Event Stories

Insurance is a promise, and that is something that can be complicated to sell … and just as difficult to communicate. When NAMIC hosted the 2022 Communications + Marketing Workshop in mid-October, Katie Gouldner, public relations and corporate communications specialist at Millers Mutual Insurance and a member of the event’s planning committee, chatted with insurance industry veteran and Adjunct Advisors founder Meg McKeen about telling the industry’s story in ways and on platforms that will resonate with insurance buyers as well as with agents. Below are excepts from their conversation. If you’d like to watch the entire conversation, you can purchase the Communications + Marketing Workshop on demand. The recording will be available until the end of 2022.

KG:      Insurance is not necessarily something that's super glamorous or sexy. It’s hard to really resonate it, our messaging and communications with our agents and customers. So, I thought we could just start off by kind of chatting through that and if you have any suggestions.

MM:      As an industry at large, we often struggle from a reputation problem …. One of the things I've observed over the years is there's an amount of fear that's associated with insurance because things we acquire insurance for, by and large, are not pleasant experiences. They all involve some sort of trauma.

…I had happened to banter a little bit with a friend in the industry, and we were trying to figure out a reason that you would buy insurance that was good. The only thing we could think of was if you were sponsoring an event, maybe a golf event and you had a hole-in-one insurance, so if a participant would get a hole in one and you had to pay out a million dollars, you buy insurance for those unconventional applications. Certainly, that’s not the reason we typically think about insurance in our lives.

…I think the overarching wisdom is to know exactly who you're trying to reach. So often we play it down the middle, talking really technical to an agent and we miss that consumer. Then we talk really general to the consumer, and the agent doesn't see what's in it for him or for her. So, it's a very nuanced conversation and it does require a certain amount of expertise. But I think the best advice I have heard and seen play out in my time has been really to understand who it is you're trying to reach and know that you're not gonna get 'em all. But you don't need to get 'em all either.

KG:      What are the most successful platforms for reaching customers, not agents? Is it okay to think outside the box, especially if you're not a big behemoth with a huge budget?

MM:      … A little-known fact: YouTube is – I think this is probably next to Google – the number one search engine. …I needed to figure out how to make a very simple repair to a bicycle that I should know how to make, but I didn't. I was at the gym, trying to get back home, so I YouTubed it and YouTube helped me to solve this tiny little problem in my life.

That's happening over and over again. So much of this content is created by people who you might consider to be influencers, but not the Kim Kardashian influencer. I'll say the average Jane or the average Joe who's out there creating really informative videos and content for the average consumer who really probably would like to see the logo of an insurance company down in the corner and receive a little bit of kickback for all those views in all that interaction. It’s not typically what's been done, but as a carrier, if you're thinking about your niche, go find the people who are creating that content in that niche because they've already got the audience.

KG:      Are you seeing any patterns with companies focusing on one platform for one type of audience and a different platform for another? Are they having success that way?

MM:      This is probably not going to be a surprise, but I would say Instagram and Facebook are much more geared toward the consumer. LinkedIn is geared toward the professional, the agent. …I don't see a lot of carrier reps, so field underwriters, marketing reps, leveraging LinkedIn to stay close to their agents who represent them. I think that's a huge opportunity for those on the carrier side.

I was a marketing rep for years. I get it. When you have a set territory of agents you might say “why bother?” But the truth is that all those interactions even just a simple like or a comment … is a touchpoint. It is continuing to build the relationship when you're not in front of the agent.

So, it does have value. Sometimes it takes a minute to get a boss or a supervisor on board that time on LinkedIn is time well spent…. But there's a lot of business being transacted on LinkedIn in particular. I would argue consumers of insurance are there as well, who are wanting to build relationships with professional service providers on that platform. I just don't think it's as prevalent quite yet.

The old saying that everything is bigger in Texas certainly proved apt last week as nearly 1,800 insurance professionals and industry allies came together in Dallas for NAMIC’s 127^th Annual Convention. The event was a rousing success, bringing us back to near-record levels of attendance and enthusiasm. Attendees gathered to network, to connect, to learn, and yes, for some, even to line dance at the famous Gilley’s Dallas. Check out the convention photo album here.

That’s a remarkable achievement when you consider just two years ago, NAMIC’s convention went totally virtual, and in 2021, we shifted to a hybrid approach. This year the convention once again became THE place where the industry comes together in a big way. We are thrilled by the turnout, and truly grateful for the ongoing support of member companies, industry allies, and others for this association.

In the past couple of years, we also witnessed massive cultural shifts from new technologies to new work environments, economic upheaval, and more. That’s why the central message of NAMIC’s 2022 convention was change, but not so much on any particular one, but rather on the notion that change, in and of itself, brings with it new opportunity. A few highlights…

NAMIC President and CEO Neil Alldredge set the tone first thing Monday, encouraging members to embrace change, because of the opportunities it presents.

