insurance, to introducing insurance that is ready to be “bought” seamlessly at the point of need, creating a scalable, sustainable business model. This is where embedded insurance thrives. It’s an extremely effective way to overcome the decades-long burden that has plagued the industry: Insurance is sold, not bought. Embedded insurance completely changes this paradigm. Embedded insurance bundles coverage or protections within the purchase of a product, service or platform. That means the insurance product is not sold to the customer ad hoc, but is instead provided as a native feature. With it, insurance is no longer sold, because it is bought as a part of something else. Embedded insurance has a growing market presence with new players and through partnerships between insurers and other industries, including GM, Ford, Tesla, SoFi, Petco, Outdoorsy, Airbnb, Uber, Intuit, Zipcar and its adoption continues to accelerate. It is estimated that for P&C, embedded insurance could account for over $700 billion in premiums by 2030, or 25% of the total market worldwide. If we include aspects of life and health coverage, embedded insurance could create over $3 trillion in market value for those who enable it. As noted by a venture capitalist: “Google, Microsoft, Amazon, Wal-Mart, and Tesla in insurance. Toothbrushes that help underwrite dental products. Individual and family health programs that are sponsored and subsidized by insurers. Hearing about and buying policies through the apps and people we engage with the most. All of these and other facets of embedded insurance reflect an ocean of new innovation and excitement in the industry. Ultimately, if we believe that more options are better, leading to quality policies at lower prices rather than coverage we don’t need, embedded insurance will drive the most important change to how we feel about and deal with insurance.” continued...

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The real value of embedded insurance… is a sustainable business model, where instead of perpetually fighting for prospects and leads, we are perpetually making insurance easier and more appealing to buy. Imagine the market reach and optimized business model that can challenge the status quo.

Technology and innovation redefine leaders. Anyone would agree that innovation and disruption are related topics. Innovation deals with creating an entirely new approach that adds value to something. Disruption deals with accepting the reality that something new will likely change our current approach. Leaders distinguish themselves with a stronger focus on initiatives instrumental to creating new business models, expanding distribution channels, entering new markets, adding value-added services and developing new products by leveraging technology as a foundation and catalyst for innovation. From next-gen SaaS core to AI/ML, digital ecosystems, low code/no code platforms, to new digital solutions, technology is beginning to reshape the market. Jim Gillard, Executive Vice President & COO, AM Best, sums this up succinctly. “Structural shifts - demographic, technological, economic and environmental - are redefining the insurance industry. Innovation can be away for an insurer to rise above these challenges…As innovation becomes more pervasive, insurers that don’t innovate can expect to find themselves at a disadvantage through adverse selection and worsening operating efficiencies.” Leaders are differentiating themselves in the use of technology to fundamentally change the business operating model and innovate – two key aspects tracked by AM Best in their innovation ratings. Last year, our Strategic Priorities 2021 research found a widening gap between Leaders and others with a gap of 102% and 28% for Laggards and Followers respectively over the next three years. This gap was nearly in alignment with AM Best mid-year assessment where the gap between prominent/leader to minimal was 133% and to moderate/ significant was 27%. We expect this gap to continue. Yes … technology and innovation are redefining insurance leaders.

FinTech Influences InsurTech: Future Role of Insurers Banking and securities rather than insurance have traditionally led the financial services sector in technology and innovation. In 2015, InsurTech emerged from FinTech with a bang, driving innovation and the use of technology. In 2022, we will begin to see an even greater influence of FinTech on InsurTech, redefining the future role of insurance within the broader financial service market. A few areas to consider:

financial products and services across insurance, wealth and banking to their customers, creating new business models that bring together different offerings for an overall customer experience. • Changing trust levels in financial services, including insurance, have shifted due to new brands and experiences. Companies that enable white-label or cobranded financial services through partners can build on the increasing trust in other brands to distribute their products. • The adoption of next gen technology that accelerates digitization, including automation and APIs, and ability to scale puts embedded finance/insurance within reach for companies. The “as a service” infrastructure solutions and partnerships will serve their massive customer bases. Insurers will need “as a service” capabilities to play. To meet changing customer demands and to remain competitive where industry boundaries are fading away, development of “as a service” solutions will become an essential competitive advantage to beat current and future competition, allowing them to penetrate deeper and more broadly. For decades, the creation and evolution of insurance markets and products unfolded at a slow and steady pace. Insurance and other industries stayed within their swim lanes. Insurers’ technology, data and processes were adapted to take advantage of these opportunities – sometimes through technology updates, extensive customization or through new technology. But today, this business model and technology are unresponsive to market shifts or opportunities. One thing is for sure - the insurance landscape has changed exponentially over the last 7 years due to InsurTech and it has accelerated the last two years due to the pandemic. We now have a new generation of dominant buyers who look at everything differently and will put change into a higher gear --- looking to embedded insurance, new customer experiences, new payment options and much more.

Technology and innovation will be mandatory to adapt and survive. Are you ready? This article originally appeared on the Majesco website. You can view the article in it’s entirety, including citations, at www.majesco.com/game-changing-trends-in-2022-forthe-future-of-insurance. Denise Garth is Chief Strategy Officer responsible for leading marketing, industry relations and innovation in support of Majesco’s client centric strategy, working closely with Majesco customers, partners and the industry.

