The Connecticut Independent Agent

September 2012

The Connecticut Independent Agent

This Issue’s Features

November 8, 2012 Mid-Year Convention Program 03 Month In Review 04 IIAC Agent Alerts Insurance Department Bulletins Introducing a New Member Benefit - WAHVE 06 IIAC Young Agents Golf Tournament 09 RLI Stand Alone Personal Umbrella - “20 Most Frequently Asked Questions” 13 Health Care Reform Legislative Brief - “MLR Rebates - Compliance Steps for ERISA Plan Sponsors” 15 IIAC Member Benefit 19 Swiss Re 19

In Every Issue September and October Continuing Education Courses 17 Events 20 Big “I” Advantage Programs 21 About Us 26

Associate Member Index Associate Members - Insurance Brokers & Services 22

Associate Members - Insurance Companies 24

“The Connecticut Independent Agent

is the official publication of the Independent Insurance Agents of Connecticut

30 Jordan Lane Wethersfield, CT 06109 Phone: (860) 563-1950 Fax: (860) 257-9981

www.iiact.org

Warren C. Ruppar President

Tracy Hearn Office Manager / Event Planner

Ed Meaney, CPCU Education Director

Laura Szatkowski E&O Program Administrator

Rosemary Mullaly

Lawyers’ Liability Program RLI

This publication is intended to provide accurate and authoritative information on the subject matter covered. It is dis-tributed with the understanding that nei-ther IIAC, nor any contributing author, publisher or contributor is rendering le-gal, accounting or any other professional service and assume no liability whatso-ever in connection with its use. Further, the electronic links to our associate mem-bership found in this publication are pro-vided as a courtesy to our readers and do not necessarily indicate an endorsement by IIAC. News items will be accepted / printed at the discretion of the IIAC. No paid advertisements are accepted in this publication. Please contact Warren Ruppar for further information.

IIAC Staff

Independent Agents Services Staff

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 3

Thomas B. Leonardi - Insurance Commissioner, State of Connecticut

Each year state regulation of insurance faces new challenges. The future of insurance regulation and the interna-tional impact on the insurance business will be discussed by our state insurance commissioner.

Kevin J. Counihan—Chief Executive Officer of the Connecticut Health Insurance Exchange

The Connecticut Health Insurance Exchange is a quasi-public agency that was created by the Connecticut Legisla-ture in 2011. It is charged with implementing federal health care reform in Connecticut. Kevin was recently ap-pointed as the CEO and will discuss the implementation of health care reform and the impact on agents.

Robert A. Rusbuldt - IIABA President & CEO

Bob Rusbuldt will discuss the activities of your national association including the impact of the November elections and the progress of the Consumer Agent Portal (CAP) project.

Insurance Industry Panel

This is a unique opportunity to hear your carriers‟ perspective on current issues impacting our industry. The panel-ists and topics to be discussed will be announced shortly.

Total Registration Fee enclosed: $___________ (make check payable to “IIAC”)

NAME OF INDIVIDUAL FOR BADGE: __________________________________________________ CT Producer Lic. # _________________

AGENCY / COMPANY: ____________________________________________________________________________________________

ADDRESS: ______________________________________________________________________________________________________ (include City, State & Zip Code) TELEPHONE: ______________________________ E-MAIL: _______________________________________________

REGISTRATION FEE MEMBERS/ASSOCIATE MEMBERS -------------------------------------------------------------------------------------------------------------------------------- $ 95.00

EACH ADDITIONAL PERSON FROM MEMBER AGENCY OR ASSOCIATE MEMBER COMPANY -------------------------------------------------- $ 80.00

NON-MEMBERS -------------------------------------------------------------------------------------------------------------------------------------------------------- $155.00

LIST NAMES OF ADDITIONAL INDIVIDUALS FROM YOUR MEMBER AGENCY OR ASSOCIATE MEMBER COMPANY WHO WILL BE ATTENDING AT DISCOUNTED RATE (please attached additional forms if needed)

_________________________________ ____________________________________ __________________ Name E-mail CT Producer License #

_________________________________ ____________________________________ __________________ Name E-mail CT Producer License #

IIAC MID-YEAR CONVENTION 2012 AQUA TURF, PLANTSVILLE, CT

NOVEMBER 8, 2012

8:00 AM- 2:00 PM Exhibit Hall Open: 8:00 AM - 9:15 AM and 12:00 PM—1:00 PM

Business Session: 9:15 AM - 12:00 PM - 3 CE Credits Course #106927

Lunch: 1:00 PM - 2:00 PM

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 4

MONTH IN REVIEW

H.R. 8 includes an extension of current marginal tax rates, as well as dividend and capital gains tax rates. It also ex-tends current estate tax rates and exemption levels through 2013 and provides for an alternative minimum tax (AMT) patch, also through 2013. Without a legislative solu-tion, all of the 2001 and 2003 tax cuts will expire at mid-night on New Year’s Eve.

“This extension of current rates would help remove the uncertainty looming over the tax code, bolster our econ-omy and allow small businesses to plan, hire and grow,” said Charles E. Symington, Big “I” senior vice president of government affairs. “We call on the Senate to pass a simi-lar extension before the end of the year in order to provide the certainty needed in the tax code to spur an economic recovery.”

The Independent Insurance Agents & Brokers of America commended the U.S. House of Representatives on August 1, 2012 for passing H.R. 8, the “Job Protection and Reces-sion Prevention Act,” that would extend the 2001 and 2003 tax rates through 2013.

“The Big ‘I’ is pleased with the vote in the House to extend the 2001 and 2003 tax rates,” said Robert Rusbuldt, Big “I” president & CEO. “Without this extension American tax-payers will endure the largest tax hike in the country’s his-tory at a time when economic growth and job creation are stagnant. Small businesses, like many independent insur-ance agencies and those that line Main Streets across America, will also be hit with this tax increase, stifling any chance of a recovery.”

Veteran Health Reform Architect Named CEO Of Connecticut Health Insurance Exchange

On June 21, 2012 Lieutenant Governor Nancy Wyman issued a press release announcing the Chief Executive Officer for the Connecticut Health Insurance Exchange. Kevin J. Counihan, who has more than 30 years of experience in health care and health insurance fields, was chosen by Governor Dannel P. Malloy from a nationwide pool of 75 candidates. He was intro-duced to the full exchange at its regular meeting on June 21, 2012 and began as CEO on July 3.

Mr. Counihan has been scheduled as a speaker at the November 8, 2012 IIAC Mid-Year Convention. To read Lieutenant Governor Nancy Wyman’s press release, please click here.

