Primary Agent - May 2025

MAY 2025

INDEPENDENT AGENCY INNOVATOR

MICHAEL CRUZ EXCLUSIVE MEMBER MAGAZINE

ALSO INSIDE 6 KEYS TO EMPLOYEE RETENTION

SECURA’s team of insurance experts is making insurance genuine. They are here to support you and your clients. Our sales and underwriting teams are quick to reply, open-minded, and know their stuff. Plus they are backed by our caring claims group who will get your clients back on their feet.

Interested in building a relationship?

Contact us at secura.net/PA-agents

• Commercial • Specialty • Agribusiness

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Scan the QR code or visit secura.net/PA-agents for more information about the SECURA team.

MAY 2025

CONTENTS FEATURED 8

> > > > 12 JOIN US ON SOCIAL MEDIA: Facebook.com/IABforME LinkedIn.com/company/IA_and_B Instagram.com/IA.and.B YouTube.com/@IA_and_B IA&B Podcasts can be found at:

IA&B is the premier resource and champion for independent insurance agents in Pennsylvania, Maryland, and Delaware.

Periodical postage paid at Mechanicsburg, PA and at additional mailing offices. Postmaster: Send address changes to Insurance Agents & Brokers, 650 Wilson Lane, Suite 200, Mechanicsburg, PA 17055.

Primary Agent (ISSN 1543-3110), Permit # 638-620, Issue # 2025-05, is published monthly by IA&B Service Group Inc., a subsidiary of IA&B. Copyright 2025. All rights reserved. No material May be reproduced in whole or in part without written consent of the publisher. The information in this publication is general in nature and not intended to serve as legal, accounting, financial, insurance, investment advisory or other professional advice as to any reader’s particular situation. Users are encouraged to consult with competent legal, financial, insurance, investment advisory and/or other professional advisors concerning specific matters before making any decisions. We disclaim any responsibility for any decisions or actions by readers. Statements of fact and opinion in Primary Agent are the responsibility of the authors alone and do not imply an opinion on the part of the officers or the members of IA&B. Participation in IA&B events, activities and/or publications is available on a non-discriminatory basis and does not reflect IA&B endorsement of the products and/or services.

INTERVIEW WITH MICHAEL CRUZ Meet Michael Cruz, founder and principal owner of Foresight Insurance LLC, an IA&B member agency located in North Bethesda, MD. He shares insights on leveraging artificial intelligence, managing a hybrid workforce, and embracing new technology.

EMPLOYEE RETENTION Good employees are hard to find. In this article, IA&B HR Consultant Karen DiGioia discusses six keys to retaining them.

MONTHLY 2 PRESIDENT'S MESSAGE 3 CLAIRE-IFICAION 4 COVERAGE CORNER 6 NEWS & NOTES 7 WOMEN'S CONFERENCE RECAP 17 UPCOMING EDUCATION IABforME.com |

1

PRESIDENT'S MESSAGE

A GOOD TIME OF YEAR Spring is in the air, and it is always a busy – yet fun – time at IA&B: Women’s Conference – In late March, we concluded another successful Women’s Conference, and each year it gets better.

While our goal is to provide engaging and educational content, supporting the energy and camaraderie of over 200 insurance professionals who gather to network, share, and laugh is just as important.

New Fiscal Year – March 31 marked the end of IA&B’s fiscal year.

Staff gathered for a “New Year’s Eve” party to celebrate our successes, while looking forward to our new fiscal year. I asked every staff member to present their highlight of the year. In turn, they shared heart-felt and genuine stories. I want each member and partner of IA&B to know you have a dedicated staff of 24 here at IA&B who love what they do, to your benefit.

Strategic Direction – In conjunction with the end of our fiscal year, our board of directors met to set the stage for the next year.

We remain highly strategic in our discussions, as well as highly nimble. We continue to monitor member feedback and industry trends, and the spring meeting of the board was very constructive – again to your benefit.

Advocacy – As this issue hits your mailbox, we will be in Washington, D.C. for the National Legislative Conference, which should be interesting to say the least this year. No matter your position in the current political environment, we can all agree that protecting this industry is paramount. Over 40 agents, along with IA&B staff, will be doing just that – you guessed it, to your benefit.

Here’s to the sunny, warm days ahead. It’s a good time of year at IA&B, and we hope that our members are seeing all the benefits.

