Utah Young Agents

Travelers Joins Trusted Choice®

2010-04-15T14:42:00.000-07:00

Travelers Joins Trusted Choice®

Industry-leading carrier is latest brand movement company partner.

The Travelers Companies, Inc. has joined the Trusted Choice® consumer branding program for independent insurance agents and brokers. A leading provider of property-casualty insurance for auto, home and business, Travelers is one of the largest independent agency insurance companies in the U.S. A component of the Dow Jones Industrial Average, Travelers is rated A+ (Superior) by A.M. Best, and built its success by providing innovative insurance and risk protection products and services.

“Working with an independent agent is an excellent way for consumers to choose the right insurance to meet their individual needs,” says Brian MacLean, president and chief operating officer of Travelers. “At Travelers, we are dedicated to our continued partnerships with independent agents. With 13,000 agents and brokers around the country who sell our policies, we want to help them grow their business. We’re pleased to support Trusted Choice® as a means to promote the unique expertise and high quality customer service independent agents provide.”

“Travelers is a premier global brand of insurance and one of the largest writers of property-casualty insurance through independent insurance agents,” says Robert Rusbuldt, Big “I” president & CEO. “Joining Trusted Choice® further demonstrates its commitment to the independent insurance agency distribution system and confirms its strong belief that independent agents are the trusted advisors for consumers.”

Trusted Choice® was launched by the Independent Insurance Agents & Brokers of America (IIABA or the Big “I”) and several independent agency companies to highlight the benefits independent agencies and brokerage firms offer consumers—choice of companies, customization of policies and advocacy support. It is the premier consumer brand for independent insurance agents and provides national advertising and other strategic tools to reach consumers.

Trusted Choice® educates consumers about the benefits of using independent agents and brokers for their insurance needs: choice of companies, customized policies and advocacy support. Trusted Choice® is the consumer marketing identity for over 10,400 independent insurance agencies and brokerage firms and 54 leading insurance companies.

How will the health care overhaul affect your agency’s health insurance sales?

2010-04-01T14:39:00.000-07:00

On the Hill

Health Care Reform: An Agent Overview

How will the health care overhaul affect your agency’s health insurance sales?

In the wake of Congress passing and President Barack Obama signing into law the largest health care reform legislation since the 1960’s, the Big “I” is working overtime to analyze its impact on agencies that sell health insurance. Unfortunately, many of the specifics affecting agents’ ability to sell health insurance will be somewhat of a question mark as the law’s implementation occurs over the next four years. Many of the details of how coverage will be placed will be determined by regulations issued by the Department of Health and Human Services (HHS) and individual states in the years to come. More detailed analysis will be ongoing, but at this time, the Big “I” can provide some generalities about what the bill may mean for insurance agents that are selling health insurance policies. This article discusses the bill from the insurance salesman perspective and not that of a small business owner, which of course is another important vantage point of Big “I” members. Next week’s article will review the legislation from this small business perspective.

One of the most important provisions of the new law that will impact agents is the creation of state “Health Insurance Exchanges” for individuals and small groups. The law requires each state to create exchanges by 2014 that individuals and employers can go to for insurance that is provided by participating private insurers. The exchanges will include four tiers of private plans, co-op plans and at least two multi-state qualified health plans contracted out to private carriers by the Office of Personnel Management (OPM). The legislation leaves much of the details of the operation of these exchanges to each state. While agents will be able to place coverage for clients through the exchanges, the marketing or commission regulations are not yet clear. Additionally, consumers will be able to go directly to the exchanges without the assistance of an agent, and some consumers may end up choosing to do so.

Companies, meanwhile, will have to abide by new “medical loss ratios” (MLR) where the insurance plans must spend a certain percentage of premiums on health care delivery costs only. The MLR will be 80% for individual policies and small group plans while for large group plans (>100 individuals), it will be 85%. This means that, starting in 2011, companies will only be able to spend 20% of individual/small group plan premiums and 15% of large group premiums on things such as marketing, administrative costs and agent commissions. Companies would be required to provide rebates to consumers if they fail to comply with the MLRs.

Additionally, insurance companies will be required to abide by new federal requirements such as not discriminating against preexisting conditions, eliminating lifetime benefits caps, restrictions on annual caps and abiding by new individual and small group rating bands. Finally, the law also imposes a direct $2 billion annual tax on health insurance companies. The tax will increase each year until reaching $14.3 billion in 2018. For subsequent years, the fee will increase based on the previous year’s premium growth. These taxes are expected to strain insurance company profitability and their available capital for marketing-type activities.

The law is also estimated to bring approximately 32 million new Americans on to the health insurance rolls. About half of these would be the result of expanded government entitlement programs such as Medicaid and SCHIP. Nonetheless, that still means an estimated 16 million new consumers will be accessing the private insurance market. Although this means agents may potentially lose some customers because of direct competition from the Exchanges and insurance companies may face significant downward pressure on their bottom line that could translate to similar downward pressure on agent profitability, there is at least the opportunity for new customers.

Finally, the Big “I” anticipates that, for the next few years, many customers (especially small businesses) will find this new, complicated law and the resulting regulations very challenging. As a result, they will need an experienced agent to guide them through the process of obtaining health insurance more than ever. The Big “I” is committed to providing its members with the necessary tools to serve as that trusted health insurance advisor.

Margarita Tapia (margarita.tapia@iiaba.net) is Big “I” director of public affairs.

President Obama Signs Health Care Bill into Law

2010-03-25T14:14:00.000-07:00

On the Hill
President Obama Signs Health Care Bill into Law

Final bill specifies that agents and brokers will be able to sell health insurance both inside and outside of exchanges.

Late Sunday night, using some unusual tactics to ensure Congressional approval, the U.S. House of Representatives simultaneously passed the Senate health care reform bill, along with a package of changes to the bill through a rare parliamentary procedure known as “reconciliation”. On Tuesday, President Barack Obama signed into law this bill which represents the most sweeping health care reform package since the Great Society of the 1960s that created Medicare. The reconciliation bill must now be passed by the Senate and the House in identical form before it’s sent back to the president for his signature.

The Big "I” is disappointed that after months of negotiations, hearings, debates and votes in multiple Senate and House committees the final bill does little to stem the skyrocketing cost of health care and will be partially financed through tax increases on certain individuals and small business during one of the most perilous financial periods in American history. However, it’s important to note that, due to the efforts of the Big “I”, significant improvements were made to the legislation throughout the process to ensure a role for the independent insurance agent in the future health care market. Without these changes, the negative impact on the independent agency system would have been much greater.

There will be a number of changes in the delivery of health insurance which both agents and consumers will experience because of the new law. For the first time, individuals will be required to purchase health insurance, and businesses with more than 50 employees will be required to offer health insurance coverage or be forced to pay a fine.

The Congressional Budget Office (CBO) estimates that 32 million new Americans will be on health insurance rolls by 2019, with 16 million of these being new private market consumers, and the remaining 16 million obtaining coverage through a major expansion of Medicaid. Temporary small business tax credits will be available for some businesses with less than 25 employees, and millions of individuals will receive new government subsidies to help them purchase health insurance. The legislation also creates state-based health care exchanges that would serve as catalysts for individuals and small businesses (up to 100 employees) to claim subsidies and purchase health insurance.

In a major win for the Big “I”, the final bill specifies that insurance agents and brokers will be able to sell health insurance both inside and outside of these health insurance exchanges. As a result of the Big “I” grassroots effort and our special “Health Care Fly-In” last summer, individuals and small businesses that choose to purchase through an exchange will still be able to count on the sound advice of independent insurance agents and brokers.

One of the most worrisome aspects for small businesses is how Congress elected to pay for the reform. In order to finance the reform effort, the expansion of Medicaid, and the new subsidies for low-income Americans, a .9% Medicare surtax will be imposed on some individuals as well as small businesses that file as individuals. A new 3.9% tax on nonwage income for these same individuals and successful small businesses will also be imposed. In addition, this tax is not indexed to inflation and therefore will capture more and more taxpayers over time. The Big “I” is greatly concerned about the impact any new taxes will have on small businesses and individuals that are still struggling through the current economic climate.

According to the Congressional Budget Office (CBO), the final price tag is estimated to be $940 billion of taxpayer dollars over ten years. The CBO also projects that small businesses will see little to no decrease in their monthly premiums and individuals will see an increase of 10-13%. The impact on premiums reinforces the Big “I’s” view that this legislation was incomplete at best and, though it increases the number of Americans with insurance, it does not adequately bend the cost curve of health care for the future. Furthermore, it is expected to balloon the federal budget deficit over time, instead of containing costs as necessary. The Big “I” is also concerned that the package did not meaningfully address medical malpractice reform, an issue that the Big "I" has strongly supported including in the final bill in order to help bring healthcare costs down.

Early Thursday morning, the Senate Parliamentarian ruled in favor of two minor Republican “points of order” on the reconciliation bill unrelated to the underlying health care bill. The Senate then approved the reconciliation bill by a vote of 56 to 43. Because of the two points of order, the House of Representatives will have to vote, one last time, on the Senate approved reconciliation text. Final votes on this reconciliation bill are expected this evening or tomorrow morning.

Margarita Tapia (margarita.tapia@iiaba.net) is Big “I” director of public affairs.

UAIIA Newsletter - February 2010

2010-02-17T08:20:00.000-08:00

1. UAIIA’s 91st Annual Convention Recently a convention packet was sent out by email for UAIIA’s 91st Annual convention to be held in St. George on April 18th through the 21st. If you didn’t get one, you will be able to find it at www.uaiia.org. Click on the convention button.

It will be a great time to get away to St. George to enjoy golf, great food, entertainment, important industry updates, trade show, CE and networking with our company partners. We hope you’ll be there.

By the way, if you know someone who is deserving of receiving agent, young agent or company person of the year, I encourage you to make a recommendation. There is a form included with the paper newsletter or you can find one at: www.uaiia.org/_private/2010nominationform.pdf.

2. Proof of Insurance So what is the best way of providing proof of insurance coverage to a lender? We have a one page memo with a concise explanation for agents to use with their clients regarding Evidence of Property Insurance Form (ACORD 27) and Evidence of Commercial Property Insurance form (ACORD 28). To access this memo, go to www.uaiia.org/_private/proofofinsurance.pdf.

Should you have any questions about this memo, please contact bill.wilson@iiaba.net.

3. Job Opening – Resumes Wanted After 23 plus years with UAIIA, Steve Baugh will be stepping down as Executive Director due to health related issues. Resumes for this position will be accepted between now and April 10th. Salary will be commensurate with experience. In addition to a resume, we would like a letter stating why you would like the job and your salary requirements. A position description can be found at www.uaiia.org/_private/jobposition.pdf. Please send these items to stevebaugh@uaiia.org. A new Executive Director will be hired no later than September 1st, 2010 and quite possibly prior to that date.

4. Acting Commissioner Announced Neal T. Gooch was recently appointed as Acting Insurance Commissioner of the Utah Insurance Department. Governor Gary R. Herbert said that the appointment would extend “until the selection of a permanent Commissioner is made.”

Mr. Gooch has had extensive experience with the Insurance Department. Beginning in 1986 while serving in the Attorney General’s Office, he was made general counsel to the insurance department. He served in that capacity until August of 1997 when appointed by Commissioner Merwin U. Stewart as deputy commissioner then asked to continue in that capacity by Commissioner D. Kent Michie in 2005.

5. Allstate Agents To Be Terminated Thousands of existing Allstate agents are to be eliminated within the next two to three years as the company sheds those it thinks are not meeting specified production quotas, according to the National Association of Professional Allstate Agents.

Association Executive Director Jim Fish said many of these agents are “older agents – 50 to 60 years old – who might be servicing their book of business and maintaining high retention and loss ratios, but that isn’t enough for Allstate.”

“They (Allstate) are looking to add high-value, production-oriented new agents” to hit marks on new business and premiums the NAPPA says are established by Allstate. Fish said the “so-called” Allstate independent agents are anything but, constantly controlled by the company in “every aspect of the business” from hours of operation and holiday schedules, to personnel requirements.

6. Thanks to Utah InsurPac Contributors In 2009, UAIIA was the first state in the country to meet their goal for InsurPac contributions. InsurPac allows us to help national legislators raise money for their campaigns. This in turn gives us access to them for discussion of our issues. Some people don’t like how this works, but that’s how the game is played back there and we need to protect our interests.

Craig Wiseman is UAIIA’s 2010 InsurPac Chairman. If you would like to donate, you can reach him at (801) 377-3060.

The Independent Agents and Brokers of America, through InsurPac, has now become a million dollar political action committee. We thank the following members of our association for their contributions in 2009.

Platinum Club ($2,500)

C. Brett Nilsson

Gold Club ($500)

Douglas Ball

J. Curtis Breitweiser

Joseph E. Hansen

Pioneer Club ($250)

Kay L. Howland

Eric Kingdon

Kenneth Miller

Craig Timothy

James Welch

Craig Wiseman

Robert Wiseman

Founders Club ($150)

Steve Baugh

John Fogg

Roy Nikas

Tom Stanger

Allen Steadman

Greg Vause

General Contributor

Celeina Cullum

Howard Green

Cheryl Lyman

Richard Tatton

Michael Vowles

7. Helping Hands For Haiti Dr. Jeffrey Randle from Utah has provided housing for orphans in Haiti and a medical clinic. Currently the clinic and housing has been destroyed by the earthquake and the orphans have been sleeping in a field with no tents. You may have seen Dr. Randle on the local news after the quake. His practice is in Salt Lake City and he is planning to go to Haiti shortly.

If you would like to help with a donation, go to: www.helpinghandsforhaiti.com.

8. Scholarship Applications Available Do you have a child who is a senior in high school with a 3.0 grade point average? If so, they may be eligible for one of our 2010 college scholarships. Each year with the help of generous donations from individuals, companies and associations, we raise enough money to give away several scholarships. For further information, go to: www.uaiia.org/_private/scholarship.htm and check out how many recipients there were in 2009.

9.The Pain May Continue Some economists have declared the Great Recession over, but its lingering effects will continue to chip away at commercial property/casualty premiums through 2010 according to insurance experts.

A new Advisen Ltd. Briefing says that the damaged economy will keep rates from rising while at the same time sales, payroll and other measures of exposure used to calculate premiums may fall further. The cumulative effect will be another year of lower written premiums – a boon for insurance buyers – but a painful and potentially damaging situation for some insurers and agents.

10.Twitter Insurance? Bloggers may be wise to purchase insurance. A lawsuit was filed last year against Courtney Love by a designer who claimed to have been libeled by the rock singer on MySpace and Twitter. A number of similar lawsuits involving social networking sites have been filed, and those who share their disputes in cyberspace expose themselves to lawsuits and could face large legal bills. Bloggers may find it worth the expense to buy insurance to protect themselves against lawsuits involving claims of libel or defamation. The Media Law Resource Center reports that a court awarded an Ohio woman $129,794 in damages because a blogger said that her property was haunted, and another blogger was ordered to pay $1.8 million in damages for referring to a plaintiff as a failed lawyer.

11.Easy C.E. The 2008 Legislature passed a bill that gives members of a professional association 2 hours of continuing education credit yearly for their membership. You can receive this credit through UAIIA only by contacting our education coordinator Cheryl Lyman by email at cheryllyman@uaiia.org with your license number and what year/years you would like credit for.

This bill went into effect June 1, 2009. If you belong to more than one professional association, your Sircon account will probably show additional CE credits. It will be your responsibility to make sure that you have only included 2 hours of association credit per year in your total continuing education credits.

12.24/7 Customer Service Have you ever thought about outsourcing your agency customer service? InSite Support Services, Inc. can give your agency 24/7 customer service. For further information go to: www.insitesupport.com or call 803-405-7265 or toll free: 866-446-3555.

Insurers Would Owe Under Proposed U.S. Financial Tax (Wall Street Journal)

2010-01-18T11:04:00.000-08:00

18 Jan 2010

A handful of large insurance companies, most of which turned down government bailout funds, would likely owe money under the proposed Financial Crisis Responsibility tax.

The proposed tax, unveiled Thursday by President Barack Obama, would amount to 0.15% of total assets minus high-quality capital, such as common stock, and disclosed and retained earnings. Insurance-policy reserves would be untaxed, being already subject to federal fees, according to the White House, but analysts and insurers note that some details are yet to be clarified. The fee must be approved by lawmakers.

Quite a few insurers qualify for the tax, according to analysts. According to a fact sheet from the Obama administration, the fee would cover large insurance and other companies that own insured depository institutions.

American International Group Inc., MetLife Inc., Prudential Financial Inc., Allstate Corp., Lincoln National Corp., Hartford Financial Services Group Inc., Ameriprise Financial Inc. and Principal Financial Group all are eligible for the tax, based on total adjusted assets, according to a Friday report by Credit Suisse.

A note from Citigroup on Friday included all those companies except Allstate.

AIG's main business is insurance, but it was the company's financial trading business that led to its multi-billion-dollar bailout. It would owe the most tax of the insurers, at an estimated $388.8 million based on a full year, according to the Credit Suisse estimate, and $367 million according to Citigroup.

Two other life insurers that took bailout funds would fall under the tax, according to analysts. Hartford Financial received $3.4 billion from the Treasury's Capital Purchase Program and would owe tax of about $28.2 million by Credit Suisse's estimate.

Lincoln National received $950 million from the program and would owe tax of about $29.4 million, according to Credit Suisse.

In an emailed statement, Hartford said it was evaluating the proposal but that it was too early to tell what effect it would have on the company. "This is an initial proposal that is likely to go through a number of modifications over the course of the next several months," the statement said.

Lincoln National didn't respond to a request for comment.

