Insurance Journal West 2016-03-07

WEST EDITION

Flood Policies Explode in California

Calif. WC Medical Review Decisions

Google’s Autonomous Car Hits Bus

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6 | INSURANCE JOURNAL-WEST March 7, 2016 www.insurancejournal.com

Inside This Issue

WEST

March 7, 2016 • Vol. 94 No. 5 • West

10 Why Buyers, Sellers File Claims Under M&A Insurance: AIG

14 Spotlight: 10 Things to Know About Luxury Auto

18 Closer Look: What to Know About Insuring Vacant Property

20 Special Report: Homeowners Coverage Puzzle Taking on New Shapes

24 Closer Look: California’s Porter Ranch Blowout Highlights Evacuation Risk

26 Special Report: Auto Insurer 2015 Underwriting Performance Loses Traction

31 2016 Hospitality Risks Directory

NATIONAL COVERAGE

28 The Competitive Advantage: Chris Burand

30 Growing Your Property Casualty Agency: Alan Shulman

46 Closing Quote: How to Attract, Retain Next Generation of Brokers

IDEA EXCHANGE

DEPARTMENTSW4 People11 Declarations11 Figures12 Business Moves16 MyNewMarkets

W1 W10

W1 California Commissioner, Allstate Agree to Homeowner Rate Reduction

W1 Record Number of Flood Policies Bought by Californians, FEMA Says

W1 Hoverboards Banned on San Francisco State University Campus

W6 Nevada Insurance Commissioner Approves Workers’ Comp Rate Decrease

W8 Google Self-Driving Car Hits Bus in California Crash

W10 Report: Most California Workers’ Comp Medical Review Decisions Upheld

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4618

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Homeowners Coverage Puzzle Taking on

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FOR QUESTIONS REGARDING SUBSCRIPTIONS: Call: 855-814-9547 or you may subscribe or change your address online at:

insurancejournal.com/subscribeInsurance Journal, The National Property/Casualty Magazine (ISSN: 00204714) is published semi-monthly by Wells Media Group, Inc., 3570 Camino del Rio North, Suite 200, San Diego, CA 92108-1747. Periodicals Postage Paid at San Diego, CA and at additional mailing offices. SUBSCRIPTION RATES: $7.95 per copy, $12.95 per special issue copy, $195 per year in the U.S., $295 per year all other countries. DISCLAIMER: While the information in this publication is derived from sources believed reliable and is subject to reasonable care in preparation and editing, it is not intended to be legal, accounting, tax, technical or other professional advice. Readers are advised to consult competent professionals for application to their particular situation. Copyright 2014 Wells Media Group, Inc. All Rights Reserved. Content may not be photocopied, reproduced or redistributed without written permission. Insurance Journal is a publication of Wells Media Group, Inc.

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Opening Note

Andrea WellsEditor-in-Chief

Property Claim Satisfaction Slips

Customer satisfaction among homeowners filing a property claim has slipped for the first time in five years, largely driven by declines in satis-

faction with the total settlement and service interactions, according to the J.D. Power 2016 U.S. Property Claims Satisfaction Study. The study measures satisfaction with the property claims experience by examining five factors (in order of importance): settlement; first notice of loss; estimation process; service interaction; and repair process. Satisfaction is calculated on a 1,000-point scale. According to the study, sat-isfaction fell 5 points to 846 from 2015. The largest changes are in the service interaction factor (- 8 points), driven by declines in both the local agent (-8) and claims professional (-28) sub factors. Weather events are drove declines in customer satisfaction this year. Survey results are impacted by how insurers handled a few major events. However, weather alone does not fully explain the dip in overall satisfaction. For instance, simple service practices such as returning promised callbacks are down 1 percentage point from last year, and only 42 percent of customers indi-cate that when contacting their insurer someone was “always available imme-diately” to assist them. Responsiveness, a primary driver of service interaction satisfaction, is down signifi-cantly year-over-year among claimants interacting with local insurance agents or claims professionals (-0.09 points and -0.43 points, respectively, on a 10-point scale).Some of the key findings of the 2016 study: Eighty-one percent of highly satisfied claimants (overall satisfaction scores of 900 or higher) say they “definitely will” renew their policy, and 81 percent

say they “definitely will” recommend their current insurer, while only 14 percent of displeased claimants (scores of 549 or less) say they “definitely will” renew and 7 percent say they “definitely will” recommend. Just 13 percent of displeased claimants indicate they have switched insurers due to claims experience and 40 percent intend to shop within the next 12 months. The desire for more help is strongest among the youngest groups, where 31 percent say they want help selecting a con-tractor. Non-weather water claims are the most frequently report-ed claims in 2016. Satisfaction with the handling of non-weath-

er-related water damage dropped 19-points to 835, while satisfaction with the handling of hail damage claims is highest at 858. Additionally, satisfaction with theft claims is 840 (+20 points from 2015), while satisfaction with fire claims is 839 and with mold 834 (-27 points and -38 points, respectively).

Customer satisfaction among homeowners filing a property claim has slipped for the first time in five years.

Publisher Mark Wells | [email protected]

EDITORIALChief Content OfficerAndrew Simpson | [email protected] Wells | [email protected] EditorYoung Ha | [email protected] EditorAmy O’Connor | [email protected] Central Editor/Midwest EditorStephanie K. Jones | [email protected] EditorDon Jergler | [email protected] EditorLisa Howard | [email protected] EditorSusanne Sclafane | [email protected] EditorDenise Johnson | [email protected] Chris Burand, Alan ShulmanContributing Writers James Auden, Kate Holland, Mark Hollmer, Joshua Lauth, Kim Van Orman, Pascal Ray

SALESChief Marketing Officer Julie Tinney (800) 897-9965 x148 | [email protected] Manager Lauren Knapp (800) 897-9965 x161 | [email protected] Dena Kaplan (800) 897-9965 x115 | [email protected] Valdez (800) 897-9965 x172 | [email protected] Whalen (800) 897-9965 x180 | [email protected] Central Mindy Trammell (800) 897-9965 x149 | [email protected] (NY, PA and CT only) Dave Molchan (800) 897-9965 x145 | [email protected] & East (except for NY, PA and CT) Howard Simkin (800) 897-9965 x162 | [email protected] Markets Sales Manager Kristine Honey | [email protected], Jobs, Agencies Wanted/For SaleKelly De La Mora (800) 897-9965 x125 | [email protected]

MARKETING/NEW MEDIAMarketing Administrator Gayle Wells | [email protected] Coordinator Erin Burns (619) 584-1100 x120 | [email protected] Media ProducerBobbie Dodge | [email protected]

DESIGN/WEBChief Technology Officer/Chief Innovation OfficerJoshua Carlson | [email protected]. of Design Guy Boccia | [email protected] Development Elizabeth Duffy | [email protected] Director Derence Walk | [email protected] Web Developer Chris Thompson | [email protected] Developer Jeff Cardrant | [email protected] Developer Tim Layer | [email protected]

IJ ACADEMY OF INSURANCEV.P. of EducationChris Boggs | [email protected] Training CoordinatorBarbara Whiffen | [email protected]

ADMINISTRATION Chief Financial Officer Mark Wooster | [email protected]

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News & Marketsa claim to be filed after a deal closes. The data showed the tail on this type of M&A policy can extend well more than a year beyond a deal’s closing date. Clients in the Asia Pacific region were

the most likely to file claims, with about 18 percent of policyholders there report-ing a claim during the study

period. EMEA (Europe, the Middle East and Africa) had the lowest rate of claims reported with 11 percent of policyholders submitting a claim. However, EMEA claims tended to be more severe, accounting for the majority of the largest claims paid out by AIG during the time period. While 74 percent of claims were filed by policyholders within 18 months of the close of transaction, a significant 26 percent were filed after the 18-month mark. “More and more, M&A insurance is becoming part of the transaction process worldwide,” Duffy said. “Companies see it as a better alternative to closing a deal than contentious negotiations to allocate poten-

tial risks and unknowns.” The claims data between 2011 and 2014 cover a signifi-cantly larger pool of transac-tions than in prior periods, reflecting an increase in M&A activity and the grow-ing acceptance and use of R&W policies as part of the deal process, according to AIG. The total number of claims during the study period was 132, which can be considered low volume relative to other insurance lines. However, the claims data spans policies covering roughly 1,000 deals worth more than $200 billion, and policies written during the study period still hold the potential for a claim.

Why Buyers, Sellers File Claims Under M&A Insurance: AIG

Nearly 14 percent of mergers and acqui-sitions (M&A) insurance policies

written globally by American International Group Inc. resulted in a claim, according to a study by the insurer, one of the largest writers of M&A policies in the world. AIG said its study of its representation and warranties (R&W) insurance claims data between 2011 and 2014 suggests a significant number of M&A transactions worldwide may see issues from breaches of deal terms discovered after closing. Financial statement misrepresentations were the leading cause of these M&A insur-ance claims, accounting for 28 percent of all claims during the period. Tax errors or misrepresentations were the second most frequent claim type, accounting for 13 per-cent of filed claims, followed by 11 percent of claims filed due to discrepancies that emerge from a company’s contracts. “A deal can come back to haunt,” said Mary Duffy, global head of M&A Insurance. “From AIG’s perspective, transactions pose risks to a significant number of compa-nies, despite the best efforts during due diligence. Even the most sophisticated and largest companies can and do miss critical issues during the deal process.” Buyers in a transaction purchase R&W insurance to protect against breaches of representations and war-ranties (whether innocent or otherwise) made by a seller during the deal pro-cess. Sellers also purchase the insurance to protect against buyers claiming such breaches. The study found that companies in deals worth $1 billion or more were the most likely to claim dam-ages following the close of a transaction, with 19 percent of policies covering

this deal size seeing a claim. Companies involved in transactions under $100 million were the next likeliest with 15 percent of policies covering this deal size seeing a claim. The study also found:• Buyers in a transaction were most likely to buy an M&A policy, accounting for 75 per-cent of policy purchases. Approximately 13 percent of them reported a claim after a deal closed.• Sellers accounted for 25 percent of policy uptake. They were much more likely to report a claim, with nearly one-in-five (19 percent) doing so.• While buyers were less likely to file a claim, their claims were more severe. The majority of the top 15 largest claims report-ed to AIG during the study period were from buyer-side policies.

Where and When? The study revealed global variations in M&A claim frequency and severity, as well as the length of time it typically takes for

‘A deal can come back to haunt.’

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California Insurance Commissioner Dave Jones reached an agree-ment last month with Allstate Insurance Co. and Allstate

Indemnity Insurance to reduce the carrier’s homeowner insurance rates statewide by an average of 12.6 percent. The average annual decrease is roughly $230. The rate reduction is retroactive to Feb. 1. Rate regulation in California applies to homeowners, auto, and other property/casualty insurance. Insurers must get approval from the insurance commissioner before they can raise or lower rates. The commissioner approves rates he believes are sufficient to cover claims costs, administrative expenses and a reasonable return for the insur-ance company. The commissioner has the authority to reject what he feels are excessive rates. The amount of a decrease and whether a policyholder receives a decrease depends on factors that include the location of the insured property, and other risk characteristics and coverage features. Jones also approved a new coverage option added by Allstate that enables policyholders to select a separate higher deductible for wild-fire peril and a lower one for other risks, such as fire not related to wildfire, water damage or burglary. The separate deductible option allows consumers to further reduce their overall premium.

Wrongful Death Suit Filed Against Washington Nursing Home

A nursing home in Marysville, Wash., has again been accused of giving a patient inadequate care that resulted in death.

An Edmonds lawyer has filed a wrongful-death lawsuit against the Marysville Care Center in connection to the February 2013 death of 85-year-old Norman Mallang. The company was also the target

of a lawsuit in the death of 74-year-old Violet Riddle. According to court docu-ments, Mallang became dehy-drated and malnourished short-ly after being admitted to the nursing home. He fell numer-ous times and also developed bed sores and MRSA. He was transferred to an Everett hospi-tal and subsequently died from

his injuries. The lawsuit claims the nursing home was negligent and didn’t provide adequate care. Marysville Care Center Executive Director Brandon Davis says he is unable to discuss pending litigation. Copyright2016AssociatedPress.

Students at San Francisco State University will have to come back from the future now that hoverboards have been banned from

campus due to fire concerns. Administrators informed students by email in late February that the two-wheeled, self-balancing devices are prohibited on school grounds and in dormitories. The boards are popular but have been linked to fire hazards. The U.S. Consumer Product Safety Commission issued a letter last month noting 52 reports of fires that users say were caused by hoverboards in 24 states. The gov-ernment says it will seize or recall any boards that fail to meet federal safety standards. In January, a homeowner in Sonoma County saved his house after finding his daughter’s hover-board shooting sparks. Hoverhoards aren’t the only transportation device banned on the San Francisco State University campus of nearly 30,000 students. Bicycles, scooters, roller skates and skateboards are also prohibited. Hoverboards are legal on California streets and bike lanes with certain restrictions.

Record Number of Flood Policies Bought by Californians, FEMA Says

Federal emergency officials in late February reported a

surge in the number of California residents who have purchased flood insurance, most likely in response to a rainy El Niño win-ter. Officials with the Federal Emergency Management Agency said insurers wrote more than 55,500 new policies since Aug. 31, a 25 per-cent increase. The number of new policies topped 27,000 in December alone, astonishing agency officials who say they haven’t witnessed this kind of an increase since the National Flood Insurance Program was cre-ated by Congress in 1968. FEMA chalked up the uptick to greater awareness of El Niño. However, the agency did not report increases in other western states also affected by El Niño. Strong El Niño storms drenched parts of California in January. It’s uncertain whether this season’s rains will rival that of El Niño rains in 1997 and 1998, when storms killed more than a dozen peo-ple, washed out highways and wiped out crops. Copyright2016AssociatedPress.

California Commissioner, Allstate Agree to Homeowner Rate Reduction

Hoverboards Banned on San Francisco State University Campus

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Peoplehas named Denise Feldman vice president. Feldman has experience in the healthcare industry, reg-ulatory compliance and the Health Insurance Portability and Accountability Act. Prior to Burnham Feldman was vice president of Keenan Healthcare, and before that was president of California Healthcare Consulting Inc. She was previously director of the Los Angeles Global Human Resource Solutions practice at PricewaterhouseCoopers. Burnham Benefits is an employee benefits consulting and brokerage firm headquartered in Irvine, Calif.

EPIC Insurance Brokers & Consultants has added Trish Drew to the firm’s Northern California construc-tion practice. Drew will be based in EPIC’s Concord, Calif., office and will report to Curt Perata, regional director of property/casualty. Drew has more than 35 years of experience, and has focused on the risk management and insurance needs of the construction industry, both as a risk manager and as an account and client services executive. EPIC is retail P/C and employee benefits insurance bro-kerage and consulting firm.

LP Insurance Services Inc. has hired Ryan Krauser on its Northern Nevada sales team. Krauser, formerly of Edgewood Partners Insurance Center in Reno, has been in the insurance industry throughout for more than six years. His areas of expertise include group captives, cyber lia-bility/data breach, unmanned aerial vehicle and medical marijuana. Reno-based LP Insurance Services is a risk management and commercial insurance brokerage firm.

Barbara Richardson has been appointed as commis-sioner of the Nevada Division of Insurance. The appointment comes after a long nationwide recruit-ment to fill the vacancy after the resignation of Scott Kipper in July 2015. Amy Parks, who served as acting commissioner during the interim, will resume her duties as the chief insurance counsel at the division. Richardson was the director of operations and fraud for the New Hampshire Insurance Department for the past 11 years. In that capacity was a state representative at the National Association of Insurance Commissioners. Previously, she was an adjunct professor at the University of New Hampshire School of Law and Franklin Pierce College. Prior to that she was a private practice attorney.

Cypress, Calif.-based UCA General Insurance Services Inc. has named Frank Stipati president of the firm. He will be responsible for day-to-day operations and the profitability of UCA. Stipati has held various positions within UCA for the past 26 years. UCA provides commercial property/casualty package markets for brokers throughout the western United States.

SDS General Insurance Services Inc. in California has named Pauline Bareno vice president of marketing. Bareno began her career at an insurance carrier, moving to the retail side at John Burnham Insurance, International Facility and most recently Maverick Insurance as a senior workers’ compensation broker specialist. SDS is a wholesale operation specializing in workers’ comp insurance with offices in Fullerton and Long Beach.

LP Insurance Services Inc. has named Matthew Morris to its Phoenix, Ariz., team. Morris is responsible for maintaining and servicing client relationships. His areas of expertise include profes-sional services, real estate, technology, manufacturing and construction among others. Morris, formerly of CNA, has been in the insurance industry for more than 11 years. Reno, Nev.-based LP Insurance is a risk management and commercial insurance brokerage firm.

