Insurance Journal West 2023-05-08

What Young Consumers Want from Insurance

Young consumers don’t always trust the insurance industry, but most do, according to a new study from the Society of Actuaries (SOA) Research Institute, which found that on average, younger consumers rated insurance companies a six out of 10 in terms of trust.

The study analyzed how younger consumers understand, evaluate and purchase insurance plans. The study also investigated younger consumers’ perception of risk and the impact of the COVID-19 pandemic on how they value insurance.

The majority of young consumers see insurance playing a positive role in their lives and some 61% of younger consumers intend to purchase one or more types of insurance within the next 12 months.

Roughly half of those surveyed prefer to purchase insurance online. Additionally, younger consumers are most likely to own automobile and health insurance, and least likely to own critical illness, disability and accident insurance.

Other key findings include:

• 41% of young consumers feel it is important to have insurance.

• 63% surveyed consider themselves risk neutral, while 23% consider themselves more risk averse, and 14% consider themselves risk tolerant.

• Between 60% and 80% of younger consumers are somewhat or very concerned about the financial impact of each of 12 financial and insurable risks, such as car accidents, damage to personal property or damage to residence.

The report also studied the level of risk tolerance of younger consumers, and their willingness to engage in risky behaviors. Those surveyed who are risk averse are more concerned about accidents and health risks.

But there was a disconnect between the perceived likelihood of an event and concern over it. For example, when asked about their concern of the financial impact of insurable risks, 79% of younger consumers reported concern about being in a car accident that results in significant repair or medical costs, but only 35% of respondents cited they are likely to be in a car accident within the next 10 years.

“It’s clear that young consumers’ perception of insurance varies based on their unique level of risk tolerance or aversion, as well as their perception of certain risks,” says Ronora Stryker, ASA, MAAA, senior practice research actuary, SOA Research Institute. “Despite these differences, the general attitude towards insurance companies among younger consumers is positive, with affordability and level of coverage being the most important factors when purchasing insurance.”

The survey also found younger consumers were motivated to purchase insurance they felt was needed, even if the type of insurance is required. For example, 47% of respondents cited necessity as their motivation for home insurance, compared to 27% who cited purchasing because of a mortgage lending requirement.

The survey report, “Perceptions of Younger Generations on Risk and Insurance,” was conducted online and garnered 1,000 responses from young consumers ages 21-42, who reported having an income of at least $25,000. They also could not work in the insurance industry.

Andrea Wells Vice President, Content

Chairman of the Board Mark Wells | mwells@wellsmedia.com

Chief Executive Officer Joshua Carlson | jcarlson@insurancejournal.com

ADMINISTRATION / CIRCULATION

Chief Financial Officer Mark Wooster | mwooster@wellsmedia.com

Circulation Manager Elizabeth Duffy | eduffy@wellsmedia.com

Staff Accountant Sarah Kersbergen | skersbergen@wellsmedia.com

EDITORIAL

V.P. of Content Andrea Wells | awells@insurancejournal.com

Executive Editor Emeritus Andrew Simpson | asimpson@wellsmedia.com

National Editor Chad Hemenway | chemenway@insurancejournal.com

Southeast Editor William Rabb | wrabb@insurancejournal.com

South Central Editor/Midwest Editor Ezra Amacher | eamacher@insurancejournal.com

West Editor Don Jergler | djergler@insurancejournal.com

International Editor L.S. Howard | lhoward@insurancejournal.com

Content Editor Allen Laman | alaman@wellsmedia.com

Assistant Editor Jahna Jacobson | jjacobson@insurancejournal.com

Copy Editor Stephanie Jones | sjones@insurancejournal.com

Columnists & Contributors

Contributors: David Blades, Sharon Emek, Jim Sams, Elsie Tai

Columnists: Tony Caldwell, Catherine Oak, Mary Newgard

SALES / MARKETING

Chief Marketing Officer

Julie Tinney | jtinney@insurancejournal.com

West Sales Dena Kaplan | dkaplan@insurancejournal.com

Romeo Valdez | rvaldez@insurancejournal.com

Kelly DeLaMora | kdelamora@wellsmedia.com

South Central Sales

Mindy Trammell | mtrammell@insurancejournal.com

Southeast and East Sales (except for NY, PA, CT)

Howard Simkin | hsimkin@insurancejournal.com

Midwest Sales

Lisa Whalen | (800) 897-9965 x180

East Sales (NY, PA and CT only)

Dave Molchan | (800) 897-9965 x145

Advertising Coordinator

Erin Burns | eburns@insurancejournal.com

Insurance Markets Manager

Kristine Honey | khoney@insurancejournal.com

Sr. Sales & Marketing Coordinator

Laura Roy | lroy@insurancejournal.com

Marketing Administrator Alberto Vazquez | avazquez@insurancejournal.com

Marketing Director Derence Walk | dwalk@insurancejournal.com

DESIGN / WEB / VIDEO

V.P. of Design

Guy Boccia | gboccia@insurancejournal.com

Web Team Lead

Josh Whitlow | jwhitlow@insurancejournal.com

Ad Ops Specialist Jeff Cardrant | jcardrant@insurancejournal.com

Web Developer Terrance Woest | twoest@wellsmedia.com

Web Developer Jason Chipp | jchipp@wellsmedia.com

V.P. of New Media

Bobbie Dodge | bdodge@insurancejournal.com

Videographer/Editor Ashley Waldrop | awaldrop@insurancejournal.com

ACADEMY OF INSURANCE

Director Patrick Wraight | pwraight@ijacademy.com

Online Training Coordinator

George Jack | gjack@ijacademy.com

‘41% of young consumers feel it is important to have insurance.’

THINK UFG for simple

Simple solutions for complex times® is more than just our tagline at UFG Insurance.

We’ve made it our mission to create simple solutions for doing business with us, which begins with providing trusted insurance protection and service that exceeds expectations.

For a carrier committed to making insurance simple, think UFG. After all, insurance can be complicated and we all deserve simple solutions in these complex times. ufginsurance.com/services

Simple solutions for complex times INSURANCE

U.S. P/C Underwriting Profit in 2023? Not Yet, Fitch Predicts

Analysts at Fitch Ratings predict a better underwriting result for U.S. property/casualty insurers in 2023 compared to 2022, but the combined ratio is still going to hover above breakeven, according to their forecast.

Fitch forecasts a 100.4 industry combined ratio for the full year in 2023. Aboveaverage catastrophe-related losses and sharp deterioration in auto results drove the industry statutory combined ratio to 102.5 in 2022 — coming in above the 99–100 range for the previous four years. With premium rates rising significantly in 2023 in those underperforming automobile and property segments, underwriting results are likely to improve. Still, claims volatility amid higher inflation and macro uncertainty may impede a return to underwriting profitability, the analysts said, explaining the go-forward forecast. (Note: Fitch’s estimate of the 2022 statutory combined ratio, 102.5, published in mid-April, differs slightly from a late March estimate of 102.7 published by AM Best. Like Fitch, AM Best analysts do not forecast an industry underwriting profit for 2023.)

In addition, commercial lines combined ratios in aggregate are anticipated to slightly deteriorate from current favorable

underwriting profit levels.

Recapping last year, Fitch notes that declining underwriting performance in personal lines drove a 31% drop in statutory earnings in 2022 for the P/C industry. Policyholders surplus fell 7% to $980 billion at year-end, largely from large unrealized investment losses.

On the top line, direct written premiums jumped by more than 9% for the second straight year in 2022, with both commercial and personal lines insurers increasing rates. In 2023, Fitch foresees direct written premium growth moderating slightly but staying above historical norms because of the rating momentum in personal lines.

17 Years of Reserve Releases

Also impacting underwriting profitability this year is higher potential claims cost volatility, which may result in future adverse reserve development. In 2022, the P/C industry reported the 17th straight year of favorable calendar-year reserve development.

Overall reported reserve redundancies declined to 0.6% of earned premiums in 2022, from levels averaging 1% in 20192021 and a level of 2% in 2018. Significant reserve deficiencies emerged in both

personal and commercial auto liability last year, Fitch said, adding that other liability lines also experienced adverse development.

The biggest driver of the overall redundancy continues to be the workers’ compensation line. The Fitch report notes that 2022 was the sixth straight year in which favorable workers’ comp development represented over 12% of calendar-year premiums.

On an accident-year basis, Fitch noted that litigation-related losses, which fueled adverse development in liability lines for accident years 2016-2019, reversed amid the pandemic in accident years 2020 and 2021. Also impacting accident year 2021 were inflation and supply chain shortage effects on loss severity, leading to the reported adverse development in the 2021 accident year for personal and commercial auto liability.

Fitch suggests there is higher potential for adverse development in accident year 2022 in multiple segments due to ultimate effects of inflation and economic volatility on key claims factors, including construction materials, auto parts, contract labor, medical services and litigation costs.

The amount Florida property insurers will be assessed on all premium for new and renewing policies to help the Florida Insurance Guaranty Association fund outstanding claims from the liquidation of United Property & Casualty Insurance Co., which was deemed insolvent in February. The emergency assessment will be the fourth surcharge needed for FIGA in the last two years. It will kick in Oct. 1 and will continue at least until Sept. 30, 2024.

Figures

The approximate area percentage of California that remains in drought as of mid-April, according to the U.S. Drought Monitor. At the start of the water year on Oct. 1, 2022, more than 99% of the state was estimated to be covered by drought.

$100,000

The approximate amount in dimes that thieves apparently made off with after breaking into a truck containing hundreds of thousands of dollars’ worth of dimes while it was parked overnight at a Philadelphia store in April. The tractor-trailer driver had picked up about $750,000 in dimes from the Philadelphia Mint and was planning to transport them to Florida.

The estimated amount of global economic natural disaster losses, including both insured and non-insured losses, during the first quarter of 2023, according to Aon’s Q1 Global Catastrophe Recap Report.

Private and public insurance entities saw an estimated $15 billion of global losses during the first quarter — close to both average and median losses of the last 10 years, Aon’s report shows. Potential loss development is likely to increase the total further, according to Aon.

Declarations

Crypto Exchange

“Make no mistake: many crypto trading platforms already come under the current definition of an exchange.”

— U.S. Securities and Exchange Commission

(SEC) Chair Gary Gensler said in prepared remarks regarding the SEC’s decision to re-open public comment on its proposal to expand the definition of an “exchange,” clarifying that its existing rules on exchanges also apply to decentralized cryptocurrency platforms (also known as DeFi platforms). The SEC voted 3-2 to take additional comments from the public after crypto firms criticized the plan as vague and aimed at roping in DeFi platforms that would otherwise not be subject to oversight.

Advertising or Art?

“They said it would be art elsewhere … It’s just not art here. … The town should not have the right to police art.”

— Said Sean Young, owner of a bakery in Conway, New Hampshire, referring to the mural high school art students painted over his shop’s doorway depicting the sun shining over a mountain range made of sprinkle-covered chocolate and strawberry donuts, a blueberry muffin, a cinnamon roll, and other pastries. The town zoning board decided the painting was advertising and could not remain as is because of its size. Faced with modifying or removing the mural, or possibly dealing with fines and criminal charges, Young sued, saying the town is violating his freedom of speech rights.

Lake Superior Wreckage

“It not only solved a chapter in the nation’s darkest day in lumber history, but also showcased a team of historians who have dedicated their lives towards making sure these stories aren’t forgotten.”

— Ric Mixter, a board member of the Great Lakes Shipwreck Historical Society and a maritime historian, said after Michigan researchers found the wreckage of two ships that disappeared into Lake Superior in 1914. The researchers hope the discovery will lead them to a third that sank at the same time, killing nearly 30 people aboard the trio of lumber-shipping vessels.

Insurance Matters

“Whether Savage had to buy as much insurance as it did is beside the point. … What matters is that it did obtain that insurance.”

— States a Texas Supreme Court opinion reversing a Court of Appeals judgment that held ExxonMobil Corp. was not insured under excess policies purchased by Exxon contractor Savage Refinery Services.

As a result, two excess insurers may be liable for the more than $20 million Exxon paid to settle lawsuits filed by Savage employees who were badly burned while working at an Exxon refinery. The appeals court had ruled that a service agreement between Exxon and Savage limited coverage to $2 million, but the high court’s 6-0 decision says the agreement stipulated a minimum amount of coverage, not a maximum.

NCR Ransomware Attack

“While in-restaurant purchases and transactions continue to operate, affected customers have reduced capabilities on specific Aloha cloud-based and Counterpoint functionality that has impacted their ability to manage restaurant administrative functions.”

— Atlanta-based NCR Corp., one of the largest makers of payment systems, self-checkout technology and ATMs, said after it was hit by a ransomware attack, affecting some customer restaurants. An NCR data center was disabled by the attack, which was confirmed on April 13. Businesses most affected were using NCR’s Aloha cloud-based services and Counterpoint systems.

Pipeline Restart

“Following the line fill process, the pipeline will be operated in accordance with the restart procedures that were reviewed and approved by the Pipeline and Hazardous Materials Safety Administration.”

— Houston-based Amplify Energy Corp. stated after receiving federal regulatory approval to restart an offshore pipeline involved in a 2021 oil spill that fouled Southern California beaches. Amplify said it settled with firms associated with two ships accused of dragging anchors and striking the pipeline during a January 2021 storm, leading 25,000-gallon crude oil spill. Fishermen, tourism companies and property owners sued Amplify and the shipping vessels seeking compensation for their losses. Amplify agreed to pay $50 million and the vessel companies agreed to pay $45 million to settle those lawsuits.

Dog-Related Injuries Cost Insurers More Than $1 Billion in 2022

Insurers paid out more than $1 billion in dog-related injury claims in 2022, a 28% increase over 2021 even though the number of claims decreased last year, according to the Insurance Information Institute (Triple-I) and State Farm. There were 17,597 dog-related injury claims in the U.S. in 2022, down from 17,989 in 2021, according to a Triple-I

analysis of homeowners insurance claims data. Despite a 2.2% decline in the number of claims, the total cost of claims increased significantly — from $882 million in 2021 to $1.13 billion in 2022.

The average cost per claim was $64,555 in 2022, a 31.7% increase from $49,025 in 2021. Across the U.S., the average cost per claim rose 131.7% from 2013-2022 due to increased medical costs, as well as the size of settlements, judgments and jury awards given to plaintiffs, which are trending upward.

More than a third of the dog-related injury claims in 2022 were filed in five states: California (1,954 claims); Florida (1,331); Texas (1,017); New York (969) and Michigan (905). California also had the highest average cost per claim at $78,818, followed by Florida with an average cost of $78,203.

In 29 states, dog owners are

liable for injuries caused by pets, with some exceptions, such as if the dog was provoked, according to a Triple-I analysis of dog bite laws compiled by the American Property Casualty Insurers Association as of March 2021. There are no laws for dog bites in four states — Arkansas, Kansas, Mississippi and North Dakota.

Homeowners and renters insurance policies typically cover dog bite liability legal expenses up to limits typically between $100,000 and $300,000. Some insurance companies will not insure homeowners who own dogs categorized as dangerous. Others decide on a case-by-case basis, according to Triple-I. Pennsylvania and Michigan have laws that prohibit insurers from canceling or denying coverage to owners of particular dog breeds in some policies.

According to information compiled by Triple-I, about 69 million U.S. households own dogs. About 4.5 million people are bitten by dogs each year — most of them children.

U.S. Personal Auto Results Headed the Wrong Way. Is a U-Turn Possible?

By David Blades

Although the pandemic may appear more distant in the rearview mirror, its lasting impact on the personal auto insurance industry may be larger than initially expected.

Private passenger automobile insurance is the largest segment of the U.S. property/ casualty insurance industry, accounting for almost 70% of the personal lines segment and a third of U.S. P/C net premium written. It is a critical line of business for many insurance companies.

Historically, the personal automobile line’s underwriting results have been stable, nearing breakeven in most years. However, personal auto insurers reported stronger-than-usual performance in 2018-2019, and results remained favorable in 2020 as the pandemic

surged, unemployment spiked to the highest levels in years and miles driven plummeted. Because of the drastic drop in miles driven during the

early months of the pandemic, personal auto insurers returned approximately $14 billion in premiums to policyholders.

Unfortunately, it has been an

uphill road ever since.

Auto insurers recorded an underwriting loss of more than $4.1 billion in 2021, with a rapidly worsening loss ratio through the first six months of 2022. AM Best’s private passenger auto composite shows an additional $10 billion in underwriting losses through the first nine months of 2022. Although bottom-line results for 2022 have not yet been finalized, indications are that they won’t be pretty: AM Best has estimated a combined ratio of 110.1 for 2022 — a two-year deterioration of nearly 18 percentage points.

These results are dragging the entire P/C segment’s performance metrics down. Preliminary results for 2022 show a steep decline in underwriting results for the entire segment — a $26 billion loss, for which the personal auto

lines of business are primarily responsible. Early results of the leading private passenger auto insurers also indicate a dramatic downturn in 2022 on a direct basis (prior to the effects of reinsurance ceding).

AM Best has aggregated 2022 direct premiums written (DPW) for 18 of the top 20 insurers of 2021 (Exhibit 1). DPW for those companies increased modestly, by 5.6%, but that increase was outpaced by a greater increase in losses. In 2021, only five of the top 20 auto writers produced direct combined ratios above the breakeven measure of 100.0. In contrast, 16 of the 18 companies for which 2022 combined ratios have been calculated thus far have ratios above 100.0.

Deteriorating Loss Severity

One of the main factors accounting for the deterioration in the results of auto insurers is the rise in loss severity,

attributable to a higher rate of fatalities. One reported trend during the pandemic was vehicles traveling at higher speeds on mostly empty roads in 2020. After vehicles started returning to U.S. roadways, accidents occurring at these elevated speeds have on average been more serious, causing greater damage and driving up claim values for third-party liability and auto physical damage.

Recent National Highway Traffic Safety Administration (NHTSA) statistics show that 31,785 people died in traffic crashes in the first nine months of 2022, compared with 27,019 during the same period of 2018. In April last year, Cambridge Mobile Telematics reported that, although speeding levels are well below the highs of 2020, they are still elevated compared with pre-pandemic years.

In 2021, the number of fatalities jumped by 11% over

the previous year. Additionally, the average cost per private passenger auto claim rose by 14%, reaching almost $10,000 per claim. (Related research: “Numerous Pressures Create Tough Terrain for Personal Auto Insurers,” AM Best, Nov. 11, 2022.)

Distracted driving and poorer driving habits post-pandemic have played meaningful roles in the deteriorating auto results. NHTSA statistics show that roughly 14% of injuries in traffic accident crashes are due to distracted driving. This issue is proving difficult to rectify despite measures taken by the NHTSA and others to reverse recent negative trends.

Whether the distractions are from talking with passengers, talking or texting on cellphones, adjusting vehicle controls, eating, or other activities, they generally fall into one of three categories, as noted by the Insurance

Information Institute: Visual — drivers taking their eyes off the road; Manual — drivers taking their hands off steering wheels; Cognitive — drivers taking their minds off driving when behind the wheel.

Rising medical costs are also an issue that insurers are grappling with. Third-party auto claim costs have been on the rise over the past few years due to many factors, including social inflation, nuclear settlements and rising medical costs. These costs, coupled with escalating prices of motor vehicle parts and equipment — up by 15% year over year in the first half of 2022, according to the U.S. Bureau of Labor Statistics — have also contributed to the poor personal auto results.

