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...ctions. Expense of hiring a public relations firm to mitigate a reputati...ncial institution's employees and to provide them with the necessary tools to analyze, quantify, and manage those exposures.   ...

...ibility. It is also emerging as a public relations issue for agents. Compariso...olvencies will continue to be of major and immediate concern for agents during...

... number of reasons. Before discussing these reasons, let's define CyberSecurity as any product or action that attempts to secure a wired or wireless network. These networks encompass a wide range of communication infrastructures, including wired and wireless internal office networks, external private networks, traditional public networks, the Internet, and the various networks used by local, state, and federal governments. Among the various CyberSecurity products or services, virus protection is the most familiar to computer users. But for most businesses, CyberSecurity can provide a complete spectrum of ... 34 PM by CompleteMarkets Editor , G. Edward Kalbaugh This content has not been rated yet. CYBERSECURITY: OPPORTUNITIES FOR AGENTS by G. Edward Kalbaugh The U.S. Government's recent approval of more than $330 billion for Homeland Defense will fuel unprecedented expenditures in all areas related to security. As one of the most critical areas related to the nation's infrastructure, CyberSecurity will receive a significant portion of these funds. G. Edward Kalbaugh discusses cyber-risk issues and what role insurance agents can play in addressing these risks. &# 160 Federal ... in this defense. Agents who learn more about CyberSecurity and establish relationships with network security firms that offer cyber-risk assessment and mitigation services will profit from additional fees and enhanced customer relationships. G. Edward Kalbaugh is a partner in Allegent Growth Strategies. Allegent is a full-service consulting firm specializing in services to the insurance industry. It is located at 100 Crossways Park Drive /, Ste. 104, Woodbury, NY 11797. The company can be reached by phone (516) 364-7034, fax (516) 364-7036, e-mail [email ...

...er can cost the firm the account. Public relations can slide when a client who suffers... management, automation, clustering, Errors and Omissions, evaluations, mergers and producer compensation. You may E-ma...

...can cost your agency the account. Public relations can slide when a client who suffers...t (707) 935-6565 . e-mail catherine@oakandassociates.com, or visit www.oakandassociates.com.

...nal private networks, traditional public networks, the Internet, and the vario...nally appeared in Rough Notes magazine and is reproduced by permission.

... and deferral of tax by the acquired shareholder. If you plan to use a reorganization, don't plan on being able to amortize the expirations. You can still amortize a covenant not to compete. The sale of the new stock received by the seller' to a public company may be restricted for a period of time under the securities laws. Frequently two or more years must elapse before the seller can cash out the stock he receives on a reorganization. The acquirer suffers dilution of the ownership interest of its shareholders. This is ... get both deductions and capital gains treatment. Sales of expirations and good will get the same treatment as capital gains, and are amortizable over 15 years in many cases. Sales can't be amortized, however, for self created intangibles', or intangibles sold to a related person' or the agent and the acquirer are engaged in business under common control' (IRC Section 197(c )( 2 ), (f )( 9 ) . This means that it will be tricky to use amortization of expirations and good will in ... aware of comparable sales. There can be a combined approach, under which the parties agree to attempt to determine the price themselves, and go to an appraiser if they cannot agree. A seller should sell the sizzle as well as the steak. An insurance specialty consultant can suggest ways to make the agency more saleable. The specialist may know of a buyer who may be interested. Structuring the taxes in a way favorable to the buyer may also enhance the agency's value. Steps to reduce litigation exposure through proper anti piracy agreements ...

... of 17%, produces an agency value of $1 ,021,617. The Multiple of Adjusted Net Earnings Method Revenue Ruling 59-60, Section 5 (a ) indicates that earnings should be given primary consideration when valuing firms that deal in services' for the public. This method does just that. Since agencies are not ordinarily publicly traded, there is no price available from Wall Street that applies. Large brokerage firms do not, in our opinion, represent a true guideline, since the owners are minority-positioned and the price-earnings ... 10% to 30% . For example, if the purpose of the valuation is to set a stock value for a going business whose owners are under no compulsion to sell, and if the business is consistently achieving a reasonable ANEBT, the risk factor would be relatively low-perhaps 10% . On the other hand, if the business is being transferred and is in a distressed condition, the risk factor might be 25% . In our example, let's assume that it's appropriate to combine a 7% risk-free factor with a 10 ... /30/2013 10:44:36 PM by CompleteMarkets Editor , Roy Phillips This content has not been rated yet. WHAT IS AN AGENCY WORTH? by Roy Phillips, CIC, CPIA Check out these four ways of determining an agency's value. Agency management consultants are often asked, What is the value of an independent insurance agency? ' During the 15-plus years that I've been involved in pursuing that elusive, intangible figure, I've discovered four methods that have been developed to determine agency values. But before I review them ...

...ock received by the 'seller' to a public company may be restricted for a perio...t of a decedent, suffering both estate and income tax (with

...s that deal in 'services' for the public. This method does just that. Since agencies are not ordinarily publicly traded, there is no price available...ced a greater pretax multiple of ANEBT-and greater value-than the other approa...