Insight - April 2024

Years of Advocating

Federal & State Government Relations

Political Action Committees

WHY IS IT ALL SO IMPORTANT?

40

40 UNDER Part 2

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The worst brings out our best.®

Evan Manning

ILLINOIS

Board of Directors

Chairman of

President - Allyson Padilla allyson@blanksinsurance.com

President-Elect - Patrick Taphorn, CIC, CSRM ptaphorn@unland.com

Vice President - Thomas Evans, Jr. tom.evans@assuredpartners.com

Secretary/Treasurer - Cindy Jackman, CIC, CISR cjackman@arlingtonroe.com

IIABA National

- George Daly george.daly@thehortongroup.com

Directors

Mohammed Ali - mali@aliminsurance.com

Amiri Curry - acurry@assuranceagency.com

Charles Hruska - chas@hruskains.com

David Jenk, Esq. - djenk@nwibrokers.com

Jeff McMillan - jeff@mcmillanins.com

Patrick Muldowney - patrick.muldowney@alliant.com

Lindsey Polzin - lpolzin@presidiogrp.com

Ray Roentz - ray.roentz@hwcrins.com

James Sager - james@sagerins.com

Luke Sandrock, CIC - lsandrock@2cornerstone.com

Noele Tatlock - ntatlock@unland.com

Committee Chairs

Budget & Finance | Cindy Jackman, CIC, CISR cjackman@arlingtonroe.com

Education | Lisa Lukens salibainsurance@gmail.com

Farm Agents Council | Steve Foster s.foster@ciagonline.com

Government Relations | Dustin Peterson dustin@peterson.insurance

Planning & Coordination | Nick Gunn, CIC nickgunn@nixonagency.com

Technology | Brian Ogden brian@ogdeninsurance.com

Young Agents | Renee Crissie renee@crissieins.com

Follow us on socials.

Shannon Churchill (217) 321-3004 - schurchill@ilbigi.org

Brett Gerger, CIC (217) 321-3006 - bgerger@ilbigi.org

Tami Hubbell, CIC (217) 321-3016 - thubbell@ilbigi.org

Jennifer Jacobs, SHRM-CP (217) 321-3013 - jjacobs@ilbigi.org

Mark Kuchar (217) 321-3015 - mkuchar@ilbigi.org

Phil Lackman, IOM (217) 321-3005 - plackman@ilbigi.org

Lori Mahorney, CISR Elite (217) 415-7550 - lmahorney@ilbigi.org

Evan Manning (217) 321-3002 - emanning@ilbigi.org

Kristi Osmond, CISR (217) 321-3007 - kosmond@ilbigi.org

Rachel Romines (217) 321-3024 - rromines@ilbigi.org

Tom Ross, CRIS, CPIA (217) 321-3003 - tross@ilbigi.org

Carol Wilson, CPIA (217) 321-3011 - cwilson@ilbigi.org

Government Relations

Let’s talk about the importance of giving to political action committees (PACs) and the absolute necessity in this political climate. I could drone on and on and on about how those dollars that you contribute are imperative to educating lawmakers, stakeholders, and regulatory bodies of the merits of our position as well as the unintended consequences of proposed legislation. I could write a novel about all of the bad laws that have been proposed throughout the history of legislative initiatives that have either been killed or changed for the better for all parties involved. Instead of going through all that and begging for donations, I thought I would show how important it was to me under my old hat of a regulator, as I have the unique perspective of seeing this through the other side of the coin lens.

As a young regulator, I got involved very early (1993) in the legislative process and was fascinated by how the sausage was made. I learned really quickly that all parties had different motives, and finding the sweet spot was crucial. Legislators wanted specificity to address whatever issue was plaguing their constituents. Lobbyists wanted whatever benefited their client. Associations wanted less regulation. Regulators wanted grey areas to give the regulatory body the most discretion. All parties are being given direction by various groups or entities. Legislators get their direction from constituents, the Governor, their party, or special interest groups. Lobbyists get their direction by whom ever is paying them. To quote one of my lobbyist friends, “When you start paying, I start caring.” Associations are typically given direction by their board or committees to further the agenda of the association. Lastly, regulators are typically given their direction by the Governor’s office, or they get approval from the Governor’s office to pursue laws and rules that will help them regulate in accordance with the Governor’s agenda or standards.

It is a juggling act to get anything of substance passed, as just one of those parties could kill any impending legislation or rule with enough maneuvering. This is how it should be, as one-sided legislation that doesn’t take into account all of the effects of proposed legislation or rules typically will have to be amended or stricken at a later date. Many times, as a regulator, I would ask what problem you are trying to solve or what burden you are trying to ease. You would be surprised by how many of those parties could not answer those questions and didn’t realize that the current laws or rules already addressed what they were trying to accomplish and we just needed to enforce current laws and/or rules. Most times parties would not care if it created unintended consequences that could hurt the very people that they were trying to help. An example of this was the requirement of uninsured motorist coverage, which caused the people who needed protection the most to decide whether or not to buy groceries or purchase car insurance. Grandpa always said to be careful what you ask for as you might get it. Some legislation is enacted that solves a problem that didn’t exist and now will create a greater burden on all parties. A perfect example of this was the passing of the UMPD law to include those with collision coverage. This was not needed due to subrogation being available, and now you just raised exposure and premiums on most insureds due to unnecessary coverage.

What I learned as a regulator was that the most important part of this whole process is the relationships between all of the parties involved. Back in the day, it wasn’t strictly Democrat vs. Republican but rather person-to-person. People routinely worked across the aisle to come to great solutions to solve huge problems. SB1200 is a perfect example of this, where parties came together for the greater good. I always enjoyed hearing different lobbyists, association government relations, and consumer groups give their version of their reality and the different effects of proposed legislation or rules would have on them and those that they represented. To get things passed, you had to have wiggle room, as you rarely saw something pass that didn’t have some sort of compromise in the final product. I remember many days of negotiating back and forth with PIIAI and IIA of Illinois. I didn’t know those associations but knew their representatives, such as Dennis Garrett, Mike Tate, and the Great Phil Lackman (somebody is bucking for a promotion ). They were the face of the associations and I always respected where they were coming from as they were the three Ts - transparent, truthful, and tenacious. Other various parties that I dealt with over the years were the three Ls – Lacking, Liars, and Lazy. Phil and crew always came prepared to discuss every angle, to educate us on the industry, and most of all, to work towards a palatable solution. Others came

before us to feel out what we knew, distract us, and outright lie to us. Associations like PIIAI and IIA of Illinois always got an audience with every Director that I worked for, as I knew it would be a fruitful experience for all parties involved. The others found it very difficult to get a meeting with the Director because, as a regulator, you don’t need any more meaningless meetings.

The relationship I established with Phil and the crew really made it easy to leave the dark side and come to the association world, as I held him in the highest regard over our many years of dealing with each other. Phil has now passed that baton to Evan and he has continued the three T’ that cemented Phil’s reputation in the industry. Evan has positioned himself in this chaotic legislative world as a “Trusted Choice” (excuse the pun). This legislative landscape is crazier than ever, and relationships are blurred due to Democrat or Republican. Phil will tell you that he walked to the Capital uphill both ways in sleet and rain and worked every night until midnight while Evan had to get on a zoom call in the comfort of his office until 4:30 pm. There may be some truth to both but one thing is certain is that passing or defeating a bill is very different today as compared to 10 years ago. The one that holds truer today is that political contributions have never been more important so to provide Evan access to the right people and provide the necessary resources to curb some of the crazy.

2Sense Brett’s

As always, this just Brett’s 2 Sense and I hope it was helpful. You can contact me through my CONNECT and if it is urgent, do not hesitate to reach me through CONNECT. I may be pushing you to CONNECT If you need any clarification or have any suggestions for future articles please email me at bgerger@ilbigi.org

Brett

Younger Brett with Todd Davis, CE Instructor & Member

Insurance Industry Legislative Day Wrap-Up

By Evan Manning

On Wednesday, March 13, Big I Illinois wrapped our Insurance Industry Legislative Day. Insurance Industry Legislative Day is our annual legislative lobby day held in conjunction with the Illinois Insurance Association (IIA), Illinois Life and Health Insurance Council (ILHIC), National Association of Insurance and Financial Advisors of Illinois (NAIFA IL), National Association of Benefits and Insurance Professionals, and the Illinois Association of Mutual Insurance Companies (IAMIC). The program was held in-person at the Merchant House in Springfield with a Legislator Reception that followed at the Illinois State Library. We had 125 agents, brokers, and company representatives in attendance for the education seminar and nearly 30 legislators attend our legislator reception.

