The Underwriter's Insider November 2014 by The Underwriter's Insider

Features 5 Advertising 9 Kim Komando 22 Inside Track 27 Insider Advisor 28 Classifieds 32 Say What? 34 Back Issues

News 4 7 9

Empire Underwriters Promotes Greg Brittain To Vice-President

No Right To Independent Counsel Expert Analysis By Barry Zalma, Esq.

12 14 15 16 17 18 18 19

ObamaCare: Front & Center OP/ED By Spencer A. Lehmann, RHU

Insurance Industry Mourns Passing Of Gerry Malis Seven Things You Didn’t Know Your Web Browser Could Do - By Kim Komando

Specialty Agents Convention Agenda Georgia Insurance Agents Alliance Convention Notice 400,000 Climate Hypocrites Descend On New York - And Trash The City Man Pleads Guilty To Insurance Fraud In $1 Million Bugatti Crash Mississippi DOI Announces Public Search Tool For Rate Filings GE Developes New Jet Engine - 15% More Fuel Efficient, Smaller, Lighter Louisiana DOI Recovers Additional $2.25 Million In Claims Payments For Consumers - New Complaint Tracking

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News 19 21

N.C. Pair Who Witnessed Accident Arrested For Claiming They Were In It

25 27

North Carolina Insurance Agent Charged With Embezzlement

32 32 33

Florida Announces Arrests Of Attorneys, Chiropractors & Clinic Employees In Organized PIP Scheme

$556 Billion Spent On Space Program Since 1958. Should We Have Spent It On The War On Poverty? Insurance Myths: Who Believes Them? Obama’s “Transformative” Politics Embracing Marxist Ideology? Weather Channel Founder And Climate Scientist John Coleman Comes Out Of The Closet: “I’m A Skeptic!”

Commercial Jetliner Rendevouz With Spaceship 2 Over San Francisco Before Fatal Crash

36 37 39

NASA Contemplates Putting Astronauts To Sleep For Up To Six Months! California Insurance Agent Arrested For Stealing Premium Payments Reagan Consulting: Producer Recruiting & Development Study Finds 56% Success Rate

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Sponsors 4 6 7 8 17 20 18 22 26 26 27 38 39 40 37 43

JMJ Brokers Modern Insurance Consultants QQ Solutions H.O.P.E. St. James Insurance Company Clearwater Underwriters Accu-Auto NASA - Eclipse Agency Mgt. Accu-Auto SLB Group Encore HR Personnel Solutions Barry Zalma, Esq. The Towing & Rental Group FYI Georgia View & News Orrin R. Beilly, Esq. Financemaster

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EMPIRE UNDERWRITERS PROMOTES GREG BRITTAIN TO VICE PRESIDENT

ampa, Florida - Empire Underwriters, a leading National Insurance Wholesaler, Excess and Surplus lines facility and Program Manager, today announced the appointment of Greg Brittain as Vice President of Workers Compensation and Alternative Programs. While leading the Workers Comp Underwriting Team, Brittain’s responsibilities shall include Large Workers Comp underwriting with emphasis on difficult risks, high deductible programs, multistate exposures and placements in programs ranging from guaranteed cost to Loss Sensitive and Retroactive Plans. Brittain also oversees the Alternative Risk Department, which includes bundled and unbundled solutions with a particular emphasis on risk mitigation and loss control. Brittain will report to Empire’s CEO, Robert Linero. “Greg’s experience in hard-toplace classes, high deductible programs, multi-state exposures and placements in programs, will help strengthen Empire’s already strong position as an industry leader. With a proven track record of development, underwriting and production, Greg’s leadership skills are well suited to lead Empire’s Workers Compensation and Alternative Program development efforts,” said Robert Linero, CEO of

Empire Underwriters. Greg Brittain brings more than 30 years of experience from numerous management roles across the commercial insurance industry. Throughout his three decades of insurance industry experience, Brittain has been intimately involved with the property casualty and workers’ compensation program development at such firms as Liberty Mutual and Willis, as well as the development, management and control of a very large book of business with several carriers in the Southeastern States. About Empire Underwriters: Empire Underwriters is a National Insurance Wholesaler, Excess and Surplus line facility and Program Manager serving Producers in 46 states. Empire's executive team has over 100 years of combined experience to bring agents and brokers aggressive account management and superior service. Whether you are writing a Niche Account or a Main Street business, Empire strives to make the process easier and faster to help you keep your business. For more information about specific risks, contact an Empire Underwriters Advisor at 1-800758-8113 or visit our website at www.EmpireUnderwriters.com.

Top Bank Product Now Available to Independent Agents The #1 life product sold in banks is now available to independent insurance agents! Exclusive opportunity, easy sale, 10 minute underwriting. Call John or Matt at 800359-5102 or email Info@LifeAgents.com

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INSURANCE INDUSTRY MOURNS PASSING OF GERRY MALIS

n October 17, 2014, Gerry Malis, co-founder of QQSolutions passed away due as a result of advanced lung cancer diagnosed only six months prior. In the first third of his career, Gerry Malis was a life insurance agent – first in Boston and then in South Florida. Later, he was a successful entrepreneur, owning several independent insurance agencies. Eventually, Gerry partnered with his son Mark to create QQSolutions (formerly QuickQuote) a software company providing Agency Management and Comparative Rating software to Independent Insurance Agencies nationwide. In the eighties, Gerry, always a great salesman and a great friend, became an icon in the auto insurance comparative rating business with steady, generous support of agent groups and agent publications, including my original mailer, The ASCC Press and later, The Underwriter’s Insider. Gerry retired in 2003 to spend his time playing golf and enjoying his 3 grandchildren. Famous for his smile, his quick wit and his warm, gregarious personality, Gerry Malis will be missed by many. Gerry leaves behind a loving wife Elaine who helped run his insurance agencies and three sons – Mark, Eric and Adam. www.underwritersinsider.com

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NOV 2014 A Publication of AdMax Corp Corporate Offices P.O. Box 31551 Palm Beach Gardens, Florida 33420 561.718.0745 info@underwritersinsider.com © Entire Contents 2014 AdMax Corp

To best navigate The Insider, begin with the Table of Contents and select your topic. On the bottom of most pages is a Table of Contents link that will immediately return you for your next topic selection. EVERY SPONSOR AD LINKS DIRECTLY TO THE SPONSOR’S WEBSITE. CLICK ON ANY AD TO VISIT OUR FINE SPONSORS!

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7 THINGS YOU DIDN’T KNOW YOUR WEB BROWSER COULD DO

when Chrome starts.

In Firefox, click the icon on the right with the three horizontal bars and choose Options. On the General tab, set “When Firefox starts” to “Show my homepage.” Then under Really Cool Info - by Kim Komando that, type in the address you want he most-used program on up? If you’re using Internet for your home page. Then click OK. your computer is your Web Explorer, it’s probably MSN’s browser, but there’s a good website. Chrome loads up a In Internet Explorer, click the chance you don’t know much modified Google page and Firefox gear icon on the right and select about it besides how to visit your has its own start page. Internet Options. Go to the General favorite sites. In fact, there are a lot tab and under “Home page” enter of myths about browsers, some of If you find yourself always heading the Web address you want to see which I’ve dispelled in the past. to the same site first thing, though, on startup. why not just start there? Today, though, I’m helping you get In Safari on Apple, go to the most out of your browser with In Chrome, click the icon on the Safari>>Preferences. On the a few simple tricks that you really right with the three horizontal General tab, go do to “Homepage” need to know. bars and choose Settings. On the and type in an address. Done! left column, choose Settings and then look under “On Startup.” 1. Choose your home Another good way to open your

page

What’s the first thing you see when your browser starts

Set it to “Open a specific page or set of pages” and then click the “Set pages” link. Type in one or more Web addresses and then click OK. The page - or pages - will load

favorite sites is bookmarks. Click here to learn the ins and outs of this unappreciated browser feature.

