I remember a number of years ago when I went to a reception held on the aircraft carrier The USS Intrepid.  Kind of a unique place for a cocktail party but I figured I would go check it out.  Well the week I was in New York it was in the 80’s then in the 40’s a day later so it was tough to control the temperature so it was a bit stuffy on an aircraft carrier.   I quickly thought, I will make a showing and then slip out.

As I tried to sneak towards the door I overheard one of the tour guides telling the story or some of the battles the aircraft carrier was in.  I was enthralled by the stories he was telling and how he brought them to life.  Over 10 years later I can still remember the stories he told.  So the value of telling a story in an interesting and “lifelike” format is that it will be memorable.  I only wish all history teachers could realize this and incorporate it into their classrooms.

So why don’t more producers look to tell their clients “story” so that it will bring the account to life and catch the interest of the underwriter?   I have always heard in sales it is “all about the story”.  There is no way an application can tell the full story on an account so why not “tell the rest of the story” as the late Paul Harvey used to say.  You do want your submissions to stick out and catch the interest of the underwriter don’t you?  A well written narrative will answer many of the questions the underwriter may have and help speed your submission to the quoted stack.  There is nothing worse than back and forth information gathering so slow down getting a quote.  If you think about it, so few submissions have narratives anymore, that your submission will stick out favorably.

So what are the components of a good narrative?

1. One page in a story format

2. Details of your knowledge or relationship with the customer

3. Details of what makes this a good account

4. Loss control or risk management that the customer has implemented.

5. Explanations of any losses

6. Details of the business including growth plans

7. Why the carrier has a good opportunity to write this account

8. Any pricing or terms you need for this account to improve on their existing program.

9. Any gaps in the “story” for this account

10. Last but not least, when you need the quote by.

It is not a contest to see how little information you can to the carrier and still get a quote.  This is a journey to properly write the account with the best value you can so that it can be a long term client for your agency.  Develop your own narrative story format, be consistent and tell your clients “story” the best way you can.

I would love to see any template format that your agency is presently using.

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This weekend I had the chance to hear someone speak about the importance of being positive.  It was amazing to realize that even when you think you are a positive person there can be areas of your life where you’re just not up to snuff.  Are you positive about certain things, but let other things slip by?  As easy as it can be to be upbeat and happy, it can also be difficult to maintain that attitude during different situations.

Everyone knows the usual path to being positive….smile frequently, laugh as much as you can, and try to turn negative thoughts into positive ones – or at least keep them to yourself.  In order to do all of these things, I’ve been known to post little affirmative quotes around where I know I’ll see them.  Corny, I know.  But sometimes it’s that one little quote that can stick in my mind all day and rumble around.  And I always seem to need that quote at some time during the day.  So, I’m giving you three of my favorite attitude quotes:

Whether you think you can, or you think you can’t, you’re right. I use this one a lot on myself as I have a tendency to think that I can’t do something, just because I have never done it before.  Why stop yourself?  What will happen – you might not be perfect at it?  Who cares?  More likely, you’ll find that you enjoy doing what you’ve been telling yourself you can’t do.  If anything, you at least get a sense of accomplishment out of the fact that you finally did it, whether or not you enjoyed it!

Things turn out the best for people who make the best out of the way things turn out. This is all about how you react to certain situations.  As some of my friends know, I can react negatively quite quickly to a situation.  I’ve been “working” on this quote because it reminds me that I need to slow down and think about things.  If I can look at whatever’s bothering me objectively, and find the positive outcome in the situation, then that’s what will happen.  It doesn’t matter if it’s something that can be completely crappy – it’s how I react to it that determines how things will turn out.

A positive attitude may not solve all your problems, but it will annoy enough people to make it worth the effort. Come on…..you know I had to have a little bit of sarcasm in here!  There is always that situation where you’re dealing with a particular person that is a thorn in your side.  My mother always told me to “kill them with kindness.”  Staying positive in a situation that is difficult for you – due to another person’s attitude – is hard.  But sometimes just knowing that your positivity is a little annoying….well, it can just make that moment a little better.  I know I know – it’s probably not exactly positive thinking – but it does work!

Think good thoughts about yourself……smile a lot, laugh often…… be positive about what you can do (or want to do), and try to make your situations turn out for the best.  There’s nothing better than living a long and happy life.  I’m positive about that.

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By Cathy Thurber

Just the other day I was driving home and noticed that the car driving towards me was slowly moving towards my lane.  The gentleman driver wasn’t even looking at the road; he was busy texting on his phone.  Luckily his car did not go into my lane and someone behind me honked, causing him to pay attention and get back in his lane.  The driver had been so engrossed with his phone that he wasn’t even glancing at the road in front of him.  It was an accident waiting to happen.

