Main Street Industry News - August 2016

INSIDE Relationship: Carriers & Independent Agents » 7 PIA National Sponsored Study: Your Website & You » 13 More Troubles for ObamaCare & Health Insurer Mergers » 23 Cover Image: Katie Morrow Nebraska Summer Morning

August 2016 | Published Monthly

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Did you know that PIA’s company council, The PIA Partnership, has conducted nationwide research about the insurance buying preferences of small business owners?

The research is encouraging because it found that small business owners strongly prefer independent insurance agents as they make choices in today’s online world.

However, the results also serve as a wake-up call that agents must take steps to continue to demonstrate their value and also be more engaged online.

PIA and the companies belonging to The PIA Partnership have created a public website that helps agents understand PIA’s findings.

PIA members also have access to a private website containing a series of strategies and tools to help them stay ahead of online competition in commercial lines.

To access the newest PIA Partnership project, Small Business Insurance & The Internet — The Voice of the Commercial Lines Customer, visit us at www.pianet.com/voiceoftheclcustomer.

If you are not a PIA member and want to access all of the tools available through this program, contact us for a membership application or visit us online at www.pianet.com/joinpia.

National Association of Professional Insurance Agents 400 N. Washington St., Alexandria, VA 22314-2353 www.pianet.com | membership@pianet.org | (703) 836-9340

Top Stories Relationship: Carriers & Independent Agents | 7 Independent insurance agents are — mostly — happy with the carriers they use. But a new Channel Harvest survey suggests there are some areas where carriers need to improve.

2016 Politics & Insurance | 8 According to most sources insurance professionals are a rather conservative lot.

Historically insurance leans right in voting and — while often giving to both parties — in how it donates to political candidates and causes.

So you’d think insurance will more than likely — as a generality — to vote for and contribute to Donald Trump than Hilary Clinton.

The Impact of a Cyber Attack from Another Perspective | 10 Not a week goes by that a large business or government entity gets hacked in a cyber attack.

They have become so frequent that they aren’t even big news anymore.

PIA National Sponsored Study: Your Website & You | 13 For years insurance technology experts have been nagging the industry’s leaders about the importance of keeping websites up to date and working smoothly.

Flood Insurance: Positive Changes Coming | 16 These days — or so it seems — everyone wants changes in the nation’s flood insurance program. The latest group to weigh in is the National Association of Insurance Commissioners (NAIC). On the agenda for

next week’s annual meeting is a number of proposals on reforming and reauthorizing the National Flood Insurance Program (NFIP).

Aetna’s Decision Leads to ObamaCare’s Biggest Crisis | 18 As we have been reporting, Aetna is making major cuts in the individual coverage it is offering on the Affordable Care Act’s exchanges. Some of us know them as marketplaces.

More Troubles for ObamaCare & Health Insurer Mergers | 20 Aetna was going to move to the health insurance exchanges of five new states in 2017. Those plans — as of last week — are on hold. And it is going to reassess those states where it is currently participating and serving 838,000 consumers.

PIA NE IA Events Upcoming Events Calendar 2016 | 24

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Cathy Klasi, Executive Director (402) 392-1611

August 2016| Main Street Industry News | www.pianeia.com | 4

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We pledge to always conduct ourselves in a manner that enhances the public image of PIA and adds real value to our members.

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Top Stories

Relationship: Carriers & Independent Agents

Independent insurance agents are — mostly — happy with the carriers they use. But a new Channel Harvest survey suggests there are some areas where carriers need to improve.

Done annually, the Channel Harvest survey is titled Key Success Factors in Agent/Carrier Relationships: 2016 Survey. It found 80% of the 1,900 agents surveyed are extremely or — at the least — very satisfied with their personal lines carriers. Commercial lines carriers fared well at 75%.

Neither — however — does well with pricing or technology: • 96% say competitive pricing is very or

somewhat important to them

• 71% of personal lines agents say their carrier of choice’s pricing

competitiveness above average • 67% of those using commercial lines

carriers feel the same • 90% consider technology very important • Just 70% say carrier technology is above

average Channel Harvest Principal Peter van Aartrijk said, “Agents will have their favorite carriers — and love them, warts and all. In some ways, you can still be ranked as an overall so-so carrier in a number of areas, but in a basket of so-so or lousy carriers, you might not actually look that bad. It sounds harsh, but I think agents will put up with a lot in exchange for a

August 2016 | Main Street Industry News |www.pianeia.com| 7

Top Stories consistent market, decent prices and products, and okay service.”

He said the best way carriers can get better agent approval is in the area of technology. Agents want more comprehensive technological offerings like real time quoting and renewals, endorsement processing and claims downloads.

Defending carriers, van Aartrijk said financial pressures and battles on where to spend technology dollars are going on internally. Plus, upgrades are expensive.

