The Texas Connection October 2014

the

TEXAS CONNECTION TEXAS PROFESSIONAL INSURANCE AGENTS DIGITAL JOURNAL OCTOBER 2014

SSSSoooo lllloooonnnngggg BBBBiiiigggg TTTTeeeexxxx………… WWWWeeee’’’’llllllll sssseeeeeeee yyyyoooouuuu nnnneeeexxxxtttt yyyyeeeeaaaarrrr!!!!

In This IssueIn This IssueIn This IssueIn This Issue

• Why Customers LeaveWhy Customers LeaveWhy Customers LeaveWhy Customers Leave

• Retiring Baby Boomers?Retiring Baby Boomers?Retiring Baby Boomers?Retiring Baby Boomers?

• Meet the MemberMeet the MemberMeet the MemberMeet the Member

• Becoming PaperlessBecoming PaperlessBecoming PaperlessBecoming Paperless

• Young Insurance ProfessionalsYoung Insurance ProfessionalsYoung Insurance ProfessionalsYoung Insurance Professionals

• Insuring College StudentsInsuring College StudentsInsuring College StudentsInsuring College Students

PROFESSIONAL INSURANCE

AGENTS

In This IssueIn This IssueIn This IssueIn This Issue

Presidents Corner ……………………………………… Page 3

Meet The Member …….……………………………… Page 5

Re*ring Baby Boomers …....…..……………………. Page 6

Insuring College Students …………………………… Page 8

Young Insurance Professionals ……………………… Page 8

Why Customers Leave ……………………………...... Page 9

Become a Paperless Producer …...…………….……. Page 10

Think About It …………………..……………………… Page 12

TDI Enforcement Ac*ons …….……..……………….. Page 13

Current Events ……………………………...………… Page 14

Our Partners ……..………………..………………….. Page 16

Crossword Madness …….……………………..…….. Page 20

Texas Trading Post ……………………………….…… Page 21

The Last Word …………………………………....…… Page 26

THE TEXAS CONNECTION - TEXAS PROFESSIONAL INSURANCE AGENTS DIGITAL JOURNAL Page 3

Keep your kids & yourselves

SAFE Halloween night…

here’s my �ps:

1. Take the kids to the Mall and

let them go to the stores that

par*cipate.

2. Some grocery stores par*ci-

pate in handing out treats.

3. Go before it gets dark.

If you’ve made the decision to

a=er go out a=er dark, here are a

few safety points:

Remember that kids get too excit-

ed to watch for danger so you

have to be the one on alert!!

Be sure that costumes are de-

signed so that kids can move

around without tripping over

them.

Hold hands if possible and stay on

the sidewalk.

Keep all costumes as light and

bright colored as possible. If a

dark color is chosen be sure to use

light colored tape to ensure that

you and your child are easily seen.

(Con*nued on Page 26)

Tony HarperTony HarperTony HarperTony Harper

AGENTS WANTED!

Aspera Insurance Services, Inc. is seeking

Coastal Texas agencies to market our

Manufactured Home product. Homes will be wriDen through a non admiDed insurer assigned the financial

Strength of A-(Excellent) by A. M. Best Company.

TARGET COUNTIES INCLUDE: Aransas, Calhoun, Cameron, Chambers, Orange, Jackson, Jefferson, Kenedy, Kleberg, Nueces, Refugio, Willacy and Southern Matagorda.

CONTACT: Marke�ng

Aspera Insurance Services, Inc. Phone: 804-289-1318

E: marke�[email protected]

Aspera Insurance Services, Inc. is a licensed Surplus Lines Agency in Texas.


Doug Hill

Hill Insurance Agency

Ingram, Texas

Doug Hill owns and operates his true ‘mom & pop’ in-

surance agency, just a stone’s throw from the Guada-

lupe River in Ingram, Texas. Doug is a mul*-faceted

guy… he knows insurance, but he can tell you about

gold mining in Venezuela, how to snap a chalk-line, or

how to raise prize pigs… and much, much more.

When he’s not in the office, you will find him carrying

on a long standing family tradi*on of passing out can-

dy canes to most everyone he runs into.

His wife Shaleah is probably the finest sausage maker

in the western world. Dinner at the Hill home is a

las*ng memory.

There’s a famous landmark in the Kerrville area, that

you may have seen or heard of… it’s a ¾ scale replica

of ‘Stonehenge’ the ancient druid construc*on just

outside of Oxford. Well, Doug built this model as well

as replicas of Easter Island statues. Before he became

an insurance agent, he was a stone mason… and the

model is truly something to see. Next *me you’re in

Kerrville, there are three things you have to do. See

LiDle Stonehenge, stop by Bernhardt’s and pick up

some dry sausage s*cks, and then stop by Hill Insur-

ance and say hello to your fellow member, Doug. All

three will make you smile!


