Surrounded by personal lines property and casualty insurance, Main Street insurance agencies see the same type of risks day in and day out. The typical homeowner and auto insurance client is the bread and butter of personal lines agents and brokers. Homes ranging in value from $150,000 to as high as $1 million make up most, if not all, of a book of business. Auto policies to insure the average family with one to four cars is pretty much the standard. Insuring small boats and other vehicles, providing umbrella policies–it's all pretty standard. So how do agencies like this handle a more affluent customer? When a client's home exceeds $1 million of replacement cost and individuals have much more to lose, agents need specialized policies to properly insure them.

Many personal lines insurance companies will not even cover homes exceeding $1 million in replacement cost. And although some will, they typically use the same forms and coverages used to cover a $200,000 home, which is not always adequate for a high net worth account. In some cases there are additional endorsements available that would provide some further needed coverages, but these policies are not truly meant to cover risks such as this.

Having a specialized product available to cater to these high net worth individuals can be a valuable asset to personal lines agencies. Among the most well known and versatile insurance plans for these clients are provided by Chartis Private Client Group (formerly AIG Private Client Group) and Chubb. However, there is some competition out there for these big players. For instance, a relatively new company from Florida called Privilege Underwriters Reciprocal Exchange (PURE) is making a big splash on the East Coast right now. PURE offers similar features to Chartis and Chubb, and is very open to coastal properties where others are more restrictive in coastal areas.