Big “I” Praises House Passage of Tax Rate Extension Bill “Legislation is essential to small business job creation”

Insurance Department: “Be Prepared” Web Page A Resource for Tropical Storm Season

Reminder: On June 6, 2012 the Insurance Department issued a News Release regarding their web page “Be Prepared,” A Resource for Tropical Storm Season.

Reminder: On June 16, 2012, the Connecticut Insurance Department Released Bulletin SL-3 “New Procedures for Filing Sur-plus Lines Taxes and Surplus Lines Affidavits.” For information on this bulletin, please visit the CID website.

New Procedures for Filing Surplus Lines Taxes and Surplus Lines Affidavits

FloodSmart.gov is the official site of the National Flood Insurance Program (NFIP)

FloodSmart.gov is designed to be both consumer and agent friendly. The web-site contains information on how to prepare for a flood and information about flood insurance coverage.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 5

MONTH IN REVIEW

Commissioner Leonardi: CT Lead In Group Supervision

A „Best Practice‟ for Consumers, Industry and State

Insurance Commissioner Thomas B. Leonardi announced on August 9, 2012 that the Department is quickly taking advantage of a new state law that gives the Commissioner authority in establishing “Supervisory Colleges,” routine regulatory forums among state and international insurance regulators to assess the financial health and risks of several Connecticut-based in-surance groups with international operations. "On the heels of the financial crisis, the convening of colleges are becoming the gold standard and best practice for the regu-lation of large insurance groups with international operations. I do not have specific concerns about the solvency or financial position of the companies participating in the supervisory colleges. I very much appreciate the willing cooperation that our Connecticut-based companies have demonstrated over the last several months,” the Commissioner said. “The financial sta-bility of our carriers is paramount for consumer protection and critical to our state economy.” “Governor Malloy and our state Legislature recognized the importance of group supervision in the recent bipartisan passage of the Revisions to the NAIC's Model Insurance Holding Company System Regulatory Act that empower the Commissioner to lead and participate in Supervisory Colleges for large insurers with international operations,” Commissioner Leonardi said. ” The state holding company law (Public Act 103), enacted in June, allows the Insurance Commissioner to establish supervisory colleges for insurers that are part of a holding company with international operations. It should be noted that the results and analysis of these Supervisory Colleges are confidential. The Commissioner initiated the convening of five colleges over the past several weeks, including those for Aetna, Cigna, The Hartford, Travelers and UnitedHealth Group. Commissioner Leonardi also participates in Supervisory Colleges led by the Swiss Financial Market Supervisory Authority in Switzerland, the Dutch National Bank in The Netherlands and the State of Nebraska Insurance Department. These colleges are new and are designed to be routine regulatory tools used to coordinate international regulatory supervision and are not convened in response to specific regulatory concerns. Information ex-changed in a supervisory college context between regulators is confidential subject to the applicable confidentiality agree-ment. The Supervisory Colleges allow international and State-based regulators to confidentially assess and better understand the Group's activities wherever those activities are carried out. In this manner, regulators can peer through the window of the insurance holding company with international operations to gauge the impact of a wide variety of those financial activities on domestic insurance operations. Home to one of the largest insurance-producing markets in the nation, Connecticut is a leading voice for group supervision of globally active insurance companies and an active member of the International Association of Insurance Commissioners (IAIS). Among the highlights:

Connecticut is the only U.S. signatory to date on an IAIS formal regulatory agreement with 30 foreign jurisdictions, repre-senting 45 percent of worldwide premium volume.

Connecticut hosted an IAIS committee meeting in June that brought more than two dozen international regulators to the “Insurance Capital” for official regulatory work.

Commissioner Leonardi is the sole U.S. regulator-member of the IAIS’ Financial Stability Committee, which is developing criteria to identify Globally Systemically Important Insurers (G-SIFIs). Connecticut has three separate confidentiality agreements with financial regulators in Switzerland, Germany and the Nether-lands. To view a copy of this news release on the CID website, please click here.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 6

Today, when people retire, they don’t really retire from

work; they leave the traditional work environment for

more life-work balance.

Q: Is WAHVE an employment agency?

A: No. WAHVE is neither a search firm nor an employment

or temp agency. We’re a new type of staffing firm provid-

ing agencies on a dedicated contract basis with work at

home vintage employees (we call them wahves) who can

work on either part-time or full-time or do projects, such

as, data cleanup or conversion or catch up on backlog.

WAHVE has a database of hundreds of “vintage” insurance

industry professionals who have been fully vetted and

qualified including verifying their skill sets at a very granular

level. Agencies provide us with a description of the job and

the skill sets they need. We then match the right person

for that particular agency and job. You could say that

WAHVE is like a Match.com or an e-harmony for the insur-

ance industry. Our management team is experienced with

independent agencies, so we have an inherent understand-

ing of how agencies function and are able to find the best

match.

Q: Who uses this service?

A: Independent agencies and brokers are our largest client

group. The company founders each have more than 30

years of insurance agency, technology and service-center

experience, so we definitely know the business needs.

Since our founding in 2010, we also have worked with in-

surance carriers, wholesalers and industry service provid-

ers.

In effect, WAHVE delivers the independent agency commu-

nity a large talent pool of highly qualified, trained, experi-

enced insurance industry retirees from across the country,

and helps select the right wahve(s) to do back-office or cus-

tomer service work for the agency.

IIAC is pleased to announce a new membership benefit

called WAHVE - “Work at Home Vintage Employees.”

WAHVE provides a unique remote staffing service for your

agency by utilizing experienced and qualified insurance

professionals.

WAHVE allows you to meet your staffing needs by en-

hancing your current agency staff or by maintaining pro-

ductivity in your agency if an employee is on maternity or

other extended leave. WAHVE is truly a member service

for all agencies.

What Is WAHVE’s Remote Staffing and Why Is It Relevant

to Agency Principals and Decision Makers?

Overview: Quality staffing is a key element for any inde-

pendent agency. Your state independent agents association

has endorsed a unique service: WAHVE (Work At Home

Vintage Employees). WAHVE provides skilled, experienced

insurance professionals to agencies on a dedicated out-

sourced basis working remotely from home. This gives you

as an agency principal an additional staffing option, at spe-

cial pricing.

The WAHVE concept has been proven to deliver skilled,

experienced, “vintage” insurance professionals at signifi-

cant cost savings. Here’s a Q&A about WAHVE with Sharon

Emek, Ph.D., C.I.C., founder, CEO of WAHVE

(www.WAHVE.com) and principal of independent agency

CBS Coverage Group, New York.

Q: What is WAHVE?

A: WAHVE is a company that provides insurance agencies

and other insurance firms with experienced, skilled,

“vintage” workers who have retired from traditional jobs in

the insurance industry but want to continue to work from

home so that they can have more life-work balance. These

are people located in the U.S. who understand the indus-

try’s technology, workflow and language. Using secure re-

mote network access technology, they can provide an

agency with full customer service work or process work in

support of CSR’s, Account Managers and Producers.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 7

Focus agency marketing efforts on a new segment of

business.

