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... investments (junk bonds, too much real estate) Agent grapevine is giving some ...olvencies will continue to be of major and immediate concern for agents during...

... Dramatic changes in written premiums from one year to the next Surplus growing faster than 10% a year (could be unstable growth) Transfer of loss reserve portfolio (manipulation of the financial statement) Consistently under-reserving on your claims Questionable investments (junk bonds, too much real estate) Agent grapevine is giving some negative signals SECTION III-ITEMS THAT COULD BE INDICATIONS OF SOME FINANCIAL DIFFICULTIES: Assign one (1 ) point for every YES answer on the portion of the checklist. Consistently poor business decisions being made Information coming from branch inconsistent with ... from home office Employee morale down and turnover among underwriters up Letter from company denying rumors (add extra point if you hadn't heard rumors) Change in agency contracts, especially termination or profit-sharing procedures Extensive changes in agency force (many appointments or terminations) Makes erratic changes in underwriting authority, either more or less Slowdown in paying claims Slowdown in processing return premium endorsements and audits Overall deterioration in service Much lower rates or higher commissions than similar companies Enters new lines of business or markets that other companies are avoiding Sudden withdrawal from a territory ... , and they expect to continue downgrades in 1991. Insolvencies will continue to be of major and immediate concern for agents during the next several years. The late Carol Hammes, principal of The Middleton Group, was one of the Independent Agency Systems most widely respected management consultants. She will be sorely missed. Login or Register (for FREE) to gain access to thousands of other great articles. Need more reasons to join? Need insurance for you, your business or your family? Get quality appointments - Save yourself a whole ...

... Dramatic changes in written premiums from one year to the next Surplus growing faster than 10% a year (could be unstable growth) Transfer of loss reserve portfolio (manipulation of the financial statement) Consistently under-reserving on your claims Questionable investments (junk bonds, too much real estate) Agent grapevine is giving some negative signals SECTION III-ITEMS THAT COULD BE INDICATIONS OF SOME FINANCIAL DIFFICULTIES: Assign one (1 ) point for every YES answer on the portion of the checklist. Consistently poor business decisions being made Information coming from branch inconsistent with ... from home office Employee morale down and turnover among underwriters up Letter from company denying rumors (add extra point if you hadn't heard rumors) Change in agency contracts, especially termination or profit-sharing procedures Extensive changes in agency force (many appointments or terminations) Makes erratic changes in underwriting authority, either more or less Slowdown in paying claims Slowdown in processing return premium endorsements and audits Overall deterioration in service Much lower rates or higher commissions than similar companies Enters new lines of business or markets that other companies are avoiding Sudden withdrawal from a territory ... , and they expect to continue downgrades in 1991. Insolvencies will continue to be of major and immediate concern for agents during the next several years. The late Carol Hammes, principal of The Middleton Group, was one of the Independent Agency Systems most widely respected management consultants. She will be sorely missed. Login or Register (for FREE) to gain access to thousands of other great articles. Need more reasons to join? Need insurance for you, your business or your family? Get quality appointments - Save yourself a whole ...