Onward and upward,

INSURANCE AGENTS & BROKERS 650 Wilson Lane, Suite 200 Mechanicsburg, PA 17055 191 Main Street, Annapolis, MD 21401 800-998-9644 | IABforME.com

IA&B BOARD OF DIRECTORS OFFICERS Sarah Brown, CIC, CRM, AFIS - Chair

Keller Brown Insurance Services | Shrewsbury, PA

Andrew Enders, Esq. - Vice Chair Enders | Harrisburg, PA

MEMBERS Greg Bennett

Lisa Parry, CPIA

Kate Dawson, CPIA

Bill Purdy

Michael Gaetano

Kent Reynolds, CIC

Bruce D. Kraft, AAI, CIC

David Rivell, CIC, CRM

Debra McAfee

Jason Rodriguez, CIC

Michael McGroarty, Jr., CIC

Donna Roper

McGroarty & Bradburn Insurance Pittsburgh, PA

E K McConkey & Company York, PA

Shayne McIntosh, CIC

Ashley Stafford, CPIA

Famous & Spang Associates Aberdeen, MD Ferri Dawson Insurance Murrysville, PA The Hartman Group Montoursville, PA Arbor Insurance Group Allentown, PA

McAfee Insurance Agency, LLC Wilmington, DE

JPI Insurance Associates Dillsburg, PA

Chris Miller, CIC

Miller Insurance Protection Team Jonestown, PA

Parry Insurance Langhorne, PA

Purdy Insurance Agency, Inc. Sunbury, PA Blue Ridge Risk Partners LLC Hagerstown, MD Element Risk Management West Chester, PA Prominent Insurance Svcs Wilmington, DE

Williams Insurance Agency, Inc. Rehoboth Beach, DE

Michael Thomas

Lighthouse Insurance Svcs Gambrills, MD

Michael Papa, CIC, MBA

Jason F. Ernest President & CEO

Diversified Insurance Industries, Inc. Hunt Valley, MD

NATIONAL DIRECTORS Mike Ertel (PIA)

The Jacobs Company | Columbia, MD

Diana Hornung, CIC (IIABA)

IOA National, Inc. | Wilmington, DE

Mark Monroe (IIABA)

Element Risk Management | West Chester, PA 2

MAY 2025

CLAIRE-IFICATION

CLAIRE-IFICATION IA&B Vice President - Advocacy Claire Pantaloni, CIC, CISR Are you a member with a question?

Contact Claire to find the answer at 717-918-9202 or ClaireP@IABforME.com.

shopping for a new agency management system and a new phone system. Is there QUESTION: I’m benchmarking information or a comparative tool on insurance tech products for agencies?

ANSWER: Yes, there is. It seems new tech tools appear weekly, if not daily, yet most agents feel that they are either overpaying or under-utilizing their tech … or both. Picking the right agency management system is a heavy undertaking and a regular pain point, but you may be in luck.

In 2024, IA&B made the decision to pick up the cost of the annual subscription to Catalyit for all IA&B members for the coming three years. Catalyit is an organization supported by a coalition of state associations to assist independent agencies with all technology needs and questions. This allows members to have a central repository of information, comparison, and benchmarking tools, with a constantly evolving list of products and services. Catalyit is designed to help the agency compare products and narrow down the best option(s) – in other words, save time in the selection process.

To take advantage of IA&B’s complimentary subscription, members must first register with Catalyit. Then, a good first step is to do a Tech Assessment to see where the agency stands in the universe of agencies. In your case, consult the Agency Management System and the Phone Provider Guides, or use the Tech Selector to help you choose.

Get started: Catalyit.com/iab This document is not a legal opinion and should not be relied upon as such. The intent of this document is to provide a general background regarding the topic or topics discussed, not to provide legal advice. Producers and agencies should consult an attorney regarding specific situations and specific questions with respect to the topic or topics covered in this document. Neither the Insurance Agents & Brokers nor any of its employees shall be responsible for any errors or omissions regarding any statements made in this document, nor any errors or omissions regarding any statutes, regulations, court rules, and/or any other government documents cited in this document.

Comparison tools are available either in a traditional guide format, or in an interactive format – the Tech Selector – where the agency can answer key features they want to see in the product. The agency will then be matched with the best contenders based on the priorities selected.

Product demos are also available. However, knowing that demos tend to show a product only in its best light, Catalyit also gives agents access to various consultants who can in turn provide additional insight based on the agency’s priorities. The independent consultants can give an unbiased opinion and help the agent look at different angles before making the final decision. Note that some brand-specific consultants may also be listed. Those may be called upon to optimize the use of software you’ve already purchased. As mentioned earlier, it is not unusual for members to complain about underutilizing their tools, something that is better solved by training.

IABforME.com |

IA&B works on your behalf to ensure that state legislators and regulators understand the issues affecting agents.

And your financial support amplifies your message. Please consider contributing.

