August 2015 WI Independent Agent

wisconsin

INDEPENDENT AGENT AUGUST 2015

EDUCATING CONSUMERS. POWERING INDEPENDENTS. Trusted Choice .com CONNECT WITH YOUR CUSTOMERS, PAGE 5

At West Bend, we’re proud of our broad base of knowledge when it comes to commercial risks. Over the years, however, we’ve developed extensive expertise of certain risks and the skills needed to underwrite them.

That’s why we’re more competitive in writing these classes.

Like woodworking.

If you have a woodworking risk, contact your West Bend underwriter. We look forward to sharing our expertise with you, and providing the best coverages necessary to protect your valued customers.

wisconsin

INDEPENDENT AGENT AUGUST 2015 Eric Schwartz, Editor

Open Door Policy TrustedChoice.com: Connect With Your Customers . . . . . . . . . . . . . . . . . . . . 5 Wisconsin Insurance Plan Your Wisconsin Insurance Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Sales Give Your Producers an Unfair Advantage . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

On The Cover…

Government Affairs Battle Over State Budget Concludes; Governor Signs Budget Bill . . . . . . . .11

Consumers research everything online

Marketing 8 Ways Every Agency Needs to Leverage Video . . . . . . . . . . . . . . . . . . . . . . 16 Technology What Is Your Cloud Computing Strategy? . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Virtual University What Happens to the Public When Consumers Buy Cheap Auto Policies? . 20 Errors & Omissions It’s Your Money: Take Advantage of Deductible Reduction . . . . . . . . . . . . . 21 Commentary From Counsel SCOTUS Legalizes Same-Sex Marriage Nationwide . . . . . . . . . . . . . . . . . . . 24 Members in the News . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26

including insurance services. With TrustedChoice.com, customers have a place to find you and your agency. It’s the gateway for independent agents to connect with customers. To learn more about adding your agency’s profile to TrustedChoice.com, please read Matt Banaszynski’s article on page 5 and go to agents.trustedchoice.com.

2015 Sales & Leadership Conference . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 Independent Insurance Agents of Wisconsin 725 John Nolen Drive, Madison, Wisconsin 53713 Phone: (608) 256-4429 or (800) 362-7441 ■ Fax: (608) 256-0170 ■ Web: www.iiaw.com Executive Vice President - Matt Banaszynski 2014-2015 Executive Committee President.................................................... John Wickhem P.O. Box 1500, Janesville, 53547-15 President-elect ................................................ Steve Leitch P.O. Box 85, River Falls, WI 54022 Secretary-Treasurer ....................................... Matt Weimer 100 North Corporate Drive #100, Brookfield, WI 53045 Chairman of the Board ................................ Dave Dunker P.O. Box 443, Brookfield, WI 53008-0443 State National Director ................................ Linda Steiner 555 Main Street #320, Racine, WI 53403 2014-2015 Board of Directors Mike Ansay 101 East Grand Ave. #11, Port Washington, WI 53704 Mark Behrens 555 Main Street #320, Racine, WI 53403 Jason Bott 330 East Kilbourn Avenue, Milwaukee, WI 53202 Gerald Couri 379 West Main Street, Waukesha, WI 53186 Mike Farrell 1300 S. Green Bay Rd., Racine, WI 53406 Chris Hanson 5601 Grande Market Drive, Appleton, WI 54913 Lise Meyer Kobussen P.O. Box 633, Sauk City, WI 53583 Brian McClone 505 North Westfield Street, Oshkosh, WI 54902 WISCONSIN INDEPENDENT AGENT

Jeff Rasmussen 525 Junction Road, Madison, WI 53717 Michael Walston P.O. Box 236, Kewaunee, WI 54216-0236 Darrel Zaleski 4233 Southtowne Drive, Eau Claire, WI 54701 2014-2015 Committee Chairs

> ADVERTISERS & INFORMATION AAA Wisconsin ................................................ 30 ACUITY Insurance ............................................ 31 AmTrust North America ...................................10 Applied Underwriters ........................Back Cover Arlington/Roe .................................................. 6

Agency Operations....................................... Kim Dandrea 1300 South Green Bay Rd. #100, Racine, WI 53406

Axley Brynelson .............................................. 17

Automation/Technology ............... Cathleen Christensen P.O. Box 949, Fond du Lac, WI 54936-0949

Badger Mutual ................................................. 13

Emerging Leaders ...................................... Janelle Higgins 6200 Mineral Point Road, Madison, WI 53705-4504 Employee Benefits............................................. Tim Bever 555 Main St. #320, Racine, WI 53403 Finance & Compensation ............................ Matt Weimer 100 North Corporate Drive #100, Brookfield, WI 53045 Government Affairs .......................................Skip Hansen 100 North Corporate Drive #100 Brookfield, WI 53045 Industry Relations ....................................... Kevin Murray 525 Junction Road, Madison, WI 53717 Marketing & Membership Development ........... Jeff Thiel P.O. Box 1610, Waukesha, WI 53187-1610 Smaller Agencies .................................... Michael Walston P.O. Box 236, Kewaunee, WI 54216-0236 Technical ................................................... Mark Truyman P.O. Box 6 , Seymour, WI 54165

Burns & Wilcox ................................................ 12 EMC Insurance................................................. 15 Guard Insurance .............................................. 19 IIAW Continuing Education ............................. 22 InVEST ............................................................. 21 Partners Mutual ............................................. 27 Pekin Insurance.............................................. 25 Robertson Ryan............................................... 14 The IMT Group ................................................ 23 West Bend ........................................................ 2 Western National............................................. 4 AUGUST 2015 | 3

4 | NOVEMBER 2014

WISCONSIN INDEPENDENT AGENT

OPEN DOOR POLICY

TRUSTEDCHOICE.COM: CONNECT WITH YOUR CUSTOMERS Now more than ever, consumers find local businesses online.

A 2014 survey by BrightLocal, a provider of SEO tools for local businesses, found that 88% of shoppers “read reviews to determine the quality of a local business” and nearly 40% read reviews regularly. Both of those percentages are up from 2013 and, when the 2015 surveys are analyzed, those percentages will be even greater.

The consumers’ ongoing and growing trust of online reviews – and online services in general – emphasizes the importance for local businesses – including independent agents – “to…actively manage their online reputation.”

Web traffic has definitely surged. In June 2014, the website received 184,000 visitors. In June 2015, that number reached 237,000, an increase of 53,000 visitors.

In order to do this, agents have to have an online presence. Consumers must be able to find you wherever they are with their phone, tablet or laptop. Once they find you, your superior customer service wins them over.

“Independent agents provide the type of customer service, education, and risk management that direct response writers and online insurance stores cannot match,” says Madelyn Flannagan, IIABA Vice President of Education & Research.

That’s the truth. Study after study shows that consumers prefer to buy insurance from independents. Personal auto sales are proof of this. Direct writers spend a fortune on advertising in this segment but independents continue to grow premiums and maintain consistent market share.

Fortunately, we have a system in place for consumers to find you.

TrustedChoice.com is the gateway for independent agents and their carriers to connect with customers. With the Freedom advertising campaign, the IIAW’s radio spots through the Packers Radio Network, and other marketing tools to help raise awareness, more and more people are finding their way to TrustedChoice.com.

Web traffic has definitely surged. In June 2014, the website received 184,000 visitors.

In June 2015, that number reached 237,000, an increase of 53,000 visitors. With consumer awareness of TrustedChoice.com on the rise, agents are reaping the benefits.

“We have received two leads so far from TrustedChoice.com,” said Steve Leitch, principal at Leitch Insurance Agency in River Falls and IIAW President-elect. “The second one was a big rig owner operator that I think we’re going to be able to help. The whole TrustedChoice.com initiative is just one more effort to raise our visibility to consumers and we all can use that. It’s an unbeatable value.

We’re headed in the right direction.”

