The Underwriter's Insider - January 2013 by The Underwriter's Insider

Features News 5

Advertising

Kim Komando

Inside Track

Marketplace

Insider Advisor

Classifieds

Say What?

Back Issues

19 Arrested in Jax, FL P.I.P Insurance Fraud Scheme

Louisiana’s Ins Commissioner Donelon Selected to Lead NAIC

A Lesson: Rights Not Exercised Are Lost By Barry Zalma, Esq.

Table of Contents Continued...

The Underwriter’s Insider

News 27 34 34 11

Rockwood Buys Remaining Shares of Modern Insurnace Consultants Georgia Sentences Five for Insurance Fraud

Georgia Cops Plead Guilty to Hobbs Act Violations

A Memorial - We Reprint Our 2005 Exclusive Interview with General Norman H. Schwarzkoph

Sponsors 4 6 7 8 11 12 15 16 17 18 22 23

Modern Insurance Consultants Florida Insuance School Broadway Premium Funding Broadway Premium Funding FYI Georgia View & News St. James Insurance Company Aggressive Insurance United Automobile Ins Company

NASA - Eclipse Agency Mgt. Accu-Auto Encore HR Personnel Solutions

Orrin R. Beilly, Esq.

Kingsway - Amigo

31 33 www.underwritersinsider.com

The Agency Advantage

Barry Zalma The Towing & Rental Group

The Underwriterâ&#x20AC;&#x2122;s Insider

Shocked by the rising cost of advertising? Relax... Reach tens of thousands of industry eyeballs for as little as $89 per month.

EZine (Online) Per Issue Rates All advertisements include a 200X600 pixel banner ad on The Underwriter’s Insider home page - as well as appearing on our weekly magazine announcement. All ads will link to the advertiser’s home page unless other instructions are given.

Size/Frequency

www.underwritersinsider.com

Ad Size

12X

Full-Page

259

239

219

199

1/2 Page

199

179

169

154

1/3 Page

159

149

139

129

1/4 Page

139

129

119

1/8 Page

114

104

Questions? ron@insurmedia.com

www.underwritersinsider.com

Ad Specs

Insider Rate Chart

561.718.0745

Full Page 1/2 Page 2/5 Page 1/3 Page 1/4 Page 1/8 Page

Option 1 8.00” X 10.50” 4.00” X 10.50” 4.00” X 8.60” 8.00” X 3.25” 4.00” X 5.25” 2.50” X 4.60”

Option 2 8.00” X 5.25” 8.00” X 4.20” 5.30” X 5.25” 2.30” X 9.00” 4.60” X 2.50”

Full-Bleed 8.50 X 11.00

Banner Ads: 200X60 pixels, JPEG, PNG or GIF Format

The Insider can accomodate advertisements submitted in almost any format - but best results can be achieved with a 300DPI TIFF image. If your ad is in PDF, EPS, PSD, JPG or PNG format - send it in. Ad creation is usually free with agreements of 3X frequency or better. There will be a small charge for stock images when needed.

FREE CLASSIFIEDS! HELP WANTED — POSITION WANTED 4 — SALE ITEMS CLICK HERE! 5

➨ Modern Insurance Consultants is a nationwide insurance agents E&O specialist and the #1 writer of agents E&O in Florida (FSLSO 2004 through 2010) ➨ Serving independent agents since 1994 ➨ One application gives you access to 18 markets writing agents E&O ➨ Modern Insurance Consultants has the E&O coverage you need • Limits available up to $10,000,000 • Premiums starting at $1,200 and deductibles as low as $1,000 • Exclusive E&O programs from A rated carriers • Insolvency, Defense Costs Outside the Limit and First Dollar Defense coverages available • 24 hour quote turnaround with our exclusive 2 page QuickQuote Application for agents and brokers available on our website

Have you been declined, non-renewed or rate increased? Apply now at www.modernins.com 1348 Old Dixie Highway Homestead, FL 33030 ph: 305.248.9495 fax: 305.248.9496 www.modernins.com info@modernins.com

The Underwriter’s Insider

19 PEOPLE ARRESTED IN JACKSONVILLE FLA P.I.P. INSURANCE FRAUD SCHEME

ACKSONVILLE, Fla. – A six-month long investigation has led to the arrest of 19 people suspected in a Jacksonville insurance fraud scheme. The State Attorney’s Office (SAO) and Florida’s Division of Insurance Fraud (DIF) began its investigation in July 2012 when an insurance carrier alerted investigators to possible fraudulent activity. The joint investigation centered on people staging automobile accidents for the purpose of filing fraudulent insurance claims. In the last month, the SAO and DIF shut down the Indian Rehabilitation Center Inc. (IRCI) located at 3636 University Boulevard. The clinic was owned by www.underwritersinsider.com

Valerie Marshall, a licensed massage therapist from Tampa. Marshall, 24, was arrested last week at her Tampa home. Marshall is accused of opening the Jacksonville massage therapy clinic in order to provide “treatments” to people involved in the staged automobile accidents. Marshall opened the clinic in September 2011. The investigation determined that Marshall acted as a straw owner for other individuals actually overseeing the day to day operations. Here is how the scheme worked – recruiters offered to pay accident participants to stage car accidents,

Table of Contents

fake injuries, and then sign paperwork claiming they received “treatment” at the IRCI clinic, which never in fact occurred. The clinic then billed the participants’ insurance carriers for Personal Injury Protection (PIP) coverage. Under Florida’s “No Fault” insurance law, insurers must provide PIP coverage of $10,000.00 per person. Between March and October 2012, at least 19 claims were reported to the National Insurance Crime Bureau from eleven

See 19 Arrested Page 38 7

CONTENTS 2013 • Issue 1

A Publication of AdMax Media Corp Corporate Offices P.O. Box 31551 P. Beach Gardens, FL 33420

Ron Manera Editor/Publisher

561.718.0745

ron@insurmedia.com

To best navigate The Insider, begin with the Table of Contents and select your topic. On the bottom of most pages is a Table of Contents link that will immediately return you for your next topic selection. EVERY SPONSOR AD LINKS DIRECTLY TO THE SPONSOR’S WEBSITE. CLICK ON ANY AD TO VISIT OUR FINE SPONSORS!

LOUISIANA INSURANCE COMMISSIONER JIM DONELON TO SERVE AS PRESIDENT OF THE NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS

he National Association of Insurance Commissioners (NAIC) has announced that Louisiana Insurance Commissioner Jim Donelon will ascend to the NAIC presidency effective January 1, 2013. Commissioner Donelon has been serving as 2012 President-Elect of the NAIC. “I am pleased to have this opportunity to serve the NAIC

and the citizens of Louisiana in this capacity,” said Commissioner Donelon. “Louisiana is a significant consumer of insurance in the national, and even international, marketplace. Through this position, I will be able to engage in the insurance debate on a leadership level, and place Louisiana at the forefront in the study and development of insurance regulation.”

Table of Contents

Through the NAIC, state insurance regulators establish standards and best practices, coordinate their regulatory oversight, and have a critical role in the implementation of those measures as they impact the insurance markets and consumers across the nation and beyond. Donelon has been a member of the NAIC since becoming Louisiana Insurance Commissioner in 2006.

See Donelon Selected Page 35 The Underwriter’s Insider

SIX GREAT WAYS TO MAKE MONEY ONLINE by Kim Komando

he year 2013 is barely out of the starting gate, and some finance experts already predict that the U.S. economy will make a roaring comeback this year. Of course, other pundits warn that we should be very worried. Whatever happens, you can resolve to improve your personal economy this year. Digital technology, combined with your talent and passion, is a moneymaking opportunity waiting to happen. Whether you’re looking to pocket a little extra cash or significant part-time income, these ideas could put you on the road to a prosperous new year.

digital file to sell, take a look at commission-free UploadNSell. Amazon-owned CreateSpace can help indie authors, musicians and filmmakers sell works to online buyers.

Cash in on your photos

Sell art, crafts or collectibles online If you have a talent for making jewelry, pottery or other crafts - or just a knack for finding vintage gems at garage and estate sales - consider selling your objects through an online storefront. Etsy is the largest and most popular marketplace for handmade and vintage goods. You can also try ArtFire and Zibbet. Have you designed a killer line of iPad cases or Kids’ tees? Take a look at upand-coming Redbubble. Want to display traditional art? Artbreak is a fast-growing online gallery for traditional artists - and it’s commission-free. If you have an e-book, song, template, computer wallpaper or other kind of

Licensing your best photos to microstock agencies such as iStockphoto, Shutterstock and Dreamstime is a great way for aboveaverage photographers to make money. Click here to learn how to get started selling your photos online. There’s a lot of competition, but Web designers and other electronic publishers buy tens of thousands of photos every day to illustrate stories and ads. Research top-selling images at microstock sites to get a feel for what buyers want, and then do whatever you do best, whether that’s food, portraits, sports or landscapes. Illustrators and videographers can find opportunities in microstock, too. If you’re a fine-art photographer, try selling through print-on-demand sites such as Imagekind or Fine Art America. You set your price for various sizes, and the sites take a cut for printing, matting, framing and shipping to the customer.

Take on microjobs and quick tasks Many folks pick up pocket money every day by doing quick field work assignments for companies, or doing odd jobs for local businesses

See Kim Komando Pg 33 www.underwritersinsider.com

Table of Contents

RIGHTS NOT EXERCISED PROMPTLY ARE LOST

By Barry Zalma, Esq.

he Ohio Court of Appeal Farm, alleging that State Farm had was asked by Geraldine breached a contract of insurance Offill (Offill) to reverse with Offill by failing to pay her for a judgment on the pleadings losses to her personal property she rendered against her on her sustained in August of 2003 and complaint, and in favor of State January of 2004. State Farm filed Farm Fire & Casualty Company an answer to Offill’s complaint (State Farm) in Geraldine Offill and attached a copy of a renter’s v. State Farm Fire & Casualty insurance policy. State Farm raised Company, 2012 -Ohio- 6225. (Ohio a number of defenses in its answer, App. Dist.2 12/31/2012). Offill including Offill’s alleged failure contended that the trial court erred to comply with the terms of the in granting State Farm’s motion insurance policy. State Farm also for judgment on the pleadings filed a motion for judgment on the because her breach of contract pleadings, contending that Offill Barry Zalma, Esq., CFE is a California attorney claim was brought well within the failed to file her complaint against specializing in insurance coverage, insurance fifteen-year statute of limitations State Farm within one year after claims handling and fraud who serves as set forth in Ohio statutes. Offill her losses to personal property a consultant and expert for insurers and further contends that even if she were incurred, as required by the policyholders. He founded Zalma Insurance was required to start her action insurance policy. The provision of Consultants in 2001 and serves as its senior against State Farm within one year the insurance policy on which State consultant. He recently published an e-book, “Insurance Fraud,” which is available at his Web of the loss of her personal property, Farm relied states: “Suit Against Us. site, www.zalma.com. Go to Zalma Books at she timely started her action No action shall be brought unless http://www.zalma.com/zalmabooks.htm. when she filed her first complaint there has been compliance with against State Farm in 2005. Finally, the policy provisions. The action Farm. In her complaint, Offill alleged Offill contends that the trial court must be started within one year that State Farm breached a contract erred by not finding that the one-year after the date of loss or damage.” limitations period in the insurance of insurance by failing to pay Offill for policy had been waived by State Farm’s the losses of personal property she Analysis had incurred in 2003 and 2004. State actions. Farm filed an answer to the complaint. In isolation, any word or phrase in the On May 27, 2005, Offill filed a notice of contested policy language may be Course of the Proceedings voluntary dismissal without prejudice. ambiguous. When considered as a In August of 2003, Geraldine Offill On March 7, 2011, Offill again whole, however, the private limitation sustained a loss of personal property commenced an action against State of action provision in the State Farm due to theft. On January 14, 2004, Offill sustained a loss of personal property due to a fire. On January 14, 2005, Offill commenced an action against State

