The Tennessee Insuror Nov/Dec '19 by Insurors of Tennessee

THE TENNESSEE

INSUROR November/December '19 Volume 30 | Number 6

What About Bob? New Insurors President Bob McIntire Has Always Put Others First

8 14 46

126th Annual Convention Recap Reviews, Referrals & Growth

State of the Work Comp Market

Expect big things in workers’ compensation. Most classes approved, nationwide. It pays to get a quote from Applied.® For information call (877) 234-4450 or visit auw.com. Follow us at bigdoghq.com.

The Tennessee Insuror

contents

THE TENNESSEE

INSUROR Vol. XXX, Number 6 November/December 2019

features

Phone (615) 385-1898 Toll Free: 1-800-264-1898 Email: info@insurors.org Editor: Ashley Gold, J.D. Publisher: Daniel D. Smith Jr., CAE

4 What About Bob? INSURORS OFFICERS

President ........................................................................... Joe Hunt Immediate Past President ............................... Chris Allison, CIC IIABA National Director ......................................... Lou Moran III VP, Region III and President Elect ........................ Bob McIntire Vice President, Region I ................................... Norfleet Anthony Vice President, Region III .................................... Chip Fridrich Jr. Treasurer ..................................................................... Tim Roberts Secretary ................................................................. Chip Hoover Director, Region I .................................................. Tommy Allmon Director, Region I .................................. S. Keith Phelps, CIC, CRM Director, Region I ......................................... Richard Whitley, CIC Director, Region II ............................... Christy Jones, CISR, CAPI Director, Region II ............................................ John McCord, CIC Director, Region II ..................................................... Taylor Porch Director, Region III ............................................................ Tim Witt Director, Region III ................................................. Mark Slater Jr. Director, Region III ...................................... Brandon Clarke, CIC Young Agents Chair ........................................................ Cy Young

ADVERTISING

New Insurors President Bob McIntire Has Always Put Others First

126th Annual Convention Recap

10 Where Has All the Discretionary Income Gone? 14 Daniel Talks Agency Marketing: Reviews, Referrals... Help Your Best Clients Showcase Your Value to Others 46

State of the Work Comp Market "Not Unprecedented, But Really Unusual"

departments

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.

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

Chattanooga Plays Host to A Great Event

From Your President

On The Move

From Your Young Agents Director

From Your CEO

Education Calendar

Layman's Terms

Company Spotlight

Vendor Spotlight

YAC: Where We Are & Where We're Headed The Association and The Future

Issues for 2020 Session, Dept. Update and InsurPACTN Commitments Selective Flood IntellAgents

51 Meetings 53

Member Tips

How Much Does a Bad Hire Cost Your Agency?

Bob congratulates his friend Joe Hunt for his work as 2019 President

What About Bob? New Insurors President Bob McIntire Has Always Put Others First

After an F4 tornado hit Cleveland, Tennessee in 2011, Bob McIntire was out seeking clients and friends to help check on their safety, place tarps and cut down broken trees. The help was appreciated of course, but during his outreach someone asked him, "Wasn't your property hit too, Bob?" It had been, and since his house sits well off the main road, Bob and his family had to cut through trees and debris to even access it and assess the damage.

team at Lee University and won a tournament to determine who would receive the team's first scholarship. During that time, he also changed his major from architecture to business administration and began planning his career path in the insurance industry.

Local Boy Makes Good – Locally

He got licensed at age 20, and upon college graduation he went right into his father's business, helping him restart the insurance side of the real estate agency that had been developed. That's when McIntire and Associates Insurance and Real Estate was founded. Thrown, "right into the fire," Bob began selling immediately and actually landed some big commercial accounts within his first year. He attributes that early success to determination, saying, “When you start an agency from scratch, hunger is a big motivator.” Although he grew up in the industry with his father and grandfather, he built his knowledge at carrier schools – learning about various segments of business and the underwriting behind them.

Bob is Cleveland-born and Cleveland-raised, and he'll tell you quite simply that he's, "...never found another place he'd rather live." His mother was a teacher and his father had been in the insurance industry until Travelers bought their family agency in 1972. After that, his father began selling real estate in Cleveland and left the insurance business.

One of those carrier schools was led by Maryland Casualty, a company that Bob and his father had a good partnership with and where they were placing some good business. Their field representative at the time was another young man making his way through the industry ranks – 2019 Insurors President Joe Hunt.

Bob grew up playing golf and was on the golf team at Bradley County High School. He also admits that while he did learn a lot from having his mother as a chemistry teacher, he was, "far from her star student." After he graduated, he received a golf scholarship to play at Cleveland State Community College. Developing into quite the player, he tried out for the golf

Joe and Bob became good friends and learned a lot by working together. Bob fondly recalls some of those days even now, "Back then the field reps and underwriters would come and sit on our family patio and talk about business and life. You'd tell them about the clients you wanted to write and they'd work with you to get the quote where it needed to be."

Luckily, most of the damage to his home was repairable and not catastrophic. It could have been worse, but Bob's greater concern was the community around him and the safety of his clients and friends. Being selfless is not an attribute you frequently find in today's world, but incoming Insurors President Bob McIntire is not one to sit around and ask, "What about Bob?"

The Tennessee Insuror

Things are different now though, and Bob knew even then that times – and the industry – were beginning to change.

Ushering in A New Era Bob's father was a "true Southern gentleman," and he did not question much when it came to the industry and the carriers they worked with – which at the time included Bituminous, Maryland Casualty and St. Paul among others. Bob, on the other hand had questions about how and why some things were done the way they were. He recalls, "I once questioned an RVP about end of year reserves for our agency right in front of my father at our office. My dad was squirming in his seat the whole time, but we got the answer we wanted." After that, Bob began making more of the decisions for the agency, and his father gave him the chance to do it "his way." Why did he do it? "People don’t mind answering the tough questions if they are posed in a respectful manner. My dad would have killed me had I been anything other than respectful." His way was different, but it led to the agency growing, giving staff new roles and hiring new talent. Mary Jane Moore, who's now been with the agency for over 35 years, was one of those staff members who began handling more things and helping implement the agency's plans. When Bob's father passed in 1998, the agency was already preparing for the new wave of technology – internet, email, etc. – that was about to take over. "We always talked things over and as long as my ideas weren’t totally off the wall we’d give it a try." Bob recalls, "That’s one of the greatest things about this industry, there is always an opportunity to do things differently."

Family Life Builds Along-side Agency Life As Bob was building an agency and growing a book of business, he was also building and growing a family. In 1983, he reconnected with a former high school classmate, Melinda, and they started dating and quickly became serious. In fact, his 3 weeks away from her at the Maryland Casualty school made, "the heart grow fonder," and they married shortly after he returned in November of 1984. Today they are the proud parents of Emily and Robby, Emily is married to Jeremy Jones and Robby is married to Amber who have blessed them with three grandchildren. Amber is also the operations manager at the agency. Bob admits, "I’m the oddball in the family, both kids are teachers and my son-inlaw is an elementary school principal. My sister Leanne is also a teacher as was my mother."

A Wider Calling in the Industry As he got more involved in his agency and the industry, Bob began attending more events. He and his father attended Insurors Conventions, and he first met the new (at the time) Executive Director for the Association, Chuck Bidek. He got to know Chuck and others in the industry, and soon found he had a network of counterparts and contemporaries that he The Tennessee Insuror

could bounce ideas off of and share experiences with. Bob's friend Joe Hunt had moved to the agency side of the business at that time, and he was starting a friendship with an agent named Lou Moran III. Bob had also developed a relationship of "friendly competition" with an agent in his own town, Jeff Morelock. The camaraderie he began to develop with these other agents led to his interest in being involved in the Association. He had served as a local Board president in the early 90s, and was appointed to the Insurors Education Committee in 2001. In 2009, he joined the Board as a Director of Region III.

Bob and other Insurors members at the Tennessee Legislative Plaza

In 2017, he was asked to rejoin the Board and take a role on the Executive Committee with the end goal of being President of the Association. Bob admits he was a little taken back by the request, "I never expected it and I never thought I'd be here. I saw a lot of agents that I felt deserved to take that role, I was just surprised that people thought I should be one of them. When I look at the men and women who have gone before me I’m incredibly humbled to be included with that group." But now he is one of them, and other than following his friend Joe, one of the main reasons he accepted it was a question that he often asks himself about Insurors, “We're here to help agents be as good as they want to be – so how do we help get them there?”

Independent Agents - A Rising Tide... With that question in mind, Bob has plenty of goals for the Association in 2020. He feels that we are positioned well to help agents with both current and new programs and products. The new Independent Market Solutions (IMS) platform, IntellAgents and DAIS (small commercial quoting portal) are all programs he feels can help members grow and improve in the years to come. "With 50% of our membership at 4 employees or less, IMS can be a game changer for a lot of agents." Bob also feels that we have to continue to be a strong resource for industry education. He underscores that, "Whether it is traditional classroom courses, online options or adding new learning avenues – this is a key for the Association's growth and the growth of our members. Part of that education is that 5

we need to get our products and programs in front of members and educate them on how we can help their agency, this is coming with a new education portal on the website." Bob feels that the Young Agents program and the Women in Insurance (WINS) events are good ways to do this, but that we need to do more. "We have to be in front of our members as often as possible providing as much value as we can," he explains. "We need to create new ways for members to be involved in their Association."

With that in mind, Insurors will be setting the calendar for all its local and state events over the next few weeks and releasing that information to members as soon as possible. If there is something your agency needs that we're not providing, Bob wants you to let us know, "We need to find what our members need and how they want it delivered, not just what we want to give them."

Thinking Ahead As you can tell, Bob has been working hard both on his own business and that of the Association. That all takes time, and there's only so much of it in the day. That's why he took on a partner at the agency, Todd Walker, who has helped him plan for now and later. "Todd had an agency background with State Farm and joined us when an opportunity arose almost 18 years ago. Now he's an extremely important part of what we do."

The entire McIntire family gets together for a photo

In addition to all his work in the industry, Bob still finds time to volunteer in his community, serving as Chairman of the Economic Development Council, Industrial Development Board member, Chamber of Commerce Board of Directors and the Board of Life Bridges as well as multiple committees at his church First Baptist of Cleveland. He also saves plenty of time for his 3 grandchildren, Haley – a student at Lee University – and the little ones, Elliott and Kaylee. Nowadays Bob spends a lot of time at their home on the family property that was first built on in the late 60s. He's usually there enjoying time with his family or just relaxing. Watching deer roam the woods around the home and being in the quiet of nature gives you a lot of time to think. And although you could probably catch him sitting on the patio and quietly thinking about questions on life and the future, it's a safe bet that one of those questions isn't, "What about Bob?" u 6

In Tennessee, it’s AmTrust for Workers’ Comp… and much more. FSC “XV,” Stable Outlook

Get to Know AmTrust.

Visit www.amtrustfinancial.com/tnq1 or call 844.608.1613

AmTrust is AmTrust Financial Services, Inc., located at 59 Maiden Lane, New York, NY 10038. Coverages are provided by its property and casualty insurance company affiliates. Consult the applicable policy for specific terms, conditions, limits and exclusions to coverage.

The Tennessee Insuror

Helping you take care of clients isn’t just business. It’s personal. With access to more than 200 markets, our collaborative teams know how to provide the right solutions with a personal touch. Located in nine states, licensed in all 50, and independently family-owned, we can connect you with insurance specifically tailored to your clients’ needs. Our commitment to your success is the reason for ours. Get to know the people of Arlington/Roe. We’ve been doing the right thing since 1964.