(By the way, when a prospect selects an agency on TrustedChoice.com, the consumer’s information is forwarded directly to the agency so the agency can contact them and complete the transaction.)

Helping to build on that momentum are the 60 company partners that support TrustedChoice. com. In Wisconsin, personal lines carriers include Austin Mutual, Travelers, Wilson Mutual, Safeco, Selective and State Auto.

Wilson is also a commercial carrier along with Liberty Mutual and Westfield Insurance.

Having these well-respected and prominent Wisconsin carriers on-board reinforces the tremendous success TrustedChoice.com is having in delivering more business to IIAW agents across the state.

For more information about carrier partnerships, please contact Vinnie Savarese, VP of Carrier Relations, at 860.673.1310, vincent.savarese@ trustedchoice. com, or visit agencynation.com/ partnership.

For more information about what TrustedChoice. com can do for your agency, call 855.372.0070, or visit agencynation. com/advantage.

> Matt Banaszynski is the Executive Vice President of the Independent Insurance Agents of Wisconsin.

Contact him at matt@ iiaw.com.

Trusted Choice .com WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 5

IT’S THE RIGHT THING TO DO. Arlington/Roe. You have our word on it. “Whether you choose Arlington/Roe for our breadth of knowledge, product line diversity, market access or industry know-how, you may be assured we are in business primarily to serve you. We will do our best to earn and keep your trust. You have our word on it.� – James A. Roe, CPCU, ASLI, President

800.878.9891

•

ArlingtonRoe.com

Aviation | Bonds | Brokerage | Commercial Lines | Farm | Medical Professional | Personal Lines | Professional Liability | Transportation | Workers’ Compensation

WISCONSIN INSURANCE PLAN

YOUR WISCONSIN INSURANCE PLAN The Wisconsin Insurance Plan (WIP or the Plan) is a valuable tool for independent insurance agents and their clients to fill the gap when property insurance is unavailable through other sources. All licensed property agents and CSRs should become familiar with WIP to assist their clients in the application process.

The WIP is Wisconsin’s FAIR Plan or residual property insurer. The Plan was created to provide basic property insurance on certain properties rejected for coverage by other insurers. The Plan has underwriting standards and is not required to insure all properties that apply for coverage. However, these standards may be less restrictive than those of the insurer(s) you represent. It is worthwhile to take the time to review the Plan’s new website and become familiar with it.

The Plan is designed not to be a permanent market for insurance, but to fill the gap when coverage is required but unavailable because of underwriting standards.

Items of interest include: D Properties must meet reasonable underwriting standards including satisfactory housekeeping and maintenance. In other words, it is not a dumping ground for bad properties, but a tool for consumers and agents to use in the event a marginal risk is unacceptable to standard markets.

D All properties are surveyed to confirm that reasonable underwriting standards are met.

Coverage can be denied, delayed or cancelled WISCONSIN INDEPENDENT AGENT

in the event that risk factors are unacceptable.

Such standards may include gross safety violations or property that is damaged or deteriorated to a great degree.

D The Plan may exclude unacceptable hazards.

Limited liability coverage and personal property theft coverage are also available.

The premiums for coverage are set by the Plan governing committee and are set to provide fair access to coverage. The goal of the plan is not to operate at an underwriting profit or loss but to provide coverage for citizens.

When, in order to compete solely on price, insurers strip down coverages to a bare minimum, the general public is placed in position of much greater risk of being injured or damaged by inadequately insured drivers.

D WIP is not an insurance company but an association created by Wisconsin Administrative Code 4.10 to make basic homeowners and property coverage available to citizens.

D All agents are required by Administrative Code 4.10 to assist applicants when applying for coverage with the WIP. Coverage is available under the Plan for limits up to $200,000 for dwellings and homes and commercial properties up to $500,000.

Losses are paid from the Plan’s operating funds and any deficit is assessed to insurance companies doing business in Wisconsin.

The website (wisinsplan.com) has more information about the Plan and you are able to get a quote, application forms and the latest news. A new brochure and product coverage form is available regarding your Wisconsin Insurance Plan products.

For more information, please visit wispinsplan.com.

AUGUST 2015 | 7

SALES

SIX SALES TOOLS THAT WILL GIVE YOUR PRODUCERS AN UNFAIR ADVANTAGE Do you want the inside scoop on the sales tools that are helping professionals in the insurance industry be more productive, build deeper relationships, and close more deals every day?

Then you’ve come to the right place.

Let’s dive in.

SALES TOOL #1: Email–The Old Faithful Sales Machine Say what? Yes, you read that correctly. Email is (still) one of the top sales tools professionals use every day. But I’m not talking about your run-of-the-mill email system. No, I’m talking about email on steroids: Google Apps.

Why Should I Care About Google Apps Email?

Google Apps is a suite of cloud-based software that includes the Gmail-based email client.

(You know, the world’s second most popular email client.)

So, what’s the magic behind Google Apps email? It’s the add-on tools (usually browser extensions) available in the Google Apps Marketplace that set Gmail apart from the competition.

How often do you send a proposal via email?

How frequently do you reach out to “lost prospects” by email, or follow up on a closed deal? Would you like to know if your emails are getting opened and making an impact?

Would you like to create email templates and give your producers a set of best practices for follow up or appointment setting?

Google Apps can help.

The Gift That Keeps on Giving

marketing channels, consistently producing a meaningful return on investment. That should be no surprise, as email marketing creates a one-to-one connection with your clients and prospects, allowing you to send a personalized message in a matter of seconds. And with more and more people viewing email on their mobile phones, email marketing will continue to be effective for the foreseeable future.

Crystal takes a unique approach with their sales intelligence add-on. The screen shot on next page depicts Crystal telling me exactly how I should communicate with Katie, including sample language to use and phrases to avoid. You can also see the Rapportive add-on that pulls in Katie’s LinkedIn profile— giving me information I can use in our conversation.

Email Tools You Can Use Right Now

SALES TOOL #2: Strike While the Iron is Hot with Electronic Signatures

Tools like Yesware and Tout can help you scale your sales process, understand what happens after you click “send,” and provide clarity and structure for new producers (I’ll provide a list of resources at the end of this article that you can use to improve your email marketing communications). For instance, Yesware can tell you when folks open your emails, how many times they’ve opened them, and even geographic information about the recipient.

Over time, this data can be used to fine-tune your email correspondence, proceduralize (and scale) your sales process, and inform you of your overall sales activities.

Understand Your Prospect to Fine-Tune Your Pitch Other Google Apps add-ons like Crystal and Rapportive can give you detailed information about a prospect or customer and tell you the best way to communicate with them. Good salespeople can use this information to finetune their pitch, improve the effectiveness of their communication, and better understand potential customers.

What percentage of your deals are closed on the phone versus email or face-to-face? If your agency is like hundreds of agency owners I’ve spoken with, you probably do a lot of business over the phone and via email. And that’s OK. People are busy and they prefer to do business their way.

One great tool to reduce the time it takes to close a deal is electronic signatures. Electronic signatures allow your prospects to sign and download documents right from the comfort of their home or office–and they save you the time and money wasted on copying, mailing (or faxing), and receiving policy docs from your clients. This is a big bonus if your agency is “paperless”—you never have to print policy documents, just store them in your digital filing cabinet.

Does your agency use digital signatures at the point of sale and when conducting business by phone or email?

Email is one of the most effective online

8 | AUGUST 2015

WISCONSIN INDEPENDENT AGENT

SALES SALES TOOL #3: Competition Breeds Success

SALES TOOL #4: Local Presence

SALES TOOL #6: Position Yourself as a Trusted Expert

Gamification is a buzzword that’s been tossed around technology circles for years. The idea is that you can utilize game design and mechanics to engage and motivate people to achieve their goals. If you’ve developed a sales culture at your agency, you know that if you challenge and reward folks for certain behaviors, they’ll tend to repeat those behaviors. Game design takes this one step further by building in hooks and rewards that influence people to perform the actions that create results—like disciplined prospecting and follow up.

