wisconsin INDEPENDENT AGENT APRIL 2021
THANK YOU
2021 EXCLUSIVE COMPANY MEMBERS
SPONSORED BY
In the 5 seconds it takes to look at a text message, you could drive the length of a football field. Blindfolded.
No message is worth more than your life. The phone can wait when you’re in the driver’s seat. Promise to stay focused on the road. Take the pledge today at ufgworthit.com.
© 2021 United Fire & Casualty Company. All rights reserved.
CONTENTS wisconsin INDEPENDENT AGENT
COVER STORY: Thank you to our 2021 Exclusive Company Members! Our Exclusive Supporting Company Members provide significant support to the IIAW so that we can continue to bring industry-leading products, services and world-class events & resources to our members. We’d like to extend a big thank you for their continued partnership, involvement and support of the independent agency channel.
PAGES:
4-18
INSURANCE BARTENDER...........................................................20-21 Bingo. A Boat. A Band. InsurCon is Back!
MARKETING....................................................................................22
INDEPENDENT INSURANCE AGENTS OF WISCONSIN 725 John Nolen Drive Madison, Wisconsin 53713 Phone: (608) 256-4429 Fax: (608) 256-0170 www.iiaw.com
2020-2021 EXECUTIVE COMMITTEE President:
Darrel Zaleski | Spectrum Insurance Group, Eau Claire
President-Elect:
Marc Petersen | American Advantage - Petersen Group, New Berlin
Secretary-Treasurer:
Nick Arnoldy | Marshfield Insurance Agency, Inc., Marshfield
Chairman of the Board:
Chris Costakis | Midwest Insurance Group, Delafield
State National Director:
How Your Company Can Benefit From Having a Company Blog
Steve Leitch | Leitch Insurance, River Falls
AGENCY OPERATIONS................................................................24
2020-2021 BOARD OF DIRECTORS
New is Still New
Mike Ansay | Ansay & Associates, Port Washington
COVID-19.............................................................................................26-27
Mike Harrison | R&R Insurance Services, Inc., Waukesha
Insurance Implications of Required Vaccines
Aaron Marsh | Marsh Insurance Services, Inc., Rice Lake
GOVERNMENT AFFAIRS.............................................................28
Joanne Lukas Szymaszek | Johnson Insurance Services, LLC, Racine
Meet Wisconsin’s Newly Appointed Insurance Committee Chairs
VIRTUAL UNIVERSITY.................................................................32-33 Five BOP Gaps and Pitfalls Agents Should Watch
Dan Lau | Robertson Ryan & Associates, Milwaukee Chad Tisonik | HNI Risk Services, LLC, New Berlin Andrea Nelson | Unisource Insurance Associates, LLC, Wauwatosa Jonathon Zwettler | Baer Insurance Services, Middleton
MEMBERS IN THE NEWS...............................................................36-37
IIAW Staff
COMMENTARY FROM COUNSEL...............................................38
Matt Banaszynski | Chief Executive Officer 608.256.4429 • matt@iiaw.com
A Shot in the Arm - Wisconsin’s Long-Awaited COVID Relief and Immunity Legislation
FOOD FOR THOUGHT.....................................................................39
ADVERTISERS INDEX AAA......................................................................18 AMERISAFE......................................................39 Badger Mutual Insurance............................33 Berkshire Hathaway GUARD....................29 DAIS......................................................................19 Erickson Larsen...............................................21 IMT........................................................................40 Penn National...................................................31 Robertson Ryan & Associates...................4 UFG........................................................................2 West Bend..........................................................25 Western National............................................23
Mallory Cornell | Vice President and Director of Risk Management 608.210.2975 • mallory@iiaw.com Kim Kramp | Association and Agency Accounting Manager 608.210.2976 • kim@iiaw.com Trisha Ours | Director of Insurance Services 608.210.2973 • trisha@iiaw.com Kaylyn Zielinski | Marketing and Communications Coordinator 608.210.2977 • kaylyn@iiaw.com Evan Leitch | Technology and Risk Advisor 608.210.2971 • evan@iiaw.com Andrea Michelz | Membership Engagement Coordinator 608.210.2972 • andrea@iiaw.com Diana Banaszynski | Education Coordinator 608.256.4429 • diana@iiaw.com Wisconsin Independent Agent is the official magazine of the Independent Insurance Agents of Wisconsin (IIAW) and is published monthly by IIAW 725 John Nolen Drive, Madison WI 53713. Phone: 608.256-4429. IIAW does not necessarily endorse any of the companies advertising in publication or the views of the writers. IIAW reserves the right, in its sole discretion, to reject advertising that does not meet IIAW qualifications or which may detract from its business, professional or ethical standards. © 2021
For information on advertising, contact Kaylyn Zielinski, 608.210.2977 or kaylyn@iiaw.com. wisconsin INDEPENDENT AGENT
| APRIL 2021 | 3
JOIN US, a WI Based Top 100 Agency
Are you or your agency ready for a positive change? Robertson Ryan has been offering innovation through our unique Agent Owner structure since inception in 1960. Time and time again after an agent or agency joins us they say, “We wish we did this years ago.” Our team recognizes the strength and power behind the agent and insured relationships so we’ve built, and continue to fine-tune, a support network rewarding those affiliated with RRA. Find more at, www.RobertsonRyan.com/AgentOwner ...and let’s connect. Call or email me 414.221.0363 or cillman@robertsonryan.com. I look forward to answering your questions!
Chris Illman, CEO
www.RobertsonRyan.com
IIAW 2020-2021
EXCLUSIVE COMPANY PROFILES Thank you to our Exclusive Company Members for their support of the IIAW. Without their support, we wouldn’t be able to provide industry-leading products and services for our members. If you come across any representatives from any of these companies, please be sure to say thank you for supporting the IIAW and the IA channel.
44 | | APRIL APRIL 2021 2021 | |
wisconsin wisconsin INDEPENDENT INDEPENDENTAGENT AGENT
George Maglares (847) 867-6099 GSMaglares@acg.aaa.com
OPEN SEMCI Single-entry, multiple-company interface (SEMCI) is like magic!
Acuity, long recognized as a leader in agency interface technology, is committed to supporting SEMCI in commercial lines. SEMCI drives efficiency in the quote and application process and allows you to choose how you want to do business with Acuity. Acuity currently partners with several of the leading commercial lines insurtechs. We are building, exploring partnerships, or expanding with numerous other independent agency technology solutions. And Acuity is on the forefront of integration technology, continually building the connections necessary to be ready to connect to new insurtechs as they emerge.
6 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
wisconsin INDEPENDENT AGENT
| APRIL 2021 | 7
IT’S THE SIMPLE THINGS THAT DIFFERENTIATE US FROM OUR COMPETITORS. We are a strong Midwest regional carrier that values our relationships with independent insurance agents. PRODUCT LINES IMT Insurance offers personal and commercial insurance products to help protect families, homes and businesses. We strive to offer great insurance products and exceptional service for a competitive price. These products include car insurance, home insurance, business insurance, farm liability, umbrella insurance and surety/fidelity bonds. INDEPENDENT AGENTS People buy their insurance from independent agents because they know them, like them, and trust them. That is exactly the reason independent agents do business with IMT. We use our strong partnership with Wisconsin Independent Agencies to meet and exceed the needs of our personal and commercial lines clients.