“On digital support, I see a major need for agencies to understand the who, what, when, where, why and how of how to accomplish this. Carriers not only have the challenge of redefining digital communications to existing policyholders, they need to educate their agencies — even their very best agencies — on how to leverage these tools. This is a major shift in thinking, investment and agency support,” he said.

Both commercial and personal lines carriers received low scores for digital and social media support and for training and education.

And when it comes to agency compensation, personal lines carriers scored below the needs of agents for more consumer choice and online shopping options.

And there are things agents need to do to build their business. He noted personal lines agents — especially — need to pay attention to what they’re doing. “That means more than an updated, mobile friendly website (which is obviously critically important). It means using email wisely to reach existing customers at various times during the policy year; focused, ongoing social media marketing that shows the personal connection between the agency’s employees and the communities they serve; and partnering with centers of influence in communities on sponsorships and links and advertising,” he said.

Source: Insurance Business America

2016 Politics & Insurance

According to most sources insurance professionals are a rather conservative lot. Historically insurance leans right in voting and — while often giving to both parties — in how it donates to political candidates and causes. So you’d think insurance will more than likely — as a generality — to vote for and contribute to Donald Trump than Hilary Clinton.

August 2016| Main Street Industry News | www.pianeia.com | 8

Top Stories Here’s what’s odd. The Center for Responsive Politics — the operator of OpenSecrets.org — said as of July Clinton has picked up $1.2 million industry dollars and leads Trump in donations by over $1 million. He’s picked up just $111,645.

Here are the top insurance spenders:

While the Clinton figure seems surprising, it actually isn’t. In 2008 P&C, auto, health and life companies gave her $1.26 million.

• AFLAC — $1,215,224

Ironically, the industry seems to support her in spite of Clinton’s pushing for the creation of a government option health insurance company to provide insurance for ObamaCare users.

Clinton and others worry that growing rates will be too much for consumers and since the government doesn’t need to show a profit, a government option company makes sense.

Plus, Aetna and others are either planning to or actually exiting the exchanges.

• Metlife — $1,061,109

It doesn’t — however — make sense to many insurance companies or insurance groups.

These are groups like America’s Health Insurance plans who said, “A government-run plan would underpay doctors and hospitals rather than driving real reforms that bring down costs and improve quality. It’s time we focus instead on broad-based reforms that will ensure the affordability and sustainability of our healthcare system.”

• Prudential Financial — $726,907

Agents also question the wisdom of adding a public option to the ObamaCare insurance mix.

• State Farm — $511,125

That’s the presidential race. Most of the time insurance goes conservative when it comes to donations. In 2016 the Republican Party has picked up $19.7 million and the Democrat Party a less than half that at $9.6 million.

More than 70% of the donations to political parties from independent agents and independent agent associations have gone to Republicans.

• Starr Companies — $15,062,700 • New York Life Insurance — $1,570,192 • Blue Cross/Blue Shield — $1,545,471 • National Association of Insurance and Financial Advisors — $1,191,000 • Independent Insurance Agents & Brokers of America — $1,005,975 • Council of Insurance Agents & Brokers — $872,948 • USAA — $788,615 • Massachusetts Mutual Life Insurance — $754,029 • Liberty Mutual — $701,528 • Northwestern Mutual — $690,694 • TigerRisk Partners — $674,200 • American Council of Life Insurers — $610,376 • American Financial Group — $534,536 • Association for Advanced Life Underwriting — $490,000 • Zurich Financial Services — $477,785 • Nationwide — $476,801 Source: Insurance Business America

August 2016 | Main Street Industry News |www.pianeia.com| 9

Top Stories

The Impact of a

Cyber Attack from Another Perspective Not a week goes by that a large business or government entity gets hacked in a cyber attack. They have become so frequent that they aren’t even big news anymore. That leads to what you know but haven’t seen in the news much lately. Cyber attacks are growing in frequency and in intensity.

In fact, most large organizations and businesses in this country have experienced at least one cyber attack. But do they — or you, or anyone — realize the full impact of a cyber attack on an organization or a business? While most are familiar with the basic problems, few are aware of the deeper, longer lasting troubles associated with one.

Deloitte Advisory released a report last week on the hidden costs of hacking. Those costs — Beneath the Surface of a Cyberattack: A Deeper Look at Business Impacts — will add up to 90% of the total bill and will likely be experienced for a year or two after the initial breach.

In the report Deloitte looked at 14 different impacts and classifies them as above the surface — or known costs — and below the surface which is the hidden, less visible costs.

Each category has seven impacts.

Emily Mossburg — who is a principal with Deloitte & Touche LLP — is a practice leader for Deloitte’s cyber risk services. She said, “Executives have difficulty gauging potential impact partly because they are not typically privy to what their peers struggle with as they work to get their businesses back on their feet.

An accurate picture of cyberattack impact has been lacking, and therefore companies are not developing the risk postures that they need.”