For Monday’s keynote, four officers of the National Association of Insurance Commissioners joined Neil on center stage, providing insight into the organization’s thinking on a host of critical issues, ranging from the protection of the state-based insurance regulatory system to opportunities for the use and protection of consumer data and ownership rights. You can hear a brief report featuring NAIC Secretary-Treasurer Jon Godfread and NAIC Vice President Andrew Mais, along with some perspective from those in the audience in this video filmed right after the session.

Two years after our industry shifted to a work-from-home approach to business, in what was then considered an unwelcomed disruption, we instead discovered new opportunities to grow and prosper. Some companies found they no longer needed a brick-and-mortar building, and so they are pursuing the sale of their buildings, while others have adopted a hybrid work approach, allowing them to attract new talent and diversify their workforce. One of the featured speakers on this important topic was Grace Grant, executive director Gamma Iota Sigma, who encouraged NAMIC members to look for ways to build lasting relationships with young professionals.

Another major highlight from convention was the debut of the new chair to assume leadership of the organization for the next year. NAMIC members welcomed the incoming chair, Jake Black, president and CEO of CFM Insurance, who reminded attendees that evolution is the key to our industry’s longevity.

In addition to the many great speakers at convention, the event also offered numerous educational opportunities, among them one focused on the release of the latest Mutual Factor report. Produced jointly by NAMIC and Aon, this fifth annual report – “Mutual Factor 2022 – 5 Years Later: How Performance, Structure, and Focus Set Mutual Insurance Companies Apart,” has come of age, providing a comprehensive analysis of the financial performance of the mutual sector. This year’s report found that the industry ended 2021 with strong performance overall, including a record growth in surplus of more than 13 percent. The report also shared insights and perspective into how the mutual structure has survived, based on feedback from a key stakeholder group – reinsurers – that revealed mutuals remain a desirable and stable part of reinsurance company portfolios.

For those of you who attended the 127^th Annual Convention, we thank you for joining us, and if you weren’t able to make it to Dallas, we look forward to seeing you next year at National Harbor just outside Washington, D.C.

It’s been half a decade since NAMIC published its first Mutual Factor report. While a lot has changed in the world between 2018 and now, each edition of the Mutual Factor has a consistent theme: strength and stability in the mutual property/casualty insurance industry.

Within the pages of this anniversary edition, readers will find a comparison of metrics across the five-year time frame. They will learn that mutual insurers grew by 10.1 percent between 2020 and 2021 despite an increase in losses; that 91 percent of the mutuals rated by AM Best have “Strongest” or “Very Strong” balance sheet strength ratings; and that mutuals were slightly more leveraged than stock companies in 2021.

Readers will also discover insights from two dozen reinsurance executives gleaned from in-depth interviews conducted earlier this summer. During the interviews, these thought leaders shared their perceptions on the challenges facing the reinsurance and mutual insurance industries. They also discussed the value of their working relationships with mutual insurers.

NAMIC and Aon leaders will provide a detailed overview of the 2022 Mutual Factor during the 127^th Convention. The session will take place Tuesday, September 20, at 1:15 p.m. Central. It will also be available in the virtual events portal at the same time and then on-demand through the rest of the year.

The full report will be available Tuesday as well. You can find it in the Mutual Resource Center at NAMIC.org, along with an archive of the previous editions.

It shouldn’t come as a surprise that NAMIC’s events team has been hard at work bringing hybrid, in-person, and virtual events to association members. And as you might have noticed, the team has introduced several new events since March 2020. We spoke with Crista Hassett, vice president of events, education, and association services, about those events and what members can expect going forward.

• The new events NAMIC has offered since early 2020 seem to have come up rather quickly. Can you talk a little about how those events have come together and how they launched in the manner they did?

  NAMIC had already started rolling out virtual events in 2020 when the pandemic hit. With the use of some new event technology, we were able to identify and meet member educational needs with more agility than ever. One example is our Human Resources Summit. NAMIC’s human resources discussion forum is one of our most popular. Recognizing that this was an audience who was interested in connecting and learning more about trends in HR that impact mutual insurance companies, we created the new virtual Human Resources Summit, which launched in 2020.

• How have members responded to these new events?

  We’ve received a lot of positive feedback about these new events. Even though many people are excited to gather in person again these days, there is still a lot of benefit to attending a virtual event that doesn’t require travel or time away from the office.

• Will these events carry over into 2023 and beyond? Are there any other new developments coming from the events team you can share with members?

  Yes, we expect to carry over many of the new events we’ve launched recently. These events are the Insurtech Fastpitch, Severe Weather Summit, General Counsel Connect, New CEO Connections, and the Human Resources Summit mentioned above. New events are always in the works, so keep an eye on the NAMIC event calendar this fall to see what else we have planned for 2023.

  One other thing I will mention is that NAMIC is rolling out event planning services to NAMIC member companies. Our team will now be able to help member companies create and execute their own events such as agent gatherings, all-company meetings, and staff education events. If you think that’s something your company might be interested in, please shoot us an email at events@namic.org to learn more.