TECHNOLOGY IS OUR STRONG SUIT Technology is a vital part of our business at IMT and have won awards for our innovative technology. We develop and maintain our own policy systems – all from our home office. Our systems are companytested and agent-approved. In addition, we are committed to helping our agents succeed with resources and content for social media, video and digital advertising. ABOUT IMT IMT is proud of our heritage and will never forget where our roots are firmly planted. Locally run from our home office in West Des Moines, Iowa, IMT has been a Midwest company since it was founded in Wadena, Iowa in 1884. That’s more than 130 years! Today, IMT continues to offer the strong line of personal and commercial insurance products for which it has always been known through Independent Agents throughout our six-state territory – Iowa, Illinois, Minnesota, Nebraska, South Dakota and Wisconsin.
Are you a local independent agent interested in learning more about IMT products and services? Contact Troy Neil at 800-274-3531, x730.
imtins.com | 800-274-3531
BOUTIQUE. INTENTIONAL. RELATIONSHIPS. It’s the meaningful relationships and investment in innovative solutions that make it easy for agents to do business with us.
Come grow with us: Contact Sales Director Cathy Colón at 920.968.9326 or ccolon@imico.com
You understand your clients. Liberty Mutual Insurance and Safeco Insurance understands how to support them. We know your clients’ needs are unique. That’s why we work with you to customize coverage exclusively for them. Talk to your territory manager or visit LibertyMutualGroup.com/Business or Safeco.com to learn more.
Local presence. Regional strength. Partner with us if you are seeking: n A mutual carrier solely focused on agents and policyholders n Local managers who understand your operating territory n Access to an executive management team eager to get to know you n The ability to have merit-based conversations about decisions impacting your agency n Consistency in underwriting approach n A claims team that dependably earns high service marks n A carrier always seeking ways to make the experience better for agents and policyholders
Who We Are In 1919, a Pennsylvania farmer’s association founded Penn National Insurance to provide farm-related workers’ compensation insurance to its members. Today, we do business in 11 states, including a broad variety of business insurance and personal auto and homeowners insurance. And, we changed from an agricultural focus to a serviceeconomy focus. Stronger and better together In 2012, we affiliated with Wisconsin-based Partners Mutual Insurance, and continued our tradition of delivering personal attention with a local presence in Wisconsin and Iowa and the regional strength and services of a super-regional carrier. Customer-first focus True to our roots, we are still a mutual insurance company, which means we operate for the benefit of our policyholders through providing superior customer service, and bringing innovative products and services to meet the ever-changing needs of the marketplace. Diverse array of commercial and personal coverages Penn National Insurance offers a diverse portfolio of products and services to meet today’s customer needs.
Facts in Brief • We employ more than 900 people • We sell through more than 1,200 independent agency operations in 11 states • Our principal lines of business are Personal Automobile, other Liability, Workers’ Compensation, Commercial automobile and Homeowners • We have a financial strength rating of A- (Excellent) from the A.M. Best Company
In addition to the traditional Commercial and Personal insurance coverages, we offer a wide range of coverage-rich endorsements that provide valuable coverage and expanded limits on Business Auto, Businessowners, General Liability, Property, Workers’ Compensation and Inland Marine. Some additional endorsements we offer include: Cyber Security Insurance, Monoline Inland Marine, and Manufacturers, Mechanics and Contractors Errors and Omissions Liability. For our Home and Auto policyholders, we offer great coverage at an affordable price, plus many additional coverages for even more peace-of-mind protection. For homeowners, we offer Equipment Breakdown, Underground Utility, Loss Assessment and Identity Theft coverage. Policies issued for domiciled businesses and individuals in Wisconsin and Iowa are underwritten under our affiliate, Partners Mutual Insurance Company. Some coverages are not available in all states.
www.PennNationalInsurance.com
AGENTS OF
Resilience
Leading the way—and growing—together Thanks to you, our hardworking agent partners, we’ve long been the #1 personal auto carrier in the independent agency channel. Even more exciting, we’re now the #1 overall personal auto insurer in seven states* and hold the #2 spot in more. Your commitment to our mutual customers, especially during these challenging times, is truly remarkable, and we’re incredibly proud to keep growing with you. As we strive to become both consumers’ and agents’ #1 choice for auto, home and other insurance, we’ll continue to provide you with the tools, resources, and services that you need to grow your business and your bottom line. Because strong partnerships are the best way to an even stronger future. To learn more, search for us online at Agents of Progressive, Progressive Connect, or Progressive Appointment.
*No. 1 by written premium from NAIC’s 2019 P&C Ins. Market Share Report (includes auto). 20A00664.AD (10/20)
Making insurance genuine. SECURA isn’t like other carriers, and we’re proud of that. We put the independent agent and your customers - first. Our independent agents value the long-term partnerships they find with SECURA and our commitment to quality coverage and service. Here are just a few of the reasons they love to work with us. •
•
•
•
•
Genuine people – Passionate, experienced associates committed to excellence and service, both for our agents and policyholders
Dave Gross President & CEO
Competitive coverage options SECURA exceeded expectations in 2020 with $792 million in direct written premium, and we’re positioned to continue this trend of profitable growth for years to come. •
Expansive product portfolio – Broad coverage for Commercial, Personal, Farm-Ag, and Specialty lines
Commercial Lines is SECURA’s largest business unit. Our expanding appetite for contractors, retail, restaurants, and numerous other markets offer coverage to fit your clients’ needs.
•
Easy to do business – Committed to agentfocused solutions, like our newest online rating system, SECURA Bizlink℠, to help you grow your business
Personal Lines coverage options include our MILE-STONE® home and auto package policy, which offers the added security of Roadside Rescuer℠ and Travel Rescuer℠.
•
Highly rated – Recognized by A.M. Best as A (Excellent) and Ward’s 50, not to mention high marks from agents and policyholders
Farm-Ag Lines taps the hands-on experience of former farm kids to underwrite farm-ag risks of all sizes.
•
Specialty Lines provides agents and prospects with an admitted carrier option for difficult-toplace business. Clients range from fitness centers to food trucks and special events to nonprofits.
Motivated by mutual success – We meet our policyholders’ needs best by partnering with experienced, independent agents
Contact us today secura.net
WE UNDERSTAND THE INSURANCE AGENCY BUSINESS At Security Financial Bank (SFB), we have knowledgeable lenders who understand the nuances of the insurance industry and have experience in financing all of your business and personal needs.
WE CAN HELP YOU WITH: • Agency Acquisition & Mergers • Partner Buydowns • Partner Buyouts • Refinancing ABOUT SFB SFB is a growing $600 million independent community bank with five office locations throughout Wisconsin and more than 100 employees. Headquartered in Eau Claire, SFB specializes in the insurance agency industry, agriculture and small business. SFB is committed to investing in the communities we serve. Last year alone, we sponsored and donated to more than 100 local organizations.
CONTACT US
Kimberly Bunce • kbunce@sfbank.com • 715.930.7877 Curt Van Auken • cvanauken@sfbank.com • 715.930.7021
Serving Clients Throughout Wisconsin
Serving Wisconsin employers of all types and sizes In 2020, SFM wrote more than 400 new policies totaling over $5 million in Wisconsin, including: Trucking/Transportation Long-Haul Trucking Courier Service Long-Haul Trucking Garbage/Recycling Local Trucking Courier Service Local Trucking School Bus Company
Healthcare/Social Services $233,600 134,300 94,300 74,200 32,100 23,900 17,900 16,000
Construction
Group Home Social Services Skilled Nursing Home Health Senior Living Social Services Home Health
$138,000 97,300 97,000 76,000 41,500 31,000 19,700
Manufacturing/Distribution
Fiber Cable Installation Landscape Contractor Remodeling Contractor Residential Cleaning Painting Contractor Electrical Contractor Siding Contractor
$97,000 86,600 34,200 28,200 25,600 23,200 22,800
$228,500 191,100 172,600 151,100 27,300 24,600 14,600
Small Business < $10K premium
Pool Business Warehousing/Storage Local Trucking Senior Living Home Improvement Concrete Contractor Landscape Contractor Driving School Tobacco Store Church
Dry Cleaning Service Electrical Device Mfg. Tannery (finish work only) Meat Packaging/Distribution Pet Supplies Mfg. Metal Products Mfg. Wiring Harness/Cable Mfg.
