The Tennessee Insuror Jan/Feb 2017

THE TENNESSEE

INSUROR January/February 2017

Vol. 28 No. 1

www.insurors.org

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The Times They Are A-Changin'

Agency Growth Conference '17

The Aftermath of the Wildfires

Leaders for Your Association Introducing Your 2017 Insurors Board of Directors

Expect big things in workers’ compensation. Expect to save a third of your clients 30% or more. Most classes approved, nationwide.

For information call (877) 234-4450 or visit auw.com/us. Follow us at bigdoghq.com. Š2016 Applied Underwriters, Inc., a Berkshire Hathaway company. Rated A+ (Superior) by A.M. Best.

2Insurance plans protected U.S. Patent No. 7,908,157.

The Tennessee Insuror

contents

THE TENNESSEE

INSUROR Vol. XXVIII, Number 1 January/February 2017

features

Phone (615) 385-1898 Toll Free: 1-800-264-1898 Email: info@insurors.org Editor: Charles T. Bidek, CPCU Publisher: Daniel D. Smith Jr., CAE

4 Leaders for Your Association INSURORS OFFICERS

President ................................................. John McInturff III, ARM Immediate Past President .. Christie Reeves, CIC, CPCU, CPIW IIABA National Director ......................................... Lou Moran III VP, Region I and President Elect ..................... Chris Allison, CIC Vice President, Region II ................................................... Joe Hunt Vice Preisdent, Region III .......................................... Bob McIntire Treasurer .............................................. Battle Bagley III, CIC, CPA Secretary ................................................................. Steve Copeland Director, Region I ....................................................... Portis Tanner Director, Region I ............................................ Stephen Masterson Director, Region I .................................................... Tommy Allmon Director, Region II ....................................................... Chip Fridrich Director, Region II ................................. Matt Swallows, CIC, CRM Director, Region II .................................. Christy Jones, CISR, CAPI Director, Region III ............................................................ Tim Witt Director, Region III .................... Kym Clevenger, CPCU, CACW Director, Region III .................................................. Eric Campbell Young Agents Chairperson ............................. Tim Treadwell V

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Display advertising rates, deadlines and specifications may be obtained by writing to Insurors of Tennessee, 2500 21st Avenue South, Suite 200, Nashville, TN 37212, calling 615.515.2601, e-mailing dsmith@insurors.org or online at www.insurors.org The Tennessee Insuror is provided to all Insurors of Tennessee members and associate members as a member service.

Your 2017 Insurors Board of Directors

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The Times They Are A-Changin'

12

Agency Growth Conference '17

14

Daniel Learns About Ins.: The Aftermath of the Wildfires

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Innovations in Long-Term Care Funding with Life Ins.

2017 Is Shaping Up to Be Another Year in Flux for the Financial World The 4th Annual Event Will Take Place March 8-9 in Knoxville

departments 21

From Your President

My Vision for Insurors in 2017

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From Your Young Agents Director

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From Your CEO

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Education Calendar

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Government and Legal Affairs

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Program Spotlight

A Place to Network and Develop The Bottom Line

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INSURORS OF TENNESSEE 2500 21st Avenue South, Suite 200 Nashville, TN 37212-0539 www.insurors.org

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Swiss Re Lawyer's Professional Liability 51 Meetings 53

Member Tips It's Simple Math

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Your new Insurors Board of Directors gathers for a group photo at the 123rd Annual Convention

Leaders for Your Association Introducing Your 2017 Insurors Board of Directors

Your Association is lucky to have another group of outstanding volunteers to lead Insurors of Tennessee in 2017. This group is filled with individuals who are successful business owners, community leaders and industry experts. Please meet the Leaders for Your Association.

John McInturff III, ARM PRESIDENT

John is the president and managing partner at McInturff, Milligan & Brooks in Greeneville and serves as the incoming President of Insurors of Tennessee. A Greeneville native, John graduated from Greeneville High School in 1981. He attended the University of Tennessee in Knoxville, earning his B.S. in Business Administration in 1985. He began his insurance career with USF&G in 1986 and joined Bennett and Edwards in 1988 where he later became president. In 2006 the Tri-State Claims division of Bennett and Edwards merged with McInturff, Milligan & Brooks to form the current agency. John’s contributions to Insurors include serving as Young Agents Chair, Director of Region III, VP of Region III and Secretary. In addition to his involvement with Insurors, John is a past President of the Kingsport Jaycees, past president of the HVFC Soccer Club and has been involved with Junior Achievement of Tri-Cities, the Kingsport Rotary-Sunshine Club, and is a member of First Presbyterian Church. He and his wife Tonya reside in Kingsport and have two children, Lauren and Lindsey.

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Christie Reeves, CIC, CPCU, CPIW IMMEDIATE PAST PRESIDENT

Christie is the Area Senior VP and Director of Client Operations for Arthur J. Gallagher in Brentwood and serves as Immediate Past President. After graduating from Hillcrest High in Memphis, she earned her Bachelor's degree from the University of Tennessee in 1973. She worked with three carriers before joining Gale Smith & Co. in 1987. In 2008, Gale Smith was acquired

by A.J. Gallagher, and Christie was added to the local management team. She previously served on the Board as a Director, Secretary and VP and was named Insuror of the Year in 2003.

In 2012, she was inducted into the Tennessee Insurance Hall of Fame. In addition to her work with Insurors, she is a past board member of the Middle TN Chapter of CPCU and the MTSU Insurance Liaison Committee, a member of the stewardship committee at her church and program liaison for girls at Nashville Juvenile Justice Center. Christie and husband Durl live in Nolensville and have two daughters, Emily and Elissa.

Chris Allison, CIC VICE PRES. OF REGION I AND PRESIDENT-ELECT

Chris is a principal agent with The Allison Insurance Group, Inc., in Jackson, and serves as Vice President of Region I. He received his Bachelor degree from Union University in Jackson, and began his insurThe Tennessee Insuror

ance career in 1990. He received his CIC certification in 2008.

He formerly served Insurors as Young Agents Chair, Secretary and a Director of Region I. A true believer of community involvement, Chris is a member of the Rotary Club, serves on the Boards of the Jackson State Community College Foundation and the Exchange Club Carl Perkins Center for the Prevention of Child Abuse, and serves on the Union University Business School and West TN Business College Advisory Committees. Past involvement includes Northside UMC Trustee and Chair of the Trustees, Rotary Club Board, Jackson Chamber of Commerce Board and Committees, Leadership Jackson Alumni Association Board, Boys and Girls Club Board and past Chair, along with many other community related groups and events. Chris lives in Jackson with his wife Suzanne, and their daughter Ashlee.

Joe Hunt VICE PRESIDENT OF REGION II

Joe is the Chief Manager of V. R. Williams & Company in Winchester and serves as the Vice President of Region II. After leaving his hometown of Charlotte, Joe went on to graduate from Wingate University in Wingate, North Carolina, with a B.S.B.A. in Business Management and a minor in Economics. In 1982 he started with Maryland Casualty Company, serving as a Market Manager. In 1988 he left the company side to begin working with independent agencies. He previously served on the Insurors Board as a Director of Region II and as Treasurer.

Outside of his work with Insurors, he also has served on the executive board of the local community development center for over 15 years and is an avid duck hunter. He currently resides in Bell Buckle with his wife Jenny, who is the mayor of the town. They have two daughters, Hannah Kay who graduated from Wake Forest and will graduate May 2017 from the University of Tennessee College of Law, and Sarah Ashleigh who will graduate May 2017 from Auburn University with a Masters in Accountancy and as a CPA.

Bob McIntire VICE PRESIDENT OF REGION III

Bob is a co-founder and principal agent of McIntire & Associates Insurance and Real Estate in Cleveland and serves as a Vice President of Region III. He graduated from Lee College in Cleveland with a degree in Business Administration and he and his father founded their agency in 1981. He previously served on the Insurors Board as a Director of Region III. In addition to his work with Insurors, Bob serves as chairman of the Economic Development Council for Cleveland/Bradley County, is a member of the Industrial Development Board of Cleveland/ Bradley County, a trustee for the Cleveland State Community College Foundation, and is the treasurer and a board member for Life Bridges Inc. He also volunteers on the Stewardship Committee at First Baptist Church where he and his wife, Melinda, along with their children, Robby and Emily, are members.

The Tennessee Insuror

Lou Moran III IIABA NATIONAL DIRECTOR

Lou is the president of Inter-Agency Insurance Service in Knoxville, and serves as IIABA National Director and as a member of the Insurpac National Board. He grew up in Knoxville, attending the Webb School and UTK. He began working at Inter-Agency, which his father founded, in 1985 and has been there ever since. Over his insurance career, he has completed many industry schools, including Safeco Personal & Commercial Lines schools and Drake University’s Insurance School. Through his career, he has served on multiple Insurors committees, was a Board member in 1996, 2002-2004 and served as President in 2014. In addition, he served as President of the Insurors of Knoxville local board in 1996. He was named Young Insuror of the Year in 1994 and Insuror of the Year in 2006. Outside of his work with Insurors, Lou is very active in his community, serving on the Webb School Board of Trustees and having served on Boards for the Tennessee Stage Company, RiverFest BBQ Contest, ArtFest, Leadership Children’s Hospital, Knoxville Area Chamber Partnership, ChildHelp Tennessee, Leadership Knoxville and Webb Alumni Council, among others. He currently lives in Knoxville with his wife, Mimi, and their two children, Lou IV a freshman at UTK and Emily, a Junior at UTK.

Steve Copeland SECRETARY

Steve is the Owner of Cumberland Insurance Agency, with locations in Cookeville, Sparta, Smithville, Jamestown and Mt. Juliet. He serves as Secretary of Insurors, and was formerly a Director of Region II. He was born in Livingston and raised in Cookeville, where he graduated from Tennessee Tech University in 1986 with a Bachelor of Science degree in Business Administration. He started his insurance career by working as a mutli-line claims adjuster at Crawford & Company for ten years. In addition to his work with Insurors, he has served on the boards of the Upper Cumberland Education Foundation for the Cookeville campus of Nashville State Community College, Public Building Authority, Upper Cumberland Home Builders Association, Putnam Co. Habitat for Humanity, Putnam County YMCA and is a past president of the Knoxville Claims Association. He and his wife Vickie live in Cookeville and have three children, twins Jessica Lee and Kayla Ann, who works in the agency, and son Michael.

Battle Bagley III, CIC, CPA TREASURER

Battle is a principal agent of Bagley & Bagley in Fayetteville, and serves as Board Treasurer. He earned his BBA in Accounting from Middle Tennessee State University in 1982. After college, he worked for the accounting firm William Puryear & Company until 1987 when he joined Bagley & Bagley. He is now a CIC as well as being a CPA. He formerly served as a Director of 5

Region II for the Association. In addition to his work with Insurors, Battle is a former board member of the Fayetteville/ Lincoln County Industrial Development Board and a former board member of the Motlow College Foundation, Lincoln County Museum, and Fayetteville/Lincoln County Chamber.

He and his wife Angela have three children, Battle Bagley IV, who lives and works in Chattanooga, John Robert Bagley who is a sophomore in High School and lives at home, and Samantha Bagley Jennings and her husband Ethan who live and work in Fayetteville and are also the parents of Lillian Elizabeth Jennings, Battle and Angela’s granddaughter.

Portis Tanner DIRECTOR OF REGION I

Portis is the Chief Operating Officer of Westan Insurance Group in Union City, and serves as a Director of Region I. He was born in Charleston, South Carolina, but grew up in Union City, graduating high school there before moving to Nashville to attend Belmont University where he earned his Bachelor of Arts degree with emphasis in Business & Marketing. In 1997, he began working with Curb Music & Curb Records. In 2007, he returned to the family business. Active in the community, he is a graduate of Leadership Obion County and serves on the current Board of the Obion County Chamber of Commerce. He also continues to serve as past president and Executive Board member for the Boys & Girls Club of Northwest Tennessee. He is married to Cindy Counce Tanner and has two children, son Beck who is ten and daughter Edie who is seven.

Stephen Masterson DIRECTOR OF REGION I

Stephen is the Vice President of Hollis & Burns Insurance and Risk Management in Memphis, and serves as a Director of Region I. A Cincinnati native, he earned his Bachelor degree in Integrated Marketing Communication from Winthrop University.

He began his insurance career with The Hartford in 2001 as a rater. He was then promoted to underwriting and later small commercial sales representative. Stephen moved to Memphis in 2005 and was hired by Hollis & Burns in 2006. He is a member of the Insurors of Memphis and served as president and on the local board. He was named Insurors Young Agent of the Year in 2012. Outside of his work with Insurors, he volunteers with Make-A-Wish and enjoys skiing. He and his wife Samantha Sherry have three dogs, Olive, Soup and Stew.