Join Barry Zalma’s new Blog:

policy is unambiguous. That the word “start” is not commonly used to indicate

http://www.zalma.com/blog

See Zalma Pg 31

Table of Contents

The Underwriter’s Insider

S ch wa r zkopf General H. Norman

INTERVIEW By Ronald J. Manera

ditor’s Note: In 2005 I was given the opportunity to interview General Norman H. Schwarzkoph, that iconic American military hero that so brilliantly engineered our victory in Operation Iraqi freedom. General Schwarzkoph passed away on December 27, 2012, in Tampa, Florida, at age 78 due to complications from pneumonia. We thought it would be appropriate and fitting if we would reprint that very interesting interview, which encompasses the General’s entire career, in this and the next issue. All date references are accurate to the 2005 interview.

t’s been fourteen years since he retired from the U.S. Army as the Commanderin-Chief Central Command — the robust, 6’ 3” 240lb. bear of a man

every American watched nightly on CNN as he choreographed one of the most stunning military victories in the history of warfare. Relaxed, comfortable and confident, General H. Norman Schwarzkopf is still very much in command, still very much the soldier. Daily ensconced in a penthouse suite towering above downtown Tampa, Schwarzkopf, assisted by a small staff, spends his time in various projects, most of them charitable; many of them concerning children. (see Camp Boggy Creek promo in this issue for one of the General’s favorite projects.) He lives in a very nice guarded and gated golf course community with his family, and, by the oddest coincidence, just a few doors down from another of America’s great combat generals — Gen. Tommy Franks, (Ret) Commanderin-Chief — Central Command during Operation Iraqi Freedom. He dreams of spending more time with his family in his Colorado mountainside villa. When he speaks of men, his men, who died in combat 40 years ago, his eyes still water up. When you listen to the words and the stories of Gen. H. Norman Schwarzkopf, you know this for certain: This is no Hollywood hero.

This man is the real thing. Somewhat thinner, a bit grayer, the passing of the years has still been remarkably kind to, perhaps, our most famous living combat general. The piercing blue eyes have dimmed not a wit, nor has his deportment of barelycontained energy been reduced. Schwarzkopf fought a battle against prostate cancer in ’94 and, of course, won. Recently, he has had both knees replaced, (he assumes from too many parachute drops) and currently walks with a certain stiffness that will most likely abate with time. He claims to suffer the typical maladies of a 71 yearold man, and by that claim affirms that he is only human — although the Iraqis undoubtedly thought he was a juggernaut from Hell. When asked what it feels like to be 71, Schwarzkopf replies without hesitation, “I hate being 71!” When asked what he would do if he woke up in the morning and found he was only 30, he replies instantly, “Why enlist — of course!” The general is a man for whom life is passing too quickly. One gets the sense he would give anything See Schwarzkoph Page 12 11

www.underwritersinsider.com

Table of Contents

Continued From Page 11

SCHWARZKOPH if he could only do it again. Ask most Americans what they know about General H. Norman Schwarzkopf and they will immediately associate him with 1991’s Operation Desert Storm — and nothing else. As history is wont to do, it affixes its more famous participants with one or two labels, sufficient knowledge for all but the most interested. Yes, Schwarzkopf kicked the Iraqis out of Kuwait in grand style with a display of brilliant strategy and intuitive leadership that made us all proud to be Americans. Yet he did not materialize out of the ether just in time to take his county’s soldiers to victory in the deserts of the Middle East. He earned the role of Commander in Chief of U.S. Forces in Desert Storm by proving himself over and over again, in combat, where he preferred to be accompanying his men into battle — or in various leadership roles within the Army where his raw competence invariably improved the performance of his command as well as the lives of his men. A 1956 West Point graduate, Schwarzkopf was himself the son of a 1917 West Point graduate and a general officer. The senior General Schwarzkopf’s assignments provided young Norman the opportunity to live and learn abroad where he was greatly influenced by his contact with foreign culture. An extended stay in Iran as a youth brought him great and useful insight into the complexities of the Middle East as he met with military counterparts, ambassadors and even heads of state from many 12

of the Arab countries in the region while ramping up the Desert Storm operation. One of Schwarzkopf’s few regrets is that his father did not live long enough to know what his son would achieve. One of the keys to understanding the forces that motivate Schwarzkopf is to understand the concept of “Duty, Honor, Country” that was impressed upon him as a youth by both his father and West Point. These principals were the stars that would guide him in his career. From It Doesn’t Take a Hero, “West Point instilled the ideal of service above self — to do my duty for my country regardless of what personal gain it brought, and even if it brought no gain at all. It gave me far more than a military career — it gave me a calling.” After graduating West Point, Schwarzkopf would go on to earn a Master’s Degree in Engineering at USC. He returned to West Point as an instructor in the early 60’s, but the growing conflict in Southeast Asia was never far from his infantryman’s mind. When a former classmate, Tom McCarthy, died a hero’s death in the jungle war, Schwarzkopf simply could no longer tolerate the soft life of a West Point instructor while American troops were dying in combat.

Medal of Freedom. Ironically, for a man that once commanded the most powerful military force ever assembled, one of Schwarzkopf’s concerns is security. He knows that he may be on somebody’s list, for his greatest victory was necessarily someone else’s most humiliating defeat. Unlike former presidents, retired generals are not provided any tax-payer funded security, although government agencies will respond (and have) should there be any intelligence on a pending threat. We spoke with Gen. Schwarzkopf for two and one-half hours, and found him to be as engaging and personable as he was generous with his time and his anecdotes. Too big a man and too big a story to include in one issue, we will run this interview in two parts.

He petitioned West Point to defer his three-year teaching commitment for a year and thus began an outstanding combat career — which would include two tours in Vietnam, role as de facto second-in-command in the Grenada operation, and of course Commander-in-Chief, Central Command during Operation Desert Storm. He would be awarded three Silver Stars, three Bronze Stars, two Purple Hearts and the Presidential

Table of Contents

The Underwriter’s Insider

NSIDER: In 1965, as a fresh US Army captain, you had a great job at West Point as an instructor, probably a lifetime dream for a lot of guys. Yet you pulled some strings to go to Vietnam. Did you do it because you thought it would further your career or because you believed in what we were fighting for?

at me. Here you are in this plush job, up at West Point teaching. You could stay here for three years, avoid the war completely if you chose to do that, but oh by the way, you are an infantryman. And this

SCHWARZKOPF: Number one, I was an infantryman long before I was an academic officer. When I graduated, I was high enough in my class, I could have gone into any branch of the Army or for that matter I could have gone into the Air Force. In those days, this was before there was an Air Force Academy, so 20% of every class went into the Air Force. I enjoyed leadership challenges. I was the company commander of my cadet company my last year at West Point. I enjoyed that. When I revisited all the various military posts around the country, as cadets in the summertime, they were trying to convince us that we should go into their branch. You had the infantry, the army, the artillery, the signal corp, engineers and indeed the Air Force too. It was a very fancy trip, visiting all the Air Force bases and flying in jets and all of them trying to convince us that we should go into their branch. But the one place that didn’t try and do that was Ft. Benning, the home of the infantry. And they kind of waited out as this is what we are, we are the infantry, the queen of battle. And I enjoyed the time I spent at Ft. Benning and that combined with the fact that I enjoyed the responsibility of leadership, when I graduated from West Point, I chose to go into the infantry. Now — fast forward to Vietnam. Vietnam was very much an infantry war. Certainly in the early stages, maybe later on with the air mobility, it became a combination of ground and infantry war and an air assault war. But certainly in the stage that I’m talking about, it was very much an infantryman’s war. I was stationed at West Point in a very, very plush job having gone to graduate school for two years in engineering to qualify me to be an instructor at West Point. But it was in the very early stage of Vietnam and an acquaintance of mine was killed over there at that time. He was a hero. He was a genuine hero and he didn’t really get the credit for being a hero. My conscience just was gnawing away

www.underwritersinsider.com

Airborne. In those days, the enemy’s Airborne was the National Reserve and they were stationed in an air force base in Saigon. Anytime things got so bad someplace else and they couldn’t handle it there, they’d activate the National Reserve and it was either the Vietnamese Airborne or the Vietnamese Marines. INSIDER: Which were the elite of the elite? SCHWARZKOPF: The elite of the elite. The paratroopers. So, I was with a really, really top-notch first-class Vietnamese unit. Top-notch commanders — so it was a great learning experience for me as well as I felt that I was making a genuine contribution. They couldn’t bring in helicopters, attack helicopters, they couldn’t bring in bombers from overhead, they couldn’t bring in American artillery, all of these things that you needed in various campaigns and I was the guy that could deliver all of this to them and to employ it at the same time when you were moving though the jun-

is an infantryman’s war. And this is what you signed up to do. So, I just felt very strongly that as much as I appreciated what West Point was doing for me and my master’s degree, and all that, and bringing me back up there to teach cadets, that that wasn’t where I should be. I felt that as an infantryman, I should be in Vietnam and that’s why I pushed very hard to leave West Point on a temporary basis. I knew that I couldn’t get completely away, I had an obligation because I had gone to graduate school and therefore I had to serve out my obligation. But I didn’t feel at that particular time and space that it had to happen then. That I could go to Vietnam, serve as an infantryman full tour (one year), and then come back to West Point and serve out my obligation. I felt that was what I was really supposed to do. INSIDER: Anti-war sentiments hadn’t built yet in this country in 1965? SCHWARZKOPF: No, it was just starting. My second tour was entirely different from the standpoint of American public opinion. And I was twice blessed because I was released from West Point for a year to go over there when I promised that I would come back at the end of a year. But secondly, when I got over there I was assigned as an advisor to the Vietnamese

Table of Contents

See Schwarzkoph Page 14

DO YOU KNOW A KEY PERSON IN THE CIGAR MFG. BUSINESS? National brokerage seeks individual with connections in cigar manufacturing and distribution. Exclusive business opportunity! Call John or Matt 1-800-359-5102 13

Continued From Page 13

SCHWARZKOPH gle single file as an infantryman. So it was a great learning experience. Two of my counterparts had been involved in this war ever since the French Colonial parachuted Italians and were great leaders. All of the terrible stories that you hear about the Vietnamese leadership, none of it was true in the Vietnamese Airborne. INSIDER: I was very interested to read that in your autobiography - since history has left the impression the Vietnamese regulars would run and hide as soon as they were left to their own devices. SCHWARZKOPF: There were Vietnamese organizations where that happened. But, in those instances, they were never properly trained or equipped or had the ability to do anything other than that. But you’ve heard these horror stories about a unit that went to sleep and in the middle of the night, they would get up and leave their American advisor behind. It never happened with me. Quite the contrary. The South Vietnamese troops treated me with great respect. They recognized what I was able to contribute to them and they treated me as an equal. There was no question about that. INSIDER: Just to backtrack for a minute, you selected the infantry from all of the offers that the various services were giving to you. It seems to me, I’m sitting there and somebody is offering me jets and somebody is offering me jungle boots, it seems like the jets would be a little sexier… SCHWARZKOPF: (Laughs) Well you sound like my father! My father graduated from West Point in 1917 and he went into the cavalry because he loved horses and he loved playing polo. Next thing he knew, he found himself in Europe in World War I. They had taken his horses away from him and now he was an artilleryman. He was absolutely convinced that the future of the Army in my time would be “high-tech.” And not without reason. At that time we were evolving very rapidly in the technology field. Helicopters, for example. He was absolutely convinced that high technology was the future. So I could have gone into the Corp of Engi-

neers, I had offers from Army ordinates to send me off to graduate school very quickly to get a masters degree in engineering and my dad was just absolutely positive that that was where to go. So when his son turns around and becomes an infantryman paratrooper, that’s about as far away as you could get from where he really was convinced that I should go if I was going to have a successful army career. INSIDER: Your first tour in Vietnam, you survived a helicopter crash, malaria and nearly getting shot in half while riding in an armored personnel carrier. Yet in your book, It Doesn’t Take Hero, you sounded like you were having a good time! SCHWARZKOPF: (laughs) In hindsight, I was having a good time! INSIDER: How is that? SCHWARZKOPF: That’s what I went over there for. I became very fatalistic, I guess is the word. I had a job to do; I was going to do that job. Obviously there was a risk involved. If my number came up, it came up. Let me back up. The first combat operation I went out on, shortly after I got there. I got there and one week later, I was with the paratroopers, one of their convoys was ambushed, they were recovery force, the next day I was going to go to war. And there is always that lingering thought in the back of your mind, am I going to measure up? And when I get out there, am I going to chicken out? Am I going to panic? Am I going to be scared to death that I’m going to die? INSIDER: There really is no way to know in advance, is there? SCHWARZKOPF: No. So there is that lingering doubt in your mind as to what’s going to happen? How am I going to react? Am I going to be scared to death? Am I going to die? And that was very much there, ah, but after you’ve been in com-