Prudential and MetLife, two insurers that declined funds from the Trouble Asset Relief Program, would owe significantly more, according to Credit Suisse and Citigroup. Prudential would owe about $85.2 million, and MetLife just over $81.5 million, Credit Suisse said; Citigroup pegged Prudential at $84 million, and MetLife at $97 million.

Prudential spokesman Bob DeFillippo said the company was working on understanding the proposal and didn't yet have a comment.

A MetLife spokesman agreed with the assessment that the company is included in the current proposal of companies that would owe the tax but said the company is still looking at the details of the proposed tax.

Allstate would owe $34.1 million, according to Credit Suisse. A spokesman said, "At this point, we don't have enough information to determine whether or to what extent a company like ours, which did not accept TARP funds and whose assets primarily are funds held on behalf of contract holders or insurance policy reserves, would be affected by this fee."

Ameriprise and Principal Financial didn't reply to requests for comment.

One consequence of the tax falling on the biggest insurers is that it would make them less competitive, said bank analyst Mike Moebs of Lake Bluff, Ill. "This will help smaller insurers," he said. "It will put them in good position to compete," particularly in specialized insurance markets.

The Passing of Jay Hadley

2010-01-13T11:41:00.000-08:00

To: UAIIA Membership

From: Steve Baugh, Executive Director

I learned that Rodd Hadley recently passed away. I remember when Rodd was a marketing representative for Unigard. He had a good reputation in our industry and was an all around good guy. Below is his obituary. Our sympathies go out to his friends and family.

Steve

JAY HADLEY

Jay Rodney Hadley 1932 ~ 2010 A "Good Man" A "Good Man," Jay Rodney Hadley, loving husband, father and grandfather, died suddenly Saturday, Jan. 2, 2010 of heart failure. Born, October 26, 1932 in Ogden, Utah to John Hipwell Hadley and Laura Thurston Hadley, the youngest of 11 children. Rodd graduated from Ogden High School, Weber College, and Brigham Young University. He married Carol Barker October 30, 1953in the Salt Lake Temple, and shortly after left for an LDS mission to Uruguay for two and a half years. He was active in the LDS Church and held positions in several bishoprics, and was a "beloved" Sunday School teacher for many years. Rodd worked for Northwestern Mutual Insurance in San Francisco, California and Unigard Insurance Group in Salt Lake City where he retired after 30 years. While there, he achieved many awards, including the "National Marketing Representative of the Year" and was honored at the national convention in Atlanta Georgia. Upon retirement, Rodd worked for the next 20 years in the travel industry, most recently at Hess Travel of Bountiful, Utah where he thoroughly enjoyed the job and all of the employees he was associated with. Rodd had a lifetime love of sports. Playing for many fast pitch softball teams in Boise, Idaho where our family lived for four years, and then later in the Salt Lake Valley where his teams won many championships, including the "All Church Fast Pitch Softball Tournament." He coached both sons in Pony League Baseball, and was an avid BYU fan for 50 years, as well as New York Yankees fan since childhood. His love of sports extended to his granddaughter and grandsons where he faithfully attended all of their sporting events with such pride. His happiest days in life were spending time with his family and especially his four grandchildren who lovingly called him "Pop." He was preceded in death by his infant son, David, and survived by his wife of 56 years, Carol, his children and grandchildren: Richard Ririe Hadley and wife Ellen Eads and their children - Kate, Jacob and Cody; Nancy; Jon Thurston Hadley and wife Mary Taylor and son, McKay. Private family graveside services will be held at 2:00 p.m. in the Bountiful City Cemetery. The services will be handled by Russon Mortuary of Bountiful with Bishop Meik Rapp of the Bountiful 23rd Ward officiating. In lieu of flowers, please send donations for Sudden Infant Death Syndrome to Primary Children's Foundation, C/O SIDS, P.O. Box 58249, Salt Lake City, Utah 84158 Things grandson McKay (age 4) will miss most: "sleeping over at Pop's, pampakes and chocolate milk." "Dear Pop I love you, and I am so glad I will be able to see you again. Thank you for making me laugh, I have so many memories. I am so privileged that I had you, and still have you in my life." by granddaughter "Katie" (age 14 1/2 ). "Grandpa was always up and going, and he was always happy" - written by grandson Jacob (age 11 1/2 ). "Pop was a good man and a good grandfather. On January 8th I am going to have a basketball game and he will be there - I know it because he's a part of our Forever Family. Pop and Gram always come to my games" - written by grandson Cody (almost 9).

The Passing of Charles Eubank

2009-11-30T11:39:00.000-08:00

To: UAIIA Membership

From: Steve Baugh

It's with sadness that I report the passing of Charles Eubank, a Past President (1954 - 55) of our state association on November 24, 2009. Mr. Eubank stayed in touch with our industry through Blue Goose and by attending our Past President's events over the years. Most recently, he had attended our Convention Banquet this past June at the Zermatt Resort.

A memorial of his life will be held at 2:00 p.m. on Sunday, December 20th, 2009 at 650 East South Temple, at the Salt Lake Masonic Temple.

Please see his obituary below.

CHARLES EUBANK Sr.

Charles Stuart Eubank, Sr. In the Arms of the Angels Dad, Granddad, Chuck, Charlie, Sr., Old Fart or the Big Guy - by whatever name you knew and called him, Charles Stuart Eubank, Sr., will be deeply missed and fondly remembered by all whose lives he touched. He found his peace on Tuesday, November 24, 2009. Husband to the late Betty Willingham Eubank; Father to Chuck, Sara, Carlyle and the late Wallace; son to Mildred Barton Eubank and Carlyle C. Eubank; Grandfather to 12 "not a bad egg in the bunch" grandchildren who gave him seven great-grandchildren as well as a friend to many; Chuck lived life fully and with great gusto and spirit. Chuck was born in Ogden, Utah on February 11, 1924 and graduated from Ogden High School. He was a member of the United States Navy from 1943 to 1946 where he served as "Photographer's Mate" and had the honor of photographing some of his country's top commanders in chief while stationed in Washington D.C. Chuck married his sweetheart, Betsy, in Washington D.C. in 1946 where they made their first home, while he finished his degree at American University. Chuck and Betsy moved to Ogden, Utah in the late 40's where he began his career at Eubank Insurance which was founded by his father Carlyle. He worked in the insurance and construction bonding business from 1949 to 1992; was President and CEO of Eubank Insurance & Bonds, serving clients throughout the Intermountain West. Chuck's integrity was well known throughout the Utah business community, the Intermountain West and California. Chuck received numerous awards for his achievements in the insurance industry - and was known for his "purple felt-tip pen". Chuck was very active in community building and gave generously of his time and talents. The following are but a handful of the Boards of Directors on which he served: The Ogden School for the Deaf and Blind, the Bertha Eccles Art Center, and The Utah Women's' Clinic, and The Martha Home for Children. He was an active member of the George East Duck Club as well as the Exchange Club of Ogden, serving as President for a year. Chuck was involved in the Ogden Judo Dojo, the Boys Scouts of America and the PTA. He was an avid supporter of the Golden Spike Livestock Show which was co-founded by his grandfather, Charles H. Barton and very supportive of the activities of the Junior League of Ogden which included many years building and maintaining the enchanting Christmas Village that delighted youngsters and oldsters alike. Chuck also supported the Diplomatic Reception Rooms at U. S. Department of State where one of his sons serves as Chairman of the Fine Arts Committee. Chuck gathered friends wherever he went, all of whom he held very dear. His companion for the last fifteen years is Betty Jo Stevens of Salt Lake City, Utah. BJ has been a constant friend, companion, gardening partner and confidant. There are other people, too numerous to name, who helped Chuck during the last ten years of his life. To all of you, the family says "Thank You and we appreciate you". At his passing, Chuck was a member of "Blue Goose" a group of insurance professionals, Wasatch Lodge #1, Free and Accepted Masons of Utah and Scottish Rite of Utah and was a member of The Living Tao Tai Ji Family. The family wishes to extend our thanks for the loving and compassionate care that Chuck received at The Residence of Care Source Hospice during the final few weeks of life. Chuck is survived by Charles S. Eubank, Jr. (Gwen) and their children Mary Guerrero (Tin) and their children Izabella, Pixie and Aleko, Lee (Meggan) and Charlie (Megan); Sara Eubank Moffitt (Dave) and their children Michel Spruance (Peter), Megan Betty Williams (Gabe), and Elisha Moffitt; Carlyle C. Eubank, II (Patricia) and their children Rosanna Dude (Vince) and their children Luke, Kai and Molly; William, Carlyle and Winchester; and the children of the late Wallace W. Eubank, Katie Fehr and her son Trace, Jennifer Decker (James) and Melissa (Mike). Chuck enjoyed a fruitful life and is his words "the baggage of the past has been discarded and the future holds only rainbows, flower gardens and loving kindness. God is Love and loving kindness can and will sustain the world". A memorial of the life of this well loved man will be held at 2:00 p.m. on Sunday December 20th, 2009 at 650 East South Temple, at The Salt Lake Masonic Temple. A celebration will follow at a time and place to be announced at the memorial service. Please join us to share your memories and celebrate life the way he lived his. In lieu of flowers, donations may be made to The Humane Society of Utah, Best Friends Animal Sanctuary in Kanab, Utah or The Salt Lake City Shriners Hospital for Children Transportation Fund. Online condolences at www.jenkins-soffe.com

UAIIA Newsletter - November 2009

2009-11-20T11:44:00.000-08:00

Below is an electronic copy of our state association newsletter.

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2009 Associate Members: Acuity, Advanced Restoration, LLC, Allied Insurance, American Mining Insurance Co., Austin Mutual Insurance Co., Auto-Owners Insurance Co., Bear River Mutual Insurance Co., BELFOR Property Restoration, Burns & Wilcox, LTD, Capital Premium Financing, Inc., Chubb, CNA Insurance, CSE (Civil Service Employees) Insurance Co., Colonial General Insurance Co., Colorado Casualty, Continental Western Group, Cresta Insurance, LLC, Dairyland Auto, EMC Insurance Companies, Encompass/Allstate, Employers, Germantown Mutual Insurance Co., HCC Surety Group, Kemper, Legacy Insurance Services, Inc., Magna Carta Companies, MetLife Auto & Home, Mountain States Insurance Group, MULTICO Rating Systems, Inc., Mutual of Enumclaw, National American Insurance Company, Networked Insurance Agents, Pennsylvania Lumbermens Mutual Insurance Co., Philadelphia Insurance, Premium Financing Specialists, Professional Lines Underwriting Specialists, Inc., Progressive Insurance, Risk Placement Services, Safeco Insurance Co., Sagamore Insurance Company, Santa Fe Auto Insurance Co., Seacoast Brokers, LLC, Servpro of Holladay/Cottonwood, Servpro of Provo, Servpro of St. George, Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Lines Association of Utah, Swett & Crawford, Total Restoration, Inc., Transwestern General Agency, Travelers, UCA General Insurance, United Automobile Insurance Co., Utah Business Insurance Company, Utah Disaster Kleenup, Victoria Insurance, Western National Insurance Group and Workers Compensation Fund

Utah is a Happy Place

Twittering While Driving

Mexican Insurance Online

Elephant Insurance

Gator Bites Arm off of Golfer

Laptop Protective Services

Mickey Braun to Retire

Flyer with this Newsletter

Top Ten States in Financial Trouble

Utah Official Pleads to Insurance Fraud

Utah Commissioner Warns of Scam

Utah is a Happy Place: Did you know that Utah is the happiest place to live in the country? According to researcher, Jason Rentfrow, of the University of Cambridge in England, Utah came out on top when 350,000 individuals were interviewed as part of the Gallup Organization’s Well-Being Index. The index includes six types of well-being; overall evaluation of their lives, emotional health, physical health, healthy behaviors (such as whether a person smokes or exercises), and job satisfaction.

Following Utah, the next nine states in order are: Hawaii, Wyoming, Colorado, Minnesota, Maryland, Washington, Massachusetts, California and Arizona.

Twittering While Driving At least 22 states that ban texting while driving offer some type of service that allows motorists to get information about traffic tie-ups, road conditions or emergencies via Twitter. The online service might only add to distracted driving, which is what the measures intend to curb. Transportation officials defended their Twitter-enabled program, saying drivers are supposed to check the updates before they drive and not while behind the wheel.

Mexican Insurance Online The most exciting time for Mexico Auto Insurance sales is here. The snowbirds have begun traveling south for the winter and millions of Latin Americans will return to Mexico for the holidays. Don’t miss out on this opportunity to increase your agency revenues over the next few months by going to our website at www.uaiia.org and clicking on the Mexico Insurance link.

Elephant Insurance A new direct auto insurer began business last month. They are a UK based company that has been in business for 17 years with over 2 million policyholders. They have recently opened their U.S. headquarters in Virginia.

Just when we are up to our eyeballs with a Gecko, we get an elephant. They are even using GEICO lines: “We do not use brokers or agents to sell our insurance. When you deal with an insurance agent, you often pay more because the agent is working as a middleman…”

Bob Rusbuldt, IIABA’s President and CEO, thinks the personal lines race will come down to independent agents and direct writers. “The captive agents will eventually be the odd man out. Having a consumer brand, Trusted Choice, is essential to differentiate us and the value we bring to consumers.” To check out the new competition, go to: www.elephant.com.

Gator Bites Arm off of Golfer Officials say an alligator bit off part of a golfer’s arm as he leaned over to pick up his ball at a private South Carolina course. The man, who is in his 70s, was retrieving his ball from a pond when the 10-foot alligator bit him at Ocean Creek Golf Course. The gator pulled the golfer into the pond and ripped off his arm in the struggle. His golf partners were able to free him.

Wildlife workers killed the alligator and retrieved the arm in the hopes it might be reattached. (AP story from the Deseret News)

Laptop Protective Services If you or one of your employees lost a laptop, would you understand your legal exposure? Utah is one of 45 states that have security breach legislation in place. See the law at: http://www.le.utah.gov/UtahCode/getCodeSection?code=13-44-201

To help address this problem, PIA has partnered with MobileSecure to provide insurance agents with a program called Laptop Protective Services. This solution helps agencies take a proactive stand in managing their data security risk by understanding their exposure from lost laptops.

Laptop Protective Services provides a highly secure and easy-to-use fully managed service for agencies to: monitor laptops in your organization; remotely identify files on your laptops to understand your potential data exposure risk; remotely lock down your laptops; and use laptop location history and file audit reports as compliance and audit tools.

The price for our PIA members is $60 per year per laptop and for non-PIA members, $80 per year per laptop. For further information go to: www.pianet.com/LaptopProtectiveServices

Mickey Braun to Retire Mickey Braun has been with the Utah Insurance Department for nearly 23 years, but some of us old timers remember that he was once an independent agent and a member of our association. In fact, he served as a convention chairman for us back in the 80’s.

Mickey will be retiring on December 10th and the department will be having a retirement party for him that day at the State Office Building Auditorium from 3:30 to 5:30 p.m. If you would like to wish him well, we are sure he would appreciate it.

Flyer with this Newsletter Watch for the flyer from the Hanover Insurance Group that is included in the paper version of this newsletter.

Top Ten States in Financial Trouble There are several states that are in financial trouble. In fact, there are only two states in the country that are not dealing with budget deficits: Montana and North Dakota. According to the Pew Center on the States, 10 states face severe economic pressures. California, which has been teetering on insolvency for months, is joined by Arizona, Rhode Island, Michigan, Oregon, Nevada, Florida, New Jersey, Illinois and Wisconsin. Pew came up with the list of 10 states by studying six factors: high foreclosure rates, increasing joblessness, loss of state revenue, the relative size of budget gaps, legal obstacles to balanced budgets and poor money management practices. On the heels of the 10 worst states are Colorado, Georgia, Kentucky, New York and Hawaii.

Where does Utah fit in? We are tied for 7th place with Pennsylvania as the best states, but Utah received the best overall money rating (grade A) compared to all the states.

Observation: Isn’t it interesting that 5 of the top 10 happiest places to live (see our Happiest Place to live article in this newsletter) happen to be one of the top 15 states that are in financial trouble. We can’t explain the other 4, but California probably qualifies because of all the medical marijuana dispensaries located within the state.

Utah Official Pleads to Insurance Fraud The former commissioner of the Utah Department of Public Safety recently entered a conditional guilty plea to two third-degree felony charges of falsely obtaining a prescription and to a misdemeanor count of filing a fraudulent insurance claim.

Scott Duncan resigned from his post in January, citing unspecified health issues. Recently the 57-year-old entered a plea in abeyance, meaning that if he meets certain conditions within 36 months, the charges will be dismissed.

Duncan came to authorities and said he had a drug problem, Assistant Utah Attorney General Shelley Coudreaut told the Deseret News in Salt Lake City. He had apparently gone to multiple doctors in Utah County to get prescriptions for hydrocodone.

Utah Commissioner Warns of Scam Utah officials are warning the public of an international mail fraud scheme involving a bogus letter said to be from Nationwide Insurance. The scam has spread to 10 states, according to the Utah Department of Insurance.

Residents in 10 states have received counterfeit checks bearing the nationwide name. Each check has been issued in the amount of $4,500 and has been accompanied by a letter which informs the recipient that they are the winner of a $150,000 “Consumer Promotion Draw” organized for consumers who shop in major stores in the US, Canada and United Kingdom.

The letter goes on to explain the $4,500 check has been issued to cover the “Non-Resident Government Tax” the consumer will have to pay to a British Tax Officer, according to the department warning.

In order to receive the $150,000 prize, recipients are told they must cash the check and then forward $3,750, by Moneygram International or via a Western Union Money Transfer, to an address located in the United Kingdom. While residents are provided with a 1-866 number to call, they are urged to keep the matter confidential until their claim has been processed.