•Demand for financial well-being across all financial products will rise as people navigate new work, financial, lifestyle, risk, asset accumulation and retirement expectations. To respond to this demand, new FinTechs and other businesses will provide a broader array of june 2022

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20 Years and Counting Unlike many other carriers, West Bend believes in the value of long-term relationships. That’s why many of our personal lines underwriters, like Sarah, have worked with their agents for so long. Sarah’s agents trust her knowledge, making it easier for them to do business with West Bend. And that makes the relationships that much stronger.

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online journal at www.iiaofil.org/Resources/Insight

JU N E 20 22

INSIGH T Influencers in the

Wild

Plus

Indust ry Tr en ds T he Tr of Per ansfor matio sonal Lines n

Becoming a BROKER OF CHANGE By Nationwide

In this month’s e-Insight. june 2022

insight

Influencers in the

Wild Part 1

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june 2022

Insight had the opportunity to sit down with some “influencers” in the insurance industry and discuss topics impacting our business. We received some great answers from Bradley Flowers, Derek Hayden, Syd Roe, and Olivia Schmitt.

Bradley Flowers

Bradley Flowers is a nationally recognized insurance agency owner and business enthusiast. He runs the day-to-day operations at Portal Insurance in Mobile, Alabama, a scratch independent agency he founded and is building on the back of social media, personal branding, content, and technology. Bradley is the co-host of the “Insurance Guys Podcast,” one of the most listened to podcasts in the industry.

Derek Hayden

Derek Hayden is a certified risk architect & certified benefits and wellness advisor for Dansig Insurance Risk Advisors in Shelbyville, Illinois. He is the winner of the The Protégé Reality Show and also hosts the Central Illinois Business Leaders Podcast.

Syd Roe

Syd Roe is extremely passionate about one thing – helping the independent agent compete in the wild wild west of digital transformation. Her work at TrustedChoice.com, Agency Nation, b atomic, and now as director of agency marketing for Vertafore, has inspired thousands of agents across the country to embrace content marketing, social media, & video; craft a tech-stack unique to their operation; and weaponize their data.

Olivia Schmitt

Olivia Schmitt is the operations manager for Catalyit, the “go-to” technology resource for independent insurance agencies. Olivia has held a variety of roles in the industry, including working on the agency side and on the InsurTech side of the business. Her “Monday Magic” videos on LinkedIn dive into a variety of topics and struggles we all face as professionals. Here is part one from our conversations with this multi-talented group. We talk about you being an “influencer” in this industry, but you may not see yourself that way. However, people in insurance listen to you. Why do you feel that’s the case? Flowers: I hate the word influencer, but I think people listen to our podcast because we are not scared to say what we think. I believe I have agents’ best interest in mind 100% of the time, even to the detriment of myself. I really try to champion the agent’s cause with whatever I involve myself in. Hayden: Participating in Season 1 of The Protégé was big for me. Not just being on the show but being able to use the tactics we worked on to actually grow business. I think some people listen to me because I try to provide real world implementation and do something different. I don’t think it’s mind blowing, but I do try to share unique ideas and help people change directions. Roe: I would hope it’s because I want them to listen to themselves and challenge them to think about the status quo. It will take more than one person to move this industry, so the more we have involved the better. Schmitt: I’d like to think people listen because I started at square one. I have worked in all different parts of the industry, and I’d hope my journey helps people see all the opportunities in insurance through the organizations and roles I’ve been involved with.

Collaboration is a big reason people love being an independent agent. Why do you feel the independent space has been more open to helping their “competition”? Flowers: Independents are keener on sharing because there is abundance in this industry. We can insure anything, and you can basically do it how you want. Coming from the captive side, we started our podcast and began by interviewing independent agents – because they were willing to share. Now that I’m an independent, I see more opportunities to share and don’t see the real downside. Hayden: There are so many opportunities, I don’t think we’re really competitors in most cases. As independents, we’re free to choose what we want to focus on writing. You can be an agent specializing in P&C, life, Medicare supplements, etc. There are also thousands of agencies, but no two are really the same. I think most of want the whole industry to be better, so we’re willing to share. Roe: Because we have the David versus Goliath story. The real competition isn’t other independents, or even the direct writers in some cases, it’s the big boys with big budgets like Google, Amazon, and others that want to get into this space. Many of the agent associations have also made us stronger and helped us understand the role of “competition” versus collaboration.

continued...

june 2022

insight

Schmitt: When I first started, I felt like everyone was “locked in” to their space. Now I think in the past few years we’ve seen an expansion of people coming into this industry and looking outside of their four walls to find answers for the problems we’re all facing. We all want to stay relevant, meaningful, and exciting as an industry. We all want fresh ideas. Agents are still competitive, now I think they’re just more open to being a “thought partner” in this industry. The economy is changing. Carriers are changing. What is the constant right now? What is going to make a difference for agencies in the immediate future? Flowers: We have to be willing to accept to the change. Change doesn’t always mean progress, but progress means we have to change. Hayden: It’s about a sales perspective in my opinion. We have to stop the focus on price, it’s solutions that make the difference. Lowest price isn’t a sustainable strategy, and the economy will wear on business owners. When it does, 5% isn’t going to help a business whether the storm. We need to focus on lowering their cost of risk. If we provide value and solutions we’ll all come out ahead. Roe: Consumers desire for a relationship is the key, that has not changed. A client can’t build trust with a bot, they need someone they believe will keep their promise when something happens and they need their insurance to respond. Schmitt: The saying that “change is the only constant” is kind of irritating – but it’s true. It’s great to be a big picture thinker, but you have to also see what’s right in front of you. Your 5 and 10 year goals are key. You need a strategy, and you need the tools and technology to get you there. You need to be involved in getting a “finger on the pulse” of what can help your agency. Join groups and get ideas that can help you create your “roadmap” to success. You need a plan to help you from being distracted. One of Steve Anderson’s favorite sayings is, “You have to be able to separate opportunity from distraction.” Anything outside of your core goals is a distraction. Agency workflow is a huge topic right now. What are you seeing that is really impacting the margin of agencies on the process side? Flowers: Being able to use technology, like Glovebox for example, that makes the process easier and more efficient. One thing every agency should do is set up a workflow for ticketing. Add a dedicated email or a form on your website, and place all those messages into a queue for your service team.

