South Carolina Agent & Broker Summer 2017 by PHCC-WI

Preview inside!

SC Rules & Regulations Around Nonrenewals Business Income Lesson: Catastrophe Planning Spring Conference Photo Recap Young Agents Scholarship Golf Photo Recap

South Carolina Agent & Broker â&#x20AC;¢ Summer 2017

(800) 613 2600 :::.:IU US:.

Our is like chocolate pudding... One taste and you'll be back for ! P

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•O : :q • R : :: : 15% 20% b : k : For personalized service, call: ::::::::::::::: (845) 426-5353 aaron@aiu-usa.com Summer 2017 • South Carolina Agent & Broker

Summer 2017

Independent Insurance Agents & Brokers of South Carolina 800 Gracern Road, Columbia, SC 29210 803-731-9460 803-772-6425 (fax) e-mail: information@iiabsc.com

Contents

Message from the Chairman of the Board

Message from the National Director

IIABSC Annual Convention Preview

IIABSC Convention Speaker Preview Sam Glenn

2017 Big “I” Spring Conference Photo Recap

South Carolina Rules & Regulations Around Nonrenewals

A Business Income Lesson: The Two “F’s” of Catastrophe Planning

Young Agents Scholarship Golf Tournament Photo Recap

IIABSC Education & Events Calendar

Farewell to Jim Harrison, Jerry Milton

Member News

Palmetto Partners

2017 Board of Directors and Executive Committee

IIABSC Staff

G. Frank Sheppard, AAI, CAE President ext. 1239 or 803.760.1239 fsheppard@iiabsc.com Rebecca H. McCormack, CPCU, CIC, AAI Vice President ext. 1238 or 803.760.1238 bmccormack@iiabsc.com Beth Chastie Vice President of Administration & Finance ext. 9462 or 803.731.9462 bchastie@iiabsc.com Megan Huebner Director of Events & Membership ext. 9463 or 803.731.9463 mhuebner@iiabsc.com Megan Thomas Director of Member Services ext. 1227 or 803.760.1227 mthomas@iiabsc.com Anita J. Trevino Director of Communications ext. 1237 or 803.760.1237 atrevino@iiabsc.com Martha Reid Education Coordinator ext. 1219 or 803.760.1219 mreid@iiabsc.com Tracy Guyette Administrative Assisstant/ RLI Contact ext. 9641 of 803.731.9461 tguyette@iiabsc.com South Carolina Agent & Broker is the official magazine of the Independent Insurance Agents and Brokers of South Carolina and is published four times annually. IIABSC does not necessarily endorse any of the companies advertising in this publication or the views of its writers. Articles and information published in this magazine may not be reproduced without written consent of the IIABSC. South Carolina Agent & Broker is not responsible for unsolicited manuscripts, art or photography. The publisher cannot assume responsibility for claims made by advertisers, content provided by the editor, or for the opinions expressed by contributing authors. For more information on advertising, contact Eric Johnson, Blue Water Publishers, LLC, 9406 N. 107th St., Milwaukee, WI 53224 414-708-2059 / fax: 414-354-5317 eric@bluewaterpublishers.com

South Carolina Agent & Broker • Summer Summer 2017 2017

Advertiser Index Access Home Insurance Allstar Financial Group Amalgamated Ins. Underwriters

9 28, 29 3

JM Wilson

Jackson Sumner & Associates

Lighthouse Property Insurance

Amerisafe

M.J. Kelly of North Carolina

Anderson and Murison

Motorists Insurance Group

Assure Alliance

National Security Fire & Casualty 35

Berkley Southeast

Preferred Specialty

Berkshire Hathaway GUARD

SCHBSIF

Builders Mutual Insurance

Southern Insurance Underwriters

Burns & Wilcox

Centauri Insurance

The Iroquois Group

FCCI Insurance Group

UPC Insurance

Genesee General

ISU Agency Network

Summit 33

PERSONAL COVERAGE IS OUR MIDDLE NAME. Only Burns & Wilcox has the depth and breadth of experience to deliver the right solutions right away. Charlotte, North Carolina 704.525.1152 toll free 800.999.3434 fax 704.525.7399

Morehead City, North Carolina 252.726.8992 toll free 800.498.1600 fax 252.726.9484

burnsandwilcox.com Myrtle Beach, SC 800.849.3271 fax 843.651.6040

IIABSC Chairman of the Board

Scott Moseley

IIABSC TO HOST NATIONAL BIG “I” JUNIOR GOLF TOURNAMENT NEXT SUMMER IN CHARLESTON – WE NEED YOUR HELP!

ummer is here and across South Carolina that means intense heat, no school, weekends spent at the beach or on the lake, extended days, and the start of hurricane season. In Columbia at the Big “I” office, summer also means the Trusted Choice Big I National Championship junior golf tournament.

of putting on the national tournament. Once it’s ready, you will be able to go to our website (iiabsc.com/jrgolfnatl) click a link and sign up for the tasks and times that suit your skills, interests and availability. Golf experience is not required - you do NOT need to be a golfer to help.Sponsorship forms are already available on the website.

Each summer junior golfers ages 13-18 come from all over South Carolina to the Orangeburg County Club to play in our qualifier tournament and hopefully improve their league rankings or even earn a spot at the national tournament, which is the nation’s largest stroke-play tournament for juniors and attracts elite junior golfers from around the country.

If you’ve ever had the thought that you’d like to be more actively involved in the state association, now is your chance. Mark your calendars for Aug. 6-9, 2018, and stay tuned for details. This tournament will be an amazing opportunity to get involved and make more friends in the industry. In fact, volunteering at the junior golf state tournament was my first step in becoming actively involved in our association as a young agent. Well, aside from attending the annual convention for the first time. My first convention is where I met Lee Ellis, and he asked me to join the tournament committee. In the seventeen years since I’ve worked on the Young Agents, Government Affairs and InsurPac committees and of course the Board of Directors.

Next summer, as it celebrates its 50th year, South Carolina will host the national tournament Aug. 6-9 at the Daniel Island Club in Charleston, SC. Our players from South Carolina do well at national tournaments every year, and we’re extremely excited for the opportunity to finally bring it home to them. We’re also confident our guests will head back to their homes fully enchanted by the beauty of our state and the southern hospitality of our members. But we are going to need your help for that. It takes an incredible amount of hard work and coordination to put on a golf tournament. We’ve been doing well the past several years with our committee of nearly 20 agents and company reps under the leadership of Lee Ellis in Hampton, SC. They are the epitome of teamwork, and every year I am amazed by their efforts as they check players in, send them off at the tees, keep beverage stations fully stocked along with other course needs, assist players needing rulings, collect/ authenticate scores and operate our live scoring system. The kids love it, and this team is without a doubt the hardest working committee we have. To run the national tournament successfully we’re going to need a lot more help. Where the state tournament is a two-day event, the national tournament is four. More than 150 players from around the country will require housing and host families to help transport them to and from the course each day. And as with every event our association puts on, we’re nothing without our sponsors. Lee and his committee are in the process of assessing the volunteer needs

Thank you, Lee, for your leadership and 20-year involvement with the tournament committee, for inviting me on my path to getting involved with the Big “I” and for your role in creating this opportunity for so many other agents to do the same. We’ll see you there.