More information at iabforme.com/political_advocacy

3

CLAIMS MADE POLICIES – A DEEPER DIVE

By Cathy Trischan In the March 2025 edition of Primary Agent, you learned that Claims Made policies can be as easy as 1,2,3. [To read the article, visit: IABforME.com/ Primary-Agent] That article outlined a three-step process to determine whether coverage has been triggered and introduced important concepts such as retroactive date and extended reporting period. This month, we take a deeper dive into some additional Claims Made policy issues.

must take place, the PPL date puts a starting point on litigation. Although these are often the same date, they have different purposes. Even if a policy has full prior acts coverage, it will include a PPL date which is typically the effective date of the first policy written. The PPL date is to ensure that a policy is not brought into claims that began prior to the PPL date, and it is important that the PPL date not be advanced when coverage is renewed or replaced.

PRIOR AND PENDING LITIGATION (PPL) DATE

Consider this example:

While a retroactive date puts a starting point on when a covered act 4

Seaside Condo Association purchased a Directors and Officers Liability (D&O) policy effective 1/1/2025 MAY 2025

with full prior acts coverage and a PPL date of 1/1/2025. A claim was made against Seaside in December 2024; there is, of course, no coverage for this claim because it was first made prior to the effective date. In February 2025, individual officers were added to the complaint. There is no coverage for the claims against the officers because those claims are part of the litigation that began prior to the PPL date.

WHAT IS A CLAIM? Claims Made coverage is triggered when a claim is first made against an insured. It is important that insureds

COVERAGE CORNER understand that a claim is not always a summons and complaint and can be, for example: ▲ A written demand for monetary relief ▲ A written demand for nonmonetary or injunctive relief ▲ Arbitration, mediation, or similar alternative dispute resolution proceedings ▲ Administrative or regulatory proceedings (e.g., EEOC proceeding) Many policies also give the insured the ability to report incidents that could give rise to a claim. If a claim is made at some point in the future, it will be considered as having been made during the term when the incident was reported. This feature can benefit an insured, especially if policy renewals are likely to include higher retentions or additional exclusions.

CLAIMS MADE AND REPORTED POLICIES Many policies require that the claim first be made against the insured and reported to the insurer during the policy period. These are called Claims Made and Reported policies, and they are quite common. It is important that the insured understands the importance of reporting claims as soon as they are received, especially with this type of policy.

Some policies include a short period of time after expiration when claims can be reported. With the language below, the insured has 30 days after expiration to report claims. Having this type of claims reporting window is especially helpful when a claim is made against the insured late in the

policy term, giving the insured little time to report the claim to the insurer.

ready to confidently discuss Claims Made coverage with your clients.

Sample Language:

‘Til next time

If a Claim is made against any Insured, the Insured shall give written notice thereof to the Underwriter as soon as practicable and in no event later than thirty (30) days after the expiration of the Policy Period….

It is important to carefully review the language in any claims reporting window. Some, as seen below, do not apply if coverage has been renewed.

Cathy Trischan, CPCU, CRM, CIC, ARM, AU, AAI, CRIS, MLIS, TRIP is IA&B’s commercial lines education consultant. She works with our CIC and CISR programs, as well as our live CE webinars. Catch her at one of our upcoming courses: IABforME.com/education

Sample Language: If we or the named insured shall cancel or elect not to renew this policy, you shall have the right following the effective date of such cancellation or nonrenewal to a period of sixty (60) days in which to give written notice to us of claims first made against you prior to the end of the policy period….

THE IMPORTANCE OF THE APPLICATION Applications for many policies written on a Claims Made basis, such as D&O and Professional Liability, are incorporated into the policy and are considered warranties. While it is always important for insureds to complete applications truthfully, it is even more important with these applications. If the insured misrepresents anything on the application, coverage will be void for some or all of the insureds. It is a good idea for the insured, and not the agent, to complete the application to increase the likelihood that all responses are accurate and complete.

Armed with knowledge of the 1,2,3s of Claims Made policies and these additional concepts, you are now IABforME.com |

Rather listen?

Also available in audio format at IABforME.buzzsprout.com

LIVE CE WEBINAR

|

Learn more from author Cathy Trischan, who teaches this upcoming live webinar.

CERTIFICATES, CONTRACTORS, AND YOU: FIGHTS, COVERAGE ISSUES, BEST PRACTICES MAY 6 9 AM -Noon

CE

PA/DE: 3 GEN MD: 3 PC

IA&B Members: $75 (save $30!)

Non-Members: $105

Register today.

IABforME.com 800-998-9644, option 1

5

NEWS & NOTES

IA&B YOUNG AGENT AWARD NOMINATIONS Are you or someone you know a rising star in our industry? Nominate yourself or someone else for the 2025 IA&B Young Agent Award.

IA&B will recognize three exceptional young agents – one each from Pennsylvania, Maryland, and Delaware – for this honor.

