PIAW July/August 2023 Magazine

We are a community of independent agents and other dedicated insurance professionals, working to promote and improve the independent agency channel. Our mission is to support the advancement and excellence of all independent agencies.

EDUCATE. ADVOCATE. COLLABORATE.

EDUCATE

We are the premier association for insurance education in Wisconsin. Grow your knowledge and your bottom line, at our education sessions. Whether you want to pursue a CIC, CPIA, CISR or CRM designation, or just meet your bi-annual Wisconsin CE requirement, you have come to the right place.

ADVOCATE

With lobbyists representing you in Madison and in Washington, D.C., PIA is looking out for your interests and promoting the independent agency channel within state and federal government. Our goal is a regulatory environment that allows your agency to grow and prosper.

COLLABORATE

PIA is a place for you to collaborate with, and learn from, other agents and many other professionals in the industry. Starting an agency? We’ve been there. Growing an agency? We’ve been there. Considering a new agency management system? PIA members have been there. Whether at our PIAW Winter Get-Away event in Minocqua, Annual Convention, Scholarship Golf Outing or dozens of other events, you can collaborate with other professionals who have “been there.”

THE POWER OF ONE – YOU!

Throughout history, we have heard copious examples of how a singular person’s actions have made a significant difference in the world. Perhaps it was a life saved when a bystander leapt into action even with their own wellbeing at risk. It could be a movement that was started when one brave individual put herself out there for a cause that benefited the greater good. On a smaller scale, we observe the indelible positive impacts every single day that teachers, parents, neighbors, professionals, police officers, and other “ordinary” people can have within their spheres of influence. In fact, each person reading this article undoubtedly has a personal example of how he or she impacted the world around them for the better because of something they said or did.

No matter how big or how small the scope of significance may be, there is a common thread that runs through all of these instances. The common denominator is this: One person decided to act; to simply move into action and do something. Admittedly, the effects of such decisions are generally neither immediate nor dramatic. More often, each effort is a miniscule moving of the needle that compounds in potency given enough time and consistency.

For most people, there is no shortage of “what-ifs” and “should’ves” that plague our thoughts like a bad song that gets stuck in our mind. After all, nobody wants to come to the end of their life and reminisce on all the ways they didn’t make a difference and didn’t make their opportunities count. Fortunately, opportunities abound and most of us are willing. The looming question is simply “how?”

I’m convinced that the PIA consists of some of the best and brightest insurance professionals in the industry. Most have experienced the satisfaction that comes with helping protect what is most important to our insureds by educating, writing correct coverages and limits, and advising well. We have been there for our clients when they cut the ribbon on their new businesses and when we deliver the life insurance check to the widow. What we do matters – maybe even more than we realize.

In addition to the difference we make in our (agency or carrier) role within the independent insurance channel, the PIA provides numerous onramps which allow individuals to cast an even wider net of positive influence. Let me give an example. In March and May, members of the PIAW, its Board, and Legislative Committee members, met with lawmakers in both Madison and Washington DC to advocate on critical insurance-related legislative issues. These issues, which we have outlined in several recent editions of the Wisconsin Professional Agent magazine, would have direct implications on the entire insurance industry.

Incredibly, this small group of individuals was able to schedule inperson meetings with lawmakers in their offices, discuss the details of the issues, and make recommendations in favor of, or in opposition to, proposed legislation. Often times, the legislators were not familiar with the ramifications of the issues and subsequently took preferred action based on the PIA’s recommendations. While the outcomes of some of these issues have yet to be determined, it is evident that the decision of these PIAW individuals to act is truly moving the needle in the right direction.

One person decided to act; to simply move into action and do something.

STEVE CLEMENTS, CPIA President, PIA of Wisconsin

(608) 473-1045

benefits for agency owners

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WISCONSIN AGENCIES HIT WITH ADA LAWSUIT THREATS

The Americans with Disabilities Act of 1990 (ADA) has guided the construction and remodeling of buildings with public accommodations for 30 years now, improving access to retail businesses and other public places for persons with disabilities.

An unfortunate side effect to expanding opportunities for persons with disabilities, was expanding opportunities for trial attorneys to bring predatory lawsuits against businesses. In the beginning, those lawsuits involved sending “testers” into retail businesses and having them take measurements of doorways, bathroom sinks and the like.

The result would be dozens of ADA lawsuits filed against businesses in a city, all at once. All would be offered the opportunity to settle the suit for $5,000$10,000. Since hiring a lawyer to go to court would cost more than that, most business owners just paid the settlement and then went about fixing the violation that was found.

Enter the era of internet commerce, where consumers can find goods and services at websites rather than physical stores. Are these websites considered “public accommodations” under the ADA? If they are, then the “testers” don’t even have to visit your property. They can scan your website from anywhere in the U.S., find accessibility failings of your website and bring a lawsuit against you.

Certain law firms from outside of Wisconsin are conducting this testing

on our websites, in recent weeks. I know this because I’m receiving calls from PIA members who have received demand letters asking for $5,000 to avoid a lawsuit.

Federal courts around the nation are widely split on whether websites are fair game for these lawsuits. The 7th Circuit Court of Appeals, covering Wisconsin, Illinois and Indiana, has not set a clear precedent on the matter. Therefore, it is hard to predict how a court here would rule on the question. However, the U.S. Supreme Court has agreed to hear a website ADA lawsuit during its 20232024 session. This means that we should have an answer about a year from now, in the summer of 2024.

In the meantime, Wisconsin businesses continue to receive letters threatening lawsuits if they don’t pay up. While I’m not an attorney and I can’t provide legal advice, I can tell you what I know: I know that a letter threatening a lawsuit is not a lawsuit. There is no more obligation to respond to such a letter than to any other phishing-type letter or email you might receive.