Let us help you find the right solutions. Managing General Agents | Wholesale Insurance Brokers

800.878.9891 | ArlingtonRoe.com

126th Annual Convention Recap Chattanooga Plays Host to a Great Event

Our Insurors 126th Annual Convention was held on October 19-22, and we returned to Chattanooga as the host city for the first time in 25 years. We received a great response, as over 160 agents and 430 total attendees were on hand. We have received some great feedback on the event, and here are some of the highlights:

Monday morning we got back to business with our trade show and then followed it up with our agents general sesision led by DuDell. You can check out his presentation at https://bit.ly/2Pxxjfa

Our Football Viewing party presented by INSBANK kicked things off on Saturday night with over 50 guests enjoying the games and a warm welcome. Sunday morning saw our official opening with the trade show and our breakout sessions led by George Robertson and The Insurance Guys â&#x20AC;&#x201C; Bradley Flowers and Scott Howell.

Richard Whitley catches up with endorsed vendor Imperial PFS

Insurors attendees gather for the Sunday night opening celebration

Sunday night we launched our opening night celebration at The Tennessee Aquarium. Guests were treated to music from the Spinster trio, live exhibits throughout the facility and a meet-and-greet with Shark Tank author Michael Parrish DuDell. The Young Agents after party presented by Berkley Southeast was one of our largest ever.

That afternoon, our attendees selected from activities including our golf tournament presented by Travelers, our clay shoot presented by Markel and our Yacht & Boat seminar presented by Martin & Zerfoss + Chubb. The victorious golf team featured Bobby Sain and Shelby Sain of Bolivar Insurance & Real Estate, Scott Watson of Berkley Southeast and Larry Creekmore of PayPro HCS. Our clay shoot individual high score was held by Brandon Patterson of Ownby Insurance Service, and the winning team was Norfleet Anthony III of S.N. Anthony, Sam Bradshaw of Bradshaw & Co. Insurors, Matt Swallows of Swallows Insurance and Insurors own Brooke Powers.

A full house listens to the Yacht & Boat seminar

Monday evening brought everyone back together after dinner for our new all-attendee reception, a great time to network and form new relationships. The trade show hall begins to fill up on Sunday

continued on page 12... The Tennessee Insuror

We know what it took to build this business.

And we know what it takes to protect it. Underwriters who know and understand what coverages are necessary to protect the business. Loss prevention professionals who use a hands-on approach to help develop programs tailored to the individual business. Claim reps with the expertise and technology to process claims quickly and efficiently. As an Official Supplier of the Silver LiningÂŽ, you and West Bend will find the right insurance plan for your valued customers. To find out more, talk to your West Bend underwriter.

The Tennessee Insuror

Where Has All the Discretionary Income Gone? written by D. Evans; sponsored by our partners at

Those who experienced the inflation and high interest rates of the late 70s and 80s – and the intervening ups and downs of the economy ever since – have become accustomed to volatile business cycles. But while the unemployment rate has decreased since the 2008-2009 recession, the labor participation rate – the percentage of people who are either employed or actively looking for work – is historically poor (hovering around 63%), especially for a non-recessionary period. The labor participation rate does not include the number of people who are no longer actively searching for work. During an economic recession, many workers become discouraged and stop seeking employment. As a result, the labor participation rate decreases. But while the participation rate does not include those who have no interest in working, the unemployment rate does. Thus, the participation rate helps provides context for the unemployment rate.

percent

U.S. Labor Force Participation Rate (VIA INFLATIONDATA.COM)

year

Where is the Consumer's Dollar Being Spent? Beyond the significant number of Americans who feel discouraged about their work prospects, the decline of “discretionary income” is another factor many independent agents witness firsthand. Discretionary income refers to disposable personal income, minus taxes and all funds necessary to pay current bills and other essentials like food, clothing, medical expenses, transportation and shelter. In other words, discretionary income = gross income – taxes – all compelled payments.

hefty increases. In states like New York, Pennsylvania and Georgia, carriers have sought rate increases of 20% or more. In states like Florida and Maryland, rate increases have exceeded 10%. In Indiana, Anthem recently sought a 28% increase, and in Oregon, Providence Health Plan sought a 30% increase. In Georgia, Humana asked for a 65% rate increase. Consider an example: An employee makes $50,000 annually and has family health insurance that costs $20,000 annually. The employee contribution is $8,000 annually. If they receive a 3% raise – amounting to $1,500 – and their share of medical insurance increases 15% – amounting to $1,200 –they have a net raise of $300. With inflation hovering close to 2%, that means their discretionary income actually decreases, even after receiving a 3% raise. Plus, many employers are cost-shifting by raising deductibles and copays. A recent Federal Reserve survey of American households found that almost half of adults say they can’t cover an emergency expense costing $400, or would resort to selling something or borrowing money to cover it. Insurance agents know when it comes to all types of insurance, it is generally costeffective to raise deductibles to lower premium costs, as carriers like to reduce the cost of frequency. But to make that possible, consumers need enough savings to absorb the deductible. Agents are on the front lines witnessing firsthand how difficult it is for many consumers to raise their standard of living. Independent agents are uniquely positioned to help their customers make the best choices for their particular financial situation. And it begins with a conversation – not a comparative rater. About the Author

Dave Evans is a certified financial planner and a frequent IIABA contributor. u

Recent concerns have centered on the shrinking middle class and the inability of many working Americans to experience meaningful wage growth as measured by discretionary income. For many people, the major culprit has been the cost of medical insurance – and based on insurance rate carrier filings, it appears that upcoming years will bring 10

The Tennessee Insuror

DREAMS not dollars. PEOPLE not line items.

FRIENDSHIPS not relationships.

THAT’S

WHAT WE’RE AIMING FOR.

Because we’re a different kind of local bank. One that’s been proudly helping Tennessee businesses –people we consider friends – for more than 16 years.

5614 Franklin Pike Circle, Brentwood, TN 37027 I 2106 Crestmoor Road, Nashville, TN 37215 615.515.2265 I 866.866.2265 I www.insbanktn.com I Open Mon. - Fri., from 8:30 AM – 4 PM. The Tennessee Insuror

126th Annual Convention...

...continued from page 8

Tuesday morning was an important one for us, as we inducted our 2020 Board of Directors, led by incoming President Bob McIntire of McIntire & Associates Insurance & Real Estate. We also recognized those completing service on our Board, including Immediate Past President Chris Allison of The Allison Insurance Group, Tommy Allmon of White & Associates, Chip Hoover of J. Smith Lanier - a Marsh & McLennan Agency, Christy Jones of Martin & Zerfoss and Tim Witt of ETW Insurance.

We hope to see you all next year for the 127th Annual Convention, taking place October 10-13 at the new JW Marriott in downtown Nashville. u

The Young Agents After Party gets underway

Commissioner Hodgen Mainda greats Insurors leadership

In addition, the members on hand passed our new and updated bylaws. You can review those finalized changes at https://www.insurors.org/pdf/bylawsapproved19.pdf Last, but definitely not least, we presented our 2019 awards. The National Alliance award for Outstanding Tennessee CSR of the Year was presented to Connie Eadie of Brown & Brown of Tennessee. Presidential Citations were announced for the "Voice of the Titans" Mike Keith as well as Keith Moore of Central Insurance.

The Hale family meets with exhibitors

"Ringing the bell" draws a crowd at the After Party

Insuror of the Year Kevin Hale addresses the crowd

The Jim Alexander Service Award was presented to Cy Young of Young-Hughes Insurance, the Arch Northington Young Agent of the Year Award was presented to Brooks McDonald of McDonald Insurance and Financial Services, and the Charles Bidek Political Action award went to Ownby Insurance Service. Finally, our most prestigious award â&#x20AC;&#x201C; the 2019 Insuror of the Year â&#x20AC;&#x201C; was presented to Kevin Hale of Hale Insurance. 12

Some of the Insurors Past Presidents catch up

The Tennessee Insuror

[ EXPERIENCE. ] The Summit Advantage.®

www.summitholdings.com 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;

Daniel Talks Agency Marketing: Reviews, Referrals and Growth Help Your Best Clients Showcase Your Value to Others Why should agencies market themselves? How should they market themselves? In this series I will look into agency marketing techniques and strategies and how you can implement them at your agency. In this series we've talked a lot about identifying, reaching and selling to your target market. Finding new clients is great, and it certainly is the backbone of organic growth. But as many "mantras" out there explain, retention and referrals can really be the bread & butter for many independent agents. I've talked to hundreds of independent agents, and when it comes to marketing and advertising, many of them tell me the same thing, "I don't need to do that, I have a great referral network and our rentention rate is in the high 90s." That's a great testiment to your work and service as an agent – but why not harness that power even more? You've got customers that would never leave you? Excellent! You have clients that want to yell your name from the mountaintops? Even better! Give them ways to endorse your service. Share their love for you and your agency with the world. How do you do it? Here are some pretty easy ways to get started.

Reviews Get You Views Have you ever checked out reviews or ratings for a movie, restaurant, car, service, etc.? The culture of our world today is to trust the aggregate ratings of strangers to determine validity or value. Is it silly? Maybe, but it doesn't appear to be going away. Whether you like it or not – I suggest you take control of it where your agency is concerned. Here are the things you should be doing to monitor the most common sources of reviews:

written by Daniel Smith, CAE

when you search? You need to be! Google gives you a full outline of how to claim or add your business at https://support. google.com/business/answer/2911778 Take control of your Facebook reviews. In your search results, and just under the Google reviews of your business, you likely saw a section that read, "Reviews from the web." This will most likely include your Facebook review score and the "number of votes" you've received. This is probably the second most common place people go for business reviews. Do you control your page on Facebook? If your answer is "no," or even if your answer is, "we don't have one," think again. Facebook likely created one for your business anyway. Make sure you search your business and claim any page(s) that you do not operate. If there are duplicates or other listings, report them to Facebook. Encourage customer reviews. Obviously if people are "fans" of your agency you want them to leave a review – but are you asking them to do so? If you know they're happy with their service, ask them to do you a favor and share their experience in a review. Then, make it as easy as possible for them to complete a review. Share links directly to your Facebook, Google and/or any other listings you prefer to promote. And finally, if they follow through, thank them for their review. Respond to negative reviews. Maybe you're already on top of it when people leave you a negative review online, but this is a key part of the process. Hopefully you don't get any negative or low reviews, but if you do, respond and note their concern. Offer to help them or revisit the issue. And keep in mind

Add or claim your Google Business Listing. I still see a lot of our members that haven't done this. Around 90% of the world's population uses Google for online searches.1 If you search your agency on Google right now, what comes up? You'll likely find your website and other reources, as well as sidebar that contains your contact info as well as your Google reviews. Don't like the review score? Claiming your business will allow you to respond – preferrably in a professional manner – to any negative reviews. Do like the score? Claim the business and tie-in the power of Google's search tools with your website and any other online marketing. Not listed at all 14

The Tennessee Insuror

Acuity loves you!

We are proud of the relationships we have built with the best independent agents in the world!

www.acuity.com

The Tennessee Insuror

that although you're responding directly to them, others are reading this response and judging your reaction. Try to avoid being confrontational in writing, even if the review is unwarranted or fake.

Referrals Don't Always Come Easy We've talked a little about referrals in other issues, but let's focus on how you can market a referral to a wider audience. Many of our agents use referrals as a major source of new business, but are you recognizing those that refer you? I'm not talking about a $25 gift card either. Share the love. Why not feature them on social as a "star client" or even give them a more personalized gift (within the limits of the law of course). Know that they're a coffee lover? Bring them some of their favorite coffee beans. Fan of the outdoors? Get them a scrape maker or other tool for their next hunt. Then snap a photo of you presenting it to them and highlight them and/or their business on your social accounts.