Lockton’s mountain west operation in Denver, Colo., has named Greg Winter an employee benefits producer. Lockton’s pacific operation has named Suzy R. Betterly as a vice president, and consultant in San Diego, Calif. Winter was with Assurant Employee Benefits prior to Lockton. He was with Enterprise Fleet Management as a senior account executive before that. Betterly, who will be responsible for delivering solutions to clients’ benefits programs, has more than 17 years of experience in data analytics, consumer-driven approaches and flex pricing strategies. Betterly was a senior account executive at Intercare/HUB International prior to Lockton. She also served in executive positions and as a senior analyst for benefits consulting firms including Willis, Mercer Human Resource Consulting, and Marsh & McLennan Kansas City, Mo.-based Lockton is a privately held insurance broker.

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News & MarketsNevada Insurance Commissioner Approves Workers’ Comp Rate Decrease

Acting Nevada Insurance Commissioner Amy L. Parks approved a filing from

the National Council on Compensation

Insurance for an average decrease of 5.5 percent for Nevada workers’ compensation voluntary insurance loss costs.

ABRAM16747.indd 1 2/23/16 12:18 PM

An average decrease of 4.2 percent for workers’ comp insurance assigned-risk rates was also approved. The filing will take effect on March 1. This decrease in loss costs is the largest since NCCI’s 2010 fil-ing when loss costs decreased by an aver-age of 7.6 percent, according to Parks’ office. The majority of the decrease in loss costs is due to combined favorable changes in loss experience and favorable changes in loss development. This suggests that the amount of reported workers’ comp claims will not grow over time by as large a proportion as previously anticipated. Both indemnity and medical loss components of workers’ comp, as analyzed by NCCI in its recently approved filing, showed improved experience and favorable loss development, according to Parks. The reduction in assigned-risk rates takes into account the factors affecting the voluntary market, as well as information specific to the assigned-risk market. In addition to the average decrease of 4.2 percent for the assigned-risk mar-ket, NCCI also reduced its assigned-risk expense constant from $240 to $160. This change would tend to benefit smaller risks in the assigned-risk market and is thus a change that is favorable to small-business development in Nevada.

This table illustrates by industry group the proposed average changes:

Industry Group Voluntary Assigned Risk

Contracting -5.0% -3.7%Goods & Services -5.7% -4.4%Manufacturing -1.4% -0.1%Office & Clerical -7.2% -5.9%Miscellaneous -6.5% -5.2%

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News & Marketscle) to continue.” But three seconds later, as the Google car reentered the center of the lane it struck the side of the bus, causing damage to the left front fender, front wheel and a driver side sensor. No one was injured. Copyright2016Reuters.

Google Self-Driving Car Hits Bus in California Crash

Alphabet Inc.’s Google self-driving car struck a municipal bus in a minor

crash, in what may be the first case of one of its autonomous cars hit-ting another vehicle. In a Feb. 23 report filed with California regulators,

Google said the Feb. 14 crash took place in Mountain View, Calif., when a self-driving

Lexus RX450h sought to get around some sandbags in a wide lane.

The vehicle and the test driver “believed the bus would slow or allow the Google (autonomous vehi-

Organizers of Salt Lake Comic Con Closer to Name Rights Settlement

The organizers of Salt Lake Comic Con and San Diego

Comic-Con say they’re getting clos-er to settling a court battle over naming rights. Attorneys for the two pop-cul-ture conventions say they have been able to resolve many of their disagreements and are working on the remaining sticking points. Court documents filed in California show they asked a federal judge to give them more time to work on a possible agreement. San Diego Comic-Con, considered the

flagship of the popular convention circuit, filed a trademark violation lawsuit against the rapidly growing Salt Lake convention in August 2014.

San Diego’s organizers say they have legal ownership of the term “comic con” in all its forms, but Salt Lake says it’s a general term used around the country. The U.S. Patent and Trademark office is currently withholding judgment. Copyright2016AssociatedPress.

Cal Fire Files Lawsuit Against Utility for Cost of Powerhouse Fire

A state agency is suing the Los Angeles Department of Water and Power to

recover the more than $4 million cost in fighting a wildfire sparked by power lines three years ago. The California Department of Forestry and Fire Protection alleges in a lawsuit filed in late February that the Powerhouse Fire near Santa Clarita was ignited by the electric arcing of power lines, which dropped burning fragments of metal into the dry brush below. The fire in May 2013 burned 24 homes and about 50 square miles. The City Attorney’s office had no imme-diate comment.

A U.S. Forest Service investigation previ-ously concluded the fire was caused by a tripped power line and gusty winds. Some victims have sued the DWP, blaming the utility for failing to properly maintain power lines. Copyright2016AssociatedPress.

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according to the report. Requests for opioid painkillers remained the number one type of drug submitted for IMR, accounting for 27 percent of the IMR decisions rendered last year, although UR decisions to modify or deny opioid requests were upheld 88 percent of the time, accord-ing to the report. Adding in other drug disputes, drugs accounted for nearly of 50 percent of all IMR letters, according to Swedlow. However, there is a new law on the hori-zon that could help reduce some of the IMR volume being driven by medical disputes involving drugs. Gov. Jerry Brown last year signed Assembly Bill 1124, which requires the Department of Workers’ Compensation administrative director to establish a drug formulary on or before July 1, 2017, as part of the medical treatment utilization schedule for medications prescribed in the workers’ comp system. Among intentions of the new law is to establish evidence-based guidelines for access to appropriate medications pursuant to pain management prescription drug therapies. “It’s the wish and the hope of the legisla-tive intent in AB 1124 that our state-mandat-ed formulary will help eliminate a large layer of these conflicts,” Swedlow said.

Report: Most California Workers’ Comp Medical Review Decisions UpheldBy Don Jergler

An examination of California workers’ compensation independent medical

review decisions shows roughly nine-in-10 of disputed medical service requests reviewed by an IMR physician agree with the utiliza-tion review determination that the service is not medically necessary. The IMR and UR process was established by the state’s sweeping workers’ comp reform law, Senate Bill 863, which was passed in 2012. A report out in February from the California Workers’ Compensation Institute with updated figures may indicate the IMR process seems to be working as advertised, said Alex Swedlow, president of CWCI. “It seems very steady, very stable,” Swedlow said. “It tells us that there is a consistent character in the decisions that are being made by the independent medical review.” The report, which looks at 2015, also shows the volume of IMR requests has not tapered off, with close to 300,000 service requests undergoing IMR last year. Half of those requests were for prescrip-tion drugs, according to the report. The high volume is being driven by a “rel-atively small circle of physicians,” Swedlow said. Roughly 85 percent of those physicians were identified in a study released last year that focused on 2014, according to him. That report’s findings showed that out of the nearly 5,200 physicians associated with IMR disputes in the first three months of the year, the 10 percent with the highest volume of disputed requests were named in 70 percent of the IMR decision letters, while the top 1 percent accounted for 28 percent of the disputed requests that went through IMR.

“It’s basically the same physicians driving most of the volume,” Swedlow said. Since January 2014, there has been a steady stream of IMR applications, and the volume increased by 19 percent from 2014 to 2015, according to the CWCI. The study’s author compiled data from all 163,826 IMR final determination letters issued in 2015 by physician reviewers who conducted IMRs in response to denials or modifications of medical services requested for injured workers. That data was used to examine changes like: the volume, timeliness and geographic

distribution of IMRs; to determine the number, mix and uphold rates for medical services that were reviewed; to note the dis-tribution and outcomes of pharmaceutical IMRs by drug type; the percentage of 2015 IMRs associated

with the top 10 percent of medical providers with the highest volume of disputed medical service requests. Requests for prescription drugs were by far the most common type of service sent through IMR, even though nearly 90 percent of the drug requests were still deemed med-ically unnecessary by the IMR physician,

‘It seems very steady, very stable. It tells us that there is a consistent character in the decisions that are being made by the independent medical review.’

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March 7, 2016 INSURANCE JOURNAL-NATIONAL | 11www.insurancejournal.com

$72 Million

Crop Protection“A key to encouraging growers to plant

these crops is to ensure that they can man-age their risk with appropriate crop protec-

tion programs.” — U.S. Sen. Kirsten Gillibrand (D–N.Y.) in her Feb. 16 letter to the U.S. Department of

Agriculture (USDA) urging the agency to expand crop insurance for barley in all counties in New

York where production is possible.

Going with the Flow“Just don’t tell the Highway Patrol.”— Kansas state Rep. John Bradford, a

Republican, who supports raising the highest speed limit on separated, multiple-lane high-

ways in the state from 75 to 80 miles per hour. Bradford says many travelers in the region drive

faster in open country.

Rule of Law“I have to respect the rule of law. … I have

to believe in our judicial system. I have to believe in democracy. I don’t think it’s a waste of time. Maybe we’ll see justice

through the civil proceedings.”— Karen Ireland, a city council member in

Charleston, W. Va., comments on the conviction and one-month sentence for former Freedom

Industries’ President Gary Southern. Freedom Industries was behind a 2014 chemical spill that

contaminated the drinking water of 300,000 West Virginia residents. The maximum sentence Southern could have received was three years.

Resilience Within Reach“Tornado-resilient designs of houses, or of any structure, is a thing within our grasp. … It’s something we can do, and we ought

to do it.”— University of Florida engineering professor David Prevatt, who surveyed damage in North Texas following a round of tornadoes — includ-ing one that was rated EF3 — that hit the area

on Dec. 26, 2015. Many experts, including Prevatt, are encouraging communities to con-sider designing buildings to withstand twisters just as coastal communities build to survive

hurricanes.

Workers’ Comp Matters“I think once the court understands the

impact that this has on workers, I’m hopeful they’ll reverse that decision they made.”

— Gail Evans, legal director of the New Mexico Center on Law and Poverty, said the group plans

to file a motion requesting The New Mexico Supreme Court reconsider a stay in a case

involving qualifying farm and ranch laborers across the state for workers’ comp benefits.

$50 Million

FIGURES DECLARATIONS

The amount a class-action lawsuit is seeking against the Florida Department of Highway Safety and Motor Vehicles

for what plaintiffs call an unfair process for DUI suspects. The federal suit says

Florida’s practice of automatically taking away the license of drunken-driving sus-pects denies those accused of a DUI the right to due process. The Florida DMV

said the agency doesn’t comment on pending litigation.

The amount a St. Louis jury has ordered Johnson & Johnson to pay the family of a

woman who blamed her fatal ovarian can-cer on the company’s talcum powder. The

amount includes $10 million in compensa-tory damages and $62 million in a punish-ment award. J&J is facing about 1,200 suits claiming studies have linked its Johnson’s

Baby Powder and its Shower-to-Shower product to ovarian cancer.

5.1The magnitude of an earthquake that

shook northwest Oklahoma on Feb. 13. It was felt in seven other states and was the third strongest temblor ever recorded in Oklahoma. The earthquake was centered

about 17 miles north of Fairview, and reportedly was felt across Arkansas, Iowa, Kansas, Missouri, Nebraska, New Mexico

and Texas. At least 10 other, smaller earth-quakes were recorded in the same area on

the same day.

45The number of fatalities on Rhode Island’s

roadways in 2015, which represents a steady decline from previous years. Sixty-seven people died in Rhode Island auto crashes in 2010. Each subsequent year had more

than 60 deaths until 2014, when the number of deaths dropped to 51. Officials say one

reason for the decline is increased seat belt usage, which last year reached an all-time

high of 87 percent.

NATIONAL COVERAGE

The amount Anthony John Diaz, 35, alleged-ly stole in automobile policy premiums and unauthorized brokers fees by diverting pre-

mium payments from policies he sold. He was arraigned in a California court.

$13,815


NATIONAL COVERAGE

Business Moveswill continue to provide risk man-agement and insurance services for the transportation industry under the leadership of President Jeff Maconaghy. The agency reports approximately $4.5 million in revenues. Based in Lake Mary, Fla., AssuredPartners has grown to $550 million in annualized rev-enue, with over 125 offices in 30 states and a London office.

FBinsure, Hardy & Ponte FBinsure, an independent insurance agency with nine locations in Massachusetts, has acquired the Hardy & Ponte Insurance Agency, an indepen-dent agency in New Bedford,

Mass. Terms of the transaction were not disclosed. FBinsure said Hardy & Ponte’s President Jeffrey A. Hardy will step away from insur-ance to pursue other endeavors after the transition is complete. Hardy & Ponte’s two other staff members will join FBinsure as full-time employees. Hardy & Ponte’s New Bedford office will be merged into FBinsure’s existing New Bedford location in coming months. FBinsure is an independent agency based in Taunton, Mass., with eight additional offices in the southeastern Massachusetts region and more than 90 employees. The agency is partly owned by Taunton-based Bristol County Savings Bank.

Patriot National, Mid Atlantic Insurance Patriot National Inc., a workers’ com-pensation outsourcing services firm based in Fort Lauderdale, Fla., has acquired Mid Atlantic Insurance Services, a wholesale commercial insurance broker and program administrator in Richmond, Va. Terms of the transaction were not dis-closed. Mid Atlantic will become part of Patriot Underwriters, a Patriot National subsidiary and a program administrator for workers’ compensation insurance products. Steve

The Hilb Group, PriMed Consulting The Hilb Group, a middle market insur-ance agency based in Richmond, Va., has acquired PriMed Consulting, an indepen-dent agency in Ocean Township, N.J. Terms of the transaction were not disclosed. Founded in 1998, PriMed Consulting spe-cializes in providing medical malpractice insurance services for physicians in New York and New Jersey. PriMed President Gabrielle Lamb will continue to lead the agency’s 13 employees under its current name and will serve as a medical malpractice resource to other Hilb offices. Established in 2009, The Hilb Group cur-rently has more than 400 employees and 40 offices. The Hilb Group is a portfolio com-pany of Boston-based private equity firm, ABRY Partners.

AssuredPartners, Encompass Risk Solutions AssuredPartners Inc. has acquired Encompass Risk Solutions Inc., an indepen-dent agency based in Warminster, Penn., with two additional offices in York, Penn., and Marietta, Ga. Terms of the transaction were not disclosed. Founded in 2011, Encompass Risk Solutions offers specialized trucking insur-ance programs. The Encompass team of 15

Love, president of Mid Atlantic, will report to Paul Halter, executive vice president of Field Operations, Patriot National Inc. and CEO of Patriot Underwriters Inc. Patriot National will maintain Mid Atlantic’s Richmond office. Mid Atlantic’s 18 employees will join Patriot Underwriters as part of the transaction. Patriot National is an independent national provider of comprehensive out-sourcing services within the workers’ compensation insurance marketplace for insurance companies, employers, local gov-ernments and reinsurance captives. Patriot National has approximately 1,200 employ-ees.

United Community Financial Corp., James & Sons Insurance United Community Financial Corp., holding company of The Home Savings and Loan Co., has completed its acquisition of James & Sons Insurance in Youngstown, Ohio. This transaction marks the initial step in the formation of The Home Savings Insurance Group. James & Sons Insurance is a local insur-ance agency established in 1921. James & Sons offers a wide variety of insurance products for business and res-idential customers, which include, auto, homeowners, life-health, commercial, sure-ty bonds, aviation and much more.

USI Insurance Services, Best Insurance USI Insurance Services has acquired Best Insurance, located in Tamarac, Fla. Best Insurance offers a range of person-al insurance products to customers in Florida, Georgia, North Carolina and South Carolina. Terms of the transaction were not disclosed. James W. Dunn, USI Southeast regional chief executive officer, said Best Insurance will help strengthen the company’s pres-ence in the Southeast where it continues to invest heavily. USI is headquartered in Valhalla, N.Y., and has over $1.0 billion in revenue, more than 4,400 professionals and operates out of nearly 140 local offices nationwide.

©2016 Selective Ins. Group, Inc. Products provided are underwritten by Mesa Underwriters Specialty Insurance Company (MUSIC). Products available vary by jurisdiction. These descriptions are summaries and not offers to sell insurance; the actual policies show complete coverage, exclusions and limitations details. Policy issuance is subject to underwriting approval.

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14 | INSURANCE JOURNAL-NATIONAL March 7, 2016 www.insurancejournal.comwww.insurancejournal.com

SPOTLIGHT

10 Things to Know About

In 2014, Bloomberg reported that luxury car makers Mercedes-Benz and Audi acquired

licenses to test self-driving vehicles in California. State regulations require each testing vehicle to be backed by at least $5 million of insurance coverage.

