Agent News

Please take note the upcoming rate changes in various states.

Core States

The following core states have a pending rate change. New rates are not yet available in eLink; however, some renewing policies may be viewable in the renewal index. Please refrain from releasing quotes and renewals for these states until rates are updated.

IOWA

Effective Jan. 1, 2015, Accident Fund is adopting NCCI’s rate change in the state of Iowa with an overall industry rate level decrease of 3.7%. In addition, we’re making a slight adjustment to our rate deviation for Accident Fund Insurance Company of America. The actual change will vary by class. New rates became available in our eLink system on Sept. 29, 2014.

MARYLAND

Effective Jan. 1, 2015, Accident Fund will adopt NCCI’s loss costs in Maryland, resulting in an overall industry decrease of 2.7%. The change will vary by class. New rates became available in our eLink system on Oct. 6, 2014.

MICHIGAN

Accident Fund is implementing a rate decrease effective Dec. 1, 2014. The overall impact will be a 4% reduction, but please visit the rate pages on our Agent website to review specific classification code details. New rates became available in eLink on Sept. 29, 2014. Because eMods are still pending from CAOM, policies with an effective date of Jan. 1, 2015 or later are still being held.

MINNESOTA

Effective Jan. 1, 2015, Accident Fund will adopt the mandatory Minnesota Workers’ Compensation Insurers Association pure premiums, which reflect an overall decrease of 2.5% from Jan. 1, 2014 (individual risks will vary). New rates became available in our e-business system on Oct. 6, 2014.

MISSOURI

Effective Jan. 1, 2015, Accident Fund is adopting NCCI’s proposed loss costs in Missouri with an overall average decrease of 3.7%. The actual change will vary by class. New rates became available in our eLink system on Oct. 6, 2014.

Accommodation States

Please be sure to discuss pricing options for all new business and renewals with your business development consultant

The Agency Hall of Fame is recognition for those agencies that write the most new business each month. The acknowledgment, given to top agencies in each state, allows us to show appreciation to our agent partners for their efforts.

Arkansas

• BancorpSouth Insurance Services, Inc., Little Rock
• Brown & Brown Insurance of Little Rock, Little Rock

Georgia

• Flegal Insurance, Inc., Rossville
• J. Smith Lanier & Co., Augusta

Illinois

• J. L. Hubbard Insurance and Bonds Agency, Inc., Forsyth
• Lundstrom Insurance Agency, Inc, Elgin

Indiana

• Gregory & Appel Insurance Agency, Indianapolis
• Regions Insurance, Inc., Kokomo

Iowa

• Holmes, Murphy & Associates, Inc., West Des Moines
• Ruhl & Ruhl Insurance, Davenport

Kansas

• Chapple Insurance Group, Wichita
• Elliott Insurance Inc., Louisburg

Maryland

• Consolidated Insurance Center, Inc., Owings Mills
• Sandy Spring Insurance Corporation, Glen Burnie

Michigan

• The Campbell Group, Grand Rapids
• The Sterling Group, Inc., Sterling Heights

Minnesota

• CBIZ Insurance Services, Inc., Brooklyn Center
• Waypoint Insurance Advisors, Inc., Hopkins

Missouri

• Charles L. Crane Agency Company, Saint Louis
• W. E. Walker – Lakenan, LLC, Cape Girardeau

North Carolina

• First Citizens Ins. Svcs, Raleigh
• Sentinel Risk Advisors LLC, Raleigh

South Carolina

• Peoples Underwriters, Inc., Conway
• Upchurch & Jowers Insurance Agency, Inc., Camden

Tennessee

• J. Smith Lanier & Co., Chattanooga
• Sunbelt Insurance Group, Chattanooga

Texas

• AP & S Agency, Inc., Austin
• Pierson & Fendley Insurance Agency LLC, Paris

Virginia

• HSH Insurance, Salem
• Nansemond Insurance Agency, Inc., Suffolk

Wisconsin

• Insurance Marketing Group of Wisconsin, Inc (Image), Saint Germain
• R & R Insurance Services, Inc. Waukesha, Waukesha

Wisconsin

Governor Walker in a Tough Race
Incumbent Governor Scott Walker (R) is locked in a tough campaign for reelection with Democrat challenger Mary Burke. The campaign will likely remain very competitive through Election Day. The Industry feels that if Mary Burke is successful not much progress will occur in regards to medical cost containment legislative measures.

Illinois

Workers’ Compensation State Fund and Governor’s Race
The heated gubernatorial contest between incumbent Governor Pat Quinn (D) and his Republican challenger, Bruce Rauner, featured a recent debate in which Rauner was questioned about his position on a workers’ compensation state fund. Rauner did not commit support or opposition to the concept. The industry followed up the debate with material to the Rauner campaign about why a state fund was unnecessary. The election contest remains a virtual dead heat according to recent polling information.

Iowa

Governor Branstad Looks to be Headed to Victory
Incumbent Governor Terry Branstad (R) is leading in all polls with double digit leads over Democrat challenger, Jack Hatch, and is expected to win reelection handily on Nov. 4. Many industry political insiders view this as a positive development.

Information Sources – American Insurance Association, Insurance Institute of Michigan, MIRS

Accident Fund trips are nothing short of luxurious, but don’t take our word for it. Click here to watch a short video, which features one of our agent partners talking about his recent experience on our incentive trip to Alaska. We hope his words will help incentivize you to keep up the great work for the rest of the year so you can join us on our “Scottish Escape.”

Although the end of the year is quickly approaching, there’s still time to qualify for our 2014 Incentive Trip Program to Scotland. This seven day, six night trip complete with visits to the magnificent cities of Edinburgh and Perthshire is not one you’ll want to miss. Trip winners will experience the exhilarating mix of historic and modern wonders that these destinations offer as we explore enchanted castles, don tartan plaid and maybe indulge in a bit of whiskey.

Accident Fund Holdings and its Brands are dedicated to helping employers create safer work environments to protect their organizations from unpredictable costs related to workplace injuries. To help provide a clear understanding of the services, segments and benefits of our organization, we’ve developed a comprehensive flyer. This piece reflects our national footprint, complimented by a regional market approach, allowing for individual focus with collective strength.

Last year, the National Council on Compensation Insurance (NCCI) made changes to its Experience Rating Plan which impacted most states. The changes will continue through 2015 and have had a variable impact on policyholders since the new calculations have been applied.

NCCI’s Experience Rating Plan was designed to modify the premium of policyholders based on their loss experience. It uses a “split point” system to give heavier weight to the frequency of losses rather than severity. In essence, full weight is given to the portion of losses up to the threshold (or “split point”), while a reduced weight is placed on losses above the threshold.

Despite a significant increase in the average cost of claims, NCCI hadn’t changed the $5,000 split point value since 1991. On Jan. 1, 2013, the experience modification split point increased to $10,000 for all non-monopolistic states; and increased to $13,500 on Jan. 1, 2014. In 2015, it will increase to $15,000 plus two years inflation to the closest $500. After that, it will be based on inflation matched to the previous year’s level.

Click here for a flyer that further explains complexities of this change and will assist you in detailing its impact to your policyholders.