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Sen. Pryor to Speak at Legislative Breakfast  |   Meeting Space Available |  SND Board Summary |  Hail to Our Partners |  ACSR Tribute Day Feb. 22 |  Sales Stats Show Training Pays |  Submit for YAC Awards | Industry News

N A T I O N A L   L E G I S L A T I V E   C O N F E R E N C E   &   C O N V E N T I O N
Sen. Pryor to Speak at Legislative Breakfast

Sen. Mark Pryor (D-Ark.), an up-and-coming voice among moderates in the Senate, will speak to Big "I" members at an April 27 breakfast during the National Legislative Conference & Convention.

"Senator Pryor is a rising star in the Senate because he is pragmatic and works with his colleagues across the aisle to get things done for his state and the entire country," says Big "I" CEO Robert A. Rusbuldt. "Since Senator Pryor is respected by both Democrats and Republicans, he is in a great position to advance bipartisan, common-sense reforms on issues our members are very interested in. Our members are eager to hear his thoughts on issues that affect their businesses and livelihoods, including tax reform, insurance regulatory modernization and other insurance, economic and national issues."

Sen. Pryor’s track record of centrism and building consensus has helped him to win two statewide elections since 1998, including victories in the attorney general’s race of 1998 and the Senate race of 2002. He also was elected an Arkansas state representative in 1990.

"Sen. Pryor is trusted by members on both sides of the aisle," says Charles E. Symington, Jr., Big "I" Senior Vice President of Government Affairs and Federal Relations. "He consistently strives to find the middle path on issues that are too often polarized between left and right. We look forward to having him at our event."

To register online and make hotel reservations go to www.independentagent.com and click "Events and Conferences."

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Meeting Space Available

The new Big "I" Opportunity Area at the 2006 Big "I" Convention gives companies incredible networking possibilities by offering private office space in the exhibit hall. This setting is perfect for meeting with agents and other business partners.

The Opportunity Area consists of a series of glass offices with room for up to 10 people. Each room will have wireless Internet access, speaker phone and signage.

"In response to conference attendee feedback, we decided to get a space together for agents and companies to sit down and really delve into the details," says Jeff Etzkin, Big "I" vice president of special events. "This will give companies a chance to capitalize on all the active leads they receive at the convention. There is an advantage to being able to take interested agents into a quiet, private office where you can sit down and hack out details then and there—while the interest is peaked and you have a captive audience."

Companies will be able to rent space for the morning, afternoon or the entire day on Friday, April 28. For more information, contact Jeff Etzkin at 703-706-5406; jeff.etzkin@iiaba.net.

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I I A B A   N E W S
SND Board Summary

The following is a summary of the Jan. 15 through 15 SND Board meeting, held in Palm Springs:

President’s Report

President Stiglitz reported that he has visited many state associations since the last SND Board meeting. He noted that there has been a lot of discussion at the state level about TRIA and disaster planning. He also commended all involved in the positive legislative outcomes recently achieved by IIABA.

CEO Report

Bob Rusbuldt reported that the association is developing a membership campaign and will work on it with all state associations interested in using it. The campaign will include national trade ads, brochures, a video news release, member surveys and a corporate report. He reported that the Big "I" worked hard to assure passage in Congress of the TRIA extension. He also commented that the prohibition of funding for PRP for one year was a tremendous victory for IIABA involving crop insurance, especially since we were the only group working on the issue. Bob Rusbuldt commented that work by IIABA on the producer compensation issue has been phenomenal. He noted that a lot of IIABA resources were focused on it and that we are ready to address anything new on it that may arise. Bob Rusbuldt reported that the IIAA Educational Foundation has raised over $400,000 for the Big "I" Katrina Relief Fund and has made grants to many association members and others in the insurance industry who suffered losses from that tragedy.

PRESIDENT AND CEO Q&A

President Stiglitz and Bob Rusbuldt opened the meeting for a Q&A session. In summary, key issues covered included:

• If there will be any Big "I" support for national disaster legislation, to which President Stiglitz responded that a survey of members on this issue is under way and discussion on how to proceed will take place once the results of the survey have been compiled and disseminated.

• Whether the association is planning to set up a permanent disaster relief fund for future use, to which Bob Rusbuldt responded that the IIAA Educational Foundation, which is a 501(c)(3) organization, can be used at any time for charitable fundraising purposes so there is no need for a separate fund.

• The timing of distributing the remaining funds donated to the Big "I" Katrina Relief Fund and the ability of the national association to help victims of Hurricane Katrina long-term, to which Bob Rusbuldt responded that the funds are being distributed as quickly as possible with the hope of disseminating them entirely within two months; he added that the national association currently is not in a position to sustain any long-term assistance.