FarmersInsuranceGrp.4321.71.51.81.81.7

AmericanFamilyInsuranceGrp.3761.61.31.62.93.0

USAAGrp.2830.91.01.52.01.1

AmicaMutualGrp.1674.65.26.45.17.4

NationwideGrp.1661.51.31.21.00.9

AutoClubEnterprisesInsuranceGrp.1142.02.02.22.32.4

TravelersGrp.1090.30.30.30.40.4

NMInsuranceGrp.950.50.91.22.34.9

HartfordInsuranceGrp.870.40.50.60.60.6

CSAAInsuranceGrp.510.50.20.31.31.2

MercuryGeneralGrp.441.01.01.00.91.1

ElephantInsuranceCompany3313.513.715.815.915.4

AutoClubGrp.310.70.70.71.01.1

LemonadeInsuranceCompany2985.713.313.39.87.9

AllianUSPCInsuranceCompanies290.30.30.10.20.5

Many insurers continue to raise rates in pursuit of improved premium adequacy to offset rising loss cost severity, but their efforts have not yet succeeded, especially as the rate approval process in many states for this highly regulated line is very restrictive. Most approved rate changes have been for less than companies’ actuarial indications, resulting in the need for additional rate filings. Furthermore, the backlog in rate approvals in 2022, particularly in California, didn’t start to clear up until later in the year.

With auto results declining in 2022, returning to a favorable — or even a breakeven — combined ratio will take time given the need for improvement in several areas, such as adverse loss severity and rate adequacy. AM Best forecasts a combined ratio of 106 for 2023.

If current inflationary pressures persist through the year, higher vehicle repair costs are continued on page 26

Top 20 US P C Insurers – Advertising pense Ratios, 2017 2021

Advertising penses as Share of DPW (%)

Business Moves

Worcester, Massachusetts.

TJ Woods was founded in 1949, and is a property/casualty agency, providing personal and business insurance.

Terms of the transaction were not disclosed.

World Insurance Associates is headquartered in Iselin, New Jersey.

Risk Strategies; May, Bonee & Clark Insurance

National

Arch, Thimble

Arch Insurance has acquired Thimble, an insurtech platform that enables small businesses to get insurance coverage by the job, month or year using app, website, or over the phone.

Terms were not disclosed.

Arch said the acquisition expands its suite of digital solutions for small business customers and brokers. Since May 2018, Thimble has delivered more than 170,000 policies to small businesses across the U.S. Thimble works with a variety of carriers including Markel and Employers.

Thimble will continue growing the business with its existing carrier partners and offer new solutions through Arch.

BAN, Alera Group

Benefit Advisors Network (BAN), an international network of employee benefit brokers and consulting firms from across the U.S. and Canada, and the National Benefits Center (NBC), are spinning off from Alera Group, an independent, national insurance and wealth services firm, to become an independent organization.

Perry Braun, who previously held the role of BAN’s executive director, will lead the organization moving forward.

Most recently serving as managing director of business consulting at Alera Group, Braun is acquiring BAN from Alera Group. Braun assumes the position of president and chief executive officer of BAN. He will use his extensive expertise to oversee the transition of BAN to an

independently owned company.

Prior to joining Alera Group, Braun was part of the team that helped launch Alera Group in 2017. In his role as managing director of business consulting, he focused on key initiatives including working with managing partners to improve business performance contributing directly to stronger results, and partnering with the property/casualty team to build a new premium finance program for Alera Group’s P/C partners.

East Hub, Weiss-Schantz Agency

Global insurance broker Hub International Limited acquired the assets of Weiss-Schantz Agency in Pennsylvania. Located in Lehigh Valley and serving eastern Pennsylvania, Weiss Schantz is an independent insurance agency that serves commercial and municipal insurance clients.

Tim Schantz Sr., president, and Tim Schantz Jr., vice president, and the Weiss Schantz team will join Hub Three Rivers. Terms of the transaction were not disclosed.

Headquartered in Chicago, Hub International has more than 16,000 employees in offices located throughout North America.

World Insurance Associates, TJ Woods Insurance Agency

Insurance broker World Insurance Associates acquired the business of Thomas J. Woods Insurance Agency Inc. of

National specialty insurance broker Risk Strategies has acquired May, Bonee & Clark Insurance, a Connecticut-based business and personal insurance, employee benefits and risk management firm. The firm also offers securities and investment advisory services.

Formed through the merger of May, Bonee & Co. and the Clark Agency, MB&C has served the greater Hartford area for more than 35 years. Today, the firm is based in Glastonbury, and led by its principals, Tom and Daniel Clark and Ryan Friedman.

Terms of the deal were not announced. Risk Strategies has more than 100 offices and more than 30 specialty practices serving commercial companies, nonprofits, public entities, and individuals, and has access major insurance markets.

Midwest

Hub, Horizon Agency

Hub International has acquired the assets of Horizon Agency Inc. (Horizon Agency), located in Eden Prairie, Minnesota.

Terms of the transaction were not disclosed.

Horizon Agency provides commercial and personal insurance, and employee benefits. Horizon specializes in various industries, including real estate, entertainment and sports, and healthcare, which supports Hub’s specialty practices by complementing and strengthening Hub’s existing capabilities.

Dan Scattarella, founder and CEO; Jake Hoeschler, principal; Neal White, president, and the Horizon Agency team will join Hub Great Plains.

Horizon Agency was represented by

the consulting firm BH Burke & Co. for the transaction.

South Central

Arthur J. Gallagher, Boley-Featherston Insurance

Arthur J. Gallagher & Co. has acquired Wichita Falls, Texas-based BoleyFeatherston Insurance.

Terms of the transaction were not disclosed.

Boley-Featherston is a retail insurance agency with expertise in oil and gas, construction, health care and benefits consulting, serving clients throughout Texas and the surrounding region.

Josh Andrajack, Cameron Cremeens, Robbie Martin and their team will remain in their current location under the direction of Bret VanderVoort, head of Gallagher’s South Central retail P/C brokerage operations.

OGA, Jaeger + Haines

One General Agency (OGA) of Oklahoma City has acquired Jaeger + Haines Inc., a wholesale broker in Fayetteville, Arkansas.

Since 1976, Jaeger + Haines has served agents across Arkansas, Missouri, Oklahoma and Tennessee, writing excess and surplus lines commercial insurance.

Founded in 1951, Oklahoma-based OGA is a second-generation, family-owned wholesaler led by Jennifer Dotter, president, and CEO. The firm provides E&S markets, standard markets, and premium financing to independent agents in Oklahoma, Texas, New Mexico, Kansas, Missouri, and Arkansas. It offers a broad array of solutions across various specialty divisions, including cannabis, professional lines, standard lines, and energy and environmental. OAG said the acquisition will allow it to increase their footprint in Arkansas and Missouri and expand into Tennessee.

The terms of the transaction were not disclosed.

Inszone, Champions Insurance Group

Inszone Insurance Services, a national provider of benefits, personal, and commercial lines insurance, has

acquired Champions Insurance Group, an agency with a decade-long track record in the Houston community and a strong reputation for delivering personalized insurance services. Champions has earned recognition for its understanding of Chinese culture and family values, primarily catering to commercial clients in protecting their businesses, employees, and personal interests.

This strategic acquisition enables Inszone to strengthen its presence in the Texas insurance market and expand its reach within the Chinese community. It also will provide Champions Insurance Group’s clients with access to a broader range of insurance products and services.

Southeast

Tailrow Insurance Co.

Tailrow Insurance Co., part of HCI Group, has been approved by the Florida Office of Insurance Regulation as a domestic homeowners multiperil insurer.

HCI Group, which is the parent company of Homeowners Choice and TypTap Insurance, will hold all 2.5 million shares of common stock in Tailrow, valued at $1 per share.

The OIR consent order shows that the company will put up $300,000 to meet statutory deposit requirements. The office is requiring a catastrophe loss model with probable maximum loss estimate amounts for a one-in-100-year storm, based on exposure, the AM Best rating firm reported.

Tailrow would have to take corrective action to cure any overexposure identified by regulators. It also needs to file a disaster coordination and response plan with the office.

Alera Group, Wilson Washburn

Alera Group, a nationwide wealth services and insurance firm, acquired Wilson, Washburn & Forster insurance agency in Miami.

Wilson Washburn, founded in 1961, offers commercial and personal lines products, including coverage for aviation, food and hospitality, manufacturers, marine

risks, medical facilities, social service organizations and more.

Alera noted that it has some $1.2 billion in annual revenue and offers employee benefits, P/C insurance, retirement plans and wealth services to clients around the country.

Specialty Program Group, Squaremouth

Specialty Program Group, a holding company established to acquire specialty insurance firms, has purchased the travel insurance service known as Squaremouth.

Headquartered in St. Petersburg, Florida, Squaremouth offers travel insurance through a digital quote and comparison platform and has insured more than three million travelers.

New Jersey-based SPG is part of Hub International, a global insurance broker.

DOXA, Preferred Aviation Underwriters

DOXA Insurance Holdings, an Indiana firm, has acquired Georgia-based Preferred Aviation Underwriters, a managing general agent.

PAU, headquartered in Duluth, Georgia, was founded in 2005 by pilots and industry veterans Kim Stufflet and Tom Adderhold. The MGA offers property, auto, inland marine and excess coverage for airports and adjacent facilities.

Stufflet and Adderhold will continue to lead Preferred Aviation, along with partners Rob O’Neil and Chris Carter.

West Hub, DeFranco Insurance

Hub International Ltd. acquired the assets of DeFranco Insurance Inc. in Seattle, Washington.

John DeFranco, president, and the DeFranco Insurance team will join Hub Northwest.

DeFranco Insurance is an independently owned and locally operated insurance agency specializing in personal and commercial insurance services.

Chicago, Illinois-based Hub is an insurance broker and financial services firm providing risk management, insurance, employee benefits, retirement and wealth management products and services.

People

National HUB International (HUB) appointed John Meek senior vice president and chief marketing officer and Matthew Sontag senior vice president and chief claims officer for HUB Private Client.

Meek has 30 years of property/casualty insurance leadership and experience and 18 years in the private client marketplace. Most recently, he worked at Chubb Personal Risk Services as senior vice president of distribution.

Sontag has nearly 20 years of experience in the private client industry, he most recently served as the vice president of property claims for PURE.

Verisk named Carrie Barr president of casualty solutions. Barr joined Jersey City, New Jersey-based Verisk as an account executive in 2010 and advanced to leadership positions within sales and operations.

Aaron Brunko has been named Verisk’s president of property estimating solutions. Brunko joined Verisk as a tech support agent in 2001 and served most recently as senior vice president of claims on the property estimating solutions team.

N2G Worldwide Insurance Services LLC named Kevin M. Strong chief executive officer. Strong has more than 20 years of industry experience across global insurer and broker organizations. Most recently, he served as head of multinational at The Hartford,

leading U.S.-produced and incoming global program teams and The Hartford’s global insurer network and Canada branch operations.

N2G is headquartered in Jersey City, New Jersey.

Swiss Re Corporate Solutions appointed Lisa Butera as head of financial and professional lines (FinPro) and casualty North America, effective July 17.

Butera will lead Swiss Re corporate solutions’ FinPro and casualty business in the U.S. and Canada. She will be based in New York, New York.

Butera brings over three decades of leadership experience in the insurance and reinsurance space. She most recently served as head P/C clients markets U.S. in Swiss Re’s reinsurance division.

Ascot appointed Mark Totolos to the newly created role of senior vice president, captive solutions, Ascot U.S. He will be a part of the portfolio solutions group.

Totolos joins Ascot with more than 15 years of experience in the specialty insurance industry, most recently working at Skyward Specialty Insurance Co., where he served as senior vice president, head of captives and programs.

Gaurav Kapoor joined the NFP North America Construction and Infrastructure Group as senior vice president, head of strategy, digital and operations.

Before joining NFP, Kapoor

held multiple positions with Marsh, including, most recently, strategy and operations leader for the global construction practice based in London, England.

NFP is headquartered in New York, New York.

John F. Shannon has been named senior investment officer of Starr Insurance Companies

Shannon previously served as senior vice president and chief investment officer at Alleghany, which Berkshire Hathaway acquired in October 2022. Before Alleghany, he held positions at MetLife and Prudential Financial.

Shannon is based in Starr’s New York, New York, headquarters.

The Workers Compensation Research Institute (WCRI) named Executive Vice President Ramona Tanabe as CEO. She succeeds John Ruser, who will stay on temporarily as an advisor to the CEO.

Tanabe has held several key leadership positions at WCRI, including leading the institute’s line of core benchmarking studies, designing and conducting studies on workplace health policy, and managing WCRI’s data collection and technology investments.

WTW appointed Jackie Bolig as head of property/casualty, corporate risk and broking (CRB), North America.

With more than 30 years of experience in insurance and risk management, Bolig joins WTW from Aon.

Heather Fox has been named chief underwriting officer at Zurich North America.

Fox is based in Zurich’s New York office and will become a member of the Zurich North America Executive Committee.

She comes to Zurich from ARC Excess & Surplus where she started in 2009 and most recently served as general counsel and chief brokerage officer.

Chubb Limited appointed Frances O’Brien executive vice president, Chubb Group, and chief risk officer.

O’Brien was senior vice president, Chubb Group, and deputy chief risk officer, a position she held since January 2022. O’Brien has more than 40 years of insurance industry experience.

Sean Ringsted, formerly Chubb’s CRO, will continue to serve as EVP, Chubb Group, and chief digital business officer. He will remain a core member of the Risk Underwriting Committee. Ringsted has more than 30 years of experience in the insurance industry.

The Hartford named Mark Azzolino head of a new unit, Global Specialty Digital Solutions, which will focus on offering specialty and wholesale insurance products in a fully digitized, end-to-end manner.

Azzolino previously served as The Hartford’s head of management liability in

Kevin M. Strong

Mark Totolos

Heather Fox

Mark Azzolino

Global Specialty’s Financial Lines segment, where he was responsible for The Hartford’s private and not-for-profit management liability businesses. In addition, he oversaw the sales and process execution for the management and professional liability lines of business.

East Security Mutual, headquartered in Binghamton, New York, hired Emmett Cavanaugh as a commercial lines underwriter.

Cavanaugh brings more than three years of experience to his new role. He previously worked with Utica First Insurance Co. as a multi-line claim adjuster.

Midwest

Ryan Specialty Holdings Inc. promoted Brenda (Ballard) Austenfeld and Chris Houska to CEO and president of their respective RT Specialty practices, the wholesale brokerage specialty within Ryan Specialty.

Austenfeld, CEO and president of RT Specialty’s National Property Practice, has been with RT Specialty since 2013, joining with the acquisition of Westrope, where she was a partner with the firm.

Houska, CEO and president of RT Specialty’s national casualty practice, joined RT Specialty as part of the original founding group in 2010 and has more than 30 years of casualty insurance experience.

Ryan Specialty is headquartered in Chicago, Illinois.

AmTrust Financial Services Inc. hired Michael Tripp as

regional vice president, head of MidAmerica region. Tripp joins AmTrust from Chubb, where he spent the last four years as national vice president, small business sales.

Before Chubb, Tripp was with The Hanover, where he was branch vice president of Arkansas and Oklahoma, and later, regional vice president of Missouri, Kansas and Arkansas.

Valley Insurance Agency Alliance (VIAA), a family of more than 160 independent insurance agencies in Missouri and Illinois, promoted Kaylee Rucker to communication coordinator.

Rucker previously served as an administrative assistant for VIAA’s sister company Powers Insurance & Risk Management.

VIAA is headquartered in St. Louis, Missouri.

South Central

Skyward Specialty Insurance Group Inc. promoted two in its captives and programs divisions.

Ryan Burke has been promoted to vice president, specialty programs. Burke joined Houston, Texas-based Skyward Specialty in 2021 as an underwriting manager. Before joining the company, he held underwriting and leadership positions at Swiss Re, Travelers and RT Specialty.

The company promoted Amy Klatt to senior vice president, captives and programs claims. Klatt joined Skyward Specialty in 2019. She has more than two decades of experience, having held roles at Berkshire Hathaway, Travelers and Gallagher Bassett.

Lockton Companies named Jeff Henningsen chief

executive officer (CEO) for the Texas P/C business, with teams in Dallas, Houston and Ft. Worth, Texas; New Orleans, Louisiana; and Birmingham, Alabama.

Henningsen is based in Houston.

Henningsen has 27 years of industry experience, including 21 years with Lockton. He most recently served as president of Lockton’s Texas property/ casualty business.

Lockton is headquartered in Kansas City, Missouri.

Gunnar Kephart has joined Texas Insurance Professional Services as an agent.

He previously served as a professional liability specialist at the Independent Insurance Agents of Texas Association. Kephart also has been an agency owner and a commercial lines producer in several private and publicly held agencies, primarily in the North Texas area and in San Antonio, Texas.

Texas Insurance

Professional Services is headquartered in Dallas, Texas.

Southeast

Travelers named Marsh Duncan president of Northfield Excess & Surplus, a specialty division.

Duncan will oversee Northfield’s current business while identifying new areas for growth. He is based in Atlanta, Georgia.

Duncan previously worked

at Argo, most recently as president of excess and surplus.

West

Buckner appointed two new C-suite executives.

Agnesa Bakhshyan is the firm’s new chief growth officer. Lianna Kinard is Buckner’s new chief marketing officer.

Bakhshyan has more than 25 years of insurance industry experience, including as a Nationwide Insurance agency owner.

Kinard has more than a decade in the insurance industry, including a role as Utah Business Insurance Co.’s vice president of marketing.

Buckner is headquartered in Salt Lake City, Utah.

Embroker named Chris Spagnuolo as chief product officer.

Spagnuolo has nearly 20 years of product management experience, most recently as CPO at Wander.

Spagnuolo also founded two startups and spent seven years as a product consultant to organizations such as Blue Cross Blue Shield, Deloitte, Ford Motor Company, Home Depot, Jackson Hewitt, PwC, Riot Games and Under Armour.

Embroker is based in San Francisco, California

Emmett Cavanaugh

Jeff Henningsen

Gunnar Kephart

Agnesa Bakhshyan

Chris Spagnuolo

Lianna Kinard

Q1 Commercial P/C Rates Hold Steady, Up 5%: MarketScout

In a “deliberate and modest fashion,” the composite rate for commercial property/casualty lines increased 5% during the first quarter 2023, according to MarketScout.

The Dallas-based distribution and underwriting company’s Market Barometer showed cyber lead the way with a rate increase of 15.7% during the first three months of the year. Commercial property was up 9.3%, and commercial auto was plus 7.3%.

MarketScout said the only notable change from the fourth quarter 2022 was in general liability — up 4.3% in Q1 compared with up 6.7% last quarter. EPLI also saw a decrease in rate hikes — to plus 3.7% from 6.3% in Q4 2022.

“It’s not surprising to see rates holding steady in the first quarter,” said Richard Kerr, CEO of Novatae Risk Group. Last November, MarketScout was acquired by managing general agent Novatae Risk Group. Kerr was named CEO. “We will get a better measure of overall composite rates for 2023 in the next two quarters.”

Looking at composite rate increases by industry, transportation was highest with an increase of 8%.

The composite rate for personal lines decreased slightly to plus 5% in Q1, said MarketScout. Increases for homeowners and personal articles insurance moderated but auto insurance rates were up 6.3% compared to 5% in Q4 2022, on a composite basis.

“The real action in personal lines comes during wind and wildfire season,” Kerr said.

“However, even now, catastrophe exposed high value property owners are struggling to find coverage without experiencing significant rate increases and restriction of terms such as higher deductibles and reduced coverage,” he said.

W.R. Berkley CEO Says Insurer Isn’t Going to Chase D&O Market ‘Down the Drain’

By Chad Hemenway

W.R. Berkley Corp. President and CEO Robert Berkley said the insurer is not going to follow the directors and officers market “down the drain.”

During a call with analysts to discuss first quarter earnings, Berkley said the D&O marketplace, especially for large accounts, has been “in a state of free fall as far as rate adequacy or pricing.”

Berkely said there have been a lot of new entrants into the D&O market because “there’s not a lot of barriers to entry to getting into that space.”