Table of Contents

bat for a while, you become very fatalistic. And you kind of say, well if my number is up, it’s up and if it’s not up, it’s not up. Ain’t nothing I can do about it, one way or another except do my job the best way I possibly can. One way for you to avoid being shot is to shoot first. INSIDER: Who was it who said, “the object of war is not to die for your country, but to make the other poor bastard die for his?” SCHWARZKOPF: Patton said that. INSIDER: That was a great quote. SCHWARZKOPF: That’s right. But I think that your question was framed in terms of later on. And by that time, you are fatalistic, you are doing your job, you’ve made it this far, you haven’t been killed yet and, oh by the way, you’ve still got a job to do. So, you do the job. By that time, you’re not second guessing yourself anymore. You are going in; you’ve earned your combat infantryman’s badge, so to speak. You’ve gone in; you’ve been in a lot of battles, some of them huge, some of them minor. You’ve seen people die, and you’ve handled dead bodies and by the same token, you’ve killed a hell a lot of the enemy too. And that’s just what war is all about. But — by this time your self-doubt is gone. And so to get back to your fundamental question, getting almost cut in half was just – I was damn lucky. If that guy, that machine gun, had put one more click of elevation on his sights, he could have cut me right in half. But as it was, he didn’t, and all I got was a bunch of splatter all over me. And earning a purple heart without getting killed. And, oh by the way, there is a lot more combat yet to go before you are going home. So you don’t dwell on the past, you look to the future.

The Underwriter’s Insider

Background: Schwarzkopf is referring to an incident in his first tour in Vietnam. He was riding in the turret of an armored personnel carrier (APC) when they encountered enemy fire. Several rounds impacted the armored side of the turret causing fragments to hit him in the cheek, eyebrow and eyelid. It was determined later that a 3” height increase in the aim of the gunner would have resulted in Schwarzkopf being literally cut in half. INSIDER: So you were finally dragged back to West Point to fulfill your teaching contract with them, and about this time, you met a beautiful brunette, a TWA stewardess, Brenda Holsinger. How did that affect your life? How did that change your outlook on your own mortality and your service to your country? SCHWARZKOPF: The truth of the matter was, I probably changed her mind more than my own. She tells many people the story about my proposal. I said, I’m going to ask you to marry me, but before I do, I’m going to tell you what it is going to be like. I’m an infantryman. There is a war going on over there. I took an oath to serve my country. And there are going

www.underwritersinsider.com

to be times when I’m going to come home and say, “I’ve got to go away, I’ve got to go to war. And it has nothing to do whatsoever with my love for you being less than it should be. But my love of country and my duty.” The West Point motto is “Duty, Honor and Country.” All three of them are very important concepts. And in my mind, you can’t have only one of them. Or two of them. You’ve got to have them all. It’s a full plate. And so, my sense of duty, throughout my career, there were so many things that I did that other people might have thought, “Well he could have avoided that. Why did that dumb S.O.B. go and do what he did?” And it was generally driven by this duty. Robert E. Lee said, “Duty is the sublimest concept of them all.” And of course, there was a guy whose sense of duty was leaving West Point and taking command of the Confederate Army. So that was just part of my basic makeup. So as I said, when I proposed to Brenda, beforehand I said, “This is what it is going to be like and this is what could happen. And I want you to thoroughly understand that

Table of Contents

and understand me and where I’m coming from.” And I’m glad I did that, because then when I subsequently volunteered to go back on a second tour after we had been married for just a year, I’m sure that she understood. She understood why. She didn’t like it and of course, I didn’t like it from many standpoints. But I think she understood why I had to do what I had to do. INSIDER: Move forward a little. By now you and Brenda are married, yet you still felt an obligation to return to Vietnam. There were Americans dying out in the field. You thought maybe you could be instrumental in saving some American lives. You went to your new wife and said, “Honey, I’m going back to Vietnam. I’m going to get shot at; I’m going put my life on the line for Duty, Honor and Country.” SCHWARZKOPF: Actually, I didn’t tell her, I asked her. I felt I had to do it. But I didn’t go and say, “I’m going to Vietnam.”

See Schwarzkoph Page 16 15

Continued From Page 15

SCHWARZKOPH I sat down and I talked to her and I said I felt I had to do this and I want you to understand why I felt I had to do this. If you’ve got any questions, it has nothing to do with my loving you less; it’s just something I have to do. She, because I frontloaded the whole thing when I proposed to her, understood. Plus, she had lived with me for a year and by that time, she had kind of figured out what makes me tick. She was wonderful about it. I will also say that part of what helped is because when we got married, she continued to be a flight attendant for TWA. So the whole time we were at Ft. Leavenworth, she was gone often on flights. So we had been sepa-

rated, not for weeks for months or years, but certainly for days. INSIDER: But she had a life beyond just being a wife. She wasn’t sitting there staring at the wall, wondering if you were being shot. SCHWARZKOPF: Exactly. And that life continued on. She had her profession that she could follow. Then of course, there was R and R. And before I went out to command my unit, I had a chance to meet her in Hong Kong and we had a wonderful time there. INSIDER: And that’s where your first child was conceived? SCHWARZKOPF: Yeah, and I went off to command my battalion and right before Christmas she wrote me a letter and told me. INSIDER: And then she had to give up her career?

SCHWARZKOPF: After I got back, and Cindy was born, I was working in Washington, DC, she got a letter back from TWA, which said we’ve changed our policy now. In those days, you couldn’t be a flight attendant if you were pregnant or if you had a child. They sent her a letter saying if you want to come back, you can. She jokes about this now. But she came to me and said, “What do you think?” I said, “Well if you are going to carry Cindy on your hip while you are working on that airplane, it’s okay with me.” That sort of terminated that idea. INSIDER: So you returned to Vietnam and much to your concern, you are stuck at a desk job for six months. And then finally, you get your battalion. It’s 1st Battalion, 6th Infantry. But it was a mess. Talk about that. SCHWARZKOPF: It was in the Americal division. And at that time, not a lot of people wanted to go the Americal division. They didn’t have a very exciting mission at the time. A lot of people were getting killed in the Americal. I jokingly say that it was (laughs) “long bin” headquarters. It was a cesspool as far as I was concerned. You would go into a bar at night and there were all these guys sitting around saying, “Man, I really want to get out there and get with the troops and get with combat!” And all of them were wearing big knives strapped to their sides. They just couldn’t wait. Then all of a sudden, someone would get killed out there. Then, there would be a vacancy, and they’d say, “I’m involved in a very important project here, and I’ve got to wrap this project up before I can leave.” But I was lucky because I was right up there with the Commanding General and the Deputy Commanding General and the generals that were in charge of various areas. So I always knew when a vacancy was coming forth. And this one came up, and I went into my boss, George Mabry, and said, “I’ve got to do this.” Well, he was a Medal of Honor winner for leading a bayonet charge in WWII, and he said, “Well, I understand what you are

See Schwarzkoph Page 22 16

Table of Contents

The Underwriter’s Insider

www.underwritersinsider.com

Table of Contents

A A

merican General Life Companies (American General), a part of AIG, has named Tracy Bogolin Vice President, Senior Strategic Account Manager. He joins American General from Symetra where he served as Relationship Manager, Life Sales, supporting Symetra Life Insurance Company’s institutional and brokerage general agency (BGA) partnerships. “At AIG, we are committed to leveraging the resources of our vast institutional footprint with the best talent we can find in the market,” said Terri Fiedler, Executive Vice President, Strategic Accounts for AIG Financial Distributors. “Tracy’s more than 20 years of life insurance industry experience will help us to build even stronger relationships with our valued institutional partners as we focus on helping them to grow their life insurance businesses.”

carriers. Industry-leading agents on the advocacy tour -- held in Ohio, Pennsylvania and New Jersey -- visited nearly a dozen carriers to champion workflow and interface improvements within and between agencies and companies. The tour is part of an effort to help ASCnet members get more value from their agency management systems, which is the centerpiece of the user group’s mission. “For independent agents, carrier partnerships are critical to our mutual success in serving consumers and expanding our market share,” said Angelyn Treutel, ASCnet’s Industry Solutions Committee chair, who led the tour as an ASCnet volunteer leader. “The advocacy tour allowed us to thank key carriers face-to-face, encourage them to better meet the needs of their agent sales force, and hear their aspirations and concerns.”

ccording to a recent PEW Research survey, “The public’s attitudes toward gun control have shown modest change in the wake of last week’s deadly shooting at an elementary school in Newtown, Conn. Currently, 49% say it is more important to control gun ownership, while 42% say it is more important to protect the right of Americans to own guns. This marks the first time since Barack Obama took office that significantly more Americans prioritize gun control than the right to own guns.”

he American Insurance Association (AIA), a leading proponent of the Strengthening Medicare and Repaying Taxpayers Act or SMART Act, applauds today’s passage of H.R. 1063 by the U.S. House of Representatives. The SMART Act (H.R. 1063), as passed by the House Energy & Commerce Committee, was inserted as Title II of H.R. 1845, legislation to provide for a study on issues relating to access to intravenous immune globulin (IVIG) for Medicare beneficiaries, under suspension of the rules. The House

ccording to a recent report by PEW reports, “Some 13% of those ages 16 and older have visited library websites or otherwise accessed library services by mobile device. This figure has doubled when compared with the results of a 2009 survey by scholars at the University of Washington that found that 6% of Americans ages 16 and older had connected to a library site via a mobile device.”

SCnet’s 2012 “Partnering for Efficient Workflows” advocacy tour highlighted gaps in interfaces between independent agencies and property-casualty insurance carriers, even while support remains strong by pockets of agents and

Table of Contents

The Underwriter’s Insider

passed H.R. 1845 by a vote of 401-3. “AIA has been a long-time supporter of the SMART Act and we are pleased that the House has passed this important bill,” said Melissa Shelk, AIA’s vice president for federal affairs. “We thank Representatives Tim Murphy (R-PA) and Ron Kind (D-WI) for their leadership in shepherding the bill through to passage in the final days of this Congress.” H.R. 1063 will facilitate property-casualty insurers’ compliance with Medicare Secondary Payment (MSP) Act Section 111 reporting. “It will lead to more efficient and faster settlement of claims involving Medicare beneficiaries,” said Shelk. “The bill will benefit beneficiaries, employers, insurers and CMS. We urge the Senate to pass this legislation before it adjourns.” The legislation now heads to the Senate for consideration.

ccording to a recent report in Business Insurance, “Addiction to opioid pain medications and the dispensing of drugs by doctors remain top concerns for workers compensation companies, survey results released Wednesday show. Concern over the long-term implications of prescribing narcotic pain medications to injured workers has grown during the past two years with respondents to this year’s survey conducted by CompPharma L.L.C. saying the issue remains “very significant.” Tampa, Fla.-based CompPharma is a consortium of pharmacy benefit managers.”

he board of directors of AIG has voted to not join the lawsuit filed against the federal government by Starr International Co., Inc.. The lawsuit contested some of the aspects of the government’s AIG rescue in 2008. Starr is the company owned by Hank Greenberg - former CEO of AIG - and it owns 12% of the stock of AIG. www.underwritersinsider.com

EO Network has been purchased by Rodney Diekema, the founder and owner of PEO.com. “We’re pleased and honored to continue the legacy of Carrie Aaron, she’s an icon in our industry,” said Rodney Diekema, new President of PEO Network. “Sadly, Carrie suffered a traumatic brain injury in 2012 and could no longer work full-time. I was honored that she chose me to carry the torch.” “After serving thirty years in the PEO industry, it was time to focus on my health,” said Aaron. “Don’t count me out though, as my brain heals, I will continue to pursue consulting and research projects that serve the PEO industry and will stay onboard at PEO Network as a consultant. I have the utmost confidence in Rodney Diekema to carry on the tradition of excellence and integrity that PEO Network is known for.”