That got my thoughts churning.  I know that Ohio’s state legislature had been talking about a statewide ban against texting and driving, but at this point there is no prohibition against it.  Certain municipalities have issued distracted driving laws, but it’s ok to text and drive elsewhere in the state.  And seeing this guy slowly drive into my lane made me think of all the drunk driving laws.  I know you’re not incapacitated when you’re just texting, but the level of attention you’re paying to what’s around you has got to be about the same.  Don’t get me wrong – I have texted while driving before.  But after watching how distracted that driver was coming towards me, I realized how I could be putting people in danger with every tap on my phone’s keyboard.

I read that the National Safety Council estimates that 200,000 crashes are caused every year by drivers that are texting; and those who drive while texting are 23 times more likely to be involved in an accident.  Whether or not the state is going to pass legislation on this, don’t you think it’s just common sense to NOT take your attention off the road for those long moments?

Everyone that texts while driving is being neglectful to all the other drivers on the road….not to mention those kids that may be sitting in the backseat!  For God’s sake, put the phone down and pay attention to the moving vehicles surrounding you!  You won’t catch me texting while driving anymore.  I have a future I want to experience and I need to be alive to do it.

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By Cathy Thurber

I believe that the only way you can make it in life is if you have the ability to laugh at yourself.  So, when I found some insurance jokes online, I just had to share them.  Take a seat, relax….and if you’re in the insurance industry, laugh at yourself.

You might be in the insurance industry if…
1.   You have sat in the same desk for 4 years and worked for 3 different companies.
2.   Your resume is on a diskette in your pocket.
3.   When someone asks what you do for a living, you lie.
4.   You get really excited about a 2% pay raise.
5.   Your biggest loss from a system crash is that you lose your best jokes.
6.   You sit in a cubicle smaller than your bedroom closet.
7.   It’s dark on your drive to and from work.
8.   Fun is when issues are assigned to someone else.
9.   Communication is something your “group” is having problems with.
10. You see a good-looking person and know it is a visitor.
11. Free food left over from meetings is your main staple.
12. Art involves a white board.
13. All real work is done prior to 9:00 AM and after 5:00 PM.
14. You’re already late on the assignment you just received.
15. Dilbert is your favorite cartoon.
16. Your boss’s favorite lines are …
”when you get a few minutes …”
”in your spare time …”
”when you’re freed-up …”
”I have an opportunity for you …”
17. More than 10% of the people in your company do not know what you do.
19. Change is the norm.
20. Nepotism is encouraged.
21. You read this entire list and understand it.

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With the litigious society in the United States, there have been terminology changes in the insurance business to better reflect the intent of coverage.  A good example of this was the change from the term “All Risk” Property Coverage to “Special Form”.  This was done to reduce the confusion with clients that not all risks were covered under this policy.  There are numerous exclusions that reduce or eliminate coverage.

One of the areas that I believe is in need of a terminology change is the term “Umbrella Policy”.  The confusion that is created by this term is that this policy provides an “umbrella” for other liability exposures the client may have.  The reality is that there are very few (if any) “true umbrella” policies being offered. What clients really have is a “follow form excess liability policy”.  So if they have coverage under their primary policy, they have higher limits for ONLY those coverage areas in the excess policy.  There would not be a “drop down” if there was a claim that is not included in the primary coverage or if the primary insurer became insolvent.

So what term should you use with your clients?  I would use the “follow form excess” term so they get the idea that all you are offering them is higher limits of coverage they have in their primary insurance program.  It is important to list all policies in the follow form excess liability since they will only have higher limits for what you have listed in the schedule of underlying policies.  Don’t forget employers liability (something that happens more for Ohio accounts since this is a monopolistic state and we might only be writing WC in other states on an if any basis).  It is important to note that some carriers include hired & non-owned in the excess automatically (when there is underlying coverage) and some force you to list it in the underlying schedule.

One other note, check your exclusions in your follow form excess liability since they will reduce coverage that might be in the primary policy.

Us old timers need to be conscious of the changes in terminology so that clients do not get the wrong impression.  When we use terms that give the impression that the coverage is more “all inclusive”, we risk an E&O claim.  Details matter….

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One of the toughest conversations to have with a client is the conversation where you are trying to get them to consider a coverage they haven’t had before.  The clients first thought is that if I haven’t needed it before, why should I buy it now?  Or they think you are just trying to sell them more “stuff”.  They probably already feel they are “insurance poor” and why should they spend more of their hard earned money on insurance.

