Maryland Primary Agent - February 2018 by Insurance Agents & Brokers Service Group Inc

FEBRUARY 2018 | MARYLAND

SMALL STEPS TOWARD

BIG SUCCESS

5 USES FOR WEBSITE FORMS CREATING A HIGHPERFORMANCE CULTURE

WE’RE POSITIVE ABOUT THE FUTURE. ESPECIALLY YOURS. At Grinnell Mutual, we’re focused on growing long-term, trusting relationships with agents and their clients. Make your future with us — and make a difference in the lives of others every day. Trust in Tomorrow.® Talk to us today.

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IN THIS

5 WAYS TO USE WEBSITE FORMS TO IMPROVE BUSINESS Improve efficiency, simplify the customer experience and be a better, more connected insurance agency — all by integrating online forms.

HOW TO CREATE A HIGH-PERFORMANCE CULTURE Get the most out of your employees. Read seven lessons learned in managing staff and creating a successful workplace.

IN EVERY ISSUE 2 3 4 6 8 10 22 24 24 24

Chairman of the Board’s Message Don’s Discussion Preventing Errors & Omissions Coverage Corner State News IA&B Partners Pics & Posts Advertiser’s Index Professional Training Classified Ads

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Periodical postage paid at Mechanicsburg, Pa. and at additional mailing offices. Postmaster: Send address changes to Insurance Agents & Brokers, 5050 Ritter Road, Mechanicsburg, PA 17055. Primary Agent (ISSN 1543-3110), Permit # 638-620, Issue # 2018-2, is published monthly by IA&B Service Group Inc., a subsidiary of IA&B.

Copyright 2018. All rights reserved. No material may be reproduced in whole or in part without written consent of the publisher. The information in this publication is general in nature and not intended to serve as legal, accounting, financial, insurance, investment advisory or other professional advice as to any reader’s particular situation. Users are encouraged to consult with competent legal, financial, insurance, investment advisory and/or other professional advisors concerning specific matters before making any decisions. We disclaim any responsibility for any decisions or actions by readers. Statements of fact and opinion in Primary Agent are the responsibility of the authors alone and do not imply an opinion on the part of the officers or the members of IA&B. Participation in IA&B events, activities and/or publications is available on a non-discriminatory basis and does not reflect IA&B endorsement of the products and/or services.

CHAIRMAN OF THE BOARD’S MESSAGE

WHEN THE GOING GETS TOUGH

INSURANCE AGENTS & BROKERS 5050 Ritter Road | Mechanicsburg, PA 17055 800-998-9644 | IABforME.com

OFFICERS

Chair of the Board

here’s no way around it: Running a small business is a mighty big job. For many of us, our shops are large enough to include a few employees yet small enough to require us to wear countless hats – an insurance salesperson one minute and an HR manager the next, a marketer one day and an IT expert the following one. No two days (or two minutes, it seems) are the same. It certainly keeps things interesting! But it also presents challenges. I’m pleased to report that your agents’ association is on the case, with the IA&B Board of Directors in support. Moving forward, one of IA&B’s strategic goals is to become member agencies’ solution provider – to meet your needs, whether through creating a perpetuation plan or launching a new agency website, providing technology support or offering legal compliance.

John B. Hollister

Vice Chair of the Board

Craig S. Mader

Immediate Past Chair of the Board

Michael F. McGroarty Sr.

MEMBERS Emory Stephen Burnett, CIC, ARM Wilmington, Del.

Richard F. Corroon, CPCU Wilmington, Del.

Michael P. Ertel Sr.+ Columbia, Md.

Ashley M. Fitzsimmons, CISR Forest City, Pa.

G. Greg Gunn, CIC* Lemoyne, Pa.

Bryan C. Hanes, JD Hagerstown, Md.

This month’s Primary Agent magazine shares a snapshot of how IA&B can serve in a consultative role for your agency. Check out the feature article on page 12 to learn about a website solution customized for IA&B members, and see page 21 to learn more about HR Solution©. Finally, stay tuned for the continued rollout of the IA&B-subsidiary Independent Agency Solutions (IABforME.com/IAS). When the going gets tough, remember that we’re in this together – and that IA&B has our back. n

David C. King Lancaster, Pa.

Lisa A. Leach Goth, CIC New Bethlehem, Pa.

