IN THIS ISSUE OCTOBER 2018 - VOL 14 ISSUE 10
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How To Keep Mooches And Spies Off Your WI-FI Network & Out of Your Files
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Lawyer: Never Lie To Your Insurer - Analysis By Barry Zalma, Esq.
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$1 Million Life Insurance Scam Uncovered In Californnia
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Florida Announces 20 Fraud Arrests In Pasco County Joint Crooked Contractor Sting
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Assignment Of Benefits Abuse Continues To Threaten Floridians
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CA Insurance Agent Arrested For Stealing & Misusing Consumer Information
CA Insurance Agent Busted For Felony Fraud And ID Theft
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West Palm Beach $50,000 Worker’s Comp Fraud Busted
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St. Johns Insurance Company Announces Partnership With PGA Tour Pro Sam Saunders
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How Fast Can A Bike Be Peddled? You Are Not Going To Believe The New World Record
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Whole Foods Now Half As Much Fun Employees Griping About Amazon Tactics
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Unbelievable Vintage Ads - Another In Our Series Of Ads From The 30s, 40s, 50s & 60s.
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Lloyd’s Of London Returns To Profitability For First Half Of 2018
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Conversation Marketing Hacks: 8 Ways To “Speak Human” And Change The Gam e
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Former Washington Agency Employee Wanted In Fraud Case
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How (And Why) To Write A Press Release
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Special Report: NASA Unveils Sustainable Campaign To Return To Moon, On To Mars
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Uninterruptable Power Supplies: Do I Need Them? The Advisor Responds
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SPECIAL REPORT PG 45 NASA Unveils Sustainable Campaign To Return To Moon, On To Mars
INSURANCE AND THE LAW PAGE SIX
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Kim Komando Barry Zalma
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Breaking News
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OCTOBER 2018 INSURANCE - POLITICS - TECHNOLOGY - PEOPLE A Publication of AdMax Corp., Inc. Corporate Offices P.O. Box 31551 Palm Beach Gardens, Florida 33420 Ron Manera, Publisher/Senior Editor Join Me On Linkedin: HERE Follow Me On Instagram: @rj.0521 561.718.0745 • ron@insurmedia.com
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TECHNOLOGY
HOW TO KEEP MOOCHES AND SPIES OFF YOUR WI-FI NETWORK AND OUT OF YOUR FILES Really Cool Tech Info - From Kim Komando
P
eople love to mooch Wi-Fi. They don’t mean any harm. They just find an unprotected signal and sign on. Why not? It’s free, and nobody will even know. Your neighbor won’t mind if you steal a little broadband to watch Netflix, right?
Here are a few tips for securing your Wi-Fi router against unauthorized hitchhikers.
Check for gadgets
Time to look at your network. First, you’ll want to log into your router’s administration console. Basically, you are “logging into” your router, the same way you’d log into any computer. Every router has a different way of doing this, so check your manual for specific instructions.
But criminals also love unsecured Wi-Fi, and they do mean harm. They use your network to attack your gadgets and steal your personal information. They download illegal files through your router, making you vulnerable to a police investigation. To add insult to injury, intruders slow down your connection, causing buffering, and making it harder for you to finish online tasks.
“Wardriving” has been going on for years. Hackers drive around hunting for an unprotected WiStill, it may not be mooches Fi network that they can exploit. causing a pokey connection. How do you protect yourself Click here for three router tweaks against such random attacks? to speed up your Wi-Fi. OCTOBER 2018
connected
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(If you don’t have your manual anymore, check the manufacturer’s site. Or tap here to visit a fantastic site that has thousands of manuals for anything under the sun, including routers.)
See Kim Komando Pg 38 www/underwritersinsider.com
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CLAIMS & THE LAW
LAWYER: NEVER LIE TO YOUR INSURER Expert Analysis & Commentary by Barry Zalma, Esq., CFE More Than Two Million Judgment Against Client for Neglect to Protect Client Should Have Been Reported
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nsurance is a contract where the parties are compelled, by an unwritten covenant of good faith and fair dealing, to do nothing to deprive the other of the benefits of the contract. To fulfill the covenant the insured must honestly represent to the insurer the facts it requests so that it can make a wise discrimination on the risks it wishes to take. When an insured misrepresents material facts when applying for insurance an insurer has the right to rescind the policy or declare the policy void because of material misrepresentations.
In Imperium Insurance Company v. Shelton & Associates, Professional Association, A Mississippi Professional Association; Jason L. Shelton, No. Imperium sought to rescind the legal malpractice policy issued to Shelton individually and the firm. Join Barry Zalma’s Blog:
http://www.zalma.com/blog
FACTS In January 2013, Jason Shelton applied for legal-malpractice insurance on behalf of himself and his law firm, Shelton & Associates (collectively, the “Shelton Defendants”). In the application, Shelton represented that he and his attorneys were not aware of
any “legal work or incidents that might reasonably be expected to lead to a claim or suit against them.” Relying on Shelton’s application, Imperium Insurance Company (“Imperium”) issued a claimsmade insurance policy. During the policy year, two malpractice suits were filed against Shelton and his firm by former clients. Following discovery, in a single opinion, the district court granted summary judgment in favor of Imperium in both cases. The insurance policy at issue in these appeals is a claims-made policy. The policy provides coverage for malpractice claims arising out of “wrongful acts” committed by the insured. The policy excludes, however, coverage for claims arising out of wrongful acts occurring
Barry Zalma, Esq., CFE, practiced law in California for more than 43 years as an insurance coverage and claims handling lawyer. He now limits his practice to service as an insurance consultant and expert witness specializing in insurance coverage, insurance claims handling, insurance bad faith and insurance fraud almost equally for insurers and policyholders. He also serves as an arbitrator or mediator for insurance related disputes. He founded Zalma Insurance Consultants in 2001 and serves as its only consultant. 6
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prior to the effective date of the policy if the insured “knew or could have reasonably foreseen” that the wrongful act for which coverage is sought “might be expected to be the basis of a claim.” Imperium claims that Shelton’s answer on the application about known claims was a material misrepresentation that entitles Imperium to rescind the policy. In September 2010, AFC filed a motion for summary judgment against Tyler. A statecourt hearing on the motion was set for March 21, 2011. AFC served notice of the motion and hearing to a former Shelton attorney who was no longer with the firm. AFC discovered its mistake and re-served the notice on Shelton & Associates on February 2, 2011. The Shelton Defendants claim, however, that they did not actually receive the notice.
summary judgment. The judgment against Tyler was entered, setting the amount at around $2.9 million, plus interest at the highest legal rate. The state court found that the Shelton Defendants, and thus Tyler, had received proper notice of the summaryjudgment motion and hearing.
be expected to lead to a claim or suit against them.” On April 4, 2013, the Mississippi Supreme Court affirmed the judgment against Tyler, expressly rejecting the Shelton Defendants’ arguments that they had not received proper service; the state supreme court also called attention to the Shelton Defendants’ poor handling of the litigation.
A material misrepresentation must be established by clear and convincing evidence. Whether the misrepresentation was intentional, negligent, or the result of mistake or oversight is of no consequence.”
ANALYSIS
Mississippi law applies in this diversity case. Under Mississippi law, if an applicant for insurance is found to have made a misstatement of material fact in the application, the insurer that issued a policy based on the false application is entitled to void or rescind the policy. To establish that, as a matter of law, a material The Shelton Defendants misrepresentation has appealed the state court’s been made in an insurance decision to the state appellate application, (1) it must On March 21, 2011, the state courts. contain answers that are false, court held its hearing on AFC’s incomplete, or misleading, motion for summary judgment. On January 8, 2013, less than and (2) the false, incomplete, No one from Shelton & a year later, Shelton filled out or misleading answers must Associates showed up at the his application for malpractice be material to the risk insured hearing. The state court granted insurance with Imperium. He against or contemplated by the AFC’s motion for summary represented in his application policy. judgment, specifically “noting that, after inquiry, neither he that no reply or response nor any of his attorneys were whatsoever has been filed “aware . . . of any legal work or See Zalma Page 36 by [Tyler] in opposition” to incidents that might reasonably OCTOBER 2018
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NEWS
$1 MILLION LIFE INSURANCE SCAM UNCOVERED IN CALIFORNIA INVESTIGATION LA area couple arrested for allegedly writing fraudulent policies
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OS ANGELES, Calif. — Peter Muh Kim, 39, of La Canada Flintridge, and his wife, Jin Kyung Kim, 35, were arrested today on three felony counts each of grand theft and three felony counts each of insurance fraud.
“To those contemplating insurance fraud, let this be an example that this crime is a felony,” said Insurance Commissioner Dave Jones. “Arresting the individuals behind this life insurance fraud scheme is another win for the department and our law enforcement partners. It should serve as a warning to any agent or broker breaking the law— we will aggressively investigate allegations of wrongdoing and work with our district attorney partners to prosecute scam
to disclose the insured’s initial diagnosis of a terminal illness to the insurance companies. The insured passed away in July 2014, and the insurance companies paid Jin Kim over $1 million in life insurance proceeds. Peter Kim is currently booked at the Inmate Reception Center in Los Angeles while Jin Kim is booked at the Lynwood County Jail. Bail is set at $460,000 for each of them. Arraignment date is still pending.