I know that the Ohio law firm behind the recent round of ADA lawsuit threats does not have an attorney barred in Wisconsin, because one PIA member’s attorney looked into that and told us so. This suggests they are not prepared to go to court at this time.

I know that a response to such a letter could make you stand out among the thousands of targeted businesses receiving these letters. Kind of like that

Certain law firms from outside of Wisconsin are conducting this testing on our websites, in recent weeks.

PETE HANSON, CAE, CISR Executive Director, PIA of Wisconsin

first tug on a fishing line that tells a fisherman to set the hook.

I know that paying a settlement to anyone does not fix an accessibility shortcoming in your website. Nor does it prevent other parties from bringing additional claims against you, knowing that you’ve already settled once.

I know that businesses building or redesigning their websites should take website accessibility into account. Consider having your website designed to follow Web

I know that, prior to building a WCAG-compliant website, businesses can add an accessible link to their websites – directing users to a place where they can report accessibility issues and contact the business through alternative means, such as email, phone or chat.

I know that, if the Supreme Court says websites are public accommodations, the number of ADA lawsuits will explode and the big winners will be unscrupulous trial attorneys.

Have you received a letter threatening an ADA accessibility

BOB WOLFGRAM Director

PROTECTION OR PRICE?

Being in a hard market, as we are now, it might seem more than ever that price is the driving force when people make decisions on where to have their insurance. A hard market may be something very new to a lot of agents in our industry. Inflation had been going along at a very slow pace for a super long time. Interest rates were barely a couple of percentage points and had been low for many years.

Then late in 2021, things started to shift and in 2022, we got hit with one of the worst claims years in our industry’s history. High inflation rates, supply chain issues and labor shortages intensified the problem. Then the investment income that helps cover a sizable part of the bottom line for companies also dropped off. The Feds printed dollars endlessly - It really is not a shock that inflation became a problem.

Now, you combine the above with a customer base that has been groomed through years from advertising – that our industry definitely brought upon itself - that price is king. You all have watched and heard the commercials. Give X amount of minutes and save

Y percentage in premiums. There are many more examples, but you get the point.

As independent agents, a huge advantage we have is the fact that we have many partners. We can definitely use that! Not just for price, though. We have options that captive agents do not. It’s more important to give the customer options and for us to explain to them what’s truly at stake. Having cheap insurance is nice when writing the check for the premium. But at the time of a claim, is that cheap insurance worth anything? Spoiler alert: It can be life changing if they do not have what they need. The time of a loss is when that becomes crystal clear.

Bring the customer into the conversation. Explain the options. Then, let them make the choice. At the end of the day, after we educate our customers, the decision remains with them. But thankfully, we have many options that they can consider.

Hang in there during these challenging times. This too shall pass! Cheers to the independent agency model!

As independent agents, a huge advantage we have is the fact that we have many partners.

HCAPITOL UPDATE

At the time of writing, the Joint Committee on Finance is in the final weeks of crafting the biennial budget agency by agency. At the same time, legislators have been working through a major effort to amend how state funding is distributed and provide much sought after increases to local governments. That effort, authored by Senator Mary Felzkowski (R –Tomahawk) and Representative Tony Kurtz (R – Wonewoc) cleared both houses of the Legislature and was signed by Governor Evers in late June. This legislation faced an upward battle due to objections over how Milwaukee would be able to enact additional sales tax but was ultimately approved on a widely bipartisan basis. One of the important policy provisions included in that effort was a longtime priority of PIA: repealing the personal property tax.

Wisconsin Businesses Celebrate the End of the Personal Property Tax

After over 175 long years, Wisconsin’s personal property tax is finally coming to a (much overdue!) end. Having existed since before Wisconsin became

a state, the personal property tax has required all businesses to repeatedly pay an annual tax on all of their furniture, fixtures, and equipment. Though items depreciate in value, the value never reaches zero, so businesses have been paying tax on furniture that is decades old. This has put Wisconsin businesses at a continual economic disadvantage compared to neighboring states where the tax no longer exists.

By eliminating this tax, Wisconsin joins the same economic playing field as our neighbors and encourages small business owners to invest in their business without fear of duplicative taxation. As a longstanding priority for PIA, we are proud to have continued the push for this relief for our members and businesses owners. Thank you to Senator Duey Stroebel (R – Saukville) and Senator Dan Knodl (R –Germantown) for their work in crafting the language of this priority issue and thank you to Senator Mary Felzkowski and Representative Tony Kurtz for their efforts in leading the final bill (AB 245) that secured its passage. This is an outstanding success for members and small business owners statewide!

Wisconsin Assembly Approves Requiring Financial Literacy Education

PIA has continued to advocate for the importance of financial literacy education for high school students and has been supporting Assembly

Bill 109/Senate Bill 115 authored by Representative Alex Dallman (R –Green Lake) and Senator Joan Ballweg (R – Markesan). This legislation would require one-half credit of financial literacy education for high school graduation that includes instruction on credit and debt, risk management and insurance, money management, saving and investing and more.

This effort is important in preparing young adults to be financially conscious and responsible citizens. Poor financial decision making can make an impact on someone’s insurance options, and the decision to not obtain insurance can cause irreparable damage to their financial future. It not only could be disastrous for them personally, but it can be for others on the roads as well.

Providing this instruction does not guarantee responsible behavior, but it does give students the basic tools that they need to make more empowered financial decisions moving into adulthood. We are pleased to report that the bill made it through the committee process in the Assembly and came to the floor for a vote where it passed 95-1. PIA will continue to advocate for passage by the Senate prior to the end of the session so that students receive that base-level financial education.

Continue to keep up with PIA’s advocacy efforts by reading updates here and on our PIAW blog at piaw.org.

NATALIE WHITE Communications Director

H PIAW Travels to Washington D.C.

