also in this issue: 3 keys to see the future How not to manage performance Ties bind E&O prevention, sales
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10
Contents Primary agent MagazinE
Marketing to the connected generation
16
Independent agents, meet the connected generation — a generation not defined by age but by use of Web 2.0 technology. Ignoring them means ignoring a rapidly growing share of personal lines business. Yet meeting them on their turf intimidates many good insurance agents. Read on for why, and how, to market to the connected generation.
Page 10 Expand your marketing strategy online Many of the techniques agents have long used to thrive in their communities are still relevant. They also have clear parallels in the digital space and, in many cases, their online counterparts are easy to implement and measure. Understand the connection, and you can use what you already know to master these new online tactics.
Page 16
22 Mission Statement Primary Agent delivers ideas to help Insurance Agents & Brokers’ members negotiate their unique position as guardians of trust between insurance consumers and companies while facing the challenges of maintaining a small business. Primary Agent also supports IA&B’s mission to preserve and advocate the American Agency System.
Get social with IA&B
Three keys leaders can use to see the future In today’s world of technology-driven transformation, leaders need to embrace a new leadership principle if they want their organization to be relevant today and in the future. Learn three ways to be anticipatory.
Page 22
In every issue 2 3 4 6 8 15
Chair of the Board’s Message Member FAQ State News Preventing E&O Coverage Corner Glance at Events
19 20 IBC IBC IBC
IA&B Partners H.R. Headquarters Advertisers Index Classified Ads Last & Least
Subscriptions: Non-member price: $2.25 per copy or $15 per year. All communications for publications, including news, features, advertising copy, cuts, etc., must reach the editor by 1st of month two months prior to publication. Advertising rates furnished upon request. Address inquiries to: Primary Agent Editor 5050 Ritter Road Mechanicsburg, PA 17055-0763 Phone (800) 998-9644 or (717) 795-9100 Fax (717) 795-8347 Periodical postage paid at Mechanicsburg, Pa. and additional entry post office. Postmaster: Send address changes to above address. Primary Agent (ISSN 1543-3110), Permit # 638-620, Issue # 2013-7 is published monthly by IA&B Service Group Inc., a subsidiary of IA&B. Copyright 2013. 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 is 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 and 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 the 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.
[1]
Board of Directors Officers Norman F. Basso, CPCU Chair of the Board York, Pa. G. Greg Gunn, CIC Vice Chair of the Board Lemoyne, Pa.
Norman F. Basso, CPCU
Chair of the Board’s M
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Robert B. Hall, CPCU, CLU, ChFC, ARM, ARM-P Immediate Past Chair of the Board West Chester, Pa.
Members Joyce M. Bailey, CIC, CRM, CPIW Newark, Del. Henry “Butch” Bradley, Jr. Forest Hill, Md. Timothy P. Burris Mifflintown, Pa. N. Lee Dotson, CIC, AAI Wilmington, Del. Michael P. Ertel Columbia, Md. John L. Frankenfield Telford, Pa. John B. Hollister Milford, Pa. Diana M. Hornung Hanby, ACSR Wilmington, Del. Jocelyn R. Howard-Sinopoli, CIC, CISR Butler, Pa. Robert S. Klinger, LUTCF, CPIA+ Germantown, Md. Douglas A. Loesel, CPCU Erie, Pa.
Hello, Web 2.0 Let’s face it: The game has changed. And if we, as an industry, want to thrive (let alone survive), we need to change, too. Almost three-quarters of personal lines consumers start their search for insurance online. The days of ignoring the Internet and social media are gone. Direct writers beat us to the punch, enticing those online shoppers with gimmicks, online quotes and — quite frankly, in many cases — insufficient coverage to minimize premiums. It’s time to take a stand. To show our value. And to compete in the online space. This is the time to rethink how we connect with consumers online. Our message hasn’t changed, but our medium has. Web 2.0 technology — think: interactive, rather than static — offers great payoffs for those willing to take on the learning curve. This month’s feature article on page 10 serves as a reality check, pep talk and advice column all in one.
Craig S. Mader Gambrills, Md.
Sure, it’s easier to maintain the status quo. But it’s not realistic for reaching — and maintaining — the connected insurance consumer. This is our time. Let’s reclaim lost market share and stake our claim on existing business.
Ann Gallen Moll, CIC Reading, Pa.
Until next month,
Michael F. McGroarty Sr. Pittsburgh, Pa.
Joseph R. Pastor, CPCU, AAI Oil City, Pa. April E. Ressler, CIC Altoona, Pa.
Norm Basso
Scott C. Rogers, CPIA* York, Pa. David B. Wasson Sr., CIC State College, Pa. Lawrence A. Wilson, CIC, CPIA, CPCU, ARM** New Castle, Del. * Pa. IIABA National Director ** Del. IIABA National Director + Md. PIA National Director
[2]
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Member FAQ QUESTION: As an agency, are we allowed to commingle funds?
w t he amounts due insurers must be equal to or less than the combined Accounts Receivable and current bank balances. The rules are very similar in Maryland, even if some of the language is worded differently. Consent is also required in writing, but the consent must meet a specific format defined in the regulation (Maryland’s sample request for consent letter is also available on IA&B’s website). In addition:
answer: First, let’s make sure we agree on the terms: “Commingling,” as we understand it, refers to the action of keeping the following together in a common bank account:
w t he funds held in a fiduciary capacity must be reasonably ascertainable from the agency’s books and records;
w premium funds (that belong to the insurer), and w agency funds (capital, operating or other funds).
w t he balance must at all times be equal to the aggregate net premiums, return premiums, and deposits received but not remitted.
As a preamble, keep in mind that carriers – and IA&B for that matter — tend to prefer an “anti-commingling” setup, i.e. one where the agency’s funds are segregated from the insurance premiums that are held on behalf of the companies. Agency agreements often specify whether they allow or disallow the practice of commingling. That being said, commingling is addressed in our three states in connection with an agency’s fiduciary duties, both under state law and regulation.
Remember that you can only commingle funds from the companies that have provided express written consent. For those carriers that have not, you will be required to keep the funds separately. More information on an agency’s fiduciary duties is available at www.iabgroup.com.
