Scott Simmonds - Insurance Newsletter

Insurance from an Unbiased Point of View
www.ScottSimmonds.com

July, 2007
Issue 86 - Since 2000

Review the Services Your Agent Offers

Insurance agents can be either employees of the insurance company for whom they sell (called direct writers), or independent business people who work for themselves (called independent agent). Independent agents usually represent more than one insurance company. While each will tell you that their approach is best, I find that both independent agents and direct writers have a place in the market.

No two agencies have the same abilities or resources. No two agents have the same level of knowledge and expertise.

Make sure that your agent can meet your needs. Here are some questions to keep in mind when reviewing an agent's services:

Who will manage your account on a daily basis?
How long have the producer and service people been in the insurance business?
Will the agent provide advice on all aspects of your insurance?
Does the agency have special expertise in your industry?
How are claims handled?
Will one person in the agency oversee claim incident reports?
Who will provide help preventing losses—the agent or the insurer?

Many insurance buyers use several agents to "spread the wealth." I've worked with clients where the property insurance is handled by one agent, auto by another, and workers' compensation by yet another. Consider this strategy carefully. You may be opening yourself up to misunderstandings of exposures and coverage. In such a setup, one agent may not know what coverage the other agents are providing. If you are going to work with multiple agents, consider building a list of coverages showing all policies. Share the list with all your agents so each knows what the other is doing.

My recommendation is usually that a business should have one insurance agent handle all the property and casualty insurance.

Simmonds On Bank Insurance

While I work with many different industries, banking is one area of specialty. I'm in the final phases of getting my bank insurance book ready to the publisher.

The work covers all aspects of bank insurance - bond, d&o, property, workers' comp, mortgage impairment, forced placed property, liability, e-banking... I include sections on selecting agents, the bid process, a glossary. At well over 200 pages, the book is designed to be a practical, useful, reference for those who manage bank insurance programs.

Several bankers around the country have reviewed drafts and have offered suggestions. Many thanks to those who have helped.

Send me an email if you'd like to be put on the list for pre-publication pricing - Scott@ScottSimmonds.com

Tentative publication date is September 15th.

Workers Comp Tool - Looking for Guinea Pigs

The experience modification is a big part of the final premium you pay for your workers' compensation. I've developed a simple tool that will evaluate the inner workings of your mod. I'm looking for a few employers to test this out. I've used it with several clients. I'd like some outside feedback. Let me know if you're interested - Scott@ScottSimmonds.com. For helping me out, I'd be glad to spend some time with you on how you can improve your experience modification in the future.

Maine and Other Stuff

Strange spring weather and a cool summer so far. My outdoor focus is the battle with the Japanese beetles on my ornamental elm tree in the front yard. Maddening creatures!

While playing in the plant beds last week I was shaken up by two three foot long snakes that came out from behind a shrub. I'm not afraid of snakes. However, I was so startled that I did jump when they went speeding by. I think our brains are hard wired to recoil at snakes. I tried to point them to the tree with the beetles. No luck!

I'm officially finished with my term as Rotary Club President. It was fun and rewarding. I'm glad its over though. I'll resume my work with the Youth Exchange program and play elder statesman for a while.

I've started working on the lesson plans for my stint as a teacher at the local community college. One night a week this fall I'll be teaching small business management. I hope the students survive.

Do You Have The Right Insurance? Contact me to discuss an unbiased review of your insurance program. Do you have the right coverage? Can your policies be fine-tuned to improve the protection? Can changes be made to ease the administrative burden insurance causes? Are you getting the service you should from your broker? I can help. Remember, I don't sell insurance so I'm unbiased.

Need A Speaker? I'm pleased to speak to trade, business, or service associations about insurance topics. See my speaker's page.

Please Forward This Newsletter To Your Business Associates

Scott Simmonds, CPCU, ARM
Insurance Consulting
Phone 207-284-0085
Fax 802-992-4027
Scott@ScottSimmonds.com
www.ScottSimmonds.com

See My Insurance Blog - www.InsuranceBuzzer.com

Comments regarding insurance policies or products in this newsletter do not constitute an endorsement. I accept no fees of any kind from any company mentioned in this newsletter.