An investigation by the California Department This case is being of Insurance revealed prosecuted by the Los that Peter Kim, a licensed Angeles County District insurance agent, allegedly Attorney’s Office and sold two policies to his was filed under the Life wife, Jin Kim, and falsely and Annuity Consumer listed her as a niece and Protection Program beneficiary of the insured. (LACPP),which was During the same time, Jin established through Kim purchased another Assembly Bill 2316 (Chan). life insurance policy for The LACPP established the same insured and a fund to be used falsely listed herself as exclusively for protecting the sister and beneficiary Peter Muh Kim, 39 and his wife, Jin Kyung Kim, 35 consumers of life insurance of the insured. The Kims and annuity products in allegedly misrepresented that Jin Kim was related to artists and dishonest insurance the State of California by both the California Department of the insured in order to show producers.” Insurance and local district insurable interest on the The Kims also allegedly failed attorneys. policies. 8
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OCTOBER 2018
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NEWS
FLORIDA ANNOUNCES 20 FRAUD ARRESTS IN PASCO COUNTY JOINT CROOKED CONTRACTOR STING
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ALLAHASSEE, Fla. – Florida Chief Financial Officer (CFO) Jimmy Patronis announces the arrest of 20 individuals in “Operation Hot Water,” a workers’ compensation insurance fraud sting operation involving unlicensed contractors in Pasco County.
(PSO) and CFO Patronis’ Bureau of Insurance Fraud along with the Department of Business and Professional Regulation (DBPR) and the Pasco County Building Department conducted a joint sting operation that caught contractors agreeing to perform work without a license and without workers’ compensation CFO Jimmy Patronis said, insurance coverage. “Workers’ compensation fraud creates an unfair advantage for dishonest businesses and can leave employees at risk and vulnerable. My office has made more than 400 arrests for workers’ compensation fraud, an average of one person every day. If you commit workers’ comp fraud, we will shut you down. I am proud of the work and partnership between our Pasco County Sheriff Chris Nocco fraud office and the Pasco County Sheriff’s Office on this The 20 individuals were arrested case.” for contracting without a license and failure to secure workers’ Pasco County Sheriff Chris compensation insurance Nocco said, “These partnerships coverage. and our joint operations are incredibly valuable as they are Individuals arrested included: responsible for keeping our Raul Guidicelli, Frederick John public safe." Kloster, Gary Allen Nickell Jr., Michael Anthony Anderson, Pasco County Sheriff’s Office Ronald Lee Weston Sr., Kenneth Ray Rodgers, Kevin Christopher
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Burtis, Richard Frank Bruns Jr., James Roberts Wood II, Joseph Martin, Richard Martin, Luis Alberto Medina, Robert Bruce Trottman, Harold “Chuck” Attebery II, Neil T. Myer, Daniel George Griffin, Charbel Tannous, Moshen H. Seuod, Mauricio Chicas and Dennis Disney Garlock. If convicted, each individual faces up to 5 years in prison per count. To report suspected contractor fraud, call our Fraud Hotline at 1-800-378-0445 or repot online at MyFloridaCFO. com. People reporting fraud can remain anonymous.
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NEWS
BUSINESS PROCESS MANAGEMENT: TOOLS FOR INCREASED PRODUCTIVITY AND EFFICIENCY IN THE INSURANCE SPECIFIC MARKET companies are continuously looking for ways to increase their productivity, yet they must he insurance industry remain customer-centric to plays an important role retain customers. in the economic and social hedging of risks. Due to BPM has the capability to the divergence of global and alleviate pain points for United national regulations, insurers Statesbased insurance need to evaluate their business industries, leading them towards process models to be able to sustained innovation and react to changes effectively. By optimization of processes such rethinking internal structures as claims resolution to shorten and processes, insurance cycle times. companies can optimize With the increase in optimization, capital, reduce costs, and comes an increase in productivity focus on customers. Efficient and the number of claims that processes help with increased can be processed, leading to financial, risk and regulatory a higher financial return and challenges. However, the right customer satisfaction. processes specifically can ensure consistency of programs across This result is achieved as a result business functions, geographies of BPM tying together back office and customer groups. and front office operations, which makes for a better customerBusiness Process Management facing experience. When the uses various methods to discover, customer is better served and model, analyze, improve, and the level of customer care is potentially automate business increased, the insurance agency processes and procedures. More can grow at a more rapid rate. recently, BPM’s influence has Insurance offices would be well been seen in the improvement of processes for the insurance industry specifically. Insurance See Tools For Productivity Page 15 By Guest Contributor Mark Holenstein, COO of Signavio
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NEWS
FLORIDA INSURANCE COMMISSIONER DAVID ALTMAIER: AOB ABUSE CONTINUES TO THREATEN FLORIDIANS
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ALLAHASSEE, Fla. – Today, Florida Insurance Commissioner David Altmaier issued the following statement in response to Chief Financial Officer (CFO) Jimmy Patronis calling for reforms to curb property insurance fraud.
Insurance Commissioner David Altmaier stated: “I applaud CFO Patronis’ initiative in the fight against AOB abuse. Now, more than ever, is the time for a solution to the abuse and fraud that continues to threaten the affordability of insurance in Florida. "Not only have AOB-related 14
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lawsuits skyrocketed, but the claims associated with an AOB are 85 percent more expensive than claims without an AOB. The excessive litigation fueled by bad actors who abuse AOBs will only result in higher premiums for our consumers."
top priority for my office and we look forward to joining CFO Patronis in our fight to hold consumers harmless.”
For more information about this issue, visit the Office of Insurance Regulation’s (OIR) “Assignment of Benefits "AOB reform has remained a Resources” webpage.
Mr. Zalma recently published on Amazon.com with links at the Zalma Books site with the following volumes:
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ANALYSIS Continued From Page 15
BUSINESS PROCESS TOOLS FOR INCREASED PRODUCTIVITY
access the status of final steps without back-and-forth of inquiries between departments, thus creating faster work processes.
When a customer can simply call any agent within an organization and receive an answer to their question, the agency is better fulfilling their promise of served to focus on the processes service to that customer. With that leave the customer feeling quicker claims resolution, also at ease. The easier the process, comes happier clients with the potential to become life-long the happier the customer. loyal customers. Due to the dissimilarity of national and global regulations, insurers must be able to reevaluate their business process models to have the capacity to react to changes more quickly and efficiently. The roots of BPM are based in the simplification and grounding of basic everyday functions that may at times reach complicated levels when a variety of individuals, departments, and processes are involved. The transparency of BPM allows for all working parts of an organization to collaborate for effective claim execution.
While many insurance companies have embraced BPM for their daily and monthly processes, the few with the most competitive edge remain those that are optimizing their business processes in core functions that better serve the customer- the front facing operations. While some industries thrive on the simplicity and efficiency, the insurance industry lacks these simplified processes. The process of insurance claims is much more complex, making simplified processes much more valuable. Only more recently have insurers come to realize the advantages of adopting BPM into their practices and are now implementing them at an exponential rate.
For example, agency departments can easily coordinate the state of a claim when all moving departments have access to the same platform. Accounting and checks payable can view the status of client claims sheets, approvals, and Agencies are seeing that BPM resolutions. While agents can software creates a culture of OCTOBER 2018
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process improvement, one that overcomes a resistance to change. Through the BPM system, change and implementation become more simple than insurance agencies and brokers first anticipate. The most impactful benefit of BPM in claims is the increased customer retention and addition. BPM allows enhanced customer service throughout the claim process as well as improved data management for better decision making to minimize underwriting risks. The process not only automates the flow of information between the agents and the customers leading to real-time access, but allows for data visualization and transparency, thus providing faster decision making tools for that particular customer. By implementing a BPM software, insurance companies are closing the gap between business goals and information systems. Implementing process management helps model and automate the business processes to create a smoother flow of data, leading to a decrease in process steps and an increase in business performance, thus enabling a stronger financial status. The system provides stronger value as well as solutions that the agency can use to create a more engaging, personalized experience for their clients. www/underwritersinsider.com
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THE INSIDE TRACK - BREAKING NEWS USI Insurance Services Acquires The Gaudreau Group
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SI Insurance Services (USI), a world leader in insurance brokerage and risk management, today announced the acquisition of Wilbraham, Massachusetts-based The Gaudreau Group. Terms of the transaction were not disclosed. Founded in 1921, The Gaudreau Group is a commercial insurance, employee benefits, personal risk and financial services firm insuring more than 6,000 businesses and families across 14 states. Having served the New England region for nearly a century, the company has earned a strong reputation for helping businesses and families discover, protect and enhance the people, places and things most
Kirsten Petras Promoted at Oak Street Funding
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irsten Petras has been promoted to Executive Director of Sales at Oak Street Funding® (https:// w w w. o a k s t re e t f u n d i n g. com), a First Financial Bank company. Petras has worked in the banking and financial services industries since 1994 and has been with
Oak Street since 2011. In her newly expanded role, Petras leverages her deep understanding of providing a client-focused business development approach as well as creating customized commercial loan products for Oak Street’s targeted verticals which include insurance businesses – spanning the spectrum from agent to carrier, Register Investment Advisor (RIA)
important to them. 16
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firms and Certified Public Accountant (CPA) practices. By leading and developing a talented sales team, Petras enables the structuring of large, complex loans while supporting the continued growth and success of Oak Street’s clients.