In Delaware and Pennsylvania, the regulations state that a producer who has the insurer’s express written consent may mingle the insurer’s funds with the agency’s own funds. If you choose to go down that path, make sure you secure this consent in writing (a sample request for consent letter is available on IA&B’s website). In addition, even if commingling is allowed by the carrier (under a single bank account), the regulation also requires the following:
DO YOU HAVE A QUESTION? E-mail it to us at iab@iabgroup.com. Please use “Primary Agent FAQ” in the subject line of your message. You can also fax your question to 717-795-8347. We look forward to answering your questions!
w t he funds held in a fiduciary capacity must be reasonably ascertainable from the agency’s books and records;
[3]
Primary Agent | July 2013
State News Insurers to disclose ACC clause to homeowners under new law Insurers writing homeowners’ policies containing anti-concurrent causation (ACC) clauses have a new responsibility thanks to a law that took effect June 1. It requires that insurers provide policyholders each year with a notice that: w Is clear and specific w Describes the ACC clause w Informs the insured to read the policy for complete information on the exclusions w States that the insured should communicate with the insurance producer or the insurer for additional information regarding the scope of the exclusions The IA&B government relations team successfully lobbied to remove language from the final version of the bill which would have required agents to provide insureds with “a description, including an example of the manner in which the ACC clause may be applied,” thus creating a potential, and unnecessary, E&O exposure. Additionally, IA&B will provide input to legislators during a study required by the new law on the handling by insurers and the National Flood Insurance Program of property insurance claims in cases where there are two or more factors that could affect or cause the loss.
[4]
The new law applies to all homeowners’ policies issued, delivered or renewed in the state on or after Jan. 1, 2014. Background: A 1973 California Supreme Court case originated the concurrent causation doctrine: When a covered risk and an excluded risk constitute “concurrent proximate causes” of an accident, “the insurer is liable so long as one of the causes is covered by the policy.” In response, insurers added to their policies an ACC clause for first-party property losses. Members can brush up on the history and applications of, as well as the continued confusion surrounding, ACC clauses by viewing IA&B’s recorded Power Hour webinar on the topic. www.iabgroup.com/ power_hour
Report offers insight on WC market The workers’ compensation (WC) market is an open book. The National Council for Compensation Insurance (NCCI) — the designated, licensed WC rating and statistical organization in 38 states, including Maryland — released its annual Issues Report. The 2013 edition addresses the economic impacts on the industry, issues and opportunities in WC, and state legislative activities, among other timely topics. www.ncci.com/ Documents/IR_2013.pdf
Non-resident obligations beyond licensing Simply maintaining a license in a non-resident state is not enough to keep an agency in good standing. Chances are that the agency is obligated to submit annual filings and taxes in the state as well. Failure to do so could prompt a letter from a non-resident Department of State or Department of Revenue questioning the agency’s activity or mentioning that a license is “deactivated.” When out-of-state agencies apply for a non-resident license, they often must register with the Department of State — which triggers annual reporting requirements. Rarely do states’ Insurance Departments coordinate with their Departments of State, and that disconnect easily can lead to missed obligations on the part of non-resident agencies. IA&B’s online Q&A shares more about what annual reports an agency may owe and how to keep track of various deadlines.
A remedy for this paperwork headache could be in sight: Federal legislation to address multi-state producer licensing has been introduced in the House and Senate. The bipartisan bill, titled National Association of Registered Agents and Brokers Reform Act of 2013 (NARAB II), would streamline the out-of-state licensing process without overstepping the boundaries of states’ regulation. www.iabgroup.com/md/ corp_franchise_tax
How to seek an appointment with Maryland Health Benefit Exchange Licensed health agents can take their first step toward working within the state’s new health insurance marketplace. The Producer Authorization Application is expected to become available this month.
The MHBE designed a three-step process that licensed health agents can follow to become authorized to sell plans on the Maryland Health Connection: w Complete the Producer Authorization Application (beginning July 2013) w Complete MHBE Training (the first round of training will start in August 2013) w Receive Notification of Authorization from MHBE (starting September 2013) IA&B continues to be involved in the development of rules and regulations regarding the new health marketplace and, over the coming months, will update member agents on how they can best work within it. http://marylandhbe.com/ exchange-partners/brokers/
More details on how producers can participate in the Maryland Health Connection (also known as the marketplace) are becoming available following Maryland Health Benefit Exchange (MHBE) Board’s recent adoption of carrier requirements related to producer appointments. Carriers are required (except where the carrier shows cause to deny an appointment under the Insurance Article) to appoint every producer who is authorized by the MHBE and requests to be appointed by the carrier. Carriers may not deny an appointment based on a producer’s current or previous failure to produce a volume of business specified by the carrier; or impose a requirement on the producer to produce a volume of business specified by the carrier as a condition of appointment. [5]
w e lco m e
New Members
The Connolly Agency LLC Baltimore, Md.
Primary Agent | July 2013
Preventing e r r o r s a n d o m i ss i o n s
An interesting equation: E&O loss prevention = increased sales
The Utica National E&O Program supplied this article. Insurance Agents & Brokers Service Group Inc. 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@iabgroup.com.
While virtually every agency is looking for ways to add premium volume, many agencies are also trying to identify opportunities to enhance their E&O culture and commitment. As agencies work to make the best use of their resources, some may believe this has the potential to create a dilemma. It is interesting and ironic that these two initiatives are not totally independent. In fact, some may call it a “match made in heaven.” A strong focus on E&O loss prevention should also result in premium growth for an agency.
customers on how their insurance responds, the conversation to educate them before they suffer a loss will go smoother than after the loss. Recent surveys note that, on average, insurance agencies write fewer than 1.5 policies per account. When you consider that, at minimum, the average personal lines account has at least six to eight policy opportunities, this indicates there is real potential to write business. What are the numbers in your agency? A proactive position It’s possible your agency has some customers who might not be aware exactly how their insurance program works. Namely, what’s covered and what is not. It is interesting, when looking at some early E&O claim activity from Superstorm Sandy, how many customers did not have
A significant aspect of this E&O loss-prevention approach involves education. If your agency subscribes to the concept of “the best customer is an educated customer,” premium growth should be one of the end results. While there are numerous opportunities and approaches to educate [6]
flood coverage. There are actually a fair number of E&O claims where agency customers believed their homeowners’ policies provided coverage for flood claims. The following example shows how E&O loss prevention can result in increased sales. It is projected that less than 25 percent of ladies’ diamond rings are insured on a floater in the United States. Why is the number so low? Some customers could be under the impression that they have adequate coverage under a homeowners’ policy. What if your agency wrote to all of its customers to educate them on the coverage they have for that jewelry under a homeowners’ policy, contrasting it with insuring that jewelry on a jewelry floater? When advising customers that securing coverage for “mysterious disappearance” requires a floater, is it possible that
some customers will buy the floater? Definitely! What if no customer bought the floater? Have your efforts been a waste of time? Not at all. Your agency has now strengthened its defense if a problem develops down the road. Your letter could be a key piece of evidence in protecting the agency.
paintings, furs or firearms. There are special coverages for these types of items that may not be covered under your homeowners’ policy. In addition, please take note that flood is not covered under your homeowners’ policy, but we would be happy to provide you with a proposal.