Elizabeth H. Martin, CIC Millersville, Pa.

Mark J. Monroe

West Chester, Pa.

Joseph R. Pastor, CPCU, AAI Oil City, Pa.

Richard M. Rankin, CIC Lancaster, Pa.

All the best,

April E. Ressler, CIC Altoona, Pa.

D. Bradley Rosenkilde Jr. Hunt Valley, Md.

Tara S. Silfies, CPCU Bethlehem, Pa.

John Hollister Chairman of the Board

Glenn R. Strachan

Ft. Washington, Md.

Bryan S. Willey Dover, Del.

Lawrence A. Wilson, CIC, CPIA, CPCU, ARM** Newark, Del.

J. Marshall Wolff, CIC, CPCU Easton, Pa.

* Pa. IIABA National Director ** Del. IIABA National Director + Md. PIA National Director

FEBRUARY 2018

Don’s Discussion IA&B Legal & Corporate Affairs Director Don Bankus provided this month’s answer.

QUESTION: What effect, if any, does placing a credit freeze have on my insureds and prospective insureds?

ANSWER:

ver the past several years, major data breaches (think: Target in 2013 and Yahoo in 2013 and 2014) have thrust cybersecurity into the spotlight and have compromised the personal and sensitive information of billions of people worldwide. Most recently, in September 2017, the credit-monitoring agency Equifax was hacked. This breach compromised the personal information (names, names, Social Security Numbers, birth dates, addresses and driver’s license numbers) of approximately 145 million consumers – not to mention the credit card numbers of about 209,000 individuals. In response, many consumers froze their credit to prevent identity theft. A credit freeze precludes lenders and credit card issuers from accessing individual credit reports via the credit reporting agencies (primarily Equifax, Experian and TransUnion). That, in turn, prevents hackers from applying for and opening credit accounts without an individual’s knowledge. Producers and consumers alike have questioned what effect credit freezes will have on the industry, such as whether consumers will be required to

lift and then reinstate a credit freeze to purchase insurance. The good news: Credit freezes don’t shut out inquiries from insurers. Nearly all states (including Delaware, Maryland and Pennsylvania) have “credit freeze laws” that specifically permit insurers to access credit reports for purposes of setting or adjusting a rate, issuing or underwriting a policy, or adjusting a claim, all without requiring an individual to temporarily lift the freeze with the credit agency. This means that producers and insureds do not need to take any extra steps to allow a carrier to access credit information that the insured has placed a freeze on. Nor should initiating a credit freeze have any impact on an insured’s premium.

? Ask our experts! Have a question? Rely on our team to find the answer. Contact Don: 800-998-9644 ext. 603 DonB@IABforME.com IABforME.com

The following are references to each state’s credit-freeze provisions: • Delaware: 6 Del.C. Section 2203(b)(12); • Maryland: MD Code Annotated, Commercial Law Section 14-1212.1(b)(1)(x); and • Pennsylvania: 73 P.S. Section 2503(e)(11). n

PREVENTING ERRORS & OMISSIONS

THE AGENCY PROPOSAL: A POTENTIALLY KEY PIECE OF EVIDENCE By Curt Pearsall, CPCU, AIAF, CPIA

he agency proposal has played a key role in many errors and omissions (E&O) claims. If the proposal is clear about the proposed coverage and includes definitions and claim examples, it can be valuable for educating the client. If it also includes the necessary disclaimers, the proposal could tip the scales heavily in the agency’s favor in an E&O claim. However, without this information, the proposal can hurt, if not destroy,

the agent’s chance of prevailing in an E&O matter. The following is an actual E&O claim. This E&O claim was asserted against the agency for providing inaccurate information about coverage when a dwelling fire policy was procured for the client’s rental property. The producer detailed policy coverages for a Dwelling Property 3 – Special Form (DP-3) in the agency proposal. Unfortunately, the agent only requested a proposal for a FEBRUARY 2018