AIMS Society Releases 3 Courses Covering E&O Loss Control, Cyber Security & Disaster Planning
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he American Insurance Marketing and Sales (AIMS) Society announces the imminent release of three vital new advanced education courses for insurance professionals: Errors and Omissions (E&O) Loss Control Program for All Agencies, Insurance Implications of Cyber Security, and Disaster and Business Continuity Planning.The courses debut this fall, and AIMS facilitators are now engaged in intensive train-thetrainer preparations, says Donna Gray, AIMS executive
OCTOBER 2018
director.The AIMS Society is the only organization dedicated exclusively to marketing and sales education for the insurance industry. Graduates of the AIMS Society Insurance Success Seminars curriculum earn the industry’s only sales-based insurance designation, Certified Professional Insurance Agent (CPIA). Biennial updates are required to maintain the designation, and Gray says successful completion of any one of the new advanced courses will qualify a CPIA designee for recertification. The courses are also open to non-CPIAs who wish to update their state continuing education credits, says Gray.
Over Half of Media and Entertainment Firms Experienced Three or More Cyber Attacks
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iscox, the international specialist insurer, today revealed that more than half (51%) of media and entertainment firms experienced three or
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more cyber attacks over a 12-month period. This finding is according to a survey of cyber security decision-makers at US media and entertainment firms conducted by Forrester Consulting and commissioned by Hiscox.
Women In Insurance Hosts National Conference In Austin
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ore than 400 professionals representing the insurance and financial services profession will meet in Austin, Texas at the Renaissance Austin from October 24 - 26 for the 31st annual WIFS National Conference. As the largest professional association for women in the financial services profession, Women in Insurance & Financial Services (WIFS) is dedicated to attracting capable women to the financial services sector, helping them develop their talents and advancing them toward their fullest potential.
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Attribution-ShareAlike 2.0 Generic (CC BY-SA 2.0)
THE INSIDE TRACK - BREAKING NEWS
NEWS
CA INSURANCE AGENT ARRESTED FOR ALLEGEDLY STEALING AND MISUSING CONSUMER INFORMATION Alleged scheme resulted in over $34,000 in losses to the insurer
on every other honest agent who is trustworthy and works hard to serve their clients."
to obtain unwarranted premium discounts.
The investigation identified After receiving a complaint multiple victims of identity theft from Farmers, the California who did not know Go and never OS ANGELES, Calif. Department of Insurance authorized their information be — Andrew Barcoma launched an investigation used to obtain discounts. Go's Go, 51, of Bellflower, alleged scheme was arrested resulted in not on seven only the $34,228 felony counts in losses to including six Farmers that Go for identity embezzled, but theft and also additional one for grand loss in premium. theft after Go's license was allegedly revoked on July falsifying 18, 2017 due to i n fo r m a t i o n the allegations of on insurance this investigation. applications Prior to that, he to steal over had been licensed $34,000 from since 2001. F a r m e r s Insurance. which revealed that while Go was arrested by the Los Angeles working for his own agency, County Sheriff and released "My department regulates Andrew B. Go Insurance Agency, on bail. Go will return at a later more than 410,000 licensed Go allegedly submitted falsified date for arraignment at the Los insurance agents and brokers customer information on Angeles County Superior Court. who work hard to safeguard insurance policy applications This case is being prosecuted by sensitive client information," and renewals without the the Los Angeles County District said Commissioner Jones. "Go's customers' knowledge in order Attorney's Office. alleged behavior reflects poorly
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NEWS
CA INSURANCE AGENT ARRESTED FOR FELONY FRAUD AND ID THEFT
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RVINE, Calif. — Marcus David Johnson II, 29, of Irvine, was charged with ten felony counts, including identity theft, grand theft, forgery, and computer fraud. Johnson II allegedly submitted more than 100 fraudulent insurance policies using stolen and fictitious identities, in order to scam insurers out of thousands in commissions he did not earn.
While holding a valid insurance agent license, Johnson II created 36 fraudulent policyholders by stealing the identities of friends and acquaintances in order to write group health benefit policies under his parents’ business name, Global Entertainment. The fraud was discovered when a friend of Johnson II was contacted by the insurance company revealing
there were multiple policies issued to him. He immediately notified the company he had never enrolled for any of the policies, which led the insurer to refer the case to the Department of Insurance for investigation. Johnson II has been released on bail.
WEST PALM BEACH: $50,000 WORKERS’ COMP FRAUD SCHEME PUT EMPLOYEES AT RISK
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ALLAHASSEE, Fla.— Florida Chief Financial Officer (CFO) Jimmy Patronis announced the arrest of Vanessa Arreguin, 25, owner of V&G Concrete, Inc. for workers’ compensation fraud. Over the course of two years she conducted more than $7.5 million in business, but claimed she made less than $50,000. By doing so, she deliberately evaded paying $51,000 in workers’ compensation premiums. Arreguin was charged with three felony counts of concealing payroll to avoid workers’ compensation premiums and two felony counts OCTOBER 2018
of application fraud.
insurance fraud detectives at CFO Jimmy Patronis the Palm Beach said, “Workers’ County Jail and compensation fraud was released puts employees at on bond. If risk and drives up convicted on insurance rates for all charges, honest businesses. Arreguin faces Last year alone, our up to 20 years in fraud detectives prison. To report made more than 400 suspected arrests for workers’ insurance fraud, compensation fraud call 1-800-378Vanessa Barraza, 25 and I can assure you 0445 or www. my office will continue to hold myfloridacfo.com/division/difs. these individuals accountable.” People reporting fraud can remain Arreguin surrendered to anonymous. Table of Contents
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NEWS
ST. JOHNS INSURANCE COMPANY ANNOUNCES PARTNERSHIP WITH PGA TOUR PRO SAM SAUNDERS, ARNIE’S ARMY CHARITABLE FOUNDATION
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rlando, Fla. (Sept. 6, 2018) and to now officially join the Sam Played.” Following Mr. Palmer’s – St. Johns Insurance Saunders team. Arnold Palmer and passing in 2016, Arnie’s Army Company and its parent the Saunders family have been the now carries on the good works company, St. James Insurance ultimate role models for us, both he started under the aegis of the Group, are proud to announce a personally and professionally. charitable foundation he and his three-year partnership with PGA We are delighted to continue our family established. TOUR professional Sam Saunders, relationship with Arnie's Army the grandson of Arnold Palmer. Charitable Foundation and the “Throughout his life, my father As part of this partnership, St. charitable causes so close to Mr. cherished friendships with Johns Insurance Group those who shared his is making an annual commitment to enhancing financial commitment the lives of others – to the Arnie’s Army especially vulnerable Charitable Foundation children. He would be so through the “Birdies for pleased to see a continued Babies” campaign, in which association between our the insurance company family and the McCahill will commit to donating family through this specific dollar amounts charitable partnership to Arnie’s Army for each between my son, Sam birdie, eagle and hole-inSaunders, and St. Johns,” PGA TOUR professional Sam Saunders, the grandson of Arnold Palmer one that Saunders makes said Amy Palmer Saunders, during the 2018, 2019 and daughter of Mr. Palmer 2020 PGA professional seasons. Palmer's heart, and now to see and chairwoman of the Arnie’s St Johns positioned so close to Army Charitable Foundation. Based in Orlando, Florida, St. Johns Sam's heart,” said James McCahill, Insurance Company is a privately St. Johns Insurance founder and “Arnie’s Army provides financial held company specializing in former Chairman. support to institutions and homeowners' insurance products organizations that support the and services for residents in The mission of the Arnie’s Army health and wellness of children, Florida and South Carolina. Charitable Foundation is to ensure youth development, and naturethat every child – especially focused wellness initiatives. The “We are so happy and proud to those facing challenges – has the ‘Birdies for Babies’ campaign will have Sam on the St. Johns team, opportunity to live a “Life Well be used to support programs at
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both the Winnie Palmer Hospital for Women and Babies as well as the Arnold Palmer Hospital for Children in Central Florida.” Saunders, 31, was born and raised in Orlando and turned professional in 2009. He grew up playing alongside his grandfather, but his earliest personal golf memory is of making his first hole-in-one with his dad watching nearby. Today, he enjoys carrying on the legacy of his grandfather by giving back to the hospitals that bear his grandparents’ names, so it only seemed fitting he’d want to take part in the “Birdies for Babies” campaign. OCTOBER 2018
“It’s an honor to continue the long-standing relationship with the McCahill family and St. Johns Insurance,” said Sam Saunders. “I am looking forward to tying my oncourse performance to donations to the Arnie’s Army Charitable Foundation. It gives me even more incentive to perform throughout the year knowing that my game can make an impact on the lives of others.”