An insurance survey about a year ago indicated that less than 50 percent of renters have the proper coverage – liability or property. It appears that many of these renters believe the
Imagine how much more flood insurance an agent affected by Superstorm Sandy would have written. The result: increased sales and a more educated customer. If not a single customer purchased any of the coverages mentioned, it is questionable whether they would have a solid position in a claim against the agency.
If your agency subscribes to the concept of “the best customer is an educated customer,” premium growth should be one of the end results.
landlord’s insurance covers their personal belongings. When it is best to educate them – before the claim or after it? With the average renter having approximately $30,000 of personal belongings, a fire could be catastrophic for customers if the proper coverage isn’t in place. Taking a proactive position in reaching out to this segment of the market has the potential to result in increased sales while minimizing the likelihood of your agency facing an E&O claim. Sales and education More and more agencies are looking to ensure their customers understand how their insurance works. What if you wrote to your homeowners’ customers and included a statement such as: Please remember to notify us if you purchased or received valuable items such as, but not limited to, jewelry,
Popular ways to educate customers Be an agency that educates its customers. You will be providing an important value to your agency prospects and customers, which should result in new business sales and higher retention. Methods include: Annual account reviews. Develop a campaign to perform annual reviews for your customers, or at least invite them to have this done. One option is to develop a questionnaire to mail to your customers. Customers would be advised that if they identify certain exposures, they should contact the agency to understand what coverage they have today for that exposure and what options should be considered. Newsletters. These can be paper or electronic. Address issues unique to the time of year. These could be weather-related or may involve matters such as the insurance implications of kids going off to college. Social media postings. This is a great way to educate customers on a variety of issues. Many agencies have advised that this education has provided their agency with a solid brand in their community. [7]
The insurance proposal. Strengthen your proposals by including definitions of key insurance terms. Avoid abbreviations, such as ACV and RC, as many customers may not know what these mean. Cross-selling opportunities. Look for cross-selling opportunities every time your agency interacts with customers. What if you created an incentive in your agency for the CSRs in rounding out the insurance for their customers? This can be a win-win for everyone. Limit options. Include limit options for your customers to consider. Not only will this help them to realize that higher limits are available; they may also find that higher limits are not as expensive as they thought. Agencies that are truly serious about growing enhance their E&O loss-prevention measures. Take the initiative to educate your customers. At the end of the day, you just may realize that you are selling more insurance.
Newsletter discounts IA&B members are entitled to a 25 percent discount on e-newsletter and email blast services. Log onto the Marketing Center to learn more.
www.iabgroup.com/md/ marketing
Primary Agent | July 2013
Coverage co r n e r
2013 CGL endorsements — a closer look
jerry m. milton, cic Jerry M. Milton, CIC teaches and consults on industry issues. The legal profession recognizes him as an expert on insurance coverages. He is also the education consultant for IA&B, working with CISR, CIC and continuing education programs.
April has come and gone. Therefore, the 2013 revisions of the ISO Commercial General Liability forms are behind us. They were approved and have been in effect in our three states for about three months now. I’m sure some insurers are using them, others are not.
endorsements. However, before we do, I just want to say that I really like the new provision that ISO has now included in the new and revised additional insured endorsements which states: If coverage provided to the additional insured is required by contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured.
As you probably know by now, these revisions involved very little change to the CGL Coverage Form. A few editorial changes and a clarification of the liquor liability exclusion to provide coverage for the insured if customers are allowed to bring their own bottle onto the insured’s premises – that’s about it.
If you insure contractors you are probably familiar with the Additional Insured – Owners, Lessees Or Contractors – Scheduled Person Or Organization (CG 20 10) endorsement. It’s the one that’s been around for years and years and years. This endorsement is
Most of the changes involved endorsements – revisions of existing endorsements and the introduction of several new endorsements. We’ll address the provisions of a few of these new [8]
used to add one or more persons or organizations, as usually required by contract. The person(s) or organization(s) have to be named and the locations of covered operations have to be scheduled. A new endorsement has to be issued each and every time the insured enters into a new contract or begins a new project. Bummer! A lot of work. But at least we know who and what we’re insuring. And then along came the Additional Insured – Owners, Lessees Or Contractors – Automatic Status When Required In Construction Agreement With You (CG 20 33) endorsement. One endorsement, no matter how many contracts or projects – blanket, automatic – less work. The endorsement simply requires that the contract be in writing. Who and what are we insuring? I guess we’ll find out at time of loss. The big
question – what does the contract say about what person(s) or organization(s) are to be added as insureds? Many contracts have a requirement that reads, “The entity, its officers, directors, employees, agents, contractors, subcontractors and assigns shall be added to contractor’s general liability policy as additional insureds.” The CG 20 33 endorsement does not meet the contract requirements. It adds only the person or organization who is a party to the contract. Who Is An Insured is amended to include as an additional insured any person or organization for whom you are performing operations when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an additional insured on your policy. ISO took care of this in their April 2013 revisions. They introduced a new endorsement – Additional Insured – Owners, Lessees Or Contractors – Automatic Status For Other Parties When Required In Written Construction Agreement (CG 20 38). This endorsement automatically adds every Tom, Dick, Harry, Sally, Susan and Jane if required by written contract. The CG 20 38 expands the “Who Is An Insured” provision by adding: Any other person or organization you are required to add as an additional insured under the contract or agreement described in Paragraph 1. above. What a deal for the other person or organization. Just require that everybody you know or like must be added as an additional insured on the contractor’s CGL policy. Will the insurers use the CG 20 38 endorsement? I imagine some will, but I believe many will not. [9]
No matter which of the above additional insured endorsements you use, completed operations is excluded for the additional insured. You still have to add the Additional Insured – Owners, Lessees Or Contractors – Completed Operations (CG 20 37) endorsement if required. Most contracts also require that the indemnitor’s insurance be primary and noncontributory. This provision has been around for ages. ISO finally addressed this issue by introducing the Primary And Noncontributory – Other Insurance Condition (CG 20 01) endorsement. That’s the good news. Here’s what could be bad news. This endorsement does not make the indemnitor’s insurance primary and noncontributory for many folks. It states: This insurance is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that: (1) The additional insured is a Named Insured under such other insurance.
Learn more Missed IA&B’s spring special topic seminar on the Property and CGL revisions? Have no fear: IA&B is bringing the course to a computer near you. Look for the upcoming launch of the new on-demand training course.
www.iabgroup.com/ on-demand
Again, what does the contract say? I guarantee you that the indemnitee’s officers, directors, employees, etc. are not Named Insureds on the indemnitee’s CGL policy. As with any new filing and revisions of forms, there’s always something good and something bad. “PLEASE READ YOUR POLICY CAREFULLY” is good advice. Y’all take care!