What’s in it for the winners: ▲ Recognition at the award ceremony during the IA&B Young Agent Conference in October 2025 ▲ Cover photo and interview in IA&B Primary Agent magazine, Young Agent issue ▲ Feature in video produced by IA&B Award criteria: ▲ Licensed P&C agent ▲ Employed for at least one year by an IA&B member agency in PA, MD, or DE ▲ 40 years old or younger on Oct. 1, 2025 ▲ Made community contributions through volunteering or service ▲ Example of emerging-leader status in the field ▲ Participated in IA&B events, education, or other happenings Nomination forms will be available online early in May: IABforME.com/Agent-Award

6

Questions? Contact IA&B PR Director Karen Robison: KarenR@IABforME.com 800-998-9644, ext. 606

INDUSTRY RECRUITMENT CONTINUES IA&B staff attended approximately a dozen career fairs throughout Pennsylvania, Maryland, and Delaware since January. They spread the word about insurance industry careers, job opportunities within our member agencies, and IA&B’s new Insuring Careers Certification Program (ICCP).

In particular, these events targeted three categories of job seekers: those looking for a career change (including those impacted by federal government layoffs), students and recent graduates, and those looking to rejoin the workforce.

What is ICCP? ICCP is an online, flexible program for industry newcomers. It provides education on insurance basics, preparation for the state licensing exam, and application of the material to real-life scenarios. Participants have six months to complete the program.

The program offers a point of entry into the insurance industry for those IA&B recruits. It also can help jumpstart the careers of insurance agencies’ new, unlicensed employees.

Learn more: IABforME.online/ insuring-careersagencies

MAY 2025

Follow ICCP on social media: Facebook.com/InsuringCareers Facebook.com/InsuringCareers Instagram.com/insuring_careers Instagram.com/insuring_careers LinkedIn.com/company/insuringLinkedIn.com/company/insuringcareers-certification-program careers-certification-program Questions about ICCP? Contact IA&B Career Services Director Heather Ulrich: HeatherU@IABforME.com 717-918-9441 Heather attended recent career fairs at the University of Maryland, Baltimore County (top) and Juniata College (bottom).

WOMEN'S CONFERENCE RECAP

Over 200 insurance professionals gathered on March 25 in Lancaster, PA for the third annual IA&B Women’s Conference. The sold-out event featured keynote speaker Meg McKeen, CIC who addressed navigating relationships with clients and colleagues in the current insurance landscape. Lisa Purk rounded out the day with a presentation on mastering stress-resilient communication. Keeping with tradition, attendees supported a local non-profit, this year donating baby diapers for Milagro House, which helps women and their children who are facing poverty and homelessness.

Stay up to date on IA&B's initiatives for women: IABforME.com/women-in-insurance IABforME.com |

7

Q&A with

MICHAEL CRUZ Michael Cruz is the founder and principal owner of Foresight insurance LLC, a full-service independent insurance agency located in North Bethesda, MD. An IA&B member agency, Foresight Insurance won the 2024 Agent for the FutureTM Outstanding Agency Overall Award, which recognizes innovation in independent agencies.

Q. Tell us how you got your start in the industry and how your career progressed.

Like most people, I fell into it. I started selling life insurance in 2008 when I was 19 years old. I did it for about four years, but unsurprisingly, most of my network wasn’t exactly eager to buy life insurance at that age. I struggled to make it work.

In 2012, I was recruited to work at Liberty Mutual as a personal lines sales agent, and that’s when things started to turn around for me financially. But after a few years, I realized I wanted to do something out of the box. I saw many of my colleagues opening ERIE agencies and doing well, and at the same time, I found myself constantly referring leads to ERIE agents. It made me think, why not build something of my own?

8

Q. How has Foresight Insurance grown since its inception in 2015, and what do you consider to be the agency’s greatest success?

A. We have grown every year since we started, through hard markets, the pandemic, and all of it. In 2024 alone, we saw a 40% revenue jump. However, our biggest success is how we have structured our agency to operate as a true team rather than a collection of individuals.

Most agencies rely on individual agents to sell and service clients independently, creating inconsistency and inefficiency. Instead, we have built a model where sales and service are a team effort, providing consistent client experience, more balanced workloads, and a scalable structure. Because of this, we launched a four-day workweek in May 2024, giving our team a better work-life balance without sacrificing productivity or client service.

Q. You’re a proponent of leveraging artificial intelligence (AI) into your operations. What advice would you give other agency principals who want to explore AI?

So, in July 2015, I established my entity but wasn’t appointed with ERIE until June 2016. Little did I know, I was about to embark on the hardest journey of my life. There were plenty of challenges, but I’m thankful I was young, naive, and willing to bet on myself. Otherwise, I wouldn’t have the creative, time, and financial freedom I have today from owning my own insurance agency.

As I built the agency, I quickly realized that running a business and selling insurance are two completely

different things. I had to move beyond just selling policies and start systemizing the way the agency operated, making sure it could scale efficiently without losing quality or overloading employees.

A. AI isn’t a magic bullet, but when used correctly, it can streamline operations, improve efficiency, and allow your team to focus on higher-value tasks.