The “Birdies for Babies” initiative represents a continuation of the partnership between St. Johns Insurance Company and the Arnie’s Army Charitable Foundation. Last year, St. Johns Insurance Company completed an additional million-dollar gift to the Arnie’s Army Charitable Foundation, which was used to fund an infusion center at Arnold Palmer Hospital for Children.
For every birdie that Saunders makes, St. Johns Insurance Company will donate $100 to the Arnie’s Army Charitable Foundation. For every eagle he makes, they will donate $500, and for every hole in one, the donation rises to $5,000.
For more information about St. Johns Insurance Company, visit w w w. st johnsinsuran ce.co m. For more information about the Arnie’s Army Charitable Foundation, visit www. arniesarmy.org.
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OCTOBER 2018
NEWS
CONVERSATION MARKETING HACKS: 8 WAYS TO ‘SPEAK HUMAN’ AND CHANGE THE GAME New book reveals how companies can ‘make and maintain more meaningful, impactful and enduring connections within the marketplace, tell an authentic story, foster maximized customer engagement, and breed brand loyalty’
that reveal a great deal about the character of the person standing before you. Why should company interactions with current and prospective customers or clients be any different?
Sure, “content marketing” has been a crucial ingredient impelling the evolution of traditional marketing into today’s more personalized approach, bridging the gap between cookie-cutter TV, radio, By Merilee Kern, MBA obody starts out and print mass marketing to highly automatically caring customized digital and social communications. about your products or media-driven services. They care about how Even so, today’s more personalized you can make a difference in digital communications have their lives. No matter the context, plenty of challenges, all too all relationships begin with a often falling on “deaf ears” and “handshake moment,” whether “blind eyes” amid a marketplace literally or figuratively—those becoming highly desensitized first few introductory moments to the glut of advertising and
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marketing messages its exposed to any given hour of any given day...year in and year out. So, how can brands can make and maintain meaningful connections and create a lifetime value with customers in ways that’ll set them apart in a “noisy,” increasingly jaded and discriminating marketplace? How can businesses tell an authentic story so as to foster maximized marketplace engagement and breed brand loyalty? According to Kevin Lund, author of the new book, “Conversation Marketing: How to be Relevant and Engage Your Customer by Speaking Human,” the proverbial key to the Kingdom is for companies, no matter their size and scope, to simply “speak human.”
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bout the author: Branding, business and entrepreneurship success pundit, Merilee Kern, MBA, is an influential media voice and lauded communications strategist. As the Executive Editor and Producer of “The Luxe List International News Syndicate,” she’s a revered brand and consumer product trends voice of authority who spotlights noteworthy marketplace change makers, movers and shakers. Merilee may be reached online at www.TheLuxeList.com. Follow her on Twitter here: http://twitter.com/LuxeListEditor and Facebook here: www. Facebook.com/TheLuxeList
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Creative Commons 3 - CC BY-SA 3.0 Alpha Stock Images - http://alphastockimages.com/
NEWS In this new book Lund, who’s CEO of T3 Custom—itself a content marketing firm helping brands learn to “speak human” and supercharge ROI reportedly by as much as16-times, provides an in-depth analysis of what’s required to succeed in today’s modern marketing era, which he’s aptly coined the “Conversation Age.” Specifically, he details key principles critical for driving the more evolved conversation marketing approach, which can help companies amplify results on multiple fronts. instead, connect with them by According to Lund, “Those who are simply speaking human. And, it’s wildly successful at conversation far beyond that initial ‘handshake marketing understand the moment—it’s through a strategy is not constant stream simply about It’s a of congenial propagating disciplined engagements with online content and approach to each individual sharing through or communicating with a consumer, social media the marketplace accounts. Rather, target audience in a way at large, based it’s a disciplined that tells a simple, human on trust and approach to story that will educate, performance.” communicating inform, entertain and, with a target Think it’s audience in a way most importantly, compel complicated that tells a simple, customers in a way that to be an adept human story that fully captures mind–andconversation will educate, inform, and market share through marketer entertain and, speak human to messaging that truly most importantly, your constituents? resonates.” compel customers Think again! Below in a way that fully are eight of Lund’s captures mind–and-market share tactical strategies from the new through messaging that truly book that can help companies resonates. Companies must stop large and small become more talking ‘at’ their customers and, engaging and relevant with OCTOBER 2018
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customers, and the marketplace at large:
1. Earn Attention To gain attention in today’s crowded marketplace, it’s prudent to do the opposite of what most everyone else is doing. That means don’t deliver clichéd, boring content that’s written for robots— search engines or otherwise— and for generic consumption. It’s unsustainable for you and your brand as well as frustratingly futile for the audience you’re trying to reach. Instead, speak human by engaging your audience with eyelevel language in order to gain their attention and set your brand apart. Learn to use language that educates and entertains the audience.
See Conversation Marketing Pg 30 www/underwritersinsider.com
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“The Final Authority on Everything!” WARNING!
The Advisor has been known to be politically incorrect and may send certain Millennials scurrying to their safe space. Please read at your own risk.
Uninterruptable Power Supply
T
he guy who services our office computers insists I need a $120 UPS on each of 6 computers. Is he just trying to sell me something I don’t really need? By the way, our power goes off about 3 times a year do I want to lose the $700 or half of a letter I might be writing? - D.A., Baton Rouge, LA
ADVISOR
professionals. Essentially smart batteries, UPS’s kick in within milliseconds should your power be interrupted keeping your computer and monitor running for a long as 30 minutes, depending on the electrical load and the capacity of your UPS. This gives you plenty of time to save your work and power-down the computers, but the devices also protect you against
power spikes and brownouts - both of which can spell disaster to sensitive electronic devices. Before buying, check the specs on the box. Look for at least 500va capacity (more is better) and compare clamping time/ voltage and other specifics to similar models. And that “half of a letter” might have been that romantic poem to your wife you’ve been struggling with for hours…
He’s wrong. You’ll also need to protect your phone system and DSL/ Cable modems and routers. UPS’s or universal power supplies do more than protect you against power outages and are considered absolutely necessary by all information technology 26
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OCTOBER 2018
What Is It About Delaware?
I
t seems that many of the credit card companies I deal with are incorporated in Delaware. I’ve also noticed that a lot of large boats are registered and incorporated in Delaware. What’s the big attraction of incorporating in Delaware? - R.H., Charleston, SC While all states accommodate the filing of corporations and LLCs, Delaware has turned it into a significant revenue source for the state, offering several advantages to incorporators, including OCTOBER 2018
state-of-the-art imaging equipment and rapid filing. Further, Delaware’s body of business laws can be favorable to companies trying to avoid lawsuits. The Delaware court issues judicial decisions minus jury trials - seen as a big plus by defense attorneys. The court decisions are written, easy to follow and rely heavily on Delaware case law – well understood by most corporate attorneys since Delaware’s well written opinions are often studied in law school. The large number of companies that chose Delaware to incorporate Table of Contents
may also be explained by the fact that the state has no sales or personal property tax, there is no state income tax on companies that do not do business in the state, shareholders can act in writing rather than holding meetings, you can conduct numerous types of business under one corporation and corporate records need not be kept in Delaware. And yes, there are 78 domestic P&C insurers based in the little state. Sounds like a corporate paradise - but still, you’re getting awful close to New Jersey... www/underwritersinsider.com
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Experienced Commercial 220 CSR Cape Coral/Fort Myers FL Established commercial lines agency seeking: self motivated, detail oriented professional. The successful candidate should have a minimum of 3 years experience in commercial lines, excellent computer skills, dependable, ability to follow up and follow through and have an unwavering commitment to the service your clients. Professional designations such as CIC, CPCU, CRM or ARM a plus. In return, you will have the opportunity to join a committed group of individuals in a growing, privately owned multi lines agency.Industry leading benefits and compensation package working with a group of experienced professionals low turnover environment. All Information and replies will be kept strictly confidential fairway34@hotmail.com 18-1
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Job Opportunity : Agents and Customer Service Reps What You Will Need: • Property/Casualty State Insurance License* • Life/Health State Insurance License* • A valid driver’s license What We Require: • Strong track record of professional success, ideally in external sales. • A strong natural market and presence in the local community. • A fearless attitude around prospecting new customers and cold calling. • A desire to succeed and build a network of clients. Note: Insurance licenses are not required to apply, but your ability to obtain the licenses is required when a hiring decision is made. Contact: sabrina.curry@best1300.com 18-5
Agent/CSR wanted, Ft. Lauderdale Area
Independent P&C agency is seeking to employ a licensed agent and/or csr, with experience in nonstandard and standard auto, homeowners, commercial auto and property insurance. Fulltime position M-F 9am - 6pm and every other Saturday 9am - 3pm. Must have a GREAT attitude and know how to be a team player. Email resume to Marlinsii@aol.com. 17-11
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Loss Control Rep Wanted Consulting firm looking for experienced loss control reps in FL and AL. Fee based work. Contact: buds@narco.biz 18-7
440 or 220 Needed in Tampa
Needed Agent or Customer service rep, must have knowledge of personal lines and have a great personality for established Family owned agency. Send resume. idcccorp@msn.com 17-10
Experience CSR/ agents wanted! Palm Beach/Ft. Laud Access Insurance underwriter, LLC has two positions available, great pay commensurate with experience along with outstanding benefits! Work with one of the largest and fastest growing agencies in Florida! Call or email Phil Wardell, pwardell@accessaip.com or 954-565-4666 ext. 252 pwardell@accessaip.com 18-06 OCTOBER 2018
Experienced CSR Wanted - Jacksonville
Experience Commercial CSR Wanted Duluth GA
Experienced CSR? Looking for a new opportunity? Come join our winning team and Jacksonville’s Best Place to Work at We Insure! Inquire today by emailing nick.dakuginow@weinsuregroup.com
We are a mid sized agency, looking to add to our family environment insurance agency. We are not related but have a great time together. Voted Best in Gwinnett for 7 yrs in a row. Best in Duluth 2 yrs. Must be able to handle a large volume of direct bill accounts. Multicarrier experience and Hawksoft Agency use is a plus. Bilingual is also good but not a requirement.