Tommy Allmon DIRECTOR OF REGION I

Tommy is the president of White & Associates in Dyersburg, and serves as a Director of Region I. He is a native of Gibson County and has lived Dyersburg for the past 12 years. He earned a B.S. in Health and Human Performance with a concentration in Sports Management and a B.S. in Business Administration 6

from the University of Tennessee at Martin before starting at White and Associates Insurance in May 2004. Inside the industry, he has been active with the Insurors of Northwest Tennessee, the Safeco Southeast Advisory Council, the Southern Trust Insurance Tennessee Advisory Council and the Allstate Southern Region IA Advisory Board. In addition to his work in insurance, he is an active member and former president of the Dyersburg Kiwanis Club and the Dyersburg Kiwanis Duck Blast Committee Member, a board member and Foundation Board member for the McIver’s Grant Public Library in Dyersburg, an advisory board member for Tennova-Dyersburg Regional Medical Center, a board member and membership chair for the Dyersburg-Dyer County Chamber of Commerce, and a former board member of the Tennessee Rehabilitation Center in Dyersburg and former Annual Fund Chair for DSCC. He and his wife, Whitney, have been married for 11 years and have three children, Edie who is 6, Woods who is 4 and Bennett who is 3. They are active members of the First United Methodist Church in Dyersburg and enjoy spending time at the lake, going to the beach, and watching UT football.

Chip Fridrich DIRECTOR OF REGION II

Chip Fridrich is the President and CEO of Fridrich, Pinson & Associates in Nashville, and serves as a Director of Region II. He is a graduate of Montgomery Bell Academy and Vanderbilt University. While at Vanderbilt, he was a scholarship baseball player for the Commodores as a pitcher and was named Academic All Southeastern Conference during his senior season. Upon graduation in 1990, Chip attended the USF&G Commercial Insurance School in Baltimore, Maryland and then joined the agency. Chip is a Past President of the Insurors of Nashville. He has remained active in the sports community coaching youth sports and broadcasting sporting events on both local radio and regional/national television. In addition, he is a certified SPIN instructor and leads various classes weekly at the local Green Hills YMCA. He is also an ownership partner in Fridrich & Clark Realty, the agency’s sister firm, and is a licensed affiliate broker and designated Realtor. Chip is married to the former Heather Knapp. They have three young children – Hannah, Gerald Dowden Fridrich III (Dowden) and Lewis – and attend St. Henry Catholic Church.

Matt Swallows, CIC, CRM DIRECTOR OF REGION II

Matt is the President of the Swallows Agency in Livingston, Cookeville and Smithville, and serves as a Director of Region II. He earned a degree in Finance from Tennessee Tech University and started his insurance career with Aetna in 1999. In 2001 he started with Swallows Agency, and has since earned his CIC designation (2007) and his CRM designation (2010). In addition to his work with Insurors, Matt served as the Mayor of Cookeville from 2010-14, and has served on the Cookeville Regional Medical Center Board of Directors. He currently serves The Tennessee Insuror

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as the Chairman of the Cookeville/Putnam County Sports Council and the Cookeville/Putnam County Chamber, and on the board of the Putnam County YMCA. He is married to Kelly Swallows, who is the VP of Operations for the agency, and they have two children, Channing who is six and Xavier who is four.

Christy Jones, CISR, CAPI DIRECTOR OF REGION II

Christy Jones oversees the Affluent Division and is the Personal Lines MGA Manager for Martin & Zerfoss, Inc. in Nashville, and serves a Director of Region II. Christy is originally from Chicago, where she began her insurance career before moving to Nashville and joining Martin & Zerfoss over twenty years ago. She obtained her CISR designation in 1997 and her CAPI designation from Chubb Insurance at the Wharton School of Business in 2015. She has also attended the Chubb Agency Business School at Vanderbilt University and holds a seat on Chubb’s Agent Advisory Council. An active participant with the Insurors of Nashville local board, she has also worked with the group's Pencil Partner Council, which supports Tom Joy Elementary School. Christy lives in Mount Juliet with her two sons, Jonathan who is 15 and Nicholas who is 13. In her spare time, she enjoys traveling to take part in new adventures around the world with her family.

Eric Campbell DIRECTOR OF REGION III

Eric is a Vice President for Insurity Group in Chattanooga, and serves as a Director of Region III. A native of Tupelo, Mississippi, he moved to Georgia at an early age and has been living in Chattanooga for most of his adult life. He graduated from the University of West Georgia with a BS in Business Administration and Management. He began his insurance career with First Tennessee/First Horizon in 2004, and later worked as a risk manager in logistics before returning to an independent insurance agency in 2013. He then joined Insurity Group in January of this year. He was formerly the president of the Insurors of Chattanooga and also serves in his community as a partner of the Austin Hatcher Foundation. He and wife Meghan enjoy photography and live in Chattanooga with their nine year old daughter Madyson.

Kym Clevenger, CPCU, CACW DIRECTOR OF REGION III

Kym is the President of The Assurance Center in Knoxville, and serves as a Director of Region III. She is a Knoxville native, and earned her Bachelor of Arts in Biology, Zoology and Medical Technology from The University of Tennessee at Knoxville. She is also a Registered Nurse. She joined the agency in 1996 and earned her CIC in 2001, CPCU in 2007 and CAWC in 2013. Outside of her work with Insurors, Kym is President of the Associ8

ated Construction Women, a member of the Knoxville Figure Skating Club and recently graduated from the Knoxville Police Department Citizen’s Police Academy. She and her husband, Dr. Donald Erdman III, live in Knoxville with their dog Betty.

Tim Witt DIRECTOR OF REGION III

Tim is the Owner and President of Edwards, Tipton, Witt Agency in Kingsport, and serves as a Director of Region III. He is a Kingsport native and graduated from East Tennessee State University in 1982 with a degree in Business. He has worked in the agency for over 35 years, which has been family-owned since 1967. He is a longtime member of the Kingsport Chamber of Commerce and currently serves on the Executive Board of the Boys and Girls Club of Kingsport and as a member of the Risk Management Committee for The Sequoia Council BSA. He is a past Director of Second Harvest Food Bank of Northeast TN and is active in several other church and civic organizations.

Tim has three children, Kristen Witt Sharp, Kayla Witt Smith and Landon, as well as four grandchildren. His son Landon graduated from MTSU with a Business degree and an emphasis in Insurance and is currently working in the agency as a producer.

Tim Treadwell V YOUNG AGENTS CHAIR

Tim is an Account Executive for Boyle Insurance Agency in Memphis and serves as the Young Agents Chair and Representative to the Board. He was born and raised in Germantown where he still resides. He attended the University of Tennessee at Knoxville and has also completed the Hartford School of Insurance and the State Auto Pacesetter Program.

In addition to his work with Insurors, he supports the MakeA-Wish Mid-South and research programs for Spina Bifida and Breast Cancer. He and his wife Bridgette have three children; daughters Lanier, who is seven and Marrin, who is six, as well as son Lou, who is four years old.

BOARD CONTACT INFORMATION John McInturff • 423.230.2247 • jmcinturff@tsclaims.com Christie Reeves • 615.377.5112 • christie_reeves@ajg.com Chris Allison • 731.668.8444 • chris@allison-ins.com Joe Hunt • 931.967.2268 • jhunt@vrwilliams.com Bob McIntire • 423.472.5058 • bmcintire@mcintireins.com Lou Moran • 865.637.4519 • lmoraniii@interagencyinsurance.com Steve Copeland • 931.372.1222 • steve@cumberlandinsurance.com Battle Bagley • 931.433.3933 • bbbattle@fpunet.com Portis Tanner • 731.885.5453 • ptanner@westaninsurance.com Stephen Masterson • 901.685.2225 • smasterson@hbinsure.com Tommy Allmon • 731.285.0565 • tommy.allmon@whiteandassociates.net Chip Fridrich • 615.327.0105 • chipfridrich@aol.com Matt Swallows • 931.526.4025 • matt@swallowsinsurance.com Christy Jones • 615.297.8500 • cjones@martinzerfoss.com Eric Campbell • 423.424.4637 • ericc@insuritygroup.com Kym Clevenger • 865.675.6500 • kym@assurancecenter.com Tim Witt • 423.246.2611 • TWitt@ETWInsurance.com Tim Treadwell V • 901.766.0200 • timt@boyle.com u The Tennessee Insuror

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The Times They Are A-Changin' 2017 Is Shaping Up to Be Another Year in Flux for the Financial World

If you think 2016 was a year of change, just wait until 2017 really gets going. Here are some of the anticipated "hot topics" for this year in economic and finance.

Interest Rates The annual debate by economists commences, as predictable as Nashville’s grey sky in the winter. The current interest rate futures market calls for a quarter point Fed rate hike in mid-year and a likelihood of another quarter point in the latter part of the year. One must keep in mind, however, that the Fed only controls the short-end of the interest rate curve.

Longer-term interest rates are more a function of market forces, and they are potentially harder to forecast given the relatively significant rise in the 10-year U.S. Treasury since the presidential election.

In the week I am writing this, the average yield on the 10 year T-Bill is 2.38%, which is 36% higher than it was three months ago at 1.75%. One can interpret this as markets feeling optimistic about the U.S. economy, but the questions remain: • • •

Has the increase of the last two months fully accounted for optimism?

Is there even more momentum in the rate which will lead to a steepening slope?

Or, have markets over-reacted with optimism which could result in a pullback?

On any given day you can probably find an economist to defend each of these scenarios for the coming year.

All Things "Inside the Beltway" With the Trump Presidency commencing, a lot of speculation surrounds how much change will happen in the next congressional session and as a result of new cabinet posts and government agency appointments. Closely hinged to the economy, the banking industry is cautiously optimistic that change will be positive for the economy at large, and for its particular sector. That being said, leadership within the American Bankers Association has indicated that a full repeal of Dodd-Frank legislation is an unrealistic expectation. More than likely, some forms of regulatory relief will manifest in less regulatory burden which should permit banks to focus more of their resources on serving clients and supporting their communities’ economic growth.

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Probably the greatest change coming out of D.C. will be the repeal and/or material change to the Affordable Care Act. Until details of Trump’s plan for healthcare are available, this is a highly speculative matter for consumers, small businesses, health insurance companies, physician providers, hospital operators, etc. Rest assured, this will be the legislative focal point for our nation over the coming months.

Economic Growth and the Stock Markets The aforementioned topics will likely affect growth and the stock market. Higher interest rates are a signal of a strengthening economy, but also raise the attractiveness of bonds relative to recent historically low rates. With the S&P 500 now standing at 2,270, its P/E ratio of 26X is higher than it’s been in years, which means that investors believe healthier earnings growth is ahead.

In some respects investors are banking on the Trump administration to affect positive change for the private sector, including tax reform. Call it the Pygmalion Effect, but this is the intersection of data crunching and economic witchcraft – confidence on the part of consumers and businesses can be a self-fulfilling prophecy. This is why economists and the Fed monitor these items despite the fact that it is not hard, empirical data. It is widely believed that confidence measures are a predictor of future spending and investment on the part of consumers and businesses.

Partisan politics aside, 2017 will likely be a very memorable year for all things politics and economics. So turn on your smartphone, TV or tablet – get your popcorn – and get ready for a show.

About the Author Jim Rieniets serves as President and CEO of INSBANK, which requires him to manage the day to day activities of the bank. He also serves as a director of INSBANK and on the Loan and Investment Committees, as well as being the Chief Manager of the bank’s subsidiary, Finworth Mortgage, LLC. Jim has an extensive banking career and leadership background and formerly served on the Credit Committee of the Tennessee Bankers Association. u

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AGENCY GROWTH CONFERENCE ‘17 MARCH 8-9 • 2017 KNOXVILLE

FEATURING KEYNOTE SPEAKERS & INDUSTRY EXPERTS

CHRIS LANGILLE & CARL CANALES FOUNDER OF ADVISOR EVOLVED AGENCY NATION CONTRIBUTOR

SAFECO SOUTHEAST VP & REGIONAL GM

The 2017 Agency Growth Conference will be held March 8-9 at the Hilton in downtown Knoxville. The event will focus on furthering member education on industry topics including technology, marketing, sales, E&O and more.

Sessions and Special Guest Speakers WEDNESDAY, MARCH 8th (all times EST) 1:00 - 2:00 pm 2:00 - 4:00 pm

4:00 - 6:00 pm

6:00 - 8:00 pm

Registration General Session “The Changing Insurance Marketplace” presented by Carl Canales Trade Show and Agents “Meet Your Next Company” reception onsite Young Agents Reception at Maple Hall (Young Agents & invited guests only)

THURSDAY, MARCH 9th 8:00 - 11:20 am Breakout Sessions (E&O/Marketing tracks) 11:30 - 1:00 pm General Session Lunch “How to Onboard

New Insurance Clients Like a Rock

Star” presented by Chris Langille Online Self Study E&O Best Practices Panel - Part 2 For this event, we have worked hard to assemble topics that are timely and valuable to your agency. To address these topics, we have identified experts in their respective fields to provide you with valuable information for your agency. Please take a look at this year's sessions and special guest speakers: 12

“The Changing Insurance Marketplace” Presented by industry operations expert Carl Canales Are you doing all you can to ensure a bright future for your agency? The opportunities are there and many of the tools are within your reach. Are you ready to commit to them?

