missouri agent november december 2009

Age

nt a new home for the holidays

missouri

spec

ial fo

cus:

products

and

servi

ces

no

vem

ber

/dec

emb

er 2

009

For more details, contact your Business Development Manager or Customer Service at 1.800.442.0593 or [email protected].

The MEM DifferenceIn tough times, turn to a trusted partner. Missouri Employers Mutual—a Missouri company for Missouri businesses—is here for all of your workers compensation needs.

Responsible, competitive rates; long-term financial stability; and unparalleled services make MEM the carrier to count on in any market condition. That’s what keeps us the No. 1 provider of workers compensation in the state.

Contact MEM today to learn more or get an underwritten quote.

www.mem-ins.com

WhErE ShoulD You Turn in ThiS ChallEnging MarkET?

november/december 2009 missouriagent 3

Special Focus: Products and ServicesStock Up on Products and Services from MAIA 20

Fall Back Support 7Celebrating MAIA’s New Home 22MAIA Committees 26MAIA Partners Program 2010 32

AdvertisersACUITY 28AgentsMarketingCorp. 25Amerisafe 14AmTrustNorthAmerica 6BankDirectCapitalFinance 36BC&M 16Big“I”Markets 10CornerstoneNationalInsurance 12ElectricInsuranceCo. 43EMCInsuranceCos. 4FCCIInsuranceGroup 33GeneralCasualty 30

DepartmentsFromthePresident 5TheLegalSide 9Errors&Omissions 11Technology 14FromtheDIFP 19

Technicalities 31RegulatoryActions 35AgencyNews 38PartnerNews 39Classifieds 42

3315EmeraldLane,P.O.Box1785,JeffersonCity,MO65102-1785•800-617-3658inMo.Phone573-893-4301•FAX573-893-3708E-mail:[email protected]:www.missouriagent.org

Publisher LarryCaseEditor AmyJ.HoffmanAdvertisingManager AmyJ.Hoffman

Officers of the MAIAPresident BelindaBrenizer,CIC,EdinaPresident-Elect ScottBrothers,CIC,JoplinVicePresident ByronRobison,SpringfieldSec’y/Treasurer DougClift,CIC,St.LouisIIABANationalDirector MitchellC.Mills,ClintonPIANationalDirector RichardMinor,CIC,HannibalPastPresident BrentSpeight,CIC,MontgomeryCity

Board of DirectorsRegion1 RickyBaker,CIC,ChillicotheRegion2 SteveHeying,CIC,St.PetersRegion3 ChrisRupp,LUTCF,CIC,LibertyRegion4 WilTurner,CIC,BeltonRegion5 RickNaught,CIC,CPCU,JeffersonCityRegion6 vacantRegion7 GregRebman,CIC,St.LouisRegion8 DougClift,CIC,St.LouisRegion9 LorieDowning,CIC,CarthageRegion10 KevinKrueger,LUTCF,BolivarRegion11 SteveRackley,CIC,CISR,GainesvilleRegion12 RandyBaker,KennettAt-Large#1 BrianG.Harrison,CIC,ColumbiaAt-Large#2 TedSchroeder,UnionAt-Large#3 BobFeuerbacher,St.LouisCo.Rep. DennisSmith,ColumbiaCo.Rep BobWagner,Columbia

Staff of the MAIAExecutiveVicePresident LarryCaseVicePresidentofOperations CarolDulleInsuranceServicesManager LeonaLoethenMarketingManager LindsaySchmidtEventsManager JeanneBlombergFinancialManager SherylVanLeerDatabaseAdministrator LauraBerendzenCustomerServiceRepresentative TheresaFlippinCustomerServiceRepresentative MonicaMizeEditor AmyJ.HoffmanMembershipServicesRepresentative KelliFindleyEducationDirector EmilyKoenigsfeldAdministrativeAssistant DawnChristian

MISSOURIAGENT(USPS709-210)ispublishedbimonthlybytheMissouriAssociationofInsuranceAgents,3315EmeraldLane,JeffersonCity,MO65109,phone573-893-4301.PeriodicalpostagepaidatJeffersonCity,Mo.

TheMAIAdoesnotnecessarilyendorseanyofthecom-paniesadvertisinginthispublication.Subscriptionrateformembersis$25peryear,whichisincludedindues.

Address&OtherChanges

NotifytheMAIAifyouchangeyouraddress,changeyouragencynameordroporchangeproducers(whoarevotingmembersoftheassociation).WritetoMAIA,P.O.Box1785,JeffersonCity,[email protected].

POSTMASTER:SendaddresschangestoMAIA,P.O.Box1785,JeffersonCity,MO65102-1785.

©2008MissouriAssociationofInsuranceAgents

On the Cover: MAIA moved into its new headquarters this fall and celebrated with an open house and ribbon-cutting ceremony. Catch all the action starting on page 21.

Volume 18, No. 6

MAIAEducation 34MAIAPartners 44MEMInsurance 2MidlandsManagementCorp. 27MissouriRuralServices 18MJKellyCo. 32PatriotRiskManagementInc. 39Ringwalt&LiescheCo. 13RLI 40RSIInternational 15SECURA 8SurplusLinesAssn.ofMissouri 38

Age

nt a new home for the holidays

missouri

spec

ial fo

cus:

products

and

servi

ces

no

vem

ber

/dec

emb

er 2

009

contentsmissouriagentmagazine

INTRODUCING EMC ChOICE® hOMEOwNERs PROGRaM wITh EqUIPMENT BREakDOwN COvERaGE EMC’s new homeowners product provides three levels of comprehensive coverage with outstanding

features and cost-saving benefits. Our premier policy, the EMC Choice® Homeowners program, includes

equipment breakdown coverage. Even our most basic level of coverage provides better-than-average

protection with identity theft resolution service and extra coverages such as silverware theft, refrigerated

property, lock replacement, personal injury, identity fraud expense, golf cart liability and many more.

Learn about these exciting new coverages by contacting your local EMC branch office.

I u sed to think EMC was ju st for commercial lines. Then again, I used to think babies came from storks.

kansas City Branch: 800.821.4702 | Home Office: Des Moines, IA www.emcinsurance.com

© Copyright Employers Mutual Casualty Company 2009 All rights reserved

3431_MisAgnt_Stork_P_7.5x10clr.indd 1 5/1/09 10:56 AM


Blogs, Twitter, Facebook, Chat, Text

Belinda BrenizerMAIA President

INTRODUCING EMC ChOICE® hOMEOwNERs PROGRaM wITh EqUIPMENT BREakDOwN COvERaGE EMC’s new homeowners product provides three levels of comprehensive coverage with outstanding

features and cost-saving benefits. Our premier policy, the EMC Choice® Homeowners program, includes

equipment breakdown coverage. Even our most basic level of coverage provides better-than-average

protection with identity theft resolution service and extra coverages such as silverware theft, refrigerated

property, lock replacement, personal injury, identity fraud expense, golf cart liability and many more.

Learn about these exciting new coverages by contacting your local EMC branch office.

I u sed to think EMC was ju st for commercial lines. Then again, I used to think babies came from storks.

kansas City Branch: 800.821.4702 | Home Office: Des Moines, IA www.emcinsurance.com

© Copyright Employers Mutual Casualty Company 2009 All rights reserved

3431_MisAgnt_Stork_P_7.5x10clr.indd 1 5/1/09 10:56 AM

Do you ever consider we have a whole new language developing in our society? Since I am “slightly” over 50, I‘ll be the first to admit I’m struggling with these new methods of communication. Fortunately, I have two sons in their twenties that help me (with a lot of eye rolls and smirks) with the new terminology and how to update my “wall.”

As I watch my son text his wife the grocery list instead of scrambling for pen and paper, it brings home to me the vast difference in how this generation communicates and how much we, as agents, need to be equipped and ready to do business “their” way.

The Millennial Generation (Generation Y), born between about 1980 through 2000, will bring a total of about 70 million people into the workforce in the next 10 years. As agents, we have to change our sales marketing plans to be able to succeed and meet their needs.

This isn’t anything new; each generation is unique, and the successful agencies adapt. I can still remember our first fax machine and convincing my father that it was worth the $2,500 price tag. We’ve come along way since then. When you stop to consider that 73 percent of the college graduates today didn’t exist 25 years ago and 90 percent of the items in our grocery stores weren’t available 10 years ago, you’re reminded how fast our world is changing.

At this fall’s Big “I” Leadership Conference, they held a panel discussion among agents across the country who are using social networking for marketing purposes. There is a new shift in marketing away from the standard yellow pages, signs and newsprint or mass communication to using more personal contacts to build customer relationships with websites that have live chats and blogs and with Twitter, YouTube, LinkedIn and Facebook.

Over the last 10 years, we have spent time and money developing websites to take our

agencies “on-line,” but much of what we have done is already obsolete in the new “Web 2.0” environment we live in. Instead of the pages that we are used to seeing, our younger customers expect interactive video; direct communications for online profiles of your staff; and links to sites about safety, loss control, merchants, the Chamber of Commerce and personal help for particular industries.

The new business card is the “social network.” The new sales and service approach takes 24/7 service to a whole new level with the social networking aspect. At the IIABA conference, they reported that 70 percent of auto insurance customers shop or check online, with 30 percent of them actually purchasing online. I was surprised it was that high but happy to report that at least most still see the value of purchasing face-to-face with an agent.

So what is your agency doing to get involved in this arena? While each agency is different as far as technology and their ability to develop marketing plans, I encourage each of you to get started in social networking in some way.

The MAIA Technology Committee, chaired by Randy Baker, is helping. The Idea Lab set up at the Small Agency Conference is a great place to start to get on-site help with the new ideas.

Also, don’t overlook the resources you have in your own office with younger employees and producers. They are the experts in this area and are happy to get on board and incorporate their creative ideas.

fromthepresident

continued on page 41

For more information about AmTrust, call 877.528.7878 or visit www.amtrustgroup.com.

$1.13.1

more than


Larry CaseMAIA Executive Vice President

For more information about AmTrust, call 877.528.7878 or visit www.amtrustgroup.com.

$1.13.1

more than

Asweenteredthefallseason,anumberofindustryissuescontinuedintheirchaoticstates.However,asweallrememberedto“fallback”andreturnourclockstostandardtime,someitemsbegan“falling”intoplace.

Onthechaoticside,healthcarereformandtheinsolvencyofMissouri’sSecondInjuryFundledtheway.Thoseitemsfallingintoplacewerethecompletionofournewofficebuilding,thesuccessfullaunchofournewRiskSpecialistSeries,andproactivememberinvolvementincontactingU.S.SenatorsandRepresentativesonthehealthcarereforminitiatives.

Whiletheseitemsaresomeofthefirsttocometomind,theyarenottheonlyissuesandeventstooccupyassociationstafftime.ForthosewhowerepartoftheexcellentcrowdsinattendanceatourrecentAgencyComplianceLuncheons,youheardreportsonthestatusofNARABII,optionalfederalcharterproposals,COBRA,workers’compensationlegaldecisions,healthinsurancemandates,surpluslines,prepaidlegalplans,Medicaresecondaryreporting,certificatesofinsurance,securitybreaches,rebating,multi-statelicensing,producerfeesandmore.

Ialsohadtheopportunityinquestion-and-answertime,aswellasinone-on-oneconversations,todiscussothertopicsonyourmind,includingthecurrentstatusofpromptpaystatutes,earthquakecoverage,anywillingproviderlegislation,producercompensationdisclosures,companycontractcancelationsandwaiversofsubrogation.

TravelingaroundthestateandconductingthefallsessionsweofferisoneofmyfavoritethingsIgettodo.Eachyear,Ilookforwardtothisroadshowbecauseitallowsmetoseeandinteractwithsomanymembers.ItisanopportunityIabsolutelycherish.Moreover,itprovidesustheopportunitytoupdateyouoneverythingwehavebeendoingonyourbehalfandonbehalfofyourclients.

Representation,service,resourcesandadvocacyaretheprimaryreasonsweexist,andIhopethedialogwehaveatthesesessions

demonstratestheeffortweputforthtodeliversignificantvaluetoyouinreturnforyourduesinvestment.Thevarietyoftopicsisenoughtomakeyourheadspin,butthenthat’swhyyourclientsneedyouandwhyyoubelongtoaprofessionalassociation.

Ibeganmycommentswonderingwhetheryourememberedto“fallback”andchangeyourclocksontime.But,besidesthatcommonreminder,theterm“fallback”isusedinanumberofotherways.Websterprovidesseveraldefinitionsandusesfortheterm.Twosuchvariationscitedare:“torelyon”and“toretreatto.”

IliketobelievethatMAIAisanextensionofyourownagencystaffandessentiallyabackroomoperationtowhichyou“fallback”forsupport.AndIwouldhopethatyourecognizingusinthatwaymeansyoubelievethatthefirstdefinitionwouldapplyandthatyoucertainlyviewusasanorganizationthatyou“relyon.”

Atarecentmeeting,onecompanyofficialnotedthatindealingwithagencies,hecouldclearlyseethatagenciesthatwereMAIAmembersstoodoutabovethosethatdonotbelong.

WhileIadmitmyobviousbias,Ioftenwonderhowagenciesthatarenotmembersmaintainanawarenessoflegislative,regulatoryandindustrychangesandkeeptheiragenciesoperatingefficientlyandlegally.Perhapstheydonotcare,andmaybethereistruthintheoldsayingthat“ignoranceisbliss.”Or,maybetheyaresimplyrelyingonthelatterdefinitionandaregoingtouseusasa“fallback”–butonlywhentheyareinfullretreat.

Wecertainlybelieveitisourjobtokeepyouinformedandhelpyouunderstandchangesastheyoccur.And,thatisjustwhatweintendtocontinuedoing.

Fall Back Support

myturn

Success is finding an advantage.

Sometimes you need a little help getting to the top. Agents know this. That’s why so many

choose SECURA to grow their business. Call 1-800-558-3405. Write your own success story.

©20

08 S

EC

UR

A In

sura

nce

4260 Secura_BaseAds_2008 8/27/08 3:36 PM Page 1


Lewis E. Melahn, JD

Lewis E. Melahn is a practicing attorney in Jef-ferson City. He provides free legal consulations to MAIA members on a lim-ited basis. He served as a director for the Missouri Department of Insurance from 1989-1993. You can contact Lew Melahn at 573-636-5057.

Success is finding an advantage.

Sometimes you need a little help getting to the top. Agents know this. That’s why so many

choose SECURA to grow their business. Call 1-800-558-3405. Write your own success story.

©20

08 S

EC

UR

A In

sura

nce

4260 Secura_BaseAds_2008 8/27/08 3:36 PM Page 1

SomequestionsfromtheeditorofthispublicationaboutthenatureofthephonecallsthatIreceiveaspartofthefreelegalconsultationserviceprovidedtoMAIAmemberspromptedmetogivesomethoughttowhetherthetopicsofthosephonecallshavechangedovertheyears.MyreviewconfirmedmuchofwhatIsuspectedwithoutareview:thattherearestillmanycallsregardingpolicyholderclaims,policyinterpretationandproducercontractsbutthatnewissuesareenteringtheconsciousofindependentagents.