2. Pin tabs This one is for Chrome and Firefox users who have favorite sites they leave open all day. Load up the site, right-click on the browser tab and choose “Pin Tab.” The page will appear as a smaller tab on the left side of the tab bar. No matter how many tabs you have open it will still be sitting there. It will even appear again

See Kim Komando Pg 40 www.underwritersinsider.com

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family in January, 2007. The underlying suit was based on a fire at the Colonia Tepeyac Apartments in Dallas, Texas that killed three members of the Burks family and injured several others. The Burks filed suit against multiple defendants with ownership or management interests in the apartment complex.

No Harm No Foul

ince the California Court of Appeal decided San Diego Federal Credit Union v. Cumis Ins. Society, Inc. (1984) 162 Cal.App.3d 358 (Cumis) a conflict between an insurer and its insured has been found to be sufficient to require an insurer to pay for independent counsel to defend its insured. If, however, there is no real conflict, the insurer has the absolute ability to control the defense of the insured and appoint counsel of its choice to defend the insured.

Barry Zalma, Esq., CFE is a California attorney specializing in insurance coverage, insurance claims handling and fraud who serves as a consultant and expert for insurers and policyholders. He founded Zalma Insurance Consultants in 2001 and serves as its senior consultant. He recently published an e-book, “Getting The Whole Truth,” which is available at his Web site, www.zalma.com. Go to Zalma Books at http://www.zalma.com/zalmabooks. htm.

Marquis Acquisitions, Inc. appealed from a summary judgment rendered in favor of Steadfast Insurance Company on Marquis’s claims for breach of contract, violations of the Texas Insurance Code, breach of the duty of good faith and fair dealing, and “aiding and abetting.” In Marquis Acquisitions, Inc. v. Steadfast Insurance Co., 05Join Barry Zalma’s new Blog:

http://www.zalma.com/blog

11-01663-CV (Tex.App. Dist.5 08/14/2013) the Texas appellate court resolved the dispute.

FACTUAL BACKGROUND The claims in this case arise out of the legal defense provided by Steadfast Insurance Company to Marquis Acquisitions, Inc. and related entities in an underlying lawsuit brought by the Burks

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The defendants carried several layers of insurance. The first layer was a $30,000 self-insured retention policy administered by Innovative Risk Management (“IRM”). IRM agreed to provide a defense in the Burks suit subject to a reservation of rights and hired Joe Michael Russell as defense counsel. Counsel for Marquis, Mr. Shaw, wrote to IRM and stated that if IRM was reserving its rights his client had the right to “select its own defense counsel and require [IRM] to pay for that defense.” IRM agreed to allow Shaw to take over the defense if the defendants consented in writing and Shaw was willing to work for the lower hourly rate charged by Russell. Shaw declined the offer. On May 17, IRM informed Shaw that it was withdrawing its reservation of rights and The Underwriter’s Insider

providing all the insureds with an unqualified defense. The letter referenced apparent allegations by Shaw that a conflict of interest existed among the insureds requiring that separate counsel be hired. The self-insured retention amount was exhausted and IRM tendered the defense to Steadfast which provided the second layer of insurance coverage. Steadfast sent Shaw a letter informing him that Steadfast was providing the insureds with an unqualified defense in the Burks suit and was assigning Clay White as defense counsel. Shaw asserted that a conflict existed without providing any basis for the assertion. Relying on the alleged conflict, Shaw demanded that Steadfast hire him as counsel for Marquis. Shaw also sent an email to defense counsel White accusing White of wrongfully taking over Marquis’s defense despite the company’s request to have Shaw represent it. Shaw further stated that White’s evaluation of the case was “past due.”

White, in a second report, expanded upon his liability assessment and stated that the management entities had “potential liability as a result of failing to follow the proper regulations.” White opined that it appeared clear that the apartment complex did not meet code requirements and that this was a source of liability for both the ownership and the management defendants.

management defendants. The parties eventually settled for an amount within policy limits.

Steadfast, noting the potential for a conflict in the future hired separate counsel to represent the management entities. Steadfast did not authorize Shaw to represent Marquis in the case but instead hired different defense counsel.

Marquis alleged that Steadfast breached its insurance contract with Marquis when it “fail[ed] to appoint independent counsel for the owner group and the management group in order to avoid the clear conflict that arose between the two groups of insureds.” Because it is undisputed that Steadfast appointed separate counsel for the owner and management defendants approximately two months after it assumed control of the defense, the appellate court construed Marquis’s argument to be that Steadfast breached the contract by failing to employ separate counsel in a timely manner.

Marquis immediately sued Steadfast and White claiming they had conspired, “aided and abetted, ” and were negligent in connection with the defense of the Burks suit. Because this suit created a conflict between White and Marquis, White withdrew as defense counsel in the Burks suit The next day White sent a written and Steadfast hired new counsel case evaluation to Steadfast with to represent the management copies to Shaw. White stated entities. that “if the jury believes precious seconds could have delayed the The ownership entity defendants outcome and, if those seconds settled with the Burks family could have been added by the before trial for one million dollars. smoke detectors being placed This settlement exhausted the in the bedrooms as required by Steadfast policy limits and the the HUD statutes, the jury could defense was taken over by the make a finding of liability as to excess coverage insurance carrier. the management company or The case proceeded to trial in installation team.” April 2008 and the jury found in favor of the Burks against the www.underwritersinsider.com

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Following the trial, Marquis brought this suit against Steadfast “in an effort to recover the attorney’s fees it expended in getting Steadfast to retain separate counsel for the owner group of insureds.”

ANALYSIS

Marquis asked the court to conclude that an insurer’s failure to appoint separate counsel immediately upon receiving notice of an unspecified conflict of interest from the insured would constitute a breach of See ZALMA Page 24 11

OBAMACARE: FRONT AND CENTER

OP/ED BY SPENCER A. LEHMANN, RHU

was the night before the Midterms, 2014, and all the Dems were stirring, wondering if the Obamacare Trainwreck would ruin their chances of reelection. Distance they tried to create between themselves and that “Law” that they’d agreed to pass, tho’ some had been bribed, their votes to gain. And where was their “Man of the Hour”, whose name the Law bears, no where to be seen, as these Dems knew a hard time they’d have without his presence on their stage, and none likely at all, were he there for all to see. Well yeah, that’s a bit of a reach, as it certainly doesn’t rhyme. Nonetheless, it certainly sets the stage as we’ve seen unfold throughout the United States as the Democrats fight to hold the Senate. A poet I’ll never be, but facts are facts, and the UnACA (The UnAffordable Care Act) is proving to be the downfall for many Democrats hustling to be reelected in this year’s Midterms, as all that the Republicans need to gain control of the Senate, is six (6) seats.

Are those six seats really important as we swing into the 2015 Congress? Indeed they are, as without that control, there is no chance that we will see any amending of this poorly crafted and poorly implemented law that is continuing to harm millions of Americans.

Spencer A. Lehmann is a Registered Health Underwriter (RHU), whose company, Lehmann/Wood & Associates, Inc., specializes in Group and Individual Long Term Care insurance and Medicare Supplemental Coverage. Mr. Lehmann retired from his company in 2005 and now spends his time writing on Health Care Insurance and Political Issues, both of which have encompassed over 40+ years of his life. He has been an actively involved member of the National Association of Health Underwriters (NAHU) since 1978, and serves on the Board of Directors of several Charitable Organizations’ helping Special Needs Children, and Inner-City Children to experience and participate in the world of the Arts and Music. In his free time he plays golf with his wife, Fran, who usually wins.