• The 127^th Annual Convention will be here before we know it. What should attendees be looking forward to this September?

  There’s a lot to look forward to at the 127^th Annual Convention! Our educational sessions are always picked with member needs in mind, but this year’s lineup provides an even wider variety of topics. If your organization typically sends one or two people to Convention, this is a great year to consider sending a larger cohort of leaders and future leaders. The educational sessions we’re offering this year will give them the tools your organization needs to navigate these changing times. Keep an eye on the agenda online as we’ll be announcing our main stage speakers over the next couple of weeks. We hope to see you in Dallas!

Its innovative approach to strategic planning made Acuity Insurance the overall winner of the 2022 Award in Innovation, sponsored by Guy Carpenter. Acuity’s approach helps the company to set its direction, shape its brand, affirm it is headed on the right course, and allows it to make continual, incremental changes when they are needed.

“Over the past 20 years, our approach to strategic planning is directly correlated to our industry-leading financial and operational performance,” said Ben Salzmann, Acuity president and CEO. “From companywide growth in revenue and policyholders’ surplus to profitability that protects all our stakeholders, Acuity continues to surpass our competition.”

The impact of Acuity’s approach to strategic planning over the past two decades has enabled the company to experience companywide growth in revenue more than 2.6 times higher than the industry average rate; policyholder surplus more than 4.2 times higher than the industry average; voluntary turnover five times lower than the industry average; and revenue per employee more than 22 percent higher than the industry.

“Our strategic planning approach keeps us at the forefront of new developments, emerging trends, and forces shaping the insurance business. It is designed not just to help us react to changing conditions, but to capitalize on disruptive and potentially revolutionary developments taking place in insurance and beyond,” said Melissa Winter, Acuity’s vice president – Business Consulting. “We thank NAMIC for recognizing our innovation with this award, a clear reflection of the phenomenal team at Acuity that makes our success a reality.”

In presenting the overall award to Acuity during NAMIC’s 2022 Management Conference, Neil Alldredge, NAMIC’s president and CEO, remarked “Acuity clearly believes planning is a continual, disciplined, iterative process that helps the company manage organizational risk while maintaining relevance. It is critical we embrace and implement innovative processes, technologies, and, more importantly, ways of thinking to move our industry forward. Innovation, in whatever form, ensures that the industry stays competitive and provides the high level of service policyholders have come to rely on. I am grateful for the ingenuity and commitment Acuity has contributed to the insurance industry.”

For information about this year’s category winners, visit the Award in Innovation page at NAMIC.org. You can also listen to episode 514 of Insurance Uncovered to learn about Union Mutual’s Category: Adaptability-winning immersive training program.

Katie Gouldner's first experience with a NAMIC event came during the 2021 virtual Communications+ Marketing Workshop. The workshop piqued the interest of Millers Capital Insurance Company's public relations and corporate communications specialist because of the agenda's focus on communications in the insurance industry.

While the educational sessions proved informative, Gouldner says it was one of the networking breaks from which she drew the most value. Being randomly picked to be part of a networking group could lead to some awkward silences; yet, for this group, it was just the opposite.

Gouldner says the group became so engaged in the conversation they didn't have time to exchange contact information. But she wanted that information so she could reach out to the others after the event. So she contacted the NAMIC events team and quickly learned she wasn't the only group member to do so.

"Now we meet every other month," Gouldner says. "I look forward to these meetings. I don't want to speak for all companies, but a lot of us don't have communications departments with large teams. Insurance is so unique that it's not often you come across people you can talk to who are in your field and in your niche. Having this group of people to email or to ask if we can discuss a certain topic on our next call, it’s huge.

"And this all came about during a virtual meeting," she continues. "I am happy this happened during a virtual event. We have to be creative and always look for the additional opportunity. You can have success in virtual times."

This article originally appeared in the IN magazine summer 2022 issue as part of a focus on NAMIC’s education and events. Check out the issue here, then go register for the 2022 Communications + Marketing Workshop, which will take place virtually October 18-19.

by Bruce deJong
Director of Talent Management, Learning, and Leadership Development
Mutual of Enumclaw Insurance Company

The comfort zone. It’s a mental, emotional, and physical space individuals and groups operate within when they feel at ease and rely on familiar routines. It’s natural to operate in this zone of efficiency as our primal instincts seek to travel the path of least resistance while we navigate family, work, and social environments. To conserve energy, our brains gravitate toward familiar ideas and routines rather than considering other options.

For example, Sarah is a department manager who often feels hurried and stressed at work. Because of this pressure, she unconsciously avoids challenging the status quo. While it feels comfortable for her, the real fact is it’s diminishing her effectiveness. This scenario may sound familiar to many of you.

So how do you do the hard things that contribute to personal and professional growth when your brain wants to default to what feels normal? Here are a few science-based tips for expanding your comfort zone as told through Sarah’s experience.