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Coastal Agents Alliance, LLC
marketing
Marketing to the connected generation How to build relationships, deliver value and generate new business through content, email and social media marketing
Independent agents, meet the connected generation — a generation not defined by age but by use of Web 2.0 technology. Ignoring them means ignoring a rapidly growing share of personal lines business. Yet meeting them on their turf intimidates many good insurance agents. Read on for why, and how, to market to the connected generation.
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Primary Agent | July 2013
O
ur world has changed. The independent agent and broker face unprecedented competition. Our competitors are at our borders – gaining market share in auto insurance by spray-painting the walls of our fair town with their message of insurance commoditization and online sales without the benefit of an insurance advisor. They sell on price, on ease of business and on speed of business, using marketing tactics and slogans that often do not give consumers the full picture of the risks they face and the coverage options they could be buying to fully protect themselves. Unfortunately these methods work. Independent insurance agents will often admit that they are less than adequate marketers. Many lack an understanding of marketing and even question its value. Certainly, we hate spending money on marketing. Therein lies the rub. If we, as an industry, have any intention of fighting back against those who would undermine our message of value, it is imperative to change the way we market our business.
If we, as an industry, have any intention of fighting back against those who would undermine our message of value, it is imperative to change the way we market our business. Connected consumers — belonging to multiple generations — are rapidly becoming prime prospects for us. Sales and marketing techniques once thought to be the crux of growing an independent agency have become stale. Not only has the new consumer culture diminished the return on our bread-and-butter tools such as cold calling, but we’re in the battle of our lives against direct writers who are often content to sell a “state minimum” auto policy.
Independent agent as guide and mentor The truth is that direct writers have traditionally been the better marketers. Yet, we now have access to social and digital tools that will enable us to change that. The widespread acceptance of social media tools has placed the responsibility upon us to amplify our customercentric message of value. Success will manifest, once we begin to embrace the undeniable truth that our value is not as gatekeepers of insurance knowledge and expertise, but rather as guides and mentors for our clients through the insurance-buying process and then after the sale is made. This isn’t my first call-to-action. Two years ago I wrote the article “If you work in insurance, this is the only article you need to read about the future of social media.”
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Don’t go it alone IA&B has your back. Looking for help with digital marketing? Check out the Consumer Agent Portal section of the Marketing Center. Need vetted copy for a blog or social media post? Pull from the consumer content available – again in the Marketing Center – or from IA&B’s Twitter feed. Want to connect with other independent agents who are venturing into Web 2.0? Check out the IA&B LinkedIn Group. Marketing Center: www.iabgroup.com/ md/marketing Twitter & LinkedIn: www. iabgroup.com/soc_media
marketing
The premise was simple: As an industry we need to look at the value we add to the lives of insurance consumers as the primary driver of every decision we make regarding both traditional and social media marketing. And though I am still an advocate for traditional marketing in certain instances, it is social media that provides the greatest promise and opportunity in today’s economy. I know that’s a big ask, but the strategy is working for my agency. Here’s a truth about social media marketing that most “gurus” aren’t going to tell you ... tactics are easy. It’s the consistently-creating-value part that’s hard. Give me two days, and I can teach you every vital tactic in marketing your business online. Two days, and you’ll be a rockstar of digital marketing, a master of social media. You’ll know every trick, tactic and best practice as if you were born with the knowledge. But if you can’t conceptualize the value you add to the insurance consumers you serve — and effectively convey it to them — you’re certain to fail.
Tell a story that demonstrates your value For example, you can know everything there is to know about Facebook marketing, but posting the same tired message about the account credit associated with coupling home and auto insurance will never yield a return on investment. Instead, try telling a story about a family you helped apply that discount and about how the extra money they saved that year on their insurance paid for their child to go to summer camp.
Effective digital marketing takes time I know how difficult this is. I’ve been marketing my insurance agency online for three years now. The entire first year I fell victim to the trap of trying to “sell” with every article. Subsequently, I failed a lot. I failed many more times than I was successful. It wasn’t till the third year when I let go of my lust for return on investment, and focused on delivering content with immense value to insurance consumers, that we started to generate
Think of it this way: Social media is just our current medium for communication…. The message of value that attracts clients to us as people, to our agency and to the product we sell, has never changed. legitimate revenue. This effort strengthened our brand message and identity. Our community now understood who we were and what we valued. Now the clients who call us for a quote are often already “sold” when we pick up the phone. In a recent article published by the Harvard Business Review, “Marketing is Dead,” author Bill Lee makes the case that interruption marketing and advertising as we know it are [ 12 ]
dead. Interruption marketing (most traditional forms of marketing) is based on the belief that if we separate enough people, enough times from what they are doing and interject our latest discount, a few people will realize they need our product at that moment and purchase. For a long time, interruption marketing worked well. Interruption marketing worked so well and was so celebrated that AMC was able to create the hit TV show Mad Men based on the mass marketing era. But our world has changed from the days of Mad Men. Don Draper’s tactics would fail if he targeted today’s connected generation.
Marketing to the connected generation Today there is a new generation, different from any generation before, and membership to this generation has nothing to do with age. There are only two generations that matter to your business in today’s digital world: the connected generation and the unconnected generation. The connected generation is defined as consumers who communicate, build relationships and ultimately make buying decisions based on Web 2.0 technology. The unconnected generation is everyone else. As independent agents, we’re masters at building relationships and marketing to the unconnected generation. We ask for referrals, we attend local chamber events, we cold call, we drop in on businesses, we harass our family, we sponsor charity events, we buy radio spots, and we buy ads in the newspaper.
Primary Agent | July 2013
These are all classic and effective methods of marketing to the unconnected generation.
clients to us as people, to our agency and to the product we sell, has never changed.
Unfortunately, these methods don’t work (or at minimum are less productive) on the connected generation. The connected generation is less likely to allow friends to give their name as a referral, is completely adverse to a cold call, doesn’t listen to the radio and doesn’t read the newspaper.
Social media, blogging, email marketing and the various other digital methods of communicating are not as scary as they may seem. If you can send an email, you can publish a blog or post to Facebook. Far too often these tools are made out to be more difficult than they truly are.
How do we market our business to the connected generation? Until recently, most of us have simply pretended the connected generation didn’t exist. By choosing not to market our businesses to the connected generation, we significantly reduce the size of our potential client pool. We even make excuses that somehow these individuals are predisposed to GEICO or Esurance.