Hayden: Your workflow has to be a focus of your niche market, but the tools don’t help if no one can use them. You can give a ditch digger a backhoe, but if they can’t operate it, they’ll keep using the shovel. The more focused you can be on what your market is, the more efficient you can build your processes around it. Roe: Most agencies today use an agency management system as the workflow center, but they’re not a pipeline for a good workflow. What happens is that the service teams get overwhelmed with a pile of digital sticky notes instead of a real process. There is often no way to automate communication at the right time and ultimately owners have no visibility to their internal service process. Agency management systems are not built for that reporting. Agencies would be better served to create a ticketing system and employ a CRM or other technology actually built for the job. Schmitt: There are a couple things I see happening. I see virtual assistants (VAs) and outsourced help on the front end, and technology is also allowing us to explore automation on the back-end in a meaningful way. What can be added to an agency management system or customer relationship management system to “make it happen” with certain tasks every time and remove the potential for human error. Getting this right is a huge time saver and margin builder. We talk a lot about InsurTech and how technology will impact agencies moving forward, but what are the other factors that you feel will influence agency success in the future? Flowers: The other factors I see are reinsurance costs and how they will impact us down the line. I also believe customer changes and generational shifts will have a huge impact for the agencies that respond to them well. Hayden: We have got to stop the shiny object syndrome and focus on what will actually help you at your agency. Point of sale success is key, so help your salespeople be who they are. Also, not everything is a fit for your agency. If you take your eye off the ball, you’ll hurt your agency instead helping it. Roe: It always comes back to the team. When you have the right team in place, accountability is easier, performance improves, and there’s more innovation and collaboration. Culture eats strategy for breakfast, and you have to have the right butts in the right seats. Schmitt: This probably ties back to a previous answer, but “best practices” is a key. What are the guidelines for your agency, and how do they fit in with your culture? How can you keep everyone on the same page? If you bring in new technology, a new process, etc. without good culture – it’s not going to work.

Look for Part 2 in July june 2022

insight

The Internet of Things Could Transform Personal Lines The Internet of Things (IoT) is an umbrella term for a collection of everyday household devices that communicate with each other through the internet. They may also be referred to as “smart” devices: smart appliances, smart thermostats, smart televisions and smart speakers, among others. These devices generally offer consumers a more convenient and feature-rich at-home living experience. When working correctly, they form a network that can help track a home’s usage habits, provide helpful recommendations or warn against impending dangers, like fire and water damage. In recent years, an increasing number of homeowners, especially younger ones, are adopting these internetconnected devices and appliances. According to McKinsey & Company, approximately 127 new smart devices connect to the internet every second; by 2023, the number of connected devices is expected to reach 43 billion, a threefold increase from 2018. Consumers consistently report home security as their most valued IoT feature, and one survey found 47% say their greatest return on investment derives from environmental devices such as smart thermostats that reduce utility bills. The study found 86% live in a home with at least one smart device, usually speakers or televisions. Because the IoT can help prevent losses and also encourage homeowners to engage in protective behaviors, the insurance industry has taken a proactive approach to address its evolution. Smart home technology could have a profound impact not just on policyholders but also on property and casualty (P&C) insurance lines. Going forward, agents need to have an understanding of the benefits and potential risks.

insight

By Nationwide

The Benefits of the IoT There are a number of areas where the IoT can benefit homeowners: Home security - Smart doorbells, locks and cameras are popular IoT items that afford homeowners peace of mind. Cameras can monitor homes for unwanted visitors, and smart doorbells allow for communication even when no one is home. Appliance and utility monitoring - Another popular feature, smart thermostats, save on heating and cooling bills by automatically turning off temperature controls when they’re not needed. Water use can be monitored and rationed in geographic areas where it’s scarce. Pipes can be assessed for freeze risk. There is also a convenience factor to these devices; for example, there are refrigerators that notifies the user when groceries are low. Catastrophic event protection - Smart sensors can warn homeowners about impending fire, water or carbon dioxide dangers. Monitoring humidity can guard against mold. Smart smoke alarms can prevent false alarms by interpreting smoke data. Monitoring family members - Cameras and motion detectors can monitor those left at home - such as children, the elderly or pets - when the homeowner is not there. Activities can also be monitored; for example, these devices can surveil whether someone is smoking. Entertainment, convenience and lifestyle - Entertainment add-ons, such as voice-activated televisions, are some of the more popular IoT functions. The convenience of voice-activated virtual assistant technology, such as Alexa, is another. Some IoT consumers report an overall june 2022

enhancement in quality of life. One example of this would be replacing a blaring alarm clock with a combination of soft music and slowly brightening bedroom lights while waking up in the morning. While offering many possibilities for homeowners, IoT could have a substantial impact on the insurance industry. The most significant technology is in-home sensors that guard against losses like water and fire damage, substantially reducing claims and thereby shifting our industry’s fundamental focus from reactive to proactive, from curative to preventive. The IoT could be a gamechanging development that alters the integral structure of personal lines and our relationships to policyholders.