IS RETIREMENT A REQUIREMENT?

When FDR linked social security with re*rement in the U.S. he adopted the re*rement age used by Germany, 65 years old.

The average length of life in the U.S. at that *me was 63 (When Germany adopted the 65 year old re*rement age, their

average life span was 46). Today our average life span is more than a decade longer than it was in FDR’s *me and is s*ll

going up.

The ques*on before us is, “How will our business lives change due to the extension of produc*ve lives of our insurance

agency owners, most of whom are baby boomers?”

First, we must cover the crass truth. For those of us who come from gene*c stock that tend to die in their six*es and seven-

*es, the ques*on of re*rement is actually easier. If we have done well in our business and wish to spend quality *me with

family and doing other things, re*rement is s*ll a viable op*on. Inter-genera*onal transfer of agencies, mergers and sales

is s*ll an op*on that will be exercised by many agents.

However, we encounter a larger and larger number of agents each year who very reluctantly enter the re*rement pool.

They may have promised children, employees, and others that they would turn their companies over to new owners. Agen-

cy Consul*ng Group, Inc. is called in to value the agency and structure the change of management along with ownership.

But a growing number of agents express reluctance and resistance when the transi*on is about to occur. They have

planned for re*rement but when re*rement faces them, they don’t really want to leave.

It’s Really Not the Money!

If you are an agent of re*rement age and find that you don’t have the assets to support yourself in re*rement – even with

the value of the agency earning you interest in an investment -- then you may not be financially able to re*re.

This is a simple analysis of assets vs. long term living expens-

es and we all should do this exercise. Call us (800-779-2430)

if such an analysis is needed in your Perpetual Plan.

Most agents are aware that Agency Consul*ng Group, Inc. is

a primary valuer of insurance agencies in the U.S. What you

may not realize is that we actually counsel agents away from

agency sales and transi*ons when their financial condi*ons

prohibit their re*rement.

Most independent agents in the U.S. fall into two categories,

those whose agencies provide them basic support for their

families (it’s a job and a working income) and those whose

agencies provide sufficient income to both support their life-

style and sponsor investments for re*rement plans. You

don’t have to be a liberal spender to fall into the basic sup-

port category. A large number of insurance agents earn sub-

stan*ally less than a six figure income during their produc*ve

careers. Although their annual compensa*on may provide

them sufficient income to support a family, few agents in this

category can invest sufficient income in re*rement vehicles

to con*nue their lifestyles past their produc*ve agency ca-

reers. If their agencies, themselves, cannot provide sufficient

value to provide equivalent income streams a=er their re*re-

ment, they may find that re*rement is simply not available to

them.

These agents can s*ll perpetuate, sell or merge their busi-

nesses, but they have to con*nue to work simply to maintain

their lifestyle. On the other hand, many agents have done an

excellent job in their money management and, as a result,

are certain that they can support themselves as long as their

agency’s value provides sufficient addi*onal investment re-

turns in the future. But what happens if you CAN re*re, but

don’t want to?

If you are fi=y or fi=y-five, sixty or sixty-five or even 70 and

s*ll have the energy and stamina to pursue the insurance

business, you should have the op*on to sell and leave the

business, but you should not be forced to leave it.

If we look at the number and quality of the people entering

the insurance business in the last twenty years (our agency

successors) we find that we haven’t enrolled the same quali-

ty or quan*ty of insurance professionals into the insurance

industry than we did in the 1960’s through the 1980’s (the

Baby Boomers).

That is not an accusa*on. That is a reality because those sub-

sequent genera*ons simply had fewer members and those

people had many more op*ons in career development than

we did when we went to college.

How can we enjoy the benefits of our agency’s value but not

leave it?

The answer is a mindset change that will permit senior

agents to sell down their interest in their agencies but s*ll

stay ac*ve in the business. Most buyers (except, in some cas-

es, long term par*cipants in the agencies) desire the old

owner to stay for some period to transi*on the customer and

carrier rela*onships to the new owners. Many new owners

would even welcome the con*nuing par*cipa*on of the old

owners in service and rela*onship maintenance roles to max-

imize reten*on and earnings capacity. However, the keys to

the reten*on of the old owners are the transi*on of decision-

making roles, the level of ac*vity of the old owners and the

compensa*on expecta*ons of the selling owners.

Make no mistake about this -- The main block for having old

owners stay with their agencies a=er a sale is EGO. The old

owner has been in control for decades. If his ego cannot

stand the transi*on of decision-making to a new owner, he

must either con*nue in an ownership role or he must leave

the agency. And this means that those high-ego owners may

never personally realize the value of their agencies. Selling

the agency and s*ll retaining decision-making authority in

the old owner is a recipe for disaster.