Contact: nick.dakuginow@weinsurgroup.com 18-7
Looking for Agents working in the Business Marketplace !
Add Business Consulting to your core insurance practice. Open new doors to Business & Professional Owner’s. You do not need to change any contracts for this opportunity. Go to: http//www.strydeadvisors. com/information/stryde.cfm? id=136713&page=lifeandfinanc ial This is a nationwide opportunity. More information needed contact me at: nwinsuranceagencies@gmail.comnwinsuranceagencies@gmail. com 18-06
220-440 Agent for Port St. Lucie Agency (PT-FT ?) Please fax your information to: (772)879-1002 or e-mail to: amerinsur@aol.com Thank You... amerinsur@aol.com 17-11
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Wholesale Broker Professional Liability Sarasota FL Our client is a national MGA with a wholesale brokerage division and is seeking to hire an experienced Professional Liability (all lines considered) Broker to join their team. Relocation to Sarasota, FL. is required. Excellent commission options for an experience Wholesale Broker. Call: Lloyd Kushner 800-797-1412 yoursearchfirm.com lloyd@yoursearchfirm.com 18-4
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ANALYSIS - AAA Continued From Page 25
response, you’re onto something. Some standout companies have figured this out. Apple’s story, for example, isn’t about devices. It’s about innovation and how our lives are being changed for the better with Apple technology in Earning attention starts with them. Learn how to make your asking yourself what you and your story short, to the point, and easy company are passionate about to share online. and conveying that genuinely in that all-important “handshake 3. Stay Humble moment” of first contact—online Being humble begins with letting or otherwise. Assume you’re go of ego—that instinctual part meeting the person on the other of the psyche that screams for a side of the screen for the first time. marketer to make too much noise Think of what you can say that’s about products or services and new, memorable, a standout, brag about themselves. Sigmund and jargon-free. Also, understand Freud developed a psychoanalytic and adapt to your audience. You theory of personality he coined wouldn’t talk the same way to an the “id,” and marketers often tap aging Baby Boomer as you would into their own ids by telling the to a teenager. world how great their company
CONVERSATION MARKETING
and its products are, and how great a potential customer will be How do you hold someone’s for buying them. The id operates attention long enough to break based on the pleasure principle, down a topic and engender which demands immediate his or her trust, but also in a gratification of needs. way that’s unforgettable and conversation marketing, leaves that person feeling more In knowledgeable than before? The speaking human dictates that your customer’s needs, not answer lies in good storytelling. your own, are top priority. Your Good conversations are filled audience wants to know what you with good stories and anecdotes. can do for them, and that means But be mindful that the hero of stop talking about yourself and the story isn’t your company or drop the megaphone. Instead, its products, but rather how your embrace a different approach product or service will have a that thoughtfully and humbly positive impact in your customers’ explains why you do what you do lives. If you can elicit an emotional and why it can make a difference
2. Tell a Story
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in someone’s life instead of focusing on your bottom line. Stop beating them over the heads with the fabulous features and benefits of your products. Instead, tell stories that inspire and resonate with their own life experiences.
4. Pick Your Party Equally important to the “how” of your conversation is the “where.” It should all fit seamlessly together and feel natural and organic in that moment. Part of learning how to talk to your audience and engage them in any form of
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ANALYSIS - AAA conversation is deciding where to talk to them in the first place. This means doing the footwork to learn where your potential customers gather, and meeting them on their own ground. Where do your potential customers hang out on social media? What are they saying, and what challenges are they discussing that you can compellingly weigh-in on? Easily available research tools can help you join the right conversation at the right time and in the right place with consistency.
6. Start the Conversation How do you gain audience attention in a way that prevents you from just being part of the noise? It’s no longer a question of whether you should insert yourself into the world of content marketing. It’s a matter of when you’re going to start talking, what you’re going to say, and how you’re going to say it. One good approach is to base that initial conversation on your unique value proposition for the given audience. It’s important to always remember
5. Be Relevant (on a Molecular that your target audience doesn’t Level) care about you. They care what True listening is about far more than hearing words. It’s also about fully understanding the message and concepts being imparted—whether they’re needs, wants, desires, or even complaints. Being relevant means making sure you’re talking about topics that are of sure interest to your audience, and that’s often achieved by addressing their pain points. Before a marketer can aptly communicate and speak to such pain points, however, he or she must first hear what the prospect, customer or marketplace has to say. It can be dangerous, expensive and ultimately futile for companies to presume to inherently know what should be said in conversation marketing.
OCTOBER 2018
you can do for them. If you’ve done your research, you’ll be familiar with their pain points and better prepared to offer answers that address their needs. Don’t be a “me-too” marketer who dishes out the same information as everyone else. Instead, develop a unique angle with a thoughtprovoking headline that sparks attention—even better if it disrupts conventional thinking. In addition, know your topic inside out before communicating, and make sure any other people handling your communications are experts in the field. You don’t want to risk sounding trite or inaccurate.
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NOTABLE QUOTABLES IN THE NEWS WITH COMMENTARY
SAY WHAT? Building The World’s Most Powerful Rocket
B
uilding the world’s most powerful rocket has been challenging. There is tremendous complexity in how all the pieces and parts of the Space Launch System work together. What I’ve found is a lot of what makes the rocket work is not just the physics. It’s the people. I feel like this award is for the whole SLS team.” Space Launch System (SLS) Chief Engineer Garry Lyles receiving the 2018 American Institute of Aeronautics and Astronautics (AIAA) George M. Low Award for Space Transportation. AIAA cited Lyles “visionary leadership” in the development of NASA’s SLS rocket.
Who’s The Racist Azealia?
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es! I hate everything about this country. Like, I hate fat white Americans. All the people who are crunched into the middle of America, the real fat and meat of America, are these racist conservative white people who live on their 32
The Underwriter’s Insider
farms. Those little teenage girls who work at Kmart and have a racist grandma—that’s really America.” Rabid racist, angry millionaire, Black rapper Azealia Banks in an interview with Playboy magazine apparently not understanding that liberals are supposed to lie about loving America in order to better advance their agenda. Among her other infamous quotes, “[the descendants of prominent slave-trading families] should all have their houses burned and their finances seized,” and “I think white men all need to be locked away in a psych ward… considering the atrocities committed by white men on the world.” Ironically, she seems to like to have her picture taken wearing American-flag inspired clothing or with an American flag as a backdrop.
Whole Foods Now Half As Much Fun
T
hey want us to become robots. That’s where they are going, they want to set it up so they don’t have to pay someone $15 an hour who knows all about the food, they can pay someone $10 an hour to do these small tasks and timed duties. We want a return to where we were a few years ago. Store teams used
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OCTOBER 2018
to make more. We had much better pay and were taking more money on our paychecks than we were making from our hourly wage when the company was successful, when it wasn’t self cannibalizing, when everybody had the tools to do their job. In the last three years, we have experienced layoffs, job consolidations, reduced labor budgets, poor wage growth, and constantly being asked to do more with less resources and now with less compensation. Jeff Bezos should not have earned 150 billion dollars while the majority of his workers live paycheck to paycheck and do not receive profit sharing.” A compilation of comments by very unhappy employees of upscale grocer Whole Foods since the take-over by Amazon where cost cutting and consolidations have negatively affected workers. There is a powerful movement within the company to unionize, although Whole Foods company has successfully fought off the threat in the past.
Provocateur China
U
.S. Navy ships and aircraft operate throughout the IndoPacific routinely, including in the South China. As we have for decades, our forces will continue to fly, sail and operate anywhere international law allows.” Capt. Charlie Brown, a U.S. Pacific Fleet Spokesman. after an incident where a Chinese warship came within approximately 150’ of OCTOBER 2018
the bow of the American destroyer Decatur, as the Decatur transited an island chain in the South China Sea that is disputed. The Chinese approach was deemed “unsafe and unprofessional” by the U.S. Navy.