The individuals generating the correspondence and counterfeit checks have no affiliation with Nationwide Insurance and are fraudulently using the Nationwide name.

Telden Wiseman Takes the Lead for Utah Young Agents

2009-11-01T11:17:00.000-08:00

During the October 2009 Mid-Year Meeting hosted by Utah Young Agents, Telden Wiseman take on the role as Chair for Utah's Young Agent group. Telden is part of the Wiseman Insurance Agency in Utah County and is thrilled to serve UAIIA in this capacity. Way to go Telden! Thank you to our past Chair, Jon Jepsen, who has been diligent and faithful in his lengthy service.

UAIIA Mid-Year Meeting - 2009

2009-10-01T11:34:00.000-07:00

WHAT ARE YOU WILLING TO DO TO REDUCE YOUR RISK?

UAIIA E&O LOSS PREVENTION SEMINAR

SPONSORED BY THE YOUNG AGENTS AND UTICA

Wednesday, October 28th, 2009 - 8:00 am – 3:00 pm

6 Hours of CE – Approved for Ethics

A buffet lunch will be served

REGISTRATION FORM AT http://www.uaiia.org/_private/midyear.pdf

UAIIA Newsletter - July 2009

2009-07-29T11:47:00.000-07:00

Eric Kingdon was recently sworn in as President of our state association at our annual convention at the Zermatt Resort in Midway, Utah by our very own Brett Nilsson, Chairman of IIABA. Eric is a 3rd generation insurance agent and has been in the industry since 1995 as a producer for Trustco, Inc. He is a CIC, past president of the Salt Lake Chapter, past Young Agent Chair, a current member of our Scholarship Committee and our Young Agent of the Year in 2006.

He and his wife, Melanie, have twin ten year old boys and a three year old son that bullies everyone in the house. They reside in Herriman, Utah.

Also sworn in were Greg Vause of Blackburn Jones Company as President-Elect and Joseph Hansen of Joseph E. Hansen Insurance Agency, Inc. as Treasurer.

J. Curtis Breitweiser of Breitweiser Insurance Services received the Agent of the Year Award, Sonja DeVore of Acuity was given the Company Person of the Year Award and Joseph Hansen of Joseph E. Hansen Insurance Agency, Inc. received the Young Agent of the Year Award.

2010 UAIIA Annual Convention Mark your calendars. Next year’s UAIIA Convention will be held in St. George at the Hilton Garden Inn from April 18th through April 21st. As we have in the Wasatch Front area, we will be holding a Free Day Friday (Tuesday in 2010). We’ve already been talking to a speaker who will fascinate you with his abilities.

One Man & 36 Auto Crashes? North Carolina officials have charged an Indiana man with allegedly filing more than $10,000 in false claims related to 11 auto crashes between December 2005 and June 2008. According to the Department of Transportation, Jones was involved in a total of 36 crashes in a 7 year period between 2001 and 2007.

UAIIA Joined Fly-In Six members of our state association flew into Washington D.C. for a joint fly-in with three other national associations to discuss Health Care Reform with Congress. Both the House and Senate are poised to consider health care reform legislation in late July. This event is a tremendous opportunity for the health insurance producer community to send a loud message to Congress about preserving the private delivery of health insurance and to voice opposition to the creation of a public plan that would compete against private insurance companies in the health insurance marketplace.

Participants will lobby their representatives in Congress about the important role professional health insurance advisors, agents, brokers, consultants and employee benefit specialists play in providing health care to millions of Americans. There will be about 1100 participants from the four associations attending.

Scam Alert Utah Insurance Commissioner D. Kent Michie recently warned Utah’s licensed insurance producers to beware of a scam that has surfaced in Nevada and California targeting insurance agents and brokers. According to Scott Kipper, Nevada Insurance Commissioner, individuals representing themselves as employees of the Nevada Insurance Department have been calling insurance agencies requesting payment of penalty fees. At the same time they are requesting credit card and social security information so that payment can be made to avoid the cancellation of their insurance license.

So far the Utah Insurance Department is unaware of any such calls being made in Utah. It should be noted that at no time will the department request payment of a penalty fee by phone. It is always done by mail and will include a billing with the details of the penalty.

Michael Jackson’s Insurance Concert promoter AEG Live reported that insurance will help cover losses on the now-canceled Michael Jackson concert series if the pop star died accidentally – including of a drug overdose – but not if he died of natural causes. The company took out $18 million in insurance coverage through Lloyd’s of London which will fall short of the $25 - $30 million Phillips said AEG Live spent on Jackson’s tour. Interestingly, 40% - 50% of concert ticket-buyers have so far decided to receive tickets as memorabilia in lieu of a refund, which will help make up the insurance shortfall.

Office Space for Rent Office space available at 6713 South 1300 East. Great Fort Union location on I- 215 Belt Route. 1920 sq. ft. all utilities included except phone at $2200.00 a month. Unit has three offices with reception area and bathroom on main floor and four offices with bathroom on second floor. Make one a conference room. Willing to negotiate. Contact Sylvia Bruno at The Surplus Line Association of Utah at (801) 944-0114 or email at sbruno@slaut.org.

Inserts with Newsletter Watch for the inserts for Big “I” Markets and CIC with our printed version of the newsletter.

Windows XP Problems Microsoft recently sent out a warning of serious security vulnerability for Internet Explorer users that are running Windows XP or Windows Server 2003. Below is a link to a Microsoft website that allows you to install a workaround until a permanent solution to the problem is found. Please check with your internal IT department to see if this has already been addressed or for recommendations on whether or not to proceed with the installation of this workaround. The workaround can have some implications on your ability to view video, but there is the ability to disable the workaround should it become necessary.

The link is: http://support.microsoft.com/kb/972890 (Received this alert from IIABA’s IT Department)

Agents View Carriers A new survey, “How Independent Agents View Carriers: The Super-Regional,” polled 1,100 agents in all 50 states about their relationships with the carriers. It found: Nearly two out of three agents called claims service a “critical” factor. Insurers’ financial strength ratings ranked second most-important at nearly 50% - a significant jump from the number five spot in the previous survey. Competitive pricing was third. Nearly half of the top 10 involved some aspect of underwriting – from flexibility and availability to expertise and clarity. Compensation ranked nineteenth out of the 24 issues covered by the survey.

Allstate Expands in Utah Independent agents in the west may soon see more competition. Allstate Insurance Company announced it is expanding its presence in the west by opening 10 offices in Nevada, 10 in New Mexico, 20 in Arizona and 15 in Utah. Allstate said its agency expansion plan is part of an overall growth strategy that calls for growing the provider’s auto and property insurance presence and staking a stronger claim in financial services.

Utah Homeowners Insurance Receives “A” Grade Consumers in four U.S. states enjoy more attractive homeowners insurance at better prices than citizens in other states, according to a new report card jointly released by the Heartland Institute and Competitive Enterprise Institute.

Homeowners in Arizona, Idaho, Utah, and Vermont are charged lower premiums for broader and more predictable coverage, earning “A” grades on the Heartland/CEI report card. These states provide the best regulatory environment for insurance consumers and providers.

Consumers in Florida, Hawaii, Louisiana, Maryland, Massachusetts, and New York – states that earned “F” grades – pay more for homeowners’ coverage that is inferior to what’s available in states with positive insurance climates. The regulatory climates in those states are hostile to insurers and consumers alike.

“On balance,” writes Eli Lehrer, the report’s author, “states with less-regulated insurance markets provide more consumer choice, more predictable rates, and insurance premiums that better reflect actual risk than do states with heavily regulated markets.”

The 2009 Property & Casualty Insurance Report Card is available online at: http://www.heartland.org/policybot/results/25091.

Congratulations Joseph Hansen

2009-06-16T14:49:00.001-07:00

Pictured above from left to right:

Joseph Hansen - Young Agent of the Year

Eric Kingdon - Newly installed UAIIA President (and current Young Agent)

Curtis Breitweiser - Agent of the Year

Congratulations are in order for the Young Agent of the Year Joseph Hansen. Joe's dedication and committment to the Big I make him a very deserving recipient if the award. In addition, Joe was also installed as UAIIA Treasurer.

We are proud to have one of our very own Young Agents serving as the UAIIA President this year - way to go Eric Kingdon. Make us proud!

We would also like to extend a big congrats to our UAIIA State National Director Curtis Breitwieser who received the Agent of the Year Award. Something tells me he's not a Young Agent anymore - let's all hope we can age as gracefully.

2009 young Agents Leadership Institute Events Set

2009-06-16T14:42:00.000-07:00

Join fellow Young Agents at the 2009 Young Agents Leadership Institute being held September 11-13 at Hilton New Orleans Riverside in New Orleans. This exciting event features:

Friday, Sept. 11:

- ACT special joint event – “Best Practices Workflows to Enhance Agency Productivity & Sales”- Big “I” leadership community project- Young Agents awards reception with Big “I” leadership- Young Agents welcome reception

Saturday, Sept. 12:

- Young Agents breakfast and motivational keynotes speaker- Young Agents speed session- Big “I” installation of officers luncheon- Independent Insurance Agents & Brokers of Louisiana dessert reception in honor of David Daniel- The Magnificent Seven- Young Agents New Orleans dinner cruise

Sunday, Sept. 13:

- Young Agents staff liaison and state committee chairs roundtable discussion

The feature segment of this event is the Magnificent Seven, an interactive panel featuring the 2009 Young Agents Committee award winners. Attendees will learn from Young Agents who will offer insight into how they achieved award-winning results.

Don’t let this opportunity pass you by – visit www.independentagent.com/events for more details. For more information, contact Katie Cosgrove at 800-221-7917; katie.cosgrove@iiaba.net.

Don't Forget Free Day Friday This Week

2009-06-10T13:18:00.001-07:00

Utah Association of Independent Insurance Agents
90th Annual Convention
June 11th – 13th, 2009
Zermatt Spa & Resort – Midway, Utah

Agenda

Thursday, June 11th –

11:00 am – 12:30 pm UAIIA Board Meeting
12:30 pm – 2:00 pm Lunch at Soldier Hollow Golf Course
Golf Registration
2:00 pm – 7:00 pm Golf – Shot Gun Start
5:00 pm – 7:30 pm Convention Check-In at Zermatt Spa & Resort
7:30 pm – 9:00 pm Dinner & Entertainment Matterhorn Ballroom
Entertainment Provided by Comedian Ryan Hamilton
9:30 pm – 12:00 am Hospitality Suite Sponsored by Young Agents & Travelers

Friday, June 12th –

7:30 am – 9:00 am Convention Check-In
8:30 am – 10:30 am Booth Set Up at Bernese Center – Zermatt Resort
9:00 am – 12:00 pm FREE CE Ethics sponsored by BELFOR in the Grindelwald Room
9:30 am – 12:30 pm FREE CE Staged Automobile Accidents sponsored by North American
in the Interlaken Room
11:00 am – 4:30 pm FREE Trade Show
12:00 pm – 1:30 pm FREE Lunch Buffet at Bernese Center – Zermatt Resort
4:30 pm – 5:00 pm FREE Trade Show Drawings
6:30 pm – 7:30 pm Past Presidents Reception in Matterhorn Ballroom
7:30 pm -9:30 pm Banquet, Robert Rusbuldt President and CEO of the Big “I”, Awards Ceremony

Saturday, June 13th –

7:30 am – 8:00 am Young Agents Meeting Monte Rosa
8:00 am – 8:30 am Agents Meeting with C. Brett Nilsson, Chairman IIABA
8:30 am – 9:30 am Breakfast Buffet Matterhorn Ballroom
9:15 am – 9:30 am Early Bird, Scholarship, Grand Prize Drawings
9:30 am – 10:00 am Purple Duck Award
10:00 am -11:00 am Key Note Speaker – Eric Alexander
Convention Concludes

Do You Twitter?

2009-06-08T09:37:00.000-07:00

(IIABA's Virtual University VUpoint Newsletter Vol. 10, No. 12 - Issue #233 - Friday, June 5, 2009 )

The Virtual University is Now Tweeting http://twitter.com/BigIVU

I told someone recently that Jeff Yates, executive director of the Agents Council for Technology (ACT), has been trying to drag me kicking and screaming into the 21st century of online social media like Twitter, LinkedIn, Facebook, et al. So, I've bit the bullet and set up a Twitter account for the VU:

http://twitter.com/BigIVU

If you Twitter, be sure to visit this page and become a BigIVU "follower." If you don't have a Twitter account, you can set one up and subscribe. If you're not sure what to do, neither was I and I'm still learning.

I promise that you won't find any "tweets" like "Had a great philly cheesesteak sandwich for lunch, 32 minutes ago" or "Saw Star Trek, great flick, popcorn stale, 2 days ago." What I plan on using this service for is important and/or time-sensitive announcements about the VU and other resources. I don't plan on twittering every new article added to the VU, but I'll try to flag significant additions and keep you posted on breaking news and upcoming events of interest.

As I mentioned, I'm learning how to most effectively use what could be a very valuable information tool, so your comments are welcome as this service progresses.

P.S. One of the big announcements made by Conan O'Brien as new host of the Tonight Show was that YouTube, Twitter, and Facebook were merging. The new web site is www.YouTwitFace.com.

UAIIA Newsletter

2009-05-29T12:53:00.000-07:00

Thanks to our 2009 Associate Members: Acuity, Advanced Restoration, LLC, Allied Insurance, American Mining Insurance Co., Austin Mutual Insurance Co., Auto-Owners Insurance Co., Bear River Mutual Insurance Co., BELFOR, Burns & Wilcox, LTD, Capital Premium Financing, Inc., CNA Insurance, CSE (Civil Service Employees) Insurance Co., Colonial General Insurance Co., Colorado Casualty, Continental Western Group, Cresta Insurance, LLC, Dairyland Auto, EMC Insurance Companies, Encompass/Allstate, Employers, Germantown Mutual Insurance Co., HCC Surety Group, Kemper, Legacy Insurance Services, Inc., Magna Carta Companies, MetLife Auto & Home, Mountain States Insurance Group, MULTICO Rating Systems, Inc., Mutual of Enumclaw, National American Insurance Company, Networked Insurance Agents, Pennsylvania Lumbermens Mutual Insurance Co., Philadelphia Insurance, Premium Financing Specialists, Professional Lines Underwriting Specialists, Inc., Progressive Insurance, Risk Placement Services, Safeco Insurance Co., Sagamore Insurance Company, Santa Fe Auto Insurance Co., Servpro of Holladay/Cottonwood, Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Lines Association of Utah, Swett & Crawford, Total Restoration, Inc., Transwestern General Agency, Travelers, UCA General Insurance, Utah Business Insurance Company, Utah Disaster Kleenup, Victoria Insurance, Western National Insurance Group and Workers Compensation Fund

1. See You At The Top
2. Avoid Pitfalls in E&S Business
3. Did You Know….
4. Twitter Mania
5. Prison Laundry is a Hit!
6. Be Afraid, Be Very Afraid
7. Triathlete Outrun by Fraud Unit
8. New Utah Insurance Department Rule
9. Insurance Management Consultants
10. Want To Be Listed in New Directory?
11. Newsletter Inserts
12. Credit Scoring Hearing
13. Fire Safe Cigarettes
14. Contractors & Builders Conference

1. See You At The Top The top two leaders of the Independent Insurance Agents and Brokers of America (IIABA) will be at UAIIA’s Annual Convention June 11 – 13 at the Zermatt Resort in Midway, Utah. They are coming just in the nick of time with congress poised to take on President Obama’s Universal Health Care Program. Brett Nilsson, Chairman, and Bob Rusbuldt, President and CEO of IIABA, will present us with the latest information on this issue from a national perspective. Couple this with golf, a trade show, awards banquet, keynote speaker, entertainment and great food at a fantastic resort. You won’t want to miss it!

For further information, go to: www.uaiia.org/_private/zermattconvention.htm or call the association office at: 801-269-1200.

2. Avoid Pitfalls in E&S Business Swiss Re Academy and the Big “I” Professional Liability Program presents a FREE risk management webinar for all agency staff about the E&O issues of placing insurance in the Excess and Surplus Lines market and working with E&S brokers. It will be held on Friday, May 15th from 2:00 to 3:00 Eastern Time. For further information, contact Pam.Andrews@iiaba.net (800-221-7917).

3. Did You Know….that the number of U.S. bank failures in 2009 has already matched the total number that failed throughout all of 2008? Last year, officials seized 25 U.S. banks, up sharply from only three in 2007.

4. Twitter Mania Okay, I admit it. I am a Twitter junkie. For those who don’t know, twitter is a social networking phenomenon, which allows for communications called “tweets” in 140 characters or less. Short and sweet! You can follow someone by book marking their twitter site on your browser, by text messages on your cell phone or better yet, log onto www.twitter.com, start your own site, follow several twitterers and send out your own tweets.

I have two twitter sites. One at: www.twitter.com/UAIIA which I use for insurance news, views and commentary, a good way for you to keep up with our association daily. My personal site at: www.twitter.com/stevebaugh pretty much covers my warped view of the world. You are welcome to visit each site, but caution: If you follow me, I just might follow you back.

5. Prison Laundry is a Hit! Our seminar on certificates of insurance or (How I got my job in the prison laundry) is a hit. It has been approved for 3 hours of C.E. credit and we sold out our first class on May 21st in two days. We’ve since added two more classes on May 27th and June 18th, but both of them are filling fast. Check with cheryllyman@uaiia.org for availability. You can download further information and a registration form at: www.uaiia.org/_private/calendar.html.