Dwelling Property 1 – Basic Form (DP1) from the carrier. The client purchased the coverage, believing that he was securing broader coverage. As is the typical scenario, the client retained all documentation provided from the producer. The underlying claim involved an upstairs toilet waterline leak, which caused water damage to the dwelling’s second and first floors. The misstatement on the proposal of the coverages clearly put liability on the

agency. The E&O carrier paid the claim, with offsets taken for the underlying deductible and premium difference. HOW COULD THIS ISSUE HAVE BEEN AVOIDED? There are several ways this could have been avoided. One way is to make sure the proposal matches what the carrier proposed. In the scenario above, it is possible that the agency asked the carrier for a quote for a DP-3 but the carrier only provided the DP-1 coverage. Carriers make mistakes, too. Agencies should have a process to compare the carrier quote against the application. There might have been something in the risk that precluded the carrier from offering a DP-3, or maybe the application only asked for a DP-1 quote when the intention was to secure broader coverage. Another method is to have the agency proposal reviewed by at least another set of eyes, with one set of eyes belonging to the producer. In the claim above, there is a good chance that further review would have identified the error. Another way is to use the carrier proposal. The advantage of this approach is that if there is a misstatement of coverages of a mistake on the carrier proposal, the carrier would probably bear liability for the error. If the agency is going to use the carrier proposal, it is suggested that a wrap-around document or disclaimer be included. Typically, carrier proposals do not contain the key disclaimers. A disclaimer similar to the following should be added:

limitations and conditions. The precise coverage afforded is subject to the terms, conditions and exclusions of the policies issued. ACCURACY Based on your agency’s current procedures, could this type of incident happen to you? In the event of an E&O matter, the agency proposal is an admissible document that both lawyers can access. Since the legal standard in virtually all states will hold the agent responsible for what he or she says and what is put in writing, it is vital that the proposal be accurate. n Curt Pearsall, CPCU, AIAF, CPIA, provided this content on behalf of Utica National Insurance Group. IA&B’s is the exclusive agent for the Utica E&O program in Delaware, Maryland and Pennsylvania. For questions regarding this article or your E&O coverage, contact IA&B at 800-998-9644 or IAB@IABforME.com.

LEARN MORE E&O PREVENTION TIPS SCORE CE and loss-control credit while learning about common mistakes that result in E&O claims. Updated for 2018, the “Mistakes that Lead to E&O Claims” seminar is coming to Baltimore twice in the months ahead. June 7 – Baltimore, Md. Nov. 7 – Baltimore, Md. To register or ask questions, contact us: 800-998-9644 IAB@IABforME.com IABforME.com/education

The material contained in this article is for information purposes only and is not for purposes of providing legal advice. You should contact your attorney to obtain advice with respect to any particular issue or problem.

Information contained in this proposal is intended to provide you with a brief overview of the coverages provided for reference purposes only. It is not intended to provide you with all policy exclusions,

COVERAGE CORNER

CLAIMS MADE VS. CLAIMS MADE AND REPORTING By Jerry M. Milton, CIC

hen is a claim made? That’s the first question we have to answer when writing a claims made liability policy. Sounds simple enough. But hold on. It may not be that simple. The definition of “claim” varies among our insurers. For example:

Philadelphia Cyber Security Liability: Claim means a written demand for monetary or non-monetary damages, or the service of a suit or institution of arbitration proceedings arising from your acts, errors or omissions or from acts, errors or omissions of others for whom you are legally responsible,

including outsourcers or vendors. Claim shall also include any request to toll the statute of limitations relating to a potential claim involving an alleged act, error or omission. National Union Pollution Legal Liability: CLAIM means the assertion of a legal right alleging liability or responsibility on the part of the NAMED INSURED, arising out of POLLUTION CONDITIONS, and shall include but not necessarily be limited to law suits or petitions filed against the NAMED INSURED.

FEBRUARY 2018

Gulf Directors And Officers Liability: Claim means: (1) a written demand for monetary or non-monetary relief; (2) a civil proceeding commenced by the service of a complaint or similar proceeding; (3) a criminal proceeding commenced by a return of an indictment; or (4) a formal administrative or regulatory proceeding commenced by the filing of a notice of charges, formal investigative order or similar document.