In the past a lot of the focus has been placed on a company’s vulnerability and the impact of technology on that vulnerability. “The focus seems to be focused very narrowly on the breach notification element and the postbreach protection mechanisms that need to

August 2016| Main Street Industry News | www.pianeia.com | 10

Top Stories be in place, but the broad impact seemed to be ignored. An accurate picture of cyberattack impact has been lacking, and therefore companies are not developing the risk postures that they need,” Mossburg said.

Deloitte — she added — didn’t think a proper estimate of the true cost is being given. “We thought this was being under-estimated. What we didn’t expect was how much of the true impact was beneath the surface and hasn’t been part of everyday discussion of cyber incidents today.”

Here are the above the surface costs and percentage of the cost of a breach for large firms. Smaller companies can do their own estimate of the costs of these items: • Customer breach notifications — it last six months and costs $10 million — 0.6% of the total.

• Post-breach customer protection — lasts three years and costs $21 million — 1.25% of the total cost.

• Regulatory compliance (fines) — it’s $2 million over a two-year period — and it is 0.12% of the total.

• Public relations/crisis communications — runs $1 million over the first year — it is 0.06% of the total.

• Attorney fees and litigation — a 5 year cost of $10 million — 0.6% of the total cost.

• Cybersecurity improvements — $14 million during the first year — it is 0.83%.

• Technical investigations — a six week cost of $1 million — or 0.06% of the total.

These are the below the surface costs. And they are the biggest expense of a cyber attack: • Insurance premium costs — $40 million over three years — it runs 2.38% of the total bill.

• Increased cost to raise debt — hits $60

million — and is 3.57% of the total.

• Operational disruption — $30 million — 1.79%.

• Lost value of customer relationships — a whopping $430 million over 3 years — 25.61% of the total loss.

• Value of lost contract revenue — a staggering $830 million over 3 years — 49.43% of the total cost.

• Devaluation of trade name — a $230 million loss over 5 years — 13.7% of the total.

• Loss of intellectual property — no cost estimate can be made.

Mossburg says businesses and organizations need to focus on four areas to prevent attacks and manage them if they happen. “First and foremost, we’d look at the program elements — their strategy, their governance, their policies, their procedures, their framework, and are there any gaps related to their overall programs that would need to be fixed.”

Second, Mossburg would take a look at proactive security controls and posture, “Do they have the things in place to protect the data that they have, the systems that they have, the environment that they have, and most importantly, the business that they have?”

Third, what does a company have in place to monitor and understand things on an ongoing basis. “Do they have the appropriate tools to log the activities that are happening within their systems, and do they have the appropriate analytics in place to analyze what’s happening that is outside of the normal,” she said.

And last, how do they respond? Is the company resilient? “Do they have in place the processes to respond to an incident. Have they tested those processes and plans? And do they know — right up through the executive management team — who they need to communicate those things to?”

Source: CSO

August 2016| Main Street Industry News | www.pianeia.com | 12

Top Stories

PIA National Sponsored Study

YOUR AND YOU For years insurance technology experts have been nagging the industry’s leaders about the importance of keeping websites up to date and working smoothly. Technology is evolving and you need to evolve with it. Those are the technology experts. Marketing experts are preaching from the same pulpit.

The chant goes something like: keep up, keep up, keep up.

But independent insurance agents — at least most of them — don’t appear to be hearing the call. Or if they are hearing it, they aren’t acting.

A poll done by Insurance Digital Transformation says 60% of independent agents say their websites are “average to poor.”

Just 8% brag that their website is up to speed and rated excellent.

PIA National administered the survey with ACORD User Groups Information Exchange and the IIABA’s Agents Council for Technology.

The poll found 70% of agents have plans in place to raise the level of their websites.

But — as they say — the best laid plans of mice and men…etc. These independent agents and agencies are not following their plans.

August 2016 | Main Street Industry News |www.pianeia.com| 13

Top Stories The report generated from the survey shows less than 25% of agents have comparative raters to help customers quote home and auto.

Just 16% use chat or instant messaging to communicate with potential customers or with current customers.

As to why? No one is quite sure and the report puzzled out this comment: “This is a relatively inexpensive technology and easy to implement, so the low percentage is surprising.”

Cal Durland is an industry consultant and advocate at Insurance Digital Revolution.

He said agents and agencies are also failing to update their websites to give consumers access in the format they prefer. “Whenever I need to find something, I take out my phone and Google it. So does someone who is perhaps new to the area and is looking for insurance — but these agency websites just aren’t robust enough to keep them.”

And with that he gave some important advice to those same agents and agencies. “Your website needs to be more than just a brochure.

It needs to host everything from the ability to quote car insurance or chat with staff, all from their phone. There’s a whole slew of functionality that’s just not reading,” he said.

PIA National Executive Vice President Mike Becker said consumers want to use mobile apps to help them with their insurance needs.

Yet just 21% of agencies say their website has that capability. Just a few more — 23% — say they have a client portal on their website. He said independent agents ought to make these functions a high priority even if their clients are demanding them or asking for them directly.