Security Measures Each connected smart device represents a point of entry, a potential weakness to be exploited by cybercriminals. Fortunately, there are many IoT-security best practices that reduce exposure without requiring a high degree of technological aptitude. The Wi-Fi router is probably the most frequently targeted security element. • Change the router’s default name since it may include its make and model. The new name should contain no personal identifiers. • Use a strong password, at least 12 characters, mixing uppercase and lowercase letters, numbers and symbols, with no personal identifiers.

• Create a second “guest” network, which many routers allow. Run IoT devices on one network and the more important devices, like cellphones and laptops, on the other. • Use the highest level of encryption offered. Networked devices are also susceptible to infiltration. These are the devices that run on the router. • Use a strong, unique password for each device. Yes, this is annoying, but use a digital password management tool if it’s difficult to keep track. • Disable unused features. If remote access is never used, turn it off. That’s one less entry point. • Always update firmware and software when prompted. • Enable multifactor authentication on all devices. • Research every device since a network is only as strong as its weakest component. This article originally appeared on the Nationwide blog at https://agentblog.nationwide.com/market-trends/emergingtrends/the-internet-of-things-could-transform-personallines/.

While offering many possibilities for homeowners, IoT could have a substantial impact on the insurance industry.

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June 2020

Helping Your Personal Lines Clients Navigate Home and Auto Trends By Jeff Rommel There are a wide range of factors that impact insurance carriers and their decisions regarding personal lines coverage. Currently, some of the biggest factors collectively creating a more challenging home and auto insurance landscape include inflation, labor shortages, soaring material and repair costs, and rising accident severity. In the face of these challenges, how can you continue to retain and grow your business? Position yourself as a trusted and dependable partner by: • Helping your clients better understand the industry-wide factors impacting their home and auto insurance • Managing clients’ policies and offering strategies to meet their current and future protection needs Optimize your clients’ opportunities to reduce their premiums by: • Reviewing their policies to ensure their coverage meets their potentially changing needs • Leveraging coverage solutions and encouraging them to take advantage of all discount options available Homeowners insurance market factors over the last year Due to rising inflation, it’s become increasingly costly to repair and rebuild homes following property related losses. The consumer price index (CPI) for several household elements has spiked since last year1 - including floor coverings (3.9%), window coverings (8%), major appliances (6%) and overall construction supplies (18.4%). Labor and material shortages

92%

of construction contractors across the country have had trouble securing skilled workers in the past year june 2022

93%

expect shortages to continue or worsen in the next six months, contributing to elevated labor costs

Amid the Covid-19 pandemic, building material expenses have soard due to ongoing supply chain disruptions and greater interest in home improvement projects including installing updated appliances, remodeling or making new additions. Demand for materials such as lumber and steel has greatly surpassed availability. Lumber and steel prices alone have more than doubled in cost since the initial onset of the pandemic. The attainability has been further disrupted by shipping delays. Rising Claims Severity Due to a growing number of natural disasters throughout the country, the homeowner’s insurance market has also been affected by an increase in overall weather severity. There were 18 natural disasters with losses exceeding $1 billion in the United States during 2021 - including wildfires, droughts, floods, tornadoes, and winter storms. Experts predict that both the frequency and severity of natural disasters will continue to rise in the coming years. These disasters can cause severe property damage and pose substantial rebuilding concerns Auto insurance market factors over the last year Due to rising inflation, caused primarily by labor and material shortages, it’s become increasingly costly to repair vehicles. The CPI for a number of items and services in the auto market increased over the past year - including used cars and trucks (26.4%), auto parts (8.8%) and vehicle repairs (5.4%). Elevated crash frequency and severity Even with fewer cars on the road in 2020, unsafe behaviors behind the wheel (e.g., distracted driving, speeding, neglecting to wear a seat belt) led to increased and more severe crashes. continued...

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INSURANCE PROGRAM MANAGERS GROUP CLAIMS MANAGEMENT SERVICES

IN THE WORLD OF INSURANCE, CLAIMS DO HAPPEN. IPMG’s Claims Management Services division (CMS) is that partner. As a full-service claims management company, IPMG CMS accepts the responsibility and expects to be held accountable for the results we achieve on behalf of our clients.