Two junior golfers finish up their first round on the putting green during day one of last year’s state qualifier for the Trusted Choice Big “I” National Championship, held June 27-28 at the Orangeburg Country Club in Orangeburg. Next summer, in addition to the state tournament, South Carolina will host the 50th annual Big “I” national championship tournament to be held Aug. 6-9 at the Daniel Island Club in Charleston. We hope you will consider either sponsoring or volunteering to help out onsite. Golf experience is not required. Learn more at iiabsc.com/jrgolfnatl.

South Carolina Agent & Broker • Summer 2017

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Summer 2017 • South Carolina Agent & Broker

National Director Jules Anderson, AAI

IIABSC LOBBIES CONGRESS

team of IIABSC members lobbied our Congressional delegation in Washington, D.C., in May during the annual IIABA National Legislative Conference. Agents from around South Carolina met with South Carolina senators, representatives, and their staffs to discuss issues affecting independent insurance agents. Flood Insurance The number one issue for the delegation was renewal of the Flood Insurance Program. We lobbied for a 10-year reauthorization of a reformed National Flood Insurance Program before it expires on Sept. 30. Some of the reforms that are being considered include increased use of mitigation practices, updated mapping technologies, and the purchase of reinsurance to spread taxpayer risk. We also shared our support for a bill that would allow private flood policies to satisfy the mandatory purchase requirement for flood insurance. The NFIP has a debt of more than $24 billion, largely due to Hurricane Katrina and Superstorm Sandy. For more than two decades, up until the 2005 hurricane season, no taxpayer money had been used to support this program. There has been considerable discussion in Congress on the role of agents and their compensation levels. We explained how time intensive and complicated the program is to sell and how critical we are in the process. Health Insurance On the day that we met with our Congressional delegation, the U.S. House passed the American Health Care Act. In fact, we were not able to meet with some of our legislators because they were on the House floor voting on this bill. We urged Congress to protect the employer-sponsored health care system in any reforms being considered. We asked them to support and cosponsor the “Cadillac tax” repeal bill (S. 58/H.R. 173). The “Cadillac tax” assesses a damaging 40 percent tax on health plans that exceed a fixed annual cost, which is expected to be less than $11,000 per year for an individual when the law goes into effect on 2020.

South Carolina independent agents joined others from around the country at the IIABA Legislative Conference where they met with members of their congressional delegation to discuss issues affecting the industry such as flood insurance, health insurance reform, tax reform, national insurance regulation, and crop insurance. We lobbied against the idea that is being considered in Congress to tax employees on the now tax-exempt cost of their health benefits if the benefits exceed a certain threshold set by Congress. This proposal would have a similar effect as the “Cadillac tax” in discouraging employers to offer health plans to their employees. Taxes We urged our legislators to reform small business and individual rates along with corporate rates in tax-reform efforts. Since the majority of independent agencies are small-business pass-through entities (subchapter S corporations, partnerships, sole proprietorships) that file at individual rates, reforming corporate rates only would create a significantly more uneven playing field for our members. Insurance Regulatory Reform We shared how the Big “I” remains dedicated to preserving the state-based system of insurance regulation. We asked our Congressional delegation to significantly restrict or eliminate the Federal Insurance Office, which was created by the Dodd-Frank financial services reform law. FIO has proven to have questionable value for the insurance market and consumers and could evolve into a regulatory force on the federal level. Crop Insurance IIABSC continues to lobby our Congressional delegation against any attempts to cut or cap premium incentives on the Crop Insurance Program in the 2018 Farm Bill. We also advocated for assurances that the private sector will remain the primary distribution force of the flood program.

IIABSC was presented its 12th consecutive Eagle Award for leadership and participation in InsurPac fundraising. InsurPac is the political action committee of our national association and an important tool in our government affairs program.

South Carolina Agent & Broker • Summer 2017

“ACCESS HOME INSURANCE WAS THERE FOR ME IN MY TIME OF NEED. THEY TOOK CARE OF ME AND I THANK THEM FOR THAT.” —Chantelle Riser, Homeowner On the evening of April 30, 2014 Chantelle Riser was awakened by a booming noise. “I got up and I could just see fire and smoke. I was grateful no one else was home with me. I ran out the door and a passerby said, ‘Ma’am I just called 911.’ In a matter a minutes, all this damage was done to the home and everything was gone.”

“I phoned Access Home on Sunday, they located my policy and an adjuster was here at 7:00 Monday morning. Access Home came out, they gave me emergency money. The found me a house, with the same number of bedrooms, so I was comfortable, right around the corner in the same neighborhood. They paid the rent until my house was finished.”

“If you’re looking for an insurance company that’s dependable, reliable, fast, makes you feel comfortable and treats you like family, Access Home Insurance is definitely the company to go with. I love them.”

Discover what makes us different. Experience. Knowledge. Performance.

1-888-671-AHIC(2442) www.accesshomeinsurance.com Summer 2017 • South Carolina Agent & Broker

119th Annual Convention Oct.15 - Oct. 17

KEYNOTE SPEAKER: Sam Glenn, “The Attitude Guy”

Myrtle Beach Resort & Spa at Grand Dunes

Our keynote speaker, Sam Glenn (self-proclaimed “Attitude Guy”), promises to give attendees “a swift kick in the attitude!” Our attitude is a lot like a battery, and sometimes it loses its positive charge.

SUNDAY, OCT. 15

Sam’s presentation will discuss how to maintain that positive spark in the midst of adversity and other things that drain us. Attitude is an everyday choice, and it’s either making way or in the way. Sam Glenn will grab your attention, make you laugh and inspire you to take positive action to improve your personal and professional lives.

3:00–6:00 p.m.

Registration Desk Open

Exhibitor Set-Up Hospitality Lounge Open 6:30–8:30 p.m.

Welcome Reception

TUESDAY, OCT. 17 MONDAY, OCT. 16

8:00–10:45 a.m.

7:30 am–2:00 p.m. Registration Desk Open

SPEAKER: Larry Oxenham – American Society for Asset Protection

8:00–9:00 a.m. Business Session w/ Continental Breakfast 9:00–10:00 a.m. Networking Break (Exhibit Hall Open) 10:00–11:30 a.m. General Session & Keynote (Exhibit Hall Closed) 11:30 am–2:30 p.m. Lunch with Exhibitors (Exhibit Hall Open) 2:30 p.m.