High end car construction is becoming increasingly complex, with some now having

numerous sensors including stereo visual, infra-red and radar cameras, ultrasonic sensors, and grille shutters. A typical super car requires hand molded parts and vehicle assembly. Specialized automobile insurers can connect insureds with high-end brand factory repair facilities and global salvage shops to find hard-to-replace pieces and repair the luxury car with original equipment manufactured parts. — Ray Crisci, Auto/Excess Liability Product manager, Chubb Personal Risk Services

NICB reports that 485 Mercedes C-Class cars were

stolen between 2009 through 2012, more than any other luxury model in that period.

The recovery rate of all luxury cars report-ed stolen between 2009 and 2012 was

about 84 percent, with General Motors’ Cadillac CTS having the highest recovery rate of 91 per-cent, according to NICB. The Mercedes S-Class model had the worst recovery rate at about 59 percent.

The value of a new car depreciates as soon as it is driven off the dealer’s lot. Agreed

value coverage provided through a luxury car insurer lets the new owner determine what the car is worth when the policy is written. If the car is stolen or totaled, the insurance company writes a check for the agreed amount, saving the poli-cyholder the cost of depreciation or an insurance deductible. — Ray Crisci, Auto/Excess Liability Product manager, Chubb Personal Risk Services

Luxury vehicles stolen from Florida are the least likely to be recovered, according to

NICB. Experts in the state say the state is sur-rounded by water and ports, which makes it easier for stolen cars to be stripped for parts and shipped overseas.

The National Insurance Crime Bureau (NICB) reports there were 5,570 luxury vehicles report-

ed stolen in the U.S. from 2010 to 2013. California had the most luxury vehicle thefts with 1,390; Florida had 863; and New Jersey had 570.

Some luxury insurers offer coverage for pets that are injured or killed in a car acci-

dent. The policy will help pay to treat, board or replace domestic pets, even if they were pulled in trailers. — Christie Alderman, New Product manager, Chubb Personal Risk Services

James Bond’s Aston Martin DB5 made its big screen appearance 52 years ago in “Goldfinger.”

The car sported concealed Browning machine guns, tactical oil slicks, ejector seats and a 5-speed, 4.0 L engine that hit speeds of 145 mph. In 1997, the car was stolen from an airport hangar in Florida where it was stored. No one has seen the car since despite best efforts to find it. The car was valued and insured at $4.2 million by Chubb. — William Crowley, Claim Auto Liability manager, Chubb

Luxury Auto

The most expensive car to sell at auction was a 1962 Ferrari 250 GTO Berlinetta,

which sold in August 2014 at the Bonham’s auction in Carmel, Calif. The car sold for $38,115,000. The GTO is perceived by many as a crown jewel, and this particular model had out-standing competition history and had been under the care of one family for 49 years. These factors, combined with the hot Ferrari market, led to the record sale. — Paul Morrissette, US Market Access manager, Chubb Personal Risk Services

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NATIONAL COVERAGE

MyNewMarketsliability resulting from any negligent actions allegedly committed by a third party acting on the direction of the insured. The term “vicar-ious liability” is defined as one person being liable for the negligent actions of another even though the first person was not directly responsible for the error or omission. Protection against allegations of bodily injury, personal injury, or property damage arising from a covered event also available. Available limits: Minimum $250,000, maximum $1 millionCarrier: Unable to disclose, admitted and non-admitted available States: All states except Calif., and Ky.Contact: Jason Haughey at 800-499-7242 or e-mail: [email protected]

Workers’ Compensation Insurance Market Detail: All Risks Ltd. (www.allrisks.com) offers worker’s compensation with in-house underwriting authority with most carriers. Markets for high e-mods and direct bill with payment plan options. Over 240 eligible classes, new ventures welcomed. Quotes are available nationwide except in N.D., Ohio, Wash. and Wyo. Online rating indications available for risks in Ariz., Calif., Ga., Md., N.C., S.C., Texas and Va. with more states coming soon. Available limits: As needed Carrier: Various, admittedStates: All states except Ky., N.D., Ohio, and Wash.Contact: Customer service at 800-366-5810

Fine Art Market Detail: Berkley Asset Protection (www.berkleyassetpro.com) understand the “priceless” nature of fine art and collections, including its historical relevance and importance. Coverage is avail-able for all risks of physical loss or damage to every type of artwork and collectible. Areas of expertise include: museums; exhibitions; historical societies; universities, schools, and colleges; dealers – fine art, antiques, or other historic property; corporate collections; pri-vate collections including: art, jewelry, furs, stamps, wine, coins, cameras, musical instruments, antiques, collectible firearms, silver-ware, or other collections of rare or historic nature.Available limits: As neededCarrier: BerkleyStates: All statesContact: Melissa at 330-697-4151; [email protected]

Exterminators Market Detail: VGM Specialty Underwriters (www.VGMSU.com) offers primary limits up to $3 million occurrence/aggregate; blanket additional insured endorsement available; medical payments cov-erage with a $5,000; lost key coverage with $25,000 limit; property damage extension (care, custody, and control) - policy limits up to a maximum of $200,000 per occurrence/$300,000 aggregate; pesticide/herbicide applicator coverage; in-transit pollution coverage with $25,000 per occurrence; wood destroying organism inspection cov-erage with $25,000 per occurrence/$100,000 aggregate (higher limits available). Product DetailsAvailable limits: As neededCarrier: Unable to disclose States: Colo., Iowa, Ill., Ks., Mo., Neb., and Okla.Contact: Customer service at 800-203-3223

Exercise/Health Studios/Health Clubs Market Detail: Philadelphia Insurance Cos. (www.phly.com) provides broad form fitness center and gym insurance coverages for health clubs, fitness, Pilates and dance studios and day spas across the United States. Program features special causes of loss on build-ing, contents, loss of income, and extra expense. Additional coverage enhancements including: ordinance or law, off-premises power fail-ure, utility services, EDP, business interruption and extra expense (including contingent), and more. Special events coverage outside the club is included for the entity and professional instructors or consultants. Coverage extended to entity and employed profession-als including lifeguards, racket sports instructors, dieticians, and aerobic and fitness instructors. Large excess limits available. Available limits: As needed Carrier: Philadelphia Insurance Cos.States: All states except La. And D.C.Contact: Customer service at 800-873-4552

Private Investigators/Security ServicesMarket Detail: Fox Point Programs Inc. (www.foxpointprg.com) offers professional liability insurance – sometimes referred to as errors and omissions (E&O) – that provides financial protection from damages and expenses (such as legal fees and court costs) arising out of allegations of the negligent acts, errors, or omissions by: background/pre-employment checks; missing persons; poly-graph services; security consultants; skip tracing and more. Fox Point offers: professional liability protection for services provided by private investigators, including investigation of facts, review of financial data and other information, surveillance, determination of wrongdoing and other similar activities; coverage for personal injury, including allegations of false arrest, malicious prosecution, wrongful eviction, and invasion of privacy, where insurable by law; low mini-mum premiums; coverage for punitive or exemplary damages, where insurable by law; coverage for commercial property, where insurable by law; duty to defend policy provision; coverage includes vicarious

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CLOSER LOOK

High Risk Property

tics, there are 13 million year-round vacant homes in the United States. This figure is in addition to vacant commercial properties. Failure to address a change from occu-pied to vacant could result in a claim denial and leave the agent at risk for an errors and omissions (E&O) claim.

Vacant Coverage The Building and Personal Property coverage form (CP 00 10) removes coverage for vandalism, sprinkler leakage (unless protected against freezing), glass breakage for the building, theft or attempted theft if the building has been considered vacant for more than 60 consecutive days before the loss or damage. Vacant carriers give back that coverage using the Vacancy Permit (CP 04 50) apart from causes of loss marked with an X as excepted causes of loss. Many insureds propose insuring their vacant property for their purchase price or its market value. Part of the agent’s respon-

sibility is educating the property owner that the insurance company will likely value a building based on functional build-ing valuation, actual cash value or replace-ment cost coverage. Failure to insure the risk properly can result in large coinsurance penalties in the event of a loss. Valuation programs run based on the former occupan-cy can aid in insuring the property to value. This is crucial because agreed value is often difficult to secure for this class. Many agents are often focused on obtain-ing coverage for the structure. However, the insured may still want contents coverage. Common examples of this are furniture left in a house when the former occupant moves to a nursing home and the residence is for sale or equipment from a business which has recently closed. If switching from a per-sonal lines form to a commercial form, it is important to note that there isn’t automatic coverage for personal property or other structures at a percentage of the building value. Business income coverage is a consider-ation which is often forgotten, as well. The exposure can still exist even if a location is vacant. If there is a signed lease in place and a fire causes a location to no longer be available for a tenant to occupy, the proper-ty owner incurs a loss to their income.

What to Know It is important to partner with a carrier who has a quick quote turnaround. This is necessary when a property investor needs to show proof of insurance for a settlement. Mortgagees also will likely need to be named as an additional insured. Supplying the carrier with appraisals, current photos and the real estate listing for the property provides valuable underwriting information to help get that quick quote when there is no time to pre-inspect a risk. Carriers offer quoting for vacants online or over the phone which can be especial-ly helpful for a risk with a short fuse. Communicating directly with the under-writer will help to walk the agent through

What to Know About Insuring Vacant Property

By Kate Holland

Vacant buildings, partial vacant build-ings and vacant land can be difficult

to place since many standard markets do not have a comfort level with the exposure. Even though most brokers don’t special-ize in this class, they do see the exposure when, for example, one of their insured’s home becomes vacant, a commercial risk is completing renovation work before opening their business or a business has closed. Continuing to insure these risks means holding onto the revenue generated by these accounts and onto the relationship with the insured. Depending on market conditions, a carrier which insures the vacant risk as part of a large schedule may be persuaded to stay on the risk. If not, the insuring agent must turn to a carrier which provides this specialty coverage. The opportunity is large for this segment. According to the latest U.S. Census statis-


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coverage, if they are unfamiliar with this class. It is also important to know the his-tory of the property. Many carriers have a restriction on how long a property has been vacant (often this is two to three years). In addition, there are even more limited mar-kets for buildings with existing damage or those slated for demolition.

Flipping Properties Due to economic conditions, entrepre-neurs have started businesses “flipping” homes. Carriers who insure vacant risks can schedule locations and process endorse-ments as the “flipper” buys and sells prop-erties plus provide coverage to respond to claims related to the renovations. Risks undergoing construction warrant special consideration. Coverage for reno-

vations is important because the insured can be held responsible for liability losses excess of the contractor’s policy or may be completing the renovation work them-selves. The carrier needs to be aware of any renovations occurring during the policy term so that the appropriate charge for the renovation coverage can be made and any construction-related exclusions removed. An understanding of the project is critical. Some carriers will only provide coverage for certain types of projects such as those which do not involve changes to load bear-ing building components. Property investor groups are becoming more popular and provide an excellent opportunity to network with individuals who need coverage for vacants and provide insight into the concerns of these insureds. Speaking at these meetings is a way of establishing expertise in this class of busi-ness and gaining new business leads. Due to economic conditions, homeowners are still losing their homes through a foreclosure or short-sale and, even if they are no longer living at the property, may be required to insure the property until they are no longer the official owner. Investors may also be purchasing these properties.

Top 10 Loss Control Tips for a Vacant Risk1 Lock and secure the location from unauthorized entry.2 Repair any cracks and uneven surfaces on sidewalks.3 Maintain heat in the building or drain pipes to help prevent water damage losses.4 Do frequent walkthroughs of the building and alert local law enforcement to the vacancy.5 Remove debris and hazardous materials.6 Suspend mail and delivery services and remove any accumulation of newspapers and handbills.7 Make sure the roof, gutters and downspouts are in good condition.8 Secure any objects which could fall from the building causing injury or property damage.9 Plan for weather-related events such as a hurricane or snow storm.10 Use exterior lighting including motion detection and timed lighting.

Other Exposures Some other exposures to consider are spaces which are vacant and undergoing renovations by a tenant. The business is not operating yet; however the landlord requires a certificate of insurance and to be named as additional insured. These risks may need a policy which responds to losses related to the renova-tions and provide property coverage for the tenant’s improvements and betterments. Restaurants are a class of business that often has this exposure. Buildouts can be long and expensive as consumers seek unique dining experiences in that competi-tive industry. Vacant condominiums, either residential or commercial, are another type of vacant risk. Improvements, contents and business income coverages may all apply to these risks. In addition, associations can still make an assessment against the owner of a vacant condominium just as though it were occupied for property or general liability. Partial vacants are another type of risk with standard markets struggle. A common scenario for this exposure is vacant square footage on the ground floor of a building

continued on page 23

SPECIAL REPORT

Homeowners

www.insurancejournal.com20 | INSURANCE JOURNAL-NATIONAL March 7, 2016

By Andrea Wells


The homeowners insurance line, not often thought of as a bastion of change,

is actually quietly evolving beyond the tra-ditional “one-size-fits-all” business. Some of the puzzle pieces that make up home-owners insurance are changing shape and new pieces that address new risks are being inserted. The reshaping of the homeowners mar-ket is ongoing and not all the new shapes are firmly cast. Even as they continue to review how standard policies deal with risks like trampolines, pools and dog bites, insurers are regularly adding coverages for things like identity theft, appliances and water backup. At the same time, they are anticipating how to handle newer risks such as personal drones and on-demand home rentals. The rethinking of coverages is occurring at a time when the market is performing fairly well and the future looks good. A recent report by Aon Benfield Analytics reveals that insurers’ expected after-tax return-on-equity for U.S. homeowners insur-ance is 8.6 percent on a countrywide aver-age, and 12.6 percent excluding Florida. The overall outlook is positive thanks to rate increases, a decline in catastrophe losses and lower reinsurance costs.

Changing All the Time Robb Lanham, chief sales officer, Personal Insurance at HUB International, says despite what some might think, cov-erage for homeowners changes all the time and much of that change is due to predic-tive analytics. Since the onset of predictive analytics insurance companies have become wiser about understanding who’s a good customer, Lanham said. “Insurance companies are in business to make money and they make money by writing a lot of customers who don’t have a lot of claims. So they track all the claims, then say, ‘Wow, I never realized we paid this many dog bite claims,’” he said. “Now that becomes a question on the policy applica-tion. Do you own a dog and what breed?” Trampolines are another example of how coverage has changed.

“They can be really dangerous. All of sudden someone falls and gets hurt. There are provisions in a homeowners policy that would pay their medical bills but a lot of times it ends up in lawsuit. We’ve seen it with pools. They were fine but then they said pools are OK but we don’t like diving boards; or you have to put up a fence. … It’s pools, it’s trampolines, it’s dogs, it’s all those things that can be considered an attractive nuisance,” Lanham said. Carriers tend to underwrite around these hazards. Trampolines, un-fenced pools, div-ing boards, pool slides, all-terrain vehicles, and aggressive dog breeds are commonly ineligible for coverage, says Richard “Gordy” Bunch, founder, president & CEO of The Woodlands Financial Group (TWFG), which operates a Texas domiciled home-owners insurer. “Our company excludes liability for some of these risks but offers a liability buy back to regain coverages at an adequate rate.”

Vacation Rentals Vacation rental by owner (VRBO) properties is one area where the industry is struggling to find a solution, according to Brian Sullivan, editor for Risk Information Inc. The VRBO is clearly a commercial exercise, he says. “If you go and you look at vacation rental by owner, VRBO, it’s very explicit. Once you hand someone the keys, the coverage is through VRBO,” Sullivan says. Airbnb and other home sharing services are not quite the same risk as a VRBO. “If you rent a room out to somebody for the weekend, is that a commercial activity? If you rent your house out for a weekend, is that a commercial activity?” Sullivan asked. “You’re seeing companies work really hard as we speak on trying to figure out the best language for that.” If there is one area of policy form man-

agement headed for change, it’s in the vaca-tion rental and Airbnb space, Sullivan said.

Standard Forms Language At the center of reshaping puzzle piec-es to reflect new risks is ISO, the Verisk Analytics business that collects property/casualty insurance data and creates the lan-guage for many homeowners policy forms. Jeff De Turris, vice president of Coverage Products and Operations at ISO, says ISO analysts spend a lot of time thinking about new trends and the insurance implications of those trends on insurance coverage. “When we think about new risks and develop new forms and coverages, we work

with agents closely to get their reaction to our new plans as well

as existing coverages,” De Turris said. “We talk with insur-

ers as well to get their reaction and input on what we’re thinking and to

see how they view what we’re coming up with.” ISO says its process must balance the need to get to the market quickly with the need to get input

from stakeholders. “When there’s some issue like, say, claims from trampolines, as an example, part of the analysis that goes on between the cov-erage team and the actuarial team is to try to evaluate how extreme the situation is,” said Rob Curry, vice president of Market Development at ISO. “Is this something we feel should be excluded from the base pol-icy? Or is this something that just needs to be accounted for in the rating?” In the trampoline case, trampoline claims are not excluded from the ISO base policy. But ISO has a higher rating factor for some-one who has a trampoline than for someone who does not have a trampoline. “Our preference would be to the extent possible to keep the coverage in the policy



and charge a risk based price for people who have that particular situation,” he said.