More than an account. A relationship.

Worried about sharing who your clients are on social? If you keep building the relationship and providing them with the right service, they're not going to leave you. Trust me, in this market they're already getting called on by other agents anyway. Make them the "hero" of the story and they'll appreciate you even more. Then when others see the level of investment you have in your clients' success, they'll want to be with you too. Ask for specific referrals. As I mentioned in the LinkedIn article of this series, you can also approach your clients about specific referrals. Find connections of your top clients that are in your target market and ask them to refer you. If you're providing the value you think you are, this usually will lead to a successful interaction.

Out There Selling

More than a policy. A promise. At FCCI, we’ve been working with select independent agents to insure businesses for more than 60 years. Your clients are more than an account to us. We’ll work with you so they can face the future with confidence.

Do these things take additional time and effort? Of course they do, and sometimes I hear from agents that they'd rather, "just be out there selling." I have news for you though, in today's world – this is being "out there selling." Utilize your great relationships, enhance your other relationships and form new relationships. I think that's a good recipe for growth. 1 - per "Worldwide desktop market share of leading search engines from January 2010 to July 2019" via https://www.statista.com/statistics/216573/ worldwide-market-share-of-search-engines/

About the Author Daniel Smith serves as the Chief Marketing Officer for Insurors of Tennessee. He has a Bachelors degree in Marketing with a minor in Graphic Design from the University of Tennessee at Chattanooga, and earned his Certified Association Executive (CAE) designation in 2017. He may be contacted at dsmith@insurors.org. u 16

www.fcci-group.com

800-226-3224

PROPERTY I CASUALTY I SURETY I RISK MANAGEMENT I SECTOR EXPERTISE

The Tennessee Insuror

y p p a H ! s y a d Holi

from:

(615) 375-7419 www.knkcompliance.com

Bailey Special RiSkS, inc.

We specialize so you don’t have to.

SERVING INDEPENDENT AGENTS & THEIR CLIENTS SINCE 1989

"32

1.800.768.7475 • www.bsrins.com • questions@bsrins.com

Professional Liability • Management Liability • Data Privacy & Security Liability The Tennessee Insuror

Future Leaders Spotlight

presented by

Forbes Harris â&#x20AC;˘ Harris Madden Powell (HMP) Insurance - Memphis Forbes Harris grew up in Memphis and attended St. Georgeâ&#x20AC;&#x2122;s Independent School. After graduation, he attended the University of Arkansas where he also played football. After college, he moved to Birmingham and started his professional career working for Regions Financial in the Private Wealth Credit division. He continued Forbes Harris of his career in the banking HMP Insurance industry with a move back to Memphis with First Tennessee in the Correspondent Banking division, but transitioned to the insurance industry in 2017. His interests include golf, outdoor activities, and spending time with his family who all still mostly live in the area. In his "spare" time, he serves on the Alumni Board for his high school, the Emerging Leaders Board for the Association of Builders and Contractors, and he is in the early stages of involvement with his local chapter of the Make-A-Wish Foundation.

The Insuror: Can you tell us a little about your current job title and responsibilities? Forbes: I am a producer at our agency. I serve HMP, its clients, and prospective clients the best way I can. We work with individuals and businesses to meet the needs of their risk management program. This ranges from the traditional P&C insurance requirements, contract review, benefit offerings, bonding, etc. We primarily service the south eastern portion of the U.S., but certainly have national and international reach. On a day-to-day basis, I am looking to broaden new relationships while strengthening our current ones. I am involved with finding multiple offerings for an individual account searching for the most comprehensive option that best meets our clientâ&#x20AC;&#x2122;s needs. Additionally, our approach is very hands on, so we meet/discuss items through the year to ensure our clients' needs are met, maintained and surpassed each year. However, I could not do what I do without my team at HMP. They do an incredible job in helping facilitate my own personal and professional growth.

The Insuror: What can you tell us about your educational background? Forbes: I graduated from the University of Arkansas with an undergraduate degree in Finance and a minor in Management. I recently completed my MBA at Christian Brothers University. 18

The Insuror: How and why did you get your career in the insurance industry started? Forbes: I never imagined I would be involved in insurance even after being around it my entire life. My father also works in insurance so I picked up on terminology and claims scenarios early on, but I always seemed to shrug it off as I had other things in mind. Eventually, I recognized an opportunity to move to insurance from banking and I have not looked back. I've discovered that my role in insurance is never the same on a day-to-day basis. It allows me to serve various types of risk in different capacities. This quickly became very attractive to me as I have many different interests and love problem solving.

The Insuror: Do you have any influences/role models in the industry? Forbes: The first role model to come to mind is my father. He has been involved in the industry for as long as I can remember and even some years beyond that. While working, he completed law school by taking night classes. I know that has provided him with a skill set that not many other agents can touch. He has the ability to read and navigate contracts and policies unlike anyone I have seen. While he is extremely intelligent, he has a way of simplifying and relating even the most complex of items to his clients, others in the office, and individuals like myself so that the information will stick and adds value. However, your question was plural so I am going to give you more than one. I have many influences around our office. I can honestly say, that everyone here, many of whom have worked in the industry much longer than I, is willing to extend a helping hand regardless if they work directly on my team or not. To me, having a team composed of individuals with that type of mindset is invaluable.

The Insuror: Is there any advice you could offer Young Agents or others in the industry to achieve success in their careers? Forbes: I still have a lot to learn and I get something new every day. If I could offer one piece of advice to young agents, it is to ask questions and to listen. Every scenario is different, but the more questions you ask, the more details you receive. I have found that having more info to draw from works much more to your benefit than detriment. Furthermore, asking questions displays your engagement and investment into scenarios, prospecting, marketing, mitigating claims, and will likely lead you to the true root of their problem.

The Insuror: As an independent agent, you have The Tennessee Insuror

Are you making the Right Choice for their Business?

many partners in this industry, including carriers, MGAs and many more. How do you determine which ones are the right relationships? Forbes: I find some of the most value with and by our partners in the industry by picking up the phone. At the end of the day, we all have the same goal. We want to attract, maintain, and serve our mutual clients the best we can. I find by discussing each account, their goals, and their needs with our partners is the best way figure out the right relationship. Each account we discuss is more than information listed on a submission, so I find its mandatory to discuss these items with them.

The Insuror: Thank you for giving us your time, Forbes, we appreciate it and wish you continued success. Forbes: Thank you! I am honored to be included. u

Young Agents '19 Upcoming Events and Information

BSIG Makes It Easy With Choice Classes For Middle Market Risks

Middle Market Choice Classes* Below is just a broad listing. If you don’t see what you’re looking for, please contact us.

• General Contractors • Building Trade Contractors • Utility Contractors • Land Improvement Contractors • Pavement Maintenance-Non DOT

* All classes may not be available in all states.

Our Claim Commitment

Our Young Agents Committee strives to offer young insurance professionals with opportunities to network and develop.

• 24/7/365 loss reporting-including online •

Young Agents Committee Cy Young - Chair President Young-Hughes Insurance Alamo cy@younghughesinsurance.com

• Accelerated auto and property estimating and repair options • • “Fast Track” medical only claims handling program • • Tele-emergent medicine program-connects injured workers to medical care, not “triage” •

Want to know more?

David Allen, CIC, CRM - Immediate Past Chair Principal Agent RSS Insurance Chattanooga dallen@rssins.com Matt Felgendreher - Region II Executive Vice President W.C. Dillon Company & Insight Risk Management Nashville mfelgendreher@irmllc.com Derek Wright - Region III Agent/Principal Graham & Cook Insurance Knoxville derek@grahamandcook.com For more info, or for any questions on the Young Agents Committee and its programs, please contact Daniel Smith at dsmith@insurors.org or call 615.515.2601. u The Tennessee Insuror

• Services Contractors • Building Cleaning & Maintenance Contractors • Construction Material Suppliers • Manufacturing • Wholesale and Distributing

Bill Vanderslice, Regional Vice-President 615-932-5508 | bvanderslice@berkleysig.com or your Middle Market Underwriter

Your Back-in-Business Insurance Company®

berkleysig.com

Berkley Southeast Insurance Group is a member company of W. R. Berkley Corporation, whose insurance company subsidiaries are rated A+ (Superior) by A.M.Best. Products and services are provided by one or more insurance company subsidiaries of W. R. Berkley Corporation. Not all products and services are available in every jurisdiction, and the precise coverage afforded by any insurer is subject to the actual terms and conditions of the policies as issued. A M

BEST

0719-38

You have goals. NationwideÂŽ has independent solutions to help you meet them.

For more information, contact Amy Rose, Sales Leader at (765) 228-1340.

Nationwide, Nationwide is On Your Side, and the Nationwide N and Eagle are service marks of Nationwide Mutual Insurance Company. ÂŠ 2015 Nationwide NPO-0627AO (08/15) 20

The Tennessee Insuror

From Your President On the Move Our Association is on the move. I have had the privilege and honor to be on and off our Board of Directors (mostly on) since 2004. Over this time, I have seen many projects and improvements and today we have more moving parts than we have had for the past 15 years. At our recent 126th Annual Convention in Chattanooga, I shared my perspective as President over the past year during our Annual Business Meeting. During this meeting we recognized our Board members rolling off the Board and gave them all a BIG “Thank You” for their time and talent they have shared over the past years. We welcomed new board members and look forward to their input as we transition into 2020. At this meeting we made a few changes to our bylaws, updating and clarifying language as well as: • • • • •

Clarifying that Association rights and responsibilities are those of regular members. Adding an at-large director to the Board of Directors. Combining the Secretary/Treasurer role. Requiring that all Nominating Committee members be employed by a regular member in good standing. Establishing a Leadership Committee to research and submit a list of candidates and information on those candidates to the Nominating Committee (The Leadership Committee will be comprised of the three Vice Presidents, the Young Agent Director, and three at-large regular members chosen by the President).

Those New Moving Parts Some of the NEW moving parts I am referencing include our Legislative Town Halls, Women in Insurance (WINS program), Government Relations Committee and Independent Market Solutions (IMS). The Town Hall objectives include moving the discussion of politics throughout the entire state. We had 5 Town Halls this year and plan to continue them going forward. Putting agents The Tennessee Insuror

together with their elected officials in the local communities should pay dividends for all of us going forward. Our lobbyists, Ashley Gold and Jim Layman, have done an excellent job establishing relationships with these officials and regulators. Now they need us to support and grow those relationships in our communities. WINS began in late 2018 and has held 5 meeting this year throughout the state. The average meeting attendance was over 40, and we have reached female members whom previously had not been actively involved in the Association. The speakers and programs are wonderful, and I would encourage you attend – or suggest your staff attend – a meeting in your area next year. The Government Relations Committee was formed with a wide variety and diverse background of our members. Agencies, brokers and Insurance Companies have representation on the committee. The committee works with Jim Layman and is critical in moving the politics across the state. With their help, we have set a new highmark for InsurPACTN fundraising. In partnership with several of our counterpart state Associations, Independent Market Solutions (IMS) is a program to bring standard and specialty markets to agencies to assist in growing their business. This program is slated for complete rollout in early 2020. This will be a tool for our newest staff addition, Nick Weber, to use as he prospects for new members and visits current members across the state.

". . . I h a v e seen many projects and improvements and today we have more moving parts than we have had for the past 15 years.”