6. Be Afraid, Be Very Afraid During our visit to Washington D.C., our agents heard loud and clear that our industry is in the crosshairs of potential government interference like never before, most notably with regards to the sale and delivery of health insurance.

The Obama Administration is actively working with Congress and interested parties to craft a major health care reform proposal. While still being developed this proposal could potentially eliminate or severely curtail the agent/broker role in health insurance sales. The entire debate is on a fast track with draft legislation expected to be circulated in late May.

To put in perspective the danger we face, consider these recent comments by Nancy-Ann Deparle, Counselor to the President and Director of the White House Office of Health Reform: “A public plan is something that’s sponsored by the government, and therefore has very low or almost nonexistent administrative costs, compared to others. It doesn’t have the need to have brokers out selling; it wouldn’t have the need to have a lot of costs and profits, the way private plans would. So it has that advantage.”

News flash: U.S. Health and Human Services Secretary, Kathleen Sebelius, just said “Dismantling the private market….is not something the president supports.”

To counter the efforts that threaten our livelihood, IIABA has assembled a Health Care Reform Kit to educate you on the issue and help you advocate in your community. This will be sent to you under separate cover by our state association.

7. Triathlete Outrun by Fraud Unit A Virginia man claimed he was wheelchair-bound after a car crash aggravated an earlier injury. He made a $1.2 million claim against Amica Insurance, and received rehab and other services from state-funded programs. All the while, he was a competitive triathlete and was taking women on long mountain hikes. The man faced up to 20 years in prison on fraud charges, but was ordered to serve only one year. He also must repay the state over $26,000.

8. New Utah Insurance Dept. Rule There is a new rule being proposed by the Utah Insurance Department. It is R590-244, Individual and Agency Licensing Requirements. The comment period ends June 15, 2009 and your written comments are encouraged. Please direct them to Jilene Whitby by email: jwhitby@utah.gov, by fax: 801-538-3829, or by mail: State Office Building, Room 3110, Salt Lake City, UT 84114-6901. A hearing has been scheduled for June 4, 2009 at 10:00 a.m. in room 3112 of the State Office Building behind the Capitol.

To read a copy of the rule, go to: http://www.insurance.utah.gov/legalresources/rules.html.

9. Insurance Management Consultants The American Association of Insurance Management Consultants (AAIMCo) is an association of consultants to the insurance industry for companies, agents and their consumers.

They claim that the experience of their members and the diversity of their expertise cannot be found elsewhere. Their standards of performance is maintained and sustained via continued education.

For further information, their website is located at: www.aaimco.com.

10. Want To Be Listed In New Directory? A new printed directory will come out in a couple of months listing all agency and associate members of UAIIA. There will be other important information in the directory as well. You must be a member to be included. If you haven’t renewed your membership, please sign up today.

11. Newsletter Inserts Watch for the inserts with our paper newsletter from Risk Placement Services, Inc., (RPS) and Chandler Insurance Managers, Inc. (CIMI). Thanks!

12. Credit Scoring Hearing On April 30th, the National Association of Insurance Commissioners (NAIC) held a public hearing about insurance companies’ use of credit scoring.

The hearing—co-hosted by the Property and Casualty Insurance Committee and the Market Regulation and Consumer Affairs Committee—focused on the impact of credit-based insurance score on consumers.

“Credit scoring is one of the most significant developments in the pricing of auto and homeowners insurance in the past 20 years,” said NAIC President and New Hampshire Insurance Commissioner Roger Sevigny. “Our goal is to protect consumers by ensuring that any use of credit scoring does not have unfair or unintended consequences.”

13. Fire Safe Cigarettes Since 2006, the Coalition for Fire Safe Cigarettes has been pursuing state laws requiring self-extinguishing cigarettes. Missouri became the 46th state to approve that type of legislation. The only states that have not are Alabama, Michigan, Nebraska and Wyoming.

So-called fire safe cigarettes have a special paper that causes the lighted end to go out when the burning tobacco reaches the treated section. The cigarettes essentially are designed to burn out when someone stops puffing on them. They are intended to reduce the chances for house fires caused by people falling asleep while smoking.

In Missouri, retailers could be fined up to $100 per pack for knowingly selling cigarettes that do not meet self-extinguishing requirements.

14. Contractors & Builders Conference This conference is the home of the Certified Insurance Specialist in Construction (CISC) designation. For further information, go to: www.ContractorsConference.com

Young Agents Talk About Generational Differences and Technology Needs

2009-04-16T14:27:00.000-07:00

Discussion highlights what younger generations seek as agency employees.

Last fall, the Agents Council for Technology (ACT) sponsored a technology forum during the Big “I” Young Agents Leadership Institute to discuss generational differences and technology preferences from the perspective of young agents. The group of more than 70 young people was predominately comprised of generation X (under age 46) and millennials (under age 28).

Young agents suggested the best way to describe the difference in generations was to look at how they greet their friends: baby boomers will usually ask, “How’s your job?” Gen X’ers will ask, “How’s your family?” And millennials will ask, “What did you do this weekend?” While everyone in the room smiled this generational distinction, there was no dispute that the different generations need to understand each other and work together effectively.

The young agents encouraged agency principals to foster a discussion of generational differences within the agency and adopt flexible employee policies that are results-driven and reflect the needs of the different generations. After all, generations are evolutionary and each will change its perspectives based on the life cycle of graduating from college, getting a job, getting married, starting a family, buying a home, furthering a career and beginning preparations for retirement.
Young people are well-suited for the insurance industry because they enjoy working in teams and working with people. They also have a keen insight into how other young people think and are more adept at soliciting young people as clients. With the profound changes in marketing from the emergence of social networking on the Web (Facebook, Twitter, LinkedIn, etc.), younger generations can teach established agencies how to be visible in cyberspace where the young and young-at-heart do their research, purchase products and network. Agents have a wonderful opportunity to begin to use these tools not only to learn about new ways to communicate and network but to establish a marketing presence to attract new clients.

The young agents also pointed out that social media enables them to do virtual networking in a similar way to the in-person networking baby boomers have excelled at in their communities. In fact, social networking is putting a personal touch back into the Internet, which promises to put relationship-oriented agents into a stronger position than when the Internet was dominated by large corporate direct-writing companies.

This article is part one of a two-part series exploring the technology needs of young agents and customers.

Angelyn Treutel (Angelyn@treutel.com) is treasurer, vice president and chief information officer of Treutel Insurance Agency and chair of the Agents Council for Technology (ACT).

For more information about ACT, contact Jeff Yates, ACT executive director, at jeff.yates@iiaba.net.

This article reflects the views of the author and should not be construed as an official statement by ACT.

UAIIA Newsletter

2009-04-09T14:30:00.000-07:00

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2009 Associate Members: Acuity, Advanced Restoration, LLC, American Mining Insurance Co., Austin Mutual Insurance Co., Auto-Owners Insurance Co., Bear River Mutual Insurance Co., BELFOR, Burns & Wilcox, LTD, Capital Premium Financing, Inc., CNA Insurance, CSE (Civil Service Employees) Insurance Co., Colonial General Insurance Co., Colorado Casualty, Continental Western Group, Cresta Insurance, LLC, Dairyland Auto, EMC Insurance Companies, Encompass/Allstate, Employers, Germantown Mutual Insurance Co., HCC Surety Group, Kemper, Legacy Insurance Services, Inc., Magna Carta Companies, MetLife Auto & Home, Mountain States Insurance Group, MULTICO Rating Systems, Inc., Mutual of Enumclaw, National American Insurance Company, Networked Insurance Agents, Pennsylvania Lumbermens Mutual Insurance Co., Philadelphia Insurance, Premium Financing Specialists, Professional Lines Underwriting Specialists, Inc., Risk Placement Services, Safeco Insurance Co., Sagamore Insurance Company, Santa Fe Auto Insurance Co., State Auto Insurance, Statewide Insurance Corp., Surplus Lines Association of Utah, Swett & Crawford, Total Restoration, Inc., Transwestern General Agency, Travelers, UCA General Insurance, Utah Business Insurance Company, Utah Disaster Kleenup, Western National Insurance Group and Workers Compensation Fund

1. Who’s Your Grand Daddy?

2. Agent, Young Agent & Company Person of Year

3. Can You Say “Up The Creek Without A Paddle?”

4. Chubbdog Millionaires

5. Wolf in Sheep’s Clothing

6. Obama and State Insurance Supervision

7. Salt Lake Bees Discount Tickets

8. Nilsson To Represent USA

9. Is Your Agency on Real Time?

10. Flyers in Newsletter

11. Top Five Complaints

12. Our Industry, Our Responsibility

13. Say What You Mean: Character, Integrity and Independent Agents

1. Who’s Your Grand Daddy? We sent out a final legislative update last week, but we failed to tell you about one thing that could affect many of you. In HB280S01, the continuing education bill, the grandfather clause date was changed. The enrolled bill reads as follows: A licensee is exempt from continuing education requirements under this section if: (A) the licensee was first licensed before April 1, 1978; (The old date was April 1, 1970.) (B) the licensee requests an exemption from the department; and (C) the department approves the exemption. (ii) If the department approves the exemption under Subsection (3)(d)(i), the licensee is not required to apply again for the exemption.

Here is how it works: After May 12, 2009 (when the bill is effective), if your license was effective before April 1, 1978, you need to send an email to mcovington@utah.gov with your license number and request the grandfather status. If your license shows a date after March 31, 1978, but you have held a license in another state previously, then you need to send proof of being licensed prior to April 1, 1978 and prior to transferring to Utah.

2. Agent, Young Agent, & Company Person of Year We hope you all are planning to attend our Annual Convention at the Zermatt Resort on June 11 – 13, 2009 or at least Free Day Friday. We’ve got a great program with outstanding speakers, trade show, entertainment, awards and golf. Go to the following link for further information: www.uaiia.org/_private/zermattconvention.htm.

We would like to receive your nominations for Agent, Young Agent and Company Person of the Year. If you know someone who is deserving, go to the following link for a recommendation form: www.uaiia.org/_private/2009nominationform.pdf. Thanks!

3. Can You Say “Up the creek without a paddle?” The nonpartisan Congressional Budget Office (CBO), actually under control of the Democratic Congress, released its estimates of impending budget deficits on March 20th. The CBO estimates suggest that deficits during the next 10 years will be 33% higher ($2.3 trillion, or $2,300,000,000,000 more) than what the new Administration’s deficit projections indicate.

Based on current CBO estimates, the cumulative deficit would be $9.3 trillion from 2010 to 2019, or nearly $1,000,000,000,000 annually. The total would more than double the national debt in the hands of the public, taking it from the current $6.7 trillion to $17 trillion. The Obama deficits would exceed the total accumulation of debt during all prior presidents. (From Jeff Thredgold’s Tea Leaf newsletter.)

4. Chubbdog Millionaires Ten employees in the IT department of Chubb Commercial Insurance have hit the jackpot. They are sharing in the winnings on a multi-state Mega Millions lottery ticket worth $216 million. The winners should get about $8.1 million a year each, before taxes, for the next 26 years from their lucky purchase. Apparently, no actuaries were consulted in the number selection; the group said their picks were random.

5. Wolf in Sheep’s Clothing A new bill introduced in Congress on April 2nd could be considered a wolf in sheep’s clothing. Representative Melissa Bean (D-IL) and Representative Ed Royce (R-CA) sponsored The National Insurance Consumer Protection Act.

“While it has an appealing title, this latest incarnation of Optional Federal Charter (OFC) legislation would damage the stable and healthy insurance marketplace to the detriment of consumers,” says Robert A. Rusbuldt, Big “I” president and CEO. “While the bill has a few changes, it is basically the same concept, optional federal chartering and deregulation of strong state consumer protections, which has rightfully been rejected and ignored by previous Congresses. There is no doubt the current regulatory system needs more uniformity and efficiency, but there are more prudent ways to accomplish this via targeted federal legislation.”

6. Obama and State Insurance Supervision National Association of Insurance Commissioners (NAIC) President and New Hampshire Insurance Commissioner Roger Sevigny says the most recent financial services regulatory proposal from the Obama Administration retains a role for state insurance commissioners.

“We are encouraged by Secretary Geithner’s statements that this proposal will maintain the important role that state regulators play in supervising insurance companies,” Sevigny said. “We agree with his assertion that financial institutions must not be allowed to ‘cherry pick’ among competing regulators in search of the lowest standards and constraints. We also agree that there is a need to address how resolutions would operate for financial structures and activities outside of the existing FDIC system for banks and the existing state guaranty fund system for insurers. However, any expansion of federal resolution authority should not displace those proven systems.”

7. Salt Lake Bees Discount Tickets Members of UAIIA can now get discount tickets to Salt Lake Bees baseball games. You can receive $2.50 - $3.50 savings on individual tickets. Here are some of the special game nights to consider: Opening night April 9th, fireworks nights -- May 29th, June 5th, July 4th & 5th, July 23rd, 24th, and 25th, August 22nd and September 5th. Go to the following website to get tickets online: http://www.ticketmaster.com/promo/qgb68v -- Our company password is: UAIIA

For further information call Eric Woodbury at (801) 350-6917.

8. Nilsson To Represent USA Utah’s C. Brett Nilsson, CIC, chairman of the Independent Insurance Agents & Brokers of America (IIABA or the Big “I”), was recently selected to represent the United States of America on the World Federation of Insurance Intermediaries (WFII) World Council.

The WFII provides a platform for agent and broker associations from around the globe to exchange information about common issues and concerns and to initiate and coordinate advocacy actions. In its 10-year history, the WFII has worked on promoting and representing the interests of insurance agents and their customers before influential international organizations including the International Association of Insurance Supervisors, the World Trade Organization, the Organization for Economic Cooperation and Development, and the United Nations.

9. Is Your Agency on Real Time? If your agency hasn’t implemented Real Time, the next major advance in agency workflow, here is your chance to learn about it. There will be a webinar on May 6th, which will explain Real Time, demonstrate it, discuss the benefits, and outline what your next steps should be. There is no charge for agents or others to attend the webinar. After you logon to the Internet session, you will be able to listen to the audio through your computer headset or speakers. If you would prefer, you will also be provided with a toll number you can call to listen to the audio. To register for the May 6th session (1:30 – 2:30 p.m. eastern time), go to the following web address:

https://www1.gotomeeting.com/register/771210636

10. Flyers in Newsletter Check out the flyers in this month’s paper newsletter for a discount on FedEx shipping, information on American Mining and for the latest information on a Utah CIC Institute.

11. Top Five Complaints According to the National Association of Insurance Commissioners (NAIC), the top five complaints against insurance companies are as follows in order of the highest complaint: 1. Delays 2. Denial of Claims 3. Unsatisfactory Settlement 4. Premium and Rating 5. Cancellation.

The top five complaints by type of coverage are: 1. Accident and Health 2. Auto 3. Homeowners 4. Life and Annuity 5. Commercial Multi-Peril.

12. Our Industry, Our Responsibility At the end of our electronic Newsletter, I’m posting an article entitled: “Say What You Mean: Character, Integrity and Independent Agents”. This article made me feel good about working in the insurance industry, but also made me realize what an awesome responsibility we have to maintain our character and integrity. It was written by Mitch Dunford, who is CEO for Insurance Journal’s parent company, Wells Publishing, Inc. Mitch has roots in Utah and has stopped by our association office a few times. He gave me permission to send this article to our membership.

13. Say What You Mean: Character, Integrity and Independent Agents

By Mitch Dunford
April 2, 2009

"I meant what I said, and said what I meant..."

Although that quote was written in 1954 by Dr. Seuss in his book "Horton Hears a Who," it is a powerful reminder today to act with character and integrity.

"Horton Hears a Who" tells the story of Horton the Elephant, who hears a small speck of dust talking to him. It turns out the speck is a tiny planet, home to a city called Whoville that is inhabited by microscopic-sized people known as Whos. The Whos ask Horton (who cannot see them but can hear them) to protect them from harm, which Horton promises to do — despite opposition from the other jungle animals who believe Horton has lost his mind. As it becomes more difficult to protect the Whos, Horton is encouraged to leave the Whos to fend for themselves. Yet Horton stands behind his promise, declaring, "I meant what I said, and I said what I meant, an elephant is faithful 100 percent."

Horton's motto is a good reminder for all of us. There is little debate on where we find our country economically. The auto industry is in crisis; financial markets are a mess; the unemployment rate is growing daily; banks are closing; foreclosures are at an all-time high; and bad economic news continues.

Despite the constant diet of bad news and stark economic realities we are left to deal with, if you look at the situation through the clear lens of truth, you'd find that what led us here was not a crisis of cash, but a crisis of character.

Decades of dishonesty, greed and the notion that character doesn't matter have caught up to us. As business leaders, politicians and others in positions of trust have relied upon the crazy notion that competency is everything and personal integrity is expendable, we find ourselves reaping the fruits of that ideology — and it's not good.

Integrity and trust are fundamental principles of leadership and power,
and are the foundation of a strong economy. Our unique economic system is tied to freedom, and freedom is tied to responsible and ethical behavior. When we allow in ourselves and in our leaders a pattern of irresponsible behavior, we give up our freedoms in an effort to repair the damage. And as our freedoms erode, so does our unique economy.

You have chosen to work in the insurance industry. While others seek to minimize risk you embrace it. You study it, you calculate it, you even profit from it. You are now, and have been for hundreds of years, our economy's last line of defense. You make it possible for businesses to open and grow, for loans to be made, for new inventions to come to market, and for young people to buy their first car or their first home.

Without you and your industry, the way of life to which we have grown accustomed would slow to a grinding halt.

Inside the insurance industry, there is tremendous potential for growth, both personal and financial. The industry is one of the most lucrative professions in the world.

