Florida Association of Insurance Agents

IN THIS ISSUE:

FAIA has been recognized by IIABA as an Inaugural 2010 Excellence in Insurance Education (EIE) Diamond Award recipient. The EIE Award is the premier education award presented by our national association and recognizes state associations for their outstanding education programs and their dedication to providing exemplary instruction to insurance professionals.

The EIE Award is presented to state associations based on their overall education efforts—not just a specific program. Criteria categories include:

• Class offerings (professional development, CE, non-CE, in-house and self study)
• Professionalism, roles, and responsibilities
• Designation programs
• Course content development
• Collaboration
• Planning goals
• Innovation and technical resources
• Marketing
• Resources

IIABA stated in the award announcement that FAIA is "being awarded this prestigious honor (as it) exemplifies the dedication you and your state association have made towards the progression of the independent agency system..."

FAIA's Education Department will be presented with a perpetual plaque during a special ceremony in the opening general session at September's Education Convocation in San Francisco. Additionally, FAIA's accomplishment will be showcased in a slide show presentation displayed during the National Board of State Directors meeting following Convocation.

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BE PART OF HISTORY…join me for our first ever webinar conducted from outside the United States! The title is "International Travel Insurance Issues and Travel Tips." This free one-hour webinar will be a first for FAIA…it will be conducted from the "FAIA International Desk" in Cambridge, England.

Few people who board an aircraft or cruise ship for an international trip ever consider the implications of insurance. Additionally, many of the "creature comforts" that we are used to at home in the U.S. are not available overseas.

We will look at many insurance issues surrounding traveling overseas: auto coverage, homeowners, CGL, commercial property, workers' compensation, health insurance, and much more. Additionally, I will share some of my common sense travel tips that will help make your next international trip a lot more enjoyable. While not filed for CE credit, you'll walk away with a wealth of knowledge.

The date is Monday, August 9, 2010, from 10:00–11:00 a.m. Eastern Daylight Time. To register, just click here.

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Management help, including sample job descriptions, training manuals, office organization, and hiring practices, is available on FAIA's website. Just click on the "Ops in a Box" logo on the left. While you're there, check out all the topics and learn how to run your agency better! This section is frequently updated as we discover new and better information. Remember, you'll need to log in; this valuable resource is for FAIA members only!

Agency principals and managers now have a new tool at their disposal when it comes to providing agency employees with solid P&C training and CE at the same time: the INS (Program in General Insurance) certification, offered by the American Institute for CPCU/IIA.

While anyone in the agency can take the course work, the INS certification is recommended for those who have been licensed for five years or less. Less technical in nature than the AAI designation, INS provides ideal training for those who want to obtain more substantial insurance education than found in pre-licensing courses. The courses cover insurance principles, practices, and policies in depth.

FAIA offers the courses in live classroom format only. Most classes are one day in length and are offered in four cities around Florida. Successful completion of an exam following each segment earns the INS certification. The following courses are required:

1. INS 21 (A, B, C)—Property and Liability Insurance Principles: What Insurance Is, Who Provides Insurance, How Insurance Is Regulated, Measuring the Financial Performance of Insurers, Marketing, Underwriting, Claims, Insurance Contracts, Property Loss Exposures and Policy Provisions, Liability Loss Exposures and Policy Provisions, and Risk Management. The course is divided into three segments taught over 1.5 days total.
   
   
2. INS 22 (A, B, C)—Personal Insurance: Insurance and Society, Personal Auto Policy, Homeowners Insurance, Other Residential Insurance, Other Personal Property and Liability Insurance, Personal Loss Exposures and Financial Planning, Life Insurance, and Health and Disability Insurance. The course is divided into three segments with one full day per section (A, B, C).
   
   
3. INS 23—Commercial Insurance: Commercial Property, Business Income, Commercial Crime, Equipment Breakdown, Inland and Ocean Marine, Commercial General Liability, Commercial Auto, Businessowners, Farm, Workers' Compensation and Employers Liability, and Miscellaneous Coverages. The course is divided into three segments with one full day per section (A, B, C).

For complete information on the INS certification, click here.

For class dates and locations, or to register, click here.

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In my INS 22A Personal Auto course (which by the way will now be a designation and you can read more about it by scrolling to Tom Ashley's article), the discussion arose about an ISO endorsement giving limited coverage in Mexico. This is one of the most talked about endorsements in the class not because of the coverage afforded to the insured, but the very limited coverage the endorsement provides—hence the name, Limited Mexico Coverage PP 03 21. First of all, as you are probably aware, the ISO PAP provides no coverage in Mexico. So, if the endorsement is purchased, the insured must purchase Mexican liability insurance for the endorsement to apply.