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Workers’ compensation claims management Property and liability claims management Auto liability and physical damage claims management Professional liability claims management » Strong emphasis on public entity and long-term care sectors Nurse case management Risk management/loss control Medical bill review Pharmacy benefit management Aggressive litigation management Utilization review Electronic claim reporting with immediate acknowledgment and adjuster assignment 4-hour assigned adjuster contact on every claim Online claim review including adjuster notes and financials Industry leading analytics with national database for benchmarking purposes

INTERNAL QUALITY CONTROL AND COST CONTAINMENT PRACTICES: » Adjuster book of business analysis – to ensure workload does not affect service levels » Closing ration analysis – a monthly review to ensure adjusters are achieving maximum production » Claims diary tracking » Formal litigation handling guidelines and practices » Comprehensive medical bill review – average 59% cost reduction » Pharmacy benefit program – average 35% cost reduction » ISO claims search » Medicare section 111 data reporting and compliance

For more information please contact:

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MIKE CASTRO

BOB SPRING

Sr. VP, Claims Management Services Mike.Castro@ipmg.com 630.485.5895

VP, New Business Development Bob.Spring@ipmg.com 630.485.5885 june 2022

38,000

Over 38,000 individuals were killed in vehicle crashes in 2022

7.2%

more fatal crashes in 2022 vs. 2019, the highest death toll since 2007

more crashes took place in the first six months of 2021 alone

Increasing accident costs

• An estimated 80,000 auto technicians will need to enter the field by 2024 to keep up with industry demand. • Prolonged repair times may also extend auto claims and associated costs. • Renting and replacing vehicles has also become a challenge due to the overall vehicle shortage, with 7.7 million fewer vehicles being produced in 2021 because of supply chain complications. • Industry experts predict that these shortages could press on into 2022, continuing to impact the auto insurance market.

Accidents that lead to fatalities also often involve severe injuries.

Moving forward

• Such injuries influence overall medical bills and claim costs by way of complex procedures (e.g., surgery), advanced treatment plans and extended recovery times.

You can help your clients navigate their insurance needs by helping them understand the marketplace and offering ways to help them save. Consider talking to your clients about these options at each renewal.

Vehicles are more expensive to repair • Advancing vehicle technology features - including blindspot sensors, backup cameras, lane detection technology and internet enabled features - keep us safer, but repairs cost more. Vehicles equipped with driver assistance systems can cost twice as much to repair as those that aren’t. • A shortage of skilled auto repair workers, supply chain disruptions for vital auto parts (e.g., car chips) and shipping delays have extended the average vehicle repair time to 15.2 days - nearly three days longer than last year’s average.

This article originally appeared on the Nationwide blog at https://agentblog.nationwide.com/market-trends/emergingtrends/helping-your-personal-lines-clients-navigate-homeand-auto-trends/. Jeff Rommel is Senior Vice President of Nationwide Property & Casualty Sales and Distribution. He was appointed to this position in September of 2019. Prior to this role, he served as Senior Vice President of Property & Casualty Staff Sales. For additional information on Jeff, go to https://agentblog.nationwide.com/authors/jeff-rommel/.

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june 2022

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INSIGHT | associate news Thank you to our Associate Members.

Diamond Level

Platinum Level

Progressive Surplus Line Association of Illinois

Gold Level AAA Insurance Arlington/Roe BlueCross/Blue Shield of IL Grinnell Mutual Reinsurance Company Keystone Insurance Group, Inc. Pekin Insurance

Silver Level Imperial PFS IMT Insurance West Bend Mutual Insurance Co.

Bronze Level A. J. Wayne & Associates AMERISAFE AmTrust North America Auto-Owners Insurance Co. Badger Mutual Insurance Company Berkshire Hathaway Guard Insurance Companies BluSky Restoration Contractors Chubb ClickVSC Columbia Insurance Group Continental Western Group Cowbell Cyber CRC Group CRDN of Chicago (formerly Restoronics) Donald Gaddis Company, Inc. Donegal Insurance Group EMC Insurance Encova Insurance Forreston Mutual Insurance Company Frankenmuth Insurance Grange Insurance Homeowners of America Insurance Company Illinois Mine Subsidence Ins. Fund Illinois Public Risk Fund Indiana Farmers Insurance Insurance Program Managers Group 28

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J M Wilson Liberty Mutual/Safeco Insurance Madison Mutual Insurance Company Marble Box Marsh, Berry & Company Maximum Independent Brokerage, LLC Mercury Insurance Group Midwest Insurance Company Nationwide Pouch Insurance Previsor Insurance & Missouri Employers Mutual PuroClean Emergency Restoration Services Rockford Mutual Insurance Company RT Specialty - Naperville Sensa, Inc. ServiceMaster DSI Society Insurance Specialty Risk of America Synergy Select The McGowan Companies Travelers UFG Insurance Utica National Insurance Group W. A. Schickedanz Agency, Inc./Interstate Risk Placement Western National Insurance Westfield june 2022

associate news | INSIGHT Jim Sadler Retires from Rockford Mutual After 30 Plus Years of Service ekin Insurance Claims Department Earns High Marks From Industry Associations

Jim Sadler, Business Analyst, has retired from Rockford Mutual after 30 plus years of service. He joined RMIC in 1991 and he has made a significant impact on many of IT’s successes over the years. “The company has always had quality associates. You would not expect such growth during a pandemic, but in a weekend - we became a company connected solely through technology,” said Jim Sadler, “You can rest assured RMIC will continue to ascend to new heights. The people are amazing, warm, friendly, and live to deliver this product. I will truly miss being a part of this group.” Jim has been a great help and resource to both internal and external customers at Rockford Mutual. We wish him a very happy retirement after 30+ years of service and dedication to our organization.