FINANCE REPORT

Mike Moss, chair of the Finance Committee, reported that the association ended the 2005 fiscal year with total assets of more than $22 million. He reported that a new audit team has been engaged and that the final audit report will be sent to SNDs by mid-February. He also reviewed the results from the first quarter of this fiscal year. Questions concerning reasons for G&A trending were answered by Steve Cocke who said that much of it is due to staffing costs and related load factors, such as for group benefits.

INSURPAC

Robb Dale, chair of InsurPac, reported that receipts in 2005 totaled $753,861, an increase of $84,000 over last year’s record-setting number. He noted that the states that made goal included Alabama, Alaska, Arkansas, District of Columbia, Florida, Georgia, Hawaii, Kentucky, Louisiana, Maine, Mississippi, Montana, Nevada, New Hampshire, New Jersey, New Mexico, North Carolina, North Dakota, Rhode Island, South Carolina, Tennessee, Washington, West Virginia, Wisconsin and Wyoming. Dale reviewed some of InsurPac’s new goals, including having every agency member contribute $100 to InsurPac and becoming a $1 million Pac per year.

GOVERNMENT AFFAIRS REPORT

Tom Minkler, chair of the Government Affairs Committee, commented that the TRIA extension just passed was a huge victory in which the Big "I" played an important role. Charles Symington reported on the importance in 2006 of flood insurance reform. He also noted that there are plans to refine the SMART Act for introduction in Congress. Symington added that there will be four different natural disaster bills introduced in Congress and that IIABA will develop a coalition to address this issue. Liz Furey, director of grassroots, noted that there are plans to modernize the grassroots action alert system to direct people to the correct member of Congress and provide sample letters on important issues. She urged IIABA members to contact the association’s staff with information on key contacts they have with members of Congress or their staffs. Furey reported that she will continue to work with state associations to use the Political Education Program to help educate members about legislative issues and how members can support the association’s efforts. Bob Bramlett, chairman of the State Government Affairs Committee, reported on the tremendous activity at the NAIC. Wes Bissett noted that agent licensing reform is a top priority with the NAIC. Bissett added that efforts are focused on streamlining the layers of licensing, with insurance regulators for producers and agencies, and with secretaries of state for registration of corporations, and the hope is that corporate registrations will be eliminated.

TRUSTED CHOICE®

Ron Smith, chair of Trusted Choice®, reported that 2005 was a very successful year for Trusted Choice®. Smith stated that there are over 5,400 agencies participating in the program, with a 93% retention rate, and 32 company partners. He noted that traffic on the Trusted Choice® Web site has doubled since last year. He added that May will be Trusted Choice® month for the second consecutive year, and that the state grant program is being continued for 2006 at a funding level of $600,000. Jeff Myers reported that the advertising campaign for 2006 so far includes two national cable TV ad flights (March 13-26 and May 1-14) for a total of 295 spots on Fox News, ESPN, HGTV, CNN, Food Channel, Travel Channel and Fine Living Channel. He also announced that there will be an area in the exhibit hall during the 2006 Convention for Trusted Choice® and its company participants to highlight the brand.

TRUSTED CHOICE® BIG "I" JUNIOR CLASSIC

Bob Bramlett, chair of the Trusted Choice® Big "I" Junior Classic, reported that the Tiger Woods Foundation committed its sponsorship support to the Trusted Choice® Big "I" Junior Classic through 2008. He noted that 43 state associations are involved with the tournament, including 3,000 Big "I" members who work at the state and local levels with 7,000 junior golfers. The Board of State National Directors rescinded the 1996 Board policy precluding association financial support for the tournament, and approved the expenditure of $20,000 from the Contingency Fund for the cost of a satellite video uplink for the upcoming 2006 Trusted Choice® Big "I" Junior Classic.

BOARD STEERING/ELECTION COMMITTEE

Doug Ball, chair of the Board Steering/Election Committee, reported that Brett Nilsson (Executive Committee member) announced his candidacy for the position of vice president, which will be voted on at the April 2006 board meeting. Ball also reported that there currently are four candidates for the at-large Executive Committee position: Tommy Cook, Mike Donohoe, Dino Gavanes and Al Shank.

2006 YOUNG AGENTS LEADERSHIP INSTITUTE

Keith Riley, chair of the Young Agents Committee, reviewed the events taking place at the 2006 Young Agents Leadership Institute. He noted that there are 40 states with either active programs or programs being rebuilt for Young Agents.

GUEST SPEAKER

The Honorable Jim Poolman, North Dakota Insurance Commissioner, addressed the Board of State National Directors. His remarks covered his efforts to improve speed to market for products, and noted there are no filings in North Dakota more than 60 days old. He also commented that he would like to make producer licensing more efficient.