Looking Back on 2019 What a fast and packed year 2019 has been. I am truly humbled by the experience, and I am appreciative and thankful to have been able to work with our new CEO, Ashley Gold this year. She is an amazing, hardworking and talented leader. Our Association is moving forward with these “Moving Parts” and I look forward to Bob McIntire’s time at the helm in 2020. In closing, I wish everyone a Happy Holiday season and again thank you to our Board of Directors for all your time and energy in 2019. WDE. u

Joe Hunt 21

Insuring the life you live and the home you live in for over 60 years. National Security has provided competitive, affordable insurance to policyholders for over 60 years. We also provide our agents with competitive commissions, excellent customer service and experienced company adjusters. As a Southeastern based regional company, National Security prides itself on fast, efficient service from a friendly small town company. Our agent website provides fast quotes, online policy issuance, and real-time policy information. Find out more about our products by calling 1-800-239-2358 or visiting nationalsecuritygroup.com.

Elba, Alabama

Dwelling Fire • Limited Homeowners • Comprehensive Mobile Homeowners • Vacant Property • Life & Health

The Markel difference Service | Strength | Specialists

Markel Specialty | markelinsurance.com markelcorp.com Markel Specialty is a business division of Markel Service Incorporated and has over 70 years of experience in niche markets, with a product focus on commercial and personal lines insurance. Policies are written by one or more Markel insurance companies. Terms and conditions for rate and coverage may vary.

The Tennessee Insuror

From Your Young Agents Director YAC: Where We Are & Where We're Headed What a year 2019 has been for our Young Agents program! We started the year with our Young Agent Committee annual planning meeting in Nashville followed by a reception with the Insurors Board of Directors and State Legislators. During this meeting we discussed ideas to get more participation in our Young Agent Program and what we could do from a philanthropic standpoint. We also had the opportunity to meet with our elected officials and show them the involvement of young professionals in this industry. At our 2020 Agency Growth Conference in March, we hosted our largest Young Agent reception in that event's history with over 60 people attending. After his keynote speech earlier that day, former MLB pitcher Todd Stottlemyre met with our group to sign books and talk plenty of Cardinals baseball.

A Different Role In April, I was asked to fill the remaining term of Alan Sisk who left to accept a new position in San Antonio, Texas. Alan was a great asset to our committee, and we wish him all the best. It was a honor to be offered this opportunity, even if it was 8 months earlier than I expected! Just after I began my new role, we also kicked off our young agent receptions throughout the state and participated in the Kids’ Chance of Tennessee golf tournament. If you are not familiar with Kids’ Chance, they financially help young people in our state pursue higher education who have had a parent catastrophically injured or killed in a work-related accident. I think this is a great way for our industry to give back, and we look forward to continuing this relationship in 2020 and beyond. In May, I was able to attend the Big "I" Legislative Conference in Washington D.C. While there, Jim, Ashley and several of our other Insurors members were able to meet with our legislators about Federal issues concerning the independent agent. The work done on both the national and state level is a huge benefit to evThe Tennessee Insuror

ery member. If you haven’t donated to both the state and national PAC, I would encourage you to do so. Every little bit helps! In September, Daniel, Derek Wright and myself attended the Young Agents meetings at the Big "I" Fall Leadership Conference in Savannah, Georgia. We were able to talk with Young Agent leaders from across the country to bring fresh ideas for the committee to work on. It's a great opportunity to get some perspective on where we are versus where our other states are in developing their programs. Also, we were able to see our own Lou Moran III be elected and sworn-in to the Executive Council of the National Big "I" – a great accomplishment for both he and our state. In October we ended with our Young Agent session and after party at the 126th Annual Convention in Chattanooga. This was our second largest registration for young agents at any convention – with over 65 on hand. The Young Agents had a breakout session with the hosts of The Insurance Guys Podcast (Scott Howell and Bradley Flowers) and a Q&A that was so involved it went 45 minutes over the time slot. They also attended the after party and a good time was had by all – as you probably saw on social media - all while raising over $500 for InsurPACTN. Ring the Bell!

“This was our second largest re gis tration for young agents at any convention...”

Your Chance to Be Involved Lastly, I would like to invite everyone to get involved with our Young Agents program. There has been tremendous growth over the past several years and we would like to continue that momentum into 2020. Please reach out to me or anyone on the committee with any questions or ideas that you would like to see happen. If you are a principal with Young Agents in your office, please encourage them to get involved. We are the future of our industry and by working together we can make the independent agent channel even stronger. Looking forward to a great 2020! u

Cy Young 23

Olympia Insurance

The Tennessee Insuror

From Your CEO The Association and The Future As I prepared to move into my new role as CEO of the Association, I was often asked “Who are you going to hire to replace you?” What I quickly understood, was that I needed team members who had different talents from me so that together we create a stronger Association for our members. However, before I could begin looking for complementary team members, I needed to know where the Board wanted to take the Association and what do our members need and want. To begin this process, in January I took the Insurors team on an office retreat. We spent the day getting to know one another, but more importantly, we spent time identifying who we are and why we do what we do at Insurors. Our “Why” is our Purpose, and why we come to work every day. We are here to make the lives of Independent Insurance agents in Tennessee better. We then surveyed you – the member – to find out what you thought about the things we do and programs we provide. After that survey, I brought the Board together for a two-day strategic planning session. At the end of those two days, what we all agreed upon was the "How" – our new Value Statement: We educate, protect and support Independent Agents. Then we went to work on the "What." What do we do to educate, protect and support you? Through this process of surveying and planning, we now have a 3-5 year Strategic Plan for the Association. Our agencies have unique challenges. 51% of our membership has under 5 employees, while only 12% of our members have over 20 employees. These various segments of our membership have very diverse needs – from market access to education to technology. What we do know is that member engagement and growth is critical to the success of the Association. Our Strategic Plan has 4 main goals: • •

Member Engagement Program Improvement

The Tennessee Insuror

• •

Marketing/Branding Advocacy

Member Engagement We are planning ways to connect with more of our members across the state. We will still strive to provide quality programming at events, but we see a need for more attention on the personal lines side for those agencies whose PL makes up a majority of their business. With that in mind, we are investigating developing a new personal lines "Summit" for members. We want to continue to identify and meet the needs of the next generation of agents, including expanding and hosting more young agent events next year, as well as more Women’s events across the state. We added in new Legislative Town Hall events to keep members up to date on what is going on at Capitol Hill. Finally, we have hired a new team Member, Nick Weber, who will be our Member Engagement Specialist. He will be identifying prospective members and reaching out to current members in order to encourage member engagement and continue to look for ways that we can serve you better.

Program Improvement

“. . . w e spent time identif ying who we are and why we do what we do at Insurors.”

We will be implementing two new programs next year, Independent Market Solutions (IMS), and IntellAgents™. IMS is a market access program designed specifically to support independent agents. Through IMS, all members will have access to regular and specialty markets with: • • • •

No joining costs or monthly fees Low volume commitments, standard commissions plus profit sharing Agents owning 100% of the expirations A Direct working relationship with carriers to help you build your own relationships

The second new program we will be rolling

Ashley Gold, J.D. 25

out is IntellAgents – a new industry-specific, analytics driven benchmarking program designed to provide you with actionable insights to make more informed business decisions. Benchmarking will allow you to compare to other, similar agencies in your city, county, region or the state. The principal of each member agency should have already received a compensation survey for members to complete as a part of this new program. The information collected is confidential and will not be shared with anyone else, and everyone who completes the survey will receive a free copy of the Compensation report once it has been compiled. If you would like us to re-send access, please email me and I will make sure you get it.

Marketing This summer we also added Abby Wheeler to our team, and she has been working hard to make our website more user friendly and visually pleasing. For those who follow us on social media, our presence there has exploded through her dedication. Follow us on social media for the best and most timely information. Additionally, Daniel and Abby are working on how to better market and brand independent agents to consumers to drive better leads, and we will eventually work on marketing solutions for member agencies.

Advocacy Advocacy has always been one of the main focuses of Insurors. Although this is not a new program we will continue to focus on advocacy. Jim Layman, our Director of Government Relations has been working tirelessly on: • • • •

PAC fundraising Meeting with public officials Meeting with legislative members Representing the interests of independent agents

For PAC fundraising, we implemented a new recognition system. As you saw in the last issue, we will continue to recognize those members or agencies who gave at the Champion’s Club level of $1,000 or higher, the Capitol Club of $500 - $999, and the Campaign Club, under $500. Every dollar we receive for PAC is valuable to further our efforts on the Hill. So, thank you! We are preparing for the next legislative session that is fast approaching and will include a new Speaker of the House, Cameron Sexton, a new Insurance Commissioner, Hodgen Mainda and new members of the insurance committees. We are excited to support independent agents and are looking forward to a successful 2020. Thank you all for your time and please do not hesitate to reach out to me if you ever have any questions or concerns. u

In our business, our agents drive our success and help us stay at the top of our “game”. While all of our agents are important to us, the following agents have performed at a level to be considered a Top Quality Agent in Tennessee and Kentucky!

Jamie Noe

Brad Morrow

Insurance Group of America

Logan Lavelle Hunt

Lisa Bentley

Phillip Johnston

Nelson Insurance Group

Athens Insurance

Michael Martin

Morgan Trevathan & Gunn

Cory Cox

Bluegrass Insurance

David Bowles SouthPoint Risk Advisors

Adam Maxwell

Powell & Meadows

© 2019 Selective Ins. Group, Inc., Branchville, NJ. Products vary by jurisdiction, terms, and conditions and are provided by Selective Ins. Co. of America and its insurer affiliates. Details at selective.com/about/affiliated-insurers.aspx. INST-19-040

The Tennessee Insuror

EDUCATION SCHEDULE

Education Calendar

NASHVILLE

2020

FE B . 5 - 7 - CIC: Com m e rcia l Ca s ua lty FE B . 1 1 - CISR: Pe rs ona l Res identia l M AY 6 - 7 - CIC: Ruble M AY 1 2 - C ISR: Com m e rcia l P roperty SE P. 1 6 - 1 8 - CIC: Age ncy M a na gem e nt NOV. 1 1 - 1 3 - CIC: Com pa ny Operations D EC. 1 - CISR: Pers ona l L ine s

KNOXVILLE APR I L . 1 - C ISR: Pers ona l Auto AUG . 5 - 7 - CIC: Com m ercia l Ca s ua lty SE P. 3 0 - CISR: Com m e rcia l Ca s ua lty II

C H AT TA N O O G A A PR I L 2 - CISR: Pers ona l Auto O C T. 1 - CISR: Com m ercia l Ca s ua lty II

MEMPHIS FE B . 1 2 - CISR: Pe rs ona l Res identia l M A RCH 4 - 6 - CIC: Com m e rcia l P roperty M AY 1 3 - C ISR: Com m e rcia l P roperty D EC. 2 - CISR: Pers ona l L ine s

JOHNSON CITY

M A RCH 3 1 - CISR: Pers ona l Auto SE P. 2 9 - CISR: Com m e rcia l Ca s ua lty II

AB EN: Webcasts fo c using o n different lines o f business ins uro rs. aben.tv

C OM ING SOON: Insurors & New L evel Partners a nnounce learning so lutio ns fo r New E m ployee Educatio n, inc luding bundles o n: I nsuranc e Basic s, Persona l L ines & C o mmerc ial L ines

CISR 12/3 12/4 2/11 2/12 3/31 4/1 4/2 5/12 5/13 9/29 9/30 10/1 12/1 12/2

The Insurors of Tennessee offers education opportunities to member agents across a wide range of insurance specialties 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. Registration is fast and easy at www.insurors.org. More information about each class can also be found online.