If, on the other hand, you can assume an “emeritus” posi*on

and con*nue maintaining rela*onships with your clients

while the new owner makes the decisions and operates the

agency then you may have an on-going role in the agency

that is both produc*ve and rewarding. Iden*fy a specific

book of business that needs your par*cipa*on and the value

of that role to the agency. The agency’s new owner will prob-

ably enjoy your ac*ve par*cipa*on in reten*on (and in

growth) of the agency’s book of business. Iden*fy the appro-

priate value to the role and don’t expect a compensa*on lev-

el (and perks) equivalent to that earned while you were an

owner. Your value should be equivalent to what you would

pay to hire an experienced person to fulfill the role assigned

to the selling owner—no more, no less.

(con*nued on page 19)



YIPs Names New President

With many years experience running a multi-store operation, David is equipped to offer young people interested in our business a unique perspective of the agency business and help YIPs achieve their objectives during the coming year.

The YIP’s incentive is to introduce young peo-ple to our industry with access to successful professionals to help them consider a career in the insurance business. In addition, YIPs will help smaller agencies achieve success by offering whatever practical help they need.

Their first project, the “Meaningful Education Series” will offer both continuing education and sessions with practical training for the day-to-day operation of a successful agency in today’s environment.

Covering a College

Student’s Belongings

If you are sending your child off to college this fall, you probably realize that your life is about to change. You might not realize that your insurance needs change as well. Here’s what you need to know about college stu-dents and insurance.

Take a peek inside a typical college student’s

room: you’ll probably find a laptop, a smart

phone, a television, a bike, clothing, jewelry and

furniture. Altogether, most students bring thou-

sands of dollars worth of property to school.

If your student is living on campus, her property

is probably covered by your home owners insur-

ance policy. However, most policies do not cover

the property of students living off campus. In ei-

ther case, you will want to make sure your child’s

valuables are insured.

Student property insurance

College students can buy insurance designed spe-

cifically to protect their personal property. This

insurance has several aDrac*ve features:

Low deduc�bles: While homeowners de-

duc*bles generally range from $500-

$2,000, student policy deduc*bles can be


David Gorman, owner of Dallas based agency AmericoDirect Insurance has been elected to serve as President of The Young Insurance Professionals initiative of the Texas PIA. He brings with him the energy and commitment that won him

the “David Almany - Volunteer of the Year Award” in 2014.


Ad Size Monthly Pre-Pay 6 Issues

Full Page $200.00 $1,000.00

Half Page $150.00 $750.00

Third Page $100.00 $500.00

Quarter Page $50.00 $250.00

Check out the rates for the most cost effec�ve method of keeping your

message in front of your customers… professional insurance agents.

Ques�ons? Contact Joe Tipton at [email protected] or (972) 862-3333.

WHY CUSTOMERS LEAVE

1% Die

3% Move Away

5% Buy from Friends

9% Prefer our Compe�tor

14% Judge all like business

by one bad experience

68% Leave because of ONE employee’s in difference, rudeness or lack of service.

Congratula�ons to Tony Marquez,

the winner of the Kindle Fire HD

tablet door prize at the DFW EZ CE

& BBQ on October 1st.

What To Look For In A Tablet

and away from textbooks.

A tablet computer is designed primarily as a consump*on device to

read and consume informa*on. Currently, it is not well-suited to

write large amounts of text. For wri*ng, I con*nue to use a laptop

with a standard keyboard. If you plan to subs*tute a tablet for a

notebook computer you likely will be disappointed, since it is not

easy to enter long streams of text unless you have an external key-

board.

Even though keyboards are available, most people don’t use them

frequently. It certainly is easier than typing on a smartphone, but, in

my opinion, anything beyond a sentence or two can be cumber-

some and inefficient. For extended wri*ng, I think most people con-

*nue to use their notebook.

CHOOSE AN IPAD

Last month, Apple announced the availability of “The new iPad,” the

latest third-genera*on iPad. Several improvements in this version

include a new high-resolu*on screen called Re*na, a faster pro-

cessing chip called A5X, an updated camera and the availability of

the faster 4G LTE cellular Internet network. At the same *me, Apple

dropped the price of the iPad 2 by $100.

There is no ques*on that for the foreseeable future the iPad will

dominate the tablet market. Hopefully, Android tablets will provide


By Steve Anderson, CIC

Tablet devices like the Apple iPad and Motorola Xoom change how

insurance producers interact with client and prospect informa*on;

present insurance coverage proposals; and consume and share in-

forma*on drama*cally. This trend will con*nue to accelerate and it

is likely that many producers will see tablet devices as a “must-

have” sales tool.