“

Vice President Joe Biden said his task force on reducing gun violence is likely to recommend background checks for all gun buyers and a ban on high-capacity ammunition clips as part of a plan to be given to President Barack Obama by next Tuesday.” - Source: Business Insurance.

he largest Burger King Corp. franchisee has settled a sexual harrassment lawsuit filed by the U.S. Equal Employment Opportunity Commission for $2.5 million. The lawsuit against Carrols Corp. was first brought in 1998 and alleged obscene comments, jokes and propositions to unwanted touching, exposure of genitalia, strip searches, stalking and rape. According to the EOCC, the bad behavior was mostly perpetrated by managers. The president of the Syracuse, N.Y.based company it only agreed to the settlement “because it was less costly than continuing to pursue

Table of Contents

litigation.” he Florida Office of Insurance Regulation released its 2012 Fast Facts recently and included the top 20 personal automobile insurance writers in Florida for 2011: (with premiums in millions):

1. State Farm Mutual: $ 2,464 2. GEICO General: $ 1,270 3. Progressive American: $694 4. Progressive Select: $630 5. GEICO Indemnity: $622 6. Allstate Fire & Casualty: $533 7. Allstate Insurance: $523 8. Allstate Property & Casualty: $415 9. Government Employees: $408 10. United Services Auto. (USAA): $363 11. Travelers Home & Marine: $260 12. USAA Casualty: $258 13. 21st Century Centennial: $222 14. Security National: $208 15. Safeco Ins. Co. of Illinois: $181 16. Liberty Mutual: $172 17. United Automobile: $170 18. Direct General: $161 19. Metropolitan Casualty: $143 20. Southern Owners: $137

ccording to a recent report by CBS Tampa Bay online, “Florida is seeking the rightful owners of $25 million in unclaimed life insurance benefits obtained through a settlement with American International Group Inc. Chief Financial Officer Jeff Atwater said Wednesday that the 61,271 unclaimed accounts are the first batch of several expected to be turned over by AIG. The settlement is the fifth that Florida has reached with national life insurers. In each case the company failed to use the Social Security Administration’s Death Master File to locate life and annuity beneficiaries although many have used the file to stop making annuity payments.” 19

Marketplace Recently Announced P&C Markets

Agent’s E&O

odern Insurance Consultants - #1 writer of Agent E&O in Florida 18 markets - 24 hour quote turn-around. 305.248.9495 - www.modernins.com info@modernins.com

rofessional Underwriting Group - $974 min premium - $1K to $10K ded. New Agencies OK - Association discount. 800281-4234 - info@puginsuranceagency.com www.professionalunderwritinggroup.com

ational Ins Underwriting - Limits $300K to $2M - Premiums starting at $1400 with low ded. Available most states. Discounts for loss-free experience and losscontrol efforst. Call Craig Calver - 800-3382680 X 507.

Aviation

viation Products & Liability Insurance from Arlington/Roe & Company - MGA - representing mulitple markets. Contact: 800.878.9891 X 2401. Cfrench@ arlingtonroe.com [11-6]

Chemical Mfg & Distribution Risks

uel additives, Industrial gases, paints, varnishes, lacquers, enamels, solvents, adhesives, sealants and a multitude of other chemical manufacturing and distribution risks. Min Prem $20,000 and other underwriting criteria. See Sloan Mason: Contact Grant Kanamori @ 619-814-2488 or grant@sloanmason.com. [11-7]

Collectables

merican Collectors announces updated specialty coverage for valued collections. The company claims coverage available for almost any type of collection with multiple coverage options. www.AmericanCollectors.com/Agents (800) 620-5052 12-7

Commercial Auto

ational Ins Underwriting - Light, medium & heavy up to 66,000 lbs. up to 500 mile radius, Up to $1M CSL or $1/$2M split, Phys Dam up to $100K - Med Pay, Hired and NOL. Contact: Call Craig Calver - 800338-2680 X 508.

ingsway/Amigo Competitve commercial auto program. Any size fleet, - all types of cars, light trucks and vans - specialty services, like landscaping, electrical, plumbing, lunch trucks and other various occupations. info@ kinswayamigo.com

Condo Assoc Program

rident is offering tailored coverage designed for condominium town home and single-family community associations claiming competitive rates and terms. Coverages available include property, including flood, earthquake and coastal windstorm, general liability, D&O, umbrella, worker’s comp, auto, crime and property mgrs E&O. Trident Community Association Program - 5100 N. O’Connor Blvd, #200, Irving, Texas 75039 or email to csmktgprograms@argogroupus.com 877590-0775 [11-6]

Contractors

eavy construction risks including steel erection contractors, concrete contractors, roofing contractors, bridge, street & road contractors, etc. Norman Spencer - Contact Brian Harrold p: 937.432.1469 brianharrold@normanspencer.com [11-7]

Contractor’s Pollution

ost contractors - including those with mold exposures and cleanup contractors. Program includes CPL - Occurrence or Claims Made form - mold coverage available - Annual & Per Project policies. Highly competitive rates claimed. All Risks, Ltd - Lou Ann Cook - 800-3665810 X 3030 email: nspflyer@allrisks.com [12-4]

Convenience Store

rgo Insurance announces expanded program and competitive rates for convenience store accounts. Company is looking for stores open until 11PM, fuel sales up to 90%, alcohol sales up to 30% with no fuel hauling exposure. Not available in Florida at this time. Email csmktgprograms@argogroupus.com 877590-0775 [11-6]

Design & Construction Industry

rchitects, engineers & surveyors, construction managers, contractors, environmental consultants, landscape architects, specialty construction consultants. Contact Jeff Grigsby 877.453.2071 - JeffG@schinnerer.com [116]

Energy & Utility Risks

il & Gas Companies, pipeline operations, utilities, HVAC contractors and water & sewer contractors. Contact Victor O. Schinner & Co., Inc. Jeff Grigsby - 877-453-2071 or jeffg@ schinnerer.com [12-1]

ropane Dealers - PowerWrap is an endorsed insurance program offering specialized, full spectrum coverage. Contact Alteris: 877-590-0775 [12-1]

Entertainment & Sports

&K Insurance claims “over 75 programs available on admitted paper with no prior approval or appointment needed to submit applications for quotation. “ The MGA can be reached at 800-637-4757 or www. kandkinsurance.com. [11-6]

Group Homes

roup Homes Programs for such risks as Hospice, Agencies for Aging, Homeless Shelters, Rehab Facilities, Adult Day-Care Facilities, etc. Comprehensive packages available - limits up to $1M/$3M - customize with many optional coverages. AFC Insurance - Toll Free: 877-456-5323

Hair & Beauty Insurance Program

ASS - Salon & Spa Specialty Insurance administered by Brownyard Group open to agents seeking access to program. 888-823-9380 or Email: sassi@brownyard. com [11-7]

The Underwriter’s Insider

Table of Contents

Health & Human Services

FC Insurance - Package programs or ala carte. Contact: 877-4565323 www.afcins.com submissions@ afcins.com [12-2]

Homeowners

Kidnap & Ransom

ational Ins Underwriting -Webbased quick quotes, most protection classes & zip-codes OK - $40K - $750K dwelling values with replacement cost available. No credit scoring. Renters policies available. Contact: Craig Calver - 800-338-2680 X 508.

cademic institutions, energy companies, engineering firms, hospitals and healthcare, houses of worship, manufacturing firms, etc. Contact Victor O. Schinner & Co., Inc. Jeff Grigsby - 877-453-2071 or jeffg@ schinnerer.com [12-1]

Life Agent E&O

ife agent E&O from Rockwood Programs. Coverage limits from $250K to $1 Million. Base rates from $400 to $550. Individual policies. Indentity theft included. No shared aggregates. Includes mutual fund placement. Call 877-242-2487 or email sales@rockwoodinsurance.com. [12-4]

Marine Risks Worker’s Comp & Longshore & Harbor Workers’ Comp

eaBright Insurance Company offers high quality workers’ compensation coverage for your clients who are small maritime employers and other marine-related businesses. SeaBright provides seamless cov All Risks, LTD 410-828-5810 rlang@allrisks. com or Appalachian Underwriters, Inc. – Oak Ridge, TN 865-425-1051 warren. palmer@appund.com or Peachtree Special Risk Brokers – Metairie, LA 504830-7347 jlasseigne@psrllc.co [11-7]

Marine, Recreational

orman Spencer announces availability of a market for multiple and vaious recreational marine risks including marinas, docks, boat rentals, boat mfgs, charters and more. Contact Corky Breeden at 937432-1631. 12-7

Have a P&C Product Announcement? Send your press release or one-paragraph announcement to ron@insurmedia.com

Martial Arts

&K Insurance announces expanded coverage & lower minimum premiums on martial arts coverage. General Aggregate Limit increased to $5M - Participants Med Pay to $150K. The MGA can be reached at 800-637-4757 or www. kandkinsurance.com. [11-6]

Ocean & Inland Marine

prdwode Facilties, Inc. Contractors doing: piers, docks, wharfs, bridges, breakwaters, cranes, dredging, etc. 6455 East Johns Crossing, Suite 115 Johns Creek, GA 30097 (678) 736-6720 • Facsimile: (678) 736-6726 - Carter, Kimberly - 678 736-6720, Ext. 1000 - kcarter@ wwfi.com [11-7]

Professional Liability

echnology & Cyber, Architects & Engineers, RE Agents, Insurance Agents E&O, Misc. Pro Liability - and more: Contact Atlantic Specialty Lines lorie@atlanticspecial.com 877545-9100 [12-1]

ictor O. Schinnerer - A-rated carriers -Real Estate Agents, Healthcare Consultants, General & Artisan Contractors, Architects, engineers & consultants, public entities such as school leaders and public officiials. Contact: 877-4532071 www.schinnerer.com jeffg@ schinnerer.com

Real Estate E&O

overage for open houses, mold, network risks and privacy claims are now part of Victor O. Schinnerer & Company’s Real Estate E&O policy. Schinnerer includes the three new coverages at no additional premium. Call to ck on your state: Starr Crusenberry Starr.N.Crusenberry@Schinnerer.com - 301-951-6904 [11-6]