Learn the how and why and see what obstacles you may be facing in the not-to-distant future during this session.

Carl is the Vice President and General Manager, Southeast Region, for Safeco Insurance. He has been with the Liberty Mutual companies since 2004, in positions including territory manager, marketing consultant and VP of Marketing. He has a Bachelor degree in business administration and marketing from Texas State University.

“How to Onboard New Insurance Clients Like a Rock Star” Presented by industry marketing expert Chris Langille Have you ever sat down and actually strategically planned out your agency’s on-boarding process for new customers?

It’s probably the single most important process or procedure your agency could ever develop and execute on. This session will focus on the ways that your agency can build and execute that strategy.

Chris is the Founder of Advisor Evolved — a digital marketing and web development agency who specializes in helping The Tennessee Insuror

independent agents and brokers build their book, brand, and authority online.

What's unique about Chris is that aside from his 15+ years in the design space, he was also an insurance agency owner himself for over a decade, so he understands the unique needs of people in our industry, and is able to translate the language of marketing for the independent agent community.

“Preparing Your Agency for the Mobile Future” Presented by mobile marketing expert Matt Aaron This session will discuss how and why your agency needs to be mobile for client servicing, retention and marketing.

Matt is an entrepreneur with the unique ability to bridge multiple content distribution platforms to develop and launch game-changing mobile/webbased business applications. His company developed Insurance Agent - a mobile and web-based utility application – for independent insurance agencies to engage and contain clients before, during and after events happen. The bulk of Aaron's 20+ year career has been in TV program syndication and advertising sales management with Paramount Pictures and CBS Corporation. After leaving the entertainment industry and prior to developing the Insurance Agent mobile application, Aaron created casual games for online, mobile and interactive TV. He is an alumnus of Brown University and has his MBA from the University of Virginia’s Darden School.

"Law & Order: The Basics of a Lawyers E&O Policy" Presented by Lawyers Liability expert Beth Whitney This session will discuss the concerns and key coverage differences to be aware of when selling lawyer’s errors & omissions insurance. The session will also cover some of our new Lawyer’s E&O program available to members through Swiss Re. Beth Whitney is the Head of Small and Mid-Sized Lawyers Underwriting at Swiss Re Corporate Solutions in Chicago. During her 15 years at Swiss Re Corporate Solutions she has also held positions as the Small and Mid Size Lawyers Products Manager, Risk Manager and Client Operations Leader and other positions in the Lawyers Claims group. Before joining Swiss Re Corporate Solutions, Beth practiced insurance defense at a large Chicago law firm where she successfully tried numerous jury trials to verdict.

She earned her Juris Doctorate at DePaul University.

"E&O Best Practices Panel" Moderated by Insurors General Counsel Ashley Gold and featuring panelists Richard Lund, Larrye Morrell, Steve Keyt and Christie Reeves This two-part (online continued) session will walk attendees through real E&O loss control scenarios, presented in a panel The Tennessee Insuror

discussion format. Participants will then be able to discuss these issues, and learn the best practices to avoid such scenarios. For Swiss/Re Westport insureds, attending the entire seminar may make you eligible for a 10% loss control credit on your professional liability policy.* *contact your E&O underwriter for details

Steve Keyt is a Member Attorney at the Chattanooga office of Leitner, Williams, Dooley and Napolitan, PLLC. He is board certified in Civil Trials and has represented numerous insurance agencies in cases of professional liability.

Richard Lund is a Vice President and Senior Underwriter of Swiss Re/Westport, underwriting insurance agents errors and omissions coverage. He has also been an insurance agents E&O claims counsel and presenter.

Larrye Murrell is an Assistant Vice President for Swiss Re/Westport and holds a Law degree from the University of Kansas.

Christie Reeves is the Area Senior VP and Director of Client Operations for Arthur J. Gallagher in Brentwood and serves as Immediate Past President on the Insurors Board of Directors.

"Why Your Online Marketing Isn't Working" Presented by online marketing expert Adam Faragalli This session will discuss why your agency’s online marketing strategies may be ineffective. This includes discussion of website information, social media and online branding; as well as ways to begin seeing improvements.

Adam Faragalli is the Vice President of our online marketing partner Titan Web Marketing Solutions and has a passion for helping clients harness the power of the Internet with comprehensive marketing strategies that yield the results they desire — an increase in customers and a strong, well-known brand.

Trade Show and Reception Our exhibitors for the Agency Growth Conference trade show will include (as of 1/31): Applied Underwriters, Arcus Restoration, Arlington/Roe, Atlantic Specialty Lines, Berkshire Hathaway Guard, Burns & Wilcox, Consumers Insurance, FCCI, FrankCrum, Genesee General, Hull & Company, ICW Group, Imperial PFS, Insuror Services, Johnson & Johnson, Markel Specialty, Martin & Zerfoss, MetLife Auto & Home, Mountain Empire Agency Alliance, National Security Fire & Casualty Co., Patriot National, Preferred Comp - Meadowbrook Ins., Premium Assignment Corporation, Selective Flood, Southern Insurance Underwriters, State Auto Insurance Companies, Titan Web Marketing Solutions, Westport/Swiss Re and more.

Register now or see the full schedule and other information at www.insurors.org/IOT/Growth_Conference/Growth_Conference.aspx. u 13

Daniel Learns About Insurance: The Aftermath of the Wildfires Taking a Look at the Impact on Insureds and Insurance

Insurors Director of Communications Daniel Smith is far from an insurance expert, but he is trying to learn! In this series he will look into insurance industry and coverage questions he has about popular trends in day-to-day life.

On the day before the 2016 Thanksgiving holiday, a fire was sparked in the Great Smoky Mountains National Park. Five days later, with high winds and extreme drought worsening conditions, the fire spread into the city of Gatlinburg. By the time the fire had been extinguished, 14 lives were lost, 2,460 structures had been burned and many were left to rebuild, restore or start over completely.1 Kevin Walters, director of communications for the Department of Commerce and Insurance (TDCI), said the state helped groups of people every day with insurance needs during the first two weeks after the event, but it has slowed since.

"Most companies pulled their mobile units out last Friday and reported 70-85 percent of their cases were closed," he said.2 “The heartbreaking damage sustained by Sevier County home and business owners as a result of the wildfires was staggering,” said TDCI Commissioner Julie Mix McPeak. “The Department extends our deepest sympathies, again, to all those residents and visitors who were impacted by this dev-

Some 14of the damage from the wildfires photo by Scott Frederick Smoky Mountain Post

written by Daniel Smith, CAE

astation. I want to reassure consumers who are rebuilding that they can continue to count on the Department and our divisions to assist them through this process.”

The most recent figures (as of January 30, 2017) from the TDCI also show that the wildfires resulted in 4,233 claims and an estimated $943,003,361.55 in combined residential and commercial insured property losses.3 That is substantially higher than the original $500 million in estimated damages that Sevier County Mayor Larry Waters announced at a December 13th press conference. However, Walters pointed out there could be differences in what the mayor was referring to and the TDCI numbers. “The report is on claims, not structures,” Walters told the Knoxville News Sentinel.

Once everything is finalized, it is expected that the final number for all damages, insured and uninsured, will likely exceed the $1 billion mark.

In addition to insurance claims, around 1,000 people have applied for FEMA assistance, with more than $2.5 million already being distributed. In addition, the Small Business Administration has approved 35 loans for $3.7 million, SBA spokesman Richard Daigle said, adding that SBA has received 173 applications for loans.4

The Tennessee Insuror

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What will be the Insurance Fallout?

As you know, even a large incident like the wildfires will not necessarily result in a spike of insurance rates in an area. However, consumers may not be aware of the rating and filing process. Be sure to talk with your insureds if they have concerns about rate increases.

Advantage

What may be a more immediate concern is coverage availability in the area for nonstandard lines. For example, many of our members have reported difficulties in the past in finding coverage for log cabins in the Sevier County area. Unfortunately, the wildfire may drive more insurers from the market,

Why BSIG Advantage Our Advantage product offers a simplified solution for writing your small business customers that includes: • Over 400+ eligible classes & 8 market segments • Bindable coverage online makes placing business easier than ever • Expedited processing for eligible classes More of the extensive damage from the wildfires photo: Michael Patrick/AP

just as the hail storms did in 2011. This may make coverage even harder to find, or drive up rates in the short-term. However, insurers often "answer the call" when they see market opportunity, so a year or two without any more large losses will likely bring them back.

If you do find market availability to be an issue, or if your agency needs support in the continuing recovery process, please contact the Association and we will try to assist you.

1-Per "A year of recovery: Families rebuild after Gatlinburg wildfire” via Knoxville New Sentinel at http://www.knoxnews.com/story/news/local/ tennessee/2017/01/02/year-recovery-families-rebuild-after-gatlinburgwildife/95610310/ 2-Per “Insurance, job claims drop after Gatlinburg fire” via Knoxville New Sentinel at http://www.knoxnews.com/story/news/local/tennessee/2016/12/12/ insurance-job-claims-drop-after-gatlinburg-fire/95348070/ 3-The information was compiled through claims data required to be submitted by and to the Department that is then aggregated by the National Association of Insurance Commissioners. The report captures claims, not structures. the 4,233 claims includes personal auto, commercial auto, Business Interruption and Other Lines claims.

4-Per “Tennessee fires spark insurance claims of $842 million” via Knoxville New Sentinel at http://www.usatoday.com/story/news/nationnow/2017/01/18/tennessee -f ires-spark-insurance - claims-842-million/96733450/

About the Author Daniel Smith serves as the Director of Communications for Insurors of Tennessee. He has a Bachelors degree in Marketing with a minor in Graphic Design from the University of Tennessee at Chattanooga.

He may be contacted at dsmith@insurors.org. u 16

• Authority to apply up to 25% credit on qualified accounts • Comprehensive Coverage – we have the right product to fit the needs of your clients • 24/7 online claim reporting and emergency response • Exclusive access to our online risk safety portal with information tailored to the customer’s business • Exclusive access to our online data breach preparation and crisis management portal

Our Claims Commitment We are committed to providing superior claim service-and getting our customers back-in-business when a claim does occur, earning us a 97% customer satisfaction score through July of 2016.

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The Tennessee Insuror

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17

Future Leaders Spotlight

presented by

Cy Young • Young Hughes Insurance - Alamo Cy Young grew up in Alamo where he currently runs his agency. He has been in the insurance business ever since college and is now serving on the Insurors Young Agents Committee representing Region I (West TN). In addition to his work in the industry, he also serves as the VP of Crockett County Cy Young Chamber of Commerce of YoungBoard of Directors, President Hughes Ins. of the Mississippi State West Tennessee Alumni Association and a member of the Downtown Jackson Rotary Club. He and his wife Jordan Leigh Young and have one daughter, Eliza, who is 2 years old. In his spare time he enjoys spending time with family, playing golf and following Mississippi State University sports.

The Insuror: Can you tell us a little about your current job title and responsibilities?

Cy: I am the President of Young-Hughes Insurance. We are a small agency and I must wear many hats. I do a little of everything in the office from sales, management and even endorsements. Fortunately, I have some great staff members that really make things work around the office.

The Insuror: What can you tell us about your educational background?

Cy: I graduated from Mississippi State University in 2004 with a degree in Risk Management & Insurance.

The Insuror: How and why did you get your career in the insurance industry started?

Cy: I was originally in the Professional Golf Management program at Mississippi State and had decided after a year and half that it wasn’t for me. I had a fraternity brother that was majoring in insurance and he convinced me to take a principles of insurance class which I really enjoyed. After that class I switched my major the next semester.

to guide me through this industry. The first would be Eddie Duett who was chair of the insurance program at Mississippi State at the time. He made insurance fun and interesting for someone who had a very basic knowledge of the industry. The second would be Chris Allison, who gave me the opportunity to get back to West Tennessee and mentored me on commercial lines business. The third would be Lionel Hughes who I purchased my agency from in 2013. I am very lucky to have had him stay on at the agency and be there daily. He has taught me the ins and outs of running my own agency, and the agency would not be where it is today without his help.

Last, but not least, would be the late Don Jordan. Mr. Don was my wife’s grandfather and in the short time that I got to know him taught me a lot. He gave me so much insight and history, not just about Insurors of Tennessee, but the entire industry as well. For his assistance I will forever be grateful.

The Insuror: Is there any advice you could offer Young Agents or others in the industry to achieve success?

