January 2016 Wisconsin Independent Agent Magazine

wisconsin

INDEPENDENT AGENT JANUARY 2016

DAY ON THE HILL MARCH 1-2, 2016 REGISTER AT IIAW.COM

ZENEFITS EXPOSED PAGE 5 2016 PRELICENSING CLASS SCHEDULE PAGE 24 HAPPY NEW YEAR!

wisconsin

INDEPENDENT AGENT JANUARY 2016 Eric Schwartz, Editor

Open Door Policy Zenefits Exposed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Government Affairs Improved UI Financial Outlook Triggers Lower 2016 Tax Schedule . . . . . . . . . . . . 7 Marketing You’re Better at Marketing than You Think . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8 Virtual University When Insureds ‘Pocket’ the Money . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 In Memoriam Roger Abbott Passes Away at 77. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Sales Today’s Super Producer is an Artist . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

On The Cover…

The IIAW’s biannual Day on the Hill is March 1-2, 2016. Our members have the opportunity to speak with their legislators about vital issues that are important to the industry. For more

Members in the News . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

information and to register, please go

Errors & Omissions Coverage Crossroads . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22

to IIAW.com.

Technology Using Google+ for Agency Awareness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26 Community West Bend Donates $600,000 for Washington County Amphitheater . . . . . . . .29 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 2015-2016 Executive Committee President......................................................... Steve Leitch P.O. Box 85, River Falls, WI 54022 President-elect .............................................. Matt Weimer 100 North Corporate Dr., #100, Brookfield, WI 53045 Secretary-Treasurer .......................... Lise Meyer Kobussen P.O. Box 633, Sauk City, WI 53583

Jack Riesch P.O. Box 1610, Waukesha, WI 53187-1610 Michael Walston P.O. Box 236, Kewaunee, WI 54216-0236 Darrel Zaleski 4233 Southtowne Drive, Eau Claire, WI 54701 2015-2016 Committee Chairs

Chairman of the Board ............................. John Wickhem P.O. Box 1500, Janesville, WI 53547-15

Agency Operations....................................... Kim Dandrea N19 W24200 Riverwood Dr., Waukesha, WI 53188

State National Director ................................ Linda Steiner 555 Main Street #320, Racine, WI 53403

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

2015-2016 Board of Directors

Emerging Leaders ...........................................Jack Demski 101 East Grand Ave. #11, Port Washington, WI 53074

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 Cindy Burns 500 South Central Ave., Marshfield, WI 54449 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 Brian McClone 505 North Westfield Street, Oshkosh, WI 54902

WISCONSIN INDEPENDENT AGENT

Employee Benefits.......................................... Mike Farrell 1300 South Green Bay Rd., Racine, WI 53406 Finance & Compensation ............... Lise Meyer Kobussen P.O Box 633, Sauk City, WI 53583 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 Technical ...............................................Timothy Kakuska P.O. Box 547, La Crosse, WI 54602-0547

Correction: The IIAW Board of Directors were featured on the cover of the December 2015 magazine. However, two board members not in the photograph were not identified.

Mike Ansay and Mark Behrens are members of the IIAW Board of Directors. We apologize for the oversight.

> ADVERTISERS & INFORMATION AAA Wisconsin .................................................. 7 ACUITY Insurance ............................................ 31 Amerisafe......................................................... 9 Austin Mutual .................................................. 17 Badger Mutual ................................................ 26 Berkshire Hathaway/Guard .............................18 Burns & Wilcox ................................................. 6 Erickson-Larsen, Inc....................................... 28 IIAW Continuing Education .............................. 16 IIAW Prelicensing Class Schedule ................... 24 Insurance Associates of America .................... 14 InVEST ...............................................Back Cover JM Wilson ....................................................... 28 New Level Partners ......................................... 15 Pekin Insurance.............................................. 30 Robertson Ryan & Associates.......................... 13 SECURA Insurance .......................................... 27 The IMT Group ................................................ 25 West Bend ........................................................ 2 Western National.............................................10 Wilson Mutual ................................................... 4 JANUARY 2016 | 3

OPEN DOOR POLICY

ZENEFITS EXPOSED: UNFAIR MARKETING PRACTICES COMPLAINT FILED WITH OCI

In my November 2015 article, I discussed how Josh Johanningmeier (IIAW legal counsel) and I were in discussion with the Office of Commissioner of Insurance (OCI) regarding Zenefits and its suspect marketing practices in Wisconsin. Below is a copy of the letter I sent to OCI requesting an investigation.

My name is Matt Banaszynski and I am the Executive Vice President of the Independent Insurance Agents of Wisconsin (“IIAW”).

The IIAW is the leading trade association representing independent agents, agencies and brokers in Wisconsin, and its membership includes over 5,000 licensed Wisconsin insurance intermediaries.

Zenefits’ Website Comparison While the OCI is no doubt familiar with Zenefits, I believe it will be helpful to explain the background for this complaint. As part of its insurance brokerage business, Zenefits invites consumers to examine the various brokers it competes with by state—including hyperlinks to each state (See zenefits.com/broker).

Among the IIAW’s many roles, the association serves as a clearinghouse and advocate for issues important to its members. It is in that capacity that I am writing to express the association’s concerns with unlawful marketing practices being employed by Zenefits FTW

The Zenefits hyperlink to Wisconsin yields a list of 55 agencies and brokerages (See zenefits. com/broker/wi/ - a copy of the page from December 21, 2015, is attached). The majority of the agencies and brokerages listed are IIAW members. Each agency name is a hyperlink to a specific page on the Zenefits website which offers a “side-by-side” comparison of the insurance products and services offered by that agency “versus” Zenefits.

I have formally requested an investigation by OCI into Zenefits’ marketing practices, in particular the misleading website comparisons.

Insurance Services (“Zenefits”). Zenefits has both a non-resident intermediary firm license and, until very recently, used its web platform to tout more than 40 Wisconsin non-resident intermediary individual licensees.

Recent years have seen dramatic changes in the insurance marketplace, creating opportunities and challenges that the IIAW and its members embrace. Unfortunately, Internet startup Zenefits has entered the insurance marketplace with a different approach, marketing itself to Wisconsin insurance consumers with misleading and untruthful comparisons its offerings to those of established Wisconsin insurance agencies. The IIAW believes that Zenefits’ website comparisons constitute unfair marketing practices in violation of Wis. Stat. §628.34 and I am writing to request an investigation by the OCI. WISCONSIN INDEPENDENT AGENT

The so-called comparison pages are universally incomplete when it comes to the Wisconsin agencies’ capabilities and offerings, yet robust with regard the services purportedly offered

by Zenefits. Zenefits includes the following disclaimer in tiny, gray print at the bottom of the page: Zenefits cannot be sure what services are offered by [name of agency].

Contact them directly to find out.

Zenefits also invites the named agencies to “edit and update this page.”

It is clear from a review of the information provided by Zenefits regarding each agency that it has done little, if any, diligence in preparing its comparisons. This was certainly intentional and aimed at providing misleading implications regarding Wisconsin agencies with which Zenefits wants to compete. Most of the Wisconsin agencies have nothing more than the agency name, website address and physical address listed.

Wisconsin Statutes Section 628.34 Zenefits’ website comparison pages violate Wisconsin insurance law, specifically the statutory prohibition on unfair marketing practices. Section

628.34 states (emphasis added): 628.34 Unfair marketing practices. (1) Misrepresentation. (a) Conduct forbidden.