Fee: $186

Commercial Casualty I Commercial Casualty I Personal Residential Property Personal Residential Property Personal Auto Exposures Personal Auto Exposures Personal Auto Exposures Commercial Property Commercial Property Commercial Casualty II Commercial Casualty II Commercial Casualty II Personal Lines Miscellaneous Personal Lines Miscellaneous

CIC

Fee: $430

2/5-7 Commercial Casualty Institute 3/4-6 Commercial Property Institute 5/6-7 Ruble Graduate Seminar 8/5-7 Commercial Casualty Institute 9/16-18 Agency Management Institute 11/11-13 Insurance Company Ops Institute

CE: 7

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

CE: 16

Nashville Memphis 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) 1/6 1/6 1/6

Premium Auditing: Agents Must Know CE: 2 $52 The Basics of COPE CE: 3 $79 The Law of Insurance Contracts CE: 3 $79

1/6 1/12 1/12 1/13 1/13 1/13 1/13 1/19 1/19 1/19 1/19

Torts, Negligence & Liability CE: 3 $79 Double Trouble - COI and Biz Auto CE: 2 $48 Are You More Ethical Than Politician? CE: 1 $24 NFIP Then and Now CE: 3 $72 E&O: Comm. Prop. Coverage Gaps CE: 3 $72 E&O: Roadmap to Policy Analysis I CE: 3 $72 Commercial Prop. Endorsements CE: 2 $48 E&O: Meet the Challenge of Change CE: 2 $48 Business Auto Claims Problems CE: 2 $48 Ethical Issues: Personal & Org. CE: 3 $72 Business Income and Extra Expense CE: 2 $48

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

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 Workersâ&#x20AC;&#x2122; 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

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

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

Partners

000

FOR TENNESSEE

Endorsed

PARTNERS

000

Leading

PARTNERS

Thank You!

Supporting PARTNERS

FOR YOUR SUPPORT OF INDEPENDENT AGENTS IN TENNESSEE

Sustaining PARTNERS

Contributing PARTNERS

ACCIDENT FUND INS. COMPANY OF AMERICA • ARCUS RESTORATION • AUTO-OWNERS INSURANCE THE HANOVER INSURANCE GROUP • HAULERS INSURANCE • ICW GROUP • KEY RISK | A BERKLEY CO. SELECTIVE INSURANCE GROUP, INC. • SOUTHERN INSURANCE UNDERWRITERS • STATE AUTO INS. The Tennessee Insuror

INTELLAGENTS

™

INSIGHTS FOR INDEPENDENT AGENTS

FLOOD INSURANCE



• BERKSHIRE HATHAWAY GUARD INSURANCE • COLUMBIA INSURANCE GROUP • FCCI INSURANCE GROUP • FFVA MUTUAL • • METLIFE AUTO & HOME • NORTH POINT UNDERWRITERS • PHILADELPHIA INSURANCE COS. • SAFEWAY INSURANCE • • STRATEGIC INSURANCE SOFTWARE - PARTNER PLATFORM • STONEWOOD INSURANCE

Seven Figures...

...continued from page 8

There when it matters most for...

Independent Agents

At Donegal, we are exclusively committed to the independent agency system for the distribution of our insurance products. We realize you have many choices when recommending commercial and personal insurance coverage options to your clients. That’s why Donegal delivers competitively priced products, timely underwriting, and outstanding claims service. It’s just another way that Donegal is “There When It Matters Most” for independent insurance agencies.

To learn more, visit DonegalGroup.com today! 30

The Tennessee Insuror

Layman's Terms

Advocacy Update: Issues for 2020 Session, Department Update and InsurPACTN Commitments Insurors Director of Government Relations, Jim Layman, J.D., breaks down the legal and legislative issues facing our industry. I had an incredible time at my first ever Insurors of Tennessee Annual Convention, and I am already looking forward to next year. I especially want to thank everyone that came out to the Young Agents Reception on Sunday and helped make it one of our most successful ever. We raised over $500 for InsurPACTN by everyone who “rang the bell.” Now that Convention is over, our advocacy team is gearing up for a busy 2020 legislative session. We have been meeting with legislators and stakeholders and trying to identify what issues are on the horizon for next year. I wanted to provide you with a quick summary on some of the issues we believe will come up next year: 1. State-Sponsored Retirement Savings/Auto IRAs Despite the failure of the Federal MyRA program, over the last several years the AARP has expended considerable effort on lobbying states to pass legislation that would require some employers to offer a retirement plan to employees through a plan established and operated by state government. Such legislation has passed in at least 10 other states, yet these states have had trouble becoming operational due to conflicts with federal ERISA law. Insurors and other stakeholders believe that insufficient retirement savings is not primarily caused due to a lack of access to a plan, but other factors such as low wages and debt, and will advocate for private sector solutions. 2. Subscription Fire Service For the last several years, a non-government fire service pro-

The Tennessee Insuror

vider in Tennessee has had revenue problems because its services are largely funded through voluntary subscription fees. This provider is politically active and has made several attempts to pass legislation with the ultimate goal of increasing the number of subscribers. Their most recent proposal would require insurance agents to provide a disclosure form to homebuyers informing them of when a home is subject to subscription fire fees and the potential consequences of not subscribing. Insurors sees this as a serious and unnecessary E&O risk for agents and will work to ensure that agents are not caught in the middle of this issue. 3. Agents’ Fiduciary Duties Licensed insurance agents have a fiduciary duty to their clients, yet one high profile criminal case of a politically involved former agent has made some question whether the guardrails surrounding an agent’s duty to act in a fiduciary capacity for their client are sufficient. While such cases are unfortunate, the fact remains that it is very difficult to stop the intentional acts of bad actors despite additional requirements. We will be working to ensure that stakeholders know the business consequences of any new proposed licensure or fiduciary requirements in order to determine whether the “juice is worth the squeeze.” Other News of Note In other news, in early November, state departments held budget hearing presentations for Governor Bill Lee and his top advisors. During the Department of Commerce and Insurance’s (DCI) presentation of its $227 million proposed budget

for next year, Commissioner Mainda announced the addition of two new senior staff members: Chris Burger, who is joining the Department as Chief Strategy Officer; and Alex Lewis who has been brought on as Assistant Commissioner of Policy, Research and Legislation. We remain eager and prepared to work with the new leadership at DCI and state legislators on these and other very important issues. If these issues are important to you, remember to make a commitment to InsurPACTN when you receive your annual membership dues renewal. Those funds are crucial to ensuring that independent agents play an important role in developing policy around these and a myriad of different issues that could impact your business. Please contribute with your dues renewal to ensure that 2020 is a successful year for our advocacy efforts. About the Author Jim Layman, J.D. is the Director of Government Relations for Insurors. He previously worked for the Tennessee Dept. of Mental Health and Substance Abuse Services as legislative liaison and rules coordinator. Prior to that, he worked for the Dept. of Health as a legislative liaison and the Dept. of Labor and Workforce Development as director of unemployment insurance appeals. Jim graduated from the University of Memphis Cecil C. Humphreys School of Law and received his undergraduate degree from the University of Tennessee. He may be contacted at jlayman@insurors.org. u

Preferred Property Program can help you procure Umbrella coverage for your insureds with an AXV A.M. Best rated carrier for the following types of risks: Developer Sponsored Boards Master Associations High-rise Associations & Apartments to 35 stories are eligible and more Limit options ranging from $5 million to $50 million Coverage can include excess D&O ● General Liability ● Auto ● Employee Benefits Employers Liability, Including Employment Practices Liability* (*if covered under the D&O) Follow Form EPLI is available only up to $25 Million limit

In 2016 we partnered with American Union Risk Underwriters (AURA) located in Florida. With our new partner we can now also offer our comprehensive Umbrella, with unsurpassed service and for the following types of risks: Hotels ● Motels ● Timeshares ● Lessor’s Risk Enclosed Malls Shopping Centers Retail ● Office Buildings ● Warehouses ● Light Industrial Apartments Limit options ranging from $5 million to $100 million For information on our AURA program, contact our experienced underwriter Tom Clementi at 877-506-1430 or visit our website, www.aurains.com A subsidiary of

101 Crawfords Corner Road, Suite 1300 Holmdel, NJ 07733

For more information contact our team of Underwriters

888-548-2465

www.ppp-quotes.com

The Tennessee Insuror

MY CUSTOMER WANTED TO GROW HIS BUSINESS AND WAS COMPETING

FOR A LARGE CONTRACT T.

I ISSUED A COI FOR HIS

BUILDERS MUTUAL POLICY

THAT VERY DAY.

THANKS TO BUILDERS MUTUAL I CAN GIVE MY CUSTOMERS WHAT THEY NEED WHEN THEY NEED IT. Whether itâ&#x20AC;&#x2122;s the voice in your head or the one right beside you, Builders Mutual is always there, at work with you. BuildersMutual.com

The Tennessee Insuror

AmGUARD • EastGUARD • NorGUARD • WestGUARD

AGENTS, we’ve expanded our Property & Casualty Insurance Consider us for all your Commercial business and Homeowners insurance policies. With us, there’s no need to use multiple insurers. • Businessowner’s Policy • Commercial Auto • Commercial Umbrella • Homeowners/Personal Umbrella • Professional Liability • Workers’ Compensation

Apply to be an agent at guard.com/apply

Strickland General Agency Helping You

"Think Strickland First" Commercial Auto

Commercial P&C Garage

800-825-5742 *Financing Available*

www.sgainga.com 34

AL, AR, FL, GA, LA, MS, SC, NC, TN The Tennessee Insuror

Association Update Rose Named Partner at V.R. Williams & Co.

Specialist.

Winchester-based agency V.R. Williams & Company has announced that 23-year associate Chris Rose has officially been named as a new partner at the agency. He started in the insurance business in September 1996 at age 22 and now has 23 years of service with the company. He now serves the agency as a Life & Health

“I am grateful for this opportunity, and I want to thank my father, Billy Rose, for all of his leadership and support throughout the years,” Chris Rose said. “My father is the one that taught me the insurance business, and that includes everything from how to talk with people to being a good customer service representative. I also want to thank Joe Hunt for this opportunity, which allows me to carry on the Rose family tradition of working with V.R. Williams & Company.”

Reliance Partners Named to Fortune List Insurors member Reliance Partners was recently named to the Fortune 100 Best Small & Medium Workplaces® 2019 list. Fortune partnered with Great Place to Work® to determine this year’s list. To be considered, companies submit an application documenting over 200 data points describing their human resource programs and practices. Employees then respond to more than 60 survey questions based on what employees think about their experiences of trust and reaching their full human potential as part of their organization. Chattanooga-based Reliance ranked highly in the categories of trust and belonging, dedication to teamwork and customer success, and overall pride in the company’s purpose. Among highlighted results, 100% of Reliance team members rated the company as a great workplace for its welcoming atmosphere and 99% believed the leadership team to embody the best characteristics of the company.

Crichton Group Intern Awarded Scholarship Nashville-based Insurors member The Crichton Group recently announced that intern Justin Fletcher had been awarded as a recipient of The Council Foundation academic scholarship. In awarding the scholarships, an independent selection committee looks for candidates who have the potential to excel as leaders and contributors to the industry post-graduation. Fletcher is studying Electrical Engineering at the University of Alabama at Birmingham and interned in the IT department. The Tennessee Insuror

CIA Adds New Producer Schwarz Ted Schwarz has joined Brentwood-based agency CIA as a Producer. After growing up in both Florida and Louisiana, he found his home in Tennessee after graduating from Lincoln Memorial University. He went to gain sales experience in fields ranging from medical to IT. Schwarz will put his versatile experience to use for the agency seeking tailored solutions to meet the needs of each of his clients.

Meador Named "Excellence" Award Winner Knoxville-based Insurors member Shafer Insurance recently announced that Personal Lines Account Manager Holly Williams Meador was named as a 2019 recipient of The Hanover Insurance Group's Happier with Hanover Tennessee Excellence Award. The award showcases Meador's service and commitment to clients of the agency and The Hanover.

