https://completemarkets.com/company/CompleteMarkets/Articles/content-package/IMMS-Library/TabCategory/article-post/164/Windows-Of-Opportunity/
... Chubb, AIG, and most recently, St. Paul are putting their emphasis on profitable target markets. Of course, there are risks. Because niche markets are highly specialized, changes in market conditions, legislation or regulations can erase them quickly. And agents entering new niche markets must spend time learning specialized rules as well as the workings of the industry they are writing. Perhaps most important, there must be genuine need for insurance in the target market. Still, with a little homework, agents can identify potential niche markets ... you don't produce a profit for the underwriter, it's liable to pull the whole book of business, ' Everhart says. A few years ago, I started a program to insure Corvettes. We had a large client base. But then the carrier doubled its sports car rates and practically put me out of business. Also, his lines of business are sensitive to changing legislation. The notary public bonds and used-car dealer bonds are required by the state, ' he explains. If the Legislature changes the law, it could put us ... of those lines of business overnight. Despite the potential problems, Everhart continues to look for niche markets. His most recent product line, personal watercraft protection, is almost five years old-so it's time to develop a new one. It's just a matter of finding the market where I feel most comfortable, ' he says. Happy Campers Look for challenges. Be creative. Show carriers that you can put money in their pockets. Robert Monaghan, AAI, senior account executive with Hibbs-Hallmark Co. in Tyler , says that if an agency ...
https://completemarkets.com/Article/article-post/164/Windows-Of-Opportunity/
...e them quickly. And agents entering new niche markets must spend time learning...crop. That gives us a good loss ratio, and keeps our companies happy, because ...