SECURA Insurance promotes Garth Wicinsky to President & CEO

He became Chief Operating Officer on Jan. 3, 2022, and transitioned to the role of President & CEO on April 26, 2022. With the transition, he also joins the SECURA Board of Directors. Wicinsky earned a bachelor’s degree in business administration from the University of Wisconsin– La Crosse and an MBA from the University of Wisconsin– Oshkosh. He takes the lead of a company that is well-known by its agents and policyholders for genuine people and exceptional service. The carrier is rated A (Excellent) by A.M. Best, and is a Ward’s Top 50 company and certified Great Place to Work. “I’m excited and humbled to take on this opportunity to lead the organization,” said Garth Wicinsky, SECURA President & CEO. “I’ve been blessed to have a 25+ year career with SECURA, and I’m committed to maintaining our incredible culture, agency relationships, and dedication to our policyholders and community.” Retiring leader Dave Gross will serve as CEO Emeritus and Senior Executive Advisor until his retirement in September 2022. In this role, Gross will support Wicinsky to continue the success of SECURA. Gross will also continue to serve on the SECURA Board of Directors until the end of his board term in April 2023.

Garth Wicinsky was promoted to President & CEO of SECURA Insurance, a property/casualty insurance company based in Neenah, Wis. He steps into the role as only the sixth leader in the company’s 122-year history. Wicinsky was selected by SECURA’s Board of Directors in November 2021 when previous President & CEO Dave Gross announced his upcoming retirement. “Garth’s strategic mindset, focus on talent development and associate engagement, and drive to achieve results position him well to continue leading SECURA forward,” said Dan Neufelder, SECURA Board Chair. “He’s lived the genuine culture for 25 years, and his passion for perpetuating that workplace engagement and outstanding service to our customers will lead to another exceptional chapter at SECURA.” Wicinsky joined SECURA’s Human Resources division in 1996 and was promoted to Vice President–Human Resources in 2002, responsible for talent management, compensation and benefits, learning and development, facilities, purchasing, and distribution. With his promotion to SVP and Chief Administrative Officer in 2017, in addition to his HR leadership function, he also oversaw Marketing, Research & Development, and Agency Training. Throughout his time at SECURA, Wicinsky has focused on making the company an exceptional employer with high engagement and developing programs to build leadership talent so the company can best serve its customers. His drive for results and servant leadership style have empowered associates, and fostered a transparent, collaborative culture.

june 2022

insight

“I love playing guessing games about appetite.” SAID NO AGENT EVER. UFG Insurance has dished up a buffet of small businesses we’re hungry to write online, because we know agents have better things to do than guess about our appetite.

Simple solutions for complex times

Wonder less and bind more with help from appetite guides that focus on profitable business to diversify portfolios, creating more opportunities for our agents to grow. On the table right now are some retailers, offices, distributors and more. A clear picture of appetite. A strong and stable market for your business. Think UFG for your next small business risk.

In March, the IIA of IL highlighted the achievements of women in insurance. The following is one of the submissions we received. Check back next month for more. If you would like to see your agency highlighted in a future issue of Insight, fill out the short submission form at www.iiaofil.org/Agency-Spotlight-Submission.

Linda Carlton-Huber

Loman-Ray Insurance Group, LLC - Monticello We would like to hear more about your time in the industry. Why did you choose insurance and when did you begin?

I did not choose insurance; I think it chose me. I was looking for a clerical or banking job when I moved to a new town. I was interviewing at an insurance agency and the owner/agent sold me! He was very smooth and convinced me I would be great at sales. I truly love this man and thank him for his wisdom in leading me down my path. I began insurance in 1984 selling personal lines. It was with Continental Insurance and they had a true package policy which was unique back then. I continued to sell personal lines but felt there was no growth for ownership at this agency. I was attending a company event when another agency owner approached me to join his agency and have the opportunity to buy ownership. I jumped and landed at CF&H in 1991. I continued to grow, learn insurance inside and out, and became the sole agency owner. In 2021, I joined Loman Ray Insurance Group, LLC which turned out to be another great move. I became the Chief Operating Officer of their 14 locations and more than 70 employees. And still to this day, there is something you learn every day in the insurance industry world.

Are there any unique professional struggles you’ve had as a woman in insurance, both in the past, and currently?

When I started in insurance, I would go to meetings and would definitely be the minority. One Pekin event I was the only woman at the “Top 100 agents” meeting. That was a very odd but rewarding feeling. I am glad to see many women are joining the industry especially as producers. Over the last year, I have hired 3 energetic young ladies that I know will be successful. I know they are busy juggling their families and selling insurance at the same time. Being a woman producer is hard work, but there are times I think it does help open the door and others it does june 2022

not. It takes time to build confidence both in yourself and show that confidence to others. Probably one of the biggest struggles was selling crop insurance and farm insurance as a woman. I think I turned that corner once I married a farmer and helped in the field driving a tractor.

What advice would you give to the next generation of female insurance professionals?

The young sales ladies at Loman Ray Insurance Group truly amaze me. You must be organized and believe in yourself. I feel women can juggle life as it is thrown at them which helps them succeed. Again, you need to be confident in what you sell, have the knowledge, and can back up that knowledge as you sell. Don’t be scared, take chances, and bet on yourself.

Tell us what the future holds for you.