Morrison & Fuson Insurance Adds Jackson Insurors member Morrison & Fuson Insurance Agency in Dickson has added Morgan Jackson to their team as a marketing manager. Jackson is a graduate of the University of Tennessee at Chattanooga with a Bachelor's degree in Marketing. She initially worked in an administrative role for the agency before passing her P&C licensing exams.

Williams Joins William Knight Insurance Knoxville-based William Knight Insurance Agency, Inc. has announced the hiring of Jessica Williams as a new Account Executive at the agency. Williams is a native of Georgia who moved to Tennessee in 2006. She started working in the Insurance Industry in 2013 after earning her P&C license. Williams enjoy all aspects of insurance, but her passion is for sales and helping clients get the right coverage while providing exceptional customer service. She has developed a special focus on finding coverage for commercial and residential construction. u 35

Your insights

Our

strengths and expertise

= Top-class

protection around the world

Your attorney clients know their firm inside and out. You know your markets and your competitors. At Swiss Re Corporate Solutions, we have the capabilities and the financial strength to meet the risk needs of insureds for Lawyer’s Professional Liability. Whether the risk is basic or complex, we believe there’s only one way to arrive at the right solution. And that’s to work together and combine your experience with our expertise and your strengths with our skills. Long-term relationships bring long-term benefits. We’re smarter together.

Swiss Re Corporate Solutions is proud to be the exclusively endorsed Lawyer’s Professional Liability provider for the Insurors of Tennessee. For more information or to access the program, please visit www.bigimarkets.com and select the Lawyers Professional Liability Program.

Insurors of Tennessee Ph 1 800 264 1898 E info@insurors.org

The Tennessee Insuror

Insurance products underwritten by Westport Insurance Corporation, Overland Park, Kansas, United States, a member of Swiss Re Corporate Solutions.

Company Spotlight Selective Flood

BE UNIQUELY INSURED

Together, Big "I" Flood and Selective's relationship helps deliver members an unparalleled flood program. Through this partnership, Insurors offers agents several layers of support to meet any and all flood insurance needs. Get to know the program and get your flood questions answered. With personalized support, competitive commissions, and an easy-to-use quoting platform, it is an easy decision to start writing your flood business through the Big "I" FloodSelective partnership today.

Not Your Ordinary Flood Carrier As an Insurors member, writing your flood book of business through Selective and Big "I" Flood gives you access to: Personalized Service Rest assured that your customers will receive personalized service, since Selective handles policies from inception to payment of a claim. No third party vendors, just one-on-one processing to respond to their needs. A Partner to Trust Selective knows that partnership is key, which is why their exclusive underwriting teams have years of experience and are well-versed in the legislative changes. Specific teams are designated to each and every agency state. When support is needed, look to Selective for a team of experts you can trust. QuoteitNow A self-service flood quoting tool that can be easily added to Selective appointed agency websites. In just a few simple steps, the QuoteitNow video walks customers through a flood application up to binding and directs them to contact the agency to finalize the process. State of the Art Tools In addition to QuoteitNow, Selective provides the essential tools needed to The Tennessee Insuror

make placing your flood business easy, including streamlined navigation, realtime processing, and easy access to reports, commissions, claims info and more!

FLOOD INSURANCE

Tennessee Contact

Training and Information Skilled Territory Managers who travel the country facilitating Continuing Education (CE) classes, providing the knowledge and expertise needed to effectively speak flood. Customized Marketing Resources Knowing that often the development of marketing concepts can prove to be the most challenging and expensive part of attracting customers, Selective offers a variety of tailored solutions, ranging from co-brandable flyers, brochures and postcards, to custom eMarketing campaigns, pre-recorded radio spots, and billboard designs. Selective Flood isnt your ordinary carrier – they are dedicated to provide not only the products, but the service that stands above the rest.

Additional Advantages Selective provides a quality of service that makes the flood policy quoting and issuance process easier and less frustrating. Some other advantages: • •

• • •

Expertise on both Personal and Commercial Flood Instead of a TPA call center, Selective offers direct access to dedicated and skilled underwriters, assigned individually to each agency An enhanced quoting and policy issuance system On-site book rollover assistance Competitive commission structure

Tammy Goodman Flood Territory Manager tammy.goodman@ selective.com 803.240.5233

About Selective Flood Selective offers a unique and unparalleled approach to servicing flood customers nationwide. Having been rated A (Excellent) by A.M. Best since 1930, and the endorsed flood carrier by Insurors and the Big "I", Selective provides the experience, dedication and service required to stand up against the competition. Some other quick facts about Selective: • • • • •

A top 5 WYO company 35th largest P&C company $2.51 billion net premium written in 2018 A regional carrier with national capacity for flood An Insurors and Trusted Choice company partner

View more company information now at www.selective.com.

Get Started Today To learn more, contact our Territory Manager Tammy Goodman or visit www.selective.com. u 37

TOGETHER WORKING â&#x20AC;&#x153;Exclusive member agencies, collaborating to bring the best insurance solutions to their clients.â&#x20AC;? 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 38

Martin & Zerfoss, Inc. - Nashville McInturff, Milligan & Brooks - Greeneville Miller | Loughry | Beach Insurance Services - Murfreesboro Ownby Insurance Service, Inc. - Sevierville Powell & Meadows Insurance Agency - Carthage 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 IntellAgents™ INSIGHTS FOR INDEPENDENT AGENTS Get Your Agency Started

Insurors is pleased to announce its new strategic partnership with IntellAgents, an industry-specific, analytics-driven organization built by our Association counterparts at Ohio Insurance Agents. What do they do? IntellAgents uses data to create new competitive advantages for independent agencies by aligning people, processes and products.

In order to gather this data, we need your help… we have sent out information asking all Tennessee members to participate in a confidential IntellAgents salary and benefits survey, and those that do will be rewarded for their efforts! In return for completing the survey, your agency will receive a complimentary copy of the results, "The 2020 Compensation Report" – a $149 value.

Our goal in this partnership is to provide you with valuable data to make more informed business decisions on agency compensation, staffing, revenue focus and areas for improvement. This information will be based on unbiased guidance that arms agents with the knowledge to further succeed and grow. It will help you build a better picture of where your agency stands in the marketplace, and where it can ultimately go.

If you have already received or completed your survey, thank you for your time. If you have not received it or have questions, please contact Brooke Powers at bpowers@insurors.org.

A Partnership for Agent Success We look forward to continuing our support for independent agents through this valuable program. If you have questions on how your agency can benefit from this partnership, please contact Carey Wallace at 614.552.3063 or by email at carey@ intellagents.io. u

The first step in the IntellAgents process is the creation of a compensation study that will be like no other. It is specific to the roles in independent agencies – and to Tennessee itself. It will be a true representation of the salary & benefits standards in your city, region and/or agency size.

INTELLAGENTS INSIGHTS FOR INDEPENDENT AGENTS

™

WHO THEY ARE Strategic Business Partner Create a new competitive advantage for agencies by aligning people, processes, and products

Data & Analytics Expert Enable agencies to make more informed business decisions using technology and data

Change Agent & Innovator Equip agencies with critical insights to help them thrive in an ever-changing marketplace IN PARTNERSHIP WITH

Trusted Advisor Provide agencies with unbiased guidance that arms them with the knowledge to succeed The Tennessee Insuror

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, and your community. Keystone connects you to a community of like-minded independent agencies. Our mission remains unchanged: to provide access to the expertise, resources, and relationships that sustain independent insurance agencies over the long haul. Keystone. Independence works better together.

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

The Tennessee Insuror

Company Briefs Penn National Ins. Celebrates 100 Years Harrisburg, Pennsylvania-based Penn National Insurance is celebrating its 100th year in business. The company was founded in 1919 by a farmers’ trade organization, to help the farmers get more affordable workers’ compensation protection for their workers who operated steam-driven farming equipment. The Pennsylvania Threshermen’s and Farmers’ Mutual Casualty Insurance Company has since grown into a Top 100 P&C insurance group in terms of net premiums written. They employ more than 830 people and sell through more than 900 independent agencies in 11 states.

Carter Wins Leadership Award; Burns & Wilcox Promotes Thomas At the company's recent Kaufman Leadership Meeting, Burns & Wilcox announced that corporate VP Barbara Carter had been named as the 2019 recipient of the Excellence in Leadership Award and that Becky Thomas had been promoted to Associate Managing Director for Tennessee. Carter has an almost 20 year employment history with Burns & Wilcox, and currently runs the Tennessee and Alabama offices. Thomas has almost 13 years of experience with the broker, and will now help manage operations for the Nashville market area.

Central Insurance Promotes Lee to VP The Central Insurance Companies have announced the promotion of David Lee, CPCU, to Vice President of the Southeast Regional Office effective November 25, 2019. Lee will replace Senior Vice President Keith Moore who will retired on November 22, 2019. A graduate of the University of Georgia with a degree in Business Management, Lee joined Central in 2003 in the Claims department. During his career with Central, he has also held positions in both Personal Lines and Commercial Lines Underwriting before becoming Marketing Manager for North and East Georgia. He was promoted to Regional Marketing Manager for the Southeast Region in 2016, managing the five regional marketing managers. Most recently, Lee was promoted to Assistant Vice President in June 2019 to work with Southeast Regional Manager and Senior Vice President Keith Moore on strategic perpetuation The Tennessee Insuror

of the underwriting, marketing, and claims functions serving Central’s agency partners in Georgia, Maryland, North Carolina, South Carolina, Tennessee and Virginia.

Acuity Assets Reach $5 Billion Mark Acuity has announced that for the first time in its history, it has surpassed $5 billion in assets. The insurer has increased its assets nearly five-fold in 16 years, including adding $1 billion in under three years. “Thank you to all our employees and independent agents,” said Ben Salzmann, Acuity President and CEO. The only way we could have achieved this milestone was through a combination of everyone’s dedicated efforts.” The amount of assets Acuity manages is an important indicator of the insurer’s continued ability to meet obligations to policyholders. Acuity’s growth is also a validation of its business strategy, which has produced strong gains over the past 20 years in written premium, policy count, net income, and policyholders’ surplus. Acuity has doubled its top-line revenue in the past eight years and is ranked as the 60th largest of 2,600 property-casualty insurance companies in the nation.

Prevot Named Compliance Head at Stonetrust Troy Prevot has been announced as the new Director of Compliance and Quality Management by Stonetrust Commercial Insurance Company. Prevot was previously the Executive VP of LCTA and was also a Senior Vice President with LUBA Workers’ Compensation. Stonetrust President and CEO, Michael Dileo, stated, “We are extremely pleased to have Troy join the Stonetrust team. He has an extensive background in insurance compliance and workers’ compensation medical management cost containment. He will be a great asset to our company and he brings a wealth of experience that aligns well with our plans for regional expansion and continued rating progression.”

Builders Mutual Honored as "Healthy" Employer Builders Mutual Insurance Company was recently honored as one of the Triangle Business Journal’s Healthiest Employers for 2019. These awards recognize the “best of the best” companies and nonprofits within the Triangle that are committed to implementing healthy initiatives on a daily basis. The 26 companies selected were honored on October 25 at Brier Creek Country Club in Raleigh, NC. Builders Mutual began its wellness program, Builders Mutual 41

A DENTAL PLAN WITH 20/20 VISION Offer your clients the best in dental and vision benefits. Delta Dental of Tennessee now offers DeltaVision® administered by VSP®. Learn more at DeltaDentalTN.com.