TwoofthemostrapidlygrowingareasofconcernaboutwhichInowfieldquestionswouldhavereceivedlittleattentionwhenthisservicebegan–thosebeingtheprotectionofconsumerprivacyandtheuseoftechnology.TheheightenedconsiderationoftheseareasshouldnotbesurprisingbecausetherehavebeenmajorchangesinprivacyrulessinceIbeganthisservice,andthechangeswehaveseenintheworldoftechnologywouldhavebeenunimaginablejustashorttimeago.

Whilethetwotopicseachhavetheirownagencymanagementandregulatoryconcerns,theconnectionbetweenthetwomaybethemostdifficultissuetoaddressandmanage.Whileagencieshavealwaysrecognizedthatitisimportanttodiscussprivacywithemployeesasanagencyprocedure,thegreaterconcernrecentlyhasbeenwiththesecurityoftechnologyandinformationthatistransmittedelectronically.Thattrendmaynowbeescalatingbecauseoftheexplosionofthenew“social”technologies.

Manyreaderswillnotbesurprisedtolearnthatmyknowledgeofthegreatsocialnetworksisrelativelyprimitive,asIonlyhavemodestfamiliaritywithMySpaceandFacebook,Idon’tblogandIhavenodesiretolearntotweet(orisittwit?).

However,thatwillnotbetrueofagencies’staffs.Therehasbeenalotofattentionpaidtothefactthatyoungergenerationsare

enteringtheworkandclientforcesandarechangingthewaypeopledobusiness.Whatisoftenoverlooked,however,ishowquicklythischangeistakinghold.Majorcorporationsareintegratingsocialnetworkingintotheirmarketingplans,andcookie-bakinggrandmasarevideo-chattingwiththeirgrandchildren.

Principalsmustexpecttheirstaffstousetheseresourcesbecausetheypresentagreatopportunitytoreachnewclients,butprincipalsalsoneedtobewarethatthesesameresourcespresentagreatopportunityfortheinadvertentreleaseofprotectedinformation.

Newemploymentrulesregardingtheuseofthesesocialnetworksareamajortopicofemploymentlawpublicationsandseminars.Manyemployersnowhavepolicieswithseverepenalties,includingtermination,foremployeeswholeakconfidentialinformationthroughchatorpostingonthesocialwebsites.

Amajorconcernisthatnotonlyistheemployerunabletomonitortheuseofthesenetworks,butthatonceinformationisshared,thereisoftennomeansofretrieval.Eveniftheinformationcanbedeletedfromasite,aswithaFacebookpost,thereisnowaytotakeitbackfromthosewhohavealreadyviewedit–andthatnumbercanveryquicklyreachthemillions.

Agencymanagersshouldbere-emphasizingthesecurityexpectedbyemployeesregardingcustomerandagencyconfidentialinformationaswellasthefactthattheexpectationofprivacyextendstooff-siteuseoftechnologiesjustaswellastoon-siteuse.Itisalltooeasyforevengood-intentionedemployeestobecomeblindedbythecasual,conversationalfeelofsocialnetworkingandtoundothebenefitsthattheseresourcescanofferyouragency.

New Social World: A Word of Caution

thelegalside

+Builders Risk Miscellaneous +Construction and Trade Contractors Landscape and Horticultural Services - Plumbing, Heating and Air Conditioning - Painting and Paper Hanging - Electrical Work - Masonry, Stonework, Tile Setting, and Plastering - Carpentry and Floor Work - Sheet Metal Work - Concrete Work - Services to dwellings and other buildings - Miscellaneous Special Trade Contractors - Septic Tank Systems-Installation, Service, Repair - Electrical Work-within buildings - Floor Covering-Not tile/stone - Fence Erecting/Installation Contractors +Cultural Organizations Art galleries - Museums +Educational Services Elementary and secondary schools - Colleges, Universities, Professional Schools, and Junior Colleges - Libraries - Adult Education Services - Schools and educational services, not elsewhere classified - Barber schools - Dance Schools - Banking Schools (training and banking) - Computer repair training schools - Computer software training schools - Computer Technical Schools - Data Processing Schools - Business Schools - Court reporting schools - Secretarial schools - Art schools - Mechanical repair schools (not automotive or aircraft) - Music schools - Bible schools - Ceramics schools - Correspondence schools - Diction schools - Drama schools - Language schools - Reading schools +Finance and Insurance Personal credit institutions - Business credit institutions - Mortgage bankers & brokers - Security brokers, dealers & flotation companies - Commodity contracts brokers & dealers - Services allied with the exchange of securities or commodities - Life Insurance +Food processors Dairy products - Bakery products Beverages +Institutional Insurance Programs Alumni associations - Booster clubs - Business clubs - Cultural clubs - Masonic lodges (Other than temples) - Singing societies (e.g. glee clubs, barbershop quartets) - Clubs-Civic-(e.g. Kiwanis, Lions, Rotary) - Gardening clubs - Historical societies-not preservation or military re-enactment) - Poetry associations - Reading Clubs +Media & Advertising Telephone communications - Telegraph & other message communications - Radio or television broadcasting services - Cable and other pay television services - Advertising +Metal Manufacturers Rolling, drawing and extruding of nonferrous metals - Metal cans and shipping containers - Cutlery, Hand tools, and general hardware - Heating equipment, except electric and warm air: and plumbing fixtures - Fabricated metal products - Screw machine products and bolts, nuts screws, rivets, and washers - Metal forgings and stampings - Miscellaneous fabricated metal products - Metalworking machinery and equipment - Refrigeration and service industry machinery - Miscellaneous industrial and commercial machinery - Electrical industrial apparatus - Household appliances - Electric lighting and wiring equipment - Ophthalmic goods - Jewelry, silverware and plated ware - Musical instruments - Pens, pencils, and other artists’ materials - Costume jewelry, costume novelties, buttons, and miscellaneous notions, except precious metal - Miscellaneous manufacturing industries +Office Insurance Programs Publishers-book & magazine-no printing - Mortgage brokers - Financial planners - Advertising agencies - Commercial artists & graphic designers - Employment agencies-no employee leasing or temporary services-permanent placement only - Medical offices - Lawyers offices - Professional & trade associations-offices only - Engineers or architects-consulting-not engaged in construction supervision +Plastics Manufacturers Miscellaneous plastics products +Printers & Publishers Newspapers: Publishing or publishing & printing - Periodicals: publishing or publishing & printing - Books - Miscellaneous publishing - Commercial printing - Manifold business forms - Greeting cards - Blankbooks, looseleaf binders & bookbinding and related works - Service industries for the printing trade - Mailing, reproduction, commercial art & photography and stenographic services +Professional Services Veterinary services - Offices and clinics of Doctors of medicine - Offices and clinics of dentists - Offices and clinics of Doctors of Osteopathy - Offices and clinics of Other health practitioners - Medical and dental laboratories - Miscellaneous health and allied services, not elsewhere classified - Legal services - Engineering, architectural and surveying services - Accounting, auditing and bookkeeping services - Research, development and testing services - Management and consulting services +Retailers Paint, glass and wallpaper services - Hardware stores - Retail nurseries, lawn & garden supply stores - Department stores - Variety stores - Miscellaneous general merchandise stores - Candy, nut & confectionary stores - Dairy products stores - Retail bakeries - Auto parts & home supply stores - Men’s & boys clothing and accessory stores - Women’s clothing stores - Children’s & infants’ wear stores - Family clothing stores - Shoe stores - Miscellaneous apparel and accessory stores - Home furnishings stores - Radio, television, consumer electronics, & music stores - Drug stores and proprietary stores - Liquor stores - Miscellaneous Shopping goods stores - Nonstore retailers - Retail stores, not elsewhere classified - Video tape rental - T-shirt stores - Linen and bath shops - Frozen yogurt shops - Ice cream parlors- no cooking on premises - Pharmacies-no food service - Book stores-new books only - Stationery stores - Clock stores - Jewelry stores-no jewelers block - Art & Craft supplies - Hobby shops - Toy stores - Camera & photographic stores - Gift shops - Greeting card stores - Luggage & leather goods - Sewing stores - Catalog stores - Florists - Optical Goods Stores - Painting, picture or frame stores - Trophy stores - Formal wear or costume rentals - Packaging and mailing centers +Technology Computer hardware & office equipment manufacturing - Household audio & video equipment manufacturing - Communications equipment manufacturing - Electronic components and accessories manufacturing - Miscellaneous electrical machinery, equipment and supplies - Laboratory apparatus & analytical, optical, measuring & controlling instruments - Photographic equipment and supplies - Watches, clocks, clockwork operated devices & parts - Other communications services - Computer programming, data processing, & other computer related services +Wholesalers Motor Vehicles & motor vehicle parts & supplies - Furniture & home furnishings - Professional & commercial equipment & supplies - Electrical goods - Hardware, plumbing & heating equipment & supplies - Machinery, equipment & supplies - Miscellaneous durable goods - Paper and paper products - Apparel, piece goods and notions - Beer, wine, and distilled alcoholic beverages - Miscellaneous non-durable goods - Photographic equipment & supplies distributors - Office equipment & supplies distributors - Restaurant & hotel equipment or fixtures distributors - Ophthalmic goods distributors - Appliance distributors - Electrical equipment or electronics distributors - Hardware & tools distributors - Barber or beauty shop supplies distributors - Janitorial supply distributors - Candy or confectionary distributors - Wine & liquor wholesalers - Florists +Business & Personal Services Animal services, except veterinary - Travel agents - Laundry cleaning and garment services - Photographic studios, portrait - Beauty shops - Barber shops - Shoe repair shops and shoeshine parlors - Funeral services & crematories - Miscellaneous personal services - Consumer credit reporting agencies, mercantile reporting agencies & adjustment and collection agencies - Personnel supply services - Miscellaneous business services - Electrical repair shops - Watch, clock and jewelry repair - Reupholstery &furniture repair - Miscellaneous repair shops and relate services - Dance studios, schools

150 subclasses

17business categories,

oneplace.

Access this commercial package program through Big “I” Markets at www.bigmarkets.com.

SM

MAIA Big “I” Markets

Product of

the Month

Contact Kelli F

indley at

800-617-3658


How a Claim is MadeFansoftheTVshow“HowIt’sMade”enjoywatchinghowsomeofthemostseeminglymundaneobjectsintheindustrializedworldtodayarecreated.Theshow’spresentationofthestepsandmaterialsittakestocreateobjectsassimpleasamirrororsilkglovemakeusmoreappreciativeofhoweasilythesethingsareavailabletous.Andyetthelifecycleofanyobjectismorethanthesumofitsparts;eachstepintheprocessofmakingthosepartsisastoryofitsown.

Luckilyformost,thelifecycleofaprofessionalliabilityclaimisamystery.Forthosewhohavehadtheexperience,someperhapsdidn’treallyknowwhatstagetheirerrorsandomissionsclaimwasinuntilitaffectedtheirdeductibleoruntiltheircarrierpaidtodefendandsettle.Ifyouareoneofthecurious,staytunedandenjoy:here’sthestoryofhowanE&Oclaimiscreated–withnocommercialinterruptions.

How a Claim is Defined First,theclaimiscreatedbypolicydefinition.TheWestportInsuranceAgentsProfessionalLiabilitypolicydefinesaclaimas:

1)aninsuredhasreceivedasummons,asubpoenaoranyothernoticeoflegalprocess;

2.aninsuredhasreceivednoticeofany“suit”;3.aninsuredhasreceivedawrittendemand

ornoticeofawrittendemandformoneyorservices;or

4.aninsuredhasreceivedarequesttoprovidearecordedstatement.

Inanyoralloftheseinstances,theclaimmustbeimmediatelyreportedbytheagencytotheE&Ocarrier.

Reporting the Claim to the E&O Carrier: Behind the ScenesOncetheclaimsdepartmentreceivesnotice,aclaimsspecialistcontactstheinsuredagencytonotifythemthataclaimhasbeenreceived.Aclaimfileisopenedandtheclaimsspecialist

reviewstheapplicabledeductible,policylimitsandretrodateandconfirmsthatthepolicyisinforce.

Adeterminationisthenmadeastowhethertheallegederrororomissionofthe“claim”iscoveredbythepolicy.Iftheallegationsfallwithinthecoverageterms,theclaimsspecialistthenattemptstodeterminetheinsured’spotentialliability.

Theclaimsspecialistwillspeakwithindividualsfromtheagencywhowereinvolvedinthematter,includingtheagencyprincipal,todeterminewhathappened.Heorshewillaskthemaboutstandardagencyproceduresandpracticesandwillchecktoseewhethertheunderlyingcarrier(orothers)havemadepaymentsyet.Thespecialistwillalsoaskforanyandalldocumentationfromtheagencyfilesotheycanreviewittosupporttheagency’sdefensestotheclaim.

Manytimes,theallegationsoftheclaimdonotindicatethattheagenthasmadeanyerror.Inthosecases,theclaimsspecialistwilladvisetheclaimantthattheirclaimhasnovalidbasisandwilldenytheclaim.However,iftheallegationsmaygiverisetoavalidclaim,andifalawsuithasnotyetbeenfiled,theclaimsspecialistwillaskfordocumentationthatsupportstheclaimant’sallegations.Iftheclaimanthasretainedanattorney,theclaimsspecialistwillworkdirectlywiththeattorney.Theclaimsspecialistwillthenreviewtheinformationanddeterminewhatfurtheractiontotaketoresolvetheclaim.

Bringing in Defense CounselIfalawsuitresultsfromtheallegationsofaclaim,theclaimsspecialistwillchooseappropriatedefensecounselfortheagency,sometimesreferredtoasthe“DC.”TheDCselectedusuallycomesfromapanelofdefenseattorneysthathaveaprovenhistory

Shirley Zelenski Swiss Re


&errors omissions

12 missouriagent november/december2009

Alan Hedrick, owner of County Wide Insurance Agency, and a board member of Cornerstone National Insurance Co., Columbia, Mo., has been selected by the Mo. Association of Insurance Agents as the “Insurance Person of the Year.” The presti-gious award is presented for outstanding commitment to the insurance industry and citizens of Mo. Hedrick has been in the industry since 1989 and has served it in many capacities, including as a past-president of MAIA, a previous member of the Agents Council for Technology and the current automation chairperson for the Mo. Automa-tion Committee. County Wide is an independent insurance agency that writes busi-ness with Cornerstone National Insurance Co, among others.

We are most fortunate to have another board member, Lew Melahn, as a previous recipient of this award. Mr. Melahn is an attorney engaged in private practice focused on insurance regulatory and business issues. He served as director of the Mo. De-partment of Insurance from 1989 to February 1993.

Robert Rowles is the owner and president of Insurance Associates America, an inde-pendent insurance agency that writes business with Cornerstone National Insurance Co., among others. He began his career in the insurance industry in 1975. Insurance Associates America markets commercial agricultural insurance in a seven-state area throughout the Midwest.