$25,000 17,900 15,500 14,500 6,500 4,700 1,100 1,100 1,000
Group Home Daycare Services Marina Mortgage Company Home Health Hotel Restaurant
$8,700 8,600 8,500 7,600 7,500 3,200 1,800
Visit sfmic.com or contact your SFM underwriter to learn more © 2021 SFM Mutual Insurance Company. All rights reserved.
adv-212-0221
© 2020 Society Insurance
Delivering more by focusing on less. Small detail. Big difference. Rather than attempt to be all things to every kind of business, we focus on the ones we know best—restaurants and bars, supermarkets, convenience stores, hotels and motels, medical clinics, artisan contractors and auto service shops—to deliver outstanding property, casualty and workers compensation insurance. Deep niche expertise, with insight into unique business risks, is how we cover the details that make the biggest difference to our policyholders. To discuss an agency appointment, give us a call at 888-5-SOCIETY or visit societyinsurance.com.
West Bend Mutual Insurance Company Location of Company Headquarters: 1900 South 18th Avenue, West Bend, WI 53095 Founded: April 1894 Company Web site: thesilverlining.com What sets West Bend apart from other companies? There are many things that set our company apart, but these are the most important: 1. We develop and nurture strong relationships between agents and associates through personal contact, responsible actions, and a genuine concern for our valued partners. We use such means as agency performance programs, continuing education, and advisory boards to strengthen the bonds between agency and company and ensure our mutual success. With senior management, with the underwriting team, with billing, with claims, in fact with our entire company, you simply will not find a more dedicated, personal, community-oriented, and caring group of people. 2. With a broad personal lines coverage package, a full range of commercial products and services, insurance for specialty lines, and bonds, our robust product portfolio provides our independent agency partners with a market for a large percentage of the business they write. 3. Around this we wrap outstanding service. Our associates’ dedication and commitment to providing outstanding service to our policyholders and independent agent partners are the foundation of West Bend’s Silver Lining® brand, The Worst Brings Out Our Best®. Our priorities for 2021 We pledge our commitment to distribute our products through independent insurance agencies. We will continue to work with them to find new ways to meet the ever-changing needs of our policyholders. We know we have to make it easier for our agents and policyholders to do business with us. Our agents can rest assured the focus of our priorities and initiatives are the needs of our customers and our associates. At a time when other companies are paying less attention to relationships with their independent agency partners and choosing to distribute their products through multiple channels, West Bend remains dedicated exclusively to independent agents. – Kevin Steiner, President and Chief Executive Officer
thank you! 2020-2021 Exclusive Company Members
To become an Independent Agent with AAA George Maglares (847) 867-6099 GSMaglares@acg.aaa.com
18 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
IIAW-March-final.pdf
1
3/5/21
3:46 PM
Every day more agents are discovering riches in niches Whatever your agency’s specialty, groow it like crazy.
C
M
Y
54 programs and unique lines launched last month. If you weren’t among them, find out how to get with the program.
CM
MY
CY
CMY
K
The Internet of Insurance provides the customer experience, automated underwriting, and connected infrastructure you need to supercharge your programs. Get started today at theioi.net/programs
TM
INSURANCE BARTENDER
BINGO. A BOAT. A BAND. INSURCON IS BACK! The IIAW is pulling out all the stops for InsurCon2021. We couldn’t be together in 2020, and we want to make it up to you. How? We’re so glad you asked! First and foremost, this will be an event where you will feel safe and comfortable while enjoying some much-needed time with industry friends. With 18,000 square feet in both our main hall and our exhibit hall, we will be taking full advantage of this new facility and all it has to offer. Do you think the Waterpark Capital of the World is ready for the state’s largest insurance conference? We will be cruising down the Wisconsin River, giving away big prizes and kicking those dress shoes off on the dance floor. Move over kids, the best industry ever is in town.
We cannot forget our big speakers. This year we snagged the best of the best. Beth Z is your “Nerdy Best Friend” and her action-packed presentation will you get you energized about igniting productivity in your personal and professional life. Bill Pieroni is the smart and entertaining President & CEO of ACORD and will cover the shifting landscape of distribution across the insurance industry and the keys to high performance. We invite everyone to enjoy a delicious Kalahari lunch while listening to Hall of Fame Quarterback and former NFL star Joe Theismann. This inspiring and intriguing man will have your full attention so do not forget to chew! You know we can’t bring in a big name like this without giving away some authentic autographed items as well, but you have to be there to win. Following this presentation, grab a drink and head over to the Exhibit Hall right next door for cash prizes, Super Door prizes and a competitive game of BINGO!
20 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
But wait – we cannot end it there! This year’s evening entertainment will take you back to the 90’s and early 2000’s, but definitely not 2020! Live music from one of Madison’s best cover bands, Granny Shot, will be the perfect end to our InsurCon event, and we cannot wait for you to experience it all with us.
Cheers, and we will see you in August!
> Matt Banaszynski CEO of IIAW
Matt’s Mixology The Insurance Policy Helping you make the most of your convention experience since 1899. Dubbed the “Insurance Policy”, this cocktail has you covered and is sure to provide you with the liquid courage you need to cut loose at this year’s annual convention after countless months of quarantine and home confinement.
Ingredients
• 1.5 ounces Angostura bitters • .5 ounce Luxardo cherry syrup • .5 ounce lemon juice • Ice • 2 ounces dry sparkling wine