“Agents can’t assume that no news is good news. When it comes to customers’ digital requirements, that’s never true. Look at banking — many institutions did not know how popular online and mobile banking would be with their

customers until they adopted it. The same is true for insurance. These technologies provide quick, easy and on-demand access to policy and billing information, quoting and rating,” Becker said.

Additional Survey Findings • Agents and agencies need to add automation tools that improve work flow.

• 40% of those surveyed say disjointed work flow is a huge challenge.

• Carriers not making their sites available through agency management systems is also problematic.

• That said, agents aren’t really taking advantage of those carriers that do make them available.

• 60% of agents say they are not using claims download programs.

• Just 6% are finding ways to add quoting to the website for commercial lines.

• For personal lines that figure is 16%.

That means — Durland said — many agents are manually reentering data when they switch from a carrier portal to their own management system. That not only slows down the process but it increases the risk for error. “Years ago, you heard a lot of push for a single-entry, multiple-company interface. The industry is still stepping into that,” he said.

ACORD’s Greg Maciag and the PIA and others involved are encouraged by the results. “Many agents want to become digital, they just need guidance on where to start,” Maciag noted.

As to the need to for agents and agencies to keep websites current, Laird Rixford — Insurance Technologies Corporation (ITC) president — said all agents who know anything about anything know a strong website

August 2016| Main Street Industry News | www.pianeia.com | 14

Top Stories presence is critical to agency success. These successful people know Facebook, Instagram and LinkedIn are important, too but that an optimized website is where the rubber meets the road.

“Whenever a consumer is looking for insurance they start with internet — that happens whether they’re looking at the big insurance firms or local agents. The first thing that someone wants to do is research, that’s where the online experience begins,” he said.

So it’s important — he said — to not make these three critical mistakes.

A design that is outdated: Rixford said

your website can’t look like it was done a decade ago. That puts you at a distinct disadvantage. “The design has to capture your attention and have a good call to-action.

Companies with modern sites look like they know what they’re doing; they look like they’re on the ball.”

A current looking design is even more critical when you consider how long you have to snag the viewer. Rixford said it’s three seconds. If they’re not impressed instantly, they’re gone. “If they decide your site is worth staying on, you have another four to five seconds to convince them to stay. Having good design, layout and call-to-actions will help you do that.”

Blog, blog, blog: Rixford wants you to

think of a blog this way. It’s like talking with and educating your clients and prospects about the business of insurance. “Having stories published on a regular basis shows that you care. Not just about the future of your prospects and clients, but about your web presence because nothing is more detrimental than an abandoned website or blog,” he said.

Plus, search engines — like Google — are much more sophisticated today than they were

a decade ago, or even a couple of years ago.

So you must publish fresh, unique content to end up higher in the results when someone does a search. A regularly updated blog makes you seen as a valuable content resource for search engines.

Never, ever have an About Us page that is blank: This is where you get to tell your story. That page says: • Who you are • What you’re about “By leaving this section blank and not telling your story, you’re missing the chance to create a personable impression of your agency,” he said.

And — pullleeassseee — don’t have an About Us page packed with boring content about when the agency was founded and what services you offer to your clients and potential clients. Rixford said do this: • Share your history as a human story • Make it something clients and prospects and random visitors can relate to • Showcase your employees with a head shot and a personal, well-written bio that says who they are as people and not just as insurance agents All of that is a nice personal touch that gets you noticed.

Last — and not from Rixford but from the PIA sponsored Insurance Digital Revolution survey — do something and do it now. Stop putting off updating your website. This is critical to the success of your business going forward.

Source: Insurance Business America

August 2016 | Main Street Industry News |www.pianeia.com| 15

Top Stories

Flood Insurance: Positive Changes Coming These days — or so it seems — everyone wants changes in the nation’s flood insurance program. The latest group to weigh in is the National Association of Insurance Commissioners (NAIC). On the agenda for next week’s annual meeting is a number of proposals on reforming and reauthorizing the National Flood Insurance Program (NFIP).

Here’s what the NAIC is looking at: • Long-term reauthorization of the NFIP • Private market flood insurance growth • Mitigation planning support • Support to reduce losses Don Griffin is the Property Casualty Insurers Association of America (PCI) VP of personal lines. His association says the NAIC and its state regulators have the right idea. And it’s time to start lobbying for Congress to go that direction because the NFIP authorization expires in September of next year.

“PCI applauds the NAIC and state regulators for continuing the conversation about flood insurance and understanding the importance of a long-term NFIP reauthorization, as 5.1 million consumers and businesses rely on the program for protection from the devastation that floods can bring,” Griffin said.

A private market — he added — gives consumers more choices.

Another positive development in the issue of flood insurance is how the U.S. government forecasts floods. It’s one that might help usher in more private sector insurance in the flood insurance line.