Jim Jones, Executive Director of the Katie School of Insurance kicked off the program on Wednesday to outline the Insurance Economic Impact Study that was just conducted. Jim presented on the overall impact the insurance industry has on the health and wellbeing of the state. Not only did he discuss on the economic impact insurance companies and agents have on the state but some of unnoticed impact the industry has on the contributions towards the infrastructure of the state.

This year we presented the Insurance Industry Legislator of the Year Award to Representative Thaddues Jones. Rep. Jones is the Chairman of the House Insurance Committee. Rep. Jones who was in a serious car accident the previous year, recalled the event to the audience and spoke about his relationship with God and how fortunate he is to still be here. Rep. Jones also spoke about the challenges he faces in running the Insurance Committee, while trying to find a balance between letting members have their chance in committee versus burying bills in subcommittee. Rep. Jones is well deserving of this award as he has championed several key initiatives of Big I Illinois and our association partners. We thank him for his leadership.

Senator Napoleon Harris, III, Chairman of the Senate Insurance Committee, spoke to the group on how he runs his committee. Senator Harris spoke on balancing fairness when evaluating legislation that comes through his committee. Senator Harris has been the consummate professional in running the Senate Insurance Committee. As chairman of the committee, he has set the standard early in his tenure that bills would need to be agreed to prior to being posted to his committee in order for it to pass. He strongly encourages compromise between proponents and opponents and working across the aisle to pass the best legislation possible.

In addition to the two Insurance Committee chairs, we also heard from both Minority Spokesperson of the House and Senate Insurance Committees. Rep. Jeff Keicher and Sen. Dave Syverson spoke jointly to the audience. Both spoke about the challenges of the current political climate they face and how they still manage to influence legislation and the committees. They spoke about the rising costs of insurance and the effect the government has had and will continue to have if we continue mandating coverage as well as interfering in a company’s ability to underwrite accurately. Both Rep. Keicher and Sen. Syverson are registered and active insurance agents, they bring their expertise and knowledge of the industry to not only educate members on their committee but influence legislation so that there are not any unintended consequences of the legislation.

After the speaker presentations, Kevin Martin (IIA), Laura Minzer (ILHIC), Kathryn Morthland (ILHIC), Phil Lackman (Big I Illinois) and myself lead a panel discussion on the top legislative issues going through the Illinois General Assembly. Additionally, we brought up Brett Gerger (Big I Illinois) to speak on the current state of the Illinois Department of Insurance. Brett previously served nearly 25 years at the Department of Insurance and worked with several folks who still work there.

Kevin Martin kicked off the panel discussion on their opposition to Rate Regulation in Auto Insurance (HB 4767/ SB 3213), which is a bill that would move Illinois away from the file and use system we use today to a system that is highly regulated by the Department of Insurance. Kevin discussed the challenges we face today in staving this legislation off this year especially when paired with Secretary of State Alexi Giannoulias’ legislation (HB 4611). Both bills look to redefine and reshape a company’s ability to underwrite and will completely alter the competitive balance we see today in the auto insurance marketplace we have in Illinois.

Laura Minzer and Kathryn Morthland discussed several key issues pertaining to the life and health insurance industry. They both spoke about the latest comments by Governor Pritzker in the State of the State Address in which he outlined his healthcare agenda. The Healthcare Consumer Access and Protection Act (HB 5395/SB 3739) as well as HB 4475 are all Governor Pritzker initiatives. The bills will ban preauthorization, step therapy, as well as eliminating shortterm limited duration health insurance policies. Laura and Kathryn discussed further Pharmacy Benefit Manager (PBM) Reform legislation that has been introduced (HB 4548/SB 3179) both have a substantially negative impact on consumers and small business owners.

I was the last presenter of the event and spoke on HB 4658, which is a bill that would require children entering high school in the 2027-2028 school year to complete a stand-alone, one semester course covering personal finance. The bill which is supported by the industry, would cover topics including insurance, behavioral economics, banking and bill payment, car purchasing and loans, home ownership and financing, and much more. I also discussed our opposition to SB 2568, which is a bill to limit 403(b) plans for teachers to one provider. In addition, employers will be required to select the investment provider via a “competitive bidding process” and obtain approval from the union. Lastly, I discussed HB 5512, which would authorize the Department of Insurance to enter into a contract with a private insurance broker to establish an Owner Controlled Insurance Program (OCIPs).

We hope everyone who participated in Insurance Industry Legislative Day enjoyed the program and walked away with a better understanding of some of the most impactful legislation in the Illinois General Assembly. We look forward to the event next year and thank you to all of the members, legislators, and speakers who attended this great event.

Evan Manning is the Director of Government Relations for Big I Illinois and can be reached at emanning@ilbigi.org.

Cindy Jackman (left), and Robert White (right) with Rep. Paul Jacobs (R-118) and his wife, Rhoda.

Allyson Padilla, Big I Illinois President with Senator Jason Plummer (R-55), and Cody Imming

Dan Kiesewetter with Rep. Norine Hammond (R-94), and Kristie McGee

Big I Government Affairs & InsurPAC

By Nathan Riedel

It has been a busy year for the Big “I” government affairs team, who has advocated for agents & brokers on a variety of issues this year including flood insurance, tax reform, regulatory reform, crop insurance, employee benefits and a variety of other small business issues, to name a few. I want to highlight a victory that they had about a year ago, which is just now being felt.

Small businesses are being inundated with material from law firms and financial consultants, asking if they are up to speed and compliant with the Corporate Transparency Act (CTA), that went into effect on January 1, 2024.

The CTA contains a provision that would create a burdensome new federal reporting requirement for most small businesses. This burdensome new requirement was originally meant to cover nearly all small businesses including insurance agents.

However, the Big “I” was successful in securing an exemption for independent agents and brokers by showing that insurance producers already provide this beneficial ownership information to state regulators and that the additional burden of providing it to the federal government would be duplicative and unnecessary.

Throughout the legislative process, the Big “I” was the only producer group that advocated on behalf of agents and brokers to exclude them from this new onerous requirement.

Without this exemption, the beneficial ownership provision would have required agencies with fewer than 20 employees to file new reports on their beneficial ownership with the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN). Agencies would have to comply with the new requirement annually starting within two years of the law’s enactment for existing businesses or upon the incorporation of a new business. The penalties for failure to comply with these reporting requirements are severe, with civil penalties of up to $10,000 and criminal penalties of up to two years in prison.

I am certainly thankful that our government affairs team is monitoring things like the CTA and being proactive so that we don’t get swept into new burdensome reporting requirements.

Victories like this don’t happen overnight. They are often years in the making, and they often come down to relationships that have been established and fostered. Any group can walk into a congressional office and make their pitch, but the groups that are known and trusted are taken more seriously.

With the help of InsurPac, your Big “I” government affairs team is able to create and maintain the strongest relationships with our friends in Congress (on both sides of the aisle). While these relationships obviously don’t guarantee votes, they do provide opportunities to meet with key decision makers at the appropriate time and to provide the independent agent perspective. Those relationships are the backbone of InsurPac’s power on Capitol Hill.

InsurPac, your federal political action committee (PAC) turns 50 years old this year. It has spent decades developing and strengthening relationships with legislators on Capitol Hill, and developing the Big “I” brand with elected officials and their staff. That trust and awareness is critical when it comes to opening doors and having their voices heard on issues like the CTA and many more.

Your involvement in the political process is critically important to the future of our industry. Our profession does not flourish when we sit on the sidelines. It succeeds when we engage. If you have not already, we hope you consider joining in the InsurPac efforts. If not only to protect your business and your clients but to make a sound investment in the future of the IA industry.

Nathan M. Riedel is Senior Vice President of Federal Government Affairs for the Independent Insurance Agents & Brokers of America (IIABA or Big “I”).

Hard Market Among the Top Issues for 2024 Big I Legislative Conference

By Teddie Norton Reilly

The annual Big I Legislative Conference will take place April 10-12 at the Westin Washington, D.C. Downtown Hotel. During the conference, independent insurance agents and brokers from across the country will share their perspectives with legislators on issues important to the independent agency system.

This year’s conference will focus on issues that have the potential to have a real impact on every agency’s bottom line, which means your participation is crucial.

Here are four issues that will be a focus at this year’s conference:

1. Oppose tax increases on Main Street America. The Big I supports “The Main Street Tax Certainty Act,” which would make permanent the 20% small business deduction - Section 199A of the U.S. tax code - that was passed as part of the 2017 Tax Cuts & Jobs Act.

The deduction, which is scheduled to expire at the end of 2025, is heavily relied upon by many Big I members to keep their agencies operating, meet payroll, and better serve consumers and their communities. Pass-through entities have factored this deduction into their operations and its expiration would result in a tax increase for many small businesses. Such an increase would create an unlevel playing field and put pass-throughs at a disadvantage to businesses filing taxes at the lower corporate rate that was made permanent in the 2017 Act. Approximately 40% of members of U.S. House representatives and 33% of Senate members are already cosponsoring this legislation.