Exhibitor Breakdown

6:30–7:00 p.m.

Chairman’s Reception

7:00 p.m. Awards Banquet & Entertainment

South Carolina Agent & Broker • Summer 2017

Breakfast/Closing Session

“What Every Insurance Agent Needs to Know About Lawsuit Prevention, Tax Reduction and Estate Planning” Every year millions of people are sued. It is estimated that a new lawsuit is filed every 30 seconds in the U.S., and there are more than 100 million lawsuits currently in the court system. Some survive these lawsuits, however, many do not. Some lose everything, including their homes, businesses, and retirement savings. The American Society for Asset Protection teaches professionals how to protect 100 percent of their assets from lawsuits and even prevent lawsuits by making themselves so unattractive to a plaintiff attorney that they won’t bother pursuing a lawsuit against them.

Convention speaker preview

THE GIFT OF FAILURE By Sam Glenn, Award Winning Motivational Speaker, Artist and Author

could hard believe my eyes when I saw the headline in a trade magazine, “From Nighttime Clean-Up Guy to Award-Winning Motivational Speaker.” You see, the journey to that headline was not a smooth ride. It was a journey filled with turbulence, delays, detours, let downs, pain, loss and failure. I can honestly say that I wasn’t sure whether I would come out on top or if things would turn around for me. However, something happened that changed everything. It was a little more than twenty some years ago that I found myself in a difficult place in life. I was depressed, broke and sleeping on borrowed floor space or in my car. The only job I could secure was cleaning floors and janitorial work at night. While there is absolutely nothing wrong with doing work like that, it is really hard to do great work if your heart isn’t in it… and mine was not. It was long hours for very little pay. Today, I am a small-business owner, and I still do all the clean-up: garbage, bathrooms, everything. And I don’t mind. It gives me a sense of gratitude for where I am, where I’ve been and what I get to do today. There is nothing wrong with rolling up your sleeves, getting dirty and doing some hard work. Before my grandfather passed away, he left his 30-year-old business to our family, and I eventually took it over. My grandfather created very unique products for the wild-bird industry, which is a multibillion dollar industry. Many people are not aware of this fact, but the number one hobby in America is gardening. The second biggest hobby is birding. Birding is that special aisle in the outdoor section of retail stores that sells bird seed, bird baths and bird houses. People put all these items in their yards to attract a wide variety of wild and beautiful birds. I poured everything I had into this company to see it grow. I needed capital to keep things running so I got loans and investors. I was maxed out on every credit card I had. My approach was a little different than Grandpa’s. I wanted to see how big I could make this business. My grandfather was very generous with his business profits. He used any profits to buy gifts for his daughters and grandkids. He was eventually able to buy a big RV and travel around the country to visit everyone in the family. My goal was to make him proud and see how far I could go. What happened next was unexpected and would send my life into a tailspin of adversity. It was a humid July afternoon when I got a call from our manufacturing facility that there had been a huge fire in the warehouse and my entire product inventory was destroyed. I had neglected to insure the business and therefore was unable to recover anything. I had no capital to start over. I lost everything and, regretfully, I owed everyone. It took me years to pay back friends and family who had invested. My grandfather’s business was done and it was my fault. I instantly became helpless, hopeless and homeless. Failure isn’t fun. But it gives us lessons to grow from, helps us find purpose and allows us to practice being more resilient. I was so depressed and felt like a failure every moment my eyes were open. I was afraid. I didn’t know how to start over or what to do next. Basically I became a zombie and just went through the motions of life. I needed to earn money, so I got a job working the graveyard shift cleaning bathrooms and floors. It was a lot of detail work with long hours and not much pay. Life wasn’t great, but I was grateful for the job opportunity. However I was just trying to get by and hide from the world.

It was over a cup of coffee that a close friend helped me put things into a better perspective. When you are feeling sad or disappointment, you tend to think in a way that isn’t beneficial for yourself or your future. That was me. I was feeling sorry for myself and living in fear. As we sipped our coffee, my friend began to share his perspective and we did a little exercise. He mentally lifted me off the ground, took my hand and we began to evaluate all that I had to be thankful for. We sat there for 45 minutes thinking and writing down everything (and I mean everything) I had to be grateful for. By the time we were done, the paper had no more room on it. And then I discovered something HUGE as I looked at all those things I still had to be thankful for despite my circumstances. Life was better than I thought! I discovered that our minor negatives in life have no power or strength over us in the presence of our major positives. I found the gift in my failures. When you change your attitude, you can change everything. Don’t believe anyone who tells you otherwise. I am living proof, and history offers an abundance of evidence to support that claim. You can find new purpose and opportunities in the ashes of your setbacks. That discovery set me off on a journey that changed my life. It is our attitude that truly drives our bus (our life) every day and we choose who will drive that bus – our best attitude or a negative one. Our attitude is always at work. In twenty years of working and speaking for some of the best organizations in the world, one of my greatest observations is that you might have the best resume, skills, abilities and even experience; however, it is your attitude that drives that bus. So if you have the wrong attitude driving your bus, your perfect resume means very little. What brings our greatness to life is boarding it on the right attitude. Our attitude plays the biggest role in how we treat others and the overall experience we create for clients. Our attitude determines whether we settle in our failures or we choose to grow from them. I can honestly say that it was my attitude that pulled me out of my rut, helped me develop an awesome and successful business and has given me the chance to have a loving wife and two daughters. Every day is a new day to learn, grow and discover. Life is not without its failures, but if you choose the right attitude, other things will follow and turn out the right way. Sam Glenn, “The Attitude Guy,” has been named Speaker of the Year several times by meeting and event organizers across the country and won two national awards for his training videos (see them at www.samglenn. com). For twenty years he has been speaking full time to audiences from every industry and to crowds as large as 75,000 people. Meet him in person at the upcoming IIABSC annual convention to be held Oct. 15-17 at the Marriott Resort at Grande Dunes in Myrtle Beach. Registration opens soon. Learn more on our website, iiabsc.com.

