Chamber Of Commerce Starts Agency

The agency's president, John Sherlock, said the agency follows the same business to business Web portal design of other ChamberBiz partners throughout the country, making their individual company's services available to association members who need them.

What the agency offers is nationally based wholesale commercial products to agents and brokers who are Chamber members in search of insurance specialty products for small businesses.

Mr. Sherlock said the agency has partnered with major insurance carriers, such as AIG, to offer insurance to a market that is being largely ignored by the major insurance brokers.

Products include workers' compensation, management liability, employment practices liability, environmental liability, umbrella liability, and international insurance, property and general liability coverage, business owners' policy, and a host of management liability coverages.

Other services include loss prevention, litigation management and claims management services. The agency also offers supplemental insurance, group term life, travel accident, group dental, vision care and personal lines insurance as an accommodation to commercial policyholders. The agency does not offer major medical, Mr. Sherlock said.

While the agency is based on other Chamber Web portal companies, Mr. Sherlock said he does not view the agency as an online agency. They have made significant investment in technology and have a "pretty sophisticated" call center, "but it does not replace relationship of agent and customer, it fosters the relationship," explained Mr. Sherlock.

He said licensed agents are constantly on the floor of the call center to help clients with their insurance decisions.

Depending on the agreement with the local or state Chamber of Commerce, where there is a member insurance agency, a small business client who contacts ChamberBiz is directed to that member agent. If there is no agency, ChamberBiz then assumes the role of the retail agent, Mr. Sherlock said.

"We don't use technology to replace the agent relationship that is necessary in this business," Mr. Sherlock said, explaining the agency's philosophy.

He said that, formerly, clients had a relationship with the agent around the corner. "Now, the client's concern is how do you provide me with a business solution. The client says, ?I don't care how, just as long as you do the thing that makes my business work more efficiently and helps me improve my bottom line.'"

The agency is licensed in 47 states, with approval pending in California. Licenses have not been obtained in Massachusetts and Hawaii, Mr. Sherlock said. He said that since the agency began operating in late December, growth has been "pretty progressive" and is exceeding pro-forma projections.

"Business is going very well, better than we expected and we are on track to be an extremely growth oriented company," noted Mr. Sherlock.