My first tablet device was a Motorola Xoom, purchased as soon as it

became available. I began to see an increasing number of insurance

agency personnel who brought tablets (mostly Apple iPads) to

presenta*ons. And, my personal experience with the Motorola

Xoom showed the tablet could be a great device for consuming in-

forma*on. I le= my laptop at the office more and began to bring my

tablet home with me.

One key to the success of tablets is the form factor and the ability to

consume electronic content easily and have rapid access to key in-

forma*on when you need it. The latest iPad is about the size and

weight of a small magazine, yet it can hold hundreds of thousands

of books. Unlike a bulky notebook computer, which typically weighs

three-to-five *mes as much, it is easy to carry with you.

Many different types of businesses u*lize the iPad effec*vely. Yale

Medical School has its en*re curriculum available on the iPad.

Many, if not most, airlines are in the process of conver*ng their 40

pounds of paper flight manuals carried by each pilot to iPad equiva-

lents. There is no ques*on that many schools will switch to tablets

and away from textbooks.


Texas PIA Offers Members Satisfying E&O Solutions

“Fifteen minutes could save you 15%.... Everyone knows that1 but did you know that not all E&O policies are the same?

E&O is like other types of insurance1 you buy it hoping you’ll never need it1 but if you do1 E&O can be the difference in whether you stay in business or not.

How about it? Do you know what your poli-cy covers1. And more importantly, what it doesn’t?

Texas PIA offers members, quality E&O mar-kets and coverage. And members say they have saved as much as 40% when they switch to exclusive PIA programs.

Call today and get an analysis of your cover-age and a competitive quote from multiple markets.

Call Texas Insurance Professional Services:

Ray Reyes or Bob Dixon

(214) 618-2365 (832) 375-0787

[email protected] [email protected]

Think about it:

A father calls back to his son’s bedroom:

Father: “Jimmy did you say your prayers?”

Jimmy: “I’m saying them now.”

Father: “I can’t hear you…”

Jimmy: “I’m not talking to you.”


Assertiveness Training

A mild-mannered man was

tired of being bossed around

by his wife, so he went to a psy-

chiatrist. The psychiatrist said he

needed to build his self-esteem,

and so gave him a book on as-

sertiveness, which he read on

the way home. He had finished

the book by the time he

reached his house.

The man stormed into the

house and walked up to his

wife. Pointing a finger in her

face, he said, "From now on, I

want you to know that “I” am

the man of this house, and my

word is law! I want you to pre-

pare me a gourmet meal to-

night, and when I'm finished

eating my meal, I expect a

sumptuous dessert afterward.

Then, after dinner, you're going

to draw me my bath so I can

relax. And when I'm finished

with my bath, guess who's go-

ing to dress me and comb my

"The funeral director," said his

wife.

hair?"

TDIACTIONS

Recent TDI Disciplinary Ac�ons:

Byers, William Marlin of El Paso

Order Number: 3325

Date of Order: 6/5/2014

Ac�on Taken: Must cease and desist from performing acts of an insurance agent

and engaging in acts that cons*tute business of insurance

Viola�on: Unauthorized insurance

Comprehensive Behavioral Care, Inc. of Tampa, FL

Order Number: 3348


Ac�on Taken: (SOAH Docket No. 454-14-3633.C) Third party administrator cer*fi-

cate of authority and u*liza*on review agent cer*ficate of registra*on revoked

Viola�on: Failed to *mely adjudicate claims and report a change of ownership and

control

Cypress Texas Lloyds of Jacksonville, FL

Order Number: 3363


Ac�on Taken: Fined $75,000

Viola�on: Failed to conduct annual examina*on of Managing General Agent; Con-

ducted business with unlicensed MGA

Gallemore, Larry W. of Azle

Order Number: 3366


Ac�on Taken: SOAH Docket No. 454-14-3460.C) General lines life, accident, and

health license; general lines property and casualty license; and adjuster license

revoked

Viola�on: Incarcera*on for felony convic*on

Garcia, Adrianna M. of Pflugerville

Order Number: 3324


Ac�on Taken: Fined $2,000

Viola�on: Engaged in fraudulent or dishonest acts or prac*ces

Hart, Wesley of San Antonio

Order Number: 3347


Ac�on Taken: (SOAH Docket No. 454-14-3081.C) Fined $5,000; General lines prop-

erty and casualty license revoked

Viola�on: Engaged in fraudulent or dishonest acts or prac*ces

Penta, Jeffrey Douglas of Waltham, MA

Order Number: 3335


Ac�on Taken: (SOAH Docket No. 454-14-3081.C) Nonresident general lines proper-

ty and casualty license revoked

Viola�on: Engaged in fraudulent or dishonest acts or prac*ces; Failed to *mely

report order of another state regulator

Rodriguez, Guadalupe of Harlingen

Order Number: 3361


Ac�on Taken: (SOAH Docket No. 454-14-3635.C) Fined $5,000; General lines life,

accident, and health license and general lines property and casualty license revoked

Viola�on: Misappropriated or converted money belonging to an insurer or insured

ContactUs

Give us a call for more infor-

mation about member services

and products.