If you’re doing outbound phone prospecting, local presence should be at the top of your “must have” technology list.

Your website could be one of your best marketing assets—if you’d only use it. Here’s a quick tip that you can implement this week to help overcome objections, address concerns, and demonstrate value during the sales process…

Most agencies have some form of old-school gamification at their offices—a leaderboard in the break room or an Eincentivxcel spreadsheet with monthly results. But some CRM and sales management systems take gamification to new levels, allowing sales managers to incentivize top-of-the-funnel sales activities that are known to lead to better results.

Take InsideSales.com, one of the leading sales acceleration platforms. Inside Sales features a gamification feature called PowerStandings™ that creates a digital leaderboard, badges, and a reward system that motivates sales people and creates a competitive (and fun) sales culture.

Are you still using an old-school leaderboard stuffed into the back corner of your office? Or have you adopted the latest technology that’s proven to increase performance?

The idea is simple—if you’re calling outside of your local area code, a dialer with local presence will automatically call from your target’s area code—increasing connection rates, conversation durations, and ultimately improving sales. Many lead management systems and CRMs include local presence dialers.

SALES TOOL #5: Get Personal with Video This is a little known trick that can help you connect on a deeper level with your clients and prospects. I’ve met agents that have great success selling and retaining clients by integrating video chat like Google Hangouts, Skype or FaceTime.

When your prospects see you, they’re more likely to engage with you at a deep level.

This positions you as the trusted expert you really are, and differentiates you from the folks manning the call centers at the faceless corporations you compete with. Your customers and prospects don’t mind talking to a real live human either.

Other agents use video messages in their email communication, monthly newsletters, or record a quick 20-second summary when emailing a quote. It’s a great way to set yourself apart and become more approachable and trustworthy.

If you want to use video at scale, check out the Switch Merge platform, which allows you to integrate personalized video into bulk email campaigns.

Take the most frequent 5-10 questions you get about your top selling products or services, and just start writing.

The next time a prospect asks you a question like, “Why is the coverage on my home so high—it’s not even worth that much!” you can answer their question and provide a reference to an article you’ve written on your agency’s website.

Every time a prospect asks a question, it’s an opportunity to set yourself apart from the pack. Using the example above, you could explain the differences between actual cash value and replacement cost, then mention that you’ve written an article on this very subject and include it in a follow up email.

Now you’re the trusted expert—not the call center salesman.

Want to take this a bit further? Create a content calendar and syndicate your producer’s writing to LinkedIn, Facebook, your email list, etc. Don’t let that content go to waste! By developing your producer’s reputation as “the insurance guy/girl,” you’ll improve their credibility, amplify their lead flow, and make prospects feel more comfortable.

Resources Mentioned In this Article: > Conspire > Crystal Knows > Boomerang > Calendy > Yesware > Boomerang > Switch Merge > Rapportive > Inside Sales > Google Hangouts > KJ Prince is a former insurance agent, web developer and founder of Insurance Engine™. He’s interested in technology, marketing, and fly fishing.

WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 9

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GOVERNMENT AFFAIRS

BATTLE OVER STATE BUDGET CONCLUDES; GOVERNOR SIGNS BUDGET BILL

After a month long standoff and some tense negotiations between the leadership in both houses of the Legislature, Governor Walker was finally sent a budget bill that he quickly signed into law. The newly enacted 2015-17 state budget does not increase overall taxes, provides additional property tax relief, freezes tuition at UW campuses, and has the lowest level of bonding of any state budget for the past 20 years.

Walker used his veto pen to issue 104 vetoes and several of them, as well as other items approved in the overall budget bill, have an impact on the insurance industry.

of entities that can write medical malpractice insurance for participants in the Injured

Overall, Wisconsin’s two-year $73 billion spending plan generally maintains the status quo for the industry with a few exceptions. After a quick review of the budget bill and Governor’s veto message, here is a brief summary of individual items of interest to the IIAW:

Retains Local Government Property Insurance Fund (LGPIF) Closure of the $50 billion LGPIF was a top legislative priority for the IIAW and the Governor agreed with our view that the private sector is most qualified to write and manage these risks. Unfortunately, the Republican-controlled State Senate, in a last-minute omnibus budget amendment, deleted the Governor’s budget provision to close the state-run Local Government Property Insurance Fund (LGPIF). The Governor’s proposal would have ceased any new policies to the fund beginning on July 1, 2015, and renewal of existing policies on January 1, 2016. While this outcome is a major disappointment and a shortsighted policy decision, the IIAW will continue to advocate for a private market solution. In light of the fund’s current financial condition and undercapitalization, significant rate increases for LGPIF policyholders are anticipated now and into the future. With or without the fund closure, the private market should be able to compete and hopefully surpass LGPIF on pricing for school and municipal property insurance coverage.

Authorization for Out-of-State Risk Retention Groups to Sell Medical Liability Insurance in Wisconsin The IIAW opposed inclusion of this nonbudgetary, policy item that expands the scope WISCONSIN INDEPENDENT AGENT

Patients and Families Compensation Fund (IPFCF). This language was included in the budget in a last minute omnibus amendment.

The IPFCF Board of Governors, heavily made up of medical providers and health insurers, also publicly opposed this measure. The IIAW believes this expansion to be unwarranted and potentially harmful to health care providers and consumers. Wisconsin already has a viable private medical malpractice insurance market with approximately 25 insurers and self-insured providers that offer coverage with oversight by the Office of the Commissioner of Insurance (OCI). This provision changes current law by specifying that a foreign, out-of-state Risk Retention Group (RRG) may now be authorized to sell health care liability insurance if the RRG is approved by the Insurance Commissioner and has a risk-based capital ratio of at least 300 percent as determined under the risk-based capital instructions adopted by the NAIC. Risk Retention Groups are a creature of federal law and regulated by state of domicile, so it remains unclear whether or not the OCI has any authority to approve of a foreign RRG that seeks to provide health care liability coverage in Wisconsin.

by the Joint Finance Committee that had approved language expanding the types of financial products and services a payday lending company could provide to include: a) the sale of insurance, annuities, and related products; and b) any financial or consumer finance services subject to regulation by statute or rule. Public scrutiny and criticism of this provision was substantial following its inclusion into the state budget bill. The Governor vetoed this provision because he felt the language and authority provided to payday lenders was “overly broad and exceeded that of other financial institutions.”

He appropriately suggested in his veto message that public policy changes of this sweeping magnitude should be addressed as separate legislation where the implications to consumers can be more carefully scrutinized by legislators. Thanks to our insurance industry partners, the Wisconsin Council of Life Insurers (WCLI) and Wisconsin Insurance Alliance (WIA), for advocating in support of a gubernatorial veto of this section.

Transfer of Worker’s Compensation Division Functions The Governor’s budget that was introduced in February proposed transferring the regulatory and administrative functions of the Worker’s Compensation Division from the Department of Workforce Development (DWD) to the Office of the Commissioner of Insurance (OCI).

Walker also proposed transferring most of the WC administrative law judge functions (ALJs) to the Department of Administration (DOA) Division of Hearings and Appeals (DHA).

Expand Payday Lender Authority The Governor fortunately vetoed action

CONTINUED ON PAGE 13

> Misha Lee is Owner/ Founder of Lee Government Relations, LLC and lobbyist for IIAW. Follow Lee Government Relations on Twitter @mishavlee.