Claims made policies state that the claim must be first made against the insured during the policy period or any extended reporting period. The word “first” is significant because coverage does not apply if the claim against the insured was made first during a prior policy period, whether or not the policy was written by the current insurer or by a different insurer. With a pure claims made (not claims made and reporting) policy, the requirement concerning when the claim must be reported to the insurer is addressed in a separate provision of the policy. These policies do not impose a specific time period during which the claim must be reported to the insurer. The provisions of the Zurich E-Risk Edge policy are: IF YOU HAVE PURCHASED COVERAGE UNDER INSURING AGREEMENTS E AND/OR (F), COVERAGE THEREUNDER IS LIMITED TO DAMAGES AND DEFENSE EXPENSES RESULTING FROM CLAIMS FIRST MADE AGAINST YOU DURING THE POLICY PERIOD. They make no reference to the reporting period. Typically, a pure claims made policy requires that the claim must be reported “as soon as possible’ or “as soon as practical.” Whatever that means. A claims made and reported policy imposes two requirements before coverage is triggered. First, the claim must be made first against the insured during the policy period or any extended reporting period. Second, the claim also must be reported to the insurer during the stipulated reporting period. What is the reporting period? It varies among the insurers. It could be the policy period plus any extended reporting period. It could be an additional 60 days or 90 days following expiration.

Here is the problem. A claim is made against the insured two days before the policy, or its extended reporting period, expires. The claim is not reported to the insurer until three days after expiration. Pure claims made policy – no problem. Claims made and reported policy – no coverage. A word of caution. Many, maybe most, of the claims made policies we’re writing are claims made and reporting. An example is National Union’s Pollution Legal Liability insuring agreement, which states, CLAIMS first made against the INSURED and reported to the Company, in writing, during the POLICY PERIOD or EXTENDED DISCOVERY PERIOD. Philadelphia Indemnity states on page 1. of their Cyber Security Liability policy that, ‘COVERAGES E. F. AND G. ARE CLAIMS MADE AND REPORTED COVERAGES.’ Not to be outdone, the Beazley Breach Response Select policy sums it up as follows: INSURING AGREEMENTS 1.A., 1.C., 1.D. AND 1.F. OF THIS POLICY PROVIDE COVERAGE ON A CLAIMS MADE AND REPORTED BASIS AND APPLY ONLY TO CLAIMS FIRST

MADE AGAINST THE INSURED DURING THE POLICY PERIOD OR THE OPTIONAL EXTENSION PERIOD (IF APPLICABLE) AND REPORTED TO THE UNDERWRITERS DURING THE POLICY PERIOD OR AS OTHERWISE PROVIDED IN CLAUSE x. OF THIS POLICY. Pay attention to your claims made liability insuring agreements. If they say, “first made and reported during the policy period or any extended reporting period,” as many, maybe most, stipulate, it is imperative that the insured report the claim immediately. Y’all take care! n

Jerry M. Milton, CIC, teaches and consults on industry issues. The legal profession recognizes him as an expert on insurance coverages. He also serves as our education consultant, working with our CISR, CIC and continuing education programs. Catch him at one of our upcoming seminars: IABforME.com/education.

CONSIDERATIONS FOR YOUR AGENCY DON’T DISREGARD your own insurance coverage. Do you know how a claims made policy can impact your agency’s E&O protection? Discuss it with our team of independent agents. We work with several carriers that offer coverage on a claims made basis for independent agencies. Contact us: 800-998-9644 | IAB@IABforME.com | IABforME.com/E&O

STATE NEWS

ONWARD & UPWARD: A MESSAGE FROM JASON ERNEST As the new year races forward, I wanted to take a moment and share IA&B’s plans and how you will benefit in the months ahead. • A reinforced brand promise to you: Watch for our new look. This includes a refreshed logo (see below for a sneak peek), which incorporates an upward arrow, an image that symbolizes our momentum and the direction we pledge to take your agency. commitment to meet your needs: • A We will concentrate on learning your needs and providing solutions. Whether you need a perpetuation plan, website support or legal compliance, look to us for consultation. n investment in the future: • A I constantly hear that the industry needs new blood. At IA&B, we will develop partnerships and programs that connect high school and college students to learning the benefits of working in the independent agency channel. And we will continue to focus on building the Futures Program – a community of young insurance professionals. And this is just the start. The staff at IA&B shares my excitement about what we can do for you in 2018. Onward and upward!