If you would have asked me about my future 6 months ago, I would have told you something different. Today my job has grown, and I truly enjoy it. I still love sales! Making that sale is a feeling like no other. I am not sure that ever changes with a salesperson no matter what you are selling. I am now able to travel between offices and share my knowledge of everything from CSR office flow to working with these young salespeople on product and selling. I love to go out on appointments with the new salespeople. The energy they have is so inviting and it makes the job fun.

What do you think the future of the industry will look like?

Sometimes I worry that things will change so much and become a box store when buying insurance. Then as soon as I sit down with a business owner or even a couple to discuss insurance, I realize that insurance professionals are needed. There is no replacing the vast knowledge that we have with on-line shopping. As a professional group, we need to relay that information to everyone. We don’t sell insurance, we are advisors to secure their future with their family or in the community. insight

INSIGHT | agency members in the news PAR Insurance Agency Named Rockford Mutual 2021 Agency of the Year

TW Group Receives Local Business of the Year Award

Rockford Mutual Insurance Company (RMIC) places very high value in their independent agency force because they believe insurance is more than a policy, it’s a promise. Independent agents are at the forefront of not only providing their policyholders with adequate coverage, but also being there for them during a time of need.

TW Group in Westmont were the recipients of the Dick Busse Business of the Year Award. The award recognizes a business that has excelled in community service, business promotion, civic responsibility, and contributions to the betterment of Westmont. Tom Walsh and TW Group have provided incredible financial and volunteer support to People’s Resource Center (PRC) for many years, including the May 29 Race to the Flag 5K and their Charity Craft Beer Fest returning to Ty Warner Park September 10 benefiting PRC and Wellness House. PRC has been bringing neighbors together to respond to hunger and poverty in DuPage County.

PAR Insurance Agency was founded in 1991 by President & CEO, Keith Rademacher. The agency became a family business in 2003 when his son, Bill Rademacher, CIC, was hired as a producer for the agency. Nicole Gear joined the team in 2008 and now acts as a licensed agency manager for PAR. Together, Keith, Bill and Nicole provide worldclass protection for Auto, Home, Health, Business, and Life Insurance. PAR Insurance Agency builds the trust that separates them from the competition.

Congratulations to everyone at the TW Group!

Evans Insurance Agency Celebrates 70 Years in Business

Rockford Mutual has been partnered with PAR Insurance Agency for 5 years. In this seemingly short period of time, Keith and his staff have achieved tremendous growth with Rockford Mutual in addition to maintaining very satisfactory loss ratios.

Evans Insurance Agency, located in Glen Ellyn, IL, is celebrating 70 years in business. Established in 1952 by the late Gladys Evans, the company continues as a 3rd generation, full service insurance agency. Currently, Evans Insurance serves the needs of several individuals & families and the insurance needs of hundreds of business concerns in northern Illinois.

“We only represent superior insurance companies that have our back and Rockford Mutual is definitely one of them” said Keith, “It is refreshing to know that RMIC is an insurance company that you can talk to that will listen and not only is that important in this business, it’s a rarity”.

The primary goal of Evans Insurance Agency has always been to be honest and fair in all dealings, to be interested in people and their needs, and to treat the clients’ needs as it they were their own.

Congratulations to the team at PAR Insurance!

Congratulations to Evans Insurance Agency!

iia of il

October 4-6

Crowne Plaza, Springfield

2022

Plu

re! mo ch

Industry Related Hot Topics

Cyber, Phishing & More

Legislative & Regulatory Update

Agency Operations/ Procedures

Technology Solutions to Increase Efficiency

us s

E&O/ Ethics

Sales

Premium Fund Trust Accounts & Rebating Regulations

Inc

lud

ing

...

Education for Everyone in the Agency!

Wednesday General Session features Steve Anderson with Catalyit who will be reviewing the Evolution of Insurance with several key panelists from the industry. Learn from other “thought leaders” and “problem solvers” like yourself on how they have faced challenges in the areas of Hiring, Creating a Culture, DEI, Efficiencies, Implementing Technology and more. Thursday morning features an Industry & Election Forecast….Association Resources, Industry Insights & Election Analysis – with Amy Walter, Popular On-Air Political Analyst; Hannah Meisel, NPR State Government and Political Editor; and Dana Popish Severinghaus, Department of Insurance Director.

ILConvention.com

iia of il news | INSIGHT

Education Classes june

1 2 6 7 8 9 15 15 16 21 22 23 23 30

E&O Roadmap to Personal Auto Webinar CISR-Insuring Personal Auto Exposures Virtual AND In-Person (Springfield) E&O-Roadmap to Homeowners Endorsements Webinar Pre-Licensing-Property & Casualty Virtual E&O Roadmap To Cyber & Privacy Insurance Webinar CISR-Insuring Personal Residential Propert Virutal Class CIC-Inurance Company Operations Virtual Class E&O:Identity Theft, Red Flags, and Money Laundering Webinar Agent’s E&O: Duties, Best Practices, Operations, Webinar Pre-Licensing-Life & Health Virtual E&O - Roadmap to Policy Analysis Webinar CISR-Life & Health Essentials Virtual Class Flood Insurance, FEMA, and the NFIP Webinar Why Good People Do Bad Things: Agency Ethics Webinar