2. Address the insurance market crisis by cracking down on lawsuit abuse and encouraging risk mitigation. The property & casualty insurance market is cyclical and fluctuates between hard and soft markets. However, insurance is currently amid an unprecedented property insurance crisis.

Appropriate and suitable p&c insurance is simply unaffordable for millions of Americans, and it is altogether unavailable for a growing universe of families, businesses and individuals. These crisis conditions are not limited to areas traditionally associated with natural disasters. They are now ubiquitous and found in every corner of the country, producing troubling repercussions and ripple effects throughout our economy.

The pressure is particularly challenging for independent agents as they attempt to secure coverage for their clients and explain significant rate fluctuations while keeping their own businesses operational. Congress can do several things to help alleviate pressure on the insurance market, including taking action to reduce lawsuit abuse and promote risk mitigation.

Abuse of the legal system is a significant problem and adds considerable costs to the insurance industry that are then passed along in the prices that consumers pay. An especially troubling trend is the unchecked way foreign entities and governments are financing and subsidizing litigation in American courts. To address the problems posed by foreign interference, the Big I supports the “Protecting Our Courts from Foreign Manipulation Act.”

This bill would require disclosure from any foreign person or entity participating in civil litigation as a third-party litigation funder in U.S. federal courts and would prohibit sovereign wealth funds and foreign governments from participating in litigation financing.

Also, catastrophic natural disasters are increasing in frequency and severity at an alarming rate and efforts to mitigate risks and reduce exposure to these events are not keeping pace. Risk mitigation makes homes more resilient, protects families from natural disasters and reduces the post-event costs that would otherwise be borne by taxpayers.

According to the Federal Emergency Management Agency (FEMA), every dollar spent on preventative mitigation measures saves approximately $6 in future losses. State governments are increasingly establishing mitigation grant programs that enable homeowners to prepare in advance for earthquakes, windstorms and wildfires but these grants are currently subject to federal taxation. The Big I supports the “Disaster Mitigation and Tax Parity Act of 2023,” which would eliminate this federal taxation and encourage the implementation of much-needed mitigation measures.

3. Protect the Federal Crop Insurance Program (FCIP). As Congress negotiates a new five-year Farm Bill it is critical to support policies that strengthen the stability and effectiveness of the FCIP. Crop insurance is an important risk management tool that helps farmers navigate the challenges posed by weather, supply chain disruptions, and uncertain markets. The Big I supports a strong and robust FCIP that provides certainty for farmers and communities and is strongly opposed to any legislative or regulatory efforts to reduce FCIP funding in the new Farm Bill or otherwise weaken the efficient and effective private sector delivery of crop insurance.

4. Extend and reform the National Flood Insurance Program (NFIP). The Big I strongly supports reauthorization of the NFIP before its expiration and recognizes the importance of a modernized program to increase take-up rates in both the NFIP and the private market.

Specifically, the Big I supports H.R. 900, which would allow private flood insurance to satisfy continuous coverage requirements and ensure that consumers who leave the NFIP for the private market, but are later forced to return, can do so without penalty.

The Big I also opposes any policies that would harm the WriteYour-Own (WYO) Program, including WYO reimbursement reductions, and undermine the valuable and trusted role that independent agents play in the offering, sale and servicing of flood insurance. Finally, it is essential for FEMA to communicate with agents more clearly so they can explain rate setting and changes in premiums to their customers now that Risk Rating 2.0 has been fully implemented.

Teddie Norton Reilly is Big I chief of staff.

Look for full event wrap-up in the May issue of Insight.

Big I Illinois State Political Action Committee - Why is it Important?

By Evan Manning

In conjunction with the association rebranding, IIAPAC (Independent Insurance Agents Political Action Committee) will now be called Big I Illinois State Political Action Committee (Big I Illinois State PAC). The State PAC is a nonpartisan PAC established by Big I Illinois to raise funds for contributions to candidates for elected office in Illinois such as your State Representative, Senator, and Governor. Big I Illinois State PAC is completely separate from our federal PAC (InsurPAC), monies contributed to the State PAC do not flow to InsurPAC and vice versa. Big I Illinois State PAC only contributes to candidates at the state level and does not contribute to Federal candidates.

The State PAC’s primary function is to support candidates for the Illinois General Assembly who are responsive to the needs of independent insurance agents. The State PAC can accept both corporate and personal checks and credit card billing options. The collection cycle coincides with the Big I Illinois’ fiscal year: October 1 to September 30.

Over the last two decades our overall agency contributions and dollars contributed have steadily decreased. While some of this is attributed to mergers and acquisitions (M&A), political fatigue, and years where there was important legislation affecting the industry causing a spike in contributions, our State PAC needs/must grow in overall participation.

Supporting Big I Illinois State PAC is one of the most impactful investments in the future of our industry. There are several benefits to supporting the State PAC. Provides the opportunity to build relationships with elected officials, further the mission of good government, and advances government affairs priorities. The Illinois General Assembly has gone through a lot of changes in the past five years. There has been a lot of turnover in the Illinois General Assembly, the importance of building and developing relationships with new members is more important than ever before.

It’s very difficult to quantify legislative victories but not only have we had legislative success in passing our agenda, but we have successfully defeated several bad bills. This past year alone, we successfully passed the Public Adjuster Reform in the spring session as well as Farm Mutual Reinsurance Reform during Veto Session. We also successfully staved off Rate Regulation for Auto Insurance during the spring session. However, Rate Regulation for Auto Insurance has come back this year with more momentum than ever before, even garnering public support from the Illinois Department of Insurance Director Dana Popish Severinghaus.

A contribution to Big I Illinois State PAC is an unimaginably small fraction of what even one of the many, many, bad bills and regulations could cost your agency. We’re committed to defending independent insurance agents and those you serve to protect.

Please support the Political Action Committee. We can no longer afford to have a small percentage of our membership support our advocacy efforts. This has to be a collective effort from every Big I Illinois member. Donate, donate, donate!

Thank you in advance for answering the call to action!

Evan Manning is the Director of Government Relations for Big I Illinois and can be reached at emanning@ilbigi.org.

ilbigi.org/advocacy

Over the years, numerous local groups have supported the State PAC in various ways. Though the quantity of locals has decreased, those that are still in operation continue to raise funds for PAC through various events and fundraisers.

History of Advocacy

In the ever-evolving landscape of Illinois politics, Big I Illinois has played a critical role in advocating for the independent insurance agent since our inception in 1899.

In this series, we’ve reached out to past Big I Illinois Government Relations Committee Chairs to hear from them on the hot topics, challenges and triumphs the state association has experienced.

Dino Gavanes 1992

Can you please introduce yourself and provide a brief overview of your background and experience in Government Relations?

It was my pleasure and honor to have been involved with our association since the late 70’s, either on the local (county) level, the State Association level, and the National Association level. I also held numerous positions at the National level, including Government Relations Committee, Finance Committee, Trusted Choice Board, and National Director from Illinois. I also chaired the PIA Government Relations Committee for one year during our dual membership years.

My experience in Government Relations stems from my involvement on the local and state levels, beginning back in the 80’s. On the county level, we pushed our agenda (which, at the time included no banks in insurance). We also helped elect state reps, senators, and officers that supported our positions. I continued my advocacy when I was elected to the State Association Board and kept doing so during my 25+ tenure at the State Association level.

What motivated you to take on the role of Chair of the Government Relations Committee?

Motivation is what drives individuals to act. I think that my motivation for getting involved was to be part of the solution to the issues of the day, rather than merely an observer.

Share initiatives, challenges, goals, objectives, and/or memories from the time you were involved. There were numerous initiatives in which we were involved. The most memorable for me was the “Banks in Insurance” debate. That lasted more than a decade between the 80’s and 90’s, but culminated in an agreement between the Illinois Bankers Association and the Insurance Coalition which would permit banks to enter the insurance sales business with significant consumer safeguards. The agreed bill passed the House, Senate and was signed by the Governor all in one week. There were four agents from the Life Underwriters, Bill Oliver, Dan Pancake, David Lacine, and me. The bankers had six representatives. We all spent a full day and evening in Springfield and hashed out a deal, in 1997. Soon after, I was asked to testify before a Congressional Committee as to how we were able to accomplish this. I testified on behalf of the Big I and PIA National.