Summer 2017 • South Carolina Agent & Broker

South Carolina Agent & Broker â&#x20AC;¢ Summer 2017

Summer 2017 â&#x20AC;¢ South Carolina Agent & Broker

South Carolina Rules & Regulations Around Nonrenewals By Becky McCormack, CPCU, CIC, AAI, IIABSC Vice President

outh Carolina is unique in many ways: we have Angel Oak, the oldest living thing east of the Mississippi River; the first golf game in the United States took place in Charleston; and we have a UFO Welcome Center in Bowman. But we also have some rather unique insurance regulations. One of these unique regulations is our restrictions on the nonrenewal of insurance policies. While all states have regulations affecting the nonrenewal of policies, most states do so by requiring notice to be sent to the insured a certain number of days in advance of the policy expiration date. In South Carolina, we take that requirement a step further. Being a coastal state can complicate the nonrenewal and remarketing of an insurance policy so legislation was passed in 2007 requiring additional advanced notice of nonrenewal if the expiration date of the policy falls during hurricane season. For all insurance policies except Automobile and Workers Compensation, 90 days notice of nonrenewal must be provided to both the insured and the agent if the policy expires between June 1 and Oct. 31. If the expiration date of the policy is not within these dates, then 60 days notice must be provided to the insured and the agent. (SC Code of Laws – Section 3875-740.) Sometimes a carrier who misses this deadline will attempt to “extend” the policy so that they can then provide the required amount of advance notice. This is NOT allowed in South Carolina. According to Kendall Buchanan, Deputy Director at the SC Department of Insurance, “If an insurer’s notice is not issued in sufficient time as the statute requires, the nonrenewal would not be in compliance with South Carolina law. Ms. Buchanan goes on to state, “Additionally, South Carolina law does not provide for curing a failure to provide sufficient notice of nonrenewal through extending the policy by however many days it takes to meet the 60- or 90-day requirement after notice is issued. . .”

South Carolina Agent & Broker • Summer 2017

Don’t confuse the offering of renewal terms with the nonrenewal requirement. Section 38-75-750 states that carriers must provide renewal terms, including a statement of the premium or estimated premium, to the insured at least 30 days in advance of the expiration date. If the renewal terms are not sent in compliance with the statute, the insured may cancel the policy within 30 days following the receipt of the renewal terms and any earned premium must be calculated based on the current policy rates – not the renewal rates. However, if the carrier fails to meet the 30-day deadline to provide renewal terms, they MAY extend the policy in order to give themselves the needed time.

I've been an Assure Alliance member for nine years. I began as a scratch agent and without Assure Alliance helping me to build relationships with premium carriers from day one, my agency wouldn't be where it is today. The behind the scenes suppor t, access to consultation, and their access to new technologies have truly helped my business become what it is today. Exceptional advice and the tools you need to become successful are all there, provided by Assure Alliance. The Assure All iance team is an awesome resource to call and rely on when you need them. You don’t have to talk to them ever y day, but they are there ever y day if you need them! I so much wanted to have ownership and my own little enterprise and Assure Alliance has allowed me to have just that and more. With Assure Alliance, I have found my par tner in success.

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| Spartanburg, AssureAlliance.com | 855-3-ASSURE | PO Box 1713Summer SC 29304 2017 • South Carolina Agent & Broker

Hear more business income lessons in our upcoming classroom series coming to Charleson & Columbia in September, taught by Terry Tadlock.

A Business Income Lesson: The Two “F’s” of Catastrophe Planning By Terry Tadlock, CPCU, CIC, CRIS

I vividly remember one of my greatest fears in high school was bringing my report card home after finding out that my geometry grade was in fact an “F.” I recall opening my report card hoping against hope that somehow I escaped with a “D” knowing full well I had not even come close. For some strange reason my father didn’t think an “F” was a satisfactory grade. The good news about my “F” in geometry was that I got to spend another nine fun-filled weeks taking geometry again. Unfortunately, in this article we will find out that our clients are not so fortunate. When they make an “F” in catastrophe planning many times it costs them their business. Before we get to the nuts and bolts of this issue, I would like to make a couple of observations that we need to consider: 1. Every client knows they need a catastrophe plan – I have never discussed this issue with our clients and had them tell me they understand the issue and do not believe they need a plan in the event a catastrophe hits. Many have not thought about it, or have but for any number of reasons have put it off. 2. Every business we insure is exposed to some extent – it never ceases to amaze me that we live in a coastal state and are surprised when a hurricane hits. “Oh my God, a hurricane hit South Carolina.” Well, guess what, another one will hit someday. But remember, a catastrophe does not have to be in the form of a hurricane. It could be a fire, vandalism or a number of other causes. 16

South Carolina Agent & Broker • Summer 2017

Very few insureds know how to get started in developing a plan. Your clients are in business to make money. Very few spend quality time planning for what may never happen. They spend their time and energy in the development of the business, not protecting it. I have heard the term “Value Added” service thrown around a lot. My conclusion is that very few of us have a clue what it means. For the purpose of this article, think of “value added” as something you provide for your clients that your competition can’t or won’t.

Certainly a catastrophe plan has many uses to a business and affects many areas of coverage, but I think the most overlooked are in the area of Business Income. This article discusses how to use a catastrophe plan to assist in writing and setting our business income coverage limit. Let’s discuss the first “F” (failure) of catastrophe planning

“FORMALIZED”

Businesses need a written, well-thought-out plan for dealing with catastrophe. So many times I have discussed these issues with clients only to be told that they have a good idea what they would do but they just have not taken the time to write it down. When I ask if this concerns them, they usually respond to the affirmative. The tragedy of not having a written plan means that the day after devastation strikes we must start making decisions. Do you really think any of our clients are in the right frame of mind to do this? Ask your clients this simple question: “If you were to arrive at work tomorrow to find the fire department putting out the ashes of what used to be your business location, what would you do?” To compound this issue, ask the same question in reference to a devastating hurricane. Make them answer the question. You may want to even offer some assistance such as “Can you Continued on page 18 >>

Meeting my customers where they work. Crafting each policy to meet different needs. Partnering with Builders Mutual insurance.

Thatâ&#x20AC;&#x2122;s how I get the job done right. BuildersMutual.com

Summer 2017 â&#x20AC;˘ South Carolina Agent & Broker

<< Continued from page 16

reopen at another location? If so, where? What about telephone and computer equipment? Is the new location properly wired?” The list of questions can go on and on. The fact of the matter is they have no idea where they will go or what they will do. Many years ago I received a call from a large company that wanted their insurance reviewed. The account was not written locally, but through an agency in Louisiana. They simply wanted me to review their coverage and be willing to attend a board meeting and answer any questions that may arise. I agreed and upon review I thought the agency that had written this coverage had done an exceptional job. I was only concerned about one major issue. The client had a small amount

of Business Income coverage, but no Extra Expense coverage was written (Business Income without Extra Expense had been used). I asked the CFO of the company if they had a catastrophe plan; his response was that although they did not have it formalized (in writing) they felt they had a good idea what they would do. His plan was to contact other providers of their service locally and rent office space and contract out any service to these other providers that they could not. I asked what seemed to be a simple question. “If your competition wanted to help you that would be great, but what if they saw this as an opportunity to put you out of business, or at the very least capture some of your existing market share. Could this happen?” Needless to say he had never thought about this possibility before. He assumed that they would be happy to make the additional income. The issue may not be income but leverage. I even called the agency that handled the account to see if the coverage was offered. Sure enough the Extra Expense coverage was offered, and the insured decided against the coverage due to the price. Does any of this sound familiar?