Texas PIA and Young

Insurance Professionals

3632 Frankford Rd 200B

Dallas, Texas 75287

(972) 862.3333

[email protected]

www.piatx.org

“Assuming the customer

is always right can lead

you straight to E&O ex-

posure� and lose you a

company....”

- The Insurance Sage


: https://wwwapps.tdi.state.tx.us/inter/asproot/commish/da/clips2014.asp


DFW EZ CE & BBQ The meeting in early October was a big success!

Extremely informative as always! Thanks Keith Moon!

WE APPRECIATE

OUR PARTNERS


Aggressive Insurance

21st Century Managing General Agency

Affirmative Insurance

Alpha Insurance

American Southwest Insurance Managers

Ashley General Agency

Berwick Insurance Group

Celestite Group

Columbia Lloyds Insurance Company

Integra Premium Finance

Direct General

Dovetail Insurance

Empower Insurance Group

FloodSmart

Frank Crum

Great American Insurance

Hallmark Personal Lines

Hagerty Classic Insurance

Imperial Fire and Casualty

Imperial PFS

Insurance by Design

iMGA

Louis A. Williams & Associates, Inc.

Lane and Associates

Mendota / American Bankers Insurance

Mercury Insurance

Midlands Management

National Lloyds

Nations Safe Drivers

Personable Insurance General Agency

Premium Funding Associates, Inc.

Progressive

Ramsgate Managing Insurance

Safeway Insurance

Select Insurance Markets Inc.

Superior Access

Southeast Surplus

US E&O Brokers

United Auto Insurance Group

Varsity Insurance Group

Western General Insurance Company


(con*nued from page 8)

as low as $25. If your student’s $1,000

computer is stolen, he could receive $975

to replace it.

First dollar payment: Even if your stu-

dent’s possessions are covered by your

homeowners policy, the student policy

pays the claim. Your own claims history is

not blemished by your child’s loss.

Worldwide coverage: This is important for

students who plan to study or travel over

seas.

Student property policies have limita*ons. Unlike

most homeowners policies, they do not cover

lost items — only stolen property, confirmed

with a police report. Addi*onally, the policies do

not have liability protec*on, which is standard in

homeowners policies. This coverage costs about

$125 per year for $5,000 in coverage with a $25

deduc*ble.

Renters insurance

Renters insurance is worth considering if your

child is living off campus. It covers personal prop-

erty that is lost or stolen and also provides liabil-

ity protec*on if someone is injured while in your

student’s residence. According to the Na*onal

Associa*on of Insurance Commissioners, policies

generally cost between $15 and $30 per month,

depending on the loca*on and size of the rental

unit and the value of the possessions insured.

As with homeowners insurance, you pay a larger

premium for a lower deduc*ble. Some*mes,

roommates can buy one policy that covers every-

one in the rental property.

You need to know whether you are buying

“actual cash value” or “replacement cost” cover-

age. With cash value coverage, the insurer will

seDle a claim for a lost laptop for a depreciated

amount. With replacement cost coverage, your

seDlement pays to actually replace the computer.

You pay only the deduc*ble. Replacement cost

coverage costs more, but will provide a higher

seDlement for property claims.

Please note that some policies have separate,

lower limits for valuable items such as jewelry,

an*ques and electronics. If your child’s renters

policy doesn’t provide adequate coverage for his

or her electronics, you can buy addi*onal cover-

age by “scheduling,” or itemizing, this property

separately.

Auto insurance

If your student is taking a car to school, call us to

discuss the best way to handle your auto insur-

ance. Auto rates may be significantly different in

the city or state where the school is. We can run

the numbers and let you know whether it makes

sense to keep the car on your policy or buy a new

policy.

Iden�ty theR

Iden*ty the= costs vic*ms more than $5 billion

each year. College students are especially vulner-

able because they are more open to requests for

personal informa*on. (Think Facebook.) Your

homeowners policy may already cover you and

your family for the costs of reclaiming your iden-

*ty. Give us a call and we’ll confirm your cover-

age or give you informa*on about adding it.

Protec�ng your property

The Insurance Informa*on Ins*tute recommends



Be Wary of the R.I.P.