Mentor a producer.

Overall, agencies are finding that freeing up staff for client

contact is most beneficial for their bottom line.

Q: What types of work are suitable?

A: Agencies use WAHVE on a full, part time or project basis

for areas such as:

Customer service staff:

√ CSR’s/Account Managers (commercial or personal

lines)

√ Sales and marketing assistants

√ Claims representatives

√ Accounting Assistants

√ Mentors & trainers

Back-office process support:

√ Preparation of new and renewal business applica-

tions

√ Quoting and proposal preparation

√ Loss run ordering and analysis

√ Policy checking

√ Premium audits

√ Certificates issuance

√ Change requests and endorsements

√ Indexing of scanned documents

√ Claims support

√ Excess and surplus lines filings

√ Accounting and finance

Q: Where do wahves actually work?

A: All wahves work at home. They connect their computer

using remote access technology, which, while unfamiliar to

some agency principals, is highly secure and reliable. We

set up the connectivity between the wahve’s computer and

the agency’s network. It is like the set up most agency key

staff have now when they work from home. All wahves

have dual monitors so they can work efficiently. For wah-

ves that function as CSRs or Account Managers, the agency

will need to provide them with an IP phone.

WAHVE has a worker, for example, residing in Maryland

who works for an agency in Missouri, and another who lives

in Washington state and works for an agency in New York

state.

Q: How much can an agency save by working with

WAHVE?

A: Savings are significant, depending on wages and bene-

fits the agency currently is paying. When an agency out-

sources work to a wahve, the agency saves on salary, bene-

fits and other costs. Here is a savings estimate for a cus-

tomer service representative:

(Fully Loaded” Salary assumes: 20% benefits & taxes, 10%

training & supervision, 10% office overhead)

A full-time wahve with 25 years of industry experience

would cost, on average, $25-$27 per hour (which equates

to $41.8K - $45.1K annually with no additional costs).

WAHVE charges only by the hours worked.

Because our wahves have veterans of the industry, they

don’t need extensive ramp-up time and can be productive

quickly.

Q: What other motivations are leading agency principals

to try remote staff?

A: Besides cost, the number-one reason agency principals

tell us they hire WAHVE to increase profitability by freeing

up highly-paid staff from process work. Process work,

while important, takes away from time spent with pros-

pects and customers. Any agency using highly paid staff to

do things like policy checking and preparation of applica-

tions sooner or later will find that unsustainable. Agency

principals tell us using wahves for back-office work frees up

other staff to focus on retention, cross-selling and up-

selling.

There are other things that have prompted agencies to try

WAHVE:

Unable to find local talent.

Prefer an outside person doing quality assurance.

Maintain productivity while employees are on mater-

nity or other leave.

Base

Salary

Fully Loaded

Salary

Average

Cost per Full

-Time

WAHVE

Worker

Cost Savings

per WAHVE

Worker

$50K $70K $43K

($25-$27/hr)

$27K

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 8

Here is what agents in other WAHVE endorsed states have to say about the program: Justin Foa, President, Foa & Son, IIABNY member agency: “The insurance brokerage industry has a problem in that it’s a graying industry. A lot of talent has gone to Wall Street or other financial fields and consequently we don’t have a lot of young talent available. WAHVE is tapping into mature talent that’s sitting on the sidelines and making use of it in a financially attractive way for agency owners.” John O ’Brien, Chief Concerned Officer, O ’Brien Insurance, IIABNY member agency: “We’ve been primarily a Personal Lines agency, and wanted to expand our Commercial Lines book in order to grow. We are using WAHVE to do this and it’s been terrific. Our WAHVE is helping us in rounding out clients by reviewing renewals, up-selling to existing clients when she sees a cov-erage is needed or is now available. We are very happy with how things are working.”

WAHVE currently has a database of hundreds of vintage

employees. And we are always looking for more. Today,

people can work from anywhere, which means agencies

can now have access to talent all across the country.

Summary: Work At Home Vintage Employees (WAHVE) is a

unique, cost-saving, remote contract staffing solution for

the insurance industry. Using an innovative work-at-home

model, WAHVE employs skilled insurance retirees located

in the U.S. who understand the industry’s technology, cul-

ture and language. By outsourcing to WAHVE, insurance

firms can leverage these qualified, experienced, and tech-

nologically-savvy retirees to significantly lower costs and

improve profitability.

Members of the state association receive a 50% reduction

on one-time Set-up fee of $2,500 for a savings of $1250.

Contact:

Bill Hunt, Chief Sales Officer, WAHVE

(646) 807-4372 x 506

bill.hunt@wahve.com

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 9

The IIAC Young Agents Committee held their 23rd Annual Golf Tournament on Thursday, August 2nd, at Blackledge Golf Course in Hebron. The tournament, which is played on both courses, was attended by 170 golfers comprised of agents, com-pany and vendor representatives. Golfers in the tournament received breakfast, a bag lunch, drink tickets and buffet lunch.

Tournament Winners

Putting Contest (ended in a tie)

James Wilson, Wilson Agency Bill Cohen, Chubb Group

IIAC GOLF TOURNAMENT Sponsored by the Young Agents Committee

GILEAD HIGHLANDS COURSE First place with a 59

Gerald Keiffer Fred Roy, Fitzpatrick Agency

Rick Weber John Wubraski

Second place with a 61 (matching cards)

Gerry Hoffman Bob Mae

Michael Pomponio Ron Wilcox, Rader & Summa, LLC

Closest to the Pin

John Noon, Renaissance Alliance – 2’ 7”

50 / 50 Raffle Ron Wilcox

ANDERSON’S GLENN COURSE First place with a 63 (matching cards)

Joe Gallatsatos Rick Lanter

Andy McCabe, Computer Rescue Mike Mendoza

Second Place with a 63 (matching cards)

Herman Glaser, ServPro Shoreline Bill Lennox, ServPro Shoreline

Brian Rinehart, ServPro Shoreline Eric Von Brauchitsch

Closest to the Pin

Michael Benedetti, Benedetti Insurance Group – 4’ 9”

50 / 50 Raffle Joe Spinnato, Sumner & Sumner Insurance

Raffle Prizes and Winners

Yankees vs. Rangers for August 15th – 4 tickets Donated by Crystal Restoration of Connecticut

Winner – Jeffrey Boulrice – Howe / First Assurance Assoc.

Yankees vs. Rangers for August 14th – 4 tickets Donated by Pro-Klean Cleaning & Restoration Services, Inc.