Representatives of PIAW traveled to Washington D.C. in May for PIA National’s annual Advocacy Day on May 10th. During the trip, attendees met with their legislators from around the State of Wisconsin to discuss important issues at the national level that are impacting independent agents.

A key issue was the reauthorization of the National Flood Insurance Program, ensuring that agents are compensated fairly, and protecting agents’ role as a part of the flood insurance process. Attendees also focused on the importance

of non-compete agreements for agencies and urged legislators to oppose any attempts to ban this important tool.

Would you like to travel to D.C. with PIA next year to meet your legislators? PIAW offers a scholarship opportunity for one member to travel alongside the delegation to this important event. The application for the 2024 trip will open in January. But, you can contact Natalie White, now, at nwhite@piaw.org, if you are interested!

Eye on the Law

NO RAFFLE FOR YOU!

In the world of insurance marketing, nothing seems to be easy. One question that came to us was whether an agency could hold a “raffle” at a golf hole that it was sponsoring where there would be no charge to enter, anyone could enter, and there would be no obligation to entertain a quote, to buy a policy, or to terminate an existing policy to win a prize. The prize would be something of nominal value like a box of golf balls. The only requirement to enter was that the person must provide a business card or contact information so that the agent could develop a list of prospects.

Technically, the proposed giveaway is not a “raffle.” Wisconsin’s law strictly regulates raffles. A “raffle” is a game of chance where tickets are sold and drawings for prizes are held. Raffles are regulated as gambling, and licenses can only be granted to local religious, charitable, service, fraternal, veterans, or 501(c)(3) organizations. As a general matter, insurance agents and agencies cannot conduct raffles.

Free contests like the above-described drawing, however, are different. Free contests are generally permissible and largely unregulated under Wisconsin law, provided there are no hidden costs to enter and no entry requirements beyond filling out a form. A standard “golf course drawing” that is open to all participants without charge, in which participants need only fill out a form to receive an opportunity to win a prize, is permissible for many businesses due to a lack of consideration—the person does not have to pay or give other consideration to enter the contest.

Insurance agents, however, are not most businesses. Enter Wisconsin Administrative Code ch. Ins 20 – Insurance Marketing. This administrative rule governs “the solicitation or the offering for sale of insurance where the solicitation or sale is either personally solicited or consummated by the agent at the residence or place of business or employment of the buyer or away from the agent’s regular place of business.” Under chapter Ins 20, an insurance agent soliciting or selling insurance away from the agent’s regular place of business (like on a golf course) shall not engage in a “contest or other venture to win a cash award, scholarship, vacation or similar prize, when in fact the principal objective is to make an insurance sale or obtain information to help identify sales prospects.” Accordingly, if the point of the contest is to sell insurance or identify sales prospects and the drawing takes place away from the agent’s place of business, it likely violates the insurance marketing rules.

There may be some circumstance where an agent could possibly do a free contest without running afoul of the rules regarding raffles and insurance marketing. In such cases, there are other rules prohibiting agents from influencing another person to buy an insurance policy or to terminate an existing policy by offering benefits (e.g., the law on unfair inducements and rebating) that may also come into play. In this case, however, if the purpose of the drawing at the sponsored golf hole is to identify sales prospects, the insurance agent should not conduct the drawing.

In other words: No raffle or contest for you!

7 TIPS TO REMEMBER WHEN MOVING A CLIENT’S COVERAGE TO A NEW CARRIER

Failure to mirror coverage when moving a client, whether new business or a renewal, to a new carrier is one of the most significant reasons for an E&O claim. A common scenario is when the insured suffers a loss that would have been covered by the prior carrier, but is not by the new carrier. This turns into an E&O claim against the insurance agent.

WHAT CAN YOU DO?

The actions you take during the quoting process can help or hurt you. The following tips can help:

1. Do not assume the current coverage is still sufficient to meet the client’s needs. Conduct an exposure analysis to capture any new coverage needs.

2. Review the current coverage carefully for sub-limits and any coverages granted by endorsement. Request coverage that matches or expands these coverages.

3. Note differences in coverage, limits/sub-limits, and endorsements to the client in writing when you receive the quote. If this is discussed verbally, memorialize it back to the client in writing to protect your agency from accusations that this wasn’t discussed.

4. Provide clear proposals and specimen policy forms/endorsements. Indicate to the client that they should review them and contact you if they have questions or concerns about coverage levels.

5. Highlight any changes to how payments are handled that could impact the client receiving a payment in a timely manner.

6. Thoroughly review what you receive from the carrier. There may be changes to coverage from one year to the next even if you are renewing coverage with the same carrier. E&S placements can make changes to coverage without communicating this to the insured or the agent.

7. Get the client’s written approval of the terms to be bound. This is particularly important when a client chooses to reduce coverage in the interest of premium savings.

OCI ADMINISTRATIVE ACTIONS

Madison, WI—OCI has taken the following administrative actions. In many of these cases the respondent denied the allegations but consented to the action taken. Any forfeitures paid in these administrative actions are deposited in the Common School Fund which is administered by the Board of Commissioners of Public Lands. The earnings from this fund are distributed to all public K-12 schools in Wisconsin and are used by school libraries to purchase books. Copies of the administrative action orders may be viewed online at https://ociaccess. oci.wi.gov/OrderInfo/OrdInfo.oci.

APRIL 2023

Allegations & Actions Against Agents

Cole Bechman, 215 Turtle Creek Dr., Apt. 6, Delavan, WI 53115, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Steven M. Counts, 802 Harriet Ave., South Beloit, IL 61080, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Thomas V. Demergian, 9629 Shadow Wood Dr., Verona, WI 53593, agreed to the permanent surrender of his Wisconsin insurance license. This action was taken based on allegations of engaging in professional misconduct related to the sales of securities and insurance products.