That said, you have to be willing to try it, test it, and fail.

Not every AI tool will translate to productivity, but some absolutely will, and you won’t know unless you experiment.

The worst thing you can do is ignore AI. You have to embrace it, stay updated, and be adaptable because this is moving faster than anything we’ve seen in decades.

MAY 2025

ON THE COVER The agents who stay ahead of the curve will be the ones who experience tremendous growth, using AI tools as leverage. The agencies that wait too long will find themselves struggling to keep up. AI isn’t replacing agents, it’s replacing agents who don’t use AI. Q. Following the pandemic, you maintained a hybrid work environment to recruit and retain talent. What tools do you use to ensure remote workers’ efficiency and productivity?

A. Managing a remote or hybrid team requires clear communication, well-defined roles, and active monitoring.

Without these, it’s easy for things to slip through the cracks.

We use Microsoft Teams Chat to check in first thing in the morning, throughout the day, during breaks, and before logging off. BambooHR helps us manage schedules and time off, keeping visibility across the team. Our RingCentral VOIP system allows us to answer calls from anywhere, so there’s no drop in service whether someone is in the office or remote.

Beyond communication, we rely on AgencyZoom for sales pipeline management and automation, making sure our producers stay on top of leads and follow-ups. HawkSoft is our agency management system (AMS) where we track policies, client history, and essential documentation. Most recently, we introduced HelpScout for our shared email inbox, making sure that emails are managed efficiently and nothing gets missed.

We also emphasize high standards of note-taking during every client interaction and strict adherence to our processes. This keeps everyone on the same page and prevents miscommunication. Transparency equals accountability, and when everyone follows the same workflow, it makes collaboration seamless.

Team meetings are crucial. Consistency is key, if you’re not intentional about staying in touch, it becomes an “out of sight, out of mind” situation. I schedule all my meetings in advance, including team meetings, one-on-ones, and other check-ins to ensure everyone stays aligned and no one feels disconnected.

But none of this works without active monitoring. Running an agency the right way means spot-checking processes, analyzing data, and making sure things are getting done. When issues arise, they usually fall into one of two categories: a people problem or a process problem.

IABforME.com |

I make it a point to regularly review key metrics, including completed tasks, call volume, sales activities, and more recently, even pending and overdue task workloads.

Understanding this data at the company, team, and individual level helps me identify bottlenecks and make sure we’re operating as efficiently as possible.

Q. You recently implemented a four-day work week at your agency. What prompted this, and how has the rollout gone?

A. The decision to implement a four-day workweek came out of necessity and desperation after seeing employee burnout during the hard market. It wasn’t about being trendy or trying to offer a flashy perk, it was about survival. The demands of the industry were pushing my team to the edge, and something had to change.

The rollout had its ups and downs. At first, we went through a honeymoon phase, everyone was excited, morale was high, and it seemed like the perfect solution.

But soon, we started seeing the cracks in our processes.

Some employees doubted whether this could actually work. They didn’t want to take off and come back to a pile of problems or feel like they didn’t have enough time to complete their work.

But through the determination of my team and I, we powered through. We refined our workflows, tightened up our processes, and made the necessary adjustments to make the four-day model sustainable. It forced us to become more efficient, more systemized, and ultimately, stronger as a team.

At Foresight Insurance, we don’t operate based on individual preferences, we operate based on our system, and our agency structure. We do things the Foresight Insurance way, not the individual way. We win as a team or we fail as a team, and this shift has only reinforced that culture.

Q. What do you consider to be the greatest threats and opportunities facing the independent agency system?

A. The biggest threat is agencies that refuse to evolve.

The industry moves slowly, and outdated processes are holding many agencies back. Those that don’t adopt better systems, leverage technology, and modernize their workflows will struggle to compete.

Continued on page 16 9

PLATINUM PARTNER PROFILE

Insurance Agents & Brokers proudly recognizes Erie Insurance as one of its Platinum Partners. IA&B Platinum Partners dedicate the highest level of sponsorship to our organization.

It’s the rare individual who is motivated by a genuine desire to help others. And it’s the rare company that puts that principle into practice.

Since 1925, Erie Insurance (ERIE) has been fulfilling its promise of providing auto, home, business and life insurance rooted in the principles of honesty, decency, service and affordability. ERIE’s 14,000 local agents and 6,800 employees still live by the Golden Rule — treating people the same way they’d like to be treated.

Rated A+ (Superior) by A.M. Best, Erie Insurance is currently the nation’s 12th largest homeowners insurer, 13th largest automobile insurer and 13th largest commercial lines insurer. Based in Erie, Pa., ERIE is a Fortune 500 company with more than seven million policies in force and operates in 12 states and the District of Columbia.