Ah, The Wonders of Socialism...
S
ome 5,000 people are now leaving Venezuela daily – the largest population movement in Latin America’s recent history.” UN refugee agency (UNHCR) chief Filippo Grandi telling the organisation’s executive committee on October 1st that the humanatarian crises is cresting as 1.90 million people have already left the failing socialist economy of Venezuela. Other Latin American countries such as Columbia, which has already taken in over 1 million Venezuelans, have opened their doors to the immigrants, but are now calling for U.N. assistance and a regional response. No word on whether leftist American celebrities such as Danny Glover, Sean Penn, Oliver Stone, Jesse Jackson, Michael Moore and Naomi Campbell, who praised and encouraged former president Hugo Chevez as he began destroying the Venezuelan economy with socialism, will be helping out with the any of the immigration efforts.
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BACK ISSUES
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BACK ISSUES
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INSURANCE AND THE LAW Continued From Page 7
ZALMA A material misrepresentation must be established by clear and convincing evidence. Whether the misrepresentation was intentional, negligent, or the result of mistake or oversight is of no consequence. Imperium argues that when Shelton filled out the application, Shelton and the attorneys in his firm were (1) aware of legal work that (2) might reasonably be expected to lead to a malpractice claim. With respect to Shelton’s awareness, Imperium points to Shelton’s representation of Paul Tyler in the state-court lawsuit filed against Tyler by AFC. When Shelton resumed representation of Tyler in October 2007, Shelton knew that no one had responded to AFC’s requests for admissions and that there was a pending hearing on AFC’s request to have those admissions deemed admitted.
First, even though a prior attorney failed to respond to the discovery requests, the Shelton Defendants had months to rectify Tyler’s failure to respond to AFC’s request for admissions. They did nothing. Instead, they waited until half a year after the entry of judgment against Tyler, which was a full three years after Tyler failed to respond to the discovery requests. The Mississippi Supreme Court, in particular, found “damning” the statements of the Shelton attorney at the hearing to have the requests admitted.
Knowledge of the rejections of their arguments about lack of service would put any reasonable attorney on notice that a malpractice claim “might reasonably be expected.” Any reasonable attorney would know that a judgment of $2.9 million entered against his client due to his failure to respond to, or even show up at a hearing for, a dispositive motion would be reasonably likely to lead to a malpractice claim. This conclusion is especially apparent when, as here, the state court has The Fifth Circuit held that, under rejected all of the attorney’s the facts outlined above, every arguments in defense. reasonable attorney aware of the facts would know that such Shelton made a facts “might reasonably be misrepresentation when he expected to lead to a claim or represented that he was not suit.” aware of any “legal work or 36
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incidents that might reasonably be expected to lead to a claim or suit.” A fact is material if it might have led a prudent insurer to decline the risk, accept the risk only for an increased premium, or otherwise refuse to issue the exact policy requested by the applicant. Here, the record reflects that Imperium introduced deposition evidence from the insurance agent who procured the insurance policy for Shelton. The agent testified that, had Imperium known of See ZALMA Page 41
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37
TECHNOLOGY Continued From Page 5
you know you have a culprit.
This will mean changing the default password, enabling encryption, picking a new SSID and turning off any remote management features. Just remember, if you change your encryption password, you’ll have to update the password on all your devices as well.
Now, there’s a much simpler way: You can use the aptly named Wireless Network Watcher. This free program gives you a list of Make sure your device is gadgets connected to your Wi-Fi connected to your router; it network. You can quickly fire it doesn’t matter whether this is up whenever you want to check through a wireless connection or just leave it open for real-time or by cable. Open a browser and monitoring. Easy. Even WPA2 encryption isn’t type in the router’s IP address. perfect. Cybersecurity experts The IP address is a set of numbers recently discovered a massive Encrypt your connection and the default depends on Wi-Fi hack called KRACK. Click your router’s manufacturer. The You may find intruders, or you here to learn how to protect your common ones are 192.168.1.1, may not. Either way, you can network from this new attack. protect your Wi-Fi connection 192.168.0.1, or 192.168.2.1. (and your personal data) by Fence out your guest Check the DHCP Client List encrypting your connection. network or Attached Devices section that shows what gadgets are Every router on the market offers Friends and family always want to connected to your router. several encryption options. One use your Wi-Fi. They ask politely, Typically, they are listed by IP type to avoid is “WEP,” which is phone in hand because they hate address, MAC address and/or outdated and easy to circumvent. to burn up their data plans when Name. Once you’ve surveyed this Instead, look for any encryption they can just use your connection. list of connected gadgets, figure that starts with “WPA2,” the most Instead of handing them your out which ones belong to you. recent being “WPA2-PSK AES.” real password, use your router’s You should recognize the name The WPA2 family of encryption “Guest Network.” of your main computer, and your should protect your router from This feature lets you share your tablet or smartphone should have any run-of-the-mill hacker. internet connection with your the name of the manufacturer or Click here for more detailed guests while keeping them off model. instructions for securing your Wi- your main network, preventing them from seeing your shared files If you can’t make sense of the Fi against intruders. and services. To avoid confusion list, or you can’t identify certain devices, simply turn off each It’s possible that your network is with your main network, set gadget one by one. You can already encrypted, yet outsiders up your guest network with a also disable each gadget’s Wi-Fi. are still accessing your Wi-Fi. different network name (SSID) For tracking purposes, jot these If so, change your password and password. network details down or take a immediately. You can also reset quick pic using your smartphone your router to factory settings Although the guest network is so you can reference them later. (consult your manual) and set up available to guests, maintain the If you’ve switched everything off your Wi-Fi signal from scratch. See Komando Page 44 and still see unknown gadgets,
KIM KOMANDO
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OCTOBER 2018
NEWS
LLOYD’S RETURNS TO PROFIT FOR THE FIRST HALF OF 2018
L
loyd’s, the specialist insurance and reinsurance market, today announced a profit of £0.6bn for the first half of 2018 with the publication of its interim report.
from £0.4bn last year. This partly reflects Lloyd’s ongoing work that commenced in 2017 to review the worst performing portfolios, and the subsequent action by the market to reduce loss making lines.
financial position is underscored by our ratings which were recently reaffirmed at A (Excellent) from A.M. Best, A+ (Strong) from Standard & Poor’s and AA- (Very Strong) from Fitch.
The key financial figures are:
Lloyd’s Chief Executive, Inga Beale, Pre-tax profits were impacted said: “These results and return to by a reduced investment return profit demonstrate the strength of Pre-tax profits of £0.6bn (June of £0.2bn (June 2017: £1.0bn), the Lloyd’s market following one 2017: £1.2bn) which is consistent with the low of the costliest years for natural Combined ratio of 95.5% (June returns seen across most asset catastrophes in the past decade. 2017: 96.9%) classes over the period. Whilst these results are welcome, Annualised return on capital of Lloyd’s continues to concentrate 4.3% (June 2017: 8.9%) on improving the Lloyd’s market’s Investment return of 0.3% (June long-term performance by taking 2017: 1.5%) action to address underperforming Net resources of £29.0bn (June areas of the market. 2017: £28.0bn) Read Lloyd’s 2018 Interim Report “The Corporation also remains online focused on making the Lloyd’s platform more competitive. The market’s return to profit Alongside the success of the follows the severe catastrophe mandate for the placement of experience in 2017, with the electronic risks, we have recently result supported by an improved launched the Lloyd’s Lab, our new combined ratio of 95.5% (June innovation accelerator, which will 2017: 96.9%). Lloyd’s also reported help Lloyd’s use technology to a modest increase in gross better serve our customers around written premiums to £19.3bn the world. We have also worked (June 2017: £18.9bn), driven by tirelessly to secure the Lloyd’s improvements in pricing and The Iconic Llloyd’s of London Building market’s access to the EU27 and growth in some profitable lines. Lloyd’s capital position is at its our Lloyd’s Brussels subsidiary strongest ever with net resources will start writing business in the The reporting period also totalling £29.0bn (June 2017: European Economic Area from 1 featured an improvement in the £28.0bn). Lloyd’s strong and secure January 2019.” underwriting result up to £0.5bn OCTOBER 2018
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ANALYSIS Continued From Page 40
CONVERSATION MARKETING 7. Stop Talking Unlike a monologue, a conversation is a two-way endeavor. Knowing when to stop talking is as important as knowing what to say and when to say it. It’s the only way to truly get a sense of what your audience (or your potential customer) is thinking in reaction to what you’ve offered, and whether to stay the course in your strategy or tweak it on-the-fly. Once you hear preliminary reaction, you can respond to questions and concerns before moving ahead or otherwise couse-correct as needed. Also bear in mind that what your audience isn’t saying can be just as impactful as what they do convey. Once your message is out, take a step back and “read the room.” That could mean monitoring online response to your blog post or using various tools to learn which of your resources are drawing attention. Are people engaged? Are they adding to the conversation? What should you do if the feedback is bad? Don’t consider a negative response or lack of response necessarily a failure. Instead, see it as an opportunity to adjust, make changes, and perhaps find ways to better meet your audience’s needs. 40
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8. Ditch the Checklist Before every takeoff, airline crews verbally work through an extensive checklist. There’s a detailed set of tasks to cover before the plane can even push back from the gate. However, in an ebb and flow conversation marketing context, this adherence to a certain protocol can pose limitations. Indeed, one problem with simply sticking to a checklist is that a content marketing strategy will never evolve with the times or differentiate itself in any way from what everyone else is doing. Successful marketers endeavor to open new horizons. They take a step back and ask bigger questions about themselves and their companies’ ultimate goals, as well as what sort of new challenges their audience or customers might face over time-how to aptly adjust when needed.