However, the additional supply is not being met by demand. “We have seen a dramatic reduction in IPOs,” Berkley said. “We’ve just seen a dramatic reduction in a lot of the activity that would drive D&O purchasing.”

This, according to Berkley, includes transactional liability. M&A activity “has

fallen off a cliff,” he said.

“The reality is that the demand has been reduced and the supply has increased, and that has led to an unattractive, competitive environment from our perspective,” Berkley said.

First quarter net income at W.R. Berkley was about $294.1 million compared to $590.6 million a year ago during the same period. The company’s Q1 consolidated combined ratio was 90.6 from 87.8 a year ago. Results included Q1 catastrophe losses of about $48 million and prior year reserve development of about $24 million. Underwriting income was $234 million during the first three months of 2023.

Berkley said the average rate increase, excluding workers’ compensation, was about 8.3% in Q1 but the insurer remains somewhat cautious, considering an

observation the CEO made several times during the call — that product lines are distinct from one another in terms of where each is in the rate cycle.

“We are focused on underwriting margin,” he said. “We are sensitive to social inflation. We see the claims the industry is facing every day … the trajectory is quite steep. And we don’t want to get caught flat-footed.” The company is “not going to expose the capital unless we believe the rate is adequate,” Berkley added.

Property insurance rates are in the “early stages of meaningful firming,” Berkley said. He called the momentum for rate in January “disappointing” but said April included “meaningful traction as far as rate goes.”

“I think you’re going to see us writing some more property,” Berkley told analysts.

W.R. Berkley Corp. President and CEO Robert Berkley

News & Markets

Overall Market Sees Greater Stability but Rates Still Up: Risk Strategies Report

By Jahna Jacobson

Cybercrime is up, properties are underinsured, and the management liability market is softening.

These are a few of the predictions and results revealed in the Risk Strategies 2023 State of the Market report, which examines the trends of 2022 and provides a risk forecast for the coming year. The report digs into various markets and assesses the hurdles those lines may face in 2023.

Cyber

Ransomware attacks, cyber threats and their costly tolls have increased dramatically in the last few years. Not only is recovery expensive but compromised organizations are left open to lawsuits potentially involving thousands of

exposed parties.

One factor behind the spike is the gaps left in cybersecurity when everyday business shifted to a work-from-home model during the COVID-19 pandemic. The landscape quickly changed as organizations sent workers home with little warning and adjusted timelines for return as the pandemic continued. IT departments were left playing catch up.

More threats and higher costs are forcing

companies to examine their cyber security and increase the insurance they carry to cover damages resulting from a breach. And insurers want to know that prevention measures are in place and that a company stays up-to-date.

The outlook for 2023 is for greater stability than in the previous few years. Insurers have learned more about threats and how to price policies to maintain profitability. Organizations are taking steps to mitigate cyber and ransomware attacks to protect their people and get the cyber coverage they need in case of an attack. Rate increases have leveled — averaging 20% in Q4 2022.

Industry recommendations include early renewals, ongoing dialogues about the risk environment and events, and making

continued on page 22

News & Markets

continued from page 21

sure insureds are maintaining up-to-date security measures across the board, at every level and with every machine tied to the organization. Firms should have an ongoing cyber security maintenance program and update as new threats are detected.

Property

Weather and climate-related events such as wildfires and hurricanes caused losses exceeding $150 billion.

Insureds across the board have seen significant reductions in coverage capacity, as well as higher deductibles, rates and premiums. The market continues to refine its underwriting position on secondary perils such as tornadoes, floods, wildfires, hailstorms and freezes.

2023 Market Conditions

As the market continues to face uncertain economic conditions, areas of ongoing volatility, according to Risk Strategies, include:

• Inflation and rising interest rates led to uncertainty about future prices.

• Per NOAA, there were 18 U.S. weather/climate disaster events in 2022, with losses exceeding $1 billion each.

• Ransomware and cyberattacks continue to grow. Approximately 80% of attacks result from human error.

• Higher claims costs from escalating verdicts and rapidly evolving environmental, social and governmental (ESG) conditions affect individuals and businesses.

• Employers are spending more on compensation and benefits to counter continued challenges in attracting and retaining talent.

• War, in addition to being a humanitarian crisis, is affecting supply chains and consumers worldwide, and adding uncertainty about future policies and regulations.

Insurance Conditions

Despite the volatility and uncertainty, the unemployment rate is at a 53-year

A recent building appraisal analysis showed that nearly 90% of buildings appraised in 2020 and 2021 were undervalued. It showed 68% of buildings were underinsured by 25% or more and 19% were underinsured by 100%. Underwriters continue to focus on the adequacy of replacement cost values amidst inflation, higher labor and material costs, and supply chain issues. Underwriters may look for building and contents value increases as high as 10%-20%, which translates to higher insurance premiums.

The rate disparity between good risks without catastrophe exposures and losses and poor risks with them will continue in 2023. Good quality risks without CAT exposures and losses will see rate increases, on average, of 10%, while poor risks with CAT and loss experience will see

increases of 50% or more.

Many clients with January 1 renewals may have missed the full impact of treaty changes. Some new capacity entered the market, capitalizing on better pricing and terms but not enough to slow the market down. At press time, the April 1 critical treaty renewal period proved to be more challenging than January 1 as reinsurers had a clearer picture of 2022 results and what they need to be profitable in 2023.

Management Liability

The accelerated downturn in the directors and officers (D&O) and management liability space has continued into 2023.

low, inflation is beginning to ease, supply chain issues are being resolved and generally, there is a return to more “normal” business conditions.

Specific to insurance:

• There are signs of optimism as rates moderate in casualty, management liability and cyber. Businesses with a good risk profile will have a competitive advantage.

• Conversely, property rates, particularly in Florida and California, are increasing while capacity and coverages are limited. Other catastrophe-exposed areas are not immune.

Insurance carriers remain disciplined and are looking to manage capacity, control terms and conditions, and adequately price risks. When considering where to utilize precious capital, carriers seek additional underwriting and detail and closely scrutinize risk control measures and the client’s focus and commitment to risk management.

Source: Risk Strategies 2023 State of the Market Report. To view the full report, visit https://www.risk-strategies.com/2023state-of-the-market.

The market is transitioning from hard to moderate/soft. Still, it is facing headwinds from a challenging economic environment, the financial impact of COVID-19, continued high inflation, and an industry that has seen a significant uptick in loss costs impacting carrier profitability. The degree of transition varies by line of business and industry segment.

The new capacity of the past three years has led to much more favorable pricing and expanded policy terms. Less net new business in the market coupled with the new capacity should benefit buyers with attractive risk profiles and little-to-no significant claims activity. Buyers will benefit in terms of reduced premiums, lower SIRs, stable or increased limits of capacity, and expanded coverage terms. However, the challenging macroeconomic environment puts increased financial pressure on clients, potentially tempering the improved pricing environment stemming from the influx of new capacity.

The final impact of pandemic-era securities class action claims is uncertain. The total amount of securities class action settlements was $7.4 billion in 2022, a 75% increase from 2021. Insurance carriers funded a portion of those settlements, and the ultimate impact on balance sheets for this business line remains to be seen.

Increasing environmental, social risks and governance (ESG)-related requirements demand companies address relevant challenges. Failing to address ESG could lead to derivative claims, shareholder claims, and accusations of breach of

fiduciary duties by D&O. Diversity, equity and inclusion (DE&I) issues continue to impact D&O. Equal pay and compensation-related claims are on the rise.

Casualty

The 2022 casualty market saw a return to a more competitive and nuanced market than in the previous three years. While companies with exceptional loss control in low-to-moderate hazard classes of business achieved good results in 2022, several industries, such as transportation, education, nonprofits and retailers, continue to face headwinds.

In 2023, the casualty market is generally expected to experience rising premiums but at much lower levels than recent results. Concerns with the reinsurance market eased somewhat based on casualty treaty renewals as of January 1, suggesting at least three to six months of stability for many primary insurers.

Emerging and adverse casualty claims are expected to rise in areas such as

“forever chemicals” and other hazardous exposures, and sexual abuse exposures. Workers’ compensation risks are expected to increase. However, while loss ratios are rising again, significant premium increases are not likely. Third-party litigation funding will continue impacting verdicts, which could exceed the inflation rate.

As 2023 progresses, a crucial concern will be the ongoing availability of reinsurance at a reasonable price for casualty insurers, given the pressure now placed on the property reinsurance market.

Captives

Broader adoption of captive solutions with a more sophisticated mid-market clientele made 2022 a banner year in the captive insurance industry, and the high demand will likely continue through 2023.

Healthcare costs, nuclear verdicts, cyberattacks, catastrophic climate events and market-specific drivers led to steep commercial insurance premiums, prohibitive exclusions and even a complete lack of

insurability as reinsurance dries up.

A continuing hard market in some lines has made it more challenging to control total cost of risk, making it difficult to lower the insurance premium component of that cost. By retaining more risk in a captive, insureds can choose when to transfer risk to third parties.

The demand for long-term solutions has led to the structuring of different captive programs such as enterprise risk captives, single parent captives, group captives, risk retention groups, sponsored cells, and financial guarantee arrangements. Businesses with a larger employee base who self-fund their group medical benefits are increasingly writing a layer of stop loss insurance in their own captive to retain a level of underwriting profit.

As businesses discover how captives can provide risk financing solutions, the use of captives that can offer a revenue stream complementary to the core business will grow, according to the Risk Strategies' report findings.

With our deep product and industry expertise, we deliver global solutions to address the unique risks you face. Our experts have a comprehensive understanding of your technology business. Let us tailor a solution for your specialized insurance needs.

To learn more, talk to your broker or visit intactspecialty.com

Closer Look: Healthcare

How AI Could Revolutionize Healthcare — and Risks to Consider

By Andrea Wells

Not a day goes by that a new way to use artificial intelligence (AI) fails to make the daily headlines. AI-powered tools seem to be making their mark on every business sector, including the healthcare industry.

AI opportunities in healthcare — such as helping to identify patient needs, documenting patient notes, and even diagnosing certain disease — seem endless. While AI brings exciting opportunities, it also has risks.

Digital tools in healthcare have skyrocketed since the start of the pandemic.

The number of telehealth services increased dramatically — 15 times the pre-pandemic level, from 2.1 million the year prior to 32.5 million in the 12 months from March 2020 to February 2021, according to data from the Government Accountability Office (GAO).

Healthcare executives are increasingly prioritizing digital automation technologies, according to a recent report from Sage Growth Partners showing that 90% of healthcare executives had an AI or automation strategy in place today. That percentage was up from 53% in 2019. The same study showed that 76% of respondents said automation has become more important because it can help patients recuperate faster by cutting wasteful spending and improving efficiency.

“Everyone is talking about AI but in healthcare specifically we’re seeing these tools being integrated like in a variety of different sectors,” Ellie

Saunders, healthcare team leader, U.S. and Canada at CFC, told Insurance Journal.

The biggest sector of CFC’s digital healthcare portfolio is telemedicine — largely due to its reliance on well-established and widely accessible technology. However, AI has seen 32% growth in 2021, Saunders said.

Artificial intelligence is now being used to help in triaging some patient conditions, most commonly by diagnosing basic illnesses via a chatbot function. Another way AI is helping doctors is with medical scribing, which is an AI-powered tool that provides doctors with automated transcribing of patients’ comments while the doctor is consulting with that patient. This digital tool “essentially helps to streamline their workflows and efficiency, enabling them to focus on the actual practice of medicine rather than spending most of the time documenting and writing up notes,” she said.

One concern that underwriters worry about is that the medical scribe gets things wrong, Saunders said. She said some research shows that AI scribing doesn’t always correctly transcribe “uh-mmm” terms instead of “yes” responses.

“Obviously that can mean a lot in a conversation, but if the scribe doesn’t pick that up, it can completely alter their medical record,” she added. “So, doctors are still having to read through the scribe notes just to ensure it is in line with what they’ve actually encountered.”

But medical records are a logical place to begin because clinicians can quickly identify where AI-produced results were derived, according to Dr.

Greg Ator, chief medical informatics officer at University of Kansas Health System, who is part of the team implementing generative AI technology at the academic health system to aid clinician note taking. Doctors can listen to a visit recording again if the AI misses valuable information.

Right now, it’s not the most

efficient way to take medical notes but Saunders says the hope is to make these AI-tools better in the future.

But there are barriers to improving some AI-powered technologies going forward.

Pete Reilly, practice leader and chief sales officer of global insurance brokerage Hub International’s North American

healthcare practice, says while the healthcare industry will become more dependent on AI in the future simply because the technology can “handle all those data points so much more quickly and efficiently than the human brain,” the challenge will be with the data itself. It’s the old analogy of “garbage in, garbage out,” he said. If there’s any malfunction along the line, for example a wrong computer code or inaccurate data, then everything else goes wrong with it, he said.

Even so, Reilly sees great opportunity for the sector’s use of AI-powered tools in the future. “Healthcare is an inefficient system by design. The human body is inefficient, and in many respects, they’re not the same,” he said. “But having said all that, I do see a continued use and need of use in healthcare,” he added. “AI will let us capture and begin to understand massive quantities of data more quickly, and that hopefully leads to long term better medicine.”

One hurdle to expanding AI use is patient acceptance. A Pew Research Center survey conducted in December found 60% of adult U.S. patients would feel uncomfortable if their healthcare provider relied

on AI for their medical care. Less than a third felt the quality of their care would increase as AI was implemented.

Another hurdle lies in capturing accurate data from all patients. Some research shows that current medical data may be lacking in terms of diversity among various ethnic groups.

women than their white peers. The Duke researchers concluded that Black Americans — who have a much higher probability of suffering from a stroke — are also less likely to get an accurate prediction of their stroke risk.

“The data that you get out

off real data and that they’ve got enough of good data, for it to not be biased data,” she said.

While doctors have used several different algorithms to try to capture the true risk of stroke for years, including newer models that use machine learning, a new analysis, led by researchers at Duke University School of Medicine, found that with all models studied — ranging from simpler algorithms based on self-reported risk factors to novel machine learning models — the accuracy of predicting a stroke was worse for Black men and

of something is really only as good as the data you put in and that’s probably one of our biggest concerns as insurers in the space,” Saunders said. “We as underwriters want to make sure that this data set that is providing diagnostics is based

“Certainly, hospitals think that AI can be helpful in delivery of care,” said J. Kevin Carnell, executive chairman of CAC Specialty’s newly launched healthcare division. “It’s obviously a very powerful tool that can run all sorts of scenario projections to help you diagnose a patient or uncover a potential issue on a patient, so that’s great. But as we’ve seen, AI can be wrong,” he said. “It’s ultimately the care provider who has the liability risk, so I don’t think fundamentally that changes. I really don’t know how it’s going to be used or how risky it’s going to be, but people are starting to talk about it.”

Overall, CFC’s Saunders believes the healthcare industry is going in the right direction to correct concerns over AI data and its use. “There are controls that are being implemented and it’s definitely an area which is going to revolutionize the healthcare industry,” she said.

‘Everyone is talking about AI but in healthcare specifically we’re seeing these tools being integrated like in a variety of different sectors.’

Spotlight: Auto

continued from page 15

unlikely to improve materially. Ongoing supply chain challenges and recessionary fears will also remain headwinds for auto insurers if they are to realize an improvement in performance.

The U.S. nonstandard auto insurance industry, a subsector of personal auto, has also been beset by losses, based on AM Best’s aggregation of results for the predominant nonstandard auto-focused insurers. Through the first three quarters of 2022, the segment incurred an underwriting loss of almost $1.2 billion due to many of the same market issues the standard personal auto writers are contending with. This substantial underwriting loss follows $1.3 billion in underwriting losses in 2021.

Premium Isn’t Profit

The personal auto segment is well known for its advertising, especially by the top writers (Exhibit 2). The importance of branding in gaining and preserving market share is highlighted by nine of the top 10 insurers also ranking among the top 10 in annual advertising expenses. However, premium volume does not guarantee profitable results, as 12 of the top 20 companies ranked by 2021 private passenger auto net premiums written posted combined ratios of over 100 in 2022 (Exhibit 3). The considerably negative impact of inflationary pressures on personal lines loss trends led to insurers cutting the financial resources allocated to advertising in 2022 to help their underwriting expense load. Again, the regulatory environment, particularly in states such as California and New York, makes raising rate

increases to address price adequacy and lessen the pressure on profitability more difficult.

Reasons for Optimism

At the same time, personal auto carriers remain ahead of the curve in terms of pricing sophistication and have likely built on their competitive advantages. The personal auto line has led the charge in the insurance industry in digitization. For many years, the industry has made a push to leverage technology, including claims, underwriting and distribution. Most companies also have updated their legacy systems. These innovative efforts have led to greater efficiencies and enhanced customer experience.

The growing use of telematics and usage-based insurance may help address loss frequency, as insurers can measure driving behavior or implement additional product

innovations such as per-mile insurance. However, this is unlikely to have a meaningful impact over the near term.

Newer vehicles with enhanced safety features account for a growing percentage of vehicles on the road, which may also impact frequency favorably, although their repair costs are higher. With access to needed parts and — just as important — qualified labor limited, the cycle time for repairs has lengthened considerably, resulting in additional loss cost pressures.

Given the persistence of high loss costs, a return to underwriting profitability for the auto segment in 2023 appears highly unlikely. Inflationary trends eventually will plateau, but how long this environment will continue remains highly uncertain. More sophisticated pricing algorithms, along with good risk selection and disciplined underwriting, should help car-

riers chip away at unfavorable results. Some companies may need to reconsider their risk appetites.

Overall, personal auto insurers remain well capitalized and vigilant in their pursuit of rate adequacy and have benefited from the implementation of advanced technology, which has resulted in greater efficiency. As the use of technology increases across the broader financial services industry, companies will continue to look for ways to meet higher customer expectations. Companies unable to meet rising customer expectations will be at a competitive disadvantage. Fostering innovation in all operational phases will continue to benefit personal auto writers as they focus on achieving adequate rate levels.

Blades is associate director, Industry Research and Analytics for AM Best.

Exhibit 3 US PrivatePassenger Auto – Top 20 Insurers Ranked by 2021 Net Written Premiums andCombined Ratios, 2017–2021

News & Markets

Families Displaced from California Neighborhood Seeking $2B

By Sophie Austin

As a child, Lawrance W. McFarland lived on a small piece of land on a Native American reservation in Palm Springs he described as a “little world of its own,” surrounded by the parts of the city that were tourist magnets and depicted in movies.

The retiree recently recalled seeing houses of the diverse, tight-knit community being torn and burned down in the square-mile area known as Section 14.

“We thought they were just cleaning up some of the old houses,” he said.

But eventually his family was told to vacate their home, and McFarland, his mother and his younger brother hopped around from house to house before leaving the area altogether and moving to Cabazon, a small town about 15 miles west of Palm Springs.

Decades later, Palm Springs’ city council is reckoning with those actions, voting in 2021 to issue a formal apology to former residents for the city’s role in displacing them from the neighborhood that many Black and Mexican American families called home.

Those former residents now say the city owes them more than $2.3 billion for the harm caused. The dollar amount was disclosed at a meeting attended by experts such as Cheryl Grills, a member of the state’s reparations task force studying redress proposals for African Americans.

The effort in Palm Springs is part of a growing push by Black families to seek compensation and other forms of restitution from local and state governments for harms they’ve suffered due to generations of discriminatory policies.

California’s statewide reparations task force is evaluating how the state can atone for policies like eminent domain that allowed governments to seize property from Black homeowners and redlining that restricted what neighborhoods Black families could live in. Last year, Los Angeles County officials voted to the return land in Manhattan Beach to a Black family descended from property owners who had

it seized by the city in the 1920s.

Palm Springs officials expect to work with a reparations consultant to decide whether and how to compensate the families displaced from the area. The council may take this up for a vote later this month. The city is home to about 45,000 people today and is largely known as a desert resort community.