Scientists at the National Oceanic and Atmospheric Administration (NOAA) have developed a program that runs on its Cray XC40 super computer that dramatically increases its ability to track how water is moving in the nation’s rivers and streams. It’s — says a NOAA news release — the “biggest improvement in flood forecasting the country has ever seen.”

How exhaustive is the new information source?

Titled the National Water Model, it takes data from over 8,000 U.S Geological Survey gauges and simulates conditions for 2.7 million locations in the contiguous United States.

It is so complex that it will generate hourly forecasts for the nation’s entire river network.

Until now the best NOAA could do is to forecast what’s happening on 4,000 locations — and at that — just every four hours.

National Weather Service director Louis Uccellini, Ph.D. said this is an amazing and important step in flood prediction. “With a changing climate, we’re experiencing more prolonged droughts and a greater frequency of record-breaking floods across the country, underscoring the nation’s need for expanded water information. The National Water Model will improve resiliency to water extremes in American communities. And as our forecasts get better, so will our planning and protection of life and property when there’s either too much water, too little, or poor water quality,” he said.

Even more importantly, the insurance implications are obvious.

Source: Carrier Management, Insurance Journal

August 2016| Main Street Industry News | www.pianeia.com | 16

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Top Stories

Aetna’s Decision Leads to ObamaCare Biggest Crisis As we have been reporting, Aetna is making major cuts in the individual coverage it is offering on the Affordable Care Act’s exchanges. Some of us know them as marketplaces. The company is leaving 11 of the 15 states it now serves. As a result 80% of Aetna’s customers will be impacted.

Experts say the exit could be the future for ObamaCare. Humana cut its participation in exchanges from 15 states to 11. United Health did a much publicized exit last year. Anthem is predicting losses of somewhere around 5% this year. Cigna also admits to losing money.

It is — however — the only insurer that is now planning on expanding. Cigna will move into three new states in 2017.

Everyone from politicians to the general public are asking why? They are also asking who is next?

The why is much easier. Insurers are losing money on the Affordable Care Act participation and reinsurance offered by the federal government hasn’t offset losses and when it goes away at the end of this year, the losses will grow even greater. And as insurers exit, health insurance rates are expected to rise for those participating in the exchanges.

Insurer losses are easily traced to the huge number of people signing up that have serious health issues. Not enough healthy people are registering to offset those losses.

August 2016| Main Street Industry News | www.pianeia.com | 18

Top Stories That leads to a very important question. Will the Affordable Care Act — President Obama’s signature legislation — survive? Maybe. Maybe not. To survive more healthy people — says former White House health policy advisor Zeke Emanuel — must sign up and participate. “You have here a situation which all of us who care about the exchanges have to worry about.

There is a problem with the risk pool. There is a problem with the numbers of people signing up,” he said.

But do the exchanges really need the big insurers? Robert Wood Johnson Foundation senior advisor Katherine Hempstead says no.

In fact, she suggests they haven’t been that important all along.

“I think the market could survive without these guys. Obviously, it would be better to see lots of people seeing a lot of opportunity in this space. . . . But I don’t think it’s a chapter in a Greek tragedy,” she said.

The Aetna news also sparked — no surprise — a political explosion from both sides of the aisle and from the two presidential candidates.

Donald Trump said the Aetna move is further evidence that the Affordable Care Act is broken and “slowly imploding under its regulatory red tape.”

Trump continues to promise repeal and to do away with the individual mandate, cut Medicaid expansion and to create a system where health insurers can sell across state lines. “We will have alternatives that will be so good, so much less expensive, so much better that you will actually be able to keep your doctor and have your plan. That was the biggest [ObamaCare] lie of all of them. Premiums are going up 45% to 55% and we are just going to do something and it’s going to be great. We’re going to end up having great, great healthcare,” Trump said.

Hilary Clinton said the departure of Aetna means we need to “defend and improve” ObamaCare. She proposes cutting out-ofpocket costs to consumers and adding a public insurance option.

On the public insurance option, Clinton said a government health insurance company is a way of “giving Americans, in every state, a choice of a public option health insurance plan that will help everybody afford coverage. It will strengthen competition and drive down costs.”

Source: MSN Money, The Hill and Insurance Business America

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Top Stories

Mo r Ob e Tro He ama uble alth Ca s for Ins ure re & rM erg ers

August 2016| Main Street Industry News | www.pianeia.com | 20

Top Stories Aetna was going to move to the health insurance exchanges of five new states in 2017. Those plans — as of last week — are on hold. And it is going to reassess those states where it is currently participating and serving 838,000 consumers.

but both firms have the right to oppose the department’s lawsuit.

Aetna and Humana are demanding swift trials — like by the end of the year — so they can get on with the business of insurance. The judge says he can’t do both. “I can’t do both. Unless the schedule is put off, I’m sending one of the cases back.”

All this happened in the light of the U.S. What he wouldn’t say is which one.