Restaurant

rgo Insurance announces l o we r rates filed on restaurant c o ve r a g e including fo o d s p o i l a g e c o ve r a g e. Fu l l commission and no agency a p p o i n t m e n t n e c e s s a r y. Co m p a ny i s l o o k i n g fo r f a m i l y s t y l e, f a m i l y g r i l l s, c a s u a l s t y l e, f i n e d i n i n g a n d limited cooking restaurants such a s p i z z a a n d s u b s h o p s. Email csmktgprograms@argogroupus. com 877-590-0775 [11-6]

o r m a n S p e n c e r ’s R e a l E s t a t e Pr o g r a m - “o n e o f t h e m o s t c o m p r e h e n s i ve p o l i c i e s i n t h e m a r k e t w i t h h i g h l y c o m p e t i t i ve p r i c i n g” Co ve r a g e i s av a i l a b l e to risks whose ser vices include R e s i d e n t i a l a n d Co m m e r c i a l S a l e s, Le a s i n g, Pr o p e r t y M a n a g e m e n t , Real Estate Co n s u l t i n g, Au c t i o n e e r i n g, Mortgage B r o k e r i n g, B P O ’s a n d A p p r a i s a l, and Escrow Ser vices - Michael R yd e r m i c h a e l r yd e r @ n o r m a n s p e n c e r. c o m 800.477.9192 x204 [11-7]

Security Guard

r o w ny a r d Pr o g r a m s announces c o ve r a g e fo r security g u a r d s, claiming to insure 15 of the top 40 security g u a r d c o m p a n i e s i n t h e U. S . B r o w ny a r d Pr o g r a m s w w w. b r o w ny a r d p r o g r a m s. c o m or pvancott@brownyardprograms. com [12-4]

Tech Consultants E&O

odern Insurance Co n s u l t a n t s we b s i t e d e s i g n , s o f t w a r e d e ve l o p m e n t , d a t a b a s e a d m i n , we b h o s t i n g, software/hardware sales - and m o r e. I T c o n s u l t a n t s u p t o $ 1 5 M i n a n n u a l s a l e s. Co n t a c t A n d r e w Lawrie - 305-248-9495 X 9108 a l a w r i e @ m o d e r n i n s. c o m [ 1 2 - 2 ]

www.underwritersinsider.com

Table of Contents

Continued From Page 16

SCHWARZKOPH saying.” When I first got to Vietnam and I was in the placement center waiting for my assignment, some friends of mine turned up with this big smile on their faces and said, “Come with us; we’re taking you to be interviewed by General Mabry to be his Executive Officer.” I said, well, “BS! That’s not what I came over here for!” So when I went in to be interviewed by Mabry, he said, “What do you think about this assignment? And I said, I don’t think much of it at all. I didn’t come over here to be sitting here in headquarters in a plush villa.” Well, it wasn’t a plush villa, it was a trailer or something like that. But I said, “That’s not what I’m here for. What do I think about it? The answer is, not much. What I want to do, is command a battalion in combat and that’s why I signed up.” And he said, “godammit, Schwarzkopf,

you S.O.B.!” And I thought, (laughing) “Well, here it is. This is the end of my military career!” But he said, “Well, I didn’t come over here to sit behind a desk either, but godammit, if I’ve got to do it, you’ve got to do it. But I’ll guarantee you that I’ll get you out of here and let you command a battalion after you’ve served your time here.” And he was true to his word. Because, believe me, I watched the material as it came across, and just about at the six month point or maybe less than that, when a vacancy came up, I walked in and said, “Here is the promise you made and you promised you’d let me go and here is a vacancy. And I want to go.” And he said, “Okay,” and made it happen. INSIDER: So you ended up with this 1st Battalion and it was a mess.

Table of Contents

SCHWARZKOPF: Terrible. Terrible! INSIDER: The outgoing guy; the guy you were replacing, if I recall, left you a bottle of Scotch, a couple of words of encouragement and he was out of there? S C H WA R Z K O P F : It wasn’t words of encouragement. It was words of sympathy! “I’m getting the hell out of here and I’m sorry for you to be taking over this terrible outfit for this terrible mission in this terrible division.” Signed, “goodbye!” When my replacement six months later came up, I took the guy under my arm and took him around the battalion which was spread out quite a bit and took him in and gave him tea kettle briefings on what was

See Schwarzkoph Page 30 The Underwriter’s Insider

The INSIDER’S

“The Final Authority on Everything!” And When You Awaken...

y wife wants me to get hypnotized to quit smoking. I say hypnotism is either complete baloney or a stage trick and I’m sure I couldn’t be put in a trance. Give me the straight scoop so I don’t waste my time. – J.B. Birmingham, AL

It works JB. How do you think she got you to marry her in the first place? What, exactly the phenomena of hypnotism is, however, is a subject of debate even among experts and practitioners. Some believe it is a state of enhanced suggestibility where suggestions (i.e., “when you awaken, you will be a chicken!”) bypass your normal deductive reasoning process and are accepted as fact. Others believe, with support gleaned from PET scans, that hypnosis actually changes the brain process. One exercise of hypnotism familiar to new parents is the Lamaze method of childbirth which incorporates much hypnotic technique in the elimination of pain and anxiety. As far as quitting smoking – give it a try. It doesn’t work for everyone but it has worked for many.

ADVISOR

We checked with Poncho VamVito, former GT racing great and a member of our automotive staff: “Well, N.B. may not want to hear this, but her husband is most likely correct. The purpose of the outside mirrors is to see that relatively small area between where your view ends in the rear view mirror and what you can see glancing out your side windows. It’s called your ‘blind spot’ and you have one on each side of the vehicle. Best way to adjust? For your right mirror, do the following: In any parking lot, pull slowly about 4 feet to the left of a parked vehicle until the parked vehicle disappears from view out your right side window. Now stop. You probably cannot see the vehicle in your rear view mirror at this point

either, because it is in your blind spot. Now adjust your right-side mirror so that you have the other vehicle clearly in view. Don’t be surprised if you have to adjust your mirror almost all the way out in order to do so. For your left mirror, do the same with a parked vehicle on your left. Note that the adjustment is very sensitive to seat position and you and your husband may have to readjust the mirrors each time you drive the vehicle if you are sharing one car. In a random sample, more than 90% of all vehicles were found to have the mirrors adjusted improperly – almost always too far in where they missed the blind spot altogether. Incidentally, you don’t ordinarily have to keep track of the side of your own car. It will usually follow you home.

Mirror, Mirror on the Car

ow can I be certain my right and left-side auto mirrors are adjusted properly? My husband and I argue constantly about this. He says that the mirrors should be adjusted out real wide but I want them in closer where I can see along the side of my car. If I can’t see the side of the car, I can’t figure out what I’m looking at anyway. – N.B. Baton Rouge, LA

www.underwritersinsider.com

Table of Contents

CLASSIFIEDS

FREE CLASSIFIED RULES: Submit all ads online at: www.underwritersinsider. com/classifieds. Ads must be less than 501 characters plus a title line. Eligible free classifieds include help wanted, position wanted, personal ads, agency for sale/purchase, or the one-time sale of an item or items. REGULAR CLASSIFIED RULES: Submit all ads online at: www. underwritersinsider.com/classifieds. Only $1.00 per word, including title line and response info. Payment must be received prior to print date.

Position Wanted in Premium Finance, Carrier or MGA Marketing in Florida Experienced Relationship Manager with established agency base seeking salaried position with premium finance company, MGA, carrier or vendor. Licensed Fla. 2-20 Agent, years of experience calling on personal lines and commercial lines agencies in south and central Florida. Able to travel proven performer. Contact fbrosnan99@hotmail.com for resume. 9-12

220 Producer Anywhere in Florida Well established commercial agency specializing in the realm of workers’ comp seeks producer. You can be located anywhere in Florida. Excellent commission splits - training and leads. Other commercial markets also available - GL, etc.Contact: pcbizbuyer21@gmail.com 9-5

Coral Springs, FL Experienced 2-20 Agents Experienced P & C Agents required for a Coral Springs office. Good commission and renewal offered. Contact: tamiller91@yahoo.com 9-1 24

Let’s combine... Agency looking to Merge Don’t just sell your book of business and loose income. Why not merge and keep your client base. Contact: Peralta Insurance We have been in business for over twelve years, and have a large book of business and looking to expand. We carry all forms of insurance including; Health, Life, Commercial, Auto, Home, and many more. 12039 sw 132ct Miami Fl 33186 305-969-6960 peralta_ins@ bellsouth.net 9-5

Dir of P&C Claims, LV, NV Claims Director or Manager position wanted. 20 years experience in non-standard P&C Ins Claims for NV, NM, & AZ. 60+ employees supervised; including Claims, SIU, & Legal. Corporate budget & goal planning. Contract negotiations for all states. Resume & References available upon request. Available immediately for hire. Home is LV, NV. However, would consider southern California opportunity as well. Please contact @ 702-292-4215 or captainpaul52@gmail.com 10-1

CSR 440 or 220 Agent N Miami area Looking for a 2-20 agent or CSR Bilingual ( English-Spanish ), Excelent on Customer service Email resume to jamie@ jmendezandassociates.com 10-1

Table of Contents

FREE! free insider subscription! sign up yourself or any associate at this link

HERE 2-20 Producers Wanted: Miami Westchester Area

Looking for Personal & Commercial Lines producers. Salary plus commission!!! Rapidly expanding ageny. Please contact us via email or call Yudanis or Luis @ 305-225-9551 or: yudanis@optioninsurancesolutions.com

9-6

Looking to Expand Book of Business

Looking to buy independent books in Hillsborough County, Florida, full or in part. Please contact me for a confidential discussion.

abinsdmeyer@yahoo.com 9-4 The Underwriter’s Insider

INSURANCE AGENTS Growing commercial insurance agency looking for sales professionals in 48 States who have a huge appetite to sell and make a difference! Great support team and marketing strategy. With training, work ethic and the great support you are your only limitation. You can work from home if you have the discipline ! Bring your own book or build one with option to own the book. Send response to : TRUCKRISKMANAGEMENTPARTNER@GMAIL.COM 9-10

"Socialism is the philosophy of failure, the creed of ignorance and the gospel of envy. Its only inherent virtue is the equal sharing of misery." - Winston Churchill

www.underwritersinsider.com

FREE CLASSIFIEDS HERE Foreign Insurance Organization Wanted Part-time position wanted to represent, administrate or manage London or other foreign insurance organization in any U.S. states. I have all state insurance licenses required. Contact:dnmiweiss@yahoo.com 9-6

Franchised Insurance Agency For Sale Well Est. Florida 2-20 Licensed and Franchised General Insurance Agency. Owner consolidated 2 locations into one in 2012 reducing expenses & increasing profits as a result. Pre-qualified for SBA Lender Financing w/ $81,250 Down. Terms are approximate. Asking $325K. Contact Corporate Investment Business Brokers | (239) 936-1718 | www.floridabusinessbrokers.com 9-5

Table of Contents

IMPORTANT! You may also place FREE position-wanted classified ads in this section. Just click on the link below and fill out the simple form and weâ&#x20AC;&#x2122;ll get you online.

HERE! Profitable Independent Agency For SALE Kissimmee Area

Profitable agency , with low overhead expenses in Central Florida (Kissimmee Area). Motivated Seller. Email: Essie.noboa@gmail.com

9-7 25

the American Academy of Actuaries’ bimonthly magazine confirming that Obamacare will raise the cost of insurance for most - inspite of ACA subsidies.

“Insurance insiders aren’t. They said at the time that, “It is outrageous and an insult to all caring people to

think that this man would chose this event as a stage for his outlandish conspiracy theories. [His statements are] wrong, inconsiderate and insensitive.” - Newtown First Selectman E. Patricia Llodra commenting on the remarks of Florida college professor, James Traci, who remarked in a blog that the Sandy Hook massacre may have been staged or even that it may have not happened at al.

in addition to a state’s regulatory requirements, policy premiums are based on the cost of treatment where they are sold, which varies based on many factors like the preferences of doctors in the area, environmental impacts on health and even medical-malpractice awards in area courts.” - From a recent Online Athens news story penned by Walter Jones - responding to GA Insurance Commissioner Ralph Hudgen’s comments that he was “perplexed” that there hadn’t been more “takers” to new GA legislations to permit private insurance companies to sell policies nationally designed for individual states where the regulations are less stringent.