The families are also exploring legal avenues for reparations. Areva Martin, a Los Angeles lawyer representing them, filed a tort claim with the city alleging officials hired contractors to bulldoze homes and sent the fire department to burn them.

Julianne Malveaux, an economist and dean of the College of Ethnic Studies at California State University, Los Angeles, said the $2.3 billion figure accounts for the displacement of 2,000 families and the trauma caused to them.

Lisa Middleton, a city council member and former Palm Springs mayor, said it was important to acknowledge the city’s role in displacing Section 14 residents.

“Our history includes some wonderful moments for which we have every right to be proud,” she said at a meeting. “But it also includes some moments for which we have every reason to be remorseful, to learn from those mistakes and to make sure that we do not pass those mistakes onto another generation.”

The tort claim argues the tragedy was akin to the violence that decimated a vibrant community known as Black Wall

Street more than a century ago in Tulsa, Oklahoma, leaving as many as 300 people dead. There were no reported deaths in connection with the displacement of families from Section 14.

Palmdale resident Pearl Devers lived in Section 14 with her family until she was 12 years old. She helped spearhead efforts in recent years to create a group to reflect on their time living there and determine next steps.

Her father, a carpenter, helped build their home and many others in Section 14, she said. She recalled how close residents in the neighborhood were, saying her neighbors acted as a “second set of parents” for her and her brother. She recalled smelling and seeing burning homes until one day her mother said their family had to pack their bags and leave.

“We just felt like we were running from being burned out,” she said.

Alvin Taylor, Devers’ brother, said it’s essential for city officials to listen to displaced residents and descendants before deciding on a course of action.

“An apology is not enough,” Taylor said.

Austin is a corps member for the Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues.

Copyright 2023 Associated Press. All rights reserved.

Cal/OSHA Cites Equipment Company, Refers Contractor for Prosecution in Confined Space

The California Division of Occupational Safety and Health cited Meeder Equipment Co. of Rancho Cucamonga and referred D&D Construction

Specialties Inc. of Sun Valley for criminal prosecution in two separate cases of workers’ deaths related to confined spaces.

Meeder and its successors were cited a

combined $272,250 for serious safety violations following a confined space death of a worker who suffocated in a 10,000-gallon propane gas tank.

In a separate case, D&D faced criminal prosecution for the 2016 death of a worker who lost consciousness and fell 15 feet while cleaning a 50-foot-deep drainage sump. Cal/OSHA’s Enforcement branch also issued citations to D&D, including a serious accident-related citation for failure to conduct a hazard inspection before this work was performed.

In 2022, a mechanic employed by Meeder reportedly entered a tank to spray a valve inside and was later found unresponsive inside the confined space. The Rancho Cucamonga Fire Department rescued the employee and transported him to a nearby hospital where he died.

In a separate and unrelated investigation, Cal/OSHA’s Bureau of Investigations referred for criminal prosecution to the Los Angeles County District Attorney’s office a worker’s 2016 confined-space death.

The victim in the D&D case was employed by a contractor as a laborer and was assigned to clean the bottom of a 50-foot-deep drainage sump.

The victim reportedly stood on a metal bucket attached to a small crane that lowered him into the shaft opening. After 15 to 20 feet, he became unresponsive and fell head-first to the bottom of the shaft. The victim drowned.

The Los Angeles County District Attorney’s office in 2019 filed a felony criminal complaint against D&D.

My New Markets

Allied Health Professional Liability

Market Detail: ProAlly provides monoline health professional liability insurance. Coverage is offered on a claims made and defense within the limits basis, either with or without incident reporting. Includes coverage for current and former employees, volunteers, directors, and officers; vicarious liability coverage, including coverage for acts of independent contractors; defense coverage for abuse and molestation coverage for employee/client/third party; no binding arbitration requirement; dedicated underwriting expertise; next generation claim handling. Has pen; appointment required.

Available Limits: $1 million/$3 million limits standard; retentions as low as $0.

Carrier: Non-admitted; rated A- by AM Best.

States: Available in 50 states plus District of Columbia.

Contact: Mark Fintel; contact@pro-ally. com; 623-473-6277.

Wraps (OCIP & CCIP)

Market Detail: Hull & Company / Bridge

Specialty has multiple markets offering: wrap-up policies; project specific policies; owner’s interest policies; discontinued operations; take over wraps/ projects; practice policies — residential artisan contractors*; residential general contractors/home builders.* (*Some limitations may apply to new residential construction or work in CD states.) Primary and supported excess limits are available; will consider liability limits up to $5 million total; minimum retention of $10,000, depending on product line and account characteristics; blanket additional insureds available, depending on product line and account characteristics; waiver of subrogation; primary and non-contributory wording. Appointment required.

Available Limits: Liability limits of up to $5 million total; minimum retention of $10,000, depending on product line and account characteristics.

Carrier: Various; non-admitted; rated A by AM Best.

States: Available in Arizona, California, Colorado, Florida, Hawaii, Idaho, Nevada, Oregon, Wyoming.

Contact: Jeff Case; jeffrey.case@hullstk. com; 866-434-2210.

Community Association Umbrella/ Excess Liability Insurance

Market Detail: Community Association

Insurance Solutions LLC offers a community association high-limit umbrella insurance product dedicated to community associations and their specialized coverage needs. The product is available for nonprofit habitational community associations including homeowners’ associations (HOAs), townhomes, residential/commercial condominiums (condos), and residential/ commercial planned unit developments (PUDs). The umbrella policy provides additional liability coverage over the GL, EL, and D&O insurance when the association suffers a catastrophic loss that exceeds those policy limits. Appointment required.

Available Limits: Five limits — $5 million, $10 million, $15 million, $25 million, and $50 million.* (*$50 million limit includes a primary layer of A+ rated $25 million excess liability (including EPLI), and a secondary layer of A++ rated $25 million excess liability, excluding EPLI.)

Carrier: Not disclosed.

States: Available in 50 states plus District of Columbia.

Contact: Gary Deck; gary@caislive.com; 916-212-8310.

Architects & Engineers E&O Market

Market Detail: Draftrs Inc. offers design professionals E&O insurance covering architects, engineers, interior designers, land surveyors and many other specialties within this professional sector. The product is underwritten by an A-rated carrier and is admitted. Small firms up to $1 million in revenue are covered. Offers full commissions and works with both generalist and specialist agencies. Instant online quotes, billing, endorsements and automatic renewals available. Fast appointments; has pen.

Available Limits: Small firms up to $1 million in revenue are covered.

Carrier: Markel Insurance Co.; admitted; rated A by AM Best.

States: Available in most states plus District of Columbia; not available in Alaska and Kentucky.

Contact: Paul Beck; support@draftrs.com; 214-210-3476.

SIU Trucking Program

Market Detail: Southern Insurance

Underwriters Inc. (SIU) has launched a trucking program with Obsidian Insurance Group (Obsidian), an AM Best rated A- hybrid program carrier group. The new trucking program provides coverage for one to nine power units. SIU offers two programs focusing on a broad range of risks from radius classes of 1 mile to 300 miles and over 300 miles. Telematics is required for participation in the programs allowing for more accurate pricing of risks and tailoring of coverage within the program. Has pen.

Available Limits: Not disclosed.

Carrier: Obsidian Insurance Group; admitted; rated A- by AM Best.

States: Available in Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, Tennessee.

Contact: Amber Elrod; marketing@siuins. com; 800-568-1700.

Earthquake

Market Detail: ICW Group offers earthquake insurance products and services for commercial property owners and tenants through a trusted network of independent agents and brokers. ICW Group is a financially stable A-rated carrier, has a capacity of up to $60 million, and considers all classes of commercial property. Skilled underwriters use three earthquake models to evaluate risk and provide a customized solution at a competitive price.

Available Limits: Not disclosed.

Carrier: ICW Group; admitted; rated A by AM Best.

States: Available in 50 states plus District of Columbia.

Contact: Jessica Northrup; jnorthrup@ icwgroup.com; 800-877-1111.

Special Report: Workers' Compensation

Employers Grappling With Changing Workplace Where Labor Is Scarce & Workers Feel Isolated

By Jim Sams

Anational labor shortage has created ideal conditions for skilled workers to negotiate for better pay and more flexible work schedules, but also new

challenges for employers: Staff members aren’t eager to return to the office; job applicants are demanding higher wages; and mental health has deteriorated for many, in some cases transforming star employees into personnel problems.

Those trends were discussed in detail by panelists from both business and labor during the Workers’ Compensation Research Institute’s annual conference, held in Phoenix on March 21-22.

Employers described the

struggle of recruiting enough talented workers to keep up with workloads and maintaining workplace safety while relying on rookies or workers reassigned from other duties.

Labor representatives described the isolation of

working remotely for individuals who once cherished office camaraderie and the resentment that developed among some essential workers who never had an opportunity to work from home.

Donna S. Edwards, president of the Maryland State and District of Columbia AFL-CIO, said the COVID-19 pandemic was a tragedy.

“I still know of people who are going to the hospital,” she said. “Firefighters were dying. Bus drivers were dying. We have not had that national mourning over what we went through. We’re supposed to just suck it up.”

By and large, workers are sucking it up — by showing up for work in unprecedented numbers.

At the end of March, 160.9 million Americans held positions in the civilian workforce, the highest employment number recorded in at least the past 20 years, according to the U.S. Bureau of Labor Statistics.

The BLS said at the end of February there were 9.9 million job openings in the United States. That was down from a peak of 11.8 million in December 2022, but still far above the 2.5 million to 7.5 million job openings seen in most months during the past 20 years.

The cost of compensating employees increased 5.1% from last year, compared to a historical rate of 2% to 3%. The unemployment rate stood at 3.6% at the end of February, down from 3.4% in January, which was a 50-year low.

Labor Scarcity

Two centuries of advances in automation have not eliminated the need for human

workers.

David Autor, an economics professor at the Massachusetts Institute of Technology, kicked off the WCRI conference in a presentation that debunked the notion that automation eliminates jobs.

“We are not running out of jobs. We are in an historic period of labor scarcity,” he said.

Autor said automation increases consumption, which increases the amount of work. Consumers are insatiable, he said. The more they have, the more they want. As they strive to possess more, they create new jobs.

That isn’t to say that technology doesn’t displace workers. In 1860, 55% of U.S. jobs were in agriculture. In 2010, only 2% were. Humans who may once have plowed fields or herded sheep may now work as automatic welding machine operators, a job title first captured by the U.S. Census in 1940, computer bookkeepers, (1990) or sports nutritionists (2018).

New work, however, requires greater expertise. Autor said automation makes generic skills common to human beings — such as lifting boxes or caring for children — less valuable. Workers who know how to use tools to augment their labor become more valuable. He said the dynamic creates a “barbell of economic polarization,” where more workers with common skills are pushed into low-paying jobs while highly skilled workers are pushed into higher incomes, leaving fewer workers in the middle.

The number of workers available isn’t growing as rapidly as the amount of new

work created by technology. U.S. population growth is at the lowest rate since the nation was founded, Autor said.

The population in the United States grew just 0.38% in 2022, according to U.S. Census Bureau data. That was greater than the 0.1% rate recorded in 2021 but the lowest rate for any other year since at least 1900, according to an analysis of Census Bureau data by the Brookings Institute. Most of the uptick came from an increase in immigration.

The labor scarcity created by the low population growth rate has changed the balance of power between employers and labor. Workers who were sent home out of necessity during the pandemic are now demanding more flexibility, Autor said. Unskilled labor is less “sticky,” meaning workers are more likely to leave their jobs for new positions.

Bust and Boom

For some employers, the COVID-19 pandemic brought on a bust, followed by a boom.

Steve Perroots, vice president of global claims at Marriott International, said the hotel chain had to lay off much of its workforce at the outset of the pandemic. It offered early-retirement incentives to its most experienced workers, only to ask many of them to return to their jobs when the economy recovered more strongly than expected.

“They didn’t come back and say, ‘sure, pay me what you were paying me. Do you really need me? How much is it worth to you?’”

Perroots said some of the workers who accepted offers to return had been out of work for more than a year. They were

rusty and some were assigned to tasks to which they were not accustomed. The workload increased rapidly, leading to fatigue. In some cases, workers bypassed safety protocols in the rush to keep up. The result was a surge in workers’ compensation claims, he said.

While remote work isn’t an option for most hotel employees, Marriott does use hybrid work as a recruiting tool for positions that don’t need to be on site, Peroots said. There was pushback when Marriott started returning employees to the office, he said, but remote work isn’t optimal.

“You learn a lot by being in the same room with other people doing the same job as you do,” Peroots said. “Socialization. Camaraderie. Teamwork. You lose something.”

Remote work wasn’t an option for most workers in the health care industry, either. A major challenge during the pandemic was avoiding burnout, said Anne Marie Watkins, vice president of national patient care services for Kaiser Permanente.

Watkins said retaining workers has been a challenge. There is a shortage of nurses nationally, but the supply is uneven, she said. California needs 40,000 more nurses while in Florida there are probably too many, she said.

An analysis by Health Affairs, released April 13, says that the number of registered nurses in the United States decreased by 100,000 in 2021, the largest decline recorded in four decades. The decrease is especially troubling because the greatest reduction was among young nurses. While the total continued on page 30

Special Report: Workers' Compensation

continued from page 29

population of RNs dropped by 1.8%, there was a 4% decline in nurses under the age of 35, according to the analysis.

Watkins said Kaiser hasn’t had trouble recruiting recent graduates, but it’s not safe to staff health care facilities with too large a proportion of workers who are fresh out of school. There has to be a good mix of newer and more experienced caregivers, she said. That makes employee retention crucial.

“We can’t just keep paying people more and more and more,” Watkins said. “We have to find other things to make the profession more attractive.”

The health care profession, however, is becoming more challenging. Watkins said there’s been an epidemic of violence against healthcare workers.

“It’s an extremely underreported issue,” Watkins said. “We don’t know why, if it’s just an after-effect of what we’ve all been through.”

Back to the Office, or Not

The transition to remote work that started out of necessity during the height of the pandemic is now being offered by employers as an employee-retention tool.

Paul Kearny, chief claims officers for AF Group, said the carrier invested in information technology to make the transition to remote work. Chat bots, text messages and electronic payment systems are among the new tools used to preserve “customer connectivity,” he said. The company’s executives also went on a “listening tour” to hear from employees last year as the company developed a business continuity plan.

Most employees now work two to three days a week in the office.

“It turns out that this hybrid model has been well received by many of our employees — well, most of our employees,” Kearny said.

There is one cause for concern. Kearny said a proper investigation of workplace injuries is more important than ever for employees who work remotely. “There are no unbiased witnesses in households,” he said.

In addition, remote work, while advantageous for some, can breed resentment among workers who are unable to work from home.

Evelyn McGill, executive director of the Virginia Workers’ Compensation Commission, said her agency started transitioning to remote work well before the pandemic. She said three-quarters of the commission’s employees now work from home, but there are some positions that have to be performed at the commission’s offices.

“Some are among the lowest paid,” she said.

McGill said the commission shows its appreciation to office-bound workers by hosting luncheons and giving small bonuses. Also, “I go to the office every day for that very reason,” she said.

McGill was among several speakers who said mental health has been a major concern. She said the commission is training supervisors to recognize mental health issues.

“A five-star employee before COVID is now on a performance-review plan because of some issues they are struggling with,” she said.

She said another employee

became “nasty” while working remotely. McGill said she suggested that the worker return to the office so she could become accustomed to working with people again.

“She didn’t like that, but she improved,” McGill said.

Jenny M. Burke, vice president of impairment practice for the National Safety Council, said remote work has an isolating effect. Workers who may have been struggling with mental health issues before the pandemic lost the personal support of coworkers. She said while workers generally are more willing than before the pandemic to acknowledge they are struggling, they are still reluctant to seek therapy through employee assistance programs.

Post-pandemic directives requiring workers to return to the office can generate new personnel issues, she said.

“If you go back to work you may be the one who didn’t get to go half-hybrid,” Burke said. “You’re getting mad.”

Edwards, the AFL-CIO official, said

many essential workers who are unable to work from home perceive remote and hybrid work arrangements as preferential treatment. “Without a good explanation, that anger starts to build,” she said.

Edwards said many workers won’t seek help through employee assistance programs because they don’t trust them. She said her union is offering peer-to-peer counseling as an alternative.

Remote work brings its own issues. Edwards said workers who work from home may be reluctant to report work injuries, knowing that a workers’ compensation claim will trigger an investigation. “Do you really want your supervisor to see how you live?” she said. “Is that going to have an impact on workers’ comp reporting?’

Sams is the editor of Claims Journal. Email: jsams@claimsjournal.com.

2023 Workers’ Compensation Directory

Searching for a workers’ compensation market? Look no further than Insurance Journal’s 2023 Workers’ Comp Directory, a comprehensive listing of intermediaries and carriers offering workers’ compensation coverage throughout the country. The information listed in this directory serves as a resource guide for independent agents and brokers looking for workers’ compensation markets.

Intermediaries and carriers writing workers’ compensation coverage and profiled in this directory submit updated information directly to Insurance Journal.

7710 Insurance Co.

Contact: William M. Wahl, CIC

Phone: 931-272-5224

Email: Bill.wahl@trean.com

Website: www.7710insurance.com

■ Markets Offered: Workers’ Comp: Fire Districts and Ambulance

■ Phone Inquiries: Accepted

■ Minimum Premium: $20,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: All except monopolistic, CA NY

■ Admitted Status: Admitted

AAU, A division of USG Insurance Services

Contact: Lisa Esselstyn

Phone: 724-754-9078 ; Fax: 724-265-5751

Email: lesselstyn@aauins.com

Website: www.aauins.com

■ Markets Offered: Standard, Hazardous & Excess Workers’ Comp, USL&H, Staffing Workers’ Comp

■ Phone Inquiries & Brokered Business: Accepted

■ Minimum Premium: $500

■ Limits: Varies

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: 20+ carriers

We make every attempt to ensure the accuracy of all information listed in this directory. You may also view Insurance Journal’s Workers’ Comp Directory online at: www.insurancejournal.com/directories. Also visit that link to submit a listing for future workers’ compensation directories, or e-mail Kristine Honey at: khoney@insurancejournal.com.

We hope you find the 2023 Workers’ Comp Directory to be a useful tool when searching for markets. To comment on this directory, or any other Insurance Journal resource, please e-mail: editorial@insurancejournal.com.

AF Group Contact: Shannon Scholten

Phone: 517-780-5625

Email: AgencyRelations@AFGroup.com

Website: www.AFGroup.com

■ Markets Offered: Workers’ Compensation, Specialty/Niche Programs

■ Phone Inquiries: Accepted

■ Minimum Premium: N/A

■ Limits: Varies by Program

■ Brokered Business: Yes; Varies by Program

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Star Ins. Co, Williamsburg National Ins. Co, Ameritrust Ins. Corp, ProCentury Ins. Co.; Accident Fund Insurance Company of America, Accident Fund General, Accident Fund National, United Wisconsin Insurance Company, Third Coast Insurance Company

Agency Resources

Contact: MaryEllen Mazzo

Phone: 973-315-0716 ; Fax: 610-537-2035

Email: maryellen.mazzo@agencyresources.com

Website: www.agencyresources.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1M / $1M / $1M

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: Amerisafe, AmTrust, Applied Underwriters, Cornerstone, Employers, GuideOne, Hartford, ICW, Key Risk, Markel, Normandy, Omaha National, Southeast Personnel, Travelers, V3 Insurance

AllComp Solutions

Contact: Jim Gara

Phone: 610-808-9586 ; Fax: 610-941-9889

Email: jagara@nsminc.com

Website: www.allcompsolutions.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: 30+ Carriers

Named one of the country’s top 10 workers’ compensation solutions, AllComp Solutions — a best-in-class program from NSM Insurance Group — has been providing high quality, lowcost workers’ comp insurance for 25+ years. We offer convenient coverage for 300+ approved class codes, work with top-rated carriers and provide agents with unparalleled service.