Directions
1. In a mixing glass, add the bitters, syrup and lemon juice. Strain into a flute and top with sparkling wine. Serve.
Photo & Recipe Courtesy of Tasting Table
MARKETING
HOW YOUR COMPANY CAN BENEFIT FROM HAVING A COMPANY BLOG Over the past 7 years at Society Insurance, we have published over 400 blogs on our website blog. societyinsurance.com. We’ve touched on a variety of topics that affect the businesses we work with from “Clearing Confusion with Snow Removal Contracts” to “Four Benefits of Encouraging Movement Throughout the Day to Improve Employee Well-Being” to “Safeguarding Your Outdoor Dining Area.” However, having a company blog is not a secret weapon anymore. According to Zoominfo, 33% of B2B companies use blogs. Content is (still) king. Company blogs that publish timely, valuable and strategic content can support long-term growth for a business by establishing thought leadership, growing website traffic, increasing sales leads and keeping potential customers intrigued. Below we delve into the four main benefits of having a company blog that will earn you respect, leads and, ultimately, customers. 1. Establish Thought Leadership Ideally, you want your business to be viewed as an expert in its respective industry. Addressing all possible industry questions and specific tangents, which is made possible through blogging, will establish your credibility with your audience. Leave the comment section open so you can engage with your audience, further building a relationship. “The Seven Habits of Highly Effective People” author Stephen R. Covey sums up why thought leadership is so important: “When the trust is high, communication is easy, instant and effective.” 2. Grow Website Traffic Blogging will also establish credibility via search engine optimization, defined as the process of improving the quality and quantity of website traffic. If your content is good enough, others might reshare it - like online magazines, other blogs, social media channels, etc. One of the most important ranking factors from Google involves backlinks. The more high-quality backlinks (i.e. links from reputable sites pointing back to yours), the more your site is viewed as credible. The result is a higher ranking when someone searches for “Wisconsin insurance agent,” for example. Additionally, these backlinks can also be seen as free advertising, bringing in referral traffic from other websites to yours. 22 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
3. Increase Leads, Sales and Engagement According to Zoominfo, 47% of buyers view three to five pieces of content before engaging with a sales rep. Once you’ve created your blog posts, post links where your audience hangs out to bring them to your blog. Embed opt-in freebies within your blog content. Opt-in freebies, or “lead generation” pieces, are downloadable content collateral that you can give your audience in exchange for providing their email – pushing them further down the sales funnel. 4. Develop Relationship with Potential, Future Customers By offering a blog, you are offering users an additional chance to get to know your company and what you offer. For example, if a person isn’t ready to commit to a purchase, they may sign up to receive your blog in their inbox and continue to consume your white papers, delve into your thought leadership pieces and learn about your community involvement through your blog. Congratulations – you’ve now further developed a deeper sales funnel. When done right, blog posts can generate significant traffic over the course of months and will continue to push even more traffic to the website years after the post is first published. The time and effort you invest in a company blog up front can result in thousands of visitors to your website and new sales in the future. A blog is an easy way to build trust with your audience, increase traffic to your website, and is a part of a long-term strategy to increase company growth. If you agree that small details like this make a big difference, give us a call at 888.5.SOCIETY or visit societyinsurance.com. Disclaimer: This information is provided as a convenience and is not professional advice. Links are being provided as a convenience and for informational purposes only; they do not constitute legal advice or an endorsement or approval by Society Insurance of any of the statements, or opinions, or content of the organization. Society Insurance bears no responsibility for the accuracy or content of linked or cited material.
AGENCY OPERATIONS
NEW IS STILL NEW For many of our wahves, a new job in the insurance industry is a lot like getting a new car. If you’ve been in insurance for 15+ years doing the same kind of work, such as retail account servicing, claims, etc… there’s usually not a lot of difference in how the work should get done from one company to the next. But, just like an experienced driver getting a new car, you still need to understand where the button is for the trunk release, how to turn the back windshield wiper on, and oh, that new beeping sound… that’s the lane departure warning. Just because you’ve driven a car for decades, doesn’t mean the newness of the new car is any less, well, new. And so, getting the same job in a new company is also still new. This is where a solid onboarding program come in to play in a successful wahve engagement. The wahve is going to need some time to get to know new processes, procedures, software, etc. Our wahves are proud that they have years of experience in the insurance industry and they want to be successful. They will need resources (a helpful co-worker or manager) and tools (written procedures, for example) to get them on the right track. While we’re on the subject, let’s talk about training. Just like the new car scenario, for an experienced wahve, training doesn’t necessarily need to be a three-weeks long, all encompassing, bumper-to-bumper overview of everything.
24 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
But having no formalized introduction to the infotainment system (I mean, agency management system) is setting the wahve up for potential failure. Here are some helpful tools to consider having ready for your next wahve hire: 1. Decide on a dedicated person in your office who will get the wahve up to speed quickly. 2. Determine if your written procedures need an overhaul. Are they current and relevant for your current processes? Do they include how to navigate in your software programs? 3. Does the team understand what work the wahve will be doing and how to work with the wahve as part of the team? Does a new workflow need to be developed to avoid any confusion? While you don’t need to give driving lessons to the wahves (thankfully, they are past that nail biting stage!) you do need to invest in their learning some new car systems to ensure they continue to be successful.
> Elizabeth Kordek, CPCU
WAHVE Placement Specialist
19 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.
COVID-19
INSURANCE IMPLICATIONS OF REQUIRED VACCINES Questions swirl around the available COVID vaccines. Some are medical questions and some are legal questions. The most common legal question is, “Can employers require the vaccine?” An employer’s legal ability to require the vaccine is outside the scope of this article; employment attorneys are the most qualified to answer this question. This article’s focus is the insurance implications if the vaccine is mandated by the employer. Even if the employer can legally require employee vaccinations, employers must consider all relevant factors arising from the decision before making a final decision. Insurance and the availability of coverage is a financial reality that must be considered as part of the discussion. Who is to Blame Manufacturers can be subject to strict liability and are thus charged with producing a product that is not defective and/or does not have an unreasonable risk of causing harm. Pharmaceutical (vaccine) manufacturers are subject to the same standards. But there is one caveat regarding COVID vaccine manufacturers, vaccine manufactures are immune from legal liability - at least temporarily - under the PREP Act. More detailed information on the PREP Act is available from the Congressional Research Service.
is somewhat obvious, the employer. An employer that required the vaccine may be the only party that CAN be sued and potentially held liable for the near future. Is Coverage Available If, as a provable result of the vaccine, an employee dies or becomes seriously ill in the next few months or years (while the liability protection is in place), the employer that required the employee be vaccinated may find themselves on the defendant end of a lawsuit. Employers mandating vaccination may find themselves in court. If an employer does end up in court, is there any insurance coverage available to cover the defense and/or any award granted? Three possible coverage options come to mind immediately: • Workers’ Compensation; • Employers’ Liability; and • Employment Practices Liability. How might these coverages respond to a vaccine-related death or injury of an employee if the employer requires the vaccine? Let’s undertake a quick overview of each. Workers’ Compensation
Further, it is unlikely the government will accept legal liability for any injury or death resulting from the vaccines. Additionally, some states have extended immunity to include those who administer the vaccine (doctors, pharmacists, etc.).
To be compensable under workers’ compensation the injury must arise out of and be in the course and scope of employment. Further, an occupational illness or disease that causes death or injury is compensable only if the illness, disease or resulting is peculiar to the industry or job. More detail on compensability in workers’ compensation is available within the VU article, “Occupational Illness and Compensability.”
If the injured person cannot go after the manufacturer, the government or the administrator, who is next? If the employer required the vaccinations – the answer
Can death or severe injury/illness from an employerrequired vaccine meet the requirements for compensability? Although getting the vaccine was FOR
26 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
work, it does not appear to arise out of and in the course and scope of THE work. Additionally, the illness or death is not peculiar TO THE WORK, the result is one to which members of the entire population (members of the general public) may be subject. (Specific details on each of these requirements for compensability is found in, “Occupational Illness and Compensability.”)
term “named peril” is most commonly associated with and applicable to property coverage, it can be used to describe some liability coverages, especially management liability coverages. An EPL policy responds only to “Wrongful Acts,” “Wrongful Employment Acts” or whatever the subject policy calls the acts covered by the policy. What qualifies as a covered act is specifically listed in the policy. Thus, it’s a “named act” or named peril coverage.
Clearing the hurdles necessary to create a compensable injury under workers’ compensation coverage may prove extremely difficult. Given the application of and requirements for compensability currently applied in workers’ compensation, there does not appear to be protection provided by the workers’ compensation policy.
If the act leading to the lawsuit is not named, the policy is not triggered and there is no coverage. Add to this a specific “Bodily Injury” exclusion found in most EPL policies and the EPL does not appear to provide any coverage if the employee develops an illness or dies from a required vaccine.
Employers’ Liability
However, the EPL policy may be triggered if the employee is fired for refusing to take the vaccine. Further, most EPL policies provide coverage for hostile work environments, so even if the employee isn’t fired, but the employer shames, withholds promotions or commits other such actions, the EPL may respond if the employee sues.