Simply put, if you’re smart enough to understand the exclusions in a homeowners’ policy, you’re more than capable
Get engaged with social & digital tools I’d like to advance this proposition instead. Let’s all take a deep breath, overcome our fear of transparency, vulnerability and technology, and then begin to spread our message of value through the social and digitals tools of today’s connected generation. Think of it this way: Social media is just our current medium for communication. Sixty years ago, we communicated through the United States Postal Service. Forty years ago, it was the telephone. Twenty years ago, it was the fax machine. Ten years ago, we embraced email, and today we use social media. The message of value that attracts
Simply put, if you’re smart enough to understand the exclusions in a homeowners’ policy, you’re more than capable of creating a value-driven online presence that generates revenue for your agency.
If you consistently create content with the purpose of adding immense value to the personal and professional lives of the community members you serve, revenue generation is the result. So the question really is, “How do we add immense value?” There was a day when the value we provided to our clients was the expertise we accumulated through experience, mentorship, training and networking with colleagues. Insurance is a complex, yet delicate product, easily confused and contaminated with misconceptions. It has been our job for over a century, as independent agents, to stand as the gatekeepers of that expertise. If our clients had a question, concern or problem, they needed us to find the solution. Unfortunately, that value proposition no longer exists. We are no longer the gatekeepers of our expertise.... The Internet has reversed the flow of value, and consumers can now find a lot of information on the Internet. To survive, we must adapt.
Independent agents more important than ever of creating a value-driven online presence that generates revenue for your agency.
Build your community by communicating value Every piece of content we create, whether it’s for our blog, social media or email marketing should be created with the intention of building community and ultimately generating revenue. When done correctly, the results are undeniable.
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Don’t misconstrue what I’m saying to mean that independent agents are no longer necessary. In fact, independent agents are more necessary than ever in our history. Insurance consumers who choose to travel these roads alone, without the guidance of an independent agent, fall victim to the predators silently waiting to sell cheap policies with inadequate coverage. The critical value we provide insurance consumers is not our
marketing
product knowledge but rather our experience and guidance throughout the buying process and after the sale. Consumers of the connected generation want to know everything there is to know about a product or service before they purchase. By embracing digital and social media marketing, our agencies will become both the information source and the guide for these connected consumers. This is working for our agency today, and we are consistently generating new business revenue from online leads. Personally, I’m sick of consumers being led through the insurance buying process by funny commercials and cartoon characters. But we have left a void for these marketers to fill. To quote Michael J. Fox in The American President: “People want leadership, Mr. President, and in the absence of genuine leadership, they’ll listen to anyone who steps up to the microphone.”
Digital tools offer the opportunity to level the playing field Direct writers are the only ones with a voice online. It’s time that we as a group step up to the microphone. Never has there been a time in history when it was so quick, easy and inexpensive to deliver our message to insurance consumers. Social media is a gift. It levels the playing field. With amplifiers like blogs, social media, email marketing and customer relationship management tools such as Infusionsoft, we can take back the airways.
Focus on your content So what am I asking you to do? Create content with reckless abandon. Create content that tells your story over and over again, until every single client knows exactly who you are, why you’re in business and the value you provide. Simon Sinek, the author of Start With Why, said in his now famous TED Talk: “People don’t buy what you do, they buy why you do it.” It’s the “why” of what we do that spreads our message.
We are no longer the gatekeepers of our expertise. We didn’t choose for this transformation to happen, but it’s happened nonetheless.
Our task now is refocusing our effort from “what” (we sell insurance) to “why” (we believe in a world where accidents shouldn’t ruin lives), because “why” makes the phone ring. We are no longer the gatekeepers of our expertise. We didn’t choose for this transformation to happen, but it’s happened nonetheless. Now it’s time for all of us, the entire independent agency industry — from the one-person shop to the mega-regional, to the carriers and the vendors we
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partner with, to the associations and organizations that support us — to tell our story of “why.” Using the communication mediums of today, we can deliver our value-driven marketing message to the connected generation and ensure the success of a distribution system we all love so dearly.
Ryan Hanley is the director of marketing for The Murray Group Insurance Services, Inc., and his mission is to help every insurance professional and organization which so desires to create a value-driven, revenue-generating online presence. If you want to learn more or discuss how you can work with Ryan, visit his blog at http://www.ryanhanley. com. You can also listen to Ryan’s marketing podcast at http://www.ryanhanley.com/ contentwarfarepodcast. Ryan produced this article for ACT, and it reflects his views and should not be construed as an official statement of ACT.
Glance at Events j u ly c a l e n da r
Date
Topic
Location
9
Dynamics of Service
Philadelphia, Pa.
E&O Risk Management
Newark, Del.
CISR—Personal Residential
Pittsburgh, Pa.
10
CISR—Agency Operations
Mechanicsburg, Pa.
CISR—Elements of Risk Management
Altoona, Pa.
11-12
James K. Ruble Graduate Seminar
Allentown, Pa.
16-18
P&C Licensing Study Course
Mechanicsburg, Pa.
22-25
CIC Agency Management Institute
King of Prussia, Pa.
23
E&O Risk Management
Pittsburgh, Pa.
William T. Hold: Learning from Losses
Wilkes-Barre, Pa.
24
CISR—Commercial Property
Erie, Pa.
William T. Hold: Learning from Losses
Lancaster, Pa.
25
William T. Hold: Commercial Lines
Salisbury, Md.
30
10 Ways to Get Sued (E&O Claims Sources)
Baltimore, Md.
31
E&O Risk Management
Philadelphia, Pa.
Executive Management Conference returns to Gettysburg Oct. 29-30 Like opposing generals 150 years ago, leaders from both north and south of the Mason-Dixon Line will converge on Gettysburg, Pa. this year to reinforce their ability to battle … if only for business. Mark your calendar for Oct. 29-30, and plan to join fellow agency principals for IA&B’s fifth annual Executive Management Conference (EMC) when it returns to the Wyndham Gettysburg. Following the success of last year’s EMC, which was heavily focused on marketing and branding, this year’s event will continue to feature educational sessions related to marketing and brand development, as well as producer and agency management. A new track focused on agency culture and leadership also will be introduced. Engaging speakers (some returning from last year) again will share their expertise.
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marketing
Expand your marketing strategy online Three digital parallels to traditional tacticse
F
or agencies that have spent years, decades, even generations building a local footprint with traditional marketing tools, it can be understandably daunting to hear so many in the media assert that success in today’s marketplace now requires extensive e-marketing expertise and a dynamic online presence. The good news: Many of the techniques agents have long used to thrive in their communities are still relevant. They also have clear parallels in the digital space and, in many cases, their online counterparts are easy to implement and measure. Understand the connection, and you can use what you already know to master these new online tactics.
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Primary Agent | July 2013
This article outlines some important strategies you can employ to add powerful digital marketing components to your traditional marketing plan and navigate easily from what you already know to these digital tools.