Justice Department nixing Aetna’s planned purchase of Humana. Aetna CEO Mark Anthem’s attorney Christoper Curran said if Bertolini put the decision in perspective and Anthem’s deal is sent back it’ll doom the sale. said, “in light of updated 2016 projections for Cigna won’t wait. our individual products and the significant structural challenges facing the public exchanges, we intend to withdraw all of our Source: Insurance Business America 2017 public exchange expansion plans, and are undertaking a complete Provide Extra Protection for Unexpected Hospital Expenses With The PIA Trust evaluation of future participation in our current 15-state footprint.”

He told CNN Money that the company is thinking it’s going to lose $300 million — pre-tax — in 2016.

A final decision will be made at the end of September when the firm will be required to let the federal government and the states know what it’s going to do.

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The other insurers backing down considerably from involvement are UnitedHealth Care who is leaving almost all of the 1,200 counties in eight states and Blue Cross Blue Shield who still hasn’t made final decisions but will be departing or scaling back in some markets.

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In the meantime, Judge John Bates of the U.S. District Court for the District of Columbia threw a wrench in the AetnaHumana and Anthem-Cigna mergers.

The Justice Department — as noted earlier — has put the kibosh on both

For more information about the PIA Trust Hospital Income plan, contact your local PIA Affiliate or call the Plan Administrator at 1-800-336-4759.

Additional information is also available on-line at www.piatrust.com.

PIA SERVICES GROUP INSURANCE FUND

*PIA National membership, when required, must be current at all times. **No minimum participation required.

The policy or its provisions may vary or be unavailable in some states. The policy has exclusions or limitations which may affect any benefits payable. Underwritten by Unimerica Insurance Company, Association Administrative Address, P.O. Box 17828, Portland, ME 04112-8828 under Policy Form AHI-5001-A (UIC).

Insurance Program Administered by Lockton Affinity, LLC.

August 2016 | Main Street Industry News |www.pianeia.com| 21

Competitors come and go, but Utica National has stood the test of time. Over the years, we’ve continually improved our errors and omissions program to protect the assets and reputation you have worked hard to build!

CONSIDER THIS…

1.

Protecting Assets and Reputation – They are at stake and we defend claims vigorously. We engage top litigators experienced in working with agents’ E&O to provide you the best prospects for success.

2.

For the Long Haul – Our program has shown unparalleled stability since 1966. We’ve acquired tremen-

3.

Solid Protection – No two agent’s errors and omissions policies are alike. We can help you spot even

dous knowledge, especially in areas such as agents’ liability, which continues to grow more complicated in today’s legal environment. subtle differences so you can make the best decision for your agency.

4.

Dedicated Claims Specialists – Our staff handles only agents’ E&O professional liability. Having considerable proficiency requires thousands of hours of dedicated time ...and the opportunity to work in one area of expertise with laser focus. Our specialists put more than 100 years of combined experience in resolv ing E&O claims to work for you.

5.

Direct Access to Underwriters & Claim Specialists – Need input regarding an E&O exposure

6.

Leading-Edge Risk Management – By working with agents’ associations and talking with policy-

or potential claim situation? With Utica National, you can speak to an underwriter or claims representative.

No loss of privacy or missed opportunities for discussion, clarification and questions.

holders, we’re able to identify and address emerging issues and trends ahead of time that may affect you.

We deliver risk management strategies that mitigate loss potential. This results in a competitive, consistent and more predictable E&O program.

7.

We’re Accountable – If there’s ever an issue, you can contact anyone at Utica National – from our claims and underwriting manager, to any senior officer including our president and chairman of the board!

8.

Mergers & Acquisitions – We have numerous tail options…and provide counsel and peace of mind

9.

Multiple Payment Options – Flexible payments that do not require financing or interest charges.

when you’re planning to retire, purchase or sell, or considering any perpetuation opportunities.

10. Numbers Don’t Lie – More than 10,000 agents have placed their trust in their state association and Utica National’s Agents’ E&O program. Let us earn your business!

For more information on how Utica National can help protect your agency, visit www.uticanational.com

9-A-2431 Ed. 7-14

9A2112 5-11 E&O Cybersurance PC.indd 1

PIA of Nebraska & Iowa (402) 392-1611 www.pianeia.com

5/24/11 3:38 PM

PIA NE IA Events

Upcoming Events Calendar 2016 For information and to register Click Here or call (402) 392-1611.