No person who is or should be licensed under chs. 600 to 646, no employee or agent of any such person, no person whose primary interest is as a competitor of a person licensed under chs. 600 to 646, and no person on behalf of any of the foregoing persons may make or cause to be made any communication relating to an insurance contract, the insurance business, any insurer, or any intermediary that contains false or misleading information, including information that is misleading because of incompleteness…

Zenefits is a licensed intermediary subject to the Unfair Marketing Practices statute.

Its intentionally incomplete comparisons to Wisconsin agencies are plainly “communication[s] relating to…the insurance business…or … intermediar[ies] that contain… misleading information, including information that is misleading because of incompleteness.”

Moreover, it is not the responsibility of Wisconsin agencies to police the Zenefits website and accept an invitation to “edit and update” the bogus Zenefits comparisons.

On behalf of the IIAW’s members, I have formally requested an investigation by OCI into Zenefits’ marketing practices, in particular the misleading website comparisons. As additional information is provided, I will be sure and relay it to our members.

It is important to note that this complaint will not put an end to Zenefits or its “disruptive” business

CONTINUED ON PAGE 23

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

Contact him at matt@ iiaw.com.

JANUARY 2016 | 5

&

Your traditional insurance markets can handle most of your clients’ personal insurance needs, but not all. Even wholesalers have their limits, unless your wholesaler is Burns & Wilcox. As the largest personal insurance wholesaler, our unequaled access to markets means quick solutions for all your hard-to-place risks. Don’t call just any wholesaler.

Just call Burns & Wilcox.

Milwaukee, Wisconsin | 262.347.0266 toll free 800.544.5700 | fax 262.347.0440 milwaukee.burnsandwilcox.com Minneapolis, Minnesota | 612.564.1880 toll free 800.328.1693 | fax 612.564.1881 minneapolis.burnsandwilcox.com Commercial | Professional | Personal | Brokerage | Binding | Risk Management Services

GOVERNMENT AFFAIRS

IMPROVED UI FINANCIAL OUTLOOK TRIGGERS LOWER TAX RATE SCHEDULE FOR 2016 The Wisconsin Department of Workforce Development (DWD), the agency that administers the state’s Unemployment Insurance (UI) program, is reporting some good news for Wisconsin businesses that pay into the UI program through their employer taxes.

The DWD reports that back on June 30, 2015, the UI Trust Fund (also referred to as the Unemployment Reserve Fund) had a balance of $510 million exceeding the $300 million threshold needed to move Wisconsin employers into a lower UI tax rate schedule

On June 30, 2015, the UI Trust Fund had a balance of $510 million exceeding the $300 million threshold needed to move Wisconsin employers into a lower UI tax rate schedule for 2016.

(Schedule A to Schedule B) for 2016 (see 2016 UI Tax Rates at dwd.wisconsin.gov/ui/ employers/taxrates.htm).

As a result, IIAW members are likely to see lower tax rates for their unemployment insurance next year. June 30 is the statutory date used to measure the UI Trust Fund balance and determine the required tax rate schedule for the following year.

Individual employer UI tax rate notices were sent out in October.

As of November 30, 2015, the UI Trust Fund balance continued to improve with approximately $787 million, according to the latest data available from the U.S. Treasury Department.

Since 2009, employers participating in the UI program had been paying UI taxes based on the highest tax schedule (Schedule A) as prescribed by state law.

Like many other states, Wisconsin’s UI Trust Fund also had to rely on federal loans to help fund unemployment benefits paid to record numbers of claimants during and following the deep national recession of 2007-09.

CONTINUED ON PAGE 25

Crash course in service excellence.

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

®

Help clients through the stress of an accident with AAA Accident Assist .

One call brings AAA roadside assistance to their crash site, sets the stage for hassle-free repairs, and reserves a rental car for their immediate use.

And you made it happen.

Contact Heidi Nienow today to learn more.

(608) 828-2614

hqnienow@AAAwisconsin.com

It’s just one of the powerful tools AAA Independent Insurance Agents enjoy.

IE-0011

WISCONSIN INDEPENDENT AGENT

Insurance underwritten by Auto Club Insurance Association or Auto Club Group Insurance Company.

JANUARY 2016 | 7

MARKETING

YOU’RE BETTER AT MARKETING THAN YOU THINK Far too often I hear independent agents talk about their own marketing skills. I’m sick of it.

I’m sick of hearing that independent insurance agents are successful in spite of their perceived lack of marketing acumen.

You’re better at marketing than you think.

That being said, in every stereotype there’s always a kernel of truth. Let’s break down the reasons agents might believe they lack marketing skills.

1) We’ve become complacent. There is no doubt that our past success has played a role in our lack of marketing vigor today.

Marketing takes time, resources and effort and, no matter how good you are, there is no guarantee your work will produce a positive ROI. Why then would a successful agency expend the time, resources and effort needed for marketing success when they are already comfortable? They wouldn’t (and do you blame them?).

You have to be hungry to believe in marketing. There has to be something driving you.

We make so many excuses about being too busy. We’re not too busy. We’re just not very good at managing our time.

2) We’re paralyzed by technology. Marketing is not technology. Technology is not marketing. If you don’t want to learn the technology, hire someone who already knows how to use it. Just because you don’t want

8 | JANUARY 2016

to learn how to optimize your website for conversion doesn’t mean your business can’t be good at marketing.

Technology is always going to be part of our lives (at least for the foreseeable future).

Whether or not you learn about technology that can help grow your agency is your business, but technology is never an excuse for not marketing.

3) We lean on the “No time” excuse. You have time. The issue is we don’t make time.

The scourge of the independent insurance industry is the “I’m too busy” syndrome. We make so many excuses about being too busy.

We’re not too busy. We’re just not very good at managing our time.

You’re either shaking your head “yes” or “no” and, regardless of your reaction, deep down inside you know it’s true. I get it. I was an agent for eight years. The only way to find time for marketing is to make time for marketing.

4) We get lost in the next update. Google, Facebook, Twitter… they’re all always changing. It’s incredibly difficult to keep up. Honestly, it’s annoying, even for a super geek like me. It’s annoying to figure something out and then have it change two weeks later. You could go insane trying to keep up.

That being said, new updates to tools and platforms (like social and search) are not a reason to discount your marketing skills. Here’s the secret to how I stay sane: focus on the foundation. Focus on the core principles of marketing and storytelling and it doesn’t matter what changes.

5) We need results now. The reason cold calling has lasted as long as it has in main street insurance agencies is the perception that the results are immediate (or at least controlled). You make 100 phone calls, 10 people pick up, two set appointments, and one buys.

Cold calling is clean, straightforward and linear. But therein lay the problem: cold calling is linear. You can’t scale cold calling and worse, cold calling takes place on YOUR terms, not on your potential customers’. In this way, cold calling creates a terrible customer experience.

Marketing, on the other hand, takes time.

You have to peel off the “overburden” in order to reveal the “paydirt” (to use gold mining lingo).

The Rub Independent agents are better marketers than they believe themselves to be.

The real issue is the excuses we make for not marketing:

D Be hungry for more business.

D Hire someone who understands the technology.

D Make time.

D Focus on the basics.

D Give you work time to produce results.

Do these and you’ll become the marketer I know you can be.

> Ryan Hanley is the head of marketing at TrustedChoice.com.

Connect with Ryan on Twitter at @RyanHanley_ com.

WISCONSIN INDEPENDENT AGENT

WISCONSIN INDEPENDENT AGENT

JANUARY 2016 | 9

IIAW LAMBEAU TAILGATE

On December 13, 2015, members of the IIAW and friends made the trip to Green Bay for a tailgate and game at Lambeau Field. This has been a roller coaster season but the Packers crushed the Cowboys, 28-7.