Gina R. Morrow, 493 1/2 Saint Bernard Dr., Green Bay, WI 54302, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Sabrina Northern, 901 W Winnebago St., Unit 101, Milwaukee, WI 53205, agreed to the one-year suspension of her insurance license. This action was taken based on allegations of borrowing money from an insurance consumer.

Reyna M. Rodriguez, 721 Crawford Dr., Side B, Cottage Grove, WI 53527, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Rodney Steward, 1821 Pine Island Park Ct., Balsam Lake, WI 54810, agreed to pay a forfeiture of $2,500.00. This action was taken based on allegations of making misrepresentations related to insurance contracts.

Hans J. Thottukandathil, 18139 W Pond Ridge Cir., Gurnee, IL 60031, agreed to the permanent surrender of his Wisconsin insurance license. This action was taken based on allegations of making unsuitable insurance product recommendations and failing to report annuity replacement transactions.

Brian A. Wondrash, 1162 Brookwood Dr., Apt. 118, Green Bay, WI 54304, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

MaY 2023

Allegations & Actions Against Agents

James H. Adger, 13138 Carrollwood Creek Dr., Tampa, FL 33624, had his application for an insurance license denied. This action was taken based on allegations of having criminal convictions that may be substantially related to insurance marketing type conduct; failing to disclose all criminal charges/convictions on a licensing application, having administrative actions taken by the states of Wisconsin, Colorado, North Carolina, and Indiana; failing to disclose all administrative actions on a licensing application; providing false information to the commissioner, and submitting a licensing application in violation of a previous agreement not to do so.

Amy Britton, 1045 Terrace Dr., Onalaska, WI 54650, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Jeremy Davis, 3637 Talonega Trl., Ellenwood, GA 30294, had his application for an insurance license denied. This action was taken based on allegations of having administrative actions taken by the states of North Carolina, Illinois, and Florida, and for failing to timely report the administrative actions while actively licensed in Wisconsin.

Kiara C. Gibbs, 11111 W Montgomery Rd., Apt. 412, Houston, TX 77088, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Spencer J. Koskie, 4026 E 2nd St., Superior, WI 54880, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

NATHAN HOUDEK Commissioner of Insurance

Jennifer M. Kuehl, 447 Pine St., Glenwood City, WI 54013, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Kenneth J. Mitchell, 62200 Sugarloaf Trl., Prairie du Chien, WI 53821, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Janelle Ndonyi, 4295 Ocmulgee E Blvd., Macon, GA 31295, had her application for an insurance license denied. This action was taken based on allegations of having a criminal conviction that may be substantially related to insurance marketing type conduct and failing to respond promptly to inquiries from OCI.

Gloria D. Neal, 11800 Grant Rd., Apt. 1001, Cypress, TX 77429, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Nicole M. Nolin, 1924 Sunset Ln., Fullerton, CA 92833, had her application for an insurance license denied. This action was taken based on allegations of having criminal convictions that may be substantially related to insurance marketing

type conduct and having a restricted insurance license in her resident state.

Lisa Palet, 331 Ivory St., Seymour, WI 54165, had her insurance license revoked. This action was taken based on allegations of committing insurance fraud and failing to respond to OCI.

Dorothy M. Pollard, 10020 W Fountain Ave., Apt. 1806, Milwaukee, WI 53224, had her insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Daniel J. Rutkowski, 3535 Olbrich Ave., Madison, WI 53714, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Allen Walker, 3937 N 98th St., Milwaukee, WI 53222, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

Ira Whitmore, 3103 John Ave., Apt. C, Superior, WI 54880, had his insurance license revoked. This action was taken based on allegations of owing delinquent Wisconsin taxes.

OCI is responsible for overseeing the operations and marketing of insurance companies and agents in Wisconsin. OCI encourages anyone with a question or a complaint regarding an insurance company or agent to contact the office at this toll-free telephone number: 1-800-236-8517.

You, Your & Family Members in the Personal Auto Policy

By Samuel T. Bennett, CIC, AFIS, CPRM, CRIS, CPIA

The Lee family is very excited. Their son, Joe, just graduated from high school and will go to college in the fall. Joe will reside in a dorm during his first year and Mr. Lee plans to send him to school in their 2014 Toyota Corolla. In many ways, Joe is following in the footsteps of his 22-yearold brother, Tim, who will begin graduate school at the same university in a few weeks. Tim has possession of a 2016 Honda Civic and has lived in an apartment since his sophomore year. These vehicles are titled solely to Mr. & Mrs. Lee and are listed in the Declarations of their personal auto policy (PAP). Mr. & Mrs. Lee are the Named Insureds on that policy and Tim and Joe are listed as drivers. You have been asked to explain liability coverage in his PAP to Mr. Lee.

In the PAP, definitions are found throughout the form. It is important to understand that DEFINITIONS ARE NOT COVERAGE. Definitions are simply used as part of the process of finding (or eliminating) coverage.

Determining who meets the definition of “insured” in each of the PAP’s coverage parts can be a challenge. We will concentrate on those afforded “insured” status as to liability coverage in this article.

“You” and “your” refer to the Named Insured shown in the Declarations as well as that person’s resident spouse. A non-resident spouse who is not named in the Declarations maintains “you”/“your” status for a limited period of time. Naming both spouses in the Declarations will make them “insureds” at all times, regardless of their residency. Many situations can cause residency concerns – divorce, a job that requires a spouse to live away for extended periods, military service, health challenges that result in a spouse spending time in a care facility. All of these situations can jeopardize residency. The terms “reside” and “resident” are not defined in the policy, so interpretation is left to the courts. This is important because the PAP affords liability coverage more consistently to “you” and “your” than to anyone else.