American Management Corporation

Contact: Todd Flagg

Phone: 501-932-5809

Email: todd.flagg@amcins.com

Website: www.amcinsurance.com

■ Markets Offered: USL&H, Managed Care, Excess Workers’ Comp, 24 Hour Policy, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: $1,000,000 or higher

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers: Berkely, AmTrust, Guard, Applied, Amerisafe, AIG, Crum and forster, PLM, ALU

AMERISAFE

Contact: Customer Service

Phone: 800-256-9052

Email: asksales@amerisafe.com

Website: www.amerisafe.com

■ Markets Offered: Hazardous Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $10,000

■ Limits: Statutory

■ Brokered Business: Not Accepted

■ States Entered in: Most States

AMERISAFE has been providing specialty workers’ compensation insurance since 1986. Operating in 27 states, we serve small and midsized employers in high hazard industries like construction and trucking. We are a one-stop shop providing claims, safety and underwriting services.

AMIS/Alliance Marketing & Insurance

Svcs, LLC

Contact: Sean Nowell

Phone: 800-843-8550 ; Fax: 800-573-8550

Email: snowell@amiscorp.com

Website: www.amisinsurance.com

■ Markets Offered: Workers’ Comp for Private Investigators Ins. Adjusters, Security Guards & Alarm Co’s

■ Phone Inquiries: Accepted

■ Minimum Premium: $297

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: Employers

Amwins - 150+ Offices Nationwide

See Website for Locations, HQ - Charlotte, NC

Contact: Maureen Caviston

Phone: 203-388-2610

Email: maureen.caviston@amwins.com

Website: www.amwins.com

■ Markets Offered: Workers’ Comp, Excess Workers’ Comp, Non-Subscriber Programs for Texas Employers, DBA & MEL

■ Phone Inquiries: Accepted

■ Minimum Premium: $100,000

■ Limits: Various

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted &Non-admitted

■ Carriers Represented: We have strategic partnerships with many carriers. Inquire for details.

Amwins Program Underwriters

Contact: Matt McCue, Dan Curran, or Sue Scurti

Phone: 717-214-7622 (Matt) ; 603-334-3027 (Dan) ; 714-221-9570 (Sue)

Email: matt.mccue or daniel.curran @amwins.com

Email: sue.scurti@amwins.com

Website: www.amwins.com/apu

■ Markets Offered: Workers’ Comp: Healthcare Recycling, Scrap Metal Dealers, Auto Dismantlers, Multiple Classes

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by state

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted &Non-admitted

■ Carriers: Various AM Best A- Rated or Higher

Amwins Specialty Casualty Solutions

Contact: Terrence Butler

Phone: 312-601-9295

Email: terrence.butler@amwins.com

Website: www.amwins.com

■ Markets Offered: Workers’ Comp, Excess WC, Buffer WC, Healthcare, PEO/Alternative Staffing, Public Entity, Transportation, Resorts, Guaranteed Cost, Loss Sensitive, Rating Plans

■ Phone Inquiries: Accepted

■ Minimum Premium: Various

■ Limits: Various

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers: Various AM Best A- Rated or Higher

Apex Insurance Services

Contact: Robert Hughes

Phone: 210-812-5658 ; Fax: 210-340-8986

Email: hughes@apexinsurance.com

Website: www.apexinsurance.com

■ Markets Offered: Excess WC, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: Statutory and high excess

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers: Various National & Regional Carriers

Applied Underwriters, Inc.

Phone: 877-234-4450 ; Fax: 877-234-4452

Email: sales@auw.com

Website: www.auw.com

■ Markets Offered: Workers’ Compensation

■ Phone Inquiries: Accepted

■ Minimum Premium: $5,000 annual

■ Limits: None

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Alliances With: Promesa Health

For more info, check out our ads on pages 2 & 3 (National) & on the Back Cover.

Applied Underwriters designs workers’ compensation insurance and risk management solutions for businesses across the U.S. Other markets offered include: EPLI, Transportation, Construction Liability, Fine Art & Collections, Homeowners, Structured Insurance, Financial Lines, Surety, Aviation & Space, Environmental & Pollution, Real Estate, Reinsurance, Warranty & Contractual Liability, Infrastructure, Entertainment & Sports.

Arrowhead General Insurance Agency, Inc.

Contact: Marketing Dept.

Phone: 800-669-1889 ; Fax: 619-881-8695

Email: MarketingInfo@ArrowheadGrp.com

Website: www.ArrowheadGrp.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by Carrier

■ Brokered Business: Accepted

■ States Entered in: AZ CA NV

■ Admitted Status: Admitted

■ Carriers Represented: Multiple “A” rated carriers

Artex Risk Solutions, Inc.

Contact: Rachel Harris

Phone: 630-694-5050

Email: artexinfo@artexrisk.com

Website: www.artexrisk.com

■ Markets Offered: Excess WC, Workers’ Comp, Guaranteed Cost & Alternative Risk (Captives)

■ Phone Inquiries: Accepted

■ Minimum Premium: $100,000

■ Limits: Statutory

■ Brokered Business: Accepted

■ Admitted Status: Admitted

■ Carriers Represented: Several All “A” rated or higher

Ascendant Insurance Solutions

Contact: Anette Alvarez

Phone: 305-820-4360

Email: marketing@ascendantgroup.com

Website: www.ascendantgroup.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $0

■ Limits: $1,000,000

■ Brokered Business: Accepted

■

■ Admitted Status: Admitted

■ Carriers Represented: 8 Carriers including one PEO

Atlas General Insurance Services

Contact: Mark Williams, EVP of Marketing

Phone: 858-724-5012

Email: mark@atlas.us.com

Website: atlas.us.com

■ Markets Offered: Workers’ Comp with broad underwriting appetite.

■ Phone Inquiries: Accepted

■ Minimum Premium: Minimums vary per state, new ventures accepted.

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represnted: Multiple exclusive“A” rated carriers and more!

Workers’ Compensation Directory

Breckenridge Insurance Brokerage

Email: solved@breckis.com

Web: www.breckis.com/brokerage/workers-comp

■ Markets: Guaranteed cost, excess for self-insureds, large deductible, alternative markets, any/all classes.

■ Phone Inquiries: Accepted

Charity First Insurance Services, Inc.

Contact: Frank Tarantino

Phone: 415-536-4037 ; Fax: 415-536-4033

Email: frank_tarantino@charityfirst.com

Website: www.charityfirst.com

■ Markets Offered: Workers’ Comp, Nonprofits and Social Services

Berkshire Hathaway GUARD Insurance Companies

Phone: 570- 825-9900 ;Fax: 570- 823-5930

Email: csr@guard.com

Website: www.guard.com

■ Markets Offered: Workers’ Comp & related Property & Casualty lines.

■ Phone Inquiries: Accepted

■ Minimum Premium: No Standard Minimum

■ Limits: Statutory

■ Brokered Business: Not Accepted

■ States Entered in: Nationwide

■ Alliances With: An internal affiliate and some other vendors that vary by state.

Berkshire Hathaway Homestate Companies

Contact: Customer Service

Phone: 888-495-8949 ; Fax: 415-675-5482

Email: marketing-wc@bhhc.com

Website: www.bhhc.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

Boston Insurance Brokerage, LLC

Contact: Cara MacDonald – 617-556-7038

Email: CMacDonald@bib-llc.com

Contact: John Roderiques – 617-556-7036

Email: JRoderiques@bib-llc.com

Website: www.bib-llc.com

■ Markets Offered: Guaranteed Cost, Loss Sensitive, Debt MOD, Excess Workers’ Comp, Rating Plans, Aviation Exposures, USL&H –State & Federal Acts, Large Construction, New Ventures

■ Phone Inquiries & Brokered Business: Accepted

■ Minimum Premium: $1,000 | Limits: Standard

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers: AIG, AIM Mutual, Atlantic Charter, AEU, AmTrust, Beacon Aviation, Church Mutual, Guard, GuideOne, Crum & Forster, Employers, Markel, Omaha, Paragon, Pie, State Auto, The Hartford, Tangram, Travelers, United Heartland/ AF Group, V3, Virtue Risk

Boston Insurance Brokerage (BIB) is a premier national wholesale brokerage offering market access and commercial insurance solutions for hard-to-place risks. BIB can find coverage for almost any risk through 5 key practice groups: Executive & Professional Liability, High Value Personal Lines, Healthcare & Professional Liability, Property-Casualty and Environmental and Workers’ Compensation.

■ Minimum Premium: $10,000 - 15,000

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AIG, American Mining, Amerisafe, AmTrust, BerkleyNet, Berkshire Hathaway, Employers, FirstComp, Liberty Mutual, Guard, Hartford, Markel, RTW, Starstone, V3 Insurance Partners and more.

Breckenridge Insurance Contractors Workers’ Comp Program

Email: solved@breckis.com

breckis.com/program/contractors-workers-comp

■ Markets: Monoline Workers’ Comp – nearly 80 eligible contractor class codes

■ Phone Inquiries: Accepted

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic & FL, NY

■ Admitted Status: Admitted

■ Carriers Represented: AM Best A Rated Carriers

Breckenridge Insurance Workers’ Comp Program

Email: solved@breckis.com

Website: www.breckis.com/program/workers-comp

■ Markets: Monoline Workers’ Comp – close to 400 eligible class codes.

■ Phone Inquiries: Accepted

■ Limits: Statutory

■ Brokered Business: Accepted

■

■

■ Carriers Represented: AM Best A Rated Carriers

Brownyard Group

Contact: Jennifer Brownyard

Phone: 800-645-5820 ; Fax: 631-666-5723

Email: info@brownyard.com

Website: www.brownyard.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $10,000

■ Limits: EL up to $1M

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers: Arch Insurance Company, Employers

Builders & Tradesmen’s Ins. Services, Inc. (BTIS)

Contact: Brad Dowling

Phone: 916-772-9200 ; Fax: 916-772-9292

Email: bdowling@btisinc.com

Website: www.btisinc.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: $1M

■ Brokered Business: Not Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: AIG, AmTrust, Clear Spring, CNA, Employers, Great American, Cornerstone, ICW, Liberty Mutual, Pie, Travelers, Zenith

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Brokered Business: Not Accepted

■ States Entered in: All States

■ Admitted Status: Admitted in most states

■ Carriers Represented: Nova, Berkshire Hathaway, ICW (California Only), Guide One

CID Insurance Programs, Inc.

Contact: Darby Fisher

Phone: 800-922-7283 ; Fax: 619-593-2008

Email: darby@cidinsurance.com

Website: www.cidinsurance.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $350

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: AZ CA CO ID MD NE NMNV OR TN TX UT

■ Admitted Status: Admitted

■ Carriers: Over 25 insurance companies

Cluett Commercial Insurance Agency

Contact: Michelle Dempsey, Senior Underwriter, Workers’ Comp Division Manager

Phone: 800-926-6771 ext. 124 ; Fax: 781-585-4180

Email: mdempsey@cluettinsurance.com

Website: www.cluettinsurance.com

■ Markets Offered: Workers’ Comp , 24 Hour Policy, Excess Workers’ Comp, USL&H, PEO

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: No Limits

■ Brokered Business: Accepted

■ States: All except Monopolistic or AK, HI

■ Admitted Status: Admitted & Non-admitted

■ Carriers: Over 30 carriers represented.

Commercial Sector Insurance Brokers

Contact: Jake Roberts - 205-328-3982

Email: jroberts@comsectorins.com

Contact: Chandler Diercks - 205-776-1615

Email: cdiercks@comsectorins.com

Website: www.comsectorins.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $5,000

■ Limits: $1M/$1M/$1M

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: Chartis, Am Trust, Crum & Forester, Guarantee Insurance Co., Munich, Zurich

Commercial Sector is a National Wholesaler. We specialize in assisting retail agents solve P & C problems, including Workers’ Comp.

Community Association Insurance Solutions, LLC

Contact: Gary J. Deck, Director of Sales and Distribution, Managing Member

Phone: 916-212-8310, 888-833-4158

Email: gary@mgalive.com

Website: www.caislive.com

■ Markets Offered: Workers’ Comp If-Any & Payroll for Community Associations

■ Phone Inquiries: Accepted

■ Minimum Premium: $280 and up – Depending on the state

■ Limits: Statutory/up to $1M Employers Liability

■ Brokered Business: Accepted

■ States Entered in: All except ND OH WA WY

■ Admitted Status: Admitted

■ Carriers Represented: PMA Companies

Comp Solutions Network, Inc.

Contact:Dianne Favro

Phone: 713-690-3500 Ext. 101 ; Fax: 713-690-8484

Email: diannef@compsolutionsnetwork.com

Website: www.compsolutionsnetwork.com

■ Markets Offered: Monoline Workers’ Comp, Non- Subscriber Programs for Texas Employers

■ Phone Inquiries: Accepted

■ Minimum Premium: $250

■ Limits: $500K to $10M

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers (WC:) Accident Fund, American International, Amerisafe, AmTrust, Berkshire Hathaway, Service Lloyds, Pie Insurance, Midwest Ins., Markel (First Comp), Texas Mutual, Incline Casualty Ins., Bridgefield Casualty, Retailers Casualty, ICW Group

CompWest Insurance Company

Contact: Kristi Houston

Phone: 714-641-9570

Email: kristi.houston@compwestinsurance.com

Website: www.compwestinsurance.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: $1,000

■ Limits: No Ex-Mod or Premium Limits

■ Brokered Business: Not Accepted

■ States Entered in: AZ, CA, CO, ID, NV, OR, UT

■ Admitted Status: Admitted

■ Alliances With: AF Group, California Manufacturers & Technology Association (CMTA)

Continental Brokers, Inc.

Contact: Collier Simpson

Phone: 866-386-4136 ; Fax: 601-898-4793

Email: cs@continentalbrokers.biz

Website: www.continentalbrokers.biz

■ Markets Offered: Health Insurance, Managed Care, HMO, Short Term Medical, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: None

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: CNA, Hartford, Assurant, BCBS (some states) United HealthCare, Colonial

Continental Underwriters, Inc.

Contact: C. Preston Herrington, III

Phone: 804-643-7800 ; Fax: 804-643-5800

Email: preston@contund.com

Website: www.contund.com

■ Markets Offered: Workers’ Comp for the forestry and wood working industry

■ Phone Inquiries: Accepted

■ Minimum Premium: N/A

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Multiple

Don R. Jensen & Company

Contact:Don R. Jensen & Company

Phone: 630-734-3240 ; Fax: 630-734-3250

Email: apps@drjco.com

Website: www.drjco.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: None

■ Brokered Business: Not Accepted

■ States Entered in: All States except Monopolistic & AK, HI

■ Admitted Status: Admitted

■ Carriers Represented: Multiple AM Best “A” Rated Carriers

Dynamic Employer Solutions, Inc.

Contact:Logan Tuck

Phone: 352-212-5568 ; Fax: 813-527-9993

Email: logantuck@dynamicemployer.com

Website: www.dynamicemployer.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Brokered Business: Accepted

■ States Entered in: All States

Flux Insurance Services, LLC

Contact: Curtis Prince

Phone: 888-358-9467

Email: cprince@fluxins.com

Website: www.fluxins.com

■ Markets Offered: Workers’ Comp, Pay As You Go, HR, Payroll

■ Phone Inquiries: Accepted

■ Minimum Premium: No minimum / New Ventures Eligible

■ Limits: $10 MIL

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Various A rated carriers including (Accredited, Benchmark, Berkshire Hathaway, Berkley Net, Cimarron, Protective)

Foresight

Phone: 800-965-3012

Contact: Christine Garza (South) ; Michael Bibeau (West) | christine@getforesight.com ; michael@getforesight.com

Website: www.getforesight.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: No less than $25,000 annual

■ Limits: No Max

■ Brokered Business: Accepted

■ States Entered in: AR AZ CA LA NM NV OK TX

■ Admitted Status: Admitted

Frank Winston Crum

Contact: Tyler Huerkamp

Phone: 866-218-4219 x 1426 ; Fax: 727-450-7911

Email: wc@fwcrum.com

Website: www.frankwinstoncrum.com

■ Markets Offered: Workers’ Comp, General and Excess Liability

■ Phone Inquiries: Accepted

■ Minimum Premium: $500/$1000

■ Limits: 1M/1M/1M

■ Brokered Business: Not Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: Frank Winston Crum Insurance, Benchmark, Clear Blue

Freedom Risk Insurance Services

Contact: Ryan Wakefield

Phone: 253-432-9495

Email: ryan.wakefield@freedomrisk.net

Website: www.freedomrisk.net

■ Markets Offered: Workers’ Comp, PEO

FFVA Mutual Insurance Co.

Contact: Angie Helgeson

Phone: 800-346-4825 ; Fax: 321-214-0220

Email: Angie.Helgeson@ffvamutual.com

Website: www.ffvamutual.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: Varies by Industry

■ Limits: Statutory

■ Brokered Business: By Appointment

■ States Entered in: AL FL GA IN KY MS NC SC TN VA

■ Admitted Status: Admitted

FFVA Mutual is a Florida-based regional insurance carrier specializing in workers’ compensation since 1956. Rated A- (Excellent) by A.M. Best, we insure a variety of businesses in all major industry groups and write business in 10 states (AL, FL, GA, IN, KY, MS, NC, SC, TN and VA).

■ Phone Inquiries: Accepted

■ Minimum Premium: $25,000

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: Several specialty markets for hard to place clients

Friedlander Group, Inc.

Contact:Cosmo Preaito

Phone: 914-694-6000 x 203 ; Fax: 914-694-6004

Email: cosmop@friedlandergroup.com

Website: www.friedlandergroup.com

■ Markets Offered: Workers’ Comp & NYSIF Safety Groups

■ Phone Inquiries: Accepted

■ Minimum Premium: $3,500

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: NY & Most States

■ Admitted Status: Admitted

■ Alliances With: NYS Insurance Fund, Employers Ins. Co. & Amtrust

2023 Workers’ Compensation Directory

Gateway Specialty Insurance

Contact: Anthony Vellutato

Phone: 877-977-4474 ; Fax: 610-254-1855

Email: info@gatewayspecialty.com

Website: www.gatewayspecialty.com

■ Markets Offered: Workers’ Comp for Nonprofits

■ Phone Inquiries: Accepted

■ Brokered Business: Accepted

■ States Entered in: 33 States

■ Admitted Status: Admitted

Gorst & Compass Insurance

Contact: Paul Laufer

Phone: 818-507-1980 ; Fax: 818-545-3818

Email: plaufer@gorstcompass.com

Website: www.gorstcompass.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: AZ CA NV OR

■ Admitted Status: Admitted

■ Carriers Represented: 20+ Markets

Grand General Agency

Contact: Andy or David

Phone: 800-869-2022 ; Fax: 888-767-0826

Email: commercial@thehelpfulpeople.com

Website: www.thehelpfulpeople.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by class

■ Limits: $1,000,000/1,000,000/1,000,000

■ Brokered Business: Not Accepted

■ States Entered in: All States except Monopolistic & AK, AL, HI

■ Admitted Status: Admitted

■ Carriers Represented: Various - traditional and pay as you go options available

Gray Specialty

Contact: Robert Swayze

Phone: 504-754-6701

Email: rswayze@grayspecialty.com

Website: www.grayspecialty.com

■ Markets Offered: Excess Workers Comp, Excess Workers Comp Buffer Layer, USL&H, Alternative Risk, Reinsurance, Captives

■ Phone Inquiries: Accepted

■ Minimum Premium: $20,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: The Gray Insurance Co.