Drones Drones is up next on ISO’s docket. “What may evolve with drones is that they could potentially stay in the base poli-cy or do we charge people who have drones because they may have a little bit higher risk? That’s the kind of thought process we’ll be going through on drones.” De Turris says ISO expects drones to be addressed in the homeowners policy this year. While the number is certainly growing, not all that many homeowners currently have drones. But they do have other risks that fall outside the traditional policy.

Filling Gaps TWFG’s Bunch says home insurers are aggressively trying to fill these coverage gaps. “Our carrier is working on closing the coverage gaps in current forms by adding endorsements, integrating new lines of coverage, expanding package discounts offered, (and) customizing affinity dis-counts around consumers’ interests,” Bunch said. “Within two years you will be able to buy our homeowners policy with options to add cyber liability, identity theft, flood, umbrella, mortgage life, special limits for toys (drones, electric scooters, etc.) and equipment breakdown (warranty).” According to Peg Dynakowski, vice president of Trident Insurance Agency Co. LP, who handles insurance company rela-tionships for her agency, carriers have been playing up ID theft coverage for years as a way to add value for insureds. Now insurers are also offering coverages for water and surge back-up as well as mechanical break-downs. “Water back-up and surge back-up is not something that is normally part of a homeowners policy; it’s an endorsement,” she said. Same is true for mechanical break-down and even ID theft. “You can add the coverage by endorsement and these are very, very, very important (options).” Dynakowski says mechanical breakdown,

SPECIAL REPORT

Homeownersalso known as home warranty coverage, is the latest coverage option to “really hit” in the past five years. “Home warranty is basically covering appliances for wear and tear,” she said. “It will usually have a deductible and cap.” The coverage, which can be endorsed onto most homeowners policies, offers coverage limits for HVAC systems, refrigerators, washers and dryers. While limits will not often replace the failed mechanism, the coverage will provide repair costs or partial replacement. “You might be limited to $1,500 for A/C or $1,000 for refrigerator, so it’s not necessarily going to buy you a brand new one but it will give you something,” Dynakowski said. Bunch says mechanical breakdown fills an important coverage gap for insureds but also helps profitability in the homeowners insurance market. “Adding the equipment breakdown fills that gap but the other thing we gain is sub-rogation attention because now we have an expert that covers manufacturer issues such as product recalls or breakdowns,” which could potentially lead to some cost contain-ment, Bunch said.

Smart Homes The homeowners market is also having to come to terms with the Internet of Things technology wave that is expected to play an increasing role in homes. While consumers have been slow to purchase smart home technologies aimed at keeping their homes safer, insurers have been testing these gadgets, including connected water sensors, smoke detectors, door bells and other smart technologies. American Modern Insurance has built an entire smart home in its claims warehouse to test these devices, while several other carriers are using test smart homes to gauge the effects on various losses. TWFG’s Bunch says his carrier’s future equipment breakdown endorsement is designed to address the issues that come with these tech-heavy homes and the costly repairs that come with them. “One technology that has been proven to reduce loss costs is the water value shut

continued from page 21

off system, which shuts off the main water supply,” Bunch said. “The water sensors that turn off the water main when triggered show potential to mitigate water loss claims and a few carriers are offering discounts with those devices installed.” Overall, truly smart home technology is moving slowly right now, says Sullivan. “There isn’t a smart home set up right now that is really worthy of the name, unless you want to spend thousands and thousands of dollars,” Sullivan said. “We’re waiting for Apple’s Home Kit and Google’s Brillo software — those are going to be software standards that the manufacturers of sensors and things like that will connect to so that your phone can run your house.” Sullivan said until there are standards, the idea of a truly connected home will remain just a dream. But some home insurers seem to be experimenting anyway, he said. “Every major insurer has somebody who’s got a bunch of this stuff in their house and they’re messing with it. Everyone is trying to figure it out.” Sullivan says the big question to be addressed is whether insureds will be com-fortable exposing their home data to their insurers. “A classic example: Everyone gets a home alarm discount. You put in your home alarm, you get a discount. Regardless of whether you turn it on or not. Now, we’re going to have technology where the insur-er will know if the house is empty but the alarm is not on. Should you give that customer a discount if they don’t arm the alarm? The answer is probably no,” he said. Sullivan believes the obstacles will be overcome. “I have to believe that the public will eventually — not happily, but eventually — be willing to trade whether or not the garage door was left open all day with their insurance company. Insurers will start to rate your behaviors at home the same way they’ll rate your behaviors in your car. But that’s not tomorrow.” It’s easily a year or two away, Sullivan said. “But once it comes, it will be profound.”


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due to the closure of a business but there are still occupied apartments on the second floor. This exposure also occurs when, for example, an anchor store closes in a shop-ping center but surrounding smaller stores remain open for business. CP 0010 states that a building is vacant when 70 percent or more of its square footage is not either rent-ed or used to conduct customary operations so this change from occupied does need to be addressed.

Vacant Land Vacant land is another exposure with the mortgagee also needing to be named as additional insured. In some areas, the property owner of a vacant lot is responsi-ble for the sidewalk in front of the lot and as a result is at risk for slip and fall losses. This can be a large exposure especially in areas with icy conditions where injuries can be severe and attorneys readily available to take on new clients. It is important to verify that the land is actually vacant. In urban areas such as New York City, vacant lots are often used for parking so the carrier will likely want to rate the piece of land as a parking lot instead of a vacant lot. In more remote areas, parcels of land with a small mainte-nance shed or lakes present an additional exposure. Having one carrier, with a broad appetite,

CLOSER LOOK

High Risk Propertycontinued from page 19

who is able to handle a change in exposure, is a bonus. For example, a carrier who not only writes vacants but also restaurants including liquor coverage can often endorse

a risk which has just finished a build out to an occupied restaurant. This frees up the agent’s time by minimizing remarketing of risks. If the policy does need to be can-celled, it is important to pay attention to the minimum earned premium when writ-ing the risk. The premium for some carriers who write vacants is fully earned. Look for a carrier without a minimum earned premi-um or obtain a short-term policy with pro-rata cancellation to help mitigate this extra cost. Vacants may not be an everyday exposure an agent sees but they represent an oppor-tunity to continue to provide an insurance solution for your clients.

Holland is the product leader for USLI’s Vacant Building, Vacant Land and Partial Vacant products. She also works with customers in the Mid-Atlantic region. Email: [email protected]. Phone: 888-523-5545.


CLOSER LOOK

Oil & Gasator has issued three bills regarding Porter Ranch, one of which calls for older wells to be inspected and well integrity validated by a third party before any new gas is injected into these 60-plus year-old wells. There have been other cases involving catastrophic losses in natural gas storage facilities in the U.S. The worst of these involved explosions, fire, evacuation, loss of life and significant property losses. Mont Belvieu, Texas, is the location of the largest underground natural gas storage facility in the world. A series of three casing fail-ure events between 1980-1985 ultimately required the local gas company to evacuate residents and rebuild the town two miles away. Other notable gas storage losses due to casing failure are Hutchinson, Kan., in 2001 and Napoleonville, La., in 2003. The Porter Ranch blowout has put a spotlight on evacuation risk and how a large evacuation event has the ability to sig-nificantly erode insurance limits. With more than 10,000 people evacuated, the Porter Ranch event is one of the largest, if not the

largest, evacuation due to a well blowout in the history of U.S. oil and gas. There are other notable blow-outs involving mass evacuations. In 2003, more than 60,000 peo-ple were forced to evacuate their town due to a well blowout that involved H2S gas. H2S is immedi-ately lethal when inhaled in large concentrations and can be very harm-ful in lower concentrations. About 9,000 people had to be hospitalized and 243 died. This happened in central China near the city of Chongqing. In 2006, a natural gas well being drilled reportedly had a well control event, resulting in a blowout consisting of mud and natural gas and became what is now called a mud volcano — nicknamed “Lusi.” Approximately 30,000 people were evacuated and permanently displaced, 12 villages were destroyed, and there were 20 deaths. Legal authorities concluded this was caused by an underground blowout during

California’s Porter Ranch Blowout Highlights Evacuation RiskEditor’s note: This is part two of a three-part series on the oil and gas industry. The first article covered the important changes that occurred in 2015 and the significance of the Porter Ranch, Calif., blowout that began in October 2015. Part three of this series will address the emerging risks arising from new technologies, new labor/employ-ee risks, and simultaneous operations.

Following up on part one of this

series, many believe the Porter Ranch nat-ural gas blowout is the largest gas blowout in U.S. history. If this is validated, California will hold the records for both the largest

gas and oil well blowouts in U.S. history. America’s largest oil blowout occurred in 1910 in Kerns County, Calif., and was much larger in terms of volume of oil released than the 2010 Gulf of Mexico blowout. Changes in regulations and inspections regarding oil and gas wells are expected as a result of the Porter Ranch blowout. The well that blew out is part of a large natu-ral gas storage facility with more than 100 other wells on location, 48 of which were drilled before 1953. A California state sen-

By Pascal M Ray

Locatedhere:http://www.gwpc.org/sites/default/files/Shale%20Gas%20Primer%202009.pdf


the drilling process. The well apparently was not cased according to Indonesian law. Appropriate well design and proper casing usage could have prevented this catastro-phe. This blowout occurred in East Java, Indonesia, and continues today, 10 years later, highlighting the time duration that can exist in rare cases with a well control event. It is thought this blowout will stop on its own at some point in the near future, but no one knows for sure. Total economic losses are said to be around $4 billion.

Evacuation Risk Maximum possible loss calculations for the evacuation risk element is extremely difficult because of the numerous variables involved. The unknown time element of the duration of the blowout, wind direc-tion, and plume dispersion can become determining factors. An extreme example of what can possibly happen with evacua-tion risk occurred in Edmonton, Alberta, in 1982. The city was under threat of a deadly H2S gas plume coming from a blowout near Lodgepole, Alberta, more than 100 miles away. At this time, the pop-ulation of Edmonton was approximately 550,000. There were media discussions regarding evacuating the entire city but

this never materialized. Airports are another example of locations where evacuation risks need to be a central

part in the risk management strategy. Dallas/Fort Worth International

Airport has more than 100 gas wells and supporting infrastructures; Denver International Airport has 72 wells on location; Oklahoma’s airports have 87 active wells; and Charleston, W.Va., and Pittsburg,

Pa., airports also have wells on their locations.

Los Angeles county is perhaps the highest at risk in the United States due

to its proximity of more than 5,000 active wells and thousands more abandoned wells. Many of these wells are more than 100 years old. About one-third of the popu-lation of Los Angeles county live within one mile of an oil or gas well, approximately the same proximity as the Porter Ranch resi-dents were to the well that blew out next to their community. The Porter Ranch blowout is a case study of emerging claims trends for the oil and gas industry, which should examine:• Well integrity risks are having implica-tions for first party property, third party lia-bilities, blowout and environmental losses.• There are increasing evacuation risks as oil and gas operations move into populated areas along with increasing defense and settlement costs.• The use of punitive damages is increasing, which may not be insurable depending on the state.• Fines and penalties are also increasing.• All of the above is creating the need for higher insurance limits. Criminal charges and significant risk to a company’s reputation are also factors. As the Porter Ranch blowout event con-cludes over the next few years, the extent of the cost of this unfortunate event will be revealed. Some believe the total costs could be more than $1 billion.

Ray manages USI’s Marine & Energy Program divi-sion. He has managed marine and energy programs for the U.S., Lloyds of London, and Bermud-based insurance markets. Email: [email protected].

Current Overview of the Porter Ranch BlowoutAge of well: 62 years old and opera-tional in 1954.Duration of Blowout: Oct. 21, 2015, to Feb. 11, 2016. Cause of loss: Well integrity (Reportedly a failed well casing at approximately 500 feet.)Blowout solution: Relief well intervention and plugging of the well. Scope of Evacuation: 6,400 families evacuated with two schools closed and relocated.Type of Claim Event: Air pollution from a natural gas well blowout.Complaints: Focused on health and environmental issues, but business interruption, declining property val-ues and other concerns exist.Consequences: • State of Emergency declared by the California governor.• Federal Aviation Administration (FAA) declares the Porter Ranch area a “no fly zone.”• Numerous class action lawsuits from individuals and businesses, which will involve thousands of plaintiffs from the 30,000 area population involved. • Punitive damage requests figure prominently in these lawsuits. Punitive damages are generally not insurable by law in California and may possibly be a significant self-insured exposure if granted.• One wrongful death lawsuit.• The Los Angeles county district attorney’s office has filed criminal charges.• Numerous suits from various state agencies.• Numerous state and federal investigations.• Significant fines and penalties are possible.• Losses to date are approximately $250 million to $300 million and will likely rise.• Combined insurance limits on policies are reported at more than $1 billion dollars.


SPECIAL REPORT

By James B. Auden

Auto

the group, as well as a modest decline in the expense ratio and reduced natural catastrophe related losses compared with the previous year. The property/casualty industry in aggre-gate has generated consistent moderate

statutory underwriting losses in personal auto for the last six consecutive years, including a projected combined ratio above 102 percent in 2015. Several large non-public insurers that tend to have less ambitious return objectives drive up the industry

Auto Insurer 2015 Underwriting Performance Loses Traction

Private passenger automobile insurance remains one of the most competitive

segments in the U.S. property/casualty industry, with a number of large, well cap-italized organizations battling for market

share and searching for competitive advantages and bet-ter profits through pricing and risk selec-tion, advertising, and claims management efficiency. Auto insurers con-tinue to generate rela-tively robust premium

growth and benefits from price increases, but top line growth has not translated into better underwriting performance in 2015. The personal auto insurance combined ratio rose by 1.4 percentage points in 2015 to 97.3 percent for a group of 10 publicly traded insurers. Underwriting performance deteriorated despite over 5 percent annual growth in segment written premiums for

2015 Personal Automobile Insurance Underwriting Results

Personal Personal Auto Auto Change in Net Written Annual Combined Combined Premiums %Change Ratio % Ratio Company 2015 2015 2014 GEICO 23,378 11.5 98.0 94.3 3.7 Allstate 20,662 5.1 99.9 96.9 3.0 Progressive 17,703 5.6 93.5 93.3 0.2 Travelers 3,534 8.4 94.7 97.2 (2.5)Hartford 2,721 2.3 99.4 98.4 1.0 Infinity 1,373 - 95.6 96.0 (0.4)Kemper 1,031 30.6 104.5 99.0 5.5 Hanover 900 1.8 99.3 100.6 (1.3)Chubb 701 (5.3) 98.5 96.8 1.7 Cincinnati Financial 524 7.2 110.0 105.1 4.9 Horace Mann 398 4.7 102.4 99.0 3.4 Group Total 49,547 5.5% 97.3 95.9 1.4

Source: Company GAAP FilingsNote: Infinity Result Includes Commercial AutoHanover and Cincinnati Expense Ratio for all Personal Lines

Monthly Change in Motor Vehicle Insurance Costs

2014 2015 2016

Source: Bureau of Labor Statistics: Consumer Price Index Statistics Insurance information Institute


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results compared to the group of public insurers. Market leader State Farm reported a statutory underwriting margin of -12 per-cent in personal auto for 2015. Recently, a number of insurers have pointed to claims frequency trends shifting unfavorably as a contributor towards higher loss ratios. The Allstate Corp. reported a 5.9 percent increase in bodily injury frequency and 6.3 percent increase in property dam-age frequency in full year 2015. Hartford Financial Services Group Inc. reported that frequency in auto business rose to 3.5-4 per-cent in the second half of 2015. In Hartford’s recent earnings conference call, the com-pany suggested that this frequency change may represent a new norm that will need to be incorporated into future rate filings. Development of additional safety features in cars, such as anti-lock brakes, back up cameras and parking assist have promoted accident reductions, making this shift in frequency a bit unusual. While determining specific causes behind changes in claims trends is difficult, an increase in miles driv-en as gasoline prices sharply declined and the employed labor force expanded is a like-ly contributing factor. Greater prevalence

of distracted driving with Americans ever growing dependence on handheld electron-ic devices may be another contributor to higher claims frequency. Profit improvement in private passenger automobile has been hindered for some

time by periodic increases in claims severi-ty. Rising auto claims severity is attributable to medical cost inflation, and higher repair bills. New and used automobile prices continue to increase. The cost of maintain-


www.insurancejournal.com

IDEA EXCHANGE

How did agencies in small towns ever get started? Someone wanted to work

on their own, in sales, and blaze their own future. People don’t usually get into insur-

ance on purpose, and especially not into the insurance agency busi-ness. This is the career by accident/fortune/karma industry. Many small town agencies were founded by peo-ple who easily might

have chosen another industry. They weren’t searching to found an insurance agency specifically. People who want to be in charge of their own future in small towns still exist. These people are likely no more or no less quali-fied than people who founded small town agencies 20, 40 or 50 years ago. Certain aggregators, franchisors and others are find-ing these folks and helping them start new agencies. Literally thousands of small town agencies have been founded in the past five to 10 years. The fact is that potential producers do exist. So why are small town agencies not finding them and if they do find them, why are they failing to convince these people to work for them rather than founding a competitor? The failure to hire these people is a double whammy because not only do they lose future production but their competition increases. The failure to find these producers before they become competitors is closely cor-related to this being an accidental/fortune/karma based industry. So many agency owners depend on a producer just falling into their laps rather than proactively and methodically finding these people first. The first factor that must change is the small town agency owner’s mind set. Good things do not always happen to good people. The mindset needs to be, if the owner wants a more assured future, build a methodical plan for hiring a producer who has no insurance experience.