Part Two of the workers’ compensation policy is employers’ liability. This is an often overlooked or even ignored gap filler between workers’ compensation and general liability few agents understand. An Employers’ Liability primer is available within the Big I’s Virtual University research library. Employer negligence and an ultimate finding of legal liability on the part of the employer are key requirements before employers’ liability coverage is triggered. If the employer is not negligent in causing the injury or illness, employers’ liability does not respond. To be considered negligent, the injured party must prove: 1. The employer owed a duty; 2. The employer breached the duty; 3. An injury occurred; and 4. The employer’s breach of duty was the proximate cause of the injury. (Note: A more detailed explanation of legal liability is available in the article, “How Does a Person Become Legally Liable.) Proving negligence by requiring a vaccine may be difficult. The manufacturer has the duty to produce a safe vaccine, safety of the vaccine is not within the employer’s control. It seems unlikely the employers’ liability key trigger is tripped and thus it seems unlikely employers’ liability coverage will respond. Additionally, there are other limitations with employers’ liability coverage that may also preclude coverage. Employment Practice Liability Because there is no standard Employment Practices Liability (EPL) coverage form, anticipating how an EPL policy may respond to an employer requiring the vaccine could be more complicated, but then again, maybe not. EPL is a type of “named peril” coverage. Although the
EPL may respond to a suit related to the taking or not taking of the vaccine, but it most likely will not respond to any injury or death that results from a required vaccine. Insurance Realities Whether an employer can require the vaccine and under what conditions are topics that must be addressed by employment attorneys. But if the decision is made to require vaccines for employment, the business owner must consider the possible financial consequences if an employee is sickened by or even dies as a result of the vaccine. Considering the requirements and provisions of the most relevant insurance policies discussed in this article, the employer may have NO insurance protection if they are sued and ultimately held responsible for any illness or injury an employee suffers as a result of required vaccinations. Employers must make a business decision regarding vaccines. One factor that must be considered during the decision-making process is the potential financial consequences from the seeming lack of any insurance protection. The reality of this lack of insurance protection could prove very expensive for the employer. Disclaimer: This information is to be construed as an opinion only based on a current understanding and application of the various policies. This should not be taken as legal advice or a definitive response by the various insurance carriers and policies. Laws vary and may be modified over time.
> Chris Boggs, IIABA Executive Director of Risk Management and Education wisconsin INDEPENDENT AGENT
| APRIL 2021 | 27
GOVERNMENT AFFAIRS
MEET WISCONSIN’S NEWLY APPOINTED INSURANCE COMMITTEE CHAIRS The Wisconsin legislature enters the 2021-2022 legislative session with two newly appointed Insurance committee chairs and several new committee members of both houses. State Senator Mary Felzkowski (R-Irma) and State Representative David Steffen (R-Green Bay) will chair their respective Insurance committees for the next two years. These standing Insurance committees serve an essential role overseeing one of Wisconsin’s leading business sectors with more than $43 billion in written premium in 2019, while ranked 5th in the nation for the number of domiciled insurers located in the state. All proposed state regulations and statutory changes generally must pass through both committees before being adopted. Sen. Mary Felzkowksi, formerly Mary Czaja, was recently elected to the State Senate in November 2020 representing the 12th Senate district in northern Wisconsin. As a new senator, Felzkowski was appointed in January 2021 to serve as chair of the Senate Insurance, Licensing and Forestry Committee. Sen. Felzkowski also serves as an influential member of the legislature’s 16-member Joint Finance Committee (JFC). This committee has oversight of all state government appropriations and expenditures, including the $91 billion biennial state budget. Felzkowski previously served in the State Assembly where she was first elected to the 35th Assembly district in 2012 and gradually worked her way up the ranks to a leadership position as Assistant Majority Leader in 2019. Felzkowski was born in Tomahawk, Wis. and is a very familiar face to the Wisconsin insurance industry as a longtime owner of a successful independent insurance agency and through her past proactive involvement with the Professional Insurance Agents of Wisconsin. Felzkowski also served as a board member for the National Alliance for Insurance Education and Research. In her first term in the legislature, Felzkowski served on the Assembly Insurance Committee and then in her next term was appointed to the Joint Finance Committee. Sen. Felzkowski brings a common sense perspective to the Senate Insurance Committee and is an impactful leader on many important issues that affect insurance agents and our industry. The Big I of Wisconsin looks forward to working with Sen. Felzkowski and her staff this session. 28 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
Rep. David Steffen is also a familiar face to the Wisconsin insurance industry. Rep. Steffen was first elected to the State Assembly in 2014 to represent the 4th Assembly district in Green Bay, Wis. During his first term he was appointed to the Assembly Insurance Committee. He has served as a member of the committee ever since in each of his last four elections. This session, Steffen was appointed as chair of the Assembly Insurance committee, replacing State Representative Kevin Petersen who stepped down from the post as a result of his caucus election to serve in Assembly leadership as Assistant Republican Majority leader. Petersen remains a member of the committee serving as vice-chair. Prior to being elected to the legislature, Steffen was President of the Ashwaubenon Business Association and also served on the Brown County Board of Supervisors and Village of Howard Board of Trustees. Steffen is very knowledgeable about the industry and understands the importance to the state economy of having a robust, competitive private insurance sector. Wisconsin’s independent agency force and insurance industry is in strong, capable hands with Rep. Steffen at the helm of the Assembly Insurance Committee this session and we look forward to working with him and his office. Also, new members to the Assembly Insurance committee are: State Rep. Robert Brooks (R-Saukville) of the 60th AD and State Rep. Sara J. Rodriguez (D-Brookfield) of the 13th AD New members to the Senate Insurance committee are: State Sen. Rob Stafsholt (R-New Richmond) of the 10th SD, State Sen. Roger Roth (R-Appleton) of the 19th SD and State Sen. Janis A. Ringhand (D-Evansville) of the 15th SD.
>M isha Lee IIAW Lobbyist
AmGUARD • EastGUARD • NorGUARD • WestGUARD
Commercial Personal Lines We offer insurance solutions for homeowners and for small, medium, and large businesses with competitive pricing, an easy submission process, and the opportunity for multi-product discounts. Visit www.guard.com to see what we can do for you.
Businessowner’s Commercial Auto Commercial Umbrella Homeowners Personal Umbrella Professional Liability/E&O Workers’ Compensation
Pay-As-You-Go options with over 200 payroll partners!
APPLY TO BE AN AGENT: WWW.GUARD.COM/APPLY Not all Berkshire Hathaway GUARD Insurance Companies provide the products described herein nor are they available in all states. Visit www.guard.com/states/ to see our current product suite and operating area.
IIAW Agency Accounting Services Our Services: • Provide day-to-day bookkeeping • Payroll processing • Direct agency bill reconciliation • Financial statement preparation and interpretation • Prepare annual budget plan • Work with your external accountants for tax and auditing needs
Who is best fit for our services: Agencies lacking financial acumen on staff Agencies with mature staff looking forward to retiring Agencies looking for additional bookkeeping knowledge and support
Contact: Matt Banaszynski, IIAW CEO 608-256-4429 matt@iiaw.com
In 1919, A group of Pennsylvania farmers founded Penn National Insurance to provide affordable workers’ compensation insurance. Today, Penn National Insurance sells property-casualty insurance in 11 states by partnering with more than 1,200 independent agency operations. In 2012, we affiliated with Wisconsin-based, Partners Mutual Insurance Company. As one company, we bring the personal attention and local focus of a regional carrier, along with the quality of products and services of national carriers. Interested in partnering with a thriving insurance carrier with superior customer experience? We are looking for select commercial lines-oriented agencies in Wisconsin. Contact: Vicki Lentz 262-432-3420 vlentz@pnat.com
Clayton Zogata 262.432-3422 czogata@pnat.com
• Strong financial performance and A.M. Best Financial Strength Rating of A• Expanded Commercial Lines product and services with competitive pricing and comprehensive coverages to help our agents grow profitably. • Comprehensive Personal Lines product offerings, including Homeowners Equipment Breakdown and additional protection plans. • State-of-the-art quoting, processing and self-service tools, making is easier and faster to meet your customers’ needs. • Local experienced underwriting, claims and management staff
An Equal Employment Opportunity/Affirmative Action Employer ©2020 Penn National Insurance
Policies issued for domiciled businesses and individuals in Wisconsin and Iowa are underwritten under our affiliate, Partners Mutual Insurance Company.