1. Create a vivid-future state picture. Select an area of your life you want to improve and visualize what it would feel and look like to be there already. Sarah wants her team to achieve the highest scores in the company for production and employee engagement. She imagines with great detail her team receiving an award for its stellar performance and the positive emotions all the team members will experience. If Sarah’s picture and feelings are believable, her subconscious will begin seeking clues to create them.

2. Slice large tasks into small morsels. The gap between the current state and future state may be overwhelming and discouraging. The desire to get started and the will to press on are stronger when the goal is achievable and progress is measurable. Sarah’s team scored in the bottom quartile for production and employee engagement last year, and trying to improve both scores simultaneously is a concept too difficult for her to grasp. Instead, she and her team focus on improving employee engagement, which they believe will positively impact production. They select one element of employee engagement to improve monthly and track their progress weekly.

3. Commit to squirming daily. Embracing discomfort promotes growth, increases confidence in taking on difficult tasks, and expands the boundaries of our comfort zones. Sarah is developing a habit of being uncomfortable by being intentional with trying something new or learning something new daily. To reinforce the adoption of this behavior, she uses a journal to record and reflect on her challenges, victories, and learnings.

4. Believe in yourself. Fear and procrastination can hold us back from getting into action. Affirmations, mantras, and quotes can help override doubt and negative self-talk. One of Sarah’s favorite quotes is by Mark Twain: “Twenty years from now you will be more disappointed by the things you didn't do than by the ones you did.” One of her favorite mantras is: “If not now, when?” She keeps those close by to help her stay motivated.

Spending a few more minutes each day working outside of your comfort zone can accelerate your personal and professional growth. But it takes deliberate effort to disrupt the brain’s desire to conserve energy by operating within a forcefield of familiar routines and thinking patterns. Commit to trying these tips while you navigate family, work, and social environments for the next 30 days. You never know what you might discover.

To learn more about the tips for getting out of your comfort zone, attend – or watch on demand –deJong’s June 30 webinar, which is part of NAMIC’s Essential Leadership Skills Webinar Series. deJong is also part of the NAMIC Leadership Development Workshop’s faculty. You can join him in St. Louis July 27-28 for the 2022 event.

Innovation can be a bit mystifying. It seems like a grandiose word – which it can be, and many treat it as such – but its actual definition is quite simple. Innovation at its core is a new method, idea, or product. Perhaps the mystification comes from the fact that innovation’s simple definition also makes the possibilities extremely broad.

Still, innovation have four distinct truths, according to Jason Gross. The vice president and head of platform for venture capital firm ManchesterStory has learned those truths during his two decades in financial services, most of which have been spent working in strategy and innovation in the property/casualty insurance industry. He shared his discoveries with the NAMIC Insurtech Fastpitch audience and for this article.

• Innovation is relative.

“Everyone is on their own [innovation] journey. Having worked at multiple carriers, I can say that a carrier over here might be doing something a carrier over there hasn’t even thought about yet. But when it comes to [the second] company, when they start, it is still going to be innovative to them, even if the technology has existed for some time. At the end of the day, each company has to follow its own path.”

• Innovation is fleeting.

“All of today’s new technology is going to be tomorrow’s legacy technology because all the tech we consider legacy now was new once. And what is on the horizon will make what we’re doing today look elementary.”

• Innovation is cyclical.

Because innovation [and technology] is fleeting, everything we’re solving for today, we’ll have opportunities to solve for it again in the future. Everything we’re solving for today, we’ve solved for in the past. It’s just that now we have new technology with which we can take on the problem.”

• Innovation is imperative.

“Because innovation is relative, fleeting, and cyclical, it is not an option. I like to use the Bill Gates quote ‘We always overestimate the change that will occur in the next two years and underestimate the change that will occur in the next 10.’ Just look at [smartphones], Think about the difference between the iPhone 1 and iPhone 2, and then the difference between iPhone 2 and 12. No one would have imagined just how much these devices have been integrated into our lives in 10 years.”

To hear more about what Gross had to say about innovation and to learn more about innovation and insurtechs in general, check out both days of the Insurtech Fastpitch event. They are available on demand. And to learn more about innovative strides being made by NAMIC member companies, visit NAMIC’s Award in Innovation page at NAMIC.org. The 2022 Award in Innovation winner will be named in late June during Management Conference.

Celebrating a milestone accomplishment or something brand new is fun and exciting. But there is also something to be said about celebrating consistency. Consistency can be, and often is, a key to success. NAMIC’s certifications are perfect examples.

The Professional Farm Mutual Manager and Farm Mutual Director Certification programs have had consistent enrollment since their launches in 1994 and 2007, respectively, and current numbers remain high. Nearly 700 people are currently PFMM certified or working toward certification, and a little more than 1,800 people are FMDC certified or on their way to being certified.