A “family member” is a person related to you by blood, marriage or adoption who is a resident of your household,

including a ward or foster child. The challenge with this definition seems to be the “who is a resident of your household“ portion. In our example, is the 18‐year‐old college freshman (Joe) who is living in a dorm considered a resident of the Named Insured’s household? How about Tim, the 22-year-old graduate student? How about the many situations that can exist that may fall in between these examples? It is not unusual for your client to have situations in which their children are driving vehicles they own and sometimes they operate vehicles owned by others. As to liability coverage in the PAP, those who meet the definition of “family member” are afforded “insured” status as broadly as “you” and ”your.”

In the Liability Coverage Part’s Insuring Agreement, a promise is made by the carrier (we) to any “insured”. This promise has several elements. The carrier will pay for the legal responsibility of any “insured” for BI or PD because of an auto accident and is subject to other policy provisions (e.g., the coverage part’s exclusions and conditions). Defense is promised, IN ADDITION TO POLICY LIMITS, and is conditional: We have no duty to defend any suit or settle any claim for “bodily injury” or “property damage” not covered under this Policy. The promise is made ONLY to an “insured”. Any person not an “insured” is then not afforded this promise and will find no coverage nor defense.

As you and “family members” are “insureds” for legal liability associated with an auto accident involving ANY auto, the promise of liability coverage is broader for those meeting these definitions than for anyone else. As the word “auto” is not defined, it is impossible to determine which vehicles are autos. Is the 2014 Toyota Corolla an auto? What about a 2021 Ford F250? Or a 2019 Sterling dump truck? As there is no definition of auto – we cannot say that any of these vehicles are NOT autos. Ultimately, “you” and “family members” are afforded “insured” status for ANY auto, including the dump truck.

The Named Insured’s child, parent or sibling who does not reside with the Named Insured is not a “family member” and is not afforded “insured” status here – even if they are listed as drivers.

The nonresident child, parent or sibling - or any other person using “your covered auto” – would be afforded “insured” status under the second part of the definition of “insured.” These people are afforded “insured” status only while using “your covered auto.” For these folks, a friend’s or roommate’s car or any other vehicle would likely not be a

“your covered auto” for the Named Insured. These persons would likely be an “insured” as to the policy on the vehicle itself – but only its coverages and limits would be available to them.

As to the Lee family: It is likely that Joe would continue to be considered a resident of the Lee household for a period of time and, therefore, would remain a “family member.” Past evidence presented in support of residence status has included such information as: voter rolls, tax filings, mail delivery, age and/or level of financial dependency. It is unlikely that Tim could prove that he resides with Mr. or Mrs. Lee and would, therefore, would not be considered a “family member.” Even though he is listed as a driver on the PAP, Tim is only an “insured” while using Mr. & Mrs. Lee’s “your covered auto.” Tim would be afforded no liability coverage in the Lee’s PAP while using any other auto. Joe, on the other hand, as a “family member” could maintain liability coverage, even when using other vehicles.

It is imperative that the insurance professional understand the many nuances of the PAP, in order to provide proper advice.

DELIVERING MORE BY FOCUSING ON LESS. SMALL DETAIL. BIG DIFFERENCE.

Rather than attempt to be all things to every kind of business, we focus on the ones we know best—restaurants and bars, grocery and convenience stores, medical clinics, artisan contractors and auto service shops—to deliver outstanding property, casualty and workers compensation insurance. Deep niche expertise, with insight into unique business risks, is how we cover the details that make the biggest difference to our policyholders.

To discuss an agency appointment, give us a call at 888.5.SOCIETY or visit societyinsurance.com.

PIA-PAC CLAY SHOOT

It was a record year for turnout this year at Milford Hills on May 3rd for the annual PAC Clay Shoot! After two spirited rounds of shooting clays and a delicious lunch, the scores were tallied, and our 2023 Shoot Champion and Team Champions were revealed. This year, Sean Coykendall was the top shooter and claimed the title of Shoot Champion. His team from Kelmann Restoration –with Jessie Lynch, Eric Wenniger and Brian Boegel – took home the Team Champions trophies. Congratulations!

The weather was spectacular, and the event raised a record amount for our political action committee, PIA-PAC. Attendees supported our efforts to elect state lawmakers who support independent agents on key issues. Thank you for your continued support, and we hope to see you again next year!

COMMUNITY CORNER

How are you and your agency or company helping your community? Community Corner showcases what individual members and agency/company members are doing to help make Wisconsin a great place to live and run a business. Share your volunteer story with us – shoot an email and photos of the action to nwhite@piaw.org!

PIA VOLUNTEERS AT THE MILWAUKEE RESCUE MISSION

Members of the PIA Board joined together to volunteer in downtown Milwaukee at the Milwaukee Rescue Mission in early June. The group served dinner to those seeking food and shelter in the Milwaukee community. The Milwaukee Rescue Mission is devoted to tackling poverty and homelessness through numerous programs, such as the Safe Harbor program, which helps those suffering from homelessness and addiction and the Cross Trainers Academy, which provides education to atrisk children.

SOCIETY INSURANCE VOLUNTEERS DURING NATIONAL VOLUNTEER MONTH

In honor of National Volunteer Month, new President and CEO of Society Insurance Heather Boyer and fellow Society employees worked together cutting and sanding lumber for Sleep in Heavenly Peace in Fon du Lac. This non-profit builds bunk beds for children without a bed to sleep in. The Society team ended up constructing 15 beds for children and families in need in the community!

VIZANCE EMPLOYEES PACK MEALS FOR CHILDREN IN NEED

Associates from the Vizance office in Hartland recently volunteered for Feed My Starving Children, a non-profit striving to eliminate starvation in children throughout the world. The Vizance volunteers worked hard and were able to pack up a whopping 5,832 meals to be delivered to those suffering from food insecurity in developing nations. Way to go!