“The soft market for insurance may be over, but the “We are all creatures of habit. Take note of your habits hardening of the market is likely to remain modest. While premium rates and overall volume are both on track to rise this year, organic growth will not necessarily be quick — or high — enough to satisfy shareholders looking for a greater return on equity in a competitive capital market. Major transformational deals in the U.S. are less likely than bolt-on acquisitions of additional distribution channels, business lines and geographic outlets, both here and outside the country. However, a rising stock market, improved pricing conditions and pent-up demand could prompt P&C insurers looking to broaden their scope to intensify M&A efforts, potentially driving up the volume and value of deals.” - From a report from Deloitte L.L.P., 2013 Property/Casualty Insurance Industry Outlook showing that the insurance marketplace can expect premium growth in 2012.

“We estimate that almost 80 percent of those aged

21 to 29 with incomes greater than 138 percent of FPL who are enrolled in nongroup single coverage can expect to pay more out of pocket for coverage than they pay today—even after accounting for premium assistance. With a crossover point of about 300 percent of FPL for those aged 30 to 44, we estimate that about one-third of those older than age 29 with incomes greater than 138 percent FPL (Federal Poverty Level Ed.) will see higher premiums even after accounting for premium assistance. - From a The new report, authored by Kurt Giesa and Chris Carlson, was published in the latest issue of Contingencies,

and examine your tendencies carefully. Pay attention to the habits of others as well, especially the people who are demonstrating the behavior and results you seek. Interview them if you get the chance. Read their stories. Listen to their secrets. Embrace their examples. I will never forget the day I was scheduled to work with General H. Norman Schwarzkopf, the military leader in charge of Desert Storm. To prepare for the meeting and the day I would spend traveling with him, I read his entire 530-page autobiography. It made for a very meaningful conversation on leadership and a few important ‘take aways’ I will never forget. I now keep this autographed book on the same shelf as the book ‘On Courage’, subsequently signed by Rocky (Bleier). What a difference a few good books and role models can make! General Schwarzkopf once said, ‘It doesn’t take a hero to order men into battle. It takes a hero to be one of those men who goes into battle.’ What we need today more than ever are examples of courageous leadership. Talk is cheap. People want action. People want results. Sage leaders deliver by stepping up with courage, wisdom and passion. ‘Stormin Norman’ was a fine example of this.” - John J. Murphy, president of Venture Management Consultants, is an expert on the development of effective leadership and teamwork. Venture Management Consultants provides customized executive education and management training on how to inspire and lead change. He is the author of 14 books on leadership and related subjects. In his soon to be released book, ‘Stepping Up’, he relates stories about an encounter with Ret. Gen. H. Norman Schwarzkopf.

Table of Contents

The Underwriter’s Insider

ROCKWOOD PROGRAMS FINALIZES ACQUISITION OF MODERN INSURANCE CONSULTANTS

ockwood Programs has recently acquired the remaining ownership interest in Modern Insurance Consultants, LLC. Rockwood had originally purchased a majority stake in the Homestead FL-based agency in December 2008. “We feel this new arrangement capitalizes on the unique strengths of each partner”, says Glenn Clark, Rockwood’s President. “Mark Lann (original Modern principal) and his team have a proven track record of

business written through the newly combined entity. Mark will also take on the task of maintaining and expanding our business relationships with key partners, including the Strategic Independent Agent’s Alliance (SIAA), Target Markets Program Administrator’s Association (TMPAA), and the National Association of Surety Bond Producers (NASBP). “All administrative and back-office operations for both entities will be transitioned to Rockwood’s Wilmington Delaware facility”, continues Glenn. “Centralizing these tasks will allow us to function more efficiently while still retaining our commitment to superior customer service.” “We are definitely excited to be a part of this new enterprise”, states Mark Lann. “As a result of our combined market access, we will be able to offer an even wider array of pricing and coverage term options for our Insurance Agent clients. Modern’s existing customer base will also have

To Visit Insider Sponsors, simply click on the Sponsor’s ad!

FREE! free insider subscription!

success in the Insurance Agent’s E&O arena, especially in the state of Florida. Rockwood Programs possesses the markets, distribution outlets, and legal status to transact business on a national scale”. Mark Lann will assume the position of Executive Vice President. In this capacity, he will be responsible for all Insurance Agent’s E&O www.underwritersinsider.com

access to Rockwood’s extensive portfolio of other professional and management liability products”. Agency groups, insurance carriers, or affinity organizations interested in establishing a strategic business arrangement with Rockwood should contact Mark Lann. Mark can be reached by calling toll-free at 800558-8808.

Table of CoMy wife wants

HERE 27

SELECT BACK ISSUES

2012 Issue 11

2012 Issue 8

2012 Issue 10

2012 Issue 7

2012 Issue 9

2012 Issue 6

INSURANCE • POLITICS • TECHNOLOGY • PEOPLE VOLUME 9 • 2012 • ISSUE 4

TABLE OF CONTENTS

2012 Issue 5 28

2012 Issue 4

Table of Contents

2012 Issue 3 The Underwriter’s Insider

SELECT BACK ISSUES

2012 Issue 2

2011 Issue 6

2011 Issue 3 www.underwritersinsider.com

2012 Issue 1

2011 Issue 7

2011 Issue 5

2011 Issue 4

2005 Issue 2

2005 Issue 5

Table of Contents

Continued From Page 22

SCHWARZKOPH going on. I think it was more ego. I mean, this was my battalion now. I didn’t want it to be all screwed up for the next guy. Fortunately enough, he was a West Point graduate. He wasn’t a classmate; he was a class ahead of me, but I knew him by reputation and I was very happy. He ended up being a four-star General. So I was happy that he was the guy that was taking over. But the guy I took over from, his only advice was, “Good luck, I’m glad I’m getting the hell out of here and you ought to get out of here as soon as you possibly can!” And that was it. INSIDER: There was an incident involving a Viet Cong mine field on your second tour. You risked your life to save your troops. Describe that day. SCHWARZKOPF: The hospital was like a forty-minute flight from where we were operating. And we were operating in an area that was terrible with land mines. Land mines that had been planted by the VC and also land mines that were left over by French units that had been there before and land mines that had been left by Korean units that had been there before. I had my battalion shaped up after a lot of hard work. I mean a lot of hard work. And they were a pretty good outfit. The battalion that was operating in the Batangan Peninsula before we got there was so shy of land mines that they were doing everything they could to avoid the enemy rather than to have contact with the enemy. And they had figured out very quickly that if I shoot at them, they shoot back at me. If I don’t shoot at them, they won’t shoot at me and therefore, they weren’t functioning. Joe Clemmons, my brigade commander, called me and said, “I’m going to replace that battalion with your battalion. You are going to go down and take over that area of operation.” t was a terrible AO. A lot of land mines. But one of the things I learned very early on, or figured out very early,

was if I took a casualty down there, by the time you called for the medevac helicopter, it took it forty minutes to fly down to where you were and another forty minutes to fly back with the wounded troops to the hospital. If on the other hand, I had a command patrol helicopter with me most of the time, and therefore if we made contact and I had a casualty, if I gave them my helicopter, that helicopter took them to the hospital in a total of forty minutes rather than eighty plus minutes. I just had a standard procedure. Let me add something more to that. You suffer very bad morale when you are dealing with land mines. And one of the reasons why, if you are in a fire fight, they are shooting at you, you are shooting back at them. Both sides are involved. But when you are dealing with the land mines, the mine goes off, somebody gets terribly wounded, and there is nobody to shoot back at. There is no retaliation. You’ve had this terrible thing happen to you.

the ground and you would look at that battalion and there was a level of fury in their eyes, not positive fury, but negative fury. I am convinced that all I would have ever had to say is, you know, those S.O.B.s in that village down there set those land mines out here, let’s take them out. And that battalion would have gone down there and done it instantly. So, those were the two reasons why I used to evacuate the wounded right away. Number one, to get them out faster to the hospital and number two, to prevent retaliation — which brings up the land mine incident. Again, a typical scenario. There were certain areas where you

See Schwarzkiph Page 36

I am somewhat convinced in my own mind, Mei Lei (The “Mei Lei Massacre – considered an American atrocity, occurred on March 16th, 1968 under the command of Lieutenant William Calley - Ed) happened right in the middle of the area of my responsibility. I’m convinced that in many ways, Mei Lei probably happened for this very reason. You had this battalion down there that was running into land mine after land mine, taking casualty after casualty, and there was no way to shoot back. And therefore, eventually, this may have resulted in a terrible massacre. And maybe land mines weren’t involved, but in my mind, that’s what I equate it to. I’d fly in many times when we had had a land mine incident and we’d put the casualties in an airplane. I’d stay on

Table of Contents

The Underwriter’s Insider

Continued from Page 10

ZALMA

pleadings and any writings attached to the complaint. Dismissal is appropriate when, after construing all material allegations in the complaint, along with all reasonable inferences drawn therefrom in favor of the non-moving party, the court finds that the plaintiff

the commencement of a lawsuit does not mean that it refers to something else when it is used in a provision entitled “Suit Against Us.” Similarly, though the word “action” can refer to virtually anything done by a person, there is no reason to think it refers to anything other than a lawsuit when used as part of a two- sentence provision entitled “Suit Against Us.” The fact that the two sentences could have been written more clearly, and they could http://www.zalma.com/zalmabooks.htm have, does not mean that they are ambiguous. can prove no set of facts in support of Negotiations with State Farm continued its claim that would entitle it to relief. after the filing of the suit as well. It is therefore the position of Plaintiff that The Supreme Court of Ohio when in the event that the language of faced with a virtually identical the policy was not ambiguous that insurance policy provision, held that State Farm waived any one year filing the insured must file a complaint against the insurer within one year of requirement. the loss that the insured suffered. Offill The trial court granted State Farm’s also contended that “even assuming motion for judgment on the pleadings. that the one year period applied, the fact that the Appellee continued to Offill Failed to Start Her Action Within negotiate after the expiration of the one year period constitutes waiver of One Year of Her Loss the alleged limitations period. Offill Determination of a motion for only made this argument in the trial judgment on the pleadings is restricted court in a footnote in her surreply in solely to the allegations in the opposition to State Farm’s motion for judgment on the pleadings. Offill stated that she would seek leave to amend her complaint to make a FREE corresponding allegation to support CLASSIFIEDS! the waiver argument. However, there HELP WANTED — POSITION is nothing in the record reflecting that WANTED 4 — SALE ITEMS she sought leave to do so.

CLICK HERE!

www.underwritersinsider.com

to support Offill’s contention on appeal that there were negotiations beyond the one-year period after Offill sustained her losses to personal property. Based on the record, there was no error in the trial court’s decision granting State Farm’s motion for judgment on the pleadings. If the Ohio Court of Appeal was to decline to apply the Supreme Court’s holding based solely on the fact that Offill filed an action in 2005 that she later voluntarily dismissed, then an insured could escape a oneyear limitation in an insurance policy by the simple expedient of filing a complaint against the insurer within one year of the loss and then voluntarily dismissing the action, with the intent of re-filing the complaint any time within the remainder of the fifteen-year statute of limitations set forth in Ohio statutes of limitation.

ZALMA OPINION The California Supreme Court, in Prudential-LMI Commercial Insurance v. Superior Court of San Diego County, 51 Cal. 3d 674, 798 P.2d 1230, 274 Cal. Rptr. 387 (Cal. 11/01/1990) reached a similar result but tolled the private limitation of action provision by stating that the limitation period is tolled from the time the insured reports a claim until the insurer officially denies the claim. From the facts of this case Offill would still find her case barred. Courts in different states apply the private limitation of action provision differently and it is incumbent and the insurer to ascertain how it is applied in the state where the loss occurred.