Yellow Pages and local search The Yellow Pages Association reports that there are 900 million Yellow Page print references every month. The online equivalent? Local search. When a consumer searches online for insurance, how your agency ranks in the local results makes all the difference. Yet only a fraction of independent agents have taken the first step to benefiting from this free service. That first and most important step is proactively claiming and verifying your online listings. Progressive offers a listing management program, called ListAgent, to help claim and keep your listings relevant, maintained and optimized for less than $100/ year. There are also free do-ityourself options like getlisted.org that audit how effectively your agency has claimed its local search listings and allow you to create listings with each of the primary search engines from one website.
Word-of-mouth and online review It’s no secret that a leading driver of new business is a happy customer. For agencies that have nurtured word-of-mouth referrals from their customers (and for agencies that simply see the results walking through
the door), encouraging your customers to share their feedback online is an easy way to amplify their voice. Asking Facebook fans and LinkedIn connections to recommend your agency to their social networks is the clearest bridge between traditional and digital referral tactics, but online reviews on sites like Google Places, Citysearch, Yelp and Insider Pages have additional advantages — not only can they boost your local search visibility, they can sway strangers as well. If you’re not currently soliciting online reviews from your customers, try adding requests to your customer communications. Develop email templates that you can easily customize and send with links to review sites. Again, your carriers may be able to help you here by having email templates for you to use, as Progressive has done. You can also add links to your website and customer newsletters.
Print ad and tile ad Finally, as newspaper readership declines and more consumers get their news from the Web and social media, online advertising may offer your agency additional bang for the marketing buck. While banner ads on your local paper’s website are an alternative worth exploring, sites like Facebook give you pinpoint targeting options that print and online publications cannot. Using Facebook, you can create and publish an ad yourself in minutes, and unlike traditional media, you can handselect an audience most likely to respond to your message using
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the information Facebook users list about themselves, including zip code, age, gender, marital status, even hobbies, interests, and associations. A hypertargeted ad means less waste, and Facebook provides detailed metrics that enable you to quickly test executions and adjust as needed during the campaign. Best of all, you can pay per click or impression, and set budgets by day or campaign. To make the process even easier, your carriers may provide you with resources to help you with online advertising. Progressive, for example, offers illustrated how-to guides on creating Facebook ads and contests on its agent marketing website. It’s true that the market and the customer are evolving, but there are easy ways to apply what you already know to succeed in online marketing. You don’t need special skills or an expensive consultant to take the first steps forward; just a basic understanding of what’s out there, a willingness to explore, and a few trusted resources to help you along the way.
This is an abbreviated version of the article. The full text is available at www.iabgroup.com/md/technology. Matthew Marko, marketing manager for Progressive Insurance, provided the content. He prepared this article for ACT. This article reflects the views of the author and should not be construed as an official statement by ACT.
Platinum Profile Insurance Agents & Brokers proudly recognizes Mutual Benefit Group as one of its Platinum Partners. IA&B Platinum Partners dedicate the highest level of sponsorship to our organization.
FEATURED PARTNER Mutual Benefit Group
CHIEF EXECUTIVE OFFICER Steven C. Sliver, President and CEO
HOME OFFICE LOCATION Huntingdon, Pennsylvania
A.M. BEST RATING A- (Excellent)
Y
our great-grandmother may have worn a cameo brooch, your grandmother a scarab bracelet, your mother a turquoise and silver necklace. Yet it’s likely that all three of them owned a diamond. Unlike fads that come and go, gems endure. Their value is crystal clear. Mutual Benefit Group strives to be a gem that endures, bringing crystal clear value to the insurance experience:
Value That’s Crystal Clear – Agents tell us that Mutual Benefit is a “gem” to work with, and that our people are the main reason they feel that way. Above, from the left, are Personal Lines Senior Underwriter Bonita Anderson, Direct Bill Accounts Receivable Assistants Suzie Brenneman, Kim Brown, and Shelby Metz, and Commercial Lines Senior Underwriter Scott Ulrich.
w Our operation as a mutual company adds value – it frees us to focus on the needs of policyholders rather than the demands of stockholders. w Our support of the independent agency system adds value – we believe so strongly in the value of the independent agency system that we’ve included it in the design of our corporate logo. The three circles stand for the agent, the policyholder, and the insurance carrier. The point where they intersect represents the economic well-being that all receive by pooling their resources. w Our legacy of strength and stability adds value – we have been in business for 105 years and have tripled both
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direct written premium and surplus over the past two decades alone. w Our claims service adds value – surveys show that our claims service satisfaction levels consistently rank above 95% and elicit comments from policyholders as simple and telling as: “Perfect!” (L.S.P., Pittsburgh, PA). w Our staff of seasoned, caring professionals adds value – MBG’s staff ranges from young information technology graduates fresh out of college to underwriters who have been in the insurance industry for 50 years. Insurance offerings come and go. Premiums rise and fall as the market changes. Carriers and agents who work together to provide products that stand the test of time; who understand the importance of managing price in a way that maintains a consistent, stable market; who embrace the benefits of technology without losing that personal touch; and who are committed to responding quickly and compassionately at claim time are indeed gems. Their value to one another, and most importantly to policyholders, is crystal clear.
Listed below are those companies that strongly support the independent agency system and Insurance Agents & Brokers. Thank you for your continued sponsorship.
What is IA&B Partners? The IA&B Partners program gives company and allied businesses the opportunity to demonstrate their commitment of support to independent agents and receive maximum market exposure. As an IA&B Partner, you will also realize the benefits of IA&B membership to help you succeed in the insurance industry.
DO YOU SEE YOUR NAME? To become an IA&B Partner, choose the sponsorship package that matches your commitment of support. Contact the Member Sales Center at 800-998-9644, 717-795-9100 or visit us online at www.iabgroup.com to get started.