AUGUST 2015 | 11

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GOVERNMENT AFFAIRS

CONTINUED FROM PAGE 11

BATTLE OVER STATE BUDGET CONCLUDES; GOVERNOR SIGNS BUDGET BILL The legislature’s Joint Finance Committee deleted the transfer of the WC Division, but the committee approved transferring most of the ALJs from DWD to DHA. The transfer of the adjudicative functions seek to realize greater efficiencies due to the ability to cross-train staff and to utilize a larger pool of administrative law judges to manage unexpected increases in contested case

The newly enacted 2015-17 state budget does not increase overall taxes, provides additional property tax relief, freezes tuition at UW campuses, and has the lowest level of bonding of any state budget for the past 20 years.

coverage, access and reimbursement. The provision also specified the criteria that must be included in the administrative rules and required the OCI to promulgate emergency rules for the period before the effective date of permanent rules without being required to provide evidence that an emergency rule is necessary for the preservation of public peace, health, safety or welfare, or being required to provide a finding of emergency. Fortunately, Governor Walker realized the unnecessary and confusing nature of the law change and vetoed this provision.

Health Insurance for Protective Service Employee The Joint Finance Committee included language in an omnibus budget amendment that requires that, if a first class city offers health care insurance to employees who are police officers, fire fighters or emergency medical technicians, the city must also offer to those employees a high-deductible health plan that has identical design features to the plan offered to state employees. Governor Walker partially vetoed this language because he felt that “the city of Milwaukee should be able to

choose the specific design features of its highdeductible plan to best suit its overall benefit structure rather than being required to use the design of the state’s high-deductible plan.”

Expand Tax Auditing Activity The Legislature approved language as part of Governor Walker’s proposed budget that hires 102 new taxpayer-funded Department of Revenue (DOR) positions for increased auditing activity to improve state tax collections. The IIAW joined forces with numerous statewide business groups to oppose this aggressive expansion of government positions at the DOR. Unfortunately, deletion of this item would have forced the legislature to come up with a significant amount of revenue to fill the deficit that it would have created and there was no political will to do that. The DOR estimates that the new auditors will result in an increase in state tax revenues of $113.5 million, an amount used to help balance the budget. The DOR’s Secretary also has assured the legislature that its primary focus of the new auditors will be on enforcing Wisconsin tax laws on out-of-state entities that have a tax obligation to Wisconsin.

hearings. The IIAW supports this reform and believes the change will provide consumers with a more timely review of WC cases.

Dispute Resolution Process Relating to Health Insurance Coverage of Chiropractic Treatment The IIAW teamed up with an influential coalition of small and large business groups to oppose a budget amendment included by the legislature’s Joint Finance Committee that established a unique method for dispute resolution just for chiropractors.

This provision was one of several onerous provisions originally being sought after by the Chiropractic industry for inclusion in the budget that would have directly and indirectly increased health care costs for consumers.

The dispute resolution language as approved

by Joint Finance would have required the OCI to promulgate rules that provide for an independent process for resolving disputes related to insurer conduct with respect to statutory requirements for chiropractic WISCONSIN INDEPENDENT AGENT

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AUGUST 2015 | 13

INSURANCE DAY AT WORLD’S LARGEST MUSIC FEST

On June 25, IIAW members attended Summerfest for the unofficial Insurance Day. The group took in some great music and hung out at the Miller Lite Oasis meeting with other Association members. Front: Amy Brice, Amerisafe; Meggen Gagas,

IIAW; Samantha Jefferson, IIAW; Vicki Lentz, SECURA; and Katie Goswitz, IIAW. Back: Jeremy Kane, Robertson Ryan; Ryan Morgan, Robertson Ryan; Jeff Schmidt, Robertson Ryan; Tim Zepnick, Liberty Mutual; and Matt Banaszynski, IIAW.

ϳϬй ŽĨ ĂŐĞŶĐLJ ŽǁŶĞƌƐ ĚŽŶ͛ƚ ŚĂǀĞ Ă ƉĞƌƉĞƚƵĂƟŽŶ ƉůĂŶ Ͳ >Ğƚ ZK Zd^KE Zz E Ğ WĂƌƚ KĨ zŽƵƌ &ƵƚƵƌĞ You’ve built a successful agency and book of business but don’t have someone to take it ŽǀĞƌ ǁŚĞŶ LJŽƵ ƌĞƟƌĞ͘ tŚĂƚ ĚŽ LJŽƵ ĚŽ͍

Plan your future with Robertson Ryan & Associates͘ LJ ũŽŝŶŝŶŐ ŽƵƌ ƚĞĂŵ ŝƚ ĂůůŽǁƐ LJŽƵ ƚŽ͗ ͻ ͻ ͻ ͻ ͻ

Keep your book Remain a trusted advisor to your clients to give them peace of mind ŽŶƟŶƵĞ ǁŽƌŬŝŶŐ ƵŶƟů LJŽƵ ĚĞĐŝĚĞ ƚŽ ƌĞƟƌĞ Find the right buyer for your book within Robertson Ryan to maximize your return Ğ ŝŶ ƚŚĞ ϯϬй ƚŚĂƚ ŚĂǀĞ Ă ƉůĂŶ

&Žƌ ŵŽƌĞ ŝŶĨŽƌŵĂƟŽŶ ĐĂůů 'ĂƌLJ ƵƌƚŽŶ͕ ŚŝĞĨ KƉĞƌĂƟŶŐ KĸĐĞƌ͕ Ăƚ ϰϭϰ͘ϮϮϭ͘Ϭϯϴϲ͘ ůů ĐĂůůƐ ǁŝůů ďĞ ŬĞƉƚ ŝŶ ƚŚĞ ƐƚƌŝĐƚĞƐƚ ĐŽŶĮĚĞŶĐĞ͘ 14 | AUGUST 2015

WISCONSIN INDEPENDENT AGENT

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• Expert loss control services.

• Responsive service delivered by a fully-staffed branch office right in your own back yard.

Let us show you how EMC Insurance Companies can work for you.

BECKIE JANUSZEWSKI Claims Supervisor EMC Milwaukee Branch

WE’RE READY TO HELP YOU

WIN MORE BUSINESS. MILWAUKEE BRANCH OFFICE Phone: 855.495.1800 | Home Office: Des Moines, IA

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MARKETING

8 WAYS EVERY INSURANCE AGENCY NEEDS TO LEVERAGE VIDEO TODAY

It seems every day there are more and more people watching videos online. Whether it’s YouTube, Facebook, Twitter or Instagram, Internet users can’t get enough of video.

The numbers around video consumption are incredible. In March 2014 the average Internet user in America watched over 248 videos. This means that in one month, there were over 46.6 billion online videos in the United States alone.

While it is true that many videos are uploaded simply for entertainment purposes, the momentum around video is simply incredible. And top marketers have taken notice. Video now ranks as the most effective form of content marketing by brand marketers.

Why you ask? Well, it’s quite simple: VIDEO WORKS! The fact is, most people are visual learners, and the combination of voice, imagery and text is much more engaging than text alone. That’s why for agency owners, it’s critical that you pay attention to this medium as a way for you to attract, engage and retain clients.

First, let’s start with the top way you can use video in your agency:

1. Create a “Why Work with My Agency” Video This video will help you educate your prospects as to why your agency is different. It can be posted on your website or shared via email when quoting.

Tip: Keep this video “short and sweet” and under one minute. Be sure to answer the question: “What is my unique selling proposition?”

2. Customer Testimonials This is a great way to showcase your service level, expertise and commitment to finding the best pricing.

According to the latest study by Vertafore/Aite, of the fastest growing agencies:

Tip: Keep the testimonials to less than one minute. Smartphone video is fine, but make sure to “steady your shot.”

3. Birthdays • 52% have customer testimonial videos

You’ve heard it many times before - insurance is a relationship business.

Everyone likes to be celebrated on his or her special day.

• 48% have videos that explain the types of coverage needed.

Tip: Most email service providers (MailChimp, ConstantContact,

16 | AUGUST 2015

WISCONSIN INDEPENDENT AGENT

MARKETING Infusionsoft, etc.) enable you to set up “Birthday Campaigns” that will send your birthday video automatically.