DeltaDentalTN.com 42

The Tennessee Insuror

in Balance (BMiB) in 2005. Since then, BMiB has grown to provide employees a variety of fitness and wellbeing activities to suit their interests and needs. Builders Mutual understands that there are many facets associated with health and are committed to educating their employees on healthy habits.

Allen Retiring from AmTrust Industry veteran Chuck Allen is retiring from his role as Regional Sales Manager for AmTrust effective 12/31. A 40-year insurance professional, he started his career with Allstate Insurance right out of college in 1979. He later worked as an agent for 5 years and then spent 15 years in numerous sales management positions throughout the South. He then worked for Cotton States Insurance for 11 years as the district sales manager for Tennessee, and has been with AmTrust North America for 6 years in his current role.

Arlington/Roe Promotes Three to VP Roles Julie Hawkins, Emily Marker, and Sonyia Townsend have been promoted to Vice Presidents at Arlington/Roe according to James A. Roe, president and CEO of the company, an independent family owned managing general agency and wholesale insurance broker. Hawkins, Marker and Townsend joined the company in 2013, 2015 and 2008, respectively. Julie Hawkins was named Vice President, Casualty Practice Leader. She began her Arlington/Roe career in 2013 as a senior broker. Her prior experience includes work for insurance companies as a multiline broker, reinsurance broker and commercial underwriter. She has also worked for large brokerage firms. Emily Marker, INS, AINS, was named Vice President, Property Practice Leader. She most recently served as a property broker after joining the Arlington/Roe brokerage team in 2015. She has been in the insurance industry since 2001, gathering experience at an insurance company as well as at a large wholesale broker, with a focus on property and inland marine. Emily holds designations in General Insurance (INS) and Associate in General Insurance (AINS). Sonyia Townsend was named Vice President Professional Liability, Practice Leader. She joined Arlington/Roe in 2008. Before moving to Indianapolis, she worked for recreational vehicle manufacturers in warranty and human resource departments. Sonyia has a degree from Lipscomb UniThe Tennessee Insuror

versity and is working toward her Registered Professional Liability Underwriter (RPLU) designation.

Selective Earns Innovation Award for "Drive" Selective Insurance Company of America, the lead insurance company of Selective Insurance Group, Inc., was honored with a 2019 Innovation Award from Business Insurance for Selective® Drive, a commercial vehicle fleet management tool that detects unsafe driving behaviors. The award acknowledges Selective’s leadership, ingenuity and inventiveness with the introduction of Selective® Drive to the risk management community. Selective® Drive was recognized as a stand out innovation at the Business Insurance Innovation Awards Luncheon, held in Las Vegas at the Hard Rock Cafe on September 23 in conjunction with the 2019 InsureTech Connect Conference.

AmWins Adds Mullavey as AVP in Nashville Michelle Mullavey has joined AmWINS in Nashville from CNA Financial Corporation where she worked as a middle market underwriter for 3 years serving middle Tennessee brokers and agents. Prior to that she worked with CNA in Dallas as a large property underwriter. She received her Bachelor’s degree in Risk Management and Insurance from the University of Georgia. She will be working in the brokerage department of AmWINS with a specialization in commercial property.

Encova CEO Kaufman Retiring 12/31; Obrokta Named as Successor Encova Insurance CEO Dave Kaufman has announced his decision to retire, effective December 31, 2019. The board of directors has elected TJ Obrokta Jr., president and chief operating officer, to be his successor and serve as president and CEO. “On behalf of our board of directors, I want to express my sincere appreciation for Dave’s leadership and hard work during his tenure with the company over the last 33 years. He has been instrumental in shaping the great organization we are today,” Executive Chairman Greg Burton said. As one of the founding officers of BrickStreet Insurance, Obrokta, 50, first served as general counsel, senior vice president and secretary when the company was launched in 2006. He became its chief operating officer in 2012, and along with the other members of the senior management team, oversaw the growth in the company’s surplus from $20 million to nearly $800 million in just over a decade's time. He was named BrickStreet’s president in May 2015 and named president and COO of the combined company of Motorists and BrickStreet in 2017. 43

Caine Retires From Travelers After 41+ Years Larry Caine, formerly an account executive with Travelers, announced his retirement from the company effective November 8. Caine had spent over 41 years with the combined St. Paul/Travelers companies, starting in the industry right out of college. He graduated from the University of Minnesota and spent 26 years with St. Paul Fire & Marine until the company was purchased by Travelers, where he spent the remainder of his time in the industry.

behavioral health challenge. Of those affected, it is estimated that nearly 100,000 children go without proper treatment.

SIU Adds Skelly as Marine Practice Leader Atlanta-based Southern Insurance Underwriters has named John Skelly as Commercial Marine Practice leader. In this position, he will direct the planning, development, implementation and maintenance of commercial inland marine operations.

Executives from AmFed Companies, LLC, a Jackson, Mississippiarea insurance company that specializes in workersâ&#x20AC;&#x2122; compensation, presented Canopy Childrenâ&#x20AC;&#x2122;s Solutions with a check for $50,000 to support statewide programs benefitting vulnerable children.

Skelly began his insurance career in New Yorkâ&#x20AC;&#x2122;s financial district which lead to a succession of inland marine roles and assignments spanning the Northeast, MidAtlantic and Southwestern United States, addressing operational, production and management challenges in retail, wholesale and program arenas. His program background includes builders risk/construction equipment; vacant properties; deductible buy-down; moving & storage; mechanized timber harvesters; broadcasters business assurance; transportation and bailment contracts.

The donation is part of a state-wide push aimed at helping to bolster access to quality solutions committed to serving the mental, behavioral, educational and social needs of children in the state. In Mississippi, 1 in 5 children face a significant

Skelly has worked on production expansion, coordination/ leveraging, administrative support, reinsurance, CAT analysis, metrics and specialized development responsibilities have been ongoing functions though his career. u

AmFed Donates to Children's Charity

Workers' compensation insurance for contractors, construction companies, home healthcare, restaurants and additional select business segments.

Doing business in: AL, AR, GA, IN, KY, MI, MO, NE, NC, OK, SC, TN and VA

Learn more at www.midsouthmutual.com 44

The Tennessee Insuror

INSURING OPPORTUNITY THROUGH MUTUAL SUCCESS. ™ Harford Mutual Insurance partners with independent agents in Tennessee.

We insure restaurants, contractors, mercantile, and other commercial entities. We’re committed to protecting your client’s business and building yours.

HarfordMutual.com 800.638.3669 The Tennessee Insuror

State of the Work Comp Market "Not Unprecedented, But Really Unusual" written by Jacquelyn Connelly, former IA Senior Editor

Typical insurance market cycles are pretty straightforward: In a hard market, you see shrinking capacity, increased underwriting discipline and higher prices. In a soft market, you see greater capacity, a decline in underwriting discipline and lower prices. But according to Kevin Ring, lead workers' compensation analyst at the Institute of WorkComp Professionals, what’s currently happening in the workers compensation insurance market defies the usual logic – it’s “not unprecedented, but it’s really unusual.” “We’re used to talking about it’s either a hard market or it’s a soft market,” Ring says. “But the market today is exhibiting characteristics of both. There’s no sign of market capacity contracting, prices are decreasing and underwriting discipline is pretty strong. It’s a weird blend of the two.” Although it was “a bit early” in the filing cycle at press time, Jeff Eddinger, senior division executive, National Council on Compensation Insurance (NCCI), confirms that workers comp rates heading into 2020 will be “pretty consistent” with previous years, in which the majority of states saw rate decreases.

Editor's note: In Tennessee, for example, we have seen approved rate decreases of 19%, 12.6% and 12.8% over the past three years, respectively. For workers' comp carriers, it’s much of the same: work comp was the only commercial line to clock a composite decrease, according to MarketScout, with average rate changes coming in around -1%. “For a long time, workers' comp frequency has continued to decline on a downward path thanks to advances in technology, safer workplaces, improved risk management and a longterm shift from manufacturing to service sectors,” Eddinger explains. “That’s really what’s driving rate decreases. And at this point, we don’t really have an expectation that this trend will change.”

The System is Improving - So Where Will Pricing Go? While the cost and impact of injuries continues to climb, the number of injuries continues to drop. And whereas in 2009-2014, the rate of inflation in both medical and indemnity exceeded their benchmarks in the overall economy – the

The Tennessee Insuror

2019

PRESENTED BY

A M E R I C A

PROFESSIONAL LIABILITY BROKERAGE PROPERTY & CASUALTY GARAGE LIABILITY TRANSPORTATION SURETY PERSONAL LINES

(800) 666-5692 | JMWILSON.COM 1430-AwarenessCamp-TennInsurer.indd 1

LOCALIZED SERVICE TECHNOLOGY DRIVEN ®

Imperial PFS is dedicated to legendary Customer experience and delivering advanced technology to better serve you.

8/28/19 2:40 PM

CONTACT: Dave Baker dave.baker@ipfs.com 859.630.7369

• Integration with Applied Systems, ConceptOne, Insurance Management Systems, Jenesis Agency Management Solutions, The Agency Advantage, and Vertafore (AMS Prevail). AccuAgency and many more coming soon. Custom integration options are also available! • Credit card and ACH down payment* • IPFS Connect® mobile app - make payments**, update account information, receive push notifications and more (convenient for trucking and construction).

Visit us today at ipfs.com or follow us on social media for news and updates on IPFS®.

*IPFS’s down payment processing service is provided as a convenience only and is subject to prior agreement to IPFS’s terms and conditions. **Fees may apply where allowed by state law. Copyright © 2018 IPFS Corporation. All rights reserved.

The Tennessee Insuror

Medical Consumer Price Index and overall wage growth, respectively – those rates have now roughly aligned over the last five years, according to the most recent statistics from NCCI. “While the costs are still going up, they are going up at a rate you would expect, rather than there being something inside the workers' comp system that is driving those increases,” Ring explains. “That would seem to indicate that whatever was broken about workers' comp, whatever wasn’t working, is working much better now.” The result is several consecutive years of sub-100 combined ratios for private workers' comp carriers – in 2018, it fell to 83%, according to NCCI, representing the lowest workers' comp combined ratio seen since the 1950s and the fifth consecutive year of underwriting gain for the industry. “Those numbers are bananas,” Ring says. “Carriers look at that and say, ‘Why can’t we be aggressive with pricing?’” Challenges like increasing medical costs and mega workers' comp claims, then, “are just not enough to drive a change in the overall experience,” Eddinger says. “The frequency decline is just so much bigger than the effect from those other trends.” In Ring’s opinion, “the only thing that’s going to turn it around in a meaningful way is almost certainly some event outside of workers' comp. That could be a change in the economy, or it could be some kind of catastrophic event that so heavily depletes the industry outside of workers' comp that it forces price changes in workers' comp. But there’s nothing to indicate anything in the workers' comp market is going to disrupt it.”

YOU’RE INDEPENDENT. BUT YOU’RE NOT ALONE.

What's Next for the Work Comp Market in TN? Could a “change in the economy” include a factor like the ongoing labor shortage? Will carriers begin to change their appetites if rates do not harden up in the coming months or years? Insurors will be monitoring the situation and also talking with the Tennessee Department of Commerce and Insurance as well as the Department of Labor to get their perspective on rates moving forward. Please feel free to reach out with your questions and concerns on this issue. In addition, stay tuned to our future Association publications to see what updates might give us an idea of where this market segment is heading.

A STRONG POLITICAL ACTION COMMITTEE SERVES AS A CONDUIT TO GIVE YOUR ASSOCIATION ACCESS TO THE MEMBERS OF THE TENNESSEE GENERAL ASSEMBLY. INSURORS THEN CUTS THROUGH THE RED TAPE TO GET YOUR VOICE HEARD. HELP US WORK FOR YOU “ON THE HILL.”