I feel it is important to recognize our previous Executive, Mike Tate, as well as Phil Lackman. These two were the smartest lobbyists in Springfield, and they were both ours. I thank them both for their wisdom and guidance. Our successes, to a large part, can be attributed to these two leaders. During the mid to late 80’s the insurance industry experienced a capacity crunch. Obtaining liability coverage at any price was becoming a problem. Consequently, insurers were cancelling, or hiking premiums mid-term. Yes, that was permitted then, until we introduced Senate Bill 200, as a consumer-friendly bill that restricted the ability of carriers to engage in these activities. A huge win for us and the consumer. Of course, the insurance carriers were not happy, and they opposed us, but we prevailed because it was the right thing to do. The association has been very fortunate in having a membership base that supports our Government Relations Programs. I also feel that we need to thank those leaders who really had a passion for Government Relations. The late Ralph Swank was my first mentor, the late Dan Pancake (the Senator), Luke Praxmarer, and Chuck Hruska. Their contributions to our Government Relations efforts can’t be understated. I am sure I missed a few. Sorry.

The” Banks in Insurance” and SB 200 issues exemplify the impact that the Government Relations Committee has had on our Association and our industry. Legislation takes time. Although our successes have been considerable, they have been quick. The lesson here is that we need to fight for what you believe in, don’t expect it to be done quickly. Government moves slowly. I mentioned it earlier, but being asked to testify before a Congressional Committee was certainly one of the more interesting events that I can remember.

Another good memory was our frequent visits to the Speakers’ Office in the Capitol Building during our Legislative trips to DC. Dennis Hastert was the Speaker, and the Congressman from my district. We all knew him well and were always welcome to visit his office and have a photo op on his balcony. Good memories with good friends and colleagues. Forty years goes by quickly. It was a great ride.

Gavanes, center

Michael Mackey 1998

Can you please introduce yourself and provide a brief overview of your background and experience in Government Relations?

My name is Michael Mackey, I am an Executive Vice President with Alliant Insurance Services based in Chicago. I lead a large Property & Casualty Insurance Practice that specialized in insuring taxing bodies & commercial accounts. I served as Government Relations Chair for four years.

What motivated you to take on the role of Chair of the Government Relations Committee?

My past colleague & Friend, Liz Simer (past Big I Government Relations Member) encouraged me to become active with the Illinois Insurance Agents Association. I thought it was important to be a positive advocate for the insurance industry. The industry in general does not have the greatest reputation. I thought it was important to be a positive advocate. We must collectively work together in articulating the important advocacy role we play on behalf of our clients.

Can you share an example of a successful Government Relations initiative that was accomplished during your term?

We passed several significant legislative initiatives during my term including the Financial Institutions Insurance Sales Act which was our legislation regulating how banks and other financial institutions were to market and sell insurance once the US Supreme Court decided that states could no longer restrict them from doing so. This was one of the biggest issues ever passed by the Big I. Also during my tenure we passed legislation regulating Professional Employee Organizations, PEO’s, many of whom were “laundering” Work Comp experience mods. The issue was brought to our attention by our members, we researched the issue, drafted legislation, got the Department of Insurance on board and passed the bill over considerable opposition from the PEO industry. Exactly how an association’s government affairs program should work. We also passed legislation making our producers license effective for two years. Prior to that we had to renew annually. I know there were many other issues we passed and defeated during that time but those were the big issues we dealt with.

What were some of the key challenges you faced while chairing the Government Relations Committee, and how did you address them?

Frankly, we had a great group of members on the committee and staff. Looking back one of the big challenges was technology. We’d have a conference call, agree conceptually to some language, it would all have to be faxed out, then reviewed, another conference call then start the whole process with groups that were opposed or we were working with on the legislation. It took a lot of time and the legislative process moved pretty quickly.

Can you discuss a specific instance where the Big I Illinois overcame resistance or opposition in advancing the Government Relations agenda?

The banks selling insurance was a big issue. We had successfully fought the banking associations for years and in a matter of days following the Supreme Court’s decision we were working on legislation stating how banks were going to sell not if they could. It was very challenging to get the message out to our members and get everyone on the same page. I do remember some members of the association saying we had sold out by proposing the Financial Institutions Insurance Sales Act and we reminded them that the US Supreme Court had decided the issue and we needed to put some guardrails in place preventing financial institutions from coercing clients from buying insurance from them and they responded that the Supreme Court didn’t have jurisdiction on the issue in Illinois! I’d say 80 percent of the bills we introduced faced some opposition. Anytime you introduce a bill you’re changing the status quo and potentially stepping on someone else’s turf.

Can you assess the impact of the Government Relations Committee’s efforts on the Big I Illinois’ overall goals and objectives?

Working within a state-based regulated industry, I sincerely believe the Government Relations Committee and staff are essential in protecting insurance agents livelihood.

If you could offer advice to a member of Big I Illinois about the importance of the Government Relations Committee, what would it be?

All politics are local. Make an effort to know and support your local state Senator & Representative. Become their trusted insurance subject matter expert & friend.

What lessons did you learn during your tenure that you believe would be valuable for future leaders in Government Relations?

Be well versed on local and national insurance legislative matters for all legislative members, especially those that serve on the House and Senate Insurance Committee. It is also essential to have a very strong relationship with the Majority House and Senate leaders in that they choose the insurance committee members.

Any memory or story you would like to share?

I thoroughly enjoyed getting to know insurance agents across the state of IL. The great memories we shared socializing late into the night. We are all very fortunate to work in such a great client focused industry.

Mackey, center

Luke Praxmarer

2002

Can you please introduce yourself and provide a brief overview of your background and experience in Government Relations?

My name is Luke Praxmarer. I owned Corkill Insurance with my brother for 39 years. We sold to Assured Partners in 2020. We are both still working full-time for Assured Partners. My experience in Government Relations stemmed from my activities as a volunteer in numerous political campaigns and organizations. Since 1996, I have served continuously on the Government Relations Committee and was chair from 2003 to 2007, and then served on the Executive Committee from: 2007-2011.

What motivated you to take on the role of Chair of the Government Relations Committee?

Being asked to serve as chair of Government Relations was quite an honor and I was motivated by my interest in politics and advocating for Independent Agents.

Can you share an example of a successful Government Relations initiative that was accomplished during your term?

The biggest issue when I was chair were the “Spitzer Hearings” (which I actually attended in person in Washington, DC in the fall of 2004) whereby New York Attorney General Elliott Spitzer wanted to eliminate contingent commissions. Association leadership had countless meetings with the Illinois Department of Insurance, IL Attorney General’s office, elected officials, and we prevailed in keeping our current system intact, whereby Independent Agencies are paid profit-sharing, CONTINGENT on profitability of the prior year. (I could write a book on this issue).

What were some of the key challenges you faced while chairing the Government Relations Committee, and how did you address them?

Key challenges were outlined above. We also had routine challenges of logistics of where and when to hold committee meetings. Soooooo much easier today with TEAMS and ZOOM. As I recall there were also some bills out there to have rate regulation in auto and health insurance, which we defeated.

Can you assess the impact of the Government Relations Committee’s efforts on the Big I Illinois’ overall goals and objectives?

My opinion is and was that Government Relations was the most important committee in the association. Second, and not far behind was Education. As I’ve always said, the association exists for political advocacy and education.

If you could offer advice to a member of Big I Illinois about the importance of the Government Relations Committee, what would it be?

Get involved. Get to know your State Rep and State Senator. If possible get to know the person for the neighboring districts as well. I always made it a point to know my legislators where I lived, and where my office is/was. In all cases, they were different people. Same goes for US Congress.

What lessons did you learn during your tenure that you believe would be valuable for future leaders in Government Relations?

The lessons I learned, much of it from Phil Lackman, was that politics is a game of addition. Carefully pick the hills you’re going to die on, and get to meet and know your legislators. That also means attending community meetings and fundraisers. It is so much better when meeting with a legislator in Springfield when they already know you. Not good to be a stranger.

Looking back, any other significant achievements or contributions you experienced while chairing the Government Relations Committee?

The biggest achievement had to be the Spitzer matter and Contingent Commissions. By the way, Jim Ander was president at that time and he provided a copious level of leadership in this matter. Jim was a huge asset to the association all his years, but especially in that timeframe.

Any memory or story you would like to share?

There are countless memories I have, but one of the best was when Brian McSherry and I were testifying in Springfield before the House Insurance Committee and it went very well. After Brian and I were concluded, a gentleman, Mr. Chaka Patterson, from the IL Attorney General’s office then testified before the committee. Representative (now Senator) Chapin Rose (from Champaign County area) asked Associate Attorney General Patterson where he went to law school, and Mr. Patterson answered: “Harvard Law School”. Not to be flustered, Rep. Rose suggested that Mr. Patterson should have gone to U of I where he (Rep.Rose) went as they authored all the law textbooks for Harvard. Both gents smiled, and that is a very funny memory of mine.

Praxmarer, second from right

George Daly 2011

Can you please introduce yourself and provide a brief overview of your background and experience in Government Relations?

My name is George Daly, I am Division President of Personal Insurance at The Horton Group. I am currently National Director representing the Big I Illinois and a member of the Trusted Choice Board, Large Agents Committee and Government Affairs Committee. I served from 8/1/2011-9/30/2015 as Big I Illinois Government Relations Chair.