CHIEF EXECUTIVE OFFICER Tim NeCastro, President & CEO CORPORATE HEADQUARTERS Erie, Pennsylvania A.M. BEST RANKING A+ Superior WEBSITE erieinsurance.com 10 10

Erie Insurance is committed to being Above all in SERVICE® and that’s why the company remains true to the independent agents who live and work in the communities they serve. When agents sell a policy, they sell ERIE’s promise of service — a promise to be there when policyholders need them most. That approach, award-winning claims service and the strength of ERIE’s relationship with its independent agents has made it one of the nation’s most respected insurance companies with one of the strongest customer retention rates in the industry. Year after year, more than 90% of customers stay with ERIE. MAY 2024

Thank You Erie Insurance’s founding principle is to “provide policyholders with as near perfect protection, as near perfect service as is humanly possible and to do so at the lowest possible cost.” That same principle still guides the company today.

At its core, ERIE still believes the truth in its founder H.O. Hirt’s words:

Thanks to our PLATINUM PARTNERS for supporting the independent agent network.

Erie Insurance Ironpeak (formerly Iroquois) Keystone

Success in business is not a matter of tricks or gimmicks… it is just a matter of simple common sense, mixed with just plain decency.

- H.O. Hirt Erie Insurance Founder

Millers Mutual Insurance NJM Insurance Group Penn National Insurance Plymouth Rock Assurance Progressive BECOME A PARTNER TODAY Interested in becoming a partner?

Reach out today.

To learn more about Erie Insurance, visit erieinsurance.com. To inquire about becoming an ERIE agent, visit becomeanerieagent.com IABforME.com |

Tim Wonder IA&B VP-Membership 717-918-9223 TimW@IABforME.com 11

EMPLOYEE RETENTION: Dream? Or Nightmare?

By Karen DiGioia, Herbein + Company, Inc. jobs than there are people to fill them. Add to that the skills mismatch between job seekers and the jobs that are available, and the bottom line is clear – it is more critical than ever for employers to focus on retaining the talent that they have.

Imagine, if you will, heading into the office on an ordinary Monday morning. It’s a spring day, much like today. The sun is shining, birds are chirping. The sweet smell of rain still lingers in the air from last night’s downpour. You had a few stops to make on the way in, so you know the agency will be bustling when you arrive.

When you are lucky enough to have great employees on your team, what can an agency do to keep them? In the remainder of this article, we’ll discuss the KEYS TO EMPLOYEE RETENTION (imagine that phrase delivered in a booming and emphatic voice).

The first sign that something is off comes when you get to the front door. It’s still locked. Peering through the window, you notice that all the lights are out. Confused, you check your phone, thinking maybe you lost track of the days. Could it be Sunday? But no – your home screen confirms that it is indeed Monday morning, and you’re certain that today isn’t a holiday.

Competitive Pay and Benefits

You pull your key out of your pocket, unlock the door, and step inside. The office looks the same as always – well, almost. Desks are all in place with laptops neatly arranged, the phones are ringing, and emails are pouring in. The water cooler, with its familiar glugging sound, hums softly in the corner. The only thing missing? The people.

Is this a nightmare? An episode of Black Mirror or The Twilight Zone? Maybe it’s a hidden-camera prank? Nope – it’s none of those. Fortunately, it’s just a fictional tale designed to bring home a critical point: employees are an agency’s most important resource and most critical investment. Without employees, customer calls go unanswered, claims go unfiled, policies remain unsold.

Moving from fiction to reality – employees, especially good ones, are hard to find. Despite a slight uptick in the unemployment rate, it’s still low, and there are more open 12

Let’s start with the basics: pay and benefits. To attract and retain top talent, it’s critical to have a strong foundation of competitive pay and benefits. Information about pay is now more accessible than ever, whether through social media, job postings, or even direct wordof-mouth between employees themselves. This level of transparency makes it more critical than ever for employers to offer a competitive package that supports their ability to attract and retain great people. However, pay and benefits alone aren’t enough. Let’s dive into the other essential keys to retention.

Flexibility In addition to competitive pay and benefits, employees are increasingly seeking work/life integration and flexibility.

In this issue’s interview with Michael Cruz, founder and principal owner of Foresight Insurance LLC, he shares how his agency has adapted post-pandemic to attract MAY 2025

EMPLOYEE RETENTION and retain talent. He has maintained a hybrid work environment and implemented a four-day work week. In talking about these flexible approaches to work, he is very clear – this “wasn’t about being trendy or trying to offer a flashy perk, it was about survival.”

While there were challenges to adopting a more flexible approach, Michael and his team made it work by using tools like Microsoft Teams Chat throughout the day to stay connected. They are intentional about staying in touch through regular “team meetings, one-on-ones, and other check-ins to ensure everyone stays aligned and no one feels disconnected.” They use RingCentral to answer calls – from the office or remote – and other shared platforms to track and manage everything from schedules to policies to client histories. Michael also uses metrics to communicate and track productivity and workloads.