Being consistent doesn’t mean nothing new is occurring on the NAMIC certification front, though. The Mutual Director Certification launched in August 2020. Its garnered solid enrollment numbers, especially when considering it kicked off amid a global pandemic. So far, 24 people have fulfilled the curriculum requirements and passed the exam, and another 14 are on the path to certification.

Those looking to earn or maintain their MDC will meet in person in June for Directors’ Bootcamp 2.0. Attending all the sessions at the Bootcamp event fulfills the curriculum requirement for the MDC.

There’s also good news for those earning and maintaining their FMDC and PFMM designations. All the courses required to earn the FMDC will be offered at the 2022 Farm Mutual Forum. It does take attending three bonus sessions the first morning of the event, but those coming to Forum for FMDC-requirement purposes will leave St. Louis with their certifications. Plus, there has been a shift in the event schedule for PFMMs. NAMIC moved some of the required sessions so PFMM attendees can participate in more of the general learning and networking opportunities.

On a final note for all three certifications, NAMIC plans to launch an online certification portal by the end of the year. The portal will allow participants to pay invoices electronically as well as access and download transcripts.

We’ve all heard about the Great Resignation. When approximately 47 million people voluntarily quit their jobs in a year, it’s going to draw headlines. Many of the people who decided to walk away from their jobs did so because they wanted to find more meaningful work. This could be a huge opportunity for insurers to find new talent. Working for an industry that helps people put their lives back together after a disaster is pretty meaningful.

Mike Koscielny, CEO of leadership development firm Born2Lead, spoke to NAMIC CEO Neil Alldredge about the dramatic workforce shift we’ve experienced since the beginning of the pandemic and how insurers can recruit and retain employees in our current environment. Listen to the “Unscripted” interview from the February 9, 2022, episode.

Commercial and Personal Lines Seminar attendees will be able to hear Koscielny talk more about hiring best practices for today’s environment and how to recruit locally, nationally, and even globally.

Traci Adedeji’s tenure in the insurance industry has been filled with lessons. How could a nearly 40-year tenure not be? And while each of those lessons has had its part in making her the leader she is today, Adedeji says one lesson, in particular, can be credited with catapulting her career.

That lesson came about a decade after she joined the industry. Having worked her way up from a filing clerk to an assistant underwriter in a white-male-dominated industry in the early 1990s, Adedeji felt happy in her position.

She was working in the New York City market – meeting with brokers in the city and underwriting million-dollar homes – and just starting her journey in attaining the Chartered Property Casualty Underwriter designation. Adedeji loved her job and could have stayed in that position for quite some time. That was until her then boss called her into her office.

“She called me in to tell me I had been considered for an underwriter position, but that they were going in a different direction,” Adedeji recalled. “She said ‘I just wanted to let you know you had been considered. You do a great job, and we think the world of you.’

Adedeji had no idea anyone had recommended her for this promotion, and the other direction the company went was someone she had trained. “It all took me aback,” she said. “I had worked for the company for several years at that point, but it had never occurred to me that I might get promoted. It opened my eyes and taught me not to allow other people to limit my possibilities. It also made me realize I was limiting myself.”

That a-ha meeting with her boss led Adedeji to ask what she could do to make herself a candidate who was not just “considered” but one who would get an interview the next time. A year later two underwriting positions came open. She asked her boss to be considered, she was, and received the promotion to one of the two openings.

“It was a lesson of not allowing yourself to be limited in what you think you can do,” she said. “My career took off from there.”

Adedeji is now the AIO program lead for AIPSO, a management organization/service provider for the residual markets; a freelance course instructor for The Institutes as well as a volunteer leader for the CPCU Society; an advocate for diversity, equity, and inclusion in the insurance industry; and a speaker at several insurance industry events.

She will join the 2022 Commercial and Personal Lines Seminar, to speak more about the lessons she’s learned during her journey in the insurance industry as well as DEI in the post-COVID workplace.

No matter where people or how they work, Adedeji believes one of the most important actions in DEI is forming authentic connections. “When we have authentic connections with the people we work with, we’re in situations where we can have different kinds of conversations.”

If you’d like to hear more from Adedeji, there’s still time to register for the Commercial and Personal Lines Seminar.

With nearly 347,000 home structure fires igniting across the United States each year, related claims files are bound to cross claims professionals’ desks. Those pros might not need to be fire-science experts to work such claims, but it doesn’t hurt to have some knowledge that could help fire investigators determine a blaze’s origin and cause.

Timing is vital, particularly when determining whether a fire was set intentionally. This is critical not only in the sense of establishing a timeline for the fire, but in terms of getting to the scene of the fire and preserving the evidence, according to Thomas Young, vice president of fire practice, for technical consulting firm Rimkus Consulting Group.

What Young calls “post-fire manipulation of the evidence” is bound to happen. The fire department will have altered it in some way simply by putting out the fire. If the fire department sends its own investigator, evidence will be manipulated as well. Other people coming onto the scene with the intent of being nosy or stealing what might not have been damaged could also alter the evidence.