There are some specific advantages to having your catastrophe plan formalized: • Your client will not be in a position of having to make very difficult decisions at a very emotional time. Most clients are devastated after having a serious loss. It is not the time to be making these tough decisions. Your client can’t afford to make mistakes at this stage of the game. • It allows for careful thought and proper input from other members of the organization, avoiding mistakes made in a spur-of-themoment decision. • It allows for other risk-management tools to be utilized. The thought the CEO had of using the competition was not a bad idea. A formalized reciprocal agreement that allowed assistance to either company in the event of a loss at a predetermined price is not a bad idea. I have seen this approach used in a group of milk dairies. They each agreed that in the event of a loss to any member of the group the other dairies would meet their contracts at a predetermined price per gallon. • It allows the organization to acquire the resources needed before the loss takes place. A good example of this is a power generator in the event of loss of power due to a hurricane. It could also be used to store raw goods or other materials at alternate locations. Perhaps the biggest advantage to a formalized plan lies in answering the question we asked earlier about arriving at work tomorrow to find the fire department putting out the ashes of your former business location. The answer we were looking for is: “I would go to my safe-deposit box (secure location), pull out my catastrophe plan and begin implementing it step by step.” By the way, I have asked this question hundreds of times, and I have never gotten that answer.

“FUNDING”

You may be thinking by now that all of this sounds like a good idea, but where do we get the money to pay for it? That’s an excellent question, one your client will ask by the way. There are a number of ways to fund a catastrophe plan, let’s look at a few: 1. Use the current resources of the business. If the business is in a good cash position (most are not) this may be possible. But even if it is I don’t think it is a wise allocation of the funds. Most businesses want to use the additional revenues to expand or grow the company in some area. To use this money for funding the catastrophe plan would prevent this possibility. 18

South Carolina Agent & Broker • Summer 2017

2. Borrow the money needed using the business or its resources as collateral. Most businesses have good credit and this may be a possibility, but keep in mind you have just had a loss. Depending on its severity there may be little or no revenue coming in. I have noticed that banks love to loan money when all is going well and there is plenty of revenue coming in, but they hate us when we really need the money because revenues are restricted. 3. The business could start a sinking fund. A sinking fund is simply a savings account designated for a particular purpose. This one may not be a bad idea; after all we all need to save a little for a rainy day (or so my dad always told me). The problem is that if the loss occurs prior to enough money being saved to adequately pay all the costs, we would have to revert back to one of the other methods described above. 4. By now you are probably questioning if there are any good ways to fund a catastrophe plan. The answer is, yes. You simply formalize your catastrophe plan, price out the cost associated with funding it and then use Extra Expense coverage to pay for it. This strategy allows the use of discounted dollars (the cost of insurance) in the event a loss occurs. It can be accomplished with the Extra Expense Coverage Form or the Business Income (Including Extra Expense) Coverage Form. I would suggest the later. The Extra Expense Coverage Form has limitations on how much money can be spent in a thirty-day period, where the Business Income Coverage Form has no limitations. If you have purchased enough insurance, you can use it any way you choose. This is a win-win scenario. Now that we understand the importance of not receiving an “F” in our planning for a catastrophe let’s discuss some of the tools that may help you and where to find them. Simply pointing out a problem to our client without any possible solutions will not only leave them frustrated, but also looking for a new agent. There are a lot of articles under the heading of “catastrophe” or “disaster” planning on the Internet. It may be worthwhile to research some of these. Some other tools that I have found are as follows: • Business applications software. Look at your local software companies in the business section. Many have software plans specifically, others have them included in “business plan” software. See which ones work better for you. • The Institute for Business and Home Safety has a free publication called “Open for Business – A Disaster Planning Tool Kit for the Small Business Owner.” It can be found on their website (disastersafety.org) under “Business Protection” along with some other helpful resources. I hope this gives you some information where you can begin to learn more about catastrophe planning. As you learn more, pass that information on to your clients. Keep in mind what we discussed at the beginning of this article, “Value Added” services are things we do for our client that our competition can’t or won’t. Catastrophe planning represents an excellent opportunity for us to separate ourselves from our competition, leading to greater service and revenues. Terry Tadlock will be in Charleston and Columbia this September to give attendees an in-depth look at one of the most confusing coverages, Business Income. Learn more and register using our online education calendar at www.iiabsc.com. Business Income – The Mystery Continues Columbia, Sept. 27 Charleston, Sept. 28 Filed for 6 hrs. P&C credit. $155 members/ $175 nonmembers

Summer 2017 • South Carolina Agent & Broker

Scholarship Golf Tournament April 25, 2017

Wildewood Country Club, Columbia Premium sponsors Glasspro Johnson & Johnson Preferred Specialty, LLC

Prize sponsors

AFCO/ Prime Rate Premium Finance Bankers Insurance Group HICI - Haulers Insurance Co. Irmo Insurance Group Milhous, CPA, PA Robert E.

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Tournament champions: Jack Oâ&#x20AC;&#x2122;Connell, Jeff Prendergast, Bill Turbeville, Jon Weiss, Jr. Longest Drive: Todd Smith. Closest to the Pin: CJ Ramsey. All proceeds of this tournament benefit the IIABSC Young Agents Scholarship Fund to support educational leadership and networking opportunities for young agents. 20

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South Carolina Agent & Broker • Summer 2017

[Continued on page 24]

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m m

July

Commercial Lines Myths – Part I, 1 hr. P&C

Garage Basics, 2 hrs. P&C

Building Codes Are BAD for Your Insureds, 2 hrs. P&C

Guy in the Bar Is Back, 3 hrs. P&C

COPE Property Underwriting & Effective Loss Control, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

05 P&C

Commercial Lines Claims That Cause Problems, 2 hrs.

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Retirement Planning and Annuities Update, 2 hrs. L&H

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Long-Term Care Insurance, 2 hrs. L&H

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

Directors & Officers Liability Insurance, 2 hrs. P&C

Data Privacy Insurance, 2 hrs. P&C

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

Insurance and the Property Lease, 2 hrs. P&C

Top 5 Life Insurance Uses, 2 hrs. L&H

12 CISR William T Hold, Charleston, 4 hrs. Ethics & 3 hrs. P&C

View up-to-date calendar, course descriptions and register using our online Education & Event Calendar at www.iiabsc.com/education

Personal Lines Myths – Part I, 1 hr. P&C

CISR Commercial Property, Florence, 7 hrs. P&C

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Commercial Property Endorsements That Can Make You Money, 2 hrs. P&C

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

Innovations in Long-Term Care Funding, 3 hrs. L&H

CISR Dynamics of Service, Rock Hill, 7 hrs. P&C or L&H

Agency Management Based E&O and Ethics, 3 hrs. Ethics

CISR Agency Operations, Greenville, 7 hrs. P&C

BAP Symbols and Endorsements, 1 hr. P&C

The E-world for Insurance Professionals, 3 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Hot Topics in Personal Lines, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