Note: IContact does not have this functionality at this time.

When, in order to compete solely on price, insurers strip down coverages to a bare minimum, the general public is placed in position of much greater risk of being injured or damaged by inadequately insured drivers.

4. Holidays This is an easy and cost effective way to “touch your book” throughout the year. Touching your book with your voice is much more personal than a static email or a “stock mailer” or postcard.

Tip: Don’t be afraid to show some personality. Don’t limit your holiday videos to the “end of year” cluster of holidays. Touching your book on the 4th of July and Thanksgiving is a good way to connect with your book every six months or so.

Again, these can be “sent in bulk” to your entire book using an email service provider.

WISCONSIN INDEPENDENT AGENT

5. Explanation of Coverages This is a great way for you to demonstrate your expertise and communicate the value of insurance to your prospects and current clients. Posting these videos on your website is also a great way to boost your professionalism and engagement.

Tip: Keep these videos to 2 to 3 minutes in length. Consider using visuals to help reinforce your message.

6. Quoting Including a video in your quote is a great way to stand out from the crowd and make an unforgettable first impression. Ideas include: the “Why Work with Our Agency” video, customer testimonial videos, or a video that explains the coverages that you’re quoting.

Tip: Saving the videos as templates in your email is a great way for you to easily access your video.

7. On Social Media Birthday Videos: Posting a birthday video to your friends wall on Facebook can be a great way to celebrate your friend, while at the same time giving good exposure for your agency.

> Mike Demko is the founder/CEO of My Insurance Videos (myinsurancevideos. com), a turnkey email video platform that makes it easy for agency owners to drive growth and retention.

AUGUST 2015 | 17

TECHNOLOGY

WHAT IS YOUR CLOUD COMPUTING STRATEGY? Cloud computing and storage have sneaked into insurance agencies in the form of Google Apps and Office 365, along with quite a few file-sharing and storage sites like Dropbox, Box.com, Google Drive, and OneDrive.

These “Shadow IT” solutions are being used by agency staff on a small ad hoc basis to answer specific business needs – like delivering large files to another party. Regardless of size, all firms are using the cloud whether that use is sanctioned by management or not.

Does your agency require a Cloud Strategy? In short, the answer is – Yes. The 2015 State of the Cloud Report from RightScale shows that around 88% of businesses are utilizing public cloud, 63% are using a private cloud, and 82% of the companies have a hybrid cloud strategy, up from 74% in just the last year.

> Scalability: Cloud solutions allow the agency to grow more easily just by adding another user. No longer do you have to make big investments in hardware when you need to expand.

For many insurance agencies, their experience with cloud computing is their hosted agency

department’s responsiveness or self-sufficiency.

It will improve the ability of the organization to respond faster to business needs. Whether your cloud solution is public, private or hybrid, you should aim for the following: D Create a Standardized Operating Environment (SOE), which focuses on security and makes the upgrade process more stressfree.

Does your agency require a Cloud Strategy?

In short, the answer is – Yes.

The following are the benefits of using cloud solutions: > Speed: Business needs often require quick solutions, without waiting for major company initiatives to be approved. > Finances: Changing old infrastructure can be costly. Cloud computing can be a less expensive alternative to building your data center. > Competence: Most agency IT staff do an excellent job of keeping things running.

However, they often don’t have the deep technical expertise that is sometimes required.

Outsourcing the very technical needs to a

18 | AUGUST 2015

cloud provider can be a good business decision.

management system. There are now solutions available that will allow the agency to host their individual desktop computers in the cloud – eliminating the requirement for inhouse computer servers. This process is called Desktop as a Service (DaaS). Last year, I wrote an article on LinkedIn, Back to the Future: The Revival of the Virtual Desktop, that details this new type of service.

My point? Your use of cloud computing solutions is going to increase. There are benefits and there are possible risks. Agency management should have a plan in place to get the most out of cloud technology and mitigate the associated risks.

Proper Cloud Technology Planning A good plan will not hinder your existing IT

D Use one SOE Management Platform throughout your entire organization so that handling, supervising, and maintaining your technology infrastructure is easier.

D Make sure the solution you use provides better efficiency, improved data management, higher security, and system authentication.

Overall, your solution should reduce your Total Cost of Ownership (TCO).

This may seem like an academic exercise.

However, your use of cloud computing solutions will increase.

Take a few minutes to think about how your organization should respond to this growing trend.

> Steve Anderson provides information to insurance agents about how they can use technology to increase revenue and/ or reduce expenses. Go to steveanderson.com.

WISCONSIN INDEPENDENT AGENT

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AUGUST 2015 | 19

VIRTUAL UNIVERSITY

WHAT HAPPENS TO THE PUBLIC WHEN CONSUMERS BUY CHEAP AUTO POLICIES? On the morning of April 12 at 5:14 a.m., the driver of a car crashed into a brick pillar and privacy fence owned by a homeowners association. Estimated cost to repair was $2,500. The HOA’s insurance covers the damage but has a $1,000 deductible.

The auto insurer denied the claim because the named insured was not driving. The vehicle had been loaned to a friend who was driving at the time of the accident.

This was not an ISO PAP. The ISO PAP includes within the definition of “insured” any permissive driver. However, the policy in question is from one of those low-cost auto insurers that you see advertising heavily on local TV. Indeed, their policy only covers individuals named on the policy.

In some states, statutory or case law requires a policy to extend at least the state’s minimum financial responsibility limits to permissive operators, but not in this case. There was no coverage.

We have been writing about this type of situation for some time. In our “Price Check” article we give examples of exclusions not found in the ISO PAP or other mainstream auto policies. In fact, we’ve devoted an entire section of the VU to the whole commoditization of insurance issue.

When, in order to compete solely on price, insurers strip down coverages to a bare minimum, the general public is placed in position of much greater risk of being injured or damaged by inadequately insured drivers.

One might say, well if you buy one of those discount auto insurance policies featured in the heavy advertising the permeates the media, you get what you pay for. However, this claim illustrates that the issue goes far beyond the buyer of the insurance.

strip down coverages to a bare minimum, the general public is placed in position of much greater risk of being injured or damaged by inadequately insured drivers.

What if the driver that damaged the HOA’s property had instead ran off the road and killed someone or several people? For a policy like this, unless you can make a case for vicarious liability of a named insured (e.g., negligent entrustment of a vehicle to someone with a poor driving record), the injured parties likely have little or no recourse.

There was a time when ISO policies represented industry standards that were more often than not minimum or middle of the road guidelines that insurers quite often exceeded in coverage and options. Sadly, today many ISO forms represent the Cadillacs of coverage, whether we’re talking about personal auto or CGL policies.

Like statutory minimum limits standards, should states consider minimum coverage standards to protect the general public? Isn’t this the primary responsibility of regulators? How are they serving consumers if they approve policy forms that provide very restrictive coverage? As outlined in a previous VU article, the continuing race to the lowest priced auto policy is only going to hurt the innocent.

Auto liability insurance exists to protect the general public from negligent drivers. When, in order to compete solely on price, insurers The Virtual University is a Big “I” members-only resource. Many articles are based on real-life questions received by the Ask an Expert service. This service ensures that the information is current and topical. Go to www.independentagent. com/Education/VU/. You will need to login with your IIABA username and password before using the VU. The IIABA does not assume and has no responsibility for liability or damage which may result from the use of any of this information.

20 | AUGUST 2015

WISCONSIN INDEPENDENT AGENT

TAKING INSURANCE TO NEW HEIGHTS

Amazing! In late July, Ron and Eric Petersen of American Advantage-Petersen & Associates took to the skies for a skydiving adventure. Above: Eric Petersen (with instructor) smiles for the camera while in freefall. Right: The happy father and son after the jump.

WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 21

CONTINUING EDUCATION

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ERRORS & OMISSIONS

IT’S YOUR MONEY: DEDUCTIBLE REDUCTION OFFERS POLICYHOLDERS SIGNIFICANT SAVINGS We all know that documentation of a file is the number one sermon preached at E&O classes. If your agency is doing this, you are well positioned to potentially save thousands of dollars with the Swiss Re Corporate Solutions’ “Deductible Reduction” feature.

The Deductible Reduction provision provides policyholders with up to a 50% reduction of the deductible (up to a maximum of $12,500) for claims alleging failure to procure coverage where Swiss Re determines the agency has written documentation in the customer file refuting such a claim.

A sample coverage rejection letter form is available for our members to use. In-agency or tele-coffee talks or lunch & learns about documentation (and many more topics regarding E&O) are available as a service to our members. If you are interested in any of these, please contact Meggen Gagas, Director of Agency Services.

With about 1 in 4 claims alleging failure to procure coverage, this policy feature can result in significant cost savings if the refusal of coverage and higher limits is documented.

While some carriers in the E&O market may offer “vanishing deductibles” as part of their policies that seem attractive, they really don’t compare to Swiss Re’s Deductible Reduction.

Here’s why: 1. IMMEDIATE: The opportunity to save 50% on the deductible is immediate - you don’t have to be claims-free over time to build up incremental discounts.

2. LONG-TERM BENEFIT: Even if you have claims you do not lose your eligibility to qualify for the Deductible Reduction since it’s based on the documentation in the customer’s file for each particular claim. This is unlike other vanishing deductible models from other carriers that are based on being claim-free. One claim and you have to be claims free for another 5 years to get the same benefit of Swiss Re’s Deductible Reduction.

3. MORE SAVINGS: Some carriers limit the size in which their vanishing deductible will apply with their claims-free accumulated experience. While the Deductible Reduction is capped at 50% of the deductible up to $12,500, there is no limit on the number of claims that it could apply to.

> Meggen Gagas is the IIAW’s Director of Agency Services.

Contact her at 608.210.2975 or meggen@iiaw.com.

totally

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WEST DES MOINES, IOWA • 800.274.3531 • WWW.IMTINS.COM

WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 23

COMMENTARY FROM COUNSEL

U.S. SUPREME COURT LEGALIZES SAME-SEX MARRIAGE NATIONWIDE In November, this column discussed the U.S. Supreme Court’s refusal to hear petitions for appeal of lower court rulings that struck down same-sex marriage bans in five states. See November 2014 Independent Agent Commentary from Counsel. The Court reversed course in January, however, deciding to take up the constitutionality of state prohibitions on same-sex marriage.

On June 26, 2015, the court ruled 5-4 that marriage is a fundamental right that must be extended to same-sex couples in all states.

With its decision in Obergefell v. Hodges, the Court held that the Equal Protection Clause of the Fourteenth Amendment requires all states to issue marriage licenses to same-sex couples and to recognize the legality of such marriages.

Justice Kennedy, writing for the majority, walked through the history of marriage and of the rights of gay and lesbian individuals.

The decision articulated “[f]our principles and traditions [which] demonstrate that the reasons marriage is fundamental under the Constitution apply with equal force to samesex couples.” The Court described the four principles and traditions as follows: (1) the right to personal choice regarding marriage is inherent in the concept of individual autonomy; (2) the right to marry supports a two-person union unlike any other in its importance to the committed individuals; (3) it safeguards children and families and thus draws meaning from related rights of childrearing, procreation, and education; and (4) marriage is a keystone of the Nation’s social order which is at the center of many facets of life. The opinion also described the “constellation of benefits” that the States have linked to marriage and the burdens imposed on same-sex couples who were previously unable to access those benefits. Kennedy concluded the opinion as follows:

No union is more profound than marriage, for it embodies the highest ideals of love, fidelity, devotion, sacrifice, and family.

In forming a marital union, two people become something greater than once they were. As some of the petitioners in these cases demonstrate, marriage

24 | AUGUST 2015

embodies a love that may endure even past death. It would misunderstand these men and women to say they disrespect the idea of marriage. Their plea is that they do respect it, respect it so deeply that they seek to find its fulfillment for themselves. Their hope is not to be condemned to live in loneliness, excluded from one of civilization’s oldest institutions. They ask for equal dignity in the eyes of the law. The Constitution grants them that right.

All four dissenting justices authored their own opinions. Chief Justice Roberts wrote that “[t]he fundamental right to marry does not include a right to make a State change its definition of marriage.” He criticized the other justices as “[f]ive lawyers [who] have closed the debate and enacted their own vision of marriage as a matter of constitutional law.” He also cautioned that “[s]tealing this issue from the people will for many cast a cloud over same-sex marriage, making a dramatic social change that much more difficult to accept.”

Justice Scalia’s dissent was much more critical of the justices in the majority. He wrote separately “to call attention to th[e] Court’s threat to American democracy.” He also criticized the decision as “lacking even a thin veneer of law.” He stated that “to allow the policy question of same-sex marriage to be considered and resolved by a select, patrician, highly unrepresentative panel of nine is to violate a principle even more fundamental than no taxation without representation: no social transformation without representation.”

Previous Decisions The Obergefell decision is the culmination of several cases that have worked their way

through the appeals courts throughout the country in recent years. You may recall last August’s Independent Agent which discussed Western District of Wisconsin Judge Barbara Crabb’s June 6, 2014, decision declaring that Wisconsin’s prohibition on same-sex marriages was unconstitutional. See August 2014 Independent Agent Commentary from Counsel. That lawsuit challenged the constitutionality of an amendment passed by Wisconsin voters which limited marriage to unions between “husband” and “wife.” Judge Crabb’s decision was stayed pending an appeal to the Seventh Circuit.

The Seventh Circuit unanimously upheld Judge Crabb’s ruling in an opinion authored

by Judge Posner. In upholding Judge Crabb’s determination, the Seventh Circuit cited to the many benefits available only to married couples and already available from the federal government due to the U.S. Supreme Court’s 2013 decision in U.S. v. Windsor. In Windsor, the Court struck down the Federal Defense of Marriage Act’s definition of marriage as between one man and one woman. See August 2013 Independent Agent Commentary from Counsel (discussing U.S. v. Windsor). Windsor was another controversial 5-4 decision with three separately-authored dissents (from Justices Roberts, Scalia and Alito).

The Controversy The ruling in Obergefell has already sparked controversy. Some county clerks have refused to issue any marriage licenses in response to the Court’s ruling. The American Civil Liberties Union of Kentucky has already filed a federal lawsuit against a Kentucky county clerk on behalf of two same-sex couples and two heterosexual couples, all of whom were denied marriage licenses in the wake of the Court’s WISCONSIN INDEPENDENT AGENT

COMMENTARY FROM COUNSEL decision. Officials in county clerk offices throughout the country have also resigned in response to the directive to issue marriage licenses to same-sex couples.

He went on to warn that “This decision will pave the way for an all-out assault against the religious freedom rights of Christians who disagree with this decision. This ruling

Same-sex marriage is the law of the land in all 50 states. The ripple effect (or, perhaps tidal wave) will be more than just emotional, symbolic or political—the impact will be felt in estate planning, employee benefits, insurance, governmental benefits and anywhere else that the family unit is a consideration.

While Republican presidential candidates have universally condemned the Court’s ruling, some have done so much more strongly than others. Former Arkansas Governor and current presidential candidate Mike Huckabee accused the majority justices of “implementing judicial tyranny.” Former Pennsylvania Senator Rick Santorum expressed concern that “5 unelected judges redefined the foundational unit of society.” Louisiana Governor Bobby Jindal stated that “Marriage between a man and a woman was established

by God, and no earthly court can alter that.”

must not be used as pretext by Washington to erode our right to religious liberty.” Wisconsin Governor and presidential candidate Scott Walker also weighed in—stating that he would consider advocating a constitutional amendment “to re-affirm the ability of the states to define marriage.”