What motivated you to take on the role of Chair of the Government Relations Committee?

Given the fact that insurance is regulated at the state level I wanted to represent all IL independent agents with our committee members and staff to advocate for issues that align with the interests and needs of all of our members.

Can you share an example of a successful Government Relations initiative that was accomplished during your term?

We were successful in working with the department of insurance to create a letter of understanding to better define and modernize acceptable practices and services related to prospects and clients.

What were some of the key challenges you faced while chairing the Government Relations Committee, and how did you address them?

Obamacare was being introduced and we developed a state task force including my colleague Mike Wojcik that chaired the task force and worked tirelessly to ensure a role was carved out for independent agents. We assembled a task force to address condominium statute updates and supported a bill to update requirements associated with health care cooperatives.

Can you discuss a specific instance where the Big I Illinois overcame resistance or opposition in advancing the Government Relations agenda?

A bill was proposed to define the rules of engagement around electronic communication between carriers and clients that opted in. The carrier position, mostly by direct writers, was that if a client opted in then 100% of communication should be electronic. We successfully argued that any cancellation should be delivered via mail in order to protect clients and ensure they are fully aware of any cancellation.

Can you assess the impact of the Government Relations Committee’s efforts on the Big I Illinois’ overall goals and objectives?

I have seen firsthand, the impact our Big I government relations efforts have had in protecting the livelihood of our members. Being the Government Relations Chair provides you the opportunity to really see the challenges we face on the advocacy side and the amazing work done by staff members like Phil Lackman, Evan Manning, Brett Gerger and Jennifer Jacobs. The Government Relations Committee has observed how much our legislators and legislative insurance committee chairs rely on the advice and counsel of Big I Illinois.

If you could offer advice to a member of the Big I Illinois about the importance of the Government Relations Committee, what would it be?

If you have a desire to create meaningful change then consider joining the government relations committee and if you are driven by continuing to develop policy and make a positive impact then consider a leadership role.

What lessons did you learn during your tenure that you believe would be valuable for future leaders?

Your voice matters, your ability to utilize your knowledge and experience to educate legislators truly matters.

Looking back, any other significant achievements or contributions you experienced while chairing the Government Relations Committee?

My experience chairing the Government Relations Committee inspired me to continue down a leadership path through state executive and now my current National Director role.

Daly, second from left

Kevin Lesch 2019

How long did you serve as Government Relations Committee Chair? I served two years under two different Directors of Government Relations.

Can you share an example of a successful Government Relations initiative that was accomplished during your term?

Outreach to the two Insurance Committee Chairpersons, brought them into the same room and let them know we were here to help (they are still the same chairpersons in the house and senate).

Can you assess the impact of the Government Relations Committee’s efforts on the Big I Illinois’ overall goals and objectives?

The Government Relations Committee serves as a vital bridge between the Big I Illinois and the government, working to protect the interests of its members, and promote a favorable regulatory environment for the independent insurance industry.

What advice would you give to a Big I Illinois member about the importance of this Committee?

Building and maintaining relationships with government officials, policymakers, and regulatory agencies is essential for effective advocacy.

What lessons did you learn during your tenure that you believe would be valuable for future leaders in Government Relations?

No matter what side you think a legislator is on, it is always worth calling to express your opinion about a bill or a ruling you feel will affect you negatively or positively.

Past Government Relations Chairs

Dustin Peterson - Current

Patrick Taphorn - 2020

Kevin Lesch - 2019

William Lawrence - 2015

George Daly - 2011

Thomas Mollenhauer - 2006

Luke Praxmarer - 2002

Charles Hruska, III - 2000

Michael Mackey - 1998

Past Staff Government Relations Directors

Evan Manning - Current

Chris Davis - 2016

Phil Lackman - 1996

Jim Bachman - 1985

Cecil Pearce - 1983

Jay Shattuck - 1980

Jim Logan - 1977

Dan Pancake - 1996

Dino Gavanes - 1990

Ralph Swank - 1986

Murray Preston - 1982

Harper Allan - 1975

James Humphrey - 1971

Rogers Troxell - 1968

Joseph Prola - 1966

James Unland - 1965

From the Archives

ilbigi.org/events/sales-leadership-conference

Company Opportunities

Registration

Full: $130

Includes up to eight hours CE, breaks, meal functions, time with exhibitors & social event.

Wednesday Only: $95

Includes up to five hours CE, breaks, meal functions, time with exhibitors & social event.

Thursday Only: $55

Includes up to three hours CE and break.

The Sales & Leadership Conference provides opportunities for your company to get involved and show your support.

Sponsor

Sponsorships are available ranging from $300 to $2,000. These funds help offset the cost of the event to ensure we keep the registration fee as low as possiblefor the next generation of agents.

Exhibit

Exhibit tables are available for Wendesday. Tables are set around perimeter of main room which means you get to enjoy the speakers as well!

tinyurl.com/SL-CO-2024

MEG MCKEEN TO OPEN EVENT!

Celebrating her 25th year in the industry, Meg McKeen founded Adjunct Advisors LLC in 2018 with the essential belief that the way we sell insurance is ripe for change. Throughout her career, working both as an underwriter and agent within the insurance industry, Meg has held a seat at the table during thousands of insurance negotiations. Meg now holds space, at the crossroads of personal and professional development, for individuals and organizations as they grow their sales and leadership acumen through private coaching, consulting engagements, and the podcast she hosts, Bound & Determined. Meg’s contributions to the insurance industry have been recognized with her inclusion in Insurance Business America’s Hot 100 and Elite Women for 2021.

A graduate of Illinois Wesleyan University, with roots in Chicago, Meg is currently a digital nomad, in the midst of a thoughtful travel adventure. When she’s not helping business professionals, you can find Meg putting the “practice” into yoga practice, searching for the best vegan bakery, or cheering on her favorite independent musicians.

During Meg’s interactive session, we will discuss the challenges we face each day and the demands made on us by our business relationships and our personal lives. We will unpack “imposter syndrome” and the impact it is having on us as insurance professionals.

MORE SPEAKERS & TOPICS

PATRICK MCBRIDE - Get the ‘F’ Out

Patrick, a scratch agent and founder of The McBride Agency and co-founder of TechMarketer, will tell his story of launching his independent agency in early 2022 with a desire to leverage high-quality technologies and provide streamlined insurance solutions that exceed client expectations. Patrick will present “Get the “F” Out: How every agency can streamline their processes with technology and automation.”

DANIEL SMITH & ABBY WHEELER - The ‘80s Called and They Want Their Marketing Back

Abby is Gen Z. Daniel is Gen X. They’ve marketed to Boomers and sold to Millennials. They’ve got an intern that’s 20 and an advisor that’s 80. So, what have they learned? How to develop a marketing and sales strategy that is “all things to all people” when it comes to having four generations in the workforce and the insuring public. Let’s have a “friendly debate” about what works and what doesn’t work, and you’ll take away strategies you can use every day, whether your clients and prospects are 25, 65, or somewhere in between. We’ll also discuss where to find these audiences and how to message to them on their terms.

CIARA GRAVIER - The Power of Community Inside the Industry

With 20 years under her belt, Ciara brings a wealth of experience to the table. This includes helping her family launch and successfully sell two agencies. She now puts that experience to work by leading The Bunker Insurance & Risk Management, a firm specializing in middle-market commercial insurance. Ciara will share insights into finding your “people” in this business and building connections to help grow your professional career.

SCHEDULE

*tentative schedule is subject to change.

WEDNESDAY, APRIL 24

9:00 - 10:00 am: Registration/Time with Exhibitors

10:00 am - Noon: General Session (two hours CE)

Noon - 1:00 pm: Lunch with Exhibitors

1:00 - 4:00 pm: CE Sessions (three hours CE)

4:00 - 5:00 pm: Reception with Exhibitors

4:45 pm: Exhibitor Prize Drawings

6:00 pm: Social Event

ilbigi.org/events/sales-leadership-conference

THURSDAY, APRIL 25

9:00 am - Noon: CE Sessions (three hours CE)

Thinking you don’t have time to be out of the office for a conference?

What if attending this event could actually give you more time back into your day?

That’s our plan.

ILLIN O I S

40 40 UNDER

Recognizing young, bright stars in the insurance industry.

Part 2

Joe Byington

John Drum

Josh Green

Luke Hoerr

Tom Krug

Brennan Kurtz

Jay McGee

Ryan Patton

Ewa Schwier

Carter Taphorn

40 UNDER 40

JOE BYINGTON SB Insurance Company Virden, IL

Why did you choose to pursue a career in insurance?