Consumers nationwide have located $92.5 million in lost life insurance policies and annuities since the November 2016 launch of the National Association of Insurance Commissioners (NAIC) Life Insurance Policy Locator. The Maryland Insurance Administration is among the state regulators who embraced the tool, adopting it for their residents. Throughout last year, over 40,000 consumers used the policy locator. More than 8,200 of them were matched with a lost or misplaced policy or annuity. HOW IT WORKS The NAIC Life Insurance Policy Locator provides nationwide access for assistance with finding life insurance policies and annuities. All consumer requests in the tool are encrypted and secured to maintain confidentiality. Participating insurers compare submitted requests with available policyholder information and report all matches to state insurance departments through the locator. Companies then contact beneficiaries or their authorized representatives. https://eapps.naic.org/life-policy-locator

Jason Ernest, Esq. IA&B President & CEO

HOW TO FIND LOST LIFE INSURANCE, ANNUITIES

FEBRUARY 2018

MARYLAND WAIVES PRODUCER LICENSING FEES FOR VETS Veterans now are eligible for reimbursement of Maryland insurance producer licensing and certification test fees. The Maryland Insurance Administration (MIA) received approval to participate in the GI Bill Reimbursement Program – an initiative that is underway in 11 other states and that aims “to welcome veterans to do business in the Maryland insurance industry.” To qualify, veterans must be eligible for benefits, have remaining entitlement to benefits, and their delimiting date must not have passed.

NEW REGULATION PROHIBITS COMMINGLING Agents who hold premium funds and agency operating funds in a single bank account, take note: As of last month, a regulation recently finalized by the Maryland Insurance Administration (MIA) prohibits the long-standing practice of commingling. Commingling is defined as holding premium funds and agency operating funds in a common bank account, a practice which is currently subject to strict requirements, including carrier consent. As of Jan. 1, 2018: • If you remit to the carrier premiums that are received by the agency within five business days of receipt, you can still hold the funds together. • After five business days, premium funds and agency operating funds must be segregated. • A consent letter from carriers to commingle funds is no longer valid. • The agency will need to secure written consent from the carrier to be able to withhold interest earned on the fiduciary account (unless the agency contract specifically addresses the agency’s right to interest earned). Reevaluate your compliance with the amended regulation by accessing our updated fiduciary-duties resource. IABforME.com/MD_fiduciary

PARTNERS PROGRAM

Connecting & through IA&B’s Partners Program. Supporting

2018 Partners Program

Elevating agents

The IA&B Partners Program allows companies to support and connect with independent insurance agents and brokers in Pennsylvania, Maryland and Delaware. Through their sponsorship, Partner companies allow IA&B to offer the programs and services that help member agencies succeed.

Calling all companies

Among the IA&B Partners are the following top-tier sponsors, referred to as Platinum Partners. These companies offer the highest level of commitment to the program.

Your support helps independent agents succeed and their agencies become more profitable — a win for your company and the independent agency channel. What’s more, you will find more value than ever before from our revamped Partners Program. Learn more by visiting IABforME.com/Partners or by contacting Jess McWilliams at 800-998-9644, option 503, or JessicaM@IABforME.com.

ACUITY Agency Network Exchange LLC Brethren Mutual Insurance Company Donegal Insurance Group Insurance Agents & Brokers Service Group Millers Mutual Group Penn National Insurance Plymouth Rock Assurance

PL A

Offering sincere thanks

FEBRUARY 2018

M PAR NU TI

PARTN LD O

PLATINUM PARTNER PLATINUM PARTNER

Insurance Agents & Brokers proudly recognizes The Main Street American Group as one of its Platinum Partners. IA&B Platinum Partners dedicate the hightest level of sponsorship to our organization.

PLatinuM PARTNER

Mark Berger Northeast Region President

NGM Insurance Company — we partner with 3,000 independent agents to provide superior, personal service to over 500,000 policyholders.

FOCUSED ON RESULTS FEATURED PARTNER The Main Street America Group CHIEF EXECUTIVE OFFICER Tom Van Berkel, Chairman President and CEO CORPORATE HEADQUARTERS Jacksonville, Florida Northeast Region Headquarters Syracuse, New York Northeast Region President Mark Berger Northeast Region Sales Directors John Hwilka Jon Spacher Northeast Region Field Representatives Jeanine Ferritor (Maryland/Delaware) Renee Tolerico (Eastern Pennsylvania) Martin Kyper (Central Pennsylvania) Dave Roshala (Western Pennsylvania) Northeast Region Markets Delaware, Maryland, New York, Pennsylvania