The “new insurance” conversation for cyber liability is one you need to have with your clients.  Both first party coverage and third party coverage should be discussed.  While newer (in relative terms to my 26 years in the business) coverage such as EPLI has become pretty much standardized with only a few “bells and whistles” to differentiate the different policies, cyber liability is a wide open area.  It is tough to do side by side comparisons since many of the carriers use different language, have different names for each of the coverage parts and have are very specific in their exclusions.  All this can make your head spin, so what are you to do?

 Well, my recommendation is to approach this “new coverage” discussion with your client in the following manner:

1. Familiarize yourself with the coverage.  You do not need to be an expert to be able to sell this coverage.

2. Set up a checklist of questions to ask your client to assess their exposure to “cyber liability”.  It is hard to “sell them” if you don’t have a good handle on what their exposures are.

3. Probe on what they feel their exposures are or what areas cause them to lose sleep.  These are probably the most important pieces of information you need to gather.  It will also help when approaching carriers to tailor the coverage to fit the client’s needs.  You can better explore the “bells and whistles” of the different cyber liability programs in line with what the “hot buttons” are for your client.

4. Make sure you keep the discussion with your client at their appropriate technology understanding level.  It will be very different when you are dealing with a technology savvy IT Manager versus a more paper and pencil CEO.  Start to get too technical with a technologically illiterate person will only make their eyes glaze over.

5. Be prepared to discuss some of the regulations that they are required to be in compliance with.  Some of these include the Red Flag Rule, Industry specific privacy regulations, state specific notification regulations and data breach regulations.  Also discuss the trust their clients put in them to make sure their information is secure.  For positions such as accountants, lawyers and insurance agents the “trust factor” standard is even higher.  This coverage is there to help them recover from these type of information disasters.

6. You need to commandeer the application through the organization to get the appropriate person to talk to in order to get the information needed.  This may include the CFO, IT Manager and Network Manager.  Leaving an application for them to fill out will not work in this situation.  Give them a deadline when you would like to have it back…. Since I am sure they are busy people.

7. When selecting markets to approach, try to find the one that best fits your client.  Some programs are geared towards specific industries and have been tailored to fit their exposures.  At max, you may want to approach 2 or 3 markets.  Any more than that and you will have trouble comparing the options since they are numerous.  Ideally you want to present one recommendation.  More than that and you will have to be able to explain the differences between the two programs to the client and some of those differences can be minute and very technical.

8. Be able to give some loss examples for each of the coverage parts.  You may want to give one loss example that spans over a number of coverage sections and show the potential costs that can add up in these kind of losses.  If possible find a loss in their specific industry.  This will help it to hit home.

9. Close.  If you have done a good job of uncovering their exposures, the type of losses they can have and how this coverage could save their business from financial ruin, they should be ready to buy.

Don’t wait, if you don’t talk to your clients about this coverage, someone else will or they will read about it.  If you are looking out for their best interests, you need to discuss this valuable coverage with them.

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I was reflecting on the topic of productivity the other day, mostly thinking about all of the different ways our environment affects it. From birth, I was a “night owl” so it was no surprise that I had my most productive and creative moments late in the evening and early morning. In college, I found that I did my best work at night. I went to school for art, and earned a creative degree so being “in the zone” is very important when it comes to my work. In the art world, a studio would completely transform at night, from “class mode” to an open, creative environment. In this space, I could free my mind, get into my work, and occasionally stop to collaborate with others. Thanks to this environment, I was never afraid of a solid deadline— the more pressure that was put on me; the more I would arise to the occasion.

Being a creative in the insurance world is a dramatic change of pace compared to the easy going environment art school creates. Working a 9-5 position instead of staying up all night to finish off a project has changed me in ways I never thought possible! For instance—I can officially say I am a morning person. Who would have thought right? In the way of getting “in the zone” it is much more difficult. There are constant interruptions—between emails, phone calls, and everyday marketing needs from my fellow employees I rarely get the opportunity to be in a creative state of mind. Over the years, I have had to adjust to this environment change… somehow I make it work. The one constant between my college days and my insurance days is that everything I work on has a solid deadline.

I’ve learned instead of buckling under the pressure of a deadline, to embrace it. It’s what keeps my creativity flowing, and ignites my will to push through obstacles without a problem. I know some people become less productive or overwhelmed because of the stress, personally, I say bring it on! (Does this make me a glutton for punishment? Lol)

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As I look back at my 26 years in the excess and surplus lines business I have a lot of fond memories.  The insurance industry gets a bad rap as a potential career and it surprises me that more people don’t choose it as a career path.  My observation is that most people in the insurance industry sort of “fell into it” and very few went to college looking to major in insurance.  I have found it really is a great profession and we need to improve the image that we project as an industry so that we can attract some of the best and brightest coming out of high school and college.