New Members

july

6 6 7 11 12 13 13 19 21 21 25 27 28

Pre-Licensing-Property & Casualty Virtual Ethics: Essentials for the Insurance Producer Webinar Agent’s E&O: Defenses and Preventions Webinar E&O Roadmap to Personal Auto & Umbrella Ins Webinar CISR-Agency Operations Virtual Class CIC - JK Ruble Seminar Elk Grove Village

son! In Per

E&O Roadmap To Cyber & Privacy Insurance Webinar Pre-Licensing-Life & Health Virtual CISR-Personal Lines Miscellaneous Virtual Class E&O-Roadmap to Homeowners Endorsements & PIM Webinar E&O:Identity Theft, Red Flags, and Money Laundering Webinar E&O - Roadmap to Policy Analysis Webinar CISR-Commercial Casualty 1 Virtual AND In-Person (Springfield)

son In Petrual! or Vir

member agency Griffith Insurance Effingham, IL Reising Insurance Oregon, IL

Farm Agents Council

STARS Insurance Deerfield, IL

Golf Outing & Annual Meeting

Truska Insurance Agency, Inc. Chicago, IL For information regarding IIA of IL membership or company sponsorship, contact Tom Ross, Director of Membership Services, at (217) 321-3003, tross@iiaofil.org. june 2022

a division of the Independent Insurance Agents of Illinois

June 16-17 DoubleTree Hotel & Prairie Vista Golf Course Bloomington, IL ILFarmAgents.com insight

INSIGHT | classifieds for the insurance professional by the insurance professional

INDEPENDENT INSURANCE AGENCIES WANTED

AGENCY/AGENTS/PRODUCERS WANTED

02. Forest Park/Oak Park agency for over 60 years, will meet your needs by providing space, markets, marketing & sales support, automation, merging with or purchasing your agency. Perpetuation/ Succession Plans, BuySell Agreements also available. We have experienced, educated and dedicated staff for you and your clients. Have access to our numerous companies, office services and many other resources. Retain ownership in your book with contingency. Please look closely at us- we are an agency you want to do business with! We’ve done it before, we know how- we make it easy! Visit our website at forestagency.com/agents.html, or call for a confidential discussion and a list of Agency benefits.

17. We are an Independent family-owned agency located in the Chicago area. We are looking to expand through growth and acquisition. If you have a small to medium sized agency and are looking to sell, call or send us a message. We are looking for Personal and Commercial Lines accounts with preferred companies. We look forward to hearing from you.

GALO Insurance Agency, Inc (847) 832-0888 steve@galoagency.com

Dan Browne will provide an agency evaluation/appraisal at little cost to you. Please call:

OPPORTUNITIES/SPACE AVAILABLE/RETAIN OWNERSHIP

13. We are a 100 year old Northbrook agency looking to discuss any mutually beneficial opportunity. Our producers, mergers, clusters and agency purchases receive 50% commissions on new and renewal business without any expenses. We can provide: office space, phones, agency management system, service renewals and changes. The companies we represent are: Badger Mutual, Employers Mutual, General Casualty, Guide One, Hartford, Kemper, Progressive, Rockford Mutual, Safeco, State Auto, Travelers and Met Life. Contact:

Dan Browne or Cathy Hall Forest Insurance (708) 383-9000 www.forestinsured.com/mergers-acquisitions

AGENCY WANTED

20. Since 2004, Central Illinois Agents Group LLC has been providing independent agents with a variety of markets with contingency opportunities. Agents have availability to several markets that they may not be able to sustain or maintain on their own. We have markets for personal, commercial, agricultural and crop insurance lines. Let us help you get to the next level.

Nancy Solomon Martini, Miller & Schloss, Inc. (847) 291-1313 Ron@martini-miller.com

Visit www.ciagonline.com for contact information.

We Make Hiring Easier

CareerPlug’s hiring software helps agents attract more qualified candidates, identify the right candidates with confidence, and improve hiring results. CareerPlug will provide IIA of IL members access to a free account that can be used to post jobs, manage applicants, and improve the organizations’ employment brand. Association members can also access a “Pro” version of CareerPlug for a special rate to take hiring to the next level.

Learn more about CareerPlug and check out the brand new IIA of IL job board at

www.iiaofil.org

insight

june 2022

TOP FIVE REASONS AGENT’S LOVE

WORKING WITH US! 1 2

Rated A+ by both AM Best1 and Standard & Poor’s2 with a 20-year track record of beating the industry by more than double the growth and a full eight points on the combined ratio. 1

www.ambest.com/ratings; www.standardandpoors.com,

Unparalleled Financial Strength

RATED #1 COMPANY FOR

World-Class Claims Service

Responsive and RelationshipBased Underwriting

Stable and Consistent Market

Impeccable Culture

Sell Acuity!!!

WORK-LIFE

BALANCE DURING COVID-19

Consistently recognized as one of the best places to work in the nation.

MORE IMAGINATION.

MORE TO LOVE FROM APPLIED.® Workers’ Compensation • Transportation – Liability & Physical Damage • Construction – Primary & Excess Liability Homeowners – Including California Wildfire & Gulf Region Hurricane • Fine Art & Collections • Structured Insurance Financial Lines • Aviation & Space • Environmental & Pollution Liability • Property • Warranty Fronting & Program Business • Reinsurance

...And More To Come.

It Pays To Get A Quote From Applied.® Learn more at auw.com/MoreToLove or call sales (877) 234-4450 ©2022 Applied Underwriters, Inc. Rated A (Excellent) by AM Best. Insurance plans protected U.S. Patent No. 7,908,157.