Declarations

Design, Not Default

“If you talk to a lot of people in insurance companies, they’ll tell you that their career in insurance started by default, not by design. It helps to be able to find people earlier and sooner, to bring them into insurance careers more by design as opposed to by default.”

—Cynthia Young, president of Allstate’s independent agency insurer, Encompass Insurance, commenting in an exclusive interview with Insurance Journal magazine at the Big “I’s” Legislative Conference in Washington, D.C., that the industry needs to do more to promote itself as a possible career choice to young people.

Sale of Calif. SCIF

“The Governor has said when it comes to the budget, everything is on the table. He will look at [the proposal to sell SCIF] like any other proposal coming his way in closing the budget. The Governor is not taking a position on this [SCIF sale] proposal at the time.”

—Rachel Cameron, spokeswoman for California Gov. Arnold Schwarzenegger’s office, commenting that the idea to sell SCIF is just one of many proposals being considered to shore-up the predicted state budget shortfall of $3.3 billion this fiscal year, which could grow to $14.5 billion next year.

Clear Opportunity in Comp

“Agents who take the time and responsibility to become educated in workers’ compensation coverage, claims and related services can pass their expertise on to their small business customers. The result can be both stronger customer loyalty and an expanded customer base.”

—Martin J. Welch, president and chief operating officer for Employers, and a director of Employers Holdings Inc., whose subsidiaries are providers of workers’ compensation insurance and services. Welch made those comments in reaction to a survey his company conducted of 400 small business decision makers about their workers’ comp insurance coverage. The survey indicated seven out of 10 small business owners, partners, presidents and CEOs depend on their insurance agents to explain workers’ comp coverage and pricing.

Trojan Horse

“We are witnessing a number of Trojan Horses being rolled up to our gates. We have a so-called ‘optional’ federal charter. We have attempts to reclassify insurance products as banking products. We have a bill now before Congress to establish an ‘Insurance Information Office.’ And we have the Treasury Department proposing an insurance regulatory office as an ‘interim step.’ An interim step to what? And bear in mind, all of these regulatory efforts must be funded — at the expense of the states and at the expense of Main Street insurance agents.”

—President-elect of the National Association of Professional Insurance Agents (PIA) Kenneth R. Auerbach, noting the efforts that are currently underway by those who want to impose federal regulation of insurance and end its supervision by the states, efforts which agents generally oppose. Auerbach spoke to the Maine Insurance Agents Association on April 28 in Portland, Maine.