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The latest revelations about the Obamacare Trainwreck that continues down its tracks to smack Americans in the face with the reality of the horrors of this law are many. Among them: • Hundreds of thousands of policies are being canceled as the Obamacare regulations for compliance are once again needed, after Mr. Obama delayed them to help assure his reelection in 2012, just as he didn’t ‘fess up to his myriad of lies about “You can keep your policy, period; You can keep your doctor, period; You can keep your hospital period”; until after the 2012 election. • The Employer Mandate, also delayed in time to assure Mr. Obama’s reelection in the 2012 Election is now due to go into effect in 2015, unless The Underwriter’s Insider

of course Mr. Obama attempts to delay it again in order to provide cover for Hillary Clinton’s run for the White House, unless she opts to not run and leaves it to another Democrat to explain why Obamacare still isn’t fully in effect. • Open enrollment for the UnACA runs from November 15th through February 15th, 2015. Is it ready? Not yet: “Even before the Healthcare. gov website disaster unfolded in October 2013, the Department of Health and Human Services (HHS) had been looking to the future. HHS announced in June of that year that Hewlett-Packard would be replacing Terremark, a Verizon subsidiary, as the main contractor hosting the federal insurance marketplace and data services hub. But more than a year later, HHS has still not been able to complete the transition, because there has not been “adequate time for end to end testing of the entire Marketplace environment.” [Oh my] Terremark’s system will once again function as the primary site for the 2015 open

FREE CLASSIFIEDS!

enrollment period with HewlettPackard’s system functioning as a “development environment and alternate site for backup.” [ https://www.weeklystandard. com/blogs/new-healthcaregovcontractor-still-not-ready-2015open-enrollment_808377.html ] • Covered California has been down for the past two weeks even though renewals are due by November 15th. And the rest of the states? What can we expect to see as November 15th draws upon us, we can only imagine.

California voters should be asking is whether the Covered California website is down due to technical incompetency or avoiding very bad news before an election.” [ http://www. breitbart.com/Breitbar tCalifornia/2014/10/30/CoveredCalifornia-Website -Outage Hides-Huge-Premium-Increases See ObamaCare- Page 30

Hidden in the outage of the Covered California website are the large increases in premiums, as noted by a member of Covered California who writes for Breitbart. com, Chriss W. Street: “As someone who had their monthly healthcare premium jacked-up by 71% from $780 a month in 2013 with Aetna to $1,336 with Covered California in 2014, it seems convenient the website outage is hiding the huge premium increases many new Covered Californians are about to suffer….. The question

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More Information about SIAoF Membership at www.SIAoF.com

Specialty Insurance Agents of Florida invites you to

Embassy Suites Boca Raton in Boca Raton, FL November 6-8, 2014

Rooms only $99.00 while they last

You can book now by call into the hotel direct 561994-8200 or 800-EMBASSY and use Corporate ID#: 0009892138

Much more information at www.SIAoF.com Or call Eddie at (770) 312-2342

_____________________________________________

Fall 2014 Convention Agenda Register Online at www.SIAoF.com

Citizens Clearinghouse Workshop: 2 chances to participate (non-CE) When: Thursday, Nov 6th, 9:30 a.m. – 11:30 a.m. When: Thursday, Nov 6th, 2:00 p.m. – 4:00 p.m. Registrants & Fees:

Agent / CSR (Non-member)

$25.00

Agent / CSR (SIAoF Member)

$15.00

Thursday Trade Show Details: Tour the FREE Trade Show. th When: Thursday, Nov 6 , 11:30 a.m. – 2:00 p.m.

When Citizens begins processing Citizens Homeowners 3 – Special Form (CIT HO-3) renewals through the Property Insurance Clearinghouse on September 2, agents may be asked to answer a set of eligibility confirmation questions to confirm their customers’ eligibility for the privatemarket offers they receive.

Early Bird Reception th

When: Thursday, Nov 6 , 5:30 p.m. – 7:30 p.m. Hotel Registration: Required: Dinner on your own

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“Come Coast Awhile” GIAA Fall Conference 2014 November 13th – 15th on St. Simons Island, GA

Relax … Learn … Network Where: Sea Palms Golf & Tennis Resort (http://www.seapalms.com) HU

When: November 13 - 15, 2014

GIAA Member, Spouse & Staff: All Events: FREE …GIAA Membership has Its Advantages! Non-GIAA Member: Pay only for the events you wish to attend (but it’s free if you join GIAA) All Event Package includes unmatched CE, Trade Fairs, Hospitality Suites and Luncheon.

Register Online at http://www.Georgia-Agents.com It’s a Beautiful Day at Sea Palms Come relax in the lush oasis that is Sea Palms Resort. Take a walk under ancient live oaks, where the ocean air mixes with a soft marsh breeze. Bike on the beach, play golf, tennis or just relax on your balcony overlooking the island’s natural beauty.

Deluxe Guestrooms as low as $99.00! Golf only $55.00! GIAA has arranged a special room rate at Sea Palms Golf & Tennis Resort (http://www.seapalms.com) HU

Call Sea Palms Resort Reservations at (800) 841-6268 and tell them you are with GIAA. Online Room Registration Information at www.Georgia-Agents.com HU

GIAA Fall Conference 2014 Agenda

Thursday, November 13th Plenty of time for a round of golf!

If It’s Free … It’s for Me!

1:00 p.m – 3:00 p.m.: 3 hours Ethics (Part 1 of 2) Bring your laptops & iPads for “Hands-On” Training in Online Visibility, Social Media & Reputation Management. Everyone attends for free compliments of AccuAuto

Friday, November 14th

8:30 a.m. – 11:30 a.m.: 3 hours Ethics CE

Personal Lines Jeopardy

Test your knowledge in this brand-new seminar based upon the Jeopardy Game Show GIAA Member/ Staff attend for free / Non-Members pay $25.00 11:30 a.m. – 1:30 p.m.: Luncheon & Trade Fair GIAA Member & Staff attend for free Non-Members pay $15.00 1:30 p.m. – 4:30 p.m.: 3 hours P&C CE

Understanding Insurance for Small Business

GIAA Member/ Staff attend for free / Non-Members pay $25.00 3:00 p.m. – 4:30 p.m.: Free Trade Fair

If It’s Free … It’s for Me!

4:30 p.m – 5:30 p.m.: 3 hours Ethics (Part 2 of 2) Learn how to create custom insurance agency videos Everyone attends for free compliments of AccuAuto 5:30 p.m. – 7:00 p.m.: Hospitality Suite Enjoy St. Simons Island … Dinner on your own Not a GIAA Member? Join today for only $99.00 and all members of your staff enjoy Membership Benefits immediately!

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6:00 p.m. – 1:00 a.m. Aggressive Dinner Cruise & Casino Everyone is Aggressive’s guest on Emerald Princess Cruise

Saturday, November 15th

All Your CE in one Convention

8:30 a.m. – 10:3 a.m.: Personal Lines FAQ 24 hours CE (3 hours Ethics + 21 hours P&C) Complete your online study before convention then we will monitor your 50 question exam. GIAA Member/ Staff attend for free / Non-Members pay $25.00

400,000 CLIMATE HYPOCRITES DESCEND ON NEW YORK - AND TRASH THE CITY

n a September 2014 Sunday, 400,000 earnest “greenies” arrived in New York to march against “climate change” and pollution. The Marxist moniker for the event was the “People’s Climate March,” and it attracted some big names including actor Mark Ruffulo. One might have have thought folks allegedly so concerned about the planet would have left little in the way of pollution or litter, yet the marching route was strewn with piles of garbage. John Nolte, Breitbart columnist, expressed it like this: “You would think that the one thing environmental fanatics and those of us who are not fascists could agree on is that only arrogant scumbags are litterbugs. Climate fanatics are indeed arrogant litterbugs. But when you know the mainstream media will cover for your piggish behavior, why not?” But it’s hardly the only example of climate or “green” hypocrisy. Consider climate huckster Al Gore who lives in a 20-room mansion generating a $30,000 per year in electric costs and driving a gasguzzling SUV - when he’s not traveling the planet in a private jet spewing carbon by the ton.

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The Underwriter’s Insider

MAN PLEADS GUILTY TO INSURANCE FRAUD IN $1 MILLON BUGATTI CRASH

ndy Lee House wasnâ&#x20AC;&#x2122;t that smart - and either was his insurance company. After all, what company would insure a $1 million, 260mph supercar for more than twice itâ&#x20AC;&#x2122;s worth: $2.2 million?

he accidentally drove into the the insurance claim. bay while reaching for his cell phone. Bugattis are exotic, 1200 hp super-cars capable of reaching Alas, as fate would have it, a speeds faster than most small passing motorist shot a video of airplanes while turning heads the Bugatti hitting the drink - everywhere they are driven. and the video went viral. It was all the evidence that the Feds would need to charge House with wire mail fraud in connection to the incident.