By Chris Burand

The Competitive Advantage Many agency owners do not know how to build this plan or in many cases, how to get their heads around the entire concept. The concept is easy to put on paper but not so easy to grasp the first time a person actually attempts execution. The first time everything seems so theoretical, even ethe-real.

Building a Plan Step one is to identify — extremely specif-ically — three great reasons a person with no prior insurance experience, but wants to be in charge of their own destiny, should consider insurance. The reasons listed must be absolutely concrete. No cloud in the sky reasons are allowed like, “This is a great industry!” Better is, “You can make six fig-ures and eventually build a level of indepen-dence rarely available in today’s corporate world.” Step two is to identify — extremely spe-cifically — three great reasons a person with no prior insurance experience (or maybe with some experience), but who wants to be in charge of their own destiny, should consider your specific agency. Reasons listed must be even more tangible. “Our agency is a great place to work!” “We have a great reputation!” and other drib-ble will not suffice. Name exactly why your agency is a great place to build a six figure career. Details and tangi-ble

Finding Producers in Small Townsreasons inspire confidence and trust. Step three is to understand how important it is to attract people to the agency rather than you trying to find them. The most valuable marketing/advertising a small town agency might spend is money designed to attract quality people rather than clients. Build your networks to attract people as much as potential clients. Attracting high quality people is often a significant psychological barrier. Hiring quality people for the first time almost always invokes fear. It is fear of the unknown. It is fear of potentially being challenged. It is fear of not being good enough. Sometimes the fear is justified and sometimes it is not. Fear may be justified if, obviously, the agency is not a good place to work and build a six figure income. The calculation then becomes whether the financial and emotional cost of improving the agency is worth the rewards of simply having a better agency and even better, hav-ing an agency that is attractive to high qual-

ity people. If one’s retirement horizon is five years or less, the investment

may not make sense. If a longer horizon

exists, the financial invest-ment is almost certainly worthwhile. Whether the emotional investment is worthwhile can only be determined by the person seeking to hire. Quite

often the fear owners feel

is related to the


unknown and the fear of being challenged by a high quality person. If you feel these fears, quality coaching can work miracles if you’ll ask for the coaching. Overcoming these fears and feelings is rarely a DYI project. Asking for coaching assistance is not indicative of a weakness either. Asking for assistance is in fact a sign of strength, a sign of immense internal strength. One of the key reasons so many agen-cies stay small is the agency owner fails to find the strength to request assistance. I meet owners of small, medium and large agencies all the time and those that insist on a DIY process, or a de facto DIY process when they hire advisors/coaches that are sycophants, rarely ever achieve complete success. At best, with extremely few and

always unique situations, they look successful for a while mostly based on the owners’ personal skills, but they fail to build a true business. The most confident and most emotionally well-developed frequent-

ly seek great coaching. Quite similarly, if the fears are not well founded, the best solution is to ask for assistance to learn if your concerns are or are not justified. It is so hard to see one’s own agency from the outside including the qualities that will make it attractive. Usually only an outsider can provide the necessary clarity. Step four is to prepare yourself to sell the career but do not oversell. By this I mean, do not forget you are doing the hiring and it is most important for the candidate to talk than you. Agency owners can get so excited

they spend all the interview time selling the candidate instead of having candidates sell themselves. Step five, because agency owners in gener-al tend to like every candidate at first, use high quality testing and go with the results rather than your guts. Ask a key staff per-son to participate in the interviews. Finding high quality producers in small towns is not any more or any less easy than it has ever been. The key is building the methodical plan for attracting enough candidates, not just one but many, and then use the testing and interviewing process to select the best. We know for a fact thousands of people want to work in the industry as producers and they’re finding other options. It is key you get to them first!

Burand is the founder and owner of Burand & Associates LLC based in Pueblo, Colo. Phone: 719-485-3868. E-mail: [email protected].

COREL16598.indd 1 2/25/16 1:47 PM

So many agency owners depend on a producer

just falling into their laps rather than proactively

and methodically finding these people first.


IDEA EXCHANGE

By Alan Shulman

Growing Your Property Casualty Agency

ple value what they gather and would be devastated if their collections were lost. Routinely inquiring about collectables, as part of the personal insurance review pro-cess, helps clients to properly insure objects of substantial worth. It also helps people to understand what they’ll be paid in the event of a claim, including those with col-lections of minimal value.

Why Appraise? The acts of inquiring about and prop-erly insuring collections shouldn’t be reserved solely for high-value homeowners. Everyday folks need to explore the insurability of what they collect as well. Besides, they may possess treasures of which they weren’t even aware (think antique valuation TV shows). When warranted, suggest that local appraisers examine your insureds’ collections to schedule and value them.

In preparation for such assis-tance, stockpile the names and contact information of area appraisers for the most common collectables.

You might even bring some of these experts in for periodic

in-office “appraisal events.” Invite agency insureds, ex-cli-

ents, and selected pros-pects.

Collect Leads Virtually everything that someone collects is collected by others who share the same pas-sion — and these like-minded souls often huddle up to bask in their shared enjoyment. Ask your insureds whether they belong to such a group and if they do, inquire about it. Learn if enough members reside within your marketing territory, and if so endeavor to become

What People Collect Says Something About Themthe club’s “insurance expert.” Tout your interest and expertise within the group’s communications. Regularly interact with them on social media. Post non-promotional advice for collectors on how best to insure their property. Look to specialty carriers and MGAs for guidance. Simultaneously, run ads on the group’s website or blog and in their print or PDF publications. Direct interested members to a web-landing page on your site — to learn more — and to contact you. This dedicated

page might feature short videos of members display-ing their collections, and extolling the virtues of insur-ing with you. Market your skills to multiple groups to generate continuous activity.

People love their collections, so when you help to protect them, they may well show their appreciation with loyalty, referrals and multiple policy purchases.

Shulman, CPCU, is the publisher of Agency Ideas® sales and marketing newsletter (free basic subscrip-tion at www.agencyideas.com/join). He is also the author of “500 Sales Ideas for Commercial Lines Producers” among many other P&C sales resources. Email: [email protected]. Website: www.agencyideas.com.

Failing to ask about collections can leave a client un-or-under-insured.

Everybody collects something. Some of these “somethings” are valuable; some

are extremely valuable, while others are practically worthless. Regardless, what-

ever you collect says something about you and your interests; it’s a mini-window into your thirst for life.

Why Collect? People who collect various objects do it

primarily for the purposes of enjoyment or investment. These two motivations aren’t mutually exclusive; they are often inter-twined. For instance, collectors of sports and entertainment-related memorabilia, comic books and more, enthusiastically accumulate these items while recognizing their potential investment value. Ditto with antiques, classic cars, fine art, wine, etc. There are “for fun” collections as well, such as salt and peppershakers and souvenir mugs. These seldom have serious value, although there are likely exceptions.

Why Ask? The collections of your policyhold-ers and prospects represent doors you can enter, allowing you to peer beyond the homeown-er’s basic house and contents. You’ll uncover what interests them while helping to insure what the family elects to amass. Your reward is professional satisfaction, increased client loyalty, and additional com-missions. Failing to ask about collections can leave a client un-or-underinsured. Plus, adequately dealing with this potential expo-sure closes the door on rival agents who could use your insureds’ personal interests against you. Additionally, some collectables are eter-nally in demand, while others go in and out of fashion. Think coins and stamps versus fad items. Nevertheless, most peo-

March 7, 2016 INSURANCE JOURNAL-NATIONAL REGION | N31www.insurancejournal.com

2016 Hospitality Risks Directory

Searching for the right market for a hard-to-place hospitality risk? Look no further than Insurance Journal’s Hospitality Risks Directory — a comprehensive listing of excess and surplus

lines intermediaries and carriers offering hospitality risks coverage nationwide. The information listed in this directory has been compiled to serve as a resource guide for independent agents and brokers looking for superior markets for everything from nightclubs to special events, hotels to motels, spas, resorts and restaurants too. All markets profiled in this directory have been updated with the most current information available provided directly by the intermediaries and carriers writing the coverage. IJ has made every attempt to ensure the accuracy of all information listed in this directory. To submit a listing for future Hospitality Risks directories, e-mail Kristine Honey at: [email protected]. We hope you find IJ’s 2016 Hospitality Risks Directory to be a useful tool when searching for quality markets. To comment on this directory, or any other Insurance Journal resource, please e-mail: [email protected].

Banquet HallsHospitality RisksDirectory

2016

Banquet Halls StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RI Abram Interstate Insurance Services, Inc. CAAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WI AFC Insurance Most States Agency Intermediaries, Inc. CT ME All Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States Bass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WA Braishfield Associates, Inc. All StatesBrecht & Associates TXBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA CITA Insurance Services All StatesCk Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WA

Cochrane & Company ID MT OR WACPRO Associates AR OK TN TXCrusader Insurance Company CAEntertainment Brokers International (OneBeacon) All StatesEvolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGabor Insurance Services, Inc. FLGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYInsurance Multiplex Agency, LLC All StatesIzzo Insurance Services, Inc. All StatesJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MALevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WALionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WYM.J. Hall & Company, Inc. AK AZ CA HI NVMcClelland and Hine, Inc. TXMonitor Liability Managers All StatesN-Surance Outlets, Inc. AL FL GA LA NC SC TN Nautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPatriot National Underwriters, Inc. TXPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesQuirk & Company LA NM OK OR TX WARCA Insurance Group Most- see website for specificsRIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Roush Insurance Services, Inc. IL IN OHSCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASpecialty Insurance CA CT DE FL GA IL MA MD MI MN MO NJ NY OH PA RI TN TXSUITELIFE by Venture Insurance Programs All StatesTAPCO Underwriters, Inc. Most States Tejas American General Agency TXThe McGowan Companies All StatesTopa Insurance Company CAUnifax Insurance Systems, Inc. CAUSG Insurance Services, Inc. All StatesUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All States

N32 | INSURANCE JOURNAL-NATIONAL REGION March 7, 2016 www.insurancejournal.com


Bars/Night Clubs Bars/Night Clubs

StatesMarket Available A.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAACE Westchester Specialty--Property All StatesAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAdvanced E&S Group - Southeast (Taverns - no clubs) All states except KY Agency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXB&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABraishfield Associates, Inc. All StatesBrecht & Associates TXBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA Continental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXCrusader Insurance Company CAEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGabor Insurance Services, Inc. FLGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYHorizon E & S Insurance Brokerage AZ CA NV WA Indemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WAInsurance Multiplex Agency, LLC All StatesInternational Excess Companies All StatesIPC AZ CA ID NV OR WAIzzo Insurance Services, Inc. All StatesJ.M. Wilson Most StatesJacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies (and Taverns) DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MALevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WALionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WY

StatesMarket Available M.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMAXIMUM All StatesMcClelland and Hine, Inc. TXMexiPass International Insurance Services, LLC All StatesMidlands Most StatesMorstan General Agency of Florida II, Inc. All States N-Surance Outlets, Inc. AL FL GA LA NC SC TNNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNorthern Underwriting Managers Most StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPartners Specialty Group, LLC All States Patriot National Underwriters, Inc. TXPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc.- Underwriting Facilities All StatesPromont Advisors, LLC (and Taverns) All StatesPromont Specialty (no nightclubs) All StatesQuaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARCA Insurance Group (and Taverns) Most- see website for specificsRegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Risk Placement Services, Inc. All StatesRMS Hospitality Group All except AK VT WVRoush Insurance Services, Inc. IL IN OHSCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Southwest Risk, LP All except AK HI NJ NYSpecialty Insurance (and Taverns) CA CT DE FL GA IL MA MD MI MN MO NJ NY OH PA RI TN TXTejas American General Agency TXTopa Insurance Company CAU.S. Risk Insurance Group, Inc. All StatesUnifax Insurance Systems, Inc. CAUSASIA Insurance Services CA NVUSG Insurance Services, Inc. All StatesUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Security Surplus Insurance Brokers CA TX Western Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All StatesWright Insurance Services, LLC All States

Bars / Night Clubs coverage category sponsored by:Midlands - check out our ad on page 4 (South Central)



Bed & Breakfasts Bed & Breakfasts StatesMarket Available A.I.I. Insurance Brokerage of Mass., Inc. MA NH RI Advanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Appleby & Sterling AZ CA NVArlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States B&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABrecht & Associates TX Burns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCITA Insurance Services All StatesCk Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WA Cochrane & Company ID MT OR WAContinental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXCrusader Insurance Company CAEvolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYIPC AZ CA ID NV OR WAJ.M. Wilson Most States James River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MAM.J. Hall & Company, Inc. AK AZ CA HI NVMcClelland and Hine, Inc. TXMexiPass International Insurance Services, LLC All StatesMonitor Liability Managers All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NVNIF Group All StatesPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPatriot National Underwriters, Inc. TXPhiladelphia Insurance Companies Most StatesPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesPromont Advisors, LLC All StatesPromont Specialty (GL & Liquor only) All States (no GL in LA)Quaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARIC Insurance General Agency, Inc. CARisk Placement Services, Inc. All StatesSCU - All Offices All StatesSouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN SUITELIFE by Venture Insurance Programs All StatesTAPCO Underwriters, Inc. Most States Tejas American General Agency TXThe McGowan Companies All States

Breweries/Micro

StatesMarket Available Topa Insurance Company CAUnifax Insurance Systems, Inc. CAUnisource Program Administrators All except MonopolisticW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All States

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAACE Westchester Specialty--Property All StatesAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Appleby & Sterling AZ CA NVArlington/Roe & Co of Indiana IL IN KY MI OH TNBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABrecht & Associates TXChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA Ck Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WA Cochrane & Company ID MT OR WACPRO Associates AR OK TN TXCrusader Insurance Company CADelta General Agency Corp. TXEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYIndemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WA Insurance Multiplex Agency, LLC All StatesInternational Excess Companies All StatesIPC AZ CA ID NV OR WAIzzo Insurance Services, Inc. All StatesJ.M. Wilson Most States Jacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WV

Breweries/Micro coverage category sponsored by:Anderson & Murison - check our ad on pg 28 (National Section)



Breweries/Micro

Casinos

StatesMarket Available M.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMorstan General Agency of Florida II, Inc. All StatesN-Surance Outlets, Inc. AL FL GA LA NC SC TNNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPartners Specialty Group, LLC All StatesPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesQuaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARCA Insurance Group Most- see website for specificsRIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Roush Insurance Services, Inc. IL IN OHSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Specialty Insurance CA CT DE FL GA IL MA MD MI MN MO NJ NY OH PA RI TN TXTejas American General Agency TXTopa Insurance Company CAU.S. Risk Insurance Group, Inc. All StatesUnifax Insurance Systems, Inc. CAUnisource Program Administrators All except MonopolisticW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TN

Casinos StatesMarket Available Gray-Stone & Company, Inc. Most StatesIzzo Insurance Services, Inc. All StatesJ.M. Wilson Most StatesJames River Insurance Company All StatesLionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WYM.J. Hall & Company, Inc. AK AZ CA HI NVMAXIMUM All StatesNIF Group All StatesPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPrime Insurance Company All except CA NH NY RIRIC Insurance General Agency, Inc. CAU.S. Risk Insurance Group, Inc. All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWholesale Connection Insurance Services CAWright Insurance Services, LLC All States