Date

Class/Webinar

Where

When

August 8, 2016

And the CHAOS Continues

NE/IA

Webinar: 12:00PM - 3:00PM

August 10, 2016

CISR: Insuring Commercial Property

Marion

Kirkwood Training Center

August 11, 2016

Ethics: Taking it to the Streets

IA

Webinar: 1:00PM - 4:00PM

August 15, 2016

The Ever-Evolving Affordable Health Care Act

IA

Webinar: 12:00PM - 3:00PM

August 16, 2016

Contractors: Insuring the Liability Exposures

NE/IA

Webinar: 12:00PM - 3:00PM

August 17, 2016

Top 12 Coverage Countdown

NE/IA

Webinar: 12:00PM - 3:00PM

August 18, 2016

Get in the Ring: A look at Property Claims, Fights, & Decisions

NE/IA

Webinar: 12:00PM - 3:00PM

August 23, 2016

Man Vs. Machine

NE/IA

Webinar: 8:00AM - 11:00AM

August 23, 2016

CISR: Insuring Personal Auto Exposures

Davenport

Saint Ambrose University

August 24 - 26, 2016

CIC: Commercial Property Institute

Lincoln

Marriott Courtyard

August 25, 2016

Leases & Contracts Vs. The Insurance Policy

NE/IA

Webinar: 8:00AM - 11:00AM

August 25, 2016

How to be the Agent Advocate at Claim Time

NE/IA

Webinar: 12:00PM - 3:00PM

August 29, 2016

Personal Lines Complications

NE/IA

Webinar: 1:00PM - 4:00PM

August 31, 2016

CPSR: Personal Auto

Omaha

Hilton Garden Inn Omaha

September 7, 2016

Words Mean Things & Insurance is a Foreign Language

NE/IA

Webinar: 12:00PM - 3:00PM

September 7, 2016

Words Mean Things & Insurance is a Foreign Language (NE)

NE/IA

Webinar: 12:00PM - 3:00PM

September 8, 2016

Food Borne Illness & Insurance Coverage

NE/IA

Webinar: 12:00PM - 3:00PM

September 8, 2016

Food Borne Illness & Insurance Coverage

NE/IA

Webinar: 12:00PM - 3:00PM

September 13, 2016

2016 Annual Scholarship Golf Outing - Dinner ONLY Registration

Ashland

Iron Horse Golf Club

September 13, 2016

2016 Annual Scholarship Golf Outing - Golf & Dinner Registration

Ashland

Iron Horse Golf Club

September 15, 2016

CISR: Insuring Personal Residential Property

West Des Moines

LaMair - Mulock - Condon Insurance (LMC)

August 2016| Main Street Industry News | www.pianeia.com | 24

PIA NE IA Events

September 20, 2016

Ethics: Taking it to the Streets

NE/IA

Webinar: 1:00PM - 4:00PM

September 20, 2016

Farm Seminar: Unmanned Aircraft, Autonomous Vehicles, and Other Things

York

Holthus Convention Center

September 27, 2016

CISR: Commercial Casualty 2

Marion

Kirkwood Training Center

September 27, 2016

CISR: Commercial Casualty 2

Marion

Kirkwood Training Center

September 28 - 30, 2016

CIC: Agency Management Institute

Cedar Rapids

Cedar Rapids Marriott

September 28, 2016

Social Networking: OMG or E&O?

NE/IA

Webinar: 1:00PM - 4:00PM

September 28, 2016

Social Networking: OMG or E&O?

NE/IA

Webinar: 12:00PM - 3:00PM

October 4, 2016

Regarding Ethics

NE/IA

Webinar: 1:00PM - 4:00PM

October 4, 2016

**NEW** Regarding Ethics

NE/IA

Webinar: 1:00PM - 4:00PM

October 6, 2016

Managing E&O in A 24/7 World

NE/IA

Webinar: 12:00PM - 3:00PM

October 6, 2016

CISR: Insuring Commercial Property

Davenport

Saint Ambrose University

October 6, 2016

**NEW** Managing E&O in a 24/7 World

NE/IA

Webinar: 12:00PM - 3:00PM

October 11, 2016

CISR: Insuring Commercial Property

Des Moines

Hilton Garden Inn Des Moines/Urbandale

October 12, 2016

CPIA 3: Sustain Success

Des Moines

Hilton Garden Inn Des Moines/Urbandale

October 12, 2016

CPIA 3: Sustain Success

Des Moines

Hilton Garden Inn Des Moines/Urbandale

October 12 - 14, 2016

CIC: Personal Lines Institute

Omaha

Double Tree

October 13, 2016

Top 12 Coverage Countdown

NE/IA

Webinar: 12:00PM - 3:00PM

October 13, 2016

CPIA 3: Sustain Success

Omaha

Hilton Garden Inn Omaha

October 13, 2016

**NEW** Top 12 Coverage Countdown

NE/IA

Webinar: 12:00PM - 3:00PM

October 18, 2016

How to be the Agent Advocate at Claim Time

NE/IA

Webinar: 12:00PM - 3:00PM

October 18, 2016

**NEW** How to be the Agent Advocate at Claim Time

NE/IA

Webinar: 12:00PM - 3:00PM

October 18 - 19, 2016

Ruble: Graduate Seminar (IA)