Apparently, Andy figured if they were stupid enough to over-insure the vehicle by more than 100% they would also be too stupid to catch on when he intentionally drove the car into salt water near Galveston Lufkin did plead back in November of 2009 - guilty to wire mail claiming to his insuror that fraud in relation to www.underwritersinsider.com

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MISSISSIPPI DEPT. OF INSURANCE ANNOUNCES PUBLIC SEARCH TOOL FOR RATE FILINGS

and have to devote man-hours processing. Thus, our staff will have additional time to focus their experience and abilities on other regulatory issues. And, there will be no charge to consumers to use this tool.” Those that will find the new tool of the greatest benefit will be companies and agents looking to make rate comparisons when possibly preparing their own rate filings.

ackson – In an effort to make the activities of A link to the new SERFF Filing the Mississippi Insurance Access is now active on the MID Department more transparent, website at www.mid.ms.gov certain Property and Casualty Rate and Form Filings are now available for public review through a new search tool implemented by the department.

GE DEVELOPES NEW JET ENGINE - 15% MORE FUEL EFFICIENT SMALLER, LIGHTER

Mississippi joins other states that have or will soon be implementing the service. The ictorville, CA - In a jointSERFF Filing Access project has venture between GE and been under development by MID Frances’s Snecma (CFM) and NAIC since early 2014, with additional functionality to be has developed a next-generation jet engine made, in part, released later in the year. with ceramic and 3-D printed “An important benefit of this tool components. is that it offers more efficient access to rate and form filing The engine was flight information as more states make recently it available,” Commissioner of tested by securing it to the wing of a Insurance Mike Chaney said. modified Boeing “With this information now 747 in a successful accessible through the test that lasted internet, it greatly increases the about 3 hours as transparency of our office and part of an extensive will cut down on Freedom of c e r t i f i c a t i o n Information requests we receive program.

The new engine can potentially save an airline as much as $1.6 million per year in fuel savings. “The LEAP engine behaved like a real veteran as we took it through its aerodynamic clearance points,” said chief test pilot Steven Crane.

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LOUISIANA DOI RECOVERS AN ADDITIONAL $2.25 MILLION IN CLAIMS PAYMENTS FOR CONSUMERS AND LAUNCHES NEW CONSUMER COMPLAINT TRACKING SYSTEM

he Louisiana Department “This new interactive feature of Insurance (LDI) gives consumers who have filed assisted consumers who a complaint the option to check filed complaints recover an in and see the progress of their additional $2.25 million case online, in insurance payments but as always, during the first half policyholders of 2014. Insurance filing complaints Commissioner Jim are also provided Donelon says these funds with the name are in addition to the and phone original amounts offered number of an LDI to consumers by their examiner who insurance companies can address any and are the result of questions they LDI staff working with may have,” said LA Insurance insurance companies to Donelon. Commissioner resolve the complaints. Jim Donelon Commissioner Donelon “ W h e t h e r also announced the launch consumers have a question about of a new online system for a policy, do not understand their consumers to check the status of coverage or they are not pleased their complaints. with the resolution of their

insurance claim, we can provide guidance and make consumers aware of their options,” Donelon added. “Our knowledgeable staff can help resolve disputes with insurers and assist policyholders in securing additional insurance settlements if their case warrants such action.” Funds recovered are from formal complaints regarding property and casualty, health, and life and annuities products. A formal complaint involves communication from a member of the public in which that person expresses a grievance or problem. Policyholders may also contact the LDI with inquiries on insurance matters or claims and do not have to call about a particular grievance.

N.C. PAIR WHO WITNESSED ACCIDENT ARRESTED FOR CLAIMING THEY WERE IN IT

on the sidewalk. After a joint investigation by Department of Insurance investigators and the Wilmington Police Department, it is alleged that neither Best nor ALEIGH -- Insurance criminal investigators allege that Johnson was struck by a vehicle. Commissioner Wayne Best and Johnson filed fraudulent Goodwin today bodily injury insurance claims Best and Johnson were arrested announced the arrests of Eric with Travelers Insurance and by the Wilmington Police Apollo Best, 45, of 3403 Princess Amica Mutual Insurance after Department on Oct. 6.Each was Place Drive, Wilmington, and witnessing a car accident in charged with two counts each of Nicole Sharmell Johnson, 27, of Wilmington on July 22, 2014. insurance fraud, attempting to 406 Henry Street, Wilmington. Both sought medical treatment obtain property by false pretense after claiming to be struck by and felony conspiracy, and Department of Insurance one of the vehicles while walking released on a $10,000 bond.

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The Underwriterâ&#x20AC;&#x2122;s Insider

FLORIDA ANNOUNCES ARRESTS OF ATTORNEYS, CHIROPRACTORS AND CLINIC EMPLOYEES IN ORGANIZED PERSONAL INJURY PROTECTION (PIP) FRAUD SCHEME

EST PALM BEACH – Florida Chief Financial Officer Jeff Atwater today announced the arrests of attorneys, chiropractors and clinic employees involved in an organized personal injury protection (PIP) fraud scheme. The arrests, made this morning in Martin, MiamiDade and Palm Beach counties, follow a yearlong undercover investigation by the Florida Department of Financial Services’ Division of Insurance Fraud. “Today’s arrests are the culmination of more than a year of extensive and often dangerous undercover work that has exposed a crime ring responsible for potentially hundreds of thousands of dollars in fraud,” said CFO Atwater. “I am very proud of our dedicated detectives for their diligent work to hold these criminals accountable.” During the investigation, multiple undercover detectives were embedded into clinics that were www.underwritersinsider.com

accepting patients who were illegally solicited. One clinic in particular was billing for services that were never rendered. On several occasions, patients were also found being coached to claim they were injured when they were not. As the investigation progressed, an undercover detective became a patient broker for the ring. The targets indicated they would compensate t h e undercover detective for referring patients under the guise of marketing. During the meeting in which the brokering agreement was discussed, the principal targets all agreed to pay the undercover detective for bringing patients to specific clinics. Several times during meetings, the principal targets mentioned that it was illegal to directly pay for patients and that is why they disguise it as marketing.

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The individuals arrested this morning include: •Roger Hughes Bell (chiropractor), Hobe Sound •Brian Greenspoon (attorney), Boca Raton • Alejandro Marin, Homestead •Cory Meltzer (attorney), Boca Raton •Douglas Santiago, Boynton Beach

Individuals with warrants out for their arrest include: • Christina Savoye, Stuart • Ryan Grand (chiropractor), Lake Worth

The defendants will be prosecuted by the 15th and 19th Judicial Circuit State Attorney’s offices. Anyone with information about suspected insurance fraud is asked to call 1-800-3780445. Citizens who provide tips can remain anonymous. The Department of Financial Services to date has awarded $349,000 to nearly 60 citizens as part of its Anti-Fraud Reward Program. The program rewards individuals up to $25,000 for information that directly leads to an arrest and conviction in an insurance fraud scheme. 21

Breaking News

ON has activated a Ebola Response Task Force and its Ebola Response Room. According to Property & Casualty 360 “The Ebola Response Task Force is a team comprised of leading risk and health professionals across the global firm. The team is monitoring the current Ebola outbreak, providing guidance to clients directly through the Aon Ebola Response Room.”

ll Risks, Ltd., the nation’s largest independent wholesaler, has introduced a new “A” rated carrier to its Assisted Living Facilities (ALF) program. Products are available nationwide through All Risks’ National Specialty Program unit, targeting small to mid-size assisted living facilities. Larger, more complex risks can be considered with the assistance of an All Risks healthcare broker. This program accepts low and mid-level

Alzheimer’s patients, as well as non-ambulatory patients, provided they are not bedridden residents.

manager at A.B. Gile Agency in Hanover, N.H., was appointed vice chair; and Tommy Dies, chief financial officer, Bryan Insurance Agency in Graham, Texas, was appointed treasurer. The meeting was part of Applied Net, the conference held each year for agency and brokerage professionals who use Applied Systems software.