WISCONSIN INDEPENDENT AGENT

JANUARY 2016 | 11

VIRTUAL UNIVERSITY

WHEN INSUREDS ‘POCKET’ THE MONEY Here’s a disturbing question received by our “Ask an Expert” service:

Two years ago, my client had water damage to hardwood floors in her home. The floors were no longer manufactured and needed replacing. The floor is throughout the home, and other room’s floors had to be replaced because they no longer matched. The insured collected $14,000 to replace the flooring throughout.

However, she decided to pay $1,400 to buff the floors, and banked the difference.

“Two years later (now), she has more water damage (a separate occurrence) to the same floors. She would like to turn in a claim, but she is concerned that she will get caught for not replacing the floor. I told her she will not be able to get another floor, and I question what she is entitled to. If she actually replaced the previous floor, obviously she would be entitled to a new floor. The insurance agreements or conditions must address this.

Please advise. Thank you.

Well, to quote Sir Walter Scott, “Oh what a tangled web we weave, when first we practice to deceive.” Clearly, this potential claim goes far beyond simple coverage issues, but let’s examine those first, then talk about the bigger picture.

First, we’re mildly surprised that the insurer agreed to replace ALL of the hardwood floors. The policy in effect at the time of the loss, ISO HO 00 03 04 91 policy, under Coverage A, only pays for direct damage, not consequential losses due to a matching problem. It’s hard to imagine not being able to closely approximate the color and style of flooring

12 | JANUARY 2016

in the undamaged rooms. Besides, people routinely put down varying floor coverings from room to room. However, we’ll put aside this discussion for now since the insurer did it.

We’re even more surprised that the insurance company paid the full replacement cost without verifying that the property had, in fact, been replaced. Here’s what the HO 00 03 04 91 says (I’m assuming there was at least 80% insurance to value): b. Buildings under Coverage A or B a replacement cost without

WISCONSIN INDEPENDENT AGENT

VIRTUAL UNIVERSITY deduction for depreciation, subject to the following: (1) If, at the time of loss, the amount of insurance in this policy on the damaged building is 80% or more of the full replacement cost of the building immediately before the loss, we will pay the cost to repair or replace, after application of deductible and without deduction for depreciation, but not more than the least of the following amounts: (a) The limit of liability under this policy that applies to the building; (b) The replacement cost of that part of the building damaged for like construction and use on the same premises; or (c) The necessary amount actually spent to repair or replace the damaged building.

(4) We will pay no more than the actual cash value of the damage until actual repair or replacement is complete. Once actual repair or replacement is complete, we will settle the loss according to the provisions of b.(1) and b.(2) above.

However, if the cost to repair or replace the damage is both: (a) Less than 5% of the amount of insurance in this policy on the building; and (b) Less than $2500; we will settle the loss according to the provisions of b.(1) and b.(2) above whether or not actual repair or replacement is complete.

The contract is clear that the company is not required to pay replacement cost unless the property is actually replaced. If not, the policy clearly states that the insurer is obligated to pay no more than the “necessary amount actually spent to repair or replace the damaged building.”

It’s possible that the insured could plead ignorance, but the fact that’s she’s now concerned about this would seem to imply that she knew what she was doing to begin with. I don’t know how the loss settlement documentation reads or what she signed and attested to, but there appears to be a real possibility of a charge of insurance fraud.

If fraud is found, the crime carries significant penalties aside from civil charges.

In addition, she’s put you in an ethical dilemma, whether she decides to file a claim or not, about whether to remain silent or tell the insurance company you represent what exactly happened.

Thankfully, I’m not involved in this. If I were the insured, I’d take the extra $12,600 she scammed from the company on the first claim and pay for the damage myself.

So, without making any judgments or providing any advice on how to proceed at this point (that’s what attorneys get the big bucks for), it looks to me like the insurer has a case for fraud since she collected $14,000 and only spent $1,400. They might have some contributory negligence in not verifying that the replacement actually took place, but that’s a matter for the courts.

Now we know why many auto carriers insist on issuing checks to the repair shop or jointly to the insured and repair shop. This prevents insureds from driving around with an unrepaired or partially repaired auto, then sticking their or another insurer (or third party) with a repair bill for the same damage.

I supposed that’s why the ISO PAP (PP 00 01 01 05) says, “We will pay FOR…” not “We will pay YOU...” Perhaps the HO policy wording should say the same.

> Bill Wilson is Director of the IIABA Virtual University.

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.

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 WISCONSIN INDEPENDENT AGENT

JANUARY 2016 | 13

We Are Your

Solution to INCREASED

YOU

1 0 OW 0%

MARKETS

MAI

NERS

HIP

When you become a part of the Insurance Associates of America family, your agency keeps its unique style, familiar identity, and personalized customer service.

What we offer is access to over 30 carriers along with industry expertise and support to help you grow your agency. You’ll retain 100% ownership of your agency, while benefiting from the shared strength of all of our Insurance Associates of America members.

N TA

• 100% Retained Ownership • Increased Markets – Over 30 Represented • Retain 90% of Commission • Knowledgeable Support Staff • Commercial Assistance – Placement • Increased and More Stable Contingencies • Preferred Agency Contracts

Sell more. Make more. Stress less.

www.IAAnetwork.com

For more information call Mike Sabourin 866-789-9712

Not all markets are available in all states.

IN

Ready, Set, Hire, Train!

Your On­boarding Solu!on

ONLINE COVERAGE EDUCATION

E­Learning is ...

On Demand, Interac!ve, Cost­Effec!ve and Measurable!

•Self­Paced Curriculums on Commercial Lines, Personal Lines and Essen!al Business Skills •Interac!ve Courses with full narra!on and assessments to reinforce knowledge acquisi!on •Four­month subscrip!on terms

Commercial Coverage Basics™

•User­repor!ng available •Flexibility to create course assignments •Discounts available for purchase of mul!ple subscrip!ons

Personal Coverage Basics™

28+ Course Curriculum

19+ Course Curriculum

• • • • • •

• • • • • •

Property CGL Workers Compensa!on Business Auto Umbrella Industry Overview

Homeowners Dwelling Renters Personal Liability Personal Auto Industry Overview

Online Learning Is Ideal for New Hires and Job Changers – Curriculums Include the ‘Coverage Challenge’ Tool to Track Knowledge Acquisi!on “Coverage Basics is a self-paced learning experience. An excellent way to fit coverage education into the workday.”

Subscribe online today at:

iiawstore.mycoursecenter.com

(609) 375­2203

CONTINUING EDUCATION

"!&/

$" &" & * ! . & ( $+ !& "' !") % '& '%&*

" &' %% " ) %%

2 % ! !&. & ! & ! " ! & '& '%&*

" . %% " ( )*

'% ! %% '&" % & '% $" % # '* '%&*

" &' %% " ' %%

1 $"# $&+ ! $)$ & ! ! & ( "%% "!&$" # '+ '%&*

" & %% " ( %%

"% % ! $ $% # &% '%&*

" - %% " &% %%

' ! " % $ "$ "'$ !%'$ %- + $ ! ! "$ ) "( $ % %% $+ # '+ '%&*

" . %% " && %%

& % ! " +0% ! ! % % '- '%&*

" ' %% " + %%

!%'$ ! ! & $"# $&+ % # ( '%&*

" . %% " && %%

!!' &+ % % ! $ + & " &% '%&*

" ' %% " ( %%

"$ $% " # !% & "! $ &. '%&* " ! &' %% " ( %%

" % ! !%'$ $ '% '%&* " !