Caterers StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAFC Insurance Most States Agency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States B&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABraishfield Associates, Inc. All StatesBrecht & Associates TXChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA Ck Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WA Cochrane & Company ID MT OR WACPRO Associates AR OK TN TXDelta General Agency Corp. TXEntertainment Brokers International (OneBeacon) All StatesEvolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGabor Insurance Services, Inc. FLGorst & Compass Insurance CAGray-Stone & Company, Inc. Most States

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIACE Westchester Specialty--Property All StatesAgency Intermediaries, Inc. CT MEAmerican Specialty Ins. & Risk Services, Inc. All StatesAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All StatesB&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABrecht & Associates TXChopra Insurance Brokerage, Inc. CA NJ NV NYCPRO Associates AR OK TN TXDistinguished Specialty All StatesEntertainment Brokers International (OneBeacon) All StatesEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All States



Caterers StatesMarket Available Gremesco Of New Jersey NJ NYIndemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WA International Excess Companies All StatesJacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MALevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WA Lionheart Insurance Services, Inc. (Large Caterers) AZ CA CO HI ID NM NV OK TX UT WA WYM.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMcClelland and Hine, Inc. TXMonitor Liability Managers All StatesMorstan General Agency of Florida II, Inc. All StatesNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPartners Specialty Group, LLC All States Patriot National Underwriters, Inc. TXPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesProHost USA All States except AKQuirk & Company LA NM OK OR TX WARCA Insurance Group Most- see website for specificsRegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Roush Insurance Services, Inc. IL IN OHSCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Specialty Insurance (and Delis) CA CT DE FL GA IL MA MD MI MN MO NJ NY OH PA RI TN TXTAPCO Underwriters, Inc. Most States Tejas American General Agency TXThe McGowan Companies All StatesTopa Insurance Company CAU.S. Risk Insurance Group, Inc. All StatesUnisource Program Administrators All except MonopolisticUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Security Surplus Insurance Brokers CA TX Western Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWright Insurance Services, LLC All States

Dinner Theaters StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABrecht & Associates TXChopra Insurance Brokerage, Inc. CA NJ NV NYContinental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXCrusader Insurance Company CADelta General Agency Corp. TXEntertainment Brokers International (OneBeacon) All StatesEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYInsurance Multiplex Agency, LLC All StatesJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVLionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WYM.J. Hall & Company, Inc. AK AZ CA HI NVMcClelland and Hine, Inc. TXMonitor Liability Managers All StatesNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NVNIF Group All StatesPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPhiladelphia Insurance Companies Most StatesPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc.- Underwriting Facilities All StatesPromont Advisors, LLC All StatesQuirk & Company LA NM OK OR TX WARIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Tejas American General Agency TXU.S. Risk Insurance Group, Inc. All StatesUnifax Insurance Systems, Inc. CAUnisource Program Administrators All except MonopolisticW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All StatesWright Insurance Services, LLC All States



Gentlemen’s Clubs StatesMarket Available A.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNB&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABraishfield Associates, Inc. All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYContinental Risk Insurance Services Most StatesCrusader Insurance Company CAEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYHorizon E & S Insurance Brokerage AZ CA NV WA Insurance Multiplex Agency, LLC All StatesJacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVLevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WALionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WY M.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMAXIMUM All StatesMcClelland and Hine, Inc. TXMidlands Most StatesMorstan General Agency of Florida II, Inc. All StatesN-Surance Outlets, Inc. AL FL GA LA NC SC TNNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPartners Specialty Group, LLC All StatesPrime Insurance Company All except CA NH NY RIQuaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARCA Insurance Group Most- see website for specificsRegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARisk Placement Services, Inc. All StatesRMS Hospitality Group All except AK VT WV

Gentleman’s Clubs StatesMarket Available Southwest Risk, LP All except AK HI NJ NYTejas American General Agency TXU.S. Risk Insurance Group, Inc. All StatesUnifax Insurance Systems, Inc. CAUSG Insurance Services, Inc. All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWholesale Connection Insurance Services CAWright Insurance Services, LLC All States

Hotels/Motels

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIACE Westchester Specialty--Property All StatesAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAdvanced E&S Group - Southeast Region All states except KY Agency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmerican Union Risk Associates, LLC All States AmWINS Group, Inc. All StatesAnderson & Murison, Inc. All StatesAppleby & Sterling AZ CA NVArlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States B&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABrecht & Associates TXBurns & Wilcox All StatesCITA Insurance Services All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA Ck Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WA Cochrane & Company ID MT OR WAContinental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXCrusader Insurance Company CA Delta General Agency Corp. TXDistinguished Specialty All StatesEntertainment Brokers International (OneBeacon) All StatesEvolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXGabor Insurance Services, Inc. FLGorst & Compass Insurance CAGray-Stone & Company, Inc. Most States



Hotels/Motels StatesMarket Available Gremesco Of New Jersey NJ NYHorizon E & S Insurance Brokerage AZ CA NV WA Hotels & Resorts Insurance Program – CITA Ins. All StatesServices (3, 4 & 5 Star Rated based on Amenities)Indemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WA Insurance Multiplex Agency, LLC All StatesInternational Excess Companies All StatesIPC AZ CA ID NV OR WAIzzo Insurance Services, Inc. All StatesJ.M. Wilson Most States Jacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVKZ Insurance Brokerage, LLC AZ CA CO LA NV TNLevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WA M.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMAXIMUM All StatesMcClelland and Hine, Inc. TXMexiPass International Insurance Services, LLC All StatesMidlands Most StatesMonitor Liability Managers All StatesMorstan General Agency of Florida II, Inc. All StatesN-Surance Outlets, Inc. AL FL GA LA NC SC TNNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV NIF Group All StatesNorthern Underwriting Managers Most StatesPartners Specialty Group, LLC All StatesPatriot National Underwriters, Inc. TXPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesPromont Advisors, LLC All StatesPromont Specialty (GL & Liquor only) All States (no GL in LA)Quaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARisk Placement Services, Inc. All StatesRoush Insurance Services, Inc. IL IN OHSangamon Associates/Hotel Excess All States SCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Southwest Risk, LP All except AK HI NJ NYSUITELIFE by Venture Insurance Programs All StatesTAPCO Underwriters, Inc. Most States Tejas American General Agency TXThe McGowan Companies All StatesTopa Insurance Company CATravelers All States

Hotels/Motels

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIACE Westchester Specialty--Property All StatesAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNAtlas General Insurance Services, LLC Many States Bass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WA Brecht & Associates TXBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCITA Insurance Services All StatesCochrane & Company ID MT OR WACPRO Associates AR OK TN TXDelta General Agency Corp. TXDistinguished Specialty All StatesEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesHotels & Resorts Insurance Program – CITA Ins. All StatesServices (3, 4 & 5 Star Rated based on Amenities)

StatesMarket Available U.S. Risk Insurance Group, Inc. All StatesUCA General Insurance Services, Inc. AZ CA ID IL NV OR UT WA WIUnifax Insurance Systems, Inc. CAUnisource Program Administrators All except MonopolisticUSG Insurance Services, Inc. All StatesUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All StatesWright Insurance Services, LLC All StatesZurich Programs Nationwide

ResortsResorts coverage category sponsored by:

Gorst & Compass Insurance - check out our ad on page 12 (West Region)



Resorts StatesMarket Available Izzo Insurance Services, Inc. All StatesJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVK & K Insurance Group, Inc. All StatesM.J. Hall & Company, Inc. AK AZ CA HI NVMAXIMUM All StatesMexiPass International Insurance Services, LLC All StatesMonitor Liability Managers All StatesNIF Group All StatesNorthern Underwriting Managers Most StatesPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPatriot National Underwriters, Inc. TXPhiladelphia Insurance Companies Most StatesPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc.- Underwriting Facilities All StatesPromont Specialty (GL & Liquor only) All States (no GL in LA)Quirk & Company LA NM OK OR TX WARIC Insurance General Agency, Inc. CARisk Placement Services, Inc. All StatesSUITELIFE by Venture Insurance Programs All StatesTejas American General Agency TXThe McGowan Companies All StatesTravelers All States USG Insurance Services, Inc. All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All StatesWright Insurance Services, LLC All StatesZurich Programs Nationwide

Restaurants

StatesMarket Available Arlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States B&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABraishfield Associates, Inc. All StatesBrecht & Associates TXBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA CITA Insurance Services All StatesCk Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WAContinental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXCrusader Insurance Company CADelta General Agency Corp. TXDistinguished Specialty All StatesEntertainment Brokers International (OneBeacon) All StatesEntertainment Risk AZ CA CO FL GA IL LA MA MD MI NJ NV NY TN TX UT VA Evolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGabor Insurance Services, Inc. FLGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYHorizon E & S Insurance Brokerage AZ CA NV WA Hotels & Resorts Insurance Program – CITA Ins. All StatesIndemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WAInsurance Multiplex Agency, LLC All StatesInternational Excess Companies All StatesIPC (includes Food Delivery) AZ CA ID NV OR WAIrving Weber Associates, Inc. (no Fast Food) All StatesIzzo Insurance Services, Inc. All StatesJ.M. Wilson Most States Jacobs & Associates OH James River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MAKZ Insurance Brokerage, LLC AZ CA CO LA NV TNLevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WALionheart Insurance Services, Inc. AZ CA CO HI ID NM NV OK TX UT WA WY M.J. Hall & Company, Inc. AK AZ CA HI NVMarket Finders Insurance Corp. All StatesMAXIMUM All StatesMcClelland and Hine, Inc. TXMexiPass International Insurance Services, LLC All States

Restaurants

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAACE Westchester Specialty--Property All StatesAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAdvanced E&S Group - Southeast Region All states except KY AFC Insurance Most States Agency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Appleby & Sterling AZ CA NV

Restaurants coverage category sponsored by:Burns & Wilcox - we’re on page 9 (National)

M.J. Hall & Company - check us out on page 8 (West)



Restaurants StatesMarket Available Midlands Most StatesMonitor Liability Managers All StatesMorstan General Agency of Florida II, Inc. All StatesN-Surance Outlets, Inc. AL FL GA LA NC SC TNNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNorthern Underwriting Managers Most StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPatriot National Underwriters, Inc. TXPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc. - Underwriting Facilities All StatesProHost USA All States except AKPromont Advisors, LLC (and Diners) All StatesPromont Specialty All StatesQuaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARCA Insurance Group Most- see website for specificsRegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARISCO Insurance Brokerage, Inc. CT MA ME NH NY RI VT Risk Placement Services, Inc. All StatesRMS Hospitality Group (+ Franchise & Fast Food) All except AK VT WVRoush Insurance Services, Inc. IL IN OHSCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Southwest Risk, LP All except AK HI NJ NYSpecialty Insurance (and Delis) CA CT DE FL GA IL MA MD MI MN MO NJ NY OH PA RI TN TXTAPCO Underwriters, Inc. Most States Target Market Specialists All StatesTejas American General Agency TXThe McGowan Companies All StatesTokio Marine HCC, Specialty Group All StatesTopa Insurance Company CATravelers All StatesU.S. Risk Insurance Group, Inc. All StatesUCA General Insurance Services, Inc. AZ CA ID IL NV OR UT WA WIUnifax Insurance Systems, Inc. CAUnisource Program Administrators All except MonopolisticUSASIA Insurance Services CA NVUSG Insurance Services, Inc. All StatesUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Security Surplus Insurance Brokers CA TX Western Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWright Insurance Services, LLC All States

Spas StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAAgency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Appleby & Sterling AZ CA NVArlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXAtlas General Insurance Services, LLC Many States B&H Risk Services Most StatesBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WABraishfield Associates, Inc. All StatesBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCITA Insurance Services All StatesCk Specialty Insurance Associates - All Offices AZ CA CO ID NV OR UT WACPRO Associates AR OK TN TXDistinguished Specialty All StatesEntertainment Brokers International (OneBeacon) All StatesEvolution Insurance Brokers All StatesGabor Insurance Services, Inc. FLGorst & Compass Insurance CA Gray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYHotels & Resorts Insurance Program – CITA Ins. All StatesIndemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WA International Excess Companies All StatesIzzo Insurance Services, Inc. All StatesJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MAM.J. Hall & Company, Inc. AK AZ CA HI NVMexiPass International Insurance Services, LLC All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NVNIF Group All StatesPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPhiladelphia Insurance Companies Most StatesPrime Insurance Company All except CA NH NY RIProfessional Liability Ins. Svcs, Inc.- Underwriting Facilities All StatesProfessional Program Insurance Brokerage Most StatesQuirk & Company LA NM OK OR TX WARegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CASASSI - Salon & Spa Specialty Insurance Most StatesSUITELIFE by Venture Insurance Programs All StatesTAPCO Underwriters, Inc. Most States Tejas American General Agency TXU.S. Risk Insurance Group, Inc. All StatesUnisource Program Administrators All except MonopolisticUSX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TN



Special Events

StatesMarket AvailableA.I.I. Insurance Brokerage of Mass., Inc. MA NH RIAbram Interstate Insurance Services, Inc. CAAdvanced E&S Group - Midwest Region CO FL IA IL IN KS KY MI MN MO NE OH TX WIAdvanced E&S Group - Southeast Region All states except KY Agency Intermediaries, Inc. CT MEAll Risks, Ltd. Has Pen, All StatesAmerican Specialty Ins. & Risk Services, Inc. All StatesAmWINS Group, Inc. All StatesAnderson & Murison, Inc. All States Arlington/Roe & Co of Indiana IL IN KY MI OH TNAshley General Agency TXBass Underwriters AL CA CO FL GA LA MS NJ NV NY OR PA SC TX WA Braishfield Associates, Inc. All StatesBrecht & Associates TXBurns & Wilcox All StatesChopra Insurance Brokerage, Inc. CA NJ NV NYCID Insurance Programs, Inc. AZ CA CO ID MD NE NM NV OR TN TX UT WA CITA Insurance Services All StatesCochrane & Company ID MT OR WAContinental Risk Insurance Services Most StatesCPRO Associates AR OK TN TXDelta General Agency Corp. TXEntertainment Brokers International (OneBeacon) All StatesEvolution Insurance Brokers All StatesExecutive Insurance Professionals, PLLC OK TXFounders Insurance Company AL CO CT FL IA IL IN KS LA MD MI MN MT NC NH NV NY OH OR TN VA WIGabor Insurance Services, Inc. FLGateway Specialty Insurance All except AK LA WVGorst & Compass Insurance CAGray-Stone & Company, Inc. Most StatesGremesco Of New Jersey NJ NYIndemnity Excess & Surplus Agency AZ CA CO ID MT NV OR TX WA

Special Events StatesMarket Available International Excess Companies All StatesJ.M. Wilson Most States Jacobs & Associates OHJames River Insurance Company All StatesJimcor Agencies DE FL MA MD NJ NY OH PA RI WVJoseph Krar & Associates CT MAK & K Insurance Group, Inc. All StatesLevelFirst AR AZ CA CO GA KS LA MO MS NJ NM NV OH OK PA TX WALionheart Insurance Services, Inc. (Large Events) AZ CA CO HI ID NM NV OK TX UT WA WYM.J. Hall & Company, Inc. AK AZ CA HI NV Market Finders Insurance Corp. All StatesMAXIMUM All StatesMcClelland and Hine, Inc. TXMexiPass International Insurance Services, LLC All StatesMidlands Most StatesMorstan General Agency of Florida II, Inc. All States N-Surance Outlets, Inc. AL FL GA LA NC SC TNNautilus Insurance Co. & Great Divide Ins. Co. All StatesNeitClem Wholesale Insurance Brokerage, Inc. AZ CA NV New England Excess Exchange, Ltd. CT MA ME NH NJ NY OH PA RI VTNIF Group All StatesNumber One Insurance Agency, Inc. MAPacific Excess Insurance Marketing AZ CA CO IA ID IL IN KS MO MT NE NM NV OK OR TX UT WA WIPartners Specialty Group, LLC All States Philadelphia Insurance Companies Most StatesPrime Insurance Company All except CA NH NY RIProfessional Program Insurance Brokerage Most StatesQuaker Special Risk Most StatesQuirk & Company LA NM OK OR TX WARegency Insurance Brokerage Services State availability varies - call us!RIC Insurance General Agency, Inc. CARisk Placement Services, Inc. All StatesRMS Hospitality Group All except AK VT WVRoush Insurance Services, Inc. IL IN OHSCU - All Offices All StatesSCU - Middletown CT MA ME NH NJ RI PASouthern Insurance Underwriters, Inc. CMGA AL FL GA SC TN Southwest Risk, LP All except AK HI NJ NYTAPCO Underwriters, Inc. Most States The McGowan Companies All StatesTokio Marine HCC, Specialty Group All StatesU.S. Risk Insurance Group, Inc. All StatesUSASIA Insurance Services CA NVUSG Insurance Services, Inc. All States USX/S All StatesW.A. Schickedanz Agency, Inc. IL MOWalter General Agency (WGA) AR IA IL IN KS KY MO OK TNWestern Security Surplus Insurance Brokers CA TX Western Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWillis Programs, ResortGuard Ins. Program All States