“That’s why I stress that a scene needs to be secured,” Young said. “I have heard too many stories about [insurers and/or fire investigators] getting there and everything is gone.”

Understanding how quickly a fire progresses allows claims professionals to know when conversations with insureds contain red flags. A room-and-contents fire flashover can occur in a matter of minutes, but perhaps not as quickly as someone might claim.

“You talk to an insured, and they say, ‘I don’t know what happened, I turned my back for one second and the whole room was on fire,’” Young said. “Well, you know that isn’t possible.” He says it takes about six minutes for a small room to become engulfed in flames.

“If nothing else,” Young continued, “understanding how fast fires burn can help [claims professionals] keep their eyes and ears open for something that doesn’t sound quite right.”

Raising this kind of awareness is one of the reasons NAMIC has worked with Rimkus to bring burn cell demonstrations to Claims Conference events. For this year’s Claims Conference demonstration, Rimkus brings to life a Christmas tree-related house fire. During the 2021 event, conference attendees watched just how quickly an office fire could progress as well as the effectiveness of a sprinkler system. Check out the video below:

The ever popular and insightful Robert Hartwig, Ph.D., director of the Risk & Uncertainty Management Center at the University of South Carolina, will once again kick off the NAMIC Webinar Series with an outlook on the property/casualty insurance industry as well as the economy in general. The six series that comprise the 2022 lineup will begin this spring.

Hartwig spoke with IN magazine staff for an article on the industry outlook in the Spring|22 issue. Read some excerpts from that interview below; check out the NAMIC Insurance Uncovered podcast page to listen to his recent conversation with CEO Neil Alldredge; and then visit the webinar series page to register for the one(s) most relevant to you.

IN: Thinking back to when you presented in early 2021 and the way things were then as compared to now, are you surprised by what has happened with the economy and the property/casualty insurance industry?

BH: Last March, even late in 2020, I was very bullish on economic recovery. I would say I was an early proponent of the view that the economy would recover very rapidly, and that turned out to be the case. We went from worrying about the economy slipping into a deep, prolonged recession to one that is on the verge of overheating. My forecast was off in the sense that I did not fully foresee the impact of the inflationary pressures we’re seeing today.

IN: We have seen some record numbers in terms of unemployment since March 2020. While they have gotten better, labor shortages are still evident. What longer-term impacts will this have?

BH: The government put $6 trillion in our pockets. While one could argue the stimulus packages were necessary to keep the economy from collapsing, the flip side is that [those checks] and the shift to the consumption of goods and away from services on a global scale produced bottlenecks no one foresaw. That is what is leading to inflation right now.

People aren’t going to rush back into the labor force. Millions have accelerated their retirements and will likely never reenter the labor force. Both issues are contributing to the bottlenecks around the world. There’s a lot of political finger-pointing about who’s to blame for this, but if you look at the data, the reality is manufacturing and global shipping are proceeding at record pace. So, it is not surprising that the shipping infrastructure and the port infrastructure are overwhelmed. It will all take a while to subside.

My evolving economic commentary here is that we will see inflation that will be in the 5 percent range. We’ll hear many people complain about the state of the economy, but there will still be real economic growth.

IN: What about beyond the labor shortages and the inflation in prices of goods?

BH: Right now, the markets are not acting adversely. If you look at estimates of where interest rates will be in 10 years, it’s still around 1.6 or 1.7 percent. That does not suggest inflationary panic on the part of investors.

Investment markets are seeing an orderly unwinding of the fiscal stimulus over a couple-year period. The environment for insurers here is actually a fairly good one. We'll see steady economic growth for the next several years. With personal lines, for instance, we’ve seen substantial growth in new home construction, which is going to continue. We've seen that explode as more and more people want to live in the suburbs and work at home and so forth. Every last one of these homes has to be insured.

This residential construction drives an enormous amount of commercial insurance exposure. Associated with that is construction-activity workers’ compensation, the various types of commercial auto activity, and activity associated with building products, such as lumbermills and all kinds of suppliers of the components that go into homes.

As for automobiles, after we get the supply chain issues behind us, we're looking at a huge pent-up demand, which will lead to robust automobile sales – I think starting in the second half of 2022.

IN: What parting insights do you have for the industry?

BH: So, there will be insurers that succeed and others that don't, just as there always have been for hundreds years. But that's true in every industry. Do I feel confident that [the insurance] industry will grow and grow fairly robustly through the end of the decade, barring some economic calamity? The answer to that is “Yes.”

Now, there will be recessions; there could be wars; there will be political fighting. But at the same time, I think this industry is very, very well positioned and can grow profitably and thrive during what I think many people view as uncertain economic times. When the world is worried about everything, they should demand more insurance because we provide certainty and security.

Note: The 2022 series lineup consists of the following:

• Claims Webinar Series;
• Underwriting Webinar Series;
• Customer Experience Webinar Series;
• Essential Leadership Skills Webinar Series;
• Legal and Litigation Webinar Series; and
• Operations Webinar Series.