But with that opportunity comes a responsibility: to act with integrity and with character in how you do business. Our economy cannot afford to lose confidence in our industry.

To close a sale, there may be temptation to not fully explain a policy's new conditions or exclusions. There may be temptation to suggest coverage exists that really doesn't, and then to blame someone else for the error when the claim is denied. Our industry must resist temptations to deceive.

It starts with a personal decision in each of us to do the right thing: to value our character, reputation and the important role our industry plays in the health of our economy more than money. To say in our quiet moments, "I meant what I said, and I said what I meant."

There is astonishing power when a single person makes a single, honest decision. It can be contagious. As dishonesty breeds mistrust, honesty gives rise to trust, and trust provides the foundation for more honesty. It starts with one, each one of us doing the right thing for the right reason.

A government "stimulus" package will not save us. A bailout of AIG or GM will not solve the underlying problem. Instead, the quiet personal resolve to act with character and integrity in everything we do, and to demand the same behavior in our leaders, will lead to long-lasting, positive change. There is still something noble in the American spirit. I believe in us. I believe in our character as Americans to dig deep and to dig out of any problem, to do the right thing, and to do the extraordinary.
___

Mitch Dunford is CEO for Insurance Journal's parent company, Wells Publishing Inc. E-mail him comments at mitch@insurancejournal.com

On the Hill

2009-03-19T14:25:00.000-07:00

Big “I” Speaks Up for Small Businesses and Independent Agencies at Hearing

P-C market stable, targeted modernization is the prudent approach to reform.

This week, Spencer Houldin, chairman of the Big “I” government affairs committee, represented the Big “I” before the U.S. Senate Banking Committee in a hearing titled, “Perspectives on Modernizing Insurance Regulation.”

Houldin is also an independent agent, president of Ericson Insurance in Washington Depot, Conn. and the Connecticut representative on the IIABA board of directors.

The Big “I” was the only agent/broker association to testify at the hearing. Other witnesses included: Michael McRaith, director, Illinois Department of Financial and Professional Regulation, on behalf of the National Association of Insurance Commissioners (NAIC); the Honorable Frank Keating, president and chief executive officer, The American Council of Life Insurers; William Berkley, chairman and chief executive officer, W. R. Berkley Corporation, on behalf of the American Insurance Association (AIA); John Hill, president and chief operating officer, Magna Carta Companies, on behalf of the National Association of Mutual Insurance Companies (NAMIC); Frank Nutter, president, The Reinsurance Association of America; and Robert Hunter, director of insurance, The Consumer Federation of America (CFA).

In his testimony, Houldin focused on small businesses, like his, in the independent agency system. He said that “(w)e must carefully examine the causes of the current crisis, and determine how or if regulatory policy should change to ensure we do not repeat the mistakes of the past. It is a daunting task, and as a small businessman who must conduct business in the regulatory environment of the future, I implore policymakers to act judiciously and make sure that when you act, you get it right.”

Houldin emphasized that the current state regulation system is working, although it could use some targeted reforms.

“(A)s we undertake a review of current regulations in place and consider strengthening existing laws or adding additional ones, we must ensure that we do not simply toss out regulatory systems that work in an effort essentially to wipe the slate clean and start over,” said Houldin. “…It should not be overlooked that the state system has an inherent consumer-protection advantage in that there are multiple regulators overseeing an entity and its products, allowing others to notice and rectify potential regulatory mistakes or gaps. Providing one regulator with all of these responsibilities, consolidating regulatory risk and essentially going against the very nature of insurance of spreading risk, could lead to more substantial problems where errors of that one regulator lead to extensive problems throughout the entire market.”

The Big “I” has long asserted that the best method for addressing regulatory deficiencies is by enacting targeted legislation or federal legislative ‘tools’ that establish greater interstate consistency and streamline redundant oversight, not an optional federal charter (OFC), which would result in regulatory arbitrage by allowing companies to pick and choose a regulatory system. The use of targeted and limited federal legislation on an as-needed basis can improve rather than dismantle the current state-based system and in the process produce a more efficient and effective regulatory framework.

In conclusion, Houldin emphasized that “IIABA believes that, with the exception of a properly crafted systemic risk overseer at the federal level, targeted modernization is the prudent course of action for reform of insurance regulation. Therefore, any efforts to use this crisis and the failure of AIG as an opportunity to promote misguided measures that would allow a regulated insurance entity to choose its own regulator should be summarily dismissed as unacceptable in today’s financial environment.”

Margarita Tapia (margarita.tapia@iiaba.net) is Big “I” director of public affairs.

Utah Independent Insurance Agents Electronic Newsletter

2009-02-27T10:48:00.000-08:00

Thanks to our 2009 Associate Members: Acuity, Advanced Restoration, LLC, American Mining Insurance Co., Austin Mutual Insurance Co., Auto-Owners Insurance Co., Bear River Mutual Insurance Co., BELFOR, Burns & Wilcox, LTD, Capital Premium Financing, Inc., CNA Insurance, CSE (Civil Service Employees) Insurance Co., Colonial General Insurance Co., Colorado Casualty, Continental Western Group, Cresta Insurance, LLC, Dairyland Auto, EMC Insurance Companies, Encompass/Allstate, Employers, Germantown Mutual Insurance Co., Kemper, Legacy Insurance Services, Inc., Magna Carta Companies, MetLife Auto & Home, Mountain States Insurance Group, MULTICO Rating Systems, Inc., Mutual of Enumclaw, National American Insurance Company, Networked Insurance Agents, Pennsylvania Lumbermens Mutual Insurance Co., Philadelphia Insurance, Premium Financing Specialists, Professional Lines Underwriting Specialists, Inc., Risk Placement Services, Sagamore Insurance Company, Santa Fe Auto Insurance Co., State Auto Insurance, Statewide Insurance Corp., Surplus Lines Association of Utah, Swett & Crawford, Total Restoration, Inc., Transwestern General Agency, UCA General Insurance, Utah Business Insurance Company, Utah Disaster Kleenup and Western National Insurance Group.

1. 2009 UAIIA Convention
2. Living The Brand
3. Third AIG Bailout?
4. Women Drivers!
5. Utah License Reinstatements
6. Insurance Agent Bank Robber
7. Uninsured Drivers
8. Flyers with Newsletter
9. Important Legislative Conference
10. Reduce Your E&O Exposure

1. 2009 UAIIA Convention Just in case you didn’t receive our recent email about the 2009 Convention at the Zermatt Resort on June 11th – 13th, here’s some more information. As usual, we have great speakers, entertainment, continuing education, a trade show, golf, good food and an awards banquet. Go to our website at www.uaiia.org and click on the convention button. Scroll down for links to our registration forms and further information. In addition to Eric Alexander our keynote speaker and Ryan Hamilton, our entertainment, we will have our national association’s highest-ranking volunteer, Utah’s own Brett Nilsson who is currently the Chairman of IIABA. Also, we will have our national association’s highest-ranking staff person, Bob Rusbuldt, President and CEO of IIABA.
Don’t forget that we’ll also have Free Day Friday again this year which means free trade show, luncheon and continuing education on Friday, June 12th for anyone in the valley that would like to come up for the day.
What’s not to like? There is something for everybody. We hope you’ll plan on attending. Why don’t you take the time to fill out a registration form today.

2. Living The Brand Don’t break the bank marketing your agency—get your $500 Trusted Choice reimbursement.
Trusted Choice has a new marketing reimbursement program for members. Agencies that use the Trusted Choice logo on their business cards, brochures, Website and other collateral in 2009 are eligible for up to $500 to offset the cost. Apply for your reimbursement today and reap the benefits of “living the brand”. For further information, go to www.trustedchoice.com/mrp.

3. Third AIG Bailout? American International Group, Inc., rescued twice last year by the U.S. government, is asking for more aid and bracing for a fourth-quarter loss of roughly $60 billion, a source familiar with the matter said. It would be the biggest loss in one quarter in corporate history.
The $60 billion would exceed Time Warner’s $54 billion single-quarter loss in 2002 and dwarf the $24.5 billion loss AIG posted in the third quarter, when the government increased its rescue package for the insurer to about $150 billion.
CNBC, which first reported AIG’s discussions, said the losses to be announced next Monday were due to writedowns on commercial real estate and other assets. It said the insurer’s board will meet next Sunday to work out an agreement with the government. (From Insurance Journal)

4. Women Drivers! We hear people say that at times, but according to Quality Planning, a subsidiary of the Insurance Services Office (ISO), Male drivers are cited for reckless driving 3.41 times more than women, women are far more observant of traffic laws than men, and that the laws violated more frequently by men are those laws designed to safeguard people and property.
The survey also said men were 3.09 times more likely to be cited for driving under the influence, 3.08 times more likely for failure to wear a seatbelt, 1.75 times more likely for speeding, 1.54 times more likely for failure to yield and 1.53 times more for a stop sign violation. In summary, women are on average less aggressive and more law-abiding drivers—attributes that also translate to fewer accidents.

5. Utah License Reinstatements All insurance licensees can now reinstate a lapsed license electronically if it has been less than one year since the inactivation date. Resident licensees can reinstate by going to Sircon’s site at http://www.sircon.com/resource/layout.jsp?page=utahLps&type=utah. Non-resident licensees can reinstate on Sircon’s or NIPR’s site (http://www.nipr.com/).
Note that appointments and associations are not automatically reactivated when a license is reinstated. All appointments and associations must be re-established.
Continuing education (CE) requirements must be met when submitting a reinstatement on-line. If the system still lists the CE compliance as pending, the individual should review their CE transcript and contact the providers of courses that do not appear there. The provider will need to upload the associated course roster. Once the roster upload has been processed by the system, the producer will be able to submit the reinstatement application.
An insurance licensee whose license expired more than one year ago will need to submit a new license application and satisfy the licensing requirements of a first-time licensee. Anyone having problems with this process should feel free to contact the department for assistance at 801-538-3855.

6. Insurance Agent Bank Robber A part-time insurance agent was arrested in his Rockefeller Center office and charged with pulling off a knifepoint bank robbery in the suburbs of New York and making his getaway in a luxury sport utility vehicle, police said.
Edward Solomon, 71, was accused of stealing $5,900 from a bank in a Peekskill shopping center Jan 16th. Solomon used a knife to force an employee to let him into the teller area, where he rifled through the cash registers. He had retired two years ago as an agent for Prudential Financial, Inc., but was allowed by Prudential to continue working with his established clients.

7. Uninsured Drivers Approximately one in six drivers across the U.S. may be driving uninsured by 2010, according to a recent study from Insurance Research Council (IRC).
Although the estimated percentage of uninsured motorists decreased nationally, from 14.9 percent in 2003 to 13.8 percent in 2007, the research group says the recent economic downturn is expected to trigger a sharp rise in the uninsured motorist rate.
The magnitude of the uninsured motorists problem varied widely from state to state. In 2007, the states with the highest uninsured driver estimates were New Mexico (29%), Alabama (26%), Oklahoma (24%), and Florida (23%).
The five states with the lowest uninsured driver estimates were Massachusetts (1%), Maine (4%), North Dakota (5%), New York (5%), and Vermont (6 %). Utah comes in at 8%.
The IRC estimates the uninsured driver population using a ratio of insurance claims made by individuals who were injured by uninsured drivers to claims made by individuals who were injured by insured drivers.

8. Flyers with Newsletter Watch for the flyers with the paper version of our newsletter. A.M. Best is offering their Key Rating Guide for 20% off of their normal price and CIC is offering a Life and Health Institute in Salt Lake City on March 4 – 7th.
Also, CPCU is offering an ethics course on March 18th. For further information, contact Cathy Hampton at 801-715-7033.

9. Important Legislative Conference There are many important national issues to be discussed at the upcoming Big “I” Legislative Conference & Convention. You should consider attending and joining our Utah contingent as we visit our legislators in Washington D.C. April 30th to May 1st. Some of the issues that will be discussed are: insurance regulation, agent licensing reform, natural catastrophes, health insurance distribution and taxes. We have been able to find direct flights to D.C. for as little as $200 roundtrip.
The Big “I” knows the economy is on everyone’s mind and will address challenges and opportunities head-on at the general session. Stephen Dubner, rogue economist and co-author of the New York Times bestseller Freakonomics, will show you how economics is the study of incentives, or how people get what they want or need when others want or need the same thing. The state of the insurance industry and the association will also be addressed by Big “I” Chairman Brett Nilsson and by a CEO panel. The panel will consist of CEOs from The Hartford, Liberty Mutual, Progressive and State Auto. For further information go to: www.independentagent.com and click on the events link.

10. Reduce Your E&O Exposure The Big “I” recently endorsed Swiss Re’s new Agency Shield Program for their Insurance Agency Errors and Omissions (E&O) policyholders. The agency Shield Program is a value added loss control service and self-assessment program specifically designed for insurance agencies.
The Agency Shield Program is focused on reducing E&O claims costs by making it possible for an agency to do a comprehensive review and evaluation of the agency’s processes, procedures and guidelines. The procedures analysis featured in the Agency Shield Program enables easy implementation of standardized processes to help avoid future E&O claims. The program is affordable, easy for the average agency to implement and there is a real incentive with the premium credit to complete it. For further information contact UAIIA at 801-269-1200.

A Very Sad Day

2009-02-27T10:45:00.000-08:00

To: UAIIA Membership

From: Steve Baugh, Executive Director

I am very sad to tell you that Steve Woods, a dear friend and former employee of our association, passed away yesterday, Feb 25th, at his home in Indiana. Steve had worked for Travelers in underwriting and marketing for over 38 years and spent the last two years of his employment marketing errors and omissions insurance for our state association. He and his wife, Ginny, moved to Indiana to be closer to their children not quite a year ago.

According to Ginny, they didn't find out about his cancer until this past Jan 12th. They feel blessed that he didn't have to suffer for very long. His obituary should be published in the Salt Lake Tribune either tomorrow or Saturday and there will be a celebration of his life on Sunday in Indiana. Condolences may be left at the following website: http://www.randallroberts.com/

There will be information on Steve's favorite charities in the obituary, but one of his favorites was Compassion International located in Colorado Springs, Colorado. I hope you will keep Ginny and their family in your prayers during this difficult time.

Steve
Utah Association of Independent Insurance Agents4885 South 900 East, #302Salt Lake City, UT 84062(801)269-1200 Fax: (801)269-1265

UAIIA's 90th Annual Convention

2009-02-24T14:43:00.000-08:00

- Don't Miss -

UAIIA's 90th Annual Convention
Zermatt Resort - Midway, UT
June 11 - 13, 2009

Enjoy the first class amenities at Midway's Zermatt Resort

Enjoy Eric Alexander who guided the first blind person to successfully climb Mount Everest.

And Ryan Hamilton, a great comedian

C. Brett Nilsson - Chairman, IIABA

Robert A. Rusbuldt President & CEO, IIABA

Please join us for an outstanding convention of fun, food, golf, education and entertainment at the exciting new Zermatt Resort on June 11 - 13, 2009 in Midway, Utah.

Don't forget FREE DAY FRIDAY! - Free continuing education from 9:00 a.m. to noon. And don't miss our trade fair, which will be open to everyone from 11:00 a.m. until 4:30 p.m. Remember, its FRIDAY and it's FREE! What a great excuse to get out of the office. It doesn't get any better than this.

Check out the Convention Links below for registration forms and further info:

http://www.uaiia.org/_private/zermattconvention.htm

5 Tips and Ideas for Community Involvement and Media Hits

2009-02-16T10:35:00.000-08:00

Community Involvement Ideas
Give a Little - Gain a Lot

Networking Groups - Many cities, towns and counties have networking groups such as BNI, where you meet with professionals in a variety of fields and share leads and business tips. http://www.bni.com/

Chamber of Commerce - Become involved with your local Chamber of Commerce. You will be invited to networking events from lunch and learns to conventions. Be prepared to offer your services as a speaker or to volunteer to host an event. http://www.uschamber.com/

Community Service Projects - By participating on a board or committee of a charity you are doing something wonderful for your community while representing your organization. If you are short on time, try volunteering for a fundraiser or golfing in a charity tournament.

Schools – InVEST, a program that educates high school and college students on the fundamentals of insurance has been providing the industry with talent for years. By becoming an InVEST liaison or guest speaker in your state or community, you are gaining recognition while perpetuating the independent agent systems. http://www.investprogram.org/

Educate Consumers - By hosting free seminars on insurance products and the importance of insurance in your community, you are sure to put the Young Agents in the forefront of the industry.

Media TipsCheck the pulse of your area media

Letter to the editor - If you notice an article that you could have provided expert insight, write a letter to the editor stating your position on the topic. Use this as an opportunity to follow-up with the writer via phone call or e-mail. Proactively write letters to editor/ opeds to promote young agents, and the importance of the younger generation to the industry.

Position yourself as an expert - By positioning yourself as an expert you can become a reliable source for your local papers, business and industry journals. Speak at events and making a presence at Chamber of Commerce or other local functions where media may be present.
Media invites - Invite the local media to charity events or other functions you host throughout the year.

Press releases - Distribute press releases with information about award winners upcoming consumer events and other information. Look to the Big “I” for newsworthy ideas and talking points.

Media partnership—Don’t forget that newspapers need to gain visibility as well. When pitching partnerships or sponsorship within your community; include your local media. Look to the director of advertising for information.

Courtesy of: Independent Insurance Agents & Brokers of America, Inc. - e-mail: info@iiaba.org

Call for Young Agents to go to D.C.