Cy: This industry is not easy and success is not going to happen overnight. If you work hard and do the little things that are asked of you – however small they may seem – you can become successful in this business. Also, continue to learn. The only thing constant is change and continuing your education is important to your professional growth.

The Insuror: As an independent agent, you have many partners in this industry, including carriers, MGAs and many more. How do you determine which ones are the right relationships?

Cy: It’s hard to make it in this business without the right partners and relationships are key. We have found that we are more successful and experience more growth with those companies with which we have a good working relationship.

Our relationship to our partners is further enhanced by staying in constant communication with them throughout the life of the policy.

We are also lucky to have such a great group at the Insurors of Tennessee office. Thank you for all you do for us agents daily.

The Insuror: Do you have any influences/role models in the industry?

The Insuror: Thank you for giving us your time, Cy, we appreciate it and wish you continued success in your career.

Cy: Although I did not grow up in the insurance business, I have been fortunate to have some good people around me

Cy: Thank you for the opportunity and I hope everyone has a successful 2017. u

18

The Tennessee Insuror

Young Agents ‘17

Upcoming Events and Information

Our Young Agents Committee strives to offer young insurance professionals with opportunities to network and develop in the industry. Below is the current schedule of events for 2017.

March 8 - Agency Growth Conference Young Agents Reception Maple Hall • 6-8 pm EST • Knoxville March 28 - Young Agents Sponsor Luncheon on The Hill Legislative Plaza • 11 am-Noon CST • Nashville March 30 - Nashville Young Agents Reception Location TBD • 5-7 pm CST • Nashville

Young Agents Committee Tim Treadwell V - Chair Account Executive Boyle Insurance Agency Memphis timt@boyle.com Brent Chance - Immediate Past Chair Principal Agent/Owner Ivy Insurance Brentwood bchance@ivy-insurance.com Cy Young - Region I President Young-Hughes Insurance Alamo cy@younghughesinsurance.com Alan Sisk, AU, AINS - Region II Producer Geny Insurance Nashville alan@genyinsurance.com David Allen, CIC, CRM - Region III Principal Agent RSS Insurance Chattanooga dallen@rssins.com For more information, or questions on the Young Agents program, please e-mail dsmith@insurors.org or call him at 615.515.2601. u The Tennessee Insuror

INTRODUCING

Exceptional Agents Berkley Southeast Insurance Group recognizes the need to mentor the growth of new talent and to perpetuate the Independent Agency System, as well as provide young agents with a competitive advantage. Tennessee’s Young Agents are the future of our business. That’s why we are working together for success.

Congratulations Exceptional Agents 2016 Aaron Jensen Adam Reeves Andrew Powers Blake Dickens Brandon Patterson Chad Richardson Chad Snider Charlie Taylor Clement Ledbetter Cooper Permenter David Allen David Clark David Evans Jamie Williams Jared Smith Jason Teague John Brock John Fritts Josh Witt KC Covington Kevin Lockmiller Kevin Ownby Matt Spellings Michael Greer Michael Novarese Mike Thomas Neil Scott Paul Steele Preston Martin Ramsey Brock Robert Harris Stacy Woodard Stuart Oakes Taylor Ragan Taylor Walker Tim Treadwell Trey Powell Will Webb

Shafer Insurance Agency, Knoxville Union City Insurance Agency, Union City Burke, Powers, and Harty Insurance, Bristol Harris, Madden and Powell, Memphis Ownby Insurance Services, Sevierville Swallows-Newman Insurance, Cookeville Westan Insurance Group, Martin Burke, Powers, and Harty Insurance, Bristol Battle Page Insurance, Franklin Harris, Madden and Powell, Memphis RSS Insurance, Chattanooga RSS Insurance, Chattanooga The Insurance, Group, Inc., Knoxville Hardin County Bank Ins. Agcy., Savannah TIS Insurance Services, Knoxville Watauga Insurance, Johnson City Heritage Brock Insurance, Chattanooga TIS Insurance Services, Knoxville The Insurance Group, Inc., Knoxville Carroll Insurance Agency McKenzie V.R. Williams & Company, Winchester Ownby Insurance Services, Sevierville Consolidated Insurance Agency, Paris V.R. Williams & Company, Winchester McDaniel-Whitley, Inc Insurance, Inc., Nashville Insurity Group, Chattanooga Martin & Zerfoss Insurance, Nashville Union City Insurance Agency, Union City Brock Insurance, Chattanooga Tigrett & Pennington, Nashville Shafer Insurance Agency, Knoxville TIS Insurance Services, Knoxville Martin & Zerfoss Insurance, Nashville Thompson & Smith Insuance, Jackson Boyle Insurance, Memphis RSS Insurance, Chattanooga Battle Page Insurance, Franklin

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The Tennessee Insuror

From Your President My Vision for Insurors in 2017

Let me begin by saying what an honor it is to serve as the President of this great Association.

I am humbled that I was elected and I am proud to follow in my father's footsteps, as he served as President in 1992. I promise to work hard to make sure I uphold the legacy and reputation of this Association.

This year is well underway and I already feel like it is flying by. Since my swearing-in at the 2016 Annual Convention, I have spent a lot of time talking with your Insurors Board and staff.

In fact, as I write this we have just completed our first Board meeting of 2017, and I am very excited for what's to come. Let me share a few of the things that I am focusing on for 2017.

Agency Growth Conference This will be the fourth edition of our Agency Growth Conference, a Spring event built around education, technology, sales, marketing and best practices. I am excited that we are bringing the event to East Tennessee for the first time, as it will be held March 8-9 at the Hilton in downtown Knoxville. Our staff has put together a great lineup of sessions and speakers for this event, and I hope you will join us. Check out the details or register now at insurors.org.

InsurPACTN and Insurpac National Although we continue to receive a good response on donations for our State and National political action committees, I think we need to do more. Why? Because the amount of money it takes to make a difference continues to increase, and there are issues in front of us that are of great concern.

The funding of InsurPACTN helped us make a difference in our fight with the Opt-Out workers' comp bill, and that issue may return. We also have uncertainty with the ACA and agent compensation on both the State and National levels, as well as issues like Flood insurance, Federal regulation, the "Cadillac: Tax and more.

Please consider a new donation or an increased donation so that our Association has the backThe Tennessee Insuror

ing it needs to represent our interests. I'd like us to hit a new goal of $75,000 for 2017.

Education and Development One of the hallmarks of Insurors of Tennessee has always been education. From the days of Chuck Bidek teaching classes across the state to the partnership with National Alliance to our entry into the Agents and Brokers Education Network (ABEN), we have tried to stay at the forefront of industry education. Now I think it may be time to go further.

There are a million ways for industry professionals to get "cheap CE" online or in person.

However, a lot of that CE is not providing the education our members need and our clients deserve. We are looking at opportunities to both increase our offerings and improve on what is out there. Stay tuned on this issue.

Young Agents and New Talent I continue to think the Young Agents program is critical to the future success of our industry.

I also believe that finding talent and developing new employees is an issue that we must take the lead on. You've heard all the statistics on the "aging industry," and now we are seeing that come to fruition as more and more of our agency principals are retiring, perpetuating or selling their agencies.

“...I e x for to

am very c i t e d what's c o m e .�

We all know how hard it is to find new employees and bring in new talent. We cannot assume this issue will resolve itself. Insurors is working with the Insurance program at Middle Tennessee State University and looking at other avenues to generate new talent. Once we find new employees we must commit to giving them the training and resources they need. I truly believe that Insurors should be one of those resources, and that Young Agents should be one area of involvement.

Thank you again for the honor of serving as your Insurors President. I am here to represent our members, so please help me help you. u

John McInturff III, ARM 21

Meeting my customers where they work.

Crafting each policy to meet different needs.

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The Tennessee Insuror

From Your Young Agents Director A Place to Network and Develop Every now and then people ask us, "What would I gain from being involved in the Young Agents program?" My answer is simple, it will provide you with a place to network and develop skills.

Why are those things important? No matter what stage of your career you are in, there is still room to develop. Our Young Agents program gives you opportunities to develop carrier relationships, sales skills, agency management tools and best practices.

How do we accomplish this? I think there are several ways, and I'd like to walk you through them in this article.

Networking Why do I want to know my competitors? Why do I want young people in my office talking to other agents? These are legitimate questions, but ones we have answers for.

Knowing your competitors helps you understand your competitors. We don't have to be enemies, and many times we are actually fighting the same battles with direct writers.

Knowing your competitors also helps you understand the marketplace and where your agency's advantages may be. I have made dozens of friends through Young Agents, Insurors of Memphis and Insurors of Tennessee, and I consider many of them to be great resources for my career.

Development How do you improve as a producer? Where do you learn agency management skills? Some of us learn and grow from carrier meetings, continuing education or agency groups, but there is more out there. The Young Agents program gives you a chance to talk with people that are in similar situations with similar resources and similar market conditions. How are they succeeding? What resources are their agencies using? Although you might not get their best kept secrets, there is still a lot of information The Tennessee Insuror

out there that you can absorb into your career advancement.

When and Where So when and where are the opportunities for you to be involved in the Young Agents program? We have several events already scheduled.

Interested in career and agency development?

The Insurors Agency Growth Conference is our Spring event that focuses on furthering member education on industry topics including technology, marketing, sales, E&O and best practices. We feature different education tracks, a trade show, receptions and general sessions featuring keynotes from well-known industry speakers. Taking place March 8-9 at the Hilton in downtown Knoxville, this event is only $59 for Young Agents. Sign up now at insurors.org.

Want to understand more about government affairs and the Association's role in protecting you? Participate in our "Luncheon on the Hill" on March 28th where we will provide lunch to the General Assembly and their staff, all sponsored and served by the Young Agents program. Email Ashley Gold at agold@insurors. org for more information or to learn how to volunteer.

“W e d o n ' t have to be enemies, and m a ny t i m e s we are actually fighting the same battles w ith dire c t writers.�

Want to network with your peers in a casual setting? We are finalizing local Young Agents receptions in Knoxville (3/8), Nashville (3/30), Jackson, Memphis and Chattanooga. Look for a full schedule to be released soon or email Dakota Weatherford at dweatherford@insurors. org for details.

As you can see, there are answers to your questions on the Young Agents program and plenty of opportunities to be involved. If you have other concerns, or just want to discuss the program, please email me at timt@boyle.com.

I think you'll find that the real question is, why not be involved? u

Tim Treadwell V 23

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The Tennessee Insuror

From Your CEO The Bottom Line

There are generally two ways to enhance the bottom line of any insurance agency: increase revenues or decrease expenses. In this New Year, Insurors should be part of your plans to improve your bottom line. Utilize your Association membership to help your agency achieve a higher level of success.

Revenue Enhancement at No Cost to You Sign up for and use Big "I" Markets anytime you have risk outside of your contracted markets.

There are no fees and no minimums. The programs and companies change from time to time so it’s a good idea to look at the offerings when a need arises. Commissions are high and underwriting is generally automated with fast binding. You can also sign up for ACH deposits of your commissions. Check out the options available and be watching for a new Lawyers Liability program offered through Swiss Re. You’ll be surprised how many companies and coverages are available to you through Big "I" Markets.

Offer your clients Personal Umbrella Policies (PUPs), which we have endorsed from RLI for almost 20 years. They are easy to use and we handle it right here at the Association office. This is a great way to round out your personal lines accounts. Statistics show that the more policies you have with an insured the less likely they are to move. Not to mention that the mere fact that you asked your client about a PUP might prevent an E&O claim.

Give your clients the option of premium financing. We are partnered with one of the premier premium financing companies in the business, Imperial PFS. You have access to them as an Insurors member with no volume commitments and financing for policies as low as $250. This is just another option to offer your clients, and you have the opportunity to bring in some additional revenue for your agency from this program.

Make a point to offer flood insurance to everybody. You only need one flood coverage proThe Tennessee Insuror

vider, as the policy and rates are the same for all NFIP WYO carriers. Why not use your Associaiton's partner Selective Flood? Our representative, Tammy Goodman, really knows the business and can answer all your questions. You can also register fro this program on Big "I" markets which gives you easy tracking of your book of business as well as quoted business that was not bound.

Attend our Agency Growth Conference. Now in its fourth year, this event continues to grow in stature. We have put together a great event for you on March 8-9 at the Hilton in downtown Knoxville. Good speakers, topical sessions and networking at a minimal price (as low as $59) for two days of learning. There is also CE and E&O credit available. Remember, this is all about growth (revenue).

Become a Trusted Choice Advantage subscriber and increase your sales opportunities by obtaining quality leads from TrustedChoice.com.

How many leads will it take to pay for itself? The cost is as low as $59 per month and several of your carriers may offer a co-op plan. Any revenue above that goes directly to your bottom line. These leads can help a new producer get started or supplement an existing book of business.

“I n t h i s N e w Year, Insurors should be part of your plans to improve your bottom line.”