A.M. BEST RATING Financial Strength: “A” (Excellent) Issuer Credit Ratings: “a+”

The Main Street America Group’s rich history began 94 years ago when we formed our company to serve the insurance needs of Grange fraternity members. Today, Main Street America’s affiliated insurance companies provide a full line of competitively priced personal lines and commercial lines products and services to individuals, families and small businesses in 37 states, and fidelity and surety bond products in 47 states and the District of Columbia. We annually write more than $1 billion in premium, have surplus of over $1 billion and more than $2.5 billion in total assets. Through our eight “A” rated property and casualty writing companies — including our largest carrier,

As the founding company partner of the Trusted Choice® brand, Main Street America is fully committed to the independent agent distribution channel. We strive to meet the needs of our customers (agents), and our customers’ customers (policyholders), better then anyone else in the market. We are also a founding company partner of the TrustedChoice.com consumer agent portal and the Insurance Institute for Business & Home Safety (IBHS) Research Center. To become our customer and represent Main Street America in your market, please visit msagroup.com and click on the “Become a Main Street America Agent” link. ** A.M. Best’s rating of “A” (Excellent”) applies to The Main Street America Group and its eight affiliated writing companies. Ratings listed herein are as of Dec. 5, 2016, are used with permission of A.M. Best, and are subject to changes by the rating service . For more information about ratings, please access www.ambest.com

5 WAYS

INSURANCE AGENCIES CAN USE WEBSITE FORMS TO IMPROVE BUSINESS By Emily Burns

Improve efficiency, simplify the customer experience and be a better, more connected insurance agencyâ&#x20AC;&#x201D;all by integrating online forms. Read on for five ways your agency can benefit from adding forms to your website.

e are a society that has come to expect instant gratification. Whether we’re in the kitchen cooking 90 second rice or binge watching an entire season of our favorite Netflix show in one day, we hate having to wait. And—you guessed it—the same goes for insurance. That’s why we’ve worked to incorporate a number of impressive and time-saving tools into our ActiveAgency platform. These tools (like Hello Producer and Clickable Coverage) are designed to streamline the sales and servicing process. I wanted to share a few ideas for using one of the most popular features of ActiveAgency—Integrated Forms—to improve efficiency, simplify the customer experience and be a better, more connected insurance agency.

With the integrated forms feature, your clients don’t have to skip a beat. They can submit their claim through the Claim Report form any time of day (or night).

So, without further ado…

FEBRUARY 2018

1. USE FORMS TO IMPROVE AND SIMPLIFY THE CUSTOMER EXPERIENCE. As an insurance agency, you likely take pride in the personalized insurance advice and service you offer to your clients. So, let’s say, for example, that one of your personal lines clients gets into a fender bender at 11 p.m. on a Saturday evening. They’re going to want to file a claim. But, your office probably isn’t open at 11 p.m. on Saturday, right? So, what next? With the integrated forms feature, your clients don’t have to skip a beat. They can submit their claim through the Claim Report form any time of day (or night). Once the form is submitted, you’ll receive an email alert so you can get back to them first thing on Monday (or even sooner if you’d like!). Nice and simple. 2. STREAMLINE YOUR AGENCY’S WORKFLOW WITH INTEGRATED FORMS. Every agency is different. That means that each one has a different process and workflow for tackling certificate requests, quote requests, claims reports, policy change requests and more. Let’s say your agency has a customer service team responsible for handling any certificate requests and auto ID card requests, but all policy change requests are handled by producers.

WHAT IS ACTIVEAGENCY? IT’S THE powerful new website platform beautifully designed to help your agency look great, reinforce credibility and build relationships. It’s a streamlined, easy-to-use solution based on Forge3, Ltd.’s 13+ years working within the industry. Simply put, ActiveAgency is the IA&B-endorsed solution for your agency website. In addition to ActiveAgency’s built-in, best-in-class sales and servicing tools like Clickable Coverage, Hello Producer and live-chat integration, IA&B members have full access to exclusive features: • IA&B resources: A wide selection of IA&B’s exceptional tools and client resources are seamlessly integrated. • Engaging videos: As an IA&B member, you have access to a collection of videos showing the power of being independent.

With the integrated forms tool, you can customize the recipients for each form to ensure that client requests end up in the right place each and every time.