Others candidates voiced their displeasure at the ruling but indicated that they will follow the Court’s decision. For example, Florida Governor Jeb Bush said that while he “believe[s] in traditional marriage” and that the “Supreme Court should have allowed

WE DON’T TAKE A BACKSEAT

the states to make this decision,” he “also believe[s] that we should love our neighbor and respect others, including those making lifelong commitments.” A spokesman for Ohio Governor John Kasich said that that while he believes “in the sanctity of marriage between a man and a woman […] our nation’s highest court has spoken and we must respect its decision.”

Conclusion Same-sex marriage is the law of the land in all 50 states. The ripple effect (or, perhaps tidal wave) will be more than just emotional, symbolic or political—the impact will be felt in estate planning, employee benefits, insurance, governmental benefits and anywhere else that the family unit is a consideration. New challenges await, both legal and practical, as First Amendment > Josh Johanningmeier is the IIAW’s General rights collide with the Counsel. Call the Legal legal recognition of Services Hotline at (877) same-sex marriage.

236-1669.

TO INNOVATION

WE UNDERSTAND WHAT YOUR CLIENTS NEED AND GO BEYOND THE EXPECTED® TO GIVE IT TO THEM EQUIPMENT BREAKDOWN It’s easy for homeowners to take their heating, cooling, and electricity for granted. And if this equipment breaks down, many insureds assume that they’re already covered with insurance—but that’s not always the case. Should a breakdown happen, we have the coverage your clients need for just pennies a day.

CROSSROADS If you know someone with a less-than-perfect driving record due to serious auto accidents, multiple claims, or motor vehicle violations, we can help keep them in the driver’s seat. A Crossroads auto policy from Pekin Insurance® will give your insureds reliable coverage at a reasonable price and get them back on the road driving worry-free.

WATER & SEWER LINE BREAKAGE/ WATER BACK-UP OF SEWERS & DRAINS Should the unexpected happen, we will cover costs associated with leaks or breaks to water and sewer lines caused by normal wear and usage or water back-up through sewers or drains—valuable coverage at an affordable price.

Our pets are just like family. Offering companionship, unconditional love, and loyalty. Pet Insurance can easily be added to any homeowners policy so your policyholders won’t have to worry about their pet’s health again. Protect your clients’ four-legged friends, both cats and dogs, against accidental injury and illness at an affordable cost.

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AUTO • HOME • BUSINESS • LIFE • HEALTH WISCONSIN INDEPENDENT AGENT

WWW.PEKININSURANCE.COM AUGUST 2015 | 25

WS E N E H T N I S R E B MEM • Passed Ward Group’s evaluation of company operations.

“We’re very pleased with our results,” said Kevin Steiner, president and CEO. “Being included in the Ward’s 50 again this year is affirmation that West Bend is truly one of the top Church Mutual Insurance Co., based in Merrill, Wis., property-casualty insurers in the U.S. I extend my thanks to announced that Laura J. Hughes has joined the company our associates and the independent agents who represent as chief marketing officer effective July 6, 2015. She will our company. We couldn’t achieve this success without our report directly to CEO Michael Ravn. associates’ their hard work and dedication, or without our agents’ continued loyalty.”

With more than 20 years of experience and an emphasis on the financial services industry, Hughes’ expertise To learn more about West Bend, please visit thesilverlining.com. lies in successfully building world-class marketing Laura Hughes organizations and brands — leveraging marketing J.M. Wilson Promotes capabilities to deliver profitable growth.

Gleason as Personal

Hughes Named Chief Marketing Officer at Church Mutual Insurance

Lines Manager

Prior to joining Church Mutual, Hughes led Digital Marketing for the Commercial Banking Division of JPMorgan Chase & Co. and served as the vice president of National Marketing for the Federal Reserve System, the Central Bank of the United States.

J.M. Wilson is pleased to announce the promotion of Cheryl Gleason as Personal Lines Manager. As Personal Lines Manager, Cheryl is responsible for overseeing the day-to-day activities of the Hughes replaces former Marketing Vice President Pat Moreland, who retired Personal Lines team, as well as quoting earlier this year. new and renewal business, coordinating with carriers, and assisting independent Cheryl Gleason To learn more about Church Mutual, please visit churchmutual.com. insurance agents in 31 states. Cheryl will continue her role as Claims Specialist, where she is responsible Ward Group: for reviewing and processing all incoming claims, contacting West Bend Makes Top 50 Ranking the insurance company, working with claims adjusters, filing all West Bend Mutual Insurance Company has made the Ward Group’s list of the necessary paperwork, and acting as a liaison between our carriers 50 top-performing property/casualty insurers for 2015. The recently released and agents to handle losses quickly from beginning to end. list includes the best performers of the more than 3,000 U.S.-domiciled companies.

Cheryl joined J.M. Wilson in 2015, bringing with her 29 years of experience in the Insurance Industry. Prior to joining J.M. After analyzing the property/casualty insurance industry, Ward Group Wilson, she worked as a Casualty Auditor, Bodily Injury Adjuster, recognizes those companies that achieved outstanding financial results in the PIP Adjuster, Non-Injury Manager, PIP Manager, and a Field areas of safety, consistency, and performance from 2010 to 2014.

Property Claims Specialist. Cheryl has a two year Practical Nursing Certificate from Newfield High School LPN Nursing, as According to Ward’s analysis, this year’s Top 50 met this criteria: well as a Bachelor’s Degree in Business Management from Spring Arbor University.

• Surplus and premiums of at least $50 million for each of the 5 years analyzed; To learn more about J.M. Wilson, please visit jmwilson.com.

• Net income in at least 4 of the last 5 years; • Risk-based capital ratio of at least 100% for each of the 5 years analyzed;

Company Recognized as Top Achiever in Insurance Industry

ACUITY earned a 2015 Stakeholder Team Accomplishment Recognition™ (STAR) Award from independent financial analysis firm Demotech, Inc., putting ACUITY among the top 1.1 percent • Net written premium divided by gross written premium is greater than 50%; of insurers nationwide.

• Compound annual growth in premiums between -10% and +40%;

• Gross written premium divided by net written premium is less than 130%; • Ranked in top 10% of peer business mix benchmark group; and

26 | AUGUST 2015

The Demotech STAR Award recognizes insurers whose performance benefits all stakeholders, including agents, customers, employees, consumers, regulators, and reinsurers.

ACUITY was honored with a STAR award for exceeding the WISCONSIN INDEPENDENT AGENT

S W E N E H T N I S R E B MEM industry in all areas of performance, including financial strength and stability, profitability, claim handling, and compensation to employees and agents.

“ACUITY is one of only 29 companies to meet each of Demotech’s objective 2015 Stakeholder Team Accomplishment Recognition Award criteria. Only 1.1 percent of the 2,657 property-casualty carriers reviewed and analyzed were able to satisfy each of Demotech’s criteria related to all stakeholders,” said Rachel Wilkins, Analyst, Demotech, Inc.

Company Ranks as Top Workplace for Millennials ACUITY is ranked #5 on Fortune Magazine’s inaugural list of the 100 Best Workplaces for Millennials.

Fortune and Great Place to Work published the first-ever ranking of the best workplaces for millennial workers—a list of 100 employers that scored the highest among workers under the age of 35.

“Great workplaces are constantly monitoring and analyzing their employees’ workplace experiences and then taking action to improve them,” said Michael Bush, CEO of Great Place to Work United States.

“Ranking on this list is a great indicator that ACUITY’s efforts to create great workplaces are resonating with millennials.”

In reporting its selection, Fortune stated, “ACUITY makes sure employees are happy, along with the community those employees serve. Between the extensive charitable efforts and an 8-percent 401(k) contribution, millennials can build a strong future for themselves and for their families: the company is also lauded for its family benefits.”