He said he appreciates IIABA’s position on SMART and wants the NAIC to work with Congress to improve insurance regulation.

BIG "I" UNIVERSITY

Mike Donohoe, chair of the Big "I" University Committee, reported that the Big "I" University has not met its business plan projections. He explained that a marketing pilot program was developed for the Georgia, Maine and Idaho state associations. He said that that state associations need more support to familiarize them with the Big "I" University. The Board of State National Directors approved an expenditure of $50,000 from the Contingency Fund to implement a marketing strategy in 25 states during the rest of this fiscal year and to establish a network of VU deans across the country as the go to source for marketing outreach on the VU.

INSURBANC

David Tralka, CEO of InsurBanc, announced that 2005 was a very successful year for InsurBanc, ending the year as a $100 million institution. He noted that there is a general lack of awareness about what services and products InsurBanc provides, and said that InsurBanc would like to work with the state associations that have not yet established a relationship with InsurBanc. Rick Davis reported that InsurBanc ended 2005 with a net profit, which entitles IIABA to a royalty fee.

BIG "I" ADVANTAGE

Garret Ratcliffe, chair of IIAA Membership Services, Inc. (MSI), reported that the majority of non-dues income generated from MSI come from IA magazine. He noted that there were 576 advertising pages in IA magazine for fiscal year 2005, generating $2.2 million in revenue. He commented that some challenges for IA magazine include carrier consolidation, an increasingly competitive environment, higher postage and paper costs and managing the distribution force. Tommy Cook, chair of IIAA Agency Administrative Services, Inc. (AAS), reported that AAS’ goals are to make the IIABA-endorsed E&O program dominant in all state associations, make Big "I" Markets the major conduit of niche products and grow the retirement/benefits program. Cook noted that Big "I" Markets continues to grow in number of licensed sub-producers and active users, number of quotes, number of binders issued, and number of active users. He also reported state association revenue share checks continue to grow due to the success of AAS.

Matt Berry reported that Swiss Re announced its acquisition of GEIS on Nov. 17, 2005, with the deal scheduled to close in mid-2006. He indicated that the Professional Liability Committee felt this change would be very positive for the program. Berry announced that GEIS instituted rate changes for 2006, with an average decrease of approximately three percent in 20 states, one state receiving an increase, and the other states remaining at the same rates. He added that GEIS has made several enhancements to the program, including on the loss control credit and by increasing the catastrophe extra expense claims handling endorsement. He said that GEIS began including producer compensation disclosure statements on new/renewal quotes as of Jan. 6, 2006 and stopped on Jan. 12, 2006. He noted that the PLC will meeting with GEIS on this issue.

PLANNING COMMITTEE

David Daniel, chair of the Planning Committee, reported that the Planning Committee has considered for possible inclusion in the plan all of the suggestions made up to and through the last SND Board meeting, and determined that the only changes needed from that process were in the nature of minor housekeeping items. He explained that the Planning Committee also discussed adopting a one-year annual operating plan to specify the tactics to implement the strategies in the Long Range Strategic Plan, which could allow the budget and funding decisions to flow from the one-year annual operating plan.

CONVENTION TASK FORCE

Sharon Emek, chair of the Convention Task Force, reviewed the schedule for the 2006 Big "I" National Legislative Conference & Convention. She reported that the Convention Task Force is looking at making the conference a multi-track leadership event in the future.

TECHNOLOGY ADVOCACY

Bob Slocum, chair of the Agents Council for Technology, reported on ACT’s focus to promote the industry’s efficient use of technology. He noted that one major technology-related pain point for members that arose during a conference call with the Independent Insurance Agents & Brokers of New York (IIABNY) is the work load on agents to enter data multiple times to obtain rates from carriers. Steve Spiro, State National Director for IIABNY, explained the challenges agents face on this issue and referenced the IIABNY produced podcast addressing this issue (accessible by copying this link http://iiabny.typepad.com/WOTS2-b.mp3 into your browser). Slocum noted the importance of grassroots advocacy on this issue with carriers, and the Board passed a Policy Statement on Real-Time Multiple Company Rating, available on www.independentagent.comunder "ACT," "ACT’s Highlights." Slocum reported that an action plan will be developed to support the achievement of this policy.

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T R U S T E D   C H O I C E ®
Hail to Our Partners

You are, as the old adage goes, as good as the company you keep.

In that case, Trusted Choice®, the consumer brand program for Big "I" members, has unlimited potential thanks to the unwavering support of many of the best agency system companies in the insurance business today. These companies—which are national companies, regional insurers and single-state domiciled entities—provide invaluable support that is key to achieving the Trusted Choice® mission of becoming the preeminent consumer brand for independent agencies and brokerage firms. Click hereto learn more about each Trusted Choice® company partner.