After graduation, I knew my original plan of going into education was done. I had previous sales experience being with CUTCO (if you know you know), and when Farmers Insurance showed me what the possibilities were, I took it.

What obstacles did you face when you first started, and how did you overcome them?

Being 22 and broke, starting a scratch agency was definitely an obstacle. I overcame through some savvy marketing ideas. Unfortunately that wasn’t enough as I left my book at Farmers in 2018 and took a sales role with Allstate but I took what I learned when I was down on my luck and magnified that at my agency now.

What’s something people should know about your generation in the workplace?

We are NOT tech support and we pride ourselves on efficiency. What I can do in an hour with calls, texts, and emails trumps my counterparts who prefer to do everything in person. Both work, but as the older generation passes on, so does their techniques.

How has this industry impacted your life?

Since I’ve bought into my agency in 2022, I’ve seen my life turn for the better. I enjoy having the freedom of an owner.

JOSH GREEN

The Cornerstone Agency Tampico, IL

Why did you choose to pursue a career in insurance?

After college I knew I wanted to go into a career where I had the opportunity to help people and after a summer internship at our local agency, I knew I could fulfil that dream through a career as an insurance agent.

What obstacles did you face when you first started, and how did you overcome them?

As a new agent, you don’t know what you don’t know. I relied heavily (and still do) on the more experience agents in the office to teach me how varies policies work and how to handle different situations. I hope to return the favor someday. Big I Illinois also has tons of resources to plug into that helped educate me on the different policy languages and how to understand the intricate details of a policy.

What’s something people should know about your generation in the workplace?

I think sometimes our generation gets a bad rap, but from observing my peers, I see a smart and dedicated group of individuals. Their commitment to clients and the industry as a whole are something to be admired.

How has this industry impacted your life?

Through this industry I have been blessed with the opportunity to meet many different people, many of which start out as clients, but ends in friendships. This industry has also blessed my family and I in many ways. I love the flexibility it provides for my young family. Whether that’s picking up one of my sick kids from school or daycare or being able to take my daughter on a class field trip.

JOHN DRUM

Bailey Family Insurance

Springfield, IL

Why did you choose to pursue a career in insurance?

Driven by a profound desire to make a meaningful difference in people’s lives, I embarked on a career in the insurance industry. While my compassionate nature steered me away from the medical field due to my squeamishness, I remained unwavering in my commitment to seek alternative avenues through which I could offer assistance. In recognizing the pivotal role that insurance plays in safeguarding individuals during their most challenging moments, I became deeply convinced that a meticulously crafted insurance policy can serve as a beacon of support during times of immense stress and uncertainty. Embracing this ethos, I am wholeheartedly dedicated to leveraging my skills and expertise to provide invaluable aid and reassurance to those in need.

What obstacles did you face when you first started, and how did you overcome them?

Embarking on my journey in the insurance sector in my twenties presented a formidable challenge: earning the trust of clients. Recognizing that the majority of individuals I encountered were often older than myself, I understood their hesitancy in confiding in a younger professional with such critical matters. Determined to overcome this hurdle, I dedicated myself tirelessly to not only expanding my expertise in product knowledge but also in understanding various claim scenarios. Through this concerted effort, I aimed to showcase a profound comprehension of the industry, defying any preconceptions based on my age. A decade of steadfast commitment later, the subtle signs of aging, such as my thinning hair and speckled beard, may lend a semblance of credibility at first glance. However, I firmly believe that genuine rapport with clients is forged through a foundation of trust rooted in industry acumen and a steadfast commitment to serving their best interests.

LUKE HOERR

Troxell Insurance

Peoria, IL

What’s something people should know about your generation in the workplace?

Contrary to common perceptions, my generation possesses a deep-seated commitment to prioritizing the needs of our clients above all else. We are driven by a genuine desire to offer tailored solutions that address their unique requirements, whether it be cost-saving measures or comprehensive coverage. Our pride in our work stems from the satisfaction of knowing that we have delivered results that truly benefit our clients. Particularly in the current landscape of a hardening insurance market, it is paramount for our clients to recognize the intensified efforts we invest in ensuring the continuity of the exceptional service they have come to expect. Rest assured, we remain steadfastly dedicated to going above and beyond to serve our clients’ best interests with unwavering dedication and diligence.

How has this industry impacted your life?

The insurance industry has profoundly influenced my life by affording me the invaluable opportunity to delve into a myriad of diverse spheres. Through my immersion in this dynamic field, I’ve acquired comprehensive knowledge spanning various sectors such as banking, accounting, real estate, and finance, all of which intricately intertwine with the insurance realm. This multifaceted understanding has empowered me to make informed decisions, enabling significant milestones like securing my first home at a competitive price and favorable rate. The relationships forged within these interconnected industries have proven instrumental in navigating the complexities of everyday life, underscoring the indispensable role that insurance plays in shaping our personal and professional endeavors.

Why did you choose to pursue a career in insurance?

I chose to be in insurance because I wanted to be able to protect others from being financially devastated. Something that has never happened before happens everyday, and I have the personality and will to take that on. The industry is full of people who can peer into a blurry future and offer peace of mind. I think that’s why I find it so interesting.

What obstacles did you face when you first started, and how did you overcome them?

I didn’t understand the difference between sales and marketing when I started. I was great at sales but not marketing. Once I took the time to understand marketing and putting a consistent plan in place the leads came rolling in, and the close ratio took off.

What’s something people should know about your generation in the workplace?

There are some of us out there that are hungry for work. Those of us that are, we want to be in a place that we are most needed. Where our skills AND values are aligned with the objective of the project, product, or overall business strategy.

How has this industry impacted your life?

Being on the agency side for the past four years now I’ve adopted three key virtues. Prudence. Carrier appetites are still drastically changing. Patience. Landing or not landing the sale is choppy in the micro, but smooth in the macro. Last, perhaps most important is Grit. Giving a client the guidance to get back on their feet after a devastating situation.

40 UNDER 40 TOM KRUG

J.Krug Itasca, IL

Why did you choose to pursue a career in insurance?

Growing up, I saw both my Father and Grandfather have success with different firms. It was intruiguing to me to see them deal with so many different industries and business professionals. I spent time after school throughout high school working with my Father and really enjoyed the time we spent together and the things I learned alongside him.

What obstacles did you face when you first started, and how did you overcome them?

Like any typical young producer, getting over the age factor took some time, and at times it felt like things would never improve. After a few wins, much learning and some increased confidence the tides started to turn. Even to this day, the peaks and valleys of our business can be challening at times, but remembering those successes really can help the confidence when it might be lacking.

What’s something people should know about your generation in the workplace?

We do actually like to work in the office as opposed to WFH!

BRENNAN KURTZ

Arachas Group

Bartlett, IL

How has this industry impacted your life?

Where to start? The relationships that have been forged with so many wonderful clients, colleagues, carrier partners, and others has been awesome! The flexibility that our business allows has been great for our family setting which I really love. The continued education never stops which is great for developing and growing as a client advisor. Overall, a great business to be fully invested in!

Why did you choose to pursue a career in insurance?

For the long term potential and thrill of overcoming daily challenges

What obstacles did you face when you first started, and how did you overcome them?

Learning the intricacies of the industry. Reading policy language and knowing what is and is not possible is a challenge at first.

What’s something people should know about your generation in the workplace?

Technology is going to be at the forefront of the industry moving forward. Get on board or you’ll be left behind

How has this industry impacted your life?

It’s given me tremendous amount of not only financial success, but overall fulfillment of knowing I am helping hundreds of clients structure their insurance program and be sure that they are covered on their worst days.

JAY MCGEE

Mid America Insurance Bloomington, IL

Why did you choose to pursue a career in insurance?

I have always been very competitive and goal oriented. I saw my dad work in an industry that was tenure based for promotions, and I wanted to align myself in an industry that you didn’t have to be one of the old guys to be at the top. I also saw the opportunity for young individuals to make their way in an aging industry that had a ton of flexibility, unlimited earning potential, and really making a difference in the lives of my clients.

RYAN PATTON

Howell Insurance

West Frankfort, IL

Why did you choose to pursue a career in insurance?

Our agency is a family agency with my great grandfather starting it in 1925. I studied finance in college and always liked the idea of owning my own business. I talked to my mom and dad quite a bit about going into the agency and decided in college that insurance is what I wanted to do.

What obstacles did you face when you first started, and how did you overcome them?

I wouldn’t say I had any major obstacles. The biggest challenge was learning the business which is the case for any new agent. There is a lot to learn to be a good agent from knowing your coverages, underwriting, how the claims process works, accounting, etc. Once you start feeling comfortable things inevitably change. Fortunately, though, I came into an established agency with a good staff and my mom who has worked in the agency since 1981 so I had good agents to learn from.

What’s something people should know about your generation in the workplace?