Brian Harrison has been with Harrison Agency since 1988 and is the agency’s princi-pal owner. He has been on the board of directors of Cornerstone National Insurance Co. since its inception in 1997. He is also on the board of directors of MAIA and is involved in Boy Scouts, Daniel Boone Little League and Rotary.

Cornerstone National Insurance Co. is proud to have three agents and a past Insur-ance Department director as a part of its board of directors. Few insurance compa-nies have this broad experience representing the intererests of shareholders, agents and their customers.

L-R: Brian Harrison, Lew Melahn, Alan Hedrick, Bob Rowles

of excellence in defending insurance agents’ errors and omissions claims.

The DC represents and has an ethical and professional obligation to the insured first and is the insured’s representative in a court of law. In some cases, Swiss Re has enhanced the E&O policy with an endorsement that allows insureds to choose their own defense counsel, subject to some limitations.

The DC will meet with the insured and begin the discovery process. This begins by requesting written discovery and may include subpoenas of various records including tax returns, receipts or payroll records.

Depositions are another part of discovery. Depositions are sworn testimony of the parties, witnesses and experts that allow counsel to determine what their testimony will be at trial. Individuals involved in the alleged error from the agency are deposed in most cases to document their side of the story.

All of this is used to help build the agency’s defense and may also factor into the ongoing updates of the reserves. The agency’s potential liability is the logical conclusion that develops in the mind of the claims specialist as the discovery process unravels the facts. The claims specialist will then analyze, with the help of the defense counsel, how a judge or jury will view the agency’s liability and will then establish the expense, defense and loss reserves.

Defense counsel will continue to have regular contact with the insured, following the case to the end and keeping the insured informed about progress, delays and the eventual outcome.

Mediation,SummaryJudgmentorTrialIn many cases, it is appropriate for a case to be mediated. This is a non-binding process involving an independent third party whereby an attempt is made to negotiate a settlement. The process is non-binding because it is voluntary and the parties are not required to reach a settlement. If a settlement is not reached, the case continues in the litigation process.

In some instances, where there is no dispute as to the facts of the case and both the evidence and the law clearly support the agency, the DC will file a motion for summary judgment. This is a request that the judge determine as a matter of law that the claimant’s case should be dismissed. It can only happen if the material facts are not in dispute – such as whether a faxed document was received by the intended recipient or whether an injured worker is an employee of the plaintiff.

The goal is to save time and money that would be spent further representing the insured by going to a jury trial when it is clear that there is no basis for the claim. If the motion is unsuccessful, the case continues in the litigation process.

errors&omissionscontinuedfrompage11


e&oAtrialcanlastfromonedaytoseveralweeks.Onaverage,mostE&Otrialslasttwoorthreedays.Afterthejuryorthejudgehasreacheditsverdictandthetrialhasended,eithersidemayseektoappealtheverdictiftheybelievethatitwasagainsttheweightoftheevidenceorthattherewasanerrorasamatteroflaw.Thiscanaddseveralmonthstotheprocess.

Atsomepoint,justlikeamirrororasilkglove,theclaimwillfinallybecomplete.Theentireprocess,fromthefirstdemandlettertotheagencytothefinalclosingletterfromdefensecounselortheclaimsspecialist,canlastfromjustacoupleofmonthstoacoupleofyears.Eitherway,thegoalistosuccessfullydefendtheagencyandresolvetheclaim.

Beingaccusedofmakinganerrorisneverpleasant.Buthopefullynowyouwillhaveabetterunderstandingofthelifecycleofaclaimandwillbepreparedifitshouldeverhappentoyou.

This article is intended to be used for general informational purposes only and is not to be relied upon or used for any particular purpose. Swiss Re shall not be held responsible in any way for, and specifically disclaims any liability arising out of or in any way connected to, reliance on or use of any of the information contained or referenced in this article. The information contained or referenced in this article is not intended to constitute and should not be considered legal, accounting or professional advice, nor shall it serve as a substitute for the recipient obtaining such advice. The views expressed in this article do not necessarily represent the views of the Swiss Re Group (“Swiss Re”) and/or its subsidiaries and/or management and/or shareholders.

©2009 Swiss Re. All rights reserved.

Need A Ride?

800-708-7448 • Fax 402-916-3333 • www.ringwalt.com

Email submissions to us at [email protected]

Ringwalt Liesche Co.&®

Ringwalt & Liesche Co. Provides a

front row seat to placing public livery risks.

You can rely on coverage from an A++ carrier that has been writingcommercial auto risks for over 65 years.

We are able assist you and your customer with the following

• Luxury, SUV & Super Stretched Limousines

• Liability limits up to $5 million (surplus lines may apply in some states)

• Federal and/or State filings

• Coverage for Audio Visual Equipment (up to $10,000 per vehicle)

• Medical Payments (up to $5,000 per passenger)

:

Shirley Zelenski is an underwriting vice president of Westport Insurance Corporation, a member of the Swiss Re group. Shirley can be reached at [email protected].

14 missouriagent november/december 2009

Workers’ Compensation Insurance

O

il & G

as • C

onstr

uctio

n • A

rboris

t

Trucking • Manufacturing • Excavation

Sand &

Gravel •

M

arin

e •

R

oofing

Actively Seeking Agents in Missouri

Toll Free: 888-758-5036 Fax: 800-450-1091E-mail: [email protected]

www.amerisafe.com

The Breakthrough in Agency Automation ... A Brief HistoryThehistoryofagencyautomationisalsothestoryofhowindependentagents,carriersandvendorscanmakearealdifferenceintheevolutionofthetechnologyandworkflowsavailabletoourdistributionsystembybecominginvolvedattheindustrylevelinusergroupsandorganizationsliketheAgentsCouncilforTechnologyandtheACORDUserGroupsInformationExchange.

Agents’ Vision for Carrier InterfaceTheagents’overallvisiontobeabletoworkinaconsistentmannerwithmultiplecarriershasbeenremarkablyconstantovertime.In1906,anagentpetitionedtheNationalAssociationofInsuranceAgents(nowtheIndependentInsuranceAgentsandBrokersofAmerica)totaketheleadindevelopingstandardapplicationsandproceduresfordealingwiththecarriers.

Thisagentwasaheadofhistime,butasaresultofthefoundationworkofseveral

Californiaagentsandwestern-basedcarriersstartingin1968,NAIAand12carriersformedtheACORDCommitteewithintheassociationin1970tobeginthedevelopmentofstandardizedapplicationsandforms.

In1975,ACORDbecameaseparatecorporationandhassincegrownintotheinternationalstandardsbodyfortheinsuranceindustry.Intheearlyyears,itwasextremelydifficulttogetthecarrierstoagreeoncommonforms,especiallyapplications.Butthelogjameventuallybroke,andtodaytherearethousandsofstandardizedACORDforms,withoutwhichtoday’sagencymanagementsystemswouldnothavehadthestandardsnecessarytodesigndatafieldsandgeneratecommonapplications.

Inadditiontostandardizingforms,however,theprescientagentsin1975wantedtodevelopanagencyuniversalterminalthattheycouldusetoaccessmultiplecarrierselectronically.NAIAformedtheEPICCommittee,whichmetwithseveralcarriersandformedtheInsurance

Jeff Yates,ACT

technology


InstituteforResearchin1977tostudyagent-companyoperationsautomation.IIRstudiedtheconceptoftheuniversalterminalandbeganthedevelopmentofbatchelectronicstandards,whicheventuallybecamethebasisforthedownloadsthatsaveagenciessomuchtimetoday.

OutofIIRemergedtheneedtocreateIVANSinordertoprovidetheindustrywithashareddata-communicationsnetworktosavecost.Itisstilltheentitythatmostcarriersandagenciesusetoaggregateandtransmitcarrierdownloadstoagencieseachevening.

WhileIIRwassuccessfulincreatingthefirstelectronicstandardsfortheindustry,alongwiththecreationofIVANS,therewasnotsufficientsupporttomoveforwardwiththeuniversalterminalconceptthatmanyagencieswantedtosee.In1982,ACORD&IIRmerged,bringingtogethertheentitiesthatdevelopedthepaperandelectronicstandardsfortheindustrythatweknowtoday.

Duringthe1980sand1990s,agentsmadegreatprogresswithstandardizedformsandpersonallinesdownloadbutstillhadtocontendwiththeinefficientuploadingofdatatocarriers.Firstthecarriersplacedtheirproprietaryterminalsinagentoffices,andthensomecarriersandvendorstriedtoachievesingle-entry-multiple-carrierinterfacebyimplementingbatchuploads,butthisapproachonlymetwithlimitedsuccess.

The Internet Creates Major ChangeWiththeadventoftheInternetinthelate‘90s,carrierssawanopportunitytobuildtheirownwebsitestoincreasetheinformationandfunctionalityavailabletotheiragents,aswellastoreducetheirownprocessingcosts.Asthesewebsitesproliferated,agentsagainwerefacedwithseparateandinefficientworkflowsforeachcarrier,includingtheneedtologontoeachcarrier’ssite,rememberthecarrier’spassword,learnhowtonavigatethesite,andenterthesamedataagainandagaintocomparequotes.

Fortunately,theInternetandthewebservicesusedbycarriersfortheirproprietarywebsitesalsosowedtheseedsthatenabledenterprising

agencymanagementsystemvendorstocreateaworkflowthatallowsagenciesfinallytorealizetheirlongheldvisionofSEMCI.ItiscalledRealTime.

Real Time – A Major BreakthroughRealTimeisfastbecomingthepredominantworkflowusedbyagentstoperformtransactionswithcarriers,supplantingcarrierproprietarywebsites.The2009RealTimeCampaignAgencySurveyindicatedthat54percentoftheagencieswithagencymanagementsystemsaredoingRealTimeinquiriesandendorsements.

Forty-threepercentofagentsareusingpersonallinesRealTimeratingthroughtheagencymanagementsystemorcomparativerater,and18percentareperformingcommerciallinesRealTimerating.Anotherpositivesignisthat180carriersandcarriergroupsarenowofferingatleastsomeRealTimefunctionality.That’sa58percentincreaseintwoyears!

The Evolution of DownloadIn1988,agroupofsavvyagentsandcarrierrepresentativesundertheauspicesoftheassociationsandACORDsteppedforwardtospellouttheactualfunctionseffectiveinterfacesmustpossessfromtheagents’perspective.TheyformedtheInterfaceSystemsRequirementspanel,andin1990,theymadethecrucialrecommendationthatdownloadshouldbethestartingpointforinterfacedevelopment,thusgivingwaytoaproliferationofdownloadimplementations.


technology

Visit our Web Site at— www.bcmins.com

Phone: 417.869.2550 / 800.779.2550 Fax: 417.869.5102 / 888.869.2550

Accident Reconstruction Appraisers Real Estate Machinery & Equipment Personal Property Auctioneers Billing Services Bookkeepers (Non-CPAs) Business Services Claims Adjusters (All Lines) Collection Agencies Consultants Archeological Arborists Communication Food Service Forestry Horticultural Human Resources

Management Convention Managers County Clerks Court Reporters Credit Reports Custom Brokers

Electronic Data Processors Data Conversion Program/System Design Consulting Executive Search Expert Witness Farm Managers Flood Hazard Search Forensic Analysts Foresters Freight Forwarders Home Inspectors Interpreter Information Retrieval Insurance Inspection Interior Decorators Judicial Research Marine Surveyors Medical Billing Services Meeting Planners Mortgage Brokers Notaries Paralegal Pre-employment Screening Permanent Placement Services

Premium Auditors Process Servers Property Management Residential Commercial Industrial Vacant Land Agricultural Property Tax Consultants Real Estate Agents (Residential & Commercial) Records Copying Services Right of Way Services Tax Preparers (Non-CPAs) Telephone Answering Services (Non-Emergency) Temporary Placement Ser-vices Theater Management Time & Records Management Translators Travel Agents Vessel Documentation Warranty Sales Wetlands Delineation

Surplus & Specialty Lines Insurance Managers

Our experienced team of insurance professionals work diligently to provide specialized insurance coverage for the professional.

Miscellaneous Errors & Omissions


Personal lines download is one of the greatest success stories to date in terms of the productivity enhancements that have resulted from it. Even today, agents encourage carriers to implement download first, then Real Time.

Agent-carrier pairs implementing personal lines download continue to grow. Today, there are more than 170,530 such agent-carrier pairs. Agencies can save significant additional processing time by implementing direct bill commission download that automates the entry of commission statement information into their systems. Agents are also taking advantage of claims download, where available, to get back into the claims loop and to automate the entry of claims data into their systems.

Commercial lines download is the next big opportunity now that significant steps have been taken to improve the quality of these downloads and to reduce the overwriting of agency data. Today there are more than 42,065 agent-carrier pairs that have implemented commercial lines download, an 18 percent increase over last year.

Agency Management Systems Become the Hub of the Electronic AgentIt all started back in the 1950s when vendors emerged to do agency accounting on a batch basis. From these roots, the first agency management systems emerged, focused on automating the accounting function.

With the approval of ACORD standard applications, the systems were able to create a policy and client database so that agencies could service clients from the system and use it as a marketing tool to cross sell. Agency management systems were also sensitive to errors and omissions risks and included activity logs that tracked every transaction the system performed and permitted the capture of client conversations and events.

Most recently, the focus of agency management systems has broadened beyond internal agency operations to agent-carrier connectivity, using tools such as Real Time and download.

Today, the truly electronic agency is emerging, eliminating paper wherever possible. Thanks to the Internet, agencies no longer need to have their agency management systems on site. They can now be housed at the vendor, allowing the vendor to be responsible for updates, maintenance and proper backups. In addition, agents can access their systems and work from anywhere that the Internet is available.

technology continued from page 15

Jeff Yates is executive director of the Agents Council for Technology (ACT) which is part of the Independent Insurance Agents & Brokers of America. Jeff can be reached at [email protected] article reflects the views of the author and should not be construed as an official statement by ACT.

Agent Advocacy at the Industry LevelIn 1999, IIABA created ACT to put a more consistent and permanent focus on industry automation issues from the agents’ perspective. The immediate catalyst was the impact the Internet was starting to have on the industry.

At the first ACT meeting, the carriers made an urgent plea for the development of new standards based on extensible markup language, or XML, for transporting data across the Internet. ACORD responded promptly, and its XML standards today provide the basis for the industry’s Real Time transactions.

The agents, carriers, vendors, associations and user groups involved in ACT are currently working on:

• improving agent-carrier connectivity and workflows in the standard, as well as excess and surplus, markets.

• promoting best practices agency workflows.• addressing interface security issues. • helping agents with online marketing. • extending quoting and servicing functionality

to clients through agency websites.• assessing major technology and societal

trends that will impact our distribution system and identifying the industry’s “must do” issues arising out of these trends.

Also in 1999, ACORD established AUGIE to bring together all of the agency management system user-group leaders. ACT and AUGIE closely coordinate their activities and often meet back to back to avoid duplication and communicate a consistent message.