2009-01-23T16:32:00.000-08:00

The Big "I" National Young Agents Committee is offering each state association TWO $500 scholarships to assist Young Agents who have not previously attended a Big "I" Legislative Conference in attending the 2009 Big "I" Legislative Conference & Convention being held April 29 - May 1, 2009 at the Marriott Wardman Park Hoel in Washington, DC.
Click here to download the $500 First Time Attendee Scholarship Application

There will be a few young agents from Utah attending the national legislative conference and convention in Washington DC from April 29 to May 1. This is an excellent opportunity to network with other Agents from around the country and meet with our lawmakers in Washington. Not only is one sure to learn a lot from this experience, you will also have a blast!! Come along..... there are some good deals on flights right now.

Jon Jepsen - Young Agent Chair

UAIIA Newsletter

2008-12-22T15:53:00.000-08:00

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, BELFOR, Burns & Wilcox LTD, Cananwill Premium Funding, Capital Premium Finance, Chubb Group of Insurance Companies, CIBA Insurance Services, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Sagamore Insurance Co., Sequoia Ins. Co., Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Telford Financial, Transwestern General Agency, Travelers, UAIC, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. Local Agents Rate High
2. Insurance Profits Take a Dive
3. Insurance Department Tips – Trust Accounts
4. Lawsuit of the Month
5. Legislative Rumors
6. What Have We Done For You Lately?
7. Northern Utah Earthquake Fault
8. 2008 InsurPac Contributors
9. Can You Say “Crop Damage?”
10. Happy Holidays

1. Local Agents Rate High According to a customer satisfaction survey from J.D. Power and Associates, auto and home insurance customers who deal with a local agency tend to be more satisfied than those who interact with their insurer’s call center. The study also found that agent served customers tend to be more loyal to their agent than they are to their insurer. Among customers who perceive their agent to be independent, 44 percent say they “definitely will” renew with their insurer, while 60 percent say they “definitely will” continue doing business with their agency.
The study also revealed the following insurance customer behavior pattern: One fourth of a customer’s overall impression of their agent, agency staff, or call center representative is driven by their courtesy and friendliness. Two in five customers meet with their agent in person, most visiting without a scheduled appointment.
2. Insurance Profits Take a Dive After-tax profits for the U.S. property and casualty industry through the first nine months of the year were $4.1 billion – a 91.8 percent decline from the $50 billion in profits earned the same period a year ago, according to ISO and the Property Casualty Insurers of America (PCI).
Insurers suffered $19.9 billion in net losses on underwriting through the first nine months of 2008, marking a $38.2 billion adverse swing from insurers’ $18.4 billion in net gains on underwriting seen in the comparable 2007 period.
The combined ratio – a key measure of losses and other underwriting expenses per dollar of premium, worsened to 105.6 percent in the first nine months of the year, down from the 93.8 percent combined ratio the industry saw in the first nine months of 2007.
The figures are consolidated estimates for all private property/casualty insurers based on reports accounting for at least 96 percent of all business written by private U.S. insurers. Source: Insurance Journal

3. Insurance Department Tips - Trust Accounts
Did you know the deposit slips for trust accounts need to have the words “trust account” on them? Or that trust account monies cannot be commingled with operating expenses or any other expenses? To make sure you are in compliance, check out the following Utah Department of Insurance website: http://le.utah.gov/~code/TITLE31A/htm/31A23a040900.htm

4. Lawsuit of the Month (Note: We sent this out on our paper newsletter and received an email that this lawsuit is a hoax according to http://www.snopes.com/. We apologize for that. It’s a pretty good story never the less in spite of its untruthfulness. If you want to see the gross picture, go to: www.snopes.com/photos/gruesome/drillnose.asp)

There’s a current lawsuit in the works by a Minnesota man named Henry Harleny. Mr. Harleny is suing a famous drill company for physical damages caused to him by their tools. Mr. Harleny claims that he wanted to eliminate an itch in his nose, so he placed a power drill bit up his nose that was still attached to the drill and turned it on.
He successfully got rid of the itch, but in the process he drilled off his nose. According to Mr. Harleny, “No where on the package, or the actual tool was there a warning that specifically tells the consumer not to place the drill up their nose, or any other orifice for that matter. These companies need to take responsibility for their products.”
Mr. Harleny is suing for $25 million. Editor’s note: a picture of Mr. Harleny at the hospital accompanied this article. It was too gross to print. We are speechless.

5. Legislative Rumors Our president, Kay Howland, recently attended a meeting where possible legislative bills were discussed. Below are some potential bills that we might see (of which some are good, others are bad): Towing notice requirements – Utah Interactive will keep a data base of private tows to prevent insurance carriers from being charged large storage fees with some notice of where the vehicle is after a tow; Notice to buyers of salvaged vehicles – would allow anyone to bid on salvaged vehicles, which would open up the market for insurance companies; Utah Common Interest Ownership Act – would clarify in a condo policy that the master condo policy is primary and the unit owners policy is secondary. This will prevent gaps when the master policy has a large deductible; Prejudgment Interest – would change the way interest is charged on a medical bill. Rather than go back to the accident date, it would go back to the date of service; Loss of Consortium – would allow the policy limit to be paid twice. Once for the injured and again for the family member; Stacking PIP Benefits – would allow stacking of PIP limits; Survival Statute – would allow survivor to get benefits if the claimant dies of another cause other than the injury in which the claim is paying pain and suffering for; Underinsured Motorist Subrogation – would limit the right of subrogation; Bid Car Legislation – would allow anyone to bid on damaged cars; Premium Tax for license plate scan system – would allow a license plate scan system to reduce crime, to be funded by insurance company premium tax.

6. What Have We Done For You Lately? Probably the greatest accomplishment of the Independent Insurance Agents and Brokers of America (IIABA) in 2008 was getting an agent and broker licensing reform bill known as NARAB II introduced and passed by the House. This represents an incredible reform of agency licensing problems, and we made great progress on this in 2008, hopefully laying the foundation for its passage in 2009. The quagmire of agent licensing is a top priority for the Big “I” and this is the most significant progress we’ve seen in decades.
Another major legislative issue in 2008 was the National Flood Insurance Program (NFIP), which was reauthorized for 6 months, although this will need more extensive and long-term reform in 2009.
We also made progress on a host of other issues, including the farm bill for agencies that sell crop insurance to eliminate the premium reduction program; the excess and surplus bill, which passed the House again; and natural disaster legislation, which passed the House and shows that Congress is interested in natural disaster reform.
While we have made inroads on these issues, most legislative matters move at the speed of sludge in Congress, which might be a good thing when all is considered.

7. Northern Utah Earthquake Fault Utah State University geologists say a close look at a deep trench along the East Cache Fault has uncovered good news. There is no evidence of recent earthquakes along that section of the fault. USU geology associate professor Susanne Janecke said that could mean there is a smaller chance of a “large future damaging earthquake” in the southern part of Cache Valley near the community of Avon.
More tests need to be done, but there is not any evidence of tremblers occurring there in the last 10,000 years.

8. 2008 InsurPac Contributors Thanks so much to those listed below who contributed to InsurPac in 2008. Until the rules change in how the game is played in Washington D.C., donations to InsurPac are important.

Centennial Club ($1000)
C. Brett Nilsson
Gold Club ($500)
J. Curtis Breitweiser
Joseph E. Hansen
Pioneer Club ($250)
Howard Green
Kay Howland
Eric Kingdon
Kenneth Miller
Craig Timothy
Marilee Wilson
Craig Wiseman
Robert Wiseman
Founders Club ($150)
Steve Baugh
John Fogg
Tom Stanger
Allen Steadman
James Welch
General Contributor
Shawn Iverson
Matt Libutti
Cheryl Lyman
Steve Mordue
Michael Walker

9. Can You Say “Crop Damage?” We usually don’t hear much about crop damage in Utah, but recently, Utah Governor Jon Huntsman issued an agricultural disaster declaration for six counties that sustained damage from extreme weather or wildfire totaling nearly $29 million. The six counties are Box Elder, Garfield, Kane, Millard, Piute and Sanpete. Most of the farmers and ranchers in these counties sustained crop and forage production losses of at least 30 percent.

10. Happy Holidays! May you and yours enjoy the holiday season from the Board of Directors and Staff of UAIIA.

UAIIA Newsletter

2008-10-25T15:59:00.000-07:00

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, BELFOR, Burns & Wilcox LTD, Cananwill Premium Funding, Capital Premium Finance, Chubb Group of Insurance Companies, CIBA Insurance Services, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Sagamore Insurance Co., Sequoia Ins. Co., Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Telford Financial, Transwestern General Agency, Travelers, UAIC, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. Brett Nilsson Inaugurated Chairman
2. Flyer with Newsletter
3. Elderly Women Get Life
4. Certificates of Insurance Dilemma
5. Stripper Shoe Lawsuit
6. Agency Records Retention
7. GAP Insurance Product
8. Utah Insurance Code Book

1. Brett Nilsson Inaugurated as Chairman Recently, Utah’s own Brett Nilsson was inaugurated as the chairman of the Independent Insurance Agents & Brokers of America (IIABA), with David Daniel as the new chairman elect, Mike Miley as the new vice chairman, and Tom Minkler as the new executive committee member. The new officers began their terms at the recent Big “I” Leadership Conference in Las Vegas.
I am confident that we have just installed the “best of the best” of our industry to head the Big “I”, says Robert Rusbuldt, Big “I” president and CEO. “With Brett, David, Mike and Tom at the helm of our association, we are well-armed to navigate through uncertain economic times for our industry and the country.”
Brett Nilsson, CIC, is senior vice president for The Buckner Company, based in Ogden, Utah. Nilsson was first elected to the Big “I” Executive Committee in 2003 and was sworn in as vice president September 2006. Nilsson also served on IIABA’s national Communications Committee and its Finance Committee, which he chaired from 1999 to 2003. Prior to being elected to the Executive Committee in 2003, Nilsson served as president of the Utah Association of Independent Insurance Agents from 1992 to 1993 and as the board director from Utah for nine years. He is a past recipient of Utah’s Agent of the Year and Young Agent of the Year awards, and he received a Big “I” Presidential Citation in 2001. In 2003, Nilsson received his state association’s highest individual honor, the Burgener Award, a distinction that has only been awarded five other times in the history of the Utah Association.
Look at the current IA magazine (IIABA’s October 2008 issue) for a complete story of Brett’s new position with the Big “I”.

2. Flyer with Newsletter Watch for MULTICO flyer included with the printed version of this newsletter. Did you know that associate members could have 525 of their 8” X 10” (letter folded) flyers inserted in our printed newsletter mailing for only $100.00?

3. Elderly Women Get Life Remember the two elderly women who befriended two homeless men, took out life insurance policies and then killed them in murders staged to look like hit-and-run automobile accidents? Well, they were each handed down two life terms without the possibility of parole. Both women were convicted of first-degree murder and conspiracy to murder for financial gain in the 1999 death of Paul Vados, 73 and in the 2005 death of Kenneth McDavid, 50.

4. Certificates of Insurance Dilemma A common practice by insurance carriers is to inform their agents that they should not send the company copies of certificates of insurance when they are issued. This is most likely the result of mail-flow issues with the carrier’s underwriting departments, many of which are now becoming “paperless” … not to mention that the task of naming and filing certificates into a computer system is cumbersome!
That leaves the agent with the responsibility of issuing and filing certificates. However, if a copy is never sent to the carrier, the carrier can hide behind a “shield of ignorance” if a problem arises by stating that they knew nothing about the certificate. In effect, the practice of refusing certificates can place a carrier in a better defense posture when a claim is made based on misrepresentations on a certificate. At the same time, the defense of an agency can be weakened when a carrier claims ignorance.
Certificates of insurance can and will be the basis of claims against agencies. Even though there is language present on a certificate that in effect states the certificate does not constitute a contract between the parties – nor does it amend, extend or alter coverage under the policies listed – claims are made and suits are filed based on representations present on certificates.
It is important to never issue a certificate as a favor to an insured without knowing for certain that the information stated on the certificate is accurate. When a lawsuit ensues as a result of inaccurate information on a certificate, all fingers will be pointed directly at the agency, especially if the carrier knows nothing of the certificate.
Finally, it is advisable to send copies of certificates to the carrier, regardless of whether the carrier wants them. Once receipt of the copies has been confirmed, a carrier cannot claim ignorance – and the agency might have an additional avenue for recovery should a claim arise.

5. Stripper Shoe Lawsuit Imagine someone heading to a strip club, settling in with a drink, watching the routine – and then they wind up with a shoe in their eye? That’s what recently happened to a Florida man.
Apparently one of the strippers got carried away during a pole dance and kicked off her shoe. It hit the club’s mirrored ceiling, and both mirror shards and the shoe rained down on the unfortunate patron. He ended up with facial cuts, a nosebleed and grounds for a day in court. From: msn.com

6. Agency Records Retention Have you wondered how long you should keep records in your agency such as: Corporate/Partnership, Real Estate, Financial, Tax, Correspondence, Personnel, Agency/Company Files, Client Record Files, Licensing/legal, Electronic Data, Y2K Records, and Miscellaneous Records? Then click on www.uaiia.org/_private/agencyrecordsretention.pdf for guidelines. This can also be retrieved from our website at www.uaiia.org. Press the membership button and then scroll down.
Disclaimer: Although thorough analysis has gone into the preparation of this document, the retention periods are not offered as final authority but as a guideline. The material in this document is for informational purposes only and is not intended as legal or other professional advice. Please procure the appropriate legal or other professional advice and services to address your individual needs and circumstances.

7. GAP Insurance Product Our association has been given the opportunity to offer you, our members, GAP Insurance to sell to your clients. How does GAP Insurance work? If your clients new car is stolen or declared totaled, their auto insurance company will pay them the actual cash value (ACV) of the car. This can be a lot different from what they still owe on their loan. Without GAP insurance, their lender will hold them responsible for paying the difference between the ACV and the amount left on the loan. A GAP insurance policy will eliminate your client having to pay the difference and eliminate the problem of you trying to explain to your client why the auto insurance company did not pay the entire amount.
We are told that dealers usually charge $500 to $600 for this coverage. You would charge a onetime fee of $349 for new and used vehicles for the life of their loan and receive a $60 commission.
We haven’t agreed to offer this to members yet. We want to know if you think this is a good idea. If so, drop me a note at: stevebaugh@uaiia.org. Or, if you hate the idea, you can respond that way as well. We probably will not offer this coverage unless we receive several positive responses to go forward with it. Thanks!

8. Utah Insurance Code Book Are you looking for a book that is guaranteed to put you to sleep at night? This book might work, but better yet, it just might keep you out of trouble in the insurance business with all of its statutes and rules. We receive calls all the time from agents looking for a specific statute or rule pertaining to a practice in our industry. H-m-m-m -- the unfair marketing practices rule comes to mind.
Did you know that you could have your own 2008 Utah Insurance Code book, which even contains changes made during this year’s legislature?
In spite of increased costs for printing, the department will continue to offer the book for $37 plus $3 for mailing. This is the same price they charged in 2005.
To purchase a book, go online to the Insurance Department’s website at www.insurance.utah.gov and click on “Purchase a Code Book.” You can also order it by phone by calling (801) 538-3803, or by mail to: Utah Insurance Department, State Office Building, Room 3110, Salt Lake City, UT 84114.
And yes, UAIIA will be ordering one as well to handle all of those unfair marketing practices questions.

Utah's own Brett Nilsson - Front and Center

2008-10-23T14:57:00.000-07:00

Making a Living --- and a Difference

New Big “I” Chairman Brett Nilsson can relate to agencies of all sizes.

A small family agency. A medium size agency with a local market focus. A bank-owned agency. The fifth largest insurance broker in the United States. And a large metro agency with a national and international client base.

Big “I” Chairman Brett Nilsson has worked in all of these environments in his independent agency career. And in his new role as chairman, Nilsson thinks his broad perspective will help him relate to almost any agency’s challenges, opportunities and goals.

Read the rest of the article here.

Mid-Year Meeting and Trade-Show a success

2008-10-15T09:17:00.000-07:00

Almost 80 people attended the Annual Mid-Year Meeting and Mini Trade Show of the Utah Association of Independent Insurance Agents on October 15 at the Red Lion Hotel in Salt Lake City. E&O training was conducted by Mike Tingey of Insurance Network LC. A total of 6 CE credits were earned by participants - 3 credits can be used for ethics. During lunch, the UAIIA Board discussed some of the benefits of our membership in the Big "I". Many of the sponsors provided door prizes. Lisa Birrell of SentryWest Insurance received the Young Agent door prize - free registration to the 2009 UAIIA Convention at Zermatt Resort in Midway, UT.

Thank you to our sponsors and associate members who sponsored the event:

UTICA
Allied
Applied Systems
BELFOR
Burns & Wilcox
Capital Premium Finance
HCIT
UDK

A big thank you to Cheryl Lyman for her excellent help and assistance to the Young Agents in pulling off another successful mid-year meeting.

Insurance News & Views

2008-10-01T11:50:00.000-07:00

Big “I” members not currently receiving Insurance News & Views -- the Association’s weekly member e-mail newsletter -- can sign up now to get the latest national association and industry news delivered to their desktop every Thursday.

You must be an owner or employee of a Big “I” member agency to subscribe.

To subscribe, send an e-mail to INV@iiaba.net with the word “subscribe” in the subject line. In the message include the following information so we can properly identify your record in our database:

- First and Last Name
- E-mail Address
- Agency’s Name
- Agency’s Address (street address, city, state and zip code)
- Agency’s Phone Number

Because this is a Big “I” members-only e-newsletter service, only requests submitted by agency principals and employees of Big “I” member agencies will be added to the Insurance News & Views distribution list.

Mid-Year Meeting and Trade-Show Registration

2008-09-28T10:19:00.000-07:00

Hello Young Agents:

Just a reminder of the upcoming Mid-Year Meeting & Mini Trade Show. This event was started by our young agents and continues to be hosted by the Young Agents of the Utah Association of Independent Insurance Agents.