Insurance is challenging but can be fun and rewarding at the same time which is what any person should look for in a job. I enjoy seeing how different businesses operate and you get to learn quite a bit about an insured’s operations and the challenges they face.

What obstacles did you face when you first started, and how did you overcome them?

Being thrown into sales right out of college had a ton of challenges. Business owners were questioning my knowledge and ability to understand their needs at such a young age. I doubled down on my education and obtained my CIC and CRM designations very early in my career. That gave me a knowledge base most of my peers didn’t have. I coupled that with a relentless drive to be successful and things turned out well for me.

What’s something people should know about your generation in the workplace?

My generation is the perfect blend between knowledge and technology. We are old enough to have the knowledge and life experience needed to be a professional consultant to our clients, and young enough to be able to navigate new and emerging technology that makes us efficient. We also aren’t afraid of hard work and getting our hands dirty. There is a changing of the guard happening right now and my generation is ready to assume the leadership roles needing filled by the departures of the older generation from the workforce.

How has this industry impacted your life?

This industry has provided so much for me on so many different levels. On a professional level, my cup is full. I have built relationships with clients, co-workers, and peers that will last a lifetime. The industry has taken me places and let me experience things I never dreamed of. On a personal side, it has allowed me the flexibility to be the dad and husband I need to be. I have 2 kids involved in travel sports and I rarely miss an event of theirs. This industry has allowed me to show up and be present in the lives of those that are most important in my life. It has also provided me with the means to make that possible and give my family a life we are all thankful for and blessed to be leading.

How has this industry impacted your life?

Insurance has provided a living for four generations of my family and my wife and I are very proud to be running our family’s agency now. I know it’s cliche, but the best part about insurance is the relationships you develop with your clients. You get to know about your clients’ business, their kids, their family, and potentially help them in a time of need. The clients you serve are your family, your friends, and your community and helping them in a time of need is hard to put a price on.

EWA SCHWIER

Arachas Group, LLC Bartlett, IL

Why did you choose to pursue a career in insurance?

I have a teaching degree and after working with kids for a while I needed a change and by choosing insurance, I was able to apply all my skills into a new career.

What obstacles did you face when you first started, and how did you overcome them?

It was not easy to sell at the beginning; I knew very little about insurance when I first started. Learning from books wasn’t enough. The theory not only had to be applied to practice, but you also had to learn about the industry you are in, the industry you are insuring, the markets and finally networking with other professionals helped a lot too.

What’s something people should know about your generation in the workplace?

Strong work ethic and quick adaptation to changes.

How has this industry impacted your life?

I have gained a lot of knowledge in all different fields and have met a lot of interesting people.

CARTER TAPHORN

Arlington/Roe

Indianapolis, IN

Why did you choose to pursue a career in insurance?

My dad and brother were already in the industry and it has been good to us. The relationships that my dad developed through his work over the years is admirable, so I always had an open mind about going into the industry. I pursued a degree in sales at Illinois State University. Shortly after graduating, a great opportunity came along to further develop my sales skills and become more educated on insurance in a full-time role.

What obstacles did you face when you first started, and how did you overcome them?

Everyone’s beginnings in the industry can be so unique and mine was interesting because I started with a wholesaler during a hard market. Comprehension of the need for a wholesaler throughout this time was difficult and figuring out the how and why. With the help of my peers and management, I was able to understand quickly so I could assist in educating our agency partners on the state of the marketplace, and when to come to us for solutions. There are so many resources around you and people that are willing to help. It is important to capitalize on those learning opportunities.

What’s something people should know about your generation in the workplace?

Speed and convenience is everything. Whether it is the insured, agents, or any other insurance company professional, if people want something, they want it now and always look for the ease of doing business. There have always been innovators with each generation, but it has become so much easier to discover faster and easier processes by users than ever before. Customer experience is incredibly valuable.

How has this industry impacted your life?

As I mentioned with some family members in the industry, insurance has been a very influential part of my life and even with only being employed for over two years now. I’ve noticed throughout my career working full-time, I spend more time doing the job, than not. From an outside perspective this doesn’t sound enjoyable, but I have been able to find a great work-life balance thanks to the people around me. Many professionals tell me at industry events how great insurance is and how it is so huge, but can feel small sometimes. The connections and meaningful relationships that I have developed backs up that statement.

FOLLOW THESE BASICS TO ENSURE SALES SUCCESS

By John Chapin

John Wooden, perhaps the best college basketball coach ever, used to start each season by showing players how to properly put on their socks and sneakers as a mistake here could ‘domino-effect’ its way all the way to lost games. Vince Lombardi, the great Green Bay Packers coach, once said that football basically comes down to two things: blocking on offense and tackling on defense, and those great Packer teams spent 80% of their time practicing those two basics. Red Auerbach, who coached the Boston Celtics to eight consecutive championships, is known for having players practice basic shots like layups and free-throws over and over and over again. Wooden, Lombardi, Auerbach, and all other great coaches have always known that mastery of the basics was the best way to ensure success. The best teams, companies, and individuals in any field of endeavor have always been really good at the basics. Selling is no exception to this. Here are basics to get great at if you want to be great in sales.

The 5 Basics to Sales Success

Basic #1: Plan your work and work your plan. You have to start every day with a plan. To come up with your daily plan, start with your annual sales goal and work backwards. Based upon the size of your average sale, how many sales do you have to make to hit your annual goal? Based upon your closing percentage, how many proposals do you need to present to get that number of sales? Based upon your prospects to proposals ratio, how many prospects do you need to present that number of proposals? Finally, how many contacts, initial and follow-up, are necessary to get that number of prospects? Now break these down to annual, monthly, weekly, and finally, daily goals. Once you have those

goals, formulate a plan to make them happen. Finally, execute the plan. Once this plan is developed, you need grit and determination to stick to it daily. Evaluate where you are at the end of each day and adjust where necessary.

Note: Your primary objective is to hit these goals, your secondary objective should be to exceed these goals.

Basic #2: Spend more time on your most important tasks. The three activities you should be spending the majority of your time on during the workday are: prospecting, presenting, and closing. That’s it. Everything else should be delegated or done during off-hours. Now I realize the world isn’t perfect and things will come up that you need to handle. At the same time, if you’re focused on these three activities and adamant that you will do as much of them during the workday, avoiding procrastination and other time wasters, you’ll find it will do wonders for your business.

Remember: sales IS a numbers game. Yes, relationships and quality are important but to have the relationships and the quality you first have to be talking to lots of people. It’s simple, the more people you talk to, the more business you will do. As an expert networker once said, “If you get your face out there enough, you’ll eventually run into someone who needs you or knows someone who needs you. Even a broken clock is right twice a day.”

Note: Put a large sign in your work area, and also place one in your car if your outside sales, that says, “Am I doing my most important sales activities right now?” If you’re on your way to the gym at 5 a.m. and the answer is ‘no’, that’s fine, but if it’s Wednesday at 10 a.m. and you’re sitting in your office cleaning your desk, that’s a problem.

Basic #3: Get back to personal communication and build relationships.

Today we have a plethora of technological devices at our disposal and there can be a tendency to use them too much. In-person communication has been replaced by e-mails, text messages, video conferencing, and sometimes, little or no communication at all. Focus on making more in-person visits to customers to say “hello”, drop off the proposal instead of mailing or e-mailing it, and follow up in-person instead of trading voice messages, texts, or e-mails. Also, send handwritten thank-you notes, birthday cards, holiday cards, and anniversary cards on the anniversary date of the day you started doing business with someone. Your objective is to have more personal contact at a time when your competitors are calling less and being less personal.

At the end of the day, it’s all about people and relationships. You have to connect with people on a personal level, stay in communication, and continue to build the relationship.

Basic #4: Get better at selling.

The better you are at selling, the more efficiently and effectively you’ll work, your life will also be easier and more enjoyable. The fastest way to get better at selling is to one: make sales a study, and two: do what the top salespeople do.

Become a student of selling, be a sponge, read, listen to, and watch anything you can on the subject of selling in the form of books, audios, videos, classes, courses and the like. Next, find the top salespeople in your company, your industry, and in other industries. Call them on the phone, e-mail them, or otherwise get in touch with them and ask them what makes them successful. It’s simple, success leaves clues. You don’t want to reinvent the wheel and you don’t have to, simply find

out what makes the top salespeople the top salespeople and do what they do and you will get the same results. If they have books, audios, or other programs, invest in them and go through them thoroughly.

Note: The two most effective ways to increase sales are one: making more prospecting calls, and two: getting better at selling.

Basic #5: Work smart and hard.

The first four basics above are all great ways to work smarter. Some other ways to work smart: look for ways to work more effectively and efficiently; organize your workplace, put systems and processes in place, and learn to manage your time well.