Their collective annual investment helps educate consumers about the valuable benefits—choice of companies, customized policies and advocacy support—of using a Trusted Choice® agency.

This company funding is combined with your agency’s annual investment to pay for national cable TV advertising, a grants program for state associations to use on state-based consumer advertising, public relations campaigns, development of professionally produced tag-able ad materials for participating agency use and much more. Through these efforts, Trusted Choice® reaches in excess of 300 million consumers each year with its message and builds consumer recognition of the brand and your agency.

In addition to financial support, these valued company partners also provide considerable expertise and guidance to Trusted Choice® on its advertising, agency and company recruiting, as well as brand-building programs. Each company partner has taken a leadership position on Trusted Choice®, and we greatly value this support. If companies you do business with are Trusted Choice® partners, tell them you appreciate their ongoing support. If your companies are not partners, ask them to become a Trusted Choice® supporter by joining the brand movement today.

Take advantage of a visit by your company’s marketing or regional manager to relay the appropriate important message. Your voice will reaffirm the importance of the companies’ commitment to Trusted Choice® or open their eyes to the critical need to support their appointed agencies by joining the growing brand movement. For more information about Trusted Choice® or its valued company partners, contact Jeff Myers at 800-221-7917; jeff.myers@iiaba.net.

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E D U C A T I O N
ACSR Tribute Day Feb. 22

The Big "I" congratulates graduates of the Accredited Customer Service Representative (ACSR) program and declares Feb. 22 the inaugural ACSR Tribute Day.

The ACSR program, a joint program between IIABA and AICPCU/IIA, is a nationally recognized designation that provides participants with a strong insurance foundation and equips them with the customer service skills and technical knowledge necessary to succeed in today’s agency environment. Nearly 13,000 agents and brokers have achieved the ACSR designation, which is available in personal lines, commercial lines or life-health and earnable via classroom, self-study and online at the Big "I" Virtual University.

The Big "I" encourages agencies to celebrate the commitment of their employees with ACSR designation, whose hard work and commitment to customer service brings greater success for their agency and themselves. From a group luncheon, a small gift or flowers, to new business cards, recognition for a commitment to excellence and job well done goes a long way.

For more information on the ACSR program, click here or contact Lisa Johnson-Briggs at 800-221-7917; lisa.johnson-briggs@iiaba.net.

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B E S T   P R A C T I C E S
Sales Stats Show Training Pays 

The Big "I" will offer its highly successful Elite Force Sales Training Program March 7 through 9, May 9 through 11, Aug. 8 through 10 and Nov. 14 through 16 at its Alexandria, Va., headquarters. The Elite Sales Force Training Program has a proven history of taking newer producers with a basic understanding of the sales process and dramatically increasing their sales production. Ideal for producers who lack the foundation of a strong sales-skills program, the Elite Sales Force Training Program has small class size, ensuring the individual attention necessary to recognize producers’ sales strengths and weaknesses and quickly transform them into successful sellers.

Program attendees average more than $60,000 in first-year commissions. The program is geared toward producers with less than three years’ experience in sales and less than five years in the insurance industry. The course consists of 12 full days of training conducted in three-day, quarterly intervals. Agents will work with Chris Amrhein, an insurance educator and consultant. Amrhein previously was as a producer and independent agency manager, a full-time educator for the Florida Association of Insurance Agents and the Big "I" vice president of industry affairs. Participants will receive practical education and use books and videos written and produced by some of the best sales minds in the industry. The class consists of many educational elements that have proven essential in the success of sales professionals, including role playing, etiquette enhancement and effective negotiation training. For registration forms and more detailed information, click here.

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Y O U N G   A G E N T S
Submit for YAC Awards

The Big "I" National Young Agents Committee (YAC) is seeking submissions for the 2006 YAC awards in the following categories: membership development, state committee project, communications, young agents meeting and political involvement. Outstanding Young Agents Committee of the Year and first runner-up honors also will be awarded. Participating in the National YAC awards program demonstrates state young agents and brokers committees’ commitment to perpetuating the independent agency system and solidifies their presence as the driving force behind its future. The 2006 YAC awards presentation will take place at the inaugural 2006 Young Agent Leadership Institute, held in conjunction with the National Board of State Directors meeting tentatively scheduled for Sept. 8 through 10 at the Hilton New Orleans Riverside.

Entries must be postmarked by July 1, 2006. Visit www.independentagent.com and click "Young Agents" to download the 2006 YAC Awards Criteria. Direct questions to Leslie Mularski at 724-779-2076; leslie.mularski@iiaba.net.

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