West Des Moines

Holiday Inn Hotel & Suites

October 20, 2016

Get in the Ring: A look at Property Claims, Fights, & Decisions

NE/IA

Webinar: 1:00PM - 4:00PM

October 20, 2016

Get in the Ring: A Look at Property Claims, Fights & Decisions

NE/IA

Webinar: 12:00PM - 3:00PM

October 24, 2016

Leases & Contracts Vs. The Insurance Policy

NE/IA

Webinar: 12:00PM - 3:00PM

August 2016 | Main Street Industry News |www.pianeia.com| 25

PIA NE IA Events

October 24, 2016

**NEW** Leases & Contracts Vs. The Insurance Policy

NE/IA

Webinar: 12:00PM - 3:00PM

October 26, 2016

Lawncare to Lipstick

NE/IA

Webinar: 1:00PM - 3:00PM

October 26, 2016

CPSR: Residential Property

Kearney

Holiday Inn Express Kearney

October 26, 2016

Lawncare to Lipstick

NE/IA

Webinar: 1:00PM - 3:00PM

November 2, 2016

Ethics: Taking it to the Streets

NE/IA

Webinar: 1:00PM - 4:00PM

November 3, 2016

**NEW** And the CHAOS Continues

NE/IA

Webinar: 12:00PM - 3:00PM

November 4, 2016

**NEW** Man Vs. Machine

NE/IA

Webinar: 8:00AM - 11:00AM

November 8, 2016

**NEW** Executive & Management Liability

NE/IA

Webinar: 12:00PM - 3:00PM

November 10, 2016

Social Networking: OMG or E&O? (NE)

NE

Webinar: 12:00PM - 3:00PM

November 10, 2016

CISR: Personal Lines Miscellaneous

Cedar Rapids

Kirkwood CE Center

November 10, 2016

Social Networking: OMG or E&O?

Iowa

Webinar: 12:00PM - 3:00PM

November 15, 2016

What We Learned: Claim and Coverage Issues from Catastrophes

NE/IA

Webinar: 12:00PM - 3:00PM

November 15, 2016

CISR: Dynamics of Service

Des Moines

Hilton Garden Inn Des Moines/Urbandale

November 16 - 18, 2016

CIC: Commercial Property Institute

West Des Moines

Holiday Inn Hotel & Suites

November 16, 2016

**NEW** Managing E&O in a 24/7 World

NE/IA

Webinar: 12:00PM - 3:00PM

November 17, 2016

Personal Lines Complications: Because Simple is just too darn Easy

NE/IA

Webinar: 1:00PM - 4:00PM

December 1, 2016

**NEW** Regarding Ethics (NE)

NE/IA

Webinar: 1:00PM - 4:00PM

December 6, 2016

**NEW** Top 12 Coverage Countdown

NE/IA

Webinar: 12:00PM - 3:00PM

December 7, 2016

**NEW** How to be the Agent Advocate at Claim Time

NE/IA

Webinar: 1:00PM - 4:00PM

December 8, 2016

Words Mean Things & Insurance is a Foreign Language

NE/IA

Webinar: 12:00PM - 3:00PM

December 12, 2016

Food Borne Illness & Insurance Coverage

NE/IA

Webinar: 12:00PM - 3:00PM

December 13, 2016

Get in the Ring: A Look at Property Claims, Fights & Decisions

NE/IA

Webinar: 8:00AM - 11:00AM

December 20, 2016

**NEW** Leases & Contracts Vs. The Insurance Policy

NE/IA

Webinar: 8:00AM - 11:00AM

August 2016| Main Street Industry News | www.pianeia.com | 26

August 2016 | Main Street Industry News |www.pianeia.com| 27

Help Keep Your Agency Active If You Should Become Disabled...

Cover Overhead Expenses With The PIA Trust

Business Overhead Expense Insurance Plan BOE COVERAGE DESIGNED WITH LOCAL AGENTS IN MIND As a PIA Member* serving Main Street America, you have access to a highquality, competitively priced BOE plan through the PIA Services Group Insurance Fund.

Office expenses don’t stop because you become disabled. Bills keep coming in whether or not you’re in the office. Those overhead expenses could become a real problem if your agency’s revenues are dependent on you. With the PIA Trust Business Overhead Expense plan, you can help maintain your agency until you are able to resume your duties.

For more information about the PIA Trust Business Overhead Expense Insurance Plan, please contact your local PIA Affiliate or call the Plan Administrator at (800) 336-4759.

PIA SERVICES GROUP INSURANCE FUND

Additional information is also available on-line at www.piatrust.com. * PIA National membership, when required, must be current at all times

The policy or its provisions may vary or be unavailable in some states. The policy has exclusions and limitations which may affect any benefits payable.

Underwritten by Unimerica Insurance Company, Association Administrative Address, P.O. Box 17828, Portland, Maine 04112-8828, under Policy Form ADI-4001-A (UIC).

Insurance Program Administered by Lockton Affinity, LLC.