In addition to working smart, hard work will add to your success. The most successful people in any field are the hardest workers. Hard work is particularly important in the beginning of your sales career and in tough times. At these times, you may have to make more calls and work more hours to make up for inexperience or to overcome the obstacles created by a tough economy or other industry disruption. Hard work also comes into play regarding your attitude, motivation, and in simply getting done what needs to get done when it needs to get done. Hard work makes up for a lot of mistakes and will bail you out of almost anything. If you’re willing to work extremely hard and you combine that with working smart, you’ll have a combination that’s tough to beat and your sales success will be all but guaranteed.

John Chapin is a motivational sales speaker, coach, and trainer and can be contacted at johnchapin@completeselling.com.

We

Upfront loss control measures

Responsive claims handling

Facilitation of quality medical care (when an accident does occur)

We’ve been successfully protecting our policyholders and their employees since 1983.

Thank you to our Associate Members.

Platinum Level

Progressive Surplus Line Association of Illinois

Silver Level

IMT Insurance

Gold Level

Arlington/Roe

Blue Cross/Blue Shield of IL

Pekin Insurance

Keystone Insurance Group, Inc.

SECURA Insurance

Bronze Level

A. J. Wayne & Associates

AAA, The Auto Club Group

AMERISAFE

AmTrust Insurance

Amwins

Auto-Owners Insurance Co.

Berkley Aspire

Berkley Management Protection

Berkley Small Business Solutions

Berkshire Hathaway GUARD Insurance Companies

BluSky Restoration Contractors, LLC

BriteCo Jewelry & Watch Insurance

Central Illinois Mutual Insurance Company

Chubb

Columbia Insurance Group

Cornerstone National Insurance Company

Cowbell Cyber

Donald Gaddis Company, Inc.

Donegal Insurance Group

EMC Insurance

Encova Insurance

Erie Insurance Group

Foremost Choice Property & Casualty

Forreston Mutual Insurance Company

Frankenmuth Insurance

Grinnell Mutual Reinsurance Company

IA Valuations

Illinois Mine Subsidence Ins Fund

Illinois Public Risk Fund

Independent Mutual Fire Insurance Company

Indiana Farmers Insurance

Insurance Program Managers Group (IPMG)

J M Wilson

Liberty Mutual/Safeco Insurance

Madison Mutual Insurance Company

Main Street America Insurance

Maximum Independent Brokerage, LLC

Mercury Insurance Group

Method Workers Comp

Midwest Insurance Company

Nationwide

NHRMA Mutual Workers’ Compensation

Pinnacle Minds, Inc.

Previsor Insurance & Missouri Employers Mutual

Rhodian Group

Rockford Mutual Ins. Co.

ServiceMaster DSI

Society Insurance

SPRISKA - Specialty Risk of America

Steadily

Summit, A Member of the Great American Insurance Group

Travelers

UFG Insurance

Universal Property & Casualty

W. A. Schickedanz Agency, Inc./Interstate Risk Placement

West Bend Insurance Company

Western National Insurance

Westfield

Member-Led Illinois State University Team Places First in College Competition

Congratulations to the Illinois State University team for placing first in Selective’s College Competition, which kicked off January 18, 2024. During the five-week, online competition, teams from seven top colleges with insurance programs competed in a business simulation where they functioned as the management team running an insurance agency.

Big I Illinois members Geroge Daly, Division President & Shareholder, and Tricia Pucek, CFO, both of The Horton Group, mentored the seven-student team from ISU and The Katie School.

In Memoriam

Alan K. Nowacki passed away on February 20, 2024. Alan was born in Chicago October 10, 1940 to Albert and Estelle Nowacki. They later moved from Chicago to Oak Lawn. There he met the girl next door, fell in love, and married Nancy in 1960. They were inseparable from that moment on. After they married, Alan and Nancy moved to Wheaton and started their family. In 1967, he moved his family to Joliet to begin his new career.

Alan started his insurance career selling life insurance for John Hancock. In 1969, he proudly opened Nowacki Insurance Agency. Alan and Nancy worked side by side for many years. Alan worked until his untimely death. He and Nancy volunteered together for numerous charities and organizations. Alan was an active member of Will County

Children’s Advocacy Center and Exchange Club of Joliet. He enjoyed talking to people and helping them with their insurance needs. Alan was very friendly, outgoing and loved all social events. Alan could talk to anyone which contributed to his successful business. Alan and Nancy enjoyed camping with family and friends, vacations and spending time at their lake home. They enjoyed life’s pleasures and shared many laughs together.

Alan lost the love of his life Nancy on May 21, 2023. He is survived by his daughters Deanna Stewart, Caryn (Steven) Nowacki-Reed, Susan (Michael) Miller, eleven grandchildren and eight great-grandchildren.

Big I Illinois staff and board members extend their sincere condolences to Alan’s family and friends.

ILLINOIS

Members Present During NAMIC Conference

Three Big I Illinois Members participated in panel discussions during NAMIC’s Commercial and Personal Lines Seminar in Chicago in early March:

Brian Hawkins (The Cornerstone Agency)

Noele Tatlock (Unland Insurance & Benefits)

Career Fair

Jennifer Jacobs, HR Director for the association, attended the Illinois State University Sales School Career Fair in March, along with a representative from Snyder Insurance.

Contact Jennifer (jjacobs@ilbigi.org) to find out how your agency can get involved in promoting careers in insurance.

Ray Roentz (Heneghan, White, Cutting, & Roentz Insurance Agency)

Lori Mahorney, Big I Illinois Membership Director, also attended the event.

Quarterly Big I Illinois Board Meeting

Big I Illinois Board of Directors met in Springfield in March. In addition to Board reports, a financial presentation was given by the association’s accounting firm.

Thanks to Cindy Jackman, Secretary/Treasurer, for providing the Board with solar viewing glasses!

IAAE/IIABA Collaboration Meeting

Phil Lackman, Big I Illinois CEO, traveled to Alexandria, VA to meet with our national association, IIABA, as well as with state association leaders from 18 other states.

Topics of conversation included Trusted Choice, agency technology & Catalyit, market access, current hard market conditions and so much more.

Left to Right: Brian Hawkins, Ray Roentz, Lori Mahorney, Noele Tatlock

Phil with Matt Banaszynski, Wisconsin Association

AGENCY WANTED

20. Since 2004, Central Illinois Agents Group LLC has been providing independent agents with a variety of markets with contingency opportunities. Agents have availability to several markets that they may not be able to sustain or maintain on their own. We have markets for personal, commercial, agricultural and crop insurance lines. Let us help you get to the next level.

Visit www.ciagonline.com for contact information.

LOOKING FOR AN EXIT STRATEGY?

23. Are you looking for an exit strategy while still continuing to produce for a few years or are you ready to sell now? Paczolt Insurance would like to talk with you! We are an independent agency dating back to the 1970s that is located in the western suburbs. Our focus is on mid-to-small commercial accounts and personal lines. Our companies include EMC, Badger Mutual, Safeco, Progressive, and Travelers. We have the flexibility and capital to get a deal done. Contact:

Susan Troppito

Paczolt Insurance

susan@piaigroup.com

(708) 215-5202

AGENCY/AGENTS/PRODUCERS WANTED

02. Forest Park/Oak Park agency for over 60 years, will meet your needs by providing space, markets, marketing & sales support, automation, merging with or purchasing your agency. Perpetuation/ Succession Plans, Buy-Sell Agreements also available. We have experienced, educated and dedicated staff for you and your clients. Have access to our numerous companies, office services and many other resources. Retain ownership in your book with contingency. Please look closely at us- we are an agency you want to do business with! We’ve done it before, we know howwe make it easy! Visit our website at forestagency.com/ agents.html, or call for a confidential discussion and a list of Agency benefits.

Dan Browne will provide an agency evaluation/ appraisal at little cost to you. Please call:

Dan Browne or Cathy Hall Forest Insurance

(708) 383-9000

www.forestinsured.com/mergers-acquisitions

OPPORTUNITIES/SPACE AVAILABLE/ RETAIN OWNERSHIP

13. We are a 100 year old Northbrook agency looking to discuss any mutually beneficial opportunity. Our producers, mergers, clusters and agency purchases receive 50% commissions on new and renewal business without any expenses. We can provide: office space, phones, agency management system, service renewals and changes. The companies we represent are: Badger Mutual, Employers Mutual, General Casualty, Guide One, Hartford, Kemper, Progressive, Rockford Mutual, Safeco, State Auto, Travelers and Met Life. Contact:

Nancy Solomon

Martini, Miller & Schloss, Inc.

(847) 291-1313

Ron@martini-miller.com

Risk is everywhere. In everything. With Applied Underwriters by your side, the gears of commerce, innovation, and exploration keep turning. Experience the unrivaled heart and unwavering service that only Applied delivers.

Learn more at auw.com or call (877) 234-4450.