I hope to continue my carrer in insurance for quite some time but I thought I would share with you what I have learned so far:

1. Details DO matter! – The single most important lesson the prior owner of the company imparted on me was that details were extremely important.  Little errors could become huge problems.  A missed endorsement, a decimal point in the wrong place or a missed phone call could change everything.  When you consider we are non-lawyers, selling contracts it is important to take care of the details.

2. Education is a never ending quest – There are so many details in this business that a thirst for learning on a daily basis is crucial.  I know maybe a handful of professionals in this business, that are in the top tier of knowledge capabilities and many of those are near the point of retiring.  You have to keep improving your craft just like a world class heart surgeon would.  You wouldn’t want to have bypass surgery with someone who has not kept up on the latest in cardiac surgery, would you?

3. Ethics are critical – It only takes one time where you stray to “the dark side” and your image will be tarnished forever.  Do the right thing, even if it is not the easy route to go.  Insurance Departments see this as such an important area that many of them have implemented continuing education requirements that include ethics training.

4. Never stop asking questions. -  Both from an educational standpoint and from the standpoint of your clients.  When you ask questions you learn.  Asking questions also shows a level of interest and will be noticed by other insurance professionals and clients alike.  Besides, no matter how long you have been in this business you still have more to learn.

5. Surround yourself with great people. – While this could go without saying it does need to be said that great people will help you to stretch your capabilities, challenge you do your best and will also result in the phenomena of “the whole is greater than the sum of the parts”.  Together you can achieve more than you could do individually.

6. Keep looking for a “better mousetrap”. – Look to continually refine your skills, automate whatever you can and increase your productivity.   Continuous improvement should be a driving force since you can never rest on your laurels.  When you close your eyes and ears to new ideas you risk being left behind.  Change sometimes happens at the speed of light and you can get left behind by trying to do things the same old way you always did them.

7. Think outside the box. – This is so very important in the excess and surplus lines area.   We are called on to provide solutions for the risks our retail agents bring us.  This is truly where we can be “adding value” to the transaction and prove why we are needed.  Many times there is more than one way to get something done and the more open you keep your mind, the better able you are to come up with those innovative solutions.

8. Legislation/Regulation & Compliance – An understanding of the “playing field” we operate on is important.  Getting involved with pending regulation and legislation will allow you to help “set” the playing field you and others will operate under.  Compliance cannot be underestimated and are some of the “details that matter” that I mentioned in #1 above.

9. Give back – This may be more of a minority view in the insurance industry, but I think you need to “give back”.  You need to help others via education, mentoring or encouragement so that they can build their passion for this business.  The insurance industry does not just happen within a vacuum and it is important for people to help the next generation of insurance professionals so this industry image continues to improve.

10. Risk management and loss control knowledge is sorely needed.  This area of the business has become somewhat of a lost art.  I have a belief that your clients need your help in order to improve their risk profile and expect and appreciate your advice and consultation.  This is an area that is one of those “value added” type services that distinguish you from other insurance professionals.

11. You need to manage expectations.  Finding out your clients expectations can be the difference between satisfying them and building a long term client relationship or losing a client.  This is not to say that the client’s expectations are in line with what you can do but it would help to know them.  If you can’t meet them, it is better to know up front and not wait till you have expended significant time and energy.

12. Figure out where you fit in. – Based on your skills, personality and long range plans you need to figure out your career path.  The earlier you can learn what you really want to do, will allow you to excel sooner.  What do you still have to learn?  What skills do you need to enhance?  Who can help me achieve my long terms goals are all important questions to contemplate.

13. Develop a couple of specialties. – Everyone wants to be seen as an expert in some area.  What area do you specialize in?  Whether it is learning your agency management system inside and out or specializing in a particular industry, you will be rewarded long term for these efforts.  Who wants to be “average” at everything?

14. It is all about trust.  Trust with your carriers, trust with clients and trust with your co-workers.  It takes a long time to build but only one mistake to tear it all down.

15. You need a mentor – Have someone you can call to run things by?  New ideas, a problem or your frustration with a particular matter can all be areas you could discuss with a mentor who will help guide you on the right track.  Sometimes you are too emotional on an issue or too close to a situation to stand back and determine what path you want to take.

16. It’s all about the people. – Relationships are “key” to getting things done.  Sometimes it is not what you know, but who you know.  Make sure to never “burn a bridge”.  I find out on a regular basis how “small a world” it is in the insurance business.