AUGIE has created several reports and tools to assist agencies in adopting the latest workflows. Its top priority in 2009 has been to increase the implementation of commercial lines download.

Agency automation tools are meeting the needs of agencies better than ever before and are critical to the functioning of the successful agency today. But the evolution of agency automation is a journey, and our work will never be done as we continue to react to and incorporate the technology enhancements that become available.

As this brief history has shown, a few committed people can make a real difference in the evolution of agency automation, creating lasting benefits that improve the daily work of virtually every independent agency employee.


Update on Services for ProducersThisisabusytimefortheproducerlicensingsectionoftheMissouriDepartmentofInsurance,FinancialInstitutionsandProfessionalRegistration,andIwanttosharewithyouanumberofdevelopmentsyoumayfindofinterest.

You’venodoubtheardustalkabout–andsomeofyouhaveinteractedwith–ourmodernizationeffortsforproducerlicensing.Wemigratedfromouraging,internaldatabase(MIDS)toState-BasedSystemsthispastspring,andit’sresultedinmoreefficiency,quickerapplicationprocessingandmoreonlineoptions.Forexample,youcannowapplyorrenew(andpay)onlineforalllinesofinsurance.

AnotheronlineservicebecameeffectiveonSept.28:theReportingofActionsfeature.ThisispartoftheAttachmentsWarehouse,whichwelaunchedaboutayearago.

TheAttachmentsWarehouseisasecuredatabasethatelectronicallyreceives,storesandsharesapplicationrenewalandbackgroundinformationrequestedfromproducersbytheDIFP.Whenweneedadditionalinformationordocumentation,theAttachmentsWarehouseallowsproducerstosubmitthisdataelectronically,insteadofbyfaxorbymail.

Thenewfeature,ReportingofActions,expandselectronicfilingabilitiestoallowlicensedproducerstoelectronicallyreportadministrative,criminalandcivilactionsasrequiredbystatute.ReportingofActionsisPhase2oftheAttachmentsWarehouse.You’llfindthisfeaturealongwithinstructionsatnipr.com–seeAttachmentsWarehouseintheleft-handcolumn.

Wealsohaveexpandedourswitchboardhoursinthelicensingsection.Youcannowreachalicensingrepresentativefrom7:00a.m.to5:00p.m.Ourhopeisthatthiswillprovideanopportunitytoreachthedepartmentwhenyoudon’thavetimeduringyourbusyworkday.

Onanothermatter,IwanttomakeyouawareofaletterthatlicensednursinghomesinMissouriwillbereceiving.ThelettercomesfromtheDIFP,theMissouriDepartmentofHealthandSeniorServices,andtheCentersforMedicareandMedicaidServices.TheletterconcernsCMS’newrulesgoverning

producers’marketingofMedicareAdvantageandMedicarePartDprescriptiondrugplans,especiallyto“dualeligibles,”thoseeligibleforMedicareandMedicaid.

Anexcerptfromtheletter:

While most insurance agents and brokers are honestly providing a valuable service to their clients, there have been troublesome reports of inappropriate and aggressive agent and broker activity regarding enrollment of dual eligibles. Unlike other Medicare beneficiaries, dual eligible individuals may switch plans at any time during the year and are not limited to the set annual and open-enrollment periods established for the general Medicare-eligible population. This ability to switch plans year-round has caused some insurance agents to target the dual eligible population in order to gain commissions they may generate by switching a dual eligible from one plan to another.

OuragenciesalsoasknursinghomestomonitorinappropriateagentbehaviorandreportconcernstoCMSandtheDIFP.Iknowyousharethegoalofourthreeagenciesinmakingsurethe“badapples”areweededoutoftheproducercommunity.Andtheletteriscorrect:thevastmajorityofagentsaredoingexcellentworkinservingtheirclientsandprospectiveclients.

Finally,Iinviteyoutovisitthedepartment’snewwebsite,difp.mo.gov.You’llseeastructurebasedmuchmoreontheneedsoftheuser,ratherthananexplanationofourdepartmentsetup.Thefourdivisionwebsiteswillsoontakeasimilarapproach,includinginsurance.mo.gov.Asalways,Iencourageyoutosignupforoure-mailnewsalertsystembyclickingtheiconthatsays“Getinsurancenewsfast”ontheinsurancesite,or“GetDIFPnewsfast”onthedifpsite.QuestionsforourLicensingSectioncanbedirectedtolicensing@insurance.mo.govor573-751-3518.

fromtheDIFP

John M. HuffDirector, Mo. Department of Insurance Financial Instutions and Professional Registration

This article expresses the official views and opinion of the Missouri Department of Insurance, Financial Institutions and Professional Registration, which may not necessarily be those reflected by the Missouri Association of Insurance Agents.


specialfocus productsandservices

Non-Insurance Products and ServicesBankDirect Capital Finance – Premium FinancingMotor Vehicle Reports and Driver Monitoring ProductsAgency Financial ServicesEmployee Testing ServiceCareer CenterRetirement Services (a variety of 401(k) and IRA options)

Did you know? Sally is a 35-year-old insurance agent in Missouri. She makes $45,264 annually (the state’s average income for insurance producers, according to cbsalary.org). If she invests 10 percent of her income in a 401(k) with a 9 percent rate of return, she will have saved $659,885 by the age of 65, even without a matching employer contribution.

InsurBanc

Contact MAIA’s Kelli Findley at 800-617-3658, [email protected], or visit www.missouriagent.org.

Educational OpportunitiesCertified Insurance Counselor ProgramCertified Insurance Service Representative ProgramContinuing Education and Specialized Seminars

“The Risk Specialist Series is our newest education offering. It is designed to help agents enter new niche markets that will allow them to grow their books of business and expand their base of expertise. All of these courses are being held in MAIA’s new education center to give participants cost-effective specialty training in a central location.” –Emily Koenigsfeld, education director, MAIA

Dynamics of Service SeminarsE&O Loss-Control SeminarsElite Force Sales Training School

“I would tell [someone considering enrolling in Elite] that this class would not only boost their career but also their self-confidence. It would enable them to gather information and experience from experienced agents that they will be able to use for the rest of their career.” –Beverly Weldon, 2007 student

CIC Scholarships

Contact MAIA’s Emily Koenigsfeld at 800-617-3658, [email protected], or visit www.missouriagent.org.

Conferences and Special EventsLeadership Conference (annual state convention), July 21-23, 2010

“The Leadership Conference Committee began meeting to plan the 2010 conference last June. We are currently in the process of selecting a keynote speaker and topics for the Best Practices sessions, with the goal of building upon the success we had at the ’09 conference.” –Jim Baxendale, Leadership Conference Committee chair, Missouri General Insurance Agency

MAIA Products and Services ChecklistInsurance Coverage for AgenciesE&O Insurance: Property-CasualtyE&O Insurance: Life-Health

DidYouKnow?Accordingtoarecentstudy,30percentofE&OclaimsfiledwithSwissReinMissouriresultfromerrorsmadeinpolicyrenewals.AsimilarstudybyUticafoundthatnearly10percentoftheirMissouriclaimsinvolvedelayedcommunicationbetweenagentsandunderwriters.

Life InsuranceAccidental Death and DismembermentDental and Vision InsuranceLong-Term DisabilityShort-Term DisabilityEmployment Practices LiabilityAgents Umbrella Program

Contact MAIA’s Leona Loethen, [email protected], or Theresa Flippin, [email protected], at 800-617-3658, or visit www.missouriagent.org.

Insurance Coverage for ClientsPersonal Umbrella Coverage (RLI)

“RLI just added the Personal Umbrella Policy Special, which opens the door to coverage for risks not previously eligible under the three existing PUP classes. The company also expects to be able to accept credit card payments by the end of this calendar year, an important step in improving agents’ ease of doing business.” –Monica Mize, MAIA customer service representative

In-Home Business Policy (RLI)Flood Insurance (Write-Your-Own Program)Big “I” Markets (see page 21 for list)

An experience with Big “I” Markets Flood Coverage: “In 2008, our insured suffered three major flood losses during a three-month period. During this very trying time, the entire Selective Insurance team performed their duties as personably and as efficiently as we could have imagined. Their highly professional assistance helped lessen the burden of these catastrophic situations for both the insured and this agency.” –Bob Allen, MAIA past president, Willis Insurance Agency

Contact MAIA’s Monica Mize, [email protected], or Kelli Findley, [email protected], at 800-617-3658, or visit www.missouriagent.org.

Stock Up



Big “I” Markets Products

Commercial LinesBonds: bid, surety, performance, contractor and otherChild Care ProgramClaims AdjustersCommercial AutoCommercial Builders’ RiskCommercial Package (150 subclasses)Commercial Umbrella PolicyCommunity Banks Business InsuranceContractors’ EquipmentContractors’ LiabilityEmployers’ Practices LiabilityEvent LiabilityExecutive Liability (Wrap+)Farm and Ranch ProgramFinancial Advisors’ Errors and OmissionsFlood InsuranceFlood Insurance – excessHabitational Markets – apartments, condo and homeowner associationsMiscellaneous Professional LiabilityNon-Profit Directors and Officers LiabilityOutdoor Markets: guides and outfitters, rod and gun clubs, and fishing and hunting lodges and plantationsReal Estate Errors and OmissionsRecreational VehiclesRestaurant ProgramTechnology Consultants Professional LiabilityWorkers’ Compensation

Personal LinesAffluent Package ProgramAt-Home BusinessEvent LiabilityFlood InsuranceFlood Insurance – excessGap InsuranceMarine InsuranceNon-Standard Homeowners

Affluent Non-Standard Coastal HomeownersCorporate/LLC-Owned Non-Standard CondosNon-Standard Rental DwellingsNon-Standard RentersPersonal Builders’ RiskSeasonalUnprotectedUnsupported SecondaryVacant Dwellings

Personal Builders’ RiskPersonal Excess PolicyPersonal Umbrella PolicyRecreational Vehicles

Contact MAIA’s Kelli Findley at 800-617-3658, [email protected], or visit www.bigimarkets.com.

Non-Insurance Products and ServicesBankDirect Capital Finance – Premium FinancingMotor Vehicle Reports and Driver Monitoring ProductsAgency Financial ServicesEmployee Testing ServiceCareer CenterRetirement Services (a variety of 401(k) and IRA options)

Did you know? Sally is a 35-year-old insurance agent in Missouri. She makes $45,264 annually (the state’s average income for insurance producers, according to cbsalary.org). If she invests 10 percent of her income in a 401(k) with a 9 percent rate of return, she will have saved $659,885 by the age of 65, even without a matching employer contribution.

InsurBanc

Contact MAIA’s Kelli Findley at 800-617-3658, [email protected], or visit www.missouriagent.org.

Educational OpportunitiesCertified Insurance Counselor ProgramCertified Insurance Service Representative ProgramContinuing Education and Specialized Seminars

“The Risk Specialist Series is our newest education offering. It is designed to help agents enter new niche markets that will allow them to grow their books of business and expand their base of expertise. All of these courses are being held in MAIA’s new education center to give participants cost-effective specialty training in a central location.” –Emily Koenigsfeld, education director, MAIA

Dynamics of Service SeminarsE&O Loss-Control SeminarsElite Force Sales Training School

“I would tell [someone considering enrolling in Elite] that this class would not only boost their career but also their self-confidence. It would enable them to gather information and experience from experienced agents that they will be able to use for the rest of their career.” –Beverly Weldon, 2007 student

CIC Scholarships

Contact MAIA’s Emily Koenigsfeld at 800-617-3658, [email protected], or visit www.missouriagent.org.

Conferences and Special EventsLeadership Conference (annual state convention), July 21-23, 2010

“The Leadership Conference Committee began meeting to plan the 2010 conference last June. We are currently in the process of selecting a keynote speaker and topics for the Best Practices sessions, with the goal of building upon the success we had at the ’09 conference.” –Jim Baxendale, Leadership Conference Committee chair, Missouri General Insurance Agency

Small Agency Conference, March 25-26, 2010Did you know? Over the past five years, breakout sessions at the Small Agency Conference have covered 12 distinct, lines-specific issues, from homeowners’ exclusions to long-term care insurance. Additional sessions have covered such important topics as changes in the industry, market fluctuations and personality dynamics.

Young Agents’ Conference, June 6-8, 2010Day at the Capitol, March 9, 2010

“One of the many issues involved in the federal health care reform proposals is the ability of young people to procure coverage. In 2007, MAIA helped to pass Missouri House Bill 818, and it guarantees that young adults can stay on their parents’ health care until they’re 25. I think that our legislation 818 helps to show that we are taking great strides to be leaders in this reform issue, but there is a lot yet to be done.” –Chris Rupp, Government Relations Committee chair, JC Rupp Agency

Mid-America Technical Conference, Nov. 8-10, 2010Agency Compliance Luncheons, September 2010Crawfish Feast, March 24, 2010Young Agents’ “Lunch Bunch,” April 2010Trusted Choice Big “I” Junior Classic, Date TBA

Contact MAIA’s Jeanne Blomberg at 800-617-3658, [email protected], or visit www.missouriagent.org.

MAIA Products and Services Checklist


On Sept. 29, 2009, one year after the MAIA board of directors held the ceremonial groundbreaking at the site of the new association headquarters in Jefferson City, they gathered there again to celebrate the official opening of the facility with a ribbon-cutting ceremony and an open house. Agents, company representatives and other friends of the association enjoyed music, refreshments and tours of the new building. In addition to expanded work and storage space for

MAIA staff, the building boasts a state-of-the-art education center with the capacity to hold 100 students, a catering kitchen for in-house events and an executive board room.

The MAIA board of directors and staff thank our members and friends, without whom this new facility would not have been possible. We are excited to offer you a wider variety of educational opportunities and events in the education center and to continuing to serve your needs and those of the independent insurance industry.


s! E&O HappenWhen that inevitable claim arises, we are your Trusted Choice® for professional liability protection.

AMC offers you a choice of the two most prestigious Errors and Omissions carriers in the country:

Agents Marketing Corporation is a subsidiary of Missouri Association of Insurance Agents

For a quote or for more information contact Theresa Flippin at [email protected] or 800/617-3658

In fact, with the two best choices in the business...

why would you trust anyone else?

Agents Marketing Corporation Your Trusted Choice®

Westport

3 In business for 92 years3 In the E&O business for over 30 years3 Insures over 15,000 agencies3 Has over $150 million in premiums3 Endorsed by the Missouri association

for over 30 years3 Rated A+ by A.M. Best

Insurance CompanyUtica

3 In business for 92 years3 In the E&O business for 40 years3 Insures over 11,000 agencies3 Has over $70 million in premiums3 Endorsed by the Missouri association for over 40 years3 Rated A- by A.M. Best

National Insurance Group


Products and Services continued from page 21

Agency MarketingTrusted Choice (IIABA’s marketing brand)Information-On-Hold NetworkLogos (both IIABA and PIA National)MMAC (Member Marketing Activity Center)

Did you know? Two of the services available through the new Members Marketing Activity Center, LeadsNOW and DirectMailNOW, are specifically designed to help you contact potential clients without violating no-call laws.