Spas StatesMarket Available Western Special Risks, Inc. AZ NVWestern Surplus Lines Agency, Inc. LA ND NM OK TX Wholesale Connection Insurance Services CAWright Insurance Services, LLC All StatesZurich Programs Nationwide

Special Events coverage category sponsored by:Abram Interstate - check out our ad on page 6 (West Region)

A.I.I. Insurance Brokerage of Mass., Inc. 183 Davis St., Douglas, MA 01516 Phone: 508-476-1990, Fax: 508-476-1991Email: [email protected] www.agencyint.com

Abram Interstate Ins. Services, Inc.2211 Plaza Dr., Ste. 100, Rocklin, CA 95765Phone: 916-780-7000, Fax: 916-780-7181Email: [email protected]

ACE Westchester Specialty--PropertySan Francisco: Caroline Barwick - Phone: 415-547-4568 Email: [email protected] Atlanta: John Lavin - Phone: 678-795-4022 Email: [email protected] www.acewestchester.com

Advanced E&S Group - Midwest Region500 N. Michigan Ave., Ste. 1039, Chicago, IL 60611 Phone: 866-867-0505, Fax: 312-245-3001 Email: [email protected]

Advanced E&S Group - Southeast Region3250 N. 29th Ave., Hollywood, FL 33020 Phone: 954-842-7826, Fax: 904-834-4479 Email: [email protected]

AFC Insurance3101 Emrick Blvd., Ste. 318, Bethlehem, PA 18020 Phone: 877-456-5323 ext. 1838, Fax: 610-974-8574 Email: [email protected] www.afcins.com

Agency Intermediaries, Inc.1575 Boston Post Rd., Guilford, CT 06437 Phone: 203-453-2859, Fax: 203-453-8859 Email: [email protected] www.agencyint.com

All Risks, Ltd.10150 York Rd., 5th Fl, Hunt Valley, MD 21030 Phone: 800-366-5810, Fax: 410-828-8179Email: [email protected] www.allrisks.com

American Specialty Insurance & Risk Services7609 W. Jefferson Blvd., Ste. 100, Fort Wayne, IN 46804Phone: 260-969-5203, Fax: 260-969-4729 Email: [email protected] for CasinosEmail: [email protected] for Special Eventswww.amerspec.com

American Union Risk Associates, LLC1250 E. Hallandale Beach Blvd., Ste. 1003 Hallandale Beach, FL 33009 Phone: 954-362-1520, Fax: 954-362-1527 Email: [email protected]

AmWINS Group, Inc. See Website for Locations - HQ - Charlotte, NC 28210Phone: 704-973-3489, Fax: 704-943-9000Email: [email protected]

Anderson & Murison, Inc. 800 W. Colorado Blvd., Los Angeles, CA 90041Phone: 323-255-2333, Fax: 323-255-0957Email: [email protected]

Appleby & Sterling 2290 Agate Ct., Ste. D, Simi Valley, CA 93065 Phone: 805-583-9828, Fax: 805-583-9832 Email: [email protected] www.applebyandsterling.com

Arlington/Roe & Co of Indiana 8900 Keystone Crossing, Ste. 800 Indianapolis, IN 46240 Phone: 800-878-9891, Fax: 888-552-9891 Email: [email protected] www.arlingtonroe.com

Ashley General Agency 2040 N. Loop 336 W, Ste. 200, Conroe, TX 77304 Phone: 936-441-5959, Fax: 936-521-5922 Email: [email protected] www.ashleyga.com

Atlas General Insurance Services, LLC 4365 Executive Dr., Ste. 400, San Diego, CA 92121 Phone: 877-66-ATLAS, Fax: 619-814-8914 Email: [email protected]

B&H Risk Services 15660 N. Dallas Pkwy, Ste. 660, Dallas, TX 75248 Phone: 972-598-0416 ext. 416 Email: [email protected]

Bass Underwriters 6951 W. Sunrise Blvd., Plantation, FL 33313 Phone: 954-473-4488, Fax: 954-316-3100 Email: [email protected]

Braishfield Associates, Inc.2966 Commerce Park Dr., Ste. 350, Orlando, FL 32819Phone: 407-825-9911, Fax: 407-825-9737Email: [email protected]

Brecht & Associates 1450 Hughes Rd., Ste. 109, Grapevine, TX 76051 Phone: 817-424-5335, Fax: 817-424-3772 Email: [email protected] www.brechtassoc.com

Burns & Wilcox - All Offices See Website for Locations HQ - Detroit/Farmington HillsPhone: 248-932-9000, Fax: 248-932-9046 Email: [email protected] www.burnsandwilcox.com

Chopra Insurance Brokerage, Inc.16800 Devonshire St., Granada Hills, CA 91344Phone: 818-923-6090, Fax: 818-923-6203Email: [email protected]

CID Insurance Programs, Inc. 7125 El Cajon Blvd. Ste 3, San Diego, CA 92115Phone: 800-922-7283, Fax: 619-593-2008Email: [email protected] www.cidinsurance.com

CITA Insurance Services681 S. Parker St., Orange, CA 92868Phone: 714-939-7420, Fax: 714-939-7437Email: [email protected]

Ck Specialty Insurance Associates - All OfficesSee Website for Addresses, HQ - San Jose, CA 95037Phone: 800-411-0083, Fax: 408-227-7732Email: [email protected]

Cochrane & CompanyP.O. Box 19150, Spokane, WA 99219Phone: 509-838-0655, Fax: 509-838-1710Email: [email protected]

Continental Risk Insurance Services330 S. Fairmont Ave., Ste. 2, Lodi, CA 95240Phone: 209-365-6130, Fax: 209-365-6040Email: [email protected]

CPRO Associates5501 LBJ Fwy., Ste 240, Dallas, TX 75240Phone: 972-598-0400Email: [email protected]

Crusader Insurance Company 26050 Mureau Rd., Calabasas, CA 91302 Phone: 800-669-9800, Fax: 818-591-9856 Email: [email protected] www.crusaderinsurance.com

Delta General Agency Corp. P.O. Box 2045, Houston, TX 77252Phone: 713-570-2700, Fax: 713-570-2800 Email: [email protected] www.deltains.com

Distinguished Specialty 11245 SE 6th St., Ste. 100, Bellevue, WA 98004Phone: 425-213-5130, Fax: 212-297-3130Email: [email protected]

Entertainment Brokers International - A member of the OneBeacon Insurance Group1100 Glendon Ave., Ste. 900, Los Angeles, CA 90024Phone: 781-332-8450, Fax: 866-934-4992 Email: [email protected] www.onebeacon.com

2016 Hospitality Risks Directory - Alphabetical Directory of Markets


2016 Hospitality Risks Directory Entertainment Risk 11350 McCormick Rd. Executive Plaza 2, Ste. 1002 Hunt Valley, MD 21031 Phone: 844-368-7475Email: [email protected]

Evolution Insurance Brokers 8722 S. Harrison St., Salt Lake City, UT 84070Phone: 877-678-7342, Fax: 877-678-7342 Email: [email protected]

Executive Insurance Professionals, PLLC 6001 W. Interstate 20, Ste. 214, Arlington, TX 76017Phone: 800-779-4095, Fax: 866-779-4331 Email: [email protected] www.execins.com

Founders Insurance Company 1111 E. Touhy Ave., Des Plaines, IL 60018Contact: Pat Vaulman Phone: 800-768-0040 ext 2562, Fax: 847-296-3362Email: [email protected]

Founders is a multi-state specialty carrier, serving the insurance needs of independent agents for over 100 years. Founders special-izes in writing Liquor Liability and Special Events (liquor & GL*) coverages for the hospitality industry. Founders is rated “A-” or “Excellent” by A.M. Best, and is a member of the Utica National Insurance Group. * (excludes AL, FL)

Gabor Insurance Services, Inc.Gabor Insurance Services, Inc.Phone: 786-924-7055, Fax: 786-924-7065Email: [email protected]

Gateway Specialty Insurance 1170 Devon Park Dr., Wayne, PA 19087Phone: 877-977-4474, Fax: 610-254-1855Email: [email protected]

Gorst & Compass Insurance9310 Topanga Canyon Blvd., Chatsworth, CA 91311 Phone: 818-507-0900, Fax: 818-507-1133 Email: [email protected]

Gray-Stone & Company, Inc. 275 E. Hillcrest Dr., Ste. 250, Thousand Oaks, CA 91360 Phone: 805-494-4440, Fax: 805-494-8798 Email: [email protected] ; [email protected]

Gremesco Of New Jersey 1711 Ginesi Dr., Freehold, NJ 07728Phone: 732-761-9904, Fax: 732-761-9905Email: [email protected]

Horizon E & S Insurance Brokerage 2245 First St., Ste. 211b, Simi Valley, CA 93065 Phone: 805-494-6553, 805-494-6778 Email: [email protected] www.horizonsurplus.com

Hotels & Resorts Insurance Program – CITA Insurance Services681 S. Parker St., Ste. 300, Orange, CA 92868 Phone: 714-939-7420, Fax: 714-939-7437 Email: [email protected]

Indemnity Excess & Surplus Agency 1915 NW AmberGlen Pky, Ste. 450, Beaverton, OR 97006Phone: 503-526-9700, Fax: 503-626-2260Email: [email protected]

Insurance Multiplex Agency, LLC 365 W. Passaic St., Ste. 225, Rochelle Park, NJ 07662Phone: 201-880-1891, Fax: 201-880-1895Email: [email protected]

International Excess Companies 3700 Park East Dr., Ste. 250, Beachwood, OH 44122Phone: 216-797-9700, Fax: 216-797-9970Email: [email protected]

IPCP.O. Box 1150, Gardnerville, NV 89410Phone: 775-782-6655, Fax: 775-782-6654Email: [email protected]

Irving Weber Associates, Inc. (IWA)180 E. Main St., Ste. 208, Smithtown, NY 11787Phone: 855-661-4557, Fax: 888-622-0414Email: [email protected]

Izzo Insurance Services, Inc.150 S. Bloomingdale Rd., Bloomingdale, IL 60108Phone: 800-800-1704, Fax: 630-582-2803Email: [email protected]: [email protected]

J.M. Wilson8036 Moorsbridge Rd., Portage, MI 49024 Phone: 800-282-8113, Fax: 269-327-2620 Email: [email protected] www.jmwilson.com

Jacobs & Associates12782 Prospect Rd., Strongsville, OH 44149 Phone: 440-625-2690, Fax: 440-625-2731Email: [email protected] www.jacobsnow.com

James River Insurance Company 6641 W. Broad St., Ste. 300, Richmond, VA 23230 Phone: 804-289-2700, Fax: 804-549-5087 Email: [email protected] www.jamesriverins.com

Jimcor Agencies60 Craig Rd., Montvale, NJ 07645Phone: 201-573-8200, Fax: 201-573-8820 Email: [email protected] www.jimcor.com

Joseph Krar & Associates, Inc.1676 West St., Southington, CT 06489Phone: 860-628-3967, Fax: 860-628-3967 Email: [email protected] www.jkrar.com

K & K Insurance Group, Inc. 1712 Magnavox Way, Ft. Wayne, IN 46804Special Events Ph: 800-553-8368, Fx: 260-459-56243Resorts Ph: 877-355-0315, Fx: 260-459-5990 Email: [email protected] www.kandkinsurance.com

With over 60 years of experience, K&K is a leading provider of specialty coverage for the sports, leisure, recreation, entertainment and motorsports industries. Over 5,000 agents across the U.S. choose K&K for competitive rates and admitted coverage—visit www.kandkinsurance.com for applications and underwriting guidelines.

LevelFirst5501 LBJ Fwy, Ste. 720, Dallas, TX 75240Phone: 214-702-9389, Fax: 214-736-8628 Email: [email protected] www.level1st.com

Lionheart Insurance Services, Inc.2742 Kingclaven Dr., Henderson, NV 89044Phone: 702-834-8140Fax: 702-834-8140Email: [email protected]

M.J. Hall & Company, Inc. P.O. Box 192, Stockton, CA 95201 Phone: 209-948-8108, Fax: 209-465-3843 Email: [email protected]

Market Finders Insurance CorpP.O. Box 6549, Louisville, KY 40206Phone: 800-626-5660, Fax: 502-426-7970 Email: [email protected]

MAXIMUM222 S. Riverside Plaza, Ste. 2340, Chicago, IL 60606Phone: 312-559-9348, Fax: 312-559-0930 Email: [email protected] www.maxib.com


www.insurancejournal.comN42 | INSURANCE JOURNAL-NATIONAL REGION March 7, 2016

2016 Hospitality Risks DirectoryMcClelland and Hine, Inc. P.O. Box 700930, San Antonio, TX 78270 Phone: 800-333-2017, Fax: 210-366-2407 Email: [email protected] www.mhi-mga.com

MexiPass International Insurance Services, LLCP.O. Box 60727, Pasadena, CA 91116 Phone: 800-639-4727, Fax: 800-639-4727 Email: [email protected]

Midlands 3817 NW Expy, Ste. 1000, Oklahoma City, OK 73112 Phone: 800-800-4007, Fax: 800-800-4007 Email: [email protected]

Monitor Liability Managers 233 S. Wacker Dr., Ste. 3900, Chicago, IL 60606 Phone: 312-800-6200, Fax: 312-207-1839 Email: [email protected] www.monitorliability.com

Morstan General Agency of Florida II, Inc. 1835 Banks Rd., Margate, FL 33063Phone: 800-261-5177, Fax: 516-302-8951Email: [email protected]

N-Surance Outlets, Inc. 1792 Woodstock Rd., Bldg. 200, Roswell, GA 30075Phone: 770-971-9975, Fax: 770-971-7608Email: [email protected]

Nautilus Insurance Co. & Great Divide Ins. Co.7233 E. Butherus Dr., Scottsdale, AZ 85260Phone: 480-951-0905, Fax: 480-951-9730 Email: [email protected]

NeitClem Wholesale Insurance Brokerage, Inc.7442 N. Figueroa St., Los Angeles, CA 90041Phone: 323-258-2600, Fax: 323-258-2676 Email: [email protected]

New England Excess Exchange, Ltd.P.O. Box 650, Barre, VT 05641Phone: 800-548-4301, Fax: 800-347-4935 Email: [email protected]

NIF Group30 Park Ave., Manhasset, NY 11030Phone: 516-365-7440, Fax: 516-365-7392 Email: [email protected]

Northern Underwriting Managers6060 Strathmoor Dr., Ste. 3, Rockford, IL 61107Phone: 815-226-9353 ext. 104 Email: [email protected]

Number One Insurance Agency, Inc.91 Cedar St., Milford, MA 01757Phone: 508-634-2902, Fax: 508-634-2930 Email: [email protected]

Pacific Excess Insurance Marketing6363 Katella Ave., Cypress, CA 90630Phone: 800-222-5582, Fax: 714-228-7838 Email: [email protected]

Pacific Excess Insurance Marketing is a Wholesaler/General Agent with access to many Standard, Surplus Lines and Workers’ Compensation Markets in 19 states.