Many agency principals feel that they have “paid their dues” and have earned more *me off, addi*onal perks, and leeway in

their business dealings. While they are business owners, they are right. A=er they sell their businesses, they are described as

R. I. P., Re*red In Place. In the armed services we described short-*mers who no longer adhered to the rigid rules of behavior

as R.O.A.D., Re*re on Ac*ve Duty.

Neither the armed forces, nor the independent businesses in the U.S. can afford par*cipants who are R.I.P. or R.O.A.D. If your

desire to remain in the business stems from the desire to remain ac*ve, to con*nue to serve your clients and to support the

next genera*on of agency owners, it is commendable and should be pursued. Financial issues should be considered because

value received is equivalent to value paid. But if you seek a con*nua*on of your compensa*on (or its equivalent) without your

ac*ve commitment of *me and effort to the company, please reconsider your posi*on.

No, Re*rement is not a Requirement. It remains an op*on for agents who are *red of the “grind” or can no longer abide with

the clients, the carriers, the employees or the vagaries of the industry. If they are s*ll energe*c enough to be ac*ve in the

community, they should sell, re*re and seek other avenues for their con*nued ac*vity and mental well-being. A new career

and community service are examples of fulfilling direc*ons that take agents out of the insurance industry but doesn’t put

them in a rocking chair.

If you feel that you’ve just “hit your stride” and are finally at the point that you no longer worry about the next sale, you may

be beDer served (and live longer) by remaining ac*ve in the insurance agency – as long as you don’t get in the way of the new

owner’s direc*on for the agency.

If you can neither afford to re*re or have no poten*al successors, you MUST con*nue working through your later years, but

you don’t have to concentrate on growth. Many agents have taken the decade a=er they should have re*red to reduce ex-

penses and *me in the agency and wean the agency down, enjoying greater returns during those years than when they were

forced to fund personnel, systems and business growth. It can easily take ten to fi=een years to wear an agency down to a

pure service level for the exis*ng client base. This may be considered for agents in circumstances in which the sale of their

agencies would not return sufficient funds to sponsor their lifestyles for their expected life*me.

Texas PIA Names New Executive DirectorTexas PIA Names New Executive DirectorTexas PIA Names New Executive DirectorTexas PIA Names New Executive Director October 1, 2014 – The Texas PIA has appointed Joe

Tipton, of Dallas, Texas as Executive Director. With more

than three decades of experience in the Texas insurance

market, Joe offers an in-depth understanding of all facets

of our industry. For the past year, he served as Member-

ship Director, increasing membership 42%.

Earlier this year, PIA National awarded Texas PIA the “2014 Growth Achievement Award” for outstanding growth in members.


18. A specialist in the mathema*cs of

insurance.

22. Companies with no capital stock

and owned by policyholders.

25. The current president of the Texas

PIA.

26. A representa*ve of the insurer

who seeks to determine the extent

of the Insurer’s liability for loss

when a claim is submiDed.

27. Amount of loss that the insured

pays before the insurance pays.

28. Fee paid to an agent or insurance

salesperson as a percentage of the

policy premium.

29. Insurance salesperson that search-

es the market in the interest of the

client, not the insurance compa-

nies.

31. The automa*c re-establishment of

in-force status effected by the

payment of another premium.

32. The cause of a possible loss.

1. R. Templeton using ailerons.

2. Agreement by insurer to make peri-

odic payments that con*nue during

the survival of the party for a speci-

fied period.

5. Condi*ons not covered by the gen-

eral insurance contract.

6. Broadly, any legally enforceable

obliga*on.

8. The price of insurance for a specified

risk for a specified period of *me.

11. Life insurance which might be kept in

force for a person’s en*re life and

which pays a benefit upon the per-

sons death.

13. A pre-determined flat fee an individ-

ual pays for health care services, in

addi*on to the insurance coverage.

15. The ra*o of incurred losses and loss

adjustment expenses to the net

premiums earned.

17. What Joe Tipton drove before 1940?

1. The wriDen contract effec*ng

insurance, or cer*ficate thereof, by

whatever name called, and includ-

ing all clause, riders, endorse-

ments, and papers aDached there-

to and made a part thereof.

3. A loss of significant size that it can

be said that there is no value le=.

4. Individual who sells and services

insurance policies.

5. A leading Managing General Agen-

cy headquartered in Ft. Worth,

Texas.

7. Restora*on to the vic*m of a loss

by payment, repair or replace-

ment.

9. The right of an insurer who has

taken over another’s loss also to

take over the other person’s right

to pursue remedies against a third

party.

10. Auto insurance for average drivers

with rela*vely few accidents during

life*me.

12. Tom Sorrels alter ego

14. Circumstance increasing likelihood

or probable severity of loss.

16. The part of the premium applicable

to the unexpired part of the policy

period.