RLANDO, FL (September 18, 2014) -- Edgar J. Higgins Jr., CPCU, principal and owner mpire Underwriters, of Thousand a leading National Islands Agency in Insurance Wholesaler, Clayton, N.Y., was Excess and Surplus appointed today lines facility and at the Applied Program Manager, Client Network today announced the annual meeting appointment of Greg to serve as 2015 chair of the international Brittain as Vice President association’s board of of Workers Compensation directors. Alan Harkabus, and Alternative Programs.

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While leading the Workers Comp Underwriting Team, Brittain’s responsibilities shall include Large Workers Comp underwriting with emphasis on difficult risks, high deductible programs, multi-state exposures and placements in programs ranging from guaranteed cost to Loss Sensitive and Retroactive Plans. Brittain also oversees the Alternative Risk Department, which includes bundled and unbundled solutions with a particular emphasis on risk mitigation and loss control. Brittain will report to Empire’s CEO, Robert Linero.

eaFire Insurance Services announced today that it is actively seeking new agency partners in NC and PA for its exclusive auto dealer and repair insurance program. SeaFire will consider appointments for retail insurance agencies with scale, brand, resources and auto dealer expertise. Agents can apply for appointment online at SeaFireInsurance.com. All appointed agents receive detailed training on the program offerings. SeaFire’s program provides coverage exclusively designed for the needs of franchised auto dealers, independent auto dealers,franchised recreational vehicle dealers, www.underwritersinsider.com

franchised motorcycle dealers and additional risks. Available coverage includes auto inventory, property crime, garage, employment practices, commercial auto, general liability, errors and omissions, umbrella liability and worker’s compensation. To learn more, contact Scott Hoy at 913.912.5920.

n a recent study published in the Journal of Alzheimer’s Disease, found walnuts were found to reduce the risk, delay the onset and slow the progression of Alzheimer’s disease. In fact, the brainshaped nuts may even prevent Alzheimer’s via its anti-oxidant properties. The researchers found less oxidative stress and inflammation in the brains of mice who included walnuts in their diet.

YDFS announces AIG to pay $35 million penalty for insurance law violations related to its former subsidiaries Alico and Delam. Benjamin M. Lawsky, Superintendent of Financial Services, announced that AIG will pay a $35 million penalty for Insurance Law and other violations related to its former subsidiaries ALICO and DelAm. A New York State Department

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of Financial Services (DFS) investigation uncovered that those subsidiaries solicited insurance business in New York without a license and made intentional misrepresentations and omissions to the Department about those activities.

-T Specialty L.L.C., the wholesale brokerage unit of Ryan Specialty Group L.L.C., has acquired the assets of excess and surplus lines broker Tennessee Underwriters Inc.

omparenow.com welcomes Mercury Insurance to its panel of auto insurance company partners. Mercury is one of the nation’s leading auto insurance companies, providing its policyholders with high-quality insurance products, service and protection at an affordable rate. Recognized by Forbes as one of America’s Most Trustworthy Companies, Mercury has earned a reputation as a company that goes to great lengths to protect its customers. Mercury anticipates that their relationship with comparenow.com will provide even more opportunity for consumers to purchase auto insurance policies from Mercury. 23

Continued from Page 11

ZALMA

Marquis relies on the affidavit testimony of its insurance expert, contract. Steadfast provided Ben Ralph, who stated that summary judgment evidence Steadfast’s conduct “violated showing that Russell indicated the terms and conditions of no conflict existed and Steadfast the policy.” Ralph’s statement responded immediately to that the conduct violated the Marquis’s allegations of an insurance contract is nothing alleged conflict by requesting more than a legal conclusion. information to evaluate the Legal conclusions are not allegation. In contrast, Marquis competent evidence. never responded to Steadfast’s request for information, nor did Finally, even if Steadfast’s actions it ever specify the nature of the conflict it believed existed.

The only “damages” sought by Marquis in this case are the fees it paid Shaw for his efforts to force Steadfast to hire him as Marquis’s defense counsel. But any recovery of attorney’s fees must be in addition to the recovery of actual damages caused by the alleged breach of contract. The summary judgment evidence showed that any alleged delay in providing Marquis with separate counsel had no effect on the Burks lawsuit and did not result in any compensable damages to Marquis.

Nevertheless, Steadfast informed Marquis that, if it was determined that there was a conflict among the insureds, separate counsel would be retained. Within a few weeks, White was able to evaluate the case and determined there was a potential conflict between the ownership and management entities. Shortly thereafter, Steadfast hired separate counsel for the ownership entities. Obviously Steadfast did not “disregard” notice of a potential conflict.

In this case, it is undisputed that Steadfast never denied or delayed Marquis’s claim for a defense in the Burks litigation. Marquis asserts only that Steadfast was unreasonable in its “multiple denials” of Marquis’s request for separate counsel.

Instead it responded to the claim of conflict immediately. There is nothing in Texas law that requires an insurance company to immediately hire separate counsel for insured defendants 24

based on an insured’s unspecified separate defense counsel to and unsubstantiated allegations represent it immediately upon of a conflict of interest. Shaw’s request.

could be held to constitute a breach of the insurance contract, the summary judgment evidence conclusively showed that Marquis suffered no damages as a result. Proof of actual damages is required to recover for breach of contract. All of the damages paid to the Burks were covered by insurance policies and Marquis produced no summary judgment evidence to show that it was harmed in any way by the fact that Steadfast did not hire

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ZALMA OPINION This case is more about a desire to take advantage of the right to independent counsel first stated in Cumis than a claim of breach of contract. The insurers involved in this case provided a defense to its insureds for a very serious liability claim without reservation. It retained The Underwriter’s Insider

INSURANCE AGENT CHARGED WITH EMBEZZLEMENT IN NORTH CAROLINA

competent counsel to represent the insureds and responded promptly to demands of the insureds’ counsel that he be allowed to defend the insured at the rate he demanded rather than at the lower rates charged by counsel appointed by the ALEIGH -Insurance insurer. When the insurers Commissioner Wayne properly refused to allow Shaw Goodwin today announced to defend, his client sued to get the arrest of Bonnie the fees he charged to try to Harrell Smith, 51, get himself hired. Lot W-8, Flutshers Landing Fleet, As the late Chick Hearn said Sneads Ferry; she with regard to basketball, the was charged with court ruled there was no harm one count each of and, therefore, no foul, no tort embezzlement by and no real damage. an insurance agent and obtaining If you would like a complete property by false discussion of the right to pretense. independent counsel see my book, Insurance Claims: A Department of Comprehensive Guide :recently Insurance criminal investigators published by the National allege that in December 2010, while Underwriter Company at www. working as a licensed insurance n a t i o n a l u n d e r w r i t e r. c o m / agent in Wilson County, Smith InsuranceClaims as part of the accepted $1,000 from a client, but Zalma Insurance Claims Library did not remit those funds to St. Paul at www.nationalunderwriter. Insurance Company for a certificate com/ZalmaLibrary. of liability insurance. Investigators

accuse Smith of keeping the money for her own personal use.

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Department of Insurance criminal investigators accuse Styons of filing a false police report and making a fraudulent insurance claim in July 2010 that his 2009 Harley Davidson motorcycle had been stolen. Progressive Insurance Company paid Styons $12,903 for the claim. After a joint investigation with the North Carolina Division of Motor Vehicles and the Martin County Sheriff’s Office, investigators allege that Long helped Styons hide the motorcycle in a Martin County pond and that the motorcycle had not been stolen. Dive teams from the Sydney Volunteer Fire Department and Wilson County Sheriff’s Office assisted in recovering a motorcycle from the pond on Sept. 14, 2014.