If you're curious, the cost for liability insurance from an authorized Mexican insurance agent will set you back about $100 for a six-day policy. If that purchase is successful, the ISO endorsement coverage only applies within 25 miles of the U.S. border and you can only be in Mexico for 10 days or less. If you look at a map of Mexico, 25 miles does not get you to Mexico's finest travel destinations, unless you want to include Tijuana, which is 17 miles across the border. (By the way, it's 1,457 miles from the border to Cancun.) Other limitations afforded by the endorsement include that the insurer has the duty to defend suits only if they are brought in the United States and if they do not involve a Mexican citizen or resident. Also, the endorsement does not apply if the insured is occupying an auto other than the one shown in the declarations, a newly acquired auto, or an owned trailer.

As you can the see, the discussion in the INS class can get very interesting because insurance, as you know, is never boring. I'm sure your agency isn't bombarded with requests for this endorsement (except the parents of college students who were talked into letting their kid drive to Mexico for Spring Break), but if you do get the call and you did not attend FAIA's INS 22A Personal Auto class, make sure you're aware of the coverages afforded by this endorsement.

If you have any questions about the INS class, just drop me an email at jodom@faia.com.

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by Melissa Champany, CCSR, API

Prior to the Independence Day fireworks, YAC's SmartStart4Kids 2010 started with a blast on July 1. Based on last year's performance, we hope to collect $25,000 worth of items to benefit children in our local areas during this year's drive. The Tower Hill Insurance Group and United P&C have pledged additional items, which will help us reach our goal. Use the link above for more information about the program or how to help. Remember, the YAC agency raising the most (based on the point chart) will receive an additional contribution to the organization in their area. So, while you're wandering around your local supply store, picking up items for your office or your own children, drop an extra package of crayons, paper, glue, or whatever in your basket and help spread some goodwill to children in need. Remember, the child you help today may be tomorrow's employee or customer.

By now you should have received your YAC renewal notice in the mail. Please consider renewing for another year. The annual dues help cover the cost of zone events statewide if not already sponsored, provides for scholarships to FAIA's Legislative Fly-In, and with our participation in FAIA's Convention. If you think your YAC membership is a good deal, be sure to share the news with your YAC-eligible friends. Membership is granted to those who are employed at FAIA member agencies or companies (in good standing), and are either younger than 40 years or have been in the business fewer than 10 years. Also, YAC membership qualifies you to participate in Florida's Future Insurance Leaders (FFIL). A new class starts in December. Click here for more information or to apply for FFIL.

If you've not done so already, be sure to register for FAIA's Planning Session, August 12–14, at the Four Seasons Resort in Palm Beach, and sign up to participate on a task force. The YAC task forces meet on Friday afternoon, and, if you're able and choose to commute to the meeting only, the registration fee is waived. You still need to register, however, so we have enough meeting materials on hand as we decide our activities for next year.

And, in closing, we owe a debt of gratitude to the many YAC members and sponsors who participated in FAIA's Convention. We had a great time and learned a lot. There wasn't a dry eye to be seen following Major Ed Pulido's presentation at our invitation-only lunch. If you weren't able to participate this year, we'd love to see you next year. Hold June 9–11, 2011, on your calendar for FAIA's 107th Anniversary Convention & Education Symposium when we'll hit the Road to Recovery.

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Dividing The Insurance Dollar with Jay Williams. As an agent, you not only sell insurance, you're also an insurance consumer. As such, you must wonder from time to time where your insurance dollar goes. This class will not only help you with the answer to that question, it will also give you the information to answer it for your customers. Jay Williams, president of Bankers Underwriters, Inc., and Bankers Employer Services, Inc., will slice the "insurance dollar pie" and serve it to you. And what happens when you run out of pie? Come to the class and find out.

This session was approved by the DFS for two (2) hours of continuing education credits #73177 General Lines Combo.

Please click here to register for the Planning Session.

Please click here for complete information regarding the Planning Session..

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DISCLAIMER All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the prior written permission of the Florida Association of Insurance Agents.

NOTE: FAIA is not in the business of giving legal advice. Whenever questions arise, agents are urged to seek the counsel of a competent attorney licensed in Florida and familiar with the Florida Insurance Code.

Please note that all coverage analysis done by FAIA is based on standard ISO forms. Many carriers in Florida file their own forms with the OIR, some of which are derivations of ISO and some that are unique. It is imperative that you carefully read your carriers' forms to make an informed decision about coverage questions.