19. In effect, insurance that other in-

surance companies buy for their

own protec*on.

20. The process of selec*ng risks for

insurance and classifying them ac-

cording to their degrees of insure-

ability so that the appropriate

rates can be assigned.

21. The scope of protec*on provided

under an insurance policy.

23. The amount represen*ng the actual

or poten*al liabili*es kept by an

insurer to cover debts to policy

holders.

24. Purchasing bond investments that

mature at different *me intervals.

30. A demand made by an insured, or

by the insured beneficiary, for

payment of the benefits as provide

end by the policy.

1 2 3

4

5 6 7

8

10

9

12

11

13

16

14

17 18

15

20

21

22

23

26

25

28

29

31

32

27

24

30

19


ACROSS DOWN

You might feel like

you are playing a

game. But it’s more

likely you’ll feel like

you’re taking your

insurance license ex-

am.

Either way, be the

first person to either

fax or email your

completed puzzle

with all of the correct

answers and you will

win a fabulous prize!

Feel free to call Joe if

you’re stuck.

972.965.2025

Email to:

[email protected] or fax

to 972. 307.7888

Looking to sell? Looking to buy or trade? Just want to haggle? More fun than

EBay, safer than Craigslist. It’s Free, Give it a try! Email your ad

to [email protected]


Mark your calendars for the November 12th CE Meeting!

“Agency Management” Series

2 hours of FREE CE, door prizes ... plus great Mexican food!

6:00 to 9:00 p.m.

415 W. 12th Street

Dallas, TX 75208

(214) 941-4304

Texas Insurance Professional Services

Ray Reyes or Bob Dixon

(214) 618-2365 (832) 375-0787


This new feature of The Texas Connec*on is a column dedicated to

Marke*ng Reps. You have the opportunity to pass on compliments

and cri*cisms, helpful hints and pet peeves… We know there are

things that Agents might do beDer… and this will give you a larger

plaZorm to spread your message. The objec*ve is communica*on

for beDer company/agency rela*ons. It can be anonymous… or we

can publish your contact info… your call… Try it! It will be construc-

*ve… it might even be fun!


some compe**on in the future, but for now the iPad rules. If you

haven’t purchased one, here are some sugges*ons for which model

to buy.

Wireless Internet. One key to make the iPad a great tool is the

speed of your connec*on, as many of the useful apps may be slow

for some people to use at typical 3G speeds. You will have the op-

*on of Wi-Fi only or Wi-Fi and Cellular 3G (iPad 2) or 4G on the new

iPad. I suggest you consider not purchasing the cellular model. It will

cost $100 more and you also will need to pay a monthly access fees

to Verizon, AT&T or Sprint for a wireless Internet connec*on that

will work only on the tablet. I purchased the Wi-Fi only version.

I also purchased a MiFi 4G wireless data card to allow me to connect

up to five devices through its Wi-Fi hotspot capability. My cost is

$50 per month, the same price as the iPad-only wireless data plan.

This device provides the flexibility of connec*ng other devices like

my iPhone and laptop to the same wireless connec*on. By the way,

the 4G wireless network is significantly faster than the current 3G

network.

A poten*al downside of not purchasing the 3G op*on is the lack of

GPS. Several naviga*on applica*ons use the GPS signal contained in

the iPad to allow you to have turn-by-turn direc*ons. These applica-

*ons will not work on a Wi-Fi only model. For me this was a reason-

able trade-off because my iPhone is my GPS naviga*on tool.

Storage space. The op*ons for the amount of storage you are able

to put on the device is 16 GB, 32 GB and 64 GB. Each step up adds

$100 to the total cost of the tablet. How much space you need will

depend on what kind of informa*on you plan to put on the device.

Text and photos typically take up a smaller amount of storage

space. Music and videos eat up space rapidly. If you’re using the

tablet primarily as a sales tool then you may be able to get by with

the 16 GB model. If you can afford it, the 32 GB model would likely

meet your needs.

While the iPad device is nice, it really is the applica*ons that you

can download that make it effec*ve sales tool. There are more than

400,000 different applica*ons in the iTunes App store that you can

install. The applica*ons that will work best for you o=en are based

on personal preference. Following are some apps that I think should

be installed on your device to help you sell insurance.

I have scanned thousands of ar*cles and downloaded different ap-

plica*ons, and these are some of my favorites. This is not meant to

be an exhaus*ve list, since each independent agency has its own

interests or specific needs, but this is a good place to start.

Evernote. This service allows you to store all kinds of random in-

forma*on on different plaZorms. Evernote is intended for all the

random (unstructured) data in your life. And, “data” means

“informa*on,” not necessarily just “words.” For example, you can

store whole websites; a photo of a prospect building; an audio re-

cording of your ini*al interview; as well as handwriDen notes.