Consequently, there were no allegations in the pleadings of record

Table of Contents

Experts and Consultants for Insurance Disputes 4441 Sepulveda Boulevard Culver City, California 90230 310-390-4455 zalma@zalma.com http://www.zalma.com

Consultation from Zalma Insurance Consultants (ZIC) can save you or your client thousands of dollars in the defense or prosecution of an insurance dispute. ZIC provides expert advice and counsel insurers and plaintiffs’ counsel find indispensable. Consultation from ZIC can save you, your counsel or client hundreds of hours of investigative and legal work. ZALMA INSURANCE CONSULTANTS is a service of Barry Zalma, Inc. a California professional corporation. Barry Zalma is an internationally recognized expert on insurance coverage, insurance claims handling, insurance bad faith, insurance fraud detection, the defeat of false and fraudulent claims, Barry Zalma, Esq. insurance claims handling, and the resolution of insurance disputes. As a consultant, expert witness, lawyer, author, mediator or arbitrator he serves all parties who need consultation or expert testimony on matters relating to insurance coverage, insurance claims handling, insurance fraud and the tort of bad faith. Barry Zalma founded Zalma Insurance Consultants to help resolve any insurance claim problem faced by you or your clients that do not need Mr. Zalma’s services as a lawyer. His experience and skill as a consultant and expert witness can make the difference before a jury or other trier of fact. For more than 44 years as a claims person and insurance coverage attorney, Barry Zalma has represented insurers, advised insurers on claims handling, interpreted coverages and testified as an insurance coverage, insurance bad faith, insurance claims handling and insurance fraud expert on behalf of insurers and policyholders in state and federal courts.

Expert Testimony

Zalma Insurance Consultants serves insurers, policyholders, underwriters, brokers, agents, adjusters, public insurance adjusters, lawyers and any person involved in an insurance dispute. Because he is an attorney licensed to practice law in the state of California M r. Zalma may be prohibited by California case law from acting as a consultant or expert witness and, therefore, refuses to serve in any situation where a past client of his law firm, Barry Zalma, Inc. is adverse to anyone seeking his services.

Y ou can obtain M r. Zalma’s C.V . at http://www.zalma.com and his e-book publications http://www.zalma.com/zalmabooks.htm and blogs daily at Zalma on Insurance, http://zalma.com/blog.

Table of Contents

The Underwriter’s Insider

Continued From Page 9

KIM KOMANDO and homeowners. Businesses big and small post microprojects through a free iPhone app called Gigwalk (an Android version is in the works). A winemaker, for example, might need someone in your town to visit a retailer and take a smartphone picture of a product display.

always in high demand. Sites such as Smarthinking or Tutor can help get you started. Can you speak a foreign language fluently or have experience as a language tutor? Hang up a shingle at Verbalplanet. There’s also a keen need to teach English as a second language to executives around the world.

Freelance Freelancing is a time-honored way for writers and graphic designers to make money. It’s not uncommon for administrative assistants, accountants, computer programmers and other professionals to also find freelance

See Kim Komando Page 35

Homeowners across the U.S. browse the TaskRabbit website if they need help assembling Ikea furniture or grocery shopping. Local businesses also call on TaskRabbits when they need on-demand workers, delivery drivers or event staff. You do need to ace a video interview and a thorough background check in order to become a TaskRabbit. If your friends look to you for fashion and shopping advice, check into becoming an affiliate for the shopping site Beso. It works the same way as a traditional blog, except you don’t need to think up 500 fresh words every day. You make a few cents every time friends and followers click on links you share within brief posts to social network sites.

Tutor and teach Put your experience as a tutor or teacher to work on the Internet. All you need is a fast broadband connection and a way to video chat. Online tutoring is also a good way for starving college and grad students to put food on the table. Specialists in finance, math and science are www.underwritersinsider.com

Table of Contents

GEORGIA SENTENCES FIVE FOR INSURANCE FRAUD

ichael J. Moore, United States Attorney for the Middle District of Georgia, announced that the following people were sentenced on One Count of Health Care Insurance Fraud against American Family Life Assurance Company, also known as AFLAC, in violation of Title 18 United States Code, Section 1347(2) and 18 United States Code Section 2, before the Honorable Clay Land, United States District Court, Columbus, Georgia: 1. Ronnie Moore was sentenced to serve six months incarceration, ordered to pay restitution in the amount of $53,301.25 jointly and severally with Guillermina Bressler, to be followed by three years supervised release, and a mandatory assessment fee of $100.00; 2. Camille Toney was sentenced to three years probation to include home confinement with electronic

monitoring, ordered to pay restitution in the amount of $2,100.00, and a mandatory assessment fee of $100.00; 3. Steven Lester was sentenced to serve six months incarceration, ordered to pay restitution in the amount of $61,676.25 jointly and severally with Travis Washington, to be followed by three years supervised release, and a mandatory assessment fee of $100.00; 4. Dontavious Dowdell was sentenced to serve six months incarceration, ordered to pay restitution in the amount of $19, 960.25 jointly and severally with Danielle Mahone, to be followed by three years supervised release, and a mandatory assessment fee of $100.00; 5. Derrick Jones was sentenced to serve six months incarceration, ordered to pay restitution in the amount of $39,980.00, to be followed by three years of supervised release,

GEORGIA COPS PLEAD GUILTY TO HOBBS ACT VIOLATIONS

ichael J. Moore, United States Attorney for the Middle District of Georgia, announced that Alvin Malone and Jeff Sivell, Georgia certified law enforcement officers, working for Talbot County Sheriff’s Office entered a plea of guilty to one count of

violating the Hobbs Act in violation of Title 18 United States Code, Section 1951 before the Honorable Clay Land, United States District Court, Columbus, Georgia. Malone and Sivell admitted to attempted extortion by a public

Table of Contents

and a mandatory assessment fee of $100.00; The defendants submitted fraudulent claims against their supplemental insurance policies with AFLAC to fraudulently obtain funds ranging in various amounts. While AFLAC engages in various types of businesses, its primary function is to provide supplemental insurance (health care benefit program) to policyholders who are ill or injured, or both, and are unable to work. United States Attorney Michael Moore said, “We remain committed to prosecuting cases of health care insurance fraud. By fighting fraud on a local level, U.S. Attorneys can make a difference nationwide.” The case was investigated by Special Agent David Whitlow, Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Verda Colvin. official, also known as the Hobbs Act. They would make traffic stops in Talbot County, Georgia targeting certain automobiles after having received information from a confidential informant that the vehicle would be carrying drugs and drug money. The scheme between the deputies and the confidential informant included the officers taking the cash and confiscating the drugs and then later splitting the money with the confidential informant. The entire traffic stop was audio and video recorded. The Underwriter’s Insider

Malone and Sivell are to be sentenced in February. The defendants face a maximum sentence of twenty years imprisonment, a fine of up to $250,000.00, or both, and up to three years supervised release. United States Attorney Michael Moore said, “The vast majority of the men and women who wear the law enforcement uniform are good, honest, and dedicated public servants. The defendants dishonored the badge they wore as well as their colleagues who serve and protect us every day.

FREE! free insider subscription! sign up yourself or any associate at this link

HERE

www.underwritersinsider.com

We will continue to make sure that public corruption is uncovered and dealt with appropriately.” The case was investigated by agents of the Drug Enforcement Administration, the Federal Bureau of Investigation, and the Georgia Bureau of Investigation. Assistant United States Attorney Mel Hyde is prosecuting the case. Continued from Page 8

DONELON SELECTED During Donelon’s tenure one of the last Insurance Rating Commissions in the nation was abolished eliminating an impediment to companies coming to do business in Louisiana. He also championed successful legislative initiatives that limit named-storm deductibles to one per hurricane season and increased the Louisiana Insurance Guaranty Association coverage to $500,000 per claim (the recently adopted NAIC model provision). For the last five years, Donelon has chaired the NAIC’s Surplus Lines Task Force, a key role for Louisiana’s high risk insurance marketplace. Louisiana is the fifth largest surplus lines marketplace in the United States behind only California, New York, Texas and Florida. Louisiana is also the fifth largest state for consumption of Lloyds of London products. Reasons for this include the state’s high risk activities including offshore oil and gas exploration, large port activity, chemical plant concentrations and high coastal property insurance exposure.

Table of Contents

Continued from Page 33

KIM KOMANDO opportunities. Look at niche job sites such as Elance, Guru and FreelanceSwitch. If you’re a super-speedy typist, have a good ear and write well, you might be cut out for transcription work. Transcribers provide closed captioning for films and TV shows and written transcripts of academic presentations and focus groups. Visit Tigerfish to get started.

Telecommute You don’t have to be your own boss to work from home. You just need to find telecommuting opportunities. Regular job boards often list telecommuting work. Use “telecommuting” as a keyword. Also try Telework Recruiting or FlexJobs, which require small membership fees. The National Telecommuting Institute helps individuals with disabilities find telecommuting opportunities. It offers listings and advice.

Copyright 2013, WestStar Multimedia Entertainment. All rights reserved. Kim Komando hosts the nation’s largest talk radio show about consumer electronics, computers and the Internet. To get the podcast, watch the show or find the station nearest you, visit: http://www.komando.com/listen. To subscribe to Kim’s free email newsletters, sign-up at: http://www.komando.com/ newsletters. 35

Continued From Page 30

SCHWARZKOPH shouldn’t go because if you’re going into a hedgerow and there was an opening in the hedgerow, you don’t go through that opening because that’s where somebody is going to have a trip wire waiting for you. But another one was old night defensive positions that had been set up at night and people had put land mines out to protect themselves and the next day got up and left and left the mines there. Or deliberate mine placement. INSIDER: How could you identify a defensive night position? SCHWARZKOPF: You generally knew when you walked into an area. First of all, we had them designated on the maps as to where we knew they were as best we could. But you couldn’t get them all. Secondly, when you wandered into an area, and all of a sudden, here were a bunch of abandoned fox holes that it had rained and caved in, you pretty well knew that it was a night defensive position but you didn’t know for whom. One of my cardinal rules was, don’t go into former defensive positions. If that’s the case, pull back and find a different route. This incident happened to be in a former defensive position that this company wandered into and a land mine went off. So I followed my standard procedure. I flew down and got out, put the casualties in, and about that time, bang another land mine goes off over here. The guy has a very severely broken upper leg and he is flopping around and kicking around. Panic is breaking out, people are saying, “Oh my God, we’re never going to get out of here; we’re all going to get blown away!” You could hear soldiers crying and saying that. This solider was flopping around and I was very concerned that he had a very badly broken leg and I was concerned that he was going to cut an artery

by his flopping around. So somebody had to go over and calm him down because he was screaming and that wasn’t doing anything good for the morale of these people who were terrified. I looked around and it was very obvious that there wasn’t anybody else who was going to do anything and I remembered the Harry Truman sign: “The buck stops here.” I really didn’t have any choice. It wasn’t a question of, “Oh boy, I’m now going to be a hero! Oh boy, I’m now going to do something that is brave.” Believe, me if there was any way I could have avoided it, I would have! Short of not doing my duty. But I was the battalion commander and I was the guy. INSIDER: How far did you have to go to get from where you were to where the injured man was? S C H WA R Z K O P F : Thirty feet… Seemed like three hundred miles! INSIDER: And you had no idea where it was safe, no mine detection equipment at all? S C H WA R Z K O P F : I’ve got to tell you that I had to walk over. I knew I had to go to this soldier. And therefore, I had to walk over there. The whole company was looking to me. “How is this S.O.B., who got us in here going to get us out of here?” But I knew I had to take care of this soldier. And so I started walking over there and literally my knees were shaking. Never happened since. Never happened before. But I mean my whole psyche was saying, “You crazy S.O.B., what are you doing?” My involuntary reaction, every step I would take, I would put my foot down without putting my weight on it and then as I would shift forward to put my weight on it, I would hold my knee because my knees were shaking so badly. Ah! But, I got to him. INSIDER: How long did it take you to cross that minefield?