It’s clear, when reading Michael’s interview, that these changes haven’t just helped retain employees and reduce burnout; they’ve also improved the agency’s efficiency and strengthened the team.

Employee Growth & Development Investing in employee development isn’t just good for the employee – it’s good for the agency, too. But what does “growth and development” mean? The answer may be different for each employee. For one employee, it may mean expanding knowledge and skills within their current job. For another, it may mean taking on new challenges in a higher-level position or new role. For yet another employee, it may mean involvement in a special project.

Regular conversations with each employee should not just cover “how things are going today” but should also focus on opportunities for growth and development. By creating a tangible development plan for each employee, you signal that the agency is investing in their future – boosting both retention and long-term success.

Recognition and Gratitude Simple words like “Thank you,” “I appreciate you,” or “Great job” go a long way. Recognition and gratitude are incredibly powerful tools when it comes to retention.

When employees know their work is valued and appreciated, it strengthens their connection to the agency and the work they do. Never underestimate the impact of acknowledging a job well done and offering regular praise.

IABforME.com |

Culture You’ve probably heard the Peter Drucker quote, “Culture eats strategy for breakfast.” But have you ever stopped to consider what that really means? While strategy is important, it’s culture that determines whether an organization can successfully execute that strategy. A company with a strong, positive culture – built on trust, respect, cooperation, and accountability – will outperform one with a solid strategy but a toxic or weak culture. It’s the culture that fuels the execution of your plans.

Strong Management Many of the keys that we’ve already discussed are part of strong management – growth and development, recognition and gratitude, positive culture, flexibility.

At the heart of strong management is communication.

Strong managers are clear, consistent, and regular communicators. They ensure that employees understand the mission and vision of the agency and how their work contributes to the bigger picture. They also make sure employees know what’s expected of them and offer feedback when those expectations are met (or need improvement). This feedback loop, built on respect and constructive guidance, strengthens both the individual and the team.

Back to that Monday Morning…

So let’s rewind. It’s still a sunny spring day and the birds still are singing. That light scent of rain still lingers in the air. You walk through the unlocked (thank goodness!) front door to find a buzzing workplace full of engaged employees.

The Office Manager greets you from across the office and then goes back to his Teams Chat with a CSR who’s working from home today. You drop off the coffee and bagels that you picked up on your way in, as a token of appreciation for the team’s record-breaking first quarter results. As you move through the office, you quickly jot down a reminder to send Grub Hub gift card credits and a quick “thank you” email to those employees who are working remotely and aren’t in the office to share in the goodies today.

Continued on page 15 13

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Continued from page 13 Next on your agenda is a Teams meeting with everyone to discuss the first-quarter results and plans for the second quarter. It’s important for everyone on the team to understand the big picture and how they fit into it. After that, you have a meeting with one of your producers to discuss the expansion of their product lines. She’s been showing a lot of promise, and you want to make sure you support her growth and keep her engaged.

On the way to your office, you stop by your Office Manager’s desk to thank him for all the extra work on the recent new system implementation.

While it took a lot of effort, this new system will ensure that everyone stays connected to current customer and policy information – a critical tool in supporting your hybrid workforce.

By investing in your employees and following the KEYS TO EMPLOYEE RETENTION, your dream has truly become a reality. The agency is thriving, the employees are engaged, and you’re ready to face whatever challenges and opportunities lie ahead.

Serving Up Restaurant Coverage, One Policy at a Time.

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Trust Harford Mutual Insurance Group to provide comprehensive property and casualty insurance designed to protect what matters most to

Karen DiGioia provided this article on behalf of Herbein + Company, Inc., IA&B’s contracted human resources consulting firm. As a benefit of membership, IA&B members can contact Karen for HR advice at khdigioia@herbein.com or 484-465-1201.

your policyholders— their business.

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MICHAEL CRUZ

Are you looking for

Continued from page 9

MARKET A CC E S S ?

Another major threat is stagnation. It’s not just about growing your PIF or revenue, it’s about constantly improving your processes, efficiency, and overall capabilities. Agencies that fail to grow in these areas are on borrowed time. You can no longer afford to be, or stay, small. In today’s market, you’re either scaling up or falling behind, there’s no middle ground. If you’re not evolving, you’re in decline, and the agencies that refuse to adapt will see a fast decline as the industry shifts.

Take a look at IMS • A broad mix of standard and niche markets • No initiation or monthly fees • Low to no volume commitments

The biggest opportunity? Agencies that embrace technology to become better advisors, not replace the relationship. The agencies that integrate tech without becoming purely transactional will thrive. Clients still value personalized service but expect speed, convenience, and efficiency. The agencies that successfully blend modern technology with expert guidance will be the ones that dominate the independent agency space.