Grundy Insurance

Contact: Clinton Deiley

Phone: 877-338-4004 ; Fax: 215-674-5716

Email: clint@grundy.com

Website: www.grundy.com/utility

■ Markets Offered: All lines including Workers’ Comp for water and sewer systems

■ Phone Inquiries: Not accepted

■ Minimum Premium: $500

■ Limits: Statutory/up to $1M Employers Liability

■ Brokered Business: Accepted

■ States Entered in: All except HI & WA

■ Admitted Status: Admitted

Halcyon Underwriters

Contact: Jason Mata

Phone: 321-527-2180 ; Fax: 407-660-0525

Email: marketing@halcyonuw.com

Website: www.halcyonuw.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $2,500

■ Limits: 500/500/500

■ Brokered Business: Not Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Amerisafe, AmTrust, Chubb, CNA, Cornerstone, Crum & Forster, Employers, Everest, FFVA, FUBA, Guard Hartford, ICW, Liberty Mutual, Main Street America, Markel, Nationwide, Sentry, Starr, State Auto, Travelers, Zenith, Zurich

International Underwriting Agency

Contact: Edward Ha

Phone: 718-461-8088

Email: marketing@iua.bz

Website: www.iua.bz

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: $500

■ Limits: 1/2Mil & 2/4Mil

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Travelers, Amtrust, The Hartford, CNA, Employers, PEO companies

INVO Underwriting, LLC

Contact: Tina Mullins

Phone: 865-482-8142

Email: Tina.Mullins@invopeo.com

Website: www.invounderwriting.com

■ Markets Offered: Excess Workers’ Comp, Workers’ Comp

■ Phone Inquiries: Accepted

■ Brokered Business: Accepted

■ States Entered: Most States

IPA Risk Management, LLC

Contact: Greg or Chase

Phone: 201-797-1084 Ext. 201 or 202

Email: g. or c.heitmann@ipariskmanagement.com

ICW Group Insurance Companies

Contact: Jessica Northrup

Phone: 800-877-1111

Email: enterprisemarketing@icwgroup.com

Website: www.icwgroup.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: $1,500

■ Limits: $1M

■ Brokered Business: Accepted ■

Insurate

Contact: Zach Stock

Phone: 848-467-8728

Email: info@insurate.com

Website: www.insurate.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $50,000

■ Limits: EL up to $1,000,000

■ Brokered Business: Accepted

■

■

Status: Admitted

Integrated Underwriters ®

Contact: Curtis Prince

Phone: 567-233-2667

Email: cprince@integrateduw.com

Website: www.integrateduw.com

■ Markets Offered: Workers’ Comp, Pay As You Go, HR, Payroll

■ Phone Inquiries: Accepted

■ Minimum Premium: $50,000

■ Limits: $10 MIL

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Various integrated insurance programs all back by A rated carriers including (Ace, Accident Fund, AIG, AmTrust, Benchmark, Clear Spring, Sunz, Zurich)

Website: www.ipariskmanagement.com

■ Markets Offered: Health Insurance, HMO, Managed Care, PEO, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $25,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: Most States & Multiple states on one account.

■ Admitted Status: Admitted &Non-admitted

■ Alliances With: Yes - health benefits are integrated with workers’ comp benefits

Irving Weber Associates, Inc.

Contact:Tina Brazier

Phone: 631-619-9207 ; Fax: 631-913-6035

Email: Info@iwains.com

Website: www.iwains.com

■ Markets Offered: All Lines including Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Brokered Business: Accepted

■ States Entered in: All States except AK & HI

■ Admitted Status: Admitted

■ Carriers Represented: Hartford, Travelers, Employers & More

Izzo Insurance Services, A division of Hull & Company, LLC

Contact: Mike Jones

Phone: 800-800-1704 ; Fax: 630-582-2803

Email: MJones@IzzoInsurance.com

Website: www.IzzoInsurance.com

■ Markets Offered: Workers’ Compensation, Exclusive Security Guard Workers’ Compensation

■ Phone Inquiries: Accepted

■ Minimum Premium: $5,000

■ Limits: Varies

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AIG, AmeriTrust, AmTrust Companies, BerkleyNet, Chubb, CNA, Employers Ins. Group, Everest, Great American, GUARD, ICW Group, MCIM, National Liability & Fire, Normandy, Omaha National, Normandy, Starr, State Auto, Travelers, Zenith Insurance and several other carriers.

Jencap – Workers’ Compensation Division

Contact: Jeff Sandy, Vice President of Workers’ Compensation Brokerage

Phone: 1-800-913-6696

Email: marketing.wc@jencapgroup.com

Website: www.jencapgroup.com

■ Markets Offered: Guaranteed Cost Plans, Large Deductible Plans, Small and Mid-Sized Deductible Plans, ASO’s, PEO’s, Excess Workers’ Comp, USL&H

■ Phone Inquiries: Accepted

■ Minimum Premium: None

■ Limits: None

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: 60 + Workers’ Compensation Carriers

At Jencap, our worker’s compensation division offers exclusive access points and niche programs to provide you with a wide range of carriers to meet your needs. Using our size and strong relationships, we offer broader underwriting guidelines, giving you more options. And, with nationwide representation, the Jencap team has the knowledge, products and expertise to serve you.

Jencap Specialty Ins. Services - Buffalo

Contact: Rick Smith

Phone: 800-333-7226 ; Fax: 800-677-6779

Email: rick.smith@jencapgroup.com

Website: www.jencapgroup.com

■ Markets Offered: Workers’ Comp, Excess EL Public Entities (NY Only), Excess Work Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1M EL - Statutory WC

■ Brokered Business: Accepted

■ States Entered in: All States except HI UT WY

■ Admitted Status: Admitted

■ Carriers Represented: AIG, AmTrust, Crum & Forster, Lion, Starr, National Liability & Fire

Jimcor Agencies

WC: Chris Hudson - 201-573-8200 x 1204

Staffing WC: Michael Hayes - 201-573-8200 x 1109

Email: marketing@jimcor.com

Website: www.jimcor.com

■ Markets Offered: Workers’ Comp, Temporary Staffing Workers’ Comp, Medical Workers’ Comp including Temporary Staffing

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: Any Applicable per State

■ Brokered Business: Accepted

■ States Entered in: All Nonmonopolistic States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: AIG, AmTrust, Applied, Employers, Hanover, National Liability & Fire, Travelers, Crum & Forster, Zurich, Falls Lake, OneBeacon, SouthEast Personnel Leasing, Key Risk, CORE/Starstone, Liberty Mutual, Markel Specialty/FirstComp, QBE, Normandy

Keating Brokerage

Contact: Tim Palmer

Phone: 508-229-4710

Email: tpalmer@keating.insurance

Website: www.keating.insurance

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $2,500

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Over 25 Monoline

WC Markets

Legacy Employer Concepts, LLC

Contact: Brett Arthur

Phone: 813-460-9166

Email: brett@legacyemployerconcepts.com

Website: www.legacyemployerconcepts.com

■ Markets Offered: Excess Workers’ Comp, EPLI, Teladoc, Health Insurance, HMO, USL&H, Workers’ Comp, Human Resources, Payroll

■ Phone Inquiries: Accepted

■ Minimum Premium: $100

■ Limits: 99999999999999

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Multiple Carriers

LIG Marine Managers

Contact: Karen Tischler

Phone: 727-578-2800 ; Fax: 727-578-9977

Email: KLT@LIGMarine.com

Website: www.LIGMarine.com

■ Markets Offered: USL&H (Longshore), Workers’ Comp, MEL

■ Phone Inquiries: Accepted

■ Minimum Premium: $10,000

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted &Non-admitted

■ Carriers Represented: Various

London Underwriters

Contact: Marco De Grandis

Phone: 866-245-5197

Email: marketing@londonuw.com

Website: www.londonuw.com

■ Markets Offered: Workers’ Comp, Excess Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: $180 a year

■ Limits: Up to $2M in employers liability

■ Brokered Business: Accepted

■ States: All except AK HI ND OH WA WY

■ Admitted Status: Admitted

■ Carriers Represented: biBERK, Great American, Travelers, Pie Insurance, Employers, MCIM, AmTrust

Markel

Contact: Aaron Heithoff

Phone: 888-500-3344

Email: aaron.heithoff@markel.com

Website: markelinsurance.com/small-business

■ Markets Offered: Workers’ Comp, BOP, Misc. E&O, and specialty package policies

■ Phone Inquiries: Accepted

■ Minimum Premium: N/A

■ Limits: Varies by product

■ Brokered Business: Limited

■ States Entered in: Most. See website for details.

■ Admitted Status: Admitted

MartinoWest Business & Insurance Solutions

Phone: 844-333-2005 ; Fax: 916-751-5911

Email: info@martinowest.com

Website: www.martinowest.com

■ Markets Offered: PEO, Workers’ Comp, PayGo

■ Phone Inquiries: Accepted

■ Minimum Premium: N/A

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: All Carriers

Maverick Commercial Insurance Services

Contact: Mario Gomez

Phone: 818-223-0011

Email: mariogomez@maverickinsure.com

Website: www.maverickinsure.com

■ Markets Offered: Workers Comp, Construction Program, Large Deductible & Retro Programs, Excess WC, USL&H, PEO & Aviation

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1mil/$1mil/1mil

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: See website for full list

Maxim Insurance Group

Contact: Scott Carde

Phone: 813-689-5105 ; Fax: 813-354-2336

Email: mail@maximinsurancegroup.com

Website: www.maximinsurancegroup.com

■ Markets Offered: Workers’ Compensation, DBA, Repatriation & Foreign Coverage, USL&H

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: Statutory and up to $2M

■ Brokered Business: Accepted

■ States Entered in: All except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: AIG Group of Companies, AmTrust Group of Companies, Summit Group of Companies, MCIM

McLeckie Insurance Group

Contact: Bill McLeckie

Phone: 903-897-9090 ; Fax: 760-462-1696

Email: bill@mcleckie.com

Website: www.mcleckie.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries & Brokered Business: Accepted

■ Minimum Premium: $500

■ States Entered in: AR FL LA OK TN TX

■ Admitted Status: Admitted

■ Carriers Represented: Travelers and various others.

Midwest Employers Casualty

Contact: Renée Lunceford

Phone: 636-449-7022 ; Fax: 636-449-7199

Email: rlunceford@mecasualty.com

Website: www.mecasualty.com

■ Markets Offered: Workers’ Compensation: Excess Workers’ Compensation, Captives (WC, AL, GL), Large Deductible

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by risk

■ Limits: Up to Statutory

■ Brokered Business: Accepted

■ States Entered in: All States, District of Columbia

■ Admitted Status: Admitted

2023 Workers’ Compensation Directory

Midwestern Insurance Alliance, LLC

Contact: Theresa Bailey

Phone: 619-450-1739 ; Fax: 502-426-7067

Email: tbailey@mwiainsurance.com

Website: www.midwesterninsurance.com

■ Markets Offered: Workers’ Comp, Trucking, Milk Haulers, Fuel Haulers, Commercial Roofing, OA/CL, Wood Products

■ Phone Inquiries: Accepted

■ Minimum Premium: $5,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Multiple “A” rated carriers

MiniCo Insurance Agency, LLC

Contact: Robert Novak

Phone: 800-528-1056

Email: workerscomp@minico.com

Website: www.minico.com

■ Markets Offered: Workers’ Comp for SelfStorage Facilities

■ Phone Inquiries: Accepted

■ Minimum Premium: None

■ Limits: $1,000,000/$1,000,000/$1,000,000

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Liberty Mutual

NBIS

Contact: Chris Fiorentino

Phone: 770-257-1502 ; Fax: 770-257-1500

Email: cfiorentino@nbis.com

Website: www.NBIS.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Min Premium: $2,500 (NO mono-line WC –must be in conjunction with other lines GL, Auto, IM)

■ Limits: 1m/1m/1m

■ Brokered Business: NotAccepted

■ States Entered in: All States except NY

■ Admitted Status: Admitted all states

New Age Underwriters Agency, Inc.

Contact: Marty Ascher

Phone: 516-488-2500 X238 ; Fax: 516-488-2508

Email: M.Ascher@NewAgeIns.com

Website: www.newageins.com

■ Markets Offered: Workers’ Comp, Excess Workers’ Comp, Cannabis, Hard to Place

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by Carrier

■ Limits: Varies by State

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted &Non-admitted

■ Carriers Represented: 30 carriers includingAllianz, Amtrust, Cimarron, Employers, National Liability, Normandy, Utica National, Zurich and others

Norman-Spencer Agency, Inc.

Contact: David George

Phone: 937-432-3513 ; Fax: 937-432-1635

Email: davidgeorge@norman-spencer.com

Website: www.norman-spencer.com

■ Markets Offered: Excess Workers’ Comp, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AmTrust, Crum & Forster, Everest, Hartford, Liberty Mutual

Normandy Insurance Company

Contact: Laura Lieberman, Marketing

Phone: 866-688-6448 ; Fax: 866-688-6448

Email: applications@normandyins.com

Website: www.normandyins.com

■ Markets Offered: Workers’ Comp, General Liability and Yacht

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: Standard

■ Brokered Business: Accepted

■ States Entered in: AL AR CT FL GA LA MO MS NC OK PA RI SC TN TX VA

■ Admitted Status: Admitted

■ Alliances With: Various Brokers / Direct appointment may be available

For more info, see our ad on page 2 (Southeast) ; page 3 (East) ; page 4 (S. Central).

Number One Insurance Agency, Inc.

Contact: Michelle St. Angelo

Phone: 508-634-7364 ; Fax: 508-634-2930

Email: mstangelo@massagent.com

Website: www.massagent.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $100

■ Limits: 100 / 500 / 100 +

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AmTrust Group, Norfolk &Dedham Group, The Hartford, A.I.M. Mutual Ins Companies and more.

Oryx Insurance Brokerage, Inc.

Contact: Tom Pasquale

Phone: D 607-304-4230 ; Fax: 607-724-7266

Email: marketing@oryxinsurance.com

Website: www.oryxinsurance.com

■ Markets Offered: Workers’ Compensation, GL, BA, UMB

■ Phone Inquiries: Accepted

■ Minimum Premium: $15,000

■ Brokered Business: Not Accepted

■ States Entered in: NY – Other States Eligible: CT DE IL MD NJ PA VA VT

■ Admitted Status: Admitted

■ Carriers Represented: Various A rated Carriers

Pacific Excess Insurance Marketing

Contact: Barry Colburn

Phone: 800-222-5582 ; Fax: 714-228-7899

Email: Marketing@pacificexcess.com

Website: www.pacificexcess.com

■ Markets Offered: Workers’ Comp, All P&C Risks

■ Phone Inquiries: Accepted

■ Minimum Premium: As Low As $500

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: 32 States

■ Admitted Status: Admitted

■ Carriers: Multiple Carriers Represented

PEO/Insurance Emperor

Contact: Nick Minetos

Phone: 505-610-6885 ; Fax: 505-212-0366

Email: nick@peoemperor.net

Website: www.peoemperor.net

■ Markets Offered: Workers’ Comp, Health Insurance, Wellnes Program/Tax Savings

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: 999999999

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Several Carriers and PEOs, ASOs and EORs

PEO Brokers Group

Contact: Steve Brown

Phone: 877-810-9355

Email: swbrown@peobrokersgroup.com

Omaha National Underwriters, LLC

Contact: Chris LaMantia

Phone: 844-761-8400

Email: sales@omahanational.com

Website: www.omahanational.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Must be experience rated

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: AZ CA CT GA IL NC NE NJ NY PA SC

■ Admitted Status: Admitted

■ Carriers Represented: PPIC, Palomar, Omaha National Insurance

For more info, see our ad attached to the cover!

Omega Insurance Solutions

Contact: Keith Steverson

Phone: 866-997-0711 ; Fax: 888-611-9598

Email: wc@omega4agents.com

Website: www.Omega4agents.com

■ Markets: USL&H, Workers’ Comp, Hard-to-Place WC, GL, Commercial Auto, Small BOPs

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: WC standard limits or increased to $1M

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: 17 WC carriers/4 PEOs –Writing most classes depending on state.

Website: www.peobrokersgroup.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: None

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Multiple

PEO Insurance Brokers Network

Contact: Garrett Barbera

Phone: 714-693-0005

Email: garrett@peobrokersnetwork.com

Website: www.peobrokersnetwork.com

■ Markets Offered: Workers’ Comp, PEO

■ Phone Inquiries: Accepted

■ Minimum Premium: $50,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: AIG, United Wisconsin, Sunz, Zurich, State, National, Benchmark

Pie Insurance

Contact: Business Development

Email: partnerships@pieinsurance.com

Website: agencies.pieinsurance.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Not Accepted

■ Minimum Premium: No minimum

■ Limits: $125,000

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

PMC Insurance Group, a Division of One80 Intermediaries

Contact: Janet Elliott, Transportation Broker –

Workers Compensation

Phone: 781-825-8054

Email: jelliott@pmcinsurance.com

Website: www.pmcinsurance.com

■ Markets Offered: Workers’ Comp, Work Comp/ Occupational Accident Packages, PEO

■ Phone Inquiries: Accepted

■ Minimum Premium: Workers’ Comp: $1,000

■ Limits: Workers’ Comp: Statutory

■ Brokered Business: Accepted

■ States Entered in: All except ND OH WA WY

■ Admitted Status: Admitted

■ Carriers Represented: Various

Pro Group International

Contact: Bryan Peterson

Phone: 800-489-9914

Email: info@progroupins.com

Website: www.progroupins.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Limits: Varies

■ Brokered Business: Not Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Various

Program Brokerage Corporation

Contact: Cynthia O’Brien

Phone: 866-607-8370 ; Fax: 212-338-2910

Email: info@programbrokerage.com

Website: www.programbrokerage.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $2,500

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AmTrust, C&F, CNA, Everest, Guard, Hanover, Hartford, Star, Travelers, Zurich

Public Entities of America (PEA)

Contact: Emily Nagle

Phone: 303-531-3911

Email: emily.nagle@peausa.com

Website: www.peausa.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Brokered Business: Not Accepted

■ States Entered in: All States except AK & HI

■ Admitted Status: Admitted

■ Carriers Represented: AIA, BITCO, Key Risk

Red Rock Financial Group, Inc.

DBA: The Workers Compensation Insurance Place

Contact: Lawrence Levine

Phone: 520-975-2505

Email: info@redrockfg.com

Website: www.redrockfg.com

■ Markets Offered: Workers’ Comp (High Risk) (High mode 1.75+): Roofers, Framers, Excavators, Truckers and many other class codes.

■ Phone Inquiries: Accepted

■ Minimum Premium: $7,500

■ Limits: None

■ Brokered Business: Accepted

■ States Entered in: Majority of states 42

■ Admitted Status: Admitted & Non-admitted

■ Alliances With: PEOs

Risk Placement Services, Inc. (RPS)

Phone: 866-595-8413

Email: Contact_Us @RPSins.com

Website: www.rpsins.com

■ Markets Offered: Excess WC, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: ACE, AIG, CNA, Hartford, Safeco & Zurich

RT Specialty

Phone: 888-884-1900 ; Fax: 312-784-6002

Email: marketing@rtspecialty.com

Website: rtspecialty.com

■ Markets Offered: Workers’ Comp, Excess Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by class

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: We have strategic partnerships with many carriers. Inquire for details.

Safety National Casualty Corporation

Phone: 888-995-5300 ; Fax: 314-995-3843

Email: info@safetynational.com

Website: www.safetynational.com

■ Markets Offered: Excess WC, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by state

■ Limits: Varies by state

■ Brokered Business: Accepted

■ States Entered in: All States & Canada

■ Admitted Status: Admitted

For more info, see our ad on page 13 (National).

Safety National® is a multi-line specialty insurance carrier that offers risk solutions for large commercial and public entity clients, providing specialized expertise, flexible program design and unique claims proficiency supported by relationship-driven customer service. The company is a Tokio Marine Group member and is A.M. Best rated A++, FSC XV.