BRYON RIESCH OF R&R INSURANCE HOST’S ANNUAL PARALYSIS FOUNDATION GOLF OUTING

R&R Insurance’s Bryon Riesch holds an annual golf outing for the Bryon Riesch Paralysis Foundation. This year, the event took place on June 5th at Kettle Hills in Richfield, WI. It was a beautiful day on the course raising money for a good cause. The foundation has raised over $6 million towards finding a cure for paralysis through the latest medical research and to help those suffering from neurological disorders. Great work Bryan and to all who made this event a success!

BADGER MUTUAL CREATES COMMUNITY OUTREACH PROGRAM “BEING BADGER”

In May, Badger Mutual debuted their new “Being Badger” program, which will give employees the opportunity to volunteer and represent Badger at local charities. The first instance of the Being Badger program in-action was fundraising to purchase supplies and then making almost 400 sandwiches for The Guest House of Milwaukee – which provides shelter, housing and education to the homeless. Then in June, employees prepared and served meals to around 60 residents at the Sojourner Family Peace Center, which provides domestic violence intervention services. Awesome job Badger! We can’t wait to see what is next!

THE FLOOD INSURANCE OPPORTUNITY

By Martha Lester, MBA, CIC, CRM, CFE, AAI, AIC

According to Federal Emergency Management Administration (FEMA), property owners in areas without a high risk of flooding are five times more likely to experience a flood versus a fire, over the life of a thirty-year mortgage. One out of four flood insurance claims presented to the National Flood Insurance Program (NFIP) come from properties not located in a flood zone, yet a majority of people who live outside of a flood zone don’t purchase flood insurance. There are a number of reasons for this. The average consumer:

• Believes only those properties that are on, or very near, a body of water need, and can obtain, flood insurance.

• Doesn’t think about the coverage, If the lender doesn’t require it.

• The premiums for flood insurance are very expensive and, therefore, unaffordable.

• Thinks flood is covered by a homeowner’s or other property policy.

Prior to Hurricane Katrina, most properties did have to be in a flood-prone area to purchase the coverage and the community would have been required to have an approved flood control program in effect. As more properties not in flood zones were experiencing flood losses and the number of flood disasters was increasing, the federal government decided to go across the country and approve more areas for flood insurance eligibility. Today, there are very few communities in the United States where flood insurance is not available. There is an interactive map on FEMA’s website that indicates how many floods have occurred in various counties in each state from 1996 to 2019.

Opening more geographic areas for residents to be able to buy flood insurance assures that more homeowners and businesses have the ability to protect their property against this type of loss. In addition, this also allows the NFIP the ability to share or spread the risk amongst properties in and outside of flood zones -keeping the premiums affordable. Today, the majority of properties in the United States are eligible to purchase a Flood Policy. This includes renters and condominium unit owners.

Premiums for flood insurance vary based on a number of factors including the location, elevation of the property, the likelihood of flood loss in the community, the amount of coverage purchased, and the deductible chosen. The cost of coverage for a home, not in a flood zone, could be as low as $400 annually. The NFIP states that $700 is an average annual premium.

The average person does not have a thorough understanding of the various types of insurance policies that are available and what they cover. They rely on their agent to advise them and assist them in securing the coverages they need. When going through the purchase of a property, especially the first time, if the lender doesn’t require flood insurance and the consumer doesn’t see a body of water outside their window, they don’t think about the coverage.

This is an opportunity for the insurance professional to discuss the risks and coverage with their customer. Recommending a flood insurance policy to the client is assisting them in protecting their valuable asset. Not discussing the coverage is an open door for an Errors and Omissions claim.

The Power of One – Continued from Page 4

To all PIAW members, let me remind you that we are here to serve you and to help you integrate your skills and influence into an industry that needs you and will be better off because of your contributions. Please let us know how we can help you get the most out of your PIAW organization while also celebrating with you all the ways your life is enriched by contributing well.

“I am only one, but I am one. I cannot do everything, but I can do something. And I will not let what I cannot do interfere with what I can do.” –

Edward Everett Hale

Traditional homeowner’s and commercial property policy forms provide insurance protection against wind driven rain but exclude losses caused by floods. A flood insurance contract is a stand-alone policy. The peril cannot be added to an existing property policy. Although the contract may be written by one of the 50 + insurance company partners that work with the NFIP, the coverage is still financially backed by the federal government. All losses are paid by the federal government.

The policy provides insurance protection for water that forms a body and rises, such as heavy rain that accumulates on the ground and seeps into a building. The water must impact at least one other property besides the policyholder’s or at least two acres. In addition, flood-related mudslides from a mudflow, erosion caused by flooding, and overflow of inland or tidal waters are also covered. Flood insurance policies specifically exclude sewer backup unless it is the direct result of a flood. Additional information on coverages can be found on the NFIP’s website.

The maximum coverage available for residential property, through the National Flood Insurance Program, is $250,000 on the property and $100,000 on contents. Commercial properties can be insured up to $500,000 on the building and $500,000 on the contents. Building and contents coverages are purchased separately. The minimum $1,000 deductible

applies once to the building and once to the contents. Higher deductibles are available. If additional limits of protection are needed, consult with your Excess and Surplus Lines carriers.

There is no policy requirement that the property be insured to replacement value for flood insurance. Property owners typically purchase coverage for that portion of the building, and the contents, that are likely to sustain damage should a flood loss occur.

There is a 30-day waiting period from date of policy purchase before coverage begins. There are exceptions including the new purchase of property in a flood zone where the lender requires coverage and on renewal, as long as the premium is paid on time. Check with https://floodsmart.gov/policyterms or the insurer who is assisting you with writing the flood policy for more information.

Flood insurance is one of the most under-recommended policies. Agents would be wise to educate the client on the risk of a flood loss and make coverage recommendations. Ultimately, the customer has to make the decision to purchase the protection and pay the premium.