South Carolina Agent & Broker • Summer 2017

August 01

Guy in the Bar Is Back, 3 hrs. P&C

Garage Basics, 2 hrs. P&C

Liability Issues to Worry About: Indemnity Agreements, Addl Insureds, 2 hrs. P&C

Personal Lines Claims That Cause Problems, 2 hrs. P&C

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

Hot Topics in Personal Lines, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

Garage Basics, 2 hrs. P&C

The E-world for Insurance Professionals, 3 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Ethical Issues Personal & Organizational, 3 hrs. Ethics

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

Personal Lines Myths – Part I, 1 hr. P&C

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

10-13

IIABSC Young Agents Conference, Hilton Head Island

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

E&O Mock Trial, 2 hrs. P&C

Insuring Condominiums, 2 hrs. P&C

Those Kids and Their Cars, 2 hrs. P&C

Summer 2017 â&#x20AC;¢ South Carolina Agent & Broker

16-18 CIC Commercial Multiline Institute, Charleston, 20 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

BAP Symbols and Endorsements, 1 hr. P&C

Business Auto Claims That Cause Problems, 2 hrs. P&C

Innovations in Long-Term Care Funding, 3 hrs. L&H

Directors & Officers Liability Insurance, 2 hrs. P&C

Estate Planning Techniques, Options & Opportunities, 2 hrs. L&H

Data Privacy Insurance, 2 hrs. P&C

E&O Roadmap to Policy Analysis, Hilton Head, 6 hrs. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Workers Compensation Issues & Options, Charleston, 6 hrs. P&C

September 01

Directors & Officers Liability Insurance, 2 hrs. P&C

Commercial Lines Myths – Part I, 1 hr. P&C

Data Privacy Insurance, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Garage Basics, 2 hrs. P&C

Guy in the Bar Is Back, 3 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Agency Management Based E&O and Ethics, 3 hrs. Ethics

Business Income Beyond the Basics, 3 hrs. P&C

COPE Property Underwriting & Effective Loss Control, 2 hrs. P&C

Workers Comp Beyond the Basics, 3 hrs. P&C

BAP Symbols & Endorsements, 1 hr. P&C

AIAM Day 6 Ethics/Changing Attitudes, Charleston, 2 hrs. P&C and 3 hrs. Ethics

The E-world for Insurance Professionals, 3 hrs. P&C

Workers Compensation Issues & Options, Columbia, 6 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Home-Based Business Exposures, 2 hrs. P&C

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

Workers Compensation Issues & Options, Greenville, 6 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

CISR Commercial Property, Greenville, 7 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

CISR Personal Auto, Columbia, 7 hrs. P&C

Workers’ Comp For Working People

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South Carolina Agent & Broker • Summer 2017

Insurance and the Property Lease, 2 hrs. P&C

Business Income-The Mystery Continues, Columbia, 6 hrs. P&C

Top 5 Life Insurance Uses, 2 hrs. L&H

Retirement Planning and Annuities Update, 2 hrs. L&H

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

Business Income-The Mystery Continues, Charleston, 6 hrs. P&C

Innovations in Long-Term Care Funding, 3 hrs. L&H

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

CISR Personal Lines Misc., Hilton Head, 7 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Personal Lines Myths – Part I, 1 hr. P&C

13 13

21 Commercial Lines Claims That Cause Problems, 2 hrs. P&C 21

Long-Term Care Insurance, 2 hrs. L&H

October

Commercial Property Endorsements That Can Make You Money, 2 hrs. P&C

Garage Basics, 2 hrs. P&C

Guy in the Bar Is Back, 3 hrs. P&C Directors & Officers Liability Insurance, 2 hrs. P&C Data Privacy Insurance, 2 hrs. P&C

BAP Symbols & Endorsements, 1 hr. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Hot Topics in Personal Lines, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

04 CISR Personal Residential Property, Charleston, 7 hrs. P&C

27-29

Data Privacy Insurance, 2 hrs. P&C

CIC Commercial Property, Myrtle Beach, 20 hrs. P&C

The Customer Service Experience, Greenville, 6 hrs. P&C

Commercial Lines Myths – Part I, 1 hr. P&C

Building Codes Are BAD for Your Insureds, 2 hrs. P&C

Liability Issues to Worry About: Indemnity Agreements, Addl Insureds, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Personal Lines Claims That Cause Problems, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

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Summer 2017 • South Carolina Agent & Broker

E&O Mock Trial, 2 hrs. P&C

The E-world for Insurance Professionals, 3 hrs. P&C

AIAM Day 5 Regulation & Politics/Leadership, Greenville, 6 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Ethical Issues Personal & Organizational, 3 hrs. Ethics

AIAM Day 6 Ethics/Changing Attitudes, Hilton Head, 2 hrs. P&C and 3 hrs. Ethics

CISR Commercial Casualty I, Greenville, 7 hrs. P&C

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

Commercial Lines Myths – Part I, 1 hr. P&C

Personal Lines Myths – Part I, 1 hr. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Business Auto Claims That Cause Problems, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Estate Planning Techniques, Options & Opportunities, 2 hrs. L&H

E&O Roadmap to Policy Analysis, Columbia, 6 hrs. P&C

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Innovations in Long-Term Care Funding, 3 hrs. L&H

15-17

IIABSC Annual Convention, Myrtle Beach

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

November

Insuring Condominiums, 2 hrs. P&C

Business Income Beyond the Basics, 3 hrs. P&C

Those Kids and Their Cars, 2 hrs. P&C

Business Income Beyond the Basics, 3 hrs. P&C

1-3

CIC Agency Management, Hilton Head, 16 hrs. P&C or L&H and 4 hrs. Ethics

BAP Symbols and Endorsements, 1 hr. P&C

Hot Topics in Personal Lines, 2 hrs. P&C

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

The E-world for Insurance Professionals, 3 hrs. P&C

Workers Comp Beyond the Basics, 3 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Home-Based Business Exposures, 2 hrs. P&C

Garage Basics, 2 hrs. P&C

FIND ALL YOUR INSURANCE NEEDS IN ONE PLACE

South Carolina Agent & Broker • Summer 2017

Summer 2017 â&#x20AC;¢ South Carolina Agent & Broker

Guy in the Bar Is Back, 3 hrs. P&C

Agency Management Based E&O and Ethics, 3 hrs. Ethics

Commercial Property Endorsements That Can Make You Money, 2 hrs. P&C

BAP Symbols and Endorsements, 1 hr. P&C

Hot Topics in Personal Lines, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

17 Ultimate Account Manager-Module 2, Greenville, 6 hrs. P&C 20

Retirement Planning and Annuities Update, 2 hrs. L&H

CISR Personal Lines Misc., Rock Hill, 7 hrs. P&C

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

Personal Lines Myths – Part I, 1 hr. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Insurance and the Property Lease, 2 hrs. P&C