SAGE Program Underwriters

Contact: Chuck Holdren

Phone: 833-724-3111

Email: chuck@sageuw.com

Website: www.sageuw.com

■ Markets Offered: Workers’ Comp for the Shooting Sports/Firearms and Ground Delivery/ Last Mile Industries

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1,000,000

■ Brokered Business: Accepted upon approval

■ States Entered in: All except AK, DE, HI & MA

■ Admitted Status: Admitted

SDS General Insurance Services, Inc.

Contact: Heidi Schaible

Phone: 949-929-8743

Email: heidis@sdsins.com

Website: www.sdsins.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1,000,000

■ Brokered Business: Not Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Oakriver/Cypress/Redwood, Republic Indemnity, Markel, AmTrust North America, Risk Placement Services Insurance Brokers (Atlas), Omaha National

Shield Commercial Insurance Services

Contact: Michael Blom

Phone: 760-345-9029 ; Fax: 800-345-4851

Email: info@shieldins.net

Website: www.shieldins.net

■ Markets Offered: Workers’ Compensation: cannabis, contractors, country clubs, freight forwarders, health care, hotel/motel, HVAC, indoor gun ranges, light manufacturing, restaurants, retail storage-warehouse, staffing, telecommunications, trucking

■ Phone Inquiries: Accepted

■ Minimum Premium: $5,000

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Nationwide, MidSouth, Normandy, Cimarron, Omaha National SouthEast Personnel Leasing Inc.

Contact: Emanuel Molina

Phone: 727-692-8801 ; Fax: 727-682-0182

Email: emanuel.m@spli.com

Website: www.spli.com

■ Markets Offered: Workers’ Comp, USL&H

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by State

■ Limits: $ 1,000,000

■ Brokered Business: Accepted

■ States Entered in: AL AZ CA CO DC FL GA IL IN KY LA MD MS NC NJ NM NV NY OK PA SC TN TX VA

Southern Insurance Underwriters (SIU)

Contact: Blake Owen

Phone: 678-498-4566

Email: workcomp@siuins.com

Website: www.siuins.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies by carrier

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: 30 states

■ Admitted Status: Admitted

■ Carriers Represented: Multiple carriers

For more info, see our ad on page 4 (Southeast).

2023 Workers’ Compensation Directory

Specialty Comp Insurance Solutions

Contact: Julianna Copeland-Jager

Phone: 214-918-5667

Em: Julianna.CopelandJag@specialtycompins.com

Website: www.specialtycompins.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $75,500

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: QBE, Core Specialty, AmeriTrust, State Auto, BerkleyNet, Pie, Everest

Sports & Fitness Insurance Corporation (SFIC)

Contact: Kim Tucker

Phone: 800-844-0536 ; Fax: 601-853-6141

Email: askus@sportsfitness.com

Website: www.sportsfitness.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: Liberty Mutual, Hartford

Staffing Lines

Contact: Candice Arena

Phone: 610-808-9610 ; Fax: 610-941-9889

Email: carena@nsminc.com

Website: www.staffinglines.com

■ Markets Offered: Workers’ Comp for the Staffing Industry

■ Phone Inquiries: Accepted

■ Minimum Premium: $15K for Professional/ Clerical Risks; $25K for Pick/Pack and Hospitality; $10k Medical; $30k Social Services, Non-profits, schools; $50K for Light Industrial

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: 7

Staffing Lines insurance program, a division of NSM Insurance Group, is the industry leader in specialized insurance for temporary, permanent and outplacement staffing agencies. Named one of the country’s top 10 workers’ compensation solutions, we provide agents with a dedicated underwriting team, access to multiple A-rated markets and unmatched service.

StateFund First, a division of Arthur J Gallagher & Co. Insurance Brokers of CA, Inc.

Contact: Erica Bro

Phone: 855-784-4433 ; Fax: 415-536-4003

Email: Service@statefundfirst.com

Website: www.statefundfirst.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Limits: $1,000,000

■ Brokered Business: Accepted

■ States Entered in: CA

■ Admitted Status: Admitted

■ Carriers Represented: California State Compensation Insurance Fund, ICW, Berkshire Hathaway

Stonetrust Workers’ Compensation

Contact: Trey Day

Phone: 225-368-6474 ; Fax: 866-923-1871

Email: Trey.Day@StonetrustInsurance.com

Website: www.StonetrustInsurance.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Exposure

■ Limits: 3,000,000/3,000,000/3,000,000

■ Brokered Business: Not Accepted

■ States Entered In: AL AR KS LA MO MS NE OK TN TX

■ Admitted Status: Admitted

SWBC

Contact: Lisa Pinto

Phone: 210-525-1241 ; Fax: 210-321-7530

Email: swbcinfo@swbc.com

Website: www.swbc.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: No minimum

■ Limits: 100/100/500 minimum

■ Brokered Business: Not Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: All Major Carriers

Target Managers Insurance Services, Inc.

Contact: Michael Kiger

Phone: 702-588-5300 ; Fax: 702-588-5310

Email: Submissions@targetmanagers.com

Website: www.targetmanagers.com

■ Markets Offered: USL&H, Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $1,000

■ Limits: $1M

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

■ Carriers Represented: AIG, Amerisafe, AmTrust, California Insurance Company, Continental Indemnity, Employers Compensation, National Liability, Zurich & many others.

Tejas American General Agency

Contact: Robert Starcher

Phone: 888-999-8242 ; Fax: 512-342-2803

Email: marketing@taga1.com

Website: www.taga1.com

■ Markets: Workers’ Comp, Non-Subscription

■ Phone Inquiries: Accepted

■ Minimum Premium: $250

■ Limits: $1M/$1M/$1M

■ Brokered Business: Not Accepted

■ Carriers Represented: Accident Fund, AIG, Amerisafe, AmTrust, Berkshire GUARD, Employers, Hanover, ICW Group, Markel Specialty, Nationwide, Normandy, Old Glory, Pie, RTW, State Auto, Travelers, Trean

Texas Association of Manufacturers

Workers’ Comp Safety Group

Contact: Jim Sierra

Phone: 512-796-5467

Email: JSierra180@gmail.com

Website: www.TAMWorkersComp.com

■ Markets Offered: Manufacturers Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $0

■ Brokered Business: Accepted

■ States Entered in: TX

■ Admitted Status: Admitted

■ Carriers Represented: Texas Mutual Ins. Company

Texas Mutual Insurance Company

Contact:Customer Service

Phone: 800-859-5995

Email: information@texasmutual.com

Website: www.texasmutual.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Competitive premiums

■ Brokered Business: Accepted

■ States Entered in: TX

For more info, see our ad on page 3 (S. Central).

The American Equity Underwriters, Inc.

Contact: Marketing Department

Phone: 251-690-4230

Email: aeu.marketing@amequity.com

Website: www.amequity.com

■ Markets Offered: USL&H

■ Phone Inquiries: Accepted

■ Minimum Premium: $10,000

■ Limits: Federal Acts - Statutory, EL - $1M

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: N/A, U.S.Dept. of Labor

Approved

■ Carriers Represented: American Longshore Mutual Association (ALMA) a U.S. Department of Labor approved group mutual association

AEU is a program administrator for a group self-insurance fund authorized by the U.S. Department of Labor to provide USL&H coverage for the liabilities of its members, which are waterfront employers of all sizes. AEU can also provide State Act workers’ compensation and MEL coverage.

The Mechanic Group, Inc., A Div of Specialty Programs Group, LLC

Contact: Marc Katz

Phone: 845-735-0700 ; Fax: 845-735-8383

Email: mkatz@mechanicgroup.com

Website: www.mechanicgroup.com

■ Markets Offered: Workers’ Comp and all other lines for Security Guards, Alarms and Investigators.

■ Phone Inquiries: Accepted

■ Minimum Manual Premium: $3,500

■ Limits: All

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: The Hartford, Berkshire Hathaway, AIG

The MEMIC Group

Contact: Ashley Fuller

Phone: 207-482-4131

Email: afuller@memic.com

Website: www.thememicdifference.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Brokered Business: Not Accepted

■ States Entered in: All Non-monopolistic States

■ Admitted Status: Admitted

theWCmarketplace.com

Phone: 704-574-1422 ; Fax: 800-603-1702

Email: service@theWCmarketplace.com

Website: theWCmarketplace.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: up to $5,000,000

■ Brokered Business: Accepted

■ States Entered in: All except Monopolistic

■ Admitted Status: Admitted

■ Carriers Represented: 3 dozen - One-stop shopping

U.S. Risk, LLC

Contact: Brian Rudolph

Phone: 941-444-1643

Email: WCsubmissions@usrisk.com

Website: www.usrisk.com

■ Markets Offered: Workers’ Comp (All Lines), Monoline Workers’ Comp, Excess Workers’ Comp, USL&H, Occupational Accident, NonSubscriber

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Limits: Varies

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

■ Carriers Represented: We access Work Comp from 25+ Carriers

Universal Insurance Programs

Contact: Jenny Bortman

Phone: 800-844-2101 ; Fax: 866-512-2272

Email: info@uiprograms.com

Website: www.uiprograms.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: None

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

Work First Casualty Company

Contact: Bruce Winterrowd; VP of Underwriting

Phone: 630-416-7954

Email: bwinterrowd@workfirstcasualty.com

Website: www.workfirstcasualty.com

■ Markets Offered: Workers’ Comp rated A- by AM Best

■ Phone Inquiries: Accepted

■ Minimum Premium: $100,000

■ Limits: $1,000,000 Employer’s Liability

■ Brokered Business: Accepted

■ States Entered in: All States except Monopolistic

■ Admitted Status: Admitted

■ Alliances With: American Staffing Association, Broadspire

World Wide Specialty , a Division of Philadelphia Insurance Companies

Contact: Robert Thompson or Margarita Hambrock

Phone: 516-743-3262 or 516-743-3257

Email: Bob.Thompson@phly.com

Email: Margarita.Hambrock@phly.com

Website: www.wwspi.com

■ Markets Offered: Workers’ Comp, All other Staffing Lines

■ Phone Inquiries: Accepted

■ Minimum Premium: Call to discuss

■ Limits: State Mandated

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AmTrust Financial Services, Work First Casualty, Sunz Insurance, InSource Employer Solutions, Key Risk, Synergy and WorkCentric

Wrap Up Insurance Solutions

Contact: Brian Billhartz

Phone: 636-489-0185 ; Fax: 636-536-7473

Email: bbillhartz@wrapupsolutions.com

Website: www.wrapupsolutions.com

WorkCompMGA

Contact: Shawn Tracy

Phone: 888-659-2642 ; Fax: 303-793-3386

Email: shawn@WorkCompMGA.com

Website: www.WorkCompMGA.com

■ Markets Offered: Workers’ Comp

■ Phone Inquiries: Accepted

■ Minimum Premium: $10,000

■ Limits: Unlimited

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted & Non-admitted

For more info, see our ad on page 21 (National).

Work Comp Now, Inc.

Contact: Ralph Mencia

Phone: 904-438-4723

Email: info@wcinsnow.com

Website: www.wcinsnow.com

Total Program Management

Contact: Rhianna Jackson

Phone: 631-676-1537 ; Fax: 888-773-2239

Email: rhianna.jackson@tpmrisk.com

Website: www.tpmrisk.com

■ Markets Offered: Workers’ Comp for Senior Living & Care (Facilities, Home Health Care Aides); Guaranteed Cost and Loss Sensitive

■ Phone Inquiries: Accepted

■ Minimum Premium: Varies

■ Limits: Varies

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: AmTrust Financial, Berkshire Hathaway Homestate, Pharmacists Mutual, Crum & Forster, Berkley Industrial Comp, Pie Insurance

■ Markets Offered: High Hazard Workers’ CompAM Best A rated markets

■ Phone Inquiries: Not Accepted

■ Minimum Premium: $50,000

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted

■ Carriers Represented: Lion, Sunz, United Wisconsin

■ Markets Offered: Excess Workers’ Comp, Workers’ Comp, Wrap Ups

■ Phone Inquiries: Accepted

■ Minimum Premium: N/A

■ Limits: $100MM

■ Brokered Business: Accepted

■ States Entered in: All States

■ Admitted Status: Admitted &Non-admitted

■ Carriers Represented: Zurich, AIG, ACE, Liberty Mutual, ARCH, Old Republic, Travelers

Wright Specialty Insurance

Contact: Hillary Smith

Phone: 516-750-3923 ; Fax: 516-227-2352

Email: hsmith@wrightinsurance.com

Website: www.wrightinsurance.com

■ Markets Offered: Workers’Compensation available for Educational Institutions

■ Phone Inquiries: Accepted

■ Minimum Premium: $500

■ Limits: Statutory

■ Brokered Business: Accepted

■ States Entered in: Most States

■ Admitted Status: Admitted

Idea Exchange: Minding Your Business

Dressing Up the Agency for the Wedding

Part 1 – Agency Operations

Business owners have a lot to consider when running a successful business. Unfortunately, many do not consider an exit strategy, especially in the early years of the business.

Agency owners without an exit strategy will sometimes make decisions based on expediency, rather than following a long-term strategy. So, when the owners are ready to sell, too often the firm is not in the most optimum condition. This usually means the firm is valued at a lower price and the owners lose some potential equity.

For these agencies, the business needs to be “dressed up” before the “wedding.” The axiom we like to follow is to “run your business like you are ready to sell your business.” This will require a change in thinking and manag ing.

By Catherine Oak

This article covers some of the more common issues or weaknesses that agency owners might run into when selling or merging their business. These issues are typically systemic and ingrained, so correcting them will take time and commitment. However, for those that address these issues now, when the “wedding” comes, the firm and the owners will be ready to reap the rewards.

Be an S Corp or LLC for Tax Purposes

Buyers typically buy the assets of the firm and not the stock. For owners of a C corporation, this presents a double tax situation. In an asset sale for a C corporation, the proceeds from the sale would first be taxed corporately and then personally for the owners. This layering of taxes can cost up to 62% in some states!

It is best to become an S corporation or an LLC as far in advance of a sale as possible. There is now a five-year waiting rule after the conversion from a C corporation

for the exclusion of all “built in gains.” Note — for a few years this was a 10-year period!

Keep in mind, every year after the S election or LLC conversion has been in place, the new growth/equity gain will not be double taxed, but instead will be treated just as capital gains for the owner. Make sure to have the business appraised to establish the basis for the built-in gains. As long as the agency is growing, it is worth converting the firm to an S corporation, even before five years! Some CPAs talk owners into not converting because they lose some write-off benefits, however, it is not worth the hassles in the structuring of a sale if this conversion does not occur.

Good Management in Place

A successful, valuable agency must have good management from the top down. But owners do not have to do all the managing. Most owners are the firm’s best sales persons. So, if that is the case, it is better to hire an agency manager to oversee all departments, rather than impacting sales. For smaller firms where that might not be cost effective, promote one of the CSRs to a supervisory role or office manager role.

A middle management team will take a big burden off the owners and usually makes sense when the firm has more than three account managers by department.

Cost for an overall agency manager to do all these things is in the 3% to 5% range of agency commission revenue and caps out at about $250,000, depending on the size and location of the firm. If a middle management team is also in place, the agency manger role is less complicated and thus less expensive. Also, an agency manager helps with the transition of the business when the owners are ready to retire.

Service Personnel Productivity

Many agencies are not staffed properly, especially with their service desks. Often owners don’t know or understand how to gather the correct information from computer reports in order to measure staffing requirements.

Third party buyers want to know the agency has the right level of quality staff for the workloads, based on the average size of account. If there are problems, it is not easy to repair, especially if there are too many people for the workloads, i.e., the staff “over-services” accounts. Account

retention can be at stake in a sale if staff is cut.

The primary report for analysis is a Book of Business by Representative to establish the total number of accounts and the commission dollars. Extracting correct information from the computer system is not always easy. Sometimes account managers have not properly coded the accounts they work on themselves. Sometimes they can only access item numbers or policies, not customer counts.

There are also other Key Performance Indicators such as activity count, and subjective factors like the quality of work to also consider.

Good Communication and Morale

Buyers know that firms with high staff morale are worth more because of employee loyalty and productivity. A driver of employee morale is the quality and quantity of communication throughout the agency. Regular staff meetings are the foundation of good communications. These meetings are intended to clarify the direction of the agency and provide a format for the staff to discuss issues and concerns.

Employees tend to be happy when they are respected and know what to expect. Policies and procedures need to be established and followed consistently. Having rules but not following them or doing so inconsistently will kill employee morale. When people are treated fairly and respected, morale will be high. These policies and procedures also help with effective workflow and good customer service.

Pro Forma Profit Over 25%

The bottom line is the bottom line! What can be said, except that sellers that have managed the expenses well, streamlined their organizations, and have proper compensation plans

deliver better cash flow. Firms with a high profit margin are more valuable and highly sought after.

Employee compensation, benefits and payroll taxes account for 55% to 70% of the firm’s revenue. Therefore, this is the first place to review. For firms with high employee compensation ratios, there are two common issues: 1) low employee productivity from overstaffing or poor workflow and 2) excessive producer compensation.

If the high expense ratio is the result of lucrative owner compensation, this is actually a good thing!

After compensation expenses, all other expenses account for 15% to 25% of revenue. It is still important to manage these expenses, especially the big ones like rent. However, if there is a choice between lowering the cost of supplies and improving employee productivity, spend the time on the latter because it will have a bigger impact on profits.

Summary

These are the typical agency operational issues that some sellers face when they are preparing to sell. None of these issues can get fixed overnight, but instead, will take a year or more to properly address and revise. Owners need

to understand their agency’s weaknesses and fix them well before they intend to sell the business. Take the time now to work on your business so that it will be in optimum shape when it is time to sell.

When evaluating an acquisition opportunity, buyers usually first look at the agency’s book of business. Next month, we will address common issues with the book of business, sales and producers, as well as how to make them attractive to a buyer.

Oak is the founder of the international consulting firm, Oak & Associates, based in Northern California and Bend, Oregon. The firm specializes in financial and management consulting for independent insurance agencies, including valuations, mergers, acquisitions, sales and marketing planning as well as perpetuation planning. Phone: 707-935-6565. E-mail at catoak@gmail.com.

Idea Exchange: Talent

Lose Job, Gain Productivity

The traditional job as we know it is slowly being replaced by skills-based work models. Could the shift help you recapture productivity?

When it rains, it pours.

The labor market was already strained in some industries prior to 2020. Add a pandemic, increasing inflation, and the Great Resignation phenomenon and that strain has become a downright crisis. In January 2023, the Bureau of Labor Statistics reported more job openings than unemployed people, continuing a trend that started in May 2021. BLS also reported over 10.8 million openings at the start of 2023.

the insurance workforce looking to retire by 2028, and just 4% of millennials showing interest in working in the insurance industry, the crisis for the insurance sector isn’t coming — it’s already here.

significant shift in how business is conducted and most importantly, how today’s workplace functions.

By Sharon Emek, Ph.D.

With so many organizations competing for so few workers, how is the insurance industry going to attract and retain talent? With over 374,000 openings in the finance and insurance industry, more than half of

As organizations across all industries have raced to adapt to a new labor market, new work models have emerged. From flexible work to new ways to measure employee and enterprise success, companies are learning to adapt to these changes in ways that were not talked about let alone considered prior to 2020.

With good reason, too. As the search for degreed, skilled workers hits a wall, organizations have to think beyond their traditional methods of both finding and retaining employees. Such has been the focus since rapid technology changes ushered in the fourth industrial revolution era, which has thrust the world into a

Fortunately, there are changes that your organization can make to attract job seekers with the right set of skills and better utilize the skills of your current employees. A skills-based work model taps into the variety of skills your employees have and empowers your team to become a more responsive, flexible workforce.