Martha Lester, MBA, CIC, CRM, CFE, AAI, AIC has spent her entire career working in various aspects of the insurance industry and has been teaching insurance courses for more than thirty years.

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New Shoes for Your Digital Identity:

How to Revamp Your Online Presence and Stand Out!

By Ford Saek

TIn today’s digital world, your online presence is crucial to the success of your business. Are you struggling to stand out among the competition? Regardless of your type of business or organization, it may be time to give your digital footprint a fresh update. In the same way, you would buy new shoes to step up your style or your game; it’s time to step up your online presence with these five expert tips.

In this article, we will share how to optimize your website for search engines, create valuable content, leverage social media, use email marketing, and analyze your data to drive more traffic to your website and improve your online visibility.

Common Mistakes Businesses Make with Their Digital Footprint:

• Believing that having a website is enough: A website is just one aspect of a business’s digital footprint. It is important to have a presence on multiple platforms and actively engage with customers on social media.

• Ignoring mobile optimization: With more and more people accessing the internet on their mobile devices, it is crucial to ensure that your website is optimized for mobile viewing.

• Focusing solely on quantity over quality: Having a large number of followers or likes does not necessarily translate to success. It is essential to focus on building a dedicated and engaged audience.

• Believing that social media is a one-way street: Social media is not just about promoting your business, it is also about engaging with your audience and building relationships.

• Believing that paid advertising is the only way to reach a wider audience: Organic reach can be just as effective as paid advertising, by creating valuable and engaging content, utilizing SEO, and building relationships on social media.

Step up your digital game with these 5 tips to improve your online presence:

1. Optimize your website for search engines and voice search. Ensure that your website is optimized for search engines by using relevant keywords, meta descriptions, and alt tags. Additionally, consider optimizing for voice search by including long-tail keywords, conversational phrases and using natural language. This will help your website rank higher in search engine results, making it more likely that

people will find your business when searching for relevant products or services.

2. Create high-quality, engaging content. Produce valuable and informative content that speaks to your target audience. This could be in the form of blog posts, infographics, videos, webinars, podcasts, and social media posts. The more value you provide, the more likely it is that people will return to your website and share your content with others.

3. Leverage social media and user-generated content. Social media platforms are a great way to reach a wider audience and drive traffic to your website. Make sure to create a consistent brand voice and regularly post engaging content. Use social media ads and influencer marketing to reach even more people. Also, leverage user-generated content, like customer reviews, case studies, and testimonials, to build trust and credibility.

4. Use email marketing and automation. Email marketing is still one of the most effective ways to reach your target audience and drive traffic to your website. Make sure to segment your email list and send targeted messages to different groups of customers. Additionally, use automation to streamline your marketing efforts, such as sending abandoned cart emails, welcome emails, and birthday emails.

5. Analyze your data and optimize for conversion. Track your website’s traffic, bounce rate, and conversion rate using tools like Google Analytics. Use this data to see what’s working and what’s not, and make adjustments accordingly. Optimize your website for conversion by A/B testing different elements, like headlines, call-to-action buttons, and layout.

In conclusion, just like your shoes need an update to keep up with the latest technology, trends, and styles, your digital footprint needs fresh new strategies to stand out in today’s digital world. Building a strong online presence takes consistency, time, and effort. To gain the competitive edge you need to succeed, step up your game with an upgraded digital footprint and just like slipping on a new pair of runners, watch as your business takes off.

Ford Saeks, the Business Growth Expert and Hall of Fame Keynote Speaker, is the go-to expert for organizations looking

EDUCATION

NEW TOPICS ADDED! 3 WI CE CREDITS. LIVE (NOT PRE-RECORDED). NO TEST. NO PROCTOR. Visit the Education tab at piaw.org for a complete list of topics, descriptions, webinar demo and registration. Several approved for Utica credit. Ethics is offered each month. Fee per Webinar: $55 PIAW Member, $70 Non-Member. Includes WI CE fees.

July 2023 Webinar Schedule

NEW TOPICS ADDED! 3 WI CE CREDITS. LIVE (NOT PRE-RECORDED). NO TEST. NO PROCTOR. Visit the Education tab at piaw.org for a complete list of topics, descriptions, webinar demo and registration. Several approved for Utica credit. Ethics is offered each month. Fee per Webinar: $55 PIAW Member, $70 Non-Member. Includes WI CE fees.

August 2023 Webinar Schedule

JULY 11-12

EDUCATION - DESIGNATIONS & UPDATES

CIC WEBINARS & CLASSROOM

Anyone Can Attend No Exam or Proctor Required for CE 16 WI CE Each (3 of 16 are Ethics in April)

AUGUST 16-17

OCTOBER 18-19

NOVEMBER 15-16

CIC GRADUATE RUBLE WEBINARS & CLASSROOM

AUGUST 29-30

SEPTEMBER 27-28

Bay (Includes 4 Ethics)

DECEMBER 6-7

CISR WEBINARS & CLASSROOM

Anyone Can Attend. No Exam or Proctor Required for CE 7 WI CE Each

Exciting update option for CICs, CRMs, and CISRs! 16 WI CE Each / CISRs Can Attend One Day for 8 CE and Update Credit JULY 19

27

11

CPIA WEBINARS & CLASSROOM

Anyone Can Attend. No Exam. 7 WI CE

New CISRs

The Certified Insurance Service Representative program empowers outstanding individuals to provide exceptional account management and customer service.

Carly Kendall, CISR The Insurance Center of Meridian, LLC

Sharlene Kirsch, CISR CIS Group

Lori Knoll, CISR Tiffany Knudson, CISR TRICOR Insurance

Jennifer Mohney, CISR Steffens Insurance Group, Inc.

Brittany Olson, CISR Kunkel & Associates, Inc.