About the Author Jacquelyn Connelly is a former Senior Editor for the Big "I" IA magazine, and frequently writes and contributes content for coverage and technical insurance articles. She may be contacted at jacquelyn. connelly@iiaba.net. u 48

DONATE TODAY AT INSURORS.ORG The Tennessee Insuror

The Tennessee Insuror

Recruit. Assess. Train. Retain.

CREATE YOUR DREAM TEAM! Does the thought of hiring a new employee leave you overwhelmed? Are you seeing turnover, or posting a job, but just aren’t finding the “right” person? You’re not alone. According to the Agency Universe Study 44% of independent insurance agency owners say finding qualified new recruits is their top challenge. Find the right recruits with Big "I" Hires, a one-stop resource for independent insurance agencies to identify, hire and assess top-performing Producers and CSRs.

Find Your Next Top Employee: BigIHires.com

Empowering Trusted Choice® Independent Insurance Agents.

The Tennessee Insuror

Meetings A New Year (and New Meetings) Almost Here Level Up Agent Summit January 14-15 Big "I" is hosting their inaugural business and inclusion event taking place on January 14-15 in New Orleans. The Summit will bring independent agents, association leaders, carriers and other industry representatives together to learn key business strategies to enhance agency growth, innovation and sustainability through diversity and inclusion. Featured topics include sales, agency operations, leadership, marketing and technology. Find out more information or register now by visiting https:// www.independentagent.com/events/pages/diversity/ default.aspx

Big "I" Winter Meetings January 14-18 Following the conclusion of the aforementioned Level Up Summit, the Big "I" will host its 2020 Winter Meetings at the New Orleans Marriott on January 14-18. The event features National discussions on Government Affairs, Best Practices and our national leadership meetings. View more info at https:// www.independentagent.com/Events/WinterBoardMeeting/ home.aspx

Agency Growth Conference '20 Set for 3/25-26 The 7th Annual Insurors Agency Growth Conference will be held March 25-26 at the Marriott Cool Springs in Franklin. The event will feature sessions, speakers and a trade show geared towards helping agents improve their sales, workflow, technology and E&O claims prevention. More information is available now at insurors.org.

Agency Nation Elevate 2020 in Nashville Agency Nation, the agent marketing and branding program of TrustedChoice.com, will hold their annual "unconference" at the Renaissance Hotel in downtown Nashville on May 31 June 2. What is it? Elevate 2020 is 800 agents, agency owners, carriers and the most indie-friendly insurtechs, all coming together to fuel the future of insurance. Featuring top keynote speakers and revolutionary breakout sessions, this will be a "can't miss" event for future-facing agents. Please visit www.elevateconference.com for more information. u The Tennessee Insuror

Could your agency weather a data security breach? A full 80 percent of businesses that experience one donâ&#x20AC;&#x2122;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

“I had high expectations and they were met.” - Beth Gardner, COO, Cook, Maran & Associates

The problem: A backlog of work.

The soluTIon: experienced WAhVe remote employees. wAhve is An innOvAtive COntrACt stAffinG sOlutiOn thAt enGAGes vintAGe insurAnCe prOfessiOnAls whO wOrk frOM hOMe On A full-tiMe Or pArt-tiMe BAsis fOr insurAnCe firMs.

visit www.wAhve.COM fOr MOre infOrMAtiOn

The Tennessee Insuror

Your customers deserve the best PROTECTION. RLI Personal Umbrella Policies are DIFFERENT.

Member Tips How Much Does a Bad Hire Cost Your Agency? by Jon Hill, IdealTraits When agency owners talk about recruitment, they love to focus on the producer talent or customer service that can make them money. But what about the other side of the equation – how much does a bad hire cost you? Right off the bat, there are a few set costs you will not be able to recoup, including whatever you spent on the job ads; the time you or your office manager spent sourcing, finding and interviewing not only the lost employee, but also all other candidates you interviewed for the role; the salary you paid the employee while they worked for you; and the time you and your other employees spent training them. Of course, those line items represent only a fraction of what a bad hire could cost your agency. Some agencies, for example, hire recruiters that can cost over $10,000 for one hire. And those are just the losses you can quantify. What about costs that aren’t associated with a clean dollar amount? Lower morale, clients lost due to poor performance, productivity lost – a bad hire can even drive away your great employees, especially if you are slow to fire. And the worst part of all is that when an employee fails, you need to start the whole costly process over again. This issue has cost many an agency owner more than just money – it’s cost them the joy of running their business. If you want to succeed in hiring, you need to have a process you stick to every time. That means:

They stand alone. RLI, A+ rated by A.M. Best, has over 30 years of experience providing affordable personal umbrella coverage - so your customers can protect their hard earned assets. CONTACT Stephen Holmes sholmes@insurors.org 615.515.2609

• • • • • • • • •

Taking your time. Recruiting on an ongoing basis. Using hiring assessments. Holding multiple interviews in a short time. Asking every recruit the same questions. Recording the interviews. Offering job shadows. Having a bench of solid candidates at the ready. Firing quickly once you realize the new employee isn’t working out.

If you employ these strategies, you’ll be ready and able to backfill an underperformer or a superstar who suddenly leaves. When you’re slow to hire and quick to fire, you’re more likely to find – and retain – top performers. Jon Hill is director of sales at Ideal Traits, a Big “I Hires partner. u

Directory of Advertisers Advertiser

Phone

Website

Page

ACUITY (920) 458 - 9131 www.acuity.com 15 AmTrust North America (877) 528 - 7878 www.amtrustfinancial.com/tnq1 6 Applied Underwriters (877) 234 - 4450 www.auw.com/us 2 Arlington/Roe (800) 878 - 9891 www.arlingtonroe.com 7 Bailey Special Risks, Inc. (800) 768 - 7475 www.bsrins.com 17 Berkley Southeast Insurance Group (615) 932 - 5508 www.berkleysig.com 19 Berkshire Hathaway Guard Insurance Cos. (800) 673 - 2465 x4567 www.guard.com/apply 34 Builders Mutual (800) 809 - 4859 www.buildersmutual.com 33 Delta Dental of Tennessee (888) 281 - 9396 deltadentaltn.com 42 DocuSign (877) 720 - 2040 www.docusign.com/iiaba 49 Donegal Insurance Group (800) 877 - 0600 www.donegalgroup.com 30 FCCI Insurance Group (800) 226 - 3224 www.fcci-group.com 16 Genesee General (800) 282 - 8755 www.geneseeins.com 33 Harford Mutual (800) 638 - 3669 www.harfordmutual.com 45 Imperial PFS (859) 630 - 7369 www.ipfs.com 47 INSBANK (866) 866 - 4268 www.insbanktn.com 11 J.M. Wilson (800) 595 - 0063 www.jmwilson.com 47 Keystone Insurers Group (800) 416 - 5498 www.keystoneinsgrp.com 40 KNK Compliance Services (615) 375 - 7419 www.knkcompliance.com 17 Markel Specialty (800) 431 - 1270 www.markelcorp.com 22 MidSouth Mutual Insurance Company (844) 438 - 6642 www.midsouthmutual.com 44 The National Alliance (800) 633 - 2165 www.scic.com 55 National Security Group (800) 239 - 2358 x213 www.nationalsecuritygroup.com 22 Nationwide Insurance (423) 927 -2060 www.nationwide.com 20 Penn National Insurance (800) 395 - 0518 www.pennnationalinsurance.com 56 Preferred Property Programs (888) 549 - 2465 www.umbrellaprogram.com 32 RLI PUP (615) 515 - 2609 www.insurors.org 53 Securerisk (770) 723 - 8096 www.securerisk.com 38 Selective Insurance Co. of America (800) 777 - 9656 26 D I V E R S I T www.selective.com Y COUNCIL. Stonetrust Commerial Insurance Co. (800) 311 - 0997 www.stonetrustinsurance.com 32 Strickland General Agency (800) 825 - 5742 www.sgainga.com 34 Summit Holdings (800) 971 - 2667 www.summitholdings.com 13 Swiss Re Lawyer's Professional Liability (630) 213 - 9952 www.bigimarkets.com 36 Titan Web Marketing Solutions (615) 890 - 3600 www.titanwms.com 24 West Bend Mutual Insurance Co. (800) 236 - 5010 www.thesilverlining.com 9

DIVERSITY COUNCIL.

MAXIMIZE YOUR AGENCY GROWTH THROUGH DIVERSITY AND INCLUSION BIG “I”

AGENT SUMMIT

January 14 - 15, 2020 New Orleans, LA

T H E N A T I O NA L A L L I A N C E I N F O M A P

Map your career track and customize your learning experience by selecting the designations and course offerings that fit your needs.

Rubles CIC

CISR Introductory Series

T H E NA T I O NA L A LLI A NC E I NF O MA P

Map your career track and customize your learning experience by selecting the designations and course offerings that fit your needs.

Rubles CIC

CISR Introductory Series

CRM

Dynamic Series

WTH Seminars

CSRM CPRM

The Introductory Series is a good choice for those interested in finding out more about the industry and industry fundamentals. The Dynamics Series, offers career-changing sales training. Providing a variety of pertinent topics, the William T. Hold Seminars are invaluable for expanding your insurance knowledge. The Dynamics Series can be used to meet update requirements across the designations. WTH Seminars satisfy update requirements for CISRs and CSRMs.

The Certified Insurance Service Representative (CISR) designation provides quality insurance education geared toward customer service representatives, account executives, servicing agents, new producers, and other professionals. The Certified School Risk Manager (CSRM) designation fills a need for quality risk management education for those associated with schools.

The Certified Insurance Counselor (CIC) provides an in-depth, practical approach to education for agents and other insurance practitioners. The Certified Risk Manager (CRM) designation is recognized as being the foremost education available in the field of risk management. The Certified Personal Risk Manager (CPRM) designation yields the best training for meeting the needs of an affluent clientele.

The James K. Ruble Seminars are advanced programs that offer a variety of specialty topics. CICs, CRMs, and CPRMs can meet their annual updates with a Ruble seminar.

Dynamic Series

CRM

WTH Seminars

1 CSRM

2 The Introductory Series is a good choice for those interested in finding out more about the industry and industry fundamentals. The Dynamics Series, offers career-changing sales training. Providing a variety of pertinent topics, the William T. Hold Seminars are invaluable for expanding your insurance knowledge. The Dynamics Series can be used to meet update requirements across the designations. WTH Seminars satisfy update requirements for CISRs and CSRMs.

CPRM

3 The Certified Insurance Counselor (CIC) provides an in-depth, practical approach to education for agents and other insurance practitioners. The Certified Risk Manager (CRM) designation is recognized as being the foremost education available in the field of risk management. The Certified Personal Risk Manager (CPRM) designation yields the best training for meeting the needs of an affluent clientele.

The James K. Ruble Seminars are advanced programs that offer a variety of specialty topics. CICs, CRMs, and CPRMs can meet their annual updates with a Ruble seminar.

VISIT SCIC.COM FOR MORE INFORMATION OR INSURORS.ORG TO REGISTER FOR CLASSES NOW

Helping people feel secure.

Since 1919. A group of Pennsylvania farmers founded our company in 1919 to provide affordable workers’ compensation insurance.

Helping Today, Penn National Insurance sells property-casualty insurance in 11 states. Just like those farmers who envisioned an insurance company that could meet their needs better than any existing insurance carrier, we look to the future of our company and make decisions that center around:

people feel secure.

All with one focus in mind: to help people feel secure and make life better when bad things happen.

• Providing superior customer experience • Responsive product offerings to fit the changing market needs • Staying financially strong

PennNationalInsurance.com