What Is a Skills-Based Work Model?

Imagine hiring skills, not titles. Imagine jobs going away and right-fit talent taking its place. That’s the premise behind skillsbased work. Job candidates are evaluated and hired based on their skill sets, not their work history. For example, a worker who has put in eight years as an insurance supply chain manager typically has developed

productivity and efficiency skills. Those skills could well help a company identify, track and manage their operations to help teams reach outcomes faster and more effectively.

What a skills-based approach does is open up the workforce to more cross-departmental collaboration and work sharing. By doing away with job titles and descriptions, organizations can recognize the talents within their current staff, and fill in any skills gaps with new hires.

Another example: At our company, we regularly re-engage retiring and retired insurance professionals in transitional, work-from-home post-careers. Today’s underwriting executive could well be tomorrow’s claims adjuster or cybersecurity expert. Depending on the experience accumulated over a long career, each professional would be able to use those secondary skills in a way that enhances the client company’s core business needs.

Sharing the Wealth

Through this level of sharing resources and knowledge, organizations can widen their talent search to include candidates whose skills are likely to fill gaps within the current workforce. That can speed up the hiring process and make it easier to find employees who have the right mix of behavioral skills and on-the-job experience.

That matters. A recent survey by Deloitte reveals that 30% of respondents feel their organizations are ineffective at matching the right talent to work. When workers are not aligned with the work, both the organization and the worker are hampered. Removing those traditional barriers to hiring and, more importantly, to working creates a more reasonable approach to productivity and collaboration.

Yet many organizations still resist the change. A 2023 Deloitte Global Human Capital Trends survey shows that 93% of respondents believe moving away from the jobs-focused approach is important to their organization’s success. However, just 20% think their organizations are ready for it. The biggest thing holding them back? Legacy mindsets and practices, say 46% of that same survey’s respondents.

The Approach

For those willing to make the shift, finding talent and re-engaging existing employees takes a new approach.

Rethink your workforce. The first step is to rethink your current employee population. Determine what skills are available, which ones are being underutilized, and where you may have gaps in knowledge or experience.

Update your job descriptions. Less important is a candidate’s degree; more important is the candidate’s skill set. Understand what skills each job needs and which of those can be learned on the job. While education is part of most job listings, education should play a minor role compared to the skills your organization needs. For example, an administrative assistant who has handled numerous claims could be a bigger asset to your organization than a candidate with a BS in mathematics. Reframe your job postings to seek out the skills rather than the education or the years of experience. Encourage those without educational credits to apply.

Look beyond job listings. Consider ways in which you can re-engage industry talent or with outside organizations that can help steer candidates with the appropriate skills your way. Create partnerships with community groups and associations to expand beyond the reach of your job ad.

Make the most of behavioral questions. How has the candidate used the skills you’re seeking? Look for ways in which the candidate has applied their skills with successful results. Music streaming service Spotify was one of the first companies to adopt a skills-based model. They tend to ask a number of behavioral/situational questions that are intended to uncover skills and potential reactions of each candidate.

Conduct blind interviews. Blind interview processes help to remove any unconscious bias that could be present in your hiring process. Screen candidates whose names and identifiers don’t appear on their resumes or profiles. And pre-testing of your candidates should also be anonymized. You can pre-qualify candidates’ personalities anonymously, which can actually increase the diversity within your organization. That matters — diverse workforces are more productive.

Reskill your current workforce. Particularly in the more technology-driven facets of your operations, employees will need to change or enhance their skill set. Encouraging all employees to reskill in any area that interests them is a great way to build agility in your workforce. Losing a key employee does not need to bring the work to a halt when other employees are skilled and ready to fill the gap.

Letting Skills Lead

In today’s competitive labor market, finding employees that possess problem-solving skills and the ability to collaborate and adapt to changing business demands is tougher than ever. For the insurance industry, the problem is exacerbated by a young workforce that has not yet considered insurance as a viable career option.

As a result, clinging to traditional, how-we’ve-always-done-it hiring and job performance metrics simply won’t work. Insurance organizations need to attract and retain talent. To do so, they should be considering new approaches to refocusing both the way they hire and the way they utilize the talent in their organizations.

Adopting a skills-based approach to hiring and engaging workers, your organization can benefit in many ways. Employees are happier, the candidate pool is widened, and skills that may otherwise lie dormant within your company are able to improve overall outcomes. Your organization becomes more flexible and more responsive in an ever-changing, competitive market.

Emek, Ph.D., CIC, is founder and CEO of Work At Home Vintage Experts (WAHVE), www.wahve.com.

Idea Exchange: Agency Management

The Talent Crunch Part 2: Rethinking Your Approach to Recruiting

From time to time, my doctor prescribes a treadmill test to check out how strong my heart is. Perhaps you’ve experienced this test, but in case you haven’t, the idea is to make you run faster and faster up an increasingly steep hill. It becomes a miserable experience pretty quickly. The best thing I can say about it is, it’s over quickly.

That’s how I think about recruiting talent in the insurance business. The challenge becomes steeper and steeper — but, in this case, it’s never over!

are opportunities for those willing to think differently and experiment with their approach to recruiting. These three opportunities (or mind set changes) could serve as difference makers for agencies:

time or training costs to bring them to full productivity. While I acknowledge this as a concern, I think it can be mitigated with a carefully thought-out training plan and teamwork. Further, the cost of having the position unfilled or hiring another industry veteran with bad habits likely outweighs those costs. In my experience, people new to the industry find ways to translate their skills quickly in meaningful ways.

By Tony Caldwell

Last month in this column, I offered tips on how to best approach the talent crisis, encouraging readers to realize that they are as much the interviewee as the interviewer in the current job market. I explained that agency owners and operators now have to sell the benefits of working at their agencies to candidates, whether it be flexible work arrangements, a relatable and inspiring company culture, benefits or something else. Further, I noted that agency owners and operators need to approach prospective employees much as they would sales prospects, addressing with them the “what’s in it for me” question.

Now, I want to take this a step further. Here, I’ll talk about additional ways agency leadership can approach hiring by putting less of a focus on previous work experience, more of a focus on recruiting from industry sectors with declining employee demand and again, by engaging in an “always on” approach to hiring.

Currently, more people are looking for someone to hire than people who need or want a job. Like the ever-steeper hill in the treadmill test, the challenge of finding the people you need to grow your business is likely to get tougher over the next couple of decades.

As with most challenges though, there

Focus on natural abilities instead of prior education, skills, training, or job experience. I came into the independent agency business in my middle 30s after a career in property management and politics. I had been in our state legislature and ultimately ran in a statewide election and lost. Before that campaign, I had sold my business, in a “burn the boats” commitment. So, after the election was over, I needed to find a new career. A close friend suggested that I put my people and business skills to work in commercial production and agency management. There, I found not only success but lifetime career fulfillment.

What my future partner saw in me was transferable skills, aptitude and ability. Over many years, we hired others with no industry experience, who excelled in insurance just as I did. They included a restaurant hostess who became a commercial CSR, a human resources executive who became our agency manager, a telemarketer who became a personal lines account executive, and a private school business manager who became our customer service manager, among others.

Our industry offers considerable potential for work flexibility, which modern employees crave, higher compensation opportunity, which is always attractive, and a never-ending upward growth path for those who want it. Combining these benefits with the chance to spend their days doing work for which they are naturally gifted creates an irresistible opportunity for agencies to hire great people who may have no industry experience or even interest.

An obvious objection to looking for employees in this manner is that they won’t have the job specific skills that you need, and it may be expensive in terms of

Look for talent with translatable skills in industries with declining employment. The practice of hiring producers out of target industries is fairly commonplace. But targeting people in a declining industry is something I don’t see very often. As an example, in the United States the number of community banks has been steadily

declining for a long time and that trend is likely to continue. Former bank employees can serve as a strong talent pool for agency staff. Loan officers are sales people whose skills easily translate to commercial insurance production. Universal bankers (also known as tellers and customer service agents) have the skills to get up to speed as agency service personnel quickly. Bank accounting and compliance employees also have easily transferable skills for agencies.

Employment in the college industry is similarly slowing and it’s easy to see how former college administrators, teachers, coaches and others could find a productive place on an insurance agency team.

Retail businesses of all kinds are fewer in number and continue to decrease. Many retail sector jobs translate well into agency positions including accounting, cashier, clerk and sales. Legal secretaries and office administrative employees also face

dwindling opportunities and recruiting in those areas could introduce your team to out-of-the-box agency thinkers.

The essential point is that there are many potential employees with no insurance industry experience who face declining employment prospects despite robust demand for hiring overall. Economic demand is always changing, as are the jobs that support it. This will be a key opportunity for finding talent going forward.

Focus on long-term recruiting instead of short-term hiring efforts. Most agencies are small(er) businesses and can’t afford to hire people they don’t currently need. But they also cannot grow without the right number of staff and many face constant shortages that hamstring their opportunities. In a tight labor market like the one we will face for the next couple of decades, hiring only when you have an opening will be an even less effective

strategy than in the past.

Hiring Differently

As I mentioned in last month’s column, the antidote to crisis hiring is never-ending recruitment. Agency owners should always be looking for people, continually posting about opportunities in various marketing media, pro-actively telling clients, team members, carrier partners, employees, etc. about the opportunities they have and the culture they have created. In this way, agency owners never stop meeting people who might be a good mutual fit and never stop having visioning conversations (also known as “interviews”).

Sometimes this will result in meeting someone perfect for a position for which you don’t have a current opening. This is a great opportunity to accelerate your company. Dan Sullivan, founder of “The Strategic Coach Program,” says that “a great team member never costs you anything.” And if you view people as your greatest asset, you can’t help but agree. A new, unplanned, hire is just a temporary cash flow interruption, not an expense.

Importantly, by putting your agency in a position of always recruiting you lose the acute crisis mode of hiring and put yourself in the position to wait until you find the best candidate.

Additionally, by taking a perpetual view of recruiting, you can be strategic about looking for people from non-insurance backgrounds with no concern about the time required to “bring them up to speed” in the agency.

Finding and retaining the talent needed to maintain and grow the business will likely remain the agency’s biggest challenge for as far into the future as most of us want to look. The competition for the best people already employed in the industry is set to get increasingly fierce. Searching, developing and hiring differently than most everyone else can be a differentiator for those looking for new ways to win the war on talent.

Caldwell is an author, speaker and mentor who has helped independent agents create more than 250 independent insurance agencies. Website: www.tonycaldwell.net. Email: tonyc@oneagentsalliance.net.

Idea Exchange: Ask the Insurance Recruiter

A Great Pitch Recruits Insurance Producers in a Competitive Job Market

When The Great Recession’s impact was felt by insurance agencies in 2008, I was only 18 months into my recruiting career with Capstone. I remember agencies going from a high volume of claims, loss control and account management hiring projects to virtually none in the non-revenue generating bucket. At that point in the economic crisis, firms only wanted candidates that generated revenue. My partners and I, ex-insurance producers ourselves, decided we had to pivot our focus to producer recruiting if we wanted to keep Capstone afloat.

What Not to Do When Recruiting Insurance Producers

Clearly, we kept the lights on. In 2022 Capstone celebrated its 20-year anniversary, and producer recruiting remains a huge part of our practice. We do it in ways that might surprise you.

• We don’t smile and dial for candidates.

• We don’t troll lists for anyone with an insurance license.

• We don’t post generic job ads.

• We don’t scream “We’re Recruiting Producers!!” on LinkedIn.

These things didn’t work 17 years ago, and they don’t work today, even though it’s how I see so many insurance agencies and recruiters targeting sales candidates.

Critical Elements Agencies Need to Entice Salespeople

You must strive to make every producer recruiting project unique. Recently an agency told me they plan to hire 10 new producers in 2023, but they could not distinguish one hire

from the other. Unfortunately, they will have limited recruiting success because candidates tune out when a plan sounds homogenous.

You need to isolate specific skills (aka, a great profile) and have a compelling story (aka, a unique pitch).

The Target Candidate Profile

Think about this like any other hire. What do you want that resume to look like?

Experience: How much career experience and with what titles, types of companies and success?

Source: What type of agency (large brokers, regional agencies, or small independents)? What about captives?

Compensation: What’s your structure — guaranteed salary or descending base? What are the commission splits — during and after validation? What is the max salary you will invest during validation? What is the first-year sales goal and estimated total first year compensation?

A Great Company Pitch

Saying, “Our agency is looking to hire good producers” doesn’t work. Three pitches pique a salesperson’s interest. Liberation. They do not like where they work. You are the antithesis of their employer. This works if you want to source from big corporations or shops that are vulnerable to acquisition. Producers are willing to consider a job change when

it’s obvious their agency doesn’t have a perpetuation strategy or will be constantly bought and sold. Adoration. You need them more than they need you.

By Mary Newgard

You see ways to capitalize on untapped revenue, which benefits the candidate and you. You want to target producers in vertical/product groups (construction, trucking, healthcare, etc.). You want to expand geographically. By extension, their market knowledge carries the flag in new areas. You have upcoming retirements and cannot seed legacy business to a newbie. Rejuvenation. They want to contribute in multiple ways. Some producers at the mid-point of their career want to contribute beyond just selling. This can be office and/or people leadership. Some can build teams and train/mentor other salespeople. Others want to contribute as an owner or shareholder.

Let Me Teach You a Better Way

My team takes time to think about how we will research prospects. We are extremely methodical in how we reach out to candidates. We care how the message is interpreted. Ultimately, we want to create commitment from all parties in the process. This isn’t a numbers game. Producer recruiting is quality over quantity.

I encourage you to do the same. You’re not going to find a rule book on producer recruiting, but I can help you customize the process to fit your culture.

You can also find additional producer recruiting info in earlier ATIR articles. Check out these previous Insurance

Newgard is partner and senior search consultant for Capstone Search Group, a national recruiting firm dedicated to the insurance industry. Email: asktherecruiter@ csgrecruiting.com.

Journal columns: Never Say This to A Potential Producer During An Interview (https://www.insurancejournal.com/magazines/mag-features/2021/01/25/598679. htm) and In Their Own Words: Why Producers Change Jobs (https://www. insurancejournal.com/magazines-national-section/2019/04/01/521822.htm).

Advertisers Index

May 8, 2023

RGA Life and Annuity Insurance Company

16600 Swingley Ridge Road Chesterfield, MI 63017

The above company has made application to the Division of Insurance to obtain a Foreign Company License to transact Life, Accident, and Health insurance and Variable Life or Variable Annuities in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

BITCO National Insurance Company

3700 Market Square Circle

Davenport, IA 52807

The above company has made application to the Division of Insurance to amend their Foreign Company License to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

Park National Insurance Company 800 Superior Avenue East Cleveland, OH 44114

The above company has made application to the Division of Insurance to obtain a Foreign Company License to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

WestGUARD Insurance Company 39 Public Square Wilkes-Barre, PA 18701

The above company has made application to the Division of Insurance to obtain a Certificate of Authority to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

Federal Insurance Company

One America Square, 202 N Illinois St, Suite 2600 Indianapolis, IN 46282

The above company has made application to the Division of Insurance to amend their Foreign Company License to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

The Gray Casualty & Surety Company 1625 West Causeway Approach Mandeville, LA 70471

The above company has made application to the Division of Insurance to obtain a Foreign Company License to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

May 8, 2023

Rochdale Insurance Company 800 Superior Avenue East Cleveland, OH 44114

The above company has made application to the Division of Insurance to obtain a Foreign Company License to transact Property and Casualty Insurance in the Commonwealth of Massachusetts.

Any person having any information regarding the company which relates to its suitability for the license or authority the applicant has requested is asked to notify the Division by personal letter to the Commissioner of Insurance, 1000 Washington Street, Suite 810, Boston, MA 021186200, Attn: Financial Surveillance and Company Licensing within 14 days of the date of this notice.

Closing Quote

OSHA Compliance in the Workplace

Workplace health and safety are top of mind for employers, especially after a recent incident at a Mars factory, where workers fell into a vat of chocolate.

By Elsie Tai

To prevent such accidents, it’s important for businesses to incorporate Occupational Safety and Health Administration (OSHA) compliance into the DNA of company operations and management — and to work with brokers, insurers and consultants to handle complex situations.

OSHA compliance is a critical organizational element and its management tracks most closely with quality assurance components. OSHA is specific to workers, and workplace safety and health. The same systems used to ensure product/service quality compliance can also be applied to OSHA compliance management.

Insurance Protection

Most larger brokerage firms and carriers provide loss mitigation, risk management or risk assessment services. The basis for this work, particularly that performed by or for an insurer, is largely accountable to underwriting. The hazards and risks identified confer a value on the probability of potential losses.

Audit reports may identify certain deficiencies, but they may not always refer to the applicable OSHA standard, or what is involved with OSHA

compliance. They rarely provide what the potential cost or risks of non-compliance are, except as it may impact premium or potential renewability of a policy. But it behooves operators to know how the violation could have resulted in, but for luck, significant injury or asset impairment, or repeated multiple citations for the same infraction, as well as levels of seriousness, and the fine schedule.

Consultants

When selecting an internal or external resource to manage OSHA compliance, it is key to ensure that the representative has a strong command of the subject. A specialist is more suitable than a generalist.

Specialists can conduct a comprehensive mock OSHA inspection, provide reviews, guidance, and training to prepare the entity for an inspection. This involves compliance programs, procedures, protocols, administrative engineering controls, and training documents.

Standards can apply based on industry, type of work, job tasks, exposures to physical, chemical, biological, behavioral hazards, and circumstances not specified by a particular standard, but which present a hazard posing a reasonable risk of serious injury to be covered under the general duty clause.

A consultant can teach the policyholder how best to handle an inspection under different scenarios. The next level of service would be the ability to negotiate citations and penalties, provide counsel on responses, coach clients through the contest, informal,

and formal conferences process. There are strategies that can be effective to have violations reduced, dismissed, or at the very least, lowered to a “de minimis” status. Often this is relegated to a labor attorney. Meanwhile, it is best to have the experts evaluate and negotiate with the local agency that originated the violations from the onset before it develops into a legal issue.

No One-Size-Fits-All

Entities with multiple locations and operations are at greater risk. Citations and violations at one location or operation can be viewed as a previous violation even if it took place at another location or operation. This is considered a “Repeat” or even “Willful” citation because it is considered under “the same management. They are more unforgiving with hefty fines — the maximum penalty for such violations being $156,259 each.

There is no such thing as a certified OSHA consultant, but there are the basic 10- and 30-hour OSHA courses for General Industry and Construction. For small- to medium-sized employers, defined as up to 250 employees, however, there is an under-utilized option — OSHA offers free on-site consultations. This consultation unit is separate from enforcement and there is no risk of tipping off an inspection. However, the employer must agree to mitigate any serious findings as a prerequisite.

OSHA does not require a written Workplace Health and Safety Program, or Safety Committee. But these items are

key in negotiating and fending off violations, citations and penalties. They are recognized as “good faith” efforts and considered as an offset.

As one considers approaching OSHA, ensure that the OSHA 300 Logs, and the accompanying 300A Summaries for the past five years have been properly completed and updated. It is also key to have all OSHA compliance policies, documents and protocols that are applicable, and to ensure the mandatory training covers the appropriate personnel, with adequate content coverage and qualified trainers. Review the physical plant safety for ergonomics, trips/slips/falls prevention, fire, warehousing, machine guarding, and all manner of potential chemical, physical and other hazards. Contact a local OSHA consultant if the firm is a “small to medium sized employer.”

If a larger company or management prefers not to deal with the agency, seek out a qualified safety consultant who specializes in OSHA compliance management. Schedule an audit and review the findings. Let these steps be part of the Safety Action Plan and prioritize accordingly.

Tai is VP of Occupational Health & Safety Services Group at property/ casualty insurance broker NFP.