Contact MAIA’s Lindsay Schmidt at 800-617-3658, [email protected], or visit www.missouriagent.org.

Agency Information and ResourcesMissouri Agent Magazinewww.missouriagent.org (MAIA’s website)Agents NewsLine (electronic newsletter)Membership Directory (online)Education BulletinFree Legal Consultation

“Maybe one of the most interesting [consultations] was a call about a customer’s fire damage and property damage. The asphalt parking lot was damaged by the weight of the fire truck, which the company denied. But if the fire truck hadn’t gone where it did, the building would have burned to the ground because it was the only place to fight the fire. So there was a question about whether the damage to the lot was a necessary action by the policyholder to mitigate the potential for the fire damage.” –Lewis Melahn, J.D.

Personal Assistance from MAIA StaffLegislative and Special Updates on Timely IssuesVirtual University (Ask an Expert)E&O Claims Prevention Consulting ProgramE&O Happens Loss Control Web SiteBig “I” Advantage Virtual Risk Consultant

Contact MAIA’s Lindsay Schmidt, [email protected], or Amy Hoffman, [email protected], at 800-617-3658, or visit www.missouriagent.org.

s! E&O HappenWhen that inevitable claim arises, we are your Trusted Choice® for professional liability protection.

AMC offers you a choice of the two most prestigious Errors and Omissions carriers in the country:

Agents Marketing Corporation is a subsidiary of Missouri Association of Insurance Agents

For a quote or for more information contact Theresa Flippin at [email protected] or 800/617-3658

In fact, with the two best choices in the business...

why would you trust anyone else?

Agents Marketing Corporation Your Trusted Choice®

Westport

3 In business for 92 years3 In the E&O business for over 30 years3 Insures over 15,000 agencies3 Has over $150 million in premiums3 Endorsed by the Missouri association

for over 30 years3 Rated A+ by A.M. Best

Insurance CompanyUtica

3 In business for 92 years3 In the E&O business for 40 years3 Insures over 11,000 agencies3 Has over $70 million in premiums3 Endorsed by the Missouri association for over 40 years3 Rated A- by A.M. Best

National Insurance Group


CommitteesBudget and FinanceThiscommitteereviewsandapproves,withtheexecutivevicepresident,anannualbudgetforpresentationtotheboardofdirectors.ThecommitteeworkswiththeEVPonallfinancialmattersandmonitorsthebudgetandfinancialpoliciesoftheassociation.

Chairman Doug Clift,BowersoxInsuranceAgencyCo.,St.Louis

BelindaBrenizer,HawkinsInsuranceGroup,Edina

Staff Liaison Larry Case, MAIA

EducationThiscommitteeprovidesprofessionaldevelopmentopportunitiesformemberstohelpthemgainknowledgeandskillstoprovidethehighestlevelofservicetotheinsuranceconsumer.Thecommitteealsomonitorscontinuingeducationrequirements;overseesprofessional-designationprogramsadoptedorendorsedbyMAIA;andrecommendstoothercommitteeseducationprogramstobeofferedattheLeadershipConferenceandotherevents.

Chairman Kathy Riley,CharlesL.CraneAgencyCo.,St.Louis

DavidArney,AkersandArneyInsuranceAssociates,Branson

ConnieButler,JRGreenInsuranceServices,Eureka

LorieDowning,BeimdiekInsuranceAgency,Carthage

BrianHarrison,HarrisonAgency,ColumbiaEdLustIII,YennieandJonesInsuranceAgency,

PleasantHillLaraMoffitt-Boner,HeartlandGroupInsurance

Agency,PoplarBluffDarlaVeltrop,Winter-DentandCo.,Jefferson

CityVickieWinkler,LakenanInsuranceAgency,Ste.

GenevieveStaff Liaison Emily Koenigsfeld, MAIA

Government RelationsThiscommitteedevelopslong-rangeandannuallistsoflegislativegoalsandmonitorsprogresstowardreachingthesegoals.ItplanstheannualDayattheCapitol,directstheLegislativeInsidersprogramandsupportsthenationallegislativeprogram.

Chairman Chris Rupp,JCRuppAgency,Liberty

GibAdkinsJr.,MillsandSons,Lebanon

TimConnell,ConnellInsurance,Branson

MikeKeith,MikeKeithInsurance,ClintonKyaneMarble,HawkinsInsuranceGroup,EdinaDickMinor,GDCInsuranceServices,HannibalChanceMorgan,BeimdiekInsuranceAgency,

CarthageRickNaught,Naught-NaughtInsuranceAgency,

JeffersonCityByronRobison,GreatSouthernAgency,

SpringfieldBrentSpeight,ScottAgency,MontgomeryCityJeannineStuart,MissouriGeneralInsurance

Agency,St.LouisLeeWilbers,WallstreetFinancialGroup,

JeffersonCityLobbyistGaryBurton,Burton-Lieseand

Associates,JeffersonCityLobbyistChrisLiese,Burton-LieseandAssociates,

JeffersonCityStaff Liaison Larry Case, MAIA

Industry RelationsThiscommitteedevelopsandmaintainsrelationshipswithinsurersoperatinginMissouri.Itworkswithinsurancecompanies,self-insuredtrusts,governmentpoolsandotherentitiestodevelopamutualunderstandingofmarketplacetrendsandneeds.Itmonitorsmarketchanges;workswithinsurerstoresolveconflictsandimproveprocesses;coordinatesactivitieswithnationalassociationsonissuesinvolvingcontracttermsandlanguageaffectingmembers;andrespondstorequestsordirectivesfromMAIA’sboardofdirectors.

Chairman Rick Naught,Naught-NaughtInsuranceAgency,JeffersonCity

SusanCliftCrump,BowersoxInsuranceAgencyCo.,St.Louis

RandallGammill,ConnellInsurance,Branson

SteveHarter,SelectRiskManagement,AvaLeeLottes,LakenanInsuranceAgency,Ste.

GenevieveRichardOllis,Ollis&Co.,SpringfieldJohnPatterson,JWTerrill,ChesterfieldRichardWerts,CharlesL.CraneAgencyCo.,St.

LouisStaff Liaison Larry Case, MAIA

Leadership ConferenceThiscommitteeprovidesaninformational,educationalandentertainingconferenceforallinsuranceprofessionalsinleadershippositions,includingagencyowners,principals,departmentmanagers,salesmanagersandcompanypersonnelwhoadviseMissouriagencymanagersinanycapacity.

Chairman Jim Baxendale,MissouriGeneralInsuranceAgency,St.Louis

ScottBrothers,TheInsurancenter,Joplin

MA

IA


[email protected] • 800.800.4007 www.midlandsmgt.com

MIDLANDS MANAGEMENT CORPORATION

Accepting Submissions from Agents & Brokers Nationwide

Target Classes Healthcare • Schools • Religious InstitutionsAgricultural • Hospitality • Manufacturing • Specialty ArtisansRetail/Wholesale • Transporting • Public Entity • UtilitiesFinancial Institutions • Auto Dealers • Contractors • Trucking

Limits up to StatutorySIR’s starting at $300,000Broad Coverage Form

A PMA Company

Aggregate Coverage availableRisk Control Services availableInstallment Schedule available

Nationwide Excess Workers’ Compensationfor Single Entities, Groups & Public Entities

Tom Croley Jr., Croley Insurance and Financial, Springfield

Ron Harrison, Whitney-Harrison Insurance, Kirksville

Kevin Link, America First Insurance, Town and Country

Ted Schroeder, Schroeder Insurance Agency, Union

Vickie Winkler, Lakenan Insurance Agency, Ste. Genevieve

Staff Liaison Jeanne Blomberg, MAIA

Membership Retention and SolicitationThis committee reviews membership dues and makes recommendations to the board of directors. It solicits new members from a continually updated prospect list and encourages member retention.

Chairman Bob Feuerbacher, Insurance Concepts of St. Louis, St. Louis

Devona Allen, Nimmo Insurance Agency, Buffalo

Randy Baker, TR Baker Insurance Agency, Kennett

Doug Clift, Bowersox Insurance Agency, St. Louis

Brad Grupe, Allied Insurance, SedaliaRon Harrison, Whitney-Harrison Insurance,

KirksvilleSteve Rackley, Rackley Insurance Agency,

GainesvilleTerry Roberts, Quality Star Insurance and

Financial Services, Blue SpringsWil Turner, Turner Insurance Associates, BeltonStaff Liaison Kelli Findley, MAIA

Nominations and AwardsThis committee seeks out and recommends to the board of directors qualified candidates for MAIA officers, directors and awards, allowing for additional nominees from the membership and the board.

Chairman Brent Speight, Scott Agency, Montgomery City

Staff Liaison Larry Case, MAIA

PAC FundraisingThis committee raises funds for the Missouri political action committee, MAPAC, and encourages contributions to InsurPac and PIAPAC to allow the association to maintain a presence in the Missouri political arena. It consults with the association’s lobbyists for proper dispersal of these funds.

Chairman Jo Ann Evans, Beimdiek Insurance Agency, Carthage

Dan Holt, Missouri Rural Service Corp., Sedalia

Steve McGregor, GDC Insurance Services, Hannibal

Ted Schroeder, Schroeder Insurance Agency, Union

Staff Liaison Larry Case, MAIAStaff Liaison Carol Dulle, MAIA

Planning CommitteeThis committee develops the association’s long-range plan (three to five years) and key goals for the coming year and presents recommendations to the board of directors.

Chairman Scott Brothers, The Insurancenter, Joplin

Staff member Larry Case, MAIAStaff Liaison Carol Dulle, MAIA

Public RelationsThis committee develops an effective internal and external public relations and communications program to enhance the image of independent agents. It evaluates existing public relations activities, including publications and media relations, and makes recommendations for improvement.

Chairman Byron Robision, Great Southern Agency, Springfield

Edd Akers, Akers and Arney Insurance Associates, Branson

Jeremy Crow, Crow-Walker-Engleman and Johnson Insurance, Trenton

David Hall, Insurance Specialties and Investment, West Plains


Committees continued from page 27


AlanHedrick,CountyWideInsuranceandRealEstate,Dexter

AlJannett,FirstStateInsuranceAgency,Farmington

MitchellMills,MillsandSons,ClintonJohnRussell,TheInsuranceGroup,ColumbiaPaulineWarnecke,AHMFinancialGroup,St.

LouisStaff Liaison Lindsay Schmidt, MAIA

Small AgencyThiscommitteeproducesanannualconferencedesignedforsmallagenciestoprovidecontinuingeducationandtoassistinprovidingmarkets.Theconferenceisdesignedtoaccommodatethesmallagencybykeepingthecostaffordableandrequiringaminimalamountoftimeoutoftheoffice.

Chairman Steve Rackley,RackleyInsuranceAgency,Gainesville

RickyBaker,RobertsonInsuranceServices,Chillicothe

LarryByars,Whitney-HarrisonInsurance,Kirksville

ShaneDavolt,GMPetersAgency,Liberty

PhilHilty,OzarkRegionalInsurance,TiptonTammyLippmann,CompManagementfrom

HealthLink,St.LouisRickPrather,FredVogelInsurance,Jefferson

CityCharlesRush,CookInsuranceAgency,ButlerStaff Liaison Jeanne Blomberg, MAIA

Technical CommitteeThiscommitteeprovidesinformationtoMAIAmembersandtheirinsuredsoninsurancepolicycoverages,terminologyandinterpretations.Itcommunicateswithindustryandregulatoryofficialsandrecommendschangesinregulations,endorsements,policyformsandotherdocumentstoclarifyintentorimprovechanges.

Chairman Jack Chapman,BowersoxInsuranceAgencyCo.,St.Louis

BobFeuerbacher,InsuranceConceptsofSt.Louis,St.Louis

GregRebman,O’ConnerInsuranceGroup,St.Louis

TimothyWahl,GallaherInsuranceGroup,Mexico

DavidWalker,HutchinsonandCo.,ChillicotheStaff Liaison Larry Case, MAIA

Technology CommitteeThiscommitteeworksasastateadvisorygroup,recommendingtechnologyandwork-flowreformsandresourcestothenationalAgentsCouncilforTechnology.Italsohelpseducate

membersontechnologyadvancementsfortheindustry.

Chairman Randy Baker,TRBakerInsuranceAgency,Kennett

TonyBecker,CustomInsuranceServices,CrystalCity

KevinKrueger,CapstoneInsurors,Bolivar

GregMeyer,MeyerInsuranceServices,St.Louis

PhilTilley,TilleyInsuranceAgency,MonettStaff Liaison Carol Dulle, MAIA

Trusted Choice Big “I” Junior ClassicThiscommitteecoordinatesastategolftournamenttosendtheallottednumberofplayerstotheIIABAnationalTrustedChoiceJuniorClassic.Themembershipincludeseveryonewhohelpsorganizethestatetournament.

Chairman Darin Banner,CapstoneInsurors,Bolivar

BillBehr,InsuranceSource,St.LouisMikeBoone,BestChoiceInsuranceAgency,St.

PetersJasonComfort,CountyWideInsuranceandReal

Estate,DexterMartyHensley,GMPetersAgency,LibertyTylerMorgan,TiltonThomasandMorgan,St.

JosephMattSpeight,ScottAgency,MontgomeryCityConsultantMollyHudgins,FutureCollegeGolf

Association,St.LouisStaff Liaison Carol Dulle, MAIA

Young Agents CommitteeThiscommitteepromoteslocal,stateandnationalactivitiesandattractsyoungpeopleintothebusinessandagencysystem.Itholdsanannualconference,hoststhespringluncheons,supportsassociationactivitiesandcreatesopportunitiesforleadershipwithinMAIA.

Chairman Ken Pines,CharlesL.CraneAgencyCo.,St.Louis

JakeBlack,RobbinsandBlackAgency,TrentonJasonComfort,CountyWideInsuranceandReal

Estate,DexterSummerCole,BeimdiekInsuranceAgency,

CarthageJasonForge,KruegerandJamesInsurance

Agency,NorthKansasCityTriciaJackson,ScottAgency,MexicoSteveNaught,Naught-NaughtInsurance

Agency,OsageBeachTinaReed,AlexanderMorfordandWoo,

SpringfieldJonStahly,WEWalker-Lakenan,CapeGirardeauStaff Liaison Jeanne Blomberg, MAIA

generalcasualty.com

General Casualty is a registered service mark of General Casualty Company of Wisconsin.QBE and the links logo are registered service marks of QBE Insurance Group Limited.All coverages underwritten by member companies of QBE. © 2009 QBE Holdings, Inc.

GLOBAL SOLUTIONSMEET LOCAL SUPPORT.

We’re General Casualty®.

We’re the regional insurer you already know, always there

to help independent agents with expert field support that

understands local needs. Now that support is stronger

than ever—because we’re stronger than ever. General

Casualty has joined QBE®, providing local hands with the

international reach needed to solve even your most

complex challenges.

We are now QBE Americas Division.