Nicole Shuman, CISR TRICOR Insurance

Tricia Slater, CISR Kunkel & Associates, Inc.

Angela Vandenack, CISR Acuity Insurance

NEW CISR ELITEs

The honorable status for CISRs who aspired to be more and passed all nine CISR courses.

Linda Dotson, CISR Elite Richards Insurance of Oshkosh

Nicholas Glaser, CISR Elite Horton Group

PIAW’s Scholarship Golf Outing has been a tradition for 20 years and counting.

Not only does this event bring PIAW members and industry peers together for a day of fun, but it also serves an important purpose: Supporting scholarships for students looking to enter the insurance industry.

LAST CHANCE TO REGISTER! SIGN UP AT

BWO is here for you today and for all your tomorrows. Join BWO... the agency that remains small, not selling out to big entities or private equity firms that lose you in the shuffle. BWO continually invests in their independent agents giving you the freedom to do what you do best... SELL!!

DON’T CHASE THE COMPETITION... BECOME THE COMPETITION!!

PIAW is pleased to present webinars that discusses the self-funding of employee benefits.

PIAW is pleased to present these UPDATED webinars that discuss the self-funding of employee benefits.

The

2 CE Hours SEPT. 6, 9:30-11:30 AM

The interactive course covers the key point to Self-funding/Self-Insurance. Learn about plan control, potential savings and risks, difference from traditional insurance, th players involved with a self-funded plan—and MUCH more!

Stop-Loss Insurance Coverage

2 CE Hours SEPT. 13, 9:30-11:30 AM

Dive into the components of Top-Loss Insurance within Self-Funded Employee Benefit Plans, Learn the ins and outs of this coverage, including the need, level and type, the various kinds of contacts, and the underwriting and claim payment process.

Life

Managing the Drug Benefit

2 CE Hours SEPT. 20, 9:30-11:30 AM

Hear valuable industry expertise and best practices on how to use a data-driven approach to evaluate and monitor your Pharmacy Benefit Manager.

Care Management and Provider Networks

2 CE Hours SEPT. 27, 9:30-11:30 AM

Explore the components of provider networks and the use of care management t control cost and care delivered. Study wide versus narrow provider networks, current trends in serve pricing, as well as aspects of care management such as telehealth and acute case management.

THANK YOU SUPPORTING MEMBERS!

THE BOG

3121 COUNTY ROAD I SAUKVILLE, WI 53080

Each year the insurance companies that choose to support the Professional Insurance Agents of Wisconsin make so many things possible. It is because of them that we can offer top-notch, affordable networking and education opportunities to our member agents.

COST $150

Includes golf cart, box lunch, two drink tickets, reception, hors d’oeuvres

Platinum Supporting Members

Gold Supporting Members

Scholarships totaling up to $25,000 will be given away thanks to our generous sponsors.

Silver Supporting Members

MAJOR SPONSOR

PLATINUM SPONSORS

DIRECTORY PROFESSIONAL INSURANCE AGENTS OF WISCONSIN, INC.

officers

Steve Clements, CPIA President Clements Insurance Agency 151577 King Fisher Ln. Wausau, WI 54401 (715) 842-1664 steve@clementsagency.com

Lacey Endres, CIC Vice President M3 Insurance, Inc. 828 John Nolan Dr. Madison, WI 53713 (608) 288-2874 lacey.endres@m3ins.com

Jon M. Strom Treasurer Image of Wisconsin PO Box 600 St. Germain, WI 54558 (920) 723-1209 jon@imageofwi.com

Mike Endres Secretary Endres Insurance Agency, Inc. 2201 Eulalia Street Cross Plains, WI 53528 (608) 798-3811 mendres@endresinsurance.net

Directors

Steve R. Albinger Couri Insurance Associates 379 W. Main St. Waukesha, WI 53186 (414) 916-9321 salbinger@couri.com

Ryan Butzke, CIC, CISR Immediate Past President Northbrook Insurance Associates, Inc. PO Box 520 Slinger, WI 53086 (262) 297-7101 ryanb@northbrook-ins.com

Matt Cranney, CIC, CRM Past President Liaison M3 Insurance, Inc 828 John Nolan Dr. Madison, WI 53713 (608)288-2810 matt.cranneym3ins.com

Alyssa Hobgood BWO Insurance Group, LLC 7472 S. 6th Street Oak Creek, WI 53154 (414) 768-8100

alyssa@bwoinsurance.com

Tracy A. Oestreich, CIC, CPIA, AU, CPIW PIA National Director T4 Insurance Solutions, Inc. PO Box 408 Jackson, WI 53037 (262) 423-4949 tracyo@t4ins.com

Staff

Pete Hanson, CAE, CISR Executive Director phanson@piaw.org

Becca Bredeson Administrative Assistant bbredeson@piaw.org

Shirley Faherty Executive Assistant/Bookkeeper sfaherty@piaw.org

Heidi Hodel-Faris, CPIA, CIC Insurance and Member Services Director hhodel@piaw.org

Octavio Padilla

Nova Insurance LLC 4615 W. National Ave. West Milwaukee, WI 53214 (414)639-1650

octavia@novaagencies.com

Mitch Tarras Advantage Insurance Agency LLC PO Box 165 Plymouth, WI 53073 (920) 893-3252

mitch@bwoinsurance.com

Michael Winstanley Winstanley Insurance Agency Inc. 3044 S. 92nd St. West Allis, WI 53227 (414) 425-6914

mdw@mdwinstanley.com

Bob Wolfgram

Campbell-Wolfgram Insurance Agency Inc. PO Box 122 North Prairie, WI 53153 (262) 349-9605

bob@wolfgraminsurance.com

Brenda Steinbach Education & Convention Director bsteinbach@piaw.org

Natalie White Communications Director nwhite@piaw.org