- %% " && %%

& % 2 !& &+ $ '& '%&* " ! &' %% " ( %%

43 ! % ( $+ " $ ! % !& ' & " !") $ '' '%&* " !

- %% " && %%

!%'$ ! "+% 2 " & % $ '* '%&* " ! &' %% " ( %%

$ &+ "( $ % $ , '%&* EEG LLEEA CCO GIISSTTEERR " ASSEE O O TTO O !

OM M &' %% " ( %%

2 % ! !&. & ! & !

FFOORR M MOORREE CCLLAASSSSEESS AANNDD TTOO RR

,, PP

G G

IIIIA AW W..

IN MEMORIAM

ROGER ABBOTT PASSES AWAY AT 77 With his family by his side, Roger C. Abbott, age 77, passed away peacefully Wednesday, December 9, 2015, at Wheaton Franciscan – All Saints Medical Center. Roger was born in Milwaukee, April 22, 1938, son of the late Charles and Sarah (Nee: Glaser) Abbott.

Frogs and Orth Abbott softball teams. He also enjoyed playing golf, and was a huge fan of the Packers, Brewers, Bucks, and Marquette teams.

Above all he devoted and cherished time spent with his family, especially his grandchildren.

Roger was a graduate of Marquette University where he was captain of the track team, and founded the Abbott Rabbits Sports Fraternity.

He proudly served in the United States Army.

On November 13, 1971, at Christ the King Catholic Church in Wauwatosa he was united in marriage to Joanne M. Thon.

Roger retired this past February from Johnson Insurance where he served as past president and chairman. He was actively involved with the United Way, served as past president of Independent Insurance Agents of Wisconsin, and was member of the Racine Country Club.

An avid sportsman in his earlier years, Roger loved baseball and played with the Dousman

He will be dearly missed by his loving wife of forty-four years, Joanne of Racine; his children, Andrea (Michael) Donaldson, Justin (Rachel) Abbott; his four grandchildren, Hannah Donaldson, Carter, Carys, and Caroline Abbott, all of Wauwatosa; brothers, Geoffrey (Pamela) Abbott of Chicago, IL, Jonathon (Karen) Abbott of Dallas, TX; sisters-in-law and brother-inlaw, Elizabeth Helm of Milwaukee, Mary (Stan) Severson of Iron Ridge, Linda Jones of Pewaukee; nieces, nephews, other relatives and many dear friends.

A Mass of Christian Burial was celebrated on Tuesday, December 15, 2015, at St. Paul the Apostle Catholic Church, 6400 Spring Street, with Rev. Andrew Thon officiating. Relatives and friends met with the family Monday at the

funeral home from 4:00 P.M. until 7:00 P.M. and Tuesday at the church from 10:00 A.M. until the Mass at 11:00 A.M. Private interment will be held. In lieu of flowers, memorials in Roger’s name to the Blood Center of Wisconsin have been suggested.

The family extends a special thank you to Dr. Mullane and his wonderful staff for all of their amazing care through these past years.

THE RIGHT MIX

Austin Mutual Insurance Company’s rich tradition and strong Wisconsin presence set us apart from other property/casualty carriers.

Day in and day out, our Wisconsin field marketing and underwriting team partners with our independent agent-customers to drive mutual profitable growth via our competitively-priced commercial lines product suite. Our comprehensive Main Line Business Owners Policy (Main Line BOP) program, which includes our successful Contractors, Office, Retail and Service classes, as well as our surety and fidelity bonds, are ideal for your “Main Street” insureds. We also provide your customers with our WOW! claims service.

Let our experience and local market knowledge win for you!

To learn more about how we team with our Wisconsin customers to achieve success in The Badger State, please contact Wisconsin field representative Karen Miller at (651) 308–8505 or MillerK@msagroup.com.

15490 101st Avenue North, Maple Grove, MN 55369 • (800) 328–4628 WISCONSIN INDEPENDENT AGENT

JANUARY 2016 | 17

Our Role in Your Office We’re specialists. !

! !

Targeting “Main Street” commercial accounts and more Workers’ Compensation “lead line” Complementary coverages in select states

We’re secure. ! !

Part of the Berkshire Hathaway group A+ (”Superior”) A.M. Best Company rating

We’re growing. ! ! !

Direct written premium of over $600 million Doubled in size in recent years Active in 46 states (many with our BizGUARD Plus Businessowner’s Policy product)

Berkshire Hathaway GUARD Insurance Companies can be a key carrier resource in your office. We have a well-defined focus that has enhanced the income stream of countless agencies across the

We’re competitive. ! ! !

Accurate pricing (that can be sold!)

Tiered Workers’ Comp rate structure Other standard and unique special discounts

country. Plus . . . our longer-range vision is to bring one-stop insurance shopping to business owners nationwide.

We’re growing and hope you are interested in joining us! We currently have agency appointments available.

To learn more, visit: We’re fast and easy. !

! !

Same day (often samehour) turnaround on Workers’ Comp quotes On-line rating application Extensive Service Centers

Remember: We’re the quote you could come up against . . . so why not join us?

www.guard.com/apply

Berkshire Hathaway

GUARD

Insurance Companies

SALES

TODAY’S SUPER PRODUCER IS AN ARTIST “Art isn’t only a painting. Art is anything that’s creative, passionate, and personal. And great art resonates with the viewer, not only with the creator” - Seth Godin Insurance agents have an opportunity today like never before, but first they must embrace some modern truths: D The truth that consumers search and buy products and services differently today than in the past 10 years.

Today’s super producer understands consumer wants, needs and desires. Instead of resisting these challenging consumer expectations, the super producer embraces the

D The truth that consumzers expect you to know as much about them as you do your insurance products.

D The truth that consumers expect clear communication in person and on the Internet.

opportunity to stand out.

D The truth that consumers want to be helped and not sold.

What Is a Super Producer?

The insurance industry is in a rapid state of transition. This transition occurs for many reasons, but the main source is from changing insurance consumer demands and expectations.

Today’s super producer understands consumer wants, needs and desires. Instead of resisting or even “putting up” with these challenging consumer expectations, the super producer embraces the opportunity to stand out.

Today’s insurance super producer is a thought leader in their respective category, industry or demographic. They look for new ideas and solutions to attract, educate and earn long lasting loyalty.

Today’s super producer creates splendid works of art but not on a canvas. Their art is created with ideas and actions that they can share with their customers.

see every challenge as an opportunity: an opportunity to create art that the competition never pondered.

Here’s why. A high percentage of insurance agents are complacent. For the past 10 years or more, many insurance producers have been winning sales by capturing low hanging fruit while thinking, “I’m doing pretty good.”

Today, many insurance producers are realizing that good fruit is harder to find and are struggling to win new customers and retain the ones they have. Why? D They have built no online platform.

D They have developed little or no reputation in the marketplace.

D They can’t differentiate themselves from their competition.

D They have no referral or testimonial strategy to prove their value.

Today’s super producers take these actions: D The truth that your reputation is built and maintained offline and online.

D The truth that consumers want an expert not a generalist.

D Instead of reaching for the ideal client, they create a mission statement and value proposition so that every prospect and customer knows exactly what they stand for.

D The truth that your personal brand precedes your agency brand.

D They become a world-class expert in their chosen segment.

D The truth that innovation and creative thought is more effective than stubbornness.

D They write and speak about the issues their ideal customers face both offline and online and provide insight on how to solve them.

D The truth that the first contact a prospect may have with you is on your website, blog or social media page.

D The truth that value trumps price (unless you aren’t providing any value).

D The truth that earning customer loyalty is proactive, not reactive.