Pricing is just $250/month, and there are no upfront setup fees or long-term contracts for IA&B members. Nice and simple!

No more lost emails or miscommunications. Just a simple, straightforward workflow.

– E.B.

3. USE ONLINE FORMS TO CREATE A SIMPLER REFERRAL PROCESS FOR CLIENTS.

Learn how you can benefit: https://forge3.com/iab/

Building relationships. No matter how you look at it, that’s what insurance is all about. So, why not make the referral process a bit easier for your clients? In addition to requesting referrals from valued clients in person or over the phone, consider also sending a follow-up email with a link to the online referral form, sharing the link on your agency’s social media platforms or even in including the link within your email signature. Continued on page 16

Continued from page 15

4. COLLECT EMAIL LEADS WITH THE HELP OF INTEGRATED FORMS.

THE LOWDOWN These days, it’s all about convenience and simplicity.

Imagine this… A prospective client is searching for car insurance online. After a quick Google search, they land on your agency’s website. So, they browse a bit, and decide that they want a bit more information.

Utilizing the Integrated Forms feature within the ActiveAgency platform is just one of many ways you can improve office efficiency, create a simpler customer experience and—most importantly—be a better, more connected insurance agency. n

Sounds simple enough. Once they give your agency a call, one of your friendly producers will walk them through your offerings. One problem: They’re at work, so they’re unable to talk on the phone. So, what’s next? With the help of integrated forms, the answer is simple. By including a Contact Us form on your website, you’ll be providing prospective clients with an easy way to provide their information for future follow-up. If your agency is looking to take it one step further, integrated forms can also be utilized within targeted social advertising campaigns to obtain email leads. 5. PROVIDE A QUICKER AND EASIER WAY FOR CURRENT CLIENTS TO TAKE PART IN THE ANNUAL POLICY RENEWAL PROCESS. Your agency likely has a method for connecting with current clients on an annual basis to evaluate their current policy for any gaps in coverage, and to determine opportunities for cross-selling. Typically, this process requires sending a questionnaire through the USPS (cough cough…snail mail) and requesting that the form be returned by mail or fax. Fax?! I don’t know about you, but I don’t know many people with fax machines in their homes. So, while that might work for some clients, it definitely isn’t the most convenient (or successful) option. Offering clients the opportunity to complete an interactive and easy-to-follow Annual Questionnaire form online is a great way to save them (and you!) time.

FEBRUARY 2018

Emily Burns is digital marketing specialist for Forge3, Ltd. You can find Emily on LinkedIn (linkedin.com/in/emily-burns). Or contact her by email (emily.burns@forge3.com) or phone at 484-206-8010.

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HOW TO CREATE A HIGH-PERFORMANCE

CULTURE 7 LESSONS LEARNED By Greg DiDio

Get the most out of your employees. On the following pages, Greg DiDio shares his lessons learned in managing staff and creating a successful workplace

y first job after college was as an engineer at an electric utility company. When I had been there a couple of years, I remember George, a crusty veteran supervisor, lamenting, “You know, Greg, we hire bright, hungry, capable people and within two short years they’re just as mediocre as everyone else around here!”

PERMIT FAILURE Until your team members have the freedom to fail, they don’t really have your trust. As long as they are looking over their shoulder waiting for you to swoop in and tell them how to solve a problem, they are not accountable for the results. You are. Give your employees the freedom to fail.

Two thoughts immediately crossed my mind. First, I vowed that if I ever had the opportunity, I was going to do something about that. My second thought: “Wait a minute! Did George just take a swipe at me?”

KEEP SCORE Have you ever watched kids playing pickup basketball? You can tell right away whether they are playing a game or just shooting around. The teamwork and intensity is heightened when the score is being kept. The same is true in your business. Every employee deserves to know whether he or she is winning or losing. If your employees don’t know what success looks like in their job, then you have work to do to create their personal scoreboard.

Fast forward another decade to 2005 when a business partner and I started Kite Technology Group to help insurance agencies with their technology. I finally had my chance to create the kind of company culture I wanted. Below are seven insights I have discovered about creating a high-performing team. Some were learned through the gracious advice of mentors. But too often, the lessons were learned the hard way, by paying the price for my mistakes. My hope is that some of these ideas will spare you the pain of learning the hard way.