wisconsin INDEPENDENT AGENT
| APRIL 2021 | 31
VIRTUAL UNIVERSITY
FIVE BOP GAPS AND PITFALLS AGENTS SHOULD WATCH Businessowners Policies, traditionally referred to simply as “BOPs,” were introduced in 1976 and significantly revised in 1987. The BOP evolved gradually from the 1987 revisions to include risk classification and sizes not contemplated in the original or “first revision” editions of the form. Additionally, many insurance carriers have built upon the Insurance Services Office’s (ISO’s) version to develop proprietary BOP forms. Designed to simplify the risk management process by packaging property and liability coverages into one form while adding several coverage extensions traditionally necessitating endorsement, BOP policies have long been viewed as the easiest way to protect the client with the greatest amount of coverage and the least amount of work; and to a great extent, they achieve these objectives. However, reliance on the automatic coverages provided by the BOP may have blinded some to the form’s coverage gaps. BOP Business Income Limitations Business income protection provided by the Businessowners Policy is relationally broad; there is no coinsurance with which the agent or insured need be concerned and the loss of income is “fully” covered for 12 months (“actual loss sustained”). But even in its breadth three weaknesses exist: 1. Ordinary payroll is limited to 60 days; 2. Coverage is limited to 12 months of protection; and 3. Extended business income is limited to 30 days. Ordinary Payroll Limitation Ordinary payroll is not limited in the standard business income policies unless done so by endorsement. The BOP is exactly opposite; unless endorsed otherwise, coverage for ordinary payroll is limited to just 60 days. Should the insured desire to extend payroll to “ordinary” employees beyond these 60 days, the insured must; 1) endorse the policy by notating on the declaration page indicating the number of days coverage is desired; and 2) pay additional 32 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
premium. “Ordinary” employees are all employees other than officers, executives, department managers, employees under contract or any other employees specifically listed as being necessary, non-ordinary employees (done by name or job classification). Payroll for these non-“ordinary” employees is covered for the entire period of restoration or 12 months, whichever comes first. Period of Restoration Limitation Should the “period of restoration” extend beyond the 12 months of coverage provided by the BOP’s business income protection, the insured has no remedy. Business income lost after the allowable 12 month period of indemnity is paid out of the insured’s pocket. Many factors directly affect the “period of restoration” and the time it takes a particular entity to return to its pre-loss “operational capability.” Among the relevant factors: time for the adjustment process; time for building plans to be drawn and approved; finding and hiring a contractor; obtaining building permits; time to rebuild; and any building code-related issues. Depending on the loss severity and problems in accomplishing all the necessary “period of restoration” factors, the insured may require more than 12 months to return to “operational capability.” The BOP offers no way for the insured to increase the protection beyond 12 months. “Operational capability” as it relates to business income is an entity’s ability to operate at or near pre-loss production or sales capacity. This is a non-policy-defined business income term describing the point at which an insured can operate with the same level of inventory, equipment and efficiency as before the operational-closing loss. To clarify, “operational capability” is NOT synonymous with a return to pre-loss income levels, which may take much longer to accomplish; it is merely the entity’s ability to produce goods and provide service at the same level, efficiency and speed as before the loss (i.e. the ability to conduct “operations” at pre-loss levels).
This highlights the third limitation of the BOP’s business income coverage – the 30-day limit on the extended period of indemnity. Extended Business Income Limitation Once the business has reopened and returned to full operational capability, returning to pre-loss cash flows and income levels may take a while. The unendorsed/unaltered BOP provides only 30 days of additional protection following the period of restoration to return to pre-loss profit levels. If the insured feels this is an inadequate limit (which it probably is), the period of extended business income coverage can be extended by a notation on the declaration page and the payment of an additional premium. Business Personal Property – Seasonal Increase Limitation One often touted benefit of the BOP is the automatic 25 percent seasonal increase for business personal property. This is appropriate for those insureds subject to periods of foreseeable or even unforeseen increases in business personal property.
ISO BOP BOP policies accomplish much of their intended goal, providing a wide scope of coverage without the need of much agent/policy interaction. However, relying too heavily on the BOP without knowledge of its finer details can leave the client lacking at the time of a loss. Above are but five limitations or exclusions that may adversely affect clients; there are others. The BOP program does offer additional endorsements to personalize the policy to fit each clients need. Even though the BOP looks like a full package of protection, it is customizable to fit the individual insured’s needs. Proper time must be devoted to assure the insured is uniquely protected. This article has focused solely on ISO’s BOP form; many carriers have developed their own forms. Non-ISO forms must also be carefully analyzed to find each one’s weaknesses and gaps. A BOP is not a “once-and-done” form; it must be monitored like any other. > Chris Boggs
Executive Director Risk Management & Education | IIABA
However, this extension of coverage comes with a caveat; the business personal property limit must equal 100 percent of the average monthly values on hand for the 12 months (or the length the insured has been in business, whichever is less) immediately preceding the loss. This means that the value used for the current year has to include the seasonally increased values of the year prior.
Historic Company. Startup Mentality.
If the insured averaged $100,000 for nine of the previous 12 months and $120,000 for the remaining three (within the 25 percent), what limit must they carry to assure the availability of the seasonal increase protection? The insured’s average monthly value is $105,000 [(($120,000 x 3) + ($100,000 x 9))/12]. To qualify for the seasonal increase, the insured must carry $105,000 – not the $100,000 that is the most common amount on hand. Many agents fail to account for this policy provision; potentially leaving their client without the proper protection should a loss occur during the time of a seasonal increase. BOP’s System Breakdown, Boiler and Artificial Electrical Damage Limitations Limitation may not be the correct term for these types of losses; exclusion is more appropriate. Loss caused by a systems breakdown, steam boiler or artificial electrical damage is specifically excluded in ISO’s BOP coverage form.
Visit our website today to learn more about our customized packages of protection for your personal and commercial clients.
To pick up coverage for these exposures requires an endorsement be attached. The BP 04 59 “Equipment Breakdown Protection Coverage,” adds back the necessary 800.837.7833 protection.
badgermutual.com wisconsin INDEPENDENT AGENT
| APRIL 2021 | 33
IIAW PRELICENSING CLASSES Since 1993, more than 20,000 students have graduated from our in-classroom prelicensing school. The IIAW in-classroom prelicensing school has some of the highest passing ratios in the state for the last 25+ years! “Overall the class went very well and I felt included as if I was in the room.” -Former Online Student
IIAW PRELICENSING CLASSES:
• Now offering classes in-classroom and broadcasting online* in real-time • Located at IIAW Headquarters • Fulfills the study requirements for life, health, property and casualty • Designated to help you pass your state licensing examination • Taught by an experienced insurance professional * Just select the online (virtual class) option when registering.
CLASS SCHEDULE: LIFE & ACCIDENT/ HEALTH
April 12-15 June 7-10
PROPERTY & CASUALTY
April 19-22 May 10-13
REGISTER AT IIAW.COM
To register, click the Education tab on IIAW.com.