Ways to Decrease Your Costs Get all the E&O Credits you can qualify for! If you’re with Westport/Swiss Re make sure have your Loss Control Class Credit (saves you 10% for 3 years) completed. There is even an option for this at the upcoming Agency Growth Conference. You can also examine the cost advantage to getting an agency audit done by our representative, Don Cunningham, and potentially receive another 10% for five years with no loss of credit even if you have a claim. We can also review your deductible and help you consider immediate savings versus long term costs. With some self-funding you can reduce your annual premium.

Review your current cyber liability coverage(s)

Chuck Bidek, CPCU 25

and procedures. This could be a ticking time bomb for an agency. Legislation might be coming from the NAIC for all states. New York has already passed a law that goes into effect on March 1st. That means if you have a New York nonresident license you already fall under the requirements of the new law.

Get your staff educated. Over time, education can be a major cost saver as it can raise revenue (through more informed sales) and decrease costs (through E&O loss prevention). We can assist by helping plan your education for your entire staff’s CE and professional development. You can have an entire year planned and know your costs and time requirements, allowing you to run a more efficient agency.

Participate in our Annual Convention for your personal networking and continuing education. This year’s event will be October 14-17 at The Peabody in downtown Memphis. If you’re exempt from CE in Tennessee and have your CIC requirement reduced to every other year, you certainly have this pre-funded for the reduction in education costs. Incidentally, your Association had a hand in making those exemptions possible.

As you can see, there are significant ways that your membership in Insurors can impact your agency's bottom line in a positive manner. We are here to help you, so make sure you take advantage of that help. u

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There can be no doubt that all our knowledge begins with experience. – Immanuel Kant

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Policies are underwritten by Bridgefield Casualty Insurance Company and Bridgefield Employers Insurance Company, authorized insurers in AL, AR, FL, GA, IN, KY, LA, MS, NC, SC, TN and TX; BusinessFirst Insurance Company, authorized in FL, GA, KY, NC, SC and TN. ©2016 Summit Consulting LLC | 2310 Commerce Point Drive, Lakeland, FL 33801

26

The Tennessee Insuror

Education Calendar

2017 Continuing Education Chattanooga 4/4 CISR Agency Ops 10/5 CISR Commercial Casualty II

Memphis

Johnson City

3/1 CISR Commercial Casualty I

4/5 CISR Agency Ops 10/5 CISR Commercial Casualty II

3/15-17 CIC Commercial Multiline 6/14 CISR Personal Residential 11/8 CISR Personal Lines

The Insurors of Tennessee offers education opportunities to member agents across a wide range of insurance specialities that satisfy individuals at many different experience levels.

If you are looking to further your career, seeking a professional designation, or need to satisfy continuing education requirements, check out the variety of courses available.

Nashville

2/28 CISR Commercial Casualty I 5/3-5 CIC Commercial Property 6/13 CISR Personal Residential 7/20-21 CIC Ruble 9/13-15 CIC Commercial Casualty 10/1-3 CIC Company Operations

Knoxville 4/6 CISR Agency Ops 8/16-18 Agency Management

Registration is fast and easy at www.insurors.org. More information about each class can also be found online.

10/3 CISR Personal Auto

10/8 CISR Personal Lines

Paving The Way

CISR 2/28 3/1 4/4 4/5 4/6 6/13 6/14 10/3 10/4 10/5 11/7 11/8

Fee: $186

CE: 7

Commercial Casualty I

Commercial Casualty I

Agency Operations Agency Operations Agency Operations Personal Residential Personal Residential Personal Auto Exposures Personal Auto Exposures Personal Auto Exposures Personal Lines - Miscellaneous Personal Lines - Miscellaneous

CIC

Fee: $424 (Ruble $430)

Nashville Memphis Chattanooga Johnson City Knoxville Nashville Memphis Knoxville Johnson City Chattanooga Nashville Memphis

CE: 24 (Ruble 16)

Memphis Nashville Nashville Knoxville Nashville Nashville

The National Alliance for Insurance Education & Research is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be addressed to the National Registry of CPE Sponsors, 150 Fourth Avenue North, Suite 700, Nashville, TN, 37219-2417. Website: www.nasba. org. Advanced Curriculum Rating = 20 CPE Credits. For more information regarding administrative policies such as complaint and refund, please contact our offices at 800-633-2165.

ABEN Webcasts (insurors.aben.tv) E&O - Understanding Agent Duties NFIP Basic Flood Insurance Course E&O - Consideration of Agency Ops Professional Ethics in Insurance

CE: 3 $48 CE: 3 $72 CE: 3 $48 CE: 3 $60

Fee: $430

9/26-29 Practice of Risk Management*

Nashville

Specialty Seminars 4/4-6 Affleunt/High Net Worth Clients 4/10-11 Legal Concepts in Insurance

Fee: Varies

Nashville Nashville

Online Courses (www.iiaba.net/vu) Available from IIABA Virtual University. Member pricing shown.

Ethics for Insurance Professionals How to Calc. Business Income in 5 Min. National Flood Insurance Program New Employee Training Course

3/15-17 Comm. Multiline Institute 5/3-5 Commercial Property Institute 7/20-21 Ruble Graduate Seminar 8/16-18 Agency Management Institute 9/13-15 Commercial Casualty Institute 11/1-3 Company Operations

2/15 2/15 2/21 2/24

CRM

CE: 3 CE: 3 CE: 6 CE: 9

$75 $50 $80 $100

*check VU site for current information on CE and pricing

Available from The National Alliance

(www.scic.com)

Legal & Ethical Requirments of Insurance CE: 4 Insuring Flood Exposures - NFIP Review CE: 4 Available from The Institutes

$75 $75

(insurors.ceu.com)

Insurance Principles and Policies CE: 7 Long Term Care CE: 24 Workers’ Compensation CE: 10 Employee Benefits for Small Companies CE: 4 Healthcare Reform and Affordable Care CE: 5 e-Coverage CE: 15 Fundamentals of Personal Auto Insurance CE: 3 Management Process for Ins. Professionals CE: 21 Intro to Flexible Spending Accounts CE: 4 Terrorism and Its Impact on Insurance CE: 4 Toxic Mold and Homeowners Insurance CE: 15

$49 $99 $59 $39 $49 $79 $29 $89 $39 $39 $79

Register Online at www.insurors.org

Indicates course is presented by The National Alliance. Register for these courses at www.thenationalalliance.com The Tennessee Insuror

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INSURORS MEMBERS: THE PRODUCT VAULT IS OPEN

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The Tennessee Insuror

MEMBER RESOURCES

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ERRORS & OMISSIONS COVERAGE

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You have goals.

Nationwide® has independent solutions to help you meet them.

Whether you’re looking to build, grow or sell your agency, Nationwide offers you choice when it comes to independent solutions and partnership opportunities.

Let’s start a conversation about your independent opportunities with Nationwide.

Dan Schilling Phone: (423)827-2060 d.schilling@nationwide.com

Not all Nationwide affiliated companies are mutual companies and not all Nationwide members are insured by a mutual company. Nationwide, Nationwide is On Your Side, and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. © 2015 Nationwide NPO-0627AO (08/15)

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The Tennessee Insuror

Government and Legal Affairs Safeguarding Your Business

Written by Ashley Gold, J.D., Insurors General Counsel If you have ever had a producer leave to join another agency or start his/her own agency the question of who “owns” the clients may have come up. While not a new concept, nor a new article on this issue, we thought it time in this New Year to dust off the facts and give you some insight on how to be proactive to protect your business.

While all competition by a former employee may not be prevented, there are ways an employer can protect its business.

The first question you must ask is “What do I need to protect?” Most of us in the independent agency business do not find the need for intellectual property protections such as copyrights and trademarks, but if you do believe you need that extra protection, seek counsel right away with an intellectual property (IP) attorney.

For the rest of us, our protectable interests are more than hard IP. We want to protect non-technical information such as customer and client relationships and our investments in our employees.

One of the newer but biggest risks to protecting any business information in today’s market are portable devices. I bet right now you have employees in your office that have any one of the following personal devices with them: personal cell phone, iPad, thumb drive, laptop computer. The very real

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conflict is that these devices are necessary to our everyday jobs and being successful. However, the risk is that with immediate access to the cloud information can be moved and stored quickly. Once it is out there – consider it gone. Consider implementing with the advice of counsel a personal device policy in your employee handbook.

The second question you need to ask is “Who should have a non-compete?” Let’s be honest – not everyone who works for you needs this added layer of protection. What you really need to look at is who could truly harm your business and focus on those individuals.

Non-Compete agreements continue to be questioned by state legislatures and the federal government. In fact, Tennessee courts generally look unfavorably on Non-Compete Agreements because they are in restraint of trade. They are particularly discounted when the benefit is low and the cost to the worker is high. Here are some trends to consider when looking at a non-compete agreement: • • • •

Geographic reach – does the agreement restrict the employee unnecessarily Time – generally 1 year to 18 months (for good cause shown) will be the limit Activities – spell out what is prohibited, you cannot restrict someone’s complete right to work Consideration – Tennessee looks at actual consideration given in exchange for the agreement

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Similar but different, and more widely enforced are Non-Solicitation Agreements. This is probably what most agencies are thinking of when they want to keep their top producers from contacting and moving all of their top clients. In Tennessee you can draft a non-solicitation agreement to cover all customers that the sales person did business with or gained personal, confidential knowledge about while working for you.

Finally, one of your key employees has resigned, now what?

Before they leave, remind them of their restrictive agreements and actually give them copies of the agreements. Inventory their devices and get any passcodes if they were personalized. Require the employees to return all company property and determine their cloud access on their work devices.

You may ask where are they going next. If they are retiring and moving out of state, there may not be any follow up required. If they are moving across the street to your competitor, you have the option to notify that new employer of the non-solicitation agreement to avoid any unintentional violations. Keep their email and work phone numbers active to monitor and answer questions. Last, but not least, are there any customers you need to reach out to immediately to alert them of the change?

Just as you can do this correctly, you can also do it poorly. Do not ask your IT department to “poke” around their social me-

dia or their work-related computers and devices. The same thing applies to other employees.

If you do have a producer leaving who expresses interest in moving a book of business, remember that a contract may always be modified by another contract. If business partners, employers and employees or others decide to part ways, consider discussing a financial settlement that allows everyone to go on with their business without the time and expense of litigating a non-compete agreement. This could be as simple as agreeing on who may service which clients or agreeing on a financial settlement to take ownership of client files from the beginning.

Remember, if this is something that you are considering, seek legal advice from independent counsel. The upfront fee you pay for a well drafted, well thought out, non-compete agreement will save you time, money and heartache on the back end.

About the Author Ashley Gold has served as the General Counsel of Insurors of Tennessee since 2007, and previously consulted for the Association on legal and government affairs matters. She received her undergraduate degree from the University of Kentucky and her Juris Doctor from Samford University. u

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The Tennessee Insuror

Association Update

White & Associates Awarded "Best Business"

Wendy Brock and Natalie Burks present the award to Larry White, Whitney Allmon and Tommy Allmon

The West Tennessee-based agency group White & Associates was awarded as a "Best Business in Dyer County" at the 2016 2nd Annual Burks Broadcasting Listeners' Choice Awards on December 1st. The agency was voted in by listeners on a write-in ballot.

Campbell Joins Insurity Group in Chattanooga Insurors Board member Eric Campbell has joined Chattanooga-based agency Insurity Group. Campbell will serve as a Vice President for the agency. He began his insurance career with First Tennessee/First Horizon in 2004, and later worked as a risk manager in logistics before returning to an independent insurance agency in 2013.

The Crichton Group Adds RLH Agency Nashville-based agency The Crichton Group has purchased fellow local firm the RLH Agency in order to expand its footprint within the city's growing construction industry. The deal was made official on December 30th. RLH specializes in construction insurance and surety bonds, and had been in business for around twenty years. RLH founder Robert Harris will become a partner at Crichton and will bring on all six of his full-time employees.

Six Join AssuredPartners NL in Nashville The Nashville location of AssuredPartners NL (formerly Assured Neace Lukens Insurance Agency Inc.) has added six new employees to its local office. Don Ray, Clay Blackburn, Jason Brower, Kim Noland, Michelle Justice and Susie Kummer all join the agency from their previous employer, Van Meter Insurance in Franklin. Ray will assume the role of the managing director of AssuredPartners NL Nashville location. Blackburn will take over as the Nashville location's sales leader.

Marsh & McLennan Purchases J. Smith Lanier Marsh & McLennan Agency LLC (MMA), the middle market agency subsidiary of Marsh, has announced that it has signed a definitive agreement to acquire J. Smith Lanier & Co. (JSL), one of the nation’s largest, privately held insurance brokerage The Tennessee Insuror

firms. Terms of the transaction, which is expected to close in the first quarter of 2017 pending customary approvals, were not disclosed.