D The truth that people don’t buy what you do, they buy why you do it.

D The truth that regardless of the platform or communication method, great salesmanship is always about building dynamic relationships.

WISCONSIN INDEPENDENT AGENT

D Instead of just joining networking groups, they create their own to ensure that they can deliver the right value to the right contacts.

D They earn loyalty everyday through a system of proactive actions for their clients.

D They use the voice of their customers through social media to have them become their largest sales force.

Warning!

None of these things will be easy. In fact, they will be extremely challenging. That’s why today’s super producer is so excited. They

D They create no consistent messages of value to their prospects and customers.

Today’s super producer is already hard at work in all of these areas.

Instead of whining and complaining about change, they spend part of each day thinking, planning and taking action to provide ways to give value and build relationships.

Artists Wanted The insurance industry needs more artists and fewer sales people. An artist is someone who uses bravery, insight, creativity and boldness to challenge the status quo. And an artist takes it personally.

Art is a personal gift that changes the recipient. The medium doesn’t matter.

The intent does. I challenge you to create art and make a difference in the lives > Brent Kelly is the co-founder and CEO of of your customers.

What art will you create?

BizzGrizz Marketing.

Learn more at brentmkelly.com and bizzgrizz.com.

JANUARY 2016 | 19

WS E N E H T N I S R E B M ME Company Awarded $2.5 Million in Tax Credits The Wisconsin Economic Development Corporation has awarded $2.5 million in tax credits to SECURA Insurance to assist with approximately $90 million in construction and equipment costs associated with a new headquarters to support the company’s growth in Wisconsin.

Possible sites for the company’s expansion include its current Appleton location at 2401 S. Memorial Drive or a 160-acre parcel on County CB in the Town of Menasha. Other sites in the Fox Cities area may be considered before a final decision is made.

SECURA made a commitment to grow its operations within Wisconsin after considering scenarios such as additional regional offices and remote workers outside of the state. The company writes insurance in 12 states and brings insurance premium revenue to Wisconsin to fund jobs and support the state economy. WEDC’s Economic Development Tax Credits supporting the project are partially dependent upon the retention of 250 existing positions and creation of 65 new full-time jobs at the new facility.

“Kevin has exceptional knowledge of the Specialty marketplace, including product and distribution,” said Dave Gross, the company’s president & CEO. “This, coupled with his emphasis on building strong relationships and leading others, makes him a great addition to the SECURA team. He possesses the best combination of leadership, vision, and specialty underwriting expertise to take us to new heights in this area.”

Klestinski has more than 24 years of experience in the insurance industry. Prior to SECURA, he served as Vice President–Property Casualty Underwriting with CapSpecialty Insurance where he was accountable for the overall profitability of its book of business. He also spent 14 years with ACUITY Insurance in various commercial underwriting roles.

Klestinski earned his Bachelor of Business Administration from St. Norbert College in De Pere, Wis., and holds the CPCU, CIC and ASLI designations.

“We are so impressed with Kevin’s background and even more impressed with his optimistic attitude and personal values that align so well with our culture,” said Gross. “It’s just another step toward enhancing our agent loyalty, people focus, and drive for long-term profitable growth.”

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

WEDC’s Economic Development Tax Credits are designed to help companies pursue projects that will create or retain full-time jobs in Wisconsin and are allocated based on the wage range of the jobs, the number of jobs to be created or retained, the capital investment made by the business, and the training costs for new or current employees.

Company Employees Direct $350,000 in Charitable Contribution

“In the past five years alone, we increased our annual revenue more than 50 percent and employee base 25 percent,” said Dave Gross, SECURA President and CEO. “This growth demonstrates that policyholders, independent agents and employees continue to place their trust in us.

It was only a matter of time before we needed to add to our facility footprint. We are proud to stick to our Wisconsin roots.”

While the location, timeline and SECURA’s board approval for the construction project remain open, the company has selected C.D. Smith to help plan its future facility needs.

The next steps for SECURA will be to select an architectural partner and determine the final location for the future facility. The company expects to begin building in 2017.

Company Hires Kevin Klestinski as New VP–Specialty Lines

Kevin Klestinski

20 | JANUARY 2016

SECURA Insurance hired Kevin Klestinski as new Vice President–Specialty Lines Underwriting to lead this fastest growing line of business for the company.

ACUITY announced that, at a town hall meeting for its staff, employees determined the distribution of a special year-end contribution of $350,000 among six different organizations. Those groups included the American Cancer Society, Feeding America, Safe Harbor of Sheboygan County, The Salvation Army, Sharon S. Richardson Community Hospice, and Mental Health America. Based on employees’ direction, the American Cancer Society received the largest allocation of more than $94,000.

Ben Salzmann announces the results of the charitable donation voting during the December 10, 2015, town hall meeting.

WISCONSIN INDEPENDENT AGENT

WS E N E H T N I S R E B M ME “The American Cancer Society represents hope. It fights every kind of cancer in every community, every day,” said cancer survivor Ian Lock, who spoke at the ACUITY Town Hall. “Hope also starts with companies like ACUITY who create a forum like this that makes fighting cancer a priority.”

The other groups received donations ranging from over $22,000 to more than $88,000. “Thank you personally to everyone at ACUITY for assisting us and helping us touch lives,” said Lt. Daryl Mangeri, Corps Officer/Pastor of the Salvation Army of Greater Sheboygan County.

The special $350,000 contribution adds to ACUITY’s ongoing support to the community throughout the year. Guided by the ACUITY Charitable Foundation, ACUITY contributed $3 million in 2015 to worthy organizations. According to benchmarking organization Ward Group, ACUITY donates 300 percent of what other corporations of its size give to charity.

“Although we support charitable organizations throughout the year, as Christmas approaches and the year winds down, ACUITY recognizes the special urgency of helping those in need. That’s why, for the past several years, we have made a special year-end donation, guided by our staff,” said Ben Salzmann, ACUITY President and CEO. ACUITY’s community support throughout the year also includes in-kind donations and use of the company’s corporate headquarters for charitable events. In addition, ACUITY employees contribute to charitable causes each year though donations of time, money, and much-needed supplies.

Company’s Growth Creates 120 Job Openings ACUITY announced that it plans to hire 120 employees over the next six months. Staff will be added at the insurer’s corporate headquarters in Sheboygan and throughout the 24 states in which ACUITY does business.

After this latest round of staffing is completed, ACUITY will have hired 700 employees over a five-year period due to the insurer’s strong, sustained business growth. Ranked among the top 26 “Super Regional” property-casualty insurers in the nation, ACUITY is on track to reach a new record in revenue in 2015, continuing the company’s multi-year track record of increased business. ACUITY has grown to become the 61st-largest propertycasualty company in the nation and is also constructing a 240,000-square-foot addition to its corporate headquarters to accommodate staff expansion.

WISCONSIN INDEPENDENT AGENT

“Growth continues to create opportunity at ACUITY, not only for new hires who are looking for rewarding work, but also for our current employees who seek to advance in their careers,” said Ben Salzmann, ACUITY President and CEO. “Our hiring reflects ACUITY’s faith in our future, because we are staffing proactively to have the people and resources in place to serve a growing customer base of families, individuals and businesses.”

ACUITY will be hiring processors and underwriters, software developers and technical support staff, business analysts, claims staff, customer service representatives, premium auditors, and more.

“ACUITY has opportunities for candidates with a wide range of experience, from new recruits and college graduates to professionals with many years in the insurance industry,” said Joan Ravanelli Miller, ACUITY’s General Counsel and Vice President - Human Resources.