IIAW Member Pricing: $374* Non-Member Pricing $399* The course fee includes all class materials. Materials are distributed on the first day of class. You receive: • Life & Accident/Health or Property & Casualty Insurance Study Manual • The Intermediary’s Guide to Wisconsin Insurance Law • The State of Wisconsin Ins. Licensing Candidate Handbook (This provides all the information to obtain a license) • Exam Simulator - A computer program designed to help you pass your prelicensing exam on the first try For any questions please contact diana@iiaw.com. *Pricing given for full class registration. You may also take individual classes. * If taking the course online, the IIAW will mail the study manual to your preferred address.
MEET OUR INSTRUCTOR Gabrielle O’Brien, MBA, has been active in the insurance industry for more than 25 years, developing continuing education classes in related fields such as Ethics and Errors and Omissions. As the lead instructor of the Independent Insurance Agents of Wisconsin’s Property & Casualty and Life & Health Prelicensing Schools, she has guided thousands of students to successfully passing the insurance intermediary’s exam. O’Brien has participated in many other aspects of the industry as an underwriter, manager, and field representative. O’Brien’s received her Master of Business Administration from Loyola University and her Bachelor of Arts from Saint Mary's College.
IIAW CONTINUING EDUCATION
2021 ONLINE EDUCATION & CE CLASSES
AP RIL & MAY 2 0 2 1 SC H EDU L E DATE
TIME
COURSE
4/01
12PM-2PM
Those Kids and Their Cars
4/02
9AM-12PM
E&O - Roadmap to Homeowners
4/05
9AM-11AM
Coverage Disputes Between Thompson & Boggs, You Be the Judge
4/06
8AM-10AM
Builders Risk and Contractors Equipment
4/07
12PM-2PM
Personal Lines Issues That Keep You Up at Night
4/09
9AM-12PM
Commercial Lines Claims That Cause Problems
APRIL
4/13 9AM-11AM 4/15
9AM-11AM
4/16 9AM-12PM 4/19
9AM-12PM
Embracing Directors & Officers Liability Insurance Contracts Agents Should Read E&O - Commercial Property Coverage Gaps & How to Fill Them E&O - Roadmap to Homeowners Insurance
4/20 12PM-2PM The Guy in the Bar Returns 4/26 12PM-3PM Agency Management Based E&O and Ethics 4/27
8AM-9AM
Setting Business Income Limits: It’s Easier Than You Think!
MAY 5/03 11AM-1PM
Insight on Modern Day Cyber Exposures & Risk Management
5/04
8AM-10AM
Builders Risk and Contractors Equipment
5/05
12PM-2PM
Personal Lines Issues that Keep You Up at Night
5/06
8AM-9AM
Claims-Made Policies - The Most Dangerous Insurance Policies
5/07
9AM-12PM
E&O - Roadmap to Homeowners Insurance
5/11 9AM-11AM Embracing Directors & officers Liability Insurance 5/14
9AM-12PM
5/18 12PM-2PM
Commercial Lines Claims That Cause Problems The Guy in the Bar Returns
FOR MORE INFORMATION AND TO REGISTER FOR THESE CLASSES, VISIT IIAW.COM/EDUCATION
features 30 hours of interactive training approved by the state of Wisconsin.
News Members in the
HARMS INSURANCE GROUP PROMOTES EMPLOYEES TO JUNIOR PARTNERS
SUN PRAIRIE, WI (February 16, 2021) - Harms Insurance Group of Sun Prairie and Lake Mills recently added six new owners at the start of 2021, marking the beginning of a new partnership between agency owner Matt Harms and longtime agency employees. In a surprise announcement,Harms told six of his employees, “I value the work you’ve all put into the agency over the past many years and want to make all of you agency owners.” Staff turnover is low, and the six new agency owners have a combined tenure of 126 years — the least-tenured owner having been with the agency for 11 — with Harms Insurance Group. Newer employees may become eligible for the same once they reach 10 years of employment. New junior partners with Matt Harms include Lu Anne Wood, Senior Commercial Lines Account Manager (34 years), Kathy Forest, Benefits Account Executive (23 years), Laurie Stocker, Administration/Accounting (21 years), Brenda Heilman, Senior Personal Lines Account Manager (20 years), Nicole Waerzeggers, Commercial Lines Account Manager (17 years), and Jeff Lederman, Commercial Account Executive (11 years). Harms Insurance Group has been an independent insurance agency since 1984, with offices in both Sun Prairie and Lake Mills. For more, visit online at www.harmsinsurancegroup.com.
AAA LAUNCHES ONLINE DRIVER EDUCATION COURSES IN WISCONSIN
MADISON, WI (February 18, 2021) - Teens in Wisconsin will now be able to take driver education classes online using the “How to Drive” curriculum from AAA. Built on nearly a century of respected driver education expertise, but utilizing the latest teaching techniques and up to date information on vehicle technology and roadway dangers, this course 36 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
“Getting a teen ready for the road can be a stressful experience for parents,” said Nick Jarmusz, director of public affairs for AAA – The Auto Club Group. “We are pleased to provide this quality program in a convenient format for Wisconsin families.” The online offering allows busy families to build their own schedule and set their own pace. Students can access the course wherever internet access is available and save their progress to continue later. The curriculum features the most up-to-date information from scientifically validated sources, contemporary videos, presentations, simulations, and interactive exercises to enhance content retention. According to research by the AAA Foundation for Traffic Safety, more than 60 percent of teens get their driver’s license before age 18. That figure has been on the rise in recent years, reversing a previous trend of teens waiting until after turning 18, when driver education courses are not required and Graduated Drivers Licensing provisions are not applicable. The need for quality pre-licensing education remains high: • The Wisconsin Department of Transportation reports that teens account for less than 5 percent of all licensed drivers in the state – yet are involved in nearly 10 percent of all traffic crashes. • Vehicle crashes are the leading cause of teen deaths, according to the National Highway Traffic Safety Administration. To learn more about AAA’s driver education offerings in Wisconsin, click here. Current AAA members save $25 and receive a one year complimentary Associate Membership for their teen when they get their learner’s permit. SOCIETY INSURANCE PARTNERS WITH LOCAL RESTAURANTS TO FEED HEALTHCARE WORKERS AND FAMILIES IN NEED
AUSTIN, TX (February 22, 2021) - Acuity is named one of the 10 best insurers in the nation for claims service in a recent study by CRASH Network. In addition to being ranked in the top 10 auto insurers nationwide, Acuity is the highest-ranked Wisconsin-domiciled insurer. “We are honored to be recognized for the quality claims service we deliver,” said Ben Salzmann, Acuity President and CEO. “People know they can count on Acuity.” CRASH Network surveyed over 1,100 collision repair shops across the country for its 2021 Insurer Report Card. Shops were asked to grade the claims service of insurance companies they interact with on a regular basis based on how well each company’s claims handling policies, attitude,
and payment practices ensure quality repairs and customer service. “Acuity is committed to providing world-class service in claims, and being rated a top company in the CRASH Network survey shows we are doing just that,” said Jamie Loiacono, Acuity’s Vice President – Claims. “Being recognized by CRASH Network is particularly rewarding because the rating comes from collision repair professionals at body shops who know first-hand how well we handle claims compared to other insurers.” According to the CRASH Network, highly rated insurance companies don’t pressure repair shops to cut corners or install lower quality parts and don’t add administrative steps that slow down the repair and claims process. Survey results show that many insurers getting the highest grades are regional insurance companies. Large carriers fared poorly, with none of the top 10 largest auto insurers in the country earning above a C+ grade. ACUITY NAMED A TOP COMPANY FOR CLAIMS SERVICE
SHEBOYGAN, WI (February 24, 2021) - Acuity is named one of the 10 best insurers in the nation for claims service in a recent study by CRASH Network. In addition to being ranked in the top 10 auto insurers nationwide, Acuity is the highestranked Wisconsin-domiciled insurer.