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IMSaccess.com Contact Tim Wonder TimW@IABforME.com 800-998-9644, ext. 351

Q. And now a fun one: when you’re not working, how do you enjoy spending your time?

A. During the pandemic, my wife and I picked up walking, and it quickly became something we both loved. I enjoy getting outside and going on long walks as a way to clear my head and spend time with my wife, Natasha. We often do a 10-mile walk from our house in North Bethesda to Downtown Bethesda, grab a delicious oat milk cortado, and then walk back. That’s our weekend 10-mile walk.

It’s tough at first, but after a few times, you get used to it. Walking is underrated, it’s one of the best ways to disconnect and reset.

EDUCATION

RESOURCES

8 G R E AT M E M B E R B E N E F I T S 1) Legal & Compliance Resources 2) Classes & Online Training 3) Marketing, Branding & Websites

I also enjoy road biking. Sometimes, when I want a challenge, I’ll join a local group ride to push myself. Other times, when I just want to relax and think, I’ll go for a solo ride. I’m fortunate to live in the Washington, D.C. metropolitan area, which has some beautiful mountain routes within an hour’s drive in both Maryland and Virginia, its location perfect for cycling.

Beyond that, I enjoy good food, traveling, and unplugging when I can. I love flying; I find planes fascinating, and to this day, I still get excited about going to an airport and getting on a plane, regardless of the destination.

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ADVOCACY

4) Political Advocacy 5) HR & Hiring Solutions 6) Insurance for Your Agency 7 ) Industry News 8) Market Access & Carrier Relations QUESTIONS? CONTACT TIM WONDER, IA&B VP-MEMBERSHIP 717-918-9223 | TIMW@IABforME.COM

MAY 2025

WELCOME

NEW MEMBERS Adventist Risk Management Silver Spring, MD DMV Insurance Agency Inc Lanham, MD Hilling-Pfeffer Insurance Inc Erie, PA Kind Insurance Lemoyne, PA McGovern Insurance Agency Inc Carbondale, PA MGI Risk Management Inc Pittsburgh, PA For information about membership or benefits, contact: Tim Wonder, VP-Membership 717-918-9223 TimW@IABforME.com

EARN CE WITH IA&B

E D U C AT I O N SCHEDULE M AY 2 0 2 5 Register today! 800-998-9644, option 1 IABforME.com/education CLASSROOM DATE TOPIC May 6-7 CIC-Personal Lines Institute May 8 CISR-Personal Auto May 13-14 CIC-Commercial Property Institute

LOCATION Mechanicsburg, PA Mechanicsburg, PA Erie, PA

LIVE WEBINARS DATE TOPIC May 6 CPIA-Position for Success

TIME 8 AM-4 PM

May 6-7

CIC-Personal Lines

8 AM-5 PM

May 6

Certificates, Contractors, and You: Fights, Coverage Issues, Best Practices

9 AM-12 PM

May 6

Ethics in Insurance - Protecting the Client and the Agency

1-4 PM

May 7

CPIA-Implement for Success

8 AM-4 PM

May 7

William T Hold - Personal

8 AM-4 PM

To serve as a driving force to champion independent agency success by educating, consulting, advocating, and fostering community in Pennsylvania, Maryland, Delaware, and beyond.

May 7

CISR-Life & Health Essentials

8 AM-4:15 PM

May 8

CPIA-Sustain Success

8 AM-4 PM

May 8

The Fine Print: Contractual Obligations of Your Insured

1-4 PM

May 13

Big Rig, Big Risk: Mastering Trucking Accounts

9 AM-12 PM

May 13

Liar!: An Agent's Role in Identifying & Handling Fraud

1-4 PM

PRIMARY AGENT

May 14

CISR-Personal Residential

8 AM-4:15 PM

May 15

Just Use Mine: Home, Vehicle and Other Sharing Exposures

1-3 PM

May 20

Hour with Sam: Liability Concerns in the Personal Auto Policy

11 AM-12 PM

May 20

Understanding Commercial Property Gaps and Knowing How to Fill Them

1-4 PM

May 21

CISR-Agency Operations

8 AM-4:15 PM

May 21

Reasons Personal Lines are Broken (and What to Do About It)

1-4 PM

May 22

Homeowners Endorsements Insureds Don't Want (But Do Need)

9 AM-12 PM

May 22

Hour with Nicole: Personal Lines: Read the %^&* Form!

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VISION A thriving independent insurance agent community.

MISSION STATEMENT

Editor: Karen Robison KarenR@IABforME.com 717-918-9209 Contributing editors: Jennifer Ross, Megan Fioretta, Sarah Haas Sales Account Executive: Rebecca Sieg | 717-430-2351 rebecca.sieg@theygsgroup.com

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