FEEDBACK ISN’T JUST FOR ANNUAL REVIEWS People crave feedback. We all want to know how we are doing and that our contributions are noticed. Take the time to praise behavior informally at the time it occurs. I have found that

FEBRUARY 2018

employees are much more open to constructive criticism when we as leaders have taken the time to praise their efforts when they do a good job. SEPARATE ANNUAL REVIEWS FROM COMPENSATION ADJUSTMENTS There is no question that compensation needs to be linked to performance. The problem comes when the two are so tightly coupled that the review is the context for providing a raise. This creates a dynamic whereby the review becomes a negotiating tactic between employee and employer to justify the increase. This tension costs you any opportunity to have an honest conversation about deficiencies and employee development. I like to do all annual wage adjustments at the same time of year. It makes budgeting easier. On the other hand, I try to spread annual performance reviews throughout the year to better distribute the workload. Decoupling the review from the raise makes for better performance reviews and for more timely wage adjustments. KEEP YOUR EMPLOYEES BUSY Employees want to know that what they do matters. Nothing is more discouraging in the workplace than boredom. If employees do not have meaningful work to do, then they cannot help but feel unimportant. Of course, being busy for the sake of being busy isn’t the answer either. Take the time to make sure employees continually have meaningful work to do. Your agency will get the benefit of the productivity, and the employee gets the message that they are necessary. EMPLOY THE POWER OF TRIADS Does this scenario sound familiar? Sally and John have a disagreement. They both come to you separately to state their case. Now you are in the middle and essentially own the problem. The way to avoid this situation is through a triad, a three-way conversation. This keeps you accountable to delivering the same message to both parties and ensures they are on the same page, as well. ADMIT YOUR MISTAKES Leaders are human. We make mistakes. We know it, and our employees know it. When we admit our mistakes, we tell others that it is safe to admit their mistakes. Such vulnerability and authenticity is the first step to improving our performance.

I hope you find these seven insights useful. Commit to making just a couple of improvements in your culture, and you will be well on your way to making 2018 a more successful year. Best wishes. n

Greg DiDio is CEO of Kite Technology Group, a Maryland-based IT services and consulting company serving the needs of 90 insurance agencies across the United States. He has 25 years of leadership experience, with the last 18 focused on information technology management. Greg has a passion for developing leaders and creating corporate cultures that facilitate high performance and employee growth. When he is not working, Greg enjoys reading, traveling and spending time with his wife and seven children.

WHERE TO TURN FOR ADVICE GET THE guidance you need to run your agency effectively. Employee management can trigger a range of questions and concerns. That’s where complimentary consultation and discounted professional services from our contracted human resources firm, Mosteller & Associates, come into play. Learn more about this and the other products and services available through HR Solution© – an exclusive benefit of IA&B membership – by contacting us: 800-998-9644 IAB@IABforME.com IABforME.com/emp_mgmt

PICS & POSTS Seen on site: Debbie DeChambeau, CIC, AAI, CPIA, of Select Business Team, LLC, recording a podcast while on break at our train-thetrainer workshop.

Keep up with industry happenings – and share your own news! We want photos of your agency’s milestones, community involvement and fun. Submit them via email (KarenR@IABforME.com) or tag them on social media (Facebook, LinkedIn or Twitter) using #IABpics.

“Interesting read! Our AMS from @xanatek allows us to text out of IMS & immediately documents the outgoing message as a note definitely a helpful feature!” -@ CrossKeysIns in response to @IA_and_B’s share of a point/ counterpoint on texting clients Insurance Agents & Brokers: With IA&B President and CEO Rick Russell’s retirement just weeks away, our staff and a few dear friends celebrated his 38 years with the organization. We shared a toast, hot wings, memories and many laughs. Cheers, Rick! - K athleen Glattly: Congratulations, well deserved! - G . Greg Gunn, CIC: Congrats, Rick Russell! What a spectacular run. Seen on site: What do successful agencies have in common? For one, they prioritize education. Exhibit A: The Walton-Ebert team – to include agency principal Glen Ebert, CIC – who recently took a CISR seminar together.

#IABpics 22

Productive day paving the way for #youngagents with my friends at @IA_and_B #future is bright! #insurance mhoffman202 tweeting about her -@ participation in the IA&B Futures Task Force

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