Upon completion of the transaction, JSL will operate as MMA’s Southeast regional hub under the leadership of JSL’s Chief Executive, D. Gaines Lanier, and Chief Operating Officer, Gary Ivey. Lanier will report to David Eslick, chairman and CEO of Marsh & McLennan Agency. All of JSL’s employees will join MMA, including those at offices in Chattanooga, Knoxville and Murfreesboro.

Waddell Joins Lipscomb & Pitts Michelle Waddell has joined Lipscomb & Pitts Insurance in Memphis as the Client Concierge and Communications Coordinator on the agency's C-team.

Waddell has over 11 years of experience in the industry and formerly worked with Insight Risk Management as a Client Services Director.

Smith Earns CAE Designation Daniel Smith, the Director of Communications for Insurors, has earned his Certified Association Executive (CAE) designation from the American Society of Association Executives (ASAE). The CAE program is designed to elevate professional standards, enhance individual performance and designate association professionals who demonstrate the knowledge essential to manage an association in today’s challenging environment.

To earn the designation, Smith completed 100 hours of association-related continuing education and passed the 2016 national CAE exam.

Simmons First and FSB to Merge in $72M Deal Simmons First National Corporation announced recently that it has entered into a definitive agreement and plan of merger with Hardeman County Investment Company, Inc., headquartered in Jackson, including its wholly-owned bank subsidiary, First South Bank (FSB). The $72 million transaction will include the merger of the insurance entities of both ogranizations, with details to be determined. "The combination of First South Bank and Simmons Bank presents a great opportunity for additional growth with expanded products and services in markets very important to our company," said George A. Makris, Jr., Simmons’ Chairman and CEO. u 35

“Exclusive member agencies, collaborating to bring the best insurance solutions to their clients.�

The Allison Insurance Group - Jackson Bagley & Bagley Insurance - Fayetteville Boyle Insurance Agency, Inc. - Memphis Burke, Powers & Harty - Bristol Carnal-Roberts Agency, Inc. - Lexington Cate-Russell Insurance, Inc. - Maryville Frank E. Neal & Company, Inc. - Nashville Goss Insurance - Hixson Inter-Agency Insurance Services - Knoxville

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Martin & Zerfoss, Inc. - Nashville McInturff, Milligan & Brooks - Greeneville Miller | Loughry | Beach Insurance Services - Murfreesboro Ownby Insurance Service, Inc. - Sevierville Smith-Berclair Insurance, Inc. - Memphis S.N. Anthony, Inc. - Ripley Tigrett & Pennington Inc. - Dyersburg V.R. Williams & Company - Winchester Watauga Insurance, Inc. - Johnson City

Get more information now at www.securerisk.com

The Tennessee Insuror

Program Spotlight

DocuSign

As an agent/broker, success depends on signing up new policies, servicing your customers and running your business better than competitors. Waiting for paper signatures can put your revenue and reputation with customers at risk.

Join more than six hundred insurance companies and the industry’s largest brokers to automate electronic signature and document flow with DocuSign.

Insurors members receive exclusive discounted pricing from the industry's #1 esignature solution, Docusign. DocuSign is used to accelerate transaction times to increase speed to results, reduce costs, improve customer service and reduce E&O exposure.

Save Time: DocuSign saves you significant staff time because documents get sent for signature instantly along with automated reminders so clients finish the signing process faster.

Compete Faster: The time it takes applicants to complete underwriting documents using ink and paper puts you at

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risk of customer defection, especially if your competitors can complete the process faster. With DocuSign, applicants complete and sign documents in minutes, and without errors, so your cycle time comes down dramatically with less chance that clients take their business elsewhere.

Reduce Exposure: DocuSign requires signers to fill out and sign forms completely, providing more consistency in your documents. This ensures better compliance with your agency’s E&O policy and better peace of mind.

"DocuSign has delivered a level of efficiency, reliability and consistency to my agency operations that is difficult to describe," says Insurors member Rob Martinek of Martinek Insurance Services in Nashville. "The benefits have been enormous. This product has revolutionized my workflow and provided value in every step of the insurance/client relationship process. If that wasn't enough, it's also intuitive and easy to use. Thanks for making selling insurance fun again."

Learn more at www.docusign.com/iiaba. u

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The Tennessee Insuror

Program Spotlight

Swiss Re Lawyer's Professional Liability For over 40 years, Swiss Re Corporate Solutions has stood by and protected attorneys throughout America. Now is your chance to offer this malpractice coverage to Tennessee lawyers!

Insurors has partnered with Swiss Re to provide this program through member agencies without an appointment. The program will be available online through the Big "I" Markets platform.

Competitive Terms and Rates • • • • • • •

A+ rated insurer Very competitive premiums Wide range of limit and deductible options Available to eligible firms of all sizes Expert local defense counsel Credits for risk management, including ALA membership Automated renewal for qualifying 1-10 attorney firms

Competitive Policy Provisions • • • • • • • • •

Full prior acts coverage available - important for claims made & reported policies Supplemental coverage for disciplinary complaints Supplemental coverage for cyber events, crisis events, and subpoenas Pre-claim assistance for resolving issues before they escalate Insured Professional Services defined to include title agent, escrow agent, and trustee Coverage extends to past & current attorneys, of counsels and independent contractors Coverage for pro bono work with deductible waiver Loss of earnings for trial attendance: $500/day up to $15,000/claim Extended reporting period (ERP) coverage for claims, at no additional charge, for qualified insureds in the event of retirement after 3

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• • •

continuous years of coverage with any carrier; ERP in the event of death or disability per policy conditions Innocent insured protection provided in the event of fraud or dishonesty allegations Reduced deductible for early claim resolution Attorney's consent required for settlement

Added Benefits Risk management – Robust and relevant risk management is essential for a successful law practice. At no charge, Swiss Re provides: A dedicated risk manager who is also an attorney; an anonymous complimentary hotline staffed by experienced outside attorney; a website with articles, sample forms and letters, on-demand risk management courses, newsletters and bulletins; and live CLE seminars.

Claims Commitment Pledge - Swiss Re's world class claims department, staffed with attorneys who average 20 years of industry experience, will work with the insured attorney to find the best resolution. A dedicated claims professional will manage the claim from inception until closure.

What Are Policyholders Saying?

Swiss Re policyholders are talking about the claims team, saying, "I could not have remedied the situation without your understanding of the matter, your lucid analysis & expedited response. I am now even more at ease that I have E&O insurance with your group," and "helpful, professional, courteous, efficient."

To inquire about providing Swiss Re malpractice insurance for lawyers, please contact Jean Millhouser at jean_ millhouser@swissre.com or visit Big "I" Markets at www.bigimarkets.com. u

Tennessee Contacts Jean Millhouser VP/Senior Underwriter jean_millhouser@swissre.com About Swiss Re Corporate Solutions Swiss Re Corporate Solutions is backed by more than 150 years of experience, significant capacity and the financial strength of the Swiss Re Group. The Corporate Solutions team solves the risk management and financing needs of corporations around the globe.

Swiss Re offers more than 40 products across a broad array of sectors, from sole-proprietor law firms to Fortune 100 companies with complex property, casualty and financial service needs.

We invite you to browse & learn how much more there is to Swiss Re than reinsurance.

The Swiss Re Lawyer's Professional Liability Program has over $2B in surplus money, providing Tennessee lawyers with the security that they require when buying malpractice insurance.

This stability is imperative for long tail claims, which are common in the malpractice arena.

Swiss Re Strength Ratings Standard & Poor's AA- (Very Strong) Moody's Aa3 (Excellent) A.M. Best A+ (Superior) View more info online at http://www. swissre.com/corporate_solutions/

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Independence can’t happen alone.

Independence means freedom, but it also means responsibility. It is about staying true to the commitments you’ve made - to your clients, your colleagues, your community, and your family.

Keystone connects you to a community of like-minded independent agencies. We strengthen our partner agencies to safeguard livelihoods, bolster businesses, and fortify communities.

Partner with the best and distance yourself from the competition.

Art E. Gernt Insurance Bradshaw & Company Insurance Burchfiel-Overbay & Associates CS&A Insurance First Insurance Heritage Insurance Group Hollis & Burns Holman & Holman Agency Jamieson & Fisher Lester, Greene, & McCord/E.B. Thoma and Son McIntire & Associates Insurance Porch-Stribling-Webb Raborn Insurance Agency Robins Insurance Agency RSS Insurance Spann Insurance Strate Insurance Group Swallows Insurance Agency Thompson & Smith Insurance Westan Insurance Group William Blount & Associates Wyatt Insurance Services

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Independence works better together.

Contact Michele Bicknell for more information: 570.473.2148 mbicknell@keystoneinsgrp.com keystoneinsgrp.com

©2016 Keystone Insurers Group ®. All rights reserved. This does not constitute an offer to sell a 40franchise in any state in which the Keystone Insurers Group franchise is not registered.

The Tennessee Insuror

Company Briefs Dinnin Succeeds O'Reilly; Strozyk Added at Columbia Insurance Columbia Insurance Group has added Elizabeth Dinnin to their Executive team as the new Vice President and Atlanta Branch Manager and welcomed Debbie Strozyk as a Territory Manager, serving Tennessee, Kentucky, northern Mississippi and northern Alabama.

Elizabeth is a seasoned insurance professional with more than 30 years of experience. “Elizabeth has extensive executivelevel experience, in addition to her expertise in commercial lines underwriting and agency relations,” says Scott Mackey, Senior Vice President and Columbia’s Chief Underwriting Officer. “Her innovative ideas and successful track record make her the best person to take our Atlanta Branch office to the next level.”

Elizabeth succeeds Robin O’Reilly, outgoing Atlanta Branch Manager, who has led the Atlanta branch office for over 25 years.

“We are grateful for Robin’s contribution to our organization,” says Gary Thompson, President/CEO. “We look forward to Elizabeth’s leadership of our talented Atlanta team, who is working closely with our loyal agency partners to achieve our vision of becoming the best commercial lines carrier in the southeast region.”

Debbie brings over 20 years of experience to her position at Columbia Insurance, from working as an insurance agent, to a sales manager, to a territory marketing manager for both regional and national carriers, and also serving as an insurance agency owner.

Schoerner Joins SIU to Lead Professional Lines Southern Insurance Underwriters, Inc. (SIU) announced that John M. Schoerner has joined the company as the Professional Lines Practice Manager and will lead the company expansion of Errors & Omissions, Architects & Engineers, Owners/Contractors Protective Liability and various other related products.

PO $ N LI 150 EW For Dwelling Fire/Mobile Home Insurance, put your trust in CY L ,00 IM 0 a company that has been insuring homes for over 50 years.

IT S National Security Can Provide You With: • $150,000 MAXIMUM POLICY LIMITS • AAIS Basic Form 1 Policy • Direct Contract with National Security • 15% New & Renewal Commission • Partnership Profit Sharing • Fast Online Policy Issuance • Tenant Schedule Option • Easy Payment Options National Security has provided competitive, affordable insurance to policyholders for over 50 years, but we also provide a lot for our agents, with competitive commissions, excellent customer service and experienced company adjusters. As an admitted Southeastern based regional company, National Security prides itself on fast, efficient service from a friendly small town company, and online access for all agents, providing fast quotes, online policy issuance, online dec page printing, and real-time policy information.

Find out more by calling Sharon at 1-800-239-2358 x213 or visit nationalsecuritygroup.com.

The Tennessee Insuror

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Schoerner was previously a senior underwriter for a large insurance company, primarily managing A&E, real estate developers E&O and related construction liability lines. He was instrumental in product development and marketing of these specialty products, as well as many miscellaneous E&O policy types.

Virtual University director,” says Bob Rusbuldt, Big “I” president & CEO. “Chris is one of the leading academics and technical experts in our industry. We are confident that Chris will continue to build upon the excellent work and foundation established by the VU’s founding father, Bill Wilson.”

Schoerner will be SIU’s Practice Leader for the expanded professional lines division, providing “exclusive insurance capacity” and expertise through a controlled distribution network.

Boggs previously served as Wells Media Group, Inc., Academy of Insurance vice president of education and worked in numerous underwriting and account roles for Selective Insurance Company; Dean, Heckle & Hill; and McNeary, Inc.

ACUITY Reaches Record Levels in 2016

McPeak Elected as NAIC President-Elect

Acuity announced its 2016 growth results, reporting a gain of over $46 million in total written premium. The amount brought Acuity’s revenue to an all-time high of $1.38 billion for the year.

During the National Association of Insurance Commissioners (NAIC) Fall National Meeting, Tennessee Department of Commerce & Insurance (TDCI) Commissioner Julie Mix McPeak was elected as president-elect of the organization.

“For the past 17 years, Acuity has consistently grown faster than the insurance industry. Over the past six years alone, we have added $600 million to top-line revenue,” said Acuity President and CEO Ben Salzmann.