Those wishing to participate can register per webinar, per series, or via a company pass that gives organizations access to all sessions from all series.

Those Who Can Do, Also Teach – Becoming a NAMIC Event Speaker

You know that adage, “Those who can’t do, teach?” While that might be true for some, at NAMIC, it’s more like “Those who can do, also teach.”

We’ve found year after year that some of the best speakers are those who are working in the property/casualty insurance industry and teach others through their experiences.

That’s how Bruce deJong, director of talent management, learning, and development for Mutual of Enumclaw, became a presenter at NAMIC events.

“A colleague invited me to deliver a presentation at the Commercial Lines Seminar. Luckily, it went well, and I was invited to speak again,” deJong joked.

Since then, he’s spoken at several other events – by either being asked to speak or submitting session proposals to the NAMIC Education & Events team. He’s also become a faculty member for the Leadership Development Workshop.

“I like to speak on personal development and leadership development topics to assist others in realizing their potential,” deJong said. “These topics align with NAMIC’s values. I’m proud of our industry and the people in it for contributing to the betterment of society. NAMIC events are a platform to share ideas for making life easier for others.”

With the 2022 NAMIC educational events in their planning stages, we’re looking for more members to present sessions next year. And as a seasoned veteran, deJong has some advice for potential speakers.

“Speak on topic you’re excited about; the audience will respond favorably to your passion,” he said. “Don’t try to be an expert; instead, consider yourself an investigative reporter on the topic and bring the audience a few nuggets of what you’ve learned to inspire robust conversation and deeper thinking.

“Think back to what you learned from the most recent seminar [you attended],” he continued. “Why do you remember it? It’s probably because it was an idea or a concept attached to a story or a discussion rather than a list of facts.”

If you have an experience or experiences you believe would be helpful to your industry peers, we would love for you to submit a proposal for consideration. You can find more information regarding the proposal process and speaker qualifications by visiting the Become a Speaker page.

Keys to Communicating With Your Customers

Communicating and marketing in the mutual property/casualty insurance world are a lot like the mutual insurance in general – complex. One reason for this is because insurance companies are trying to communicate with several different kinds of stakeholders.

That is why it’s vital for the industry’s communications and marketing professionals to understand who their customers are, to solicit feedback from them, and to build trust by informing them and taking action – and using the feedback they receive when doing so.

During the mid-October Communications + Marketing Workshop, Taylor Vande Vyver, a marketing specialist at Society Insurance and the workshop’s planning committee immediate past chair, sat down with Thomas Pytel, an award-winning marketing pro and vice president and chief marketing and corporate communications officer for CopperPoint Insurance Companies, to discuss the vital components.

“Fundamentally, what you should be looking at from a marketing perspective is consumer buying behavior,” Pytel said. “It’s how us the economy changing? How are people buying products? It doesn’t have to be insurance; it could be a hard lines retail product. But it’s how are they engaging?

“Then you look at demographics,” he continued. “Technology is changing the pace at which we do business. We’ve had many focus groups with my company as well as with prior organizations, where we’re trying to really understand what really matters to them.”

If you’d like to see what else Pytel has to say, you can purchase the on-demand version of the Communications + Marketing Workshop.

Education On Demand

It’s almost a wrap for NAMIC’s 2021 educational event season, but that doesn’t mean you have to be finished with knowledge gathering from NAMIC events for the year. All 2021 hybrid and virtual events have video recordings available on demand until the end of December.

Here is a snippet from the 126th Annual Convention keynoter Vernice “FlyGirl” Armour to give you a taste of the insights you can receive from NAMIC educational events.

NAMIC also hosted dozens of webinars throughout 2021. Because of the sheer number of them, odds are you missed one that could help you in your everyday work. Based on fellow NAMIC members viewing habits, you might want to check out the following sessions:

• Outlook on the Property/Casualty Industry

• COVID-19 and Insurance: 20/20 Vision and Beyond

• Secrets to Successfully Evaluating and Implement Geospatial Analytics Into Underwriting and Claims Workflows

• A Recipe for Underwriting Transformation

• Social Inflation in the COVID-19 World

• How Mutual Insurers Can Shift From “Repair-and-Replace” to “Predict-and-Prevent Organizations

• Ransomware? But Wait, There’s MORE!

• Setting Priorities: How Adjusters Can Maximize Their Effectiveness

• How Will 5G Power Our Technological Future, and What are the Risks?

• Wildfire Risk Assessment for Property Insurance – The Insurance Landscape in a Changing Climate

Why Do You Turn to NAMIC?

During his remarks to the 126th Annual Convention crowd Monday, September 20, NAMIC CEO Neil Alldredge introduced the Turn to NAMIC campaign. There are about as many reasons why we decided to launch this campaign as there are ways members can and do turn to NAMIC.