Smith was arrested on Oct. 30 with the assistance of the Wilson County Styons was arrested in Pitt County Sheriff's Office and placed under at on Sept. 16 and charged with one count each of felony conspiracy, $2,000 bond. filing a false report with the police, Also announced was the arrests of insurance fraud and obtaining David Brent Long, 33, of 102 David property by false pretense. He was Drive, Greenville, and Timothy Jay placed under a $10,000 bond and Styons, 35, of 1515 Seymour Price is due to appear in Martin County Court on Nov. 19. Road, Jamesville.

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“The Final Authority on Everything!” It Ain’t About The Velcro

elp me out on this one: My boss is upset because we are about to spend billions going to Mars when there are many people going without basic necessities here on Earth. He knows Velcro and Teflon were spin-offs of the space program, but he says he’d trade the elimination of poverty for either one. I tend to think the money is well spent. What’s the truth? B.H. Mosely, TN If the only commercial products to be born from the space program were Velcro and Teflon, the answer would be a simple one: It’s still well worth it for the pure science we derive and to satisfy our native human need for exploration. (Well, some of us anyway...) Yet the real list of products and processes spun off from the space program, which extends far beyond what is typically assumed, would fill this magazine a dozen times over. Just begin with the miniaturization www.underwritersinsider.com

ADVISOR

of electronics - which made not only the hand calculator but the personal computer possible — as well as all things digital. Without the spin-offs from the space program, your world would hardly be recognizable, lacking CDs, DVDs, cell phones, beepers, Blackberries, PDAs, satellite and digital cable TV, Mylar, Kevlar, 20-year pacemaker batteries, UV block sunglasses, GPS navigation systems, halogen lights, laser check-out scanners and bar-codes, MRI, CAT and PET medical scans, enriched baby food, water purification

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systems,air quality monitors, virtual reality simulations and games, improved golf ball aerodynamics, advanced athletic shoe materials, solar energy collectors, forest management and fire monitoring, dozens of environmental controls, telemetry systems, fireresistant material, radiation insulation, sewage treatments, superefficient A/C, hydrogen fuel-cell technology, medical ultra-sound technology, automotive electronic ignition, See ADVISOR Page 31

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Submit all ads online at: www. underwritersinsider.com/classifieds. Only $1.00 per word, including title line and response info. Payment must be received prior to print date. Ads run 3 mo.

Wholesale Broker Wanted Hallandale, FL

Regency Insurance Brokerage Services is seeking a top quality broker with deep relationships in the industry. If interested, please respond with your resume to the email address provided below. Thank you. mmartinez@riemerinsurance.com 11-6

Pembroke Pines FL 2-20 / 4-40 Established insurance agency is looking for Insurance agents for our Pembroke Pines and Miami locations. We are seeking for self-motivated, sales driven team member to increase sales and productivity in our company. At least one year experience required. Salary and aggressive bonus structure. lortega@bestoneins.com 11-11

QQ Evolution

Independent Contractor Agency seeking individual with experience in QQ EVOLUTION management system. Part time and project requirements,possible ongoing. Central Florida Coastal can work remotely. Send Resume to Ins4Biz@gmail.com or fax to 321-574-5915. 11-6

2-20 Agent Wanted Port Orange, FL

Part-Time Up to $18/hr -Independent Agency looking for a licensed 2/20 insurance sales producer. Donâ&#x20AC;&#x2122;t bother responding unless you are the best in sales and are able to prove it. Start now at the ground level of a new independent insurance agency in Port Orange. Must be good at sales and have a great ability to close deals and round out accounts. Email resume for additional information. If you are an ambitious insurance sales producer email me now: PortOrangeInsuranceAgent220@gmail.com 11-6

EXPERIENCED COMMERCIAL LINES CSR PALM BEACH,FL AREA Boca Raton,Fl- MGA/Wholesaler looking for experience commercial lines CSR/ Rater ,must be highly motivated,energetic with good communication skills. Good salary and benefits. Contact: ccalver@niuw.com 11-6

2-20 AGENT WANTED! BROWARD COUNTY, FL

Broward County Ins Agency needsan energetic, hardworking, experienced Commercial Lines Producer. Pls fax resume to 954-208-0011. 11-6

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4-40/2-20 Agent Wanted Deerfield/Boca Raton Licensed 440/220 Wanted in the Boca/Deerfield area for Active office. Great opportunity for the right person. Contact:insure4u954@aol.com 11-6

Roswell, GA Premium Finance Sales Opportunity Are you ready to take your sales career to the next level? Est. in 1984 and based in Roswell, GA, Advanced Insurance Systems Inc. is a fast paced, highf growth technology company that develops and markets premium finance software throughout N. America. While working mostly inside-sales in our Roswell office, you will be challenged by the development of new business and the on-going support for existing clients. Help move sales opportunities through demos, proof of concept and responding to requests for information and proposals. Resumes to:

Arthur@financemaster.com

10-10

Experienced CSR Wanted

Lake Worth/Lantana, FL Busy Lantana/Lake Worth insurance office seeking a full time customer service representative. Office experience is a must. A 440 is preferred however, not required. Hours are M-F 8:30-5:30 with 1 hour lunch. Please email resumes to csr@sfcins.net 11-6 The Underwriterâ&#x20AC;&#x2122;s Insider

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Position Needed Workers Compensation Orlando - Fl E. Coast Experienced Workers Compensation underwriter/marketing representative. Years of experience in the Florida market. Also experienced in the PEO industry and all casualty lines including Trucking. Please contact Tom @ toogreatt@yahoo.com 11-6

Marketing Rep Wanted

Orlando or Jacksonville The Marketing Sales Representative is accountable for the daily management and business relationship between the Company and a specific group of independent agents. Responsibilities range from establishing and managing agent’s sales against the Company’s strategic business goals; developing and monitoring sales; to training all levels within the agency regarding specific rating and service functions. Contact: marketing@windhaveninsurance.com 11-6 www.underwritersinsider.com

INSURANCE AGENCY FOR SALE Well known South Florida based insurance agency with over 35 years of experience. Opportunities in Broward, West Palm, Orange and Hillsborough Counties. Great opportunity to get into the business with one of the industry’s most locally recognized brands. 8 week training and ongoing support. Operations Manual, marketing & advertising. NO EXPERIENCE NECESSARY, INSURANCE EXPERINCE WELCOMED. contact: franchise@estrellainsurance.com or call us at 1-888-511-7722 11-6

Insurance Agent Tampa St Pete Area Are you interested in a long term career that builds your income from year to year; is a great place for a selfmotivated person to succeed; allows you to be the expert others look to for answers; provides you a training period working side-by-side with an experienced agent; gives assistance to people, who will really appreciate it. Uses a business model that is cutting edge and when you follow, duplicate and master, you will be successful¡Kand we will show you how! jeanette@floridabestquote.com 11-6

Broward County 2-20 Agent Wanted Broward County Ins Agency needs An energetic, hardworking, experienced Commercial Lines Producer. Pls fax resume to: 954-208-0011 11-6

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Insurance Agent up to $60K 4-40 / 2-20 (Near Boca Raton)

QQSolutions, field Beach

Inc.,

Deer-

agency management software Train new customers in use of QQSolutions products & services. 220 / 440 at least 3 years of customer service experience working in a P&C insurance agency. Experience in using agency management systems, such as QQSolutions, QQEvolution/ QuickFile, QQCatalyst, TAM/DORIS, AMS 360, Hawksoft, etc.Excellent verbal & written communications skills Great presenter and trainer. Contact: dsteinberg@qqsolutions.com 11-6

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Position Wanted Worker’s Comp Underwriter Orlando/East Coast of FLA Experienced Workers Compensation underwriter/marketing representative. Years of experience in the Florida market. Also experienced in the PEO industry and all casualty lines including Trucking. Please contact Tom @ toogreatt@yahoo.com 11-5 29

Continued from Page 13

Cont’d... Experienced CSR and/or AgentsFt. Lauderdale area

OBAMACARE

Experienced Life Agency Personnel Wanted

Indeed, this certainly begs the question that always seems to be the Obamacare and Obama Administration’s manner of -220 or 440 minimum of 1 year Seeking marketing and cusexp.in Auto/Home/Commercial tomer service personnel with approaching elections that may -Must have a GREAT “Can Do” life insurance experience to not prove to be comfortable for attitude -Must be able to work at office in Oviedo. We the Democrats, resulting in a multi-task and be a willing are a wholesale Brokerage and able Team Player -Must General Agency serving inde- clear manipulation of events that have the ability to treat pendent agents and financial could sway the voters, as we saw our clients with the respect advisors across the nation. blatantly used in 2012, and may they deserve and give them Contact: be the case in the 2014 Midterm the best service they have info@lifeagents.com ever received Please, only 11-7 Elections. happy serious people apply Marlinsii@aol.com or fax 954-587-7778 11-7

Commercial P&C Underwriter Orlando, FL Area Surplus Lines Experience Preferred. Orlando, FL Fashion Square area. Please e-mail your resume to: Resume@ChelseaSurplus.com No phone calls please.