Company Ranks as a Best Workplace for Camaraderie ACUITY is one of the 10 Best Workplaces for Camaraderie in the nation, according to Fortune and Great Place to Work®, which considered employees’ assessments of the sense of team, fun, and collegiality in ACUITY’s workplace. Based on evaluations by over 255,000 randomly selected employees from nearly 600 companies, ACUITY ranked #9.

“Companies that develop strong personal ties among employees and make time for fun at work aren’t just doing it to be nice. It’s a critical strategic investment,” said Michael Bush, CEO of Great Place to Work® United States. “Workplaces with strong camaraderie are associated with higher levels of cooperation, effort, and effective communication, which are all essential ingredients of a highperforming organization.”

“Building positive connections among our staff is essential for keeping job satisfaction high and providing the best service to our agents and the individuals, families, and businesses we insure,” said Ben Salzmann, ACUITY President and CEO. “All of our staff can take pride in helping build ACUITY’s outstanding workplace and in being recognized as a Best Workplace for Camaraderie.”

ACUITY’s headquarters campus is designed to build camaraderie, from a full-featured onsite fitness facility to ping-pong tables scattered throughout the central galleria. The company hosts dozens of social and teambuilding events throughout the year, organized by its Employee Activity Committee that is guided by ACUITY staff members.

ACUITY’s commitment to camaraderie is exemplified by its newest CONTINUED ON PAGE 23

JANUARY 2016 | 21

ERRORS & OMISSIONS

COVERAGE CROSSROADS Distinguish between occurrence and claims-made policies

How do you decide between occurrence (coverage for loss events that occur during the policy year) and claims-made (coverage for claims made during the policy year) insurance policies?

competitive price. Either the broker is great at their job, or they failed to note that the replacement policy will switch the insured’s coverage from claims-made to occurrence— creating a coverage gap.

Though the vast majority of the language contained in these two policies may be identical, a subtle shift in the DNA of one versus the other can lead to very different outcomes. And take it from an E&O professional: they’re not all good.

Where the renewal policy would have continued to provide ‘full prior acts’ coverage for past years of mistakes, the occurrence policy provides coverage for loss events in the current year, but not for prior years. As a result, the customer now lacks coverage for past events that could still remain within the statute of limitations for filing civil lawsuits.

Most coverages tend to be written on one form or the other, but a few can be written on either. Assume, for example, that a claims-made policy provides ‘full prior acts’ coverage: in the event of a claim on an undiscovered error that happened years ago, it will be covered even though the policy in place at the time of the mistake has long since lapsed. That’s the beauty of claimsmade coverage.

Now the peril: if an unsuspecting broker receives a quote on replacement coverage, they may well find a surprisingly

22 | JANUARY 2016

Changing from one claims-made policy to a competitor’s policy? Some policies include a ‘retro date’ at inception of the first policy that denies coverage for any negligent acts or losses in prior years even though no claim has been made.

Of course, the replacement policy is priced lower: it cuts off years of potential liability, which the renewal policy would continue to cover—an apples-to-lemons comparison

if ever there was one. Tail coverage is likely available from the current carrier, but add that cost to the would-be replacement policy for a more accurate side-by-side comparison.

Switching from occurrence to claimsmade can also cause problems. In theory, a series of occurrence policies would provide protection for those prior policy years, with a new claims-made replacement policy simply adding to the coverage.

But the agent may find their customer’s final occurrence policy imposed a time limit on reporting new claims that would not have been an issue had that policy renewed.

Couple that with a claims-made policy that sets a retro date at policy inception, and we’re back to a serious coverage gap—despite the fact the policy periods fit edge to edge with no daylight between.

Study your options carefully before making a decision for your clients—and choose wisely.

> Matthew Davis is a vice president and claim manager at Swiss Re Corporate Solutions in Overland Park, Kansas.

WISCONSIN INDEPENDENT AGENT

S W E N E H T N I S R E B MEM CONTINUED FROM PAGE 21

campaign, “Be Joy, Be ACUITY, Be You!” This program recognizes employees who have brought joy to others and who inspire their colleagues. ACUITY has also been recognized as the #3 large company to work for in America, the best insurer to work for, a top employer for women and millennials, and one of the coolest offices in the U.S. For a complete list of career opportunities at ACUITY, visit acuity.com/ careers. For more information about ACUITY, please visit acuity.com.

Philadelphia Insurance Reaches Goal to Plant 80,000 Trees Planting 80,000 trees is equivalent to reforesting over 250 football fields.

Philadelphia Insurance Companies (PHLY) will support the planting of 80,000 trees after reaching the goal of a yearlong collaboration that engaged agents, customers, and employees. The goal of the PHLY 80K Trees initiative, which launched in partnership with the Arbor Day Foundation on Earth Day 2015, was to help wildfire and natural disaster recovery efforts and restore habitats across the country. There are over one million acres in desperate need of replanting due to natural disasters according to the U.S. Forest Service. PHLY’s efforts to plant 80,000 trees will help provide greater security to communities, including PHLY’s policyholders.

“PHLY is on a mission to save forests devastated by natural disasters,” shared Bob O’Leary, President and CEO of Philadelphia Insurance Companies. “Trees provide habitat for wildlife and clean water for communities, while helping to protect businesses from flooding by increasing soil stability and reducing storm water runoff in urban areas.”

The PHLY 80K Trees goal was reached with the help of PHLY’s independent agents, brokers, and policyholders. PHLY invited producers and policyholders to enroll into receiving paperless statements. The company will use the cost savings to fund the planting of 40,000 trees in Bastrop State Park and surrounding communities. An additional 20,000 trees will be planted in both Superior National Forest in Minnesota and Modoc National Forest in California. PHLY employees also raised money to support the initiative and will help plant a portion of the 40,000 trees in Bastrop State Park near Austin, TX in January 2016.

As part of its partnership with the Arbor Day Foundation in 2015, PHLY also purchased carbon-offsets, which reduced its carbon footprint by 2,200 metric tons. This is equivalent to removing 463 passenger vehicles from the road for a year.

For more information about the initiative, please visit phly. com/trees. For more information about Philadelphia, please visit phly.com.

OPEN DOOR POLICY

ZENEFITS EXPOSED: UNFAIR MARKETING PRACTICES COMPLAINT FILED WITH OCI

CONTINUED FROM PAGE 5

model. They will continue to exist and be a threat to independent agents and brokers and we must find a way to evolve to compete with them. In doing so, we can use our knowledge of the industry and its regulatory framework to our advantage.

While this complaint is not the silver bullet many have been looking for, this complaint will, however, provide agents and brokers with additional ammunition when selling against Zenefits. I believe that OCI will agree with our position that Zenefits violated Wisconsin’s unfair marketing practices statute.

WISCONSIN INDEPENDENT AGENT

If (when) that decision is rendered by OCI, the argument can be made to any existing client of an independent agent/broker (or prospective client of Zenefits) that they may want to refrain from doing business with a company that knowingly violated state law.

If they are willing to violate it in this regard who is to say that won’t blatantly do it again.

This information will hopefully illustrate the stark contrast between a West Coast, technology-based start-up that doesn’t want to be called an insurance agency and the proud, local independent agents and brokers that have been in business for generations by building relationships forged by trust and customer service.

I believe most competent business owners or human resources professionals, when approached with such information, would likely shy away from doing business with a company that shrewdly broke the law.

Wishing you all a prosperous 2016!