Lund also suggests finding sources of inspiration. “Explore some of the successful content marketing plans that showed passion, ditched the tired old language, zeroed in on what customers needed, and started a real conversation with the market,” he urges. “Then scrutinize your own strategy and see where it might be lacking, so that you can continually refine your own checklist.”
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INSURANCE & THE LAW Continued From Page 36
ZALMA
FORMER WA INSURANCE EMPLOYEE WANTED IN CONNECTION WITH FRAUD
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LYMPIA, Wash. – Jessica disappearance” claim with the the Tyler facts, “it would have Epler, 25, has been insurer, Liberty Mutual, on Oct. either resulted in approval added to Insurance 2, 2016. She said she put the ring pending an incident exclusion, higher premium or a denial to Commissioner Mike Kreidler’s in her purse while she was out insurance fraud with friends and write the risk at all.” most wanted her purse went after she failed missing. Epler In sum, because Shelton made to appear was an employee a material misrepresentation in Spokane of Liberty Mutual in his application for insurance County Superior at the time of the by failing to disclose the Court to face claim. potential Tyler claim, Imperium charges of is entitled to rescind the policy. second-degree Investigators attempted theft found records that and filing a false Epler sold the ring Z ALMA OPINION insurance claim to a Spokane pawn It is difficult to understand why in connection shop on Sept. 26. the Shelton defendants failed with a diamond On Oct. 13, Epler to report the potential claim ring claim. A contacted Liberty Jessica Epler, 25 to Imperium and lied on the bench warrant for Mutual and asked application since the potential her arrest was issued on Sept. 5 to withdraw the claim. Epler has for the suit was obvious. When and bail is set for $10,000. since relocated to Pennsylvania a state Supreme Court finds and has not responded to a lawyer’s actions “damning” If you have information that Kreidler’s investigators. while affirming a judgment may lead to their arrest, CIU investigates against the client the fact of please contact your local law Kreidler’s enforcement agency or contact insurance fraud and works with a potential malpractice suit should be as obvious as yellow Kreidler’s Criminal Investigations the state Attorney General’s Office and local prosecutors on snow plow working after a Unit (CIU). criminal cases. Insurance fraud blizzard. Not only was Shelton According to Kreidler’s costs the average family $400 negligent in the representation investigation, Epler added a to $700 per year in increased of its clients it was either diamond ring to her fiance’s premiums. Insurance companies intentionally fraudulent or renter’s insurance policy in are required by law to report negligent in protecting its own August 2016. The ring was valued fraud to the commissioner. interest. at $4,000. She filed a “mysterious OCTOBER 2018
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SPECIAL REPORT
HOW (AND WHY) TO WRITE A PRESS RELEASE By Ron Manera, Senior Editor
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he most overlooked source of free promotion for small to medium-sized companies? Press Releases. Those little info blurbs that strengthen your brand and inform your market can be powerful tools if employed effectively. With a press release, your company can inform the world of a new hire, promotions, a key person retiring, a new product, a merger or acquisition, a new office or a thousand other events positive and timely. But even more important: Getting your company name out in front of tens of thousands of your prospects and customers, (even competitors) often, and at little or no cost. As an editor of a couple of insurance industry specific journals, I am on the receiving end of dozens of press releases daily - all wishing a free ride in one of my next issues. I welcome press releases because they often provide valuable content to my readers. Because of space and relevancy limitations, I can’t run them all. As a matter of fact, only a small percentage of the PRs I review
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make it into the magazines. How do I decide what to run? I look first for relevancy. Is the information in the press release something likely to be interesting or valuable to my subscribers? I can discard 80% of the PRs I review simply because the content is not focused on my audience. Next, I look for length, style and format. Will the original PR take up two pages requiring radical editing for size? Can I easily move the content into my publication without extensive reformatting? Are there bulleted paragraphs or multiple hyperlinks to contend with? I look for a news-style press release. When I receive a PR that is 80% promotional and 20% news, I’m likely to pass it up. I don’t charge for news - I do charge for advertising.
Up The Odds Your Press Release Will Be Printed And Effective
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suspect most editors rely on criteria much like mine when reviewing incoming press releases for publication. Table of Contents
Here are eight tips to increase your odds of actually making it to the show: 1. Give me a compelling headline! Hint: Write your headline last after you review your entire PR. A good headline will not only get my attention, but that of my readers. 2. Don’t open with “ABC Company announced today...” because the PR may not appear for another 30 days. Include the actual date. 3. Keep your copy succinct! 375-450 words max. That’s an entire page, so you have plenty of room to cover your subject. I’m not going to give you more space - so if you run long, you are asking me to trim your copy and you may not like what I remove. 4. Learn to write like a journalist: Who, What, When, Why & Where. (in no particular order)List those 5 categories out on a worksheet and work from it as you script your PR. To the ultimate reader, it should not read as if it were written by your marketing department but as if we sent a reporter OCTOBER 2018
Image Credit: Creative Commons
While larger operations use paid services like Businesswire, PRweb, PRNewsire and others to distribute their press releases, smaller companies can maintain a list of media outlets that make more sense for their target market. I review PRs from the big distribution houses all the time - but I am more likely to notice one emailed directly to me.
or a mention or quote out to cover your news story. from a company officer. I 5. Important! Don’t often include company make your PR into an logos when they are made advertisement. First, it will available. lesson the chance I include your piece, (remember, I 8. About (Your Company) It’s good to include a short charge for advertising) but “About ABC Company” at the just as important, it will lack end of your PR. Keep it short credibility to the readers if it and within the word limit for just looks like a puff piece. the entire piece. Include It’s okay to sound enthused contact info for “further about the topic and your information.” company, but the ideal PR will look as if your company 9. Make certain to place a copy of each PR on your company made the news because of website under your NEWS some newsworthy event. tab. The practice will make 6. Give me at least one quote, your site more relevant to e.g. “Frank’s extensive search engines and more experience in restaurant valuable to visitors. risks will bring a new depth to our commercial insurance ow that you’ve created department,” said John the perfect press Smith, CEO... release, where should 7. If appropriate, include you send it? an image, especially if the PR involves personnel
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In the insurance business, include every trade journal that covers your region. If you are introducing a new restaurant program, for example, you may wish to include some of the trade journals in that industry. If you are a local retail agent, by all means include local print media, especially neighborhood newsletters or city-wide newspapers. Build your list in a spreadsheet database so you can one-click mail-merge a personalized copy to each media outlet. Make it a habit! Find the best copywriter in your office and assign them the task of churning out one press release each month. You’ll be building your brand and status within your industry. Where to send at TUI? Send directly to me, Ron Manera at ron@insurmedia.com.
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TECHNOLOGY
KEEP MOOCHES AND SPIES OFF YOUR WIFI NETWORK
fix a problem, but it leaves your computer vulnerable to hackers. Unless you absolutely need it, turn this feature off. You can find this under your router settings, usually under the “Remote Administration” heading. You can always switch it on again if the need arises. The last thing you need is to invite strangers on to your home network.
same level of security as your primary network. This means developing a strong password and restricting access to your shared files and devices. Make sure that “local access” is set to “off,” which will prevent guests from tampering with your system.
What questions do you have? Call my national radio show and click here to find it on your local radio station. You can listen to the Kim Komando Show on your phone, tablet or computer. From buying advice to digital life issues, click here for my free podcasts.
Continued From Page 38
Want a really cool tip? You don’t have to give out your passwords at all. Here’s a way that you can share your network’s password using a QR code.
Turn off administration
Copyright 2018, WestStar Multimedia Entertainment. remote All rights reserved.
Learn about all the latest technology on the Kim Komando Show, the nation’s largest weekend radio talk show. Kim takes calls and dispenses advice on today’s digital lifestyle, from smartphones and tablets to online privacy and data hacks. For her daily tips, free newsletters and more, visit Remote administration is a handy her website at Komando. tool, especially when you need to com “Remote administration” is a feature that allows you to log into your router over the internet and manage it. If you’ve ever called tech support, you may have experienced something similar: A faraway technician speaks with you on the phone and then operates your computer as if he’s sitting right next to you.
