Seasons Greetings

I would like to wish everyone Seasons Greetings 2007 and extend my wishes for you to have a Happy New Year. I'll be setting up my web-site in 2008 and link the blog to the site.

Insurance agents from direct writers to independents

Many clients ask me: What type of agent do I need and where do I find them. There are three types of insurance agents in most states. These are: Exclusive agents, direct writing agents and independent agents. Here are general descriptions. Exclusive agents write for one company such as Allstate or State Farm. They cannot by contract place business with another company. These agents write a large portion of what is called personal lines insurance that is homeowners or personal auto. Direct writing agents are employees of the insurance company and generally are paid a salary in lieu of commission. Wausau Insurance Companies utilize this system as does Liberty Mutual. These agents can write both commercial and personal insurance. The last category is the independent agent. This agent works on commission and can represent numerous insurance companies. They can write both personal insurance and commercial or business insurance. Currently about 55% of all commercial insurance in the United States is written by independent agents. Next; Where do find them. I recommend utilizing friends and associations if you are a member. Using the Yellow pages is really like shooting dice. You don't know what you are going to get. Remember some agents specialize in small businesses while others will not touch a small business. You need to ask direct questions of any agent you might consider. How long have you been in business and can you supply references in the area. If you need additional help please contact me.

Effective Shopping for Business Insurance

Many clients ask me where they should begin in shopping for insurance coverage for their particular business. Here are a few simple rules : 1,Really analyze your business and all of your operations to identify all exposures to risk.2, Write down your findings.3, Discuss the findings with key employees.4,Talk with competitors about particular things they may have found in setting up their own insurance program.5, Utilize your associations if you have this available to you.Many associations have very good insurance plans and suggestions about coverage.6, Use outside consultants if you want unbiased information. Please check references on all consultants. Some so called consultants are in reality insurance agents. The old wolf in sheep's clothing can really bite you. Remember, insurance agents have a built in conflict of interest; the more they sell you the more they make.