Winner – Frank Molinaro

Kindle Fire Donated by Independent Agents Services

Winner – Tom Wilson, Wilson Agency

Wine Basket Donated by Servpro of New Haven

Winner – Jean Walker, Crystal Restoration of Connecticut

4-Pack of Tickets to the New Britain Rock Cats Donated by The New Britain Rock Cats

Winner – Frank Molinaro

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 10

The Young Agents Committee thanks all of their annual sponsors and the tournament sponsors for their support. Clicking on the sponsor’s name will bring you to their website.

Tournament Sponsors

IIAC GOLF TOURNAMENT Sponsored by the Young Agents Committee

Beverage Carts on the Course Sponsored by

Chroma Building Corp.

InsurBanc

XS Brokers Insurance Agency

Bag Lunches Sponsored by Travelers

Putting Contest Sponsored by Payless Auto Glass

Closest to the Pin Sponsored by Kapura General Contractors

Tournament Photos Courtesy of Chroma Building Corp.

Annual Sponsors Clicking on the Sponsors name will link you to their website

PROMOTER LEVEL

Connecticut Underwriters, Inc.

Crystal Restoration Services of Connecticut

Independent Agents Services

Pro-Klean Cleaning & Restoration Services, Inc.

S.H. Smith & Company, Inc.

PARTNER LEVEL The Andover Companies

C.N.A.

Central Mutual Insurance

Charles S. Carillo Insurance Agency

Chubb Group of Insurance Companies

Computer Rescue, Inc.

Enviro-Clean, Inc.

John A. Woods Appraisers

Quincy Mutual Group

CONTRIBUTOR LEVEL Acadia Insurance

Bunker Hill Insurance

Coastal Agents Alliance, LLC

Glass America

Hanover Insurance Group

The Hartford

MetLife Auto & Home

New England Excess Exchange

New London County Mutual Insurance Companies

Northeast Surety, LLC

Plymouth Rock

Selective Insurance Company of America

Servpro of Norwich

Travelers

Utica National Insurance Group

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 11

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 12

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 13

I N DE PE N D E N T AG E N T S S E RV I CES

QUESTION 1. Do the named insured’s need to be married?

2. Do you need lead certificates for primary homes or rental properties?

3. Where is the on-line quoter?

4. Must the signatures be originals or are faxed or scanned signatures acceptable?

5. Can you write coverage naming an LLC, Trust or Estate as the named insured?

6. What is the maximum number of rental properties al-lowed?

7. Is a 4 family home counted as 1 or 4 properties owned?

8. Where can I find the application and rate sheets?

9. Can my customer pay with a credit card?

10. Can a youthful driver with an incident qualify?

ANSWER 1. The named insured's do not need to be married or even

related but must live in the same household

2. No lead certificates required for any reason.

3. The on-line quoter is located on line at www.RLIPersonalUmbrella.com and also at the Connecti-cut Independent Agents website: www.iiact.org under Member Resources.

4. Signatures may be photocopies, scanned or faxed.

5. An LLC, Trust or Estate cannot be a named insured but coverage may exist if the Basic policy provides coverage on a personal lines form.

6. The maximum number of rental properties allowed is 5.

7. 4-family home is counted as 1 property.

8. Y o u c a n f i n d t h e a p p l i c a t i o n a t www.RLIPersonalUmbrella.com or www.iiact.org under Member Resources

9. No credit card payments are possible with new business unless your agency is set up with the PUP ACCESS system (Contact Rose Mullaly at 860-563-6510 if you are inter-ested). Agents with ACCESS can have their insured’s complete and sign an application electronically and make an electronic credit card payment at the same time. In-sured’s may make a RENEWAL payment online using the login credentials and instructions provided on the back of the renewal bill.

10. Two fold answer: If the youthful operator with an inci-dent is under the age of 20, they would NOT qualify for the RLI Personal Umbrella. If the youthful operator with an incident is 20 or 21, they can have 1 incident and qual-ify for the PUP Special program with limits offered at $1 million. (Drivers 22 and older are no longer considered youthful operators.)

RLI PERSONAL UMBRELLA PROGRAM 20 Most Frequently Asked Questions

Questions? Call Your RLI Program Manager

Rose Mullaly Independent Agents Services

30 Jordan Lane, Wethersfield, CT 06109 rmullaly@iiac.org

860-563-6510 or 800-255-9787

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 14

I N DE PE N D E N T AG E N T S S E RV I CES

QUESTION 11. If the applicant doesn’t own a personal vehicle and only

uses company cars, will they qualify?

12. Must there be a licensed driver in the household?

13. If there are no licensed drivers in the household, why must the applicant choose between limits A, B & C per-taining to required underlying automobile liability limits on the application?

14. If I write in a requested effective date, will you honor my request?

15. If only one answer falls into another rating tier, do I have to rate the entire risk in that tier?

16. Who is the check to be made out to?

17. What is the cost for UM coverage?

18. Will RLI write over a farmowners policy?

19. Will RLI write over a Trust, LLC or estate?

20. Is the entire risk disqualified if they own a boat that is over 45’ long and/or has a maximum speed of over 50 mph?

ANSWER 11. Yes, if they only use company vehicles they will still qual-

ity. The company vehicles must be private passenger ve-hicles and they will be counted as vehicles that they are regularly operated by the insured's. The Agent must in-sure that the companies insuring the vehicles are cover-ing the applicant for personal use of the vehicles and that the underlying coverage amount on the company policy is at least the amount that the applicant agreed to carry on the RLI application.

12. No licensed driver is required but all members of the household should be listed on the application.

13. The applicant needs to answer this question so that they are aware what they need to carry should they rent or buy a vehicle during the policy period.

14. Your requested effective date will be honored as long as an acceptable signed application and full gross annual premium payment is received at IAS, Inc’s office within 13 days of the requested effective date.

15. Yes, the entire risk would be rated in the highest tier.

16. The check should be made payable to either IAS, Inc. or RLI.

17. UM coverage costs $150 per driver. No driver can be ex-cluded.

18. Yes, they will unless the farm is a commercial farm. Cov-erage for real farm exposures, equipment and staff are limited. The policy intent is for a true “gentleman farm,” tomatoes in back yard type risk.

19. A Trust cannot be the named insured on the policy; how-ever, if the underlying homeowners policy lists the Trust, LLC or estate as an Additional Insured the PUP policy will provide coverage.