11-7

Agents • CSRs Producers Pembroke Pines & Kendall, FL Area

Established and financially stable insurance agency is looking for Agents, CSR, and Producers for our Pembroke Pines (33029) and Kendall locations(33173). We offer: Base salary plus bonus and incentives Professional & pleasant work environment Great support and opportunities to grow with our company Send your resume to info@bestoneins.com 11-7 30

There are many more revelations Experienced CSR/Agent coming this year and next Boca Raton-Deerfield about the UnACA, and they will not be pleasant revelations for Established agency seeks experience CSR/Agent Americans who are becoming for non-standard agen- used to have this new law bring cy. Good opportunity to far more harm to bear than any grow with us.Excellent help that has resulted from this working conditions. massive mistake in health care Contact: reform. News at 11:00. insure4u954@aol.com 11-6 Personal Lines H.O. Underwriters Needed Palm Beach,FL South FL (Palm Beach County)Dynamic growing homeowners ins company looking to grow their underwriting department. Must have a strong knowledge of FL HO market. Prefers insurance company underwriting experience. Minimum 3 years insurance experience in personal lines. Will evaluate risk and determine pricing and coverage. www.linkedin.com/ in/brendonporges/ 11-8

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Continued From Page 27

ADVISOR micro lasers, advanced engine lubricant, fuelvapor recovery, wireless communications, lightweight firefighter air tanks, self-righting life rafts, carbon-fiber technology, advanced lubricants, advanced aircraft wing designs, Doppler radar, improved NFL football helmets, structural analysis and advanced metallurgy. And that’s the short list... Bottom line: For every dollar that NASA spends, we get $25 back into the economy — reportedly the highest turn-a-round of a dollar in any organization in the world. NASA has spent about $550 billion since 1958. That’s a bundle of cash, just slightly more than half a trillion

dollars.

“Now imagine - just imagine - where we would be had we spent that $20 trillion over at NASA. If we’ve done what we’ve done with half a trillion, what could we have done with $20 trillion?”

NASA. If we’ve done what we’ve done with half a trillion, what could we have done with $20 trillion?

Now let’s compare to the so-called “war on poverty.” We’ve spent about $20 trillion since President Lyndon Johnson What amazing initiated the technology program in 1964. would we have That’s about in hand? How 40 times what many ways we’ve spent on would it have the space program. And the improved our lives? How many poverty rate has remained jobs would have been created? virtually unchanged. How many ways would science and medicine have been advanced? It’s not about the Velcro!

One can easily surmise that had we added the entire NASA budget on the “war on poverty,” it would have made little difference. Now imagine - just imagine - where we would be had we spent that $20 trillion over at www.underwritersinsider.com

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SAY WHAT? Notable Quotes You May Have Missed!

Insurance Myths Who Believes Them?

“

else, for it is an outrage to discriminate against any such man because of creed, or birthplace, or origin. But this is predicated upon the person’s becoming in every facet an American, and nothing but an American... There can be no divided allegiance here. Any man who says he is an American, but something else also, isn’t an American at all. We have room for but one flag, the American flag... We have room for but one language here, and that is the English language.. And we have room for but one sole loyalty and that is a loyalty to the American people.’” President Theodore (Teddy) Roosevelt in 1907, speaking words boldly and directly that most Americans would love to hear from their president today, particularly when it comes to the metastatic cultural cancer called Islam.

I hope no one passed up the red Miata they really wanted because they thought the insurance would be more expensive.” Amy Danise, editorial director of insure.com responding to the results of a poll showing that more men then women believed insurance myths. We’d have to question some of the sample myths, however, such as “It is less expensive to insure small cars,” which may Obama’s “Transformative” Politics be a myth when it comes to the pure cost of Embracing Marxist Ideology theft (since many high-value, frequently stolen vehicles are small, sports cars) but generally Addressing the National Press Club this speaking, small cars are less expensive than week, Perez, who is reportedly on the short large cars and will have a lower pure cost list to be Obama’s next to insure for collision and comprehensive attorney general, said coverages. the country needed to “fix our broken immigration system” Before Our Fascination with comprehensive With National Cultural Suicide... amnesty legislation In the first place, we should insist that if that is “big and bold” the immigrant who comes here in good to ensure that there Marxist Obama faith becomes an American and assimilates is “shared prosperity,” Appointee h i m s e l f which he said is a Labor Secretary Thomas Perez to us, he goal of his Labor Department. Though shall be treated on the Congressional Budget Office determined an exact that comprehensive amnesty legislation e q u a l i t y would lower the wages of American workers, w i t h Labor Secretary Perez championed it.” - From e ve r yo n e a news story on brietbart.com highlighting

“

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comments from Labor Secretary Thomas Perez more reminiscent of Karl Marx than an American politico - until the reign of Obama. To these Obama appointees, committed socialists all, to “fix our immigration system” does not mean to secure the borders. It means let in as many illegal aliens as possible, knowing that every single one of them will either ultimately vote Democratic or influence politics in that direction. “Shared prosperity” is simply code for wealth redistribution. Liberals “share prosperity” when they grab money from the “makers” via the tax system and pass it around to the “takers” in the form of government benefits - usually in exchange for votes.

Washington.” Attkinson gives a compelling, first-person account of the liberal bias in the main-stream media that prevents the American people from learning the truth.

You Didn’t Build That...

“

Don’t let anybody tell you that it’s corporations and businesses that create jobs...” - Hillary Clinton speaking to supporters at a campaign rally offering a clear window into the mind of a true liberal - a muddy, gelatinous mass where only big government can do good and freemarket capitalism is the Former CBS Reporter perpetual boogeyman. The probable Exposes Extreme Media Bias presidential candidate tried to distance If I offered a story on pretty much herself from the comments afterwards, but it any legitimate controversy involving was too late. We know who you are Hillary. government, instead of being considered a good journalistic watchdog, I was antiGlobal Warming: Don’t Be Obama. Many in the media are wrestling The Last One To Figure This Out... with their own souls: They know that ObamaCare is in I resent you calling me a denier, that is a serious trouble, but they’re word meant to put me down. I’m a skeptic conflicted about reporting about climate change, not a denier. CNN that. Some worry that the has taken a very strong position on global news coverage will hurt a warming, [saying] that it is a consensus. Well cause that they personally there is no consensus in science. Science believe in. They’re all isn’t a vote. Science is about facts…[Mantoo eager to dismiss made climate change] has been become a damaging documentary big political point of the Democratic Party evidence while embracing, sometimes and part of their platform, but the science unquestioningly, the Obama administration’s is on my side. Hello everybody! There is no ever-evolving and unproven explanations.” global warming!” - John Coleman, founder of - Former CBS reporter Sharyl Attkinson the Weather Channel exposing the lie that is describing the reason she penned a fascinating Climate Change in a recent Sunday morning new book, “Stonewalled,” about her “fight interview on CNN’s Reliable Sources program. for truth against the forces of obstruction, intimidation and harassment in Obama’s

“

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October 2014

September 2014

August 2014

July 2014

June 2014

May 2014

April 2014

March 2014

February 2014

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The Underwriterâ&#x20AC;&#x2122;s Insider