And we’re working for you.

generalcasualty.com

General Casualty is a registered service mark of General Casualty Company of Wisconsin.QBE and the links logo are registered service marks of QBE Insurance Group Limited.All coverages underwritten by member companies of QBE. © 2009 QBE Holdings, Inc.

GLOBAL SOLUTIONSMEET LOCAL SUPPORT.

We’re General Casualty®.

We’re the regional insurer you already know, always there

to help independent agents with expert field support that

understands local needs. Now that support is stronger

than ever—because we’re stronger than ever. General

Casualty has joined QBE®, providing local hands with the

international reach needed to solve even your most

complex challenges.

We are now QBE Americas Division.

And we’re working for you.

Kids in College and Parents’ Insurance — Personal PropertyFall is almost over, but it is never too late to review the ramifications of clients’ personal insurance as it relates to their children who are away at school. Agents should be aware of how a student away at school effects the homeowners, personal auto and health insurance policies and communicate to clients any changes needed.

This article deals with the personal property coverage under the homeowners policy. There are additional articles in the Virtual University dealing with the personal liability or personal auto policy, and you should consult with health insurance carriers for how their coverage extends to students and other relatives.

The homeowners policy covers personal property “owned or used by an insured while it is anywhere in the world.” There is also policy language that says, “Our limit of liability for personal property usually located at an insured’s residence, other than the residence premises is 10 percent of the limit of liability for Coverage C, or $1,000, whichever is greater.”

The term insured includes resident relatives. You will also find under the definition of insured location that coverage is included for “any part of a premises: (1) not owned by an insured; and (2) where an insured is temporarily residing.” So taken together, an insured, which would include a child who normally lives at your home, has coverage for your and their belongings while those items are temporarily at college where the student is living.

NOTE: In the HO-2000 edition, there has been some language added to the definition of insured as follows: “Insured means: A student enrolled in school full time, as defined by the school, who was a resident of your household before moving out to attend school, provided the student is under the age of (1) 24 and your relative; or (2) 21 and in your care or the care of … resident relatives.”

There is an endorsement, HO 05 27 10 00 Additional Insured-Student Living Away From the Residence Premises, for the HO-2000 program that clarifies that the student is

considered an insured. It does not make any reference to the student being in school full time. This endorsement does require that you list the student’s name and the address at school, plus the name of the school that they are attending. Every time a student moves, you must endorse the endorsement to reflect the new address.

The HO-2000 has added language in the definition of insured, but there are questions as to whether this is a limitation or clarification of coverage. According to David Thompson in his article “The Homeowners Policy and College Students” found in the Virtual University, “There is still coverage under the policy – with or without the endorsement – even if the kid is part-time and/or 24 years or older.” But he recommends that you poll the insurance company to see what their take is.

There are also numerous publications, articles and court cases dealing with both the topic of students and the topic of who is a resident. If an insured’s kid has a driver’s license showing the insured resident premises as his address, if they are a registered voter at that address, if they file taxes showing that address as their legal residence, regardless of age, it would be questionable whether or not an insurance company could deny that the student is a resident, and as a resident relative they are included within the definition of insured regardless or age or if they are a part time student.

Courts have ruled that “absent of any manifest intent not to return, the subject is a resident of the parent’s household.” Mike Edwards, in another article in Virtual University, states, “The issue of residency has been widely litigated. Many courts distinguish between ‘residence’ and ‘domicile.’ A person can have several residences, but only one domicile (Black’s Law Dictionary). One interesting opinion was made in a case in which the court said that the word ‘resident’ was ‘flexible, elastic, slippery, somewhat ambiguous, obscure, and nebulous in meaning, has many definitions

Jack Chapman Technical Committee Chairman


technicalities



Drive your business with our transportation products.

Our Transportation Products are a great way to get your business moving, offering a full range of coverages including Auto Liability, Physical Damage, Cargo, and Excess Auto.

ASK ABOUT OUR IN-HOUSE FINANCING!

Drive your business with our transportation products.

Our Transportation Products are a great way to get your business moving, offering a full range of coverages including Auto Liability, Physical Damage, Cargo, and Excess Auto.

ASK ABOUT OUR IN-HOUSE FINANCING!

PARTNERSPART NERSMissouri Association of Insurance Agents

PROGRAM2010TheMAIAPartnerProgramisaone-stopshopforallofthebenefitsavailabletoyouthroughMAIA.Theeventregistrations,sponsorshipsandadvertisementsincludedwitheachlevelofPartnershippresentasavingsofatleast50percent,andyourassociatemembershipisalwaysincluded.AsaPartner,youwillalsoreceiveperksthatarenotavailabletoothercompaniesatanycost,andweguaranteenottosolicitmoneyfromyouagainthisyear.

TofindoutmoreaboutpartneringwithMAIA,contactLindsaySchmidtorLarryCaseat573-893-4301(or800-617-3658inMo.)orvisittheMAIAwebsiteatwww.missouriagent.org.Please send your commitment by Dec. 1, 2009; payment is not due until Jan. 30, 2010.

Partnership BenefitsAssociate membership

Sponsorships and special recognition at conferences

and on MAIA materials

Complimentary exhibit booth at select conferences

Complimentary event registrations

One free and discounted additional advertisements

in Missouri Agent

Discounted use of meeting space at the NEW MAIA

headquarters

When the Partners Program was announced in 1999, I immediately recognized the benefits … The program has worked as well as I could have hoped and has greatly benefited Missouri Rural Services Corp.

Alan Clark, president, Missouri Rural Services Corp., a Platinum Partner

We recognized from the start of the MAIA Partner Program that this was one vehicle we could use to express our commitment to the independent agency system and the partnership we value so much.

Roger Birdsong, senior vice president, Columbia Insurance Group, a Gold Partner

PARTNERSP ARTNERSMissouri Association of Insurance Agents

PROGRAM


andisdifficultofexactorsatisfactoryinterpretation.’(Vinetv.Hano,281So2d183LaApp4thCir.,1973).”

Reinforcingthecoverageextensionforstudentsawayatschool,the1991editionoftheTheft Perilsays,“Propertyofastudentwhoisaninsurediscoveredwhileataresidenceawayfromthehomeifthestudenthasbeenthereatanytimeduringthe45daysimmediatelybeforetheloss.”

TheHO-2000extendsthisto60days.Witheitherlimitation,itisimportanttonotethatifstudentsleavebelongingsatschooloverthesummerorextendedbreaks,thatunlesstheyvisitevery45or60days,theywilllooseanytheftcoverage.

Therearetwoadditionalissuesconcerningtheextensionofcoveragetokidsawayfromhomethatwewilladdress.Thefirstissueisthatthehomeownerspolicyonlyprovidesfor10percentofCoverageCforpersonalpropertyusuallylocatedataninsured’sresidence,otherthantheresidencepremises.Thisissue,ifaconcern,canbeaddressedusingtheendorsement,HO04501000PersonalPropertyatOtherResidence.Withthisendorsement,youcanincreasethelimitofliabilityatotherresidencessuchasinthecaseofakidatschool.

Thesecondissuetoconsiderissomeofthepropertythatstudentstaketoschoolwiththem,particularlycomputersandrelatedequipment.Whilecomputersandotherexpensiveelectronicitemsarecoveredunderthestandardhomeowners,coverageConlyprovidesnamedperilscoverage.Thefourmostlikelycausesofdamageorlosstocomputers,particularlylaptops,aretheft,breakagebydropping,liquidsaccidentallyspilledontothemandpowersurge.Threeofthesewouldonlybeprovidedbysomesortof“all-perils”coverage.

Thereisanendorsement,HO04141000SpecialComputerCoverage,thatcanbeusedtoprovidetheall-perilsor“special”coverageon“computerequipment,”whichincludescomputerhardware,software,operatingsystemsornetworks,andotherelectronicparts,equipmentorsystemssolelydesignedforusewithorconnectedtothecomputersystemsuchasscanners,printers,speakers,etc.

technicalities continued from page 31

AnumberofagentshavebegunrecommendinganHO-4forkidsatschool,inpartduetotheHO-2000programandthethefttimelimitation.Thisisadecisionthatyoumaywanttodiscusswithyourinsureds.

Assituationschange,insuredsdonotthinkofthepotentialinsuranceramifications.Treatastudentgoingofftoschoolasanopportunitytomakeapositivecontactandforyoutoshowyourprofessionalexpertise.

CISR — William T. Hold Seminar Filed for 8 CE credits in Missouri Tuition: $158 ($140 Early Bird Discount*)CIC — James K. Ruble Graduate Seminar Approved for 16 CE credits in MissouriTuition: $395 (There is no Early Bird Discount for this course.)

Professional DevelopmentEducation

Title Description/Date/Location

*Early Bird Discount price applies to registrations received at least two weeks prior to class date.

CISR — Commercial Property Filed for 8 property-casualty CE credits in MissouriTuition: $181 ($163 Early Bird Discount*)

CIC — Commercial Casualty Approved for 16 property-casualty CE credits in Missouri Tuition: $413

The Commercial Casualty Institute provides an in-depth study of the commercial general liability and business auto policy forms. Students will also review commercial umbrella and excess liability, along with the issues of concurrence and self-insured retention. They will develop a better understanding of workers’ compensation and its available endorsements.

Dates and Location: Nov. 11-14, Clarion Hotel, Springfield

In this course, students examine the commercial coverage and cause of loss forms as well as optional coverages and endorsements; discuss business income coverage; learn to qualify a risk with specific questions and checklists; and get up-to-date infor-mation on commercial property coverages to improve their cross-selling skills.

Dates and Locations: Feb. 9, Ameristar Casino, St. Charles Feb. 10, MAIA headquarters, Jefferson City Feb. 16, Hilton Garden Inn, Independence Feb. 18, DoubleTree Hotel, Springfield

CISR — Dynamics of ServiceApproved for 8 general CE credits in MissouriTuition: $181

This course is designed for anyone who values clients and customers. It is open to all agency personnel regardless of affiliation or professional designation. Come learn the aspects of quality customer service in the insurance environment.

Date and Location: Nov. 10, Clarion Hotel, Springfield

CIC — Commercial Property Filed for 16 property-casualty CE credits in Missouri Tuition: $413 ($396 Early Bird Discount*)

Participants in the Commercial Property Institute will learn the essential elements of the commercial property policy; learn the importance of time element covereages, as well as the recommended endorsements; and get familiar with various inland marine forms, including builder’s risk, contractor’s equipment coverages and transporation coverages.

Dates and Locations: Dec. 16-19, Ameristar Casino, St. Charles Jan. 27-30, DoubleTree Hotel, Springfield

Contracts are signed (but rarely read) everyday. Find out how various coverages deal with contractors, and study the related problems of additonal insureds and certificates of insurance. The Risk Specialist Series focuses on specific markets to help you meet your clients’ specialized needs.

Dates and Location: Jan. 20-21, MAIA headquarters, Jefferson City

Risk Specialist Series — Insuring Contractors CE credit information pendingTuition: $250 ($199 Early Bird Discount*)


CISR — William T. Hold Seminar Filed for 8 CE credits in Missouri Tuition: $158 ($140 Early Bird Discount*)CIC — James K. Ruble Graduate Seminar Approved for 16 CE credits in MissouriTuition: $395 (There is no Early Bird Discount for this course.)

Professional DevelopmentEducation

Title Description/Date/Location

*Early Bird Discount price applies to registrations received at least two weeks prior to class date.

CISR — Commercial Property Filed for 8 property-casualty CE credits in MissouriTuition: $181 ($163 Early Bird Discount*)

CIC — Commercial Casualty Approved for 16 property-casualty CE credits in Missouri Tuition: $413

The Commercial Casualty Institute provides an in-depth study of the commercial general liability and business auto policy forms. Students will also review commercial umbrella and excess liability, along with the issues of concurrence and self-insured retention. They will develop a better understanding of workers’ compensation and its available endorsements.

Dates and Location: Nov. 11-14, Clarion Hotel, Springfield

In this course, students examine the commercial coverage and cause of loss forms as well as optional coverages and endorsements; discuss business income coverage; learn to qualify a risk with specific questions and checklists; and get up-to-date infor-mation on commercial property coverages to improve their cross-selling skills.

Dates and Locations: Feb. 9, Ameristar Casino, St. Charles Feb. 10, MAIA headquarters, Jefferson City Feb. 16, Hilton Garden Inn, Independence Feb. 18, DoubleTree Hotel, Springfield

CISR — Dynamics of ServiceApproved for 8 general CE credits in MissouriTuition: $181

This course is designed for anyone who values clients and customers. It is open to all agency personnel regardless of affiliation or professional designation. Come learn the aspects of quality customer service in the insurance environment.

Date and Location: Nov. 10, Clarion Hotel, Springfield

CIC — Commercial Property Filed for 16 property-casualty CE credits in Missouri Tuition: $413 ($396 Early Bird Discount*)

Participants in the Commercial Property Institute will learn the essential elements of the commercial property policy; learn the importance of time element covereages, as well as the recommended endorsements; and get familiar with various inland marine forms, including builder’s risk, contractor’s equipment coverages and transporation coverages.

Dates and Locations: Dec. 16-19, Ameristar Casino, St. Charles Jan. 27-30, DoubleTree Hotel, Springfield

Contracts are signed (but rarely read) everyday. Find out how various coverages deal with contractors, and study the related problems of additonal insureds and certificates of insurance. The Risk Specialist Series focuses on specific markets to help you meet your clients’ specialized needs.

Dates and Location: Jan. 20-21, MAIA headquarters, Jefferson City

Risk Specialist Series — Insuring Contractors CE credit information pendingTuition: $250 ($199 Early Bird Discount*)

Enforcement Actions• RachelA.Boessen-Corleone,Raytown,motion

forservicebypublicationfiled.

• DarenBarnes,Springfield,complaintandrequesttofindcausetodisciplinefiled.

• ToddBaxter,St.Charles,voluntaryforfeitureof$260fordepartmentallegationsofinsurancelawviolations.

• DavidBrewer,PrairieDuRocher,Ill.,insuranceproducerlicenserenewalrefused.

• OmerBowman,OverlandPark,Kan.,complaintandrequesttofindcausetodisciplinefiled.

• DannyBrown,Buffalo,voluntaryforfeitureof$500fordepartmentallegationsofbailbondlawviolations.

• ChristopherCohen,Malden,voluntaryforfeitureof$1,000fordepartmentallegationsofinsurancelawviolations.

• DavidS.Coleman,Rolla,complaintandrequesttofindcausetodisciplinefiled.

• PamelaA.Culli,St.Louis,voluntarysurrenderofinsuranceproducerlicense.

• RobertB.Davidson,Mokane,insuranceproducerlicenseapplicationrefused.

• AdrianFreeman,Lee’sSummit,voluntarysurrenderofproducerlicense.

• PatrickGallagher,Troy,Mich.,voluntaryforfeitureof$250fordepartmentallegationsoffailingtoreportanadministrativeactionfromanotherjurisdictionwithin30daysofthefinaldispositionofthematter.