“Representing the State of Tennessee as an NAIC officer is one of the highlights of my career, and I am thankful for this opportunity,” McPeak said. “In my role as NAIC President-Elect, I will continue to advocate for responsible regulation of the insurance industry and a commitment to consumer protection while ensuring there is a competitive marketplace for Tennesseans every day.”

Acuity achieved balanced growth across its business in 2016.

The company achieved an incredible 20th consecutive year of premium increase in personal lines and reached a record $1 billion in written premium in commercial lines. Acuity is poised to continue its growth in 2017 due to its competitive strengths and market positioning.

JM Wilson Promotes Hoopingarner J.M. Wilson is pleased to announce the promotion of Aubrie Hoopingarner to Senior Property & Casualty Underwriter in their South Carolina office. Aubrie is responsible for quoting new and renewal accounts for a wide variety of commercial property and casualty risks, as well as servicing accounts for independent insurance agents. In addition, Aubrie will train J.M. Wilson associates and educate agents on P&C products and coverage.

Aubrie was hired in 2008 as a Property & Casualty Technician for JM Wilson’s home office in Portage, Michigan, before being promoted to P&C Underwriter in 2011. Aubrie transferred to the South Carolina branch when it opened in 2015.

Big "I" Names Boggs as New VU Director The Big “I” has announced that Christopher “Chris” J. Boggs CPCU, ARM, ALCM, LPCS, AAI, APA, CWCA, CRIS, AINS, has joined its staff as Big “I” Virtual University director. Boggs will succeed Bill Wilson, CPCU, ARM, AIM, AAM, who has served in this role since 1999 and retired at the end of 2016.

“The Big ‘I’ is proud to welcome Chris Boggs to our team as The Tennessee Insuror

An active NAIC participant for nearly 20 years, McPeak has served on the NAIC’s Executive Committee since 2013. McPeak, who was formerly Kentucky’s lead insurance regulator, was appointed as TDCI Commissioner by Tennessee Governor Bill Haslam in 2011. She was reappointed to her post in 2015.

Burns & Wilcox Extends PGA Deal with Walker; Adds Sponsorship with Simpson Burns & Wilcox, a leading wholesale insurance broker and underwriting manager, officially announced a new golf sponsorship deal with 2012 U.S. Open winner Webb Simpson, along with an extension of its sponsorship of PGA champion Jimmy Walker.

Walker will continue to wear the Burns & Wilcox logo on the right side of his golf shirt. Simpson will showcase the Burns & Wilcox logo on the left side of his golf shirt. The Burns & Wilcox logo will also be featured on their respective caddies.

Walker’s caddie, Andy Sanders, will wear the logo on his right sleeve, and Simpson’s caddie, Paul Tesori, will also wear the logo on his hat.

This past summer, Team Burns & Wilcox experienced its first major victory when Walker won the 98th PGA Championship at Baltusrol Golf Club with a one shot win over top-ranked Jason Day. Four-time PGA victor Webb Simpson joins Team Burns & Wilcox as its second professional golf brand ambassador. His sponsorship was effective January 10th and began with his play in the Sony Open in Hawaii.

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Auto-Owners Announces Affiliation with Concord General Mutual Auto-Owners Insurance recently announced its proposed affiliation with the Concord General Mutual Insurance group of companies, a premier insurance provider based in New England.

Both Auto-Owners and Concord have a long-standing tradition of outstanding customer service and financial integrity, with Auto-Owners recently celebrating its 100 year anniversary, and Concord closing in on 90 years.

Concord is an A.M. Best A- (Excellent) rated property and casualty insurer that operates exclusively through independent agents in New Hampshire, Vermont, Maine and Massachusetts. While Concord currently specializes in personal lines insurance, it will be able to expand its commercial product offerings as a result of the affiliation, strengthening agency relationships and adding greater overall value as a result.

Main Street America Names Kusch as EVP The Main Street America Group has announced Jeff Kusch, who has led the company’s field sales function for the past two years, has been promoted to executive vice president, insurance operations.

In addition to his new executive vice president position, Kusch will remain president of three Main Street America affiliate carriers: Austin Mutual Insurance Company, Grain Dealers Mutual Insurance Company and Spring Valley Mutual Insurance Company.

Saldana to the position of claim representative II in its Tennessee Claims Department. In the new position, Saldana will handle medical workers’ compensation claims as assigned by Bonnie Moser, Tennessee claims supervisor.

He has been with Brentwood Services since 2013, when he was hired as a claim assistant with the occupational accident team. In May 2015, he was promoted to claim examiner II in the Tennessee Claims Department, and in October 2015 was elevated to the claim representative I position.

Ryan Specialty Group Adds Rosson as Senior Vice President Ryan Specialty Group LLC has named Charlie Rosson senior vice president. Rosson is based in San Francisco, Calif. He will work to develop RSG penetration with brokers on a national basis. He has 23 years of experience in the insurance industry. He was most recently the CEO of Woodruff-Sawyer & Co. The firm announced in September that Rosson was stepping down.

MTSU Ranked as a Top 50 Entrepreneur Program Middle Tennessee State University has received recognition from LendEDU.com as number 17 in their “Top Colleges for Aspiring Entrepreneurs Report.” The website built its rankings by studying more than 100 colleges offering entrepreneurship programs to undergraduates.

Kusch joined Austin Mutual in 1992 as an accounting manager.

Following Austin Mutual’s affiliation with Main Street America in 2012, Kusch became its Western Region president, a role he held until his appointment in 2015 as senior vice president, field operations. Prior to joining Austin Mutual, Kusch was a member of the senior audit staff at Coopers & Lybrand LLP.

“This recognition is additional evidence of the excellent regional and national reputation that the Jones College continues to build,” said David Urban, dean of the Jennings A. Jones College of Business at MTSU. “Through the hard work of faculty, staff and students, Jones College programs are rightfully being recognized as among the very best, anywhere. Prospective students who want a world-class business education need look no farther than MTSU.”

Arlington/Roe Adds Denney in Tennessee

Goad Named as New CFO for Central

Indianapolis-based Arlington/Roe has added Scott Denney, CPCU as the broker's new Tennessee Marketing Manager.

He formerly worked as an Assistant Vice President of Marketing at Union Standard Insurance, a company he worked with for over twenty years, before retiring in early 2016.

Keith Goad has been hired as Chief Financial Officer for both Central Mutual Insurance Company and All America Insurance Company. As Chief Financial Officer, Goad holds overall accountability for the company’s finance, investments, accounting, actuarial, analytics, risk management and innovation functions.

Brentwood Services Promotes Saldana in TN

Goad comes to Central from Nationwide where he was most recently an Associate VP in the Office of Corporate Strategy. He has a Bachelors and MBA from The Ohio State University. u

Brentwood Services Administrators Inc. has promoted Nick 44

The Tennessee Insuror

FROM THE DELTA TO THE SMOKIES WE’RE PROUD TO SUPPORT THE INDUSTRY’S BEST.

Construction • Education • Financial Institutions • Healthcare • Manufacturing Professional Services • Real Estate • Retail • Technology • Wholesale Distribution

CNA is proud to support Tennessee’s independent agents and brokers with customized coverages, local industry knowledge and the strength and stability of an “A” rating by A.M. Best. When you’re looking for a carrier with a broad industry appetite, who understands your commitment to business success … we can show you more.® Learn more about our coverages and services today.

Contact our local Nashville Branch at 615-886-3300, or visit www.cna.com.

CNA is a service mark registered by CNA Financial Corporation with the United States Patent and Trademark Office. CNA Financial Corporation subsidiaries use the “CNA” service mark in connection with insurance underwriting and claims activities. Copyright © 2016 CNA. All rights reserved.

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45

Innovations in Long-Term Care Funding with Life Insurance written by Jerry Rhinehart, CIC, CLU, ChFC, RHU

As most of us are aware a prolonged nursing home stay can easily deplete a person’s savings, liquidate their assets, and possibly erode their retirement money. And modern medicine – which is keeping us alive longer – is only making this possibility a bit more likely for most. If Long-Term Care (LTC) is needed, most people would like to remain in their home, rather than residing in a Skilled Nursing Facility (SNF).

And they probably think the cost will be substantially less at their home than the expense at a SNF. That is possible if the individual has a friend or relative that can provide the handson care. But what if no such person is available? Consider this: A certified in-home care-giver runs a minimum of $20 per hour in most parts of the country. Do the math… three 8-hour shifts will be approaching $500 per day! That may be twice the cost of a SNF in the same general area.

According to the 2016 study by Genworth Insurance the national average cost for care is staggering: The Average Monthly/Annual Cost (Nationally)*: • • •

Assisted Living Facility - $3,628 / $43,536 Skilled Nursing Facility (Semi-Private) - $6,844/$82,128 Skilled Nursing Facility (Private) - $7,698/$92,376 *Source: genworth.com/about-us/industry-expertise/cost-of-care.html

Ok, so what are the LTC funding options should the need arise? There are really only three options: 1. Be Rich, 2. Be Poor, or 3. Be Insured.

The 1st option (Be Rich) eliminates the vast majority of people.

The 2nd option (Be Poor – meaning Medicaid). What usually happens is the person needing cares uses their money and assets FIRST and they become destitute, and then meet Medicaid eligibly rules. Every state has specific rules regarding Medicaid qualification: 1. the applicant must spend down their assets to a mandated amount – generally $2,000, and 2. their income can’t exceed a certain level ($2,199 per month in Florida in 2016, as an example).

The 3rd option (Be Insured) usually meets with resistance due to the perceived high cost of the premium of Long Term Care insurance (LTCI), and, many people simply do not think 46

this issue will affect them. No question about it – a traditional LTCI contract is pricy! There is also rarely any benefit payable should the person die before using the coverage.

What is the “trigger” for a covered claim with a LTCI? Typically, it mean they can’t perform any 2 of 6 Activities of Daily Living (ADLs). ADLs are defined as eating, dressing, bathing, toileting, transferring or continence. The second “claims-trigger” is the insured must have a medical diagnoses of Severe Cognitive Impairment. A person with a dementia impairment (maybe Alzheimer’s disease) might be able to perform all 6 ADLs, but obviously should not be left without someone to look after them.

So, how is a claim approved? The insured individual meets either of the two defined claims-triggers – any 2 of 6 ADLS or has a Severe Cognitive Impairment. Once an individual claim’s qualification is met, benefits are payable until they recover from the medical issue, or the “insurance bucket of money” is empty. What is meant by the phrase “...until they recover?” Well, most think of this coverage for older people with severe (and irreversible) medical situations. But what about a person of any age that has a serious medical event (heart, cancer, accident, etc.) and is in need of care for several months and then recovers? The benefit would be payable for that period of time if the claims-trigger and the elimination period are met.

Innovation on This Issue?

We have discussed the dilemma, various options and the traditional LTCI approaches. What about recent innovation and trends for this issue? A few years ago, we started seeing some life insurance carriers include a novel approach regarding the LTC benefit. Many refer to it as a Living Benefit (LB). Some call it an Accelerated Benefit. Now, keep in mind not all carriers include this coverage. For those that do, some make it a rider (with a published additional cost) while most make it a policy provision or contract feature, thus no published additional cost. Additionally, the LB contract language and pay-out provisions vary greatly with the companies that participate in this benefit. It is even available in varying degrees with some annuity contracts.

How does the LB provision generally work? First, the life insurance contract obviously has the death benefit. But as The Tennessee Insuror

part of the death benefit, the contract will generally provide three “buckets” of money that can be accessed by the owner if the insured has a qualifying event or meets a “claims-trigger” provision. Note that just because a company’s life policy is approved in a particular state, this rider may not. Always check with your company.

The first coverage “bucket” is generally referred to as “Critical Illness.” Here the claimant can file for up to some maximum amount against the contract – meaning, the life insurance death benefit amount – should they have a defined medical procedure. A physician’s certification will be required. One company’s language defines it as: “open heart surgery, angioplasty or myocardial infarction, life threatening cancer, stroke, major transplant or end-stage renal failure.”

The limit may be a flat maximum amount (such as $25,000) or some maximum percent of the death benefit (such as 25%), but not to exceed some specified dollar amount (one company’s maximum is $125,000). An example: John (who is self-employed) has a $500,000 life insurance policy that contains the LB provision. He becomes ill and ultimately receives a kidney transplant. He is responsible for a sizable medical insurance deductible and can’t work for 4 months – so he sustains a significant loss of income. He decides to take an advance against his policy of $100,000. He still has $400,000 of death benefit coverage, since this is considered a lien against the contract. Most companies will charge an administrative fee when such a claim is made. A one-time fee of $150 is common.

The second “bucket” is generally defined as “Chronic Illness.”

Here the claimant will be required to provide a physician’s certification that shows the individual is unable to perform any 2 of 6 ADLs (eating, dressing, bathing, toileting, transferring or continence), or has been diagnosed as having Severe Cognitive Impairment. You will note this is the exact language we discussed with a traditional LTCI contract.