20. The entire risk is not disqualified but that boat will be excluded from coverage.

RLI PERSONAL UMBRELLA PROGRAM 20 Most Frequently Asked Questions

New business applications must be mailed to Independent Agents Services, 30 Jordan Lane, Wethersfield, CT. 06109

Applications that are sent directly to RLI will be forwarded back to the state’s program manager (IAS) and may delay coverage being bound.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 15

Brought to you by Constitution Advisory Group

MLR Rebates – Compliance Steps for ERISA Plan Sponsors

The federal health care reform law, the Affordable Care Act (ACA), requires health insurance issuers to spend at least 80 or 85 percent of their premiums on health care and health care quality improvement activities. Issuers that do not meet the applicable percentage, which is called a medical loss ratio (MLR), must pay rebates to consumers.

The MLR rules became effective on Jan. 1, 2011. Rebates must be paid by August 1 following the end of the MLR reporting year. MLR rebates for 2011 were due by Aug. 1, 2012.

As the sponsor of an insured group health plan, you may have received an MLR rebate from your issuer. The Department of Labor (DOL) has provided general guidelines on how ERISA plan sponsors should handle MLR rebates. The following com-pliance steps are based on this DOL guidance and will help you decide what to do with your MLR rebate.

STEP ONE - WHICH PLAN OR POLICY IS COVERED BY THE RE-BATE?

For employers that have multiple health plans, or provide benefits under multiple policies, you must determine which plan or policy is covered by the rebate. The issuer should in-clude policy information as part of the rebate. If the issuer has not provided this information, or it is not clear, please contact your Constitution Advisory Group, LLC representative for assistance.

STEP TWO - IS THE REBATE A PLAN ASSET?

Next, you must determine whether the rebate, or any portion of the rebate, is a plan asset under ERISA. This step is crucial because any rebate amount that qualifies as a plan asset must be used for the exclusive benefit of the plan’s participants and beneficiaries. You, as the employer, cannot retain any portion of the rebate that is a plan asset.

You should review your plan documents to see if there is any language regarding how to treat distributions (such as demu-tualization proceeds, refunds, dividends or rebates) from health insurance issuers. If your plan does not contain this type of specific language, whether the rebate is a plan asset, in whole or part, will generally depend on the:

Identify of the policyholder; and

Source of premium payments.

Unless you pay the entire cost of health insurance without any employee contribution, at least a portion of the rebate will typically be a plan asset. Who Is the Policyholder?

To answer this question, you must first review the plan’s documents to determine who is identified as the policy-holder. You should determine whether you are identified as the policyholder, or whether the policyholder is the plan itself or a trust.

√ In most cases, the employer is the policyholder of the group health plan. If you are the policyholder, you will need to answer the next question regarding who pays the health insurance premiums.

√ However, if the plan or trust is the policyholder, then the entire rebate is likely a plan asset. You, as the employer, generally will not be able to retain any portion of the re-bate. If this is the case, you can skip the next question and proceed to Step Three.

Who Pays the Premiums?

If you are the policyholder and the plan’s documents do not clearly address how to handle distributions from the issuer, the portion of the rebate that must be treated as a plan asset depends on who paid the insurance premiums for the MLR reporting year. For example:

If the premiums were paid entirely out of trust assets, the entire rebate amount is a plan asset.

If the employer paid 100 percent of the premiums, the rebate is not a plan asset and the employer may retain it.

If participants paid 100 percent of the premiums, the entire rebate amount is a plan asset.

If both the employer and participants paid premiums, the percentage of the rebate equal to the percentage of the cost paid by participants is a plan asset.

Under the DOL’s guidance, employers are generally prohibited from retaining a rebate amount greater than the total amount of premiums and other plan expenses paid by the employer.

For example, if an employer paid 60 percent of the premiums and employees paid 40 percent during the MLR reporting year, the employer may retain 60 percent of the rebate. The remain-ing 40 percent of the rebate is a plan asset that must be used for the exclusive benefit of the plan’s participants and beneficiaries.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 16

STEP THREE - HOW SHOULD THE REBATE BE USED?

Any portion of a rebate that is a plan asset must be used for the exclusive benefit of the plan’s participants and beneficiar-ies. Plan sponsors have a few different options for applying the plan asset portion of a rebate. The following questions and answers address these options. Can I Distribute the Rebate to Participants?

Yes, the rebate can be distributed to participants under a rea-sonable, fair and objective allocation method. An allocation does not fail to be impartial merely because it does not ex-actly reflect the premium activities of participants.

Will I Need to Distribute the Rebate to Former Participants?

If you find that the cost of distributing shares of a rebate to former participants approximates the amount of the pro-ceeds, you may decide to limit rebates to current participants. Former participants are those who participated in the plan for the MLR reporting year, but are not participating in the plan when you receive the rebate.

What Are the Tax Consequences of Rebate Distributions?

The rebate’s tax consequences largely depend on whether employees paid their premiums on a pre-tax or after-tax basis.

If premiums were paid by employees on a pre-tax basis under a cafeteria plan, the rebate will generally be taxable income to employees in the current year and will be sub-ject to employment taxes.

If premiums were paid by employees on an after-tax basis, the rebate will generally not be taxable income to employees and will not be subject to employment taxes. However, if an employee deducted the premium payments on his or her prior year taxes, the rebate is taxable to the extent the employee received a tax benefit from the deduction.

How Much Time Do I Have To Distribute the Rebate?

To the extent a rebate qualifies as a plan asset, ERISA would generally require the amount to be held in trust. Most employers with insured plans do not maintain trusts for their health plans. The DOL has provided relief from the trust requirement for rebates that are used within three months of their receipt. Thus, employers who decide to dis-tribute the rebate to participants should adhere to this three-month time limit.

What Are the Other Options for Using the Rebate?

If distributing payments to participants is not cost-effective (for example, the amounts are small or would give rise to tax consequences for the participants) you may utilize the rebate

for other permissible plan purposes, such as applying the re-bate toward future participant premium payments or toward benefit enhancements.

Directing an issuer to apply the rebate toward future partici-pant premium payments or toward benefit enhancements would avoid the need for a trust and may, in some circum-stances, be consistent with ERISA’s fiduciary responsibilities. Also, employers may find the premium reduction (or premium holiday) approach to be administratively easier than sending out checks and calculating the additional taxes.

When employee premiums are paid on a pre-tax basis, a pre-mium holiday will reduce the amount that the employee can contribute to the cafeteria plan on a pre-tax basis. There will be a corresponding increase in the employee’s taxable salary and wages subject to employment taxes.

How Do I Allocate the Rebate If I Have Multiple Plans or Poli-cies?

When you receive a rebate, you must determine which plan or policy is covered by the rebate. The issuer providing the re-bate should give this information to you.

Where a plan provides benefits under multiple policies, the employer should allocate or apply the plan’s portion of the rebate for the benefit of participants who are cov-ered by the policy to which the rebate relates, provided this would be prudent and solely in the interests of the plan.

Using a rebate generated by one plan to benefit the par-ticipants of another plan would be a breach of ERISA’s duty of loyalty to a plan’s participants.