17. Balance.- A lesson that is more recent for me.  Health, work and family don’t just happen.  They need to be a priority and need to be worked on daily, but need to be kept in balance.

18.  A quick “no” can be better than a long term “yes”. – If you can’t do it, that is OK.  If you say yes, then follow through and get it done.  Your “word” depends on it.  It has taken me years to realize I can’t do everything and I need to pick and choose what I can do best.

19. Return calls promptly- This goes without saying because the business world has evolved towards the expectation of more immediate responses.  This includes e-mails and other forms of communication.

20. Enjoy the ride – I used to forget that you only live once.  Once the day is gone, it is gone.  Make the next day more productive and move you towards the goals you have for yourself.

And I still have so much more to learn and experience….

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Everybody has resolutions at the beginning of a new year: losing weight, going back to school, focusing on the positive.  This year, I’ve decided I’m going to be selfish.  The whole of 2012 will be completely dedicated to me.  Why am I just focusing on myself?  Two reasons: 1) I’m not getting any younger; and 2) I’m missing my life.

It hit me the other day that I don’t just need to lose weight.  I need to completely revamp my life.  I have to start taking care of myself.  This involves more than becoming active and putting healthy food in my body.  I have to take the time to relax a little, to actually get some sleep, and to make sure I’m taking all my vitamins and everything the good doctor prescribes.  I must think of my entire well-being, because who else will do it for me, day in and day out?  Only me.  And if I don’t look at my whole health then I may not be around as long as I want to be.

That also means I need to slow down.  I realized this when I was on Facebook the other night (how ironic that I was on a social media site and had this epiphany).  A friend had posted a picture of her eight year old son right next to a picture from when he was four.  The difference was amazing.  I started picturing my daughter at four – who is now almost fourteen – and thought to myself, “where did the time go?”  I know I’ve been there with her while she’s grown up, but it seems like yesterday when I could gather her little body in my arms to hug her.  Now she’s taller than me!  And my son is starting to look and act like a young man, not a boy.  I feel like I’ve been so busy trying to get through life that I’ve actually missed it.  And that’s it, isn’t it?  You shouldn’t get through life; you should actually live your life.

So, this year will be all about me, reconnecting with myself and those I love.  I have to take care of myself because I don’t want to miss any moments in the future with my kids and husband.  Life is good and I plan to take the time to enjoy it.  I hope you do, too.

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I recently got into a debate with a friend on the topic of New Year’s Resolutions— and in this case in particular making the resolution to get healthy or in shape. My friend took a pretty hard stance toward irritation of those that decide to change their lives come January 1^st —(directed  particularly at people who take up precious gym space/equipment that those who live a healthy lifestyle use year round. ) She even went out of her way to mention that the only positive she sees in it is the laughter she gets out of those who misuse the equipment or even fall off treadmills.

Now I’ll be the first to admit, people falling in general is one of my favorite things to laugh at. We’ve all done it— as long as no one is hurt; I think it’s pretty hilarious. However, in the case of people trying to change their lives, I don’t find it nearly as amusing. I am fortunate enough to have grown up an athlete, and have had many personal training sessions over the years, so I know my way around a gym (and I have the coordination to figure new things out if I don’t already know how to properly use something). With that being said, I fully understand that some people lack coordination, balance, athletic ability, or the basic understanding of gym equipment to have early success in the gym. In fact, I APPLAUD those that have the courage to try and figure it out on their own, knowing that they may lack some of these skills. Aside from those that have the confidence of a supermodel or body builder, most people walk into a gym feeling pretty self conscious as it is, so to me that first step in is already a battle won.

It may be cheesy or hokey to set a New Year’s Resolution to change your life, but so what? If that’s what it takes for you to reevaluate your current situation, and determine it’s time to better yourself, then so be it! It really is just a day on the calendar and nothing more. Regardless of my own personal beliefs in “resolving for a better me on January 1^st”— who am I to bring you down? In fact, this year, I am taking the stance of hope and positive attitude toward those that want to get better, in all aspects of their lives. With great improvement comes great success, and I think we all deserve the right to feel successful at our own lives.

Keeping that in mind, one of the greatest ways to move forward when setting a new goal is to really plan out how you can get from A to B.  Even the most spontaneous people go into situations with a plan, and setting new goals is no different. Recognize the problem and figure out HOW to change it, and you’ll be well on your way.

Hooray to those that had the courage to recognize their problems this January, and good luck to you in your endeavors moving forward. May you find success being the new you this 2012, and do me a favor—make those naysayers eat their words, you CAN DO it!

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