Increased Commission for New Business

April 23, 2012

Is the market firming? Maybe, but we're not waiting for a hard market to stimulate business.

Effective right now, you'll earn 12.5% commission for new business you place with us. This promotion is in effect until further notice.

What else is there to say? Just this: Vacant-Property risks earn 15% commission!

Send us your E&S risks. Let us show you how good we are.

George Rothert

Logo Land

March 27, 2012

Here's a fun one: the ten best insurance company logos.We represent two out of the ten. Lloyd's and W. R. Berkley (Nautilus and Gemini).

George Rothert

Something's Coming(?)

March 26, 2012

We've been reading and hearing for a year or so about the mythical hard market that's coming. Moody's Investors Services reports that income in 2011 for P & C companies was down 33% from 2010. The combined ratio went to 10% in 2011, up from 99% in 2010. Moody's also says that business is actually starting to move from the so-called standard markets to E & S carriers.

What's Going On?

 February 11, 2012

You may have noticed something different recently when you call our office: you're greeted by a real-live human voice, not a recording. That human voice most of the time belongs to Lauren, who will see to it you get connected to the person you want.

If the specific person you want is unavailable, someone else should be able to help. If you want to leave a message for that certain person only, you can utilize voice mail. If you call outside business hours, you will receive an automated greeting and you can still leave a voice message.

Underwriting Profit Ahead - Really?

February 10, 2012

The Insurance Journal published an interesting history lesson titled "Have Insurers Lost the Capacity to Run an Underwriting Profit?" The gist of the story is that companies for so long have considered a combined ratio above 100% to be the norm, that now they can't muster the discipline to operate with an underwriting profit.

Change in the Air?

January 9, 2012

Here are a couple pieces of the puzzle that maybe is being assembled:

1) Commercial Property & Casualty rates rose in December, for the second consecutive month. According to MarketScout, increases averaged 1% to 2%.

Welcome 2012

January 6, 2012

No, we're not expecting the almost-mythical hard market to arrive in 2012. Maybe there'll be some firming of prices, but a 110% combined ratio and little investment income doesn't seem to slake the thirst of the so-called standard markets for risks they shouldn't be writing.

We're planning a great year. We've been working on some things that will make us more valuable to retail insurance brokers. You will see us roll out some new programs that are exclusive to Pacific Coast E & S, including some Personal-Line products. Stay tuned.

And it's leap year. An extra day to do what we do best.

George Rothert

Victims of Soft Market?

December 7, 2011

We've been reading lately (here and here) that the insurance market is tightening, that modest price increases are becoming the norm. Or at least pricing has hit bottom. Will this be the self-fulfilling prophecy?

The P & C insurance industry has been shedding jobs. Since the middle of 2008, employment in the industry has decreased 8/3%. In the month of October, 900 jobs were lost. One must wonder if the reduction of jobs is the result of declining premiums and whether there will be an increase in jobs if a hardening market brings higher premiums.

George Rothert

Foreign Invaders and Budget Woes

November 10, 2011

As if cash-poor local governments didn't have enough problems, destructive insects are wreaking havoc on trees and municipal budgets. According to the Kiplinger Letter, invasive insects are ravaging vulnerable trees, and local governments are paying the cost to cut down damaged trees. According to this report, the emerald ash borer from Asia, is alone costing the Midwest about $850 million per year. As foreign trade grows, so does the invasion. There are at least 450 known species casing trouble. Researchers and federal regulators are making progress building better safeguards at ports to keep the bugs out and identifying them quickly so they can be quarantined.

George Rothert

Insurance Quote of the Day

October 5, 2011

At a recent meeting of large insurance brokers (Council of Insurance Agents & Brokers Leadership Forum), there was much wailing about low prices. With rate increases not in sight, the National Underwriter reports that with losses straining reserves and continued decline in investment income, "...the only place left for carriers to make money is through underwriting."

Can't add anything to that.

George Rothert

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