Attached is the flyer for your convenience. You can earn some CE while attending this function – and if you do not need the hours, you will still benefit from the E&O training that will be offered. Please forward this flyer to others in your offices – all are invited to attend (not just young agents).

I look forward to seeing you all there.

Kind regards,

Jon

Mid-Year Meeting / SLAIIA Scholarship Golf Tourny

2008-09-17T10:33:00.000-07:00

To: UAIIA Membership

From: Steve Baugh, Executive Director

Need E&O Loss Control Credit or Continuing Education Credits? Then why not sign up for our Mid-Year meeting scheduled for October 15th at the Red Lion Hotel? It's only $20 - $25 for agent members and it includes lunch and some great instruction on how to avoid an error and omission claim. This is our most popular seminar. It also satisfies the C.E. Ethics requirement. You can download a registration form at: www.uaiia.org/_private/midyear.pdf and learn about the loss control credit at: www.uaiia.org/_private/losscontrolcredit.pdf.

While your at it, download a flyer for the Salt Lake City Association of Independent Insurance Agents Golf Tournament on October 7th at Thanksgiving Point. The money goes for a good cause: The IIAU Scholarship Foundation. You can download this flyer at: www.uaiia.org/_private/midyear.pdf.

Thanks!

Steve
Utah Association of Independent Insurance Agents4885 South 900 East, #302Salt Lake City, UT 84062(801)269-1200 Fax: (801)269-1265

Congratulation to the following 2008 Young Agents Committee Award Winners!

2008-09-16T11:42:00.000-07:00

Outstanding Young Agents Committee:

The Young Agents Committee of the Independent Insurance Agents of North CarolinaOutstanding Young Agents Committee

Runner-Up:

The Young Agents Council of the Michigan Insurance Agents of Indiana, Inc.

Outstanding Membership Developement:

The Young Agents Committee of the Independent Insurance Agents of Indiana, Inc.

Outstanding State Committee Project:

The Young Agents Council of the Florida Association of Insurance Agents

Outstanding Young Agents Meeting:

The Young Brokers and Agents Committee of the Insurance Brokers & Agents of the West

Outstanding Political Involvement:

The Young Agents Committee of the Independent Insurance Agents of Georgia, Inc.

Outstanding Communciations:

The Young Agents Committee of the Independent Insurance Agents of Indiana, Inc.

UAIIA Newsletter

2008-09-04T10:23:00.000-07:00

Below is an electronic copy of our state association newsletter. It is being sent via blind copy for your privacy.

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, BELFOR, Burns & Wilcox LTD, Cananwill Premium Funding, Capital Premium Finance, Chubb Group of Insurance Companies, CIBA Insurance Services, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Sagamore Insurance Co., Sequoia Ins. Co., Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Transwestern General Agency, Travelers, UAIC, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. Utah State Government News
2. UAIIA Mid-Year Meeting Coming Soon
3. Eagle Agency Adds MetLife Auto & Home
4. Golf Ball Lawsuit
5. How To Print Your Insurance License
6. A Bank for Insurance Agents
7. Golf Tournaments Galore!
8. Enhance Agency Profitability
9. Wheelchair DUI’s
10. Insurance Department Hours
11. Are You Using Virtual University?

1. Utah State Government News Looking for the latest news about our Utah State government? Check it out on our website homepage at: www.uaiia.org. There are many links to various government departments and a running log of the latest Utah government news items with links to view the entire article. Be sure to check it out. We think you’ll like it.

2. UAIIA Mid-Year Meeting Coming Soon Remember the meeting we hold each year that hardly costs anything and includes 6 hours of C.E. credit (3 which can be used for ethics), errors and omissions loss control credit, lunch and a mini-trade show? It’s coming around again on October 15th at the Red Lion in Salt Lake City. This year would be a great year to attend if you are looking to update your E&O loss control credit because next year the required number of people from your agency will double if you are a Westport policyholder. To see loss control credit requirements go to: www.uaiia.org/_private/losscontrolcredit.pdf
This class has proven to be an eye opener for anyone working in an insurance agency when it comes to the best practices involved in avoiding an E&O claim. You can download a flyer by going to: www.uaiia.org/_private/midyear.pdf

3. Eagle Agency Adds MetLife Auto & Home Have you heard the latest on the Eagle Agency? This is the program started by the Big “I” to assist newer or small agencies in getting their feet on the ground. They have recently added MetLife Auto & Home to the program that already had Travelers personal lines products.
To be considered for Eagle Agency, an agent must have three years of experience as a licensed producer or have extensive industry experience (i.e. former underwriter, CPCU etc). If the agent is brand new to the business, consideration will be given to agents who can quantify that they have licensed support staff with at least three years of agency experience. For further information, go to www.bigimarkets.com or call Cheryl or Steve at the association at 801-269-1200.

4. Golf Ball Lawsuit A New Jersey man was recently awarded $725,000 in damages after a lawnmower launched a golf ball that hit his windshield. The windshield broke and the man suffered cornea damage when shattered glass entered his eye.
In his lawsuit, Thomas Guhl alleged the golf ball had landed on a home’s lawn from nearby Eagle Oaks Golf and Country Club and was launched by a mower. The golf club failed to place netting along the avenue to prevent balls from leaving the course and that Canfield Lawn and landscaping should have checked the lawn before mowing.

5. How To Print Your Insurance License Effective October 1, 2008, the Utah Insurance Department will no longer mail hard copies of new, renewal, or duplicate licenses. You can print as many copies of your license as you want within 30 days of the issuance of your new or renewal license at no cost to you by going to www.sircon.com/utah and click on the link entitled “Print Your License.”
After 30 days Sircon will charge a fee of $5.50 for each copy of your license. To obtain a copy of your license after 30 days, go to www.sircon.com/utah and click on the link entitled “Print Your License.”
To see if a new or renewal license has been approved and issued, you can do one of the following: go to www.sircon.com/utah and click on “Check license application status” or “Check license renewal status”; or go to the department’s website at www.insurance.utah.gov and click on the link that says “Search for Company & Agent.” Once you see your license has been issued, go to www.sircon.com/utah, click on the link entitled “Print Your License” and print it.
New and renewal licenses will continue to be mailed until October 1, 2008.

6. A Bank for Insurance Agents InsurBanc is our bank. It is a bank that understands our business and offers a full range of banking products to help your agency grow. In fact, InsurBanc specializes in agency financing, including perpetuation/acquisition loans and cash management services to meet your unique business needs. Our state association has several accounts with InsurBanc. We have been pleased with their service.
If you would like further information on what InsurBanc can do for you, go to our website at www.uaiia.org and scroll down to the bottom of our home page. Then click on the InsurBanc logo.

7. Golf Tournaments Galore! For all of you on our mailing list who like to golf (and we know there’s a lot of you), below are the dates of four tournaments to be held in the next month or so: Sept 11th – Insurance Professionals of SLC; Sept 16th – Surplus Lines; Oct 3rd – BAIFA-IIAA; Oct 7th (tentative) – SLC Association of IIA.
Download a BAIFA-IIAA tournament flyer from the following link: www.uaiia.org/_private/ogdengolf.pdf

8. Enhance Agency Profitability The Independent Insurance Agents & Brokers of America’s latest agency improvement tool helps agencies move to advanced workflows and eliminate paper in order to free up staff time for sales and pro-active customer service. The new “Best Practices Guide to Agency Business Processes and Information Management” replaces two earlier guides and incorporates the latest in agency workflows, such as Real-Time.
The 155-page resource is available at www.independentagent.com/act and is designed to be used electronically because it contains numerous links for easy navigation. The guide enables agencies to conduct a self-assessment in technology, management support, workflows, agency/carrier interfaces, Real-Time utilization and client focus, and then provides step-by step guidance on how to move to the next level of agency workflow. It also provides steps to implement a comprehensive information storage plan for all forms of media and documentation, including paper, scanned documents, e-mails, voice mails, notes, faxes and pictures.

9. Wheelchair DUI’s Here’s a new twist on driving under the influence. A wheelchair-bound German stunned police when they pulled him over for using the road and allegedly found he was 10 times over the legal alcohol limit for drivers.
“He was right in the middle of the road,” said a spokesman for police in the northeastern city of Schwerin. “The officers couldn’t quite believe it when they saw the results of the breath test. That’s a life-threatening figure.”
More recently, a man found asleep in a motorized wheelchair on a highway in northern Australia was charged with drunk driving. Officers in a patrol car noticed the man slumped in the stationary chair about 10 a.m. Friday on an exit lane near the tourist city of Cairns, regional traffic inspector Bob Waters said. Cars were swerving to get around him, Waters said.
The officers breath-tested the 64-year-old man, who registered a blood alcohol reading of .301—more that six times the legal driving limit. He was charged with operating a vehicle while drunk.

10. Insurance Department Hours Utah’s Department of Insurance has new office hours designed to better serve customers. New extended hours are 7 a.m. to 6 p.m. Mondays through Thursdays. The office is closed on Fridays, but for emergency assistance on that day, the Working 4 Utah hotline at 801-538-1808 is available. For more information, visit www.insurance.utah.gov

11. Are You Using Virtual University? As agency members of the Big "I", you have free access to Virtual University (www.independentagent.com/vu). Our associate member partners can get access for a fee. The Big "I" Virtual University is the leading technical insurance and agency management information source in the industry--developed for agents, by agents.
As the business climate changes, the resources on the Virtual University expand. The Big “I” Virtual University regularly produces white papers, articles and continuing education courses on many of the critical issues affecting today’s insurance marketplace. These resources provide opinions and commentary to help today’s busy agency professional be informed and knowledgeable about the trends and topics affecting their future.
The Virtual University is a great member benefit. Look for the VU flyer included with the paper version of this newsletter for further information.

YA Update

2008-07-29T09:44:00.000-07:00

Hello fellow Young Agents,

It was great to see many of you at the UAIIA convention at Zermatt in June. The Young Agents suite was a blast and we caused some of our usual commotion – thanks to some of you. At our Young Agents meeting many of you shared some great ideas about how to further our objectives as a group. One of our objectives is to keep the group informed either through regular email correspondence or through some kind of a newsletter. Hence – I am here bringing you up to date on a few items.

Here are some upcoming events you should be aware of:

Big “I” Fall leadership Conference in Las Vegas – Sept 10-14. We would like to see as many agents as possible from Utah in attendance. Brett Nilsson will be installed as the Big I National Chairman. This is a big deal for our state and we are thrilled to see Brett taking on this role.
UAIIA Mid-year meeting will be Wednesday, October 15, 2008. This event is the responsibility of the Young Agents to complete. The past few years have been a big success in offering an E&O class for CE and raising funds for the Young Agents. If you are interested in helping, please let me know.

On a sidenote, if you know of any other Young Agents in your office (or the competitor’s office) that would like to be involved with our group or receive information, please send me a note with their name and email address. This information will be most helpful in keeping the Young Agents informed.

Kind regards,

Jon

(Young Agent Chair)

UAIIA Newsletter

2008-07-23T10:26:00.000-07:00

Below is an electronic copy of our state association newsletter. It is being sent via blind copy for your privacy.

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, BELFOR, Burns & Wilcox LTD, Cananwill Premium Funding, Capital Premium Finance, Chubb Group of Insurance Companies, CIBA Insurance Services, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Sagamore Insurance Co., Sequoia Ins. Co., Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Transwestern General Agency, Travelers, UAIC, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. Kay Howland Installed as President
2. Birth Month For Agent License Renewals
3. Fire-Safe Cigarettes?
4. Brett Nilsson’s Reception
5. Minimum Auto Liability Limits
6. Contingent Commissions
7. Nude Maid Strips More Than clothes
8. Bad Dogs in Provo
9. Flyers With Newsletter
10. Gas Prices and Insurance
11. New Uninsured Vehicle Law
12. Utahn’s Serve on National Committees

1. Kay Howland Installed as President Kay Howland was recently sworn in as President of our state association at the annual convention held at the Zermatt Resort in Midway, Utah. Kay has been in the insurance industry over 23 years and is an agent at Beehive Insurance Agency. He attended the University of Utah and later earned his CIC designation in 1999. He is currently working on his Certified Risk Manager designation.
He is a Past President of the Salt Lake City Association of Independent Insurance Agents and has served as InsurPac Chairman for UAIIA. He and his wife, Rebecca, have six children and reside in the Salt Lake Valley.
Also sworn in was Eric Kingdon of Trustco, Inc., as President-Elect and Greg Vause of Blackburn-Jones Company as Treasurer.
Craig Timothy of Service Insurance of Roosevelt received the Agent of the Year Award, Holli Cody of Kemper was given the Company Person of the Year Award and Ryan Stringham of The Buckner Company received the Young Agent of the Year Award.

2. Birth-Month For Agent License Renewals New licenses issued on or after 8/11/2008, and licenses scheduled to renew on or after 10/31/2008 will convert to birth-month based renewal/expiration dates every two (2) years for individual licensees. Starting with the October 2008 renewals, the next renewal date may be anywhere from 24 to 35 months from the date of the licensee’s previously scheduled renewal date and will fall on the last day of his or her birth month. Once converted, renewals will then continue to be every two years at the end of the licensee’s birth month. The renewal fee amount will not change with this transition.

3. Fire-Safe Cigarettes? Hawaii Governor Linda Lingle has signed into law a bill that requires only fire-safe cigarettes be sold in Hawaii as of October 1, 2009. State officials say reduced ignition cigarettes burn at a lower temperature, thereby reducing possible fire hazards caused by smoldering cigarettes.
The Hawaii Fire Council reports there were 438 fires caused by cigarettes in Hawaii between 2001 and 2006, causing $1.5 million in property damage and 10 injuries.
Governor Lingle says low ignition cigarettes aren’t guaranteed to be self-extinguishing, so smokers must take responsibility to extinguish cigarettes properly and to ensure lit cigarettes are not left unattended. (From Associated Press)

4. Brett Nilsson’s Reception Utah’s own Brett Nilsson will be inaugurated as Chairman of the Independent Insurance Agents & Brokers of America (IIABA) this coming September 13th at a luncheon in Las Vegas’ Caesar’s Palace. This is the highest elected position in the Big “I” national association. Brett is the 3rd person from Utah to be sworn into this office. Fred A. Moreton Served in 1944 and Richard G. Taylor held the position in 1986.
We would encourage anyone from our association to attend this luncheon to show our support for Brett. The luncheon is free, but attendees must register to attend at: http://www.independentagent.com/. Also, plan to attend UAIIA’s dessert reception for Brett, which will immediately follow the inauguration luncheon.

5. Minimum Auto Liability Limits Effective January 1, 2009, minimum automobile liability limits will change from $25,000/$50,000 BI to $25,000/$65,000 BI. The combined single limit for BI and PD will change from $65,000 to $80,000. The bill was sponsored by Senator Sheldon Killpack and was opposed by a majority of insurance companies.

6. Contingent Commissions At the same time that the National Association of Professional Insurance Agents is hailing a ruling by the 1st Appellate Division of the New York Supreme Court that contingent commission agreements are not illegal, Don Bailey, CEO of Willis North America, called for an end to contingent compensation agreements in the insurance industry. “We did away with contingent payments because we believe that brokers should be paid for the quality of service they provide to clients, not for the volume of business guided to a carrier and not for the profitability of a client to a carrier,” said Mr. Bailey.
In it’s ruling, the court said, “Contingent commission agreements between brokers and insurers are not illegal, and, in the absence of a special relationship between the parties, defendant(s) had no duty to disclose the existence of the contingent commission agreement.”
“This is a resounding victory for Main Street insurance agents across the nation and the American Free Enterprise System,” said PIA National President-elect Kenneth R. Auerbach, Esq.

7. Nude Maid Strips More Than Clothes A 50-year-old Florida man hired a nude maid from the Internet to clean his suburban Tampa home. Authorities say the woman arrived at the home, took off her clothes and cleaned the house for $100-per-hour. She also cleaned out $40,000 worth of his wife’s jewelry. His wife was on vacation at the time and discovered her jewelry was missing when she returned. (H-m-m-m, there must be a moral to this story.) From: St. Petersburg Times

8. Bad Dogs in Provo City officials in Provo may put bad dogs and their owners on a shorter leash. The Municipal Council is considering an ordinance that would classify some dogs as “at risk” or “dangerous” and require their owners to take certain steps to protect the public.
Owners could be required to carry at least $100,000 in liability insurance in case someone is attacked. They could also be required to muzzle the animals in public and provide photos for police files. (What great mug shots that would make!)
The Provo Police Department says animals have bitten 24 people this year.
The council is expected to discuss the proposal further this month. (From Associated Press)

9. Flyers With Newsletter Watch for the flyers from Cresta and National American Insurance Company included with the printed version of our newsletter. We thank them for advertising with us.

10. Gas Prices and Insurance Since the price of gasoline has topped four dollars a gallon nationwide, consumers who are driving less could save an average of 5 to 15 percent on their automobile insurance rates according to the Consumer Federation of America (CFA). Drivers reacting to high gas prices by using mass transportation, carpooling, taking fewer trips to the store or curtailing their vacations could see savings on their automobile insurance says CFA.
“Auto insurance rates are partially based on how much you drive and how you use your car,” said J. Robert Hunter, director of insurance for CFA and former Texas Insurance Commissioner and Federal Insurance Administrator in a consumer press release. “If you drive less to save money on gas, these driving changes might mean that you qualify for immediate insurance rate relief.”

11. New Uninsured Vehicle Law There is a new Utah law, which allows police to impound any vehicle that is on the road and not insured. Prior to the new law, officers could only issue a citation for driving without insurance. Effective on May 5th, officers can now write the ticket and take the car too.
One of the first cars taken off the road belonged to a man who was convicted twice of driving under the influence and could not get insurance.