Platinum Level
bronze Level
ACUITY Berkley Mid-Atlantic Group Donegal Insurance Group Erie Insurance Group Harleysville Insurance HM Insurance Group Insurance Agents & Brokers Service Group Inc Liberty Mutual Insurance MMG Insurance Company Millers Mutual Group Millville Mutual Insurance Co Mutual Benefit Group Penn National Insurance Selective Swiss Re The Main Street America Group Utica National Insurance Group
Aegis Security Insurance Co Agency Insurance Company AmWINS Program Underwriters Inc Auto-Owners Insurance Company Briar Creek Mutual Insurance Company Chubb Group of Insurance Companies Conemaugh Valley Mutual Insurance Co Countryway Insurance Company Encompass Insurance First General Services Foremost Insurance Group Goodville Mutual Casualty Company Guard Insurance Group Harford Mutual Insurance Co Hanover Fire & Casualty Insurance Company Insurance Alliance of Central PA Inc Insurance House Insurance Placement Facility of PA Keystone Insurers Group Inc
gold Level
Lebanon Valley Insurance Company
ISU Insurance Agency Network Progressive Westfield Insurance
Mercer Insurance Group
silver Level
Penn PRIME Municipal Insurance
Merchants Insurance Group Mercury Casualty Reamstown Mutual Insurance Company Rockwood Casualty Insurance
Access Insurance Company Allied Insurance American Mining Insurance Co Burns & Wilcox Limited Cumberland Insurance Group Frederick Mutual Insurance Co Juniata Mutual Insurance Co PSBA Insurance Trust The Philadelphia Contributionship
State Auto Mutual Insurance Company TAPCO Underwriters Inc The Brethren Mutual Insurance Company The Motorists Insurance Group The Mutual Service Office Inc Travelers Tuscarora Wayne Insurance Company Zenith Insurance [ 19 ]
Primary Agent July 2013
H.R.
Primary Agent | July 2013
hea d q uarters
Managing performance: Who are you really managing?
Jeffrey W. Gerhart CEBS, MBA Jeffrey W. Gerhart, CEBS, MBA, provided this article on behalf of Mosteller & Associates, IA&B’s contracted human resources consulting firm. IA&B members have access to HR Solution©, a compilation of products and services to help them establish or improve their human resources program. Included are base-level consultation services and discounted professional services from Mosteller & Associates. Learn more at www.iabgroup.com/hr.
Recently, I had the opportunity to sit through a client’s presentation to their managers about conducting annual performance appraisals. It was the typical nuts and bolts of what managers should or shouldn’t do while compiling the appraisal, giving feedback to their employees and minimizing rater bias in the process. While these are good mechanics to provide formal feedback, it made me think about why we feel the need to manage performance in the first place, and how it gets applied. My sense is many employees feel like they’re getting a report card on their performance for the past year. (Case in point, how many employees get truly excited about having their performance appraisal discussion with their boss?) Results may be tied to an annual
increase, but largely, the employee weathered another year. Great employees get great reviews; poor employees get poor reviews. But what about the group in between?
If your employees know where you’re going or what problems you
encounter, they can make adjustments in their own work and help you. Over the years, I’ve adopted a view from Bill Walsh, coach of the San Francisco 49ers football team from 1979 to 1989, to sum up what I mean. Walsh took one of the worst team records in
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the NFL and turned the 49ers into Super Bowl champions. (paraphrased) Take a group of 10 people. The top two will ask for your help when they need it. They’ll figure out what needs to happen, and they’ll do an excellent job. They are self-motivated. But it’s where we (as managers) want to spend our time (‘cause it’s easy and fun!). The bottom two people are the lowest performers and probably should go. We may let them linger, and we spend time on their complaints. The next two lower performers would benefit from our extra time, but will they produce meaningful results? Perhaps, with extra effort.
That leaves the middle four. And now we’re out of time. This is the group that delivers steady, consistent performance day to day, yet we don’t spend enough of our time helping them. And this is where the greatest gain in an organization can be made. So, 60 to 80 percent of your employees can help you move your agency forward, if they know what you need. One of the running questions I see on blogs or from other service providers is, “Does someone have an effective performance appraisal form that I can use?” This question is misplaced. Simply put, a form records information, but it does not drive process. And with agency managers and owners giving all this great feedback at year end, we expect to see change in the employee, right? But do we really see change? Which brings me back to the question: Who, exactly, are you managing when you say you’re managing performance? How about first managing yourself? This is what we call leadership.
Do you have a continual dialogue with your employees and help them make small adjustments throughout the year? Can you imagine a football team’s record if the coach waits until the end of the season before the players were told how they are doing? Do we sometimes do that with our own performance-management process? Are you taking appropriate risk to help your employees improve? Are you willing to sacrifice time and money to increase education or experience and to expand staff capacity? Are you able to incorporate their new ideas into your agency? Are your employment practices and policies open-ended and flexible for unique situations? Do you share your financial position, agency challenges or shortand long-term strategy on a regular basis? If your employees know where you’re going or what problems you encounter, they can make adjustments in their own work and help you. And doesn’t all of this make managing employee performance easier?
Do you model the behavior you expect in others? Are you creating a work environment that allows employees to flourish? Are you able to hear their concerns and address them quickly and fairly? Several years ago, The Hay Group surveyed over 450 critical care units in large hospital systems across the country. They found that managers who are able to create a positive work environment had upwards of a 40 percent increase in employee productivity over their peers.
Unlock your HR Solution© Managing an agency is complicated enough without human resources headaches. Enter HR Solution. The suite of products and services is customized for independent agencies in Maryland — and it’s free with IA&B membership. Take advantage of everything HR Solution has to offer: w H R audit: identifies areas of non-compliance and provides guidance relative to HR practices and employment law w A ssociate handbook: offers a legally compliant (and easily customizable) template containing policies, practices and procedures w A dministrative guide: shares guidelines, tips and tools for use with the associate handbook and to implement an HR program w A dministrative tools: provides the forms available in the administrative guide in a separate, easy-to-use collection w Consultation services: connects you with HR professionals for guidance and answers w Discounted professional services: entitles you to discounts on extensive consultation with HR professionals
www.iabgroup.com/HR
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Primary Agent | July 2013
Technology up d ate
Three keys leaders can use to see the future
Daniel Burrus Daniel Burrus is considered one of the world’s leading technology forecasters and business strategists, and is the founder and CEO of Burrus Research (http://www.burrus.com/), a research and consulting firm that monitors global advancements in technology driven trends to help clients understand how technological, social and business forces are converging to create enormous untapped opportunities. He is the author of Flash Foresight (available at www.amazon.com).
We’re all aware that there are timeless leadership principles that have been true since the dawn of time and that will continue to be valid in tomorrow’s business environment. Things like integrity, honesty and personal responsibility immediately come to mind. While those are all vital traits, they’re not the leadership traits I’m addressing right now.
In today’s world of technology-driven transformation, leaders need to embrace a new leadership principle if they want their organization to be relevant today and in the future. In the recent past, leaders have focused on agility — being able to change quickly based on external circumstances because change from the outsidein has been coming at an ever-increasing speed, [ 22 ]
and it’s only getting faster. Many of these types of changes are driven by technology, but they’re also from our customers, because technology is influencing our customers and changing the way they interact with us. We also have increasing transparency, meaning your customers and prospects have access to complaints, as well as accolades, through social media and other
new forms of communication. All of these changes, which are coming from the outside-in and force agility, cause leaders to react, crisis manage and put out fires on a daily basis. Knowing this, it’s evident that simply being agile no longer works. Instead, today’s leaders need to be anticipatory. First, you have to make the future more visible. Ask yourself, “In these times of unprecedented change and uncertainty, what am I certain about?” If you look closely, you’ll see there are two types of change you routinely deal with, and both are fully predictable. The first is cyclical change. There are over three hundred known cycles that allow anyone to anticipate the future. For example, home values, the stock market, imports and exports will continually ebb and flow. Those
all represent cyclical changes that are in many ways easier to deal with, provided you know historically how long the cycle will last.
