If an agency's strength is determined by its relationships withits insurers, then Berends Hendricks Stuit Insurance Agency Inc.(BHS) is going strong. This 25-year-old Michigan agency, whichspecializes in construction, was recently named one of the top 10growing agencies by The Western Region of Auto-Owners InsuranceGroup, and has been recognized by several other insurers for bothproduction and quality, including Humana Leaders Club, PriorityHealth Key Producer, Accident Fund, Grange Senior Partner Agency, aCincinnati Presidents Circle Agency, a Diamond Club Agency, aSelective Presidents Club Agency and is a member of the 1885Club.

BHS also has been accepted nationally as a “Best Practices”agency by the IIABA as one of the top 30 performing agencies in itsrevenue category for the past 12 years. In 2005, BHS was honored asAgency of the Year by the Accident Fund and Michigan Agent of theYear by Grange.

The agency has grown rapidly over the years, and in addition toits main office in Grandville, Mich., it has branch offices locatedin Holland, Mich., which serves both commercial and personal linesclients, and Byron Center, Mich., which exclusively servicespersonal lines customers. BHS has acquired 95 staff members whoserve more than 2,400 commercial customers, over 12,000 personalcustomers for property-casualty insurance and more than 600businesses for employee benefits.

BHS writes for 23 percent personal lines, 50 percent ofcommercial lines business and 27 percent employee benefits commercewith a total revenue $14 million in 2009. The agency representsmore than 30 property-casualty insurers, and more than 40 employeebenefit carriers. Its top insurers include:

o Auto-Owners Insurance

o Citizens Insurance

o Cincinnati Insurance

o Hartford

o Travelers

o Chubb

o Humana Inc.

o MetLife.

The company's targeted specialties include non-profitorganizations, public gardens and arboreta, public entities,agribusiness, contractors, cultural institutions, financialinstitutions and manufacturing.

Donald Hendricks founded Hendricks Mayer Agency in 1939, andBerends Stuit & Assocs. was founded by Edward S. Berends in1950. BHS was incorporated as a merger of these two agencies inJanuary 1985 by Edward Berends, Dennis Hendricks and ThomasStuit.

Since then, BHS has increased its principals to include JerryNiewiek in 1995, Steven Olson in 2000, Gregory Christie in 2008,James Ryskamp in 2009 and, most recently, Zackery Vandenberg.

BHS Nonprofit Solutions was established in January 2000 toprovide additional service to the insurance and risk managementneeds of BHS's nonprofit customers. The agency has since developedprograms designed specifically for various types of clients such ascontractors,
cultural institutions, energy, financial institutions, foodindustry, manufacturing, public entities and retail.

Niewiek has been a member of BHS for 22 years, and his dutiesinvolve serving a large base of clients, leading the commerciallines division, mentoring new producers and working as a claimsadvocate for agency clients dealing with larger, more complex claimissues and adjusting. He also assists in developing salesstrategies and serves as an advisor with several key agencypartnerships. He has been with the insurance industry for more than25 years, previously managing a multi-line claims office forHartford. He did not wish to continue with corporate, and joinedBHS.

“The claims experience created a desire to work with peoplecreating the appropriate risk management program with companiesdepending on their tolerance risk,” Niewiek said. “Our philosophyis to make clients aware of risk issues, and evaluate what theappropriate solutions might be for each individual company.”

A construction specialty

BHS has specialized in insurance and risk management servicesfor contractors for more than 20 years, and provides differentcoverages and services since each construction business varies. Theagency builds a program that fits the needs to each client.

Construction is one of the hardest jobs in America.Statistically, it has accounted for 22.6 percent of workplacefatalities in 2002, and for 15 percent of permanent hearing losscases, which was reported in Michigan in 2000.

To protect the health and well-being of construction workers,the agency offers risk management programs specifically forconstruction coverage that includes:

o Controls of hazardous energy

o Disaster planning

o Evacuation/action plan

o Prevention back injuries

o Hearing conservation

o Site evaluation

o Claim/accident investigations.

BHS offers its construction customers MyWave technology, anInternet-based client center that provides real-time access to BHSproducts and services, and updates on the latest information andnews that makes the client's job easier.

Other value-added services for construction customers includes asafety and loss prevention department where staff offersconsultation, safety assessments, customized program development,training and online OSHA recordkeeping. The claims managementdepartment provides BHS customers claims tracking, reservemonitoring, progress reports, claims history analysis andverification and correction. “We believe it is our job to act as aclaims advocate for our clients,” Niewiek said.

Other services include a wellness department, which gathers datasuch as health risk assessments and online surveys; human resourceassistance that offers online legislative guides, and wellnesspublications, and online services providing claims reporting, bondand certificate requests and policy change requests.

The agency also offers disaster recovery plans for special riskmanagement or consulting for its clients. By providing theseservices, BHS has experienced its growth in business.

Market trends

To adapt to the soft market, BHS has discovered a differentapproach to survival; instead of “taking all comers” andlow-balling on price, BHS carefully screens potential customers tomake sure they're a good fit with the agency's products andservices. The agency interviews potential clients to ensure theyfit certain criteria for developing a relationship with BHS, aswell as to work together to enhance a risk management program. BHSbecomes involved with construction and other trade associations andlearn its clients' business to look for ways to continuously helpits customers improve business, and is involved with them not justat renewal time, but throughout the year.

“We do not claim to be the lowest price on the street,” Niewieksaid. “We explain to prospects if price is it, we may not be theagent for them. Price is important; however, our goal is to designthe appropriate protections in a cost-effective manner.”

Focusing on its partnerships with carriers and being specialistsin the industry is how BHS manages to grow during the soft market.It concentrates on client challenges and finding solutions tocontinue to grow.

Hiring excellent workers who can lead the agency is somethingBHS is proud of, which increases its business. BHS focuses onefficiencies and avoids layers of authorization, and shares theorganization's profits with all employees. It solicits suggestionsand advice from staff, companies and peers, and implements theseideas when opportunity permits.

BHS also fully utilizes technology for greater efficiency. Thetechnology committee continually investigates and evaluates newadvancements. Niewiek mentioned how today, everything needs to bequick, complete and accurate through technology and education. “Ourgoal is to be the agency of choice by exceeding expectations of ourcustomers, the markets we work with and our team members,” hecontinued.

Future plans

Regardless of the soft market and economic hard times, BHSstrives to increase its business growth. It understands the need togrow, and it is committed to that expansion. “We are committed tobringing in young talent and helping them grow into the futureleaders in our organization and the community,” Niewiek said.

Although it takes hard work, long hours and dedication andpassion, the insurance industry offers incredible career growthopportunities, he said. Agencies striving to succeed should connectwith a peer group and invest in education, people and technology,Niewiek said. He also suggests specializing in a niche anddeveloping an expertise in that field, while choosing companypartners carefully and understanding the purpose of workingtogether. “Realize you cannot be all things to people,” Niewiekconcluded.