https://completemarkets.com/Article/article-post/2135/E-O-EXPOSURES-IN-INSURING-YOUR-NEIGHBORHOOD-TAVERN/
...res, it might be one of your more stable accounts. Curtis Pearsall, CPCU, A...
https://completemarkets.com/Article/article-post/1635/MANAGING-RISK-A-GUIDE-FOR-YOUR-BUSINESS-CLIENT-PART-4-OF-4/
... is the stability of the insurer. Stable and unstable companies exist in each category. The...
https://completemarkets.com/Article/article-post/936/ARE-MULTI-YEAR-POLICIES-REALLY-A-GOOD-CHOICE/
...or a long time. Rates may be adjustable. Even if a policy is non-cancelable b...vide them. Even organizations with a stable risk profile can be affected by su...
https://completemarkets.com/Article/article-post/954/AGENCY-COMPANY-RELATIONS-COMPANY-CONTRACTS/
...hat: Is financially stable Has a history of providing a stable market for selected lines of business...
https://completemarkets.com/Article/article-post/240/Developing-A-Marketing-Plan-In-A-Distressed-Agency/
...es at the heart of planning for a stable, solvent agency, able to attract new ...
https://completemarkets.com/Article/article-post/2152/WHAT-IS-AN-AGENCY-WORTH/
... central Indiana are historically stable, compared with markets in South Centr...
https://completemarkets.com/company/CompleteMarkets/Articles/content-package/IMMS-Library/TabCategory/article-post/1744/AGENCY-ACQUISITIONS-LET-THE-BUYER-BE-SMART/
... and who will own the vested portion of the life renewals? Often life insurance is not included in the sale of property-casualty books of business so it is important to remove historical income from this source before projecting cash flows if that will be the case. How much of the income was derived from fees or from association programs? Will these relationships be purchased' along with the insurance expirations? How stable are they? Over the five year period under review, has profit-sharing income averaged less than 8% of the prior year's property-casualty commissions? Why? This could be an indication of poor agency underwriting or insufficient volume with major carriers. If contingent income was a substantial contributor to agency income in the past (over 12% of total revenues), what is the prognosis for the future? ... Pay particular attention to travel, entertainment, dues, promotion, owner's compensation, and employee areas of ownership extras' or perks. It is important to review the agency balance sheet even if the transaction will not include the purchase or merger of corporate stock since the balance sheet can provide indications about how well the agency was run in the past. Compute the current ratio (current assets divided by current liabilities) . In an agency with proper liquidity, this ratio should be slightly more than 1:1 . Use the receivable ratio (accounts receivable divided by accounts payable including pre-billed items) to help assess the collection practices. If this ratio is more than 55%, the buyer of the book of business or the agency will need to tighten up on collections and should anticipate the cost of ...
https://completemarkets.com/company/CompleteMarkets/Articles/content-package/IMMS-Library/TabCategory/article-post/954/AGENCY-COMPANY-RELATIONS-COMPANY-CONTRACTS/
... " that the Independent Agency System offers. Companies that continue to treat agencies with thinly veiled contempt or try to impose contracts and guidelines will decline unilaterally. The increasingly professional and business-oriented agency principals will see to this! As an agency, you'll probably never find a company partner that is perfect. But some carriers will be better for you than others. Look for a company that: Is financially stable Has a history of providing a stable market for selected lines of business Provides innovative and creative marketing, underwriting, and pricing Treats each agency individually Judges each risk on its own merit Has decision-makers who are accessible and receptive Appoints only professional agencies Has efficient and accurate policy processing and claims service Makes key underwriting decisions at the local level Supports SEMCI Pays competitive commissions Has profit-sharing calculations geared to your type ... have to pay account balances? This can be a major issue since some companies are lowering the time to 30 days from the traditional 45 days and are requiring payment even though they might not have been able to get the policy correctly issued yet (hard to believe isn't it?) . Do you have to pay their account or can you use your own account current? What is the agency's liability for audit premiums? Do you have at least 45 days (hopefully 60) to turn the responsibility back to the company? If you have been offered a preferred contract, what are you getting that is of value to your agency? There are almost always substantial volume commitments that must be met, sometimes in Life insurance as well as Property/Casualty. Will the preferred underwriting pricing/ ...
https://completemarkets.com/Article/article-post/1744/AGENCY-ACQUISITIONS-LET-THE-BUYER-BE-SMART/
...th the insurance expirations? How stable are they? Over the five year pe...
https://completemarkets.com/Article/article-post/87/E-O-Security-In-The-24-7-Agency/
...anagement function to ensure that stable, consistent, and qualified help remai...