Top 5 Life Insurance Uses, 2 hrs. L&H

28 Commercial Lines Claims That Cause Problems, 2 hrs. P&C

CISR Commercial Casualty I, Charleston, 7 hrs. P&C

Long-Term Care Insurance, 2 hrs. L&H

COPE Property Underwriting & Effective Loss Control, 2 hrs. P&C

Commercial Lines Myths – Part I, 1 hr. P&C

Building Codes Are BAD for Your Insureds, 2 hrs. P&C

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

14 Ultimate Account Manager-Module 1, Charleston, 6 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Innovations in Long-Term Care Funding, 3 hrs. L&H

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

Directors & Officers Liability Insurance, 2 hrs. P&C

Data Privacy Insurance, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

15 Ultimate Account Manager-Advanced, Charleston, 6 hrs. P&C 15

CISR Dynamics of Service, Florence, 7 hrs. P&C or L&H

16 Ultimate Account Manager-Advanced, Columbia, 6 hrs. P&C

December 01

Top 10 Workers Comp Risks Employers Unknowingly Assume, 2 hrs. P&C

Insurance & BBQ: The Hidden Connection, 3 hrs. P&C

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South Carolina Agent & Broker • Summer 2017

Garage Basics, 2 hrs. P&C

Guy in the Bar Is Back, 3 hrs. P&C

The Customer Service Experience, Columbia, 6 hrs. P&C

E&O Roadmap to Policy Analysis, Charleston, 6 hrs. P&C

Ethical Issues Personal & Organizational, 3 hrs. Ethics

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Insuring Condominiums, 2 hrs. P&C

AIAM Day 4 How Not to Get in Trouble with Your Mouth, Greenville, 2 hrs. P&C and 4 hrs. Ethics

The E-world for Insurance Professionals, 3 hrs. P&C

Professional Ethics in the Insurance Industry, 3 hrs. Ethics

Business Income Beyond the Basics, 3 hrs. P&C

Earthquake Basics: Shake, Rattle & Roll with It, 1 hr. P&C

Drones – Problems, Solutions & Insurance, 3 hrs. P&C

Certificates of Insurance Emerging Issues, 3 hrs. P&C

Liability Issues to Worry About: Indemnity Agreements, Addl Insureds, 2 hrs. P&C

Those Kids and Their Cars, 2 hrs. P&C

AIAM Day 3 Negotiating Conflict/Professional Relationships, Columbia, 6 hrs. P&C

13 CISR Elements of Risk Management, Columbia, 7 hrs. P&C 13

Personal Lines Myths – Part I, 1 hr. P&C

E&O Mock Trial, 2 hrs. P&C

Workers Comp Beyond the Basics, 3 hrs. P&C

Rental Cars: More Than Meets The Eye, 2 hrs. P&C

Directors & Officers Liability Insurance, 2 hrs. P&C

Data Privacy Insurance, 2 hrs. P&C

Agent-Friendly Endorsements for CGL and BAC Forms, 2 hrs. P&C

Business Auto Claims That Cause Problems, 2 hrs. P&C

Estate Planning Techniques, Options & Opportunities, 2 hrs. L&H

Home-Based Business Exposures, 2 hrs. P&C

BAP Symbols & Endorsements, 1 hr. P&C

Commercial Lines Myths – Part I, 1 hr. P&C

Hot Topics in Personal Lines, 2 hrs. P&C

National Flood Insurance Program Basic Course-2016, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

Personal Lines Claims That Cause Problems, 2 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part I, 3 hrs. P&C

E&O Risk Management, Meeting the Challenge of Change Part II, 3 hrs. Ethics

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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. ©2016 Berkley Southeast Insurance Group. All rights reserved.

Summer 2017 • South Carolina Agent & Broker

Farewell to Two of the Best

IABSC would like to extend our heartfelt gratitude to two of the most popular and well-loved CIC National Faculty members, James T. “Jim” Harrison Jr., JD, CIC, CPCU, CLU, ChFC and Jerry Milton, CIC. Jim is retiring as a National Faculty member at the end of 2017 and Jerry will only be teaching in the three states that he also serves as Education Consultant beginning in 2018. Their final appearance in South Carolina will be at the CIC Commercial Property Institute in Myrtle Beach Sept. 27-29. Jim is one of the founders of the CIC program and was part of the inaugural CIC Institute, which was conducted in Austin, Texas, at the Sheraton Crest Hotel in September of 1969. He was the first CIC Education Consultant for the state of Florida beginning in October 1974 and will be conducting his last program in Florida later this year. Jim also served as an Education Consultant for the Pennsylvania, Maryland, and Delaware Associations since 1997. Jerry began his career as a CIC National Faculty member in 1981. Jerry has been a CIC Education Consultant for the Pennsylvania, Maryland, and Delaware Independent Insurance Agents Associations since the early 1990s, sharing that huge responsibility with Jim. Jerry also provides CE specialty programs for these states and is a regular contributor to their magazine.

YOUR CUSTOMERS. OUR PROMISE. Jim Harrison, JD, CIC, CPCU, CLU, ChFC

Craig Johnson, CPA, MBA Chairman of the Board, President & CEO

Jerry Milton, CIC

Together Jim and Jerry have conducted thousands of CIC Institutes, James K. Ruble seminars, convention and specialty CE programs in virtually every state in the nation. In 2014, both Jim and Jerry were recognized by the National Alliance for Continuing Education and Research as Distinguished Faculty members. This is the top award given to CIC faculty members and recognizes their commitment to excellence in education and instruction with strong leadership, training and faculty-development skills. Jim and Jerry always put the needs of the CIC participants first, and they will be greatly missed by IIABSC and the entire South Carolina CIC community. Thank you, Jim & Jerry, for your years of dedicated service to the insurance industry and the CIC program. All of us who ever attended one of your presentations are better at what we do because of YOU. 32

FCCI Insurance Group has been insuring businesses and doing what we say we’ll do for more than 58 years. We partner with our agents to provide expertise in underwriting, risk management and claims handling that help businesses thrive and face the future with confidence.

South Carolina Agent & Broker • Summer 2017

At M. J. Kelly, we focus on providing you with diverse products, superior service, industry knowledge, and real solutions. Tap into the strength and success of four decades as leading brokers and managing general agents. Our success is yours, and we appreciate the past while growing to access new markets and deliver superior products. We’ve built our business on relationships and results. Together we can do so much.