What Information Must Be Provided to Participants About the Rebate?

Under the MLR rules, issuers are required to provide partici-pants with a notice describing the MLR rebates. This notice explains why a rebate is required under the MLR rules, and it provides that the employer may be obligated under ERISA to use all or a portion of the rebate for the benefit of plan par-ticipants. You should also consider explaining to participants how you are using the plan asset portion of the rebate for their benefit.

ADDITIONAL RESOURCES A copy of the DOL’s guidance is available at:

www.dol.gov/ebsa/newsroom/tr11-04.html.

This Constitution Advisory Group, LLC Legislative Brief is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice. © 2012 Zywave, Inc. All rights reserved. EEM 8/12

Sun Mon Tue Wed Thu Fri Sat

1

2 3 4 5 AAI 81A

Principles Of Insurance 8:30 - 4:30

6 7 8

9 10 11 ACSR #6

Commercial Property Cov.

8:30 - 4:30

12 13 AAI 82B

Commercial Lines 8:30 - 4:30

14 15

16 17 18 19 Flood

Insurance 8:30 - 4:30

20 Annuity

Compliance 8:30 - 12:10

Long Term Care 1:15—4:10

21 22

23 24 25 26 27 28 29

30

September 2012

A COMPLETE ANNUAL CALENDAR CAN BE OBTAINED ON THE “EDUCATION” PAGE OF OUR WEBSITE

CONNECTICUT CONTINUING EDUCATION REQUIREMENTS

All resident agents are subject to continuing education for every line of authority.

The Connecticut Insurance Department has an extensive website (www.ct.gov/cid) offering information on licensing, forms, statutes, regu-lations (proposed and finalized) Please take advantage of this web site for valuable information.

Individual transcript information can be obtained by accessing www.sircon.com. Once on the website, select “For Individual Agents” from the “Products and Services” menu. Under “Quick Start for Agents” (at the top of the page) select “Look Up Education Courses / Credits.” This will bring you to an “Inquiries” page. Select “Continuing Education Transcript Inquiry.” Select “Connecticut” from the drop-down menu. Enter your license number and last name and click “submit.” You will now be able to view and print your transcript. Please note that transcripts are only accessible using producer license numbers. Social Security numbers are no longer usable.

Flood Insurance Course Requirement Newly licensed agents are required to complete a flood program course during their first compliance period.

A COMPLETE CALENDAR CAN BE OBTAINED ON THE “EDUCATION” PAGE OF OUR WEBSITE

Sun Mon Tue Wed Thu Fri Sat

1 2 3 ACSR #2

Personal Auto Insurance 8:30 - 4:30

4 5 6

7 8 9 10 11 Life &

Health Pre-Licensing

Day 1 8:30 - 4:30

12 13

14 15 16 ACSR #4

Errors & Omissions

Loss Control 8:30 - 4:30

17 18 Life &

Health Pre-Licensing

Day 2 8:30 - 4:30

19 20

21 22 Property

& Casualty Pre-Licensing

Day 1 8:30 - 4:30

23 24 Property

& Casualty Pre-Licensing

Day 2 8:30 - 4:30

25 Life &

Health Pre-Licensing

Day 3 8:30 - 4:30

26 27

28 29 Property

& Casualty Pre-Licensing

Day 3 8:30 - 4:30

30 31 Property

& Casualty Pre-Licensing

Day 4 8:30 - 4:30

October 2012

A COMPLETE ANNUAL CALENDAR CAN BE OBTAINED ON THE “EDUCATION” PAGE OF OUR WEBSITE

CONNECTICUT CONTINUING EDUCATION REQUIREMENTS

All resident agents are subject to continuing education for every line of authority.

The Connecticut Insurance Department has an extensive website (www.ct.gov/cid) offering information on licensing, forms, statutes, regu-lations (proposed and finalized) Please take advantage of this web site for valuable information.

Individual transcript information can be obtained by accessing www.sircon.com. Once on the website, select “For Individual Agents” from the “Products and Services” menu. Under “Quick Start for Agents” (at the top of the page) select “Look Up Education Courses / Credits.” This will bring you to an “Inquiries” page. Select “Continuing Education Transcript Inquiry.” Select “Connecticut” from the drop-down menu. Enter your license number and last name and click “submit.” You will now be able to view and print your transcript. Please note that transcripts are only accessible using producer license numbers. Social Security numbers are no longer usable.

Flood Insurance Course Requirement Newly licensed agents are required to complete a flood program course during their first compliance period.

A COMPLETE CALENDAR CAN BE OBTAINED ON THE “EDUCATION” PAGE OF OUR WEBSITE

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 19

We appreciate your membership. As a way of saying 'Thank You', we’re excited to offer our loyalty program, just for you and your employees, our valued members!

Introducing a no-cost online shopping portal that pays YOU! Earn hundreds of dollars on purchases you’re al-ready making.

A simple, but powerful reward.

Thousands of leading merchants, everyone from Best Buy and Travelocity to Target and countless others, pay cash back of 1 - 40% on purchases of over 300 million products. You’ll be amazed by how quickly it all adds up!

Shop. The rewards are waiting.

Get cash back from 5,000 of your favorite on-line stores and travel sites - tax free

Find extra ways to save with coupons, discounts, and other specials

Pay the lowest price on the items you want

Save time and gas, and avoid crowds by purchasing your everyday needs and have them shipped right to your door.

Same stores you're shopping at today, just starting today you get more for your money — cash back. Download to your home / personal computer and use the shopping tool-bar for your browser to make it even easier.

Too good to be true? Not really. Just the benefit you de-serve. Get started.

A "tutorial" video is available to help you get started. (http://retailbenefits.com/video?audience=shopper).

So, as a 'thank you' for your business, we are excited to offer you this new money saving program.

Click SIGN UP, start shopping and start earning your cash back. “This is a great benefit for you to use for your business and office supply needs, as well as at home for your personal shopping.” Tom Wilson, IIAC Chairman

IIAC Member Benefit . . .

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 20

2012 IIAC EVENTS

Mid-Year Convention

November 8, 2012 Aqua Turf Club, Plantsville, CT

Spring Conference

Sponsored by the IIAC Young Agents Committee Was Held on May 2, 2012

Wethersfield Country Club, Wethersfield, CT

Annual Dinner Meeting and Installation of Officers

Was held on June 7, 2012 St. Clement’s Castle, Portland, CT

23rd Annual Golf Tournament

Sponsored by the IIAC Young Agents Committee Was held on August 2, 2012

Blackledge Golf Course, Hebron, CT

Additional information and registration forms for the above events can be obtained by clicking on the event name above, going to the “Events” page of our website or by contacting Tracy Hearn at 860-563-1950 or emailing to thearn@iiac.org.