JANUARY 2016 | 23

INDEPENDENT INSURANCE AGENTS OF WISCONSIN

2016 PRELICENSING CLASS SCHEDULE Conducted at the State Association Headquarters, IIAW prelicensing classes fulfill the study requirements for life, health, property and casualty. Full course materials — not just an outline — are included with registration. The classes are: Designed to help you pass your state licensing examination. The quickest way to meet the WI education hours requirement.

Taught by experienced insurance professionals who know the business. Conducted in a comfortable classroom with free parking.

Approved by the Office of the Commissioner of Insurance.

2016 CLASS DATES Life & Acc./Health January 11-14 February 8-11 Feb. 29-March 3 April 4-7 No May class June 6-9 July 11-14 August 8-11 September 12-15 October 3-6 October 31-Nov. 3 December 5-8

PRICING & CLASS D E S C R I P T I O N S

Property & Casualty Jan. 18-21 & Jan. 25-28 February 15-18 March 21-24 Apr. 11-14 & Apr.18-21 May 23-26 June 20-23 July 25-28 August 22-25 September 26-29 October 17-20 November 14-17 December 12-15

To register, click the Education tab on IIAW.com.

For WI exam info, visit prometric.com.

NON-MEMBER PRICING: $335 You may also take individual classes. Class descriptions and prices are below.

Life & Accident/Health Day One (Monday) 8:30 a.m. - 4:00 p.m. ($80) SECTION A: Principles of Insurance & General WI Insurance Law Ethics Day Two (Tuesday) 8:30 a.m. - 4:00 p.m. ($85) SECTION B: Life Policies, Terms & Concepts Day Three (Wednesday a.m.) 8:30 - 11:30 a.m. ($42.50) SECTION B: Life Policies, cont. & WI Life Insurance Law Day Three (Wednesday p.m.) Noon - 4:00 p.m. ($42.50) SECTION B: Accident & Health Policies, Terms & Concepts Day Four (Thursday) 8:30 a.m. - 4:00 p.m. ($85) SECTION B: Accident & Health, cont. & WI Health Insurance Law

Property & Casualty Day One (Monday) 8:30 a.m. - 4:00 p.m. ($80) SECTION A: Principles of Insurance & General WI Insurance Law Ethics

CLASS SITE/DIRECTIONS The IIAW is located at 725 John Nolen Dr. in Madison, WI. Take the Rimrock Rd. exit (north) off of Highway 12/18 (Beltline), turn right on to John Nolen Dr., then turn right immediately into the driveway.

Located near the Alliant Energy Center.

INCLEMENT WEATHER If weather conditions are questionable, use your own judgment regarding your personal safety. However, any missed class time will have to be made up.

HOTEL INFORMATION Students requiring lodging will receive a special rate at the Clarion Suites, 2110 Rimrock Rd. in Madison.

Please call the hotel directly at 608.284.1234 and ask for the independent insurance agent s discount.

R EGISTER

IIAW MEMBER PRCING: $320 Member pricing given for full class registrations.

FOR

Day Two (Tuesday) 8:30 a.m. - 4:00 p.m. ($85) SECTION B: Property Policies, Terms & Concepts Day Three (Wednesday a.m.) 8:30 - 11:30 a.m. ($42.50) SECTION B: Property Policies, cont. & WI Property Insurance Law Day Three (Wednesday p.m.) Noon - 4:00 p.m. ($42.50) SECTION B: Casualty Policies, Terms & Concepts Day Four (Thursday) 8:30 a.m. - 4:00 p.m. ($85) SECTION B: Casualty Policies, cont. & WI Casualty Insurance Law Please contact Katie at Katie@IIAW.com for information about multiple registration discounts.

The course fee includes all class materials. Materials are distributed on the first day of class. You receive: • The Life & Accident/Health or Prop. & Casualty Insurance Study Manual.

• The Intermediary s Guide to WI Insurance Law. • The State of WI Insurance Licensing Candidate Handbook. This provides all the necessary information to obtain a license.

C LASSES

AT

IIAW. COM

GOVERNMENT AFFAIRS

IMPROVED UI FINANCIAL OUTLOOK TRIGGERS LOWER TAX RATE SCHEDULE FOR 2016 CONTINUED FROM PAGE 7

The federal government began charging states interest on these loans back in 2011. Wisconsin made payments in 2011 and 2012 with funds collected through a Special Assessment for Interest (SAFI) on employers. Then the 2013-15 state budget bill included a provision that allocated $30 million of state general revenues to cover the additional interest due on UI Trust Fund loans from the federal government during 2013-15. The interest payments in 2013 and 2014 were paid using these state general funds. All federal loans and interest due have been paid.

Only California, Connecticut and Ohio have outstanding loans remaining with the federal government.

Due in part to several reforms approved in the most recent 2015-17 state budget,

WISCONSIN INDEPENDENT AGENT

as well as a gradually improving economy and low unemployment rate, Wisconsin’s UI Trust Fund has returned to a healthy financial position with a positive balance and is meeting its benefit obligations.

Consequently, Wisconsin employers will see reduced UI tax rates and continue receiving the full Federal Unemployment Tax Act (FUTA) credit.

According to the DWD, this change will reduce the employer UI tax burden by an estimated $97 million beginning in 2016.

Unemployment Insurance tax rates are based on an individual employer’s experience and the amount of savings will vary depending on the employer’s tax bracket. The rate schedules also can vary from year-to-year depending on the overall financial condition of the UI Trust Fund.

For more detailed information on the UI program and how it is financed, please visit Wisconsin Unemployment Insurance Financing System (dwd.wisconsin.gov/uitax/ financing).

Let’s hope for continued economic growth and correspondingly, further gains in the financial condition of the UI Trust Fund. A trust fund balance exceeding $900 million would again trigger a lower UI tax rate schedule (Schedule B to Schedule C). If this occurs, Wisconsin employers would pay even less in UI taxes. Those dollars could then be invested into their businesses.

JANUARY 2016 | 25

TECHNOLOGY

USING

FOR AGENCY AWARENESS

Given the dominance and relevance of Google, we have started to focus some of our agency’s social media efforts on Google+. We’ve found that Google+ offers several advantages over other social networks.

For starters, it allows us to place our contacts within a certain circle or circles. In our business, we’re able to effectively place our clients in circles (groups) based on line of business, business type, prospect status and other groupings. This allows us to then engage each circle based on its members’ common interest.

Over the past several months, we have implemented a systematic approach to Google+. For example, when our bimonthly blogs are posted on our webpage, we also make a Google+ post linking back to the blog. This strategically drives traffic back to our website to engage prospects about our insurance offerings.

3. Informative content. Engagement around other topics is a good idea, too. We cover subjects like what to carry in your vehicle in case of emergencies, how to fix a flat tire, the top five ways to reduce your taxes and more.