Instead of getting stopped by things you don’t know, it’s time to anticipate what’s coming so it doesn’t disrupt you.
Sometimes, though, changes are linear. For example, someone gets an iPod and starts listening to music on that device rather than buying CDs. That person now has all her music
with her at all times. That’s a linear change because she’s not going back to music on CDs. Other examples of linear change include globalization, the acceleration of computer processing speed and an increase in the world’s population. Linear changes, even small ones, can have devastating effects on a business. What linear marketplace changes are on your organization’s radar? Identify them so you can anticipate. Next, identify the hard trends — the trends that will happen — and ask yourself, “What are the disruptions on the horizon?” How are our supply chain, purchasing, logistics and many more functions being transformed by technologies like the cloud and virtualization? It’s creating disruption/ opportunity. You can either sit back and wait until the disruption hits —
®
a Berkshire Hathaway company A strong company just got stronger! We are proud to have joined the Berkshire Hathaway Group – and give you one more reason to consider requesting a GUARD agency appointment. Visit www.guard.com/apply or call 800-673-2465, ext. 4567! Property and casualty insurance for small- to mid-sized employers – workers’ compensation coverage is our traditional specialty.
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technology update
take a “wait-and-see” approach — or you can get active, what I call being preactive, and take positive action based on future known events. For example, if you were a cable television company, you would have to look at IPTV – Internet Protocol Television – and ask yourself, “How are young people watching TV today?” You’d see they’re using tablets like iPads or using smartphones like iPhones and Androids to watch television, such as YouTube, Hulu and Netflix to name a few. Many of them aren’t watching cable TV anymore, even though some cable channels like Time Warner have created apps recently. Most cable companies are not embracing this revolution as a new profit center even though it is already disrupting and will continue to disrupt at an ever-increasing pace.
Finally, look outside your industry for the solutions you need. You’re probably reading a lot of information every day about the industry you’re in. You’re also likely a member of multiple industry associations, and as a leader, you probably play a leadership role in some of them. However, by being so immersed in your industry, you may be missing what’s going on outside your industry. Therefore, look outside your industry and see where others have been innovating. Find out what changes they’ve made, technologies they’ve developed or adapted, and then modify those to your situation. Learn from their mistakes so you don’t have to make them. That’s how you proactively approach the disruptions you know are coming.
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So while we all know the timeless traits of leadership, there’s no competitive advantage in being just like everyone else. That’s why being anticipatory is so important. What do you see that’s about to happen, and how can you use that to your advantage? Instead of getting stopped by things you don’t know, it’s time to anticipate what’s coming so it doesn’t disrupt you. No matter who you are or what you do, you can anticipate. Therefore, don’t wait for your future to unfold randomly, only to end up in a place you don’t want to be. Instead, identify the certainties that await you, pinpoint the looming disruptions and go outside your industry to devise tomorrow’s solutions today. Look at what you can do rather than what you can’t, and you’ll emerge as a timeless leader who always succeeds.
Classified adve rti s e m e n t s
SURETY BOND PRODUCER We are seeking a bright, detail oriented Surety Bond Producer committed to relationship building and service to join our growing insurance agency in State College PA. This position will be responsible for marketing, processing, issuing and invoicing surety bonds along with account management in our commercial insurance group. The successful candidate will have an objective of becoming a Contractor Specialist handling bonding and insurance programs for our extensive and growing book of construction clients. Qualifications: A Bachelor’s degree in Finance, Accounting, or Business Administration (or equivalent combination of experience and education); 3-5 years’ experience as a surety bond underwriter or agent; excellent communication, analytical, and interpersonal skills; excellent organizational and multi-tasking skills. Proficient computer skills utilizing Microsoft Word and Excel software are required. Significant participation in the community and community events is essential. Hartman offers a generous compensation plan with a comprehensive benefits package. Send your resume to: Carolyn R. Rheam, PHR Carolyn@hartmangroup1.com www.hartmangroup1.com southeast PA producers & Agencies Professional agency since 1926 located in Feasterville, Bucks County, Pa. Call for confidential information and a review of our services. Contact Ray Reinard at 215-375-8600, Ext. 119. If you would like to place a Classified Advertisement, simply fax your ad on company letterhead to 717-795-8347, and we will take care of the rest.
A case for theft insurance Twenty-three years ago two men robbed Boston’s Gardner Museum in what the FBI considers the country’s largest property crime. They stole 13 works of art, including three Rembrants and a Manet, which are worth a half billion dollars. Remarkably, the museum did not carry theft insurance — insurance that would have allowed for an early and substantial reward to be offered. The museum now offers a $5 million reward for information leading directly to the recovery of the artwork. And this spring the FBI brought attention to the case by announcing that investigators traced the pieces to the Connecticut and Philadelphia areas and by making a renewed public plea for tips. Sources: propertycasualty360.com, nytimes.com, fbi.gov ________________________________________________________________
The Last & Least column is dedicated to the industry’s oddities — from creative claims and kooky coverages, to (tasteful) jokes and strange stories. Submit yours to iab@iabgroup.com, subject line: Last & Least. The editor will happily protect sources’ anonymity upon request.
Ad Index Coastal Agents Alliance . . . . . . . . . . . 9
Interstate Insurance Mngmnt. . . . OBC
Guard Insurance Group . . . . . . . . . . 21
Mid-Atlantic Insurance Group . . . . IBC
IA&B Partners Program . . . . . . . . . . 23
Preferred Property Program . . . . . IBC
Interstate Territory • • • •
Liability Cargo Property Garage
TRUCKERS • • • •
Physical Damage General Liability Workers Comp Umbrella/Excess
Targeting 1-100 Units
• Most Non-Hazardous Commodities • Great NTL - Physical Damage Program for Owner-Operator Fleets • Non-Standard Programs for Hard-To-Place Accounts
Strong, Stable Markets A+ XV
A+ XV Specialty Insurance Group
A- VII Use our strength to your advantage. Serving Pennsylvania, Maryland, New Jersey, Delaware, West Virginia, Ohio, Virginia, Indiana & Kentucky 2307 Menoher Blvd • Johnstown, PA 15905 814.255.6010 • 800.452.0297 • FAX: 814.255.6010 www.interstate-insurance.com
A XV
A X