SCHWARZKOPF: A hundred years! (laughs) I have no idea. It obviously wasn’t very long. I got to the soldier and I lay down on top of him. I wrestled at West Point, so I knew how to do that. I held him down and one of the techniques you use, is you use their own belt to tie their legs together to stabilize the bad leg. I had done this but I decided I needed to splint him. And so I turned around back to where my artillery liaison officer Capt. Tom Bratton was standing, and right next to him was a little tree with twigs on it. And so I said to him, “Bratton! Take a knife and cut me off a piece of wood from that tree in next to you cause then I can use this to splint this guy’s leg and we can stabilize him a little more.” He took one step and bam! Now this was the spot where I had just left! Bratton was there, I was there and the land mine was there. We were all within a matter of feet from each other. It blew off Bratton’s leg and his arm and there was a huge wound in his head. So at that point, first thing I had the helicopter coming in. So the helicopter came in. I didn’t worry about this soldier anymore because now I had a bigger problem to worry about. But we threw Bratton and the other solider onto the helicopter. INSIDER: But you had to run back again to do this? SCHWARZKOPF: Yeah! Well, I didn’t think about that at the time. We had the helicopter coming in. They knew it was a mine field so they wouldn’t land. They came in hovered about this high off the ground (shows about 3 feet with hand) and we threw Bratton and this other solider in there. The helicopter takes off, now guys are crying, “Oh my God, we are never going to get out of here! We’re all going to die!” I said, “B.S.! You’re not going to die! You’re going to live; we’re going to solve this problem right here and now.” I said, “Just stay where you are. Just freeze!” So I called back to my headquarters and I said, “Get an engineer and minesweeping team out here right away.” Once again, the helicopter hovered; it wouldn’t land. These guys jumped off with their mine-detecting equipment and that sort of thing. And I said, “Okay, fine. I want you to give me some lanes that are mine-free

The Underwriter’s Insider

to over where the majority of the troops are so that they can come out. I want you to mark the mine field.” They said, “Well we don’t have anything to mark it with.” I said, “What the hell do you mean? A mine-sweeper team, don’t you have markers?” They said, “No, we don’t have any mine field markers.” I said, “All right, what in the hell am I going to do?” I said, “I know what I’ll do!” I got on the radio and I called back to my rear and I said, “I want you to go around and gather up every bit of shaving foam that you can possibly come up with.” I’m sure they thought the battalion commander has gone out of his mind. He is out there now in the middle of a combat area and he wants his people to shave? (laughs) And so they said, “What?” And I said, “Don’t argue with me! Just get me the shaving cream out here right now!” And I wasn’t in a negotiating mode at that time. To make a long story short, they came out with their shaving cream and then I said, “Okay, now the next thing we are going to do, from every area where the troops are, we are going to form a lane from there right over here to the helipad. The first thing we are going to do is check the helipad.” And that’s what we did. And what I did, is, piece by piece, I brought the company out, loaded them in the helicopter and had the helicopter fly a hundred yards, two hundred yards, off the defensive position, unload the troops, fly back again, set down. More troops come in, and the lanes that they were coming in on were the lanes where the mine sweeper had gone and every time it came up with a positive reading, we would put a big circle over it with shaving cream and that’s the way we took them off the hill. Took them off in twos and threes and fours. It was no great act of bravery on my part, believe me. I was scared to death. But I was battalion commander. INSIDER: You ran into Captain Bratton in a rehab hospital about a year later when

www.underwritersinsider.com

you were having your spinal surgery. (General Schwarzkopf walks over to his desk and brings back a framed photo of a smiling, middle-aged man sitting on a motorcycle, with only a right arm and a right leg.) SCHWARZKOPF: I ran into him again at Walter Reed. Again, he had lost an arm and a leg, on the same side, which is about as bad as it can possibly be. Plus, he had head damage. He ended up at the head of Maryland Veteran Affairs. INSIDER: That’s an amazing success story. SCHWARZKOPF: Isn’t that something? He had a family and a wife. His wife left him. But he was a first-class character. An indomitable spirit. After I got all the rest of them out of there, I discovered the same land mine that got Bratton, a piece of shrapnel flew over and hit me in the chest and I was bleeding like a stuck pig — a bunch of stuff hit me. They had to evac me. Once I got everybody else out of there, then I went back to the hospital. They had to go in and dig out the shrapnel. But anyhow, Bratton was still there and they had stabilized him at this field hospital, then they take him to an evac hospital and they evacuate him to Japan – the seriously wounded guys. And I was able to find Bratton and I just said, “You S.O.B., don’t you die on me! Bratton I’m telling you you’re not going to die, godammit! You’re going to live!” And I’m sure he was full of morphine at that time and didn’t even know what was happening but I just wanted him to understand as far as I was concerned, he was going to live and he wasn’t going to die. Background: A tragic accident involving an errant artillery round occurred under Gen. Schwarzkopf’s command during his second and last tour of Vietnam. He describes the event in his book, It Doesn’t Take a Hero: On the night of February 19,

1970, C Company had dug in on a jungle hilltop. They’d made a routine request for our artillery to zero in on the trails near their position in case the Vietcong attacked during the night. One of the test rounds detonated directly above them, spraying the men with shrapnel and killing Michael Mullen and another soldier. A subsequent investigation concluded that a lieutenant at the artillery fire direction center, in calculating trajectories, had forgotten to take into account the vegetation on the hilltop. The round had been meant to sail over C Company; instead it had hit a tree and exploded. The incident and Michael Mullen’s parent’s aggressive inquiries into their son’s death resulted in a 1977 book by C.D.B. Bryan, Friendly Fire. INSIDER: Now on that same tour of duty in Vietnam, there was a tragic fratricide (friendly fire) accident where artillery rounds landed on your troops. If I recall, there was a mother who became an antiwar activist as a result of her son dying in this incident. SCHWARZKOPF: That was an artillery accident that happened pretty close to the rear. Have you read “Friendly Fire?” It’s the whole story. INSIDER: And that event happened under your command? SCHWARZKOPF: Oh yeah. What happened was this: Kay Mullen, Michael Mullen’ mother, when she got paid the military death gratuity for her son, then used the money she received to buy a full page ad on the back of a newspaper with crosses on it. The New Yorker magazine picked up on the story and ran it in three installments. INSIDER: And Bryan came and met with you regarding the incident? SCHWARZKOPF: First, Mr. & Mrs. Mullen came to see me when I was in Walter Reed Army Hospital in a body cast. (Schwarzkopf required spinal surgery to repair an old injury aggravated by many parachute drops) Because of this page that had been thrown up in the newspapers, The New Yorker thought there was a story here. So they put C.D.B Bryan on the story and he met with the Mullens first of all, then came and met with me. In the meantime when I was in the hospital in a

See Schwarzkoph Page 38 37

Continued From Page 37

SCHWARZKOPH body cast, they said, “You have a phone call.” I picked up the phone and it was the husband. He said, “We’re here to tell you we are going to take you to Federal District Court and prosecute you for the manslaughter of our son.” I said, “Fine, I’m not the least bit concerned that that is going to happen, not exactly in those words, but I said if you come out here and meet with me, I will be happy to tell you exactly what happened and why it happened.” So they came out to Walter Reed and sat there and grilled me and I answered their questions as best as I possibly could. I didn’t convince them at all. As far as they were concerned, I was at fault and I would always be at fault. But then Bryan called and said he would like to interview me. And I said, “Fine, please do.” And he did. If you read the book, the book starts off kind of accusatory towards Schwarzkopf, but you go through the book and as Bryan does his research, he finds out what truly happened and who really was responsible and why it happened. At the end, he gets into a big argument with the Mullen family because the family now consider Bryan as an apologist for Schwarzkopf. INSIDER: The family’s agenda was really not the truth? They just wanted somebody to pay for their son? SCHWARZKOPF: Well, yeah. And I was the commanding officer so obviously I was the guilty party. It’s interesting, but I gave a talk in Iowa, and Kay Mullen actually appeared with an anti-war group, still convinced that Schwarzkopf was the guilty party. Bryan in the book exonerates me completely. I wasn’t there present at the activity at all that caused it to happen. It was the artillery battalion and the poor kid ended up in the fire direction center and forgot that trees were out there and miscalculated the trajectory of the round and instead of it going out and hitting on the ground, it hit that tree. They were actually calling in fire for a night defensive position. They were out there in the middle of VC country and there

were zeroing in, so to speak, with artillery rounds so that if they got attacked during the night they could protect themselves. The kid in my defensive section hit the top of the tree with the artillery round and it sprayed fragments down below and their son (Michael Mullen) was killed. INSIDER: What brought you back from your second tour? You were relieved to get out Vietnam the second time you were there, weren’t you? SCHWARZKOPF: I had mixed emotions. I was the battalion commander, and I had commanded my battalion as best I could. I went back to the infantry branch where all the reports of the infantry officers came through all of the time and it was pleasing to see that the new brigade commander who replaced Joe Clemons, in his efficiency report that he wrote on my successor, he did it on two other battalion commanders in the brigade, and on both of the first two it said, “(Schwarzkopf) inherited a terrible battalion and did a good job.” In the official report, he said, “(Schwarzkopf) inherited a good battalion and made it better,” which really made me feel like a million bucks. When I left I was satisfied that number one, I certainly hadn’t shirked my duty. It would not have been my first choice to have been in the Batangan Peninsula dealing with land mines and a occasional kill here and there of the enemy. But certainly, not combat on a grand scale with huge results and that sort of thing. But I was confident in the fact that I left behind a hell of a lot better battalion than I had been given; that I had done my mission as best as I could. And that I was probably responsible for a hell of a lot more people being alive than would have been otherwise. I used to make the troops wear steel helmets. Joe Clemons and I both made them wear steel helmets and flak jackets and we’d have these open BS sessions and the troops would complain bitterly. I would say to them, “Look, I would much rather you get on that airplane and fly home. I would much rather you say, ‘Schwarzkopf was the biggest SOB I ever met in my entire life and he made me wear these flak jackets,’ than have to go home in a pine box because you didn’t.” NEXT ISSUE GENERAL H. NORMAN SCHWARZKOPF INTERVIEW – PART II

Continued From Page 7

19 ARRESTED insurance carriers – Geico, Sentry, Direct, Peachtree, Allstate, Mendota, Ocean Harbor, MGA, USAA, State Farm and Farmers insurance. Investigators found that the clinic “treated” approximately 80 patients during this time. More than $228,000 was paid to the clinic from the insurance providers. The figure does not include bodily injury amounts. At this time, 19 people have been arrested for their involvement as accident participants, accident facilitators, clinic billing personnel and clinic managers. Those arrested are the following: • Valerie Marshall — Clinic Owner • Yokayra Ramos — Receptionist/Biller/ Accident Participant • Roscoe Sawyer, Jr. — Recruiter • Edgard Fernandez-Romans — Recruiter • David Arteaga Torres — Recruiter • Kenneth Carrerro — Recruiter •Jon Robinson—Accident Participant • Calvin Grier — Accident Participant • Tara Buck — Accident Participant • Niko Semedo — Accident Participant • Tawaub Zahir — Accident Participant •Samantha Daniel — Accident Participant • Kathy Adams — Accident Participant • Yilan Espinosa — Accident Participant • Connor Certo — Accident Participant • Lester Lopez — Accident Participant • Julio Figueroa — Accident Participant • Craig Graves — Accident Participant •Ernando Valentin — Accident Participant There are six outstanding warrants for others involved in the scheme. Marshall is charged with Schemes to Defraud, False Insurance Claims over $100,000, and Illegal Operation of a Health Care Clinic. She faces up to 35 years in prison. The Underwriter’s Insider