• DorothyHaldiman,Fortuna,voluntaryforfeitureof$250fordepartmentallegationsofbailbondlawviolations.

• AndrewHanna,Atlanta,Ga.,voluntaryforfeitureof$250fordepartmentallegationsofinsurancelawviolations.

• KennethHeise,St.Louis,voluntaryforfeitureof$4,000fordepartmentallegationsofinsurancelawviolations.

• JosephLaTour,Ava,voluntaryforfeitureof$2,000fordepartmentallegationsofinsurancelawviolations.

• AllenH.Lenzini,St.Louis,insuranceproducerlicenseapplicationrefused.

• KevinW.Louderback,Springfield,insuranceproducerlicenserevoked.

• RodneyW.McCarronSr.,Farmington,insuranceproducerlicenserevokedandorderissuedtodisassociatewithRockinRod.

• FrankS.Norphy,Independence,motionforcontinuancefiled.

• TimothyL.Norrell,Ozark,insuranceproducerlicenseapplicationrefused.

• JamesPayne,Springfield,voluntaryforfeitureof$150fordepartmentallegationsofinsurancelawviolations.

• MelodyS.Reavy,O’Fallon,voluntarysurrenderofproducerlicense.

• CraigA.Reynolds,St.Joseph,consentorderfiledandinsuranceproducerlicenserevoked.

• DouglasL.Roach,Lee’sSummit,complaintandrequesttofindcausetodisciplinefiled.

• BettyRobinson,Sikeston,voluntaryforfeitureof$100fordepartmentallegationsofbailbondlawviolations.

• ScottE.H.Smith,Addison,Texas,voluntaryforfeitureof$7,000fordepartmentallegationsofinsurancelawviolations.

• JamesSterns,Lee’sSummit,voluntaryforfeitureof$250fordepartmentallegationsofinsurancelawviolations.

• JonD.Tanner,Colleyville,Texas,voluntaryforfeitureof$2,250fordepartmentallegationsoffailingtoreportanadministrativeactionwithin30daysoffinaldispositionofthematter.

• AprilD.(Martin)Wielms,Elsberry,voluntaryforfeitureof$500fordepartmentallegationsofinsurancelawviolations.

• KathrynB.Wolcott,Olathe,Kan.,complaintandrequesttofindcausetodisciplinefiled.

• 1stNationalTitle,OwingsMills,Md.,voluntaryforfeitureof$500fordepartmentallegationsoffailingtoreportanadministrativeactionfromanotherjurisdictionwithin30daysofthefinaldispositionofthematter.

• ChoiceEscrow&LandTitle,Springfield,voluntaryforfeitureof$150fordepartmentallegationsofinsurancelawviolations.

• LorenStuckmeyerAgencyandLorenStuckmeyer,HighRidge,voluntaryforfeitureof$200fordepartmentallegationsofinsurancelawviolations.

• PremierFinancialServices,Springfield,businessentityinsuranceproducerlicenserevoked.

• RockinRod,Farmington,consentorderissuedtodesignateaninsuranceproducertoberesponsibleforthecompany’scompliancewithinsurancelaws.

Market Conduct Exams• ConsecoMedicalInsuranceCo.,Carmel,Ind.,

stipulationofsettlementfiledandthevoluntaryforfeitureof$75,018.25.

• HumanaHealthPlan,GreenBay,Wis.,stipulationofsettlementfiledandvoluntaryforfeitureof$3,625.


regulatoryactions

We Aspire to AchieveMutually

Unparalleled customer service • 24/7 accessibility • Web-based quoting and account status • Flexible payment options

Mark reinVice President, sAles

cell: 847-331-6705 • email: [email protected]

www.bankdirectcapital.com

Through flexible terms and competitive pricing, BankDirect has helped a number of agents accomplish what they needed to

succeed. We ASPIRE to do that for you as well.

relationshipsProsperous

“ I have worked with a number of premium finance companies over the years and none of them have been as creative and committed to the relationship

with the agency as BankDirect – AGENCY PRINCIPAL ”

full_page_ad_Rein.indd 2 3/19/2009 9:49:05 PM


• UnitedHealthcareInsuranceCo.,MarylandHeights,stipulationofsettlementfiledandvoluntaryforfeitureof$361,706.25.

• UnitedHealthcareoftheMidwest,MarylandHeights,stipulationofsettlementfiledandvoluntaryforfeitureof$174,663.08.

Company Changes• AbilityInsuranceCo.,Omaha,Neb.,effective

Aug.27,2009,changeditsnamefromMedicoLifeInsuranceCo.

• AdministrativeSystems,Seattle,Wash.,effectiveJuly17,2009,withdrewitscertificateofauthorityasathirdpartyadministrator.

• AdvantageProductPipeline,Tampa,Fla.,effectiveJuly22,2009,wasregisteredasamotorvehicleservicecontractprovider.

• AlliedEyecaredbaAdvanticaEyecare,Clearwater,Fla.,effectiveAug.20,2009,wasadmittedasathirdpartyadministrator.

• AmericanAssociationofRealEstateOwnersRPG,LongBeach,N.Y.,effectiveAug.19,2009,wasregisteredasapurchasinggroup.

• AmericanBenefitLifeInsuranceCo.,Dallas,effectiveJuly1,2009,changeditsnamefromMid-ContinentPreferredLife.

• AmericanInternationalInsuranceCompanyofDelaware,Wilmington,Del.,effectiveAug.28,2009,withdrewitscertificateofauthorityasathirdpartyadministrator.

• AmericanNetworkInsuranceCo.,Allentown,Pa.,effectiveJune23,2009,thecompany’scertificateofauthoritywassuspended.

• AmericanPetInsuranceCo.,MountlakeTerrace,Wash.,effectiveJuly14,2009,wasadmittedwithpropertyauthority.

• AmericanSterlingInsuranceServices,OverlandPark,Kan.,effectiveAug.7,2009,withdrewitscertificateofauthorityasathirdpartyadministrator.

• AmTrustInsuranceCompanyofKansas,Dallas,effectiveAug.6,2009,changeditsnamefromTrinityUniversalInsuranceCompanyofKansas.

• AnthemHealthPlansofKentucky,Louisville,Ky.,effectiveJuly1,2009,wasadmittedasathirdpartyadministrator.

• BenefitCooridinatorsCorp.dbaBCCAdministrators,Pittsburgh,Pa.,effectiveSept.3,2009,wasadmittedasathirdpartyadministrator.

• BoeufandBergerMutualInsuranceCo.,NewHaven,effectiveJuly20,2009,addedExtendedMissouriMutualotherauthority.

• B-RCorporationofNorthCarolina,NewYork,effectiveAug.27,2009,withdrewasathirdpartyadministrator.

• CaliforniaInsuranceCo.,SanFrancisco,effectiveAug.18,2009,wasadmittedwithliabilityauthority,workers’compensationonly.

• CareImprovementPlusSouthCentralInsuranceCo.,Baltimore,Md.,effectiveJuly2,2009,wasadmittedwithaccidentandhealthauthorities.

• ChartisClaims,NewYork,effectiveAug.19,2009,changeditsnamefromAIGDomesticClaims.

• CornhuskerCasualtyCo.,Omaha,Neb.,effectiveAug.10,2009,wasadmittedwithproperty,liability,fidelityandsurety,andmiscellaneousauthorities.

• CrescentSportsRecreationalInsuranceRPG,Lilburn,Ga.,effectiveAug.19,2009,wasregisteredasapurchasinggroup.

• ExpressScripts,St.Louis,effectiveAug.13,2009,wasadmittedasathirdpartyadministrator.

• FirstNonprofitInsuranceCo.,Chicago,effectiveJuly31,2009,wasadmittedwithpropertyandliabilityauthorities.

• FreistattMutualInsuranceCo.,effectiveJuly1,2009,MidwesternMutualCasualtyInsuranceCo.mergedwithandintotheaforementioned.

• Grasil,LakeBuenaVista,Fla.,effectiveAug.6,2009,wasadmittedasathirdpartyadministrator.

• GuilfordInsuranceCo.,Burlington,N.C.,effectiveAug.28,2009,wasapprovedasasurpluslinesinsurancecompany.

• HDI-GerlingAmericaInsuranceCo.,effectiveJune23,2009,GerlingAmericaInsuranceCo.mergedwithandintotheaforementioned.

• ICIMutualInsuranceCompanyaRiskRetentionGroup,effectiveJune1,2009,wasadmittedasariskretentiongroup.

• InternationalMedicalAdministrators,Lincoln,Neb.,effectiveAug.17,2009,changeditsnamefromPathmarkAdministrators.

• Klais&Co.,Akron,Ohio,effectiveAug.6,2009,wasadmittedasathirdpartyadministrator.

• LifecareAssuranceCo.,WoodlandHills,Calif.,effectiveAug.13,2009,wasadmittedwithlife,annuitiesandendowmentauthorities.

• MerchantsNationalInsuranceCo.,Bedford,Ohio,effectiveAug.6,2009,wasapprovedasasurpluslinescompany.

• MetropolitanCommercialRealEstateAssociation,LongBeach,N.Y.,effectiveSept.19,2009,wasregisteredasapurchasinggroup.

• MidwestPublicRiskofMissouri,effectiveJuly1,2009,changeditsnamefromMARCIT.

regulatoryactions continued from page 35


38 missouriagent november/december2009

SUPPORT YOUR MISSOURI WHOLESALERSFor all hard-to-place, Excess and Surplus Lines and specialty accounts.

Call the people that support your organization.

P. O. Box 67 • Jefferson City, MO 65102-0067(573) 635-0736

3D Star Insurance Services 314-436-3318 Fax 314-436-4309 www.3dstarinsurance.comAlexander Morford and Woo, Inc. 417-459-4170 866-285-4217 Fax 866-826-4439 www.amwcorp.comAmerican Surplus Lines Agency, Inc. 913-888-8400 877-642-2752 Fax 866-936-0400 www.ASLAINC.netBohrer, Croxdale & McAdoo 417-869-2550 800-779-2550 Fax 417-869-5102 www.bcmins.comBurns & Wilcox - St. Louis 314-819-0400 800-331-4128 Fax 314-819-0440 www.burns-wilcox.comChris-Leef General Agency, Inc. 913-631-1232 800-548-0491 Fax 913-631-1128 www.chris-leef.comContinental American Agency, Inc. 314-241-7969 866-764-8451 Fax 314-241-1474 www.caains.comDavidson-Babcock, Inc. 913-469-1188 800-203-3223 Fax 913-469-1177 www.davidson-babcock.comGateway Underwriters Agency, Inc. 314-238-0070 800-325-7652 Fax 314-238-0065 www.gua-stl.comGraham-Rogers, Inc. 918-336-2800 800-456-8123 Fax 918-336-7196 www.graham-rogers.comGresham & Associates 417-823-3924 866-251-9646 Fax 417-823-3979 www.gresham-inc.comJ.M. Wilson 816-561-6700 800-507-8656 Fax 816-561-3331 www.jmwilson.comMed James, Inc. - Kansas City 913-663-5500 800-255-6503 Fax 888-216-2014 www.medjames.comMed James, Inc. - Springfield 417-886-3535 800-771-8779 Fax 417-886-2295 www.medjames.comMed James, Inc. - St. Louis 636-524-0080 866-363-1564 Fax 636-524-0088 www.medjames.comMidwestern General 816-246-1200 Fax 816-246-1290 www.mgakcmo.comM.J. Kelly Company 417-883-2688 800-725-7211 Fax 800-678-7211 www.mjkelly.comM.J. Kelly of St. Louis LLC 314-416-4343 877-416-4343 Fax 314-416-4344 www.mjkstlouis.comS.A. Freerks & Associates 314-436-2682 800-342-2601 Fax 314-436-1532 www.safains.comSwett & Crawford 314-821-2699 Fax 314-822-2135 www.swett.comWestrope 816-842-8222 Fax 816-842-3081 www.westrope.com

Association of Missouri

P

26679-Surplus Lines:Layout 1 6/2/09 10:09 AM Page 1

CroleyInsuranceAgencyRecognizedCroley Insurance and Financial, Springfield, was named a 2009 premier partner by Anthem Blue Cross and Blue Shield.

MAIAMembersToptheListofP-CAgenciesTwo Missouri agencies appeared on a list of the “Top 100 Property-Casualty Independent Agencies” compiled by Insurance Journal. LocktonCos., Kansas City, ranked number 1, based on total p-c premium written in 2008. TheDanielandHenryCo., St. Louis, ranked number 76.

KCAgencyBestPlacetoWorkThomasMcGee, Kansas City, was recently recognized by the Kansas City Business Journal as one of the Kansas City area’s best places to work in the medium company category. Work places were chosen for the awards based on the results of employee surveys.

AgentsNamedCommunityChampsTomandSharonNaught, of Naught-Naught Insurance Agency, Jefferson City, were named

Community Champions by Symetra Financial. The award recognizes and celebrates individuals across the country who work to make a difference in their communities.

NewFaces,NewPlacesJasonConaway has joined J.W. Terrill, St. Louis, as a sales executive in the commercial lines division.ScottCurtis has joined Lockton Cos., St. Louis, as an account executive.TerriEmmons has joined Ollis & Co, Sprin field, as marketing-communications coordinator.TriciaKarabas has joined Huntleigh McGehee, St. Louis, as a vice president.MatthewMarchal has joined Welsch, Flatness and Lutz, St. Louis, as a vice president.BradMills joined Ollis & Co., Springfield, as an employee benefit specialist.BrookeRunnion has joined Lockton Cos., Kansas City, as a producer in the benefits consulting practice.JasonSchnuck has joined Huntleigh McGehee, St. Louis, as a vice president.ToddImberTaylor has joined The Daniel and Henry Co., St. Louis, as an insurance broker.WhitneyWilson has joined Lockton Cos., Kansas City, as a health and welfare producer.

agencynews

Emmons

Mills

g


Patriot Risk Management, Inc. is an

insurance holding company offering workers’

compensation insurance and insurance

services solutions. Our subsidiaries – Patriot

Risk Services, Patriot Underwriters and

Guarantee Insurance Company – are

recognized as innovative leaders in the

industry. Collectively, our dedicated team of

over 165 talented associates in five states

provide sophisticated and in-depth experience

to every one of our clients.

For more information visit us online at www.prmigroup.com or call John W. Travis at 636.237.2050

Creating Workers’Compensation solutions

United Fire Nationally RecognizedUnitedFireGrouphasbeenrecognizedrecentlybyseveralthird-partyorganizationsforitsfinancialstrengthandstability.ThecarrierisratedAbyA.M.BestCo.andwasgiveSuperRegionalstatusbytheInsurance Journalforthethirdconsecutiveyear.UnitedFirewasalsonameda“Ward’s50”companyforthe17thconsecutiveyear,indicatingthatithaspassedallsafetyandconsistencyscreensandachievedsuperiorperformance.