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

Summer 2017 • South Carolina Agent & Broker

Member News

JON JENSEN ELECTED IIABA VICE CHAIRMAN DURING NATIONAL LEGISLATIVE CONFERENCE Jon A. Jensen, AAI, AIP, of member agency Correll Insurance Group in Spartanburg was elected Vice Chairman of our national association, Insurance Agents & Brokers of America (IIABA), during the National Legislative Conference held May 3-5 in Washington, D.C. He will be sworn into office Sept. 9 at the Fall Leadership Conference in Chicago. Jensen is only the second South Carolina agent to hold office with the national association. Hayne P. Glover of Greenville served as national president in 1961.

Jon Jensen of Correll Insurance (center) addresses Young Agents Conference attendees during the “Industry Heavy Hitters” Panel of the 2015 Young Agents Conference in Asheville, North Carolina.

ASHLEY BRADY ELECTED/ SWORN IN AS MARION CITY MAYOR Ashley Brady of member agency First Charter Company, Inc., in Marion was elected Mayor of Marion during the April 11 election. He was sworn into office on April 17 at the City Council meeting. The City of Marion is governed by a Mayor-Council form of government, which means the elected mayor is the chief administrative officer with a councilappointed administrator to assist with day-to-day governing. The mayor is also the presiding officer of the six-member city council, which sets and directs city government policy. It is a four-year term.

South Carolina Agent & Broker • Summer 2017

Ashley Brady of First Charter Company is sworn into office as the Marion City Mayor beside his wife, Becky, during the April 2017 Marion City Council meeting.

A&M Assoc Ad SC PRINT.pdf

10/20/15

12:38 PM

Correction “In the spring issue of South Carolina Agent & Broker, Miles Merwin was incorrectly identified as having sold his agency in the Assure Alliance display ad. Also, Miles Merwin’s correct title is Principal Advisor, Advisors Insurance Agency. He is correctly identified in our online issue.”

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$100,000 Maximum Policy Limits AAIS Special Form 3 Policy 15% New & Renewal Commission Partnership Profit Sharing Fast Online Policy Issuance Direct Contract with National Security Replacement Cost Option Discounts for New Home and 50+ Age of Insured • Easy Payment Options National Security has provided competitive, affordable insurance to policyholders for over 50 years, but we also provide a lot for our agents, with competitive commissions, excellent customer service and experienced company adjusters. As an admitted Southeastern based regional company, National Security prides itself on fast, efficient service from a friendly small town company, and online access for all agents, providing fast quotes, online policy issuance, online dec page printing, and real-time policy information. Find out more by calling Sharon at 1-800-239-2358 x213 or visit nationalsecuritygroup.com.

Elba, Alabama

Summer 2017 • South Carolina Agent & Broker

AFCO/Prime Rate Premium Finance Allstar Financial Group AMERISAFE Assure Alliance, Inc. Builders Insurance Group Frontline Insurance Geovera Specialty Ins. Co. & Coastal Select Imperial PFS

Bankers Insurance Group Centauri Specialty Ins. Co. Gulfstream Property & Casualty Jackson Sumner & Associates Motorists Insurance Group Preferred Specialty, LLC St. Johnâ&#x20AC;&#x2122;s Insurance Company UPC Insurance Co.

Access Accident Fund Ins. Co. of America Allstate Insurance Company Auto-Owners Insurance Berkshire Hathaway GUARD Ins. Capitol Preferred Ins. Co. & Southern Fidelity Central Insurance Companies 36

Frankenmuth Insurance Genesee General Hanover Excess & Surplus Inc. Hull & Co. Inc. Insurance House J.M. Wilson Mid-Continent Group Penn National Insurance

South Carolina Agent & Broker â&#x20AC;˘ Summer 2017

The Main Street America Group Markel Specialty National Security Fire & Casualty Prime Insurance Company Risk Placement Services Safeco Insurance SCU Southern Ins. Underwriters Travelers Wright Flood

Risk Innovations Sentry Insurance Southern Mutual Insurance Co. State Auto Insurance Company Stonewood Insurance Company Tapco Underwriters, Inc. Universal North America

Summer 2017 â&#x20AC;¢ South Carolina Agent & Broker

2017 Board of Directors Executive Committee

Directors

Chairman R. Scott Moseley Irmo Insurance Agency Irmo, SC scott@irmoins.com

National Director Jules Anderson, AAI Anderson Insurance Associates Charleston, SC janderson@aiasc.com

William C. Carter, CIC (Cooper) Pinckney-Carter Company Charleston, SC cooper@pinckneycarter.com

Robert E. Nalley (Robbie) Creech Roddey Watson Ins Sumter, SC rnalley@crwins.com

Chairman Elect/ Treasurer Tom Bates, Jr. Herlong Bates Burnett Greenville, SC tom@hbbins.com

Immediate Past Chairman Kenneth A. “Ken” Finch, CPCU, CIC, CRM, AAI Adams Eaddy & Associates kfinch@adamseaddy.com

Robert W. Hammett, AIP (Rob) CWS Insurance Agency Inc. Spartanburg, SC rob@cwsinsurance.com

Tonya S. Thomason, CIC David A. Crotts & Associates Greenwood, SC tonya.thomason@dcrotts.com

Carrie Johnson, ChFC, CLU, AAI Carrie Johnson Insurance Murrells Inlet, SC cj_ins@sccoast.net

Matthew B. Wiseman, CIC CISR (Matt) Peoples Underwriters Inc Myrtle Beach, SC mattw@peoplesunderwriters.com

Andrew E. Muller, CIC, AAI, CWCC, PRIS Mappus Insurance Agency Inc. Charleston, SC andrew@mappusinsurance.com

Teresa C. Yount, CPCU, CIC, CRM, AINS, CPIW Correll Insurance Group Spartanburg, SC tyount@correllinsurance.com

Secretary James G. Taylor, Jr., CIC (Jay) Kinghorn Ins Agency of Beaufort Beaufort, SC jtaylor@insurancebeaufort.com

Benjamin C. Myers, AIP (Ben) Russell Massey & Co. Inc. Columbia, SC ben@russellmassey.com

HOMEOWNERS | DWELLING FIRE | CONDOMINIUM OWNERS | FLOOD

OUR

PROMISE

Count on us at the time of greatest need. Property and liability insurance you can count on from a company with a long track record of success in being here for property owners in their time of greatest need. 38

South Carolina Agent & Broker • Summer 2017

contact Rhett Orr phone 803-403-6761 email rorr@upcinsurance.com upcinsurance.com

Summer 2017 â&#x20AC;¢ South Carolina Agent & Broker

The ISU Unique Competitive Advantageâ&#x201E;˘ Awarded only to qualified, well established and highly successful Independent Agencies with at least $1,000,000 of revenue.

The ISU Insurance Agency Network is a nationwide community of fiercely independent Agents committed to one anotherâ&#x20AC;&#x2122;s mutual success and united by strong fellowship, common attitudes, interests and goals.

Call to request a no obligation exploratory discussion T. J. Ryan, III Charleston, SC 843-416-4953 www.joinisu.com