Carriers may require the “coverage-trigger” to be for a minimum and continuous timeframe – perhaps 90 days. As with Critical Illness, there will be some maximum limit. With many life insurance companies, it will generally be up to 50% of the death benefit, with some overall maximum total.

One company’s maximum benefit payout is $1,000,000. One

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company’s language states, “The sum of all accelerated benefits may not exceed either 50% of the specified amount (the death benefit) at the time of the first acceleration, or $1,000,000.”

Additionally, the company may limit how benefits are paid under this provision. Some may pay annual installments, but not to exceed the maximum LTC benefit as defined under HIPAA. Some may pay a maximum monthly benefit (such as 2% installments over 50 months). For example: Sharon is 45 years old and has a $400,000 life policy that contains the LB provision. She has developed a degenerative muscle disorder and is no longer able to care for herself. She and her husband take an advance of $200,000 from her policy to modify their home and help pay for a home health aide. She will still have $200,000 death benefit protection.

The final “bucket” is defined as “Terminal Illness.” Most contract’s LB language states the owner can access this benefit if the insured individual’s life expectancy is 12 months or less. Generally, the maximum benefit will be 50% to 75% of the death benefit, not to exceed some specified amount, perhaps $1,000,000. An example: Patrick has a $300,000 life policy that contains the LB provision. He has an inoperable tumor and his physician has given him 5 months to live. He requests a $50,000 advance against his contract - so he, his wife, and adult kids can take a cruise they have discussed for years. Upon Patrick’s death, his wife receives the remaining $250,000 death benefit.

Note that a number of life insurance carriers have the LB provision as part of their Whole Life, Universal Life and even Variable Life contracts. A few carriers even have this part of selected Term Life contracts. An important point: when the LB benefit is received, it is considered a lien against the life insurance policy. The company will have some fee associated with each transaction ($150 as an example), plus, they will charge interest against the lien as specified in the contract.

The company will always state the maximum interest – such as 8%. With a lien, the interest is charged against the ultimate remaining death benefit payout. By doing this, the amount received from the LB, should be free of taxation. Always recommend your clients check with their tax specialist for their advice and interpretation.

As mentioned, variation of this benefit is available with some annuity carriers. One such enhancement is the Waiver of

47

Surrender Charge Provisions with many carriers. This provision has been around with most carriers for a number of years. How does this work? Should the annuitant have a terminal illness, or be confined to a nursing home (many define confinement as 12 months or longer), the individual can access the annuity account value without a surrender charge. Another variation is the ADL trigger provision (or rider). How does this work?

Should the annuitant meet the LTC “claims-trigger” (2 of 6 ADLs, or Severe Cognitive Impairment), they can access a greater percentage of their annuity account value on an annual basis without a surrender charge. A 10% annual withdrawal with no surrender charge is common without this provision. This LB provision will increase this percentage to a higher amount – perhaps 20% annually – without a surrender charge. Currently, very few annuity carriers have this last provision available.

Either of these annuity variations are a benefit to a person or family that has the long term care funding need. But neither will be as attractive as the life insurance with LB unless the annuity is very sizable.

What are the major advantages of an insured LTC funding program? With either a good quality LTC insurance contract or a somewhat sizable life insurance policy with the LB, the unpleasant thought of 1) running out of money, 2) having to liquidate their assets, or 3) trying to qualify for Medicaid, can be eliminated or greatly postponed. Most of us will work 30 or 40 years to amass a sizable amount of money in our qualified plans (401k, IRA, SEP, ROTH, etc.) so our retirement years can be financially low-stress. As stated previously, to qualify for Medicaid, you must spend-down your assets to a certain threshold. Are you aware that Medicaid rules require you to spend down your qualified money (401-k, IRA, SEP, ROTH, etc.) in additional to all your other assets? Think of a quality insured LTC funding program as a FIREWALL around all your qualified money!

Numerous questions might arise concerning this innovative LB provision. Others may come up about LTC funding options with an annuity. The questions may include: What are the tax rules, limitations on the use of the funds, coverage territory issues, and waiver of premium concerns – just to list a few. The comparison table found with this article should address most of the issues and questions that might come up for agents and their prospects. Since coverage language and benefit options vary greatly with life and annuity contracts that offer one or more of these funding choices, it is highly recommended that agents thoroughly research what is available with their carriers. Another alternative is to discuss these contracts and options with a knowledgeable life insurance brokerage agency that works in this area, and has a good relationship with numerous quality life insurance companies.

About the Author Jerry Rhinehart is the President of Rhinehart & Associates in Florida. He has worked for a direct writer, been an agency owner, industry speaker and writer.

He has also conducted more than 1,500 programs to insurance, CPA, attorney and HR groups. u 48

Could your agency weather a data security breach?

A full 80 percent of businesses that experience one don’t.1 The right insurance can keep your agency from becoming part of this startling statistic.

Data breaches are common among smaller businesses, and responding to a breach is both costly and complex.

You are obligated to protect the data you collect, and package policies are often not enough.

Make sure your agency has the right coverage in place to protect you and your insureds.

Contact your Insurors E&O Specialist, Stephen Holmes, CIC, CISR, for information on Data Breach coverage.

1. Privacy Rights Clearinghouse: Chronology of Data Breaches

Stephen Holmes, CIC, CISR sholmes@insurors.org 615.515.2609

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Join Us MEGAN WETLI MEGAN.WETLI@MOTORISTSGROUP.COM | 614-225-8389 50 CHRISTOPHER SNYDER CHRISTOPHER.SNYDER@MOTORISTSGROUP.COM | 513-490-5816

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Meetings

Spring is Full of Industry Opportunities 2017 Agency Growth Conference to be Held March 8-9 in Knoxville The Insurors Agency Growth Conference will return this Spring, this time in East Tennessee. Please join us in Knoxville at the Hilton Downtown on March 8-9, 2017 for our annual event featuring speakers, sessions and exhibits designed to help you and your agency grow.

Keynote speakers will include Carl Canales, Vice President and General Manger of the Southeast Region for Safeco Insurance, as well as Chris Langille, Founder and CEO of Advisor Evolved.

More information, including registration, will be available on our website at insurors.org in the coming weeks.

NetVU 2017 Returning to Tennessee on March 23-25 The Network of Vertafore users (NetVU) will host their next annual conference, NetVU17, on March 23-25, 2017 in Nashville. The event is intended to support the efficient and effective use of technology to drive productivity and profitability in the insurance industry. The event will include over 100 classes, 120+ experts, 7 different learning tracks and numerous technology and business services exhibitors.

Tennessee is excited to host this opportunity for insurance professionals to network, learn and grow through the support and improvement of industry technology.

Get more information on the conference, or register online now, at http://www.netvu.org/web/Online/Events/ Conference/NetVU17.aspx

Big "I" Legislative Conference May 3-5 Protect Your Industry – join the Big "I" May 3-5, 2017 at the Renaissance in downtown Washington, D.C. for the premier insurance industry legislative event. Attend this one-of-akind legislative event for the independent agency system and educate members of Congress on issues important to you and your clients. Registration includes an in-depth issues briefing, legislative breakfast with high-profile Congressional speakers, a general session and networking opportunities.

See more info now at http://www.independentagent.com/ Events/LegislativeConference/home.aspx u The Tennessee Insuror

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Member Tips

It's Simple Math

written by Ryan Hanley, TrustedChoice.com

As an Insurors of Tennessee member, you are already a Trusted Choice independent insurance agent with a profile on TrustedChoice.com. What is TrustedChoice.com? It's an online portal that connects consumers with insurance needs to independent agents through quoting and referrals. We achieved record results driving digital opportunities to Big “I” members in 2016, and we are poised to do even more for your agency in 2017.

How will we improve on record numbers. It's simple math, really. We have expanded the carrier network and increased the quoting opportunities. More digital data points leads to more digital referral opportunities.

How Can You Attract More Customers Online?

Attracting online buyers comes down to (not-so-simple) math too, but it’s harder to achieve results when you go it alone digitally. We work hard to create content that gets found and drives referrals directly to Big "I" agents.

We connected over 100,000 insurance consumers to agents in 2016—of those, 98% choose to contact an agency with an enhanced profile (we call this Advantage profiles). Why? Because insurance consumers want to do business with people they can relate to.

The best way to benefit fully from your TrustedChoice.com Big "I" member profile is to upgrade to an enhanced, Advantage profile.

Achieving more often means trying new things. We know diving into the digital world can be confusing, and it’s not always easy to decide where to spend your marketing dollars. This can be simple math, too. In December, a Nebraska Big "I" agent wrote a trucking policy with a $20,000 premium from a TrustedChoice. com lead. At ten points of commission, that one account pays for almost two years of leads from TrustedChoice.com.

With 200-plus million shoppers looking for insurance providers online, we’d love to be part of your strategic growth plan in 2017. And we have a lot more in the works for an exciting year. This is your first chance to start your year off with an Advantage. Are you in?

Found out if an Advantage profile is right for your agency, watch the short one minute video online at https://agencynation. leadpages.co/advantage/ or find your agency profile now at https://www.trustedchoice.com/for-agents/ u

Directory of Advertisers Advertiser

Phone

Website

Page

ACUITY (920) 458 - 9131 www.acuity.com 38 Amerisafe (800) 897 - 9719 www.amerisafe.com 22 AmTrust North America (877) 528 - 7878 www.amtrustnorthamerica.com 49 Applied Underwriters (877) 234 - 4450 www.auw.com/us 2 Bailey Special Risks, Inc. (800) 768 - 7475 www.bsrins.com 9 Beazley Cyber Liability (615) 515 - 2609 www.insurors.org 55 Berkley Southeast Insurance Group (615) 932 - 5508 www.berkleysig.com 16, 19 Berkshire Hathaway Guard Insurance Cos. (800) 673 - 2465 x4567 www.guard.com/apply 24 Big "I" Professional Liability (615) 515 - 2609 www.insurors.org 55 Brentwood Services Administrators (800) 524 - 0604 www.bwood.com 24 Builders Mutual (800) 809 - 4859 www.buildersmutual.com 22 Burns & Wilcox (800) 341 - 4844 www.burnsandwilcox.com 15 CNA Insurance (800) 251 - 5852 www.cna.com 45 Consumers Insurance/Motorists (615) 896 - 6133 www.ciusa.com 50 DocuSign (877) 720 - 2040 www.docusign.com/iiaba 37 Donegal Insurance (800) 277 - 7442 x3418 www.donegalgroup.com 7 EMC Insurance (800) 239 -2005 www.emcins.com 17 Hilb Group (804) 414 - 6505 www.hilbgroup.com 20 INSBANK (866) 866 - 4268 www.insbanktn.com 11 Insuror Services, LLC (800) 264 -1898 www.insurors.org 28-29 Jimcor Agencies (678) 952 - 3023 x1418 www.jimcor.com 32 J.M. Wilson (800) 595 - 0063 www.jmwilson.com 42 Kaplan University (877) 761 - 9150 www.kaplanfinancial.com/firm-insce 52 Keystone Insurers Group (800) 416 - 5498 www.keystoneinsgrp.com 40 National Security Group (800) 239 - 2358 x267 www.nationalsecuritygroup.com 41 Nationwide Insurance (423) 927 -2060 www.nationwide.com 30 Penn National Insurance (800) 395 - 0518 www.pennnationalinsurance.com 56 Preferred Comp/Meadowbrook (800) 755 - 8090 www.meadowbrook.com 9, 51 Preferred Property Programs (888) 549 - 2465 www.umbrellaprogram.com 42 Risk Innovations (678) 213 - 6730 www.riskinnovationsllc.com/tni/ 47 Securerisk (770) 723 - 8096 www.securerisk.com 36 South & Western (800) 492 - 5351 www.southandwestern.com 33 Summit Holdings (800) 971 - 2667 www.summitholdings.com 26 Swiss Re Corporate Solutions (615) 515 - 2609 www.insurors.org 55 UFG Insurance (800) 343 - 9125 www.ufgsolutions.com 34

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CHRIS LANGILLE & CARL CANALES

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At the foundation of this program’s substantial success is our relationship with IIABA and each Big “I” state association.

We work together in harmony with the shared goal of providing Big “I” members with nothing less than the best possible product. Program sustainability serves our mutual long- term goal of enhancing the security and success of independent agents.

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Our dedicated underwriters and claims staff also take great pride in the program and in their record of superior customer service. We strive to provide an unparalleled experience and working with the talented state administrator staff listed at right we hope to continue to make Swiss Re Corporate Solutions synonymous with the highest service acumen.

Another unique program feature is that we work in partnership with a committee of working independent agents to ensure that we’re not only offering agents an insurance product, we’re offering agents a seat at the table. Agent input has directly affected the architecture of our policy forms and I believe that that input is also an important part of their strength.

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