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 21

Big “I” Professional Liability As a member, you have access to the Big “I” Professional Liability program, the most respected and comprehensive program in the business offering a variety of insurance agent’s E&O products that are hand-selected for their superior reputation and exceptional performance. www.iiact.org - Member Resources page / Or call Laura Szatkowski at 860-563-6510

Big “I” Markets Exclusively available to Big “I” members, IIABA’s online market access program features specialty/niche coverages, program business and hard-to-find markets. Unlike similar programs, there are no registration fees, no volume commitments and competitive commissions. www.bigimarkets.com

Big “I” Flood Big “I” Advantage operates as a managing general agency and agents participate as sub-producers for the Big “I” Flood Pro-gram. Selective Insurance Company is the provider for this NFIP Write-Your-Own program and they make writing flood insur-ance easy and profitable leaving the method of quoting up to the agent. www.independentagent.com/flood

Big “I” Retirement/Benefits Having trouble deciding which retirement plan is right for you or your agency? Big "I" Retirement Services is here to help you choose which plan best meets your circumstances. www.independentagent.com/retirement

RLI RLI's Personal Umbrella Policy stands atop your client’s existing homeowner and auto insurance to provide an extra layer of personal liability protection. RLI’s @Home Business policy, responds to the needs of over 100 eligible business classes on an ISO BOP form. www.iiact.org - Member Resources page / or call Rose Mullaly at 860-563-6510.

Business Resources Enjoy group discounts for a variety of services to assist in managing your agency. Caliper (employee testing) ; DHL (express delivery); Mines Press (printing); Hertz (car rental); Artizan Internet Services (Service 911, CSR 24). www.independentagent.com.

InsurBanc InsurBanc is an independent community bank founded by agents exclusively for agents. www.insurbanc.com

Virtual University Research Library - For those who seek a smarter way to research, the VU provides the access. Ask an Expert Service - Big "I" Members can submit questions to our "Ask an Expert" service and a response is usually sent within 3-5 business days, but often sooner. Online Courses - The VU offers a wide variety of online classes. www.independentagent.com/vu

Best Practices The Best Practices program provides member agents with meaningful performance benchmarks and business strategies that can be adapted to improve the performance of your agency, thus enhancing agency value.

Government Affairs The Big “I” is your advocate on the issues that matter to your success, whether the issues occur in state legislatures, Washing-ton D.C., your state insurance department, the NAIC, or the judicial system.

OF ALL YOUR MEMBERSHIP HAS TO OFFER??

ARE YOU TAKING

ADVANTAGE

??

Big “I” Advantage Programs

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 22

ACE Private Risk Services 860-828-7931

www.aceprivateriskservices.com

Agency Intermediaries, Inc. 203-453-2859

www.agencyint.com

American Integrity Restoration 860-657-2100

www.ctrestoration.com

Arthur J. Gallagher Risk Management Services, Inc. 860-560-2766 www.ajg.com

Astonish Results, LP 401-440-5955

www.astonishresults.com

Broadway Premium Financing 800-728-7255

www.broadwaypremium.com

Capitol Bail Bonds, LLC 860-899-1956

www.capitol-bail-bonds.com

Chroma Building Corporation 203-602-8838

www.chromabuilding.com

Connecticut Interlocal Risk Management Agency 203-498-3000

www.ccm-ct.org

Connecticut Underwriters, Inc. 860-347-9600

www.ctunderwriters.com

Crystal Restoration Services 203-853-4179

www.crystal1.com

Empire State Brokerage Services 203-798-0067

www.empirebrokerage.com

Fairfield County Bank 203-431-7527

www.fairfieldcountybank.com

W. Ford Agency, Inc. 203-549-0005

www.wfordagency.com

Heimgartner Insurance Services, Inc. 860-436-3991

www.heimgartnerinsurance.com

The Hingham Group 781-749-0841

www.hinghammutual.com

HSB Associates, Inc. 860-722-5539 www.hsb.com

For information on how to become an Associate Member of the Independent Insurance Agents of Connecticut and a complete list of benefits, please visit the “Join” page of our website or

contact Rose Mullaly at 860-563-1950 or email rmullaly@iiac.org

ASSOCIATE MEMBER INSURANCE BROKERS AND SERVICES

(Click on the website for a direct link)

ASSOCIATE MEMBER INSURANCE BROKERS AND SERVICES

(Click on the website for a direct link)

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 23

Hybrid Insurance Agency 860-688-440

www.hybridins.com

Insurance Agency Accounting & Bookkeeping 860-614-7268

www.brendadicarlollc.com

Insurance Engineering Solutions 860-429-5156

www.insuranceengineeringsolutions.com

InsurBanc 866-467-2262

www.insurbanc.com

Iroquois of Connecticut, Inc. 860-621-8412

www.iroquoisct.com

Kapura Cleaning & Restoration 860-747-2100

www.kapurarestoration.com

Joseph Krar & Associates 860-628-3967

www.jkrar.com

J.P. Maguire Assoc., Inc. 800-233-8220

www.jpmaguire.com

McGrath Insurance Group, Inc. 508-347-6850

www.mcgrathinsurance.com

Maynard Insurance Group 203-318-0008

maynardinsgrp@yahoo.com

Oakbridge Insurance Services 860-906-0120

www.oakbridgeins.com

Plymouth Glass & Mirror 860-283-0276

www.plymouthglass.com

JN Phillips Auto Glass 781-939-3400

www.877autoglass.com

Premium Assignment Corp. 603-421-1953

www.premiumassignment.com

Pro-Klean Cleaning & Restoration Services, Inc. 866-463-2313

www.pro-klean.com

PuroClean Mitigation Services 860-516-8083

www.puroclean.com

Renaissance Group, Inc. 860-307-2957

www.renaissanceins.com

ASSOCIATE MEMBER INSURANCE BROKERS AND SERVICES

(Click on the website for a direct link)

ASSOCIATE MEMBER INSURANCE BROKERS AND SERVICES

(Click on the website for a direct link)