“We are tremendously honored and proud to be named to the top 5 of the 100 Best Workplaces for Millennials,” said Ben Salzmann, ACUITY President and CEO. “Being recognized as a top employer validates our ongoing effort to build a great workplace and achieve excellence in all that we do.”

To learn more about ACUITY, please visit acuity.com.

SECURA among Ward’s 50 Top Performers Two Years Running SECURA Insurance has been recognized among Ward’s 50® Top Performers for the second year in a row.

3,000 property-casualty insurance companies based in the United States to identify top performers. Each Ward’s 50 company has passed all safety and consistency screens and achieved superior performance over the five years analyzed (2010-2014).

“To be honored two years in a row speaks to our consistent financial growth and the overall strength of our company,” says Dave Gross, President and CEO. “But more so, it’s a testament to our people and the strong relationships we have with our independent agents in 12 states. They are the ones who made this honor possible.”

SECURA has demonstrated financial strength, even during challenging economic times. The recognition comes on the heels of another milestone of reaching $500 million in direct written premium in 2014. The year 2015 is forecast to continue on its course of profitable growth for the company.

“We don’t strive for this award,” says Gross. “It’s just a natural result of the way we do business – offering a good product at a fair price, handling claims fairly, and being ethically and fiscally responsible.”

To learn more about SECURA, please visit secura.net.

the We look for the best independent agents and build relationships that last the duration. We are committed to the independent agency system as the only means to deliver our products. Because of that, we work hand-inhand to help our agencies grow profitably.

Our agents set us apart.

For information about becoming a Partners Mutual Insurance Agent please contact Brian Martin at 262.432.3439; Martin.Brian@PartnersMutual.com or Mike Ottman at 262.432.3418; Ottman.Michael@PartnersMutual.com.

Ward Group® is the leading provider of benchmarking and best practices studies for insurance companies, and annually analyzes more than WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 27

2015 SALES & LEADERSHIP CONFERENCE: Approximately 150 attendees and guests came to the Wilderness

lead to another collaboration in the future.

Resort in the Dells for great golf at Wild Rock, a Sunset Dinner Cruise,

Thank you to all the agency and company members and members

networking, waterpark fun, and the fantastic workshops lead by world

of the Emerging Leaders Committee who made the 3rd Annual Sales &

class instructors from the Wisconsin School of Business Center for

Leadership Conference a resounding success.

Professional & Executive Development. It was the first year that the IIAW partnered with UW-Madison to offer an innovative approach to industry education. The great feedback we heard about the event may

The Sales & Leadership Conference would not be possible without our great company sponsors, listed below.

For more photographs, please visit facebook.com/IIAofWI.

PLATINUM LEVEL: AAA Wisconsin, ACUITY Insurance, Anthem Blue Cross Blue Shield, Austin Mutual, Integrity Mutual, Progressive Insurance, QBE, SECURA Insurance, SFM – The Work Comp Experts, Society Insurance, The Hanover, The IMT Group, Travelers Insurance, West Bend Mutual and Wilson Mutual.

GOLD LEVEL: Amerisafe, Arlington/Roe & Co., AutoOwners Insurance, Burns & Wilcox, IIA of Illinois Young Agents, Liberty Mutual, Madison Mutual, Philadelphia

Relaxed after the competition — from left: Dan Lau, Robertson Ryan & Associates; Ryan Waite, Neckerman Insurance, Larry Jendusa, The IMT Group; and Jim Kuerschner, Society Insurance.

Insurance, Wisconsin Mutual and WPS. SILVER LEVEL: CapSpecialty, EMC Insurance and Pekin Insurance.

The sunglasses endorsements are starting to roll in — from left: Brian Fugere, Imperial PFS; Ryan Olson, Nohre & Co.; Jason Sanders, Imperial PFS; and Ryan Manthei, A.B. Schmitz Agency.

Amy Brice (Amerisafe) congratulates Amy Vue (Wallrich Insurance Agency) for winning the Closest to the Hole event (#15) and taking home $100. Amy Brice won the longest drive flag event (#6).

28 | AUGUST 2015

Next year, we’re going to get a sponsorship for that water tower. The Magnificent Seven — from left: Reid Tate, Indianhead Insurance Agency; Bruce Prince, The IMT Group; Ryan Leitch, Leitch Insurance; Derek Wickhem, John Wickhem Agency; Jon Bovee, The Hanover Group; Peter Joyce, Ansay & Associates; and Peter Clemency, Ansay & Associates. Peter claimed $100 for the longest drive on hole #6.

WISCONSIN INDEPENDENT AGENT

INNOVATIVE PARTNERSHIP WITH UW-MADISON A HUGE SUCCESS

IIAW staffers Samantha Jefferson and Katie Goswitz register golfers before the Marshmallow Drive.

From left: Janel Bazan, Johnson Insurance; Janelle Higgins, TriCor Insurance; Amy Brice, Amerisafe; and Amy Vue, Wallrich Insurance. Janelle won $100 for the longest putt on hole 18.

Ansay & Associates sent their four best drivers to the Marshmallow Drive at Wild Rock Golf Course.

From left: Alan Neva, Andy Spaeth, Jonathan Ottman and Jack Demski.

From left: Don Burke, Selective; Eric Petersen, American Advantage; Mal Jeffris, Wisconsin School of Business; and Malcolm Jeffris.

Matt Weimer, Diversified Insurance Solutions; Randy Ciesielski, MVP Service Solutions; and Mark Brodzeller, Vertafore. Mark won the closest to the hole competition on #15.

y Back in the clubhouse as the overall winners — from left: Matt Banaszynski, IIAW; Justin Staebler, Zingen & Braun; Marc Petersen, American Advantage; and Rob Gudates, Philadelphia Insurance. Justin also took home $100 for winning the longest putt hole event on #18. w Janelle Higgins, Emerging Leaders Committee Chair, moderated the panel discussion, Technology: The Future Wave. Attendees packed a conference room and asked questions and listened to discussion about current and future technologies that impact the insurance industry.

Panelists included: Bob Van Beek, SECURA; Brad Parent, Social 1 Solutions; and Luigi Dedvukaj, AAA.

WISCONSIN INDEPENDENT AGENT

AUGUST 2015 | 29

FOOD FOR THOUGHT BEST-SELLING PRODUCTS OF ALL-TIME

There’s no doubt about it, we love to buy stuff. More than likely you have one of these products in your house or in your hands, and you probably have more than one. The rankings do not reflect the top selling products in order. Some of the products are leaders in their category (e.g., pharmaceutical or toys) while others were calculated from multiple sources and estimated sales figures.

There’s one certainty – these companies and brands are doing OK. 1. PlayStation - 344 million units

6. Mario Brothers Franchise - 262 million units

2. Lipitor - $141 billion in sales

7. Michael Jackson’s Thriller - 70 million units

3. Toyota Corolla - 40.7 million units

8. Harry Potter - 450 million units

4. Star Wars - $4.6 billion in sales

9. iPhone - 516 million units

5. iPad - 211 million units

10. Rubik’s Cube - 350 million units

Source: 247wallst.com

AMERICA’S LEAST COMMON JOBS

According to 2013 data, the most common job in the U.S. is retail salesperson with 4.5 million jobs. The following are the least common jobs and the total number of jobs available.

6. Radio operators - Total jobs: 1,160 1. Fabric menders - Total jobs: 800 7. Wood model makers - Total jobs: 1,240 2. Wood patternmakers - Total jobs: 870 8. Animal breeders - Total jobs: 1,240 3. Industrial-organizational psychologists 9. Timing device assemblers and adjusters – Total jobs: 1,040 Total jobs: 1,460 4. Mathematical technicians - Total jobs: 1,080 10. Geographers - Total jobs: 1,480 5. Segmental pavers - Total jobs: 1,110 Source: 247wallst.com

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