NU Honors Three Agencies Of The Year

NEW YORK–National Underwriter presented its sixth annual “Commercial Insurance Agency of the Year” awards today to three firms committed to risk management regardless of market conditions.

Cottingham & Butler of Dubuque, Iowa, was named NU's “2007 Champion.” David Becker, president and chief operating officer of C&B, was presented with the award here just prior to the start of NU's “State Of The Independent Agent Roundtable.” Highlights of the discussion will appear in the Oct. 29 edition of NU.

In addition to the champion, two other finalists in the award program won an “Honorable Mention.” They are:

o J. Rolfe Davis Insurance in Maitland, Fla., represented by its president, John Turner.

o Gillis, Ellis & Baker of New Orleans, represented by its president, W. Anderson Baker III.

All three agencies are profiled in the Sept. 24 edition of National Underwriter, also available online at www.propertyandcasualtyinsurancenews.com.

Representatives of the three finalist agencies joined last year's champion–Barney & Barney of San Diego, represented by one of its senior principals, Jack Galloway–on the roundtable.

Those entering their agencies in the award program had to fill out an extensive questionnaire tracking their growth, as well as hand in representative marketing material and a sample proposal to land new or renewal business. Those entering also had to include an essay outlining the agency's business philosophy.

“It's easy to sell risk management in a hard market,” said Sam Friedman, NU's editor-in-chief, as well as the founder and chair of the award program. “But when premiums start to plummet and capacity is plentiful, it takes a truly dedicated, disciplined and even courageous independent agency to walk away from prospects who only want quotes for the lowest price and don't share a commitment to loss control, safety and lowering the overall cost of risk.”

Mr. Friedman added that “such fortitude is largely what set this year's finalists apart from the pack.”

Mr. Friedman chose the three finalists, then joined with two outside judges to pick this year's champion. The judges were Paul Hering, CEO of last year's champion, Barney & Barney, and Bobby Reagan, president and CEO of Reagan Consulting, an independent Atlanta-based management firm working with insurance agents, brokers and companies, who helped put the original award criteria together when NU launched the program in 2002.

Reagan Consulting developed and produces the “Best Practices” program for the Independent Insurance Agents and Brokers of America. In addition, Mr. Reagan and his staff are frequent agency management columnists in NU.

“We don't peddle policies and get in bidding wars,” emphasized Mr. Becker of Cottingham & Butler, which managed to build a growing national brokerage business featuring alternative risk-transfer programs out of its modest headquarters in Dubuque, Iowa.

“We help our clients understand the insurance marketplace, not just shop it,” is C&B's mantra, Mr. Becker noted. “When the market is soft, we help them understand that, and potentially adjust their appetite for risk.”

“We thrive serving clients who take on more risk–who are willing to bet on themselves and make the investments necessary to make that a winning bet,” Mr. Becker added in C&B's award essay.

Echoing that risk management philosophy were the two agencies receiving honorable mentions. “All three put their money where their mouths are, determined to avoid prospects who don't share their loss control approach,” said Mr. Friedman.

“Too often, clients try to make it all about the premium,” noted David McKinney, CEO of J. Rolfe Davis Insurance, which seeks to become a “strategic business partner” rather than merely a price shopper for clients.

“If you want to create an auction, you should hire an auctioneer,” added JRD's president, John Turner.

Gillis, Ellis & Baker had “perhaps has the most exciting story to tell,” according to Mr. Friedman, “after not only surviving but prospering in New Orleans following Hurricane Katrina.”

He added that “GEB's harrowing and inspirational tale is even more impressive given the fact that the market certainly isn't softening in The Big Easy.”

Indeed, he said, “the fact GEB practiced what it still preaches to clients–an overriding commitment to risk management–kept the agency in business to serve its devastated clientele and spurred growth in the midst of the worst conditions imaginable.”

GEB's disaster-recovery plan “allowed us to increase our penetration in the market,” according to Mr. Anderson. “Certainly, that was not the design–the design was our survival–but it had that effect.”