For information on how to become an Associate Member of the Independent Insurance Agents of Connecticut and a complete list of benefits, please visit the “Join” page of our website or

contact Rose Mullaly at 860-563-1950 or email rmullaly@iiac.org

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 24

Servicemaster QRV Regional Group 203-386-1565

www.servicemastergb.com

ServiceMaster by Wills 860-447-3265

www.servicemasterbymason.com

SERVPRO Cleaning and Restoration of New Haven, Waterbury & Naugatuck Valley

1-800-243-8812 www.servproofnewhaven.com

SERVPRO of Manchester-Bolton 860-649-0836

www.servproofwesthartford.com

Steamatic of CT 203-985-8000

www.steamaticct.com

TAPCO 800-334-5579

www.gotapco.com

Target Insurance Services 860-284-0088

www.target-capital.com

Thompson Agency, Inc. 860-693-4999

www.thompsonagency.net

Travel Insured International, Inc. 860-528-7663

www.travelinsured.com

United Cleaning & Restoration, LLC 800-835-0740

www.unitedcr.com

XS Brokers Insurance Agency, Inc. 617-471-7171

www.xsbrokers.com

Acadia Insurance Company 860-331-2391

www.acadiainsurance.com

American Commerce Insurance Company A MAPFRE Company

603-888-8900 www.acilink.com

AmTrust North American, Inc. 860-257-7286

www.amtrustgroup.com

The Andover Companies 860-257-7286

www.andoverco.com

Central Mutual Insurance Company 877-281-4941

www.central-insurance.com

Chubb & Son Insurance 203-782-4115

www.chubb.com

Cincinnati Insurance Company 513-870-2000

www.cinfin.com

C N A Insurance 860-513-6460

www.cnacentral.com

Connecticut Fair Plan 860-528-9546

www.ctfairplan.com

FirstComp 888-500-3344

www.firstcomp.com

Guard Insurance Group 570-825-9900

www.guard.com

ASSOCIATE MEMBER INSURANCE COMPANIES

(Click on the website for a direct link)

ASSOCIATE MEMBER INSURANCE BROKERS AND SERVICES

(Click on the website for a direct link)

For information on how to become an Associate Member of the Independent Insurance Agents of Connecticut and a complete list of benefits, please visit the “Join” page of our website or

contact Rose Mullaly at 860-563-1950 or email rmullaly@iiac.org

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 25

Harleysville Worcester Insurance Company 800-225-7387

www.harleysvillegroup.com

The Hartford 860-409-6150

www.thehartford.com

Kemper, A Unitrin Business 203-775-5846

www.ekemper.com

The Main Street America Group 603-358-1352

www.msagroup.com

MEMIC 207-791-3370

www.memic.com

MetLife Auto & Home 860-668-2699

www.metlife.com

MiddleOak 860-638-5132

www.middleoak.com

New London County Mutual 860-887-3553

www.nlcinsurance.com

Ohio Mutual Insurance 419-563-0959

www.omig.com

Peerless Insurance 860-571-2201

www.peerless-ins.com

Plymouth Rock Assurance Corporation 860-681-2766

www.plymouthrock.com

PMA Insurance 203-379-3825

www.pmagroup.com

Progressive Insurance Company 800-274-4055

www.progressiveagent.com

QBE 860-570-0802

www.qbeamericas.com

Quincy Mutual Fire Insurance 671-770-5171

www.quincymutual.com

Safeco Insurance 603-358-4156

www.safeco.com

State Auto Insurance Companies 860-633-4678

www.stateauto.com

Travelers 860-277-6948

www.travelers.com

Utica National Insurance Group 800-695-1914

www.uticanational.com

ASSOCIATE MEMBER INSURANCE COMPANIES

(Click on the website for a direct link)

ASSOCIATE MEMBER INSURANCE COMPANIES

(Click on the website for a direct link)

For information on how to become an Associate Member of the Independent Insurance Agents of Connecticut and a complete list of benefits, please visit the “Join” page of our website or

contact Rose Mullaly at 860-563-1950 or email rmullaly@iiac.org

Independent Insurance Agents of Connecticut - www.iiact.org - September 2012 Page 26

WHO ARE THE INDEPENDENT INSURANCE AGENTS OF CONNECTICUT?

The Independent Insurance Agents of Connecticut was founded in 1899 as the Connecticut Association of Local Fire Insurance Agents. The organization’s name was changed in 1913 to the Connecticut Association of Insur-ance Agents. This name was considered more representative of the membership due to the expansion of the property-casualty business coverages and the increased presence of casualty and surety agents. In 1975 the organization became The Independent Insurance Agents of Connecticut to emphasize its members abilities to work with a variety of insurance companies and industry representatives. The Independent Insurance Agents of Connecticut has always been in the lead on important issues for agents. The list is long as IIAC has worked with regulators and the insurance industry on important issues such as agent licensing, anti-rebate laws, ownership of expirations, banking and insurance, and agent compensation to name a few. Today IIAC offers a wide variety of products and services to its members. The education calendar offers a full assortment of choices for licensing, continuing education and advanced degree programs. In addition, IIAC of-fers several insurance programs for our members that can be purchased to protect their agency business and insurance products that members can sell to their customers. IIAC also offers technical and regulatory assistant to our members. Technical advice is available at the staff level and through the Virtual University where you can “Ask The Expert.” In addition, IIAC meets regularly with the Insurance Commissioner and department staff to discuss current market conditions and consumers issues. IIAC is a strong advocate for independent agents at our state capital and in Washington D.C. Whatever the is-sue may be, IIAC is the voice for independent agents as we represent the interests of our membership. Our na-tional association, IIABA is a predominant lobbying force in Washington and is constantly ranked among the top 10 of all the lobbying groups in the United States. The Big “I” mission succinctly captures our purpose: “to pro-vide independent agents with a sustainable competitive advantage.” To accomplish that, IIAC is the unrelent-ing advocate on the issues that shape the environment in which our membership conducts business. IIAC is the voice in the halls of Congress, the state capital and in boardrooms across the nation.

INSURPAC

InsurPac is the Political Action Committee (PAC) of the Independent Insurance Agents & Brokers of America (IIABA). It represents the unified political voice of IIABA's 23,000 member agencies and 300,000 agents and brokers nationwide. It is the largest property-casualty insurance industry PAC in the country, and is one of the primary reasons the Big "I" is rou-tinely rated among the most successful lobbying groups in Washington, DC.

"Lobbying and a well-funded PAC go hand-in-hand," says Charles Symington, IIABA's Senior Vice President of Government Affairs. "InsurPac's voice resonates through the halls of Congress on behalf of the Big "I". Every elected official knows that a contribution from InsurPac is a contribution from 23,000 small business owners."

InsurPac raises funds by asking for voluntary personal contributions from independent agents and brokers throughout the country. By pooling money together, InsurPac helps elect candidates and re-elect members of the U.S. Congress who share IIABA's business philosophy.

This concept of pooling personal contributions together for the greater good is essential to understanding the importance of PACs. As an individual, you can make the average contribution of $200 to a Congressman, or you can invest that $200 in a PAC, which in turn combines that with 9 other donors and gives the same Congressman $2,000. At the end of the day, PACs are able to speak with a collective voice that is much louder than that of an individual. It is impossible to overvalue the power of a collective voice -- of a collective InsurPac speaking on behalf of the Independent Agency system.