Partners Specialty Group, LLC100 Tournament Dr., Ste. 214, Horsham PA 19044Phone: 484-322-0400, Fax: 484-322-0401 Email: [email protected]

Patriot National Underwriters, Inc.P.O. Box 803143, Dallas, TX 75380 Phone: 972-239-1458, Fax: 972-233-3487 Email: [email protected] www.patriotnational.com

Philadelphia Insurance CompaniesOne Bala Plaza, Bala Cynwyd, PA 19004Phone: 800-873-4552, Fax: 610-617-7940Email: [email protected] www.phly.com

Prime Insurance Company303 W. Madison St., Ste. 2075, Chicago, IL 60606Phone: 800-257-5590, Fax: 877-452-6910Email: [email protected] www.primeis.com

Professional Liability Insurance Svcs, Inc. - Underwriting Facilities5802 Thunderbird, Bldg 10, Ste. 100 Lago Vista, TX 78645 Phone: 800-761-7547, Fax: 512-327-5834 Email: [email protected] www.plisinc.com

Professional Program Insurance Brokerage371 Bel Marin Keys Blvd., Novato, CA 94949Phone: 415-475-4300, Fax: 415-475-4303 Email: [email protected] www.ppibcorp.com

ProHost USA 4500 Park Glen Rd., Ste. 410, Minneapolis, MN 55416Phone: 952-922-2404, Fax: 952-922-5423 Email: [email protected] www.prohostusa.com

Promont Advisors, LLC 1 E. Wacker Dr., Ste. 1920, Chicago, IL 60601Phone: 312-262-3340, Fax: 312-262-3301 Email: [email protected] www.promontadvisors.com

Promont Specialty 1 E. Wacker Dr., Ste. 1920, Chicago, IL 60601Phone: 312-262-3331, Fax: 312-262-3301 Email: [email protected] www.promontspecialty.com

Quaker Special RiskSee Website for Locations in NJ, NY, FL, MA Headquarters - Eatontown, NJ 07724Phone: 800-447-4180, Fax: 732-223-9072 Email: [email protected] www.quakerspecialrisk.com

Quirk & Company P.O. Box 792030, San Antonio, TX 78279 Phone: 800-299-9421, Fax: 210-340-4075 Email: [email protected] www.quirkco.com

RCA Insurance Group1333 Broad St., Clifton, NJ 07013Phone: 800-526-0147 ext. 2019 Email: [email protected] www.rca-insurance.com

Regency Insurance Brokerage ServicesP.O. Box 190, Hallandale Beach, FL 33008-0190 Phone: 800-982-1895, Fax: 954-454-5862 Email: Submissions@RegencyBrokerage.comwww.RegencyInsuranceBrokerage.com

RIC Insurance General Agency, Inc.2544 Cleveland Ave., Ste. 100, Santa Rosa, CA 95403Phone: 888-693-7892, Fax: 866-577-7595 Email: [email protected] www.ric-ins.com

RISCO Insurance Brokerage, Inc.60 Catamore Blvd., East Providence, RI 02914Phone: 401-435-5400 Email: [email protected]

Risk Placement Services, Inc. 50+ Locations, Headquarters - Itasca, IL 60143-3141Phone: 866-595-8413 Email: [email protected] www.rpsins.com

RMS Hospitality Group100 Ring Rd. West, Ste. 202, Garden City, NY 11530Phone: 516-742-8585 ext. 204, Fax: 516-742-5678 Email: [email protected] www.rmshg.com

RMS HG presents an exclusive insurance program for your Hospitality Industry clientele with “A” rated carriers. A platform like no other in the Hospitality Industry, RMS HG provides a solution to the insurance agent/broker community for hospitality risks with a program that offers comprehensive and flexible coverage forms at competitive premiums.

Roush Insurance Services, Inc. P.O. Box 1060, Noblesville, IN 46061 Phone: 800-752-8402, Fax: 317-776-6891 Email: [email protected] www.roushins.com

Sangamon Associates/Hotel Excess65 S. Main St., Ste. AC-200, Pennington, NJ 08534Phone: 609-818-9534, Fax: 609-818-9535 Email: [email protected]

SASSI - Salon & Spa Specialty Insurance 21 Maple Ave., Bay Shore, NY 11706 Phone: 888-823-9380, Fax: 631-666-7646 Email: [email protected]



2016 Hospitality Risks DirectorySCU - All OfficesSee Website for Locations - HQ - Jackson, MS 39211 Phone: 601-957-3344, Fax: 601-957-3344 Email: [email protected]

SCU - Middletown421 Wadsworth St., Middletown, CT 06457Phone: 860-347-9600, Fax: 860-347-9611Email: [email protected] www.ctunderwriters.com

Southern Insurance Underwriters, Inc. CMGA 4500 Mansell Rd., Alpharetta, GA 30022 Phone: 800-568-1700, Fax: 678-498-4610 Email: [email protected]

Southwest Risk, LP 8144 Walnut Hill Ln., Ste. 1400, Dallas, TX 75231 Phone: 214-206-4900, Fax: 214-206-4901 Email: [email protected]

Specialty Insurance 1610 Route 88 Ste. 102, Brick, NJ 08724 Phone: 732-701-8900, Fax: 732-458-3728 Email: [email protected] www.specialtyagency.com

SUITELIFE by Venture Insurance Programs1301 Wrights Lane East, West Chester, PA 19380 Phone: 800-282-6247 ext. 244, Fax: 610-692-5977 Email: [email protected] www.Suitelifeins.com

TAPCO Underwriters, Inc. 3060 S. Church St., Burlington, NC 27216 Phone: 800-334-5579, Fax: 336-584-8880 Email: [email protected] www.gotapco.com

Tejas American General Agency1620 La Jaita Dr., Ste. 300, Cedar Park, TX 78613 Phone: 512-346-0030, Fax: 512-342-2803 Email: [email protected] www.taga1.com

The McGowan Companies Old Forge Ctr, 20595 Lorain Rd.Fairview Park, OH 44126Phone: 440-333-6300, Fax: 440-333-3214 Email: [email protected] www.mcgowaninsurance.com

Tokio Marine HCC, Specialty Group 401 Edgewater Pl., Ste. 400, Wakefield, MA 01880 Phone: 800-927-6306, 781-994-6001 Email: [email protected] www.hccspecialty.com

Topa Insurance Company1800 Avenue of the Stars, 12th Fl, Los Angeles, CA 90067Phone: 800-949-6505, Fax: 310-843-9409 Email: [email protected]

Travelers Contact your local Commercial Accounts Representative for more information.www.travelers.com

U.S. Risk Insurance Group, Inc. 10210 N. Central Expy, Ste. 500, Dallas, TX 75231 Phone: 800-232-5830, Fax: 214-265-4976 Email: [email protected] www.usrisk.com

UCA General Insurance Services, Inc.6363 Katella Ave., Cypress, CA 90630Phone: 800-222-5582, Fax: 714-228-7855 Email: [email protected] www.ucageneral.com

UCA General Insurance is a Managing General Agent writing Program Business in 9 states. Our primary focus is on Property & Casualty Business, specializing in Restaurants, Hotels & Motels, Condos & HOAs, Shopping Centers and more.

Unifax Insurance Systems, Inc. 26050 Mureau Rd., Calabasas, CA 91302 Phone: 800-669-9800, Fax: 818-591-9856 Email: [email protected]

Unisource Program Administrators 3665 Bee Ridge Rd., Ste. 214, Sarasota, FL 34233Phone: 941-308-1918, Fax: 877-817-8099 Email: [email protected]

USASIA Insurance Services 319 Union Ave., Pomona, CA 91768Phone: 909-618-0288, Fax: 909-618-0289Email: [email protected]

USG Insurance Services, Inc. 1000 Town Center Wy, Ste. 300, Canonsburg, PA 15317 Phone: 800-886-3897, Fax: 724-265-5751 Email: [email protected] www.usgins.com

USX/S6929 W. 130th St., Ste. 100, Cleveland, OH 44130Phone: 440-888-7300, Fax: 440-888-7380 Email: [email protected] www.USXS.net

W.A. Schickedanz Agency, Inc.300 W. Main St., Belleville, IL 62220Phone: 618-233-0644, Fax: 618-233-0672 Email: [email protected]

Walter General Agency (WGA) 273 Clarkson Rd., Ste. 102, Ellisville, MO 63011 Phone: 636-391-4841, Fax: 636-391-2115 Email: [email protected] www.wgamo.com

Western Security Surplus Insurance Brokers, Inc.5800 Granite Pkwy, Ste. 300, Plano, TX 75024Phone: 972-702-0500, Fax: 972-702-0504 Email: [email protected]

Western Special Risks, Inc.10451 W. Palmeras, Ste. 118, Sun City, AZ 85373Phone: 888-317-5575, Fax: 623-977-4622Email: [email protected]

Western Surplus Lines Agency, Inc.P.O. Box 6609, Abilene, TX 79608Phone: 800-592-4408, Fax: 325-695-0371Email: [email protected]

Wholesale Connection Insurance Services21800 Burbank Blvd., Ste. 202, Woodland Hills, CA 91367Phone: 818-716-9800, Fax: 818-716-9800www.wcis-ins.com

Willis Programs, ResortGuard Ins. ProgramOne New Hampshire Ave., Ste. 200, Portsmouth, NH 03801Phone: 603-334-3029, Fax: 603-334-3090Email: [email protected]

Wright Insurance Services, LLC24551 Del Prado, Ste. 4126, Dana Point, CA 92629Phone: 949-489-1833, Fax: 949-489-5702Email: [email protected]

Zurich Programs13810 FNB Pkwy, Omaha, NE 68154Phone: 866-873-0782Email: [email protected]


www.insurancejournal.comN44 | INSURANCE JOURNAL-NATIONAL REGION March 7, 2016


ing adequacy, personal auto insurers face other obstacles that could hinder future profitabil-ity, including reduced invest-ment earnings amidst continued low fixed income market asset yields and a weakening equity market, balanc-ing technology improvement

with expense control objectives. Automobile insurance premium rates will continue to rise in the near term as target-ing rate increases in response to recent loss experience is a key theme in auto under-writers’ recent remarks to investors.

Auden is sector head for North America Property/Casualty Insurance ratings at Fitch Ratings. Email: [email protected].

Advertisers IndexReaders, browse, contact, or do product searches on any of our full page advertisers at: www.insurancejournal.com/adshowcase/

Abram Interstate www.abraminterstate.com W6Academy of Insurance ijacademy.com 39Agency Ideas www.agencyideas.com 19Anderson & Murison www.andersonmurison.com 23Applied Systems www.appliedsystems.com 7Applied Underwriters www.auw.com 2, 3, 48Burns & Wilcox Ltd. www.burnsandwilcox.com 9California Earthquake Authority www.earthquakeauthority.com/mvp W3Century National www.cnico.com W5First American Specialty Insurance Company www.firstam.com W9Fujitsu www.fcpa.fujitsu.com 17Gorst & Compass Insurance www.gorstcompass.com W12Lighthouse Holdings, LLC www.lighthousepropertyins.com SC6, SE6

Louisiana Commerce & Trade Assoc. www.lctacomp.com SC5M.J. Hall & Company www.mjhallandcompany.com W8Midlands Management Corporation www.midlandsmgmt.com SC4Monarch E&S Insurance Services www.monarchexcess.com W11MUSIC www.music-ins.com 13NAPSLO www.napslo.org 27National General Insurance www.nationalgeneral.com 15Pacific Gateway Insurance Services www.pgiainsurance.com W7Pacific Specialty Insurance Company www.pacificspecialty.com W1PersonalUmbrella.Com www.personalumbrella.com 4, 5St. Johns Insurance Company www.stjohnsinsurance.com SE5Texas Mutual www.texasmutual.com SC3United Fire Group www.ufgsolutions.com M6, M7

ing and repairing vehicles made of more technologically sophisticated materials and replacing more complex devices and equip-ment within a vehicle is also rising. Claims severity in 2015 moved higher in auto insurance in major coverages including: bodily injury, property damage and colli-sion. GEICO Corp. reported claims severity increased 4-5 percent for property damage and collision claims, and 6-7 percent for bodily injury. Individual underwriter 2015 results in personal auto insurance varied considerably. Only three companies, Travelers Cos. Inc., Infinity Property & Casualty Corp., and The Hanover Insurance Group reported year-over-year improvement in GAAP basis auto underwriting profits. Progressive Corp., a strong performer and fourth largest auto writer by premium, reported a 93.5 percent auto combined ratio for the year. In contrast the second largest private auto underwriter, GEICO, reported a 3.7 point auto combined ratio increase in 2015, and third largest auto underwriter, Allstate, reported a three point increase in the auto combined ratio in 2015 to essentially break-even results. Three underwriters, Kemper Corp., Cincinnati Financial and Horace Mann reported combined ratios in personal

Auto SPECIAL REPORT

Private Auto Insurance Market ShareRanked by Direct Written Premium (2015)

Private Auto Direct Written Premium Market 9m 2015 ($ Bil.) Share State Farm 27.6 17.7%GEICO 17.3 11.1%Allstate 15.1 9.7%Progressive 13.2 8.5%USAA 8.0 5.1%Liberty Mutual 7.8 5.0%Farmers Group 7.5 4.8%Nationwide 6.0 3.8%Travelers 2.9 1.8%American Family 2.8 1.8% Industry 155.9 100.0%Source: SNL Financial Statutory Accounting Principles

continued from page 27

auto insurance above 100 percent for the year. Looking ahead to 2016, personal auto results may show moderate improve-ment, but will ultimately hinge on how well insur-ance pricing keeps pace with loss trends that are likely to continue to out-pace general inflation. Premium rate trends are currently more favorable in personal lines relative to commercial lines, as publicly traded insurers report regular renewal rate increases in quarterly earnings disclosures, while most commercial segments

are experiencing flat to declining pricing trends. Consumer Price Index (CPI) data shows that costs for motor vehicle insur-ance continues to increase and the monthly change averaged 5.4 percent through all of 2015. Besides the perpetual striving for pric-

Looking ahead to 2016, personal auto results may show moderate improvement, but will ultimately hinge on how well insurance pricing keeps pace with loss trends.


IDEA EXCHANGE

Closing Quote

Employment opportunities

within the industry are

plentiful, challenging

and rewarding.

By Kim Van Orman

high-energy, deep-dive sessions with clear and practical goals designed to improve their sales success, not criticize it. During these sessions it also can be useful to spend some time helping young professionals build their person-al brand (e.g., LinkedIn profiles). Doing so not only com-municates their skills in a clear and professional manner, but ensures the message is aligned with the brokerage firm’s message. Equally important is the ongoing scheduling of weekly “enterprise planning” meetings that are focused on the sales cycle. This gives new producers the opportunity to work together on role-playing, prospect lists and emails, and how to collaborate with leaders and technical resourc-es in the most effective manner. Other sessions should include preparing for appointments, closing business and retaining valued clients. Sales programs that are more technical in nature also are popular among future producers as it enables them to drill down into creating solutions by size and vertical specialty. Hosting week-long educational training sessions led by a firm’s veterans can help ensure that subject mat-ter intelligence does not retire once they do, but remains in-house. Aside from training, millennials are concerned about the communities they live and work in, so it’s important to communicate your firms’ strategy on corporate social responsibility. Today’s talent are hyperaware of social and environmental issues, and where they choose to work is influenced by how much or how little a firm is doing to effect change. The industry hasn’t historically had an exciting reputation, which is unfair. It is fascinating, particularly among firms that are constantly leveraging technology. The employ-ment opportunities that exist with-in this industry are plentiful, chal-lenging and rewarding. Insurance, by its nature, addresses emerging risks that evolve with each gener-ation. And the attraction and challenges associated with those risks are unique with each generation. Enter millen-nials who want to work for a company that isn’t just about profits, but a place that gives them a real sense of purpose. Firms that embrace the premise that millennials want to be part of an open, challenging and engaged workforce, will be the firms that lead the next generation of high-drive, high-knowledge and high-passion producers.

Van Orman is senior vice president and chief human resources officer at USI Insurance Services.

How to Attract, Retain Next Generation of Brokers

It is no secret that many insurance professionals, espe-cially those in sales, tend to be at more advanced stages

in their careers. But how do you attract and lead a new generation of brokers when insurance is not near the top of a millennial’s list when it comes to career choices? No matter what the career path, today’s young talent wants to know that their employer is going to develop them and provide a clear path with opportunity for pro-gression. They want real-time training and incentives for professional growth. Millennials also are looking for a col-laborative work culture that’s stimulating and surrounded by professionals, who have a passion for getting involved and helping others through solutions that benefit their customers and local communities. And, they want to see an investment in technology that is current; a platform that makes them more nimble. To enhance a brokerage firm’s outreach among strong, junior talent, there are several initiatives management should be spearheading. For starters, implementing a number of regional as well as national programs that focus on new business development processes can jump-start a young sales professional’s career or be a timely refresher for an experienced professional. It is important for these programs to be hands-on,

Get full admission to all upcoming live webinars, plus unlimited access to our

entire catalog of 200+ course recordings for only $99/mo. ijacademy.com

IJACAD16644-49 (updated fonts 2).indd 5 1/19/16 12:44 PM

©2016 Applied Underwriters, Inc., a Berkshire Hathaway company. Rated A+ (Superior) by A.M. Best. Insurance plans protected U.S. Patent No. 7,908,157.

Expect big things in workers’ compensation. Expect to save a third of your clients 30% or more. Most classes approved, nationwide.

For information call (877) 234-4450 or visit auw.com/us.

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