In this content area, we also encourage local businesses to share information. We’ve found that plumbers, electricians, accountants and other business Also, Google has a professionals can strong track record of offer great advice When our bimonthly blogs are posted on our integrating its products. to our clients. In For example, if you return, we get an webpage, we also make a Google+ post linking have a Google+ account opportunity to back to the blog. This strategically drives and then go to Google return the favor traffic back to our website to engage prospects Maps to search for your and provide their agency, you will see a business associates about our insurance offerings. link to your Google+ some valuable account. The same holds insurance advice true for people within and information. your circles: they get a link directly to your There is a strategic purpose to our engagement Google+ page as well. with the agency’s Google community. We 4. Blogs. We’ve learned that a good way schedule our postings during the week around to find blog ideas is to engage our current While Google does not specifically say this five distinct content areas: customer base. It can be as simple as making happens, many believe that Google uses a post asking them what questions they Google+ as one of its criteria to generate search 1. Community. We interact based on our local have about insurance-related topics. We results. Whether it’s fact or fiction that using community involvement activities, along with gather this information and begin to answer Google+ helps boost search engine placement other events that we believe are of interest to their questions in a blog format. Blogs are a or ranking, we believe that using Google+ is our community. great way to increase an agency’s brand and a good idea. There also appears to be a slight awareness. bump in search engine placement if someone 2. Insurance. We provide benefit to our in your Google+ circle searches for you. audience by helping to expand their 5. Fun. People—even business people—love knowledge to laugh. They enjoy finding humorous items of insuranceto share with their friends through social related topics. media. Recently, we posted a video by our For example, we local governmental staff performing the song NEW LOGO address questions “Happy” by Pharrell like: should I lower Williams. my deductibles; when renting a Social media is a great vehicle on vacation, way to increase brand should I pay for the awareness and engage collision damage clients and prospects. waiver; and how It’s important when Same Commitment to the Independent Agent many employees formulating a social > George Robertson is must I have before media strategy to owner of Rockingham taking out workers incorporate variety and Insurance Agency in compensation consistency in posts and Eden, North Carolina.

He also is a member of insurance. platforms. badgermutual.com

26 | JANUARY 2016

800/837-7833 Milwaukee, WI

the Agents Council for Technology Steering Committee.

WISCONSIN INDEPENDENT AGENT

© SECURA Insurance

Let’s make sure they can spend time tending their roots.

Strong, steady growth since 1900 Commercial • Personal • Farm-Ag • Specialty

When you partner with SECURA, you’re family.

Watch: secura.net/partners

3

1 in 4

underwriters at J.M. Wilson previously worked for a retail agency

RELATIONSHIPS IT’S ALL ABOUT WHO YOU KNOW

GENERATIONS OF LEADERSHIP

55%

BROKERAGE / PROFESSIONAL PERSONAL LINES PROPERTY & CASUALTY TRANSPORTATION

1947

28 | JANUARY 2016

SURETY

(800) 666-5692 | JMWILSON.COM

WISCONSIN INDEPENDENT AGENT

COMMUNITY

A rendering of the new “Silver Lining Amphitheater. West Bend Mutual donated $600,000 toward the construction of the state-of-the-art facility.

It is scheduled to open in July 2016 for the Washington County Fair.

WASHINGTON COUNTY TO BUILD ‘SILVER LINING AMPHITHEATER’ West Bend Mutual Insurance donating $600,000 for venue On December 15, 2015, the Washington County Board voted to accept a $600,000 donation from West Bend Mutual Insurance for the construction of a new amphitheater stage at Washington County Fair Park.

The new, state-of-the-art stage — the “Silver Lining Amphitheater” — is part of a plan to upgrade the park’s facilities attract new talent to the venue. Construction of the new amphitheater stage is expected to begin in early spring 2016 and be completed in time for the 2016 Washington County Fair.

“West Bend Mutual Insurance has worked hard over the last century to provide the highest level service to our customers and grow our business, and we think it is important to share our success with the community that has been our company’s home for more than 120 years,” said Kevin Steiner, President and CEO of West Bend Mutual Insurance. “This donation will create an entertainment venue for local families to enjoy for years to come.”

The Silver Lining Amphitheater will replace the fair’s current amphitheater, which was built in 1999, with a larger 50 by 100 foot WISCONSIN INDEPENDENT AGENT

stage. The new amphitheater will be covered, offering protection from the elements for entertainers, and will help attract additional high-caliber acts throughout the season. The venue will accommodate 1,500 people.

“The Washington County Fair has prided itself in securing top national entertainment,” said Sandy Lang, Executive Director of the Washington County Fair Park and Conference Center. “With the high caliber of entertainment, the request has been for a much larger stage. We’re excited that the Silver Lining Amphitheater will allow us to bring more prominent acts to Fair Park to the benefit of the citizens of Washington County.”

As part of the public-private partnership to improve the fairgrounds, the Washington County Board has allocated up to $85,000 in county funds for architectural services and preliminary site work.

“One of the defining attributes of a vibrant community is a positive relationship between government and local businesses,” said Washington County Administrator Joshua Schoemann. “West Bend Mutual Insurance Company’s leadership on this exciting project

is definitive of what it takes to make our county great. We are extremely grateful for this partnership and the opportunity for other public-private partnership opportunities in the future!”

“On behalf of the County Board and all of the citizens of Washington County, we are very grateful to West Bend Mutual Insurance Company for their generous support to our community” said Washington County Board Chairman Herbert Tennies. “The Silver Lining Amphitheater is a great addition to Washington County and will be enjoyed for many years by residents and visitors.”

Zimmerman Architectural Studios will design the amphitheater. Zimmerman’s impressive entertainment venue portfolio includes the Miller Lite Oasis, Harley-Davidson Roadhouse and Summerfest’s Rock Stage.

“As a West Bend resident and an architect for over 40 years, I know firsthand how significant this gift is,” said David Stroik, President and CEO of Zimmerman Architectural Studios.

“I’m excited to partner with West Bend Mutual Insurance and Washington County to give back to our community.”

JANUARY 2016 | 29

FOOD FOR THOUGHT MOVE OVER MILLENNIALS: GENERATION Z IS HERE

Generation Z, born between 1994 and 2010, will enter the workforce starting next May. This generation is jaded from the recession, suffers from student loans and has learned a lot being the children of Gen X. Compared to millennials, Gen. Z are even more entrepreneurial, loyal, flexible and realistic in their approach to careers and purchasing. They choose opportunities for growth and work-life balance over salary when selecting what company to work for. Like millennials, they will seek mentors and supporters because they are first starting out in their careers, and they will be even more connected through technology.

About a third desire to become managers in the next five years already, and 45% believe working with boomers will be challenging.

Source: Forbes

WHILE ON THE TOPIC OF GENERATION Z...

College freshman in 2016 have experienced the following:

LeRoy Butler inventing the Lambeau Leap in 1993

D For most of their lives, maintaining relations between the U.S. and the rest of the world has been a woman’s job in the State Department.

D There has always been football in Jacksonville but never in Los Angeles.

D Since they’ve been born, the U.S. has measured progress by a 2 percent jump in unemployment and a 16-cent rise in the price of a first class postage stamp.

D The Green Bay Packers have always celebrated with the Lambeau Leap.

D Lou Gehrig’s record for most consecutive baseball games played has never stood in their lifetimes.

D Gene therapy has always been an available treatment.

D Despite being preferred urban gathering places, two-thirds of the independent bookstores in the United States have closed for good during their lifetimes.

D While the iconic TV series for their older siblings was the sci-fi show Lost, for them it’s Breaking Bad.

Source: Beloit College’s The Mindset List

EVERY DAY. EVERY HOUR. ALWAYS.

Beyond the expected.

®

Join our network of independent insurance professionals.

Dave Ganschow Extension 2178

Mike Tietz Extension 3081

Tom Buss Extension 3037

2505 COURT STREET • PEKIN, ILLINOIS • 61558 • 800-322-0160, EXTENSION 2394 • WWW.PEKININSURANCE.COM

AUTO 30 | JANUARY 2016

•

HOME

•

LIFE

•

HEALTH

•

BUSINESS WISCONSIN INDEPENDENT AGENT

PART 1 The accident PART 2 JUSTICE SERVED NOW PLAYING!

CE VIDEO

Trusted Choice Independent Insurance Agents of Wisconsin

725 JOHN NOLEN DRIVE MADISON, WI 53713

PRSRT STD US POSTAGE

速

PAID

MADISON WI PERMIT NO. 2506