12. Utahn’s Serve on National Committees J. Curtis Breitweiser was recently appointed to serve on IIABA’s Finance Committee and also as a member of the Dues Verification and IIABA Internal Audit Subcommittee.
Steve Mordue serves on the National PIA’s Regulatory Affairs Committee and on their National Catastrophe Task Force.
For being a small state, we are well represented in our national associations.

Passing of Gary Bergener

2008-07-01T10:32:00.000-07:00

To: UAIIA Membership

From: Steve Baugh, Executive Director

It is with sadness that I inform you of the passing of Gary Burgener of Transwestern General Agency yesterday . Our sympathies go out to his family and our great friends at TGA. He was a strong leader and had a lot of influence over the years in the Utah and regional insurance industry. He will be missed.

At this time, I have no information on his funeral arrangements. Since I will be out of town the remainder of the week, I thought I better make you aware of his passing so you can either look for a notice in the newspaper or call the front desk of TGA at 801-363-8804 for details.

Steve
Utah Association of Independent Insurance Agents4885 South 900 East, #302Salt Lake City, UT 84062(801)269-1200 Fax: (801)269-1265

UAIIA Newsletter

2008-05-23T10:34:00.000-07:00

Below is an electronic copy of our state association newsletter. It is being sent via blind copy for your privacy.

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, Burns & Wilcox LTD, Cananwill Premium Funding, Capital Premium Finance, Chubb Group of Insurance Companies, CIBA Insurance Services, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Sagamore Insurance Co., Sequoia Ins. Co., Service Master by Restoration Xperts, State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Transwestern General Agency, Travelers, UAIC, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. No Such Thing as a Free Lunch?
2. Who is Worth What?
3. Woman Steps into a $3.8 Million Pothole
4. Insurance Licensing News
5. Utah Receives High Ranking
6. Nevada Countersignature Law
7. Oreo Cookie Speeding Ticket
8. DOI Investigator Murdered
9. A New Company in Town
10. Earthquakes and Utah
11. Flyers with Printed Mailing
12. 100 Captives in Utah

1. No Such Thing as a Free Lunch? Think again. On Free Day Friday, June 6th at the Zermatt Resort in Midway, there will be a free lunch, free continuing education and a free trade fair. What’s the catch? Prying yourself away from the office. That’s all there is to it and it’s a healthy thing to do because there will be free massages, facials and mini-manicures inside the trade fair. In addition to all of the free stuff mentioned, there is more free stuff such as exhibitor prizes and an IPOD give-a-way. People from Midway and other parts of the world call that a “no brainer”. We agree and we hope to see you there. For a complete schedule of our convention, go to: www.uaiia.org/_private/zermattconvention.htm.

2. Who’s Worth What? Have you been wondering who is worth what in an independent insurance agency? The Insurance Journal recently completed their annual online survey on agency compensation trends. This survey provides valuable information on the topic. Nearly 1,750 independent agencies from across the nations responded to the survey.
To purchase the results for $99.00 visit: http://www.insurancejournal.com/salary/pages/order.

3. Woman Steps into a $3.8 Million Pothole An 83-year-old woman who hurt herself stepping into a pothole has won $3.8 million in damages from New York City. A Bronx jury awarded Janie Utsey the money for the injury she suffered five years ago when she stepped off a bus and tripped. She ended up breaking a thighbone, which doctors mended with a rod and screws.
The jury found the city had failed to properly seal the pavement. Utsey says she deserves the money because she’s suffered two hip replacements and walks with a cane because of the pain and weakness in her leg. She can’t travel on her own and needs a home health care aide to help her with chores.

4. Insurance Licensing News Did you know that once an insurance license application has been approved and the insurance department has issued the license, licensees can go to www.sircon.com/utah to print their own license. They can print as many copies of the license as they wish at no cost for the first 30 days. After 30 days Sircon will charge fees totaling $5.50 per print.
The insurance department will now be doing the full national FBI background check on all initial resident individual license applicants rather than the limited seven western state background check as in the past. Fingerprinting must be done at a Prometric testing center and the applicant will be required to pay a $34.25 FBI/BCI fingerprint submission fee.

5. Utah Receives High Ranking Consumers in Utah enjoy more attractive homeowners insurance at better prices than citizens in most other states, according to a new report card jointly released by The Heartland Institute and Competitive Enterprise Institute. “Although insurers operating in the state have seen a degree of uncertainty in the automobile market lately, the Utah insurance environment does a good job serving consumers and insurers alike,” said Eli Lehrer, the report’s author.
Like homeowners in Idaho, Illinois, Vermont, and Wisconsin, those in Utah enjoy lower premiums for broader and more predictable coverage, earning “A” grades on the Heartland/CEI report card. Consumers in California, Florida, Maryland, Massachusetts, and North Carolina—whose states earned “F” grades—pay more for homeowner’s coverage that is inferior to states with positive insurance climates.
“On balance,” writes Eli Lehrer, “states with less regulated insurance markets provide more consumer choice, more predictable rates, and insurance premiums that better reflect actual risk than do states with heavily regulated markets.” The Property & Casualty Insurance Report is available for $10 by calling The Heartland Institute at 312-377-4000.

6. Nevada Countersignature Law You’ve probably heard that the 9th U.S. Circuit Court of Appeals has ruled that Nevada’s countersignature statute violates two clauses of the United States Constitution. The unanimous decision striking down the statute affirms an earlier U.S. District Court ruling in a lawsuit brought against Insurance Commissioner Alice Molasky-Arman.
The Nevada Insurance Department still may seek to appeal the decision to the U.S. Supreme Court.
Nevada is one of just two U.S. jurisdictions where countersignature requirements remain in effect, along with the Virgin Islands, which currently is appealing a U.S. District Court ruling striking down its law. Until the time that the Nevada and Virgin Islands rulings are final, agents and brokers need to abide by the countersignature laws.

7. Oreo Cookie Speeding Ticket Police say a New York man’s excuse for speeding through a small Connecticut town takes the cake – or at least the cookie.
A state trooper who stopped the 1993 BMW last fall says its driver, 28-year-old Justin Vonkummer of Millerton, New York, blamed his driving problems on an errant Oreo. He told the trooper that an Oreo had just slipped from his fingers as he dunked it in a cup of milk, and that he was trying to fish it out when he lost control of the car.
Vonkummer was charged with speeding and driving under a suspended license. From the Insurance Journal.

8. DOI Investigator Murdered On May 19th, North Carolina police arrested Michael Arthur Howell, an insurance agent, charging him with first-degree murder of Sallie Rohrbach, an investigator for North Carolina’s Department of Insurance. Howell owns and operates Dillworth Insurance Agency where Ms. Rohrbach was investigating a complaint. She was assigned to look through files, review Howell’s books and interview him. Police did not say how they linked Howell to Rohrbach or whether a body had been found.

9. A New Company In Town There is a new property and casualty company in town called Acuity. They are headquartered in Sheboygan, Wisconsin and they operate in eighteen states. They recently hired Sonja DeVore as their Territory Director for Utah. Sonja was formerly with Allied, where she had been Sales Manager for Utah. Sonja worked for Nationwide Insurance for 28 years in various capacities.
You’ll be able to meet Sonja at the Acuity booth during UAIIA’s Annual Trade Fair on June 6th. Don’t miss out!

10. Earthquakes and Utah We’ve been told that a big earthquake is due to hit us within the next 50 years. This and the magnitude 6.0 earthquake that struck Wells, NV in February has prompted renewed calls for our state to examine seismic safety in the state’s schools and public buildings.
We’ve also heard that more homeowners are purchasing earthquake coverage on their dwellings since the Wells, Nevada earthquake. Are you taking advantage of our Homeowner Catastrophe Insurance Trust program that will cover earthquake and flood damage? It’s a good way to increase your agency revenue. Please give us a call if you would like further information.
11. Flyers with Printed Mailing Look for the Transwestern General Agency and CIC flyers included with the printed version of this newsletter and thank you for being a member of our association.

12. 100 Captives in Utah Utah Governor Jon M. Huntsman Jr. has welcomed the state’s 100th captive insurance company, AFS Security Insurance Co.
In 2004, Utah had two captive companies, followed by 14 in 2005, 30 in 2006, and 92 in 2007. Commissioner of Insurance, D. Kent Michie, noted that, “Comparing the growth of the five states who rank ahead of Utah in number of captives, Utah’s growth last year was nearly as many as the other five states put together.
Based on year 2007 financial statements, the Captive Insurance Division reports captive assets of $676 million and capital surplus of $86 million, with net written premiums for 92 captives totaling $244 million.

UAIIA Newsletter

2008-03-19T10:36:00.000-07:00

Below is an electronic copy of our state association newsletter. It is being sent via blind copy for your privacy.

For a flyer on the benefits of membership, please click on the following link: www.uaiia.org/benefits.pdf

Thanks to our 2008 Associate Members: Acuity, Advanced Restoration, AIG, American Mining, Amtrust North America, Austin Mutual Insurance Co., Auto Owners Insurance Co., Bear River Mutual Insurance, Burns & Wilcox LTD, Capital Premium Finance, Chubb Group of Insurance Companies, CSE Insurance Company, Colonial General Insurance, Colorado Casualty Ins. Co., Continental Western Group, Cresta Insurance, LLC, Dairyland Insurance Co., EMC Insurance Companies, Encompass/Allstate/Deerbrook, Germantown Mutual, Great American Insurance Co., Kemper, Legacy Insurance Services, MetLife Auto & Home, Mountain States Insurance Group, Multico Rating Systems Inc., Mutual of Enumclaw Ins. Co., National American Insurance Co., Networked Insurance Agents, PLUS Insurance, Premium Financing Specialists, Progressive Insurance, Republic Indemnity Company, Risk Placement Services – Salt Lake, Risk Placement Services – Scottsdale, Service Master by Restoration Xperts, Sequoia Ins. Co., State Auto Insurance, Statewide Insurance Corp., Surplus Line Assoc. of UT, Swett & Crawford, Inc., Transwestern General Agency, Travelers, UAIG, UCA General Insurance, Unitrin Specialty, Utah Disaster Kleenup, Victoria Insurance, WCF.

1. Don’t Miss The Entertainer
2. Agent and Company Person of the Year
3. New Designation for CSRs
4. Utah Legislature Changes Auto Liability Limits
5. Homeowner Bomb Insurance
6. There’s Always Room For Jell-O
7. Flooding In Utah
8. Loss Control Corner
9. New Revenue Stream For Agents
10. Pet Health Insurance
11. Construction Risk and Insurance Specialist (CRIS)
12. Help our Insurance Legislators

1. Don’t Miss The Entertainer Jason Hewlett is a great entertainer who impersonates many popular singers. His performance is one you won’t want to miss. He has played all over the country and we feel fortunate to have him at our convention. He will be performing on Thursday evening, June 5th at UAIIA’s annual convention following a buffet dinner and a full day’s golf. This year’s convention promises to be a great one. For complete details and downloadable registration forms, please go to: www.uaiia.org/_private/zermattconvention.htm

2. Agent and Company Person of the Year Included with the printed newsletter is a nomination form for agent, young agent and company person of the year. These prestigious awards will be presented at our annual convention during the banquet on June 6th at the Zermatt Resort.
Why don’t you take a minute to nominate someone for an award today? To download an electronic copy of the nomination form, please go to: www.uaiia.org/_private/2008nominationform.pdf

3. New Designation for CSRs We now have a new designation for customer service representatives (CSRs). The Accredited Customer Service Representative (ACSR) designation is available using online classes through the Independent Insurance Agents and Brokers of America’s (IIABA’s) Virtual University website. You can earn your designation from anywhere. To check out this new education opportunity, please go to: www.independentagent.com and click onto Virtual University Online Education.

4. Utah Legislature Changes Auto Liability Limits The 2008 legislative session ended with a nail biter finish for some insurance insiders. SB 149, a bill that would have raised liability rates across the board, ended up being passed on the final evening of the legislature with a compromise amendment added by the sponsor on the House Floor. The new limits will be $25,000/$65,000/$15,000 instead of the old limits of $25,000/$50,000/$15,000. The new combined limit of liability will be $80,000 instead of the old limit of $65,000. Industry lobbyists put up a good fight and nearly killed the bill. The argument was successfully made that “since most cars have single drivers, it shouldn’t put a financial burden on Utah consumers, but provide more access to coverage.” Since an accident would need to involve more than two drivers and many people choose to buy higher limits, the bill shouldn’t have a significant impact on Utah auto rates. This will be effective January 1, 2009.

5. Homeowner Bomb Insurance It seems that insurance companies aren’t too excited about insuring homes that were built over unexploded bombs. That’s why hundreds of people who unwittingly bought homes in Orlando, Florida near a World War II era bombing range, are suing after learning they could lose their insurance. Attorneys for the residents said that homebuilders committed fraud by concealing that the homes were built on the bombing range. Since July, live bombs and bomb debris have been found at a nearby school, under the yards of some homes and on land behind the school.
Citizens Property Insurance Corp., created by the legislature as the insurer of last resort, said it would not consider writing a policy if there were unexploded bombs.
Real estate broker John Jennings said it’s almost impossible to sell houses near the former bombing range. “There’s not a lot of ways to sugarcoat a bombing range or contaminated area,” he said.
Christina Quintana, division president for Mercedes Homes, which built 218 homes in the area, said the company was not told about the potential bombs. “How could we have told our customers when nobody told us? She asked. “We’re victims in this too.”

6. There’s Always Room For Jell-O There’s always room for Jell-O except for when Jell-O wrestling. A Manhattan judge has thrown out a $1 million suit against New York University by a former student who claimed he broke his hip at a Jell-O wrestling dorm party.
Avram Wisnia was a NYU junior in 2004 when he and his dorm mates organized a party called “Beach Bash.” While horsing around a kiddie pool filled with gelatin, Wisnia was pushed and shattered his hip, his lawsuit said.
Wisnia’s 2005 lawsuit blamed NYU for allowing the event and for having the school’s food service provide the gelatin. But Manhattan Justice Carol Robinson Edmead ruled that Wisnia knew what he was doing. NYU spokesman John Beckman said, “This case broke the mold but in the end justice was served sweetly.”

7. Flooding in Utah With all of the snow we’ve received in Utah this year, are your clients protected against floods? If not, protect them now with two excellent flood products accessible to UAIIA members. For IIABA national members there is the Big “I” Flood program through Selective Insurance company. Go to www.independentagent.com for details. For PIA national members, there is the PIA Flood program through The Hartford. Check it out at www.pianet.com. Talk to your clients and save them a headache. It might save you an E&O claim as well.

8. Loss Control Corner The Value of Signed Applications: While it may be quicker and easier to submit an application to a carrier without the client’s signature, don’t be surprised if your client’s story changes after a loss. When money is at stake, friendships and loyalties can go out the window. Always obtain the client’s personal signature on an application. This will protect you and the agency from claims by carriers or clients when the nature of a risk is in question.
For a review and proposal on your E&O coverage, please contact Steve Woods at UAIIA, (801) 269-1200.

9. New Revenue Stream for Agents Independent insurance agencies now can offer their clients access to four banking products through a product referral program that can help maximize agency revenues and leverage client relationships, announced InsurBanc, the bank founded by agents for agents.
The new product referral program offers products suited for both business and personal needs: a business Visa card, an equipment lease-financing program, a personal Visa card, and student loans.
The InsurBanc program is open to all independent insurance agencies that qualify for the program. Once qualified, agents can market the products via turnkey marketing programs provided by InsurBanc. Agents can promote the products best suited to their client base. Agencies do not process applications, but simply refer the client to InsurBanc to handle all processing, applications, and fulfillment. Qualified agencies earn a fee for each referral that results in a sale.
For more information on the InsurBanc Product Referral Program, contact Susan Smith, VP Product Manager, at 1(866) 467-2262, productreferral@insurbanc.com or log onto www.insurbanc.com. Member FDIC

10. Pet Health Insurance EnsurApet, Inc., a leading provider of pet health insurance, is poised to become a leader in the largely untapped, yet rapidly growing US market for pet health insurance, through a network of veterinary hospitals and other pet related programs. EnsurApet is among the few companies in an industry where the total market revenue growth, for insurance premiums, in five years rose 159%.
Market revenues for pet health insurance sales in the United States are among the fastest growing of any in the insurance industry.

11. Construction Risk and Insurance Specialist (CRIS) The Independent Insurance Agents & Brokers of America, Inc. is hosting an essential seminar on Friday, April 4, 2008 at the Marriott Wardman Park Hotel in Washington, D.C. during their annual Big “I” Legislative Conference & Convention. This seminar, The Contractual Risk Transfer in Construction Course (CRTC Course) is a fundamental section of a CE course curriculum to gain the CRIS designation.
The cost of registration for the course is $295.00 or an additional $50.00 to the Big “I” Legislative Conference & Convention full attendee fee. Visit www.independentagent.com for up-to-the minute details and registration.

12. Help Our Insurance Legislators It’s election year and we have three very effective insurance legislators: Curt Oda, Todd Kiser and Jim Dunnigan. Representatives Kiser and Dunnigan do not have Republican opponents this year, but Curt Oda does. If you live in Clearfield’s District 14, Representative Oda would appreciate any help in the way of delegates. On March 25th at 7:00 p.m. at North Davis Junior High School there will be a caucus meeting. You could become a county delegate or support anyone who is running as a Curt Oda delegate.
Representative Kiser is in District 41 and Representative Dunnigan is in District 39. All three representatives would also appreciate receiving donations to their reelection campaign.