Acuity Insurance, headquartered in Sheboygan, Wisconsin, insures over 125,000 businesses, including 300,000 commercial vehicles, and nearly a half million homes and private passenger autos across 29 states. Rated A+ by A.M. Best and S&P, Acuity employs over 1,400 people. SFM PROMOTES CODY ALLEN TO NEW BUSINESS DEVELOPMENT POSITION
BLOOMINGTON, MN (March 5, 2021) – SFM Mutual Insurance Co. has promoted Cody Allen to a newly established Business Development Specialist role. This position will focus on growth in existing business areas and new market opportunities. Allen has been in the insurance field for 12 years. He joined SFM in 2013 as a Marketing Underwriter in its Iowa and Nebraska business unit, and had previously been promoted twice, most recently holding the title of Marketing Underwriting Specialist. Allen graduated from Iowa State University in 2005 with a degree in political science. He holds a Chartered Property Casualty Underwriter (CPCU) designation and has his insurance producer license for property and casualty.
“We are honored to be recognized for the quality claims service we deliver,” said Ben Salzmann, Acuity President and CEO. “People know they can count on Acuity.”
“Cody is the perfect fit for this position,” SFM Senior Vice President and Chief Marketing Officer Mike Happe said. “He has a strong background in insurance sales, a great track record of helping build our business in Iowa, and has played a key role in our Kansas expansion.”
CRASH Network surveyed over 1,100 collision repair shops across the country for its 2021 Insurer Report Card. Shops were asked to grade the claims service of insurance companies they interact with on a regular basis based on how well each company’s claims handling policies, attitude, and payment practices ensure quality repairs and customer service.
Allen also serves as the diversity chair for the Iowa CPCU Society, and is involved in the American Association of State Compensation Insurance Funds (AASCIF), having recently served as the chairperson for the Policyholder Services Committee.
“Acuity is committed to providing world-class service in claims, and being rated a top company in the CRASH Network survey shows we are doing just that,” said Jamie Loiacono, Acuity’s Vice President – Claims. “Being recognized by CRASH Network is particularly rewarding because the rating comes from collision repair professionals at body shops who know first-hand how well we handle claims compared to other insurers.” According to the CRASH Network, highly rated insurance companies don’t pressure repair shops to cut corners or install lower quality parts and don’t add administrative steps that slow down the repair and claims process. Survey results show that many insurers getting the highest grades are regional insurance companies. Large carriers fared poorly, with none of the top 10 largest auto insurers in the country earning above a C+ grade.
About SFM SFM, headquartered in Bloomington, Minnesota, is a customer-owned mutual insurance company providing Minnesota, Wisconsin, Iowa, Nebraska, South Dakota and Kansas employers with workers’ compensation coverage. SFM offers workers’ compensation insurance solutions for employers of all sizes, including claims and disability management, cost containment, legal assistance and thirdparty administration. For more information, visit sfmic.com. Are you an IIAW Supporting Company Member? Send your press releases to kaylyn@iiaw.com to be featured in our Members in the News section.
wisconsin INDEPENDENT AGENT
| APRIL 2021 | 37
COMMENTARY FROM COUNSEL
A SHOT IN THE ARM - WISCONSIN’S LONG-AWAITED COVID RELIEF AND IMMUNITY LEGISLATION As health care providers across the state rush to vaccinate eligible Wisconsinites, elected officials in Madison added an additional group to the immunization list: the business community. In late February, the Wisconsin legislature passed a bill, quickly signed by the Governor, aiding two groups both hurt by the pandemic but not typically lumped together: businesses and the unemployed. For Wisconsin jobseekers, the bill waives the oneweek waiting period for unemployment benefits and provides the funds necessary to update the state’s outdated technology supporting the unemployment system. For businesses, schools and other organizations, the law offers immunity from civil liability due to an act, or a failure to act, leading to a person’s exposure to Covid-19. The Scope of Wisconsin’s New Covid Immunity Statute On its face, the liability shield, found in the newly created Wis. Stat. § 895.476, is straightforward. The law ensures that “an entity is immune from civil liability for the death of or injury to any individual or damages caused by an act or omission resulting in or relating to exposure, directly or indirectly, to the novel coronavirus … in the course of or through the performance or provision of the entity’s functions or services.” The law’s definition of “entity” is broad, encompassing businesses, governments, schools, and non-profits. Further, the law’s protections extend to an organization’s employees, agents, independent contractors, and even unpaid volunteers. The statute also clarifies that the immunity provided by the law is in addition to any immunity already provided, such as workers compensation protection for claims by employees against employers. That said, the law is not without limits. First, the law is retroactive, but only back to claims that arose on or after March 1, 2020. And, it does not apply to cases already filed with courts prior to February 27, 2021 (the law’s effective date). Second, the liability shield will not apply “if the act or omission involves reckless 38 | APRIL 2021 |
wisconsin INDEPENDENT AGENT
or wanton conduct or intentional misconduct.” The terms “reckless” and “wanton” are not defined in the statute. However, Wisconsin courts have used the terms to describe instances in which a person’s conduct demonstrates an indifference to the consequences of their actions. Thus, the new law will not protect businesses from intentional or egregious conduct that puts someone at risk of contracting Covid-19. Now What? Wisconsin’s Covid liability shield is broad, but like any grant of immunity, its exact parameters will be sorted out in court in the coming months and years. Much of this will likely center around what constitutes reckless or wanton conduct in this context. For example, is a business’s failure to enforce the Governor’s executive orders mandating face masks wanton or reckless? Is it intentional? Moreover, what if a business exposed one of its patrons to Covid, but it’s not clear whether such exposure occurred before or after March 1, 2020, given repeated contacts during that period? If medical records or expert testimony establish exposure occurred post-February 29, 2020, the case would likely be dismissed, but the business may have incurred significant defense costs by that point. As a result, it is critical that you stay in contact with legal counsel to remain up to date on how Wisconsin courts interpret and apply this new law. Doing so will not only help you better advise your clients. Stay on the lookout for future columns on this topic once the law has been tested in the courts.
>J osh Johanningmeier IIAW General Counsel
FOOD FOR THOUGHT
SAFETY IS OUR FOCUS. 0006 - Farm: Animal Raising
5184 - Steam Pipe or Boiler Installation
Among the men and women that keep our world moving are those with calloused hands and hard hats. At AMERISAFE, our duty is to keep these workers protected.
WORKERS’ COMP IS ALL WE DO.
7219 - Trucking: NOC-All Employees & Drivers
8500 - Metal Scrap Dealers
amerisafe.com - 800.897.9719
© 2021 AMERISAFE, Inc. AMERISAFE and the AMERISAFE LOGO is a registered trademark of AMERISAFE, Inc. SAFE ABOVE ALL is a trademark of AMERISAFE, Inc. All rights reserved.
iiaw.com/insurcon
PRSRT STD US POSTAGE PAID MADISON WI PERMIT NO. 549
WE DIDN’T KEY THE CAR. BUT WE’RE THE KEY TO FIXING IT. AUTO INSURANCE THAT’S DESIGNED TO BE WORRY FREE Wheels are the way around life. Protect vehicles with auto insurance from the Worry Free Company — IMT Insurance. Learn how you can represent IMT Insurance at imtins.com/contact and help your policyholders Be Worry Free with IMT.
AUTO | HOME | BUSINESS