“I believe it’s critical – after nearly 18 months apart – that we re-establish the connect of members to each other and to NAMIC. After all, the connection we share is what sets us apart,” Alldredge said. “I’m not the only new CEO. In fact, there are more than 75 new CEOs among NAMIC members. We’re in the business of bringing people together, either walking the halls of Congress or in state capitals or at events like this one.

“So, when that is disrupted and you layer in new leaders who may not know NAMIC, that makes for a situation that keeps association leaders up at night,” he continued. “We have to make communicating the value of NAMIC membership a top priority. To accomplish that goal, we are launching the Turn to NAMIC campaign – to reinforce the value of NAMIC membership and encourage member engagement at every level.”

If you’d like to tell us why you turn to NAMIC, head to one of our social media pages and comment on one of the many videos we’re posting or send us a note by clicking here.

Factoring in Mutuality

We talk about it a lot – mutuals are different and that gives us a competitive advantage. For years, we used that phrase anecdotally, but since 2018, we’ve been able to back it up with the data published in the Mutual Factor Report.

The 126th Annual Convention marks the release of the fourth edition of the analysis prepared by NAMIC and Aon. This edition of the Mutual Factor continues in the same vein as the others, providing key performance metrics of the mutual insurance sector compared with others as well as new features and insights.

“Perhaps what is most surprising about the 2021 Mutual Factor Report is how similar the industry’s performance in 2020 was to previous, less challenging years,” according to the report’s foreword. “The biggest takeaway from this new report is the evidence it provides to support the enduring success of the mutual model and reinforce the value of the long-term approach that is the foundation of the mutual industry.”

The analysis also includes the return of a quantitative survey of insurance industry customers – this time it’s insurance agents. NAMIC worked with John Gilfeather & Associates to survey 200 independent insurance agents regarding their knowledge and perceptions of mutual insurance companies.

Representatives from Aon and NAMIC will provide a detailed overview of the 2021 Mutual Factor Report during the 126th Annual Convention. The session will take place live in Nashville and virtually Monday, September 20 at 4 p.m. Central. It will also be available on demand through the rest of the year.

The full report will be available online Monday as well. You can find it in the Mutual Resource Center at NAMIC.org. Previous versions of the report are also available there.

Events Hub Videos

Watch these videos to get your questioned answered for our 2021 events!

A Burn Simulation Comes to the 2021 Claims Conference

After more than a year of virtual-only events, NAMIC members are coming back together in person at the 2021 Claims Conference. Amid the excitement of being back in person is excitement surrounding the new live burn demonstration experiential learning workshop being offered the first day of the conference. Read More

Enthusiasm About Being Back In Person – NAMIC Claims Conference

The Claims Conference was one of only two NAMIC events held in person in 2020 and the first in-person event for NAMIC in 2021. There is a lot of anticipation around getting back together. Read More

Enthusiasm About Being Back In Person – NAMIC Claims Conference

Underwriting professionals from the commercial lines and personal lines spaces will soon meet in Chicago and virtually for the combined Commercial and Personal Lines Seminar. Because this is the first time NAMIC has incorporated the two events into one, we asked the chairs of both committees – Sam Kiley, commercial lines product manager from West Bend Mutual Insurance Company, and Andrew Johnson, personal lines manager for Merchants Mutual Insurance Company – to share thoughts on the planning process and their excitement for the event... Read More

Celebrating Innovation

NAMIC revealed the winners of the eighth annual Award in Innovation during the 2021 Management Conference in White Sulphur Springs, West Virginia. Twenty-six submissions were received and considered by the Award in Innovation Selection Committee...Read More

Inspecting the Farm – Ag Risk’s Farm Learning Lab

Agritourism as a business model has been around for a lot longer than the term itself, and while at last count, it makes up only 5.6 percent of total American farm revenue, that amount is triple what it was in the early 2000s. And as traditional... Read More

Guts and Persistence Often Leader to Success – Monday Keynote Speaker Vernice “FlyGirl” Armour

The 126^th Annual Convention’s first keynote speaker, Vernice “FlyGirl” Armour, is used to having the word “first” associated with her name. Her most prominent first: the first Black female combat pilot in the United States Marine Corp... Read More

Confidence for the Future – Tuesday Keynote Speaker Economist Alan Beaulieu

It’s probably pretty safe to say many of us were facing feelings of doom and gloom when the COVID-19 pandemic really took hold of the United States nearly 18 months ago. We were all wondering what a shutdown would do to our working environments as well as to the economy. While the pandemic has undoubtedly had its share of negative effects and the virus’ Delta variant... Read More

Talking About the Future of Work – Wednesday Keynote Speaker Cheryl Cran

The genie might be out of the bottle, according to Cheryl Cran, founder of NextMapping, CEO of Synthesis at Work Inc, future-of-work specialist, and the Wednesday morning keynote speaker for the 126^th Annual Convention. She’s spoken for years about how the future of work is a hybrid, if not an all-virtual... Read More