Evernote allows you to quickly store and retrieve informa*on and

includes full-text searching (meaning it is fully indexed).

Notetaking and PDF annota�on. Several popular notetaking apps

include: Penul*mate, Ghostwriter Notes, iAnnotate and GoodNotes.

In addi*on to taking notes Ghostwriter Notes allows you to anno-

tate PDF files. This allows you to write on a PDF document (including

signatures) and have the notes become part of the document.

DropBox. Another free app that allows you to transfer and share

files between your computers and your iPad easily. Two gigabytes of

storage is available for free, which is more than enough for most

users, but if you need more you always can purchase addi*onal

space.

Google Maps. Google Maps is an amazing tool that doesn’t cost

anything and is a great way to navigate to a loca*on while not only

driving, but walking.

Instapaper. Instapaper allows you to maximize the use of your

iPad as a reading tool. You can use this to transfer ar*cles you find

on your computer to your iPad easily. You install the web version on

your desktop or notebook by dragging the icon to your toolbar.

When you find an ar*cle you want to read later, you click the icon in

your toolbar and like magic the ar*cle appears on your iPad ready to

read with all the ads stripped out, which makes it easy to read.

AppStart for iPad. For those who are just learning how to use the

iPad, AppStart is one of the best apps. It is a tutorial inside of a

guide inside of an ... iPad! It has a great user interface that simplifies

the process of learning about Apple’s iPad.

These are a few of the applica*ons I suggest you explore to see how

they might work for you.

Anderson is a na�onally recognized expert on agency-company

technology. A prolific writer, his knack is transla�ng between

“geek speak” and the language of agency managers. Anderson’s

ability to fine-tune his ideas for the real world has made him one

of the industry’s top technology consultants and speakers. For

more informa�on, visit www.steveanderson.com.

—Reprinted with permission from PIA Management Services Inc.—



several things students can do to help recover lost items and lower the odds of a the=.

♦ Leave valuables at home. Do not take unnecessary items such as expensive jewelry.

♦ Create a dorm inventory. See www.knowyourstuff.org for a free online inventory program sponsored by

the Insurance Informa*on Ins*tute.

♦ Engrave electronics with the student’s name.

♦ Lock the door. Insist that roommates also lock the door to a dorm room or rental unit.

♦ Use a laptop security cable.

♦ Beware of scams. Encourage your child to talk to you before buying anything that requires advance pur-

chase or providing a Social Security number.

Whatever major changes occur in your family, it makes sense to see if your insurance matches your lifestyle.

LOOKING FOR EXPERIENCED CSR

COMMERCIAL LINES CSR

Temple/Belton area. License required.

Excellent salary & benefits.

Send Resume to: [email protected]

North Houston Agency needs personal

lines CSR. Flexible hours... pay scale

based on experience.


LICENSED SOLICITOR OPENING

AGENCY FOR SALE

Dallas area, 2 years old, high

traffic store.

Send inquiries to:

[email protected]

Agency in South Dallas increasing mar-

ke*ng staff. Good compensa*on and

working condi*ons.





Steer your liDle ones toward

costumes that don’t have extras

like swords, guns or knives that

they can fall on or accidently hit

someone with. If there’s just no

talking them out of them be

sure that they’re short and so=.

Comfy shoes are the rule – no

one wants to contend with a

blister because of new or ill-

fi[ng shoes.

If going house-to-house stay

within a couple of blocks of

your own house.

Plan to eat all candy a=er you

arrive safely back home. That

way you can check to be sure

that each piece is individually

wrapped and has not been tam-

pered with. (NO one wants

tears to interrupt what children

have been looking forward to.

One solu*on to ea*ng the can-

dy that’s collected could be to

agree to have a piece at your

own house before you start out

– it will make it easier to save

the rest.)

Being a promulgated policy

form, you’ll notice if you look

closely enough, Subsection C of

Article 8 where it clearly denotes

the terms of permissive use.

Insurance can be complex!

Never hesitate to ask us. We

have collectively hundreds of

years of insurance experience

between our members.

(972) 862-3333

Last word the

As unscien�fic as this observa�on may be… It appears from

member email addresses in our database that many of you

members do not have an agency web page. If you’re wri�ng

all the business you want, then no reason to read on... If

you’d like to see your business increase by up to 18% or

more... then consider this:

Texas PIA has made arrangements for you to get a FREE

website design (a $350 value) and help your agency move

into a new age of marke�ng. This is not a joke... it’s not a

sales gimmick... And it is available only to Texas PIA mem-

bers.

If you’d like to know more, contact me:

Email: [email protected] or call 972.862.3333

Documents

The Texas Connection October 2014