Insurance Assurance Newsletter

November 2010

The Simmonds' Business Insurance Index™ For November, 2010

Here's my read of the current marketplace for upcoming business insurance renewals:

No change from October. No change in the index and no change in my advice.

Go HERE for my comments from past months.

I see no change in the current insurance marketplace and no signs of prices firming up. With no competition for your account, you will see your premiums stay about the same. With competition on the renewal, you will see reductions and improvements in coverage.

At the end of the renewal, negotiations continue to push for coverage enhancements. Ask the underwriter to throw in earthquake coverage or the elimination of an exclusion.

Here are some of the things I am asking for:

It Will Never Happen To Your Business

Every 5 minutes a business in the US has a fire. 300 each day. Some are little fires. Some are devastating fires.

Thousands of businesses are impacted by windstorms, water damage, lightning strikes, floods, and vandalism every year. Let's say 100 each day.

That is one business hit by catastrophe every 3.5 minutes, every day, all year long. That's almost 150,000 businesses every year.

Then there are the lawsuits. The US Department of Justice estimates that there were about 27,000 civil trials in state courts in 2005. US district courts see about 49,000 trials each year. That's 76,000 civil trials in the US. Let's assume that half of them are against a business. We are talking about 38,000 lawsuits.

In all, 188,000 businesses face catastrophe each year. That's more than 500 business catastrophes every single day.

Now, how about that business insurance review?

Scott's Rules of Insurance - Rule 5 - To Get Great Rates You Must Be Attractive To Insurers

Getting good rates, in part, depends on you. Put your best face forward to your insurance company (current and potential). Show them you are a quality risk by having policies and procedures in place to control losses and manage claims.

Ask your agent what issues are worrisome to insurers. Find out what you can do to minimize those concerns.

How I Help My Clients

I fix broken insurance.  Uncertain coverage and painful premiums.  Consulting on, but never selling, insurance.

How can I help you?

--Are you unsure of the coverage you have?

--Are you unsure about your premiums?

--Are your policies coming up for renewal and you want to investigate the marketplace?

--Are you unsure of the abilities and work of your insurance agent?

I can help.  Call or email me now.

Insurance Agents

I occasionally work with insurance agents in the review of commercial accounts.  You provide me with a copy of the current policies.  We talk on the phone about the exposures and issues presented by the insured.  I then compile a list of coverage and risk management considerations.  We discuss that list in a phone conversation.  You then have 3 weeks of unlimited email followup with me on the issues raised to further the value you receive from our work together.

You get:

-A second opinion of the work you have done.

-An unbiased extra set of eyes making coverage suggestions.

-The opinion of a long-time insurance expert with a broad range of experience.

Call or email me to discuss what you need and what you want.

Your comments and suggestions are always welcome.

Please Feel Free To Forward This Note To Your Business Associates

We encourage sharing this newsletter with full attribution (including my web address) are included.

Do-It-Yourself Insurance Review

Concerned that you might not have the right insurance?  Don't want to bring in other agents?  

The $99 Business Insurance Review

We respect your privacy and will never spam you or redistribute your email address.

Copyright 2010, Insurance Consultants of Maine, Inc. All Rights Reserved.