ForbesincludedUnitedFireonitslistof“100MostTrustworthyCompanies,”andDeepCustomerConnectionsgavethecompanytop-10statusasan“EaseofDoingBusinessPerformer.”ThisisthesecondyearthatUnitedFirehasmadetheTop10.

ACUITY Garners Tech, EOB HonorsForthe10thconsecutiveyear,ACUITYhasbeenrecognizedbyAppliedSystemswithnationalease-of-businessawards.Thisyear,AppliedhasawardedACUITYitsInterfacePartnershipAward,whichrecognizesthecompany’scommitmentandleadershipindeliveringinnovativeinterfacesolutions.ACUITYwasalsonamedtoInformationWeekmagazine’sInformationWeek 500,alistofcompaniesthatarethemostinnovativeusersofinformationtechnologyintheUnitedStates.

ACUITYalsorecentlyearnedthenumber3spotnationallyamongpropertyandcasualtycarriersinDeepCustomerConnection’sseventhannualease-of-doing-businesssurvey.Forthe2009survey,morethan8,600independentagentsandbrokersassessedtheperformanceofover250propertyandcasualtycarriers.

Partners Rank in Top 100 P&C Groups in Mo.SeveralPartnersareamongthetop-rankinggroupsfortheir2008Missourimarketshare,asreportedbySt. Louis Business Journal.Auto-Owners,Berkshire-Hathaway,MissouriEmployersMutualInsuranceCo.,Progressive,TravelersandZurichallrankedinthetop25p-cgroupsinthestate.

Diamond Partner No. 1 in Mo. Work CompMissouriEmployersMutualInsuranceCo.,Columbia,ranksatthetopofthelistof“LargestWorkers’CompensationInsuranceGroups”inMissouri,ascompiledbySt. Louis Business Journal.With14.48percentoftheMissouri

marketsharein2008,MEMwrote$129,016,868inpremium,nearly$24millionmorethanitsclosestcompetitor.

OthergroupsthatencompassMAIApartnersandthatrankedinthetop25w-cwritersinthestate,listedalphabetically,are:AcuityMutualGroup;AmerisureCo.;Auto-OwnersInsuranceGroup;FirstCompInsuranceGroup;SecuraInsuranceGroup;TravelersGroup;andZurichNorthAmerica

United Fire’s Leach Resigns from BoardUnitedFire&CasualtyCo.announcedrecentlythatJimLeachresignedfromthecompany’sboardofdirectorstoserveaschairmanoftheNationalEndowmentfortheHumanities.LeachjoinedtheUnitedFireboardin2007.TheboardiscurrentlyexploringcandidatestoreplaceLeach.

New Faces, New PlacesMarcus Cooper hasbeennamedseniorvicepresidentfornationalsalesandstrategicrelationshipswithZurichNorthAmerica.Bill Strout hasjoinedWestrope’shomeofficeinKansasCityasvicepresidentofitsworkers’compensationunit.Jim ZiolkowskihasjoinedFireman’sFundInsuranceCo.asregionalfieldsalesmanagerintheO’Fallonoffice.

partnernews

PERSONALUMBRELLAPOLICY

®

Could your customers use anUNSUPPORTED PERSONAL UMBRELLA POLICY?

The RLI Personal Umbrella Policy is available through selected agents and program administrators in all 50 states.

For full details on how to access the RLI Personal Umbrella Policy, contact:

PUP-MK508 (03/08)

FLExIBLE. Choose from $1 million to $5 million coverage limits.

AvAILABLE. Take advantage of an RLI PUP and still get auto or home coverage from any carrier.

COMPETITIvE. Low premiums for increased limits of liability.

SECURE. Written on admitted paper in all 50 states.

FRIENDLY. Broad underwriting means most people easily qualify for the program.

EASY. The simple, self-underwriting application lets you know immediately if the customer is accepted.

AUTOMATED. Renewals are direct billed.

It’s easy to provide your customers with RLI personal umbrella insurance.

A SMART SOURCE OF PROTECTION FOR YOUR CUSTOMERS

“PUP” stands for Personal Umbrella Policy, which provides an extra layer of very affordable liability PROTECTION for your personal assets and future earnings.

ACCIDENTS HAPPEN. That’s why people have homeowners and auto insurance. However, if your customers aren’t protected by a personal umbrella policy, they could be putting their house or financial assets at risk.

An RLI PUP is a low-cost policy that substantially increases overall liability coverage beyond the basic protection provided under homeowners and auto insurance policies.

RLI, rated A+ by A.M. Best, offers their personal umbrella coverage so your customers can protect their hard-earned assets. Getting a quote is easy and coverage is very affordable.

What’s a PUP?

Monica MizeMissouri Association of Insurance Agents

PO Box 1806Jefferson City, MO 65102

[email protected]

www.missouriagent.org


• MissouriPublicEntityBenefits,JeffersonCity,effectiveSept.3,2009,wasadmittedasathirdpartyadministrator.

• MunicipalandInfrastructureAssuranceCorp.,effectiveJuly24,3009,wasadmittedwithfidelityandsuretyauthorities.

• NorthAmericanRiskService,effectiveJuly1,2009,wasadmittedasathirdpartyadministrator.

• PCIInsurance,Harrisburg,Pa.,effectiveJuly22,2009,withdrewasathirdpartyadministrator.

• PermanentGeneralAssuranceCorporationofOhio,Nashville,Tenn.,effectiveSept.3,2009,wasadmittedwithproperty,liabilityandmiscellaneousauthorities.

• ScionDental,effectiveJuly1,2009,wasadmittedasathirdpartyadministrator.

• SecuritasFinancialLifeInsuranceCo.,Greensboro,N.C.,effectiveAug.6,2009,changeditsnamefromJeffersonStandardLifeInsuranceCo.

• ShelterReinsuranceCo.,effectiveJuly17,2009,addedliabilityauthority.

• ShenandoahLifeInsuranceCo.,effectiveJune23,2009,thecompany’scertificateofauthoritywassuspended.

• StarrGlobalAccidentandHealthInsuranceAgency,Greenwich,Conn.,effectiveAug.12,2009,wasadmittedasathirdpartyadministrator.

• SunAmericanAnnuityandLifeInsuranceCo.,effectiveJuly20,2009,changeditsnamefromAIGSunAmericaLifeAssuranceCo.

• TorusSpecialityInsuranceCo.,effectiveJuly27,2009,changeditsnamefromPraetorianSpecialtyInsuranceCo.

• TheTrizettoGroup,NewportBeach,Calif.,effectiveAug.12,2009,wasadmittedasathirdpartyadministrator.

• UnitedStatesLetterCarriersMutualBenefitAssociation,effectiveJuly20,2009,withdrewitscertificateofauthority.

• ValiantSpecialtyInsuranceCo.,NewYork,effectiveAug.13,2009,wasapprovedasasurpluslinesinsurancecompany.

• WarrantechHomeServiceCo.,Bedford,Texas,effectiveJuly1,2009,wasregisteredasaservicecontractprovider.

• WesternInsuranceCo.,Reno,Nev.,effectiveAug.11,2009,addedliabilityauthority.

regulatoryactions continued from page 37

fromthepresident continued from page 5

Sourcesonthewebareusefulaswell.IIABA’sACTsitehasawealthofinformation,includingarticlesandlinks.Someotherhelpfulwebsitesincludewebsitegrader.com,whichisasitethatgradesyourwebsiteonascaleof0-100fordifferentareas,andgoogle.com/analytics,whichgivesyouananalysisofyourwebsiteforkeytrafficflowsandmeasuresadwordsandbouncerates.Inrealestate,locationiseverything,andonsearchenginessuchasGoogleandYahoo,yourrankingisvital.

Asagencyowners,however,youmustbeawarethattheneedforcautionandmonitoringthecontentofthemediaisimperative.Theinformationputoutneedstobesubjecttothevariousadvertisingrulesandstandardsofappropriateness.

Recently,Ireadanarticlethatsaidthenumber1qualitycustomerslookforinsalespeopleisnotthepriceorqualityoftheir

productsbut“beingtherewhenIneedyou.”Socialnetworkingisanotherwayyoucanbethereforyourclientswhentheyneedyouthemost.E-mail,textandinstantmessagingarejustmoremethodsofstayingintouchandmeetingyourclientsneedsbetterthaneverbeforetobuildthatrelationshipwewantwithourcustomers.

Wearenowinournewbuildingandcelebratedwiththeopenhouseandribboncutting.Itwassogreattoseesomanythatattendedandseetheenthusiasticflowingamongthestaffandagents.MAIAhashadthreeclassesintheirneweducationfacility,andtheyhavebeengreatsuccesses.Ifyouhavenotstoppedbyforatourofthenewfacility,pleaseputitonyouragenda.Thisprojectisagreatexampleofagentsandcompanypartnersworkingtogetherforallourmutualsuccess.


Classifieds

Looking for Talented Producers and AgenciesWeareseekingproducerswithbooksofbusinessand/oragencieswhowishtojoinagrowingnationalagencyexpandinginMissouriandtheMidwest.Pleasecontactmeat636-536-2082orthebson@heffgroup.com.

Seeking Books of BusinessOneofSWMissouri’slargestindependentinsuranceagenciesisseekinginsuranceagencies’andproducers’booksofbusiness–commerciallines,personallines,life,grouphealthandemployeebenefits–forpossiblemergeroracquisition.BPJisa100%employee-ownedcompany.InterestedpartiescontactTomMontileone,pres.,CEO.Ph:417-887-3550,x326;fax:417-887-3252;e-mailtmontileone@bpj.com.Allinquiriesheldinthestrictestofconfidence.

The basic classified ad contains a maximum of 35 words (including head). Cost: $24.00 for up to 35 words. Blind ads: $37.00 for maximum of 35 words. MAIA agency members are entitled to a 50 percent discount on classified ads. Ads must be submitted in writing to Advertising Manager, Missouri Agent, P.O. Box 1785, Jefferson City, MO 65102-1785. Payment (to AMC) should accompany request. Deadline for classified ads: 10th of month preceding publication. When responding to confidential ads, reply to: P.O. Box 1785, Jefferson City, MO 65102-1785.

Postal Form 3526 Data for Missouri Agent

ThisistheStatementofOwnership,ManagementandCirculationasrequiredbyActofCongressofAug.12,1970,ofMissouri Agent,publishedbimonthlyatJeffersonCity.ThisstatementcontainstheinformationprovidedonForm3526,whichwasmailedtothePostmasteratJeffersonCity,Sept.1,2008.

TheownerofMissouri AgentistheMissouriAssociationofInsuranceAgents,P.O.Box1785,3315EmeraldLane,JeffersonCity,MO,65102-1785,anot-for-profitcorporationwithoutcapitalstock.ThepublisherisLarryCase,JeffersonCity.

TheeditorisAmyJ.Hoffman,JeffersonCity,andthemanagingeditorisCarolDulle,JeffersonCity.

Therearenobondholders,mortgageesorothersecurityholdersofanykindornature,eitherwithreferencetotheMissouriAssociationofInsuranceAgentsorMissouri Agent.

Thetotalnumberofcopiesprintedduringthepreceding12monthsaveraged

1,958,and1,900copieswereprintedinJuly-August2009,theissuenearestthefilingdate.

Nocopiesweresoldthroughdealers,carriersorvendorsduringtheyear.Paidorrequestedmailsubscriptionsaveraged1,834,with63ofthosemailedinColeCounty.PaidorrequestedmailsubscriptionsfortheJuly-Augustissuenumbered1,852,with65ofthosemailedinColeCounty.

Copiesdistributedfreethroughthemailaveraged40fortheyear,with42inJuly-August.Nocopiesweredistributedfreeoutsideofthemailduringthepreceding12months.

Copiesnotdistributedaveraged84,with6notdistributedinJuly-August.

Paidand/orrequestedcirculationaveraged97.9percentfortheyearandwas97.8percentinJuly-August.

Icertifythatallinformationfurnishedistrueandcomplete.

AmyJ.Hoffman,editor

Electric Insurance Company is proud to be working with several superb agencies in the St. Louis area, including:

• The Daniel and Henry Company

• The Charles L. Crane Agency

• Siebert Insurance Agency

• Insurance Source, Inc.

We will be looking for agents of similar quality as we expand into the western region of Missouri.

They’re Second to None.

ELECTRIC INSURANCE COMPANY

75 Sam Fonzo Drive l Beverly, MA 01915 l 800.227.2757 l ElectricInsurance.com l [email protected]

101-0008 (09/09)

Missouri Agents

Showed Us.

Thanks to our outstanding St. Louis agents and their appreciation for extraordinary responsiveness, competitive prices, and award-winning claims service, Electric Insurance Company® has become a market of choice for Personal Lines business.

Established in 1966 to provide personal insurance to General Electric employees, we have a strong foundation of integrity, service and achievement.

We’re looking for Kansas City area agents with those same qualities. Call us if you’d like to be considered for an appointment to a very select company. We’ve got a few things to show you.

Missouri Association of Insurance Agents

PROGRAM 2009Listed below are the companies who strongly support the independent agency system and the Missouri Association of Insurance Agents.

DIAMOND

PLATINUM

GOLD BankDirect Capital Finance CompManagement from HealthlinkACUITYSafeco InsuranceCameron Insurance CompaniesColumbia Insurance GroupMeramec Valley Mutual Insurance Co.

TravelersAccident Fund Insurance Company of America/United HeartlandWest Bend Insurance CompanyContinental Western GroupUnited Fire Group

SILVER EMC Insurance CompaniesElectric Insurance CompanyMJ Kelly CompanyBarton Mutual GroupCCMSIBerkshire Hathaway Homestate Companies

J.M. WilsonGuarantee InsuranceAmerica First InsuranceAlexander Morford & WooEMPLOYERS

BRONZE Central Mutual Insurance CompanyGateway UnderwritersSECURA Insurance CompaniesNixa Farmers Mutual Insurance CompanyBituminous Insurance CompanyApplied SystemsGrinnell Mutual Reinsurance CompanyFarmers Alliance Mutual Insurance CompanyHaulers Insurance Company, Inc.MetLife Auto & HomeCornerstone National Insurance CompanySelective Insurance Company of AmericaDairyland-Viking InsuranceAmerisafe, Inc.AAA Missouri InsuranceValley Insurance Agency Alliance, LLC dba VIAAQBE Agri InsurancePremium Financing SpecialistsPhiladelphia Insurance Companies

MOPERMState Auto Insurance CompaniesBMI CompaniesAmerisure Mutual Insurance CompanyCNA Insurance CompanySelect ImagingMidwestern Insurance AllianceUnited HealthCareAnthem Blue Cross & Blue ShieldEncompass InsuranceAssurant HealthWestropeGeneral CasualtySAMBARSI International, Inc.Zurich North AmericaS.A. Freerks & Associates, Inc.Auto-Owners Insurance Company

Missouri Association of Insurance Agents • 800-617-3658 • www.missouriagent.org

PART NERS

missouri agent november december 2009

Documents

contact mem

maia committees

larrycaseeditor amyj

hoffmanadvertisingmanager

missouri businessesis

maia partners program

workers compensation

unparalleled services