January 2014

December 2013

November 2013

October 2013

September 2013

August 2013

July 2013

June 2013

May 2013

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NASA CONTEMPLATING PUTTING ASTRONAUTS TO SLEEP FOR SIX MONTHS ON THEIR LONG TRIP TO MARS Technology Could Reduce Ship Mass By 45%

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CALIFORNIA INSURANCE AGENT ARRESTED FOR STEALING PREMIUM PAYMENTS El Cajon insurance agent arrested for stealing premium payments

to disclose events affecting and individuals reported to insurance coverage and two the department that Ernster misdemeanor counts of petty collected and allegedly stole their insurance premiums. theft.

l Cajon insurance agent "Ernster violated her fiduciary arrested for stealing responsibility and placed her premium payments. customers at unnecessary risk for Search for additional her own personal victims continues as gain," said San Diego DA files Commissioner 30 count criminal Dave Jones. complaint Ernster was SAN DIEGO, Calif. licensed as an Dawna Louise Ernster, insurance agent also known as Dawna and specialized Louise Salois, 48, of El in selling Cajon, was arrested general liability Tuesday, October insurance policies 15, on 14 felony counts of grand to construction companies. theft, 14 felony counts of failure More than a dozen companies

This case is being prosecuted by the San Diego County District Attorney's Office. Ernster's bail is set at $50,000 and her preliminary hearing is scheduled for Wednesday, October 29. If convicted, Ernster faces up to 18 years in state prison. The Department of Insurance is looking for additional victims in this case and encourages anyone that may have done business with Dawna Ernster, aka Dawna Salois, and JND Insurance Services to contact investigators at (858) 693-7150.

Underwriting Consultant & Marketing Assistant Needed - Central Florida

Creekmore Insurance Group is a life insurance brokerage general agency serving a network of independent agents and financial advisers across the nation. Our mission is to recruit independent agents and advisers to write their life, long term care, and individual disability insurance with the insurers we represent. We have an immediate opening for a full-time underwriting consultant and marketing assistant.

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ing an independent franchise agency on our network.

Experience Experience in financial services is required, including at least one year of life insurance sales, underwriting, or administration experience. CONTACT: John A. Creekmore, CLU, CFP, ChFC, CEBS Creekmore Insurance Group, Inc. (800) 359-5102 x 340 john@lifeagents.com 365 Aulin Avenue Oviedo, FL 32765 37

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The Underwriter’s Insider

REAGAN CONSULTING: PRODUCER RECRUITING & DEVELOPMENT STUDY FINDS 56 PERCENT SUCCESS RATE

'Troubling' Lack of Producer Recruiting by Agents/Brokers; 'Sink or Swim' Is Common Approach

4,641 producers, Reagan's newest research measured success and identified keys to effective producer recruiting and development among independent agents and brokers. In addition to the baseline survey, 112 firms that TLANTA (October 17, hired 1,505 producers over the 2014) -- Independent past five years completed a agents/brokers posted follow-up supplemental survey. a 56 percent success rate in producer hiring in the past five years, although the hiring “Those that establish performance of the top and a strategy and plan, bottom firms varied widely, found a new study from Reagan and appoint a key Consulting.

Another key result of the Reagan Consulting Producer Recruiting & Development (PR&D) research was that only 35 percent of producers were hired from outside the insurance industry (including from college), Reagan Consulting reported. "'Troubling' is the best word to describe the industry's producer hiring data over the past five years," commented Kevin Stipe, president of Reagan Consulting, which provides strategic consulting, valuation, and merger-and-acquisition services to the independent insurance distribution system. Gathering baseline data from 562 firms and covering www.underwritersinsider.com

executive to “own” the strategy tend to be the most successful.”

"Is there another professional services industry that hires so few from outside the industry or from college?" asked Stipe. "In light of the fact that our industry is aging, and that nearly half of a typical agency's business is handled by producers age 50 or over, this is alarming. Is the industry facing a perpetuation crisis?" The PR&D research discovered the bottom 25 percent of firms averaged a 22 percent success rate in hiring and developing agents. The top 25 percent enjoyed an 84 percent success rate.

Reagan uncovered six critical success factors for recruiting Perhaps the biggest problem and development based on its identified in the study is that in-depth industry study: 55-60 percent of firms within our industry are "under-hiring" 1. Defining hiring needs. It's -- they are not hiring enough common for agents/brokers to new producers to achieve their be in the dark about how many growth objectives or allow them producer hires their business to successfully perpetuate their requires. business. 2. Determining whom to hire. Making matters worse, Agents/brokers are often experienced producers -- "free opportunistic recruiters, agents" moving from one pursuing available individuals agency to another -- were by far rather than being intentional the largest category of producer about the producer profile that hires, representing 55 percent of the hires over the past five See Producer Recruitment Pg 42 years.

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KIM KOMANDO

key resets the zoom. Click here for even more handy computer shortcuts you can’t live without.

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7. See your online accounts and passwords Do you remember every online account you’ve ever made? I know I sure don’t. Your browser does, though. That’s great when you want to review your old accounts and passwords. It’s not so great when a snoop gets on your computer. Learn how to see your saved passwords and secure them against hackers.

Copyright 2014, WestStar Multimedia Entertainment. Have you ever visited a page with An out-of-date browser is very All rights reserved. On the Kim text that was too small? If you’ve dangerous. It might have unfixed Komando Show, the nation’s largest ever leaned in close to a computer security flaws that hackers can weekend radio talk show, Kim monitor to read, you need to know use to take over your computer. takes calls and dispenses advice this. Or you might just be missing on today’s digital lifestyle, from out on some of the latest and smartphones and tablets to online To zoom text - and images - in any greatest Internet sites that use privacy and data hacks. For her browser, just press CTRL and the newer Web standards. Either way, daily tips, free newsletters and more, plus key at the same time. Hit it a keeping your browser up to date visit her website at Komando.com. few times to zoom way in. Too far? is essential. Click here to instantly Kim also posts breaking tech news Hold CTRL and hit the minus key to find out what browser you’re using 24/7 at News.Komando.com. zoom back out. CTRL and the zero and if there’s a newer version. 40

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PRODUCER RECRUITMENT SUCCESS best fits their firm. 3. Building the candidate pool. Lacking a strategy to increase the pool of producer candidates, agents/brokers are limiting their options and capacity for hiring. 4. Elevating the ability to select winners. Many firms don't have an established process to evaluate candidates, yielding mixed results in evaluating talent and selling the opportunity. 5. Maximizing success for those hired. Most producers "sink

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or swim" on their own. While agents/brokers have options to assist newly hired producers, many firms are deficient in an intentional approach to training and development. 6. Owning and leading the strategy. Those that establish a strategy and plan, and appoint a key executive to "own" the strategy tend to be the most successful. Reagan Consulting's study not only reports results, but is prescriptive about how agents/ brokers can take positive steps to achieve these critical success factors. "With this study, we aim to provide insurance agents and brokers with encouragement, motivation, insights, perspectives, processes and strategies," explained Tom Doran, senior vice president of Reagan Consulting. The PR&D study: -- Provides tools for agents and brokers to accurately assess their hiring needs today and in the future. -- Explores the entire producer recruiting and development process, and identifies success factors of top-performing firms. -- Looks at multiple variables such as age, gender and experience, recruitment and screening techniques, posthiring training and mentoring,

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specialization and team selling and their impact on producer success. The Reagan Consulting study was sponsored by: Amerisure/ Agency Business Solutions, Chubb, Cincinnati, CNA, Hanover, The Hartford, and the Council of Insurance Agents and Brokers. These sponsors can be contacted for copies of the study. About Reagan Consulting: Reagan Consulting is a management consulting firm providing strategic consulting, valuation, and merger-andacquisition (M&A) services to the independent insurance distribution system. The firm's services include appraisals of fair market value, strategic planning, M&A advisory, ownership perpetuation planning, key employee compensation and equity plans, and agency performance benchmarking. Reagan Consulting co-developed the well-known Best Practices study and produces the quarterly Organic Growth & Profitability benchmark survey.

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