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SPECIAL REPORT: NASA
NASA UNVEILS SUSTAINABLE CAMPAIGN TO RETURN TO MOON, ON TO MARS
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n December of 2017, President Donald Trump signed Space Policy Directive-1, in which the president directed NASA “to lead an innovative and sustainable program of exploration with commercial and international partners to enable human expansion across the solar system and to bring back to Earth new knowledge and opportunities.” In answer to that bold call, and consistent with the NASA Transition Authorization Act of 2017, NASA recently submitted to Congress a plan to revitalize and add direction to NASA’s enduring purpose. The National Space Exploration Campaign calls for human and robotic exploration missions to expand the frontiers of human experience and scientific discovery of the natural phenomena of Earth, other worlds and the cosmos.
the next few years with the launch the current model of human space of NASA’s Orion spacecraft and activities in low-Earth orbit to a Space Launch System (SLS) rocket. model where the government is only one customer for commercial The Exploration Campaign services.
has five strategic goals:
1. Transition U.S. human spaceflight activities in lowEarth orbit to commercial operations that support NASA and the needs of an emerging private sector market. 2. Lead the emplacement of capabilities that support lunar surface operations and facilitate missions beyond cislunar space. 3. Foster scientific discovery and characterization of lunar resources through a series of robotic missions. 4. Return U.S. astronauts to the surface of the Moon for a sustained campaign of exploration and use. 5. Demonstrate the capabilities required for human missions to Mars and other destinations.
The Exploration Campaign builds on 18 continuous years of Americans and our international partners living and working together on the International Transition Low-Earth Orbit Space Station. It leverages Activities advances in the commercial space sector, robotics and other technologies, and accelerates in NASA intends to transition from OCTOBER 2018
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Based on inputs from current partners, commercial and other stakeholders, NASA will shape the plan for the transition of lowEarth orbit activities from direct government funding to commercial services and partnerships, with new, independent commercial platforms or a non-NASA operating model for some form or elements of the International Space Station by 2025. In addition, NASA will expand public-private partnerships to develop and demonstrate technologies and capabilities to enable new commercial space products and services. The International Space Station will continue to serve as a core long-duration human spaceflight platform through at least 2024, which will mark almost 25 years of continuous human occupancy and successful international cooperation in space.
See Nasa Sets Sites on Mars Pg 50 www/underwritersinsider.com
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2018 FAIA CONVENTION TRADE FAIR BOOTH IMAGES NOW ONLINE!
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ne of the biggest insurance events held each year in Florida is the Florida Association of Independent Agents (FAIA) Convention. This year was the 114th annual convention, making it not only one of the largest, but one of the longest running events in US insurance history.
We tried to get a shot of every booth, but frankly ran out of time. The trade fair is huge, with hundreds of exhibitors. Next year we may bring two photograpers, each starting at opposite ends and working towards the center. We sadly experienced some equipment issues this year as our preferred lens for such an event, a Nikon 18-300mm had taken a fairly stiff smack as it slipped out of it’s carry bag and hit the floor just as we were to begin shooting. Although it was not obvious on the camera’s (Nikon D-500) LCD screen, just about all the images taken at 50mm or wider were somewhat out of focus - some badly. Oddly, the closeups were fine. So there will be a trip to the repair shop for the lens and we will be more careful next year...
Click On The Image Below To View Booth Images
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2018 LAAIA CONVENTION TRADE FAIR BOOTH IMAGES NOW ONLINE!
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he largest insurance trade fair in S. Florida, the Latin American Association of Insurance Agents pulled off another incredible event with their 47th annual convention and trade fair this August. This time no camera equipment issues and had time to shoot every booth.
Click On The Image Below To View Booth Images
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BECOME A CERTIFIED EXPERT IN CORPORATE PROPERTY INSURANCE AND A CERTIFIED EXPERT IN CORPORATE LIABILITY INSURANCE Now available from Illumeo and Barry Zalma!
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veryone involved in insurance – either as an insurer or as an insured – requires excellence in claims handling. Businesses need to deal with insurers who have an excellence in claimshandling mandate. Insurers who wish to profit need an excellence in property and/or liability claims-handling program. Everyone in business needs an insurer who has an excellence in property or liability claims-handling program in effect. Two comprehensive programs enabling insurance professionals to become Certified Expert in Corporate Property Insurance and/ or Certified Experts in Corporate Liability Insurance are available from Illumeo.com and https://www.illumeo.com/curriculum/certifiedexpert-corporate-property-insurance and https://www.illumeo.com/ curriculum/certified-expert-corporate-liability-insurance. The programs are complete courses of study providing education and training to allow insurance professionals, after completing the individual classes, to become a Certified Expert. The programs cover everything an employee, an officer, or a director of a corporation needs to know about the need to acquire proper insurance and to resolve any claim presented by the corporation to the insurer. Major topics of study include, but are not limited to: the importance of insurance; how to acquire insurance and understand an insurance policy; the methods used by insurers to investigate claims; the various types of insurance that corporations need; the duties and obligations of a public adjuster; and how The full curriculum of the courses and other courses from Barry Zalma are available at http:// www.ilumeo.com by entering in the search bar the word “zalma.”
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SPECIAL REPORT: NASA Continued From Page 45
recently awarded 12 contracts to industry to investigate the best way to use the space station to engage the U.S. commercial industry to take a lead role in low-Earth orbit. The portfolio of selected studies will include specific industry concepts detailing business plans and the viability of habitable NASA leverages the space station platforms, using the space station to learn how to keep crews healthy or separate free-flying structures. and productive on deep space missions, and as a testbed to develop technologies to support To the Moon those missions. It is an experiential The Moon is a fundamental part of testing ground that enables Earth’s past and future - an off-world discovery and development continent that may hold valuable of advanced robotics, resources to support space activity communications, medicine, and scientific treasures that may agriculture and environmental tell us more about our own planet. science. Although Americans first walked on its surface almost 50 years ago, The space station also can help our explorers left footprints at only enable the transition to commercial six sites, during a total of 16 days on activities in low-Earth orbit. NASA
NASA is building a plan for Americans to orbit the Moon starting in 2023, and land astronauts on the surface no later than the late 2020s. This will be the first chance for the majority of people alive today to witness a Moon landing – a moment when, in awe and wonder, the world holds its breath. However, America will not stop there. A key component of establishing the first permanent American presence and infrastructure on and around the Moon is the Gateway, a lunar orbiting platform to host astronauts farther from Earth than ever before.
Image Credit: NASA
NASA SETS SITES ON MARS
the surface. The next wave of lunar exploration will be fundamentally different.
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SPECIAL REPORT: NASA On the Gateway, America and its partners will prepare to transit deep space, testing new technologies and systems as we build the infrastructure to support missions to the surface of the Moon and prepare for the epochal mission to Mars. NASA also will study the effects of the deep space environment of the Gateway, learning how living organisms react to the radiation and microgravity of a deep space environment over long periods. The Gateway also will be assessed as a platform for the assembly of payloads and systems; a reusable command module for lunar vicinity and surface exploration; and a way station for the development of refueling depots, servicing platforms, and a sample return facility. Some elements of the Gateway already are under construction at NASA centers across the United States, including facilities in Ohio, Texas and Alabama, and at commercial partner facilities. The Gateway will be assembled in space, incrementally, using the Orion spacecraft and SLS, as well as commercial launch vehicles. The first element, providing power and propulsion, will launch from Florida in 2022. The lunar surface will serve as a crucial training ground and technology demonstration test site where we will prepare for OCTOBER 2018
future human missions to Mars and other destinations. Through an innovative combination of missions involving commercial and international partners, robotic lunar surface missions will begin as early as 2020, focus on scientific exploration of lunar resources, and prepare the lunar surface for a sustained human presence.
human and robotic lunar missions that are extensible to Mars.
NASA continues to maintain leadership in robotic exploration on and around Mars. The agency’s InSight mission now is on its way to Mars and will land in November to study the interior of the Red Planet. Development of NASA’s next rover to Mars continues to By the late 2020s, a lunar lander make excellent progress and is capable of transporting crews and scheduled to launch in July 2020. cargo will begin trips to the surface of the Moon. The sustainable, The Mars 2020 rover will aid long-term lunar surface activities our search for past life and enabled by these efforts, in tandem demonstrate the production of with the Gateway, will expand fuel and other resources that and diversify over time, taking enable human exploration. We advantage of the Moon and near also will use this mission as a space for scientific exploration in building block for a subsequent the broadest sense. roundtrip robotic mission with the historic first rocket launch off another planet and a sample On to Mars return. That mission will serve as The first human landing on Mars – a critical precursor to an eventual audacious in its complexity – will series of crewed missions to Mars be an achievement recalled with planned to start in the 2030’s and awe far into humanity’s future. Key culminating in a surface landing, components of the Exploration which will be supported by the Campaign already are underway work we’ll do on the Moon in the and include long-duration human coming years. spaceflight on the space station, development of advanced life The priorities laid out in the support systems, and continuing National Space Exploration to lead and advance the world in Campaign ensure the United deep space science missions. States will maintain leadership in space science and exploration. Overall, the Exploration Campaign To read the complete Exploration focuses on a transformative Campaign, visit: approach that includes the development of technologies and https://go.nasa.gov/2pyqmMD systems that enable a series of Table of Contents
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